I 

108TH CONGRESS 

1ST SESSION H. R. 1576

To amend the Individuals with Disabilities Education Act to establish a 

method to provide outcome-based funding increases to States, and for 

other purposes. 

IN THE HOUSE OF REPRESENTATIVES 

APRIL 2, 2003

Mr. STARK (for himself and Mr. HOLT) introduced the following bill; which 

was referred to the Committee on Education and the Workforce 

A BILL

To amend the Individuals with Disabilities Education Act 

to establish a method to provide outcome-based funding 

increases to States, and for other purposes.

1 Be it enacted by the Senate and House of Representa2 tives of the United States of America in Congress assembled,

3 SECTION 1. SHORT TITLE. 

4 This Act may be cited as the ‘‘Realizing the Spirit 

5 of IDEA Act’’. 

6 SEC. 2. FINDINGS; PURPOSE. 

7 (a) FINDINGS.—The Congress finds as follows: 

8 (1) Since its enactment, the Individuals with 

9 Disabilities Education Act has successfully increased 
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1 the access of children with disabilities to a free ap2 propriate public education. 

3 (2) Maintaining the procedural safeguards de4 tailed in such Act is critical to achieving better aca5 demic outcomes for children with disabilities. 

6 (3) When compared to children without disabil7 ities, children with disabilities are more likely to 

8 drop out of school, complete school without a di9 ploma, not attend school regularly, and have poor 

10 academic achievement. 

11 (4) After leaving secondary school, individuals 

12 with disabilities frequently do not receive postsec13 ondary education and experience high rates of unem14 ployment. 

15 (5) Despite their disabilities, children with dis16 abilities are capable of learning and becoming pro17 ductive members of society. 

18 (6) There is evidence that effective interven19 tions are available that will enhance the academic 

20 and overall adaptive functioning of children with dis21 abilities. 

22 (b) PURPOSE.—The purpose of this Act is to achieve 

23 mandatory maximum funding for the Individuals with Dis24 abilities Education Act, and to require educational agen25 cies to demonstrate improvement in the outcomes of chil-
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1 dren with disabilities in order to qualify for Federal fund2 ing increases. 

3 SEC. 3. MODIFICATIONS TO FUNDING FOR ASSISTANCE 

4 FOR EDUCATION OF CHILDREN WITH DIS5 ABILITIES. 

6 (a) MODIFICATION TO AGGREGATE FUNDING.—

7 (1) IN GENERAL.—Section 611 of the Individ8 uals with Disabilities Education Act (20 U.S.C. 

9 1411) is amended—

10 (A) in the section heading, by striking 

11 ‘‘AUTHORIZATION OF APPROPRIA12 TIONS.’’ and inserting ‘‘FUNDING.’’; and 

13 (B) by amending subsection (j) to read as 

14 follows: 

15 ‘‘(j) FUNDING.—

16 ‘‘(1) IN GENERAL.—For the purpose of car17 rying out this part, other than section 619, there is 

18 authorized to be appropriated, and there is appro19 priated, for each fiscal year after fiscal year 2003, 

20 the amount determined under paragraph (2) for 

21 such year. 

22 ‘‘(2) DETERMINATION OF AMOUNTS.—For each 

23 fiscal year described in paragraph (1), the amount 

24 described in such paragraph shall be determined—

25 ‘‘(A) by multiplying—
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1 ‘‘(i) the percentage obtained by divid2 ing the aggregate amount provided by the 

3 Secretary to States under this section for 

4 fiscal year 2003 by the product of—

5 ‘‘(I) the average per-pupil ex6 penditure in public elementary and 

7 secondary schools in the United 

8 States in the most recent preceding 

9 fiscal year for which satisfactory data 

10 are available; and 

11 ‘‘(II) the total number of children 

12 with disabilities, in all States, receiv13 ing special education and related serv14 ices under this part (other than under 

15 section 619) in the most recent pre16 ceding fiscal year for which satisfac17 tory data are available; 

18 ‘‘(ii) the average per-pupil expenditure 

19 in public elementary and secondary schools 

20 in the United States in the most recent 

21 preceding fiscal year for which satisfactory 

22 data are available; and 

23 ‘‘(iii) the total number of children 

24 with disabilities, in all States, receiving 

25 special education and related services 
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1 under this part (other than under section 

