`[Federal Register Volume 74, Number 233 (Monday, December 7, 2009)]
[Unknown Section]
[Pages 64194-64197]
From the Federal Register Online via the Government Publishing Office [www.gpo.gov]
[FR Doc No: X09-71207]


[[Page 64194]]




DEPARTMENT OF EDUCATION (ED)



Statement of Regulatory Priorities
I. Introduction
We support States, local communities, institutions of higher education, 
and others in improving education nationwide and in helping to ensure 
that all Americans receive a quality education. We provide leadership 
and financial assistance pertaining to education at all levels to a 
wide range of stakeholders and individuals including State educational 
agencies, early childhood programs, elementary and secondary schools, 
institutions of higher education, vocational schools, nonprofit 
organizations, members of the public, and many others. These efforts 
are helping to ensure that all students will be ready for college and 
careers, and that all students have an open path towards postsecondary 
education. We also vigorously monitor and enforce the implementation of 
Federal civil rights laws in education programs and activities that 
receive Federal financial assistance, and support innovation and 
research, evaluation, and dissemination of findings to improve the 
quality of education.
Overall, the programs we administer will affect nearly every American 
during his or her life. Indeed, in the 2009-2010 school year about 50 
million students will attend an estimated 100,000 elementary and 
secondary schools in approximately 13,900 public school districts, and 
about 19 million students will enroll in degree-granting postsecondary 
schools. All of these students may benefit from some degree of 
financial assistance or support from the Department.
In developing and implementing regulations, guidance, technical 
assistance, and approaches to compliance related to our programs, we 
are committed to working closely with affected persons and groups. 
Specifically, we work with a broad range of interested parties and the 
general public including parents, students, and educators; State, 
local, and tribal governments; and neighborhood groups, schools, 
colleges, rehabilitation service providers, professional associations, 
advocacy organizations, businesses, and labor organizations.
We also continue to seek greater and more useful public participation 
in our rulemaking activities through the use of transparent and 
interactive rulemaking procedures and new technologies. If we determine 
that it is necessary to develop regulations, we seek public 
participation at all key stages in the rulemaking process. We invite 
the public to submit comments on all proposed regulations through the 
Internet or by regular mail.
To facilitate the public's involvement, we participate in the Federal 
Docketing Management System (FDMS), an electronic single Governmentwide 
access point (www.regulations.gov) that enables the public to submit 
comments on different types of Federal regulatory documents and read 
and respond to comments submitted by other members of the public during 
the public comment period. This system provides the public the 
opportunity to submit a comment electronically on any notice of 
proposed rulemaking or interim final regulations open for comment, as 
well as read and print any supporting regulatory documents.
We are continuing to streamline information collections, reduce the 
burden on information providers involved in our programs, and make 
information easily accessible to the public.
II. Regulatory Priorities
 A. American Recovery and Reinvestment Act of 2009
On February 17, 2009, President Obama signed into law the American 
Recovery and Reinvestment Act of 2009 (ARRA), historic legislation 
designed to stimulate the economy, support job creation, and invest in 
critical sectors, including education. The ARRA lays the foundation for 
education reform by supporting investments in innovative strategies 
that are most likely to lead to improved results for students, long-
term gains in school and school system capacity, and increased 
productivity and effectiveness.
The ARRA provides funding for several key formula and discretionary 
grant programs for which the Department will be issuing final 
regulatory requirements in the next several months. These programs are 
as follows:
1. Investing in Innovation Fund. The Investing in Innovation Fund, 
            established under section 14007 of the ARRA, provides $650 
            million to support (a) local educational agencies (LEAs), 
            and (b) nonprofit organizations in partnership with one or 
            more LEAs or a consortium of schools. The purpose of the 
            program is to provide competitive grants to applicants with 
            strong track records in improving student achievement, in 
            order to expand what works and invest in promising 
            practices that significantly improve student achievement in 
            kindergarten through grade 12, as well as help close 
            achievement gaps, decrease drop-out rates, increase high 
            school graduation rates, and improve the effectiveness of 
            teachers and school leaders.
2. School Improvement Grants. In conjunction with Title I funds for 
            school improvement reserved under section 1003(a) of the 
            Elementary and Secondary Education Act of 1965, as amended 
            (ESEA), School Improvement Grants under section 1003(g) of 
            the ESEA are used to improve student achievement in Title I 
            schools identified for improvement, corrective action, or 
            restructuring in order to enable those schools to make 
            adequate yearly progress and exit improvement status. 
            Appropriations for School Improvement Grants have grown 
            from $125 million in fiscal year (FY) 2007 to $546 million 
            in FY 2009. The ARRA provides an additional $3 billion for 
            School Improvement Grants in FY 2009. The Department is 
            finalizing requirements that will govern the total $3.546 
            billion in FY 2009 school improvement funds. This 
            unprecedented investment of Federal money has the potential 
            to support implementation of fundamental changes needed to 
            turn around some of the Nation's lowest-achieving schools.
3. Teacher Incentive Fund. The Teacher Incentive Fund, established in 
            2006, supports performance-based teacher and principal 
            compensation systems in high-need schools, primarily 
            through grants to school districts and consortia of school 
            districts. The combined ARRA and FY 2009 appropriation for 
            this program is approximately $300 million.
 B. Elementary and Secondary Education Act of 1965, as Amended
We look forward to congressional reauthorization of the ESEA that will 
build on many of the reforms States and LEAs will be implementing under 
the ARRA grant programs described above. As necessary, we intend to 
amend current regulations to reflect the reauthorization of this 
statute. In the interim we may propose other amendments to the current 
regulations.
 C. Student Aid and Fiscal Responsibility Act of 2009
We expect Congress to enact, and appropriate funds for, several 
components of the President's education

