I

106TH CONGRESS

2D SESSION H. R. 4766

To amend the Elementary and Secondary Education Act of 1965 to authorize

the appropriation of funds to assist States and local educational agencies

with the expenses of Federal education statutory requirements and priorities relating to infrastructure, technology, and equipment.

IN THE HOUSE OF REPRESENTATIVES

JUNE 27, 2000

Mr. GOODLING (for himself, Mr. ISAKSON, Mr. CASTLE, Mr. MCKEON, Mr.

PETRI, Mr. UPTON, and Mr. FLETCHER) introduced the following bill;

which was referred to the Committee on Education and the Workforce

A BILL

To amend the Elementary and Secondary Education Act

of 1965 to authorize the appropriation of funds to assist

States and local educational agencies with the expenses

of Federal education statutory requirements and priorities relating to infrastructure, technology, and equipment.

1 Be it enacted by the Senate and House of Representa2 tives of the United States of America in Congress assembled,
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1 SECTION 1. SCHOOL INFRASTRUCTURE AND EQUIPMENT

2 IMPROVEMENT.

3 Title XII of the Elementary and Secondary Edu4 cation Act of 1965 (20 U.S.C. 8501 et seq.) is amended

5 to read as follows:

6 ‘‘TITLE XII—CLASSROOM

7 MODERNIZATION

8 ‘‘SEC. 12001. SHORT TITLE.

9 ‘‘This title may be cited as the ‘Classroom Moderniza10 tion Act of 2000’.

11 ‘‘SEC. 12002. FINDINGS.

12 ‘‘The Congress finds as follows:

13 ‘‘(1) All children deserve a high-quality edu14 cation in safe, suitable classrooms with the necessary

15 equipment. Research shows that academic perform16 ance suffers if students are in school buildings that

17 are below par. Safety code violations, outdated

18 science and vocational education laboratories and

19 equipment, environmental hazards, structural

20 threats to personal safety, and facilities that are ob21 stacle courses for disabled students all can adversely

22 affect learning.

23 ‘‘(2) The primary responsibility for school con24 struction is and should remain at the State and local

25 level. However, the Federal Government can provide
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1 limited assistance without usurping State and local

2 decision making.

3 ‘‘(3) The limited role of the Federal Govern4 ment should focus on assistance to States and com5 munities in complying with Federal statutory and

6 regulatory requirements that reduce the ability of

7 State and local governments to fund the construc8 tion and renovation of school facilities.

9 ‘‘(4) Charter schools continue to grow in num10 ber. However, while traditional public schools have

11 access to special State and local funding streams for

12 capital improvements and school construction, char13 ter schools are often left to face the difficulty of

14 finding their own facilities and paying for the cost

15 of such facilities out of their regular operating

16 funds. By assisting charter schools in overcoming

17 persistent infrastructure obstacles, the Federal Gov18 ernment can assist the increasing numbers of stu19 dents attending and waiting to attend charter

20 schools in order to improve their academic achieve21 ment.

22 ‘‘(5) Often children living on Indian lands at23 tend schools that are in disrepair, unsafe, unhealthy,

24 overcrowded, or in need of extensive renovation. De25 spite the importance of providing a high-quality edu-
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1 cation to these children, schools on or near Indian

2 lands often face an inability to access funding

3 sources available to schools in other geographic

4 areas. These schools rely heavily on Federal funds

5 made available under title VIII of the Elementary

6 and Secondary Education Act of 1965 to make up

7 for the lack of other revenues, but often these funds,

8 especially those earmarked for construction pur9 poses, do not come close to meeting the needs of the

10 schools. Federal construction and renovation assist11 ance to schools located on or near Indian lands will

12 help fulfill the Federal responsibility to assist with

13 the provision of educational services to children

14 whose education is affected by the Federal trust ob15 ligation to Indians and Indian tribes.

16 ‘‘SEC. 12003. PURPOSE.

17 ‘‘The purpose of this title is to assist public elemen18 tary and secondary schools, including charter schools and

19 schools on or near Indian lands, with the expenses of Fed20 eral education statutory requirements and priorities relat21 ing to infrastructure, technology, and equipment needs.

22 ‘‘SEC. 12004. RESERVATION; FORMULA GRANTS TO STATES;

23 STATE ALLOTMENTS.

24 ‘‘(a) RESERVATION.—From the amount made avail25 able under section 12015 to carry out this title for each
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1 fiscal year, the Secretary shall reserve 3.5 percent of such

2 amount to carry out section 12009.