2 619) in the most recent preceding fiscal 

3 year for which satisfactory data are avail4 able, except that the number under this 

5 clause may not exceed 12 percent of the 

6 total number of all children aged 5 

7 through 17 in all States; and 

8 ‘‘(B) by adding to the amount derived 

9 under subparagraph (A)—

10 ‘‘(i) 1 percent of such amount, which 

11 shall be used to permit the Secretary to 

12 carry out subsection (b); and 

13 ‘‘(ii) 1.24 percent of such amount, 

14 which shall be used to provide assistance to 

15 the Secretary of the Interior in accordance 

16 with subsection (i).’’. 

17 (2) CLERICAL AMENDMENT.—The table of con18 tents of the Individuals with Disabilities Education 

19 Act (20 U.S.C. 1400 et seq.) is amended by amend20 ing the item relating to section 611 to read as fol21 lows:

‘‘Sec. 611. Authorization; allotment; use of funds; funding.’’.

22 (b) OUTCOME-BASED BONUS PAYMENTS TO

23 STATES.—Section 611(e) of the Individuals with Disabil24 ities Education Act (20 U.S.C. 1411(e)) is amended by 

25 adding at the end the following:
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1 ‘‘(5) OUTCOME-BASED BONUS PAYMENTS.—

2 ‘‘(A) IN GENERAL.—

3 ‘‘(i) REQUIREMENT.—In addition to 

4 any amount a State otherwise receives 

5 under the preceding provisions of this sub6 section, each State shall receive a bonus 

7 payment determined in accordance with 

8 this paragraph. 

9 ‘‘(ii) USE OF FUNDS.—A State shall 

10 expend a bonus payment received under 

11 this paragraph for educational purposes, 

12 except that funds received under this para13 graph shall be used to supplement, and not 

14 supplant, non-Federal funds that would 

15 otherwise be used for educational purposes. 

16 Such a payment shall not be subject to the 

17 terms and conditions otherwise applicable 

18 to the use of State allocations made under 

19 this section.

20 ‘‘(iii) SUBGRANTS TO LOCAL EDU21 CATIONAL AGENCIES.—The State shall dis22 tribute some or all of each bonus payment 

23 received under this paragraph to local edu24 cational agencies. The State may allocate 

25 such funds to such agencies based on—
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1 ‘‘(I) their respective populations 

2 of children living in poverty; 

3 ‘‘(II) the severity of their respec4 tive special education populations; 

5 ‘‘(III) their respective adminis6 trative costs; 

7 ‘‘(IV) their prevention and reme8 diation efforts; or 

9 ‘‘(V) any other factors the State 

10 deems relevant to the cost of pro11 viding special education and related 

12 services to children with disabilities. 

13 ‘‘(iv) FUNDING.—For the purpose of 

14 carrying out this paragraph, there is au15 thorized to be appropriated, and there is 

16 appropriated, for each fiscal year after fis17 cal year 2003, an amount equal to the sum 

18 of the amounts required to be paid to each 

19 State under this paragraph for such fiscal 

20 year. 

21 ‘‘(B) OUTCOME INDICATORS.—

22 ‘‘(i) INDICATORS.—Each local edu23 cational agency in a State shall measure 

24 the differences between children with dis25 abilities receiving special education and re-
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1 lated services under this part (other than 

2 under section 619) from the agency, and 

3 other children served by the agency, using 

4 the following outcome indicators: 

5 ‘‘(I) The academic achievement 

6 of students in elementary and sec7 ondary schools, as measured by per8 formance on adequate yearly progress 

9 assessments carried out under section 

10 1111 of the Elementary and Sec11 ondary Act of 1965 (29 U.S.C. 6311). 

12 ‘‘(II) The rate of average daily 

13 attendance for students in elementary 

14 schools and secondary schools. 

15 ‘‘(III) The dropout rate for stu16 dents in secondary schools, as deter17 mined under section 612(a)(16). 

