View all text of Chapter 27 [§ 2501 - § 2511]
§ 2506. Payment of grants; investment of funds
(a) Payments
(1) In general
Except as otherwise provided in this subsection, the Secretary shall make payments to grantees under this chapter in two payments, of which—
(A) the first payment shall be made not later than July 1 of each year in an amount equal to 80 percent of the amount which the grantee was entitled to receive during the preceding academic year; and
(B) the second payment, consisting of the remainder to which the grantee is entitled for the academic year, shall be made not later than December 1 of each year.
(2) Excess funding
(3) Newly funded schools
(4) Late funding
(5) Applicability of certain title 31 provisions
(6) Restrictions
(b) Investment of funds
(1) Treatment of interest and investment income
(2) Permissible investments
Funds provided under this chapter may be invested by the Indian tribe or tribal organization before such funds are expended for the purposes of this chapter so long as such funds are—
(A) invested by the Indian tribe or tribal organization only in obligations of the United States, or in obligations or securities that are guaranteed or insured by the United States, or mutual (or other) funds registered with the Securities and Exchange Commission and which only invest in obligations of the United States, or securities that are guaranteed or insured by the United States; or
(B) deposited only into accounts that are insure by and 1
1 So in original. Probably should be “insured by an”.
agency or instrumentality of the United States, or are fully collateralized to ensure protection of the funds, even in the event of a bank failure.(c) Recoveries
(Pub. L. 100–297, title V, § 5207, as added Pub. L. 107–110, title X, § 1043, Jan. 8, 2002, 115 Stat. 2074.)