3 ‘‘(b) FORMULA GRANTS TO STATES.—In the case of

4 each State that in accordance with section 12006 submits

5 to the Secretary an application for a fiscal year, the Sec6 retary shall make a grant for the year to the State. The

7 grant shall consist of the allotment determined for the

8 State under subsection (c).

9 ‘‘(c) DETERMINATION OF AMOUNT OF STATE ALLOT10 MENTS.—

11 ‘‘(1) IN GENERAL.—Subject to paragraph (2),

12 the Secretary shall, for each fiscal year, allocate

13 among the States the amount made available under

14 section 12015 to carry out this title and not reserved

15 under subsection (a) as follows:

16 ‘‘(A) 50 percent of such amount shall be

17 allotted among States in proportion to the num18 ber of children 5 to 17 years of age, inclusive,

19 who reside within the State from families with

20 incomes below the poverty line (as defined by

21 the Office of Management and Budget and re22 vised annually in accordance with section

23 673(2) of the Community Services Block Grant

24 Act (42 U.S.C. 9902(2)) applicable to a family

25 of the size involved for the most recent fiscal
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1 year for which satisfactory data are available,

2 compared to the number of such individuals

3 who reside in all such States for that fiscal

4 year.

5 ‘‘(B) 50 percent of such amount shall be

6 allotted among States in proportion to the

7 amount such State received under part A of

8 title I for the preceding fiscal year.

9 ‘‘(2) MINIMUM.—For any fiscal year, no State

10 shall be allotted under this subsection an amount

11 that is less than one-quarter of 1 percent of the total

12 amount allotted to all the States under this sub13 section.

14 ‘‘(3) REALLOTMENT OF UNUSED FUNDS.—If

15 any State does not apply for an allotment under this

16 subsection for any fiscal year, the Secretary shall

17 reallot the amount of the State’s allotment to the re18 maining States in accordance with this subsection.

19 ‘‘SEC. 12005. WITHIN-STATE DISTRIBUTION.

20 ‘‘(a) IN GENERAL.—

21 ‘‘(1) DISTRIBUTION.—Except as provided in

22 paragraph (2), of the funds that a State receives

23 under section 12004 for a fiscal year, the State shall

24 distribute 100 percent of such funds to local edu25 cational agencies in the State that, in accordance
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1 with section 12006, submit to the State an applica2 tion for the fiscal year. Such distributions may also

3 be made to consortia of local educational agencies.

4 ‘‘(2) SPECIAL RULE.—A State that establishes

5 a State loan guarantee program under section

6 12010 that includes a loan guarantee for at least

7 one charter school may retain not more than 2 per8 cent of the total funds received under section 12004

9 for use in administering the loan guarantee pro10 gram.

11 ‘‘(b) FORM OF DISTRIBUTION.—

12 ‘‘(1) IN GENERAL.—Distributions under sub13 section (a) may be in any form that is consistent

14 with State law on school infrastructure financing,

15 such as—

16 ‘‘(A) grants;

17 ‘‘(B) loans; and

18 ‘‘(C) aid to issue bonds or other obliga19 tions.

20 ‘‘(2) STATE LOAN GUARANTEES.—For purposes

21 of subsection (a), amounts used to establish a re22 serve fund for a State loan guarantee program

23 under section 12010 shall be considered amounts

24 distributed in accordance with subsection (a).
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1 ‘‘(3) REFUNDING OR REFINANCING OUT2 STANDING OBLIGATIONS.—Distributions under sub3 section (a) may also take the form of aid to refund

4 or refinance outstanding obligations, if such aid is

5 consistent with State law on school infrastructure fi6 nancing, is in the public interest, and alleviates the

7 financial hardship on the recipient.

8 ‘‘(c) USE OF OBJECTIVE DATA.—In determining the

9 distribution of such funds, the State may consider the fol10 lowing:

11 ‘‘(1) The percentage of children 5 to 17 years

12 of age, inclusive, in a local educational agency who

13 are counted for grants under section 1124(c).

14 ‘‘(2) The fiscal capacity of an applicant to carry

15 out the activities specified in its application without

16 Federal financial assistance, including the ability to

17 raise funds through the use of a local educational

18 agency’s bonding capacity and otherwise.