18 ‘‘(IV) The graduation rate of stu19 dents in secondary schools, as deter20 mined under section 612(a)(16). 

21 ‘‘(V) The postsecondary edu22 cation enrollment, and the employ23 ment status, of students who are ceas24 ing to be served by the agency by rea-
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1 son of separation from secondary 

2 school. 

3 ‘‘(ii) OPERATIONAL DEFINITIONS; 

4 TEST ACCOMMODATIONS.—

5 ‘‘(I) OPERATIONAL DEFINI6 TIONS.—Each State, in consultation 

7 with the Secretary, may develop oper8 ational definitions and methods of cal9 culation with respect to each of the 

10 outcome indicators described in clause 

11 (i), as long as the criteria used are re12 liable and valid and remain substan13 tially the same from year to year. 

14 ‘‘(II) TEST ACCOMMODATIONS.—

15 To the extent not prohibited under 

16 other law, for purposes of computing 

17 bonuses under this paragraph, special 

18 accommodations in taking tests of 

19 academic achievement described in 

20 clause (i)(I) may be offered to certain 

21 children with disabilities, as long as 

22 such accommodations yield results 

23 that are reliable and valid. The cri24 teria used for determining appropriate 

25 accommodations under this subclause 
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1 must be reliable and remain substan2 tially the same from year to year. 

3 ‘‘(iii) MEASUREMENT.—A local edu4 cational agency shall make the measure5 ment described in clause (i), for each indi6 cator described in clause (i) and each 

7 school year, by comparing—

8 ‘‘(I) the performance difference 

9 (if any), for the most recent preceding 

10 school year, but only if satisfactory 

11 data are available for such year; with 

12 ‘‘(II) the average of such per13 formance differences (if any) for the 3 

14 school years that precede such most 

15 recent preceding year, but only if sat16 isfactory data are available for all 

17 such years. 

18 ‘‘(iv) PERCENTAGE REDUCTION IN

19 OUTCOME DIFFERENCE.—A local edu20 cational agency shall convert each meas21 urement under clause (iii) into a percent22 age reduction (if there is a reduction), for 

23 the most recent preceding school year, in 

24 the difference between the outcome for—
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1 ‘‘(I) children with disabilities re2 ceiving special education and related 

3 services under this part (other than 

4 under section 619) from the agency; 

5 and 

6 ‘‘(II) other children served by the 

7 agency. 

8 ‘‘(v) MINIMUM PARTICIPATION

9 LEVEL.—In order for any measurement 

10 made under clause (iii) to be used under 

11 this paragraph, it must be based on data 

12 for not less than 90 percent of the children 

13 with disabilities for whom the applicable 

14 local educational agency was providing spe15 cial education and related services under 

16 this part (other than under section 619) 

17 during the period measured. 

18 ‘‘(vi) STATISTICAL DISAGGREGATION

19 OF SPECIAL EDUCATION STUDENTS.—For 

20 the purpose of calculating performance 

21 with respect to outcome indicators under 

22 this paragraph, data on a child with a dis23 ability who receives special education or re24 lated services from a local educational 

25 agency under this part (other than under
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1 section 619) shall be disaggregated from 

2 the general education population of such 

3 agency for the remainder of the child’s ele4 mentary and secondary education within 

5 the jurisdiction of such agency, even if the 

6 child ceases to receive special education or 

7 related services. 

8 ‘‘(C) LOCAL EDUCATIONAL AGENCY CAL9 CULATIONS.—

10 ‘‘(i) IN GENERAL.—For purposes of 

11 calculating the payments to States under 

12 subparagraph (D), each local educational 

13 agency shall receive a credit with respect 

14 to performance on the outcome indicators 

15 described in subparagraph (B)(i). Such 

16 credit shall be calculated in accordance 

17 with this subparagraph.

18 ‘‘(ii) REDUCTION IN OUTCOME DIF19 FERENCE.—

20 ‘‘(I) IN GENERAL.—With respect 

21 to each outcome indicator described in 

22 subparagraph (B)(i) and each fiscal 

23 year, the local educational agency 

24 shall determine, in accordance with 

25 subparagraph (B), the applicable per-
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1 centage reduction, if any, in the dif2 ference between the outcome for chil3 dren with disabilities and children 

4 without disabilities. 

