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[Congressional Bills 106th Congress]
[From the U.S. Government Publishing Office]
[S. 2452 Introduced in Senate (IS)]

106th CONGRESS
  2d Session
                                S. 2452

  To reduce the reading deficit in the United States by applying the 
findings of scientific research in reading instruction to all students 
    who are learning to read the English language and to amend the 
  Elementary and Secondary Education Act of 1965 to improve literacy 
  through family literacy projects and to reauthorize the inexpensive 
                       book distribution program.

_______________________________________________________________________

                   IN THE SENATE OF THE UNITED STATES

                             April 13, 2000

 Mr. Coverdell introduced the following bill; which was read twice and 
  referred to the Committee on Health, Education, Labor, and Pensions

_______________________________________________________________________

                                 A BILL

 
  To reduce the reading deficit in the United States by applying the 
findings of scientific research in reading instruction to all students 
    who are learning to read the English language and to amend the 
  Elementary and Secondary Education Act of 1965 to improve literacy 
  through family literacy projects and to reauthorize the inexpensive 
                       book distribution program.

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

SECTION 1. SHORT TITLE.

    This Act may be cited as the ``Reading Deficit Elimination Act''.

                 TITLE I--REDUCING THE READING DEFICIT

SEC. 101. FINDINGS.

    The Congress makes the following findings:
            (1) Millions of dollars have been spent by the Federal 
        Government to determine how the skill of reading is acquired. 
        The principles for teaching such skill are now available and it 
        is time to apply them in the Nation's classrooms.
            (2) America has a reading deficit. According to the 
        National Adult Literacy Survey (NALS), conducted by the 
        National Center for Education Statistics every 10 years, 
        41,000,000 adults were unable to perform even the simplest 
        literacy tasks.
            (3) The 1998 National Assessment of Educational Progress 
        (NAEP) found that 69 percent of 4th grade students are reading 
        below the proficient level.
            (4) The 1998 NAEP found that minority students on average 
        continue to lag far behind their nonminority counterparts in 
        reading proficiency, even though many of the minority students 
        are in programs authorized under title I of the Elementary and 
        Secondary Education Act of 1965 (20 U.S.C. 6301 et seq.).
            (5) Reading scores continue to decline or remain stagnant, 
        even though Congress has spent more than $120,000,000 over the 
        past 30 years for such programs, a substantial portion of which 
        has been dedicated to improving the reading skills of 
        disadvantaged students.
            (6) The cost of providing special education at the Federal, 
        State, and local levels exceeds $60,000,000,000 each year.
            (7) More than half of the students being placed in the 
        special learning disabilities category of special education 
        programs have not learned to read.
            (8) The ability to read the English language with fluency 
        and comprehension is essential if individuals are to reach 
        their full potential.
            (9) Since 1965 the National Institute of Child Health and 
        Human Development (NICHD) has supported extensive systematic 
        research on reading development, reading disorders, and reading 
        difficulties at a cost of more than $200,000,000.
            (10) Relying extensively on the NICHD supported research, 
        the National Research Council (NRC), created by the National 
        Science Foundation (NSF), issued a report in 1998 entitled 
        ``Preventing Reading Difficulties in Young Children''. The 
        report shows that optimal reading development requires that 
        students acquire skills in phonemic awareness, systematic 
        phonics, reading fluency, and comprehension strategies, and 
        that the students be provided with interesting reading material 
        written at the students' instructional level.
            (11) The National Reading Panel (NRP), requested by 
        Congress and created by the NICHD, issued a report in the 
        spring of 2000 that surveyed 100,000 reports on reading 
        instruction and analyzed 10,000 reports that were based on 
        methodologically sound reading research.
            (12) The NRP found that systematic phonics instruction is 
        one of the necessary components of a total reading program. 
        According to the NRP report, the sequence of reading 
        instruction that obtains maximum benefits for students should 
        include instruction in phonemic awareness, systematic phonics, 
        reading fluency, spelling, writing, and reading comprehension 
        strategies.
            (13) The ability to read is the cornerstone of academic 
        success. Without that skill we limit the future success of the 
        next generation.

SEC. 102. PURPOSES.

    The purposes of this title are as follows:
            (1) To reduce the number of individuals and students who 
        cannot read at all, or who have not mastered the decoding 
        skills necessary to read fluently and with comprehension, by 
        encouraging and providing for the teaching of the decoding 
        skills to children beginning in kindergarten in all schools in 
        the United States.
            (2) To apply the principles of reading instruction that 
        have been identified from the findings of more than 30 years of 
        Federal research on reading instruction for all students 
        learning to read the English language.
            (3) To provide scientifically sound instruction in reading 
        to preschool and elementary school students because the ability 
        to read is fundamental to success, not only in learning subject 
        matter, but in all other endeavors in life.

SEC. 103. ALLOTMENTS TO STATES.

