I

107TH CONGRESS

1ST SESSION H. R. 1

A bill to close the achievement gap with accountability, flexibility, and choice,

so that no child is left behind.

IN THE HOUSE OF REPRESENTATIVES

MARCH 22, 2001

Mr. BOEHNER (for himself, Mr. CASTLE, Mr. MCKEON, Mr. HASTERT, Mr.

ARMEY, Mr. DELAY, Mr. WATTS of Oklahoma, Ms. PRYCE of Ohio, Mr.

DREIER, Mr. PETRI, Mr. SCHAFFER, Mr. ISAKSON, Mr. BALLENGER, Mr.

SAM JOHNSON of Texas, Mr. GREENWOOD, Mr. GRAHAM, Mr. NORWOOD,

Mr. UPTON, Mr. HILLEARY, Mr. EHLERS, Mr. FLETCHER, Mr. DEMINT,

Mrs. BIGGERT, Mr. TIBERI, Mr. KELLER, Mr. OSBORNE, Mr.

CULBERSON, Mr. OXLEY, Mr. NUSSLE, Mr. WOLF, Mr. GEKAS, Mr.

COMBEST, Mr. KOLBE, Mr. BAKER, Mr. WELDON of Pennsylvania, Mr.

SHAYS, Mr. GILLMOR, Mr. GOSS, Mr. CAMP, Mr. CUNNINGHAM, Mr.

HOBSON, Mr. BACHUS, Mr. CALVERT, Mr. COLLINS, Mr. DEAL of Georgia, Mr. DIAZ-BALART, Mr. HORN, Mr. KINGSTON, Mr. LINDER, Mr.

MCINNIS, Mr. MILLER of Florida, Mr. ROYCE, Mr. PORTMAN, Mr. BARR

of Georgia, Mr. BURR of North Carolina, Mr. CHAMBLISS, Mr. EHRLICH,

Mr. LATOURETTE, Mr. RADANOVICH, Mr. COOKSEY, Mrs. NORTHUP, Mr.

PETERSON of Pennsylvania, Mr. PICKERING, Mr. SHIMKUS, Mr.

SUNUNU, Mr. FOSSELLA, Mrs. BONO, Mr. GREEN of Wisconsin, Mr.

HAYES, Mr. GARY MILLER of California, Mr. OSE, Mr. SWEENEY, Mr.

CRENSHAW, Ms. HART, Mr. ISSA, Mr. PUTNAM, and Mr. SCHROCK) introduced the following bill; which was referred to the Committee on Education and the Workforce

A BILL

A bill to close the achievement gap with accountability,

flexibility, and choice, so that no child is left behind.
2

•HR 1 IH

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

3 SECTION 1. SHORT TITLE.

4 This Act may be cited as the ‘‘No Child Left Behind

5 Act of 2001’’.

6 SEC. 2. TABLE OF CONTENTS.

TITLE I—IMPROVING THE ACADEMIC PERFORMANCE OF THE

DISADVANTAGED

PART A—BASIC PROGRAM

Sec. 101. Disadvantaged children meet high standards.

Sec. 102. Authorization of appropriations.

Sec. 103. Reservation for school improvement.

Sec. 104. Basic programs.

PART B—STUDENT READING SKILLS IMPROVEMENT GRANTS

Sec. 111. Reading First; Early Reading First.

Sec. 112. Amendments to Even Start.

PART C—EDUCATION OF MIGRATORY CHILDREN

Sec. 121. State allocations.

Sec. 122. State applications; services.

Sec. 123. Authorized activities.

Sec. 124. Coordination of migrant education activities.

PART D—NEGLECTED OR DELINQUENT YOUTH

Sec. 131. Neglected or delinquent youth.

Sec. 132. Findings.

Sec. 133. Allocation of funds.

Sec. 134. State plan and State agency applications.

Sec. 135. Use of funds.

Sec. 136. Transition services.

Sec. 137. Purpose.

Sec. 138. Programs operated by local educational agencies.

Sec. 139. Local educational agency applications.

Sec. 140. Uses of funds.

Sec. 141. Program requirements.

Sec. 142. Program evaluations.

PART E—FEDERAL EVALUATIONS AND DEMONSTRATIONS

Sec. 151. Evaluations.

Sec. 152. Demonstrations of innovative practices.

PART F—COMPREHENSIVE SCHOOL REFORM

Sec. 161. School reform.
3

•HR 1 IH

PART G—RURAL EDUCATION

Sec. 171. Rural education.

PART H—GENERAL PROVISIONS OF TITLE I

Sec. 181. General provisions.

TITLE II—PREPARING, TRAINING, AND RECRUITING QUALITY

TEACHERS

Sec. 201. Teacher quality training and recruiting fund; teacher liability.

TITLE III—EDUCATION OF LIMITED ENGLISH PROFICIENT

CHILDREN; INDIAN AND ALASKA NATIVE EDUCATION

PART A—EDUCATION OF LIMITED ENGLISH PROFICIENT CHILDREN

Sec. 301. Programs authorized.

Sec. 302. Conforming amendment to Department of Education Organization

Act.

PART B—INDIAN AND ALASKA NATIVE EDUCATION

Sec. 311. Elementary and Secondary Education Act of 1965.

Sec. 312. Alaska Native education.

Sec. 313. Amendments to the Education Amendments of 1978.

Sec. 314. Tribally Controlled Schools Act of 1988.

TITLE IV—PROMOTING INFORMED PARENTAL CHOICE AND

INNOVATIVE PROGRAMS

PART A—INNOVATIVE PROGRAMS

Sec. 401. Promoting informed parental choice and innovative programs.

PART B—PUBLIC CHARTER SCHOOLS

Sec. 411. Public charter schools.

PART C—SCHOOL CHOICE RESEARCH AND DEMONSTRATION

Sec. 421. School choice research and demonstration

PART D—MAGNET SCHOOLS ASSISTANCE

Sec. 431. Magnet schools assistance.

Sec. 432. Continuation of awards.

TITLE V—SAFE SCHOOLS FOR THE 21ST CENTURY

Sec. 501. Safe schools.

TITLE VI—IMPACT AID PROGRAM

Sec. 601. Payments under section 8002 with respect to fiscal years in which

insufficient funds are appropriated.

Sec. 602. Calculation of payment under section 8003 for small local educational

agencies.

Sec. 603. Construction.

Sec. 604. State consideration of payments in providing State aid.
4

•HR 1 IH

Sec. 605. Authorization of appropriations.

Sec. 606. Redesignation of program.

TITLE VII—ACCOUNTABILITY

Sec. 701. Flexibility and accountability.

TITLE VIII—GENERAL PROVISIONS

Sec. 801. General provisions.

Sec. 802. Comprehensive regional assistance centers.

Sec. 803. National diffusion network.

Sec. 804. Eisenhower Regional Mathematics and Science Education Consortia.

Sec. 805. Technology-based technical assistance.

TITLE IX—MISCELLANEOUS PROVISIONS

PART A—AMENDMENTS TO OTHER ACTS

SUPART 1—NATIONAL EDUCATION STATISTICS ACT

Sec. 901. Amendment to NESA.

SUBPART 2—HOMELESS EDUCATION

Sec. 911. Short title.

Sec. 912. Findings.

Sec. 913. Purpose.

Sec. 914. Education for homeless children and youth.

Sec. 915. Technical amendment.

PART B—REPEALS

Sec. 921. Repeals.

1 SEC. 3. REFERENCES.

2 Whenever in this Act an amendment or repeal is ex3 pressed in terms of an amendment to, or repeal of, a sec4 tion or other provision, the reference shall be considered

5 to be made to a section or other provision of the Elemen6 tary and Secondary Education Act of 1965 (20 U.S.C.

7 6301 et seq.).

8 SEC. 4. TRANSITION.

9 Unless otherwise provided in this Act, any person or

10 agency that was awarded a grant under the Elementary
5

•HR 1 IH

1 and Secondary Education Act of 1965 (20 U.S.C. 6301

2 et seq.) prior to the date of the enactment of this Act shall

3 continue to receive funds in accordance with the terms of

4 such award, except that funds for such award may not

5 continue more than one year after the date of the enact6 ment of this Act.

7 TITLE I—IMPROVING THE ACA8 DEMIC PERFORMANCE OF

9 THE DISADVANTAGED

10 PART A—BASIC PROGRAM

11 SEC. 101. DISADVANTAGED CHILDREN MEET HIGH STAND12 ARDS.

13 Section 1001 is amended to read as follows:

14 ‘‘SEC. 1001. FINDINGS; STATEMENT OF PURPOSE; AND REC15 OGNITION OF NEED.

16 ‘‘(a) FINDINGS.—Congress finds the following:

17 ‘‘(1) The Constitution of the United States re18 serves to the States and to the people the responsi19 bility for the general supervision of public education

20 in kindergarten through the twelfth grade.

21 ‘‘(2) States and local educational agencies need

22 the maximum liberty to build upon existing innova23 tive approaches for education reform and continue

24 their proven record of increasing student success.
6

•HR 1 IH

1 ‘‘(3) The best education decisions are made by

2 those who know the students best and who are re3 sponsible for implementing the decisions, and there4 fore, educators and parents should retain the right

5 and responsibility to educate their pupils and chil6 dren free of excessive regulation by the Federal Gov7 ernment.

8 ‘‘(4) The Supreme Court has regarded the right

9 of parents to direct the upbringing of their children

10 as a fundamental right implicit in the concept of or11 dered liberty within the 14th Amendment to the

12 Constitution, as specified in Meyer v. Nebraska, 262

13 US 390 (1923) and Pierce v. Society of Sisters, 268

14 US 510 (1925).

15 ‘‘(5) Schools that enroll high concentrations of

16 children living in poverty face the greatest chal17 lenges, but effective educational strategies based on

18 scientifically based research can succeed in edu19 cating children to high standards.

20 ‘‘(6) High-poverty schools are much more likely

21 to be identified as failing to meet State standards

22 for satisfactory progress. As a result, these schools

23 are generally the most in need of additional re24 sources and technical assistance to build the capac-
7

•HR 1 IH

1 ity of these schools to address the many needs of

2 their students.

3 ‘‘(7) The educational progress of children par4 ticipating in programs under this title is closely as5 sociated with their being taught by a highly qualified

6 staff, particularly in schools with the highest con7 centrations of poverty, where paraprofessionals,

8 uncertified teachers, and teachers teaching out of

9 field frequently provide instructional services.

10 ‘‘(8) Congress and the public would benefit

11 from additional data evaluatinig the efficacy of the

12 Elementary and Secondary Education Act of 1965.

13 ‘‘(9) States, local educational agencies, and

14 schools should be given as much flexibility as pos15 sible in exchange for greater accountability for im16 proving student achievement.

17 ‘‘(10) Schools operating programs assisted

18 under this part must be held accountable for the

19 educational achievement of their students, when

20 those students fail to demonstrate progress in

21 achieving high standards, local educational agencies

22 and States must take significant actions to improve

23 the educational opportunities available to them.

24 ‘‘(b) PURPOSE AND INTENT.—The purpose and in25 tent of this title are to ensure that all children have a
8

•HR 1 IH

1 fair and equal opportunity to obtain a high-quality edu2 cation.

3 ‘‘(c) RECOGNITION OF NEED.—The Congress recog4 nizes the following:

5 ‘‘(1) Educational needs are particularly great

6 for low-achieving children in our Nation’s highest7 poverty schools, children with limited English pro8 ficiency, children of migrant workers, children with

9 disabilities, Indian children, children who are ne10 glected or delinquent, and young children who are in

11 need of reading assistance.

12 ‘‘(2) Despite more than 3 decades of Federal

13 assistance, a sizable achievement gap remains be14 tween minority and nonminority students, and be15 tween disadvantaged students and their more advan16 taged peers.

17 ‘‘(3) Too many students attend local schools

18 that fail to provide them with a quality education,

19 and are given no alternatives to enable them to re20 ceive a quality education.

21 ‘‘(4) States, local educational agencies, and

22 schools need to be held accountable for improving

23 the academic achievement of all students, and for

24 identifying and turning around low-performing

25 schools.
9

•HR 1 IH

1 ‘‘(5) Federal education assistance is intended

2 not only to increase pupil achievement overall, but

3 also more specifically and importantly, to help en4 sure that all students, especially the disadvantaged,

5 meet challenging achievement standards. It can only

6 be determined if schools, local educational agencies,

7 and States are reaching this goal if student achieve8 ment results are reported specifically by disadvan9 taged and minority status.’’.

10 SEC. 102. AUTHORIZATION OF APPROPRIATIONS.

11 Section 1002 is amended to read as follows:

12 ‘‘SEC. 1002. AUTHORIZATION OF APPROPRIATIONS.

13 ‘‘(a) LOCAL EDUCATIONAL AGENCY GRANTS.—For

14 the purpose of carrying out part A, other than section

15 1120(e), there are authorized to be appropriated

16 $9,061,000,000 for fiscal year 2002 and such sums as

17 may be necessary for each of the 4 succeeding fiscal years.

18 ‘‘(b) STUDENT READING SKILLS IMPROVEMENT

19 GRANTS.—

20 ‘‘(1) READING FIRST.—For the purpose of car21 rying out subpart 1 of part B, there are authorized

22 to be appropriated $900,000,000 for fiscal year

23 2002 and such sums as may be necessary for each

24 of the 4 succeeding fiscal years.
10

•HR 1 IH

1 ‘‘(2) EARLY READING FIRST.—For the purpose

2 of carrying out subpart 2 of part B, there are au3 thorized to be appropriated $75,000,000 for fiscal

4 year 2002 and such sums as may be necessary for

5 each of the 4 succeeding fiscal years.

6 ‘‘(3) EVEN START.—For the purpose of car7 rying out subpart 3 of part B, there are authorized

8 to be appropriated $250,000,000 for fiscal year

9 2002 and such sums as may be necessary for each

10 of the 4 succeeding fiscal years.

11 ‘‘(c) EDUCATION OF MIGRATORY CHILDREN.—For

12 the purpose of carrying out part C, there are authorized

13 to be appropriated $380,000,000 for fiscal year 2002 and

14 such sums as may be necessary for each of the 4 suc15 ceeding fiscal years.

16 ‘‘(d) PREVENTION AND INTERVENTION PROGRAMS

17 FOR YOUTH WHO ARE NEGLECTED, DELINQUENT, OR AT

18 RISK OF DROPPING OUT.—For the purpose of carrying

19 out part D, there are authorized to be appropriated

20 $46,000,000 for fiscal year 2002 and such sums as may

21 be necessary for each of the 4 succeeding fiscal years.

22 ‘‘(e) COMPREHENSIVE SCHOOL REFORM.—For the

23 purpose of carrying out part F, there are authorized to

24 be appropriated $260,000,000 for fiscal year 2002 and
11

•HR 1 IH

1 such sums as may be necessary for each of the 4 suc2 ceeding fiscal years.

3 ‘‘(f) RURAL EDUCATION.—For the purpose of car4 rying out part G, there are authorized to be appropriated

5 $125,000,000 for fiscal year 2002 and such sums as may

6 be necessary for each of 4 succeeding fiscal years to be

7 distributed equally between subparts 1 and 2.

8 ‘‘(g) CAPITAL EXPENSES.—For the purpose of car9 rying out section 1120(e), there are authorized to be ap10 propriated $5,000,000 for fiscal year 2002.

11 ‘‘(h) FEDERAL ACTIVITIES.—

12 ‘‘(1) SECTION 1501 AND 1502.—(A) For the pur13 pose of carrying out section 1501, there are author14 ized to be appropriated $9,000,000 for fiscal year

15 2002 and such sums as may be necessary for each

16 of the 4 succeeding fiscal years.

17 ‘‘(B) For the purpose of carrying out section

18 1502, there are authorized to be appropriated such

19 sums as may be necessary for fiscal year 2002 and

20 for each of the 4 succeeding fiscal years.

21 ‘‘(i) STATE ADMINISTRATION.—

22 ‘‘(1) STATE RESERVATION.—Each State may

23 reserve, from the sum of the amounts it receives

24 under parts A, C, and D of this title, an amount

25 equal to the greater of 1 percent of the amount it
12

•HR 1 IH

1 received under such parts for fiscal year 2001, or

2 $400,000 ($50,000 for each outlying area), includ3 ing any funds it receives under paragraph (2), to

4 carry out administrative duties assigned under parts

5 A, C, and D.

6 ‘‘(2) AUTHORIZATION OF APPROPRIATIONS.—

7 There are authorized to be appropriated

8 $10,000,000 for fiscal year 2002 and such sums as

9 may be necessary for each of the 4 succeeding fiscal

10 years for additional State administration grants.

11 Any such additional grants shall be allocated among

12 the States in proportion to the sum of the amounts

13 received by each State for that fiscal year under

14 parts A, C, and D of this title.

15 ‘‘(3) SPECIAL RULE.—The amount allocated to

16 each State under this subsection may not exceed the

17 amount of State funds expended by the State edu18 cational agency to administer elementary and sec19 ondary education programs in such State.

20 SEC. 103. RESERVATION FOR SCHOOL IMPROVEMENT.

21 Section 1003 is amended to read as follows:

22 ‘‘RESERVATION FOR SCHOOL IMPROVEMENT

23 ‘‘(a) STATE RESERVATIONS.—Each State shall re24 serve 3.5 percent of the amount it receives under subpart

25 2 of part A for fiscal years 2002 and 2003, and 5 percent

26 of the amount received under such subpart for fiscal years
13

•HR 1 IH

1 2004 through 2006, to carry out subsection (b) and to

2 carry out the State’s responsibilities under sections 1116

3 and 1117, including carrying out the State educational

4 agency’s statewide system of technical assistance and sup5 port for local educational agencies.

6 ‘‘(b) USES.—Of the amount reserved under sub7 section (a) for any fiscal year, the State educational agen8 cy shall make available at least 95 percent of that amount

9 directly to local educational agencies for schools identified

10 for school improvement, corrective action, and restruc11 turing under section 1116(c).’’.

12 ‘‘(c) UNUSED FUNDS.—If, after consultation with

13 local educational agencies in the State, the State edu14 cational agency determines that the amount of funds re15 serve to carry out subsection (b) is greater than the

16 amount needed to provide the assistance described in that

17 subsection, it may allocate the excess amount to local edu18 cational agencies in accordance with either or both—

19 ‘‘(1) the relative allocations it made to those

20 agencies for that fiscal year under subpart 2 of part

21 A; or

22 ‘‘(2) section 1126(c).’’.

23 SEC. 104. BASIC PROGRAMS.

24 Part A of title I is amended to read as follows:
14

•HR 1 IH

1 ‘‘PART A—IMPROVING BASIC PROGRAMS

2 OPERATED BY LOCAL EDUCATIONAL AGENCIES

3 ‘‘Subpart 1—Basic Program Requirements

4 ‘‘SEC. 1111. STATE PLANS.

5 ‘‘(a) PLANS REQUIRED.—

6 ‘‘(1) IN GENERAL.—Any State desiring to re7 ceive a grant under this part shall submit to the

8 Secretary, by March 1, 2002, a plan, developed in

9 consultation with local educational agencies, teach10 ers, principals, pupil services personnel, administra11 tors (including administrators of programs described

12 in other parts of this title), other staff, and parents,

13 that satisfies the requirements of this section and

14 that is coordinated with other programs under this

15 Act, the Individuals with Disabilities Education Act,

16 the Carl D. Perkins Vocational and Technical Edu17 cation Act of 1998, and the Head Start Act.

18 ‘‘(2) CONSOLIDATED PLAN.—A State plan sub19 mitted under paragraph (1) may be submitted as

20 part of a consolidated plan under section 8302.

21 ‘‘(b) STANDARDS, ASSESSMENTS, AND ACCOUNT22 ABILITY.—

23 ‘‘(1) CHALLENGING STANDARDS.—

24 ‘‘(A) Each State plan shall demonstrate

25 that the State has adopted challenging content

26 standards and challenging student achievement
15

•HR 1 IH

1 standards that will be used by the State, its

2 local educational agencies, and its schools to

3 carry out this part, except that a State shall

4 not be required to submit such standards to the

5 Secretary.

6 ‘‘(B) The standards required by subpara7 graph (A) shall be the same standards that the

8 State applies to all schools and children in the

9 State.

10 ‘‘(C) The State shall have such standards

11 for all public elementary and secondary school

12 children served under this part in subjects de13 termined by the State, but including at least

14 mathematics, reading or language arts, and

15 science (consistent with the special rule in sec16 tion 1111(j), which shall include the same

17 knowledge, skills, and levels of achievement ex18 pected of all children.

19 ‘‘(D) Standards under this paragraph shall

20 include—

21 ‘‘(i) challenging content standards in

22 academic subjects that—

23 ‘‘(I) specify what children are ex24 pected to know and be able to do;
16

•HR 1 IH

1 ‘‘(II) contain coherent and rig2 orous content; and

3 ‘‘(III) encourage the teaching of

4 advanced skills; and

5 ‘‘(ii) challenging student achievement

6 standards that—

7 ‘‘(I) are aligned with the State’s

8 content standards;

9 ‘‘(II) describe 2 levels of high

10 performance, proficient and advanced,

11 that determine how well children are

12 mastering the material in the State

13 content standards; and

14 ‘‘(III) describe a third level of

15 performance, basic, to provide com16 plete information about the progress

17 of the lower performing children to18 ward achieving to the proficient and

19 advanced levels of performance.

20 ‘‘(E) For the subjects in which students

21 will be served under this part, but for which a

22 State is not required by subparagraphs (A),

23 (B), and (C) to develop, and has not otherwise

24 developed such standards, the State plan shall

25 describe a strategy for ensuring that students
17

•HR 1 IH

1 are taught the same knowledge and skills in

2 such subjects and held to the same expectations

3 as are all children.

4 ‘‘(2) ACCOUNTABILITY.—

5 ‘‘(A) IN GENERAL.—Each State plan shall

6 demonstrate that the State has developed and is

7 implementing a statewide State accountability

8 system that has been or will be effective in en9 suring that all local educational agencies, public

10 elementary schools, and public secondary

11 schools make adequate yearly progress as de12 fined under subparagraph (B). Each State ac13 countability system shall—

14 ‘‘(i) be based on the standards and as15 sessments adopted under paragraphs (1)

16 and (4) and take into account the perform17 ance of all public school students;

18 ‘‘(ii) be the same as the accountability

19 system the State uses for all public schools

20 or all local educational agencies in the

21 State, except that public schools and local

22 educational agencies not participating

23 under this part are not subject to the re24 quirements of section 1116(c); and
18

•HR 1 IH

1 ‘‘(iii) include rewards and sanctions

2 the State will use to hold local educational

3 agencies and public schools accountable for

4 student achievement and for ensuring that

5 they make adequate yearly progress in ac6 cordance with the State’s definition under

7 subparagraph (B).

8 ‘‘(B) ADEQUATE YEARLY PROGRESS.—

9 Each State plan shall demonstrate, based on

10 assessments described under paragraph (4),

11 what constitutes adequate yearly progress of

12 the State, and of public schools and local edu13 cational agencies in the State, toward enabling

14 all public school students to meet the State’s

15 student achievement standards, while working

16 toward the goal of narrowing the achievement

17 gaps in the State.

18 ‘‘(C) DEFINITION.—‘Adequate yearly

19 progress’ shall be defined by the State in a

20 manner that—

21 ‘‘(i) applies the same high standards

22 of academic performance to all public

23 school students in the State;

24 ‘‘(ii) measures the progress of public

25 schools and local educational agencies
19

•HR 1 IH

1 based primarily on the assessments de2 scribed in paragraph (4);

3 ‘‘(iii) includes annual measurable ob4 jectives for continuing and significant im5 provement in each of the following (except

6 that disaggregation of data under sub7 clauses (II) and (III) shall not be required

8 in a case in which the number of students

9 in a category is insufficient to yield statis10 tically reliable information or the results

11 would reveal individually identifiable infor12 mation about an individual student):

13 ‘‘(I) The achievement of all public

14 school students.

15 ‘‘(II) The achievement of—

16 ‘‘(aa) economically disadvan17 taged students;

18 ‘‘(bb) students from major

19 racial and ethnic groups;

20 ‘‘(cc) students with disabil21 ities; and

22 ‘‘(dd) students with limited

23 English proficiency;

24 ‘‘(III) solely for the purpose of deter25 mining adequate yearly progress of the
20

•HR 1 IH

1 State, the acquisition of English language

2 proficiency by children with limited

3 English proficiency;

4 ‘‘(iv) at the State’s discretion, may

5 also include other academic measures such

6 as promotion, completion of college pre7 paratory courses, and high school comple8 tion (and for individual local educational

9 agencies and schools, the acquisition of

10 English language proficiency by children

11 with limited English proficiency), except

12 that inclusion of such other measures may

13 not change which schools or local edu14 cational agencies would otherwise be sub15 ject to improvement or corrective action

16 under section 1116 if the discretionary in17 dicators were not included; and

18 ‘‘(v) includes a timeline for ensuring

19 that each group of students described in

20 subclauses (I) and (II) of clause (iii) meets

21 or exceeds the State’s proficient level of

22 performance on the State assessment used

23 for the purposes of this section and section

24 1116 within 10 years from the date of the
21

•HR 1 IH

1 enactment of the No Child Left Behind

2 Act of 2001.

3 ‘‘(D) ANNUAL IMPROVEMENT FOR

4 SCHOOLS.—For a school to make adequate

5 yearly progress under subparagraph (A), not

6 less than 95 percent of each group of students

7 described in subparagraph (C)(iii)(II) who are

8 enrolled in the school are required to take the

9 assessments, consistent with section

10 612(a)(17)(A) of the Individuals with Disabil11 ities Education Act and paragraph (4)(G)(ii),

12 on which adequate yearly progress is based.

13 ‘‘(E) PUBLIC NOTICE AND COMMENT.—

14 Each State shall ensure that in developing its

15 plan, it diligently seeks public comment from a

16 range of institutions and individuals in the

17 State with an interest in improved student

18 achievement and that the State makes and will

19 continue to make a substantial effort to ensure

20 that information under this part is widely

21 known and understood by the public, parents,

22 teachers, and school administrators throughout

23 the State. Such efforts shall include, at a min24 imum, publication of such information and ex25 planatory text, broadly to the public through
22

•HR 1 IH

1 such means as the Internet, the media, and

2 public agencies.

3 ‘‘(3) STATE AUTHORITY.—If a State edu4 cational agency provides evidence, which is satisfac5 tory to the Secretary, that neither the State edu6 cational agency nor any other State government offi7 cial, agency, or entity has sufficient authority, under

8 State law, to adopt curriculum content and student

9 achievement standards, and assessments aligned

10 with such standards, which will be applicable to all

11 students enrolled in the State’s public schools, then

12 the State educational agency may meet the require13 ments of this subsection by—

14 ‘‘(A) adopting standards and assessments

15 that meet the requirements of this subsection,

16 on a statewide basis, limiting their applicability

17 to students served under this part; or

18 ‘‘(B) adopting and implementing policies

19 that ensure that each local educational agency

20 in the State which receives grants under this

21 part will adopt curriculum content and student

22 achievement standards, and assessments

23 aligned with such standards, which meet all of

24 the criteria in this subsection and any regula25 tions regarding such standards and assessments
23

•HR 1 IH

1 which the Secretary may publish, and which are

2 applicable to all students served by each such

3 local educational agency.

4 ‘‘(4) ASSESSMENTS.—Each State plan shall

5 demonstrate that the State has implemented a set of

6 high-quality, yearly student assessments that in7 clude, at a minimum, assessments in mathematics,

8 reading or language arts, and science (consistent

9 with the special rule in section 1111(j), that will be

10 used as the primary means of determining the yearly

11 performance of each local educational agency and

12 school in enabling all children to meet the State’s

13 challenging student achievement standards. Such as14 sessments shall—

15 ‘‘(A) be the same assessments used to

16 measure the performance of all children;

17 ‘‘(B) be aligned with the State’s chal18 lenging content and student achievement stand19 ards and provide coherent information about

20 student attainment of such standards;

21 ‘‘(C) be used for purposes for which such

22 assessments are valid and reliable, and be con23 sistent with relevant, recognized professional

24 and technical standards for such assessments;
24

•HR 1 IH

1 ‘‘(D) measure the proficiency of students

2 in the academic subjects in which a State has

3 adopted challenging content and student

4 achievement standards, and be administered not

5 less than 1 or more times during—

6 ‘‘(i) grades 3 through 5;

7 ‘‘(ii) grades 6 through 9; and

8 ‘‘(iii) grades 10 through 12;

9 ‘‘(E) involve multiple up-to-date measures

10 of student achievement, including measures that

11 assess higher order thinking skills and under12 standing;

13 ‘‘(F) beginning not later than school year

14 2004-2005, measure the performance of stu15 dents against the challenging State content and

16 student achievement standards in grades 3

17 through 8 in at least mathematics, and reading

18 or language arts, except that the Secretary may

19 provide the State 1 additional year if the State

20 demonstrates that exceptional or uncontrollable

21 circumstances, such as a natural disaster or a

22 precipitous and unforeseen decline in the finan23 cial resources of the State, prevented full imple24 mentation of the assessments by that deadline
25

•HR 1 IH

1 and that it will complete implementation within

2 the additional 1-year period;

3 ‘‘(G) provide for—

4 ‘‘(i) the participation in such assess5 ments of all students;

6 ‘‘(ii) the reasonable adaptations and

7 accommodations for students with disabil8 ities defined under 602(3) of the Individ9 uals with Disabilities Education Act nec10 essary to measure the achievement of such

11 students relative to State content and

12 State student achievement standards;

13 ‘‘(iii) the inclusion of limited English

14 proficient students who shall be assessed,

15 to the extent practicable, in the language

16 and form most likely to yield accurate and

17 reliable information on what such students

18 know and can do in content areas;

19 ‘‘(iv) notwithstanding clause (iii), the

20 assessment (using tests written in English)

21 of reading or language arts of any student

22 who has attended school in the United

23 States (not including Puerto Rico) for 3 or

24 more consecutive school years, except if the

25 local educational agency determines, on a
26

•HR 1 IH

1 case-by-case individual basis, that assess2 ments in another language and form would

3 likely yield more accurate and reliable in4 formation on what such students know and

5 can do, the local educational agency may

6 assess such students in the appropriate

7 language other than English for 1 addi8 tional year; and

9 ‘‘(H) include students who have attended

10 schools in a local educational agency for a full

11 academic year but have not attended a single

12 school for a full academic year, except that the

13 performance of students who have attended

14 more than 1 school in the local educational

15 agency in any academic year shall be used only

16 in determining the progress of the local edu17 cational agency;

18 ‘‘(I) produce individual student reports to

19 be provided to parents, which include assess20 ment scores, or other information on the attain21 ment of student achievement standards; and

22 ‘‘(J) enable results to be disaggregated

23 within each State, local educational agency, and

24 school by gender, by each major racial and eth25 nic group, by English proficiency status, by mi-
27

•HR 1 IH

1 grant status, by students with disabilities as

2 compared to nondisabled students, and by eco3 nomically disadvantaged students as compared

4 to students who are not economically disadvan5 taged.

6 ‘‘(5) SPECIAL RULE.—Assessment measures

7 that do not meet the requirements of paragraph

8 (4)(C) may be included as 1 of the multiple meas9 ures, if a State includes in the State plan informa10 tion regarding the State’s efforts to validate such

11 measures.

12 ‘‘(6) LANGUAGE ASSESSMENTS.—Each State

13 plan shall identify the languages other than English

14 that are present in the participating student popu15 lation and indicate the languages for which yearly

16 student assessments are not available and are need17 ed. The State shall make every effort to develop

18 such assessments and may request assistance from

19 the Secretary if linguistically accessible assessment

20 measures are needed. Upon request, the Secretary

21 shall assist with the identification of appropriate as22 sessment measures in the needed languages, but

23 shall not mandate a specific assessment or mode of

24 instruction.
28

•HR 1 IH

1 ‘‘(7) ASSESSMENTS OF ENGLISH LANGUAGE

2 PROFICIENCY.—Each State plan shall demonstrate

3 that local educational agencies in the State will, be4 ginning no later than school year 2002–2003, annu5 ally assess the English proficiency of all students

6 with limited English proficiency in their schools.’’.

7 ‘‘(8) REQUIREMENT.—Each State plan shall

8 describe—

9 ‘‘(A) how the State educational agency will

10 assist each local educational agency and school

11 affected by the State plan to develop the capac12 ity to comply with each of the requirements of

13 sections 1112(c)(1)(D), 1114(c), and 1115(c)

14 that is applicable to such agency or school; and

15 ‘‘(B) such other factors as the State con16 siders appropriate to provide students an oppor17 tunity to achieve the knowledge and skills de18 scribed in the challenging content standards

19 adopted by the State.

20 ‘‘(c) OTHER PROVISIONS TO SUPPORT TEACHING

21 AND LEARNING.—Each State plan shall contain assur22 ances that—

23 ‘‘(1) the State shall produce, beginning with the

24 2003–2004 school year, the annual State report

25 cards described in subsection (h)(1);
29

•HR 1 IH

1 ‘‘(2) the State will participate, beginning in

2 school year 2002–2003, participate in annual assess3 ments of 4th and 8th grade reading and mathe4 matics under—

5 ‘‘(A) the State National Assessment of

6 Educational Progress carried out under section

7 411(b)(2) of the National Education Statistics

8 Act of 1994; or

9 ‘‘(B) another assessment selected by the

10 State which meets the criteria of section

11 7101(b)(1)(B)(ii) of this Act.

12 ‘‘(3) the State educational agency shall work

13 with other agencies, including educational service

14 agencies or other local consortia, and institutions to

15 provide technical assistance to local educational

16 agencies and schools to carry out the State edu17 cational agency’s responsibilities under this part, in18 cluding technical assistance in providing professional

19 development under section 1119A and technical as20 sistance under section 1117; and

21 ‘‘(4)(A) where educational service agencies

22 exist, the State educational agency shall consider

23 providing professional development and technical as24 sistance through such agencies; and
30

•HR 1 IH

1 ‘‘(B) where educational service agencies do not

2 exist, the State educational agency shall consider

3 providing professional development and technical as4 sistance through other cooperative agreements such

5 as through a consortium of local educational agen6 cies;

7 ‘‘(5) the State educational agency shall notify

8 local educational agencies and the public of the con9 tent and student achievement standards and assess10 ments developed under this section, and of the au11 thority to operate schoolwide programs, and will ful12 fill the State educational agency’s responsibilities re13 garding local educational agency improvement and

14 school improvement under section 1116, including

15 such corrective actions as are necessary;

16 ‘‘(6) the State educational agency shall provide

17 the least restrictive and burdensome regulations for

18 local educational agencies and individual schools par19 ticipating in a program assisted under this part;

20 ‘‘(7) the State educational agency shall inform

21 the Secretary and the public of how Federal laws, if

22 at all, hinder the ability of States to hold local edu23 cational agencies and schools accountable for stu24 dent academic performance;
31

•HR 1 IH

1 ‘‘(8) the State educational agency will encour2 age schools to consolidate funds from other Federal,

3 State, and local sources for schoolwide reform in

4 schoolwide programs under section 1114;

5 ‘‘(9) the State educational agency shall modify

6 or eliminate State fiscal and accounting barriers so

7 that schools can easily consolidate funds from other

8 Federal, State, and local sources for schoolwide pro9 grams under section 1114;

10 ‘‘(10) the State educational agency has involved

11 the committee of practitioners established under sec12 tion 1603(b) in developing the plan and monitoring

13 its implementation; and

14 ‘‘(11) the State educational agency shall inform

15 local educational agencies of the local educational

16 agency’s authority to transfer funds or enter into

17 performance agreements under title VII, to obtain

18 waivers under title VIII and, if the State is an Ed19 Flex Partnership State, to obtain waivers under the

20 Education Flexibility Partnership Act of 1999 (20

21 U.S.C. 5891a et seq.).

22 ‘‘(d) PEER REVIEW AND SECRETARIAL APPROVAL.—

23 The Secretary shall—

24 ‘‘(1) establish a peer review process to assist in

25 the review of State plans;
32

•HR 1 IH

1 ‘‘(2) approve a State plan within 120 days of

2 its submission unless the Secretary determines that

3 the plan does not meet the requirements of this sec4 tion;

5 ‘‘(3) if the Secretary determines that the State

6 plan does not meet the requirements of subsection

7 (a), (b), or (c), immediately notify the State of such

8 determination and the reasons for such determina9 tion;

10 ‘‘(4) not decline to approve a State’s plan

11 before—

12 ‘‘(A) offering the State an opportunity to

13 revise its plan;

14 ‘‘(B) providing technical assistance in

15 order to assist the State to meet the require16 ments under subsections (a), (b), and (c); and

17 ‘‘(C) providing a hearing; and

18 ‘‘(5) have the authority to disapprove a State

19 plan for not meeting the requirements of this part,

20 but shall not have the authority to require a State,

21 as a condition of approval of the State plan, to in22 clude in, or delete from, such plan 1 or more specific

23 elements of the State’s content standards or to use

24 specific assessment instruments or items.

25 ‘‘(e) DURATION OF THE PLAN.—
33

•HR 1 IH

1 ‘‘(1) IN GENERAL.—Each State plan shall—

2 ‘‘(A) be submitted for the first year for

3 which this part is in effect after the date of the

4 enactment of the No Child Left Behind Act of

5 2001;

6 ‘‘(B) remain in effect for the duration of

7 the State’s participation under this part; and

8 ‘‘(C) be periodically reviewed and revised

9 by the State, as necessary, to reflect changes in

10 the State’s strategies and programs under this

11 part.

12 ‘‘(2) ADDITIONAL INFORMATION.—If the State

13 makes significant changes in its plan, such as the

14 adoption of new State content standards and State

15 student achievement standards, new assessments, or

16 a new definition of adequate yearly progress, the

17 State shall submit such information to the Sec18 retary.

19 ‘‘(f) LIMITATION ON CONDITIONS.—Nothing in this

20 part shall be construed to authorize an officer or employee

21 of the Federal Government to mandate, direct, or control

22 a State, local educational agency, or school’s specific in23 structional content or student achievement standards and

24 assessments, curriculum, or program of instruction, as a

25 condition of eligibility to receive funds under this part.
34

•HR 1 IH

1 ‘‘(g) PENALTIES.—

2 ‘‘(1) FAILURE TO MEET DEADLINES ENACTED

3 IN 1994.—

4 ‘‘(A) IN GENERAL.—If a State fails to

5 meet the deadlines established by the Improving

6 America’s Schools Act of 1994 (or under any

7 waiver granted by the Secretary or under any

8 compliance agreement with the Secretary) for

9 demonstrating that it has in place challenging

10 content standards and student achievement

11 standards, and a system for measuring and

12 monitoring adequate yearly progress, the Sec13 retary shall withhold 25 percent of the funds

14 that would otherwise be available for State ad15 ministration and activities in each year until

16 the Secretary determines that the State meets

17 those requirements;

18 ‘‘(B) NO EXTENSION.—The Secretary shall

19 not grant any additional waivers of, or enter

20 into any additional compliance agreements to

21 extend, the deadlines described in subparagraph

22 (A) for any State.

23 ‘‘(2) FAILURE TO MEET REQUIREMENTS EN24 ACTED IN 2001.—If a State fails to meet any of the

25 requirements of this section, other than the require-
35

•HR 1 IH

1 ments described in paragraph (1), the Secretary may

2 withhold funds for State administration and for ac3 tivities until the Secretary determines that the State

4 has fulfilled those requirements.

5 ‘‘(h) REPORTS.—

6 ‘‘(1) ANNUAL STATE REPORT CARD.—

7 ‘‘(A) IN GENERAL.—Not later than the be8 ginning of the 2003–2004 school year, a State

9 that receives assistance under this Act shall

10 prepare and disseminate an annual State ‘‘re11 port card’’.

12 ‘‘(B) IMPLEMENTATION.—The State report

13 card shall be—

14 ‘‘(i) concise; and

15 ‘‘(ii) presented in a format and man16 ner that parents can understand, and

17 which, to the extent practicable, shall be in

18 a language the parents can understand.

19 ‘‘(C) PUBLIC DISSEMINATION.—The State

20 shall widely disseminate the information de21 scribed in subparagraph (D) to all schools and

22 local educational agencies in the State and

23 make the information broadly available through

24 public means, such as posting on the Internet,
36

•HR 1 IH

1 distribution to the media, and distribution

2 through public agencies.

3 ‘‘(D) REQUIRED INFORMATION.—The

4 State shall include in its annual State report

5 card—

6 ‘‘(i) information, in the aggregate, on

7 student achievement at each proficiency

8 level on the State assessments described in

9 subsection (b)(4)(F) (disaggregated by

10 race, ethnicity, gender, disability status,

11 migrant status, English proficiency, and

12 status as economically disadvantaged, ex13 cept that such disaggregation shall not be

14 required in a case in which the number of

15 students in a category is insufficient to

16 yield statistically reliable information or

17 the results would reveal individually identi18 fiable information about an individual stu19 dent);

20 ‘‘(ii) the percentage of students not

21 tested (disaggregated by the same cat22 egories and subject to the same exception);

23 ‘‘(iii) the percentage of students who

24 graduate from high school within 4 years

25 of starting high school;
37

•HR 1 IH

1 ‘‘(iv) the rate of completion of Ad2 vanced Placement courses and the rate of

3 passing of Advanced Placement tests;

4 ‘‘(v) the professional qualifications of

5 teachers in the aggregate, including the

6 percentage of teachers teaching with emer7 gency or provisional qualifications, and the

8 percentage of class sections not taught by

9 fully qualified teachers; and

10 ‘‘(vi) such other information (such as

11 dropout and school attendance rates; and

12 average class size by grade level) as the

13 State believes will best provide parents,

14 students, and other members of the public

15 with information on the progress of each of

16 the State’s public schools.

17 ‘‘(2) CONTENT OF LOCAL EDUCATIONAL AGEN18 CY REPORT CARDS.—

19 ‘‘(A) MINIMUM REQUIREMENTS.—The

20 State shall ensure that each local educational

21 agency collects appropriate data and includes in

22 its annual report for each of its schools, at a

23 minimum—
38

•HR 1 IH

1 ‘‘(i) the information described in para2 graph (1)(D) for each local educational

3 agency and school; and

4 ‘‘(ii)(I) in the case of a local edu5 cational agency—

6 ‘‘(aa) the number and percentage

7 of schools identified for school im8 provement and how long they have

9 been so identified, including schools

10 identified under section 1116(c) of

11 this Act; and

12 ‘‘(bb) information that shows

13 how students in its schools perform on

14 the statewide assessment compared to

15 students in the State as a whole; and

16 ‘‘(II) in the case of a school—

17 ‘‘(aa) whether it has been identi18 fied for school improvement; and

19 ‘‘(bb) information that shows

20 how its students performed on the

21 statewide assessment compared to

22 students in the local educational agen23 cy and the State as a whole.

24 ‘‘(B) OTHER INFORMATION.—A local edu25 cational agency may include in its annual re-
39

•HR 1 IH

1 ports any other appropriate information wheth2 er or not such information is included in the

3 annual State report.

4 ‘‘(C) PUBLIC DISSEMINATION.—The local

5 educational agency shall, not later than the be6 ginning of the 2003–2004 school year, publicly

7 disseminate the information described in this

8 paragraph to all schools in the district and to

9 all parents of students attending those schools

10 (to the extent practicable, in a language they

11 can understand), and make the information

12 broadly available through public means, such as

13 posting on the Internet, distribution to the

14 media, and distribution through public agencies.

15 ‘‘(3) PRE-EXISTING REPORT CARDS.—A State

16 or local educational agency that was providing public

17 report cards on the performance of students,

18 schools, local educational agencies, or the State prior

19 to the enactment of the No Child Left Behind Act

20 of 2001 may use those reports for the purpose of

21 this subsection, so long as any such report is modi22 fied, as may be needed, to contain the information

23 required by this subsection.

24 ‘‘(4) ANNUAL STATE REPORT TO THE SEC25 RETARY.—Each State receiving assistance under
40

•HR 1 IH

1 this Act shall report annually to the Secretary, and

2 make widely available within the State—

3 ‘‘(A) beginning with school year 2001–

4 2002, information on the State’s progress in

5 developing and implementing the assessment

6 system described in subsection (b)(4);

7 ‘‘(B) beginning not later than school year

8 2004–2005, information on the achievement of

9 students on the assessments required by that

10 subsection, including the disaggregated results

11 for the categories of students identified in sub12 section (b)(2)(C)(iii)(II);

13 ‘‘(C) beginning not later than school year

14 2002–2003, information on the acquisition of

15 English proficiency by children with limited

16 English proficiency; and

17 ‘‘(D) in any year before the State begins to

18 provide the information described in subpara19 graph (B), information on the results of stu20 dent assessments (including disaggregated re21 sults) required under this section.

22 ‘‘(5) PARENTS RIGHT-TO-KNOW.—

23 ‘‘(A) QUALIFICATIONS.—At the beginning

24 of each school year, a local educational agency

25 that receives funds under this part shall notify
41

•HR 1 IH

1 the parents of each student attending any

2 school receiving funds under this part that they

3 may request, and shall provide the parents

4 upon request (and in a timely manner), infor5 mation regarding the professional qualifications

6 of the student’s classroom teachers, including,

7 at a minimum, the following:

8 ‘‘(i) Whether the teacher has met

9 State qualification and licensing criteria

10 for the grade levels and subject areas in

11 which the teacher provides instruction.

12 ‘‘(ii) Whether the teacher is teaching

13 under emergency or other provisional sta14 tus through which State qualification or li15 censing criteria have been waived.

16 ‘‘(iii) The baccalaureate degree major

17 of the teacher and any other graduate cer18 tification or degree held by the teacher,

19 and the field of discipline of the certifi20 cation or degree.

21 ‘‘(iv) Whether the child is provided

22 services by paraprofessionals and the quali23 fications of such paraprofessional.

24 ‘‘(B) ADDITIONAL INFORMATION.—In ad25 dition to the information which parents may re-
42

•HR 1 IH

1 quest under subparagraph (A), and the infor2 mation provided in subsection (c), a school

3 which receives funds under this part shall pro4 vide to each individual parent—

5 ‘‘(i) information on the level of per6 formance of the individual student for

7 whom they are the parent in each of the

8 State assessments as required under this

9 part; and

10 ‘‘(ii) timely notice that the student for

11 whom they are the parent has been as12 signed, or has been taught for 4 or more

13 consecutive weeks by, a teacher who is not

14 fully qualified.

15 ‘‘(C) FORMAT.—The notice and informa16 tion provided to parents under this paragraph

17 shall be in an understandable and uniform for18 mat and, to the extent practicable, provided in

19 a language that the parents can understand.

20 ‘‘(6) PLAN CONTENT.—A State shall include in

21 its plan under subsection (b) an assurance that it

22 has in effect a policy that meets the requirements of

23 this section.
43

•HR 1 IH

1 ‘‘(i) PRIVACY.—Information collected under this sec2 tion shall be collected and disseminated in a manner that

3 protects the privacy of individuals.

4 ‘‘(j) SPECIAL RULE ON SCIENCE STANDARDS AND

5 ASSESSMENTS.—Notwithstanding subsections (b) and (h),

6 no State shall be required to meet the requirements under

7 this title relating to science standards until the beginning

8 of the 2005–2006 school year and science assessments

9 until the beginning of the 2007–2008 school year.

10 ‘‘SEC. 1112. LOCAL EDUCATIONAL AGENCY PLANS.

11 ‘‘(a) PLANS REQUIRED.—

12 ‘‘(1) SUBGRANTS.—A local educational agency

13 may receive a subgrant under this part for any fiscal

14 year only if such agency has on file with the State

15 educational agency a plan, approved by the State

16 educational agency, that is coordinated with other

17 programs under this Act, the Individuals with Dis18 abilities Education Act, the Carl D. Perkins Voca19 tional and Technical Education Act of 1998, the

20 Head Start Act, and other Acts, as appropriate.

21 ‘‘(2) CONSOLIDATED APPLICATION.—The plan

22 may be submitted as part of a consolidated applica23 tion under section 8305.
44

•HR 1 IH

1 ‘‘(b) PLAN PROVISIONS.—In order to help low achiev2 ing children achieve high standards, each local educational

3 agency plan shall include—

4 ‘‘(1) a description of additional high-quality

5 student assessments, if any, other than the assess6 ments described in the State plan under section

7 1111, that the local educational agency and schools

8 served under this part will use to—

9 ‘‘(A) determine the success of children

10 served under this part in meeting the State’s

11 student achievement standards and provide in12 formation to teachers, parents, and students on

13 the progress being made toward meeting the

14 State student achievement standards described

15 in section 1111(b)(1)(D)(ii);

16 ‘‘(B) assist in diagnosis, teaching, and

17 learning in the classroom in ways that best en18 able low-achieving children served under this

19 title to meet State standards and do well in the

20 local curriculum;

21 ‘‘(C) determine what revisions are needed

22 to projects under this title so that such children

23 meet the State’s student achievement stand24 ards; and
45

•HR 1 IH

1 ‘‘(2) at the local educational agency’s discre2 tion, a description of any other indicators that will

3 be used in addition to the assessments described in

4 paragraph (1) for the uses described in such para5 graph;

6 ‘‘(3) a description of the strategy the local edu7 cational agency will use to provide professional de8 velopment for teachers, and, if appropriate, pupil

9 services personnel, administrators, parents and other

10 staff, including local educational agency level staff in

11 accordance with section 1119A;

12 ‘‘(4) a description of how the local educational

13 agency will coordinate and integrate services pro14 vided under this part with other educational services

15 at the local educational agency or individual school

16 level, such as—

17 ‘‘(A) Even Start, Head Start, Reading

18 First, Early Reading First, and other preschool

19 programs, including plans for the transition of

20 participants in such programs to local elemen21 tary school programs; and

22 ‘‘(B) services for children with limited

23 English proficiency or with disabilities, migra24 tory children served under part C, neglected or

25 delinquent youth, Indian children served under
46

•HR 1 IH

1 part B of title III, homeless children, and immi2 grant children in order to increase program ef3 fectiveness, eliminate duplication, and reduce

4 fragmentation of the instructional program;

5 ‘‘(5) an assurance that the local educational

6 agency will participate, if selected, in the State Na7 tional Assessment of Educational Progress in 4th

8 and 8th grade reading and mathematics carried out

9 under section 411(b)(2) of the Education Statistics

10 Act of 1994, or in another assessment pursuant to

11 the State decision under section 7101(b)(1)(B)(ii);

12 ‘‘(6) a description of the poverty criteria that

13 will be used to select school attendance areas under

14 section 1113;

15 ‘‘(7) a description of how teachers, in consulta16 tion with parents, administrators, and pupil services

17 personnel, in targeted assistance schools under sec18 tion 1115, will identify the eligible children most in

19 need of services under this part;

20 ‘‘(8) a general description of the nature of the

21 programs to be conducted by such agency’s schools

22 under sections 1114 and 1115 and, where appro23 priate, educational services outside such schools for

24 children living in local institutions for neglected or

25 delinquent children, for neglected and delinquent
47

•HR 1 IH

1 children in community day school programs, and for

2 homeless children;

3 ‘‘(9) a description of how the local educational

4 agency will ensure that migratory children and for5 merly migratory children who are eligible to receive

6 services under this part are selected to receive such

7 services on the same basis as other children who are

8 selected to receive services under this part;

9 ‘‘(10) if appropriate, a description of how the

10 local educational agency will use funds under this

11 part to support preschool programs for children,

12 particularly children participating in Early Reading

13 First, or in a Head Start or Even Start program,

14 which services may be provided directly by the local

15 educational agency or through a subcontract with

16 the local Head Start agency designated by the Sec17 retary of Health and Human Services under section

18 641 of the Head Start Act, agencies operating Even

19 Start programs, Early Reading First, or another

20 comparable public early childhood development pro21 gram.

22 ‘‘(11) a description of the actions the local edu23 cational agency will take to assist its low-performing

24 schools, including schools identified under section

25 1116 as in need of improvement;
48

•HR 1 IH

1 ‘‘(12) a description of the actions the local edu2 cational agency will take to implement school choice,

3 consistent with the requirements of section 1116;

4 ‘‘(13) a description how the local educational

5 agency will meet the requirements of section

6 1119(b)(1).

7 ‘‘(c) ASSURANCES.—

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

9 agency plan shall provide assurances that the local

10 educational agency will—

11 ‘‘(A) inform eligible schools and parents of

12 schoolwide project authority and the ability of

13 such schools to consolidate funds from Federal,

14 State, and local sources;

15 ‘‘(B) provide technical assistance and sup16 port to schoolwide programs;

17 ‘‘(C) work in consultation with schools as

18 the schools develop the schools’ plans pursuant

19 to section 1114 and assist schools as the

20 schools implement such plans or undertake ac21 tivities pursuant to section 1115 so that each

22 school can make adequate yearly progress to23 ward meeting the State student achievement

24 standards;
49

•HR 1 IH

1 ‘‘(D) fulfill such agency’s school improve2 ment responsibilities under section 1116, in3 cluding taking corrective actions under section

4 1116(b)(6);

5 ‘‘(E) provide services to eligible children

6 attending private elementary and secondary

7 schools in accordance with section 1120, and

8 timely and meaningful consultation with private

9 school officials regarding such services;

10 ‘‘(F) take into account the experience of

11 model programs for the educationally disadvan12 taged, and the findings of relevant scientifically

13 based research indicating that services may be

14 most effective if focused on students in the ear15 liest grades at schools that receive funds under

16 this part;

17 ‘‘(G) in the case of a local educational

18 agency that chooses to use funds under this

19 part to provide early childhood development

20 services to low-income children below the age of

21 compulsory school attendance, ensure that such

22 services comply with the performance standards

23 established under section 641A(a) of the Head

24 Start Act;
50

•HR 1 IH

1 ‘‘(H) comply with the requirements of sec2 tion 1119 regarding the qualifications of teach3 ers and paraprofessionals;

4 ‘‘(I) inform eligible schools of the local

5 educational agency’s authority to obtain waivers

6 on the school’s behalf under title VIII of this

7 Act, and if the State is an Ed-Flex Partnership

8 State, to obtain waivers under the Education

9 Flexibility Partnership Act of 1999; and

10 ‘‘(J) coordinate and collaborate, to the ex11 tent feasible and necessary as determined by

12 the local educational agency, with other agen13 cies providing services to children, youth, and

14 families.

15 ‘‘(2) SPECIAL RULE.—In carrying out subpara16 graph (G) of paragraph (1) the Secretary—

17 ‘‘(A) shall consult with the Secretary of

18 Health and Human Services on the implemen19 tation of such subparagraph and shall establish

20 procedures (taking into consideration existing

21 State and local laws, and local teacher con22 tracts) to assist local educational agencies to

23 comply with such subparagraph; and

24 ‘‘(B) upon publication, shall disseminate to

25 local educational agencies the Head Start per-
51

•HR 1 IH

1 formance standards as in effect under section

2 641A(a) of the Head Start Act, and such agen3 cies affected by such subparagraph shall plan

4 for the implementation of such subparagraph

5 (taking into consideration existing State and

6 local laws, and local teacher contracts), includ7 ing pursuing the availability of other Federal,

8 State, and local funding sources to assist in

9 compliance with such subparagraph.

10 ‘‘(3) INAPPLICABILITY.—The provisions of this

11 subsection shall not apply to preschool programs

12 using the Even Start model or to Even Start pro13 grams which are expanded through the use of funds

14 under this part.

15 ‘‘(d) PLAN DEVELOPMENT AND DURATION.—

16 ‘‘(1) CONSULTATION.—Each local educational

17 agency plan shall be developed in consultation with

18 teachers, administrators (including administrators of

19 programs described in other parts of this title), and

20 other appropriate school personnel, and with parents

21 of children in schools served under this part.

22 ‘‘(2) DURATION.—Each such plan shall be sub23 mitted for the first year for which this part is in ef24 fect following the date of the enactment of the No

25 Child Left Behind Act of 2001 and shall remain in
52

•HR 1 IH

1 effect for the duration of the agency’s participation

2 under this part.

3 ‘‘(3) REVIEW.—Each local educational agency

4 shall periodically review, and as necessary, revise its

5 plan.

6 ‘‘(e) STATE APPROVAL.—

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

8 agency plan shall be filed according to a schedule es9 tablished by the State educational agency.

10 ‘‘(2) APPROVAL.—The State educational agency

11 shall approve a local educational agency’s plan only

12 if the State educational agency determines that the

13 local educational agency’s plan—

14 ‘‘(A) enables schools served under this part

15 to substantially help children served under this

16 part meet the standards expected of all children

17 described in section 1111(b)(1); and

18 ‘‘(B) meets the requirements of this sec19 tion.

20 ‘‘(f) PROGRAM RESPONSIBILITY.—The local edu21 cational agency plan shall reflect the shared responsibility

22 of schools, teachers, and the local educational agency in

23 making decisions regarding activities under sections 1114

24 and 1115.
53

•HR 1 IH

1 ‘‘(g) PARENTAL NOTIFICATION AND CONSENT FOR

2 ENGLISH LANGUAGE INSTRUCTION.—

3 ‘‘(1) NOTIFICATION.—If a local educational

4 agency uses funds under this part to provide English

5 language instruction to limited English proficient

6 children, the agency shall inform a parent or the

7 parents of a child participating in an English lan8 guage instruction program for limited English pro9 ficient children assisted under this part of—

10 ‘‘(A) the reasons for the identification of

11 the child as being in need of English language

12 instruction;

13 ‘‘(B) the child’s level of English pro14 ficiency, how such level was assessed, and the

15 status of the child’s academic achievement; and

16 ‘‘(C) how the English language instruction

17 program will specifically help the child acquire

18 English and meet age-appropriate standards for

19 grade promotion and graduation;

20 ‘‘(D) what the specific exit requirements

21 are for the program;

22 ‘‘(E) the expected rate of graduation from

23 the program into mainstream classes; and
54

•HR 1 IH

1 ‘‘(F) the expected rate of graduation from

2 high school for the program if funds under this

3 part are used for children in secondary schools.

4 ‘‘(2) CONSENT.—

5 ‘‘(A) IN GENERAL.—A parent or the par6 ents of a limited English proficient child who is

7 identified for participation in an English lan8 guage instruction program for limited English

9 proficient children assisted under this part

10 shall—

11 ‘‘(i) sign a form consenting to the stu12 dent’s placement in such a program prior

13 to such time as the student is enrolled in

14 the program; and

15 ‘‘(ii) select among methods of instruc16 tion, if more than 1 method is offered in

17 the program.

18 ‘‘(B) REMOVAL FROM PROGRAM UPON PA19 RENTAL REQUEST.—A parent or the parents of

20 a limited English proficient child who is partici21 pating in an English language instruction pro22 gram for limited English proficient children as23 sisted under this part shall have the right to

24 have their child immediately removed from the

25 program upon their request.
55

•HR 1 IH

1 ‘‘(3) RECEIPT OF INFORMATION.—A parent or

2 the parents of a limited English proficient child who

3 is identified for participation in an English language

4 instruction program for limited English proficient

5 children assisted under this part shall receive, in a

6 manner and form understandable to the parent or

7 parents, the information required by this subsection.

8 At a minimum, the parent or parents shall receive—

9 ‘‘(A) timely information about English lan10 guage instruction programs for limited English

11 proficient children assisted under this part;

12 ‘‘(B) if a parent of a participating child so

13 desires, notice of opportunities for regular

14 meetings for the purpose of formulating and re15 sponding to recommendations from such parent

16 or parents; and

17 ‘‘(C) procedural information for removing

18 a child from a program for limited English pro19 ficient children.

20 ‘‘(4) BASIS FOR ADMISSION OR EXCLUSION.—

21 Students shall not be admitted to, or excluded from,

22 any federally-assisted education program on the

23 basis of a surname or language-minority status.

24 ‘‘SEC. 1113. ELIGIBLE SCHOOL ATTENDANCE AREAS.

25 ‘‘(a) DETERMINATION.—
56

•HR 1 IH

1 ‘‘(1) IN GENERAL.—A local educational agency

2 shall use funds received under this part only in eligi3 ble school attendance areas.