5 ‘‘(II) MAXIMUM.—The maximum 

6 percentage reduction which may be 

7 credited for any local education agen8 cy under this clause with respect to 

9 any individual outcome indicator is 5 

10 percent. 

11 ‘‘(III) HIGH-PERFORMING AGEN12 CIES.—If the local educational agency 

13 determines, in accordance with sub14 paragraph (B), that there is no meas15 urable difference with respect to an 

16 outcome indicator between the out17 come for children with disabilities and 

18 children without disabilities for the 

19 most recent preceding fiscal year, the 

20 local education agency shall be cred21 ited as if its percentage reduction 

22 under subclause (I) were 5 percent. 

23 ‘‘(IV) MINIMALLY-PERFORMING

24 AGENCIES.—If the percentage reduc25 tion that otherwise would be credited 
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1 for a local educational agency under 

2 this clause is greater than zero but 

3 less than 1 percent, the local edu4 cation agency shall be credited as if 

5 its percentage reduction under sub6 clause (I) were 1 percent. 

7 ‘‘(V) SPECIAL RULE FOR LEAS

8 WITH FEW STUDENTS WITH DISABIL9 ITIES.—In the case of a local edu10 cational agency enrolling less than 10 

11 children with disabilities for the fiscal 

12 year concerned, the local educational 

13 agency may elect to make the deter14 minations under subparagraph (B) 

15 and this subparagraph using aggre16 gated data reflecting performance by 

17 all local educational agencies in the 

18 State. 

19 ‘‘(iii) DETERMINATION OF FUNDING

20 PROPORTION.—The local educational agen21 cy shall determine a funding proportion, 

22 based on a percentage reduction calculated 

23 under clause (ii), which shall be used by 

24 the agency. The maximum funding propor25 tion shall be 1 percent, which shall be used 
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1 only in the case of the maximum percent2 age reduction under clause (ii) of 5 per3 cent. All other funding proportions shall be 

4 ratably reduced below 1 percent. In any 

5 case in which a percentage reduction under 

6 clause (ii) is zero or less, the funding pro7 portion determined under this clause shall 

8 be zero. 

9 ‘‘(iv) AVERAGE PER-PUPIL EXPENDI10 TURE.—The local educational agency shall 

11 multiply the funding proportion determined 

12 under clause (iii) by the average per-pupil 

13 expenditure in public elementary and sec14 ondary schools in the United States. 

15 ‘‘(v) POPULATION OF CHILDREN RE16 CEIVING SERVICES.—The local educational 

17 agency shall multiply the product deter18 mined under clause (iv) by the number of 

19 children with disabilities receiving special 

20 education and related services from the 

21 local educational agency for the most re22 cent preceding year for which satisfactory 

23 data are available. 

24 ‘‘(vi) CREDIT.—The local educational 

25 agency shall receive a dollar amount credit 
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1 with respect to performance on each out2 come indicator described in subparagraph 

3 (B)(i). Such credit shall equal the product 

4 determined under clause (v) with respect 

5 to such indicator. 

6 ‘‘(vii) SPECIAL RULES FOR LEAS

7 SERVING ONLY ELEMENTARY SCHOOL STU8 DENTS.—In the case of a local educational 

9 agency that does not provide secondary 

10 education (as determined under State law), 

11 at the option of the State—

12 ‘‘(I) the maximum funding pro13 portion described in clause (iii) shall 

14 be 2.5 percent in lieu of 1 percent, 

15 and the local educational agency may 

16 receive a dollar amount credit under 

17 this subparagraph with respect to per18 formance only on the outcome indica19 tors described in subclauses (I) and 

20 (II) of subparagraph (B)(i); or 

21 ‘‘(III) the maximum funding pro22 portion described in clause (iii) shall 

be 12 23 ⁄3 percent in lieu of 1 percent, 

24 and the local educational agency may 

25 receive a dollar amount credit under 
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1 this subparagraph with respect to per2 formance only on the outcome indica3 tors described in subclauses (I) and 

4 (II) of subparagraph (B)(i) and an 

5 additional outcome indicator that 

6 measures the differences between chil7 dren with disabilities receiving special 

8 education and related services under 

9 this part (other than under section 

10 619) from the agency, and other chil11 dren served by the agency, with re12 spect to grade-to-grade retention 

13 rates. 