    (a) Reading Enhancement and Achievement Disbursement (READ) Fund.--
            (1) Reduction.--Notwithstanding any other provision of law, 
        the total amount of Federal discretionary spending appropriated 
        for a fiscal year shall be reduced by an amount that bears the 
        same relation to 0.5 percent of the total amount of 
Federal discretionary spending for the preceding fiscal year as the 
total number of children enrolled in kindergarten through fourth grade 
in public elementary schools in States submitting requests under 
subsection (b) bears to the total number of such children in all 
States. The funds reduced under this paragraph and made available under 
paragraph (2) shall be known as ``READ funds''.
            (2) Reallotment.--The amount of funds reduced under the 
        preceding sentence shall be reallotted to States in accordance 
        with the allotments determined under subsection (b) and used in 
        accordance with the requirements under subsections (c) and (d) 
        in order to reduce the national reading deficit through the use 
        of programs of reading instruction based on scientifically 
        based reading research.
            (3) Effective date.--This section shall be effective for 
        fiscal year 2001 and for each fiscal year thereafter until the 
        fiscal year that begins after the date described in section 
        105.
    (b) Determination of Allotments.--For each fiscal year in which 
subsection (a) applies, the Secretary of Education shall pay to each 
State, that submits a request for an allotment under this subsection, 
an allotment for such fiscal year in an amount that bears the same 
relation to the total amount made available under subsection (a) for 
the fiscal year as the total number of children enrolled in 
kindergarten through fourth grade in public elementary schools in the 
State bears to the total number of such children in all States 
submitting requests for the fiscal year.
    (c) Within State Allocations.--Each State that receives an 
allotment under this section shall allocate 95 percent of the allotted 
funds to local educational agencies in the State. Each local 
educational agency in the State shall receive an allocation under this 
subsection in an amount that bears the same relation to 95 percent of 
the funds the State receives under this section for a fiscal year as 
the total number of children enrolled in kindergarten through fourth 
grade in all public elementary schools served by the local agency bears 
to the total number of such children in all public elementary schools 
served by all local educational agencies in the State.
    (d) Required Uses of Funds.--Funds paid to a local educational 
agency under this title shall be used in accordance with the following 
requirements:
            (1) Teacher training.--Ten percent of such funds shall be 
        used to train teachers on the teaching of reading based on 
        scientifically based reading research and using scientific 
        principles of reading instruction.
            (2) Instructional materials.--Twenty percent of such funds 
        shall be used for the purchase of reading instructional 
        materials or programs of reading instruction that have been 
        developed using scientifically based reading research and are 
        based on scientific principles of reading instruction.
            (3) Student assessment.--Ten percent of such funds shall be 
        used to assess the ability of each student enrolled in a public 
        elementary school to proficiently decode words and to read with 
        comprehension at the student's grade level. Standards for such 
        assessments shall be--
                    (A) developed and administered at the State or 
                local level;
                    (B) consistent with all other measurements and 
                criteria used by the State or local educational agency 
                to evaluate student performance in reading ability;
                    (C) based on standards developed from 
                scientifically based reading research; and
                    (D) made available through the Internet and 
                published in a journal of public record in each school 
                district.
            (4) Teacher bonuses.--
                    (A) In general.--Ten percent of such funds may be 
                used toward the payment to teachers in first through 
                fourth grades of a bonus of $200 (not to exceed $1,400 
                per teacher per fiscal year) for each child who enters 
                such a grade at the beginning of a school year unable 
                to read at a proficient level for that grade and who 
                leaves such grade at the conclusion of the school year 
                able to read at a proficient level, as determined by 
                the State or local assessment standards for that grade 
                level.
                    (B) Limitations.--
                            (i) Payment to teacher with primary 
                        responsibility.--A bonus may only be paid under 
                        subparagraph (A) to the teacher who was the 
                        individual primarily responsible for teaching 
                        the child to read during a majority of the 
                        school year.
                            (ii) Matching requirement.--The Secretary 
                        shall not make an allotment under this section 
                        to a State unless the State agrees that, with 
                        respect to the amount of the bonus under 
                        subparagraph (A), the State or local 
                        educational agency will make available matching 
                        funds equal to 30 percent of the Federal funds 
                        provided under the bonus. The matching funds 
                        shall be made available from non-Federal State 
                        or local sources.
            (5) Tuition assistance grants.--
                    (A) In general.--Fifty percent of such funds shall 
                be used to provide tuition assistance grants to a 
                parent or guardian of any child in fourth grade who has 
                no physiological disability and who has not mastered 
                the decoding skills prerequisite to an ability to read 
                at a proficient level (as determined under the State or 
                local assessment standard) by the end of third grade.
                    (B) Requirements.--A tuition assistance grant to a 
                parent or guardian under subparagraph (A) may not 
                exceed an amount equal to the average per-pupil 
                expenditure for the local educational agency. The 
                tuition assistance grant shall be used to purchase 
                tutoring in reading, during, after, or before regular 
                school hours, or on the weekends, from a private sector 
                provider, who is approved by the State or local 
                educational agency and uses instructional practices 
                based on scientifically based reading research, for a 
child. Assistance under such a grant shall be made available on a 
month-by-month basis until the child is reading at a proficient level 
for the child's grade level.
    (e) Administrative Expenses.--Each State receiving an allotment 
under this section may use 5 percent of the allotted funds for the 
administrative costs of carrying out this title.
    (f) Private Sector Involvement.--Funds to reduce the national 
reading deficit may be matched by the private sector and administered 
by the State under this title.
    (g) Private Donations to the Department of Education.--The 
Secretary of Education shall allot any funds received by the Department 
of Education from the private sector for purposes of this section in 
the same manner as funds are allotted to the States under subsection 
(b) for use in accordance with subsection (c).
    (h) State or Local Gifts, Bequests, and Devises.--A State or local 
educational agency may accept, use, and dispose of gifts, bequests, or 
devises of services or property, both real and personal, for the 
purpose of aiding or facilitating the purposes and required uses of 
this title.