[[Page 64195]]

agenda. The House passed H.R. 3221, the Student Aid and Fiscal 
Responsibility Act of 2009, in September, and the Senate is expected to 
move similar legislation this year. If the legislation is passed, we 
expect to propose regulations in the coming months to implement it.
New Programs: The new programs included in the House bill that would 
require regulations include the following:
 The College Access and Completion Fund, to build a Federal-
            State-local partnership to improve college success and 
            completion, particularly for students from disadvantaged 
            backgrounds.
 The American Graduation Initiative, to promote innovations and 
            reforms in our nation's community colleges, including 
            modernization of community college facilities and the 
            development of online educational resources.
 The Early Learning Challenge Fund, to provide competitive 
            grants to States for the development of statewide 
            infrastructure of integrated early-learning supports and 
            services for children from birth through age 5.
Student Loans: H.R. 3221 would also enact the President's proposal to 
originate 100 percent of new student loans under the Direct Loan 
program, under which the Federal Government provides capital for 
student loans. The bill would terminate the origination of loans under 
the Federal Family Education Loan program, under which the Federal 
Government currently guarantees loans made by the private sector. This 
bill also includes a proposal to transform the current Perkins Loan 
program from a separate program of revolving funds based at individual 
institutions of higher education into a subset of the Direct Loan 
program.
 D. Higher Education Opportunity Act
The Higher Education Opportunity Act (HEOA), enacted on August 14, 
2008, amended and extended the Higher Education Act of 1965 (HEA). 
During the coming year, we plan to amend our regulations to address 
several key issues, including issues related to program integrity and 
foreign schools. As necessary we may also amend our regulations for 
several discretionary grant programs to reflect changes made by the 
HEOA.
Unless subject to an exemption, regulations to carry out changes to the 
student financial aid programs under Title IV of the HEA must generally 
go through the negotiated rulemaking process.
 E. Individuals with Disabilities Education Act
We plan to issue final regulations implementing changes to the Part C 
program--the early intervention program for infants and toddlers with 
disabilities--under the IDEA.
 F. Family Educational Rights and Privacy Act
Given the President's emphasis on improving the collection and use of 
data as a key element of educational reform, we are reviewing the 
Family Educational Rights and Privacy Act of 1974 (FERPA) and its 
implementing regulations to ensure that States are able to effectively 
establish and expand robust statewide longitudinal data systems while 
protecting student privacy. If necessary, we will amend our current 
FERPA regulations.
 G. Other Potential Regulatory Activities
Congress may take up legislation to reauthorize the Adult Education and 
Family Literacy Act (AEFLA) (Title II of the Workforce Investment Act 
of 1998) and the Rehabilitation Act of 1973. The Administration is 
working with Congress to ensure that any changes to these laws (1) 
improve the State grant and other programs providing assistance for 
adult basic education under the AEFLA and for vocational rehabilitation 
and independent living services for persons with disabilities under the 