14 ‘‘(viii) LEA REPORTS TO STATES.—

15 Each local educational agency annually 

16 shall submit to the State a report, at such 

17 time and in such manner as the State shall 

18 specify, containing the data, measure19 ments, and calculations of the agency pur20 suant to subparagraph (B) and this sub21 paragraph. 

22 ‘‘(D) BONUS PAYMENTS TO STATES.—

23 ‘‘(i) STATE REPORTS TO SEC24 RETARY.—Each State annually shall sub25 mit to the Secretary a report, at such time
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1 and in such manner as the Secretary shall 

2 specify, containing the data, measure3 ments, and calculations of each local edu4 cational agency in the State pursuant to 

5 subparagraphs (B) and (C). 

6 ‘‘(ii) CALCULATION OF PAYMENT

7 AMOUNT.—Subject to clauses (iii) and (iv), 

8 each State shall receive a bonus payment 

9 for a fiscal year equal to—

10 ‘‘(I) the sum of all dollar amount 

11 credits determined under subpara12 graph (C) for such year for all local 

13 educational agencies in the State; plus 

14 ‘‘(II) the bonus payment received 

15 by the State for the preceding fiscal 

16 year.

17 ‘‘(iii) LIMITATION.—In no case may a 

18 State receive a bonus payment under this 

19 paragraph for a fiscal year that would 

20 cause the State to receive an amount 

21 under this section for the year that exceeds 

22 the maximum amount described in sub23 section (a)(2). The Secretary shall reduce 

24 the bonus payment to such a State until 
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1 the State receives an amount under this 

2 section that equals such maximum amount. 

3 ‘‘(iv) REDETERMINATIONS.—In any 

4 case in which a local educational agency 

5 has made an error, has used data improp6 erly, or has used data that are not satis7 factory, Secretary shall redetermine any 

8 determination made by such agency under 

9 this paragraph. 

10 ‘‘(E) REPORTS TO CONGRESS.—The Sec11 retary shall submit to the Congress an annual 

12 report describing—

13 ‘‘(i) the most recent bonus payments 

14 made to States under this paragraph; and 

15 ‘‘(ii) the data, measurements, and cal16 culations that were the basis for such pay17 ments.’’. 

18 SEC. 4. MODIFICATIONS TO FUNDING FOR PRESCHOOL 

19 GRANTS. 

20 Section 619(j) of the Individuals with Disabilities 

21 Education Act (20 U.S.C. 1419(j)) is amended to read 

22 as follows: 

23 ‘‘(j) FUNDING.—

24 ‘‘(1) IN GENERAL.—For the purpose of car25 rying out this section, there is authorized to be ap-
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1 propriated, and there is appropriated, for each fiscal 

2 year after fiscal year 2003, the amount determined 

3 under paragraph (2) for such year. 

4 ‘‘(2) DETERMINATION OF AMOUNTS.—For each 

5 fiscal year described in paragraph (1), the amount 

6 described in such paragraph shall be determined by 

7 increasing the aggregate amount provided by the 

8 Secretary to States under this section for the pre9 ceding fiscal year by the product of—

10 ‘‘(A) such aggregate amount; and 

11 ‘‘(B) the percentage increase in the aggre12 gate amount provided by the Secretary to 

13 States under section 611 for such fiscal year 

14 over the aggregate amount provided by the Sec15 retary to States under such section for the pre16 ceding fiscal year.’’. 

17 SEC. 5. MODIFICATIONS TO FUNDING FOR INFANTS AND 

18 TODDLERS WITH DISABILITIES. 

19 (a) IN GENERAL.—Section 645 of the Individuals 

20 with Disabilities Education Act (20 U.S.C. 1445) is 

21 amended to read as follows: 

22 ‘‘SEC. 645. FUNDING. 