SEC. 104. DEFINITIONS.

    In this title:
            (1) Average per-pupil expenditure.--The term ``average per-
        pupil expenditure'' has the meaning given the term in section 
        14101 of the Elementary and Secondary Education Act of 1965 (20 
        U.S.C. 8801).
            (2) Elementary school; local educational agency.--The terms 
        ``elementary school'' and ``local educational agency'' have the 
        meanings given the terms in section 14101 of the Elementary and 
        Secondary Education Act of 1965 (20 U.S.C. 8801).
            (3) National reading deficit.--The term ``national reading 
        deficit'' means the percentage of children enrolled in grades 
        kindergarten through fourth grade who are unable to read at a 
        proficient reading level for their grade level, as determined 
        by the National Assessment of Educational Progress.
            (4) Reading.--The term ``reading'' means a complex system 
        of deriving meaning from print that requires all of the 
        following:
                    (A) The skills and knowledge to understand how 
                phonemes (speech sounds) are connected to print.
                    (B) The ability to decode unfamiliar words.
                    (C) The ability to read fluently.
                    (D) Sufficient background information and 
                vocabulary to foster reading comprehension.
                    (E) The development of appropriate active 
                strategies to construct meaning from print.
                    (F) The development and maintenance of a motivation 
                to read.
                    (G) Scientifically based reading research.
            (5) Scientifically based reading research.--The term 
        ``scientifically based reading research''--
                    (A) means research that involves the application of 
                rigorous, systematic, and objective procedures to 
                obtain valid knowledge relevant to reading development, 
                reading instruction, and reading difficulties; and
                    (B) includes research that--
                            (i) employs systematic, empirical methods 
                        that draw on observation or experiment;
                            (ii) involves rigorous data analyses that 
                        are adequate to test the stated hypotheses and 
                        justify the general conclusions drawn;
                            (iii) relies on measurements or 
                        observational methods that provide valid data 
                        across evaluators and observers and across 
                        multiple measurements and observations; and
                            (iv) has been accepted by a peer-reviewed 
                        journal or approved by a panel of independent 
                        experts through a comparably rigorous, 
                        objective, and scientific review.
            (6) Scientific principles of reading instruction.--The term 
        ``scientific principles of reading instruction'' means a method 
        of instruction that teaches in sequence the following 
        scientific principles of reading:
                    (A) The teaching of phonemic awareness, which is 
                the understanding that spoken words and syllables are 
                made up of sequences of elementary speech sounds.
                    (B) The teaching, explicitly and in isolation, of 
                each single speech sound-spelling represented by each 
                letter or letter combination. The provision of practice 
                in recognizing the speech sound-spelling relationship 
                in decodable text.
                    (C) The teaching of frequent, highly regular speech 
                sound-spelling relationships systematically progressing 
                from easier to more difficult, and providing practice 
                reading them daily, first in isolation and then in the 
                context of words and sentences.
                    (D) The teaching of students, directly, how to 
                sound out words by blending the words' speech sound-
                spellings together sequentially from left to right, and 
                then providing practice using words composed of only 
                those speech sound-spelling relationships that have 
                been previously taught.
                    (E) The use of connected, decodable text for 
                students to practice the speech sound-spelling 
                relationships the students have learned.
                    (F) The teaching of reading comprehension using 
                interesting teacher-read stories that include words 
                most students have not yet learned to read, but which 
                are part of the students' spoken vocabulary.
                    (G) The teaching of decoding and comprehension 
                skills concurrently but separately, until reading 
                becomes fluent such that comprehension skills learned 
                through teacher-read literature can be applied to 
students' own reading once the students become fluent decoders.

SEC. 105. SUNSET.

    Effective on the date the National Assessment of Educational 
Progress publishes a notice certifying that the national reading 
deficit is less than 5 percent of the total number of children enrolled 
in grades kindergarten through fourth grade in the United States, the 
provisions of this title are repealed.

    TITLE II--IMPROVING LITERACY THROUGH FAMILY LITERACY PROJECTS; 
        REAUTHORIZATION OF INEXPENSIVE BOOK DISTRIBUTION PROGRAM

                      Subtitle A--Family Literacy

SEC. 201. AUTHORIZATION OF APPROPRIATIONS.

    Section 1002(b) of the Elementary and Secondary Education Act of 
1965 (20 U.S.C. 6302(b)) is amended--
            (1) by striking ``$118,000,000 for fiscal year 1995'' and 
        inserting ``$175,000,000 for fiscal year 2001''; and
            (2) by striking ``four'' and inserting ``three''.