Rehabilitation Act of 1973; and (2) provide greater accountability in 
the administration of programs under both statutes. Changes to our 
regulations may be necessary as a result of the reauthorization of 
these two statutes.
III. Principles for Regulating
Over the next year, other regulations may be needed because of new 
legislation or programmatic changes. In developing and promulgating 
regulations we follow our Principles for Regulating, which determine 
when and how we will regulate. Through consistent application of the 
following principles, we have eliminated unnecessary regulations and 
identified situations in which major programs could be implemented 
without regulations or with limited regulatory action.
In deciding when to regulate, we consider:
 Whether regulations are essential to promote quality and 
            equality of opportunity in education.
 Whether a demonstrated problem cannot be resolved without 
            regulation.
 Whether regulations are necessary to provide a legally binding 
            interpretation to resolve ambiguity.
 Whether entities or situations subject to regulation are so 
            diverse that a uniform approach through regulation does 
            more harm than good.
 Whether regulations are needed to protect the Federal 
            interest; that is, to ensure that Federal funds are used 
            for their intended purpose, and to eliminate fraud, waste, 
            and abuse.
In deciding how to regulate, we are mindful of the following 
principles:
 Regulate no more than necessary.
 Minimize burden to the extent possible, and promote multiple 
            approaches to meeting statutory requirements when possible.
 Encourage coordination of federally funded activities with 
            State and local reform activities.
 Ensure that benefits justify costs of regulation.
 To the extent possible, establish performance objectives 
            rather than specify compliance behavior.
 Encourage flexibility, to the extent possible, so 
            institutional forces and incentives achieve desired 
            results.
_______________________________________________________________________



ED--Office of Elementary and Secondary Education (OESE)

                              -----------

                          PROPOSED RULE STAGE

                              -----------




37.  TEACHER INCENTIVE FUND--PRIORITIES, REQUIREMENTS, 
DEFINITIONS, AND SELECTION CRITERIA

Priority:


Economically Significant. Major under 5 USC 801.


Legal Authority:


PL 111-5; ESEA title V, part D, subpart 1 (20 USC 7243); PL 111-8, 
division F, title III


CFR Citation:


None


Legal Deadline:


None


Abstract:


The Secretary proposes priorities, requirements, definitions, and 
selection

[[Page 64196]]

criteria for the Teacher Incentive Fund, which supports performance-
based teacher and principal compensation systems in high-need schools, 
primarily through grants to school districts and consortia of school 
districts.


Statement of Need:


The proposed priorities, requirements, definitions, and selection 
criteria are needed to implement the TIF program and to conduct a 
competition to award funds under this program.


Summary of Legal Basis:


American Recovery and Reinvestment Act of 2009, PL 111-5.


Alternatives:


The Department is still developing this proposed rule; our discussion 
of alternatives will be included in the notice of proposed priorities, 
requirements, definitions, and selection criteria.


Anticipated Cost and Benefits:


Estimates of the costs and benefits are currently under development and 
will be published in the proposed rule.


Risks:


None.