23 ‘‘(a) IN GENERAL.—For the purpose of carrying out 

24 this part, there is authorized to be appropriated, and there 
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1 is appropriated, for each fiscal year after fiscal year 2003, 

2 the amount determined under subsection (b) for such year. 

3 ‘‘(b) DETERMINATION OF AMOUNTS.—For each fis4 cal year described in subsection (a), the amount described 

5 in such subsection shall be determined by increasing the 

6 aggregate amount provided by the Secretary to States 

7 under this part for the preceding fiscal year by the product 

8 of—

9 ‘‘(1) such aggregate amount; and 

10 ‘‘(2) the percentage increase in the aggregate 

11 amount provided by the Secretary to States under 

12 section 611 for such fiscal year over the aggregate 

13 amount provided by the Secretary to States under 

14 such section for the preceding fiscal year.’’. 

15 (b) CLERICAL AMENDMENT.—The table of contents 

16 of the Individuals with Disabilities Education Act (20 

17 U.S.C. 1400 et seq.) is amended by amending the item 

18 relating to section 645 to read as follows:

‘‘Sec. 645. Funding.’’.

19 SEC. 6. MODIFICATIONS TO FUNDING FOR STATE PRO20 GRAM IMPROVEMENT GRANTS FOR CHIL21 DREN WITH DISABILITIES. 

22 (a) IN GENERAL.—Section 656 of the Individuals 

23 with Disabilities Education Act (20 U.S.C. 1456) is 

24 amended to read as follows: 
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1 ‘‘SEC. 656. FUNDING. 

2 ‘‘(a) IN GENERAL.—For the purpose of carrying out 

3 this subpart, there is authorized to be appropriated, and 

4 there is appropriated, for each fiscal year after fiscal year 

5 2003, the amount determined under subsection (b) for 

6 such year. 

7 ‘‘(b) DETERMINATION OF AMOUNTS.—For each fis8 cal year described in subsection (a), the amount described 

9 in such subsection shall be determined by increasing the 

10 aggregate amount provided by the Secretary to State edu11 cational agencies under this subpart for the preceding fis12 cal year by the product of—

13 ‘‘(1) such aggregate amount; and 

14 ‘‘(2) the percentage increase in the aggregate 

15 amount provided by the Secretary to States under 

16 section 611 for such fiscal year over the aggregate 

17 amount provided by the Secretary to States under 

18 such section for the preceding fiscal year.’’. 

19 (b) CLERICAL AMENDMENT.—The table of contents 

20 of the Individuals with Disabilities Education Act (20 

21 U.S.C. 1400 et seq.) is amended by amending the item 

22 relating to section 656 to read as follows:

‘‘Sec. 656. Funding.’’.
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1 SEC. 7. MODIFICATIONS TO FUNDING FOR RESEARCH AND 

2 INNOVATION TO IMPROVE SERVICES AND RE3 SULTS FOR CHILDREN WITH DISABILITIES. 

4 Section 672(g) of the Individuals with Disabilities 

5 Education Act (20 U.S.C. 1472(g)) is amended to read 

6 as follows: 

7 ‘‘(g) FUNDING.—

8 ‘‘(1) IN GENERAL.—For the purpose of car9 rying out this section, there is authorized to be ap10 propriated, and there is appropriated, for each fiscal 

11 year after fiscal year 2003, the amount determined 

12 under paragraph (2) for such year. 

13 ‘‘(2) DETERMINATION OF AMOUNTS.—For each 

14 fiscal year described in paragraph (1), the amount 

15 described in such paragraph shall be determined by 

16 increasing the aggregate amount provided by the 

17 Secretary to eligible entities under this section for 

18 the preceding fiscal year by the product of—

19 ‘‘(A) such aggregate amount; and

20 ‘‘(B) the percentage increase in the aggre21 gate amount provided by the Secretary to 

22 States under section 611 for such fiscal year 

23 over the aggregate amount provided by the Sec24 retary to States under such section for the pre25 ceding fiscal year.’’. 
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1 SEC. 8. MODIFICATIONS TO FUNDING FOR PERSONNEL 

2 PREPARATION TO IMPROVE SERVICES AND 

3 RESULTS FOR CHILDREN WITH DISABILITIES. 

4 Section 673(j) of the Individuals with Disabilities 

5 Education Act (20 U.S.C. 1473(j)) is amended to read 

6 as follows: 

7 ‘‘(j) FUNDING.—

8 ‘‘(1) IN GENERAL.—For the purpose of car9 rying out this section, there is authorized to be ap10 propriated, and there is appropriated, for each fiscal 

11 year after fiscal year 2003, the amount determined 

12 under paragraph (2) for such year. 