4 ‘‘(2) ELIGIBLE SCHOOL ATTENDANCE AREAS.—

5 For the purposes of this part—

6 ‘‘(A) the term ‘school attendance area’

7 means, in relation to a particular school, the

8 geographical area in which the children who are

9 normally served by that school reside; and

10 ‘‘(B) the term ‘eligible school attendance

11 area’ means a school attendance area in which

12 the percentage of children from low-income

13 families is at least as high as the percentage of

14 children from low-income families in the local

15 educational agency as a whole.

16 ‘‘(3) LOCAL EDUCATIONAL AGENCY DISCRE17 TION.—

18 ‘‘(A) IN GENERAL.—Notwithstanding para19 graph (2), a local educational agency may—

20 ‘‘(i) designate as eligible any school

21 attendance area or school in which at least

22 35 percent of the children are from low-in23 come families;

24 ‘‘(ii) use funds received under this

25 part in a school that is not in an eligible
57

•HR 1 IH

1 school attendance area, if the percentage

2 of children from low-income families en3 rolled in the school is equal to or greater

4 than the percentage of such children in a

5 participating school attendance area of

6 such agency;

7 ‘‘(iii) designate and serve a school at8 tendance area or school that is not eligible

9 under subsection (b), but that was eligible

10 and that was served in the preceding fiscal

11 year, but only for 1 additional fiscal year;

12 and

13 ‘‘(iv) elect not to serve an eligible

14 school attendance area or eligible school

15 that has a higher percentage of children

16 from low-income families if—

17 ‘‘(I) the school meets the com18 parability requirements of section

19 1120A(c);

20 ‘‘(II) the school is receiving sup21 plemental funds from other State or

22 local sources that are spent according

23 to the requirements of section 1114 or

24 1115; and
58

•HR 1 IH

1 ‘‘(III) the funds expended from

2 such other sources equal or exceed the

3 amount that would be provided under

4 this part.

5 ‘‘(B) SPECIAL RULE.—Notwithstanding

6 subparagraph (A)(iv), the number of children

7 attending private elementary and secondary

8 schools who are to receive services, and the as9 sistance such children are to receive under this

10 part, shall be determined without regard to

11 whether the public school attendance area in

12 which such children reside is assisted under

13 subparagraph (A).

14 ‘‘(b) RANKING ORDER.—If funds allocated in accord15 ance with subsection (f) are insufficient to serve all eligible

16 school attendance areas, a local educational agency—

17 ‘‘(1) shall annually rank from highest to lowest

18 according to the percentage of children from low-in19 come families in each agency’s eligible school attend20 ance areas in the following order—

21 ‘‘(A) eligible school attendance areas in

22 which the concentration of children from low-in23 come families exceeds 75 percent; and

24 ‘‘(B) all remaining eligible school attend25 ance areas in which the concentration of chil-
59

•HR 1 IH

1 dren from low-income families is 75 percent or

2 lower either by grade span or for the entire

3 local educational agency;

4 ‘‘(2) shall, within each category listed in para5 graph (1), serve schools in rank order from highest

6 to lowest according to the ranking assigned under

7 paragraph (1);

8 ‘‘(3) notwithstanding paragraph (2), may give

9 priority, within each such category and in rank order

10 from highest to lowest subject to paragraph (4), to

11 eligible school attendance areas that serve children

12 in elementary schools; and

13 ‘‘(4) not serve a school described in paragraph

14 (1)(B) before serving a school described in para15 graph (1)(A).

16 ‘‘(c) LOW-INCOME MEASURES.—In determining the

17 number of children ages 5 through 17 who are from low18 income families, the local educational agency shall apply

19 the measures described in paragraphs (1) and (2) of this

20 subsection:

21 ‘‘(1) ALLOCATION TO PUBLIC SCHOOL ATTEND22 ANCE AREAS.—The local educational agency shall

23 use the same measure of poverty, which measure

24 shall be the number of children ages 5 through 17

25 in poverty counted in the most recent census data
60

•HR 1 IH

1 approved by the Secretary, the number of children

2 eligible for free and reduced priced lunches under

3 the National School Lunch Act, the number of chil4 dren in families receiving assistance under the State

5 program funded under part A of title IV of the So6 cial Security Act, or the number of children eligible

7 to receive medical assistance under the Medicaid

8 program, or a composite of such indicators, with re9 spect to all school attendance areas in the local edu10 cational agency—

11 ‘‘(A) to identify eligible school attendance

12 areas;

13 ‘‘(B) to determine the ranking of each

14 area; and

15 ‘‘(C) to determine allocations under sub16 section (f).

17 ‘‘(2) ALLOCATION FOR EQUITABLE SERVICE TO

18 PRIVATE SCHOOL STUDENTS.—

19 ‘‘(A) CALCULATION.—A local educational

20 agency shall have the final authority, consistent

21 with section 1120 to calculate the number of

22 private school children, ages 5 through 17, who

23 are low-income by—

24 ‘‘(i) using the same measure of low-in25 come used to count public school children;
61

•HR 1 IH

1 ‘‘(ii) using the results of a survey

2 that, to the extent possible, protects the

3 identity of families of private school stu4 dents and allowing such survey results to

5 be extrapolated if complete actual data are

6 not available; or

7 ‘‘(iii) applying the low-income percent8 age of each participating public school at9 tendance area, determined pursuant to this

10 section, to the number of private school

11 children who reside in that attendance

12 area.

13 ‘‘(B) COMPLAINT PROCESS.—Any dispute

14 regarding low-income data on private school

15 students shall be subject to the complaint proc16 ess authorized in section 8505.

17 ‘‘(d) EXCEPTION.—This section (other than sub18 sections (a)(3) and (f)) shall not apply to a local edu19 cational agency with a total enrollment of less than 1,500

20 children.

21 ‘‘(e) WAIVER FOR DESEGREGATION PLANS.—The

22 Secretary may approve a local educational agency’s writ23 ten request for a waiver of the requirements of subsections

24 (a) and (f), and permit such agency to treat as eligible,

25 and serve, any school that children attend under a deseg-
62

•HR 1 IH

1 regation plan ordered by a State or court or approved by

2 the Secretary, or such a plan that the agency continues

3 to implement after it has expired, if—

4 ‘‘(1) the number of economically disadvantaged

5 children enrolled in the school is not less than 25

6 percent of the school’s total enrollment; and

7 ‘‘(2) the Secretary determines on the basis of a

8 written request from such agency and in accordance

9 with such criteria as the Secretary establishes, that

10 approval of that request would further the purposes

11 of this part.

12 ‘‘(f) ALLOCATIONS.—

13 ‘‘(1) IN GENERAL.—A local educational agency

14 shall allocate funds received under this part to eligi15 ble school attendance areas or eligible schools, iden16 tified under subsection (b) in rank order on the

17 basis of the total number of children from low-in18 come families in each area or school.

19 ‘‘(2) SPECIAL RULE.—(A) Except as provided

20 in subparagraph (B), the per-pupil amount of funds

21 allocated to each school attendance area or school

22 under paragraph (1) shall be at least 125 percent of

23 the per-pupil amount of funds a local educational

24 agency received for that year under the poverty cri25 teria described by the local educational agency in the
63

•HR 1 IH

1 plan submitted under section 1112, except that this

2 paragraph shall not apply to a local educational

3 agency that only serves schools in which the percent4 age of such children is 35 percent or greater.

5 ‘‘(B) A local educational agency may reduce the

6 amount of funds allocated under subparagraph (A)

7 for a school attendance area or school by the amount

8 of any supplemental State and local funds expended

9 in that school attendance area or school for pro10 grams that meet the requirements of section 1114 or

11 1115.

12 ‘‘(3) RESERVATION.—A local educational agen13 cy shall reserve such funds as are necessary under

14 this part to provide services comparable to those

15 provided to children in schools funded under this

16 part to serve—

17 ‘‘(A) homeless children who do not attend

18 participating schools, including providing educa19 tionally related support services to children in

20 shelters;

21 ‘‘(B) children in local institutions for ne22 glected or delinquent children; and

23 ‘‘(C) if appropriate, neglected and delin24 quent children in community day school pro25 grams.
64

•HR 1 IH

1 ‘‘(4) SCHOOL IMPROVEMENT RESERVATION.—

2 In addition to the funding a local educational agency

3 receives under section 1003(b), a local educational

4 agency may reserve such funds as are necessary

5 under this part to meet such agency’s school im6 provement responsibilities under section 1116, in7 cluding taking corrective actions under section

8 1116(b)(6).

9 ‘‘(5) FINANCIAL INCENTIVES AND REWARDS

10 RESERVATION.—A local educational agency may re11 serve such funds as are necessary under this part to

12 provide financial incentives and rewards to teachers

13 who serve in schools eligible under subsection

14 (b)(1)(A) and identified for improvement under sec15 tion 1116(b)(1) for the purpose of attracting and re16 taining qualified and effective teachers.

17 ‘‘SEC. 1114. SCHOOLWIDE PROGRAMS.

18 ‘‘(a) PURPOSE.—The purpose of a schoolwide pro19 gram under this section is—

20 ‘‘(1) to enable a local educational agency to

21 consolidate funds under this part with other Federal,

22 State, and local funds, to upgrade the entire edu23 cational program in a high poverty school; and

24 ‘‘(2) to help ensure that all children in such a

25 school meet challenging State standards for student
65

•HR 1 IH

1 achievement, particularly those children who are

2 most at-risk of not meeting those standards.

3 ‘‘(b) USE OF FUNDS FOR SCHOOLWIDE PRO4 GRAMS.—

5 ‘‘(1) IN GENERAL.—A local educational agency

6 may consolidate funds under this part, together with

7 other Federal, State, and local funds, in order to up8 grade the entire educational program of a school

9 that serves an eligible school attendance area in

10 which not less than 25 percent of the children are

11 from low-income families, or not less than 25 per12 cent of the children enrolled in the school are from

13 such families.

14 ‘‘(2) IDENTIFICATION OF STUDENTS NOT RE15 QUIRED.—

16 ‘‘(A) IN GENERAL.—No school partici17 pating in a schoolwide program shall be re18 quired to identify particular children under this

19 part as eligible to participate in a schoolwide

20 program or to provide supplemental services to

21 such children.

22 ‘‘(B) SUPPLEMENT FUNDS.—A school par23 ticipating in a schoolwide program shall use

24 funds available to carry out this section only to

25 supplement the amount of funds that would, in
66

•HR 1 IH

1 the absence of funds under this part, be made

2 available from non-Federal sources for the

3 school, including funds needed to provide serv4 ices that are required by law for children with

5 disabilities and children with limited English

6 proficiency.

7 ‘‘(3) EXEMPTION FROM STATUTORY AND REGU8 LATORY REQUIREMENTS.—

9 ‘‘(A) EXEMPTION.—Except as provided in

10 subsection (c), the Secretary may, through pub11 lication of a notice in the Federal Register, ex12 empt schoolwide programs under this section

13 from statutory or regulatory provisions of any

14 other noncompetitive formula grant program

15 administered by the Secretary (other than for16 mula or discretionary grant programs under the

17 Individuals with Disabilities Education Act, ex18 cept as provided in section 613(a)(2)(D) of

19 such Act), or any discretionary grant program

20 administered by the Secretary, to support

21 schoolwide programs if the intent and purposes

22 of such other programs are met.

23 ‘‘(B) REQUIREMENTS.—A school that

24 chooses to use funds from such other programs

25 shall not be relieved of the requirements relat-
67

•HR 1 IH

1 ing to health, safety, civil rights, student and

2 parental participation and involvement, services

3 to private school children, maintenance of ef4 fort, uses of Federal funds to supplement, not

5 supplant non-Federal funds, or the distribution

6 of funds to State or local educational agencies

7 that apply to the receipt of funds from such

8 programs.

9 ‘‘(C) RECORDS.—A school that consoli10 dates funds from different Federal programs

11 under this section shall not be required to

12 maintain separate fiscal accounting records, by

13 program, that identify the specific activities

14 supported by those particular funds as long as

15 it maintains records that demonstrate that the

16 schoolwide program, considered as a whole ad17 dresses the intent and purposes of each of the

18 Federal programs that were consolidated to

19 support the schoolwide program.

20 ‘‘(4) PROFESSIONAL DEVELOPMENT.—Each

21 school receiving funds under this part for any fiscal

22 year shall devote sufficient resources to effectively

23 carry out the activities described in subsection

24 (c)(1)(D) in accordance with section 1119A for such

25 fiscal year, except that a school may enter into a
68

•HR 1 IH

1 consortium with another school to carry out such ac2 tivities.

3 ‘‘(c) COMPONENTS OF A SCHOOLWIDE PROGRAM.—

4 ‘‘(1) IN GENERAL.—A schoolwide program shall

5 include the following components:

6 ‘‘(A) A comprehensive needs assessment of

7 the entire school (including taking into account

8 the needs of migratory children as defined in

9 section 1309(2)) that is based on information

10 which includes the performance of children in

11 relation to the State content standards and the

12 State student achievement standards described

13 in section 1111(b)(1).

14 ‘‘(B) Schoolwide reform strategies that—

15 ‘‘(i) provide opportunities for all chil16 dren to meet the State’s proficient and ad17 vanced levels of student achievement de18 scribed in section 1111(b)(1)(D);

19 ‘‘(ii) use effective methods and in20 structional strategies that are based upon

21 scientifically based research that—

22 ‘‘(I) strengthen the core aca23 demic program in the school;

24 ‘‘(II) increase the amount and

25 quality of learning time, such as pro-
69

•HR 1 IH

1 viding an extended school year and

2 before- and after-school and summer

3 programs and opportunities, and help

4 provide an enriched and accelerated

5 curriculum; and

6 ‘‘(III) include strategies for meet7 ing the educational needs of histori8 cally underserved populations;

9 ‘‘(iii)(I) address the needs of all chil10 dren in the school, but particularly the

11 needs of low-achieving children and those

12 at risk of not meeting the State student

13 achievement standards who are members

14 of the target population of any program

15 that is included in the schoolwide program;

16 and

17 ‘‘(II) address how the school will de18 termine if such needs have been met; and

19 ‘‘(iv) are consistent with, and are de20 signed to implement, the State and local

21 improvement plans, if any.

22 ‘‘(C) Instruction by fully qualified (as de23 fined in section 8101) teachers.

24 ‘‘(D) In accordance with section 1119A

25 and subsection (b)(4), high quality and ongoing
70

•HR 1 IH

1 professional development for teachers and para2 professionals, and, where appropriate, pupil

3 services personnel, parents, principals, and

4 other staff to enable all children in the school

5 to meet the State’s student achievement stand6 ards.

7 ‘‘(E) Strategies to attract quality teachers

8 to high need schools, such as differential pay

9 systems or performance based pay.

10 ‘‘(F) Strategies to increase parental in11 volvement in accordance with section 1118,

12 such as family literary services.

13 ‘‘(G) Plans for assisting preschool children

14 in the transition from early childhood programs,

15 such as Head Start, Even Start, Early Reading

16 First, or a State-run preschool program, to

17 local elementary school programs.

18 ‘‘(H) Measures to include teachers in the

19 decisions regarding the use of assessments de20 scribed in section 1111(b)(4) in order to pro21 vide information on, and to improve, the per22 formance of individual students and the overall

23 instructional program.

24 ‘‘(I) Activities to ensure that students who

25 experience difficulty mastering the proficient or
71

•HR 1 IH

1 advanced levels of performance standards re2 quired by section 1111(b) shall be provided with

3 effective, timely additional assistance which

4 shall include measures to ensure that students’

5 difficulties are identified on a timely basis and

6 to provide sufficient information on which to

7 base effective assistance.

8 ‘‘(2) PLAN.—Any eligible school that desires to

9 operate a schoolwide program shall first develop (or

10 amend a plan for such a program that was in exist11 ence on the day before the date of the enactment of

12 the No Child Left Behind Act of 2001, a com13 prehensive plan for reforming the total instructional

14 program in the school that—

15 ‘‘(A) incorporates the components de16 scribed in paragraph (1);

17 ‘‘(B) describes how the school will use re18 sources under this part and from other sources

19 to implement those components; and

20 ‘‘(C) includes a list of State and local edu21 cational agency programs and other Federal

22 programs under subsection (b)(4) that will be

23 consolidated in the schoolwide program.

24 ‘‘(3) PLAN DEVELOPMENT.—The comprehen25 sive plan shall be—
72

•HR 1 IH

1 ‘‘(A) developed during a 1-year period,

2 unless—

3 ‘‘(i) the local educational agency de4 termines that less time is needed to de5 velop and implement the schoolwide pro6 gram; or

7 ‘‘(ii) the school operated a schoolwide

8 program on the day preceding the date of

9 the enactment of the No Child Left Behind

10 Act of 2001, in which case such school

11 may continue to operate such program, but

12 shall develop amendments to its existing

13 plan during the first year of assistance

14 under such Act to reflect the provisions of

15 this section;

16 ‘‘(B) developed with the involvement of the

17 community to be served and individuals who

18 will carry out such plan, including teachers,

19 principals, administrators (including adminis20 trators of programs described in other parts of

21 this title), if appropriate pupil services per22 sonnel, school staff and parents, and, if the

23 plan relates to a secondary school, students

24 from such school;
73

•HR 1 IH

1 ‘‘(C) in effect for the duration of the

2 school’s participation under this part and re3 viewed and revised, as necessary, by the school;

4 ‘‘(D) available to the local educational

5 agency, parents, and the public, and the infor6 mation contained in such plan shall be provided

7 in a format, and to the extent practicable, in a

8 language that they can understand; and

9 ‘‘(E) if appropriate, developed in coordina10 tion with programs under Reading First, Early

11 Reading First, Even Start, Carl D. Perkins Vo12 cational and Technical Education Act of 1998,

13 and the Head Start Act.

14 ‘‘(d) ACCOUNTABILITY.—A schoolwide program

15 under this section shall be subject to the school improve16 ment provisions of section 1116.

17 ‘‘(e) PREKINDERGARTEN PROGRAM.—A school that

18 is eligible for a schoolwide program under this section may

19 use funds made available under this title to establish or

20 enhance prekindergarten programs for 3-, 4-, and 5-year21 old children, such as Even Start programs or Early Read22 ing First programs.

23 ‘‘SEC. 1115. TARGETED ASSISTANCE SCHOOLS.

24 ‘‘(a) IN GENERAL.—In all schools selected to receive

25 funds under section 1113(f) that are ineligible for a
74

•HR 1 IH

1 schoolwide program under section 1114, or that choose

2 not to operate such a schoolwide program, a local edu3 cational agency may use funds received under this part

4 only for programs that provide services to eligible children

5 under subsection (b) identified as having the greatest need

6 for special assistance.

7 ‘‘(b) ELIGIBLE CHILDREN.—

8 ‘‘(1) ELIGIBLE POPULATION.—(A) The eligible

9 population for services under this section is—

10 ‘‘(i) children not older than age 21 who are

11 entitled to a free public education through

12 grade 12; and

13 ‘‘(ii) children who are not yet at a grade

14 level where the local educational agency pro15 vides a free public education.

16 ‘‘(B) From the population described in subpara17 graph (A), eligible children are children identified by

18 the school as failing, or most at risk of failing, to

19 meet the State’s challenging student achievement

20 standards on the basis of assessments under this

21 part, and, as appropriate, on the basis of multiple,

22 educationally related, objective criteria established

23 by the local educational agency and supplemented by

24 the school, except that children from preschool

25 through grade 2 may be selected solely on the basis
75

•HR 1 IH

1 of such criteria as teacher judgment, interviews with

2 parents, and other appropriate measures.

3 ‘‘(2) CHILDREN INCLUDED.—(A)(i) Children

4 with disabilities, migrant children, and children with

5 limited English proficiency are eligible for services

6 under this part on the same basis as other children.

7 ‘‘(ii) Funds received under this part may not be

8 used to provide services that are otherwise required

9 by law to be made available to such children but

10 may be used to coordinate or supplement such serv11 ices.

12 ‘‘(B) A child who, at any time in the 2 years

13 preceding the year for which the determination is

14 made, participated in a Head Start, Even Start pro15 gram, Early Reading First, or in preschool services

16 under this title, is eligible for services under this

17 part.

18 ‘‘(C)(i) A child who, at any time in the 2 years

19 preceding the year for which the determination is

20 made, received services under part C is eligible for

21 services under this part.

22 ‘‘(ii) A child in a local institution for neglected

23 or delinquent children or attending a community day

24 program for such children is eligible for services

25 under this part.
76

•HR 1 IH

1 ‘‘(D) A child who is homeless and attending any

2 school in the local educational agency is eligible for

3 services under this part.

4 ‘‘(c) COMPONENTS OF A TARGETED ASSISTANCE

5 SCHOOL PROGRAM.—

6 ‘‘(1) IN GENERAL.—To assist targeted assist7 ance schools and local educational agencies to meet

8 their responsibility to provide for all their students

9 served under this title the opportunity to meet the

10 State’s challenging student achievement standards in

11 subjects as determined by the State, each targeted

12 assistance program under this section shall—

13 ‘‘(A) use such program’s resources under

14 this part to help participating children meet

15 such State’s challenging student achievement

16 standards expected for all children;

17 ‘‘(B) ensure that planning for students

18 served under this part is incorporated into ex19 isting school planning;

20 ‘‘(C) use effective methods and instruc21 tional strategies that are based upon scientif22 ically based research that strengthens the core

23 academic program of the school and that—

24 ‘‘(i) give primary consideration to pro25 viding extended learning time such as an
77

•HR 1 IH

1 extended school year, before- and after2 school, and summer programs and oppor3 tunities;

4 ‘‘(ii) help provide an accelerated, high5 quality curriculum, including applied learn6 ing; and

7 ‘‘(iii) minimize removing children

8 from the regular classroom during regular

9 school hours for instruction provided under

10 this part;

11 ‘‘(D) coordinate with and support the reg12 ular education program, which may include

13 services to assist preschool children in the tran14 sition from early childhood programs or Early

15 Reading First programs to elementary school

16 programs;

17 ‘‘(E) provide instruction by fully qualified

18 teachers as defined in section 8101;

19 ‘‘(F) in accordance with subsection (e)(3)

20 and section 1119A, provide opportunities for

21 professional development with resources pro22 vided under this part, and, to the extent prac23 ticable, from other sources, for teachers, prin24 cipals, and administrators and other school

25 staff, including, if appropriate, pupil services
78

•HR 1 IH

1 personnel, who work with participating children

2 in programs under this section or in the regular

3 education program; and

4 ‘‘(G) provide strategies to increase paren5 tal involvement in accordance with section

6 1118, such as family literacy services.

7 ‘‘(2) REQUIREMENTS.—Each school conducting

8 a program under this section shall assist partici9 pating children selected in accordance with sub10 section (b) to meet the State’s proficient and ad11 vanced levels of achievement by—

12 ‘‘(A) the coordination of resources provided

13 under this part with other resources; and

14 ‘‘(B) reviewing, on an ongoing basis, the

15 progress of participating children and revising

16 the targeted assistance program, if necessary,

17 to provide additional assistance to enable such

18 children to meet the State’s challenging student

19 achievement standards, such as an extended

20 school year, before- and after-school, and sum21 mer programs and opportunities, training for

22 teachers regarding how to identify students that

23 require additional assistance, and training for

24 teachers regarding how to implement student

25 achievement standards in the classroom.
79

•HR 1 IH

1 ‘‘(d) INTEGRATION OF PROFESSIONAL DEVELOP2 MENT.—To promote the integration of staff supported

3 with funds under this part, public school personnel who

4 are paid with funds received under this part may partici5 pate in general professional development and school plan6 ning activities.

7 ‘‘(e) SPECIAL RULES.—

8 ‘‘(1) SIMULTANEOUS SERVICE.—Nothing in this

9 section shall be construed to prohibit a school from

10 serving students served under this section simulta11 neously with students with similar educational

12 needs, in the same educational settings where appro13 priate.

14 ‘‘(2) COMPREHENSIVE SERVICES.—If health,

15 nutrition, and other social services are not otherwise

16 available to eligible children in a targeted assistance

17 school and such school, if appropriate, has engaged

18 in a comprehensive needs assessment and established

19 a collaborative partnership with local service pro20 viders, and if funds are not reasonably available

21 from other public or private sources to provide such

22 services, then a portion of the funds provided under

23 this part may be used as a last resort to provide

24 such services, including—
80

•HR 1 IH

1 ‘‘(A) the provision of basic medical equip2 ment, such as eyeglasses and hearing aids; and

3 ‘‘(B) professional development necessary to

4 assist teachers, pupil services personnel, other

5 staff, and parents in identifying and meeting

6 the comprehensive needs of eligible children.

7 ‘‘(3) PROFESSIONAL DEVELOPMENT.—Each

8 school receiving funds under this part for any fiscal

9 year shall devote sufficient resources to carry out ef10 fectively the professional development activities de11 scribed in subparagraph (F) of subsection (c)(1) in

12 accordance with section 1119A for such fiscal year,

13 except that a school may enter into a consortium

14 with another school to carry out such activities.

15 ‘‘SEC. 1115A. SCHOOL CHOICE.

16 ‘‘(a) CHOICE PROGRAMS.—A local educational agen17 cy may use funds under this part, in combination with

18 State, local, and private funds, to develop and implement

19 public school choice programs, for children eligible for as20 sistance under this part, which permit parents to select

21 the public school that their child will attend.

22 ‘‘(b) CHOICE PLAN.—A local educational agency that

23 chooses to implement a public school choice program shall

24 first develop a plan that includes assurances that—
81

•HR 1 IH

1 ‘‘(1) all eligible students across grade levels

2 served under this part will have equal access to the

3 program;

4 ‘‘(2) describe how the school will use resources

5 under this part and from other sources to implement

6 the plan;

7 ‘‘(3) the plan will be developed with the involve8 ment of parents and others in the community to be

9 served and individuals who will carry out the plan,

10 including administrators, teachers, principals, and

11 other staff;

12 ‘‘(4) parents of eligible students in the local

13 educational agency will be given prompt notice of the

14 existence of the public school choice program and its

15 availability to them, and a clear explanation of how

16 the program will operate;

17 ‘‘(5) the program will include charter schools

18 and any other public school and shall not include a

19 school that is or has been identified as a school in

20 school improvement or is or has been in corrective

21 action for the past 2 consecutive years;

22 ‘‘(6) transportation services or the costs of

23 transportation may be provided by the local edu24 cational agency with funds under this part; and
82

•HR 1 IH

1 ‘‘(7) such local educational agency will comply

2 with the other requirements of this part.

3 ‘‘SEC. 1116. ASSESSMENT AND LOCAL EDUCATIONAL AGEN4 CY AND SCHOOL IMPROVEMENT.

5 ‘‘(a) LOCAL REVIEW.—Each local educational agency

6 receiving funds under this part shall—

7 ‘‘(1) use the State assessments described in the

8 State plan;

9 ‘‘(2) use any additional measures or indicators

10 described in the local educational agency’s plan to

11 review annually the progress of each school served

12 under this part to determine whether the school is

13 meeting, or making adequate yearly progress as de14 fined in section 1111(b)(2)(B) toward enabling its

15 students to meet the State’s student achievement

16 standards described in the State plan;

17 ‘‘(3) publicize and disseminate to teachers and

18 other staff, parents, students, and the community,

19 the results of the annual review under paragraph

20 (2);

21 ‘‘(4) review the effectiveness of the actions and

22 activities the schools are carrying out under this

23 part with respect to parental involvement assisted

24 under this Act.

25 ‘‘(b) SCHOOL IMPROVEMENT.—
83

•HR 1 IH

1 ‘‘(1) IN GENERAL.—

2 ‘‘(A) IDENTIFICATION.—A local edu3 cational agency shall identify for school im4 provement any elementary or secondary school

5 served under this part that—

6 ‘‘(i) fails, for any year, to make ade7 quate yearly progress as defined in the

8 State’s plan under section 1111(b)(2); or

9 ‘‘(ii) was in school improvement status

10 under this section immediately before the

11 effective date of the No Child Left Behind

12 Act of 2001.

13 ‘‘(B) APPLICATION.—Paragraph (1) does

14 not apply to a school if almost every student in

15 the school is meeting the State’s advanced level

16 of performance.

17 ‘‘(C) REVIEW.—To determine if an ele18 mentary school or a secondary school that is

19 conducting a targeted assistance program under

20 section 1115 should be identified for school im21 provement under this subsection, a local edu22 cational agency may choose to review the

23 progress of only the students in the school who

24 are served, or are eligible for services, under

25 this part.
84

•HR 1 IH

1 ‘‘(2) OPPORTUNITY TO REVIEW AND PRESENT

2 EVIDENCE; TIME LIMIT.—

3 ‘‘(A) Before identifying an elementary

4 school or a secondary school for school improve5 ment under paragraph (1), for corrective action

6 under section 1116(b)(6), or for restructuring

7 under section 1116(b)(7), the local educational

8 agency shall provide the school with an oppor9 tunity to review the school-level data, including

10 assessment data, on which the proposed identi11 fication is based.

12 ‘‘(B) EVIDENCE.—If the principal of a

13 school proposed for identification under para14 graph (1), (6), or (7) believes that the proposed

15 identification is in error for statistical or other

16 substantive reasons, the principal may provide

17 supporting evidence to the local educational

18 agency, which shall consider that evidence be19 fore making a final determination.

20 ‘‘(C) FINAL DETERMINATION.—Not later

21 than 30 days after a local educational agency

22 makes an initial determination concerning iden23 tifying a school under paragraph (1), (6), or

24 (7), the local educational agency shall make
85

•HR 1 IH

1 public a final determination on the status of the

2 school.

3 ‘‘(3) SCHOOL PLAN.—

4 ‘‘(A) REVISED PLAN.—Each school identi5 fied under paragraph (1) for school improve6 ment shall, not later than 3 months after being

7 so identified, develop or revise a school plan, in

8 consultation with parents, school staff, the local

9 educational agency serving the school, the local

10 school board, and other outside experts, for ap11 proval by such local educational agency. The

12 school plan shall cover a 2-year period and—

13 ‘‘(i) incorporate scientifically based re14 search strategies that strengthen the core

15 academic subjects in the school and ad16 dress the specific academic issues that

17 caused the school to be identified for

18 school improvement;

19 ‘‘(ii) adopt policies and practices con20 cerning the school’s core academic subjects

21 that have the greatest likelihood of ensur22 ing that all groups of students specified in

23 section 1111(b)(2)(C)(iii)(I) and (II) and

24 enrolled in the school will meet the State’s

25 proficient level of achievement on the State
86

•HR 1 IH

1 assessment described in section 1111(b)(4)

2 not later than 10 years after the date of

3 enactment of the No Child Left Behind

4 Act of 2001;

5 ‘‘(iii) provide an assurance that the

6 school shall reserve not less than 10 per7 cent of the funds made available to the

8 school under this part for each fiscal year

9 that the school is in school improvement

10 status, for the purpose of providing to the

11 school’s teachers and principal high-quality

12 professional development that—

13 ‘‘(I) directly addresses the aca14 demic performance problem that

15 caused the school to be identified for

16 school improvement; and

17 ‘‘(II) meets the requirements for

18 professional development activities

19 under section 1119A;

20 ‘‘(iv) specify how the funds described

21 in clause (iii) will be used to remove the

22 school from school improvement status;

23 ‘‘(v) establish specific annual, measur24 able goals for continuous and significant

25 progress by each group of students speci-
87

•HR 1 IH

1 fied in section 1111(b)(2)(C)(iii)(I) and

2 (II) and enrolled in the school that will en3 sure that all such groups of students shall

4 meet the State’s proficient level of achieve5 ment on the State assessment described in

6 section 1111(b)(4) not later than 10 years

7 after the date of enactment of the No

8 Child Left Behind Act of 2001;

9 ‘‘(vi) identify how the school will pro10 vide written notification about the identi11 fication to parents of each student enrolled

12 in such school, in a format and, to the ex13 tent practicable, in a language the parents

14 can understand; and

15 ‘‘(vii) specify the responsibilities of

16 the school, the local educational agency,

17 and the State educational agency serving

18 the school under the plan, including the

19 technical assistance to be provided by the

20 local educational agency under paragraph

21 (4).

22 ‘‘(B) CONDITIONAL APPROVAL.—The local

23 educational agency may condition approval of a

24 school plan on inclusion of 1 or more of the cor25 rective actions specified in paragraph (6)(D)(ii).
88

•HR 1 IH

1 ‘‘(C) PLAN IMPLEMENTATION.—A school

2 shall implement the school plan (including a re3 vised plan) expeditiously, but not later than the

4 beginning of the school year following the

5 school year in which the school was identified

6 for school improvement.

7 ‘‘(D) LOCAL EDUCATIONAL AGENCY AP8 PROVAL.—The local educational agency shall—

9 ‘‘(i) establish a peer-review process to

10 assist with review of a school plan pre11 pared by a school served by the local edu12 cational agency; and

13 ‘‘(ii) promptly review the school plan,

14 work with the school as necessary, and ap15 prove the school plan if it meets the re16 quirements of this paragraph.

17 ‘‘(4) TECHNICAL ASSISTANCE.—

18 ‘‘(A) IN GENERAL.—For each school iden19 tified for school improvement under paragraph

20 (1), the local educational agency serving the

21 school shall provide technical assistance with

22 funds allocated under section 1003 as the

23 school develops and implements the school plan.

24 ‘‘(B) SPECIFIC ASSISTANCE.—Such tech25 nical assistance—
89

•HR 1 IH

1 ‘‘(i) shall include assistance in ana2 lyzing data from the assessments required

3 under section 1111(b)(4), and other sam4 ples of student work, to identify and ad5 dress instructional problems and solutions;

6 ‘‘(ii) shall include assistance in identi7 fying and implementing instructional strat8 egies and methods that are tied to scientif9 ically based research and that have proven

10 effective in addressing the specific instruc11 tional issues that caused the school to be

12 identified for school improvement;

13 ‘‘(iii) shall include assistance in ana14 lyzing and revising the school’s budget so

15 that the school resources are more effec16 tively allocated for the activities most likely

17 to increase student performance and to re18 move the school from school improvement

19 status; and

20 ‘‘(iv) may be provided—

21 ‘‘(I) by the local educational

22 agency, through mechanisms author23 ized under section 1117; or

24 ‘‘(II) by the State educational

25 agency, an institution of higher edu-
90

•HR 1 IH

1 cation (in full compliance with all the

2 reporting provisions of title II of the

3 Higher Education Act of 1965), a pri4 vate not-for-profit organization or for5 profit organization, an educational

6 service agency, or another entity with

7 experience in helping schools improve

8 performance.

9 ‘‘(C) SCIENTIFICALLY BASED RE10 SEARCH.—Technical assistance provided under

11 this section by a local educational agency or an

12 entity approved by that agency shall be based

13 on scientifically based research.

14 ‘‘(5) NOTIFICATION TO PARENTS.—A local edu15 cational agency shall promptly provide parents (in a

16 format and, to the extent practicable, in a language

17 they can understand) of each student in an elemen18 tary school or a secondary school identified for

19 school improvement—

20 ‘‘(A) an explanation of what the school im21 provement identification means, and how the

22 school identified for school improvement com23 pares in terms of academic achievement to

24 other elementary schools or secondary schools
91

•HR 1 IH

1 served by the local educational agency and the

2 State educational agency involved;

3 ‘‘(B) the reasons for the identification;

4 ‘‘(C) an explanation of what the school

5 identified for school improvement is doing to

6 address the problem of low achievement;

7 ‘‘(D) an explanation of what the local edu8 cational agency or State educational agency is

9 doing to help the school address the achieve10 ment problem; and

11 ‘‘(E) an explanation of how parents de12 scribed in this paragraph can become involved

13 in addressing the academic issues that caused

14 the school to be identified for school improve15 ment.

16 ‘‘(6) CORRECTIVE ACTION.—

17 ‘‘(A) IN GENERAL.—In this subsection, the

18 term ‘corrective action’ means action, consistent

19 with State law, that—

20 ‘‘(i) substantially and directly re21 sponds to—

22 ‘‘(I) the consistent academic fail23 ure of a school that caused the local

24 educational agency to take such ac25 tion; and
92

•HR 1 IH

1 ‘‘(II) any underlying staffing,

2 curriculum, or other problem in the

3 school; and

4 ‘‘(ii) is designed to increase substan5 tially the likelihood that students enrolled

6 in the school identified for corrective action

7 will perform at the State’s proficient and

8 advanced levels of achievement on the

9 State assessment described in section

10 1111(b)(4).

11 ‘‘(B) SYSTEM.—In order to help students

12 served under this part meet challenging State

13 standards, each local educational agency shall

14 implement a system of corrective action in ac15 cordance with subparagraphs (C) through (F)

16 and paragraphs (7) through (9).

17 ‘‘(C) ROLE OF LOCAL EDUCATIONAL AGEN18 CY.—The local educational agency—

19 ‘‘(i) may identify for corrective action

20 and take corrective action with respect to

21 any school identified as in need of improve22 ment under paragraph (1);

23 ‘‘(ii) after providing technical assist24 ance under paragraph (4), shall identify

25 for corrective action and take corrective ac-
93

•HR 1 IH

1 tion with respect to any school served by

2 the local educational agency under this

3 part that—

4 ‘‘(I) fails to make adequate year5 ly progress, as defined by the State

6 under section 1111(b)(2), at the end

7 of the first school year after the

8 school year in which the school was

9 identified under paragraph (1); or

10 ‘‘(II) was in school-improvement

11 status for 2 years or in corrective-ac12 tion status under this subsection im13 mediately before the effective date of

14 the No Child Left Behind Act of

15 2001;

16 ‘‘(iii) shall continue to provide tech17 nical assistance while instituting any cor18 rective action under clause (i) or (ii); and

19 ‘‘(iv) shall, in any case described in

20 clause (ii), promptly notify parents of the

21 option to transfer their child to another

22 public school under subparagraph (D)(i).

23 ‘‘(D) REQUIREMENTS.—In the case of a

24 school described in subparagraph (C)(ii), the

25 local educational agency shall both—
94

•HR 1 IH

1 ‘‘(i) provide all students enrolled in

2 the school with the option to transfer to

3 another public school within the local edu4 cational agency, including a public charter

5 school, that has not been identified for

6 school improvement under paragraph (1),

7 unless such an option is prohibited by

8 State law; and

9 ‘‘(ii) take at least 1 of the following

10 corrective actions:

11 ‘‘(I) Replace the school staff

12 which are relevant to the failure to

13 make adequate yearly progress.

14 ‘‘(II) Institute and fully imple15 ment a new curriculum, including pro16 viding appropriate professional devel17 opment for all relevant staff, that is

18 based on scientifically based research

19 and offers substantial promise of im20 proving educational performance for

21 low-performing students.

22 ‘‘(E) DELAY.—A local educational agency

23 may delay, for a period not to exceed 1 year,

24 implementation of corrective action only if the

25 school’s failure to make adequate yearly
95

•HR 1 IH

1 progress was justified due to exceptional or un2 controllable circumstances, such as a natural

3 disaster or a precipitous and unforeseen decline

4 in the financial resources of the local edu5 cational agency or school.

6 ‘‘(F) PUBLICATION AND DISSEMINA7 TION.—The local educational agency shall pub8 lish and disseminate information regarding any

9 corrective action the local educational agency

10 takes under this paragraph at a school—

11 ‘‘(i) to the public and to the parents

12 of each student enrolled in the school sub13 ject to corrective action;

14 ‘‘(ii) in a format and, to the extent

15 practicable, in a language that the parents

16 can understand; and

17 ‘‘(iii) through such means as the

18 Internet, the media, and public agencies.

19 ‘‘(7) RESTRUCTURING.—

20 ‘‘(A) FAILURE TO MAKE ADEQUATE YEAR21 LY PROGRESS.—If—

22 ‘‘(i) after 1 additional year, a school

23 subject to corrective action under para24 graph (6) continues to fail to make ade25 quate yearly progress and students in the
96

•HR 1 IH

1 school who are from economically dis2 advantaged families are not making meas3 urable progress in the subjects included in

4 the State’s definition of adequate yearly

5 progress; or

6 ‘‘(ii) for 2 additional years a school

7 subject to corrective action under para8 graph (6) fails to make adequate yearly

9 progress, the local educational agency

10 shall—

11 ‘‘(I) provide all students enrolled

12 in the school with the option to trans13 fer to another public school within the

14 local educational agency, including a

15 public charter school, that has not

16 been identified for school improvement

17 under paragraph (1), unless prohib18 ited by State law;

19 ‘‘(II) make funds available to the

20 economically disadvantaged child’s

21 parents to place the child in a private

22 school or to obtain supplementary

23 educational services, in accordance

24 with subsection (d); and
97

•HR 1 IH

1 ‘‘(III) prepare a plan and make

2 necessary arrangements to carry out

3 subparagraph (B).

4 ‘‘(B) ALTERNATIVE GOVERNANCE.—Not

5 later than the beginning of the school year fol6 lowing the year in which the local educational

7 agency implements subparagraph (A), the local

8 educational agency shall implement 1 of the fol9 lowing alternative governance arrangements for

10 the school:

11 ‘‘(i) Reopening the school as a public

12 charter school.

13 ‘‘(ii) Replacing all or most of the

14 school staff.

15 ‘‘(iii) With the approval of a majority

16 of the teachers at the school and a major17 ity of parents of children enrolled at the

18 school, operation of the school by another

19 entity, such as a private management com20 pany.

21 ‘‘(iv) Turning the operation of the

22 school over to the State, if permitted under

23 State law and agreed to by the State.

24 ‘‘(C) AVAILABLE RESULTS.—The State

25 educational agency shall ensure that, for any
98

•HR 1 IH

1 school year in which a school is subject to cor2 rective action under paragraph (6)(C)(ii), and

3 for any school and school year described in sub4 paragraph (A) or (B) of this paragraph, the re5 sults of State assessments for that school are

6 available to the local educational agency by the

7 end of the school year in which the assessments

8 are administered.

9 ‘‘(D) PROMPT NOTICE.—The local edu10 cational agency shall provide prompt notice to

11 teachers and parents whenever subparagraph

12 (A) or (B) applies, shall provide them adequate

13 opportunity to comment before taking any ac14 tion under those paragraphs and to participate

15 in developing any plan under subparagraph

16 (A)(iii), and shall provide parents an expla17 nation of the options under subparagraph (A)(i)

18 and (ii).

19 ‘‘(8) TRANSPORTATION.—In any case described

20 in paragraph (6)(D)(i), (7)(A)(i)(I), and

21 (7)(A)(ii)(I) the local educational agency—

22 ‘‘(A) shall provide, or shall pay for the pro23 vision of, transportation for the student to the

24 school the child attends; and
99

•HR 1 IH

1 ‘‘(B) may use not more than 15 percent of

2 its allocation under this part for that purpose.

3 ‘‘(9) DURATION.—If any school identified for

4 reconstitution under paragraph (7)—

5 ‘‘(A) makes adequate yearly progress for 2

6 consecutive years, the local educational agency

7 need no longer subject it to corrective action or

8 identify it as in need of improvement; or

9 ‘‘(B) fails to make adequate yearly

10 progress, but children from low-income families

11 in the school make measurable educational

12 progress for 1 year, the local educational agen13 cy shall place or continue as appropriate the

14 school in corrective action under paragraph (6).

15 ‘‘(10) STATE RESPONSIBILITIES.—The State

16 shall—

17 ‘‘(A) make technical assistance under sec18 tion 1117 available to all schools identified for

19 school improvement and corrective action under

20 this subsection, to the extent possible with

21 funds reserved under section 1003; and

22 ‘‘(B) if it determines that a local edu23 cational agency has failed to carry out its re24 sponsibilities under this subsection, take such
100

•HR 1 IH

1 corrective actions as the State finds appropriate

2 and in compliance with State law.

3 ‘‘(c) STATE REVIEW AND LOCAL EDUCATIONAL

4 AGENCY IMPROVEMENT.—

5 ‘‘(1) IN GENERAL.—A State shall—

6 ‘‘(A) annually review the progress of each

7 local educational agency receiving funds under

8 this part to determine whether schools receiving

9 assistance under this part are making adequate

10 yearly progress as defined in section 1111(b)(2)

11 toward meeting the State’s student achievement

12 standards; and

13 ‘‘(B) publicize and disseminate to local

14 educational agencies, teachers and other staff,

15 parents, students, and the community the re16 sults of the State review consistent with section

17 1111, including statistically sound

18 disaggregated results, as required by section

19 1111(b)(2).

20 ‘‘(2) IDENTIFICATION OF LOCAL EDUCATIONAL

21 AGENCY FOR IMPROVEMENT.—A State shall identify

22 for improvement any local educational agency that—

23 ‘‘(A) for 2 consecutive years failed to make

24 adequate yearly progress as defined in the

25 State’s plan under section 1111(b)(2); or
101

•HR 1 IH

1 ‘‘(B) was in improvement status under this

2 section as this section was in effect on the day

3 preceding the date of the enactment of the No

4 Child Left Behind Act of 2001.

5 ‘‘(3) TRANSITION.—The 2-year period described

6 in paragraph (2)(A) shall include any continuous pe7 riod of time immediately preceding the date of the

8 enactment of the No Child Left Behind Act of 2001,

9 during which a local educational agency did not

10 make adequate yearly progress as defined in the

11 State’s plan, as such plan was in effect on the day

12 preceding the date of such enactment.

13 ‘‘(4) TARGETED ASSISTANCE SCHOOLS.—For

14 purposes of targeted assistance schools in a local

15 educational agency, a State educational agency may

16 choose to review the progress of only the students in

17 such schools who are served under this part.

18 ‘‘(5) OPPORTUNITY TO REVIEW AND PRESENT

19 EVIDENCE.—

20 ‘‘(A) REVIEW.—Before identifying a local

21 educational agency for improvement under

22 paragraph (2), a State educational agency shall

23 provide the local educational agency with an op24 portunity to review the local educational agency
102

•HR 1 IH

1 data, including assessment data, on which that

2 proposed identification is based.

3 ‘‘(B) SUPPORTING EVIDENCE.—If the local

4 educational agency believes that the proposed

5 identification is in error for statistical or other

6 substantive reasons, it may provide supporting

7 evidence to the State educational agency, which

8 such agency shall consider before making a

9 final determination.

10 ‘‘(6) NOTIFICATION TO PARENTS.—The State

11 educational agency shall promptly notify parents in

12 a format, and to the extent practicable in a language

13 they can understand, of each student enrolled in a

14 school in a local educational agency identified for

15 improvement, of the reasons for such agency’s iden16 tification and how parents can participate in upgrad17 ing the quality of the local educational agency.

18 ‘‘(7) LOCAL EDUCATIONAL AGENCY REVI19 SIONS.—

20 ‘‘(A) PLAN.—Each local educational agen21 cy identified under paragraph (2) shall, not

22 later than 3 months after being so identified,

23 develop or revise a local educational agency

24 plan, in consultation with parents, school staff,

25 and others. Such plan shall—
103

•HR 1 IH

1 ‘‘(i) incorporate scientifically based re2 search strategies that strengthen the core

3 academic program in the local educational

4 agency;

5 ‘‘(ii) identify specific goals and objec6 tives the local educational agency will un7 dertake to make adequate yearly progress

8 and which—

9 ‘‘(I) have the greatest likelihood

10 of improving the performance of par11 ticipating children in meeting the

12 State’s student achievement stand13 ards;

14 ‘‘(II) address the professional de15 velopment needs of staff; and

16 ‘‘(III) include specific measurable

17 achievement goals and targets for

18 each of the groups of students identi19 fied in the disaggregated data pursu20 ant to section 1111(b)(2)(C)(iii)(I)

21 and (II);

22 ‘‘(iii) identify how the local edu23 cational agency will provide written notifi24 cation to parents in a format, and to the

25 extent practicable in a language, that they
104

•HR 1 IH

1 can understand, pursuant to paragraph

2 (6); and

3 ‘‘(iv) specify the responsibilities of the

4 State educational agency and the local edu5 cational agency under the plan.

6 ‘‘(B) IMPLEMENTATION.—The local edu7 cational agency shall implement its plan or re8 vised plan expeditiously, but not later than the

9 beginning of the school year after which the

10 school has been identified for improvement.

11 ‘‘(8) STATE RESPONSIBILITY.—

12 ‘‘(A) IN GENERAL.—For each local edu13 cational agency identified under paragraph (2),

14 the State shall provide technical or other assist15 ance, if requested, as authorized under section

16 1117, to better enable the local educational

17 agency—

18 ‘‘(i) to develop and implement its re19 vised plan as approved by the State edu20 cational agency consistent with the require21 ments of this section; and

22 ‘‘(ii) to work with schools needing im23 provement.

24 ‘‘(B) TECHNICAL ASSISTANCE.—Technical

25 assistance provided under this section by the
105

•HR 1 IH

1 State educational agency or an entity author2 ized by such agency shall be based upon sci3 entifically based research.

4 ‘‘(9) CORRECTIVE ACTION.—In order to help

5 students served under this part meet challenging

6 State standards, each State shall implement a sys7 tem of corrective action in accordance with the fol8 lowing:

9 ‘‘(A) IN GENERAL.—After providing tech10 nical assistance under paragraph (8) and sub11 ject to subparagraph (D), the State—

12 ‘‘(i) may take corrective action at any

13 time with respect to a local educational

14 agency that has been identified under

15 paragraph (2);

16 ‘‘(ii) shall take corrective action with

17 respect to any local educational agency

18 that fails to make adequate yearly

19 progress, as defined by the State, after the

20 end of the second year following its identi21 fication under paragraph (2); and

22 ‘‘(iii) shall continue to provide tech23 nical assistance while instituting any cor24 rective action under clause (i) or (ii).
106

•HR 1 IH

1 ‘‘(B) DEFINITION.—As used in this para2 graph, the term ‘corrective action’ means ac3 tion, consistent with State law, that—

4 ‘‘(i) substantially and directly re5 sponds to the consistent academic failure

6 that caused the State to take such action

7 and to any underlying staffing, curricular,

8 or other problems in the school; and

9 ‘‘(ii) is designed to meet the goal of

10 having all students served under this part

11 perform at the proficient and advanced

12 performance levels.

13 ‘‘(C) CERTAIN LOCAL EDUCATIONAL AGEN14 CIES.—In the case of a local educational agency

15 described in this paragraph, the State edu16 cational agency shall take not less than 1 of the

17 following corrective actions:

18 ‘‘(i) Withhold funds from the local

19 educational agency.

20 ‘‘(ii) Replace the school district per21 sonnel who are relevant to the failure to

22 make adequate year progress.

23 ‘‘(iii) Remove particular schools from

24 the jurisdiction of the local educational

25 agency and establish alternative arrange-
107

•HR 1 IH

1 ments for public governance and super2 vision of such schools.

3 ‘‘(iv) Appoint, through the State edu4 cational agency, a receiver or trustee to ad5 minister the affairs of the local educational

6 agency in place of the superintendent and

7 school board.

8 ‘‘(v) Abolish or restructure the local

9 educational agency.

10 ‘‘(vi) Authorize students to transfer

11 from a school operated by a local edu12 cational agency to a higher performing

13 public school operated by another local

14 educational agency, or to a public charter

15 school and provide such students transpor16 tation (or the costs of transportation to

17 such schools), in conjunction with not less

18 than 1 additional action described under

19 this paragraph.

20 ‘‘(D) HEARING.—Prior to implementing

21 any corrective action, the State educational

22 agency shall provide due process and a hearing

23 to the affected local educational agency, if State

24 law provides for such process and hearing.
108

•HR 1 IH

1 ‘‘(E) PUBLICATION.—The State edu2 cational agency shall publish, and disseminate

3 to parents and the public any corrective action

4 it takes under this paragraph through such

5 means as the Internet, the media, and public

6 agencies.

7 ‘‘(F) DELAY.—A local educational agency

8 may delay, for a period not to exceed 1 year,

9 implementation of corrective action if the fail10 ure to make adequate yearly progress was justi11 fied due to exceptional or uncontrollable cir12 cumstances such as a natural disaster or a pre13 cipitous and unforeseen decline in the financial

14 resources of the local educational agency or

15 school.

16 ‘‘(10) SPECIAL RULE.—A local educational

17 agency, that, for at least 2 of the 3 years following

18 identification under paragraph (2), makes adequate

19 yearly progress shall no longer be identified for

20 school improvement.

21 ‘‘(d) PARENTAL CHOICE.—

22 ‘‘(1) IN GENERAL.—In any case described in

23 section 1116(b)(7)(A)(ii)(II) the local educational

24 agency shall permit the parents of each eligible child

25 defined in paragraph (7)(A) to—
109

•HR 1 IH

1 ‘‘(A) receive, from the agency, the child’s

2 share of funds allocated to the school under this

3 part, calculated under paragraph (2); and

4 ‘‘(B) use those funds to pay the costs of ei5 ther or both of the following:

6 ‘‘(i) Notwithstanding any other provi7 sion of this Act, attending a private school

8 that agrees to—

9 ‘‘(I) assess the student in mathe10 matics and reading and language arts

11 each year during grades 3 through 8

12 and at least once during grades 10

13 through 12, using assessments that

14 are comparable in what they measure

15 to the assessments used by the State;

16 and

17 ‘‘(II) provide the results of those

18 assessments to the student’s parents.

19 ‘‘(ii) Obtaining supplemental edu20 cational services from a provider approved

21 for that purpose by the State educational

22 agency, in accordance with reasonable cri23 teria it shall adopt, and paying for the

24 costs of transportation to obtain those

25 services.
110

•HR 1 IH

1 ‘‘(2) PER-CHILD AMOUNT.—The amount of a

2 school’s allocation under this part that it shall make

3 available to the parents of an eligible child under

4 paragraph (1)(B) is equal to—

5 ‘‘(A) the amount of the school’s allocation

6 under subpart 2 of this part, after subtracting

7 amounts reserved by the school—

8 ‘‘(i) to carry out parental involvement

9 activities under section 1118; and

10 ‘‘(ii) to provide professional develop11 ment required by section 1119A; divided

12 by—

13 ‘‘(B) the number of eligible children en14 rolled in the school.

15 ‘‘(3) LIMITATION.—The amount of funds pro16 vided to the parents of a child under this subsection

17 shall not exceed the actual costs of the parents for

18 either or both of the following:

19 ‘‘(A) Sending the child to a private school.

20 ‘‘(B) Obtaining supplemental educational

21 services for the child and providing transpor22 tation to those services.

23 ‘‘(4) DURATION.—The local educational agency

24 shall continue to provide funds to parents of a child

25 attending a private school under this section until
111

•HR 1 IH

1 the child completes the grade corresponding to the

2 highest grade offered at the public school the child

3 previously attended.

4 ‘‘(5) NONDISCRIMINATION.—

5 ‘‘(A) Except as provided in subparagraph

6 (B), title VI of the Civil Rights Act of 1964,

7 title IX of the Education Amendments of 1972,

8 and section 504 of the Rehabilitation Act of

9 1973, do not apply to a private schol that en10 rolls an eligible child who receives funds under

11 paragraph (1) by virtue of that child’s use of

12 those funds to enroll at that school.

13 ‘‘(B) The local educational agency shall en14 sure that a private school that enrolls an eligi15 ble child described in subparagraph (A) shall

16 afford the child the same rights against dis17 crimination provided by the statutes identified

18 in that subparagraph, and shall afford those

19 same rights to any eligible child who applies to

20 enroll in that school.

21 ‘‘(6) SCHOOL AID.—Funds used under this sub22 section for attendance at a private school shall be

23 considered assistance to the student and shall not be

24 considered as assistance to any school that chooses

25 to participate.
112

•HR 1 IH

1 ‘‘(7) DEFINITIONS.—As used in this subsection,

2 the term—

3 ‘‘(A) ‘eligible child’ means a child from a

4 low-income family, as determined by the local

5 educational agency for purposes of allocating

6 funds to schools under section 1113(c)(1); and

7 ‘‘(B) ‘supplementary educational services’

8 means tutoring and other supplemental aca9 demic enrichment services.

10 ‘‘SEC. 1117. STATE ASSISTANCE FOR SCHOOL SUPPORT AND

11 IMPROVEMENT.

12 ‘‘(a) SYSTEM FOR SUPPORT.—Each State shall es13 tablish a statewide system of intensive and sustained sup14 port and improvement for local educational agencies and

15 schools receiving funds under this part, in order to in16 crease the opportunity for all students in those agencies

17 and schools to meet the State’s content standards and stu18 dent achievement standards.

19 ‘‘(b) PRIORITIES.—In carrying out this section, a

20 State shall—

21 ‘‘(1) first, provide support and assistance to

22 local educational agencies subject to corrective action

23 under section 1116 and assist schools, in accordance

24 with section 1116(b)(10), for which a local edu-
113

•HR 1 IH

1 cational agency has failed to carry out its respon2 sibilities under section 1116(b)(8) and (9);

3 ‘‘(2) second, provide support and assistance to

4 other local educational agencies identified as in need

5 of improvement under section 1116; and

6 ‘‘(3) third, provide support and assistance to

7 other local educational agencies and schools partici8 pating under this part that need that support and

9 assistance in order to achieve the purpose of this

10 part.

11 ‘‘(c) APPROACHES.—In order to achieve the purpose

12 described in subsection (a), each such system shall provide

13 technical assistance and support through such approaches

14 as—

15 ‘‘(1) school support teams, composed of individ16 uals who are knowledgeable about scientifically

17 based research and practice on teaching and learn18 ing, particularly about strategies for improving edu19 cational results for low-achieving children; and

20 ‘‘(2) the designation and use of ‘‘Distinguished

21 Educators’’, chosen from schools served under this

22 part that have been especially successful in improv23 ing academic achievement.

24 ‘‘(d) FUNDS.—Each State—
114

•HR 1 IH

1 ‘‘(1) shall use funds reserved under section

2 1003(a); and

3 ‘‘(2) may use State administrative funds au4 thorized under section 1002(i) for such purpose to

5 establish a Statewide system of support.

6 ‘‘(e) ALTERNATIVES.—The State may devise addi7 tional approaches to providing the assistance described in

8 paragraphs (1) and (2) of subsection (c), such as pro9 viding assistance through institutions of higher education

10 and educational service agencies or other local consortia,

11 and private providers of scientifically based technical as12 sistance and the State may seek approval from the Sec13 retary to use funds made available under section 1002(g)

14 for such approaches as part of the State plan.

15 ‘‘SEC. 1117A. ACADEMIC ACHIEVEMENT AWARDS PROGRAM.

16 ‘‘(a) ESTABLISHMENT OF ACADEMIC ACHIEVEMENT

17 AWARDS PROGRAM.—

18 ‘‘(1) IN GENERAL.—Each State receiving a

19 grant under this part may establish a program for

20 making academic achievement awards to recognize

21 and financially reward schools served under this part

22 that have—

23 ‘‘(A) significantly closed the achievement

24 gap between the groups of students defined in

25 section 1111(b)(2); or
115

•HR 1 IH

1 ‘‘(B) exceeded their adequate yearly

2 progress goals, consistent with section

3 1111(b)(2), for 2 or more consecutive years.

4 ‘‘(2) AWARDS TO TEACHERS.—A State program

5 under paragraph (1) may also recognize and provide

6 financial awards to teachers teaching in a school de7 scribed in such paragraph whose students consist8 ently make significant gains in academic achieve9 ment in the areas in which the teacher provides in10 struction.

11 ‘‘(b) FUNDING.—

12 ‘‘(1) RESERVATION OF FUNDS BY STATE.—For

13 the purpose of carrying out this section, each State

14 receiving a grant under this part may reserve, from

15 the amount (if any) by which the funds received by

16 the State under this part for a fiscal year exceed the

17 amount received by the State under this part for the

18 preceding fiscal year, not more than 30 percent of

19 such excess amount.

20 ‘‘(2) USE WITHIN 3 YEARS.—Notwithstanding

21 any other provision of law, the amount reserved

22 under paragraph (1) by a State for each fiscal year

23 shall remain available to the State until expended

24 for a period not exceeding 3 years.
116

•HR 1 IH

1 ‘‘(3) SPECIAL ALLOCATION RULE FOR SCHOOLS

2 IN HIGH-POVERTY AREAS.—

3 ‘‘(A) IN GENERAL.—Each State receiving

4 a grant under this part shall distribute at least

5 50 percent of the amount reserved under para6 graph (1) for each fiscal year to schools de7 scribed in subparagraph (B), or to teachers

8 teaching in such schools.