19 ‘‘(3) The demonstrated need for such activities,

20 based on the condition of the school facility or facili21 ties described in the application.

22 ‘‘(4) The fiscal capacity of the applicant to

23 maintain in good condition any facility whose ren24 ovation is funded under this title and any equipment
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1 purchased or repaired with funds provided under

2 this title.

3 ‘‘(5) In the case of an applicant who proposes

4 to fund a project for a charter school or schools, the

5 degree of access of such school or schools to funding

6 for the infrastructure project through the financing

7 methods available to other public schools or local

8 educational agencies in the State.

9 ‘‘(6) The extent to which activities specified in

10 the application represent innovative or cost-effective

11 approaches to meeting public school infrastructure

12 needs, such as—

13 ‘‘(A) the employment of innovative edu14 cational approaches;

15 ‘‘(B) the use of partnerships with employ16 ers or other organizations;

17 ‘‘(C) the collocation of schools with other

18 community services; and

19 ‘‘(D) the construction or renovation of

20 school facilities as part of a broader effort to

21 revitalize disadvantaged neighborhoods and

22 communities.

23 ‘‘(d) FEDERAL SHARE.—

24 ‘‘(1) FEDERAL SHARE FOR MEETING FEDERAL

25 REQUIREMENTS; CHARTER SCHOOLS.—The Federal
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1 share of the total cost of any of the following

2 projects may be 100 percent:

3 ‘‘(A) A project described in paragraph (1),

4 (2), (3), or (8) of section 12007 (and section

5 12007(9), to the extent that it relates to ancil6 lary renovation necessary to complete such a

7 project).

8 ‘‘(B) A project described in subparagraph

9 (A), (B), (C), or (H) of section 12009(c)(1)

10 (and section 12009(c)(1)(I), to the extent that

11 it relates to ancillary renovation necessary to

12 complete such a project).

13 ‘‘(2) FEDERAL SHARE FOR OTHER SITUA14 TIONS.—The Federal share of the total cost of any

15 of the following projects may not exceed 50 percent:

16 ‘‘(A) A project described in paragraph (4),

17 (5), (6), or (7) of section 12007 (and section

18 12007(9), to the extent that it relates to ancil19 lary renovation necessary to complete such a

20 project).

21 ‘‘(B) A project described in subparagraph

22 (D), (E), (F), or (G) of section 12009(c)(1)

23 (and section 12009(c)(1)(I), to the extent that

24 it relates to ancillary renovation necessary to

25 complete such a project).
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1 ‘‘(3) NON-FEDERAL SHARE.—The non-Federal

2 share of the cost of a project described in paragraph

3 (2) may be provided in cash or in kind, fairly evalu4 ated and may be obtained from any source, includ5 ing funds from State or local governments, nonprofit

6 organizations, private sector businesses, and private

7 individuals.

8 ‘‘(4) APPLICATION OF FEDERAL SHARE LIMITA9 TIONS TO LOANS.—

10 ‘‘(A) CONSTRUCTION.—Nothing in this

11 subsection shall be construed as permitting any

12 person or agency to fail to pay principal or in13 terest on any loan made pursuant to this title.

14 ‘‘(B) STATE LOAN GUARANTEE PRO15 GRAM.—The limitation in paragraph (2) shall

16 not be construed as applying to the use of

17 amounts in a reserve fund established under

18 section 12010(b) to make payments to financial

19 institutions in accordance with section

20 12010(d).

21 ‘‘SEC. 12006. APPLICATIONS.

22 ‘‘(a) STATE APPLICATION.—

23 ‘‘(1) IN GENERAL.—In order to receive a grant

24 under this title for a fiscal year, a State shall submit

25 to the Secretary an application for such year. Such
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1 application shall specify and describe the method by

2 which the State will distribute funds to local edu3 cational agencies in accordance with section 12005,

4 including a description of the loan guarantee criteria

5 established by the State for any State loan guar6 antee program operating with funds received under

7 this title.

8 ‘‘(2) ASSURANCES.—Such State applications

9 shall contain assurances that—

10 ‘‘(A) funds will be provided to a local edu11 cational agency only if the State finds that

12 projects undertaken with funds received under

13 this title will be undertaken in an economical

14 manner; and

15 ‘‘(B) the State will comply with the re16 quirements in section 12005(d).