13 ‘‘(2) DETERMINATION OF AMOUNTS.—For each 

14 fiscal year described in paragraph (1), the amount 

15 described in such paragraph shall be determined by 

16 increasing the aggregate amount provided by the 

17 Secretary to eligible entities under this section for 

18 the preceding fiscal year by the product of—

19 ‘‘(A) such aggregate amount; and 

20 ‘‘(B) the percentage increase in the aggre21 gate amount provided by the Secretary to 

22 States under section 611 for such fiscal year 

23 over the aggregate amount provided by the Sec24 retary to States under such section for the pre25 ceding fiscal year.’’. 
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1 SEC. 9. MODIFICATIONS TO FUNDING FOR IMPROVING 

2 EARLY INTERVENTION, EDUCATIONAL, AND 

3 TRANSITIONAL SERVICES. 

4 (a) IN GENERAL.—Section 686 of the Individuals 

5 with Disabilities Education Act (20 U.S.C. 1486) is 

6 amended to read as follows: 

7 ‘‘SEC. 686. FUNDING. 

8 ‘‘(a) IN GENERAL.—For the purpose of carrying out 

9 sections 681 through 685, there is authorized to be appro10 priated, and there is appropriated, for each fiscal year 

11 after fiscal year 2003, the amount determined under sub12 section (b) for such year. 

13 ‘‘(b) DETERMINATION OF AMOUNTS.—For each fis14 cal year described in subsection (a), the amount described 

15 in such subsection shall be determined by increasing the 

16 aggregate amount provided by the Secretary under sec17 tions 681 through 685 for the preceding fiscal year by the 

18 product of—

19 ‘‘(1) such aggregate amount; and 

20 ‘‘(2) the percentage increase in the aggregate 

21 amount provided by the Secretary to States under 

22 section 611 for such fiscal year over the aggregate 

23 amount provided by the Secretary to States under 

24 such section for the preceding fiscal year.’’. 

25 (b) CLERICAL AMENDMENT.—The table of contents 

26 of the Individuals with Disabilities Education Act (20 
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1 U.S.C. 1400 et seq.) is amended by amending the item 

2 relating to section 686 to read as follows:

‘‘Sec. 686. Funding.’’.

3 SEC. 10. MODIFICATIONS TO FUNDING FOR TECHNOLOGY 

4 DEVELOPMENT, DEMONSTRATION, AND UTI5 LIZATION; AND MEDIA SERVICES. 

6 Section 687(e) of the Individuals with Disabilities 

7 Education Act (20 U.S.C. 1487(e)) is amended to read 

8 as follows: 

9 ‘‘(e) FUNDING.—

10 ‘‘(1) IN GENERAL.—For the purpose of car11 rying out this section, there is authorized to be ap12 propriated, and there is appropriated, for each fiscal 

13 year after fiscal year 2003, the amount determined 

14 under paragraph (2) for such year. 

15 ‘‘(2) DETERMINATION OF AMOUNTS.—For each 

16 fiscal year described in paragraph (1), the amount 

17 described in such paragraph shall be determined by 

18 increasing the aggregate amount provided by the 

19 Secretary to eligible entities under this section for 

20 the preceding fiscal year by the product of—

21 ‘‘(A) such aggregate amount; and 

22 ‘‘(B) the percentage increase in the aggre23 gate amount provided by the Secretary to 

24 States under section 611 for such fiscal year 

25 over the aggregate amount provided by the Sec-
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1 retary to States under such section for the pre2 ceding fiscal year.’’. 

3 SEC. 11. EFFECTIVE DATE. 

4 The amendments made by this Act shall take effect 

5 on October 1, 2003, or the date of the enactment of this 

6 Act, whichever occurs later.

Æ