9 ‘‘(B) SCHOOL DESCRIBED.—A school de10 scribed in subparagraph (A) is a school whose

11 student population is in the highest quartile of

12 schools statewide in terms of the percentage of

13 children eligible for free and reduced priced

14 lunches under the National School Lunch Act.

15 ‘‘SEC. 1118. PARENTAL INVOLVEMENT.

16 ‘‘(a) LOCAL EDUCATIONAL AGENCY POLICY.—

17 ‘‘(1) IN GENERAL.—A local educational agency

18 may receive funds under this part only if such agen19 cy implements programs, activities, and procedures

20 for the involvement of parents in programs assisted

21 under this part consistent with the provisions of this

22 section. Such activities shall be planned and imple23 mented with meaningful consultation with parents of

24 participating children.
117

•HR 1 IH

1 ‘‘(2) WRITTEN POLICY.—Each local educational

2 agency that receives funds under this part shall de3 velop jointly with, agree upon with, and distribute

4 to, parents of participating children a written parent

5 involvement policy that is incorporated into the local

6 educational agency’s plan developed under section

7 1112, establishes the expectations for parent involve8 ment, and describes how the local educational agen9 cy will—

10 ‘‘(A) involve parents in the joint develop11 ment of the plan under section 1112, and the

12 process of school review and improvement under

13 section 1116;

14 ‘‘(B) provide the coordination, technical as15 sistance, and other support necessary to assist

16 participating schools in planning and imple17 menting effective parent involvement;

18 ‘‘(C) build the schools’ and parents’ capac19 ity for strong parent involvement as described

20 in subsection (e);

21 ‘‘(D) coordinate and integrate parental in22 volvement strategies under this part with paren23 tal involvement strategies under other pro24 grams, such as Head Start, Early Reading

25 First, Reading First, Even Start, the Parents
118

•HR 1 IH

1 as Teachers Program, the Home Instruction

2 Program for Preschool Youngsters, and State3 run preschool programs;

4 ‘‘(E) conduct, with the involvement of par5 ents, an annual evaluation of the content and

6 effectiveness of the parental involvement policy

7 in improving the academic quality of the schools

8 served under this part; and

9 ‘‘(F) involve parents in the activities of the

10 schools served under this part.

11 ‘‘(3) RESERVATION.—

12 ‘‘(A) IN GENERAL.—Each local educational

13 agency shall reserve not less than 1 percent of

14 such agency’s allocation under this part to

15 carry out this section, including family literacy

16 and parenting skills, except that this paragraph

17 shall not apply if 1 percent of such agency’s al18 location under this part (other than funds allo19 cated under section 1002(g) for the fiscal year

20 for which the determination is made is $5,000

21 or less.

22 ‘‘(B) PARENTAL INPUT.—Parents of children

23 receiving services under this part shall be involved in

24 the decisions regarding how funds reserved under
119

•HR 1 IH

1 subparagraph (A) are allotted for parental involve2 ment activities.

3 ‘‘(C) DISTRIBUTION OF FUNDS.—Not less than

4 95 percent of the funds reserved under subpara5 graph (A) shall be distributed to schools served

6 under this part.

7 ‘‘(b) SCHOOL PARENTAL INVOLVEMENT POLICY.—

8 ‘‘(1) IN GENERAL.—Each school served under

9 this part shall jointly develop with, and distribute to,

10 parents of participating children a written parental

11 involvement policy, agreed upon by such parents,

12 that shall describe the means for carrying out the

13 requirements of subsections (c) through (f). Parents

14 shall be notified of the policy in a format, and to the

15 extent practicable in a language they can under16 stand. Such policy shall be updated periodically to

17 meet the changing needs of parents and the school.

18 ‘‘(2) SPECIAL RULE.—If the school has a pa19 rental involvement policy that applies to all parents,

20 such school may amend that policy, if necessary, to

21 meet the requirements of this subsection.

22 ‘‘(3) AMENDMENT.—If the local educational

23 agency has a school district-level parental involve24 ment policy that applies to all parents, such agency
120

•HR 1 IH

1 may amend that policy, if necessary, to meet the re2 quirements of this subsection.

3 ‘‘(4) PARENTAL COMMENTS.—If the plan under

4 section 1112 is not satisfactory to the parents of

5 participating children, the local educational agency

6 shall submit any parent comments with such plan

7 when such local educational agency submits the plan

8 to the State.

9 ‘‘(c) POLICY INVOLVEMENT.—Each school served

10 under this part shall—

11 ‘‘(1) convene an annual meeting, at a conven12 ient time, to which all parents of participating chil13 dren shall be invited and encouraged to attend, to

14 inform parents of their school’s participation under

15 this part and to explain this part, its requirements,

16 and their right to be involved;

17 ‘‘(2) offer a flexible number of meetings, such

18 as meetings in the morning or evening, and may

19 provide, with funds provided under this part, trans20 portation, child care, or home visits, as such services

21 relate to parental involvement;

22 ‘‘(3) involve parents, in an organized, ongoing,

23 and timely way, in the planning, review, and im24 provement of programs under this part, including

25 the school parental involvement policy and the joint
121

•HR 1 IH

1 development of the schoolwide program plan under

2 section 1114(c)(2) and (c)(3), except that if a school

3 has in place a process for involving parents in the

4 joint planning and design of its programs, the school

5 may use that process, if such process includes an

6 adequate representation of parents of participating

7 children;

8 ‘‘(4) provide parents of participating children—

9 ‘‘(A) timely information about programs

10 under this part;

11 ‘‘(B) a description and explanation of the

12 curriculum in use at the school, the forms of as13 sessment used to measure student progress, and

14 the proficiency levels students are expected to

15 meet; and

16 ‘‘(5) if the schoolwide program plan under sec17 tion 1114(c)(2) and (c)(3) is not satisfactory to the

18 parents of participating children, submit any parent

19 comments on the plan when the school makes the

20 plan available to the local educational agency.

21 ‘‘(d) SHARED RESPONSIBILITIES FOR HIGH STU22 DENT PERFORMANCE.—As a component of the school23 level parental involvement policy developed under sub24 section (b), each school served under this part shall jointly

25 develop with parents for all children served under this part
122

•HR 1 IH

1 a school-parent compact that outlines how parents, the en2 tire school staff, and students will share the responsibility

3 for improved student achievement and the means by which

4 the school and parents will build and develop a partnership

5 to help children achieve the State’s high standards.

6 ‘‘(e) BUILDING CAPACITY FOR INVOLVEMENT.—To

7 ensure effective involvement of parents and to support a

8 partnership among the school, parents, and the commu9 nity to improve student achievement, each school and local

10 educational agency—

11 ‘‘(1) shall provide assistance to participating

12 parents in such areas as understanding the State’s

13 content standards and State student achievement

14 standards, the provisions of section 1111(b)(8),

15 State and local assessments, the requirements of this

16 part, and how to monitor a child’s progress and

17 work with educators to improve the performance of

18 their children;

19 ‘‘(2) shall provide materials and training to

20 help parents to work with their children to improve

21 their children’s achievement;

22 ‘‘(3) shall educate teachers, pupil services per23 sonnel, principals and other staff, with the assist24 ance of parents, in the value and utility of contribu25 tions of parents, and in how to reach out to, commu-
123

•HR 1 IH

1 nicate with, and work with parents as equal part2 ners, implement and coordinate parent programs,

3 and build ties between parents and the school;

4 ‘‘(4) shall coordinate and integrate parent in5 volvement programs and activities with Head Start,

6 Reading First, Early Reading First, Even Start, the

7 Home Instruction Programs for Preschool Young8 sters, the Parents as Teachers Program, and public

9 preschool programs and other programs, to the ex10 tent feasible and appropriate;

11 ‘‘(5) shall ensure, to the extent possible, that

12 information related to school and parent programs,

13 meetings, and other activities is sent to the parents

14 of participating children in the language used by

15 such parents;

16 ‘‘(6) may involve parents in the development of

17 training for teachers, principals, and other educators

18 to improve the effectiveness of such training in im19 proving instruction and services to the children of

20 such parents in a format, and to the extent prac21 ticable, in a language the parent can understand;

22 ‘‘(7) may provide necessary literacy training

23 from funds received under this part if the local edu24 cational agency has exhausted all other reasonably

25 available sources of funding for such activities;
124

•HR 1 IH

1 ‘‘(8) may pay reasonable and necessary ex2 penses associated with local parental involvement ac3 tivities, including transportation and child care

4 costs, to enable parents to participate in school-re5 lated meetings and training sessions;

6 ‘‘(9) may train parents to enhance the involve7 ment of other parents;

8 ‘‘(10) may arrange for teachers or other edu9 cators, who work directly with participating children,

10 to conduct in-home conferences with parents who are

11 unable to attend such conferences at school;

12 ‘‘(11) may adopt and implement model ap13 proaches to improving parental involvement;

14 ‘‘(12) may establish a districtwide parent advi15 sory council to provide advice on all matters related

16 to parental involvement in programs supported

17 under this part; and

18 ‘‘(13) may develop appropriate roles for com19 munity-based organizations and businesses in parent

20 involvement activities.

21 ‘‘(f) ACCESSIBILITY.—In carrying out the parental

22 involvement requirements of this part, local educational

23 agencies and schools, to the extent practicable, shall pro24 vide full opportunities for the participation of parents with

25 limited English proficiency or with disabilities and parents
125

•HR 1 IH

1 of migratory children, including providing information and

2 school reports required under section 1111 in a format,

3 and to the extent practicable, in a language such parents

4 understand.

5 ‘‘SEC. 1119. QUALIFICATIONS FOR TEACHERS AND PARA6 PROFESSIONALS.

7 ‘‘(a) TEACHERS.—

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

9 agency receiving assistance under this part shall en10 sure that all teachers hired on or after the effective

11 date of the No Child Left Behind Act of 2001 and

12 teaching in a program supported with funds under

13 this part are fully qualified.

14 ‘‘(2) PLAN.—Each State receiving assistance

15 under this part shall develop and submit to the Sec16 retary a plan to ensure that all teachers teaching

17 within the State are fully qualified not later than

18 December 31, 2005. Such plan shall include an as19 surance that the State will require each local edu20 cational agency and school receiving funds under

21 this part publicly to report their annual progress on

22 the agency’s and the school’s performance in in23 creasing the percentage of classes in core academic

24 areas taught by fully qualified teachers.

25 ‘‘(b) NEW PARAPROFESSIONALS.—
126

•HR 1 IH

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

2 agency receiving assistance under this part shall en3 sure that all paraprofessionals hired 1 year or more

4 after the effective date of the No Child Left Behind

5 Act of 2001 and working in a program supported

6 with funds under this part shall—

7 ‘‘(A) have completed at least 2 years of

8 study at an institution of higher education;

9 ‘‘(B) have obtained an associate’s (or high10 er) degree; or

11 ‘‘(C) have met a rigorous standard of qual12 ity that demonstrates, through a formal

13 assessment—

14 ‘‘(i) knowledge of, and the ability to

15 assist in instructing reading, writing, and

16 math; or

17 ‘‘(ii) knowledge of, and the ability to

18 assist in instructing reading readiness,

19 writing readiness, and math readiness, as

20 appropriate.

21 ‘‘(2) CLARIFICATION.—For purposes of para22 graph (1)(C), the receipt of a high school diploma

23 (or its recognized equivalent) shall be necessary but

24 not by itself sufficient to satisfy the requirements of

25 such paragraph.
127

•HR 1 IH

1 ‘‘(c) EXISTING PARAPROFESSIONALS.—Each local

2 educational agency receiving assistance under this part

3 shall ensure that all paraprofessionals hired before the

4 date that is 1 year after the effective date of the No Child

5 Left Behind Act of 2001 and working in a program sup6 ported with funds under this part shall, not later than 3

7 years after such effective date, satisfy the requirements

8 of subsection (b).

9 ‘‘(d) EXCEPTIONS FOR TRANSLATION AND PAREN10 TAL INVOLVEMENT ACTIVITIES.—Subsections (b) and (c)

11 shall not apply to a paraprofessional—

12 ‘‘(1) who is proficient in English and a lan13 guage other than English and who provides services

14 primarily to enhance the participation of children in

15 programs under this part by acting as a translator;

16 or

17 ‘‘(2) whose duties consist solely of conducting

18 parental involvement activities consistent with sec19 tion 1118.

20 ‘‘(e) GENERAL REQUIREMENT FOR ALL PARA21 PROFESSIONALS.—Each local educational agency receiving

22 assistance under this part shall ensure that all paraprofes23 sionals working in a program supported with funds under

24 this part, regardless of the paraprofessional’s hiring date,

25 possess a high school diploma or its recognized equivalent.
128

•HR 1 IH

1 ‘‘(f) DUTIES OF PARAPROFESSIONALS.—

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

3 agency receiving assistance under this part shall en4 sure that a paraprofessional working in a program

5 supported with funds under this part is not assigned

6 a duty inconsistent with this subsection.

7 ‘‘(2) RESPONSIBILITIES PARAPROFESSIONALS

8 MAY BE ASSIGNED.—A paraprofessional described in

9 paragraph (1) may only be assigned—

10 ‘‘(A) to provide one-on-one tutoring for eli11 gible students, if the tutoring is scheduled at a

12 time when a student would not otherwise re13 ceive instruction from a teacher;

14 ‘‘(B) to assist with classroom management,

15 such as organizing instructional and other ma16 terials;

17 ‘‘(C) to provide assistance in a computer

18 laboratory;

19 ‘‘(D) to conduct parental involvement ac20 tivities;

21 ‘‘(E) to provide support in a library or

22 media center;

23 ‘‘(F) to act as a translator; or

24 ‘‘(G) to provide instructional services to

25 students.
129

•HR 1 IH

1 ‘‘(3) ADDITIONAL LIMITATIONS.—A paraprofes2 sional described in paragraph (1)—

3 ‘‘(A) may not provide any instructional

4 service to a student unless the paraprofessional

5 is working under the direct supervision of a

6 fully qualified teacher; and

7 ‘‘(B) may not provide instructional services

8 to students in the area of reading, writing, or

9 math unless the paraprofessional has dem10 onstrated, through a State or local assessment,

11 the ability to effectively carry out reading, writ12 ing, or math instruction.

13 ‘‘(g) USE OF FUNDS.—

14 ‘‘(1) PROFESSIONAL DEVELOPMENT.—A local

15 educational agency receiving funds under this part

16 may use such funds to support ongoing training and

17 professional development to assist teachers and

18 paraprofessionals in satisfying the requirements of

19 this section.

20 ‘‘(2) LIMITATION ON USE OF FUNDS FOR PARA21 PROFESSIONALS.—

22 ‘‘(A) IN GENERAL.—Beginning on and

23 after the effective date of the No Child Left Be24 hind Act of 2001, a local educational agency

25 may not use funds received under this part to
130

•HR 1 IH

1 fund any paraprofessional hired after such date

2 unless the hiring is to fill a vacancy created by

3 the departure of another paraprofessional fund4 ed under this part and such new paraprofes5 sional satisfies the requirements of subsection

6 (b) or (c).

7 ‘‘(B) EXCEPTION.—Subparagraph (A)

8 shall not apply for a fiscal year to a local edu9 cational agency that can demonstrate to the

10 State that all teachers under the jurisdiction of

11 the agency are fully qualified.

12 ‘‘(h) VERIFICATION OF COMPLIANCE.—

13 ‘‘(1) IN GENERAL.—In verifying compliance

14 with this section, each local educational agency at a

15 minimum shall require that the principal of each

16 school operating a program under section 1114 or

17 1115 annually attest in writing as to whether such

18 school is in compliance with the requirements of this

19 section.

20 ‘‘(2) AVAILABILITY OF INFORMATION.—Copies

21 of attestations under paragraph (1)—

22 ‘‘(A) shall be maintained at each school op23 erating a program under section 1114 or 1115

24 and at the main office of the local educational

25 agency; and
131

•HR 1 IH

1 ‘‘(B) shall be available to any member of

2 the general public upon request.

3 ‘‘SEC. 1119A. PROFESSIONAL DEVELOPMENT.

4 ‘‘(a) PURPOSE.—The purpose of this section is to as5 sist each local educational agency receiving assistance

6 under this part in increasing the academic achievement

7 of eligible children (as defined in section 1115(b)) through

8 improved teacher quality.

9 ‘‘(b) PROFESSIONAL DEVELOPMENT ACTIVITIES.—

10 Professional development activities under this section

11 shall—

12 ‘‘(1) support professional development activities

13 that give teachers, principals, and administrators the

14 knowledge and skills to provide students with the op15 portunity to meet challenging State or local content

16 standards and student achievement standards;

17 ‘‘(2) support the recruiting, hiring, and training

18 of fully qualified teachers, including teachers fully

19 qualified through State and local alternative routes;

20 ‘‘(3) advance teacher understanding of effective

21 instructional strategies based on scientifically based

22 research for improving student achievement, at a

23 minimum, in reading or language arts and mathe24 matics;
132

•HR 1 IH

1 ‘‘(4) be directly related to the curriculum and

2 content areas in which the teacher provides instruc3 tion, except this requirement does not apply to ac4 tivities that instruct in methods of disciplining chil5 dren;

6 ‘‘(5) be designed to enhance the ability of a

7 teacher to understand and use the State’s standards

8 for the subject area in which the teacher provides in9 struction;

10 ‘‘(6) be tied to scientifically based research

11 demonstrating the effectiveness of such professional

12 development activities or programs in increasing stu13 dent achievement or substantially increasing the

14 knowledge and teaching skills of teachers;

15 ‘‘(7) be of sufficient intensity and duration (not

16 to include 1-day or short-term workshops and con17 ferences) to have a positive and lasting impact on

18 the teacher’s performance in the classroom;

19 ‘‘(8) be developed with extensive participation

20 of teachers, principals, parents, and administrators

21 of schools to be served under this part;

22 ‘‘(9) to the extent appropriate, provide training

23 for teachers in the use of technology so that tech24 nology and its applications are effectively used in the

25 classroom to improve teaching and learning in the
133

•HR 1 IH

1 curriculum and academic content areas in which the

2 teachers provide instruction; and

3 ‘‘(10) as a whole, be regularly evaluated for

4 their impact on increased teacher effectiveness and

5 improved student achievement, with the findings of

6 such evaluations used to improve the quality of pro7 fessional development.

8 ‘‘(c) ADDITIONAL PROFESSIONAL DEVELOPMENT

9 ACTIVITIES.—Such professional development activities

10 may include—

11 ‘‘(1) instruction in the use of data and assess12 ments to inform and instruct classroom practice;

13 ‘‘(2) instruction in ways that teachers, prin14 cipals, pupil services personnel, and school adminis15 trators may work more effectively with parents;

16 ‘‘(3) the forming of partnerships with institu17 tions of higher education to establish school-based

18 teacher training programs that provide prospective

19 teachers and novice teachers with an opportunity to

20 work under the guidance of experienced teachers and

21 college faculty;

22 ‘‘(4) the creation of career ladder programs for

23 paraprofessionals (assisting teachers under this

24 part) to obtain the education necessary for such
134

•HR 1 IH

1 paraprofessionals to become licensed and certified

2 teachers; and

3 ‘‘(5) instruction in ways to teach special needs

4 children.

5 ‘‘(c) PROGRAM PARTICIPATION.—Each local edu6 cational agency receiving assistance under this part may

7 design professional development programs so that—

8 ‘‘(1) all school staff in schools participating in

9 a schoolwide program under section 1114 can par10 ticipate in professional development activities; and

11 ‘‘(2) all school staff in targeted assistance

12 schools may participate in professional development

13 activities if such participation will result in better

14 addressing the needs of students served under this

15 part.

16 ‘‘(d) PARENTAL PARTICIPATION.—Parents may par17 ticipate in professional development activities under this

18 part if the school determines that parental participation

19 is appropriate.

20 ‘‘(e) CONSORTIA.—In carrying out such professional

21 development programs, local educational agencies may

22 provide services through consortia arrangements with

23 other local educational agencies, educational service agen24 cies or other local consortia, institutions of higher edu-
135

•HR 1 IH

1 cation, or other public or private institutions or organiza2 tions.

3 ‘‘(f) CONSOLIDATION OF FUNDS.—Funds provided

4 under this part that are used for professional development

5 purposes may be consolidated with funds provided under

6 title II of this Act and other sources.

7 ‘‘(g) DEFINITION.—The term ‘fully qualified’ has the

8 same meaning given such term in section 8101.

9 ‘‘(h) SPECIAL RULE.—No State educational agency

10 shall require a school or a local educational agency to ex11 pend a specific amount of funds for professional develop12 ment activities under this part, except that this paragraph

13 shall not apply with respect to requirements under section

14 1116(c)(9).

15 ‘‘SEC. 1120. PARTICIPATION OF CHILDREN ENROLLED IN

16 PRIVATE SCHOOLS.

17 ‘‘(a) GENERAL REQUIREMENT.—

18 ‘‘(1) IN GENERAL.—To the extent consistent

19 with the number of eligible children identified under

20 section 1115(b) in a local educational agency who

21 are enrolled in private elementary and secondary

22 schools, a local educational agency shall, after timely

23 and meaningful consultation with appropriate pri24 vate school officials, provide such children, on an eq25 uitable basis, special educational services or other
136

•HR 1 IH

1 benefits under this part (such as dual enrollment,

2 educational radio and television, computer equip3 ment and materials, other technology, and mobile

4 educational services and equipment) that address

5 their needs, and shall ensure that teachers and fami6 lies of these students participate, on an equitable

7 basis, in services and activities developed pursuant

8 to sections 1118 and 1119A.

9 ‘‘(2) SECULAR, NEUTRAL, NONIDEOLOGICAL.—

10 Such educational services or other benefits, including

11 materials and equipment, shall be secular, neutral,

12 and nonideological.

13 ‘‘(3) EQUITY.—Educational services and other

14 benefits for such private school children shall be eq15 uitable in comparison to services and other benefits

16 for public school children participating under this

17 part, and shall be provided in a timely manner.

18 ‘‘(4) EXPENDITURES.—Expenditures for edu19 cational services and other benefits to eligible private

20 school children shall be equal to the proportion of

21 funds allocated to participating school attendance

22 areas based on the number of children from low-in23 come families who attend private schools, which the

24 local educational agency may determine each year or

25 every 2 years.
137

•HR 1 IH

1 ‘‘(5) PROVISION OF SERVICES.—The local edu2 cational agency shall provide services under this sec3 tion directly or through contracts with public and

4 private agencies, organizations, and institutions.

5 ‘‘(b) CONSULTATION.—

6 ‘‘(1) IN GENERAL.—To ensure timely and

7 meaningful consultation, a local educational agency

8 shall consult with appropriate private school officials

9 during the design and development of such agency’s

10 programs under this part, on issues such as—

11 ‘‘(A) how the children’s needs will be iden12 tified;

13 ‘‘(B) what services will be offered;

14 ‘‘(C) how, where, and by whom the services

15 will be provided;

16 ‘‘(D) how the services will be assessed and

17 how the results of that assessment will be used

18 to improve those services;

19 ‘‘(E) the size and scope of the equitable

20 services to be provided to the eligible private

21 school children, and the amount of funds gen22 erated by low-income private school children in

23 each participating attendance area;

24 ‘‘(F) the method or sources of data that

25 are used under subsection (a)(4) and section
138

•HR 1 IH

1 1113(c)(2) to determine the number of children

2 from low-income families in participating school

3 attendance areas who attend private schools;

4 and

5 ‘‘(G) how and when the agency will make

6 decisions about the delivery of services to such

7 children, including a thorough consideration

8 and analysis of the views of the private school

9 officials on the provision of contract services

10 through potential third party providers.

11 If the local educational agency disagrees with the views

12 of the private school officials on the provision of services,

13 through a contract, the local educational agency shall pro14 vide in writing to such private school officials, an analysis

15 of the reasons why the local educational agency has chosen

16 not to use a contractor.

17 ‘‘(2) TIMING.—Such consultation shall include

18 meetings of agency and private school officials and

19 shall occur before the local educational agency

20 makes any decision that affects the opportunities of

21 eligible private school children to participate in pro22 grams under this part. Such meetings shall continue

23 throughout implementation and assessment of serv24 ices provided under this section.
139

•HR 1 IH

1 ‘‘(3) DISCUSSION.—Such consultation shall in2 clude a discussion of service delivery mechanisms a

3 local educational agency can use to provide equitable

4 services to eligible private school children.

5 ‘‘(4) DOCUMENTATION.—Each local educational

6 agency shall maintain in its records and provide to

7 the State educational agency a written affirmation

8 signed by officials of each participating private

9 school that the consultation required by this section

10 has occurred.

11 ‘‘(5) COMPLIANCE.—Private school officials

12 shall have the right to appeal to the State as to

13 whether the consultation provided for in this section

14 was meaningful and timely, and that due consider15 ation was given to the views of private school offi16 cials. If the private school wishes to appeal, the basis

17 of the claim of noncompliance with this section by

18 a local educational agency shall be provided to the

19 State, and the local educational agency shall forward

20 the documentation provided in subsection (b)(4) to

21 the State.

22 ‘‘(c) PUBLIC CONTROL OF FUNDS.—

23 ‘‘(1) IN GENERAL.—The control of funds pro24 vided under this part, and title to materials, equip25 ment, and property purchased with such funds, shall
140

•HR 1 IH

1 be in a public agency, and a public agency shall ad2 minister such funds and property.

3 ‘‘(2) PROVISION OF SERVICES.—(A) The provi4 sion of services under this section shall be

5 provided—

6 ‘‘(i) by employees of a public agency; or

7 ‘‘(ii) through contract by such public agen8 cy with an individual, association, agency, or or9 ganization.

10 ‘‘(B) In the provision of such services, such em11 ployee, person, association, agency, or organization

12 shall be independent of such private school and of

13 any religious organization, and such employment or

14 contract shall be under the control and supervision

15 of such public agency.

16 ‘‘(d) STANDARDS FOR A BYPASS.—If a local edu17 cational agency is prohibited by law from providing for

18 the participation on an equitable basis of eligible children

19 enrolled in private elementary and secondary schools or

20 if the Secretary determines that a local educational agency

21 has substantially failed or is unwilling to provide for such

22 participation, as required by this section, the Secretary

23 shall—

24 ‘‘(1) arrange for the provision of services to

25 such children through arrangements that shall be
141

•HR 1 IH

1 subject to the requirements of this section and sec2 tions 8505 and 8506; and

3 ‘‘(2) waive the requirements of this section for

4 such local educational agency;

5 ‘‘(3) in making the determination, consider 1 or

6 more factors, including the quality, size, scope, and

7 location of the program and the opportunity of eligi8 ble children to participate.

9 ‘‘(e) CAPITAL EXPENSES.—

10 ‘‘(1) IN GENERAL.—(A) From the amount ap11 propriated for this subsection under section 1002(e)

12 for any fiscal year, each State is eligible to receive

13 an amount that bears the same ratio to the amount

14 so appropriated as the number of private school chil15 dren who received services under this part in the

16 State in the most recent year for which data satis17 factory to the Secretary are available bears to the

18 number of such children in all States in that same

19 year.

20 ‘‘(B) The Secretary shall reallocate any

21 amounts allocated under subparagraph (A) that are

22 not used by a State for the purpose of this sub23 section to other States on the basis of their respec24 tive needs, as determined by the Secretary.
142

•HR 1 IH

1 ‘‘(2) CAPITAL EXPENSES.—(A) A local edu2 cational agency may apply to the State educational

3 agency for payments for capital expenses consistent

4 with this subsection.

5 ‘‘(B) State educational agencies shall distribute

6 such funds under this subsection to local educational

7 agencies based on the degree of need set forth in

8 their respective applications for assistance under this

9 subsection.

10 ‘‘(3) USES OF FUNDS.—Any funds appropriated

11 to carry out this subsection shall be used only for

12 capital expenses incurred to provide equitable serv13 ices for private school children under this section.

14 ‘‘SEC. 1120A. FISCAL REQUIREMENTS.

15 ‘‘(a) MAINTENANCE OF EFFORT.—A local edu16 cational agency may receive funds under this part for any

17 fiscal year only if the State educational agency finds that

18 the local educational agency has maintained its fiscal ef19 fort in accordance with section 8501 of this Act.

20 ‘‘(b) FEDERAL FUNDS TO SUPPLEMENT, NOT SUP21 PLANT, NON-FEDERAL FUNDS.—

22 ‘‘(1) IN GENERAL.—A State or local edu23 cational agency shall use funds received under this

24 part only to supplement the amount of funds that

25 would, in the absence of such Federal funds, be
143

•HR 1 IH

1 made available from non-Federal sources for the

2 education of pupils participating in programs as3 sisted under this part, and not to supplant such

4 funds.

5 ‘‘(2) SPECIAL RULE.—No local educational

6 agency shall be required to provide services under

7 this part through a particular instructional method

8 or in a particular instructional setting in order to

9 demonstrate such agency’s compliance with para10 graph (1).

11 ‘‘(c) COMPARABILITY OF SERVICES.—

12 ‘‘(1) IN GENERAL.—(A) Except as provided in

13 paragraphs (4) and (5), a local educational agency

14 may receive funds under this part only if State and

15 local funds will be used in schools served under this

16 part to provide services that, taken as a whole, are

17 at least comparable to services in schools that are

18 not receiving funds under this part.

19 ‘‘(B) If the local educational agency is serving

20 all of such agency’s schools under this part, such

21 agency may receive funds under this part only if

22 such agency will use State and local funds to provide

23 services that, taken as a whole, are substantially

24 comparable in each school.
144

•HR 1 IH

1 ‘‘(C) A local educational agency may meet the

2 requirements of subparagraphs (A) and (B) on a

3 grade-span by grade-span basis or a school-by-school

4 basis.

5 ‘‘(2) WRITTEN ASSURANCE.—(A) A local edu6 cational agency shall be considered to have met the

7 requirements of paragraph (1) if such agency has

8 filed with the State educational agency a written as9 surance that such agency has established and

10 implemented—

11 ‘‘(i) a local educational agency-wide salary

12 schedule;

13 ‘‘(ii) a policy to ensure equivalence among

14 schools in teachers, administrators, and other

15 staff; and

16 ‘‘(iii) a policy to ensure equivalence among

17 schools in the provision of curriculum materials

18 and instructional supplies.

19 ‘‘(B) For the purpose of subparagraph (A), in

20 the determination of expenditures per pupil from

21 State and local funds, or instructional salaries per

22 pupil from State and local funds, staff salary dif23 ferentials for years of employment shall not be in24 cluded in such determinations.
145

•HR 1 IH

1 ‘‘(C) A local educational agency need not in2 clude unpredictable changes in student enrollment or

3 personnel assignments that occur after the beginning

4 of a school year in determining comparability of

5 services under this subsection.

6 ‘‘(3) PROCEDURES AND RECORDS.—Each local

7 educational agency assisted under this part shall—

8 ‘‘(A) develop procedures for compliance

9 with this subsection; and

10 ‘‘(B) maintain records that are updated bi11 ennially documenting such agency’s compliance

12 with this subsection.

13 ‘‘(4) INAPPLICABILITY.—This subsection shall

14 not apply to a local educational agency that does not

15 have more than 1 building for each grade span.

16 ‘‘(5) COMPLIANCE.—For the purpose of deter17 mining compliance with paragraph (1), a local edu18 cational agency may exclude State and local funds

19 expended for—

20 ‘‘(A) English language instruction for chil21 dren of limited English proficiency; and

22 ‘‘(B) excess costs of providing services to

23 children with disabilities as determined by the

24 local educational agency.
146

•HR 1 IH

1 ‘‘(d) EXCLUSION OF FUNDS.—For the purpose of

2 complying with subsections (b) and (c), a State or local

3 educational agency may exclude supplemental State or

4 local funds expended in any school attendance area or

5 school for programs that meet the intent and purposes of

6 this part.

7 ‘‘SEC. 1120B. COORDINATION REQUIREMENTS.

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

9 receiving assistance under this part shall carry out the ac10 tivities described in subsection (b) with Head Start Agen11 cies, and if feasible, other early childhood development

12 programs such as Early Reading First.

13 ‘‘(b) ACTIVITIES.—The activities referred to in sub14 section (a) are activities that increase coordination be15 tween the local educational agency and a Head Start agen16 cy, and, if feasible, other early childhood development pro17 grams, such as Early Reading First serving children who

18 will attend the schools of such agency, including—

19 ‘‘(1) developing and implementing a systematic

20 procedure for receiving records regarding such chil21 dren transferred with parental consent from a Head

22 Start program or, where applicable, other early

23 childhood development programs such as Early

24 Reading First;
147

•HR 1 IH

1 ‘‘(2) establishing channels of communication be2 tween school staff and their counterparts in such

3 Head Start agencies (including teachers, social

4 workers, and health staff) or other early childhood

5 development programs such as Early Reading First,

6 as appropriate, to facilitate coordination of pro7 grams;

8 ‘‘(3) conducting meetings involving parents,

9 kindergarten or elementary school teachers, and

10 Head Start teachers or, if appropriate, teachers

11 from other early childhood development programs

12 such as Early Reading First, to discuss the develop13 mental and other needs of individual children;

14 ‘‘(4) organizing and participating in joint tran15 sition related training of school staff, Head Start

16 staff, Early Reading First staff and, where appro17 priate, other early childhood staff; and

18 ‘‘(5) linking the educational services provided in

19 such local educational agency with the services pro20 vided in local Head Start agencies and Early Read21 ing First programs.

22 ‘‘(c) COORDINATION OF REGULATIONS.—The Sec23 retary shall work with the Secretary of Health and Human

24 Services to coordinate regulations promulgated under this
148

•HR 1 IH

1 part with regulations promulgated under the Head Start

2 Act Amendments of 1994.

3 ‘‘Subpart 2—Allocations

4 ‘‘SEC. 1121. GRANTS FOR THE OUTLYING AREAS AND THE

5 SECRETARY OF THE INTERIOR.

6 ‘‘(a) RESERVATION OF FUNDS.—From the amount

7 appropriated for payments to States for any fiscal year

8 under section 1002(a), the Secretary shall reserve a total

9 of 1 percent to provide assistance to—

10 ‘‘(1) the outlying areas in the amount deter11 mined in accordance with subsection (b); and

12 ‘‘(2) the Secretary of the Interior in the amount

13 necessary to make payments pursuant to subsection

14 (d).

15 ‘‘(b) ASSISTANCE TO OUTLYING AREAS.—

16 ‘‘(1) FUNDS RESERVED.—From the amount

17 made available for any fiscal year under subsection

18 (a), the Secretary shall award grants to the outlying

19 areas.

20 ‘‘(2) COMPETITIVE GRANTS.—For fiscal years

21 2000 and 2001, the Secretary shall carry out the

22 competition described in paragraph (3), except that

23 the amount reserved to carry out such competition

24 shall not exceed the amount reserved under this sec-
149

•HR 1 IH

1 tion for the freely associated states for fiscal year

2 1999.

3 ‘‘(3) LIMITATION FOR COMPETITIVE GRANTS.—

4 ‘‘(A) COMPETITIVE GRANTS.—The Sec5 retary shall use funds described in paragraph

6 (2) to award grants, on a competitive basis, to

7 the outlying areas and freely associated States

8 to carry out the purposes of this part.

9 ‘‘(B) AWARD BASIS.—The Secretary shall

10 award grants under subparagraph (A) on a

11 competitive basis, pursuant to the recommenda12 tions of the Pacific Region Educational Labora13 tory in Honolulu, Hawaii.

14 ‘‘(C) ADMINISTRATIVE COSTS.—The Sec15 retary may provide not more than 5 percent of

16 the amount reserved for grants under this para17 graph to pay the administrative costs of the Pa18 cific Region Educational Laboratory under sub19 paragraph (B).

20 ‘‘(4) SPECIAL RULE.—The provisions of Public

21 Law 95–134, permitting the consolidation of grants

22 by the outlying areas, shall not apply to funds pro23 vided to the freely associated States under this sec24 tion.
150

•HR 1 IH

1 ‘‘(c) DEFINITIONS.—For the purposes of subsections

2 (a) and (b)—

3 ‘‘(1) the term ‘freely associated States’ means

4 the Republic of the Marshall Islands, the Federated

5 States of Micronesia, and the Republic of Palau; and

6 ‘‘(2) the term ‘outlying area’ means the United

7 States Virgin Islands, Guam, American Samoa, and

8 the Commonwealth of the Northern Mariana Is9 lands.

10 ‘‘(d) ALLOTMENT TO THE SECRETARY OF THE INTE11 RIOR.—

12 ‘‘(1) IN GENERAL.—The amount allotted for

13 payments to the Secretary of the Interior under sub14 section (a)(2) for any fiscal year shall be, as deter15 mined pursuant to criteria established by the Sec16 retary, the amount necessary to meet the special

17 educational needs of—

18 ‘‘(A) Indian children on reservations served

19 by elementary and secondary schools for Indian

20 children operated or supported by the Depart21 ment of the Interior; and

22 ‘‘(B) out-of-State Indian children in ele23 mentary and secondary schools in local edu24 cational agencies under special contracts with

25 the Department of the Interior.
151

•HR 1 IH

1 ‘‘(2) PAYMENTS.—From the amount allotted

2 for payments to the Secretary of the Interior under

3 subsection (a)(2), the Secretary of the Interior shall

4 make payments to local educational agencies, upon

5 such terms as the Secretary determines will best

6 carry out the purposes of this part, with respect to

7 out-of-State Indian children described in paragraph

8 (1). The amount of such payment may not exceed,

9 for each such child, the greater of—

10 ‘‘(A) 40 percent of the average per-pupil

11 expenditure in the State in which the agency is

12 located; or

13 ‘‘(B) 48 percent of such expenditure in the

14 United States.

15 ‘‘SEC. 1122. AMOUNTS FOR BASIC GRANTS, CONCENTRA16 TION GRANTS, AND TARGETED GRANTS.

17 ‘‘(a) ALLOCATION FORMULA.—Of the amount au18 thorized to be appropriated to carry out this part for each

19 of fiscal years 2002 through 2006 (referred to in this sub20 section as the current fiscal year)—

21 ‘‘(1) an amount equal to the amount appro22 priated to carry out section 1124 for fiscal year

23 2001 shall be allocated in accordance with section

24 1124;
152

•HR 1 IH

1 ‘‘(2) an amount equal to the amount appro2 priated to carry out section 1124A for fiscal year

3 2001 shall be allocated in accordance with section

4 1124A; and

5 ‘‘(3) an amount equal to 100 percent of the

6 amount, if any, by which the amount appropriated

7 under section 1002(a) for the current fiscal year ex8 ceeds the amount appropriated under such section

9 for fiscal year 2001 shall be allocated in accordance

10 with section 1125.

11 ‘‘(b) ADJUSTMENTS WHERE NECESSITATED BY AP12 PROPRIATIONS.—

13 ‘‘(1) IN GENERAL.—If the sums available under

14 this part for any fiscal year are insufficient to pay

15 the full amounts that all local educational agencies

16 in States are eligible to receive under sections 1124,

17 1124A, and 1125 for such year, the Secretary shall

18 ratably reduce the allocations to such local edu19 cational agencies, subject to subsections (c) and (d)

20 of this section.

21 ‘‘(2) ADDITIONAL FUNDS.—If additional funds

22 become available for making payments under sec23 tions 1124, 1124A, and 1125 for such fiscal year,

24 allocations that were reduced under paragraph (1)
153

•HR 1 IH

1 shall be increased on the same basis as they were re2 duced.

3 ‘‘(c) HOLD-HARMLESS AMOUNTS.—

4 ‘‘(1) AMOUNTS FOR SECTIONS 1124 AND 1125.—

5 For each fiscal year, the amount made available to

6 each local educational agency under each of sections

7 1124 and 1125 shall be—

8 ‘‘(A) not less than 95 percent of the

9 amount made available in the preceding fiscal

10 year if the number of children counted for

11 grants under section 1124 is not less than 30

12 percent of the total number of children aged 5

13 to 17 years, inclusive, in the local educational

14 agency;

15 ‘‘(B) not less than 90 percent of the

16 amount made available in the preceding fiscal

17 year if the percentage described in subpara18 graph (A) is between 15 percent and 30 per19 cent; and

20 ‘‘(C) not less than 85 percent of the

21 amount made available in the preceding fiscal

22 year if the percentage described in subpara23 graph (A) is below 15 percent.

24 ‘‘(2) AMOUNT FOR SECTION 1124A.—The

25 amount made available to each local educational
154

•HR 1 IH

1 agency under section 1124A shall be not less than

2 85 percent of the amount made available in the pre3 ceding fiscal year.

4 ‘‘(3) PAYMENTS.—If sufficient funds are appro5 priated, the amounts described in paragraph (2)

6 shall be paid to all local educational agencies that

7 received grants under section 1124A for the pre8 ceding fiscal year, regardless of whether the local

9 educational agency meets the minimum eligibility

10 criteria for that fiscal year provided in section

11 1124A(a)(1)(A) except that a local educational agen12 cy that does not meet such minimum eligibility cri13 teria for 4 consecutive years shall no longer be eligi14 ble to receive a hold harmless amount referred to in

15 paragraph (2).

16 ‘‘(4) POPULATION DATA.—In any fiscal year for

17 which the Secretary calculates grants on the basis of

18 population data for counties, the Secretary shall

19 apply the hold harmless percentages in paragraphs

20 (1) and (2) to counties, and if the Secretary’s alloca21 tion for a county is not sufficient to meet the hold22 harmless requirements of this subsection for every

23 local educational agency within that county, the

24 State educational agency shall reallocate funds pro25 portionately from all other local educational agencies
155

•HR 1 IH

1 in the State that are receiving funds in excess of the

2 hold harmless amounts specified in this subsection.

3 ‘‘(d) RATABLE REDUCTIONS.—

4 ‘‘(1) IN GENERAL.—If the sums made available

5 under this part for any fiscal year are insufficient to

6 pay the full amounts that all States are eligible to

7 receive under subsection (c) for such year, the Sec8 retary shall ratably reduce such amounts for such

9 year.

10 ‘‘(2) ADDITIONAL FUNDS.—If additional funds

11 become available for making payments under sub12 section (c) for such fiscal year, amounts that were

13 reduced under paragraph (1) shall be increased on

14 the same basis as such amounts were reduced.

15 ‘‘(e) DEFINITION.—For the purpose of this section

16 and sections 1124, 1124A, and 1125, the term ‘State’

17 means each of the 50 States, the District of Columbia,

18 and the Commonwealth of Puerto Rico.

19 ‘‘SEC. 1124. BASIC GRANTS TO LOCAL EDUCATIONAL AGEN20 CIES.

21 ‘‘(a) AMOUNT OF GRANTS.—

22 ‘‘(1) GRANTS FOR LOCAL EDUCATIONAL AGEN23 CIES AND PUERTO RICO.—Except as provided in

24 paragraph (4) and in section 1126, the grant that

25 a local educational agency is eligible to receive under
156

•HR 1 IH

1 this section for a fiscal year is the amount deter2 mined by multiplying—

3 ‘‘(A) the number of children counted under

4 subsection (c); and

5 ‘‘(B) 40 percent of the average per-pupil

6 expenditure in the State, except that the

7 amount determined under this subparagraph

8 shall not be less than 32 percent or more than

9 48 percent, of the average per-pupil expenditure

10 in the United States.

11 ‘‘(2) CALCULATION OF GRANTS.—

12 ‘‘(A) ALLOCATIONS TO LOCAL EDU13 CATIONAL AGENCIES.—The Secretary shall cal14 culate grants under this section on the basis of

15 the number of children counted under sub16 section (c) for local educational agencies, unless

17 the Secretary and the Secretary of Commerce

18 determine that some or all of those data are un19 reliable or that their use would be otherwise in20 appropriate, in which case—

21 ‘‘(i) the 2 Secretaries shall publicly

22 disclose the reasons for their determination

23 in detail; and

24 ‘‘(ii) paragraph (3) shall apply.
157

•HR 1 IH

1 ‘‘(B) ALLOCATIONS TO LARGE AND SMALL

2 LOCAL EDUCATIONAL AGENCIES.—(i) For any

3 fiscal year in which this paragraph applies, the

4 Secretary shall calculate grants under this sec5 tion for each local educational agency.

6 ‘‘(ii) The amount of a grant under this

7 section for each large local educational agency

8 shall be the amount determined under clause

9 (i).

10 ‘‘(iii) For small local educational agencies,

11 the State educational agency may either—

12 ‘‘(I) distribute grants under this sec13 tion in amounts determined by the Sec14 retary under clause (i); or

15 ‘‘(II) use an alternative method ap16 proved by the Secretary to distribute the

17 portion of the State’s total grants under

18 this section that is based on those small

19 agencies.

20 ‘‘(iv) An alternative method under clause

21 (iii)(II) shall be based on population data that

22 the State educational agency determines best

23 reflect the current distribution of children in

24 poor families among the State’s small local edu-
158

•HR 1 IH

1 cational agencies that meet the eligibility cri2 teria of subsection (b).

3 ‘‘(v) If a small local educational agency is

4 dissatisfied with the determination of its grant

5 by the State educational agency under clause

6 (iii)(II), it may appeal that determination to the

7 Secretary, who shall respond not later than 45

8 days after receipt of such appeal.

9 ‘‘(vi) As used in this subparagraph—

10 ‘‘(I) the term ‘large local educational

11 agency’ means a local educational agency

12 serving an area with a total population of

13 20,000 or more; and

14 ‘‘(II) the term ‘small local educational

15 agency’ means a local educational agency

16 serving an area with a total population of

17 less than 20,000.

18 ‘‘(3) ALLOCATIONS TO COUNTIES.—

19 ‘‘(A) CALCULATION.—For any fiscal year

20 to which this paragraph applies, the Secretary

21 shall calculate grants under this section on the

22 basis of the number of children counted under

23 section 1124(c) for counties, and State edu24 cational agencies shall suballocate county

25 amounts to local educational agencies, in ac-
159

•HR 1 IH

1 cordance with regulations issued by the Sec2 retary.

3 ‘‘(B) DIRECT ALLOCATIONS.—In any State

4 in which a large number of local educational

5 agencies overlap county boundaries, or for

6 which the State believes it has data that would

7 better target funds than allocating them by

8 county, the State educational agency may apply

9 to the Secretary for authority to make the allo10 cations under this part for a particular fiscal

11 year directly to local educational agencies with12 out regard to counties.

13 ‘‘(C) ASSURANCES.—If the Secretary ap14 proves the State educational agency’s applica15 tion under subparagraph (B), the State edu16 cational agency shall provide the Secretary an

17 assurance that such allocations shall be made—

18 ‘‘(i) using precisely the same factors

19 for determining a grant as are used under

20 this part; or

21 ‘‘(ii) using data that the State edu22 cational agency submits to the Secretary

23 for approval that more accurately target

24 poverty.
160

•HR 1 IH

1 ‘‘(D) APPEAL.—The State educational

2 agency shall provide the Secretary an assurance

3 that it shall establish a procedure through

4 which a local educational agency that is dissat5 isfied with its determinations under subpara6 graph (B) may appeal directly to the Secretary

7 for a final determination.

8 ‘‘(4) PUERTO RICO.—

9 ‘‘(A) IN GENERAL.—For each fiscal year,

10 the grant which the Commonwealth of Puerto

11 Rico shall be eligible to receive under this sec12 tion shall be the amount determined by multi13 plying the number of children counted under

14 subsection (c) for the Commonwealth of Puerto

15 Rico by the product of—

16 ‘‘(i) the percentage which the average

17 per-pupil expenditure in the Common18 wealth of Puerto Rico is of the lowest aver19 age per-pupil expenditure of any of the 50

20 States; and

21 ‘‘(ii) 32 percent of the average per22 pupil expenditure in the United States.

23 ‘‘(B) MINIMUM PERCENTAGE.—The per24 centage in subparagraph (A)(i) shall not be less

25 than—
161

•HR 1 IH

1 ‘‘(i) for fiscal year 2002, 77.5 percent;

2 ‘‘(ii) for fiscal year 2003, 80.0 per3 cent;

4 ‘‘(iii) for fiscal year 2004, 82.5 per5 cent; and

6 ‘‘(iv) for fiscal year 2005 and suc7 ceeding fiscal years, 85.0 percent.

8 ‘‘(C) LIMITATION.—If the application of

9 subparagraph (B) would result in any of the 50

10 States or the District of Columbia receiving less

11 under this part than it received under this part

12 for the preceding fiscal year, the percentage in

13 subparagraph (A) shall be the greater of the

14 percentage in subparagraph (A)(i) or the per15 centage used for the preceding fiscal year.

16 ‘‘(5) DEFINITION.—For purposes of this sub17 section, the term ‘State’ does not include Guam,

18 American Samoa, the Virgin Islands, and the North19 ern Mariana Islands.

20 ‘‘(b) MINIMUM NUMBER OF CHILDREN TO QUAL21 IFY.—A local educational agency is eligible for a basic

22 grant under this section for any fiscal year only if the

23 number of children counted under subsection (c) for that

24 agency is both—

25 ‘‘(1) 10 or more; and
162

•HR 1 IH

1 ‘‘(2) more than 2 percent of the total school-age

2 population in the agency’s jurisdiction.

3 ‘‘(c) CHILDREN TO BE COUNTED.—

4 ‘‘(1) CATEGORIES OF CHILDREN.—The number

5 of children to be counted for purposes of this section

6 is the aggregate of—

7 ‘‘(A) the number of children aged 5 to 17,

8 inclusive, in the school district of the local edu9 cational agency from families below the poverty

10 level as determined under paragraph (2);

11 ‘‘(B) the number of children (determined

12 under paragraph (4) for either the preceding

13 year as described in that paragraph, or for the

14 second preceding year, as the Secretary finds

15 appropriate) aged 5 to 17, inclusive, in the

16 school district of such agency in institutions for

17 neglected and delinquent children (other than

18 such institutions operated by the United

19 States), but not counted pursuant to subpart 1

20 of part D for the purposes of a grant to a State

21 agency, or being supported in foster homes with

22 public funds; and

23 ‘‘(C) the number of children aged 5 to 17,

24 inclusive, in the school district of such agency
163

•HR 1 IH

1 from families above the poverty level as deter2 mined under paragraph (4).

3 ‘‘(2) DETERMINATION OF NUMBER OF CHIL4 DREN.—For the purposes of this section, the Sec5 retary shall determine the number of children aged

6 5 to 17, inclusive, from families below the poverty

7 level on the basis of the most recent satisfactory

8 data, described in paragraph (3), available from the

9 Department of Commerce. The District of Columbia

10 and the Commonwealth of Puerto Rico shall be

11 treated as individual local educational agencies. If a

12 local educational agency contains 2 or more counties

13 in their entirety, then each county will be treated as

14 if such county were a separate local educational

15 agency for purposes of calculating grants under this

16 part. The total of grants for such counties shall be

17 allocated to such a local educational agency, which

18 local educational agency shall distribute to schools in

19 each county within such agency a share of the local

20 educational agency’s total grant that is no less than

21 the county’s share of the population counts used to

22 calculate the local educational agency’s grant.

23 ‘‘(3) POPULATION UPDATES.—In fiscal year

24 2001 and every 2 years thereafter, the Secretary

25 shall use updated data on the number of children,
164

•HR 1 IH

1 aged 5 to 17, inclusive, from families below the pov2 erty level for local educational agencies or counties,

3 published by the Department of Commerce, unless

4 the Secretary and the Secretary of Commerce deter5 mine that use of the updated population data would

6 be inappropriate or unreliable. If the Secretary and

7 the Secretary of Commerce determine that some or

8 all of the data referred to in this paragraph are in9 appropriate or unreliable, they shall publicly disclose

10 their reasons. In determining the families which are

11 below the poverty level, the Secretary shall utilize

12 the criteria of poverty used by the Bureau of the

13 Census in compiling the most recent decennial cen14 sus, in such form as those criteria have been up15 dated by increases in the Consumer Price Index for

16 all urban consumers, published by the Bureau of

17 Labor Statistics.

18 ‘‘(4) OTHER CHILDREN TO BE COUNTED.—For

19 the purposes of this section, the Secretary shall de20 termine the number of children aged 5 to 17, inclu21 sive, from families above the poverty level on the

22 basis of the number of such children from families

23 receiving an annual income, in excess of the current

24 criteria of poverty, from payments under a State

25 program funded under part A of title IV of the So-
165

•HR 1 IH

1 cial Security Act; and in making such determina2 tions the Secretary shall utilize the criteria of pov3 erty used by the Bureau of the Census in compiling

4 the most recent decennial census for a family of 4

5 in such form as those criteria have been updated by

6 increases in the Consumer Price Index for all urban

7 consumers, published by the Bureau of Labor Statis8 tics. The Secretary shall determine the number of

9 such children and the number of children aged 5

10 through 17 living in institutions for neglected or de11 linquent children, or being supported in foster homes

12 with public funds, on the basis of the caseload data

13 for the month of October of the preceding fiscal year

14 (using, in the case of children described in the pre15 ceding sentence, the criteria of poverty and the form

16 of such criteria required by such sentence which

17 were determined for the calendar year preceding

18 such month of October) or, to the extent that such

19 data are not available to the Secretary before Janu20 ary of the calendar year in which the Secretary’s de21 termination is made, then on the basis of the most

22 recent reliable data available to the Secretary at the

23 time of such determination. The Secretary of Health

24 and Human Services shall collect and transmit the

25 information required by this subparagraph to the
166

•HR 1 IH

1 Secretary not later than January 1 of each year.

2 For the purpose of this section, the Secretary shall

3 consider all children who are in correctional institu4 tions to be living in institutions for delinquent chil5 dren.

6 ‘‘(5) ESTIMATE.—When requested by the Sec7 retary, the Secretary of Commerce shall make a spe8 cial updated estimate of the number of children of

9 such ages who are from families below the poverty

10 level (as determined under subparagraph (A) of this

11 paragraph) in each school district, and the Secretary

12 is authorized to pay (either in advance or by way of

13 reimbursement) the Secretary of Commerce the cost

14 of making this special estimate. The Secretary of

15 Commerce shall give consideration to any request of

16 the chief executive of a State for the collection of ad17 ditional census information.

18 ‘‘(d) STATE MINIMUM.—Notwithstanding section

19 1122, the aggregate amount allotted for all local edu20 cational agencies within a State may not be less than the

21 lesser of—

22 ‘‘(1) 0.25 percent of total grants under this sec23 tion; or

24 ‘‘(2) the average of—
167

•HR 1 IH

1 ‘‘(A) one-quarter of 1 percent of the total

2 amount available for such fiscal year under this

3 section; and

4 ‘‘(B) the number of children in such State

5 counted under subsection (c) in the fiscal year

6 multiplied by 150 percent of the national aver7 age per-pupil payment made with funds avail8 able under this section for that year.

9 ‘‘SEC. 1124A. CONCENTRATION GRANTS TO LOCAL EDU10 CATIONAL AGENCIES.

11 ‘‘(a) ELIGIBILITY FOR AND AMOUNT OF GRANTS.—

12 ‘‘(1) IN GENERAL.—(A) Except as otherwise

13 provided in this paragraph, each local educational

14 agency, in a State other than Guam, American

15 Samoa, the Virgin Islands, and the Commonwealth

16 of the Northern Mariana Islands, which is eligible

17 for a grant under section 1124 for any fiscal year

18 is eligible for an additional grant under this section

19 for that fiscal year if the number of children counted

20 under section 1124(c) in the agency exceeds either—

21 ‘‘(i) 6,500; or

22 ‘‘(ii) 15 percent of the total number of

23 children aged 5 through 17 in the agency.
168

•HR 1 IH

1 ‘‘(B) Notwithstanding section 1122, no State

2 described in subparagraph (A) shall receive less than

3 the lesser of—

4 ‘‘(i) 0.25 percent of total grants; or

5 ‘‘(ii) the average of—

6 ‘‘(I) one-quarter of 1 percent of the

7 sums available to carry out this section for

8 such fiscal year; and

9 ‘‘(II) the greater of—

10 ‘‘(aa) $340,000; or

11 ‘‘(bb) the number of children in

12 such State counted for purposes of

13 this section in that fiscal year multi14 plied by 150 percent of the national

15 average per-pupil payment made with

16 funds available under this section for

17 that year.

18 ‘‘(2) SPECIAL RULE.—For each county or local

19 educational agency eligible to receive an additional

20 grant under this section for any fiscal year the Sec21 retary shall determine the product of—

22 ‘‘(A) the number of children counted under

23 section 1124(c) for that fiscal year; and

24 ‘‘(B) the quotient resulting from the divi25 sion of the amount determined for those agen-
169

•HR 1 IH

1 cies under section 1124(a)(1) for the fiscal year

2 for which the determination is being made di3 vided by the total number of children counted

4 under section 1124(c) for that agency for that

5 fiscal year.

6 ‘‘(3) AMOUNT.—The amount of the additional

7 grant for which an eligible local educational agency

8 or county is eligible under this section for any fiscal

9 year shall be an amount which bears the same ratio

10 to the amount available to carry out this section for

11 that fiscal year as the product determined under

12 paragraph (2) for such local educational agency for

13 that fiscal year bears to the sum of such products

14 for all local educational agencies in the United

15 States for that fiscal year.

16 ‘‘(4) LOCAL ALLOCATIONS.—(A) Grant

17 amounts under this section shall be determined in

18 accordance with section 1124(a)(2) and (3).

19 ‘‘(B) For any fiscal year for which the Sec20 retary allocates funds under this section on the basis

21 of counties, a State may reserve not more than 2

22 percent of its allocation under this section to make

23 grants to local educational agencies that meet the

24 criteria of paragraph (1)(A)(i) or (ii) and are in in25 eligible counties that do not meet these criteria.
170

•HR 1 IH

1 ‘‘(b) STATES RECEIVING MINIMUM GRANTS.—In

2 States that receive the minimum grant under subsection

3 (a)(1)(B), the State educational agency shall allocate such

4 funds among the local educational agencies in each State

5 either—

6 ‘‘(1) in accordance with paragraphs (2) and (4)

7 of subsection (a); or

8 ‘‘(2) based on their respective concentrations

9 and numbers of children counted under section

10 1124(c), except that only those local educational

11 agencies with concentrations or numbers of children

12 counted under section 1124(c) that exceed the state13 wide average percentage of such children or the

14 statewide average number of such children shall re15 ceive any funds on the basis of this paragraph.

16 ‘‘SEC. 1125. TARGETED GRANTS TO LOCAL EDUCATIONAL

17 AGENCIES.

18 ‘‘(a) ELIGIBILITY OF LOCAL EDUCATIONAL AGEN19 CIES.—A local educational agency in a State is eligible to

20 receive a targeted grant under this section for any fiscal

21 year if the number of children in the local educational

22 agency counted under subsection 1124(c), before applica23 tion of the weighting factor described in subsection (c),

24 is at least 10, and if the number of children counted for

25 grants under section 1124 is at least 5 percent of the total
171

•HR 1 IH

1 population aged 5 to 17 years, inclusive, in the local edu2 cational agency. For each fiscal year for which the Sec3 retary uses county population data to calculate grants,

4 funds made available as a result of applying this sub5 section shall be reallocated by the State educational agen6 cy to other eligible local educational agencies in the State

7 in proportion to the distribution of other funds under this

8 section.

9 ‘‘(b) GRANTS FOR LOCAL EDUCATIONAL AGENCIES,

10 THE DISTRICT OF COLUMBIA, AND PUERTO RICO.—

11 ‘‘(1) IN GENERAL.—The amount of the grant

12 that a local educational agency in a State or that the

13 District of Columbia is eligible to receive under this

14 section for any fiscal year shall be the product of—

15 ‘‘(A) the weighted child count determined

16 under subsection (c); and

17 ‘‘(B) the amount in paragraph

18 1124(a)(1)(B).

19 ‘‘(2) PUERTO RICO.—For each fiscal year, the

20 amount of the grant for which the Commonwealth of

21 Puerto Rico is eligible under this section shall be

22 equal to the number of children counted under sub23 section (c) for Puerto Rico, multiplied by the

24 amount determined in subparagraph 1124(a)(4).

