Distribution of formula grant funds to participating States, the District of Columbia, and Puerto Rico under the Education for Homeless Children and Youth program is proportionate to the distribution of funds under Section 1122 of the Elementary and Secondary Education Act of 1965, as amended (ESEA). The minimum grant that may be awarded to a State educational agency (SEA) in any given fiscal year is $150,000. The Bureau of Indian Affairs receives funds under a memorandum of agreement with the Department to serve children and youth experiencing homelessness and, attending schools administered by the Bureau. State educational agency must distribute not less than 75 percent of their allocation in subgrants to local educational agencies. States funded at the minimum level must distribute not less than 50 percent in subgrants to local educational agencies. States may reserve their remaining funds for State-level activities.