SEC. 202. IMPROVING BASIC PROGRAMS OPERATED BY LOCAL EDUCATIONAL 
              AGENCIES.

    Section 1111(c) of the Elementary and Secondary Education Act of 
1965 (20 U.S.C. 6311(c)) is amended--
            (1) in paragraph (5), by striking ``and'' at the end;
            (2) in paragraph (6), by striking the period at the end and 
        inserting ``; and''; and
            (3) by adding at the end the following:
            ``(7) the State educational agency will encourage local 
        educational agencies and individual schools participating in a 
        program assisted under this part to offer family literacy 
        services (using funds under this part), if the agency or school 
        determines that a substantial number of students served under 
        this part by the agency or school have parents who do not have 
        a high school diploma or its recognized equivalent or who have 
        low levels of literacy.''.

SEC. 203. EVEN START FAMILY LITERACY PROGRAMS.

    (a) Statement of Purpose.--Section 1201 of the Elementary and 
Secondary Education Act of 1965 (20 U.S.C. 6361) is amended--
            (1) in paragraph (1), by inserting ``high quality'' after 
        ``build on''; and
            (2) by amending paragraph (2) to read as follows:
            ``(2) promote the academic achievement of children and 
        adults;'';
            (3) by striking the period at the end of paragraph (3) and 
        inserting ``; and''; and
            (4) by adding at the end the following:
            ``(4) use instructional programs based on scientifically 
        based reading research (as defined in section 2252) and the 
        prevention of reading difficulties for children and, to the 
        extent such research is available, scientifically based reading 
        research (as so defined) for adults.''.
    (b) Program Authorized.--
            (1) Reservation for migrant programs, outlying areas, and 
        indian tribes.--Section 1202(a) of the Elementary and Secondary 
        Education Act of 1965 (20 U.S.C. 6362(a)) is amended--
                    (A) in paragraph (1), in the matter preceding 
                subparagraph (A), by inserting ``(or, if such 
                appropriated amount exceeds $200,000,000, 6 percent of 
                such amount)'' after ``1002(b)'';
                    (B) in paragraph (2), by striking ``If the amount 
                of funds made available under this subsection exceeds 
                $4,600,000,'' and inserting ``After the date of the 
                enactment of the Reading Deficit Elimination Act,''; 
                and
                    (C) by adding at the end the following:
            ``(3) Coordination of programs for american indians.--The 
        Secretary shall ensure that programs under paragraph (1)(C) are 
        coordinated with family literacy programs operated by the 
        Bureau of Indian Affairs in order to avoid duplication and to 
        encourage the dissemination of information on high quality 
        family literacy programs serving American Indians.''.
            (2) Reservation for federal activities.--Section 1202(b) of 
        the Elementary and Secondary Education Act of 1965 (20 U.S.C. 
        6362(b)) is amended to read as follows:
    ``(b) Reservation for Federal Activities.--
            ``(1) Evaluation, technical assistance, program 
        improvement, and replication activities.--From amounts 
        appropriated under section 1002(b), the Secretary may reserve 
        not more than 3 percent of such amounts for purposes of--
                    ``(A) carrying out the evaluation required by 
                section 1209; and
                    ``(B) providing, through grants or contracts with 
                eligible organizations, technical assistance, program 
                improvement, and replication activities.
            ``(2) Research.--In the case of fiscal years 2001 through 
        2004, if the amounts appropriated under section 1002(b) for any 
        of such years exceed such amounts appropriated for the 
        preceding fiscal year, the Secretary shall reserve from such 
        excess amount $2,000,000 or 50 percent, whichever is less, to 
        carry out section 1211(b).''.
    (c) Reservation for Grants.--Section 1202(c)(1) of the Elementary 
and Secondary Education Act of 1965 (20 U.S.C. 6362(c)(1)) is amended--
            (1) by striking ``From funds reserved under section 
        2260(b)(3), the Secretary shall award grants,'' and inserting 
        ``For any fiscal year for which at least one State applies and 
        qualifies and for which the amount appropriated under section 
        1002(b) exceeds the amount appropriated under such section for 
        the preceding fiscal year, the Secretary shall reserve, from 
        the amount of such excess remaining after the application of 
        subsection (b)(2), the amount of such remainder or $1,000,000, 
        whichever is less, to award grants,''; and
            (2) by adding at the end ``No State may receive more than 
        one grant under this subsection.''.
    (d) Allocations.--Section 1202(d)(2) of the Elementary and 
Secondary Education Act of 1965 (20 U.S.C. 6362(d)(2)) is amended by 
striking ``that section'' and inserting ``that part''.
    (e) Definitions.--Section 1202(e) of the Elementary and Secondary 
Education Act of 1965 (20 U.S.C. 6362(e)) is amended--
            (1) in paragraph (1)(B), by striking ``or'' after ``higher 
        education,'' and inserting ``a religious organization, or''; 
        and
            (2) in paragraph (2), by striking ``nonprofit 
        organization'' and inserting ``nonprofit organization, 
        including a religious organization,''.
    (f) Subgrants for Local Programs.--Section 1203(b)(2) of the 
Elementary and Secondary Education Act of 1965 (20 U.S.C. 6363(b)(2)) 
is amended to read as follows:
            ``(2) Minimum subgrant amounts.--
                    ``(A) In general.--Except as provided in 
                subparagraphs (B) and (C), no State shall award a 
                subgrant under paragraph (1) in an amount less than 
                $75,000.
                    ``(B) Subgrantees in ninth and succeeding years.--
                No State shall award a subgrant under paragraph (1) in 
                an amount less than $52,500 to an eligible entity for a 
                fiscal year to carry out an Even Start program that is 