25 ‘‘(c) WEIGHTED CHILD COUNT.—
172

•HR 1 IH

1 ‘‘(1) WEIGHTS FOR ALLOCATIONS TO COUN2 TIES.—

3 ‘‘(A) IN GENERAL.—For each fiscal year

4 for which the Secretary uses county population

5 data to calculate grants, the weighted child

6 count used to determine a county’s allocation

7 under this section is the larger of the 2

8 amounts determined under clause (i) or (ii), as

9 follows:

10 ‘‘(i) BY PERCENTAGE OF CHIL11 DREN.—This amount is determined by

12 adding—

13 ‘‘(I) the number of children de14 termined under section 1124(c) for

15 that county constituting up to 15 per16 cent, inclusive, of the county’s total

17 population aged 5 to 17, inclusive,

18 multiplied by 1.0;

19 ‘‘(II) the number of such children

20 constituting more than 15 percent,

21 but not more than 19 percent, of such

22 population, multiplied by 1.75;

23 ‘‘(III) the number of such chil24 dren constituting more than 19 per25 cent, but not more than 24.20 per-
173

•HR 1 IH

1 cent, of such population, multiplied by

2 2.5;

3 ‘‘(IV) the number of such chil4 dren constituting more than 24.20

5 percent, but not more than 29.20 per6 cent, of such population, multiplied by

7 3.25; and

8 ‘‘(V) the number of such children

9 constituting more than 29.20 percent

10 of such population, multiplied by 4.0.

11 ‘‘(ii) BY NUMBER OF CHILDREN.—

12 This amount is determined by adding—

13 ‘‘(I) the number of children de14 termined under section 1124(c) con15 stituting up to 2,311, inclusive, of the

16 county’s total population aged 5 to

17 17, inclusive, multiplied by 1.0;

18 ‘‘(II) the number of such children

19 between 2,312 and 7,913, inclusive, in

20 such population, multiplied by 1.5;

21 ‘‘(III) the number of such chil22 dren between 7,914 and 23,917, inclu23 sive, in such population, multiplied by

24 2.0;
174

•HR 1 IH

1 ‘‘(IV) the number of such chil2 dren between 23,918 and 93,810, in3 clusive, in such population, multiplied

4 by 2.5; and

5 ‘‘(V) the number of such children

6 in excess of 93,811 in such popu7 lation, multiplied by 3.0.

8 ‘‘(B) PUERTO RICO.—Notwithstanding

9 subparagraph (A), the weighted child count for

10 Puerto Rico under this paragraph shall not be

11 greater than the total number of children

12 counted under subsection 1124(c) multiplied by

13 1.72.

14 ‘‘(2) WEIGHTS FOR ALLOCATIONS TO LOCAL

15 EDUCATIONAL AGENCIES.—

16 ‘‘(A) IN GENERAL.—For each fiscal year

17 for which the Secretary uses local educational

18 agency data, the weighted child count used to

19 determine a local educational agency’s grant

20 under this section is the larger of the 2

21 amounts determined under clauses (i) and (ii),

22 as follows:

23 ‘‘(i) BY PERCENTAGE OF CHIL24 DREN.—This amount is determined by

25 adding—
175

•HR 1 IH

1 ‘‘(I) the number of children de2 termined under section 1124(c) for

3 that local educational agency consti4 tuting up to 15.233 percent, inclusive,

5 of the agency’s total population aged

6 5 to 17, inclusive, multiplied by 1.0;

7 ‘‘(II) the number of such children

8 constituting more than 15.233 per9 cent, but not more than 22.706 per10 cent, of such population, multiplied by

11 1.75;

12 ‘‘(III) the number of such chil13 dren constituting more than 22.706

14 percent, but not more than 32.213

15 percent, of such population, multiplied

16 by 2.5;

17 ‘‘(IV) the number of such chil18 dren constituting more than 32.213

19 percent, but not more than 41.452

20 percent, of such population, multiplied

21 by 3.25; and

22 ‘‘(V) the number of such children

23 constituting more than 41.452 percent

24 of such population, multiplied by 4.0.
176

•HR 1 IH

1 ‘‘(ii) BY NUMBER OF CHILDREN.—

2 This amount is determined by adding—

3 ‘‘(I) the number of children de4 termined under section 1124(c) con5 stituting up to 710, inclusive, of the

6 agency’s total population aged 5 to

7 17, inclusive, multiplied by 1.0;

8 ‘‘(II) the number of such children

9 between 711 and 2,384, inclusive, in

10 such population, multiplied by 1.5;

11 ‘‘(III) the number of such chil12 dren between 2,385 and 9,645, inclu13 sive, in such population, multiplied by

14 2.0;

15 ‘‘(IV) the number of such chil16 dren between 9,646 and 54,600, inclu17 sive, in such population, multiplied by

18 2.5; and

19 ‘‘(V) the number of such children

20 in excess of 54,601 in such popu21 lation, multiplied by 3.0.

22 ‘‘(B) PUERTO RICO.—Notwithstanding

23 subparagraph (A), the weighted child count for

24 Puerto Rico under this paragraph shall not be

25 greater than the total number of children
177

•HR 1 IH

1 counted under section 1124(c) multiplied by

2 1.72.

3 ‘‘(d) CALCULATION OF GRANT AMOUNTS.—Grants

4 under this section shall be calculated in accordance with

5 section 1124(a)(2) and (3).

6 ‘‘(e) STATE MINIMUM.—Notwithstanding any other

7 provision of this section or section 1122, from the total

8 amount available for any fiscal year to carry out this sec9 tion, each State shall be allotted at least the lesser of—

10 ‘‘(1) 0.25 percent of total appropriations; or

11 ‘‘(2) the average of—

12 ‘‘(A) one-quarter of 1 percent of the total

13 amount available to carry out this section; and

14 ‘‘(B) 150 percent of the national average

15 grant under this section per child described in

16 section 1124(c), without application of a

17 weighting factor, multiplied by the State’s total

18 number of children described in section

19 1124(c), without application of a weighting fac20 tor.

21 ‘‘SEC. 1126. SPECIAL ALLOCATION PROCEDURES.

22 ‘‘(a) ALLOCATIONS FOR NEGLECTED CHILDREN.—

23 ‘‘(1) IN GENERAL.—If a State educational

24 agency determines that a local educational agency in

25 the State is unable or unwilling to provide for the
178

•HR 1 IH

1 special educational needs of children who are living

2 in institutions for neglected children as described in

3 subparagraph (B) of section 1124(c)(1), the State

4 educational agency shall, if such agency assumes re5 sponsibility for the special educational needs of such

6 children, receive the portion of such local educational

7 agency’s allocation under sections 1124, 1124A, and

8 1125 that is attributable to such children.

9 ‘‘(2) SPECIAL RULE.—If the State educational

10 agency does not assume such responsibility, any

11 other State or local public agency that does assume

12 such responsibility shall receive that portion of the

13 local educational agency’s allocation.

14 ‘‘(b) ALLOCATIONS AMONG LOCAL EDUCATIONAL

15 AGENCIES.—The State educational agency may allocate

16 the amounts of grants under sections 1124, 1124A, and

17 1125 among the affected local educational agencies—

18 ‘‘(1) if 2 or more local educational agencies

19 serve, in whole or in part, the same geographical

20 area;

21 ‘‘(2) if a local educational agency provides free

22 public education for children who reside in the

23 school district of another local educational agency;

24 or
179

•HR 1 IH

1 ‘‘(3) to reflect the merger, creation, or change

2 of boundaries of 1 or more local educational agen3 cies.

4 ‘‘(c) REALLOCATION.—If a State educational agency

5 determines that the amount of a grant a local educational

6 agency would receive under sections 1124, 1124A, and

7 1125 is more than such local agency will use, the State

8 educational agency shall make the excess amount available

9 to other local educational agencies in the State that need

10 additional funds in accordance with criteria established by

11 the State educational agency.

12 ‘‘SEC. 1127. CARRYOVER AND WAIVER.

13 ‘‘(a) LIMITATION ON CARRYOVER.—Notwithstanding

14 section 421 of the General Education Provisions Act or

15 any other provision of law, not more than 15 percent of

16 the funds allocated to a local educational agency for any

17 fiscal year under this subpart (but not including funds re18 ceived through any reallocation under this subpart) may

19 remain available for obligation by such agency for 1 addi20 tional fiscal year.

21 ‘‘(b) WAIVER.—A State educational agency may,

22 once every 3 years, waive the percentage limitation in sub23 section (a) if—
180

•HR 1 IH

1 ‘‘(1) the agency determines that the request of

2 a local educational agency is reasonable and nec3 essary; or

4 ‘‘(2) supplemental appropriations for this sub5 part become available.

6 ‘‘(c) EXCLUSION.—The percentage limitation under

7 subsection (a) shall not apply to any local educational

8 agency that receives less than $50,000 under this subpart

9 for any fiscal year.

10 ‘‘SEC. 1128. SECULAR, NEUTRAL, AND NONIDEOLOGICAL.

11 ‘‘Any school that receives funds under this part shall

12 ensure that educational services or other benefits provided

13 under this part, including materials and equipment, shall

14 be secular, neutral, and nonideological.’’.

15 PART B—STUDENT READING SKILLS

16 IMPROVEMENT GRANTS

17 SEC. 111. READING FIRST; EARLY READING FIRST.

18 Part B of title I (20 U.S.C. 6361 et seq.) is

19 amended—

20 (1) by striking the part heading and inserting

21 the following:
181

•HR 1 IH

1 ‘‘PART B—STUDENT READING SKILLS

2 IMPROVEMENT GRANTS’’;

3 (2) by redesignating sections 1201 through

4 1212 as sections 1231 through 1242, respectively;

5 and

6 (3) by inserting after the part heading the fol7 lowing:

8 ‘‘Subpart 1—Reading First

9 ‘‘SEC. 1201. FINDINGS.

10 ‘‘The Congress finds as follows:

11 ‘‘(1) The 1998 National Assessment of Edu12 cational Progress found that 68 percent of fourth

13 grade students in the United States are reading

14 below the proficient level.

15 ‘‘(2) That assessment also found that minority

16 students, on average, continue to lag far behind

17 their non-minority counterparts in reading pro18 ficiency.

‘‘(3) More than 1 19 ⁄2 of the students placed in

20 special education classes are identified as learning

21 disabled and, for as many as 80 percent of the stu22 dents so identified, reading is the primary difficulty.

23 ‘‘(4) It is estimated that, at a minimum,

24 10,000,000 children have difficulty learning to read.

25 10 to 15 percent of those children eventually drop
182

•HR 1 IH

1 out of high school, and only 2 percent complete a 4-

2 year program at an institution of higher education.

3 ‘‘(5) It is estimated that the number of children

4 who are typically identified as poor readers can be

5 significantly reduced through the implementation of

6 early identification and prevention programs that

7 are based on scientifically based reading research.

8 ‘‘(6) The report issued by the National Reading

9 Panel in 2000 found that the course of reading in10 struction that obtains maximum benefits for stu11 dents includes explicit and systematic instruction in

12 phonemic awareness, phonics, vocabulary develop13 ment, reading fluency, and reading comprehension

14 strategies.

15 ‘‘SEC. 1202. PURPOSES.

16 ‘‘The purposes of this subpart are as follows:

17 ‘‘(1) To provide assistance to States and local

18 educational agencies in establishing reading pro19 grams for students in grades kindergarten through

20 3 that are based on scientifically based reading re21 search, in order to ensure that every student can

22 read at grade level or above by the end of the third

23 grade.

24 ‘‘(2) To provide assistance to States and local

25 educational agencies in preparing teachers, through
183

•HR 1 IH

1 professional development and other support, so the

2 teachers can identify specific reading barriers facing

3 their students and so the teachers have the tools to

4 effectively help their students learn to read.

5 ‘‘(3) To provide assistance to States and local

6 educational agencies in selecting or developing rig7 orous diagnostic reading assessments that document

8 the effectiveness of this subpart in improving stu9 dents’ reading and in holding grant and subgrant re10 cipients accountable for their results.

11 ‘‘(4) To provide assistance to States and local

12 educational agencies in selecting or developing effec13 tive instructional materials, programs, and strategies

14 to implement scientific research-based methods that

15 have been proven to prevent or remediate reading

16 failure within a State or States.

17 ‘‘(5) To strengthen coordination among schools

18 and early literacy programs in order to improve

19 reading achievement for all children.

20 ‘‘SEC. 1203. FORMULA GRANTS TO STATES; COMPETITIVE

21 SUBGRANTS TO LOCAL AGENCIES.

22 ‘‘(a) IN GENERAL.—

23 ‘‘(1) AUTHORIZATION TO MAKE GRANTS.—In

24 the case of each State that in accordance with sec25 tion 1204 submits to the Secretary an application
184

•HR 1 IH

1 for a 5-year period, the Secretary, subject to the ap2 plication’s approval, shall make a grant to the State

3 for the uses specified in subsections (c) and (d). The

4 grant shall consist of the allotment determined for

5 the State under subsection (b).

6 ‘‘(2) DURATION OF GRANTS.—

7 ‘‘(A) IN GENERAL.—Subject to subpara8 graph (B), a grant under this section shall be

9 awarded for a period of not more than 5 years.

10 ‘‘(B) INTERIM REVIEW.—Not later than 60

11 days after the termination of the third year of

12 the grant period, each State receiving a grant

13 under this section shall submit a progress re14 port to the Secretary on the progress the State

15 and local educational agencies within the State

16 are making in reducing the number of students

17 reading below grade level. The progress report

18 shall be reviewed by the peer review panel con19 vened under section 1204(c)(2). After the sub20 mission of this report, if the Secretary deter21 mines that the State is not making significant

22 progress in meeting the purposes of this sub23 part, the Secretary may withhold from the

24 State, in whole or in part, further payments

25 under this section in accordance with section
185

•HR 1 IH

1 455 of the General Education Provisions Act

2 (20 U.S.C. 1234d) or take such other action

3 authorized by law as the Secretary deems nec4 essary, including providing technical assistance

5 upon request of the State.

6 ‘‘(b) DETERMINATION OF AMOUNT OF ALLOT7 MENTS.—

8 ‘‘(1) RESERVATIONS FROM APPROPRIATIONS.—

9 From the amounts appropriated under section

10 1002(b)(1) to carry out this subpart for a fiscal

11 year, the Secretary—

‘‘(A) shall reserve 1 12 ⁄2 of 1 percent for allot13 ments for the Virgin Islands, Guam, American

14 Samoa, and the Commonwealth of the Northern

15 Mariana Islands, to be distributed among these

16 outlying areas on the basis of their relative

17 need, as determined by the Secretary in accord18 ance with the purposes of this subpart;

‘‘(B) shall reserve 1 19 ⁄2 of 1 percent for the

20 Secretary of the Interior for programs under

21 this subpart in schools operated or funded by

22 the Bureau of Indian Affairs;

23 ‘‘(C) may reserve not more than 1 percent

24 to carry out section 1207; and
186

•HR 1 IH

1 ‘‘(D) shall reserve $5,000,000 to carry sec2 tions 1208 and 1224.

3 ‘‘(2) STATE ALLOTMENTS.—From the total

4 amount made available under section 1002(b)(1) to

5 carry out this subpart for any fiscal year and not re6 served under paragraph (1), the Secretary shall allot

7 75 percent under this section among each of the 50

8 States, the District of Columbia, and the Common9 wealth of Puerto Rico.

10 ‘‘(3) DETERMINATION OF STATE ALLOTMENT

11 AMOUNTS.—

12 ‘‘(A) IN GENERAL.—Subject to subpara13 graph (B), the Secretary shall allot the amount

14 made available under paragraph (2) for a fiscal

15 year among the States in proportion to the

16 number of children, aged 5 to 17, who reside

17 within the State from families with incomes

18 below the poverty line (as defined by the Office

19 of Management and Budget and revised annu20 ally in accordance with section 673(2) of the

21 Community Services Block Grant Act (42

22 U.S.C. 9902(2)) applicable to a family of the

23 size involved for the most recent fiscal year for

24 which satisfactory data are available, compared
187

•HR 1 IH

1 to the number of such individuals who reside in

2 all such States for that fiscal year.

3 ‘‘(B) EXCEPTION.—No State receiving an

4 allotment under subparagraph (A) may receive

less than 1 5 ⁄4 of 1 percent of the total amount

6 allotted under subparagraph (A).

7 ‘‘(4) REALLOTMENT.—If any State does not

8 apply for an allotment under this section for any fis9 cal year, or if the State’s application is not ap10 proved, the Secretary shall reallot such amount to

11 the remaining States in accordance with paragraph

12 (3).

13 ‘‘(d) SUBGRANTS TO LOCAL EDUCATIONAL AGEN14 CIES.—

15 ‘‘(1) DISTRIBUTION OF SUBGRANTS.—The Sec16 retary may make a grant to a State under this sec17 tion only if the State agrees to expend at least 80

18 percent of the amount of the funds provided under

19 the grant for the purpose of making, in accordance

20 with this subsection, competitive subgrants to local

21 educational agencies.

22 ‘‘(2) NOTICE.—A State receiving a grant under

23 this section shall provide notice to all local edu24 cational agencies in the State of the availability of
188

•HR 1 IH

1 competitive subgrants under this subsection and of

2 the requirements for applying for the subgrants.

3 ‘‘(3) LOCAL APPLICATIONS.—To be eligible to

4 receive a subgrant under this subsection, a local edu5 cational agency shall submit an application to the

6 State at such time, in such manner, and containing

7 such information as the State may reasonably re8 quire.

9 ‘‘(4) PRIORITY FOR CERTAIN LOCAL AGEN10 CIES.—A State receiving a grant under this section

11 shall, in distributing subgrants to local educational

12 agencies, give priority to local educational agencies

13 that—

14 ‘‘(A) have a high percentage of students in

15 grades kindergarten through 3 reading below

16 grade level;

17 ‘‘(B) have jurisdiction over—

18 ‘‘(i) a geographic area that includes

19 an area designated as an empowerment

20 zone, or an enterprise community, under

21 part I of subchapter U of chapter 1 of the

22 Internal Revenue Code of 1986; or

23 ‘‘(ii) a significant number of schools

24 that are identified for school improvement

25 under section 1116(b); and
189

•HR 1 IH

1 ‘‘(C) are located in areas having the great2 est numbers of children aged 5 through 17 liv3 ing in families below the poverty line, as defined

4 by the Office of Management and Budget and

5 revised annually in accordance with section

6 673(2) of the Community Services Block Grant

7 Act (42 U.S.C. 9902(2)).

8 ‘‘(5) STATE REQUIREMENT.—In distributing

9 subgrant funds to local educational agencies under

10 this subsection, a State shall provide funds in suffi11 cient concentrations to enable local educational

12 agencies to improve reading, as measured by scores

13 on rigorous diagnostic reading assessments.

14 ‘‘(6) PRIORITY FOR CERTAIN SCHOOLS.—In dis15 tributing subgrant funds under this subsection, a

16 local educational agency shall give priority to pro17 viding the funds to schools that—

18 ‘‘(A) have a high percentage of students in

19 grades kindergarten through 3 reading below

20 grade level;

21 ‘‘(B) are identified for school improvement

22 under section 1116(b); and

23 ‘‘(C) have the greatest numbers of children

24 aged 5 through 17 living in families below the

25 poverty line, as defined by the Office of Man-
190

•HR 1 IH

1 agement and Budget and revised annually in

2 accordance with section 673(2) of the Commu3 nity Services Block Grant Act (42 U.S.C.

4 9902(2)).

5 ‘‘(7) LOCAL USES OF FUNDS.—Subject to para6 graph (8), a local educational agency that receives a

7 subgrant under this subsection shall use the funds

8 provided under the subgrant to carry out the fol9 lowing activities:

10 ‘‘(A) Selecting or developing, and admin11 istering, rigorous diagnostic reading assess12 ments.

13 ‘‘(B) Selecting and implementing a pro14 gram or programs of reading instruction based

15 on scientifically based reading research that—

16 ‘‘(i) includes the essential components

17 of reading instruction; and

18 ‘‘(ii) provides such instruction to all

19 children, including children who—

20 ‘‘(I) may have reading difficul21 ties;

22 ‘‘(II) are at risk of being referred

23 to special education based on these

24 difficulties;
191

•HR 1 IH

1 ‘‘(III) have been evaluated under

2 section 614 of the Individuals with

3 Disabilities Education Act but, in ac4 cordance with section 614(b)(5) of

5 such Act, have not been identified as

6 being a child with a disability (as de7 fined in section 602 of such Act);

8 ‘‘(IV) are being served under

9 such Act primarily due to being iden10 tified as being a child with a specific

11 learning disability (as defined in sec12 tion 602 of such Act) related to read13 ing;

14 ‘‘(V) are deficient in their pho15 nemic awareness and phonics skills; or

16 ‘‘(VI) are identified as having

17 limited English proficiency.

18 ‘‘(C) Procuring instructional materials

19 based on scientifically based reading research.

20 ‘‘(D) Providing professional development

21 for teachers of grades kindergarten through 3

22 that—

23 ‘‘(i) will prepare these teachers in all

24 of the essential components of reading in25 struction;
192

•HR 1 IH

1 ‘‘(ii) shall include—

2 ‘‘(I) information, instructional

3 materials, programs, strategies, and

4 approaches based on scientifically

5 based reading research, including

6 early intervention and reading remedi7 ation materials, programs, and ap8 proaches; and

9 ‘‘(II) instruction in the use of

10 rigorous diagnostic reading assess11 ments and other procedures that ef12 fectively identify students who may be

13 at risk for reading failure or who are

14 having difficulty reading; and

15 ‘‘(iii) shall be provided by eligible pro16 fessional development providers.

17 ‘‘(E) Providing training to individuals who

18 volunteer to be reading tutors for a student on

19 the essential components of reading instruction

20 to enable such volunteers to support instruc21 tional practices of the student’s teacher.

22 ‘‘(F) Providing instruction for parents of

23 children enrolled in a school selected to receive

24 assistance under this section, and for others

25 who volunteer to be reading tutors for such
193

•HR 1 IH

1 children, in the instructional practices that are

2 based on scientifically based reading research

3 used by the applicant.

4 ‘‘(G) Assisting parents, through the use of

5 materials, programs, strategies, and approaches

6 that are based on scientifically based reading

7 research, to help support their children’s read8 ing development.

9 ‘‘(H) Collecting and summarizing data

10 from rigorous diagnostic reading assessments—

11 ‘‘(i) to document the effectiveness of

12 this subpart in individual schools and in

13 the local educational agency as a whole;

14 and

15 ‘‘(ii) to stimulate and accelerate im16 provement by identifying the schools that

17 produce the largest gains in reading

18 achievement.

19 ‘‘(I) Reporting aggregated data described

20 in subparagraph (H) in a manner that protects

21 the privacy of individuals—

22 ‘‘(i) to the State; and

23 ‘‘(ii) to the public, including parents

24 and students, through such means as the

25 Internet and major print and broadcast
194

•HR 1 IH

1 media outlets or other journal of public

2 record.

3 ‘‘(8) LOCAL PLANNING AND ADMINISTRA4 TION.—A local educational agency that receives a

5 subgrant under this subsection may use not more

6 than 2 percent of the funds provided under the

7 subgrant for planning and administration.

8 ‘‘(e) OTHER STATE USES OF FUNDS.—

9 ‘‘(1) PROFESSIONAL DEVELOPMENT.—

10 ‘‘(A) IN GENERAL.—A State that receives

11 a grant under this section may expend not more

12 than 15 percent of the amount of the funds

13 provided under the grant to develop and imple14 ment a program of professional development for

15 teachers of kindergarten through third grades

16 that—

17 ‘‘(i) will prepare these teachers in all

18 of the essential components of reading in19 struction;

20 ‘‘(ii) shall include—

21 ‘‘(I) information on interventions,

22 instructional materials, programs, and

23 approaches based on scientifically

24 based reading research, including

25 early intervention and reading remedi-
195

•HR 1 IH

1 ation materials, programs, and ap2 proaches; and

3 ‘‘(II) instruction in the use of

4 rigorous diagnostic reading assess5 ments and other procedures that ef6 fectively identify students who may be

7 at risk for reading failure or who are

8 having difficulty reading; and

9 ‘‘(iii) shall be provided by eligible pro10 fessional development providers.

11 ‘‘(B) FUNDS NOT USED FOR PROFES12 SIONAL DEVELOPMENT.—Any portion of the

13 funds described in subparagraph (A) that a

14 State does not expend to develop and implement

15 a program described in such subparagraph shall

16 be expended for the purpose of making sub17 grants in accordance with subsection (c).

18 ‘‘(2) OTHER STATE-LEVEL ACTIVITIES.—A

19 State that receives a grant under this section may

20 expend not more than 3 percent of the amount of

21 the funds provided under the grant for one or more

22 of the following authorized State activities:

23 ‘‘(A) Assisting local educational agencies in

24 accomplishing the tasks required to design and
196

•HR 1 IH

1 implement a program under this subpart,

2 including—

3 ‘‘(i) selecting and implementing a pro4 gram or programs of reading instruction

5 based on scientifically based reading re6 search;

7 ‘‘(ii) selecting or developing rigorous

8 diagnostic reading assessments; and

9 ‘‘(iii) identifying eligible professional

10 development providers to help prepare

11 reading teachers to teach students using

12 the programs and assessments described in

13 clauses (i) and (ii);

14 ‘‘(B) Providing to students in kindergarten

15 through third grades through alternative pro16 viders reading instruction that includes—

17 ‘‘(i) rigorous diagnostic reading as18 sessments; and

19 ‘‘(ii) as need is indicated by such as20 sessments, instruction based on scientif21 ically based reading research that includes

22 the essential components of reading in23 struction.

24 ‘‘(3) PLANNING, ADMINISTRATION, AND RE25 PORTING.—
197

•HR 1 IH

1 ‘‘(A) IN GENERAL.—A State that receives

2 a grant under this section shall expend not

3 more than 2 percent of the amount of the funds

4 provided under the grant for the activities de5 scribed in this paragraph.

6 ‘‘(B) PLANNING AND ADMINISTRATION.—A

7 State that receives a grant under this section

8 may expend funds described in subparagraph

9 (A) for planning and administration relating to

10 the State uses of funds authorized under this

11 subpart, including the following:

12 ‘‘(i) Administering the distribution of

13 competitive subgrants to local educational

14 agencies under this section and sections

15 1205 and 1206.

16 ‘‘(ii) Collecting and summarizing data

17 from rigorous diagnostic reading

18 assessments—

19 ‘‘(I) to document the effective20 ness of this subpart in individual local

21 educational agencies and in the State

22 as a whole; and

23 ‘‘(II) to stimulate and accelerate

24 improvement by identifying the local
198

•HR 1 IH

1 educational agencies that produce the

2 largest gains in reading achievement.

3 ‘‘(C) ANNUAL REPORTING.—

4 ‘‘(i) IN GENERAL.—A State that re5 ceives a grant under this section shall ex6 pend funds provided under the grant to

7 provide the Secretary annually with a re8 port on the implementation of this subpart.

9 The report shall include evidence that the

10 State is fulfilling its obligations under this

11 subpart. The report shall also include the

12 data required under subsection (c)(7)(I) to

13 be reported to the State by local edu14 cational agencies. The report shall include

15 a specific identification of those local edu16 cational agencies that report the largest

17 gains in reading achievement.

18 ‘‘(ii) PRIVACY PROTECTION.—Data in

19 the report shall be set forth in a manner

20 that protects the privacy of individuals.

21 ‘‘(iii) CONTRACT.—To the extent

22 practicable, a State shall enter into a con23 tract with an entity that conducts scientif24 ically based reading research, under which

25 contract the entity will produce the reports
199

•HR 1 IH

1 required to be submitted under this sub2 paragraph.

3 ‘‘SEC. 1204. STATE FORMULA GRANT APPLICATIONS.

4 ‘‘(a) IN GENERAL.—A State that desires to receive

5 a grant under section 1203 shall submit an application

6 to the Secretary at such time and in such form as the

7 Secretary may require. The application shall contain the

8 information described in subsection (b).

9 ‘‘(b) CONTENTS.—An application under this section

10 shall contain the following:

11 ‘‘(1) An assurance that the Governor of the

12 State, in consultation with the State educational

13 agency, has established a reading partnership de14 scribed in subsection (d), and a description of how

15 such partnership—

16 ‘‘(A) coordinated the development of the

17 application; and

18 ‘‘(B)) will assist in the oversight and eval19 uation of the State’s activities under this sub20 part.

21 ‘‘(2) An assurance that the State will submit to

22 the Secretary, at such time and in such manner as

23 the Secretary may reasonably require, a State plan

24 containing a description of a process—
200

•HR 1 IH

1 ‘‘(A) to evaluate programs carried out by

2 local educational agencies under this subpart;

3 ‘‘(B) to assist local educational agencies in

4 identifying rigorous diagnostic reading assess5 ments; and

6 ‘‘(C) to assist local educational agencies in

7 identifying interventions, and instructional ma8 terials, programs and approaches, based on sci9 entifically based reading research, including

10 early intervention and reading remediation ma11 terials, programs and approaches.

12 ‘‘(c) APPROVAL OF APPLICATIONS.—

13 ‘‘(1) IN GENERAL.—The Secretary, in consulta14 tion with the peer review panel convened under para15 graph (2), shall approve an application of a State

16 under this section if such application meets the re17 quirements of this section.

18 ‘‘(2) PEER REVIEW.—

19 ‘‘(A) IN GENERAL.—The Secretary, in con20 sultation with the National Institute for Lit21 eracy, shall convene a panel to evaluate applica22 tions under this section. At a minimum, the

23 panel shall include—

24 ‘‘(i) 3 individuals selected by the Sec25 retary;
201

•HR 1 IH

1 ‘‘(ii) 3 individuals selected by the Na2 tional Institute for Literacy;

3 ‘‘(iii) 3 individuals selected by the Na4 tional Research Council of the National

5 Academy of Sciences; and

6 ‘‘(iv) 3 individuals selected by the Na7 tional Institute of Child Health and

8 Human Development.

9 ‘‘(B) EXPERTS.—The panel shall include

10 experts who are competent, by virtue of their

11 training, expertise, or experience, to evaluate

12 applications under this section, and experts who

13 provide professional development to teachers of

14 reading to children and adults, and experts who

15 provide professional development to other in16 structional staff, based on scientifically based

17 reading research.

18 ‘‘(C) RECOMMENDATIONS.—The panel

19 shall recommend grant applications from States

20 under this section to the Secretary for funding

21 or for disapproval.

22 ‘‘(d) READING PARTNERSHIPS.—

23 ‘‘(1) IN GENERAL.—In order for a State to re24 ceive a grant under section 1203, the Governor of

25 the State, in consultation with the State educational
202

•HR 1 IH

1 agency, shall establish a reading partnership. The

2 partnership shall consist of the participants de3 scribed in paragraphs (2), (3), and (4).

4 ‘‘(2) AUTOMATIC PARTICIPANTS.—The reading

5 partnership shall include the following participants:

6 ‘‘(A) The Governor of the State.

7 ‘‘(B) The chief State school officer.

8 ‘‘(C) The chairman and the ranking mem9 ber of each committee of the State legislature

10 that is responsible for elementary education.

11 ‘‘(3) APPOINTED BY GOVERNOR.—The following

12 members of the reading partnership shall be ap13 pointed by the Governor:

14 ‘‘(A) Parents of public, private, or home

15 schooled students who are knowledgeable about

16 the essential components of reading instruction.

17 ‘‘(B) A representative of an institution of

18 higher education operating a program of teach19 er preparation in which prospective reading

20 teachers are being taught the essential compo21 nents of reading instruction.

22 ‘‘(C) A representative of a literacy volun23 teer organization where the essential compo24 nents of reading instruction are being taught to

25 students or adults.
203

•HR 1 IH

1 ‘‘(D) A representative of a school.

2 ‘‘(E) A representative of a public library.

3 ‘‘(4) APPOINTED BY CHIEF SCHOOL OFFICER.—

4 The following members of the reading partnership

5 shall be appointed by the chief State school officer:

6 ‘‘(A) A teacher and reading specialist who

7 successfully teaches students to read using the

8 essential components of reading instruction.

9 ‘‘(B) Representatives of at least 2 local

10 educational agencies where the essential compo11 nents of reading instruction are being taught.

12 ‘‘(C) A representative of a community13 based organization where the essential compo14 nents of reading instruction are being taught.

15 ‘‘(D) State directors of appropriate Fed16 eral or State programs where the essential com17 ponents of reading instruction are being taught,

18 especially in programs under part A and the In19 dividuals with Disabilities Education Act.

20 ‘‘SEC. 1205. SUPPLEMENTAL GRANTS TO STATES; COMPETI21 TIVE SUBGRANTS TO LOCAL AGENCIES.

22 ‘‘(a) IN GENERAL.—In the case of a State that in

23 accordance with subsection (c) submits to the Secretary

24 an application for fiscal year 2002 or 2003, the Secretary

25 may make a grant for the year to the State for the use
204

•HR 1 IH

1 specified in subsection (d). The grant shall consist of the

2 allotment determined for the State under subsection (b).

3 ‘‘(b) DETERMINATION OF AMOUNT OF ALLOT4 MENT.—

5 ‘‘(1) IN GENERAL.—From the total amount

6 made available under section 1002(b)(1) to carry out

7 this subpart for any fiscal year referred to in sub8 section (a) that is not reserved under section

9 1203(b)(1), the Secretary may allot 25 percent

10 under this section among each of the 50 States, the

11 District of Columbia, and the Commonwealth of

12 Puerto Rico.

13 ‘‘(2) STATE ALLOTMENTS.—In carrying out

14 paragraph (1), the Secretary may allot such funds

15 according to such criteria as the Secretary considers

16 appropriate and consistent with the purposes of this

17 subpart and based on the recommendations of the

18 peer review panel convened under section

19 1204(c)(2).

20 ‘‘(c) STATE APPLICATIONS.—

21 ‘‘(1) IN GENERAL.—A State that desires to re22 ceive a grant under this section shall submit an ap23 plication to the Secretary at such time, in such

24 form, and containing such information as the Sec25 retary may require.
205

•HR 1 IH

1 ‘‘(2) PEER REVIEW.—The peer review panel

2 convened under section 1204(c)(2) shall evaluate

3 grant applications from States under this section.

4 The panel shall recommend such applications to the

5 Secretary for funding or for disapproval.

6 ‘‘(d) SUBGRANTS TO LOCAL EDUCATIONAL AGEN7 CIES.—

8 ‘‘(1) IN GENERAL.—The Secretary may make a

9 grant to a State under this section only if the State

10 agrees to expend 100 percent of the amount of the

11 funds provided under the grant for the purpose of

12 making competitive subgrants in accordance with

13 this subsection to local educational agencies.

14 ‘‘(2) NOTICE.—A State receiving a grant under

15 this section shall provide notice to all local edu16 cational agencies in the State of the availability of

17 competitive subgrants under this subsection and of

18 the requirements for applying for the subgrants.

19 ‘‘(3) LOCAL APPLICATIONS.—To be eligible to

20 receive a subgrant under this subsection, a local edu21 cational agency shall submit an application to the

22 State at such time, in such manner, and containing

23 such information as the State may reasonably re24 quire.
206

•HR 1 IH

1 ‘‘(4) DISTRIBUTION.—A State shall distribute

2 funds under this section according to such criteria

3 as the State considers appropriate and consistent

4 with the purposes of this subpart giving special at5 tention to those local educational agencies that are

6 making a good faith effort to improve reading skills

7 consistent with this subpart.

8 ‘‘(5) LOCAL USES OF FUNDS.—A local edu9 cational agency that receives a subgrant under this

10 subsection—

11 ‘‘(A) shall use the funds provided under

12 the subgrant to carry out the activities de13 scribed in subparagraphs (A) through (D) of

14 section 1203(c)(7); and

15 ‘‘(B) may use such funds to carry out the

16 activities described in subparagraphs (E)

17 through (H) of such section.

18 ‘‘(e) SUNSET.—This section is repealed on September

19 30, 2003.

20 ‘‘SEC. 1206. PERFORMANCE GRANTS TO STATES; COMPETI21 TIVE SUBGRANTS TO LOCAL AGENCIES.

22 ‘‘(a) IN GENERAL.—In the case of a State that in

23 accordance with subsection (c) submits to the Secretary

24 an application for any fiscal year after fiscal year 2003,

25 the Secretary may make a grant for the year to the State
207

•HR 1 IH

1 for the use specified in subsection (d). The grant shall con2 sist of the allotment determined for the State under sub3 section (b).

4 ‘‘(b) DETERMINATION OF AMOUNT OF ALLOT5 MENT.—

6 ‘‘(1) IN GENERAL.—From the total amount

7 made available under section 1002(b)(1) to carry out

8 this subpart for any fiscal year referred to in sub9 section (a) that is not reserved under section

10 1203(b)(1), the Secretary may allot 25 percent

11 under this section among each of the 50 States, the

12 District of Columbia, and the Commonwealth of

13 Puerto Rico.

14 ‘‘(2) STATE ALLOTMENTS.—

15 ‘‘(A) IN GENERAL.—In carrying out para16 graph (1), the Secretary shall allot such funds

17 to those States that demonstrate the most ef18 fective implementation of this subpart, as deter19 mined by the peer review panel convened under

20 section 1204(c)(2) based upon the application

21 contents described in subsection (c)(3).

22 ‘‘(c) STATE APPLICATIONS.—

23 ‘‘(1) IN GENERAL.—A State that desires to re24 ceive a grant under this section shall submit an ap-
208

•HR 1 IH

1 plication to the Secretary at such time and in such

2 form as the Secretary may require.

3 ‘‘(2) PEER REVIEW.—The peer review panel

4 convened under section 1204(c)(2) shall evaluate

5 grant applications from States under this section.

6 The panel shall recommend such applications to the

7 Secretary for funding or for disapproval.

8 ‘‘(3) APPLICATION CONTENTS.—A State that

9 desires to receive a grant under this section shall in10 clude in its application the following:

11 ‘‘(A) Evidence that the State has carried

12 out its obligations under this subpart.

13 ‘‘(B) Evidence that the State has increased

14 significantly the percentage of students reading

15 at grade level or above by the end of the third

16 grade.

17 ‘‘(C) Evidence that the State has been suc18 cessful in reducing the reading deficit in terms

19 of the percentage of students in ethnic, racial,

20 and low-income populations who are reading at

21 grade level or above by the end of the third

22 grade.

23 ‘‘(D) A description of the criteria the State

24 intends to use in distributing subgrants to local
209

•HR 1 IH

1 educational agencies under this section to con2 tinue or expand activities under this subpart.

3 ‘‘(E) Any additional evidence that dem4 onstrates success in the implementation of this

5 subpart.

6 ‘‘(d) SUBGRANTS TO LOCAL EDUCATIONAL AGEN7 CIES.—

8 ‘‘(1) IN GENERAL.—The Secretary may make a

9 grant to a State under this section only if the State

10 agrees to expend 100 percent of the amount of the

11 funds provided under the grant for the purpose of

12 making competitive subgrants in accordance with

13 this subsection to local educational agencies.

14 ‘‘(2) NOTICE.—A State receiving a grant under

15 this section shall provide notice to all local edu16 cational agencies in the State of the availability of

17 competitive subgrants under this subsection and of

18 the requirements for applying for the subgrants.

19 ‘‘(3) APPLICATION.—To be eligible to receive a

20 subgrant under this subsection, a local educational

21 agency shall submit an application to the State at

22 such time, in such manner, and containing such in23 formation as the State may reasonably require.
210

•HR 1 IH

1 ‘‘(4) DISTRIBUTION.—A State shall distribute

2 funds under this section through a competitive proc3 ess based on the following criteria:

4 ‘‘(A) Evidence that a local educational

5 agency has carried out its obligations under this

6 subpart.

7 ‘‘(B) Evidence that a local educational

8 agency has increased significantly the percent9 age of students reading at grade level or above

10 by the end of the third grade.

11 ‘‘(C) Evidence that a local educational

12 agency has been successful in reducing the

13 reading deficit in terms of the percentage of

14 students in ethnic, racial, and low-income popu15 lations who are reading at grade level or above

16 by the end of the third grade.

17 ‘‘(D) The description in such application of

18 how such funds will be used to support the con19 tinuation or expansion of the agency’s programs

20 under this subpart.

21 ‘‘(E) Evidence that the local educational

22 agency will work with other eligible local edu23 cational agencies in the State that have not re24 ceived a subgrant under this subsection to as-
211

•HR 1 IH

1 sist such nonreceiving agencies in increasing the

2 reading achievement of students.

3 ‘‘(F) Any additional evidence in a local

4 educational agency’s application under para5 graph (3) that demonstrates success in the im6 plementation of this subpart.

7 ‘‘(5) LOCAL USES OF FUNDS.—A local edu8 cational agency that receives a subgrant under this

9 subsection—

10 ‘‘(A) shall use the funds provided under

11 the subgrant to carry out the activities de12 scribed in subparagraphs (A) through (D) of

13 section 1203(c)(7); and

14 ‘‘(B) may use such funds to carry out the

15 activities described in subparagraphs (E)

16 through (H) of such section.

17 ‘‘SEC. 1207. NATIONAL ACTIVITIES.

18 ‘‘From funds reserved under section 1203(b)(1)(C),

19 the Secretary—

20 ‘‘(1) through grants or contracts, shall conduct

21 an evaluation of the program under this subpart

22 using criteria recommended by the peer review panel

23 convened under section 1204(c)(2); and

24 ‘‘(2) may provide technical assistance in achiev25 ing the purposes of this subpart to States, local edu-
212

•HR 1 IH

1 cational agencies, and schools requesting such assist2 ance.

3 ‘‘SEC. 1208. INFORMATION DISSEMINATION.

4 ‘‘(a) IN GENERAL.—From funds reserved under sec5 tion 1203(b)(1)(D), the National Institute for Literacy,

6 in collaboration with the Secretary of Education, the Sec7 retary of Health and Human Services, and the Director

8 of the National Institute for Child Health and Human

9 Development—

10 ‘‘(1) shall disseminate information on scientif11 ically based reading research pertaining to children,

12 youth, and adults;

13 ‘‘(2) shall identify and disseminate information

14 about schools, local educational agencies, and States

15 that effectively developed and implemented reading

16 programs that meet the requirements of this sub17 part, including those effective States, local edu18 cational agencies, and schools identified through the

19 evaluation and peer review provisions of this sub20 part; and

21 ‘‘(3) shall support the continued identification

22 and dissemination of information on programs that

23 contain the essential components of reading instruc24 tion as supported by scientifically based reading re25 search, that can lead to improved reading outcomes
213

•HR 1 IH

1 for children, youth, and adults through evidence2 based assessments of the scientific research lit3 erature.

4 ‘‘(b) DISSEMINATION.—At a minimum, the National

5 Institute for Literacy shall disseminate such information

6 to recipients of Federal financial assistance under part A

7 of this title, part A of title III, the Head Start Act, the

8 Individuals with Disabilities Education Act, and the Adult

9 Education and Family Literacy Act. In carrying out this

10 section, the National Institute for Literacy shall, to the

11 extent practicable, utilize existing information and dis12 semination networks developed and maintained through

13 other public and private entities.

14 ‘‘(c) USE OF FUNDS.—The National Institute for

15 Literacy may use not more than 5 percent of the funds

16 reserved under section 1203(b)(1)(D) for administrative

17 purposes directly related to carrying out the activities au18 thorized by this section.

19 ‘‘SEC. 1209. DEFINITIONS.

20 ‘‘For purposes of this subpart:

21 ‘‘(1) ELIGIBLE PROFESSIONAL DEVELOPMENT

22 PROVIDER.—The term ‘eligible professional develop23 ment provider’ means a provider of professional de24 velopment in reading instruction to teachers that is

25 based on scientifically based reading research.
214

•HR 1 IH

1 ‘‘(2) ESSENTIAL COMPONENTS OF READING IN2 STRUCTION.—The term ‘essential components of

3 reading instruction’ means explicit and systematic

4 instruction in—

5 ‘‘(A) phonemic awareness;

6 ‘‘(B) phonics;

7 ‘‘(C) vocabulary development;

8 ‘‘(D) oral reading fluency; and

9 ‘‘(E) reading comprehension strategies.

10 ‘‘(3) INSTRUCTIONAL STAFF.—The term ‘in11 structional staff’—

12 ‘‘(A) means individuals who have responsi13 bility for teaching children to read; and

14 ‘‘(B) includes principals, teachers, super15 visors of instruction, librarians, library school

16 media specialists, teachers of academic subjects

17 other than reading, and other individuals who

18 have responsibility for assisting children to

19 learn to read.

20 ‘‘(4) READING.—The term ‘reading’ means a

21 complex system of deriving meaning from print that

22 requires all of the following:

23 ‘‘(A) The skills and knowledge to under24 stand how phonemes, or speech sounds, are

25 connected to print.
215

•HR 1 IH

1 ‘‘(B) The ability to decode unfamiliar

2 words.

3 ‘‘(C) The ability to read fluently.

4 ‘‘(D) Sufficient background information

5 and vocabulary to foster reading comprehen6 sion.

7 ‘‘(E) The development of appropriate ac8 tive strategies to construct meaning from print.

9 ‘‘(F) The development and maintenance of

10 a motivation to read.

11 ‘‘(5) RIGOROUS DIAGNOSTIC READING ASSESS12 MENTS.—The term ‘rigorous diagnostic reading as13 sessments’ means diagnostic reading assessments

14 that—

15 ‘‘(A) are valid, reliable, and based on sci16 entifically based reading research;

17 ‘‘(B) measure progress in developing pho18 nemic awareness and phonics skills, vocabulary,

19 reading fluency, and reading comprehension;

20 and

21 ‘‘(C) identify students who may be at risk

22 for reading failure or who are having difficulty

23 reading.
216

•HR 1 IH

1 ‘‘(6) SCIENTIFICALLY BASED READING RE2 SEARCH.—The term ‘scientifically based reading

3 research’—

4 ‘‘(A) means the application of rigorous,

5 systematic, and objective procedures to obtain

6 valid knowledge relevant to reading develop7 ment, reading instruction, and reading difficul8 ties; and

9 ‘‘(B) shall include research that—

10 ‘‘(i) employs systematic, empirical

11 methods that draw on observation or ex12 periment;

13 ‘‘(ii) involves rigorous data analyses

14 that are adequate to test the stated

15 hypotheses and justify the general conclu16 sions drawn;

17 ‘‘(iii) relies on measurements or obser18 vational methods that provide valid data

19 across evaluators and observers and across

20 multiple measurements and observations;

21 and

22 ‘‘(iv) has been accepted by a peer-re23 viewed journal or approved by a panel of

24 independent experts through a comparably

25 rigorous, objective, and scientific review.
217

•HR 1 IH

1 ‘‘Subpart 2—Early Reading First

2 ‘‘SEC. 1221. PURPOSES.

3 ‘‘The purposes of this subpart are—

4 ‘‘(1) to improve prereading skills in children

5 aged 3 through 5, particularly those children from

6 low-income families, in high-quality oral language

7 and literature-rich environments;

8 ‘‘(2) to provide professional development for

9 early childhood teachers that prepares them with sci10 entific research-based knowledge of early reading de11 velopment to assist in developing the children’s—

12 ‘‘(A) automatic recognition of the letters of

13 the alphabet;

14 ‘‘(B) understanding that spoken words are

15 made up of small segments of speech sounds

16 and that certain letters regularly represent such

17 speech sounds; and

18 ‘‘(C) spoken vocabulary and oral com19 prehension abilities;

20 ‘‘(3) to identify and provide scientific research21 based prereading language and literacy activities and

22 instructional materials that can be used to assist in

23 the development of prereading skills in children; and

24 ‘‘(4) to integrate such scientific research-based

25 instructional materials and literacy activities with
218

•HR 1 IH

1 existing preschool programs, Head Start centers,

2 and family literacy services.

3 ‘‘SEC. 1222. LOCAL EARLY READING FIRST GRANTS.

4 ‘‘(a) PROGRAM AUTHORIZED.—From amounts ap5 propriated under section 1002(b)(2), the Secretary shall

6 make awards, on a competitive basis, for periods of not

7 more than 4 years, to eligible applicants to enable such

8 applicants to carry out activities that are consistent with

9 the purposes of this subpart.

10 ‘‘(b) DEFINITION OF ELIGIBLE APPLICANT.—In this

11 subpart, the term ‘eligible applicant’ means—

12 ‘‘(1) a local educational agency;

13 ‘‘(2) one or more public or private organiza14 tions, acting on behalf of one or more programs that

15 serve preschool age children (such as a program at

16 a Head Start center or a family literacy program),

17 which organizations shall be located in a community

18 served by a local educational agency; or

19 ‘‘(3) one or more local educational agencies in

20 collaboration with one or more organizations de21 scribed in paragraph (2).

22 ‘‘(c) APPLICATIONS.—An eligible applicant that de23 sires to receive a grant under this section shall submit an

24 application to the Secretary which shall include a descrip25 tion of—
219

•HR 1 IH

1 ‘‘(1) the programs to be served by the proposed

2 project, including general demographic and socio3 economic information on the communities in which

4 the proposed project will be administered;

5 ‘‘(2) how the proposed project will enhance the

6 school readiness of young children aged 3 through 5

7 in high-quality oral language and literature-rich en8 vironments;

9 ‘‘(3) how the proposed project will provide early

10 childhood teachers with scientific research-based

11 knowledge of early reading development and assist

12 such teachers in developing the children’s prereading

13 skills;

14 ‘‘(4) how the proposed project will provide serv15 ices and utilize instructional materials that are

16 based on scientifically based reading research on

17 early language acquisition, prereading activities, and

18 the development of spoken vocabulary skills;

19 ‘‘(5) how the proposed project will integrate

20 such instructional materials and literacy activities

21 with existing preschool programs and family literacy

22 services;

23 ‘‘(6) how the proposed project will help staff in

24 the programs to meet the diverse needs of children

25 in the community, including children with limited
220

•HR 1 IH

1 English proficiency and children with learning dis2 abilities;

3 ‘‘(7) how the proposed project will help chil4 dren, particularly children experiencing difficulty

5 with spoken language, prereading, and early reading

6 skills, to make the transition from preschool to for7 mal classroom instruction in school;

8 ‘‘(8) how the activities conducted under this

9 subpart will be coordinated with the eligible appli10 cant’s activities under subpart 1, if the applicant has

11 received a subgrant under such subpart, at the kin12 dergarten through third grade levels;

13 ‘‘(9) how the proposed project will evaluate the

14 success of the activities supported under this sub15 part in enhancing the early language and reading

16 development of children served by the project; and

17 ‘‘(10) such other information as the Secretary

18 may require.

19 ‘‘(d) APPROVAL OF LOCAL APPLICATIONS.—The Sec20 retary shall select applicants for funding under this sub21 part on the basis of the quality of the applications and

22 based on the recommendations of the peer review panel

23 convened under section 1204(c)(2).

24 ‘‘(e) LOCAL USES OF FUNDS.—A local educational

25 agency that receives a grant under this subpart shall use
221

•HR 1 IH

1 the funds provided under the grant to carry out the fol2 lowing activities:

3 ‘‘(1) To provide children aged 3 through 5 with

4 high-quality oral language and literature-rich envi5 ronments in which to acquire prereading skills.

6 ‘‘(2) To provide professional development for

7 early childhood teachers that prepares them with sci8 entific research-based knowledge of early reading de9 velopment to assist in developing the children’s—

10 ‘‘(A) automatic recognition of the letters of

11 the alphabet;

12 ‘‘(B) understanding that spoken words are

13 made up of small segments of speech sounds

14 and that certain letters regularly represent such

15 speech sounds; and

16 ‘‘(C) spoken vocabulary and oral com17 prehension abilities.

18 ‘‘(3) To identify and provide scientific research19 based prereading language and literacy activities and

20 instructional materials for use in developing the

21 children’s—

22 ‘‘(A) automatic recognition of the letters of

23 the alphabet;

24 ‘‘(B) understanding that spoken words are

25 made up of small segments of speech sounds
222

•HR 1 IH

1 and that certain letters regularly represent such

2 speech sounds; and

3 ‘‘(C) spoken vocabulary and oral com4 prehension abilities.

5 ‘‘(4) To integrate such instructional materials and lit6 eracy activities with existing Head Start centers, preschool

7 programs, and family literacy services.

8 ‘‘(f) AWARD AMOUNTS.—The Secretary may estab9 lish a maximum award amount, or ranges of award

10 amounts, for grants under this subpart.

11 ‘‘SEC. 1223. FEDERAL ADMINISTRATION.

12 ‘‘The Secretary shall consult with the Secretary of

13 Health and Human Services in order to coordinate the ac14 tivities undertaken under this subpart with early childhood

15 programs administered by the Department of Health and

16 Human Services.

17 ‘‘SEC. 1224. INFORMATION DISSEMINATION.

18 ‘‘From funds reserved under section 1203(b)(1)(D),

19 the National Institute for Literacy, in consultation with

20 the Secretary, shall disseminate information regarding

21 projects assisted under this subpart that have proven ef22 fective.

23 ‘‘SEC. 1225. REPORTING REQUIREMENTS.

24 ‘‘Each eligible applicant receiving a grant under this

25 subpart shall report annually to the Secretary regarding
223

•HR 1 IH

1 the eligible applicant’s progress in addressing the purposes

2 of this subpart.

3 ‘‘SEC. 1226. EVALUATIONS.

4 ‘‘From the total amount appropriated under section

5 1002(b)(2) for the period beginning October 1, 2002, and

6 ending September 30, 2006, the Secretary shall reserve

7 not more than $1,000,000 to conduct an independent eval8 uation of the effectiveness of this subpart.

9 ‘‘SEC. 1227. ADDITIONAL RESEARCH.

10 ‘‘From the amount appropriated under section

11 1002(b)(2) for each of the fiscal years 2002 through 2006,

12 the Secretary shall reserve not more than $3,000,000 to

13 conduct, in consultation with the National Institute for

14 Child Health and Human Development, the National In15 stitute for Literacy, and the Department of Health and

16 Human Services, additional research on language and lit17 eracy development for children aged 3 through 5.’’.

18 SEC. 112. AMENDMENTS TO EVEN START.

19 Part B of title I (20 U.S.C. 6361 et seq.), as amend20 ed by section 111, is further amended—

21 (1) by inserting before section 1231 (as so re22 designated by section 111) the following:
224

•HR 1 IH

1 ‘‘Subpart 3—William F. Goodling Even Start Family

2 Literacy Programs’’;

3 (2) in each of sections 1231 through 1242 (as

4 so redesignated by section 111)—

5 (A) by striking ‘‘this part’’ each place such

6 term appears and inserting ‘‘this subpart’’; and

7 (B) by striking ‘‘1002(b)’’ each place such

8 term appears and inserting ‘‘1002(b)(3)’’;

9 (3) in section 1231(4), by striking ‘‘2252)’’ and

10 inserting ‘‘1209)’’;

11 (4) in section 1232—

12 (A) in subsection (b)—

13 (i) in paragraph (1)(A), by striking

14 ‘‘1209;’’ and inserting ‘‘1239;’’; and

15 (ii) in paragraph (2), by striking

16 ‘‘1211(b)’’ each place such term appears

17 and inserting ‘‘1241(b)’’; and

18 (B) in subsection (c)—

19 (i) by amending paragraph (2)(C) to

20 read as follows:

21 ‘‘(C) COORDINATION WITH SUBPART 1.—

22 The consortium shall coordinate its activities

23 with the activities of the reading partnership

24 for the State established under section 1204(d),

25 if the State receives a grant under section

26 1203.’’; and
225

•HR 1 IH

1 (ii) in paragraph (3), by striking

2 ‘‘2252).’’ and inserting ‘‘1209).’’;

3 (5) in section 1233—

4 (A) by striking ‘‘1202(d)(1)’’ each place

5 such term appears and inserting ‘‘1232(d)(1)’’;

6 and

7 (B) by striking ‘‘1210.’’ and inserting

8 ‘‘1240.’’;

9 (6) in section 1234—

10 (A) in subsection (b)—

11 (i) in paragraph (1)(A), by moving

12 the margins of clauses (v) and (vi) 2 ems

13 to the right; and

14 (ii) in paragraph (3), by striking

15 ‘‘1202(a)(1)(C)’’ and inserting

16 ‘‘1232(a)(1)(C)’’; and

17 (B) in subsection (c)—

18 (i) in paragraph (1)—

19 (I) by striking ‘‘1203(a),’’ and

20 inserting ‘‘1233(a),’’; and

21 (II) by striking ‘‘1203(b)’’ and

22 inserting ‘‘1233(b)’’; and

23 (ii) in paragraph (2), by striking

24 ‘‘1210.’’ and inserting ‘‘1240.’’;

25 (7) in section 1235—
226

•HR 1 IH

1 (A) in paragraph (10), by striking ‘‘2252)’’

2 and inserting ‘‘1209)’’;

3 (B) in paragraph (12), by striking

4 ‘‘2252),’’ and inserting ‘‘1209),’’; and

5 (C) in paragraph (15), by striking ‘‘pro6 gram.’’ and inserting ‘‘program to be used for

7 program improvement.’’;

8 (8) in section 1237—

9 (A) in subsection (c)(1)—

10 (i) in subparagraph (B), by striking

11 ‘‘1205;’’ and inserting ‘‘1235;’’; and

12 (ii) in subparagraph (F), by striking

13 ‘‘14306;’’ and inserting ‘‘8306;’’; and

14 (B) in subsection (d), by striking ‘‘14302.’’

15 and inserting ‘‘8302.’’;

16 (9) in section 1238—

17 (A) in subsection (a)(1)—

18 (i) in subparagraph (A)(ii), by strik19 ing ‘‘1205;’’ and inserting ‘‘1235;’’; and

20 (ii) in subparagraph (F), by striking

21 ‘‘1204(b);’’ and inserting ‘‘1234(b);’’; and

22 (B) in subsection (b)—

23 (i) in paragraph (3)—

24 (I) by striking ‘‘1207(c)(1)(A)’’

25 and inserting ‘‘1237(c)(1)(A)’’; and
227

•HR 1 IH

1 (II) by striking ‘‘1210.’’ and in2 serting ‘‘1240.’’;

3 (ii) in paragraph (4), by striking

4 ‘‘1210,’’ and inserting ‘‘1240,’’; and

5 (iii) in paragraph (5)(B), by striking

6 ‘‘1204(b).’’ and inserting ‘‘1234(b).’’;

7 (10) in section 1239—

8 (A) by striking ‘‘1202(b)(1),’’ and insert9 ing ‘‘1232(b)(1),’’; and

10 (B) by striking ‘‘1205(10)’’ and inserting

11 ‘‘1235(10)’’; and

12 (11) in section 1241—

13 (A) in subsection (b)(1)—

14 (i) by striking ‘‘1202(b)(2),’’ and in15 serting ‘‘1232(b)(2),’’; and

16 (ii) by striking ‘‘2252);’’ and inserting

17 ‘‘1209);’’; and

18 (B) in subsection (c), by striking ‘‘2258,’’

19 and inserting ‘‘1208,’’.

20 PART C—EDUCATION OF MIGRATORY CHILDREN

21 SEC. 121. STATE ALLOCATIONS.

22 Section 1303 (20 U.S.C. 6393) is amended—

23 (1) by amending subsection (a) to read as fol24 lows:

25 ‘‘(a) STATE ALLOCATIONS.—
228

•HR 1 IH

1 ‘‘(1) FISCAL YEAR 2002.—For fiscal year 2002,

2 each State (other than the Commonwealth of Puerto

3 Rico) is entitled to receive under this part an

4 amount equal to—

5 ‘‘(A) the sum of the estimated number of

6 migratory children aged three through 21 who

7 reside in the State full time and the full-time

8 equivalent of the estimated number of migra9 tory children aged three through 21 who reside

10 in the State part time, as determined in accord11 ance with subsection (e); multiplied by

12 ‘‘(B) 40 percent of the average per-pupil

13 expenditure in the State, except that the

14 amount determined under this paragraph shall

15 not be less than 32 percent, nor more than 48

16 percent, of the average expenditure per pupil in

17 the United States.