17 ‘‘(3) GENERAL APPROVAL.—A State application

18 submitted to the Secretary under this title shall be

19 deemed to be approved by the Secretary unless the

20 Secretary makes a written determination, prior to

21 the expiration of the 90-day period beginning on the

22 date that the Secretary receives the application, that

23 the application is in violation of this title.

24 ‘‘(4) DISAPPROVAL.—The Secretary shall not

25 finally disapprove a State application, except after
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1 giving the State notice and opportunity for a hear2 ing.

3 ‘‘(b) LOCAL APPLICATIONS.—

4 ‘‘(1) IN GENERAL.—Each local educational

5 agency desiring to receive assistance under this title

6 for a fiscal year shall submit an application to the

7 State for such year.

8 ‘‘(2) CONTENTS.—Each application described in

9 paragraph (1) shall contain—

10 ‘‘(A) an assurance that the application was

11 developed in consultation with parents, stu12 dents, classroom teachers, principals, school ad13 ministrators, and other interested community

14 members;

15 ‘‘(B) an assurance that the project will at16 tract the maximum number of qualified bidders,

17 including small, minority, and women-owned

18 businesses, through full and open competition;

19 ‘‘(C) a description of the renovation, tech20 nology, or equipment acquisition project, to be

21 supported with funds provided under this title

22 and how it will significantly impact the condi23 tion of a school facility or facilities;

24 ‘‘(D) a cost estimate for the proposed

25 project;
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1 ‘‘(E) an identification of other resources,

2 such as unused bonding capacity, that are avail3 able to carry out the project for which funds

4 are requested under this title;

5 ‘‘(F) an assurance that the local edu6 cational agency shall comply with the require7 ments in section 12005(d) and the limitations

8 in section 12008; and

9 ‘‘(G) such other information and assur10 ances as the State may reasonably require.

11 ‘‘SEC. 12007. AUTHORIZED ACTIVITIES.

12 ‘‘(a) IN GENERAL.—Each local educational agency

13 receiving funds under this title shall use the funds for one

14 or more of the following:

15 ‘‘(1) Renovation, construction, acquisition, and

16 start-up needs related to the building infrastructure

17 of a charter school.

18 ‘‘(2) School facilities modifications necessary to

19 comply with the Americans with Disabilities Act of

20 1990.

21 ‘‘(3) To purchase, lease, or otherwise provide

22 for the acquisition, of assistive technology devices for

23 children with disabilities.
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1 ‘‘(4) School facility wiring and associated infra2 structure improvements that enhance students’ aca3 demic experiences and—

4 ‘‘(A) are necessary for use of the Internet

5 or related emerging technologies; or

6 ‘‘(B) that better equip schools for modern

7 educational technologies.

8 ‘‘(5) Science laboratories and equipment, and

9 vocational education laboratories and equipment,

10 that are of significant cost or are related to emerg11 ing technologies.

12 ‘‘(6) School facility renovations undertaken for

13 compliance with fire and safety codes.

14 ‘‘(7) School facilities renovations to prevent

15 traumatic crisis events on school property that would

16 disrupt the learning environment, such as school

17 shootings or other major acts of violence, if the ren18 ovations are undertaken in direct response to, or in

19 anticipation of, such events.

20 ‘‘(8) Asbestos abatement or removal from

21 school facilities.

22 ‘‘(9) Any ancillary renovation necessary to com23 plete any of the projects described in paragraphs (1)

24 through (8).
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1 ‘‘(b) CLARIFICATION WITH RESPECT TO CHARTER

2 SCHOOLS.—In a case in which a local educational agency

3 is not a charter school, the agency may use funds received

4 under this title to carry out one or more of the authorized

5 projects described in subsection (a) for the benefit of a

6 charter school.

7 ‘‘SEC. 12008. LIMITATIONS.

8 ‘‘No funds received under this title may be used for—

9 ‘‘(1) payment of maintenance costs in connec10 tion with any projects constructed in whole or in

11 part with Federal funds provided under this title;

12 ‘‘(2) the construction of new school facilities,

13 except facilities for charter schools and facilities for

14 an impacted local educational agency under section

15 12009; or

16 ‘‘(3) stadiums or other facilities primarily used

17 for athletic contests or exhibitions or other events

18 for which admission is charged to the general public.

19 ‘‘SEC. 12009. GRANTS TO ACCOUNT FOR CHILDREN RESID20 ING ON INDIAN LANDS.

