A r c h i v e d  I n f o r m a t i o n

``SEC. 1208. AWARD OF SUBGRANTS.

``(a) Selection Process.--
``(1) In general.--The State educational agency shall establish a review panel in accordance with paragraph (3) that will approve applications that--
``(A) are most likely to be successful in--
``(i) meeting the purpose of this part; and
``(ii) effectively implementing the program elements required under section 1205;
``(B) demonstrate that the area to be served by such program has a high percentage or a large number of children and families who are in need of such services as indicated by high levels of poverty, illiteracy, unemployment, limited-English proficiency, or other need-related indicators, including a high percentage of children to be served by the program who reside in a school attendance area eligible for participation in programs under part A;
``(C) provide services for at least a three-year age range, which may begin at birth;
``(D) demonstrate the greatest possible cooperation and coordination between a variety of relevant service providers in all phases of the program;
``(E) include cost-effective budgets, given the scope of the application;
``(F) demonstrate the applicant's ability to provide the Federal share required by section 1204(b);
``(G) are representative of urban and rural regions of the State; and
``(H) show the greatest promise for providing models that may be adopted by other local educational agencies.
``(2) Priority for subgrants.--The State educational agency shall give priority for subgrants under this subsection to applications that--
``(A) target services primarily to families described in paragraph (1)(B); or
``(B) are located in areas designated as empowerment zones or enterprise communities.
``(3) Review panel.--A review panel shall consist of at least three members, including one early childhood professional, one adult education professional, and one or more of the following individuals:
``(A) A representative of a parent-child education organization.
``(B) A representative of a community-based literacy organization.
``(C) A member of a local board of education.
``(D) A representative of business and industry with a commitment to education.
``(E) An individual who has been involved in the implementation of programs under this title in the State.
``(b) Duration.--
``(1) In general.--Subgrants under this part may be awarded for a period not to exceed four years.
``(2) Startup period.--The State educational agency may provide subgrant funds to an eligible recipient, at such recipient's request, for a three- to six-month startup period during the first year of the four-year grant period, which may include staff recruitment and training, and the coordination of services, before requiring full implementation of the program.
``(3) Continuing eligibility.--In awarding subgrant funds to continue a program under this part for the second, third, or fourth year, the State educational agency shall review the progress being made toward meeting the objectives of the program after the conclusion of the startup period, if any.
``(4) Insufficient progress.--The State educational agency may refuse to award subgrant funds if such agency finds that sufficient progress has not been made toward meeting such objectives, but only after affording the applicant notice and an opportunity for a hearing.
``(5) Grant renewal.--
``(A) An eligible entity that has previously received a subgrant under this part may reapply under this part for additional subgrants. An eligible recipient may receive funds under this part for a period not to exceed eight years.
``(B) The Federal share of any subgrant renewed under subparagraph (A) shall not exceed 50 percent in any fiscal year.

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SEC. 1207. APPLICATIONS. Table of Contents SEC. 1209. EVALUATION.