18 ‘‘(2) SUBSEQUENT YEARS.—

19 ‘‘(A) BASE AMOUNT.—

20 ‘‘(i) IN GENERAL.—Except as pro21 vided in subsection (b) and clause (ii), each

22 State (other than the Commonwealth of

23 Puerto Rico) is entitled to receive under

24 this part, for fiscal year 2003 and suc25 ceeding fiscal years, an amount equal to—
229

•HR 1 IH

1 ‘‘(I) the amount that such State

2 received under this part for fiscal year

3 2002; plus

4 ‘‘(II) the amount allocated to the

5 State under subparagraph (B).

6 ‘‘(ii) NONPARTICIPATING STATES.—In

7 the case of a State (other than the Com8 monwealth of Puerto Rico) that did not re9 ceive any funds for fiscal year 2002 under

10 this part, the State shall receive, for fiscal

11 year 2003 and succeeding fiscal years, an

12 amount equal to—

13 ‘‘(I) the amount that such State

14 would have received under this part

15 for fiscal year 2002 if its application

16 under section 1304 for the year had

17 been approved; plus

18 ‘‘(II) the amount allocated to the

19 State under subparagraph (B).

20 ‘‘(B) ALLOCATION OF ADDITIONAL

21 AMOUNT.—For fiscal year 2003 and succeeding

22 fiscal years, the amount (if any) by which the

23 funds appropriated to carry out this part for

24 the year exceed such funds for fiscal year 2002

25 shall be allocated to a State (other than the
230

•HR 1 IH

1 Commonwealth of Puerto Rico) so that the

2 State receives an amount equal to—

3 ‘‘(i) the sum of—

4 ‘‘(I) the number of identified eli5 gible migratory children, aged 3

6 through 21, residing in the State dur7 ing the previous year; and

8 ‘‘(II) the number of identified eli9 gible migratory children, aged 3

10 through 21, who received services

11 under this part in summer or interses12 sion programs provided by the State

13 during such year; multiplied by

14 ‘‘(ii) 40 percent of the average per15 pupil expenditure in the State, except that

16 the amount determined under this clause

17 may not be less than 32 percent, or more

18 than 48 percent, of the average per-pupil

19 expenditure in the United States.’’;

20 (2) by amending subsection (b) to read as fol21 lows:

22 ‘‘(b) ALLOCATION TO PUERTO RICO.—

23 ‘‘(1) IN GENERAL.—For each fiscal year, the

24 grant which the Commonwealth of Puerto Rico shall

25 be eligible to receive under this part shall be the
231

•HR 1 IH

1 amount determined by multiplying the number of

2 children counted under subsection (a)(1)(A) for the

3 Commonwealth of Puerto Rico by the product of—

4 ‘‘(A) the percentage which the average per

5 pupil expenditure in the Commonwealth of

6 Puerto Rico is of the lowest average per pupil

7 expenditure of any of the 50 States; and

8 ‘‘(B) 32 percent of the average per pupil

9 expenditure in the United States.

10 ‘‘(2) MINIMUM PERCENTAGE.—The percentage

11 in paragraph (1)(A) shall not be less than—

12 ‘‘(A) for fiscal year 2002, 77.5 percent;

13 ‘‘(B) for fiscal year 2003, 80.0 percent;

14 ‘‘(C) for fiscal year 2004, 82.5 percent;

15 and

16 ‘‘(D) for fiscal year 2005 and succeeding

17 fiscal years, 85.0 percent.

18 ‘‘(3) LIMITATION.—If the application of para19 graph (2) would result in any of the 50 States or

20 the District of Columbia receiving less under this

21 part than it received under this part for the pre22 ceding fiscal year, the percentage in paragraph (1)

23 shall be the greater of the percentage in paragraph

24 (1)(A) or the percentage used for the preceding fis25 cal year.’’; and
232

•HR 1 IH

1 (3) by striking subsections (d) and (e).

2 SEC. 122. STATE APPLICATIONS; SERVICES.

3 (a) PROGRAM INFORMATION.—Section 1304(b) (20

4 U.S.C. 6394(b)) is amended—

5 (1) in paragraph (1), by striking ‘‘addressed

6 through’’ and all that follows through the semicolon

7 at the end and inserting the following:

8 ‘‘addressed through—

9 ‘‘(A) the full range of services that are

10 available for migratory children from appro11 priate local, State, and Federal educational pro12 grams;

13 ‘‘(B) joint planning among local, State,

14 and Federal educational programs serving mi15 grant children, including programs under part

16 A of title III;

17 ‘‘(C) the integration of services available

18 under this part with services provided by those

19 other programs; and

20 ‘‘(D) measurable program goals and out21 comes;’’;

22 (2) in paragraph (5), by striking ‘‘the require23 ments of paragraph (1); and’’ and inserting ‘‘the

24 numbers and needs of migratory children, the re25 quirements of subsection (d), and the availability of
233

•HR 1 IH

1 funds from other Federal, State, and local pro2 grams;’’; and

3 (3) in paragraph (6), by striking the period at

4 the end and inserting ‘‘; and’’.

5 (b) ASSURANCES.—Section 1304(c) (20 U.S.C.

6 6394(c)) is amended—

7 (1) in paragraph (1), by striking ‘‘1306(b)(1);’’

8 and inserting ‘‘1306(a);’’;

9 (2) in paragraph (2), by striking ‘‘part F;’’ and

10 inserting ‘‘part H;’’

11 (3) in paragraph (3)—

12 (A) by striking ‘‘appropriate’’;

13 (B) by striking ‘‘out, to the extent fea14 sible,’’ and inserting ‘‘out’’; and

15 (C) by striking ‘‘1118;’’ and inserting

16 ‘‘1118, unless extraordinary circumstances

17 make implementation consistent with such sec18 tion impractical;’’; and

19 (4) in paragraph (7), by striking ‘‘section

20 1303(e)’’ and inserting ‘‘paragraphs (1)(A) and

21 (2)(B)(i) of section 1303(a)’’.

22 SEC. 123. AUTHORIZED ACTIVITIES.

23 Section 1306 (20 U.S.C. 6396) is amended to read

24 as follows:
234

•HR 1 IH

1 ‘‘SEC. 1306. AUTHORIZED ACTIVITIES.

2 ‘‘(a) IN GENERAL.—

3 ‘‘(1) FLEXIBILITY.—Each State educational

4 agency, through its local educational agencies, shall

5 have the flexibility to determine the activities to be

6 provided with funds made available under this part,

7 except that such funds shall first be used to meet

8 the identified needs of migratory children that result

9 from their migratory lifestyle, and to permit these

10 children to participate effectively in school.

11 ‘‘(2) UNADDRESSED NEEDS.—Funds provided

12 under this part shall be used to address the needs

13 of migratory children that are not addressed by serv14 ices available from other Federal or non-Federal

15 programs, except that migratory children who are el16 igible to receive services under part A of this title

17 may receive those services through funds provided

18 under that part, or through funds under this part

19 that remain after the agency addresses the needs de20 scribed in paragraph (1).

21 ‘‘(b) CONSTRUCTION.—Nothing in this part shall be

22 construed to prohibit a local educational agency from serv23 ing migratory children simultaneously with students with

24 similar educational needs in the same educational settings,

25 where appropriate.
235

•HR 1 IH

1 ‘‘(c) SPECIAL RULE.—Notwithstanding section 1114,

2 a school that receives funds under this part shall continue

3 to address the identified needs described in subsection

4 (a)(1).’’.

5 SEC. 124. COORDINATION OF MIGRANT EDUCATION ACTIVI6 TIES.

7 (a) DURATION.—Section 1308(a)(2) (20 U.S.C.

8 6398(a)(2)) is amended by striking ‘‘subpart’’ and insert9 ing ‘‘subsection’’.

10 (b) STUDENT RECORDS.—Section 1308(b) (20

11 U.S.C. 6398(b)) is amended to read as follows:

12 ‘‘(b) STUDENT RECORDS.—

13 ‘‘(1) ASSISTANCE.—The Secretary shall assist

14 States in developing effective methods for the trans15 fer of student records and in determining the num16 ber of migratory children in each State. The Sec17 retary, in consultation with the States, shall deter18 mine the minimum data elements that each State re19 ceiving funds under this part shall collect and main20 tain. The Secretary shall assist States to implement

21 a system of linking their student record transfer sys22 tems for the purpose of electronic records mainte23 nance and transfer for migrant students.

24 ‘‘(2) NO COST FOR CERTAIN TRANSFERS.—A

25 State educational agency or local educational agency
236

•HR 1 IH

1 receiving assistance under this part shall make stu2 dent records available to another State or local edu3 cational agency that requests the records at no cost

4 to the requesting agency, if the request is made in

5 order to meet the needs of a migratory child.’’.

6 (c) AVAILABILITY OF FUNDS.—Section 1308(c) (20

7 U.S.C. 6398(c)) is amended by striking ‘‘$6,000,000’’ and

8 inserting ‘‘$10,000,000’’.

9 (d) INCENTIVE GRANTS.—Section 1308(d) (20

10 U.S.C. 6398(d)) is amended to read as follows:

11 ‘‘(d) INCENTIVE GRANTS.—From the amounts made

12 available to carry out this section for any fiscal year, the

13 Secretary may reserve not more than $3,000,000 to award

14 grants of not more than $250,000 on a competitive basis

15 to State educational agencies that propose a consortium

16 arrangement with another State or other appropriate enti17 ty that the Secretary determines, pursuant to criteria that

18 the Secretary shall establish, will improve the delivery of

19 services to migratory children whose education is inter20 rupted.’’.

21 PART D—NEGLECTED OR DELINQUENT YOUTH

22 SEC. 131. NEGLECTED OR DELINQUENT YOUTH.

23 The heading for part D of title I is amended to read

24 as follows:
237

•HR 1 IH

1 ‘‘PART D—PREVENTION AND INTERVENTION

2 PROGRAMS FOR NEGLECTED OR DELIN3 QUENT CHILDREN AND YOUTH’’.

4 SEC. 132. FINDINGS.

5 Section 1401(a) (20 U.S.C. 6421(a)) is amended by

6 striking paragraphs (6) through (9) and inserting the fol7 lowing:

8 ‘‘(6) Youth returning from correctional facilities

9 need to be involved in programs that provide them

10 with high-level skills and other support to help them

11 stay in school and complete their education.

12 ‘‘(7) Pregnant and parenting teenagers are a

13 high-at-risk group for dropping out of school and

14 should be targeted by dropout prevention pro15 grams.’’.

16 SEC. 133. ALLOCATION OF FUNDS.

17 Section 1412(b) (20 U.S.C. 6432(b)) is amended to

18 read as follows:

19 ‘‘(b) SUBGRANTS TO STATE AGENCIES IN PUERTO

20 RICO.—

21 ‘‘(1) IN GENERAL.—For each fiscal year, the

22 amount of the subgrant which a State agency in the

23 Commonwealth of Puerto Rico shall be eligible to re24 ceive under this part shall be the amount determined

25 by multiplying the number of children counted under
238

•HR 1 IH

1 subparagraph (a)(1)(A) for the Commonwealth of

2 Puerto Rico by the product of—

3 ‘‘(A) the percentage which the average per4 pupil expenditure in the Commonwealth of

5 Puerto Rico is of the lowest average per-pupil

6 expenditure of any of the 50 States; and

7 ‘‘(B) 32 percent of the average per-pupil

8 expenditure in the United States.

9 ‘‘(2) MINIMUM PERCENTAGE.—The percentage

10 in paragraph (1)(A) shall not be less than—

11 ‘‘(A) for fiscal year 2002, 77.5 percent;

12 ‘‘(B) for fiscal year 2003, 80.0 percent;

13 ‘‘(C) for fiscal year 2004, 82.5 percent;

14 and

15 ‘‘(D) for fiscal year 2005 and succeeding

16 fiscal years, 85.0 percent.

17 ‘‘(3) LIMITATION.—If the application of para18 graph (2) would result in any of the 50 States or

19 the District of Columbia receiving less under this

20 part than it received under this part for the pre21 ceding fiscal year, the percentage in paragraph (1)

22 shall be the greater of the percentage in paragraph

23 (1)(A) or the percentage used for the preceding fis24 cal year.’’.
239

•HR 1 IH

1 SEC. 134. STATE PLAN AND STATE AGENCY APPLICATIONS.

2 Section 1414 (20 U.S.C. 6434) is amended to read

3 as follows:

4 ‘‘SEC. 1414. STATE PLAN AND STATE AGENCY APPLICA5 TIONS.

6 ‘‘(a) STATE PLAN.—

7 ‘‘(1) IN GENERAL.—Each State educational

8 agency that desires to receive a grant under this

9 part shall submit, for approval by the Secretary, a

10 plan for meeting the educational needs of neglected

11 and delinquent youth, for assisting in their transi12 tion from institutions to locally operated programs,

13 and which is integrated with other programs under

14 this Act or other Acts, as appropriate, consistent

15 with section 8306.

16 ‘‘(2) CONTENTS.—Each such State plan shall—

17 ‘‘(A) describe the program goals, objec18 tives, and performance measures established by

19 the State that will be used to assess the effec20 tiveness of the program in improving academic

21 and vocational and technical skills of children in

22 the program;

23 ‘‘(B) provide that, to the extent feasible,

24 such children will have the same opportunities

25 to learn as such children would have if such
240

•HR 1 IH

1 children were in the schools of local educational

2 agencies in the State; and

3 ‘‘(C) contain assurances that the State

4 educational agency will—

5 ‘‘(i) ensure that programs assisted

6 under this part will be carried out in ac7 cordance with the State plan described in

8 this subsection;

9 ‘‘(ii) carry out the evaluation require10 ments of section 1416;

11 ‘‘(iii) ensure that the State agencies

12 receiving subgrants under this subpart

13 comply with all applicable statutory and

14 regulatory requirements; and

15 ‘‘(iv) provide such other information

16 as the Secretary may reasonably require.

17 ‘‘(3) DURATION OF THE PLAN.—Each such

18 State plan shall—

19 ‘‘(A) remain in effect for the duration of

20 the State’s participation under this part; and

21 ‘‘(B) be periodically reviewed and revised

22 by the State, as necessary, to reflect changes in

23 the State’s strategies and programs under this

24 part.

25 ‘‘(b) SECRETARIAL APPROVAL AND PEER REVIEW.—
241

•HR 1 IH

1 ‘‘(1) SECRETARIAL APPROVAL.—The Secretary

2 shall approve each State plan that meets the re3 quirements of this part.

4 ‘‘(2) PEER REVIEW.—The Secretary may review

5 any State plan with the assistance and advice of in6 dividuals with relevant expertise.

7 ‘‘(c) STATE AGENCY APPLICATIONS.—Any State

8 agency that desires to receive funds to carry out a pro9 gram under this part shall submit an application to the

10 State educational agency that—

11 ‘‘(1) describes the procedures to be used, con12 sistent with the State plan under section 1111, to

13 assess the educational needs of the children to be

14 served;

15 ‘‘(2) provides assurances that in making serv16 ices available to youth in adult correctional facilities,

17 priority will be given to such youth who are likely to

18 complete incarceration within a 2-year period;

19 ‘‘(3) describes the program, including a budget

20 for the first year of the program, with annual up21 dates to be provided to the State educational agency;

22 ‘‘(4) describes how the program will meet the

23 goals and objectives of the State plan under this

24 subpart;
242

•HR 1 IH

1 ‘‘(5) describes how the State agency will consult

2 with experts and provide the necessary training for

3 appropriate staff, to ensure that the planning and

4 operation of institution-wide projects under section

5 1416 are of high quality;

6 ‘‘(6) describes how the agency will carry out the

7 evaluation requirements of section 8651 and how the

8 results of the most recent evaluation are used to

9 plan and improve the program;

10 ‘‘(7) includes data showing that the agency has

11 maintained fiscal effort required of a local edu12 cational agency, in accordance with section 8501;

13 ‘‘(8) describes how the programs will be coordi14 nated with other appropriate State and Federal pro15 grams, such as programs under title I of the Work16 force Investment Act of 1998 (29 U.S.C. 2801 et

17 seq.), vocational and technical education programs,

18 State and local dropout prevention programs, and

19 special education programs;

20 ‘‘(9) describes how States will encourage correc21 tional facilities receiving funds under this subpart to

22 coordinate with local educational agencies or alter23 native education programs attended by incarcerated

24 youth prior to their incarceration to ensure that stu25 dent assessments and appropriate academic records
243

•HR 1 IH

1 are shared jointly between the correctional facility

2 and the local educational agency or alternative edu3 cation program;

4 ‘‘(10) describes how appropriate professional

5 development will be provided to teachers and other

6 staff;

7 ‘‘(11) designates an individual in each affected

8 institution to be responsible for issues relating to the

9 transition of children and youth from the institution

10 to locally operated programs;

11 ‘‘(12) describes how the agency will endeavor to

12 coordinate with businesses for training and men13 toring for participating youth;

14 ‘‘(13) provides assurances that the agency will

15 assist in locating alternative programs through

16 which students can continue their education if stu17 dents are not returning to school after leaving the

18 correctional facility;

19 ‘‘(14) provides assurances that the agency will

20 work with parents to secure parents’ assistance in

21 improving the educational achievement of their chil22 dren and preventing their children’s further involve23 ment in delinquent activities;

24 ‘‘(15) provides assurances that the agency

25 works with special education youth in order to meet
244

•HR 1 IH

1 an existing individualized education program and an

2 assurance that the agency will notify the youth’s

3 local school if such youth—

4 ‘‘(A) is identified as in need of special edu5 cation services while the youth is in the facility;

6 and

7 ‘‘(B) intends to return to the local school;

8 ‘‘(16) provides assurances that the agency will

9 work with youth who dropped out of school before

10 entering the facility to encourage the youth to reen11 ter school once the term of incarceration has been

12 completed or provide the youth with the skills nec13 essary to gain employment, continue the education

14 of the youth, or achieve a secondary school diploma

15 or the recognized equivalent if the youth does not in16 tend to return to school;

17 ‘‘(17) provides assurances that teachers and

18 other qualified staff are also trained to work with

19 children with disabilities and other students with

20 special needs, taking into consideration the unique

21 needs of such students;

22 ‘‘(18) describes any additional services to be

23 provided to youth, such as career counseling, dis24 tance learning, and assistance in securing student

25 loans and grants; and
245

•HR 1 IH

1 ‘‘(19) provides assurances that the program

2 under this subpart will be coordinated with any pro3 grams operated under the Juvenile Justice and De4 linquency Prevention Act of 1974 (42 U.S.C. 5601

5 et seq.) or other comparable programs, if applica6 ble.’’.

7 SEC. 135. USE OF FUNDS.

8 Section 1415(a) (20 U.S.C. 6435(a)) is amended—

9 (1) in paragraph (1)(B), by inserting ‘‘, voca10 tional and technical training,’’ after ‘‘secondary

11 school completion’’;

12 (2) in paragraph (2)(B)—

13 (A) in clause (i), by inserting ‘‘and’’ after

14 the semicolon;

15 (B) in clause (ii), by striking ‘‘; and’’ and

16 inserting a period; and

17 (C) by striking clause (iii);

18 (3) in paragraph (2)(C), by striking ‘‘part F of

19 this title’’ and inserting ‘‘part H’’; and

20 (4) in paragraph (2)(D), by striking ‘‘section

21 14701’’ and inserting ‘‘section 8651’’.

22 SEC. 136. TRANSITION SERVICES.

23 Section 1418(a) (20 U.S.C. 6438(a)) is amended by

24 striking ‘‘10 percent’’ and inserting ‘‘15 percent’’.
246

•HR 1 IH

1 SEC. 137. PURPOSE.

2 Section 1421(3) (20 U.S.C. 6451(3)) is amended to

3 read as follows:

4 ‘‘(3) operate programs in local schools for youth

5 returning from correctional facilities and programs

6 which may also serve youth at risk of dropping out

7 of school.’’.

8 SEC. 138. PROGRAMS OPERATED BY LOCAL EDUCATIONAL

9 AGENCIES.

10 Section 1422 (20 U.S.C. 6452) is amended—

11 (1) in subsection (a), by striking ‘‘retained’’;

12 (2) by amending subsection (b) to read as fol13 lows:

14 ‘‘(b) SPECIAL RULE.—A local educational agency

15 which includes a correctional facility that operates a school

16 is not required to operate a program of support for chil17 dren returning from such school to a school not operated

18 by a correctional agency but served by such local edu19 cational agency if more than 30 percent of the youth at20 tending the school operated by the correctional facility will

21 reside outside the boundaries of the local educational

22 agency after leaving such facility.’’; and

23 (3) by adding at the end the following:

24 ‘‘(d) TRANSITIONAL AND ACADEMIC SERVICES.—

25 Transitional and supportive programs operated in local

26 educational agencies under this subpart shall be designed
247

•HR 1 IH

1 primarily to meet the transitional and academic needs of

2 students returning to local educational agencies or alter3 native education programs from correctional facilities.

4 Services to students at risk of dropping out of school shall

5 not have a negative impact on meeting the transitional and

6 academic needs of the students returning from correc7 tional facilities.’’.

8 SEC. 139. LOCAL EDUCATIONAL AGENCY APPLICATIONS.

9 Section 1423 (20 U.S.C. 6453) is amended by strik10 ing paragraphs (4) through (9) and inserting the fol11 lowing:

12 ‘‘(4) a description of the program operated by

13 participating schools for children returning from cor14 rectional facilities and the types of services that such

15 schools will provide such youth and other at-risk

16 youth;

17 ‘‘(5) a description of the characteristics (includ18 ing learning difficulties, substance abuse problems,

19 and other special needs) of the youth who will be re20 turning from correctional facilities and, as appro21 priate, other at-risk youth expected to be served by

22 the program and how the school will coordinate ex23 isting educational programs to meet the unique edu24 cational needs of such youth;
248

•HR 1 IH

1 ‘‘(6) as appropriate, a description of how

2 schools will coordinate with existing social, health,

3 and other services to meet the needs of students re4 turning from correctional facilities, students at risk

5 of dropping out of school, and other participating

6 students, including prenatal health care and nutri7 tion services related to the health of the parent and

8 child, parenting and child development classes, child

9 care, targeted reentry and outreach programs, refer10 rals to community resources, and scheduling flexi11 bility;

12 ‘‘(7) as appropriate, a description of any part13 nerships with local businesses to develop training,

14 curriculum-based youth entrepreneurship education,

15 and mentoring services for participating students;

16 ‘‘(8) as appropriate, a description of how pro17 grams will involve parents in efforts to improve the

18 educational achievement of their children, prevent

19 the involvement of their children in delinquent activi20 ties, and encourage their children to remain in

21 school and complete their education;

22 ‘‘(9) a description of how the program under

23 this subpart will be coordinated with other Federal,

24 State, and local programs, such as programs under

25 title I of the Workforce Investment Act of 1998 (29
249

•HR 1 IH

1 U.S.C. 2801 et seq.) and vocational and technical

2 education programs serving this at-risk population

3 of youth.’’.

4 SEC. 140. USES OF FUNDS.

5 Section 1424 (20 U.S.C. 6454) is amended by strik6 ing paragraphs (1) through (3) and inserting the fol7 lowing:

8 ‘‘(1) programs that serve youth returning from

9 correctional facilities to local schools, to assist in the

10 transition of such youth to the school environment

11 and help them remain in school in order to complete

12 their education;

13 ‘‘(2) providing assistance to other youth at risk

14 of dropping out of school, including pregnant and

15 parenting teenagers;

16 ‘‘(3) the coordination of social, health, and

17 other services, including day care, for participating

18 youth, if the provision of such services will improve

19 the likelihood that such youth will complete their

20 education;

21 ‘‘(4) special programs to meet the unique aca22 demic needs of participating youth, including voca23 tional and technical education, special education, ca24 reer counseling, curriculum-based youth entrepre25 neurship education, and assistance in securing stu-
250

•HR 1 IH

1 dent loans or grants for postsecondary education;

2 and

3 ‘‘(5) programs providing mentoring and peer

4 mediation.’’.

5 SEC. 141. PROGRAM REQUIREMENTS.

6 Section 1425 (20 U.S.C. 6455) is amended—

7 (1) in the section heading, by striking ‘‘THIS

8 SECTION’’ and inserting ‘‘THIS SUBPART’’;

9 (2) in the matter preceding paragraph (1), by

10 striking ‘‘this section’’ and inserting ‘‘this subpart’’;

11 (3) in paragraph (1), by striking ‘‘where fea12 sible, ensure educational programs’’ and inserting

13 ‘‘to the extent practicable, ensure that educational

14 programs’’;

15 (4) in paragraphs (3) and (8), by striking

16 ‘‘where feasible,’’ and inserting ‘‘to the extent prac17 ticable,’’;

18 (5) in paragraph (9)—

19 (A) by striking ‘‘this program’’ and insert20 ing ‘‘this subpart’’;

21 (B) by inserting ‘‘and technical’’ after ‘‘vo22 cational’’; and

23 (C) by inserting ‘‘(20 U.S.C. 2801 et

24 seq.)’’ after ‘‘Workforce Investment Act of

25 1998’’;
251

•HR 1 IH

1 (6) in paragraph (10), by inserting ‘‘(42 U.S.C.

2 5601 et seq.)’’ after ‘‘Juvenile Justice and Delin3 quency Prevention Act of 1974’’; and

4 (7) by amending paragraph (11) to read as fol5 lows:

6 ‘‘(11) if appropriate, work with local businesses

7 to develop training, curriculum-based youth entre8 preneurship education, and mentoring programs for

9 youth.’’.

10 SEC. 142. PROGRAM EVALUATIONS.

11 Section 1431(a) (20 U.S.C. 6471(a)) is amended by

12 striking ‘‘sex, and if feasible,’’ and inserting ‘‘gender,’’.

13 PART E—FEDERAL EVALUATIONS AND

14 DEMONSTRATIONS

15 SEC. 151. EVALUATIONS.

16 Section 1501 (20 U.S.C. 6491) is amended to read

17 as follows:

18 ‘‘SEC. 1501. EVALUATIONS.

19 ‘‘(a) NATIONAL ASSESSMENT.—

20 ‘‘(1) IN GENERAL.—In accordance with this

21 section, the Secretary shall conduct a national as22 sessment of programs assisted under this title.

23 ‘‘(2) ISSUES TO BE EXAMINED.—In conducting

24 the assessment under this subsection, the Secretary

25 shall examine—
252

•HR 1 IH

1 ‘‘(A) the implementation of programs as2 sisted under this title and the impact of such

3 implementation on increasing student academic

4 achievement, particularly schools with high con5 centrations of children living in poverty;

6 ‘‘(B) the implementation of State stand7 ards, assessments, and accountability systems

8 developed under this title and the impact of

9 such implementation on educational programs

10 and instruction at the local level;

11 ‘‘(C) the impact of schoolwide programs

12 and targeted assistance programs under this

13 title on improving student academic achieve14 ment;

15 ‘‘(D) the extent to which varying models of

16 comprehensive school reform are funded under

17 this title, and the effect of the implementation

18 of such models on improving achievement of

19 disadvantaged students;

20 ‘‘(E) the cost-effectiveness of programs as21 sisted under this title;

22 ‘‘(F) the impact of school choice options

23 under section 1116 on the academic achieve24 ment of disadvantaged students and schools in

25 school improvement;
253

•HR 1 IH

1 ‘‘(G) the extent to which corrective actions

2 authorized under section 1116 of this title are

3 employed by State and local educational agen4 cies to improve the academic achievement of

5 students in low-performing schools, and the ef6 fectiveness of the implementation of such cor7 rective actions;

8 ‘‘(H) the extent to which technical assist9 ance made available under this title is used to

10 improve the achievement of students in low-per11 forming schools, and the impact of such assist12 ance on such achievement;

13 ‘‘(I) the extent to which State and local

14 fiscal accounting requirements under this title

15 limit the flexibility of schoolwide programs;

16 ‘‘(J) the impact of the professional devel17 opment activities assisted under this title on in18 struction and student performance;

19 ‘‘(K) the extent to which the assistance

20 made available under this title is targeted to

21 disadvantaged students and schools that need

22 them the most;

23 ‘‘(L) the effectiveness of Federal adminis24 tration assistance made available under this
254

•HR 1 IH

1 title, including monitoring and technical assist2 ance; and

3 ‘‘(M) such other issues as the Secretary

4 considers appropriate.

5 ‘‘(3) SOURCES OF INFORMATION.—In con6 ducting the assessment under this subsection, the

7 Secretary shall use information from a variety of

8 sources, including the National Assessment of Edu9 cational Progress (carried out under section 411 of

10 the National Education Statistics Act of 1994 (20

11 U.S.C. 9010)), state evaluations, and other research

12 studies.

13 ‘‘(4) COORDINATION.—In carrying out this sub14 section, the Secretary shall—

15 ‘‘(A) coordinate conducting the national

16 assessment with conducting the longitudinal

17 study described in subsection (c); and

18 ‘‘(B) ensure that the independent review

19 panel described in subsection (d) participates in

20 conducting the national assessment, including

21 planning for and reviewing the assessment.

22 ‘‘(5) REPORTS.—

23 ‘‘(A) INTERIM REPORT.—Not later than 3

24 years after the date of enactment of the Leave

25 No Child Behind Act of 2001, the Secretary
255

•HR 1 IH

1 shall transmit to the President and the Con2 gress an interim report on the national assess3 ment conducted under this subsection.

4 ‘‘(B) FINAL REPORT.—Not later than 4

5 years after the date of enactment of the Leave

6 No Child Behind Act of 2001, the Secretary

7 shall transmit to the President and the Con8 gress a final report on the national assessment

9 conducted under this subsection.

10 ‘‘(b) STUDIES AND DATA COLLECTION.—

11 ‘‘(1) IN GENERAL.—In addition to other activi12 ties described in this section, the Secretary may, di13 rectly or through the making of grants to or con14 tracts with appropriate entities—

15 ‘‘(A) conduct studies and evaluations of

16 the need for, and effectiveness of, each program

17 authorized under this title;

18 ‘‘(B) collect the data necessary to comply

19 with the Government Performance and Results

20 Act of 1993; and

21 ‘‘(C) provide guidance and technical assist22 ance to State education agencies and local edu23 cational agencies in developing and maintaining

24 management information systems through

25 which such agencies can develop program per-
256

•HR 1 IH

1 formance indicators in order to improve services

2 and performance.

3 ‘‘(2) MINIMUM INFORMATION.—Under this sub4 section, the Secretary shall collect, at a minimum,

5 trend information on the effect of each program au6 thorized under this title, which shall complement the

7 data collected and reported under subsections (a)

8 and (c).

9 ‘‘(c) NATIONAL LONGITUDINAL STUDY.—

10 ‘‘(1) IN GENERAL.—The Secretary shall con11 duct a longitudinal study of schools receiving assist12 ance under this title.

13 ‘‘(2) ISSUES TO BE EXAMINED.—In carrying

14 out this subsection, the Secretary shall ensure that

15 the study referred to in paragraph (1) provides the

16 Congress and educators with each of the following:

17 ‘‘(A) An accurate description and analysis

18 of short-term and long-term effectiveness of the

19 assistance made available under this title upon

20 academic performance.

21 ‘‘(B) Information that can be used to im22 prove the effectiveness of the assistance made

23 available under this title in enabling students to

24 meet challenging achievement standards.
257

•HR 1 IH

1 ‘‘(C) An analysis of educational practices

2 or model programs that are effective in improv3 ing the achievement of disadvantaged children.

4 ‘‘(D) An analysis of the cost-effectiveness

5 of the assistance made available under this title

6 in improving the achievement of disadvantaged

7 children.

8 ‘‘(E) An analysis of the effects of the avail9 ability of school choice options under section

10 1116 on the academic achievement of disadvan11 taged students and schools in school improve12 ment.

13 ‘‘(F) Such other information as the Sec14 retary considers appropriate.

15 ‘‘(3) SCOPE.—In conducting the study referred

16 to in paragraph (1), the Secretary shall ensure that

17 the study—

18 ‘‘(A) bases its analysis on a nationally rep19 resentative sample of schools participating in

20 programs under this part;

21 ‘‘(B) to the extent practicable, includes in

22 its analysis students who transfer to different

23 schools during the course of the study; and

24 ‘‘(C) analyzes varying models or strategies

25 for delivering school services, including—
258

•HR 1 IH

1 ‘‘(i) schoolwide and targeted services;

2 and

3 ‘‘(ii) comprehensive school reform

4 models.

5 ‘‘(d) INDEPENDENT REVIEW PANEL.—

6 ‘‘(1) IN GENERAL.—The Secretary shall estab7 lish an independent review panel (in this subsection

8 referred to as the ‘Review Panel’) to advise the Sec9 retary on methodological and other issues that arise

10 in carrying out subsections (a) and (c).

11 ‘‘(2) APPOINTMENT OF MEMBERS.—

12 ‘‘(A) IN GENERAL.—Subject to subpara13 graph (B), the Secretary shall appoint members

14 of the Review Panel from among qualified indi15 viduals who are—

16 ‘‘(i) specialists in statistics, evalua17 tion, research, and assessment;

18 ‘‘(ii) education practitioners, including

19 teachers, principals, and local and State

20 superintendents; and

21 ‘‘(iii) other individuals with technical

22 expertise who would contribute to the over23 all rigor and quality of the program eval24 uation.
259

•HR 1 IH

1 ‘‘(B) LIMITATIONS.—In appointing mem2 bers of the Review Panel under this subpara3 graph (A), the Secretary shall ensure that—

4 ‘‘(i) in order to ensure diversity, a

5 majority of the number of individuals ap6 pointed under subparagraph (A)(i) rep7 resent disciplines or programs outside the

8 field of education; and

9 ‘‘(ii) the total number of the individ10 uals appointed under subparagraph (A)(ii)

or (A)(iii) does not exceed 1 11 ⁄3 of the total

12 number of the individuals appointed under

13 this paragraph.

14 ‘‘(3) FUNCTIONS.—The Review Panel shall con15 sult with and advise the Secretary—

16 ‘‘(A) to ensure that the assessment con17 ducted under subsection (a) and the study con18 ducted under subsection (c)—

19 ‘‘(i) adhere to the highest possible

20 standards of quality with respect to re21 search design, statistical analysis, and the

22 dissemination of findings; and

23 ‘‘(ii) use valid and reliable measures

24 to document program implementation and

25 impacts; and
260

•HR 1 IH

1 ‘‘(B) to ensure—

2 ‘‘(i) that the final report described in

3 subsection (a)(5)(B) is reviewed not later

4 than 120 days after its completion by not

5 less than 2 independent experts in pro6 gram evaluation;

7 ‘‘(ii) that such experts evaluate and

8 comment on the degree to which the report

9 complies with subsection (a); and

10 ‘‘(iii) that the comments of such ex11 perts are transmitted with the report

12 under subsection (a)(5)(B).’’.

13 SEC. 152. DEMONSTRATIONS OF INNOVATIVE PRACTICES.

14 (a) IN GENERAL.—Section 1502 (20 U.S.C. 6492)

15 is amended—

16 (1) by striking subsection (b);

17 (2) by striking ‘‘(a) DEMONSTRATION PRO18 GRAMS’’ and all that follows through ‘‘IN GEN19 ERAL.—From the funds’’ and inserting ‘‘(a) IN

20 GENERAL.—From the funds’’;

21 (3) by moving paragraph (2) 2 ems to the left;

22 (4) by redesignating paragraph (2) as sub23 section (b); and

24 (5) in subsection (a) (as redesignated by para25 graph (2) of this section)—
261

•HR 1 IH

1 (A) by moving each of subparagraphs (A)

2 through (F) 2 ems to the left; and

3 (B) by redesignating subparagraphs (A)

4 through (F) as paragraphs (1) through (6), re5 spectively.

6 (b) PROMISING STRATEGIES.—Section 1502(a) (as

7 amended by subsection (a) of this section) is further is

8 amended—

9 (1) by inserting ‘‘charter schools,’’ after ‘‘other

10 public agencies,’’;

11 (2) in paragraph (1), by striking ‘‘accelerated

12 curricula’’ and all that follows through ‘‘to reach

13 such standards’’ and inserting ‘‘innovative instruc14 tional programs and practices based on reliable,

15 replicable research’’;

16 (3) in paragraph (2), by striking ‘‘integration of

17 education services’’ and all that follows through ‘‘en18 terprise communities’’ and inserting ‘‘public and pri19 vate school choice, charter schools, and other such

20 programs to promote school improvement’’;

21 (4) in paragraph (3), by striking ‘‘whole school

22 reform’’ and inserting ‘‘comprehensive school re23 form’’;

24 (5) by adding ‘‘and’’ at the end of paragraph

25 (4);
262

•HR 1 IH

1 (6) by striking ‘‘; and’’ at the end of paragraph

2 (5) and inserting ‘‘, including the use of incentives

3 such as differential or performance based pay to

4 serve areas of high need.’’; and

5 (7) by striking paragraph (6).

6 PART F—COMPREHENSIVE SCHOOL REFORM

7 SEC. 161. SCHOOL REFORM.

8 Part F of title I is amended to read as follows:

9 ‘‘PART F—COMPREHENSIVE SCHOOL REFORM

10 ‘‘SEC. 1601. COMPREHENSIVE SCHOOL REFORM.

11 ‘‘(a) FINDINGS AND PURPOSE.—

12 ‘‘(1) FINDINGS.—Congress finds the following:

13 ‘‘(A) A number of schools across the coun14 try have shown impressive gains in student per15 formance through the use of comprehensive

16 models for schoolwide change that incorporate

17 virtually all aspects of school operations.

18 ‘‘(B) No single comprehensive school re19 form model may be suitable for every school,

20 however, schools should be encouraged to exam21 ine successful, externally developed comprehen22 sive school reform approaches as they under23 take comprehensive school reform.

24 ‘‘(C) Comprehensive school reform is an

25 important means by which children are assisted
263

•HR 1 IH

1 in meeting challenging State student perform2 ance standards.

3 ‘‘(2) PURPOSE.—The purpose of this section is

4 to provide financial incentives for schools to develop

5 comprehensive school reforms, based upon scientif6 ically-based research and effective practices that in7 clude an emphasis on basic academics and parental

8 involvement so that all children can meet challenging

9 State content and performance standards.

10 ‘‘(b) PROGRAM AUTHORIZED.—

11 ‘‘(1) IN GENERAL.—The Secretary is authorized

12 to provide grants to State educational agencies to

13 provide subgrants to local educational agencies to

14 carry out the purpose described in subsection (a)(2).

15 ‘‘(2) ALLOCATION.—

16 ‘‘(A) RESERVATION.—Of the amount ap17 propriated under this section, the Secretary

18 may reserve—

19 ‘‘(i) not more than 1 percent for

20 schools supported by the Bureau of Indian

21 Affairs and in the United States Virgin Is22 lands, Guam, American Samoa, and the

23 Commonwealth of the Northern Mariana

24 Islands; and
264

•HR 1 IH

1 ‘‘(ii) not more than 1 percent to con2 duct national evaluation activities de3 scribed under subsection (e).

4 ‘‘(B) IN GENERAL.—Of the amount of

5 funds remaining after the reservation under

6 subparagraph (A), the Secretary shall allocate

7 to each State for a fiscal year, an amount that

8 bears the same ratio to the amount appro9 priated for that fiscal year as the amount made

10 available under section 1124 to the State for

11 the preceding fiscal year bears to the total

12 amount allocated under section 1124 to all

13 States for that year.

14 ‘‘(C) REALLOCATION.—If a State does not

15 apply for funds under this section, the Sec16 retary shall reallocate such funds to other

17 States that do apply in proportion to the

18 amount allocated to such States under subpara19 graph (B).

20 ‘‘(c) STATE AWARDS.—

21 ‘‘(1) STATE APPLICATION.—

22 ‘‘(A) IN GENERAL.—Each State edu23 cational agency that desires to receive a grant

24 under this section shall submit an application to

25 the Secretary at such time, in such manner and
265

•HR 1 IH

1 containing such other information as the Sec2 retary may reasonably require.

3 ‘‘(B) CONTENTS.—Each State application

4 shall also describe—

5 ‘‘(i) the process and selection criteria

6 by which the State educational agency,

7 using expert review, will select local edu8 cational agencies to receive subgrants

9 under this section;

10 ‘‘(ii) how the agency will ensure that

11 only comprehensive school reforms that are

12 based on scientifically-based research re13 ceive funds under this section;

14 ‘‘(iii) how the agency will disseminate

15 materials regarding information on com16 prehensive school reforms that are based

17 on scientifically-based research;

18 ‘‘(iv) how the agency will evaluate the

19 implementation of such reforms and meas20 ure the extent to which the reforms re21 sulted in increased student academic per22 formance; and

23 ‘‘(v) how the agency will provide, upon

24 request, technical assistance to the local

25 educational agency in evaluating, devel-
266

•HR 1 IH

1 oping, and implementing comprehensive

2 school reform.

3 ‘‘(2) USES OF FUNDS.—

4 ‘‘(A) IN GENERAL.—Except as provided in

5 subparagraph (E), a State educational agency

6 that receives an award under this section shall

7 use such funds to provide competitive grants to

8 local educational agencies receiving funds under

9 part A.

10 ‘‘(B) GRANT REQUIREMENTS.—A grant to

11 a local educational agency shall be—

12 ‘‘(i) of sufficient size and scope to

13 support the initial costs for the particular

14 comprehensive school reform plan selected

15 or designed by each school identified in the

16 application of the local educational agency;

17 ‘‘(ii) in an amount not less than

18 $50,000 to each participating school; and

19 ‘‘(iii) renewable for two additional 1-

20 year periods after the initial 1-year grant

21 is made if schools are making substantial

22 progress in the implementation of their re23 forms.
267

•HR 1 IH

1 ‘‘(C) PRIORITY.—The State, in awarding

2 grants under this paragraph, shall give priority

3 to local educational agencies that—

4 ‘‘(i) plan to use the funds in schools

5 identified as being in need of improvement

6 or corrective action under section 1116(c);

7 and

8 ‘‘(ii) demonstrate a commitment to

9 assist schools with budget allocation, pro10 fessional development, and other strategies

11 necessary to ensure the comprehensive

12 school reforms are properly implemented

13 and are sustained in the future.

14 ‘‘(D) GRANT CONSIDERATION.—In making

15 subgrant awards under this part, the State edu16 cational agency shall take into account the equi17 table distribution of awards to different geo18 graphic regions within the State, including

19 urban and rural areas, and to schools serving

20 elementary and secondary students.

21 ‘‘(E) ADMINISTRATIVE COSTS.—A State

22 educational agency that receives a grant award

23 under this section may reserve not more than 5

24 percent of such award for administrative, eval25 uation, and technical assistance expenses.
268

•HR 1 IH

1 ‘‘(F) SUPPLEMENT.—Funds made avail2 able under this section shall be used to supple3 ment, not supplant, any other Federal, State,

4 or local funds that would otherwise be available

5 to carry out this section.

6 ‘‘(3) REPORTING.—Each State educational

7 agency that receives an award under this section

8 shall provide to the Secretary such information as

9 the Secretary may require, including the names of

10 local educational agencies and schools selected to re11 ceive subgrant awards under this section, the

12 amount of such award, and a description of the com13 prehensive school reform model selected and in use.

14 ‘‘(d) LOCAL AWARDS.—

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

16 agency that applies for a subgrant under this section

17 shall—

18 ‘‘(A) identify which schools eligible for

19 funds under part A plan to implement a com20 prehensive school reform program, including the

21 projected costs of such a program;

22 ‘‘(B) describe the scientifically-based com23 prehensive school reforms that such schools will

24 implement;
269

•HR 1 IH

1 ‘‘(C) describe how the agency will provide

2 technical assistance and support for the effec3 tive implementation of the scientifically-based

4 school reforms selected by such schools; and

5 ‘‘(D) describe how the agency will evaluate

6 the implementation of such reforms and meas7 ure the results achieved in improving student

8 academic performance.

9 ‘‘(2) COMPONENTS OF THE PROGRAM.—A local

10 educational agency that receives a subgrant award

11 under this section shall provide such funds to

12 schools that implement a comprehensive school re13 form program that—

14 ‘‘(A) employs innovative strategies and

15 proven methods for student learning, teaching,

16 and school management that are based on sci17 entifically-based research and effective practices

18 and have been replicated successfully in schools

19 with diverse characteristics;

20 ‘‘(B) integrates a comprehensive design for

21 effective school functioning, including instruc22 tion, assessment, classroom management, pro23 fessional development, parental involvement,

24 and school management, that aligns the school’s

25 curriculum, technology, professional develop-
270

•HR 1 IH

1 ment into a comprehensive reform plan for

2 schoolwide change designed to enable all stu3 dents to meet challenging State content and

4 challenging student performance standards and

5 addresses needs identified through a school

6 needs assessment;

7 ‘‘(C) provides high-quality and continuous

8 teacher and staff professional development;

9 ‘‘(D) includes measurable goals for student

10 performance and benchmarks for meeting such

11 goals;

12 ‘‘(E) is supported by teachers, principals,

13 administrators, and other professional staff;

14 ‘‘(F) provides for the meaningful involve15 ment of parents and the local community in

16 planning and implementing school improvement

17 activities;

18 ‘‘(G) uses high quality external technical

19 support and assistance from an entity, which

20 may be an institution of higher education, with

21 experience and expertise in schoolwide reform

22 and improvement;

23 ‘‘(H) includes a plan for the evaluation of

24 the implementation of school reforms and the

25 student results achieved; and
271

•HR 1 IH

1 ‘‘(I) identifies how other resources, includ2 ing Federal, State, local, and private resources,

3 available to the school will be used to coordinate

4 services to support and sustain the school re5 form effort.

6 ‘‘(3) SPECIAL RULE.—A school that receives

7 funds to develop a comprehensive school reform pro8 gram shall not be limited to using the approaches

9 identified or developed by the Department of Edu10 cation, but may develop its own comprehensive

11 school reform programs for schoolwide change that

12 comply with paragraph (2).

13 ‘‘(e) EVALUATION AND REPORT.—

14 ‘‘(1) IN GENERAL.—The Secretary shall develop

15 a plan for a national evaluation of the programs de16 veloped pursuant to this section.

17 ‘‘(2) EVALUATION.—This national evaluation

18 shall evaluate the implementation and results

19 achieved by schools after 3 years of implementing

20 comprehensive school reforms, and assess the effec21 tiveness of comprehensive school reforms in schools

22 with diverse characteristics.

23 ‘‘(3) REPORTS.—Prior to the completion of a

24 national evaluation, the Secretary shall submit an

25 interim report outlining first year implementation
272

•HR 1 IH

1 activities to the Committees on Education and the

2 Workforce and Appropriations of the House of Rep3 resentatives and the Committees on Health, Edu4 cation, Labor, and Pensions and Appropriations of

5 the Senate.

6 PART G—RURAL EDUCATION

7 SEC. 171. RURAL EDUCATION.

8 Title I is amended by adding at the end the following

9 new part:

10 ‘‘PART G—RURAL EDUCATION FLEXIBILITY AND

11 ASSISTANCE

12 ‘‘SEC. 1701. SHORT TITLE.

13 ‘‘This part may be cited as the ‘Rural Education Ini14 tiative Act’.

15 ‘‘SEC. 1702. FINDINGS.

16 ‘‘Congress finds the following:

17 ‘‘(1) While there are rural education initiatives

18 identified at the State and local level, no Federal

19 education policy focuses on the specific and unique

20 needs of rural school districts and schools.

21 ‘‘(2) Small school districts often cannot use

22 Federal grant funds distributed by formula because

23 the formula allocation does not provide enough rev24 enue to carry out the program the grant is intended

25 to fund.
273

•HR 1 IH

1 ‘‘(3) Rural schools often cannot compete for

2 Federal funding distributed by competitive grants

3 because the schools lack the personnel needed to

4 prepare grant applications and the resources to hire

5 specialists in the writing of Federal grant proposals.

6 ‘‘(4) A critical problem for rural school districts

7 involves the hiring and retention of qualified admin8 istrators and certified teachers (especially in read9 ing, science, and mathematics). As a result, teachers

10 in rural schools are almost twice as likely to provide

11 instruction in three or more subject areas than

12 teachers in urban schools. Rural schools also face

13 other tough challenges, such as shrinking local tax

14 bases, high transportation costs, aging buildings,

15 limited course offerings, and limited resources.

16 ‘‘Subpart 1—Rural Education Flexibility

17 ‘‘SEC. 1711. FORMULA GRANT PROGRAM AUTHORIZED.

18 ‘‘(a) ALTERNATIVE USES.—

19 ‘‘(1) IN GENERAL.—Notwithstanding any other

20 provision of law, an eligible local educational agency

21 may use the applicable funding, that the agency is

22 eligible to receive from the State educational agency

23 for a fiscal year, to support local or statewide edu24 cation reform efforts intended to improve the aca25 demic achievement of elementary school and sec-
274

•HR 1 IH

1 ondary school students and the quality of instruction

2 provided for the students.

3 ‘‘(2) NOTIFICATION.—An eligible local edu4 cational agency shall notify the State educational

5 agency of the local educational agency’s intention to

6 use the applicable funding in accordance with para7 graph (1) not later than a date that is established

8 by the State educational agency for the notification.

9 ‘‘(b) ELIGIBILITY.—

10 ‘‘(1) IN GENERAL.—A local educational agency

11 shall be eligible to use the applicable funding in ac12 cordance with subsection (a) if—

13 ‘‘(A)(i) the total number of students in av14 erage daily attendance at all of the schools

15 served by the local educational agency is less

16 than 600; and

17 ‘‘(ii) all of the schools served by the local

18 educational agency are designated with a school

19 locale code of 6, 7, or 8 as determined by the

20 Secretary of Education; or

21 ‘‘(B) the agency meets the criteria established

22 in subparagraph (A)(i) and the Secretary, in accord23 ance with paragraph (2), grants the local edu24 cational agency’s request to waive the criteria de25 scribed in subparagraph (A)(ii).
275

•HR 1 IH

1 ‘‘(2) CERTIFICATION.—The Secretary shall de2 termine whether or not to waive the criteria de3 scribed in paragraph (1)(A)(ii) based on certification

4 provided by the local educational agency, or the

5 State educational agency on behalf of the local edu6 cational agency, that the local educational agency is

7 located in an area defined as rural by a govern8 mental agency of the State.

9 ‘‘(c) APPLICABLE FUNDING.—In this section, the

10 term ‘applicable funding’ means funds provided under

11 each of part A of title II, title III, title IV, and parts A

12 and B of title V.

13 ‘‘(d) DISBURSEMENT.—Each State educational agen14 cy that receives applicable funding for a fiscal year shall

15 disburse the applicable funding to local educational agen16 cies for alternative uses under this section for the fiscal

17 year at the same time that the State educational agency

18 disburses the applicable funding to local educational agen19 cies that do not intend to use the applicable funding for

20 such alternative uses for the fiscal year.

21 ‘‘(e) SUPPLEMENT NOT SUPPLANT.—Funds used

22 under this section shall be used to supplement and not

23 supplant any other Federal, State, or local education

24 funds that would otherwise be available for the purpose

25 of this subpart.
276

•HR 1 IH

1 ‘‘(f) SPECIAL RULE.—References in Federal law to

2 funds for the provisions of law set forth in subsection (c)

3 may be considered to be references to funds for this sec4 tion.

5 ‘‘SEC. 1712. PROGRAM AUTHORIZED.

6 ‘‘(a) IN GENERAL.—The Secretary is authorized to

7 award grants to eligible local educational agencies to en8 able the local educational agencies to support local or

9 statewide education reform efforts intended to improve the

10 academic achievement of elementary school and secondary

11 school students and the quality of instruction provided for

12 the students.

13 ‘‘(b) ELIGIBILITY.—

14 ‘‘(1) IN GENERAL.—A local educational agency

15 shall be eligible to receive a grant under this section

16 if—

17 ‘‘(A)(i) the total number of students in av18 erage daily attendance at all of the schools

19 served by the local educational agency is less

20 than 600; and

21 ‘‘(ii) all of the schools served by the local

22 educational agency are designated with a school

23 locale code of 6, 7, or 8 as determined by the

24 Secretary of Education; or
277

•HR 1 IH

1 ‘‘(B) the agency meets the criteria estab2 lished in subparagraph (A)(i) and the Sec3 retary, in accordance with paragraph (2),

4 grants the local educational agency’s request to

5 waive the criteria described in subparagraph

6 (A)(ii).

7 ‘‘(2) CERTIFICATION.—The Secretary shall de8 termine whether or not to waive the criteria de9 scribed in paragraph (1)(A)(ii) based on certification

10 provided by the local educational agency, or the

11 State educational agency on behalf of the local edu12 cational agency, that the local educational agency is

13 located in an area defined as rural by a govern14 mental agency of the State.

15 ‘‘(c) ALLOCATION.—

16 ‘‘(1) IN GENERAL.—Except as provided in para17 graph (3), the Secretary shall award a grant to an

18 eligible local educational agency for a fiscal year in

19 an amount equal to the initial amount determined

20 under paragraph (2) for the fiscal year minus the

21 total amount received under the provisions of law

22 described under section 1711(c) for the preceding

23 fiscal year.

24 ‘‘(2) DETERMINATION OF THE INITIAL

25 AMOUNT.—The initial amount referred to in para-
278

•HR 1 IH

1 graph (1) is equal to $100 multiplied by the total

2 number of students, over 50 students, in average

3 daily attendance in such eligible agency plus

4 $20,000, except that the initial amount may not ex5 ceed $60,000.

6 ‘‘(3) RATABLE ADJUSTMENT.—

7 ‘‘(A) IN GENERAL.—If the amount made

8 available for this subpart for any fiscal year is

9 not sufficient to pay in full the amounts that

10 local educational agencies are eligible to receive

11 under paragraph (1) for such year, the Sec12 retary shall ratably reduce such amounts for

13 such year.

14 ‘‘(B) ADDITIONAL AMOUNTS.—If addi15 tional funds become available for making pay16 ments under paragraph (1) for such fiscal year,

17 payments that were reduced under subpara18 graph (A) shall be increased on the same basis

19 as such payments were reduced.

20 ‘‘(5) CENSUS DETERMINATION.—

21 ‘‘(A) IN GENERAL.—Each local educational

22 agency desiring a grant under this section shall

23 conduct a census not later than December 1 of

24 each year to determine the number of kinder25 garten through grade 12 students in average
279

•HR 1 IH

1 daily attendance at the schools served by the

2 local educational agency.

3 ‘‘(B) SUBMISSION.—Each local educational

4 agency shall submit the number described in

5 subparagraph (A) to the Secretary not later

6 than March 1 of each year.

7 ‘‘(d) DISBURSAL.—The Secretary shall disburse the

8 funds awarded to a local educational agency under this

9 section for a fiscal year not later than July 1 of that year.

10 ‘‘(e) SPECIAL RULE.—A local educational agency

11 that is eligible to receive a grant under this subpart for

12 a fiscal year shall be ineligible to receive funds for such

13 fiscal year under subpart 2.

14 ‘‘(f) SUPPLEMENT NOT SUPPLANT.—Funds made

15 available under this section shall be used to supplement

16 and not supplant any other Federal, State or local edu17 cation funds.

18 ‘‘SEC. 1713. ACCOUNTABILITY.

19 ‘‘(a) ACADEMIC ACHIEVEMENT.—

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

21 agency that uses or receives funds under section

22 1711 or 1712 for a fiscal year shall administer an

23 assessment consistent with section 1111.

24 ‘‘(2) SPECIAL RULE.—Each local educational

25 agency that uses or receives funds under section
280

•HR 1 IH

1 1711 or 1712 shall use the same assessment de2 scribed in paragraph (1) for each year of participa3 tion in the program under such section.

4 ‘‘(b) STATE EDUCATIONAL AGENCY DETERMINATION

5 REGARDING CONTINUING PARTICIPATION.—Each State

6 educational agency that receives funding under the provi7 sions of law described in section 1711(c) shall—

8 ‘‘(1) after the second year that a local edu9 cational agency participates in a program under sec10 tion 1711 or 1712 and on the basis of the results

11 of the assessments described in subsection (a), deter12 mine whether the students served by the local edu13 cational agency participating in the program per14 formed in accordance with section 1111; and

15 ‘‘(2) only permit those local educational agen16 cies that so participated and met the requirements

17 of section 1111(b)(2) to continue to so participate.

18 ‘‘Subpart 2—Rural Education Assistance

19 ‘‘SEC. 1721. PROGRAM AUTHORIZED.

20 ‘‘(a) RESERVATIONS.—From amounts appropriated

21 under section 1732 for this subpart for a fiscal year, the

Secretary shall reserve 1 22 ⁄2 of 1 percent to make awards

23 to elementary or secondary schools operated or supported

24 by the Bureau of Indian Affairs to carry out the purpose

25 of this subpart.
281

•HR 1 IH

1 ‘‘(b) GRANTS TO STATES.—

2 ‘‘(1) IN GENERAL.—From amounts appro3 priated under section 1732 for this subpart that are

4 not reserved under subsection (a), the Secretary

5 shall award grants for a fiscal year to State edu6 cational agencies that have applications approved

7 under section 1723 to enable the State educational

8 agencies to award subgrants to eligible local edu9 cational agencies for local authorized activities de10 scribed in subsection (c)(2).

11 ‘‘(2) ALLOCATION.—From amounts appro12 priated for this subpart, the Secretary shall allocate

13 to each State educational agency for a fiscal year an

14 amount that bears the same ratio to the amount of

15 funds appropriated under section 1732 for this sub16 part that are not reserved under subsection (a) as

17 the number of students in average daily attendance

18 served by eligible local educational agencies in the

19 State bears to the number of all such students

20 served by eligible local educational agencies in all

21 States for that fiscal year.

22 ‘‘(3) DIRECT AWARDS TO SPECIALLY QUALI23 FIED AGENCIES.—

24 ‘‘(A) NONPARTICIPATING STATE.—If a

25 State educational agency elects not to partici-
282

•HR 1 IH

1 pate in the program under this subpart or does

2 not have an application approved under section

3 1723 a specially qualified agency in such State

4 desiring a grant under this subpart shall apply

5 directly to the Secretary to receive an award

6 under this subpart.

7 ‘‘(B) DIRECT AWARDS TO SPECIALLY

8 QUALIFIED AGENCIES.—The Secretary may

9 award, on a competitive basis, the amount the

10 State educational agency is eligible to receive

11 under paragraph (2) directly to specially quali12 fied agencies in the State.

13 ‘‘(c) LOCAL AWARDS.—

14 ‘‘(1) ELIGIBILITY.—A local educational agency

15 shall be eligible to receive funds under this subpart

16 if—

17 ‘‘(A) 20 percent or more of the children

18 aged 5 to 17, inclusive, served by the local edu19 cational agency are from families with incomes

20 below the poverty line; and

21 ‘‘(B) all of the schools served by the agen22 cy are designated with a school code of 6, 7, or

23 8 as determined by the Secretary of Education.
283

•HR 1 IH

1 ‘‘(2) USES OF FUNDS.—Grant funds awarded

2 to local educational agencies or made available to

3 schools under this subpart shall be used for—

4 ‘‘(A) teacher recruitment and retention, in5 cluding the use of signing bonuses and other fi6 nancial incentives;

7 ‘‘(B) teacher professional development, in8 cluding programs that train teachers to utilize

9 technology to improve teaching and to train

10 special needs teachers;

11 ‘‘(C) educational technology, including

12 software and hardware as described in part B

13 of title V;

14 ‘‘(D) parental involvement activities; or

15 ‘‘(E) programs to improve student aca16 demic achievement.

17 ‘‘SEC. 1722. STATE DISTRIBUTION OF FUNDS.

18 ‘‘(a) AWARD BASIS.—A State educational agency

19 shall award grants to eligible local educational agencies—

20 ‘‘(1) on a competitive basis; or

21 ‘‘(2) according to a formula based on the num22 ber of students in average daily attendance served

23 by the eligible local educational agencies or schools

24 (as appropriate) in the State, as determined by the

25 State.
284

•HR 1 IH

1 ‘‘(b) ADMINISTRATIVE COSTS.—A State educational

2 agency receiving a grant under this subpart may not use

3 more than 5 percent of the amount of the grant for State

4 administrative costs.

5 ‘‘SEC. 1723. APPLICATIONS.