                receiving assistance under this part or its predecessor 
                authority for the ninth (or any subsequent) fiscal 
                year.
                    ``(C) Exception for single subgrant.--A State may 
                award one subgrant in each fiscal year of sufficient 
                size, scope, and quality to be effective in an amount 
                less than $75,000 if, after awarding subgrants under 
                paragraph (1) for such fiscal year in accordance with 
                subparagraphs (A) and (B), less than $75,000 is 
                available to the State to award such subgrants.''.
    (g) Uses of Funds.--Section 1204 of the Elementary and Secondary 
Education Act of 1965 (20 U.S.C. 6364) is amended--
            (1) in subsection (a), by striking ``family-centered 
        education programs'' and inserting ``family literacy 
        services''; and
            (2) by adding at the end the following:
    ``(c) Use of Funds for Family Literacy Services.--
            ``(1) In general.--States may use a portion of funds 
        received under this part to assist eligible entities receiving 
        a subgrant under section 1203(b) in improving the quality of 
        family literacy services provided under Even Start programs 
        under this part, except that in no case may a State's use of 
        funds for this purpose for a fiscal year result in a decrease 
        from the level of activities and services provided to program 
        participants in the preceding year.
            ``(2) Priority.--In carrying out paragraph (1), a State 
        shall give priority to programs that were of low quality, as 
        evaluated based on the indicators of program quality developed 
        by the State under section 1210.
            ``(3) Technical assistance to help local programs raise 
        additional funds.--In carrying out paragraph (1), a State may 
        use the funds referred to in such paragraph to provide 
        technical assistance to help local programs of demonstrated 
        effectiveness to access and leverage additional funds for the 
        purpose of expanding services and reducing waiting lists.
            ``(4) Technical assistance and training.--Assistance under 
        paragraph (1) shall be in the form of technical assistance and 
        training, provided by a State through a grant, contract, or 
        cooperative agreement with an entity that has experience in 
        offering high quality training and technical assistance to 
        family literacy providers.''.
    (h) Program Elements.--Section 1205 of the Elementary and Secondary 
Education Act of 1965 (20 U.S.C. 6365) is amended--
            (1) by redesignating paragraphs (9) and (10) as paragraphs 
        (13) and (14), respectively;
            (2) by redesignating paragraphs (5) through (8) as 
        paragraphs (6) through (9), respectively;
            (3) by inserting after paragraph (4) the following:
            ``(5) with respect to the qualifications of staff the cost 
        of whose salaries are paid, in whole or in part, with Federal 
        funds provided under this part, ensure that--
                    ``(A) not later than 4 years after the date of the 
                enactment of the Reading Deficit Elimination Act--
                            ``(i) a majority of the individuals 
                        providing academic instruction--
                                    ``(I) shall have obtained an 
                                associate's, bachelor's, or graduate 
                                degree in a field related to early 
                                childhood education, elementary school 
                                education, or adult education; or
                                    ``(II) shall meet qualifications 
                                established by the State for early 
                                childhood education, elementary school 
                                education, or adult education provided 
                                as part of an Even Start program or 
                                another family literacy program;
                            ``(ii) the individual responsible for 
                        administration of family literacy services 
                        under this part has received training in the 
                        operation of a family literacy program; and
                            ``(iii) paraprofessionals who provide 
                        support for academic instruction have a high 
                        school diploma or its recognized equivalent; 
                        and
                    ``(B) beginning on the date of the enactment of the 
                Reading Deficit Elimination Act, all new personnel 
                hired to provide academic instruction--
                            ``(i) have obtained an associate's, 
                        bachelor's, or graduate degree in a field 
                        related to early childhood education, 
                        elementary school education, or adult 
                        education; or
                            ``(ii) meet qualifications established by 
                        the State for early childhood education, 
                        elementary school education, or adult education 
                        provided as part of an Even Start program or 
                        another family literacy program;'';
            (4) by inserting after paragraph (9) (as so redesignated by 
        paragraph (2)) the following:
            ``(10) use instructional practices in reading for children 
        based on scientific principles of reading instruction (as 
        defined in section 104(6) of the Reading Deficit Elimination 
        Act) and, to the extent supported by research, apply these 
        practices to adult reading instruction;
            ``(11) encourage participating families to attend regularly 
        and to remain in the program a sufficient time to meet their 
        program goals;'';
            ``(12) include reading readiness activities for preschool 
        children based on scientific principles of reading instruction 
        (as defined in section 104(6) of the Reading Deficit 
        Elimination Act) to ensure children enter school ready to learn 
        to read;''; and
            (5) in paragraph (14) (as so redesignated), by striking 
        ``program.'' and inserting ``program to be used for program 