21 ‘‘(a) GRANTS FOR LOCAL EDUCATIONAL AGENCIES

22 IMPACTED BY CHILDREN WHO RESIDE ON INDIAN

23 LANDS.—Of the funds reserved under section 12004(a),

24 the Secretary shall distribute 100 percent of such funds

25 as grants to impacted local educational agencies.
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1 ‘‘(b) DETERMINATION OF GRANT AMOUNT.—

2 ‘‘(1) DETERMINATION OF WEIGHTED STUDENT

3 UNITS.—For purposes of computing the grant

4 amounts under this section for any fiscal year, the

5 Secretary shall determine the results obtained by the

6 computation made under section 8003(a)(2)(B) for

7 such year—

8 ‘‘(A) for each impacted local educational

9 agency whose application under subsection (d)

10 is approved by the Secretary; and

11 ‘‘(B) for all such agencies together.

12 ‘‘(2) COMPUTATION OF PAYMENT.—For any fis13 cal year, the Secretary shall calculate the amount of

14 a grant to an impacted local educational agency

15 whose application under subsection (d) is approved

16 for the year by—

17 ‘‘(A) dividing the amount reserved under

18 section 12004(a) for such fiscal year by the re19 sults of the computation described in paragraph

20 (1)(B); and

21 ‘‘(B) multiplying the number derived under

22 subparagraph (A) by the results of the com23 putation described in paragraph (1)(A) for such

24 agency.

25 ‘‘(c) USE OF FUNDS.—
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1 ‘‘(1) IN GENERAL.—An impacted local edu2 cational agency that receives funds under this sec3 tion shall use such funds for one or more of the fol4 lowing:

5 ‘‘(A) Renovation and construction needs

6 related to building infrastructure.

7 ‘‘(B) Facilities modifications necessary to

8 comply with the Americans with Disabilities Act

9 of 1990.

10 ‘‘(C) Purchase of assistive technology de11 vices for students with disabilities.

12 ‘‘(D) School facility wiring and associated

13 infrastructure improvements that enhance stu14 dents’ academic experiences and—

15 ‘‘(i) are necessary for use of the Inter16 net or related emerging technologies; or

17 ‘‘(ii) that better equip schools for

18 modern educational technologies.

19 ‘‘(E) Science laboratories and equipment,

20 and vocational education laboratories and

21 equipment, that are of significant cost or are

22 related to emerging technologies.

23 ‘‘(F) School facility renovations under24 taken for compliance with fire and safety codes.
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1 ‘‘(G) School facilities renovations to pre2 vent traumatic crisis events on school property

3 that would disrupt the learning environment,

4 such as school shootings or other major acts of

5 violence, if the renovations are undertaken in

6 direct response to, or in anticipation of, such

7 events.

8 ‘‘(H) Asbestos abatement or removal.

9 ‘‘(I) Any ancillary renovation necessary to

10 complete any of the projects described in sub11 paragraphs (A) through (H).

12 ‘‘(2) CLARIFICATION WITH RESPECT TO CHAR13 TER SCHOOLS.—In a case in which an impacted

14 local educational agency is not a charter school, the

15 agency may use funds received under this title to

16 carry out one or more of the authorized projects de17 scribed in paragraph (1) for the benefit of a charter

18 school.

19 ‘‘(d) LOCAL EDUCATIONAL AGENCY APPLICATION.—

20 ‘‘(1) IN GENERAL.—Each impacted local edu21 cational agency desiring to receive Federal financial

22 assistance under this section for a fiscal year shall

23 submit an application to the Secretary for such year.

24 ‘‘(2) CONTENTS.—Each application described in

25 paragraph (1) shall contain—
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1 ‘‘(A) an assurance that the application was

2 developed in consultation with parents, stu3 dents, classroom teachers, principals, school ad4 ministrators, and other interested community

5 members;

6 ‘‘(B) an assurance that the project will at7 tract the maximum number of qualified bidders,

8 including small, minority, and women-owned

9 businesses, through full and open competition.

10 ‘‘(C) a description of the renovation, tech11 nology, or equipment acquisition project to be

12 supported with funds provided under this sec13 tion and how it will significantly impact the

14 condition of a school facility;

15 ‘‘(D) a cost estimate for the proposed

16 project;

17 ‘‘(E) an identification of other resources,

18 such as unused bonding capacity, that are avail19 able to carry out the project for which funds

20 are requested under this section;

21 ‘‘(F) an assurance that the impacted local

22 educational agency shall comply with the re23 quirements in section 12005(d) and the limita24 tions in section 12008; and
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1 ‘‘(G) such other information and assur2 ances as the Secretary may reasonably require.