6 ‘‘Each State educational agency and specially quali7 fied agency desiring to receive a grant under this subpart

8 shall submit an application to the Secretary at such time,

9 in such manner, and accompanied by such information as

10 the Secretary may require. Such application shall include

11 specific measurable goals and objectives relating to in12 creased student academic achievement, decreased student

13 drop-out rates, or such other factors that the State edu14 cational agency or specially qualified agency may choose

15 to measure.

16 ‘‘SEC. 1724. REPORTS.

17 ‘‘(a) STATE REPORTS.—Each State educational

18 agency that receives a grant under this subpart shall pro19 vide an annual report to the Secretary. The report shall

20 describe—

21 ‘‘(1) the method the State educational agency

22 used to award grants to eligible local educational

23 agencies and to provide assistance to schools under

24 this subpart;
285

•HR 1 IH

1 ‘‘(2) how local educational agencies and schools

2 used funds provided under this subpart; and

3 ‘‘(3) the degree to which progress has been

4 made toward meeting the goals and objectives de5 scribed in the application submitted under section

6 1723.

7 ‘‘(b) SPECIALLY QUALIFIED AGENCY REPORT.—

8 Each specially qualified agency that receives a grant under

9 this subpart shall provide an annual report to the Sec10 retary. Such report shall describe—

11 ‘‘(1) how such agency uses funds provided

12 under this subpart; and

13 ‘‘(2) the degree to which progress has been

14 made toward meeting the goals and objectives de15 scribed in the application submitted under section

16 1721(b)(4)(A).

17 ‘‘(c) REPORT TO CONGRESS.—The Secretary shall

18 prepare and submit to the Committee on Education and

19 the Workforce for the House of Representatives and the

20 Committee on Health, Education, Labor, and Pensions for

21 the Senate an annual report. The report shall describe—

22 ‘‘(1) the methods the State educational agency

23 used to award grants to eligible local educational

24 agencies and to provide assistance to schools under

25 this subpart;
286

•HR 1 IH

1 ‘‘(2) how eligible local educational agencies and

2 schools used funds provided under this subpart; and

3 ‘‘(3) progress made in meeting specific measur4 able educational goals and objectives.

5 ‘‘SEC. 1725. PERFORMANCE REVIEW.

6 ‘‘Three years after a State educational agency or spe7 cially qualified agency receives funds under this part, the

8 Secretary shall review the progress of such agency toward

9 achieving the goals and objectives included in its applica10 tion, to determine whether the agency has made progress

11 toward meeting such goals and objectives. To review the

12 performance of each agency, the Secretary shall—

13 ‘‘(1) Review the use of funds of such agency

14 under section 1721(c)(2); and

15 ‘‘(2) deny the provision of additional funds in

16 subsequent fiscal years to an agency only if the Sec17 retary determines, after notice and an opportunity

18 for a hearing, that the agency’s use of funds has

19 been inadequate to justify continuation of such fund20 ing.

21 ‘‘SEC. 1726. DEFINITIONS.

22 ‘‘In this subpart—

23 ‘‘(1) The term ‘poverty line’ means the poverty

24 line (as defined by the Office of Management and

25 Budget, and revised annually in accordance with sec-
287

•HR 1 IH

1 tion 673(2) of the Community Services Block Grant

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

3 the size involved.

4 ‘‘(2) The term ‘specially qualified agency’

5 means an eligible local educational agency, located in

6 a State that does not participate in a program under

7 this subpart in a fiscal year, that may apply directly

8 to the Secretary for a grant in such year in accord9 ance with section 1721(b)(4).

10 ‘‘Subpart 3—General Provisions

11 ‘‘SEC. 1731. DEFINITION.

12 ‘‘In this part, the term ‘State’ means each of the 50

13 States, the District of Columbia, and the Commonwealth

14 of Puerto Rico.’’.

15 PART H—GENERAL PROVISIONS OF TITLE I

16 SEC. 181. GENERAL PROVISIONS.

17 Title I is amended further by adding at the end the

18 following:

19 ‘‘‘PART H—GENERAL PROVISIONS

20 ‘‘SEC. 1801. FEDERAL REGULATIONS.

21 ‘‘(a) IN GENERAL.—The Secretary is authorized to

22 issue such regulations as are necessary to ensure reason23 able compliance with this title.

24 ‘‘(b) NEGOTIATED RULEMAKING PROCESS.—
288

•HR 1 IH

1 ‘‘(1) IN GENERAL.—Prior to publishing in the

2 Federal Register proposed regulations to carry out

3 this title, the Secretary shall obtain the advice and

4 recommendations of representatives of Federal,

5 State, and local administrators, parents, teachers,

6 paraprofessionals, and members of local boards of

7 education involved with the implementation and op8 eration of programs under this title.

9 ‘‘(2) MEETINGS AND ELECTRONIC EX10 CHANGE.—Such advice and recommendation may be

11 obtained through such mechanisms as regional meet12 ings and electronic exchanges of information.

13 ‘‘(3) PROPOSED REGULATIONS.—After obtain14 ing such advice and recommendations, and prior to

15 publishing proposed regulations, the Secretary

16 shall—

17 ‘‘(A) establish a negotiated rulemaking

18 process on a minimum of three key issues,

19 including—

20 ‘‘(i) accountability;

21 ‘‘(ii) implementation of assessments;

22 and

23 ‘‘(iii) use of paraprofessionals;

24 ‘‘(B) select individuals to participate in

25 such process from among individuals or groups
289

•HR 1 IH

1 which provided advice and recommendations, in2 cluding representation from all geographic re3 gions of the United States; and

4 ‘‘(C) prepare a draft of proposed regula5 tions that shall be provided to the individuals

6 selected by the Secretary under subparagraph

7 (B) not less than 15 days prior to the first

8 meeting under such process.

9 ‘‘(4) PROCESS.—Such process—

10 ‘‘(A) shall be conducted in a timely manner

11 to ensure that final regulations are issued by

12 the Secretary not later than 1 year after the

13 date of the enactment of the No Child Left Be14 hind Act of 2001; and

15 ‘‘(B) shall not be subject to the Federal

16 Advisory Committee Act but shall otherwise fol17 low the provisions of the Negotiated Rule18 making Act of 1990 (5 U.S.C. 561 et seq.).

19 ‘‘(5) EMERGENCY SITUATION.—In an emer20 gency situation in which regulations to carry out this

21 title must be issued within a very limited time to as22 sist State and local educational agencies with the op23 eration of a program under this title, the Secretary

24 may issue proposed regulations without following

25 such process but shall, immediately thereafter and
290

•HR 1 IH

1 prior to issuing final regulations, conduct regional

2 meetings to review such proposed regulations.

3 ‘‘(c) LIMITATION.—Regulations to carry out this part

4 may not require local programs to follow a particular in5 structional model, such as the provision of services outside

6 the regular classroom or school program.

7 ‘‘SEC. 1802. AGREEMENTS AND RECORDS.

8 ‘‘(a) AGREEMENTS.—All published proposed regula9 tions shall conform to agreements that result from nego10 tiated rulemaking described in section 1601 unless the

11 Secretary reopens the negotiated rulemaking process or

12 provides a written explanation to the participants involved

13 in the process explaining why the Secretary decided to de14 part from and not adhere to such agreements.

15 ‘‘(b) RECORDS.—The Secretary shall ensure that an

16 accurate and reliable record of agreements reached during

17 the negotiations process is maintained.

18 ‘‘SEC. 1803. STATE ADMINISTRATION.

19 ‘‘(a) RULEMAKING.—

20 ‘‘(1) IN GENERAL.—Each State that receives

21 funds under this title shall—

22 ‘‘(A) ensure that any State rules, regula23 tions, and policies relating to this title conform

24 to the purposes of this title and provide any

25 such proposed rules, regulations, and policies to
291

•HR 1 IH

1 the committee of practitioners under subsection

2 (b) for their review and comment;

3 ‘‘(B) minimize such rules, regulations, and

4 policies to which their local educational agencies

5 and schools are subject;

6 ‘‘(C) eliminate or modify State and local

7 fiscal accounting requirements in order to facili8 tate the ability of schools to consolidate funds

9 under schoolwide programs; and

10 ‘‘(D) identify any such rule, regulation, or

11 policy as a State-imposed requirement.

12 ‘‘(2) SUPPORT AND FACILITATION.—State

13 rules, regulations, and policies under this title shall

14 support and facilitate local educational agency and

15 school-level systemic reform designed to enable all

16 children to meet the challenging State student per17 formance standards.

18 ‘‘(b) COMMITTEE OF PRACTITIONERS.—

19 ‘‘(1) IN GENERAL.—Each State educational

20 agency shall create a State committee of practi21 tioners to advise the State in carrying out its re22 sponsibilities under this title.
292

•HR 1 IH

1 ‘‘(2) MEMBERSHIP.—Each such committee

2 shall include—

3 ‘‘(A) as a majority of its members, rep4 resentatives from local educational agencies;

5 ‘‘(B) administrators, including the admin6 istrators of programs described in other parts

7 of this title;

8 ‘‘(C) teachers, including vocational edu9 cators;

10 ‘‘(D) parents;

11 ‘‘(E) members of local boards of education;

12 ‘‘(F) representatives of private school chil13 dren; and

14 ‘‘(G) pupil services personnel.

15 ‘‘(3) DUTIES.—The duties of such committee

16 shall include a review, prior to publication, of any

17 proposed or final State rule or regulation pursuant

18 to this title. In an emergency situation where such

19 rule or regulation must be issued within a very lim20 ited time to assist local educational agencies with

21 the operation of the program under this title, the

22 State educational agency may issue a regulation

23 without prior consultation, but shall immediately

24 thereafter convene the State committee of practi-
293

•HR 1 IH

1 tioners to review the emergency regulation prior to

2 issuance in final form.

3 ‘‘SEC. 1804. LOCAL ADMINISTRATIVE COST LIMITATION.

4 ‘‘(a) LOCAL ADMINISTRATIVE COST LIMITATION.—

5 Each local educational agency may use not more than 4

6 percent of funds received under part A for administrative

7 expenses.

8 ‘‘(b) REGULATIONS.—The Secretary, after consulting

9 with State and local officials and other experts in school

10 finance, shall develop and issue regulations that define the

11 term administrative cost for purposes of this title. Such

12 definition shall be consistent with generally accepted ac13 counting principles. The Secretary shall publish final regu14 lations on this section not later than 1 year after the date

15 of the enactment of the No Child Left Behind Act of 2001.

16 ‘‘SEC. 1805. APPLICABILITY.

17 ‘‘Nothing in this title shall be construed to affect

18 home schools nor shall any home schooled student be re19 quired to participate in any assessment referenced in this

20 title.

21 ‘‘SEC. 1806. PRIVATE SCHOOLS.

22 ‘‘Nothing in this title shall be construed to affect any

23 private school that does not receive funds or services under

24 this title.
294

•HR 1 IH

1 ‘‘SEC. 1807. PRIVACY OF ASSESSMENT RESULTS.

2 ‘‘Any results from individual assessments referenced

3 in this title which become part of the education records

4 of the student shall have the protections as provided in

5 section 444 of the General Education Provisions Act.’’.

6 TITLE II—PREPARING, TRAIN7 ING, AND RECRUITING QUAL8 ITY TEACHERS

9 SEC. 201. TEACHER QUALITY TRAINING AND RECRUITING

10 FUND; TEACHER LIABILITY.

11 Title II (20 U.S.C. 6601 et seq.) is amended to read

12 as follows:

13 ‘‘TITLE II—PREPARING, TRAIN14 ING, AND RECRUITING QUAL15 ITY TEACHERS

16 ‘‘PART A—TEACHER QUALITY TRAINING AND

17 RECRUITING FUND

18 ‘‘SEC. 2001. PURPOSE.

19 ‘‘The purpose of this part is to provide grants to

20 States and local educational agencies in order to assist

21 their efforts to increase student academic achievement

22 through such strategies as improving teacher quality and

23 increasing the number of highly qualified teachers in the

24 classroom.
295

•HR 1 IH

1 ‘‘Subpart 1—Grants to States to Prepare, Train, and

2 Recruit Qualified Teachers

3 ‘‘SEC. 2011. FORMULA GRANTS TO STATES.

4 ‘‘(a) IN GENERAL.—In the case of each State that

5 in accordance with section 2013 submits to the Secretary

6 an application for a fiscal year, the Secretary shall make

7 a grant for the year to the State for the uses specified

8 in section 2012. The grant shall consist of the allotment

9 determined for the State under subsection (b).

10 ‘‘(b) DETERMINATION OF AMOUNT OF ALLOT11 MENT.—

12 ‘‘(1) RESERVATION OF FUNDS.—From the

13 amount made available to carry out this subpart for

14 any fiscal year, the Secretary shall reserve—

‘‘(A) 1 15 ⁄2 of 1 percent for allotments for the

16 Virgin Islands, Guam, American Samoa, and

17 the Commonwealth of the Northern Mariana Is18 lands, to be distributed among these outlying

19 areas on the basis of their relative need, as de20 termined by the Secretary in accordance with

21 the purpose of this part; and

‘‘(B) 1 22 ⁄2 of 1 percent for the Secretary of

23 the Interior for programs under this part for

24 professional development activities for teachers,

25 other staff, and administrators in schools oper26 ated or funded by the Bureau of Indian Affairs.
296

•HR 1 IH

1 ‘‘(2) STATE ALLOTMENTS.—

2 ‘‘(A) HOLD HARMLESS.—

3 ‘‘(i) IN GENERAL.—Subject to sub4 paragraph (B), from the total amount

5 made available to carry out this subpart

6 for any fiscal year and not reserved under

7 paragraph (1), the Secretary shall allot to

8 each of the 50 States, the District of Co9 lumbia, and the Commonwealth of Puerto

10 Rico an amount equal to the total amount

11 that such State received for fiscal year

12 2001 under—

13 ‘‘(I) section 2202(b) of this Act

14 (as in effect on the day before the

15 date of the enactment of the No Child

16 Left Behind Act of 2001); and

17 ‘‘(II) section 306 of the Depart18 ment of Education Appropriations

19 Act, 2001 (as enacted into law by sec20 tion 1(a)(1) of Public Law 106–554).

21 ‘‘(ii) NONPARTICIPATING STATES.—In

22 the case of a State that did not receive any

23 funds for fiscal year 2001 under one or

24 both of the provisions referred to in sub25 clauses (I) and (II) of clause (i), the
297

•HR 1 IH

1 amount allotted to the State under such

2 clause shall be the total amount that the

3 State would have received for fiscal year

4 2001 if it had elected to participate in all

5 of the programs for which it was eligible

6 under each of the provisions referred to in

7 such subclauses.

8 ‘‘(iii) RATABLE REDUCTION.—If the

9 total amount made available to carry out

10 this subpart for any fiscal year and not re11 served under paragraph (1) is insufficient

12 to pay the full amounts that all States are

13 eligible to receive under clause (i) for any

14 fiscal year, the Secretary shall ratably re15 duce such amounts for such fiscal year.

16 ‘‘(B) ALLOTMENT OF ADDITIONAL

17 FUNDS.—

18 ‘‘(i) IN GENERAL.—Subject to clause

19 (ii), for any fiscal year for which the total

20 amount made available to carry out this

21 subpart and not reserved under paragraph

22 (1) exceeds the total amount made avail23 able to the 50 States, the District of Co24 lumbia, and the Commonwealth of Puerto

25 Rico for fiscal year 2001 under the au-
298

•HR 1 IH

1 thorities described in subparagraph (A)(i),

2 the Secretary shall allot such excess

3 amount as follows:

4 ‘‘(I) 50 percent of such excess

5 amount shall be allotted among such

6 States on the basis of their relative

7 populations of individuals aged 5

8 through 17, as determined by the Sec9 retary on the basis of the most recent

10 satisfactory data.

11 ‘‘(II) 50 percent of such excess

12 amount shall be allotted among such

13 States in proportion to the number of

14 children, aged 5 to 17, who reside

15 within the State from families with in16 comes below the poverty line (as de17 fined by the Office of Management

18 and Budget and revised annually in

19 accordance with section 673(2) of the

20 Community Services Block Grant Act

21 (42 U.S.C. 9902(2)) applicable to a

22 family of the size involved for the

23 most recent fiscal year for which sat24 isfactory data are available, compared

25 to the number of such individuals who
299

•HR 1 IH

1 reside in all such States for that fiscal

2 year.

3 ‘‘(ii) EXCEPTION.—No State receiving

4 an allotment under clause (i) may receive

less than 1 5 ⁄2 of 1 percent of the total ex6 cess amount allotted under clause (i).

7 ‘‘(3) REALLOTMENT.—If any State does not

8 apply for an allotment under this subsection for any

9 fiscal year, the Secretary shall reallot such amount

10 to the remaining States in accordance with this sub11 section.

12 ‘‘SEC. 2012. WITHIN-STATE ALLOCATIONS.

13 ‘‘(a) USE OF FUNDS.—Each State receiving a grant

14 under this subpart shall use the funds provided under the

15 grant in accordance with this section to carry out activities

16 for the improvement of teaching and learning.

17 ‘‘(b) RESERVATION OF FUNDS.—

18 ‘‘(1) IN GENERAL.—A State that receives a

19 grant under this subpart may reserve not more than

20 5 percent of the amount of the funds provided under

21 the grant for—

22 ‘‘(A) one or more of the authorized State

23 activities described in subsection (e); and

24 ‘‘(B) planning and administration related

25 to carrying out such activities and making sub-
300

•HR 1 IH

1 grants to local educational agencies under sub2 parts 2 and 3.

3 ‘‘(2) LIMITATION ON ADMINISTRATIVE COSTS.—

4 The amount reserved by a State under paragraph

5 (1)(B) may not exceed 2 percent of the total amount

6 authorized to be reserved under paragraph (1).

7 ‘‘(c) MATH AND SCIENCE PARTNERSHIPS.—The Sec8 retary may make a grant to a State under this subpart

9 only if the State agrees to distribute at least 15 percent

10 of the amount of the funds provided under the grant and

11 not reserved under subsection (b) through a competitive

12 subgrant process in accordance with subpart 2.

13 ‘‘(d) SUBGRANTS TO LOCAL EDUCATIONAL AGEN14 CIES.—

15 ‘‘(1) IN GENERAL.—The Secretary may make a

16 grant to a State under this subpart only if the State

17 agrees to expend at least 85 percent of the amount

18 of the funds provided under the grant and not re19 served under subsection (b) for the purpose of mak20 ing subgrants to local educational agencies under

21 subpart 3.

22 ‘‘(2) FORMULA FOR DISTRIBUTION OF SUB23 GRANTS UNDER SUBPART 3.—A State receiving a

24 grant under this subpart shall distribute the amount
301

•HR 1 IH

1 described in paragraph (1) through a formula under

2 which—

3 ‘‘(A) 50 percent is allocated to local edu4 cational agencies in accordance with the relative

5 enrollment in public and private nonprofit ele6 mentary and secondary schools within the

7 boundaries of such agencies; and

8 ‘‘(B) 50 percent is allocated to local edu9 cational agencies in proportion to the number of

10 children, aged 5 to 17, who reside within the

11 geographic area served by such agency from

12 families with incomes below the poverty line (as

13 defined by the Office of Management and

14 Budget and revised annually in accordance with

15 section 673(2) of the Community Services

16 Block Grant Act (42 U.S.C. 9902(2))) applica17 ble to a family of the size involved for the most

18 recent fiscal year for which satisfactory data

19 are available, compared to the number of such

20 individuals who reside in the geographic areas

21 served by all the local educational agencies in

22 the State for that fiscal year.

23 ‘‘(e) AUTHORIZED STATE ACTIVITIES.—The author24 ized State activities referred to in subsection (b)(1)(A) are

25 the following:
302

•HR 1 IH

1 ‘‘(1) Reforming teacher certification, recertifi2 cation, or licensure requirements to ensure that—

3 ‘‘(A) teachers have the necessary teaching

4 skills and academic content knowledge in the

5 subject areas in which they are assigned to

6 teach;

7 ‘‘(B) teacher certification, recertification,

8 or licensure requirements are aligned with the

9 State’s challenging State content standards;

10 and

11 ‘‘(C) teachers have the knowledge and

12 skills necessary to help students meet chal13 lenging State student achievement standards.

14 ‘‘(2) Carrying out programs that—

15 ‘‘(A) include support during the initial

16 teaching experience, such as mentoring pro17 grams that—

18 ‘‘(i) provide mentoring to beginning

19 teachers from veteran teachers with exper20 tise in the same subject matter that the

21 beginning teachers will be teaching;

22 ‘‘(ii) provide mentors time for activi23 ties such as coaching, observing, and as24 sisting the teachers who are mentored; and
303

•HR 1 IH

1 ‘‘(iii) use standards or assessments

2 for guiding beginning teachers that are

3 consistent with the State’s student achieve4 ment standards and with the requirements

5 for professional development activities

6 under section 2033; and

7 ‘‘(B) establish, expand, or improve alter8 native routes to State certification of teachers,

9 especially in the areas of mathematics and

10 science, for highly qualified individuals with a

11 baccalaureate degree, including mid-career pro12 fessionals from other occupations, paraprofes13 sionals, former military personnel, and recent

14 college or university graduates with records of

15 academic distinction who demonstrate the po16 tential to become highly effective teachers.

17 ‘‘(3) Developing and implementing effective

18 mechanisms to assist local educational agencies and

19 schools in effectively recruiting and retaining highly

20 qualified and effective teachers and principals.

21 ‘‘(4) Reforming tenure systems and imple22 menting teacher testing and other procedures to ex23 peditiously remove incompetent and ineffective

24 teachers from the classroom.
304

•HR 1 IH

1 ‘‘(5) Developing enhanced performance systems

2 to measure the effectiveness of specific professional

3 development programs and strategies.

4 ‘‘(6) Providing technical assistance to local edu5 cational agencies consistent with this part.

6 ‘‘(7) Funding projects to promote reciprocity of

7 teacher certification or licensure between or among

8 States, except that no reciprocity agreement devel9 oped under this paragraph or developed using funds

10 provided under this part may lead to the weakening

11 of any State teaching certification or licensing re12 quirement.

13 ‘‘(8) Developing or assisting local educational

14 agencies or eligible partnerships (as defined in sec15 tion 2026) in the development and utilization of

16 proven, innovative strategies to deliver intensive pro17 fessional development programs that are both cost18 effective and easily accessible, such as through the

19 use of technology and distance learning.

20 ‘‘(9) Providing assistance to local educational

21 agencies and eligible partnerships (as defined in sec22 tion 2026) for the development and implementation

23 of innovative professional development programs

24 that train teachers to use technology to improve
305

•HR 1 IH

1 teaching and learning and are consistent with the re2 quirements of section 2033.

3 ‘‘(10) Developing or assisting local educational

4 agencies in developing merit-based performance sys5 tems, rigorous assessments for teachers, and strate6 gies which provide differential and bonus pay for

7 teachers in high-need subject areas such as reading,

8 math, and science and in high-poverty schools and

9 districts.

10 ‘‘(f) COORDINATION.—States receiving grants under

11 section 202 of the Higher Education Act of 1965 shall

12 coordinate the use of such funds with activities carried out

13 under this section.

14 ‘‘SEC. 2013. APPLICATIONS BY STATES.

15 ‘‘(a) IN GENERAL.—To be eligible to receive a grant

16 under this subpart, a State shall submit an application

17 to the Secretary at such time, in such manner, and con18 taining such information as the Secretary may reasonably

19 require.

20 ‘‘(b) CONTENTS.—Each application under this sec21 tion shall include the following:

22 ‘‘(1) A description of how the State will ensure

23 that a local educational agency receiving a subgrant

24 under subpart 3 will comply with the requirements

25 of such subpart.
306

•HR 1 IH

1 ‘‘(2) A plan to ensure all teachers within the

2 State are fully qualified not later than December 31,

3 2005.

4 ‘‘(3) A description of how the State will coordi5 nate professional development activities authorized

6 under this part with professional development activi7 ties provided under other Federal, State, and local

8 programs, including those authorized under title I,

9 part A of title V, part B of title V, part A of title

10 III, and (where applicable) the Individuals with Dis11 abilities Education Act and the Carl D. Perkins Vo12 cational and Technical Education Act. The applica13 tion shall also describe the comprehensive strategy

14 that the State will take as part of such coordination

15 effort, to ensure that teachers are trained in the uti16 lization of technology so that technology and its ap17 plications are effectively used in the classroom to im18 prove teaching and learning in all curriculum and

19 content areas, as appropriate.

20 ‘‘(4) A description of how the State will encour21 age the development of proven, innovative strategies

22 to deliver intensive professional development pro23 grams that are both cost-effective and easily acces24 sible, such as through the use of technology and dis25 tance learning.
307

•HR 1 IH

1 ‘‘(5) A description of how the State will ensure

2 that local educational agencies will comply with the

3 requirements under section 2033, especially with re4 spect to ensuring the participation of teachers and

5 parents.

6 ‘‘(c) APPLICATION APPROVAL.—A State application

7 submitted to the Secretary under this section shall be

8 deemed approved by the Secretary unless the Secretary

9 makes a written determination, within 90 days after re10 ceiving the application, that the application is in violation

11 of the provisions of this subpart. The Secretary shall not

12 finally disapprove a State application except after giving

13 the State notice and opportunity for a hearing.

14 ‘‘Subpart 2—Math and Science Partnerships

15 ‘‘SEC. 2021. PURPOSE.

16 ‘‘The purpose of this subpart is to improve the

17 achievement of students in the areas of mathematics and

18 science by encouraging States, institutions of higher edu19 cation, and local educational agencies to participate in

20 programs that—

21 ‘‘(1) focus on education and training of mathe22 matics and science teachers that improves teachers’

23 knowledge and skills and encourages intellectual

24 growth;
308

•HR 1 IH

1 ‘‘(2) improve mathematics and science teaching

2 by encouraging institutions of higher education to

3 assume greater responsibility for improving mathe4 matics and science teacher education through the es5 tablishment of a comprehensive, integrated system of

6 recruiting, training, and advising such teachers; and

7 ‘‘(3) bring mathematics and science teachers in

8 elementary and secondary schools together with sci9 entists, mathematicians, and engineers to increase

10 the subject matter knowledge of teachers and im11 prove their teaching skills through the use of sophis12 ticated laboratory equipment and work space, com13 puting facilities, libraries, and other resources that

14 institutions of higher education are better able to

15 provide than the schools.

16 ‘‘SEC. 2022. APPLICATION REQUIREMENTS.

17 ‘‘(a) IN GENERAL.—An eligible partnership seeking

18 to receive a subgrant from a State under this subpart shall

19 submit an application to the State at such time, in such

20 manner, and accompanied by such information as the

21 State may require.

22 ‘‘(b) PARTNERSHIP APPLICATION CONTENTS.—Each

23 such application shall include—

24 ‘‘(1) an assessment of the teacher quality and

25 professional development of all the schools and agen-
309

•HR 1 IH

1 cies participating in the eligible partnership with re2 spect to the teaching and learning of mathematics

3 and science;

4 ‘‘(2) a description of how the activities to be

5 carried out by the eligible partnership will be aligned

6 with State content standards in mathematics and

7 science and with other educational reform activities

8 that promote student achievement in mathematics

9 and science;

10 ‘‘(3) a description of how the activities to be

11 carried out by the eligible partnership will be based

12 on a review of relevant research, and an explanation

13 of why the activities are expected to improve student

14 achievement and to strengthen the quality of mathe15 matics and science instructions; and

16 ‘‘(4) a description of—

17 ‘‘(A) how the eligible partnership will carry

18 out the activities described in section 2023(c);

19 and

20 ‘‘(B) the eligible partnership’s evaluation

21 and accountability plan described in section

22 2024.
310

•HR 1 IH

1 ‘‘SEC. 2023. MATH AND SCIENCE PARTNERSHIP SUB2 GRANTS.

3 ‘‘(a) IN GENERAL.—From the amount described in

4 section 2012(c), the State educational agency, working in

5 conjunction with the State agency for higher education (if

6 such agencies are separate), shall award subgrants on a

7 competitive basis to eligible partnerships to enable such

8 partnerships to carry out activities described in subsection

9 (c).

10 ‘‘(b) DURATION.—The State shall award subgrants

11 under this subpart for a period of not less than 2 and

12 not more than 5 years.

13 ‘‘(c) AUTHORIZED ACTIVITIES.—A recipient of funds

14 provided under this subpart may use the funds for the

15 following activities related to elementary or secondary

16 schools:

17 ‘‘(1) Establishing and operating mathematics

18 and science summer professional development work19 shops or institutes for elementary and secondary

20 teachers that—

21 ‘‘(A) shall—

22 ‘‘(i) directly relate to the curriculum

23 and content areas in which the teacher

24 provides instruction, and focus only sec25 ondarily on pedagogy;
311

•HR 1 IH

1 ‘‘(ii) enhance the ability of a teacher

2 to understand and use the State’s content

3 standards for mathematics and science and

4 to select appropriate curricula;

5 ‘‘(iii) train teachers to use curricula

6 that are—

7 ‘‘(I) based on scientific research;

8 ‘‘(II) aligned with State content

9 standards; and

10 ‘‘(III) object-centered, experi11 ment-oriented, and concept- and con12 tent-based; and

13 ‘‘(iv) provide supplemental assistance

14 and follow-up training during the school

15 year for summer institute graduates; and

16 ‘‘(B) may include—

17 ‘‘(i) programs that provide prospective

18 teachers and novice teachers opportunities

19 to work under the guidance of experienced

20 teachers and college faculty;

21 ‘‘(ii) instruction in the use of data

22 and assessments to inform and instruct

23 classroom practice;

24 ‘‘(iii) professional development activi25 ties, including supplemental and follow-up
312

•HR 1 IH

1 activities, such as distance learning and ac2 tivities that train teachers to utilize tech3 nology in the classroom.

4 ‘‘(2) Recruiting to the teaching profession—

5 ‘‘(A) students studying mathematics, engi6 neering, and science; or

7 ‘‘(B) mathematicians, engineers, and sci8 entists currently working in the field.

9 (3) Designing programs to bring teachers into

10 contact with working scientists to expand teacher

11 content knowledge of and research in science and

12 mathematics.

13 ‘‘(d) PRIORITY.—In awarding subgrants under this

14 subpart, States shall give priority to applications seeking

15 funding for the activity described in subsection (c)(1).

16 ‘‘(e) COORDINATION.—Partnerships receiving grants

17 under section 203 of the Higher Education Act of 1965

18 (20 U.S.C. 1023) shall coordinate the use of such funds

19 with any related activities carried out by such partnership

20 with funds made available under this subpart.

21 ‘‘SEC. 2024. EVALUATION AND ACCOUNTABILITY PLAN.

22 ‘‘(a) AL.—Each eligible partnership receiving a

23 subgrant under this subpart shall develop an evaluation

24 and accountability plan for activities assisted under this

25 subpart that includes rigorous performance objectives that
313

•HR 1 IH

1 measure the impact of activities funded under this sub2 part.

3 ‘‘(b) CONTENTS.—The plan—

4 ‘‘(1) shall include measurable goals to increase

5 the number of mathematics and science teachers

6 who participate in content-based professional devel7 opment activities; and

8 ‘‘(2) may include objectives and measures for—

9 ‘‘(A) improved student achievement on

10 State mathematics and science assessments;

11 ‘‘(B) increased participation by students in

12 advanced courses in mathematics and science;

13 ‘‘(C) increased percentages of elementary

14 school teachers with academic majors or mi15 nors, or group majors or minors, in mathe16 matics or the sciences; and

17 ‘‘(D) increased percentages of secondary

18 school classes in mathematics and science

19 taught by teachers with academic majors in

20 mathematics and science, respectively.

21 ‘‘SEC. 2025. REPORTS; REVOCATION OF SUBGRANTS.

22 ‘‘(a) REPORTS.—Each eligible partnership receiving

23 a subgrant under this subpart annually shall report to the

24 State regarding the eligible partnership’s progress in
314

•HR 1 IH

1 meeting the performance objectives described in section

2 2024.

3 ‘‘(b) REVOCATION.—If the State determines that an

4 eligible partnership that receives a subgrant under this

5 subpart for 5 years is not making substantial progress in

6 meeting the performance objectives described in section

7 2024 by the end of the third year of the subgrant, the

8 subgrant payments shall not be made for the fourth and

9 fifth years.

10 ‘‘SEC. 2026. DEFINITIONS.

11 ‘‘In this subpart:

12 ‘‘(1) ELIGIBLE PARTNERSHIP.—The term ‘eligi13 ble partnership’ means a partnership that—

14 ‘‘(A) shall include—

15 ‘‘(i) a State educational agency;

16 ‘‘(ii) a mathematics or science depart17 ment of a private independent institution

18 of higher education or a State-supported

19 public institution of higher education; and

20 ‘‘(iii) a high need local educational

21 agency; and

22 ‘‘(B) may include—

23 ‘‘(i) another institution of higher edu24 cation or the teacher training department

25 of such an institution;
315

•HR 1 IH

1 ‘‘(ii) additional local educational agen2 cies, public charter schools, public or pri3 vate elementary or secondary schools, or a

4 consortium of such schools;

5 ‘‘(iii) a business; or

6 ‘‘(iv) a nonprofit organization of dem7 onstrated effectiveness, including a mu8 seum or research institution.

9 ‘‘(2) SUMMER PROFESSIONAL DEVELOPMENT

10 WORKSHOP OR INSTITUTE.—The term ‘summer pro11 fessional development workshop or institute’ means

12 a workshop or institute that—

13 ‘‘(A) is conducted during a period of not

14 less than 2 weeks;

15 ‘‘(B) includes as a component a program

16 that provides direct interaction between stu17 dents and faculty; and

18 ‘‘(C) provides for follow-up training during

19 the academic year that shall be conducted in

20 the classroom for a period of not less than 3

21 consecutive or nonconsecutive days, except

22 that—

23 ‘‘(i) if the workshop or institute is

24 conducted during a two-week period, the
316

•HR 1 IH

1 follow-up training shall be conducted for a

2 period of at least 4 days; and

3 ‘‘(ii) if the follow-up training is for

4 teachers in rural school districts, it may be

5 conducted through distance learning.

6 ‘‘Subpart 3—Subgrants to Local Educational

7 Agencies

8 ‘‘SEC. 2031. LOCAL USE OF FUNDS.

9 ‘‘Each local educational agency that receives a

10 subgrant under this subpart may use the subgrant to

11 carry out the following activities:

12 ‘‘(1) Initiatives to assist in recruiting and hir13 ing fully qualified teachers who will be assigned

14 teaching positions within their field, including—

15 ‘‘(A) providing signing bonuses or other fi16 nancial incentives, such as differential pay, for

17 teachers to teach in academic subject areas in

18 which there exists a shortage of such fully

19 qualified teachers within a school or the local

20 educational agency;

21 ‘‘(B) establishing programs that—

22 ‘‘(i) recruit professionals from other

23 fields and provide such professionals with

24 alternative routes to teacher certification;

25 and
317

•HR 1 IH

1 ‘‘(ii) provide increased opportunities

2 for minorities, individuals with disabilities,

3 and other individuals underrepresented in

4 the teaching profession; and

5 ‘‘(C) implementing hiring policies that en6 sure comprehensive recruitment efforts as a

7 way to expand the applicant pool, such as

8 through identifying teachers certified through

9 alternative routes, coupled with a system of in10 tensive screening designed to hire the most

11 qualified applicant.

12 ‘‘(2) Initiatives to promote retention of highly

13 qualified teachers and principals, particularly within

14 elementary and secondary schools with a high per15 centage of low-achieving students, including pro16 grams that provide—

17 ‘‘(A) mentoring to newly hired teachers,

18 such as from master teachers;

19 ‘‘(B) incentives, including financial incen20 tives, to retain teachers who have a record of

21 success in helping low-achieving students im22 prove their academic success; or

23 ‘‘(C) incentives, including financial incen24 tives, to principals who have a record of improv25 ing the performance of all students, but par-
318

•HR 1 IH

1 ticularly students from economically disadvan2 taged families and students from racial and

3 ethnic minority groups.

4 ‘‘(3) Programs and activities that are designed

5 to improve the quality of the teacher force, such

6 as—

7 ‘‘(A) innovative professional development

8 programs (which may be through partnerships

9 including institutions of higher education), in10 cluding programs that train teachers and prin11 cipals to utilize technology to improve teaching

12 and learning, are consistent with the require13 ments of section 2033, and are coordinated

14 with part B of title V;

15 ‘‘(B) development and utilization of prov16 en, cost-effective strategies for the implementa17 tion of professional development activities, such

18 as through the utilization of technology and dis19 tance learning;

20 ‘‘(C) tenure reform;

21 ‘‘(D) merit pay;

22 ‘‘(E) testing of elementary and secondary

23 school teachers in the subject areas taught by

24 such teachers;
319

•HR 1 IH

1 ‘‘(F) professional development programs

2 that provide instruction in how to teach chil3 dren with different learning styles, particularly

4 children with disabilities and children with spe5 cial learning needs (including those who are

6 gifted and talented);

7 ‘‘(G) professional development programs

8 that provide instruction in how best to dis9 cipline children in the classroom and identify

10 early and appropriate interventions to help chil11 dren described in subparagraph (F) learn; and

12 ‘‘(H) professional development programs

13 that provide instruction in how to teach char14 acter education in a manner that—

15 ‘‘(i) reflects the values of parents,

16 teachers, and local communities; and

17 ‘‘(ii) incorporates elements of good

18 character, including honesty, citizenship,

19 courage, justice, respect, personal responsi20 bility, and trustworthiness.

21 ‘‘(4) Teacher opportunity payments, consistent

22 with section 2034.

23 ‘‘(5) Professional activities designed to improve

24 the quality of principals.
320

•HR 1 IH

1 ‘‘(6) Hiring fully qualified teachers, including

2 teachers who become fully qualified through State

3 and local alternative routes, and special education

4 teachers, in order to reduce class size.

5 ‘‘SEC. 2032. LOCAL APPLICATIONS.

6 ‘‘(a) IN GENERAL.—A local educational agency seek7 ing to receive a subgrant from a State under this subpart

8 shall submit an application to the State—

9 ‘‘(1) at such time as the State shall require;

10 and

11 ‘‘(2) which is coordinated with other programs

12 under this Act, or other Acts, as appropriate.

13 ‘‘(b) LOCAL APPLICATION CONTENTS.—The local ap14 plication described in subsection (a), shall include, at a

15 minimum, the following:

16 ‘‘(1) An assurance that the local educational

17 agency will target funds to schools within the juris18 diction of the local educational agency that—

19 ‘‘(A) have the lowest proportion of fully

20 qualified teachers;

21 ‘‘(B) have the largest average class size; or

22 ‘‘(C) are identified for school improvement

23 under section 1116(b).

24 ‘‘(2) A description of how the local educational

25 agency will coordinate professional development ac-
321

•HR 1 IH

1 tivities authorized under this subpart with profes2 sional development activities provided through other

3 Federal, State, and local programs, including those

4 authorized under title I, part A of title V, part B

5 of title V, part A of title III, and (where applicable)

6 the Individuals with Disabilities Education Act and

7 the Carl D. Perkins Vocational and Technical Edu8 cation Act.

9 ‘‘(3) A description of how the local educational

10 agency will integrate funds under this subpart with

11 funds received under part B of title V that are used

12 for professional development to train teachers to uti13 lize technology to improve teaching and learning.

14 ‘‘(4) A description of how the local educational

15 agency has collaborated with teachers, principals,

16 parents, and administrators in the preparation of

17 the application.

18 ‘‘SEC. 2033. PROFESSIONAL DEVELOPMENT FOR TEACHERS.

19 ‘‘(a) REQUIREMENTS FOR PROFESSIONAL DEVELOP20 MENT ACTIVITIES.—Professional development activities

21 under this subpart shall—

22 ‘‘(1) support professional development activities

23 that give teachers, principals, and administrators the

24 knowledge and skills to provide students with the op-
322

•HR 1 IH

1 portunity to meet challenging State content stand2 ards and student achievement standards;

3 ‘‘(2) support the recruiting, hiring, and training

4 of fully qualified teachers, including teachers fully

5 qualified through State and local alternative routes;

6 ‘‘(3) advance teacher understanding of effective

7 instructional strategies based on scientifically based

8 research for improving student achievement, at a

9 minimum, in reading or language arts and mathe10 matics;

11 ‘‘(4) be directly related to the curriculum and

12 content areas in which the teacher provides instruc13 tion, except this does not apply to activities that in14 struct in methods of disciplining children;

15 ‘‘(5) be designed to enhance the ability of a

16 teacher to understand and use the State’s standards

17 for the subject area in which the teacher provides in18 struction;

19 ‘‘(6) be tied to scientifically based research

20 demonstrating the effectiveness of such professional

21 development activities or programs in increasing stu22 dent achievement or substantially increasing the

23 knowledge and teaching skills of teachers;

24 ‘‘(7) be of sufficient intensity and duration (not

25 to include 1-day or short-term workshops and con-
323

•HR 1 IH

1 ferences) to have a positive and lasting impact on

2 the teacher’s performance in the classroom;

3 ‘‘(8) be developed with extensive participation

4 of teachers, principals, parents, and administrators

5 of schools to be served under this part;

6 ‘‘(9) to the extent appropriate, provide training

7 for teachers and principals in the use of technology

8 so that technology and its applications are effectively

9 used in the classroom to improve teaching and learn10 ing in the curriculum and academic content areas in

11 which the teachers provide instruction; and

12 ‘‘(10) as a whole, be regularly evaluated for

13 their impact on increased teacher effectiveness and

14 improved student achievement, with the findings of

15 such evaluations used to improve the quality of pro16 fessional development.

17 ‘‘(b) PROFESSIONAL DEVELOPMENT ACTIVITIES.—

18 Professional development activities under this subpart

19 may include—

20 ‘‘(1) instruction in the use of data and assess21 ments to inform and instruct classroom practice;

22 ‘‘(2) instruction in ways that teachers, prin23 cipals, pupil services personnel, and school adminis24 trators may work more effectively with parents;
324

•HR 1 IH

1 ‘‘(3) the forming of partnerships with institu2 tions of higher education to establish school-based

3 teacher training programs that provide prospective

4 teachers and novice teachers with an opportunity to

5 work under the guidance of experienced teachers and

6 college faculty;

7 ‘‘(4) the creation of programs for paraprofes8 sionals (assisting teachers employed by a local edu9 cational agency receiving assistance under this part)

10 to obtain the education necessary for such para11 professionals to become licensed and certified teach12 ers; and

13 ‘‘(5) instruction in ways to teach special needs

14 children.

15 ‘‘(c) ACCOUNTABILITY.—

16 ‘‘(1) IN GENERAL.—A State shall notify a local

17 educational agency that the agency is on notice of

18 the possibility that the agency may be subject to the

19 requirement in paragraph (3) if, after any fiscal

20 year, the State determines that the programs or ac21 tivities funded by the agency fail to meet the re22 quirements of subsection (a).

23 ‘‘(2) TECHNICAL ASSISTANCE.—A local edu24 cational agency that has been put on notice pursu25 ant to paragraph (1) may request technical assist-
325

•HR 1 IH

1 ance from the State in order to provide the oppor2 tunity for such local educational agency to comply

3 with the requirements of subsection (a).

4 ‘‘(3) REQUIREMENT TO PROVIDE TEACHER OP5 PORTUNITY PAYMENTS.—A local educational agency

6 that has been put on notice by the State pursuant

7 to paragraph (1) during any 2 consecutive fiscal

8 years shall expend under section 2034 for the suc9 ceeding fiscal year a proportion of the amount made

10 available to the agency under this subpart equal to

11 the proportion of such amount expended by the

12 agency on professional development for the second

13 fiscal year in which it was put on notice.

14 ‘‘SEC. 2034. TEACHER OPPORTUNITY PAYMENTS.

15 ‘‘(a) IN GENERAL.—A local educational agency re16 ceiving funds under this subpart may (or, in the case of

17 a local educational agency described in section 2033(c)(3),

18 shall) provide funds directly to a teacher or a group of

19 teachers seeking opportunities to participate in a profes20 sional development activity of their choice.

21 ‘‘(b) NOTICE TO TEACHERS.—Local educational

22 agencies distributing funds under this section shall estab23 lish and implement a timely process through which proper

24 notice of availability of funds will be given to all teachers

25 within schools identified by the agency and shall develop
326

•HR 1 IH

1 a process whereby teachers will be specifically rec2 ommended by principals to participate in such program

3 by virtue of—

4 ‘‘(1) their not being fully qualified to teach in

5 the subject or subjects in which they teach; or

6 ‘‘(2) their need for additional assistance to en7 sure that their students make progress toward meet8 ing challenging State content standards and student

9 achievement standards.

10 ‘‘(c) SELECTION OF TEACHERS.—In the event ade11 quate funding is not available to provide payments under

12 this section to all teachers seeking such assistance, or

13 identified as needing such assistance pursuant to sub14 section (b), a local educational agency shall establish pro15 cedures for selecting teachers which provide a priority for

16 those teachers described in paragraph (1) or (2) of sub17 section (b).

18 ‘‘(d) ELIGIBLE PROGRAM.—Teachers receiving a pay19 ment under this section shall have the choice of attending

20 any professional development program that meets the cri21 teria set forth in section 2033(a).
327

•HR 1 IH

1 ‘‘Subpart 4—Troops-to-Teachers Program

2 ‘‘SEC. 2041. AUTHORIZATION OF TROOPS-TO-TEACHERS

3 PROGRAM.

4 ‘‘(a) PROGRAM AUTHORIZED.—The Secretary may

5 carry out a program (to be known as the ‘Troops-to6 Teachers Program’)—

7 ‘‘(1) to assist eligible members and former

8 members of the Armed Forces described in section

9 2042 to obtain certification or licensure as elemen10 tary school teachers, secondary school teachers, or

11 vocational or technical teachers; and

12 ‘‘(2) to facilitate the employment of such mem13 bers in elementary schools or secondary schools or as

14 vocational or technical teachers.

15 ‘‘(b) ADMINISTRATION OF PROGRAM.—The Secretary

16 shall enter into a memorandum of agreement with the Sec17 retary of Defense under which the Secretary of Defense,

18 acting through the Defense Activity for Non-Traditional

19 Education Support of the Department of Defense, will

20 perform the actual administration of the Program, other

21 than section 2045. Using funds appropriated to the Sec22 retary to carry out this subpart, the Secretary shall trans23 fer to the Secretary of Defense such amounts as may be

24 necessary to administer the Program pursuant to the

25 memorandum of agreement.
328

•HR 1 IH

1 ‘‘(c) INFORMATION REGARDING PROGRAM.—The

2 Secretary shall provide to the Secretary of Defense, for

3 distribution as part of preseparation counseling provided

4 under section 1142 of title 10, United States Code, to

5 members of the Armed Forces described in section 2042,

6 information regarding the Troops-to-Teachers Program

7 and applications to participate in the program.

8 ‘‘(d) PLACEMENT ASSISTANCE AND REFERRAL

9 SERVICES.—As part of the Troops-to-Teachers Program,

10 the Secretary may, with the agreement of the Secretary

11 of Defense, provide placement assistance and referral serv12 ices regarding employment opportunities with local edu13 cational agencies to members of the Armed Forces who

14 are discharged or released from active duty under other

15 than adverse conditions. Unless the member is also se16 lected to participate in the Program under section 2042,

17 a member receiving placement assistance and referral

18 services under the authority of this subsection is not eligi19 ble for financial assistance under section 2043.

20 ‘‘SEC. 2042. RECRUITMENT AND SELECTION OF PROGRAM

21 PARTICIPANTS.

22 ‘‘(a) ELIGIBLE MEMBERS.—The following members

23 and former members of the Armed Forces are eligible for

24 selection to participate in the Troops-to-Teachers Pro25 gram:
329

•HR 1 IH

1 ‘‘(1) Any member who—

2 ‘‘(A) on or after October 1, 1999, becomes

3 entitled to retired or retainer pay in the manner

4 provided in title 10 or title 14, United States

5 Code; or

6 ‘‘(B) on or after the date of the enactment

7 of the No Child Left Behind Act of 2001, has

8 an approved date of voluntary retirement and,

9 as of the date the member submits an applica10 tion to participate in the Program, has one year

11 or less of active duty remaining before retire12 ment.

13 ‘‘(2) Any member who, on or after the date of

14 the enactment of the No Child Left Behind Act of

15 2001—

16 ‘‘(A) is separated or released from active

17 duty after six or more years of continuous ac18 tive duty immediately before the separation or

19 release; and

20 ‘‘(B) executes a reserve commitment agree21 ment for a period of three years under sub22 section (e)(2).

23 ‘‘(3) Any member who, on or after the date of

24 the enactment of the No Child Left Behind Act of
330

•HR 1 IH

1 2001, is retired or separated for physical disability

2 under chapter 61 of title 10, United States Code.

3 ‘‘(4) Any member who—

4 ‘‘(A) during the period beginning on Octo5 ber 1, 1990, and ending on September 30,

6 1999, was involuntarily discharged or released

7 from active duty for purposes of a reduction of

8 force after six or more years of continuous ac9 tive duty immediately before the discharge or

10 release; or

11 ‘‘(B) applied for the teacher placement

12 program administered under section 1151 of

13 title 10, United States Code, before its repeal,

14 and who satisfied the eligibility criteria specified

15 in subsection (c) of such section 1151.

16 ‘‘(b) SUBMISSION OF APPLICATIONS.—

17 ‘‘(1) FORM AND SUBMISSION.—Selection of eli18 gible members and former members of the Armed

19 Forces to participate in the Troops-to-Teachers Pro20 gram shall be made on the basis of applications sub21 mitted to the Secretary within the time periods spec22 ified in paragraph (2). An application shall be in

23 such form and contain such information as the Sec24 retary may require.
331

•HR 1 IH

1 ‘‘(2) TIME FOR SUBMISSION.—An application

2 shall be considered to be submitted on a timely basis

3 under paragraph (1) if—

4 ‘‘(A) in the case of a member or former

5 member of the Armed Forces described in para6 graph (1), (2), or (3) of subsection (a), the ap7 plication is submitted not later than four years

8 after the date on which the member is retired

9 or separated or released from active duty,

10 whichever applies to the member; or

11 ‘‘(B) in the case of a member or former

12 member described in subsection (a)(4), the ap13 plication is submitted not later than September

14 30, 2003.

15 ‘‘(c) SELECTION CRITERIA.—

16 ‘‘(1) ESTABLISHMENT.—Subject to paragraphs

17 (2) and (3), the Secretary shall prescribe the criteria

18 to be used to select eligible members and former

19 members of the Armed Forces to participate in the

20 Troops-to-Teachers Program.

21 ‘‘(2) EDUCATIONAL BACKGROUND.—If a mem22 ber or former member of the Armed Forces de23 scribed in paragraph (1), (2), or (3) of subsection

24 (a) is applying for assistance for placement as an el25 ementary or secondary school teacher, the Secretary
332

•HR 1 IH

1 shall require the member to have received a bacca2 laureate or advanced degree from an accredited in3 stitution of higher education. If such a member is

4 applying for assistance for placement as a vocational

5 or technical teacher, the Secretary shall require the

6 member—

7 ‘‘(A) to have received the equivalent of one

8 year of college from an accredited institution of

9 higher education and have six or more years of

10 military experience in a vocational or technical

11 field; or

12 ‘‘(B) to otherwise meet the certification or

13 licensure requirements for a vocational or tech14 nical teacher in the State in which the member

15 seeks assistance for placement under the Pro16 gram.

17 ‘‘(3) HONORABLE SERVICE.—A member or

18 former member of the Armed Forces is eligible to

19 participate in the Troops-to-Teachers Program only

20 if the member’s last period of service in the Armed

21 Forces was characterized as honorable. If the mem22 ber is selected to participate in the Program before

23 the retirement of the member or the separation or

24 release of the member from active duty, the member

25 may continue to participate in the Program only if,
333

•HR 1 IH

1 upon the retirement or separation or release from

2 active duty, the member’s last period of service is

3 characterized as honorable.

4 ‘‘(d) SELECTION PRIORITIES.—In selecting eligible

5 members and former members of the Armed Forces to re6 ceive assistance for placement as elementary or secondary

7 school teachers or vocational or technical teachers, the

8 Secretary shall give priority to members who have edu9 cational or military experience in science, mathematics,

10 special education, or vocational or technical subjects and

11 agree to seek employment as science, mathematics, or spe12 cial education teachers in elementary or secondary schools

13 or in other schools under the jurisdiction of a local edu14 cational agency.

15 ‘‘(e) OTHER CONDITIONS ON SELECTION.—

16 ‘‘(1) SELECTION SUBJECT TO FUNDING.—The

17 Secretary may not select an eligible member or

18 former member of the Armed Forces to participate

19 in the Troops-to-Teachers Program under this sec20 tion and receive financial assistance under section

21 2043 unless the Secretary has sufficient appropria22 tions for the Program available at the time of the

23 selection to satisfy the obligations to be incurred by

24 the United States under section 2043 with respect

25 to the member.
334

•HR 1 IH

1 ‘‘(2) RESERVE COMMITMENT AGREEMENT.—

2 The Secretary may not select an eligible member or

3 former member of the Armed Forces described in

4 subsection (a)(2)(A) to participate in the Troops-to5 Teachers Program under this section and receive fi6 nancial assistance under section 2043 unless—

7 ‘‘(A) the Secretary notifies the Secretary

8 concerned and the member that the Secretary

9 has reserved a full stipend or bonus under sec10 tion 2043 for the member; and

11 ‘‘(B) the member executes a written agree12 ment with the Secretary concerned to serve as

13 a member of the Selected Reserve of a reserve

14 component of the Armed Forces for a period of

15 three years (in addition to any other reserve

16 commitment the member may have).

17 ‘‘SEC. 2043. PARTICIPATION AGREEMENT AND FINANCIAL

18 ASSISTANCE.

19 ‘‘(a) PARTICIPATION AGREEMENT.—An eligible

20 member or former member of the Armed Forces selected

21 to participate in the Troops-to-Teachers Program under

22 section 2042 and receive financial assistance under this

23 section shall be required to enter into an agreement with

24 the Secretary in which the member agrees—
335

•HR 1 IH

1 ‘‘(1) to obtain, within such time as the Sec2 retary may require, certification or licensure as an

3 elementary school teacher, secondary school teacher,

4 or vocational or technical teacher; and

5 ‘‘(2) to accept an offer of full-time employment

6 as an elementary school teacher, secondary school

7 teacher, or vocational or technical teacher for not

8 less than three school years with a local educational

9 agency or public charter school, to begin the school

10 year after obtaining that certification or licensure.

11 ‘‘(b) VIOLATION OF PARTICIPATION AGREEMENT;

12 EXCEPTIONS.—A participant in the Troops-to-Teachers

13 Program shall not be considered to be in violation of the

14 participation agreement entered into under subsection (a)

15 during any period in which the participant—

16 ‘‘(1) is pursuing a full-time course of study re17 lated to the field of teaching at an institution of

18 higher education;

19 ‘‘(2) is serving on active duty as a member of

20 the Armed Forces;

21 ‘‘(3) is temporarily totally disabled for a period

22 of time not to exceed three years as established by

23 sworn affidavit of a qualified physician;
336

•HR 1 IH

1 ‘‘(4) is unable to secure employment for a pe2 riod not to exceed 12 months by reason of the care

3 required by a spouse who is disabled;

4 ‘‘(5) is seeking and unable to find full-time em5 ployment as a teacher in an elementary or secondary

6 school or as a vocational or technical teacher for a

7 single period not to exceed 27 months; or

8 ‘‘(6) satisfies the provisions of additional reim9 bursement exceptions that may be prescribed by the

10 Secretary.

11 ‘‘(c) STIPEND FOR PARTICIPANTS.—

12 ‘‘(1) STIPEND AUTHORIZED.—Subject to para13 graph (2), the Secretary may pay to a participant in

14 the Troops-to-Teachers Program selected under sec15 tion 2042 a stipend in an amount up to $5,000.

16 ‘‘(2) LIMITATION.—The total number of sti17 pends that may be paid under paragraph (1) in any

18 fiscal year may not exceed 3,000.

19 ‘‘(d) BONUS FOR PARTICIPANTS.—

20 ‘‘(1) BONUS AUTHORIZED.—Subject to para21 graph (2), the Secretary may, in lieu of paying a sti22 pend under subsection (c), pay a bonus of $10,000

23 to a participant in the Troops-to-Teachers Program

24 selected under section 2042 who agrees in the par25 ticipation agreement under subsection (a) to accept
337

•HR 1 IH

1 full-time employment as an elementary school teach2 er, secondary school teacher, or vocational or tech3 nical teacher for not less than three years in a high

4 need school.

5 ‘‘(2) LIMITATION.—The total number of bo6 nuses that may be paid under paragraph (1) in any

7 fiscal year may not exceed 1,000.

8 ‘‘(3) HIGH NEED SCHOOL DEFINED.—For pur9 poses of this subsection, the term ‘high need school’

10 means a public elementary school, public secondary

11 school, or public charter school that meets one or

12 more of the following criteria:

13 ‘‘(A) At least 50 percent of the students

14 enrolled in the school were children counted

15 under subsection (c) of section 1124 for pur16 poses of making grants under such section to

17 local educational agencies, when such counting

18 was most recently performed.

19 ‘‘(B) The school has a large percentage of

20 students who qualify for assistance under part

21 B of the Individuals with Disabilities Education

22 Act (20 U.S.C. 1411 et seq.).

23 ‘‘(C) The school meets any other criteria

24 established by the Secretary in consultation

25 with the National Assessment Governing Board.
338

•HR 1 IH

1 ‘‘(e) TREATMENT OF STIPEND AND BONUS.—A sti2 pend or bonus paid under this section to a participant in

3 the Troops-to-Teachers Program shall be taken into ac4 count in determining the eligibility of the participant for

5 Federal student financial assistance provided under title

6 IV of the Higher Education Act of 1965 (20 U.S.C. 1070

7 et seq.).

8 ‘‘(f) REIMBURSEMENT UNDER CERTAIN CIR9 CUMSTANCES.—

10 ‘‘(1) REIMBURSEMENT REQUIRED.—A partici11 pant in the Troops-to-Teachers Program who is paid

12 a stipend or bonus under this section shall be re13 quired to repay the stipend or bonus under the fol14 lowing circumstances:

15 ‘‘(A) The participant fails to obtain teach16 er certification or licensure or employment as

17 an elementary school teacher, secondary school

18 teacher, or vocational or technical teacher as re19 quired by the participation agreement under

20 subsection (a).

21 ‘‘(B) The participant voluntarily leaves, or

22 is terminated for cause, from employment as an

23 elementary school teacher, secondary school

24 teacher, or vocational or technical teacher dur-
339

•HR 1 IH

1 ing the three years of required service in viola2 tion of the participation agreement.

3 ‘‘(C) The participant executed a written

4 agreement with the Secretary concerned under

5 section 2042(e)(2) to serve as a member of a

6 reserve component of the Armed Forces for a

7 period of three years and fails to complete the

8 required term of service.

9 ‘‘(2) AMOUNT OF REIMBURSEMENT.—A partici10 pant required to reimburse the Secretary for a sti11 pend or bonus paid to the participant under this sec12 tion shall pay an amount that bears the same ratio

13 to the amount of the stipend or bonus as the

14 unserved portion of required service bears to the

15 three years of required service. Any amount owed by

16 the participant shall bear interest at the rate equal

17 to the highest rate being paid by the United States

18 on the day on which the reimbursement is deter19 mined to be due for securities having maturities of

20 ninety days or less and shall accrue from the day on

21 which the participant is first notified of the amount

22 due.

23 ‘‘(3) TREATMENT OF OBLIGATION.—The obliga24 tion to reimburse the Secretary under this sub25 section is, for all purposes, a debt owing the United
340

•HR 1 IH

1 States. A discharge in bankruptcy under title 11,

2 United States Code, shall not release a participant

3 from the obligation to reimburse the Secretary.

4 ‘‘(4) EXCEPTIONS TO REIMBURSEMENT RE5 QUIREMENT.—A participant shall be excused from

6 reimbursement under this subsection if the partici7 pant becomes permanently totally disabled as estab8 lished by sworn affidavit of a qualified physician.