        improvement.''.
    (i) Eligible Participants.--Section 1206 of the Elementary and 
Secondary Education Act of 1965 (20 U.S.C. 6366) is amended--
            (1) in subsection (a)(1)(B) by striking ``part;'' and 
        inserting ``part, or who are attending secondary school;''; and
            (2) in subsection (b), by adding at the end the following:
            ``(3) Children 8 years of age or older.--If an Even Start 
        program assisted under this part collaborates with a program 
        under part A, and funds received under such part A program 
        contribute to paying the cost of providing programs under this 
        part to children 8 years of age or older, the Even Start 
        program, notwithstanding subsection (a)(2), may permit the 
        participation of children 8 years of age or older.''.
    (j) Plan.--Section 1207(c) of the Elementary and Secondary 
Education Act of 1965 (20 U.S.C. 6367(c)) is amended--
            (1) in paragraph (1)--
                    (A) in the matter preceding subparagraph (A), by 
                inserting ``and continuous improvement'' after ``plan 
                of operation'';
                    (B) in subparagraph (A), by striking ``goals;'' and 
                inserting ``objectives, strategies to meet such 
                objectives, and how they are consistent with the 
                program indicators established by the State;'';
                    (C) in subparagraph (E), by striking ``and'' at the 
                end;
                    (D) in subparagraph (F)--
                            (i) by striking ``Act, the Goals 2000: 
                        Educate America Act,'' and inserting ``Act''; 
                        and
                            (ii) by striking the period at the end and 
                        inserting ``; and''; and
                    (E) by adding at the end the following:
                    ``(G) a description of how the plan provides for 
                rigorous and objective evaluation of progress toward 
                the program objectives described in subparagraph (A) 
                and for continuing use of evaluation data for program 
                improvement.''; and
            (2) in paragraph (2), in the matter preceding subparagraph 
        (A), by striking ``(1)(A)'' and inserting ``(1)''.
    (k) Award of Subgrants.--Section 1208 of the Elementary and 
Secondary Education Act of 1965 (20 U.S.C. 6368) is amended--
            (1) in subsection (a)--
                    (A) in paragraph (1)(B)--
                            (i) by striking ``including a high'' and 
                        inserting ``such as a high''; and
                            (ii) by striking ``part A;'' and inserting 
                        ``part A, a high number or percentage of 
                        parents who have been victims of domestic 
                        violence, or a high number or percentage of 
                        parents who are receiving assistance under a 
                        State program funded under part A of title IV 
                        of the Social Security Act (42 U.S.C. 601 et 
                        seq.);'';
                    (B) in paragraph (1)(F), by striking ``Federal'' 
                and inserting ``non-Federal'';
                    (C) in paragraph (1)(H), by inserting ``family 
                literacy projects and other'' before ``local 
                educational agencies''; and
                    (D) in paragraph (3), in the matter preceding 
                subparagraph (A), by striking ``one or more of the 
                following individuals:'' and inserting ``one individual 
                with expertise in family literacy programs, and may 
                include other individuals, such as one or more of the 
                following:''; and
            (2) in subsection (b)--
                    (A) by striking paragraph (3) and inserting the 
                following:
            ``(3) Continuing eligibility.--In awarding subgrant funds 
        to continue a program under this part after the first year, the 
        State educational agency shall review the progress of each 
        eligible entity in meeting the objectives of the program 
        referred to in section 1207(c)(1)(A) and shall evaluate the 
        program based on the indicators of program quality developed by 
        the State under section 1210.''; and
                    (B) by amending paragraph (5)(B) to read as 
                follows:
            ``(B) The Federal share of any subgrant renewed under 
        subparagraph (A) shall be limited in accordance with section 
        1204(b).''.
    (l) Research.--Section 1211 of the Elementary and Secondary 
Education Act of 1965 (20 U.S.C. 6369b) is amended--
            (1) in subsection (b), by striking ``subsection (a)'' and 
        inserting ``subsections (a) and (b)'';
            (2) by redesignating subsection (b) as subsection (c); and
            (3) by inserting after subsection (a) the following:
    ``(b) Scientifically Based Research on Family Literacy.--
            ``(1) In general.--From amounts reserved under section 
        1202(b)(2), the National Institute for Literacy shall carry out 
        research that--
                    ``(A) is scientifically based reading research (as 
                defined in section 2252); and
                    ``(B) determines--
                            ``(i) the most effective ways of improving 
                        the literacy skills of adults with reading 
                        difficulties; and
                            ``(ii) how family literacy services can 
                        best provide parents with the knowledge and 
                        skills they need to support their children's 
                        literacy development.
            ``(2) Use of expert entity.--The National Institute for 
        Literacy shall carry out the research under paragraph (1) 
        through an entity, including a Federal agency, that has 
        expertise in carrying out longitudinal studies of the 
        development of literacy skills in children and has developed 
        effective interventions to help children with reading 
        difficulties.''.
    (m) Treatment of Religious Organizations.--Part B of title I of the 
Elementary and Secondary Education Act of 1965 (20 U.S.C. 6361 et seq.) 
is amended by adding at the end the following:

``SEC. 1213. RELIGIOUS ORGANIZATIONS.

    ``(a) Religious Organizations Included as Partnership 
Participants.--In carrying out this part, the Secretary, and any 
grantee or subgrantee receiving assistance under this part, shall treat 
religious organizations the same as other nongovernmental 
organizations, so long as this part is implemented in a manner 
consistent with the Establishment Clause of the first amendment to the 
Constitution. The Secretary, and any grantee or subgrantee receiving 
assistance under this part, shall not discriminate against an 
organization that participates in a partnership that is an eligible 
entity receiving assistance under this part, or an organization that 
participates in a partnership that is applying to receive such 
assistance, on the basis that the organization has a religious 
character.
    ``(b) Religious Character and Independence.--
            ``(1) In general.--A religious organization that 
        participates in a partnership that is an eligible entity 
        receiving assistance under this part, or that participates in a 
        partnership that is applying to receive such assistance, shall 
        retain its religious character and control over the definition, 
        development, practice, and expression of its religious beliefs.
            ``(2) Additional safeguards.--Neither the Federal 
        Government nor a State or local government shall require a 
        religious organization--
                    ``(A) to alter its form of internal governance; or
                    ``(B) to remove religious art, icons, scripture, or 
                other symbols;
        in order to be eligible to participate in a partnership that is 
        an eligible entity receiving assistance under this part or to 
        participate in a partnership that is applying to receive such 
        assistance.
            ``(3) Employment practices.--A religious organization's 
        exemption provided under section 702 of the Civil Rights Act of 
        1964 (42 U.S.C. 2000e-1) regarding employment practices shall 
        not be affected by its participation in, or receipt of funds 
        from, a program under this part.
    ``(c) Limitations on Use of Funds for Certain Purposes.--No funds 
provided to a religious organization under this part or section 1002(b) 
shall be expended for sectarian worship or instruction or 
proselytization.
    ``(d) Prohibition on Serving as Fiscal Agent.--A religious 
organization may not serve as a fiscal agent for a partnership that is 
an eligible entity receiving a subgrant under this part.
    ``(e) Nondiscrimination Against Beneficiaries.--Except as otherwise 
provided in law, a religious organization shall not discriminate 
against an individual in regard to rendering services under this part 
on the basis of religion, a religious belief, or refusal actively to 
participate in a religious practice.
    ``(f) Federal Financial Assistance.--For purposes of any Federal, 
State, or local law, receipt of financial assistance under this part or 
section 1002(b) shall constitute receipt of Federal financial 
assistance or aid.
    ``(g) Treatment of Program Participants.--An eligible entity may 
not subject a participant, during an Even Start program assisted under 
this part, to sectarian worship or instruction or proselytization.

``SEC. 1214. PROHIBITION ON VOUCHERS OR CERTIFICATES.

    ``Notwithstanding any other provision of this Act, no services 
under this part may be provided through voucher or certificate.''.

SEC. 204. EDUCATION OF MIGRATORY CHILDREN.

    Section 1304(b) of the Elementary and Secondary Education Act of 
1965 (20 U.S.C. 6394(b)) is amended--
            (1) in paragraph (5), by striking ``and'' at the end;
            (2) in paragraph (6), by striking the period at the end and 
        inserting ``; and''; and
            (3) by adding at the end the following:
            ``(7) a description of how the State will encourage 
        programs and projects assisted under this part to offer family 
        literacy services if the program or project serves a 
        substantial number of migratory children who have parents who 
        do not have a high school diploma or its recognized equivalent 
        or who have low levels of literacy.''.

SEC. 205. DEFINITIONS.

    (a) In General.--Section 14101 of the Elementary and Secondary 
Education Act of 1965 (20 U.S.C. 8801) is amended--
            (1) by redesignating paragraphs (15) through (29) as 
        paragraphs (16) through (30), respectively; and
            (2) by inserting after paragraph (14) the following:
            ``(15) Family literacy services.--The term `family literacy 
        services' means services provided to participants on a 
        voluntary basis that are of sufficient intensity in terms of 
        hours, and of sufficient duration, to make sustainable changes 
        in a family, and that integrate all of the following 
        activities:
                    ``(A) Interactive literacy activities between 
                parents and their children.
                    ``(B) Training for parents regarding how to be the 
                primary teacher for their children and full partners in 
                the education of their children.
                    ``(C) Parent literacy training that leads to 
                economic self-sufficiency.
                    ``(D) An age-appropriate education to prepare 
                children for success in school and life experiences.''.
    (b) Conforming Amendments.--
            (1) Even start family literacy programs.--Section 1202(e) 
        of the Elementary and Secondary Education Act of 1965 (20 
        U.S.C. 6362(e)) is amended--
                    (A) by striking paragraph (3); and
                    (B) by redesignating paragraphs (4) and (5) as 
                paragraphs (3) and (4), respectively.
            (2) Reading and literacy grants.--Section 2252 of the 
        Elementary and Secondary Education Act of 1965 (20 U.S.C. 
        6661a) is amended--
                    (A) by striking paragraph (2); and
                    (B) by redesignating paragraphs (3) through (5) as 
                paragraphs (2) through (4), respectively.