3 ‘‘(e) DEFINITION.—For purposes of this section, the

4 term ‘impacted local educational agency’ means, for any

5 fiscal year—

6 ‘‘(1) a local educational agency that receives a

7 basic support payment under section 8003(b) for the

8 fiscal year; and

9 ‘‘(2) with respect to which the number of chil10 dren determined under section 8003(a)(1)(C) for the

11 agency for the preceding school year constituted at

12 least 50 percent of the total student enrollment in

13 the schools of the agency during such preceding

14 year.

15 ‘‘SEC. 12010. LOAN GUARANTEE PROGRAM.

16 ‘‘(a) IN GENERAL.—From the amount a State is allo17 cated under section 12004 for any fiscal year, the State

18 may use, consistent with subsections (a)(2) and (b)(2) of

19 section 12005, some or all of such amount for carrying

20 out a State loan guarantee program that may include the

21 provision of loan guarantees for charter schools.

22 ‘‘(b) ESTABLISHMENT OF RESERVE FUND FOR LOAN

23 GUARANTEES.—A State desiring to establish a loan guar24 antee program under this section shall establish a reserve

25 fund from amounts received from such State’s allotment
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1 under section 12004 for the purpose of making commit2 ments to guarantee the payment of principal and interest

3 on loans made by financial institutions to local educational

4 agencies.

5 ‘‘(c) MINIMUM CRITERIA FOR LOAN GUARANTEES.—

6 Such a State, in conjunction with appropriate financial in7 stitutions, shall establish and publish criteria for providing

8 State loan guarantees to local educational agencies. Such

9 criteria shall include, at a minimum, the requirement that

10 a State loan guarantee may be issued under the program

11 only if, at the time of such issuance, the beneficiary to

12 whom the guarantee is provided agrees to pay an insur13 ance premium on the loan to the State’s reserve fund es14 tablished under subsection (b).

15 ‘‘(d) PAYMENT BY STATE TO FINANCIAL INSTITU16 TIONS IN CASES OF DEFAULT.—In accordance with cri17 teria developed by the State, the State shall make pay18 ments from the reserve fund established under subsection

19 (b) to financial institutions that have provided loans to

20 local educational agencies that have defaulted on such

21 loans for the purpose of reimbursing such institutions, in

22 accordance with State-developed criteria, for the amount

23 of principal and interest remaining unpaid to the institu24 tions by reason of such default.
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1 ‘‘SEC. 12011. NO FULL FAITH AND CREDIT FOR LOANS.

2 ‘‘A loan provided by a State or a financial institution

3 under this title shall not be an obligation of, or guaranteed

4 in any respect by, the United States. The full faith and

5 credit of the United States is not pledged to the payment

6 of funds which may be required to be paid under any loan

7 made pursuant to any provision of this title.

8 ‘‘SEC. 12012. SUPPLEMENT NOT SUPPLANT.

9 ‘‘A local educational agency shall use funds received

10 under this title only to supplement the amount of funds

11 that would, in the absence of such Federal funds, be made

12 available from non-Federal sources for the projects de13 scribed in sections 12007 and 12009, and not to supplant

14 such funds.

15 ‘‘SEC. 12013. REPORT ON OPERATIONS AND ACTIVITIES.

16 ‘‘A State shall, as soon as practicable after the end

17 of each fiscal year, transmit to the Committee on Edu18 cation and the Workforce of the House of Representatives

19 and the Committee on Health, Education, Labor, and

20 Pensions of the United States Senate a report of the

21 State’s operations and activities funded under this title.

22 ‘‘SEC. 12014. DEFINITIONS.

23 ‘‘For the purpose of this title:

24 ‘‘(1) ASSISTIVE TECHNOLOGY DEVICE.—The

25 term ‘assistive technology device’ has the meaning
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1 given such term in section 602(1) of the Individuals

2 with Disabilities Education Act (20 U.S.C. 1401(1)).

3 ‘‘(2) AUTHORIZED PUBLIC CHARTERING AGEN4 CY.—The term ‘authorized public chartering agency’

5 means a State educational agency, local educational

6 agency, or other public entity that has the authority

7 pursuant to State law and is approved by the Sec8 retary to authorize or approve a charter school.