9 The Secretary may also waive reimbursement in

10 cases of extreme hardship to the participant, as de11 termined by the Secretary.

12 ‘‘(g) RELATIONSHIP TO EDUCATIONAL ASSISTANCE

13 UNDER MONTGOMERY GI BILL.—The receipt by a partic14 ipant in the Troops-to-Teachers Program of a stipend or

15 bonus under this section shall not reduce or otherwise af16 fect the entitlement of the participant to any benefits

17 under chapter 30 of title 38, United States Code, or chap18 ter 1606 of title 10, United States Code.

19 ‘‘SEC. 2044. PARTICIPATION BY STATES.

20 ‘‘(a) DISCHARGE OF STATE ACTIVITIES THROUGH

21 CONSORTIA OF STATES.—The Secretary may permit

22 States participating in the Troops-to-Teachers Program to

23 carry out activities authorized for such States under the

24 Program through one or more consortia of such States.

25 ‘‘(b) ASSISTANCE TO STATES.—
341

•HR 1 IH

1 ‘‘(1) GRANTS AUTHORIZED.—Subject to para2 graph (2), the Secretary may make grants to States

3 participating in the Troops-to-Teachers Program, or

4 to consortia of such States, in order to permit such

5 States or consortia of States to operate offices for

6 purposes of recruiting eligible members and former

7 members of the Armed Forces for participation in

8 the Program and facilitating the employment of par9 ticipants in the Program as elementary school teach10 ers, secondary school teachers, and vocational or

11 technical teachers.

12 ‘‘(2) LIMITATION.—The total amount of grants

13 under paragraph (1) in any fiscal year may not ex14 ceed $4,000,000.

15 ‘‘SEC. 2045. SUPPORT OF INNOVATIVE PRERETIREMENT

16 TEACHER CERTIFICATION PROGRAMS.

17 ‘‘(a) DEVELOPMENT, IMPLEMENTATION AND DEM18 ONSTRATION.—The Secretary may enter into a memo19 randum of agreement with a State, an institution of high20 er education, or a consortia of States or institutions of

21 higher education, to develop, implement, and demonstrate

22 teacher certification programs for members of the Armed

23 Forces described in section 2042(a)(1)(B) for the purpose

24 of assisting such members to consider and prepare for a

25 career as an elementary school teacher, secondary school
342

•HR 1 IH

1 teacher, or vocational or technical teacher upon their re2 tirement from the Armed Forces.

3 ‘‘(b) PROGRAM ELEMENTS.—A teacher certification

4 program under subsection (a) must—

5 ‘‘(1) provide recognition of military experience

6 and training as related to licensure or certification

7 requirements;

8 ‘‘(2) provide courses of instruction that may be

9 conducted on or near a military installation;

10 ‘‘(3) incorporate alternative approaches to

11 achieve teacher certification, such as innovative

12 methods to gaining field-based teaching experiences,

13 and assessment of background and experience as re14 lated to skills, knowledge, and abilities required of

15 elementary school teachers, secondary school teach16 ers, or vocational or technical teachers;

17 ‘‘(4) provide for courses to also be delivered via

18 distance education methods; and

19 ‘‘(5) address any additional requirements or

20 specifications as established by the Secretary.

21 ‘‘(c) APPLICATION PROCEDURES.—A State or insti22 tution of higher education (or a consortia of States or in23 stitutions of higher education) that has a program leading

24 to State approved teacher certification programs may sub25 mit a proposal to the Secretary for consideration under
343

•HR 1 IH

1 subsection (a). The Secretary shall give preference to pro2 posals that provide for a sharing of the costs to carry out

3 the teacher certification program.

4 ‘‘(d) CONTINUATION OF PROGRAMS.—The purpose of

5 this section is to provide funding to develop, implement,

6 and demonstrate teacher certification programs under

7 subsection (a). Upon successful completion of the dem8 onstration phase, the continued operation of the teacher

9 certification programs shall not be the responsibility of the

10 Secretary.

11 ‘‘(e) FUNDING LIMITATION.—The total amount obli12 gated by the Secretary under this section in any fiscal year

13 may not exceed $5,000,000.

14 ‘‘SEC. 2046. REPORTING REQUIREMENTS.

15 ‘‘(a) REPORT REQUIRED.—Not later than March 31

16 of each year, the Secretary (in consultation with the Sec17 retary of Defense and the Secretary of Transportation)

18 and the Comptroller General shall each submit to Con19 gress a report on the effectiveness of the Troops-to-Teach20 ers Program in the recruitment and retention of qualified

21 personnel by local educational agencies and public charter

22 schools.

23 ‘‘(b) ELEMENTS OF REPORT.—The report under sub24 section (a) shall include information on the following:
344

•HR 1 IH

1 ‘‘(1) The number of participants in the Troops2 to-Teachers Program.

3 ‘‘(2) The schools in which the participants are

4 employed.

5 ‘‘(3) The grade levels at which the participants

6 teach.

7 ‘‘(4) The subject matters taught by the partici8 pants.

9 ‘‘(5) The rates of retention of the participants

10 by the local educational agencies and public charter

11 schools employing the participants.

12 ‘‘(6) Such other matters as the Secretary or the

13 Comptroller General, as the case may be, considers

14 appropriate.

15 ‘‘(c) RECOMMENDATIONS.—The report of the Comp16 troller General under this section shall also include any

17 recommendations of the Comptroller General regarding

18 any means of improving the Troops-to-Teachers Program,

19 including means of enhancing the recruitment and reten20 tion of participants in the Program.

21 ‘‘SEC. 2047. DEFINITIONS.

22 ‘‘For purposes of this subpart:

23 ‘‘(1) ARMED FORCES.—The term ‘Armed

24 Forces’ means the Army, Navy, Air Force, Marine

25 Corps, and Coast Guard.
345

•HR 1 IH

1 ‘‘(2) PROGRAM.—The term ‘Program’ means

2 the Troops-to-Teachers Program authorized by this

3 subpart.

4 ‘‘(3) RESERVE COMPONENT.—The term ‘reserve

5 component’ means—

6 ‘‘(A) the Army National Guard of the

7 United States;

8 ‘‘(B) the Army Reserve;

9 ‘‘(C) the Naval Reserve;

10 ‘‘(D) the Marine Corps Reserve;

11 ‘‘(E) the Air National Guard of the United

12 States;

13 ‘‘(F) the Air Force Reserve; and

14 ‘‘(G) the Coast Guard Reserve.

15 ‘‘(4) SECRETARY CONCERNED.—The term ‘Sec16 retary concerned’ means—

17 ‘‘(A) the Secretary of the Army, with re18 spect to matters concerning a reserve compo19 nent of the Army;

20 ‘‘(B) the Secretary of the Navy, with re21 spect to matters concerning a reserve compo22 nent of the Navy;

23 ‘‘(C) the Secretary of the Air Force, with

24 respect to matters concerning a reserve compo25 nent of the Air Force; and
346

•HR 1 IH

1 ‘‘(D) the Secretary of Transportation, with

2 respect to matters concerning the Coast Guard

3 Reserve.

4 ‘‘Subpart 5—Funding

5 ‘‘SEC. 2051. AUTHORIZATIONS OF APPROPRIATIONS.

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

7 this part, other than subpart 4, there are authorized to

8 be appropriated $2,600,000,000 for fiscal year 2002 and

9 such sums as may be necessary for each of fiscal years

10 2003 through 2006.

11 ‘‘(b) SUBPART 4.—For the purpose of carrying out

12 subpart 4, there are authorized to be appropriated

13 $30,000,000 for fiscal year 2002 and such sums as may

14 be necessary for each of fiscal years 2003 through 2006.

15 ‘‘Subpart 6—General Provisions

16 ‘‘SEC. 2061. DEFINITIONS.

17 ‘‘For purposes of this part—

18 ‘‘(1) ARTS AND SCIENCES.—The term ‘arts and

19 sciences’ means—

20 ‘‘(A) when referring to an organizational

21 unit of an institution of higher education, any

22 academic unit that offers one or more academic

23 majors in disciplines or content areas cor24 responding to the academic subject matter

25 areas in which teachers provide instruction; and
347

•HR 1 IH

1 ‘‘(B) when referring to a specific academic

2 subject matter area, the disciplines or content

3 areas in which academic majors are offered by

4 the arts and sciences organizational unit.

5 ‘‘(2) BEGINNING TEACHER.—The term ‘begin6 ning teacher’ means an educator in a public school

7 who has not yet been teaching 3 full school years.

8 ‘‘(3) MENTORING PROGRAM.—The term ‘men9 toring program’ means to provide professional sup10 port and development, instruction, and guidance to

11 beginning teachers, but does not include a teacher or

12 individual who begins to work in a supervisory posi13 tion.

14 ‘‘(4) PUBLICLY REPORT.—The term ‘publicly

15 report’, when used with respect to the dissemination

16 of information, means that the information is made

17 widely available to the public, including parents and

18 students, through such means as the Internet and

19 major print and broadcast media outlets.

20 ‘‘SEC. 2062. PROVISIONS RELATED TO PRIVATE SCHOOLS.

21 ‘‘The provisions of sections 8503 through 8506 apply

22 to programs under this part.
348

•HR 1 IH

1 ‘‘PART B—TEACHER LIABILITY PROTECTION

2 ‘‘SEC. 2101. TEACHER IMMUNITY.

3 ‘‘(a) IMMUNITY.—Notwithstanding any other provi4 sion of law, no school board member of, or teacher or ad5 ministrator in, a local educational agency that receives

6 funds under this Act shall be liable for monetary damages

7 in his or her personal capacity for an action that was

8 taken in carrying out his or her official duties and in9 tended to maintain school discipline, so long as that action

10 was not prohibited under State or local law and did not

11 constitute reckless or criminal misconduct.

12 ‘‘(b) LIMITATION.—The immunity established under

13 subsection (a) shall apply only to liability arising under

14 Federal law.’’.

15 TITLE III—EDUCATION OF LIM16 ITED ENGLISH PROFICIENT

17 CHILDREN; INDIAN AND

18 ALASKA NATIVE EDUCATION

19 PART A—EDUCATION OF LIMITED ENGLISH

20 PROFICIENT CHILDREN

21 SEC. 301. PROGRAMS AUTHORIZED.

22 (a) TITLE HEADING.—The heading for title III is

23 amended to read as follows:
349

•HR 1 IH

1 ‘‘TITLE III—EDUCATION OF LIM2 ITED ENGLISH PROFICIENT

3 CHILDREN; INDIAN AND

4 ALASKA NATIVE EDUCATION’’.

5 (b) SHORT TITLE.—Section 3101 (20 U.S.C. 6801)

6 is repealed.

7 (c) LIMITATION ON AVAILABILITY OF CERTAIN

8 FUNDS FOR SCHOOLS.—Section 3601 (20 U.S.C. 7001)—

9 (1) is transferred to part B of title V (as

10 amended by section 501) and inserted after section

11 5204 (as so amended);

12 (2) is redesignated as section 5205; and

13 (3) is amended by striking ‘‘this title’’ each

14 place such term appears and inserting ‘‘this part’’.

15 (d) LIMITED ENGLISH PROFICIENT CHILDREN.—

16 Parts A through E of title III (20 U.S.C. 6811 et seq.)

17 are amended to read as follows:

18 ‘‘PART A—EDUCATION OF LIMITED ENGLISH

19 PROFICIENT CHILDREN

20 ‘‘Subpart 1—English Language Education

21 ‘‘SEC. 3101. SHORT TITLE.

22 ‘‘This subpart may be cited as the ‘English Language

23 Proficiency and Academic Achievement Act’.

24 ‘‘SEC. 3102. FINDINGS AND PURPOSES.

25 ‘‘(a) FINDINGS.—The Congress finds as follows:
350

•HR 1 IH

1 ‘‘(1) English is the common language of the

2 United States and every citizen and other person re3 siding in the United States should have a command

4 of the English language in order to develop to their

5 full potential.

6 ‘‘(2) Limited English proficient children, in7 cluding recent immigrant children, must overcome a

8 number of challenges in receiving an education in

9 order to participate fully in American society,

10 including—

11 ‘‘(A) segregated education programs;

12 ‘‘(B) disproportionate and improper place13 ment in special education and other special pro14 grams due to the use of inappropriate evalua15 tion procedures;

16 ‘‘(C) the limited English proficiency of

17 their own parents, which hinders the parents’

18 ability to fully participate in the education of

19 their children; and

20 ‘‘(D) a need for additional teachers and

21 other staff who are professionally trained and

22 qualified to serve such children.

23 ‘‘(3) States and local educational agencies need

24 assistance in developing the capacity to provide pro25 grams of instruction that offer and provide an equal
351

•HR 1 IH

1 educational opportunity to children who need special

2 assistance because English is not their dominant

3 language.

4 ‘‘(4) Native Americans, including native resi5 dents of the outlying areas, and Native American

6 languages (as such terms are defined in section 103

7 of the Native American Languages Act) have a

8 unique status under Federal law that requires spe9 cial policies within the broad purposes of this sub10 part to serve the educational needs of language mi11 nority students in the United States.

12 ‘‘(5) Research, evaluation, and data collection

13 capabilities in the field of instruction for limited

14 English proficient children need to be strengthened

15 so that educators and other staff teaching limited

16 English proficient children in the classroom can bet17 ter identify and promote programs, program imple18 mentation strategies, and instructional practices that

19 result in the effective education of limited English

20 proficient children.

21 ‘‘(b) PURPOSES.—The purposes of this part are—

22 ‘‘(1) to help ensure that children who are lim23 ited English proficient, including recent immigrant

24 children, attain English proficiency, develop high lev25 els of academic attainment in English, and meet the
352

•HR 1 IH

1 same challenging State content standards and chal2 lenging State student achievement standards ex3 pected of all children;

4 ‘‘(2) to develop high-quality programs designed

5 to assist local educational agencies in teaching lim6 ited English proficient children;

7 ‘‘(3) to assist local educational agencies to de8 velop and enhance their capacity to provide high9 quality instructional programs designed to prepare

10 limited English proficient students, including recent

11 immigrant students, to enter all-English instruc12 tional settings within 3 years; and

13 ‘‘(4) to provide State educational agencies and

14 local educational agencies with the flexibility to im15 plement instructional programs, tied to scientifically

16 based research, that the agencies believe to be the

17 most effective for teaching English.

18 ‘‘SEC. 3103. PARENTAL NOTIFICATION AND CONSENT FOR

19 ENGLISH LANGUAGE INSTRUCTION.

20 ‘‘(a) NOTIFICATION.—If an eligible entity uses funds

21 under this subpart to provide English language instruction

22 to limited English proficient children, the entity shall in23 form a parent or the parents of a child participating in

24 an English language instruction program for limited
353

•HR 1 IH

1 English proficient children assisted under this subpart

2 of—

3 ‘‘(1) the reasons for the identification of the

4 child as being in need of English language instruc5 tion;

6 ‘‘(2) the child’s level of English proficiency, how

7 such level was assessed, and the status of the child’s

8 academic achievement;

9 ‘‘(3) how the English language instruction pro10 gram will specifically help the child acquire English

11 and meet age-appropriate standards for grade pro12 motion and graduation;

13 ‘‘(4) what the specific exit requirements are for

14 the program;

15 ‘‘(5) the expected rate of transition from the

16 program into a classroom that is not tailored for

17 limited English proficient children; and

18 ‘‘(6) the expected rate of graduation from high

19 school for the program if funds under this part are

20 used for children in secondary schools.

21 ‘‘(b) CONSENT.—

22 ‘‘(1) IN GENERAL.—A parent or the parents of

23 a limited English proficient child who is identified

24 for participation in an English language instruction
354

•HR 1 IH

1 program for limited English proficient children as2 sisted under this subpart shall—

3 ‘‘(A) sign a form consenting to the stu4 dent’s placement in such a program prior to

5 such time as the student is enrolled in the pro6 gram; and

7 ‘‘(B) select among methods of instruction,

8 if more than 1 method is offered in the pro9 gram.

10 ‘‘(2) REMOVAL FROM PROGRAM UPON PAREN11 TAL REQUEST.—A parent or the parents of a limited

12 English proficient child who is participating in an

13 English language instruction program for limited

14 English proficient children assisted under this sub15 part shall have the right to have their child imme16 diately removed from the program upon their re17 quest.

18 ‘‘(c) RECEIPT OF INFORMATION.—A parent or the

19 parents of a limited English proficient child who is identi20 fied for participation in an English language instruction

21 program for limited English proficient children assisted

22 under this subpart shall receive, in a manner and form

23 understandable to the parent or parents, the information

24 required by this subsection. At a minimum, the parent or

25 parents shall receive—
355

•HR 1 IH

1 ‘‘(1) timely information about English language

2 instruction programs for limited English proficient

3 children assisted under this subpart;

4 ‘‘(2) if a parent of a participating child so de5 sires, notice of opportunities for regular meetings for

6 the purpose of formulating and responding to rec7 ommendations from such parents; and

8 ‘‘(3) procedural information for removing a

9 child from a program for limited English proficient

10 children.

11 ‘‘(d) BASIS FOR ADMISSION OR EXCLUSION.—Stu12 dents shall not be admitted to, or excluded from, any fed13 erally-assisted education program on the basis of a sur14 name or language-minority status.

15 ‘‘SEC. 3104. TESTING OF LIMITED ENGLISH PROFICIENT

16 CHILDREN.

17 ‘‘(a) IN GENERAL.—Assessments of limited English

18 proficient children participating in programs funded under

19 this subpart, to the extent practicable, shall be in the lan20 guage and form most likely to yield accurate and reliable

21 information on what such students know and can do in

22 content areas.

23 ‘‘(b) SPECIAL RULE.—Notwithstanding subsection

24 (a), in the case of an assessment of reading or language

25 arts of any student who has attended school in the United
356

•HR 1 IH

1 States (excluding Puerto Rico) for 3 or more consecutive

2 school years, the assessment shall be in the form of a test

3 written in English, except that, if the eligible entity deter4 mines, on a case-by-case individual basis, that assessments

5 in another language and form would likely yield more ac6 curate and reliable information on what such students

7 know and can do, the eligible entity may assess such stu8 dents in the appropriate language other than English for

9 1 additional year.

10 ‘‘SEC. 3105. AUTHORIZATIONS OF APPROPRIATIONS.

11 ‘‘For the purpose of carrying out this subpart, there

12 are authorized to be appropriated $460,000,000 for fiscal

13 year 2002 and such sums as may be necessary for each

14 of the 4 succeeding fiscal years.

15 ‘‘SEC. 3106. FORMULA GRANTS TO STATES.

16 ‘‘(a) IN GENERAL.—In the case of each State that

17 in accordance with section 3108 submits to the Secretary

18 an application for a fiscal year, the Secretary shall make

19 a grant for the year to the State for the purposes specified

20 in subsection (b). The grant shall consist of the allotment

21 determined for the State under subsection (c).

22 ‘‘(b) PURPOSES OF GRANTS.—

23 ‘‘(1) REQUIRED EXPENDITURES.—The Sec24 retary may make a grant under subsection (a) only

25 if the State involved agrees that the State will ex-
357

•HR 1 IH

1 pend at least 95 percent of its allotment under sub2 section (c) for the purpose of making subgrants to

3 eligible entities to provide assistance to limited

4 English proficient children in accordance with sec5 tion 3109.

6 ‘‘(2) AUTHORIZED EXPENDITURES.—Subject to

7 paragraph (3), a State that receives a grant under

8 subsection (a) may expend not more than 5 percent

9 of its allotment under subsection (c) for 1 or more

10 of the following purposes:

11 ‘‘(A) Professional development and activi12 ties that assist personnel in meeting State and

13 local certification requirements for teaching lim14 ited English proficient children.

15 ‘‘(B) Providing scholarships and fellow16 ships to students who agree to teach limited

17 English proficient children once they graduate.

18 ‘‘(C) Planning, administration, and inter19 agency coordination related to the subgrants re20 ferred to in paragraph (1).

21 ‘‘(D) Providing technical assistance and

22 other forms of assistance to local educational

23 agencies that—

24 ‘‘(i) educate limited English proficient

25 children; and
358

•HR 1 IH

1 ‘‘(ii) are not receiving a subgrant

2 from a State under this subpart.

3 ‘‘(E) Providing bonuses to subgrantees

4 whose performance has been exceptional in

5 terms of the speed with which children enrolled

6 in the subgrantee’s programs and activities at7 tain English language proficiency and meet

8 challenging State content standards and chal9 lenging State student achievement standards.

10 ‘‘(3) LIMITATION ON ADMINISTRATIVE COSTS.—

11 In carrying out paragraph (2), a State that receives

12 a grant under subsection (a) may expend not more

13 than 2 percent of its allotment under subsection (c)

14 for the purposes described in paragraph (2)(C).

15 ‘‘(c) DETERMINATION OF ALLOTMENT AMOUNTS.—

16 ‘‘(1) RESERVATIONS.—From the amount appro17 priated under section 3105 to carry out this subpart

18 for each fiscal year, the Secretary shall reserve—

19 ‘‘(A) .5 percent of such amount for pay20 ments to entities that are considered to be local

21 educational agencies under section 3107(a) for

22 activities approved by the Secretary;

23 ‘‘(B) .5 percent of such amount for pay24 ments to outlying areas, to be allotted in ac25 cordance with their respective needs for assist-
359

•HR 1 IH

1 ance under this subpart, as determined by the

2 Secretary, for activities, approved by the Sec3 retary, consistent with this subpart; and

4 ‘‘(C) .5 percent of such amount for pay5 ments to the Commonwealth of Puerto Rico for

6 activities, approved by the Secretary, consistent

7 with this subpart.

8 ‘‘(2) STATE ALLOTMENTS.—

9 ‘‘(A) IN GENERAL.—From the amount ap10 propriated under section 3105 to carry out this

11 subpart for each fiscal year that remains after

12 making the reservations described in paragraph

13 (1), the Secretary shall allot to each State an

14 amount which bears the same ratio to such

15 amount as the total number of children who are

16 limited English proficient and who reside in the

17 State bears to the total number of such children

18 residing in all States that, in accordance with

19 section 3108, submit to the Secretary an appli20 cation for the year.

21 ‘‘(B) HOLD HARMLESS AMOUNTS.—For

22 fiscal year 2002, and for each of the 4 suc23 ceeding fiscal years, notwithstanding subpara24 graph (A), the total amount allotted to each

25 State under such subparagraph shall be not less
360

•HR 1 IH

1 than 85 percent of the total amount the State

2 and entities within the State received for the

3 previous fiscal year under—

4 ‘‘(i) parts A and B of title VII (as

5 such parts were in effect on the day before

6 the date of the enactment of the No Child

7 Left Behind Act of 2001); or

8 ‘‘(ii) this subpart.

9 ‘‘(C) REALLOCATION.—

10 ‘‘(i) IN GENERAL.—If any State does

11 not submit to the Secretary an application

12 for a fiscal year, or submits an application

13 (or any modification to an application)

14 that the Secretary, after reasonable notice

15 and opportunity for a hearing, determines

16 does not satisfy the requirements of this

17 subpart, the Secretary—

18 ‘‘(I) shall endeavor to make that

19 State’s allotment available on a com20 petitive basis to specially qualified

21 agencies within the State that satisfy

22 the requirements applicable to eligible

23 entities under section 3109 and any

24 additional requirements that may be

25 imposed by the Secretary; and
361

•HR 1 IH

1 ‘‘(II) shall reallot any portion of

2 such allotment remaining after the

3 application of subclause (I) to the re4 maining States in accordance with

5 subparagraph (A).

6 ‘‘(ii) REQUIREMENTS ON SPECIALLY

7 QUALIFIED AGENCIES.—If a specially

8 qualified agency receives funds under this

9 subparagraph, the requirements of sub10 section (b) shall not apply to the agency.

11 In lieu of those requirements, the specially

12 qualified agency shall expend the funds for

13 the authorized activities described in sec14 tion 3109(b) and otherwise shall satisfy

15 the requirements of section 3109.

16 ‘‘(D) DEFINITION.—In this paragraph, the

17 term ‘State’ means each of the 50 States and

18 the District of Columbia.

19 ‘‘(3) USE OF STATE DATA FOR DETERMINA20 TIONS.—For purposes of paragraph (2), any deter21 mination of the number of children who are limited

22 English proficient and reside in a State shall be

23 made using the most recent limited English pro24 ficient school enrollment data available to, and re25 ported to the Secretary by, the State. The State
362

•HR 1 IH

1 shall provide assurances to the Secretary that such

2 data are valid and reliable. In a case described in

3 paragraph (2)(C), specially qualified agencies apply4 ing for a State’s allotment shall satisfy the require5 ments of this paragraph to the maximum extent

6 practicable.

7 ‘‘(4) NO REDUCTION PERMITTED BASED ON

8 TEACHING METHOD.—The Secretary may not reduce

9 a State’s allotment based on the State’s selection of

10 the immersion method of instruction as its preferred

11 method of teaching the English language to children

12 who are limited English proficient.

13 ‘‘SEC. 3107. NATIVE AMERICAN AND ALASKA NATIVE CHIL14 DREN IN SCHOOL.

15 ‘‘(a) ELIGIBLE ENTITIES.—For the purpose of car16 rying out programs under this subpart for individuals

17 served by elementary, secondary, and postsecondary

18 schools operated predominately for Native American or

19 Alaska Native children, the following shall be considered

20 to be a local educational agency:

21 ‘‘(1) An Indian tribe.

22 ‘‘(2) A tribally sanctioned educational author23 ity.
363

•HR 1 IH

1 ‘‘(3) A Native Hawaiian or Native American

2 Pacific Islander native language educational organi3 zation.

4 ‘‘(4) An elementary or secondary school that is

5 operated or funded by the Bureau of Indian Affairs,

6 or a consortium of such schools.

7 ‘‘(5) An elementary or secondary school oper8 ated under a contract with or grant from the Bu9 reau of Indian Affairs, in consortium with another

10 such school or a tribal or community organization.

11 ‘‘(6) An elementary or secondary school oper12 ated by the Bureau of Indian Affairs and an institu13 tion of higher education, in consortium with an ele14 mentary or secondary school operated under a con15 tract with or grant from the Bureau of Indian Af16 fairs or a tribal or community organization.

17 ‘‘(b) SUBMISSION OF APPLICATIONS FOR ASSIST18 ANCE.—Notwithstanding any other provision of this sub19 part, an entity that is considered to be a local educational

20 agency under subsection (a), and that desires to submit

21 an application for Federal financial assistance under this

22 subpart, shall submit the application to the Secretary. In

23 all other respects, such an entity shall be eligible for a

24 grant under this subpart on the same basis as any other

25 local educational agency.
364

•HR 1 IH

1 ‘‘SEC. 3108. APPLICATIONS BY STATES.

2 ‘‘For purposes of section 3106, an application sub3 mitted by a State for a grant under such section for a

4 fiscal year is in accordance with this section if the

5 application—

6 ‘‘(1) describes the process that the State will

7 use in making subgrants to eligible entities under

8 this subpart;

9 ‘‘(2) contains an agreement that the State—

10 ‘‘(A) will provide 1 year of funding for an

11 application for a subgrant under section 3109

12 from an eligible entity that describes a program

13 that, on the day preceding the date of the en14 actment of the No Child Left Behind Act of

15 2001, was receiving funding under a grant—

16 ‘‘(i) awarded by the Secretary under

17 subpart 1 or 3 of part A of the Bilingual

18 Education Act (as such Act was in effect

19 on such day); and

20 ‘‘(ii) that was not under its terms due

21 to expire before a period of 1 year or more

22 had elapsed; and

23 ‘‘(B) after such 1-year extension, will give

24 special consideration to such applications if the

25 period of their award would not yet otherwise
365

•HR 1 IH

1 have expired if the No Child Left Behind Act

2 of 2001 had not been enacted;

3 ‘‘(3) contains an agreement that, in carrying

4 out this subpart, the State will address the needs of

5 school systems of all sizes and in all geographic

6 areas, including rural and urban schools;

7 ‘‘(4) contains an agreement that subgrants to

8 eligible entities under section 3109 shall be of suffi9 cient size and scope to allow such entities to carry

10 out high quality education programs for limited

11 English proficient children;

12 ‘‘(5) contains an agreement that the State will

13 coordinate its programs and activities under this

14 subpart with its other programs and activities under

15 this Act and other Acts, as appropriate;

16 ‘‘(6) contains an agreement that the State—

17 ‘‘(A) shall monitor the progress of students

18 enrolled in programs and activities receiving as19 sistance under this subpart in attaining English

20 proficiency and in attaining challenging State

21 content standards and challenging State

22 achievement standards;

23 ‘‘(B) shall establish standards and bench24 marks for English language development that
366

•HR 1 IH

1 are aligned with State content and achievement

2 standards;

3 ‘‘(C) subject to subparagraph (D), after

4 the 1-year period described in such subpara5 graph, shall withdraw funding from such pro6 grams and activities in cases where 75 percent

7 of students are not attaining English pro8 ficiency and attaining challenging State content

9 standards and challenging State achievement

10 standards after 3 academic years of enrollment

11 based on the evaluation measures in section

12 3121(d); and

13 ‘‘(D) shall provide technical assistance to

14 eligible entities that fail to satisfy the criterion

15 in subparagraph (C) for 1 year prior to the

16 withdrawal of funding under such subpara17 graph;

18 ‘‘(7) contains an assurance that the State will

19 develop high-quality annual assessments to measure

20 English language proficiency and require eligible en21 tities receiving a subgrant under section 3109 annu22 ally to assess the English proficiency of all children

23 with limited English proficiency participating in a

24 program funded under this subpart;
367

•HR 1 IH

1 ‘‘(8) contains an agreement that the State will

2 develop annual performance objectives for raising

3 the level of English proficiency of each limited

4 English proficient student, and that these objectives

5 shall include percentage increases in performance on

6 annual assessments in reading, writing, speaking,

7 and listening comprehension as compared to the pre8 ceding school year; and

9 ‘‘(9) contains an agreement that the State will

10 require eligible entities receiving a grant under this

11 subpart to use the grant in ways that will build such

12 recipient’s capacity to continue to offer high-quality

13 English language instruction and programs which

14 assist limited English proficient children in attaining

15 challenging State content standards and challenging

16 State achievement standards once assistance under

17 this subpart is no longer available.

18 ‘‘SEC. 3109. SUBGRANTS TO ELIGIBLE ENTITIES.

19 ‘‘(a) PURPOSES OF SUBGRANTS.—A State may make

20 a subgrant to an eligible entity from funds received by

21 the State under this subpart only if the entity agrees to

22 expend the funds to improve the education of limited

23 English proficient children and their families, through the

24 acquisition of English and the attainment of challenging

25 State academic content standards and challenging State
368

•HR 1 IH

1 achievement standards, using approaches and methodolo2 gies based on scientifically based reading research and

3 sound research and theory on teaching limited English

4 proficient children, by—

5 ‘‘(1) developing and implementing new English

6 language and academic content instructional pro7 grams for children who are limited English pro8 ficient, including programs of early childhood edu9 cation and kindergarten through 12th grade edu10 cation;

11 ‘‘(2) carrying out highly focused, innovative, lo12 cally designed projects to expand or enhance existing

13 English language and academic content instruction

14 programs for limited English proficient children;

15 ‘‘(3) implementing, within an individual school,

16 schoolwide programs for restructuring, reforming,

17 and upgrading all relevant programs and operations

18 relating to English language and academic content

19 instruction for limited English proficient students;

20 or

21 ‘‘(4) implementing, within the entire jurisdic22 tion of a local educational agency, agencywide pro23 grams for restructuring, reforming, and upgrading

24 all relevant programs and operations relating to
369

•HR 1 IH

1 English language and academic content instruction

2 for limited English proficient students.

3 ‘‘(b) AUTHORIZED SUBGRANTEE ACTIVITIES.—

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

5 State may make a subgrant to an eligible entity

6 from funds received by the State under this subpart

7 in order that the eligible entity may achieve 1 of the

8 purposes described in subsection (a) by undertaking

9 1 or more of the following activities to improve the

10 understanding, and use, of the English language,

11 based on a child’s learning skills:

12 ‘‘(A) Upgrading program objectives and ef13 fective instructional strategies.

14 ‘‘(B) Improving the instruction program

15 for limited English proficient students by iden16 tifying, acquiring, and upgrading curricula, in17 structional materials, educational software, and

18 assessment procedures.

19 ‘‘(C) Providing—

20 ‘‘(i) tutorials and academic or voca21 tional education for limited English pro22 ficient children; and

23 ‘‘(ii) intensified instruction.

24 ‘‘(D) Developing and implementing elemen25 tary or secondary school English language in-
370

•HR 1 IH

1 structional programs that are coordinated with

2 other relevant programs and services.

3 ‘‘(E) Providing professional development to

4 classroom teachers, principals, administrators,

5 and other school or community-based organiza6 tional personnel to improve the instruction and

7 assessment of children who are limited English

8 proficient children.

9 ‘‘(F) Improving the English language pro10 ficiency and academic performance of limited

11 English proficient children.

12 ‘‘(G) Improving the instruction of limited

13 English proficient children by providing for the

14 acquisition or development of education tech15 nology or instructional materials, access to and

16 participation in electronic networks for mate17 rials, training and communications, and incor18 poration of such resources in curricula and pro19 grams, such as those funded under this sub20 part.

21 ‘‘(H) Developing tutoring programs for

22 limited English proficient children that provide

23 early intervention and intensive instruction in

24 order to improve academic achievement, to in25 crease graduation rates among limited English
371

•HR 1 IH

1 proficient children, and to prepare students for

2 transition as soon as possible into classrooms

3 where instruction is not tailored for limited

4 English proficient children.

5 ‘‘(I) Providing family literacy services and

6 parent outreach and training activities to lim7 ited English proficient children and their fami8 lies to improve their English language skills and

9 assist parents in helping their children to im10 prove their academic performance.

11 ‘‘(J) Other activities that are consistent

12 with the purposes of this subpart.

13 ‘‘(2) MOVING CHILDREN OUT OF SPECIALIZED

14 CLASSROOMS.—Any program or activity undertaken

15 by an eligible entity using a subgrant from a State

16 under this subpart shall be designed to assist stu17 dents enrolled in the program or activity to attain

18 English proficiency and meet challenging State con19 tent standards and challenging State achievement

20 standards as soon as possible, but not later than

21 after 3 consecutive years of school attendance, and

22 to move into a classroom where instruction is not

23 tailored for limited English proficient children.

24 ‘‘(c) SELECTION OF METHOD OF INSTRUCTION.—To

25 receive a subgrant from a State under this subpart, an
372

•HR 1 IH

1 eligible entity shall select 1 or more methods or forms of

2 instruction to be used in the programs and activities un3 dertaken by the entity to assist limited English proficient

4 children to attain English proficiency and meet chal5 lenging State content standards and challenging State stu6 dent achievement standards. Such selection shall be con7 sistent with sections 3134 and 3135.

8 ‘‘(d) DURATION OF SUBGRANTS.—The duration of a

9 subgrant made by a State under this section shall be de10 termined by the State in its discretion.

11 ‘‘(e) APPLICATIONS BY ELIGIBLE ENTITIES.—

12 ‘‘(1) IN GENERAL.—To receive a subgrant from

13 a State under this subpart, an eligible entity shall

14 submit an application to the State at such time, in

15 such form, and containing such information as the

16 State may require.

17 ‘‘(2) REQUIRED DOCUMENTATION.—The appli18 cation shall—

19 ‘‘(A) describe the programs and activities

20 proposed to be developed, implemented, and ad21 ministered under the subgrant;

22 ‘‘(B) describe how the eligible entity will

23 use the subgrant funds to satisfy the require24 ment in subsection (b)(2);
373

•HR 1 IH

1 ‘‘(C) describe how the eligible entity will

2 hold elementary schools and secondary schools

3 accountable for—

4 ‘‘(i) meeting such achievement goals;

5 and

6 ‘‘(ii) making adequate yearly progress

7 with limited English proficient students in

8 the core academic subjects as described in

9 section 1111(b)(2); and

10 ‘‘(D) describe how the eligible entity will

11 use the disaggregated results of the student as12 sessments required under section 1111(b)(4),

13 and other measures or indicators available to

14 the entity, to review annually the progress of

15 each school served by the agency under this

16 part and under title I to determine whether the

17 schools are making the adequate yearly

18 progress necessary to ensure that limited

19 English proficient students attending the

20 schools will meet the State’s proficient level of

21 performance on the State assessment described

22 in section 1111(b)(4) within 10 years after the

23 date of enactment of the No Child Left Behind

24 Act of 2001.
374

•HR 1 IH

1 ‘‘(3) REQUIREMENTS FOR APPROVAL.—The ap2 plication shall contain assurances that—

3 ‘‘(A) the eligible entity will use qualified

4 personnel who have appropriate training and

5 professional credentials in teaching English to

6 children who are limited English proficient, and

7 who are proficient in English, including written

8 and oral communication skills;

9 ‘‘(B) if the eligible entity includes 1 or

10 more local educational agencies, each such

11 agency is complying with section 3103(b) prior

12 to, and throughout, each school year;

13 ‘‘(C) the eligible entity annually will assess

14 the English proficiency of all children with lim15 ited English proficiency participating in pro16 grams funded under this subpart;

17 ‘‘(D) the eligible entity has based its pro18 posal on scientifically based reading research

19 and sound research and theory on teaching lim20 ited English proficient children;

21 ‘‘(E) the eligible entity has described in the

22 application how students enrolled in the pro23 grams and activities proposed in the application

24 will be fluent in English after 3 academic years

25 of enrollment;
375

•HR 1 IH

1 ‘‘(F) the eligible entity will ensure that

2 programs will enable children to speak, read,

3 write, and comprehend the English language

4 and meet challenging State content and chal5 lenging State achievement standards; and

6 ‘‘(G) the eligible entity is not in violation

7 of any State law, including State constitutional

8 law, regarding the education of limited English

9 proficient children, consistent with sections

10 3134 and 3135.

11 ‘‘(4) QUALITY.—In determining which applica12 tions to select for approval, a State shall consider

13 the quality of each application and ensure that it is

14 of sufficient size and scope to meet the purposes of

15 this subpart.

16 ‘‘SEC. 3110. DISTRIBUTION OF GRANTS TO ELIGIBLE ENTI17 TIES.

18 ‘‘(a) IN GENERAL.—Subject to subsection (b), a

19 State receiving a grant under this subpart shall distribute

20 subgrants to eligible entities on a competitive basis.

21 ‘‘(b) PRIORITY.—In distributing subgrants to eligible

22 entities, a State receiving a grant under this subpart shall

23 give priority to an eligible entity that is, or includes as

24 a participant, a local educational agency that—
376

•HR 1 IH

1 ‘‘(1) enrolls a large percentage or a large num2 ber of children who are limited English proficient, as

3 compared to the enrollments of other local edu4 cational agencies that are seeking a subgrant; and

5 ‘‘(2) is in need of assistance in order to address

6 a need brought about through a significant increase,

7 as compared to the previous 2 years, in the percent8 age or number of children who are limited English

9 proficient in a school or in the agency, including

10 schools and agencies in areas with low concentra11 tions of such children.

12 ‘‘Subpart 2—Administration

13 ‘‘SEC. 3121. EVALUATIONS.

14 ‘‘(a) IN GENERAL.—Each eligible entity that receives

15 a subgrant from a State under subpart 1 shall provide

16 the State, at the conclusion of every second fiscal year

17 during which the subgrant is received, with an evaluation,

18 in a form prescribed by the State, of—

19 ‘‘(1) the programs and activities conducted by

20 the entity with funds received under subpart 1 dur21 ing the 2 immediately preceding fiscal years;

22 ‘‘(2) the progress made by students in learning

23 the English language and meeting challenging State

24 content standards and challenging State student

25 achievement standards;
377

•HR 1 IH

1 ‘‘(3) the number and percentage of students in

2 the programs and activities attaining English lan3 guage proficiency by the end of each school year, as

4 determined by a valid and reliable assessment of

5 English proficiency; and

6 ‘‘(4) the progress made by students in meeting

7 challenging State content and challenging State

8 achievement standards for each of the 2 years after

9 such students are no longer receiving services under

10 this part.

11 ‘‘(b) USE OF EVALUATION.—An evaluation provided

12 by an eligible entity under subsection (a) shall be used

13 by the entity and the State—

14 ‘‘(1) for improvement of programs and activi15 ties;

16 ‘‘(2) to determine the effectiveness of programs

17 and activities in assisting children who are limited

18 English proficient to attain English proficiency (as

19 measured consistent with subsection (d)) and meet

20 challenging State content standards and challenging

21 State student achievement standards; and

22 ‘‘(3) in determining whether or not to continue

23 funding for specific programs or projects.
378

•HR 1 IH

1 ‘‘(c) EVALUATION COMPONENTS.—An evaluation

2 provided by an eligible entity under subsection (a) shall

3 include—

4 ‘‘(1) an evaluation of whether students enrolling

5 in a program or activity conducted by the entity

6 with funds received under subpart 1—

7 ‘‘(A) have attained English proficiency and

8 are meeting challenging State content stand9 ards and challenging State student achievement

10 standards; and

11 ‘‘(B) have achieved a working knowledge of

12 the English language that is sufficient to per13 mit them to perform, in English, in a classroom

14 that is not tailored to limited English proficient

15 children; and

16 ‘‘(2) such other information as the State may

17 require.

18 ‘‘(d) EVALUATION MEASURES.—In prescribing the

19 form of an evaluation provided by an entity under sub20 section (a), a State shall approve evaluation measures, as

21 applicable, for use under subsection (c) that are designed

22 to assess—

23 ‘‘(1) oral language proficiency in kindergarten;

24 ‘‘(2) oral language proficiency, including speak25 ing and listening skills, in first grade;
379

•HR 1 IH

1 ‘‘(3) both oral language proficiency, including

2 speaking and listening skills, and reading and writ3 ing proficiency in grades 2 and higher; and

4 ‘‘(4) attainment of challenging State achieve5 ment standards.

6 ‘‘SEC. 3122. REPORTING REQUIREMENTS.

7 ‘‘(a) STATES.—Based upon the evaluations provided

8 to a State under section 3121, each State that receives

9 a grant under subpart 1 shall prepare and submit every

10 second year to the Secretary a report on programs and

11 activities undertaken by the State under such subpart and

12 the effectiveness of such programs and activities in im13 proving the education provided to children who are limited

14 English proficient.

15 ‘‘(b) SECRETARY.—Every second year, the Secretary

16 shall prepare and submit to the Committee on Education

17 and the Workforce of the House of Representatives and

18 the Committee on Health, Education, Labor, and Pen19 sions of the Senate a report on—

20 ‘‘(1) programs and activities undertaken by

21 States under subpart 1 and the effectiveness of such

22 programs and activities in improving the education

23 provided to children who are limited English pro24 ficient;
380

•HR 1 IH

1 ‘‘(2) the types of instructional programs used

2 under subpart 1 to teach limited English proficient

3 children;

4 ‘‘(3) the number of programs or projects, if

5 any, that were terminated because they were not

6 able to reach program goals; and

7 ‘‘(4) other information gathered from the re8 ports submitted under subsection (a).

9 ‘‘SEC. 3123. COORDINATION WITH RELATED PROGRAMS.

10 ‘‘In order to maximize Federal efforts aimed at serv11 ing the educational needs of children and youth of limited

12 English proficiency, the Secretary shall coordinate and en13 sure close cooperation with other programs serving lan14 guage-minority and limited English proficient students

15 that are administered by the Department and other agen16 cies.

17 ‘‘Subpart 3—General Provisions

18 ‘‘SEC. 3131. DEFINITIONS.

19 ‘‘For purposes of this part:

20 ‘‘(1) CHILDREN AND YOUTH.—The term ‘chil21 dren and youth’ means individuals aged 3 through

22 21.

23 ‘‘(2) COMMUNITY-BASED ORGANIZATION.—The

24 term ‘community-based organization’ means a pri25 vate nonprofit organization of demonstrated effec-
381

•HR 1 IH

1 tiveness or Indian tribe or tribally sanctioned edu2 cational authority which is representative of a com3 munity or significant segments of a community and

4 which provides educational or related services to in5 dividuals in the community. Such term includes a

6 Native Hawaiian or Native American Pacific Is7 lander native language educational organization.

8 ‘‘(3) ELIGIBLE ENTITY.—The term ‘eligible en9 tity’ means—

10 ‘‘(A) 1 or more local educational agencies;

11 or

12 ‘‘(B) 1 or more local educational agencies

13 in collaboration with an institution of higher

14 education, community-based organization, or

15 State educational agency.

16 ‘‘(4) NATIVE HAWAIIAN OR NATIVE AMERICAN

17 PACIFIC ISLANDER NATIVE LANGUAGE EDUCATIONAL

18 ORGANIZATION.—The term ‘Native Hawaiian or Na19 tive American Pacific Islander native language edu20 cational organization’ means a nonprofit organiza21 tion with a majority of its governing board and em22 ployees consisting of fluent speakers of the tradi23 tional Native American languages used in their edu24 cational programs and with not less than 5 years
382

•HR 1 IH

1 successful experience in providing educational serv2 ices in traditional Native American languages.

3 ‘‘(5) NATIVE LANGUAGE.—The term ‘native

4 language’, when used with reference to an individual

5 who is limited English proficient, means the lan6 guage normally used by such individual.

7 ‘‘(6) SPECIALLY QUALIFIED AGENCY.—The

8 term ‘specially qualified agency’, when used with re9 spect to a fiscal year, means an eligible entity lo10 cated in a State that, for that year—

11 ‘‘(A) does not submit to the Secretary an

12 application under sections 3106(a) and 3108;

13 or

14 ‘‘(B) submits an application (or any modi15 fication to an application) that the Secretary,

16 after reasonable notice and opportunity for a

17 hearing, determines does not satisfy the re18 quirements of subpart 1.

19 ‘‘(7) TRIBALLY SANCTIONED EDUCATIONAL AU20 THORITY.—The term ‘tribally sanctioned educational

21 authority’ means—

22 ‘‘(A) any department or division of edu23 cation operating within the administrative

24 structure of the duly constituted governing body

25 of an Indian tribe; and
383

•HR 1 IH

1 ‘‘(B) any nonprofit institution or organiza2 tion that is—

3 ‘‘(i) chartered by the governing body

4 of an Indian tribe to operate a school de5 scribed in section 3107(a) or otherwise to

6 oversee the delivery of educational services

7 to members of the tribe; and

8 ‘‘(ii) approved by the Secretary for

9 the purpose of carrying out programs

10 under subpart 1 for individuals served by

11 a school described in section 3107(a).

12 ‘‘SEC. 3132. RULES OF CONSTRUCTION.

13 ‘‘Nothing in subpart 1 shall be construed—

14 ‘‘(1) to prohibit a local educational agency from

15 serving limited English proficient children and youth

16 simultaneously with students with similar edu17 cational needs, in the same educational settings

18 where appropriate;

19 ‘‘(2) to require a State or a local educational

20 agency to establish, continue, or eliminate any par21 ticular type of instructional program for limited

22 English proficient children; or

23 ‘‘(3) to limit the preservation or use of Native

24 American languages as defined in the Native Amer25 ican Languages Act of 1990.
384

•HR 1 IH

1 ‘‘SEC. 3133. LIMITATION ON FEDERAL REGULATIONS.

2 ‘‘The Secretary shall issue regulations under this part

3 only to the extent that such regulations are necessary to

4 ensure compliance with the specific requirements of this

5 part.

6 ‘‘SEC. 3134. LEGAL AUTHORITY UNDER STATE LAW.

7 ‘‘Nothing in this part shall be construed to negate

8 or supersede the legal authority, under State law, of any

9 State agency, State entity, or State public official over

10 programs that are under the jurisdiction of the State

11 agency, entity, or official.

12 ‘‘SEC. 3135. CIVIL RIGHTS.

13 ‘‘Nothing in this part shall be construed in a manner

14 inconsistent with any Federal law guaranteeing a civil

15 right.

16 ‘‘SEC. 3136. PROGRAMS FOR NATIVE AMERICANS AND

17 PUERTO RICO.

18 ‘‘Programs authorized under subpart 1 that serve

19 Native American children, Native Pacific Island children,

20 and children in the Commonwealth of Puerto Rico, not21 withstanding any other provision of subpart 1, may in22 clude programs of instruction, teacher training, cur23 riculum development, evaluation, and testing designed for

24 Native American children learning and studying Native

25 American languages and children of limited Spanish pro26 ficiency, except that a primary outcome of programs serv-
385

•HR 1 IH

1 ing such children shall be increased English proficiency

2 among such children.’’.

3 SEC. 302. CONFORMING AMENDMENT TO DEPARTMENT OF

4 EDUCATION ORGANIZATION ACT.

5 (a) IN GENERAL.—The Department of Education

6 Organization Act is amended by striking ‘‘Office of Bilin7 gual Education and Minority Languages Affairs’’ each

8 place such term appears in the text and inserting ‘‘Office

9 of Educational Services for Limited English Proficient

10 Children’’.

11 (b) CLERICAL AMENDMENTS.—

12 (1) SECTION 209.—The section heading for sec13 tion 209 of the Department of Education Organiza14 tion Act is amended to read as follows:

15 ‘‘OFFICE OF EDUCATIONAL SERVICES FOR LIMITED

16 ENGLISH PROFICIENT CHILDREN’’.

17 (2) SECTION 216.—The section heading for sec18 tion 216 of the Department of Education Organiza19 tion Act is amended to read as follows:

20 ‘‘SEC. 216. OFFICE OF EDUCATIONAL SERVICES FOR LIM21 ITED ENGLISH PROFICIENT CHILDREN.’’.

22 (3) TABLE OF CONTENTS.—

23 (A) SECTION 209.—The table of contents

24 of the Department of Education Organization

25 Act is amended by amending the item relating

26 to section 209 to read as follows:
386

•HR 1 IH

‘‘Sec. 209. Office of Educational Services for Limited English Proficient Children.’’.

1 (B) SECTION 216.—The table of contents

2 of the Department of Education Organization

3 Act is amended by amending the item relating

4 to section 216 to read as follows:

‘‘Sec. 216. Office of Educational Services for Limited English Proficient Children.’’.

5 PART B—INDIAN AND ALASKA NATIVE

6 EDUCATION

7 SEC. 311. ELEMENTARY AND SECONDARY EDUCATION ACT

8 OF 1965.

9 (a) IN GENERAL.—Title III (as amended by section

10 301 of this Act) is further amended by adding at the end

11 the following new part:

12 ‘‘PART B—INDIAN AND ALASKA NATIVE

13 EDUCATION

14 ‘‘Subpart 1—Indian Education

15 ‘‘SEC. 3201. FINDINGS.

16 ‘‘Congress finds that—

17 ‘‘(1) the Federal Government has a special re18 sponsibility to ensure that educational programs for

19 all American Indian and Alaska Native children and

20 adults—

21 ‘‘(A) are based on high-quality, inter22 nationally competitive content standards and
387

•HR 1 IH

1 student performance standards and build on In2 dian culture and the Indian community;

3 ‘‘(B) assist local educational agencies, In4 dian tribes, and other entities and individuals in

5 providing Indian students the opportunity to

6 achieve such standards; and

7 ‘‘(C) meet the unique educational and cul8 turally related academic needs of American In9 dian and Alaska Native students;

10 ‘‘(2) since the date of the enactment of the ini11 tial Indian Education Act in 1972, the level of in12 volvement of Indian parents in the planning, devel13 opment, and implementation of educational pro14 grams that affect such parents and their children

15 has increased significantly, and schools should con16 tinue to foster such involvement;

17 ‘‘(3) although the number of Indian teachers,

18 administrators, and university professors has in19 creased since 1972, teacher training programs are

20 not recruiting, training, or retraining a sufficient

21 number of Indian individuals as educators to meet

22 the needs of a growing Indian student population in

23 elementary, secondary, vocational, adult, and higher

24 education;
388

•HR 1 IH

1 ‘‘(4) the dropout rate for Indian students is un2 acceptably high; 9 percent of Indian students who

3 were eighth graders in 1988 had dropped out of

4 school by 1990;

5 ‘‘(5) during the period from 1980 to 1990, the

6 percentage of Indian individuals living at or below

7 the poverty level increased from 24 percent to 31

8 percent, and the readiness of Indian children to

9 learn is hampered by the high incidence of poverty,

10 unemployment, and health problems among Indian

11 children and their families; and

12 ‘‘(6) research related specifically to the edu13 cation of Indian children and adults is very limited,

14 and much of the research is of poor quality or is fo15 cused on limited local or regional issues.

16 ‘‘SEC. 3202. PURPOSE.

17 ‘‘(a) PURPOSE.—It is the purpose of this subpart to

18 support the efforts of local educational agencies, Indian

19 tribes and organizations, postsecondary institutions, and

20 other entities to meet the unique educational and cul21 turally related academic needs of American Indians and

22 Alaska Natives, so that such students can achieve to the

23 same challenging State performance standards expected of

24 all other students.
389

•HR 1 IH

1 ‘‘(b) PROGRAMS.—this subpart carries out the pur2 pose described in subsection (a) by authorizing programs

3 of direct assistance for—

4 ‘‘(1) meeting the unique educational and cul5 turally related academic needs of American Indians

6 and Alaska Natives;

7 ‘‘(2) the education of Indian children and

8 adults;

9 ‘‘(3) the training of Indian persons as educators

10 and counselors, and in other professions serving In11 dian people; and

12 ‘‘(4) research, evaluation, data collection, and

13 technical assistance.

14 ‘‘CHAPTER I—FORMULA GRANTS TO

15 LOCAL EDUCATIONAL AGENCIES

16 ‘‘SEC. 3211. PURPOSE.

17 ‘‘It is the purpose of this chapter to support local

18 educational agencies in their efforts to reform elementary

19 and secondary school programs that serve Indian students

20 in order to ensure that such programs—

21 ‘‘(1) are based on challenging State content

22 standards and State student performance standards

23 that are used for all students; and
390

•HR 1 IH

1 ‘‘(2) are designed to assist Indian students in

2 meeting those standards and assist the Nation in

3 reaching the National Education Goals.

4 ‘‘SEC. 3212. GRANTS TO LOCAL EDUCATIONAL AGENCIES.

5 ‘‘(a) IN GENERAL.—

6 ‘‘(1) ENROLLMENT REQUIREMENTS.—A local

7 educational agency shall be eligible for a grant under

8 this chapter for any fiscal year if the number of In9 dian children eligible under section 3217 and who

10 were enrolled in the schools of the agency, and to

11 whom the agency provided free public education,

12 during the preceding fiscal year—

13 ‘‘(A) was at least 10; or

14 ‘‘(B) constituted not less than 25 percent

15 of the total number of individuals enrolled in

16 the schools of such agency.

17 ‘‘(2) EXCLUSION.—The requirement of para18 graph (1) shall not apply in Alaska, California, or

19 Oklahoma, or with respect to any local educational

20 agency located on, or in proximity to, a reservation.

21 ‘‘(b) INDIAN TRIBES.—

22 ‘‘(1) IN GENERAL.—If a local educational agen23 cy that is eligible for a grant under this chapter does

24 not establish a parent committee under section

25 3214(c)(4) for such grant, an Indian tribe that rep-
391

•HR 1 IH

1 resents not less than one-half of the eligible Indian

2 children who are served by such local educational

3 agency may apply for such grant.

4 ‘‘(2) SPECIAL RULE.—The Secretary shall treat

5 each Indian tribe applying for a grant pursuant to

6 paragraph (1) as if such Indian tribe were a local

7 educational agency for purposes of this chapter, ex8 cept that any such tribe is not subject to section

9 3214(c)(4), section 3218(c), or section 3219.

10 ‘‘SEC. 3213. AMOUNT OF GRANTS.

11 ‘‘(a) AMOUNT OF GRANT AWARDS.—

12 ‘‘(1) IN GENERAL.—Except as provided in sub13 section (b) and paragraph (2), the Secretary shall

14 allocate to each local educational agency which has

15 an approved application under this chapter an

16 amount equal to the product of—

17 ‘‘(A) the number of Indian children who

18 are eligible under section 3217 and served by

19 such agency; and

20 ‘‘(B) the greater of—

21 ‘‘(i) the average per pupil expenditure

22 of the State in which such agency is lo23 cated; or

24 ‘‘(ii) 80 percent of the average per

25 pupil expenditure in the United States.
392

•HR 1 IH

1 ‘‘(2) REDUCTION.—The Secretary shall reduce

2 the amount of each allocation determined under

3 paragraph (1) in accordance with subsection (e).

4 ‘‘(b) MINIMUM GRANT.—

5 ‘‘(1) IN GENERAL.—Notwithstanding subsection

6 (e), a local educational agency or an Indian tribe (as

7 authorized under section 3212(b)) that is eligible for

8 a grant under section 3212, and a school that is op9 erated or supported by the Bureau of Indian Affairs

10 that is eligible for a grant under subsection (d), that

11 submits an application that is approved by the Sec12 retary, shall, subject to appropriations, receive a

13 grant under this chapter in an amount that is not

14 less than $3,000.

15 ‘‘(2) CONSORTIA.—Local educational agencies

16 may form a consortium for the purpose of obtaining

17 grants under this chapter.

18 ‘‘(3) INCREASE.—The Secretary may increase

19 the minimum grant under paragraph (1) to not

20 more than $4,000 for all grantees if the Secretary

21 determines such increase is necessary to ensure the

22 quality of the programs provided.

23 ‘‘(c) DEFINITION.—For the purpose of this section,

24 the term ‘average per pupil expenditure of a State’ means

25 an amount equal to—
393

•HR 1 IH

1 ‘‘(1) the sum of the aggregate current expendi2 tures of all the local educational agencies in the

3 State, plus any direct current expenditures by the

4 State for the operation of such agencies, without re5 gard to the sources of funds from which such local

6 or State expenditures were made, during the second

7 fiscal year preceding the fiscal year for which the

8 computation is made; divided by

9 ‘‘(2) the aggregate number of children who

10 were included in average daily attendance for whom

11 such agencies provided free public education during

12 such preceding fiscal year.

13 ‘‘(d) SCHOOLS OPERATED OR SUPPORTED BY THE

14 BUREAU OF INDIAN AFFAIRS.—(1) Subject to subsection

15 (e), in addition to the grants awarded under subsection

16 (a), the Secretary shall allocate to the Secretary of the

17 Interior an amount equal to the product of—

18 ‘‘(A) the total number of Indian children en19 rolled in schools that are operated by—

20 ‘‘(i) the Bureau of Indian Affairs; or

21 ‘‘(ii) an Indian tribe, or an organization

22 controlled or sanctioned by an Indian tribal

23 government, for the children of that tribe under

24 a contract with, or grant from, the Department

25 of the Interior under the Indian Self-Deter-
394

•HR 1 IH

1 mination Act or the Tribally Controlled Schools

2 Act of 1988; and

3 ‘‘(B) the greater of—

4 ‘‘(i) the average per pupil expenditure of

5 the State in which the school is located; or

6 ‘‘(ii) 80 percent of the average per pupil

7 expenditure in the United States.

8 ‘‘(2) Any school described in paragraph (1)(A) that

9 wishes to receive an allocation under this chapter shall

10 submit an application in accordance with section 3214,

11 and shall otherwise be treated as a local educational agen12 cy for the purpose of this chapter, except that such school

13 shall not be subject to section 3214(c)(4), section 3218(c),

14 or section 3219.

15 ‘‘(e) RATABLE REDUCTIONS.—If the sums appro16 priated for any fiscal year under section 3252(a) are insuf17 ficient to pay in full the amounts determined for local edu18 cational agencies under subsection (a)(1) and for the Sec19 retary of the Interior under subsection (d), each of those

20 amounts shall be ratably reduced.

21 ‘‘SEC. 3214. APPLICATIONS.

22 ‘‘(a) APPLICATION REQUIRED.—Each local edu23 cational agency that desires to receive a grant under this

24 chapter shall submit an application to the Secretary at
395

•HR 1 IH

1 such time, in such manner, and containing such informa2 tion as the Secretary may reasonably require.