SEC. 206. INDIAN EDUCATION.

    (a) Early Childhood Development Program.--Section 1143 of the 
Education Amendments of 1978 (25 U.S.C. 2023) is amended--
            (1) in subsection (b)(1), in the matter preceding 
        subparagraph (A)--
                    (A) by striking ``(f)'' and inserting ``(g)''; and
                    (B) by striking ``(e))'' and inserting ``(f))'';
            (2) in subsection (d)(1)--
                    (A) by redesignating subparagraphs (D) and (E) as 
                subparagraphs (E) and (F), respectively; and
                    (B) by inserting after subparagraph (C) the 
                following:
                    ``(D) family literacy services,'';
            (3) in subsection (e), by striking ``(f),'' and inserting 
        ``(g),'';
            (4) by redesignating subsections (e) and (f) as subsections 
        (f) and (g), respectively; and
            (5) by inserting after subsection (d) the following:
    ``(e) Family literacy programs operated under this section, and 
other family literacy programs operated by the Bureau of Indian 
Affairs, shall be coordinated with family literacy programs for 
American Indian children under part B of title I of the Elementary and 
Secondary Education Act of 1965 in order to avoid duplication and to 
encourage the dissemination of information on quality family literacy 
programs serving American Indians.''.
    (b) Definitions.--Section 1146 of the Education Amendments of 1978 
(25 U.S.C. 2026) is amended--
            (1) by redesignating paragraphs (7) through (14) as 
        paragraphs (8) through (15), respectively; and
            (2) by inserting after paragraph (6) the following:
            ``(7) the term `family literacy services' has the meaning 
        given such term in section 14101 of the Elementary and 
        Secondary Education Act of 1965 (20 U.S.C. 8801);''.

           Subtitle B--Inexpensive Book Distribution program

SEC. 211. INEXPENSIVE BOOK DISTRIBUTION PROGRAM FOR READING MOTIVATION.

    (a) Authorization.--Section 10501(a) of the Elementary and 
Secondary Education Act of 1965 (20 U.S.C. 8131(a)) is amended by 
striking ``books to students, that motivate children to read.'' and 
inserting ``books to young and school-aged children that motivate them 
to read.''.
    (b) Requirements of Contract.--Section 10501(b)(4) of the 
Elementary and Secondary Education Act of 1965 (20 U.S.C. 8131(b)(4)) 
is amended by inserting ``training and'' before ``technical 
assistance''.
    (c) Authorization of Appropriations.--Section 10501(e) of the 
Elementary and Secondary Education Act of 1965 (20 U.S.C. 8131(e)) is 
amended by striking ``$10,300,000 for fiscal year 1995'' and inserting 
``$20,000,000 for fiscal year 2000''.
    (d) Statement of Purpose.--Section 10501 of the Elementary and 
Secondary Education Act of 1965 (20 U.S.C. 8131) is amended--
            (1) by redesignating subsections (d) and (e) as subsections 
        (g) and (h), respectively;
            (2) by redesignating subsections (a) through (c) as 
        subsections (b) through (d), respectively; and
            (3) by inserting after the section heading the following:
    ``(a) Purpose.--The purpose of this program is to establish and 
implement a model partnership between a governmental entity and a 
private entity, to help prepare young children for reading, and 
motivate older children to read, through the distribution of 
inexpensive books. Local reading motivation programs assisted under 
this section shall use such assistance to provide books, training for 
volunteers, motivational activities, and other essential literacy 
resources, and shall assign the highest priority to serving the 
youngest and neediest children in the United States.''.
    (e) New Provisions.--Section 10501 of the Elementary and Secondary 
Education Act of 1965 (20 U.S.C. 8131) is amended by inserting before 
subsection (g) (as so redesignated by subsection (d)) the following:
    ``(e) Special Rules for Certain Subcontractors.--
            ``(1) Funds from other federal sources.--Subcontractors 
        operating programs under this section in low-income communities 
        with a substantial number or percentage of children with 
        special needs, as described in subsection (c)(3), may use funds 
        from other Federal sources to pay the non-Federal share of the 
        cost of the program, if those funds do not comprise more than 
        50 percent of the non-Federal share of the funds used for the 
        cost of acquiring and distributing books.
            ``(2) Waiver authority.--Notwithstanding subsection (c), 
        the contractor may waive, in whole or in part, the requirement 
        in subsection (c)(1) for a subcontractor, if the subcontractor 
        demonstrates that it would otherwise not be able to participate 
        in the program, and enters into an agreement with the 
        contractor with respect to the amount of the non-Federal share 
        to which the waiver will apply. In a case in which such a 
        waiver is granted, the requirement in subsection (c)(2) shall 
        not apply.
    ``(f) Multi-Year Contracts.--The contractor may enter into a multi-
year subcontract under this section, if--
            ``(1) the contractor believes that such subcontract will 
        provide the subcontractor with additional leverage in seeking 
        local commitments; and
            ``(2) the subcontract does not undermine the finances of 
        the national program.''.

SEC. 212. EFFECTIVE DATE.

    The amendments made by section 211 shall take effect on October 1, 
2000.
                                 <all>
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