9 ‘‘(3) CHARTER SCHOOL.—The term ‘charter

10 school’ means a public school that—

11 ‘‘(A) in accordance with a specific State

12 statute authorizing the granting of charters to

13 schools, is exempted from significant State or

14 local rules that inhibit the flexible operation

15 and management of public schools, but not

16 from any rules relating to the other require17 ments of this paragraph;

18 ‘‘(B) is created by a developer as a public

19 school, or is adapted by a developer from an ex20 isting public school, and is operated under pub21 lic supervision and direction;

22 ‘‘(C) operates in pursuit of a specific set of

23 educational objectives determined by the

24 school’s developer and agreed to by the author25 ized public chartering agency;
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1 ‘‘(D) provides a program of elementary or

2 secondary education, or both;

3 ‘‘(E) is nonsectarian in its programs, ad4 missions policies, employment practices, and all

5 other operations, and is not affiliated with a

6 sectarian school or religious institution;

7 ‘‘(F) does not charge tuition;

8 ‘‘(G) complies with the Age Discrimination

9 Act of 1975, title VI of the Civil Rights Act of

10 1964, title IX of the Education Amendments of

11 1972, section 504 of the Rehabilitation Act of

12 1973, and part B of the Individuals with Dis13 abilities Education Act;

14 ‘‘(H) is a school to which parents choose to

15 send their children, and that admits students

16 on the basis of a lottery, or in another non17 discriminatory manner consistent with State

18 law, if more students apply for admission than

19 can be accommodated;

20 ‘‘(I) agrees to comply with the same Fed21 eral and State audit requirements as do other

22 elementary and secondary schools in the State,

23 unless such requirements are specifically waived

24 for the purpose of this program;
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1 ‘‘(J) meets all applicable Federal, State,

2 and local health and safety requirements;

3 ‘‘(K) operates in accordance with State

4 law; and

5 ‘‘(L) has a written performance contract

6 with the authorized public chartering agency in

7 the State that includes a description of how

8 student performance will be measured in char9 ter schools pursuant to State assessments that

10 are required of other schools and pursuant to

11 any other assessments mutually agreeable to

12 the authorized public chartering agency and the

13 charter school.

14 ‘‘(4) DEVELOPER.—The term ‘developer’ means

15 an individual or group of individuals (including a

16 public or private nonprofit organization), which may

17 include teachers, administrators and other school

18 staff, parents, or other members of the local commu19 nity in which a charter school project will be carried

20 out.

21 ‘‘(5) LOCAL EDUCATIONAL AGENCY.—The term

22 ‘local educational agency’ includes—

23 ‘‘(A) a local educational agency (as defined

24 in section 14101(18)); and
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1 ‘‘(B) a charter school constituted as a local

2 educational agency under State law.

3 ‘‘(6) RENOVATION.—The term ‘renovation’

4 means the alteration or restoration of a building,

5 structure, or facility, including—

6 ‘‘(A) the return of the existing facility to

7 good condition through repair; and

8 ‘‘(B) the concurrent installation of equip9 ment.

10 ‘‘SEC. 12015. AUTHORIZATION OF APPROPRIATIONS.

11 ‘‘There are authorized to be appropriated to carry out

12 this title $1,500,000,000 for fiscal year 2001 and each

13 of the 4 succeeding fiscal years.’’.

14 SEC. 2. REPORT OF FEDERAL CONDITIONS OF AID ON

15 SCHOOL CONSTRUCTION PROJECTS.

16 Not later than one year after the date of the enact17 ment of this Act, the Comptroller General of the United

18 States shall transmit to the Congress a report containing

19 a description of the impact of Federal conditions of aid

20 on school construction projects. The report shall contain

21 an analysis of how such Federal conditions of aid, includ22 ing regulatory restrictions, might inflate the cost of con23 struction, with the goal of identifying and achieving poten24 tial savings or improved efficiencies to maximize the im25 pact of Federal funding of school construction. Informa-
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1 tion for the report shall be gathered from 15 States se2 lected to represent a variety of regional, population, and

3 demographic profiles.

4 SEC. 3. EFFECTIVE DATE.

5 This Act and the amendments made by this Act shall

6 take effect on October 1, 2000, or the date of the enact7 ment of this Act, whichever occurs later.

Æ