Timetable:
_______________________________________________________________________
Action                            Date                        FR Cite

_______________________________________________________________________
NPRM                            12/00/09

Regulatory Flexibility Analysis Required:


No


Government Levels Affected:


None


Agency Contact:
James Butler
Department of Education
Office of Elementary and Secondary Education
Room 3E108
400 Maryland Avenue SW
Washington, DC 20202
Phone: 202 260-2274
Email: [email protected]
RIN: 1810-AB08
_______________________________________________________________________



ED--OESE

                              -----------

                            FINAL RULE STAGE

                              -----------




38.  SCHOOL IMPROVEMENT GRANTS--NOTICE OF PROPOSED REQUIREMENTS 
UNDER THE AMERICAN RECOVERY AND REINVESTMENT ACT OF 2009; TITLE I OF 
THE ELEMENTARY AND SECONDARY EDUCATION ACT OF 1965

Priority:


Economically Significant. Major under 5 USC 801.


Legal Authority:


20 USC 6303(g)


CFR Citation:


None


Legal Deadline:


None


Abstract:


The Secretary has proposed requirements for School Improvement Grants 
authorized under section 1003(g) of title I of the Elementary and 
Secondary Education Act of 1965, as amended (ESEA), and funded through 
both the Department of Education Appropriations Act, 2009, and the 
American Recovery and Reinvestment Act of 2009. The proposed 
requirements would define the criteria that a State educational agency 
(SEA) must use to implement the statutory priority that the SEA award 
school improvement funds to local educational agencies (LEAs) with the 
lowest-achieving title I schools that demonstrate (a) the greatest need 
for the funds and (b) the strongest commitment to use those funds to 
provide adequate resources to their lowest-achieving title I schools to 
raise substantially the achievement of their students. The proposed 
requirements also would require an SEA to give priority, through a 
waiver under section 9401 of the ESEA, to LEAs that wish to serve the 
lowest-achieving secondary schools that are eligible for, but do not 
receive, title I funds. The proposed requirements would require an SEA 
to award school improvement funds to eligible LEAs in amounts 
sufficient to enable the targeted schools to implement one of four 
specific proposed interventions.


Statement of Need:


The proposed requirements are needed to implement the School 
Improvement Grants program in a manner that the Department believes 
will best enable the program to achieve its objective of supporting 
comprehensive and effective efforts by LEAs to overcome the challenges 
faced by low-achieving schools that educate concentrations of children 
living in poverty.


Summary of Legal Basis:


20 USC 6303(g).


Alternatives:


A likely alternative to promulgation of the proposed requirements would 
be for the Secretary to allocate the FY 2009 school improvement funds 
without setting any regulatory requirements governing their use. Under 
such an alternative, States and LEAs would be required to meet the 
statutory requirements, but funds likely would not be targeted to the 
very lowest-achieving schools and LEAs would likely not use all the 
funds for activities most likely to result in a real turn-around of 
those schools and significant improvement in the educational outcomes 
for the students they educate.


Anticipated Cost and Benefits:


The Department believes that the proposed requirements will not impose 
significant costs on States, LEAs, or other entities that receive 
school improvement funds. These proposed requirements would drive 
school improvement funds to LEAs that have the lowest-achieving schools 
in amounts sufficient to turn those schools around and significantly 
increase student achievement. They would also require participating 
LEAs to adopt the most effective approaches to turning around low-
achieving schools. In short, the Department believes that the proposed 
requirements would ensure that limited school improvement funds are put 
to their optimum use--that is, that they would be targeted to where 
they are most needed and used in the most effective manner possible. 
The benefits, then, would be more effective schools serving children 
from low-income families and a better education for those children.


The Department believes that the State and local costs of implementing 
the proposed requirements (including State costs of applying for 
grants, distributing the grants to LEAs, ensuring compliance with the 
proposed requirements, and reporting to the

[[Page 64197]]

Department; and LEA costs of applying for subgrants and implementing 
the interventions) will be financed through the grant funds. The 
Department does not believe that the proposed requirements would impose 
a financial burden that States and LEAs would have to meet from non-
Federal sources.


