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SEC. 1826. SELECTION OF LOCAL EDUCATIONAL AGENCIES FOR SUBGRANTS.

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(a) STATE EDUCATIONAL AGENCY REVIEW AND AWARD- The State educational agency shall review applications submitted under section 1823(a)(2) and award subgrants to local educational agencies with the assistance and advice of a panel of experts on school dropout prevention and reentry.

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(b) ELIGIBILITY- A local educational agency is eligible to receive a subgrant under this subpart if the local educational agency operates a public school (including a public alternative school) —

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(1) that is eligible to receive assistance under part A; and

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(2)(A) that serves students 50 percent or more of whom are low-income students; or

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(B) in which a majority of the students come from feeder schools that serve students 50 percent or more of whom are low-income students.