Risks:


None.


Timetable:
_______________________________________________________________________
Action                            Date                        FR Cite

_______________________________________________________________________
NPRM                            08/26/09                    74 FR 43101
NPRM Comment Period End         09/25/09
Final Action                    12/00/09

Regulatory Flexibility Analysis Required:


No


Government Levels Affected:


None


Agency Contact:
Zollie Stevenson Jr.
Department of Education
Office of Elementary and Secondary Education
Room 3W230
400 Maryland Avenue SW
Washington, DC 20202-6132
Phone: 202 260-1824
Email: [email protected]
RIN: 1810-AB06
_______________________________________________________________________



ED--Office of Innovation and Improvement (OII)

                              -----------

                          PROPOSED RULE STAGE

                              -----------




39.  INVESTING IN INNOVATION--PRIORITIES, REQUIREMENTS, 
DEFINITIONS, AND SELECTION CRITERIA

Priority:


Economically Significant. Major under 5 USC 801.


Legal Authority:


PL 111-5


CFR Citation:


None


Legal Deadline:


None


Abstract:


The Secretary of Education proposes priorities, requirements, 
definitions, and selection criteria under the Investing in Innovation 
Fund, authorized under the American Recovery and Reinvestment Act of 
2009 (Pub. L. 111-5). These priorities, requirements, definitions, and 
selection criteria are intended to support the efforts of local 
educational agencies and nonprofit organizations that have strong 
records of improving student achievement to develop, implement, 
evaluate, and replicate innovative programs and practices.


Statement of Need:


These proposed priorities, requirements, definitions, and selection 
criteria are needed to implement the Investing in Innovation Fund and 
to conduct a competition to award funds under this program.


Summary of Legal Basis:


American Recovery and Reinvestment Act of 2009, PL 111-5.


Alternatives:


The Department considered a variety of possible priorities, 
requirements, definitions, and selection criteria before deciding to 
propose those included in the notice. The proposed priorities, 
requirements, definitions, and selection criteria are those that the 
Department believes best capture the purposes of the program while 
clarifying what the Secretary expects the program to accomplish and 
ensuring that program activities are aligned with Departmental 
priorities. The proposals would also provide eligible applicants with 
flexibility in selecting activities to apply to carry out under the 
program.


Anticipated Cost and Benefits:


The Department believes that the proposed priorities, requirements, 
definitions, and selection criteria would result in selection of high-
quality applications to implement activities that are most likely to 
have a significant national impact on educational reform and 
improvement. Through these proposals, the Department seeks to provide 
clarity as to the scope of activities we expect to support with program 
funds and the expected burden of work involved in preparing an 
application and implementing a project under the program. The pool of 
possible applicants is very large; during school year 2007-08, 9,729 
LEAs across the country (about 65 percent of all LEAs) made adequate 
yearly progress. Although not every one of those LEAs would necessarily 
meet all the eligibility requirements, the number of LEAs that would 
meet them is likely to be in the thousands.


The Department believes that the costs imposed on applicants by the 
proposed priorities, requirements, definitions, and selection criteria 
would be limited to paperwork burden related to preparing an 
application and that the benefits of implementing these proposals would 
outweigh any costs incurred by applicants. The costs of carrying out 
activities would be paid for with program funds and with matching funds 
provided by private-sector partners. Thus, the costs of implementation 
would not be a burden for any eligible applicants, including small 
entities.


Risks:


None.


Timetable:
_______________________________________________________________________
Action                            Date                        FR Cite

_______________________________________________________________________
NPRM                            12/00/09

Regulatory Flexibility Analysis Required:


No


Government Levels Affected:


None


Agency Contact:
Margo Anderson
Department of Education
Office of Innovation and Improvement
Room 4W311
400 Maryland Avenue SW
Washington, DC 20202
Phone: 202 205-3010
Email: [email protected]
RIN: 1855-AA06
BILLING CODE 4000-01-S`