3 ‘‘(b) COMPREHENSIVE PROGRAM REQUIRED.—Each

4 application submitted under subsection (a) shall include

5 a comprehensive program for meeting the needs of Indian

6 children served by the local educational agency, including

7 the language and cultural needs of the children, that—

8 ‘‘(1) provides programs and activities to meet

9 the culturally related academic needs of American

10 Indian and Alaska Native students;

11 ‘‘(2)(A) is consistent with State and local plans

12 under other provisions of this Act; and

13 ‘‘(B) includes academic content and student

14 performance goals for such children, and bench15 marks for attaining such goals, that are based on

16 the challenging State standards under title I;

17 ‘‘(3) explains how Federal, State, and local pro18 grams, especially under title I, will meet the needs

19 of such students;

20 ‘‘(4) demonstrates how funds made available

21 under this chapter will be used for activities de22 scribed in section 3215;

23 ‘‘(5) describes the professional development op24 portunities that will be provided, as needed, to en25 sure that—
396

•HR 1 IH

1 ‘‘(A) teachers and other school profes2 sionals who are new to the Indian community

3 are prepared to work with Indian children; and

4 ‘‘(B) all teachers who will be involved in

5 programs assisted under this chapter have been

6 properly trained to carry out such programs;

7 and

8 ‘‘(6) describes how the local educational

9 agency—

10 ‘‘(A) will periodically assess the progress of

11 all Indian children enrolled in the schools of the

12 local educational agency, including Indian chil13 dren who do not participate in programs as14 sisted under this chapter, in meeting the goals

15 described in paragraph (2);

16 ‘‘(B) will provide the results of each as17 sessment referred to in subparagraph (A) to—

18 ‘‘(i) the committee of parents de19 scribed in subsection (c)(4); and

20 ‘‘(ii) the community served by the

21 local educational agency; and

22 ‘‘(C) is responding to findings of any pre23 vious assessments that are similar to the as24 sessments described in subparagraph (A).
397

•HR 1 IH

1 ‘‘(c) ASSURANCES.—Each application submitted

2 under subsection (a) shall include assurances that—

3 ‘‘(1) the local educational agency will use funds

4 received under this chapter only to supplement the

5 level of funds that, in the absence of the Federal

6 funds made available under this chapter, such agen7 cy would make available for the education of Indian

8 children, and not to supplant such funds;

9 ‘‘(2) the local educational agency will submit

10 such reports to the Secretary, in such form and con11 taining such information, as the Secretary may re12 quire to—

13 ‘‘(A) carry out the functions of the Sec14 retary under this chapter; and

15 ‘‘(B) determine the extent to which funds

16 provided to the local educational agency under

17 this chapter are effective in improving the edu18 cational achievement of Indian students served

19 by such agency;

20 ‘‘(3) the program for which assistance is

21 sought—

22 ‘‘(A) is based on a comprehensive local as23 sessment and prioritization of the unique edu24 cational and culturally related academic needs

25 of the American Indian and Alaska Native stu-
398

•HR 1 IH

1 dents to whom the local educational agency is

2 providing an education;

3 ‘‘(B) will use the best available talents and

4 resources, including individuals from the Indian

5 community; and

6 ‘‘(C) was developed by such agency in open

7 consultation with parents of Indian children

8 and teachers, and, if appropriate, Indian stu9 dents from secondary schools, including public

10 hearings held by such agency to provide the in11 dividuals described in this subparagraph a full

12 opportunity to understand the program and to

13 offer recommendations regarding the program;

14 and

15 ‘‘(4) the local educational agency developed the

16 program with the participation and written approval

17 of a committee—

18 ‘‘(A) that is composed of, and selected

19 by—

20 ‘‘(i) parents of Indian children in the

21 local educational agency’s schools and

22 teachers; and

23 ‘‘(ii) if appropriate, Indian students

24 attending secondary schools;
399

•HR 1 IH

1 ‘‘(B) a majority of whose members are

2 parents of Indian children;

3 ‘‘(C) that sets forth such policies and pro4 cedures, including policies and procedures relat5 ing to the hiring of personnel, as will ensure

6 that the program for which assistance is sought

7 will be operated and evaluated in consultation

8 with, and with the involvement of, parents of

9 the children, and representatives of the area, to

10 be served;

11 ‘‘(D) with respect to an application de12 scribing a schoolwide program in accordance

13 with section 3215(c), that has—

14 ‘‘(i) reviewed in a timely fashion the

15 program; and

16 ‘‘(ii) determined that the program will

17 not diminish the availability of culturally

18 related activities for American Indian and

19 Alaskan Native students; and

20 ‘‘(E) that has adopted reasonable bylaws

21 for the conduct of the activities of the com22 mittee and abides by such bylaws.

23 ‘‘SEC. 3215. AUTHORIZED SERVICES AND ACTIVITIES.

24 ‘‘(a) GENERAL REQUIREMENTS.—Each local edu25 cational agency that receives a grant under this chapter
400

•HR 1 IH

1 shall use the grant funds, in a manner consistent with the

2 purpose specified in section 3211, for services and activi3 ties that—

4 ‘‘(1) are designed to carry out the comprehen5 sive program of the local educational agency for In6 dian students, and described in the application of

7 the local educational agency submitted to the Sec8 retary under section 3214(b);

9 ‘‘(2) are designed with special regard for the

10 language and cultural needs of the Indian students;

11 and

12 ‘‘(3) supplement and enrich the regular school

13 program of such agency.

14 ‘‘(b) PARTICULAR ACTIVITIES.—The services and ac15 tivities referred to in subsection (a) may include—

16 ‘‘(1) culturally related activities that support

17 the program described in the application submitted

18 by the local educational agency;

19 ‘‘(2) early childhood and family programs that

20 emphasize school readiness;

21 ‘‘(3) enrichment programs that focus on prob22 lem solving and cognitive skills development and di23 rectly support the attainment of challenging State

24 content standards and State student performance

25 standards;
401

•HR 1 IH

1 ‘‘(4) integrated educational services in combina2 tion with other programs that meet the needs of In3 dian children and their families;

4 ‘‘(5) career preparation activities to enable In5 dian students to participate in programs such as the

6 programs supported by the Carl D. Perkins Voca7 tional and Technical Education Act of 1998, includ8 ing programs for tech-prep, mentoring, and appren9 ticeship;

10 ‘‘(6) activities to educate individuals concerning

11 substance abuse and to prevent substance abuse;

12 ‘‘(7) the acquisition of equipment, but only if

13 the acquisition of the equipment is essential to meet

14 the purposes described in section 3211; and

15 ‘‘(8) family literacy services.

16 ‘‘(c) SCHOOLWIDE PROGRAMS.—Notwithstanding

17 any other provision of law, a local educational agency may

18 use funds made available to such agency under this chap19 ter to support a schoolwide program under section 1114

20 if—

21 ‘‘(1) the committee composed of parents estab22 lished pursuant to section 3214(c)(4) approves the

23 use of the funds for the schoolwide program; and

24 ‘‘(2) the schoolwide program is consistent with

25 the purposes described in section 3211.
402

•HR 1 IH

1 ‘‘(d) LIMITATION ON ADMINISTRATIVE COSTS.—Not

2 more than 5 percent of the funds provided to a grantee

3 under this chapter for any fiscal year may be used for

4 administrative purposes.

5 ‘‘SEC. 3216. INTEGRATION OF SERVICES AUTHORIZED.

6 ‘‘(a) PLAN.—An entity receiving funds under this

7 chapter may submit a plan to the Secretary for the inte8 gration of education and related services provided to In9 dian students.

10 ‘‘(b) COORDINATION OF PROGRAMS.—Upon the re11 ceipt of an acceptable plan, the Secretary, in cooperation

12 with each Federal agency providing grants for the provi13 sion of education and related services to the applicant,

14 shall authorize the applicant to coordinate, in accordance

15 with such plan, its federally funded education and related

16 services programs, or portions thereof, serving Indian stu17 dents in a manner that integrates the program services

18 involved into a single, coordinated, comprehensive pro19 gram and reduces administrative costs by consolidating

20 administrative functions.

21 ‘‘(c) PROGRAMS AFFECTED.—The funds that may be

22 consolidated in a demonstration project under any such

23 plan referred to in subsection (b) shall include funds for

24 any Federal program exclusively serving Indian children

25 or the funds reserved under any program to exclusively
403

•HR 1 IH

1 serve Indian children under which the applicant is eligible

2 for receipt of funds under a statutory or administrative

3 formula for the purposes of providing education and re4 lated services which would be used to serve Indian stu5 dents.

6 ‘‘(d) PLAN REQUIREMENTS.—For a plan to be ac7 ceptable pursuant to subsection (b), it shall—

8 ‘‘(1) identify the programs or funding sources

9 to be consolidated;

10 ‘‘(2) be consistent with the purposes of this sec11 tion authorizing the services to be integrated in a

12 demonstration project;

13 ‘‘(3) describe a comprehensive strategy which

14 identifies the full range of potential educational op15 portunities and related services to be provided to as16 sist Indian students to achieve the goals set forth in

17 this chapter;

18 ‘‘(4) describe the way in which services are to

19 be integrated and delivered and the results expected

20 from the plan;

21 ‘‘(5) identify the projected expenditures under

22 the plan in a single budget;

23 ‘‘(6) identify the local, State, or tribal agency

24 or agencies to be involved in the delivery of the serv25 ices integrated under the plan;
404

•HR 1 IH

1 ‘‘(7) identify any statutory provisions, regula2 tions, policies, or procedures that the applicant be3 lieves need to be waived in order to implement its

4 plan;

5 ‘‘(8) set forth measures of student achievement

6 and performance goals designed to be met within a

7 specified period of time; and

8 ‘‘(9) be approved by a parent committee formed

9 in accordance with section 3214(c)(4), if such a

10 committee exists.

11 ‘‘(e) PLAN REVIEW.—Upon receipt of the plan from

12 an eligible entity, the Secretary shall consult with the Sec13 retary of each Federal department providing funds to be

14 used to implement the plan, and with the entity submit15 ting the plan. The parties so consulting shall identify any

16 waivers of statutory requirements or of Federal depart17 mental regulations, policies, or procedures necessary to en18 able the applicant to implement its plan. Notwithstanding

19 any other provision of law, the Secretary of the affected

20 department or departments shall have the authority to

21 waive any regulation, policy, or procedure promulgated by

22 that department that has been so identified by the appli23 cant or department, unless the Secretary of the affected

24 department determines that such a waiver is inconsistent

25 with the intent of this chapter or those provisions of the
405

•HR 1 IH

1 statute from which the program involved derives its au2 thority which are specifically applicable to Indian stu3 dents.

4 ‘‘(f) PLAN APPROVAL.—Within 90 days after the re5 ceipt of an applicant’s plan by the Secretary, the Secretary

6 shall inform the applicant, in writing, of the Secretary’s

7 approval or disapproval of the plan. If the plan is dis8 approved, the applicant shall be informed, in writing, of

9 the reasons for the disapproval and shall be given an op10 portunity to amend its plan or to petition the Secretary

11 to reconsider such disapproval.

12 ‘‘(g) RESPONSIBILITIES OF DEPARTMENT OF EDU13 CATION.—Not later than 180 days after the date of the

14 enactment of the No Child Left Behind Act of 2001, the

15 Secretary of Education, the Secretary of the Interior, and

16 the head of any other Federal department or agency iden17 tified by the Secretary of Education, shall enter into an

18 interdepartmental memorandum of agreement providing

19 for the implementation of the demonstration projects au20 thorized under this section. The lead agency head for a

21 demonstration program under this section shall be—

22 ‘‘(1) the Secretary of the Interior, in the case

23 of applicant meeting the definition of contract or

24 grant school under title XI of the Education Amend25 ments of 1978; or
406

•HR 1 IH

1 ‘‘(2) the Secretary of Education, in the case of

2 any other applicant.

3 ‘‘(h) RESPONSIBILITIES OF LEAD AGENCY.—The re4 sponsibilities of the lead agency shall include—

5 ‘‘(1) the use of a single report format related

6 to the plan for the individual project which shall be

7 used by an eligible entity to report on the activities

8 undertaken under the project;

9 ‘‘(2) the use of a single report format related

10 to the projected expenditures for the individual

11 project which shall be used by an eligible entity to

12 report on all project expenditures;

13 ‘‘(3) the development of a single system of Fed14 eral oversight for the project, which shall be imple15 mented by the lead agency; and

16 ‘‘(4) the provision of technical assistance to an

17 eligible entity appropriate to the project, except that

18 an eligible entity shall have the authority to accept

19 or reject the plan for providing such technical assist20 ance and the technical assistance provider.

21 ‘‘(i) REPORT REQUIREMENTS.—A single report for22 mat shall be developed by the Secretary, consistent with

23 the requirements of this section. Such report format, to24 gether with records maintained on the consolidated pro25 gram at the local level, shall contain such information as
407

•HR 1 IH

1 will allow a determination that the eligible entity has com2 plied with the requirements incorporated in its approved

3 plan, including the demonstration of student achievement,

4 and will provide assurances to each Secretary that the eli5 gible entity has complied with all directly applicable statu6 tory requirements and with those directly applicable regu7 latory requirements which have not been waived.

8 ‘‘(j) NO REDUCTION IN AMOUNTS.—In no case shall

9 the amount of Federal funds available to an eligible entity

10 involved in any demonstration project be reduced as a re11 sult of the enactment of this section.

12 ‘‘(k) INTERAGENCY FUND TRANSFERS AUTHOR13 IZED.—The Secretary is authorized to take such action

14 as may be necessary to provide for an interagency transfer

15 of funds otherwise available to an eligible entity in order

16 to further the purposes of this section.

17 ‘‘(l) ADMINISTRATION OF FUNDS.—

18 ‘‘(1) IN GENERAL.—Program funds shall be ad19 ministered in such a manner as to allow for a deter20 mination that funds from specific a program or pro21 grams are spent on allowable activities authorized

22 under such program, except that the eligible entity

23 shall determine the proportion of the funds granted

24 which shall be allocated to such program.
408

•HR 1 IH

1 ‘‘(2) SEPARATE RECORDS NOT REQUIRED.—

2 Nothing in this section shall be construed as requir3 ing the eligible entity to maintain separate records

4 tracing any services or activities conducted under its

5 approved plan to the individual programs under

6 which funds were authorized, nor shall the eligible

7 entity be required to allocate expenditures among

8 such individual programs.

9 ‘‘(m) OVERAGE.—All administrative costs may be

10 commingled and participating entities shall be entitled to

11 the full amount of such costs (under each program or de12 partment’s regulations), and no overage shall be counted

13 for Federal audit purposes, provided that the overage is

14 used for the purposes provided for under this section.

15 ‘‘(n) FISCAL ACCOUNTABILITY.—Nothing in this

16 subpart shall be construed so as to interfere with the abil17 ity of the Secretary or the lead agency to fulfill the respon18 sibilities for the safeguarding of Federal funds pursuant

19 to the Single Audit Act of 1984.

20 ‘‘(o) REPORT ON STATUTORY OBSTACLES TO PRO21 GRAM INTEGRATION.—

22 ‘‘(1) PRELIMINARY REPORT.—Not later than 2

23 years after the date of the enactment of the No

24 Child Left Behind Act of 2001, the Secretary of

25 Education shall submit a preliminary report to the
409

•HR 1 IH

1 Committee on Health, Education, Labor, and Pen2 sions of the Senate and the Committee on Education

3 and the Workforce of the House of Representatives

4 on the status of the implementation of the dem5 onstration program authorized under this section.

6 ‘‘(2) FINAL REPORT.—Not later than 5 years

7 after the date of the enactment of the No Child Left

8 Behind Act of 2001, the Secretary of Education

9 shall submit a report to the Committee on Health,

10 Education, Labor, and Pensions of the Senate and

11 the Committee on Education and the Workforce of

12 the House of Representatives on the results of the

13 implementation of the demonstration program au14 thorized under this section. Such report shall iden15 tify statutory barriers to the ability of participants

16 to integrate more effectively their education and re17 lated services to Indian students in a manner con18 sistent with the purposes of this section.

19 ‘‘(p) DEFINITIONS.—For the purposes of this section,

20 the term ‘Secretary’ means—

21 ‘‘(1) the Secretary of the Interior, in the case

22 of applicant meeting the definition of contract or

23 grant school under title XI of the Education Amend24 ments of 1978; or
410

•HR 1 IH

1 ‘‘(2) the Secretary of Education, in the case of

2 any other applicant.

3 ‘‘SEC. 3217. STUDENT ELIGIBILITY FORMS.

4 ‘‘(a) IN GENERAL.—The Secretary shall require that,

5 as part of an application for a grant under this chapter,

6 each applicant shall maintain a file, with respect to each

7 Indian child for whom the local educational agency pro8 vides a free public education, that contains a form that

9 sets forth information establishing the status of the child

10 as an Indian child eligible for assistance under this chap11 ter and that otherwise meets the requirements of subsec12 tion (b).

13 ‘‘(b) FORMS.—

14 ‘‘(1) IN GENERAL.—The form described in sub15 section (a) shall include—

16 ‘‘(A) either—

17 ‘‘(i)(I) the name of the tribe or band

18 of Indians (as described in section

19 3251(3)) with respect to which the child

20 claims membership;

21 ‘‘(II) the enrollment number estab22 lishing the membership of the child (if

23 readily available); and

24 ‘‘(III) the name and address of the

25 organization that maintains updated and
411

•HR 1 IH

1 accurate membership data for such tribe or

2 band of Indians; or

3 ‘‘(ii) if the child is not a member of

4 a tribe or band of Indians, the name, the

5 enrollment number (if readily available),

6 and the organization (and address thereof)

7 responsible for maintaining updated and

8 accurate membership rolls of the tribe of

9 any parent or grandparent of the child

10 from whom the child claims eligibility;

11 ‘‘(B) a statement of whether the tribe or

12 band of Indians with respect to which the child,

13 parent, or grandparent of the child claims mem14 bership is federally recognized;

15 ‘‘(C) the name and address of the parent

16 or legal guardian of the child;

17 ‘‘(D) a signature of the parent or legal

18 guardian of the child that verifies the accuracy

19 of the information supplied; and

20 ‘‘(E) any other information that the Sec21 retary considers necessary to provide an accu22 rate program profile.

23 ‘‘(2) MINIMUM INFORMATION.—In order for a

24 child to be eligible to be counted for the purpose of

25 computing the amount of a grant award made under
412

•HR 1 IH

1 section 3213, an eligibility form prepared pursuant

2 to this section for a child shall include—

3 ‘‘(A) the name of the child;

4 ‘‘(B) the name of the tribe or band of Indi5 ans (as described in section 3251(3)) with re6 spect to which the child claims eligibility; and

7 ‘‘(C) the dated signature of the parent or

8 guardian of the child.

9 ‘‘(3) FAILURE.—The failure of an applicant to

10 furnish any information described in this subsection

11 other than the information described in paragraph

12 (2) with respect to any child shall have no bearing

13 on the determination of whether the child is an eligi14 ble Indian child for the purposes of determining the

15 amount of a grant award made under section 3213.

16 ‘‘(c) STATUTORY CONSTRUCTION.—Nothing in this

17 section shall be construed to affect a definition contained

18 in section 3251.

19 ‘‘(d) FORMS AND STANDARDS OF PROOF.—The

20 forms and the standards of proof (including the standard

21 of good faith compliance) that were in use during the

22 1985–1986 academic year to establish the eligibility of a

23 child for entitlement under the Indian Elementary and

24 Secondary School Assistance Act shall be the forms and

25 standards of proof used—
413

•HR 1 IH

1 ‘‘(1) to establish such eligibility; and

2 ‘‘(2) to meet the requirements of subsection (a).

3 ‘‘(e) DOCUMENTATION.—For purposes of deter4 mining whether a child is eligible to be counted for the

5 purpose of computing the amount of a grant under section

6 3213, the membership of the child, or any parent or

7 grandparent of the child, in a tribe or band of Indians

8 may be established by proof other than an enrollment

9 number, notwithstanding the availability of an enrollment

10 number for a member of such tribe or band. Nothing in

11 subsection (b) shall be construed to require the furnishing

12 of an enrollment number.

13 ‘‘(f) MONITORING AND EVALUATION REVIEW.—

14 ‘‘(1) IN GENERAL.—(A) For each fiscal year, in

15 order to provide such information as is necessary to

16 carry out the responsibility of the Secretary to pro17 vide technical assistance under this chapter, the Sec18 retary shall conduct a monitoring and evaluation re19 view of a sampling of the recipients of grants under

20 this chapter. The sampling conducted under this

21 subparagraph shall take into account the size of the

22 local educational agency and the geographic location

23 of such agency.

24 ‘‘(B) A local educational agency may not be

25 held liable to the United States or be subject to any
414

•HR 1 IH

1 penalty, by reason of the findings of an audit that

2 relates to the date of completion, or the date of sub3 mission, of any forms used to establish, before April

4 28, 1988, the eligibility of a child for entitlement

5 under the Indian Elementary and Secondary School

6 Assistance Act.

7 ‘‘(2) FALSE INFORMATION.—Any local edu8 cational agency that provides false information in an

9 application for a grant under this chapter shall—

10 ‘‘(A) be ineligible to apply for any other

11 grant under this subpart; and

12 ‘‘(B) be liable to the United States for any

13 funds that have not been expended.

14 ‘‘(3) EXCLUDED CHILDREN.—A student who

15 provides false information for the form required

16 under subsection (a) shall not be counted for the

17 purpose of computing the amount of a grant under

18 section 3213.

19 ‘‘(g) TRIBAL GRANT AND CONTRACT SCHOOLS.—

20 Notwithstanding any other provision of this section, in

21 awarding funds under this chapter to a tribal school that

22 receives a grant or contract from the Bureau of Indian

23 Affairs, the Secretary shall use only one of the following,

24 as selected by the school:
415

•HR 1 IH

1 ‘‘(1) A count of the number of students in those

2 schools certified by the Bureau.

3 ‘‘(2) A count of the number of students for

4 whom the school has eligibility forms that comply

5 with this section.

6 ‘‘(h) TIMING OF CHILD COUNTS.—For purposes of

7 determining the number of children to be counted in calcu8 lating the amount of a local educational agency’s grant

9 under this chapter (other than in the case described in

10 subsection (g)(1)), the local educational agency shall—

11 ‘‘(1) establish a date on, or a period not longer

12 than 31 consecutive days during which, the agency

13 counts those children, so long as that date or period

14 occurs before the deadline established by the Sec15 retary for submitting an application under section

16 3214; and

17 ‘‘(2) determine that each such child was en18 rolled, and receiving a free public education, in a

19 school of the agency on that date or during that pe20 riod, as the case may be.

21 ‘‘SEC. 3218. PAYMENTS.

22 ‘‘(a) IN GENERAL.—Subject to subsections (b) and

23 (c), the Secretary shall pay to each local educational agen24 cy that submits an application that is approved by the Sec25 retary under this chapter the amount determined under
416

•HR 1 IH

1 section 3213. The Secretary shall notify the local edu2 cational agency of the amount of the payment not later

3 than June 1 of the year for which the Secretary makes

4 the payment.

5 ‘‘(b) PAYMENTS TAKEN INTO ACCOUNT BY THE

6 STATE.—The Secretary may not make a grant under this

7 chapter to a local educational agency for a fiscal year if,

8 for such fiscal year, the State in which the local edu9 cational agency is located takes into consideration pay10 ments made under this chapter in determining the eligi11 bility of the local educational agency for State aid, or the

12 amount of the State aid, with respect to the free public

13 education of children during such fiscal year or the pre14 ceding fiscal year.

15 ‘‘(c) REDUCTION OF PAYMENT FOR FAILURE TO

16 MAINTAIN FISCAL EFFORT.—

17 ‘‘(1) IN GENERAL.—The Secretary may not pay

18 a local educational agency the full amount of a grant

19 award determined under section 3213 for any fiscal

20 year unless the State educational agency notifies the

21 Secretary, and the Secretary determines that, with

22 respect to the provision of free public education by

23 the local educational agency for the preceding fiscal

24 year, the combined fiscal effort of the local edu25 cational agency and the State, computed on either a
417

•HR 1 IH

1 per student or aggregate expenditure basis, was not

2 less than 90 percent of the amount of the combined

3 fiscal effort, computed on the same basis, for the

4 second preceding fiscal year.

5 ‘‘(2) FAILURE TO MAINTAIN EFFORT.—If, for

6 any fiscal year, the Secretary determines that a local

7 educational agency failed to maintain the fiscal ef8 fort of such agency at the level specified in para9 graph (1), the Secretary shall—

10 ‘‘(A) reduce the amount of the grant that

11 would otherwise be made to such agency under

12 this chapter in the exact proportion of such

13 agency’s failure to maintain its fiscal effort at

14 such level; and

15 ‘‘(B) not use the reduced amount of the

16 agency’s expenditures for the preceding year to

17 determine compliance with paragraph (1) for

18 any succeeding fiscal year, but shall use the

19 amount of expenditures that would have been

20 required to comply with paragraph (1).

21 ‘‘(3) WAIVER.—(A) The Secretary may waive

22 the requirement of paragraph (1), for not more than

23 1 year at a time, if the Secretary determines that

24 the failure to comply with such requirement is due

25 to exceptional or uncontrollable circumstances, such
418

•HR 1 IH

1 as a natural disaster or a precipitous and unforeseen

2 decline in the agency’s financial resources.

3 ‘‘(B) The Secretary shall not use the reduced

4 amount of such agency’s expenditures for the fiscal

5 year preceding the fiscal year for which a waiver is

6 granted to determine compliance with paragraph (1)

7 for any succeeding fiscal year, but shall use the

8 amount of expenditures that would have been re9 quired to comply with paragraph (1) in the absence

10 of the waiver.

11 ‘‘(d) REALLOCATIONS.—The Secretary may reallo12 cate, in a manner that the Secretary determines will best

13 carry out the purpose of this chapter, any amounts that—

14 ‘‘(1) based on estimates made by local edu15 cational agencies or other information, the Secretary

16 determines will not be needed by such agencies to

17 carry out approved programs under this chapter; or

18 ‘‘(2) otherwise become available for reallocation

19 under this chapter.

20 ‘‘SEC. 3219. STATE EDUCATIONAL AGENCY REVIEW.

21 ‘‘Before submitting an application to the Secretary

22 under section 3214, a local educational agency shall sub23 mit the application to the State educational agency, which

24 may comment on such application. If the State educational

25 agency comments on the application, it shall comment on
419

•HR 1 IH

1 all applications submitted by local educational agencies in

2 the State and shall provide those comments to the respec3 tive local educational agencies, with an opportunity to re4 spond.

5 ‘‘CHAPTER II—SPECIAL PROGRAMS AND

6 PROJECTS TO IMPROVE EDU7 CATIONAL OPPORTUNITIES FOR IN8 DIAN CHILDREN

9 ‘‘SEC. 3221. IMPROVEMENT OF EDUCATIONAL OPPORTUNI10 TIES FOR INDIAN CHILDREN.

11 ‘‘(a) PURPOSE.—

12 ‘‘(1) IN GENERAL.—It is the purpose of this

13 section to support projects to develop, test, and dem14 onstrate the effectiveness of services and programs

15 to improve educational opportunities and achieve16 ment of Indian children.

17 ‘‘(2) COORDINATION.—The Secretary shall take

18 such actions as are necessary to achieve the coordi19 nation of activities assisted under this chapter

20 with—

21 ‘‘(A) other programs funded under this

22 Act; and

23 ‘‘(B) other Federal programs operated for

24 the benefit of American Indian and Alaska Na25 tive children.
420

•HR 1 IH

1 ‘‘(b) ELIGIBLE ENTITIES.—For the purpose of this

2 section, the term ‘eligible entity’ means a State edu3 cational agency, local educational agency, Indian tribe, In4 dian organization, federally supported elementary and sec5 ondary school for Indian students, Indian institution, in6 cluding an Indian institution of higher education, or a con7 sortium of such institutions.

8 ‘‘(c) GRANTS AUTHORIZED.—

9 ‘‘(1) IN GENERAL.—The Secretary shall award

10 grants to eligible entities to enable such entities to

11 carry out activities that meet the purpose specified

12 in subsection (a)(1), including—

13 ‘‘(A) innovative programs related to the

14 educational needs of educationally disadvan15 taged children;

16 ‘‘(B) educational services that are not

17 available to such children in sufficient quantity

18 or quality, including remedial instruction, to

19 raise the achievement of Indian children in one

20 or more of the core academic subjects of

21 English, mathematics, science, foreign lan22 guages, art, history, and geography;

23 ‘‘(C) bilingual and bicultural programs and

24 projects;
421

•HR 1 IH

1 ‘‘(D) special health and nutrition services,

2 and other related activities, that address the

3 unique health, social, and psychological prob4 lems of Indian children;

5 ‘‘(E) special compensatory and other pro6 grams and projects designed to assist and en7 courage Indian children to enter, remain in, or

8 reenter school, and to increase the rate of sec9 ondary school graduation;

10 ‘‘(F) comprehensive guidance, counseling,

11 and testing services;

12 ‘‘(G) early childhood and kindergarten pro13 grams, including family-based preschool pro14 grams that emphasize school readiness and pa15 rental skills, and the provision of services to In16 dian children with disabilities;

17 ‘‘(H) partnership projects between local

18 educational agencies and institutions of higher

19 education that allow secondary school students

20 to enroll in courses at the postsecondary level to

21 aid such students in the transition from sec22 ondary school to postsecondary education;

23 ‘‘(I) partnership projects between schools

24 and local businesses for career preparation pro25 grams designed to provide Indian youth with
422

•HR 1 IH

1 the knowledge and skills such youth need to

2 make an effective transition from school to a

3 high-skill, high-wage career;

4 ‘‘(J) programs designed to encourage and

5 assist Indian students to work toward, and gain

6 entrance into, an institution of higher edu7 cation;

8 ‘‘(K) family literacy services; or

9 ‘‘(L) other services that meet the purpose

10 described in subsection (a)(1).

11 ‘‘(2) PROFESSIONAL DEVELOPMENT.—Profes12 sional development of teaching professionals and

13 paraprofessional may be a part of any program as14 sisted under this section.

15 ‘‘(d) GRANT REQUIREMENTS AND APPLICATIONS.—

16 ‘‘(1) GRANT REQUIREMENTS.—(A) The Sec17 retary may make multiyear grants under this section

18 for the planning, development, pilot operation, or

19 demonstration of any activity described in subsection

20 (c) for a period not to exceed 5 years.

21 ‘‘(B) In making multiyear grants under this

22 section, the Secretary shall give priority to applica23 tions that present a plan for combining two or more

24 of the activities described in subsection (c) over a

25 period of more than 1 year.
423

•HR 1 IH

1 ‘‘(C) The Secretary shall make a grant payment

2 to an eligible entity after the initial year of the

3 multiyear grant only if the Secretary determines

4 that the eligible entity has made substantial progress

5 in carrying out the activities assisted under the

6 grant in accordance with the application submitted

7 under paragraph (2) and any subsequent modifica8 tions to such application.

9 ‘‘(D)(i) In addition to awarding the multiyear

10 grants described in subparagraph (A), the Secretary

11 may award grants to eligible entities for the dissemi12 nation of exemplary materials or programs assisted

13 under this section.

14 ‘‘(ii) The Secretary may award a dissemination

15 grant under this subparagraph if, prior to awarding

16 the grant, the Secretary determines that the mate17 rial or program to be disseminated has been ade18 quately reviewed and has demonstrated—

19 ‘‘(I) educational merit; and

20 ‘‘(II) the ability to be replicated.

21 ‘‘(2) APPLICATION.—(A) Any eligible entity

22 that desires to receive a grant under this section

23 shall submit an application to the Secretary at such

24 time and in such manner as the Secretary may re25 quire.
424

•HR 1 IH

1 ‘‘(B) Each application submitted to the Sec2 retary under subparagraph (A), other than an appli3 cation for a dissemination grant under paragraph

4 (1)(D), shall contain—

5 ‘‘(i) a description of how parents of Indian

6 children and representatives of Indian tribes

7 have been, and will be, involved in developing

8 and implementing the activities for which as9 sistance is sought;

10 ‘‘(ii) assurances that the applicant will par11 ticipate, at the request of the Secretary, in any

12 national evaluation of activities assisted under

13 this section;

14 ‘‘(iii) information demonstrating that the

15 proposed program is either a research-based

16 program (which may be a research-based pro17 gram that has been modified to be culturally

18 appropriate for the students who will be

19 served);

20 ‘‘(iv) a description of how the applicant

21 will incorporate the proposed services into the

22 ongoing school program once the grant period is

23 over; and

24 ‘‘(v) such other assurances and informa25 tion as the Secretary may reasonably require.
425

•HR 1 IH

1 ‘‘(e) ADMINISTRATIVE COSTS.—Not more than 5 per2 cent of the funds provided to a grantee under this chapter

3 for any fiscal year may be used for administrative pur4 poses.

5 ‘‘SEC. 3222. PROFESSIONAL DEVELOPMENT FOR TEACHERS

6 AND EDUCATION PROFESSIONALS.

7 ‘‘(a) PURPOSES.—The purposes of this section are—

8 ‘‘(1) to increase the number of qualified Indian

9 individuals in teaching or other education profes10 sions that serve Indian people;

11 ‘‘(2) to provide training to qualified Indian indi12 viduals to enable such individuals to become teach13 ers, administrators, teacher aides, social workers,

14 and ancillary educational personnel; and

15 ‘‘(3) to improve the skills of qualified Indian in16 dividuals who serve in the capacities described in

17 paragraph (2).

18 ‘‘(b) ELIGIBLE ENTITIES.—For the purpose of this

19 section, the term ‘eligible entity’ means—

20 ‘‘(1) an institution of higher education, includ21 ing an Indian institution of higher education;

22 ‘‘(2) a State or local educational agency, in con23 sortium with an institution of higher education; and

24 ‘‘(3) an Indian tribe or organization, in consor25 tium with an institution of higher education.
426

•HR 1 IH

1 ‘‘(c) PROGRAM AUTHORIZED.—The Secretary is au2 thorized to award grants to eligible entities having applica3 tions approved under this section to enable such entities

4 to carry out the activities described in subsection (d).

5 ‘‘(d) AUTHORIZED ACTIVITIES.—

6 ‘‘(1) IN GENERAL.—Grant funds under this sec7 tion shall be used to provide support and training

8 for Indian individuals in a manner consistent with

9 the purposes of this section. Such activities may in10 clude but are not limited to, continuing programs,

11 symposia, workshops, conferences, and direct finan12 cial support.

13 ‘‘(2) SPECIAL RULES.—(A) For education per14 sonnel, the training received pursuant to a grant

15 under this section may be inservice or preservice

16 training.

17 ‘‘(B) For individuals who are being trained to

18 enter any field other than teaching, the training re19 ceived pursuant to a grant under this section shall

20 be in a program that results in a graduate degree.

21 ‘‘(e) APPLICATION.—Each eligible entity desiring a

22 grant under this section shall submit an application to the

23 Secretary at such time, in such manner and accompanied

24 by such information, as the Secretary may reasonably re25 quire.
427

•HR 1 IH

1 ‘‘(f) SPECIAL RULE.—In making grants under this

2 section, the Secretary—

3 ‘‘(1) shall consider the prior performance of the

4 eligible entity; and

5 ‘‘(2) may not limit eligibility to receive a grant

6 under this section on the basis of—

7 ‘‘(A) the number of previous grants the

8 Secretary has awarded such entity; or

9 ‘‘(B) the length of any period during which

10 such entity received such grants.

11 ‘‘(g) GRANT PERIOD.—Each grant under this section

12 shall be awarded for a period of not more than 5 years.

13 ‘‘(h) SERVICE OBLIGATION.—

14 ‘‘(1) IN GENERAL.—The Secretary shall re15 quire, by regulation, that an individual who receives

16 training pursuant to a grant made under this

17 section—

18 ‘‘(A) perform work—

19 ‘‘(i) related to the training received

20 under this section; and

21 ‘‘(ii) that benefits Indian people; or

22 ‘‘(B) repay all or a prorated part of the as23 sistance received.

24 ‘‘(2) REPORTING.—The Secretary shall estab25 lish, by regulation, a reporting procedure under
428

•HR 1 IH

1 which a grant recipient under this section shall, not

2 later than 12 months after the date of completion of

3 the training, and periodically thereafter, provide in4 formation concerning the compliance of such recipi5 ent with the work requirement under paragraph (1).

6 ‘‘CHAPTER III—NATIONAL RESEARCH

7 ACTIVITIES

8 ‘‘SEC. 3231. NATIONAL ACTIVITIES.

9 ‘‘(a) AUTHORIZED ACTIVITIES.—The Secretary may

10 use funds made available under section 3252(b) for each

11 fiscal year to—

12 ‘‘(1) conduct research related to effective ap13 proaches for the education of Indian children and

14 adults;

15 ‘‘(2) evaluate federally assisted education pro16 grams from which Indian children and adults may

17 benefit;

18 ‘‘(3) collect and analyze data on the educational

19 status and needs of Indians; and

20 ‘‘(4) carry out other activities that are con21 sistent with the purpose of this subpart.

22 ‘‘(b) ELIGIBILITY.—The Secretary may carry out any

23 of the activities described in subsection (a) directly or

24 through grants to, or contracts or cooperative agreements

25 with Indian tribes, Indian organizations, State educational
429

•HR 1 IH

1 agencies, local educational agencies, institutions of higher

2 education, including Indian institutions of higher edu3 cation, and other public and private agencies and

4 institutions.

5 ‘‘(c) COORDINATION.—Research activities supported

6 under this section—

7 ‘‘(1) shall be carried out in consultation with

8 the Office of Educational Research and Improve9 ment to assure that such activities are coordinated

10 with and enhance the research and development ac11 tivities supported by the Office; and

12 ‘‘(2) may include collaborative research activi13 ties which are jointly funded and carried out by the

14 Office of Indian Education Programs and the Office

15 of Educational Research and Improvement.

16 ‘‘CHAPTER IV—FEDERAL

17 ADMINISTRATION

18 ‘‘SEC. 3241. NATIONAL ADVISORY COUNCIL ON INDIAN EDU19 CATION.

20 ‘‘(a) MEMBERSHIP.—There is established a National

21 Advisory Council on Indian Education (hereafter in this

22 section referred to as the ‘Council’), which shall—

23 ‘‘(1) consist of 15 Indian members, who shall

24 be appointed by the President from lists of nominees
430

•HR 1 IH

1 furnished, from time-to-time, by Indian tribes and

2 organizations; and

3 ‘‘(2) represent different geographic areas of the

4 United States.

5 ‘‘(b) DUTIES.—The Council shall—

6 ‘‘(1) advise the Secretary concerning the fund7 ing and administration (including the development of

8 regulations and administrative policies and prac9 tices) of any program, including any program estab10 lished under this subpart—

11 ‘‘(A) with respect to which the Secretary

12 has jurisdiction; and

13 ‘‘(B)(i) that includes Indian children or

14 adults as participants; or

15 ‘‘(ii) that may benefit Indian children or

16 adults;

17 ‘‘(2) make recommendations to the Secretary

18 for filling the position of Director of Indian Edu19 cation whenever a vacancy occurs; and

20 ‘‘(3) submit to the Congress, not later than

21 June 30 of each year, a report on the activities of

22 the Council, including—

23 ‘‘(A) any recommendations that the Coun24 cil considers appropriate for the improvement of

25 Federal education programs that include Indian
431

•HR 1 IH

1 children or adults as participants, or that may

2 benefit Indian children or adults; and

3 ‘‘(B) recommendations concerning the

4 funding of any program described in subpara5 graph (A).

6 ‘‘SEC. 3242. PEER REVIEW.

7 ‘‘The Secretary may use a peer review process to re8 view applications submitted to the Secretary under chap9 ter II or III.

10 ‘‘SEC. 3243. PREFERENCE FOR INDIAN APPLICANTS.

11 ‘‘In making grants under chapter II or III, the Sec12 retary shall give a preference to Indian tribes, organiza13 tions, and institutions of higher education under any pro14 gram with respect to which Indian tribes, organizations,

15 and institutions are eligible to apply for grants.

16 ‘‘SEC. 3244. MINIMUM GRANT CRITERIA.

17 ‘‘The Secretary may not approve an application for

18 a grant under subpart 2 unless the application is for a

19 grant that is—

20 ‘‘(1) of sufficient size, scope, and quality to

21 achieve the purpose or objectives of such grant; and

22 ‘‘(2) based on relevant research findings.
432

•HR 1 IH

1 ‘‘CHAPTER V—DEFINITIONS;

2 AUTHORIZATIONS OF APPROPRIATIONS

3 ‘‘SEC. 3251. DEFINITIONS.

4 ‘‘For the purposes of this subpart:

5 ‘‘(1) ADULT.—The term ‘adult’ means an indi6 vidual who—

7 ‘‘(A) has attained the age of 16 years; or

8 ‘‘(B) has attained an age that is greater

9 than the age of compulsory school attendance

10 under an applicable State law.

11 ‘‘(2) FREE PUBLIC EDUCATION.—The term

12 ‘free public education’ means education that is—

13 ‘‘(A) provided at public expense, under

14 public supervision and direction, and without

15 tuition charge; and

16 ‘‘(B) provided as elementary or secondary

17 education in the applicable State or to preschool

18 children.

19 ‘‘(3) INDIAN.—The term ‘Indian’ means an in20 dividual who is—

21 ‘‘(A) a member of an Indian tribe or band,

22 as membership is defined by the tribe or band,

23 including—

24 ‘‘(i) any tribe or band terminated

25 since 1940; and
433

•HR 1 IH

1 ‘‘(ii) any tribe or band recognized by

2 the State in which the tribe or band re3 sides;

4 ‘‘(B) a descendant, in the first or second

5 degree, of an individual described in subpara6 graph (A);

7 ‘‘(C) considered by the Secretary of the In8 terior to be an Indian for any purpose;

9 ‘‘(D) an Eskimo, Aleut, or other Alaska

10 Native; or

11 ‘‘(E) a member of an organized Indian

12 group that received a grant under the Indian

13 Education Act of 1988 as it was in effect the

14 day preceding the date of the enactment of the

15 Improving America’s Schools Act of 1994.

16 ‘‘SEC. 3252. AUTHORIZATIONS OF APPROPRIATIONS.

17 ‘‘(a) CHAPTER I.—For the purpose of carrying out

18 chapter I of this subpart, there are authorized to be appro19 priated $92,800,000 for fiscal year 2002, and such sums

20 as may be necessary for each of fiscal years 2003 through

21 2006.

22 ‘‘(b) CHAPTERS II AND III.—For the purpose of car23 rying out chapters II and III of this subpart, there are

24 authorized to be appropriated $22,700,000 for fiscal year
434

•HR 1 IH

1 2002, and such sums as may be necessary for each of the

2 fiscal years 2003 through 2006.’’.

3 (b) SAVINGS PROVISION.—Funds appropriated for

4 part A of title IX of the Elementary and Secondary Edu5 cation Act of 1965 (as in effect on the day before the date

6 of the enactment of this Act) shall be available for use

7 under subpart 1 of part B of title III of such Act, as added

8 by this section.

9 SEC. 312. ALASKA NATIVE EDUCATION.

10 (a) IN GENERAL.—Part B of title III (as added by

11 section 311 of this Act) is further amended by adding at

12 the end the following new subpart:

13 ‘‘Subpart 2—Alaska Native Education

14 ‘‘SEC. 3301. SHORT TITLE.

15 ‘‘This subpart may be cited as the ‘Alaska Native

16 Educational Equity, Support, and Assistance Act’.

17 ‘‘SEC. 3302. FINDINGS.

18 ‘‘The Congress finds and declares:

19 ‘‘(1) The attainment of educational success is

20 critical to the betterment of the conditions, long21 term well-being and preservation of the culture of

22 Alaska Natives.

23 ‘‘(2) It is the policy of the Federal Government

24 to encourage the maximum participation by Alaska
435

•HR 1 IH

1 Natives in the planning and the management of

2 Alaska Native education programs.

3 ‘‘(3) Alaska Native children enter and exit

4 school with serious educational handicaps.

5 ‘‘(4) The educational achievement of Alaska

6 Native children is far below national norms. In addi7 tion to low Native performance on standardized

8 tests, Native student dropout rates are high, and

9 Natives are significantly underrepresented among

10 holders of baccalaureate degrees in the State of

11 Alaska. As a result, Native students are being de12 nied their opportunity to become full participants in

13 society by grade school and high school educations

14 that are condemning an entire generation to an

15 underclass status and a life of limited choices.

16 ‘‘(5) The programs authorized herein, combined

17 with expanded Head Start, infant learning and early

18 childhood education programs, and parent education

19 programs are essential if educational handicaps are

20 to be overcome.

21 ‘‘(6) The sheer magnitude of the geographic

22 barriers to be overcome in delivering educational

23 services in rural and village Alaska should be ad24 dressed through the development and implementa-
436

•HR 1 IH

1 tion of innovative, model programs in a variety of

2 areas.

3 ‘‘(7) Congress finds that Native children should

4 be afforded the opportunity to begin their formal

5 education on a par with their non-Native peers. The

6 Federal Government should lend support to efforts

7 developed by and undertaken within the Alaska Na8 tive community to improve educational opportunity

9 for all students.

10 ‘‘SEC. 3303. PURPOSE.

11 ‘‘It is the purpose of this subpart to—

12 ‘‘(1) recognize the unique educational needs of

13 Alaska Natives;

14 ‘‘(2) authorize the development of supplemental

15 educational programs to benefit Alaska Natives;

16 ‘‘(3) supplement existing programs and authori17 ties in the area of education to further the purposes

18 of this subpart; and

19 ‘‘(4) provide direction and guidance to appro20 priate Federal, State and local agencies to focus re21 sources, including resources made available under

22 this subpart, on meeting the educational needs of

23 Alaska Natives.

24 ‘‘SEC. 3304. PROGRAM AUTHORIZED.

25 ‘‘(a) GENERAL AUTHORITY.—
437

•HR 1 IH

1 ‘‘(1) PROGRAM AUTHORIZED.—The Secretary is

2 authorized to make grants to, or enter into contracts

3 with, Alaska Native organizations, educational enti4 ties with experience in developing or operating Alas5 ka Native programs or programs of instruction con6 ducted in Alaska Native languages, and consortia of

7 such organizations and entities to carry out pro8 grams that meet the purpose of this subpart.

9 ‘‘(2) PERMISSIBLE ACTIVITIES.—Programs

10 under this subpart may include—

11 ‘‘(A) the development and implementation

12 of plans, methods, and strategies to improve the

13 education of Alaska Natives;

14 ‘‘(B) the development of curricula and edu15 cational programs that address the educational

16 needs of Alaska Native students, including—

17 ‘‘(i) curriculum materials that reflect

18 the cultural diversity or the contributions

19 of Alaska Natives;

20 ‘‘(ii) instructional programs that make

21 use of Native Alaskan languages; and

22 ‘‘(iii) networks that introduce success23 ful programs, materials, and techniques to

24 urban and rural schools;
438

•HR 1 IH

1 ‘‘(C) professional development activities for

2 educators, including—

3 ‘‘(i) programs to prepare teachers to

4 address the cultural diversity and unique

5 needs of Alaska Native students;

6 ‘‘(ii) in-service programs to improve

7 the ability of teachers to meet the unique

8 needs of Alaska Native students; and

9 ‘‘(iii) recruiting and preparing teach10 ers who are Alaska Natives, reside in com11 munities with high concentrations of Alas12 ka Native students, or are likely to succeed

13 as teachers in isolated, rural communities

14 and engage in cross-cultural instruction;

15 ‘‘(D) the development and operation of

16 home instruction programs for Alaska Native

17 preschool children, the purpose of which is to

18 ensure the active involvement of parents in

19 their children’s education from the earliest

20 ages;

21 ‘‘(E) family literacy services;

22 ‘‘(F) the development and operation of stu23 dent enrichment programs in science and math24 ematics that—
439

•HR 1 IH

1 ‘‘(i) are designed to prepare Alaska

2 Native students from rural areas, who are

3 preparing to enter high school, to excel in

4 science and math; and

5 ‘‘(ii) provide appropriate support serv6 ices to the families of such students that

7 are needed to enable such students to ben8 efit from the program;

9 ‘‘(G) research and data collection activities

10 to determine the educational status and needs

11 of Alaska Native children and adults;

12 ‘‘(H) other research and evaluation activi13 ties related to programs under this subpart;

14 and

15 ‘‘(I) other activities, consistent with the

16 purposes of this subpart, to meet the edu17 cational needs of Alaska Native children and

18 adults.

19 ‘‘(3) HOME INSTRUCTION PROGRAMS.—Home

20 instruction programs for Alaska Native preschool

21 children under paragraph (2)(D) may include—

22 ‘‘(A) programs for parents and their in23 fants, from prenatal through age three;

24 ‘‘(B) preschool programs; and
440

•HR 1 IH

1 ‘‘(C) training, education, and support for

2 parents in such areas as reading readiness, ob3 servation, story-telling, and critical thinking.

4 ‘‘(b) LIMITATION ON ADMINISTRATIVE COSTS.—Not

5 more than 5 percent of funds provided to a grantee under

6 this section for any fiscal year may be used for administra7 tive purposes.

8 ‘‘(c) AUTHORIZATION OF APPROPRIATIONS.—There

9 are authorized to be appropriated $15,000,000 for fiscal

10 year 2002, and such sums as may be necessary for each

11 of the fiscal years 2003 through 2006 to carry out this

12 subpart.

13 ‘‘SEC. 3305. ADMINISTRATIVE PROVISIONS.

14 ‘‘(a) APPLICATION REQUIRED.—No grant may be

15 made under this subpart, nor any contract be entered into

16 under this subpart, unless an application is submitted to

17 the Secretary in such form, in such manner, and con18 taining such information as the Secretary may determine

19 necessary to carry out the provisions of this subpart.

20 ‘‘(b) APPLICATIONS.—State and local educational

21 agencies may apply for an award under this subpart only

22 as subpart of a consortium involving an Alaska Native or23 ganization. This consortium may include other eligible ap24 plicants.
441

•HR 1 IH

1 ‘‘(c) CONSULTATION REQUIRED.—Each applicant for

2 funding shall provide for ongoing advice from and con3 sultation with representatives of the Alaska Native com4 munity.

5 ‘‘(d) LOCAL EDUCATIONAL AGENCY COORDINA6 TION.—Each applicant for an award under this subpart

7 shall inform each local educational agency serving stu8 dents who would participate in the project about its appli9 cation.

10 ‘‘SEC. 3306. DEFINITIONS.

11 ‘‘For purposes of this subpart—

12 ‘‘(1) the term ‘Alaska Native’ has the same

13 meaning as the term ‘Native’ has in section 3(b) of

14 the Alaska Native Claims Settlement Act; and

15 ‘‘(2) the term ‘Alaska Native organization’

16 means a federally recognized tribe, consortium of

17 tribes, regional nonprofit Native association, and

18 other Alaska Native organizations that—

19 ‘‘(A) has or commits to acquire expertise

20 in the education of Alaska Natives; and

21 ‘‘(B) has Alaska Natives in substantive

22 and policy-making positions within the organi23 zation.’’.

24 (b) SAVINGS PROVISION.—Funds appropriated for

25 part C of title IX of the Elementary and Secondary Edu-
442

•HR 1 IH

1 cation Act of 1965 (as in effect on the day before the date

2 of the enactment of this Act) shall be available for use

3 under subpart 2 of part B of title III of such Act, as added

4 by this section.

5 SEC. 313. AMENDMENTS TO THE EDUCATION AMENDMENTS

6 OF 1978.

7 Part B of title XI of the Education Amendments of

8 1978 (25 U.S.C. 2001 et seq.) is amended to read as fol9 lows:

10 ‘‘PART B—BUREAU OF INDIAN AFFAIRS

11 PROGRAMS

12 ‘‘SEC. 1120. FINDING AND POLICY.

13 ‘‘(a) FINDING.—Congress finds and recognizes that

14 the Federal Government has the sole responsibility for the

15 operation and financial support of the Bureau of Indian

16 Affairs funded school system that it has established on

17 or near Indian reservations and Indian trust lands

18 throughout the Nation for Indian children.

19 ‘‘(b) POLICY.—It is the policy of the United States

20 to work in full cooperation with Indian tribes toward the

21 goal of assuring that the programs of the Bureau of In22 dian Affairs funded school system are of the highest qual23 ity and meet the unique educational and cultural needs

24 of Indian children.
443

•HR 1 IH

1 ‘‘SEC. 1121. ACCREDITATION AND STANDARDS FOR THE

2 BASIC EDUCATION OF INDIAN CHILDREN IN

3 BUREAU OF INDIAN AFFAIRS SCHOOLS.

4 ‘‘(a) PURPOSE.—The purpose of the standards imple5 mented under this section shall be to afford Indian stu6 dents being served by a school funded by the Bureau of

7 Indian Affairs the same opportunities as all other students

8 in the United States to achieve the same challenging State

9 performance standards expected of all students.

10 ‘‘(b) STUDIES AND SURVEYS RELATING TO STAND11 ARDS.—Not later than 1 year after the date of the enact12 ment of the No Child Left Behind Act of 2001, the Sec13 retary, in consultation with the Secretary of Education,

14 consortia of education organizations, and Indian organiza15 tions and tribes, and making the fullest use possible of

16 other existing studies, surveys, and plans, shall carry out

17 by contract with an Indian organization, studies and sur18 veys to establish and revise standards for the basic edu19 cation of Indian children attending Bureau funded

20 schools. Such studies and surveys shall take into account

21 factors such as academic needs, local cultural differences,

22 type and level of language skills, geographic isolation, and

23 appropriate teacher-student ratios for such children, and

24 shall be directed toward the attainment of equal edu25 cational opportunity for such children.
444

•HR 1 IH

1 ‘‘(c) REVISION OF MINIMUM ACADEMIC STAND2 ARDS.—

3 ‘‘(1) IN GENERAL.—Not later than 2 years

4 after the date of the enactment of the No Child Left

5 Behind Act of 2001, the Secretary shall—

6 ‘‘(A) propose revisions to the minimum

7 academic standards published in the Federal

8 Register on September 9, 1995 (50 Fed. Reg.

9 174) for the basic education of Indian children

10 attending Bureau funded schools in accordance

11 with the purpose described in subsection (a)

12 and the findings of the studies and surveys con13 ducted under subsection (b);

14 ‘‘(B) publish such proposed revisions to

15 such standards in the Federal Register for the

16 purpose of receiving comments from the tribes,

17 tribal school boards, Bureau funded schools,

18 and other interested parties; and

19 ‘‘(C) consistent with the provisions of this

20 section and section 1131, take such actions as

21 are necessary to coordinate standards imple22 mented under this section with the Comprehen23 sive School Reform Plan developed by the Bu24 reau and—
445

•HR 1 IH

1 ‘‘(i) with the standards of the im2 provement plans for the States in which

3 any school operated by the Bureau of In4 dian Affairs is located; or

5 ‘‘(ii) in the case where schools oper6 ated by the Bureau are within the bound7 aries of reservation land of one tribe but

8 within the boundaries of more than one

9 State, with the standards of the State im10 provement plan of one such State selected

11 by the tribe.

12 ‘‘(2) FURTHER REVISIONS.—Not later that 6

13 months after the close of the comment period, the

14 Secretary shall establish final standards, distribute

15 such standards to all tribes and publish such final

16 standards in the Federal Register. The Secretary

17 shall revise such standards periodically as necessary.

18 Prior to any revision of such final standards, the

19 Secretary shall distribute such proposed revision to

20 all the tribes, and publish such proposed revision in

21 the Federal Register, for the purpose of receiving

22 comments from the tribes and other interested par23 ties.

24 ‘‘(3) APPLICABILITY OF STANDARDS.—Except

25 as provided in subsection (e), the final standards
446

•HR 1 IH

1 published under paragraph (2) shall apply to all Bu2 reau funded schools not accredited under subsection

3 (f), and may also serve as a model for educational

4 programs for Indian children in public schools.

5 ‘‘(4) CONSIDERATIONS WHEN ESTABLISHING

6 AND REVISING STANDARDS.—In establishing and re7 vising such standards, the Secretary shall take into

8 account the unique needs of Indian students and

9 support and reinforcement of the specific cultural

10 heritage of each tribe.

11 ‘‘(d) ALTERNATIVE OR MODIFIED STANDARDS.—The

12 Secretary shall provide alternative or modified standards

13 in lieu of the standards established under subsection (c),

14 where necessary, so that the programs of each school are

15 in compliance with the minimum accreditation standards

16 required for schools in the State or region where the school

17 is located.

18 ‘‘(e) WAIVER OF STANDARDS; ALTERNATIVE STAND19 ARDS.—A tribal governing body, or the local school board

20 so designated by the tribal governing body, shall have the

21 local authority to waive, in part or in whole, the standards

22 established under subsections (c) and (d) if such standards

23 are deemed by such body to be inappropriate. The tribal

24 governing body or designated school board shall, not later

25 than 60 days after a waiver under this subsection, submit
447

•HR 1 IH

1 to the Secretary a proposal for alternative standards that

2 take into account the specific needs of the tribe’s children.

3 Such alternative standards shall be established by the Sec4 retary unless specifically rejected by the Secretary for

5 good cause and in writing to the affected tribes or local

6 school board, which rejection shall be final and not subject

7 to review.

8 ‘‘(f) ACCREDITATION AND IMPLEMENTATION OF

9 STANDARDS.—

10 ‘‘(1) DEADLINE FOR MEETING STANDARDS.—

11 Not later the second academic year after publication

12 of the standards, to the extent necessary funding is

13 provided, all Bureau funded schools shall meet the

14 standards established under subsections (c) and (d)

15 or shall be accredited—

16 ‘‘(A) by a tribal accrediting body, if the ac17 creditation standards of the tribal accrediting

18 body have been accepted by formal action of the

19 tribal governing body and are equal to or ex20 ceed the accreditation standards of the State or

21 region in which the school is located;

22 ‘‘(B) by a regional accreditation agency; or

23 ‘‘(C) by State accreditation standards for

24 the State in which it is located.
448

•HR 1 IH

1 ‘‘(2) DETERMINATION OF STANDARDS TO BE

2 APPLIED.—The accreditation type or standards ap3 plied for each school shall be determined by the

4 school board of the school, in consultation with the

5 Administrator of the school, provided that in the

6 case where the School Board and the Administrator

7 fail to agree on the type of accreditation and stand8 ards to apply, the decision of the school board with

9 the approval of the tribal governing body shall be

10 final.

11 ‘‘(3) ASSISTANCE TO SCHOOL BOARDS.—The

12 Secretary, through contracts and grants, shall assist

13 school boards of contract or grant schools in imple14 mentation of the standards established under sub15 sections (c) and (d), if the school boards request

16 that such standards, in part or in whole, be imple17 mented.

18 ‘‘(4) FISCAL CONTROL AND FUND ACCOUNTING

19 STANDARDS.—The Bureau shall, either directly or

20 through contract with an Indian organization, estab21 lish a consistent system of reporting standards for

22 fiscal control and fund accounting for all contract

23 and grant schools. Such standards shall provide data

24 comparable to those used by Bureau operated

25 schools.
449

•HR 1 IH

1 ‘‘(g) ANNUAL PLAN FOR MEETING OF STAND2 ARDS.—Except as provided in subsections (e) and (f), the

3 Secretary shall begin to implement the standards estab4 lished under this section immediately upon the date of

5 their establishment. On an annual basis, the Secretary

6 shall submit to the appropriate committees of Congress,

7 all Bureau funded schools, and the tribal governing bodies

8 of such schools a detailed plan to bring all Bureau schools

9 and contract or grant schools up to the level required by

10 the applicable standards established under this section.

11 Such plan shall include detailed information on the status

12 of each school’s educational program in relation to the ap13 plicable standards established under this section, specific

14 cost estimates for meeting such standards at each school

15 and specific timelines for bringing each school up to the

16 level required by such standards.

17 ‘‘(h) CLOSURE OR CONSOLIDATION OF SCHOOLS.—

18 ‘‘(1) IN GENERAL.—Except as specifically re19 quired by statute, no school or peripheral dormitory

20 operated by the Bureau on or after January 1,

21 1992, may be closed or consolidated or have its pro22 gram substantially curtailed unless done according

23 to the requirements of this subsection.

24 ‘‘(2) EXCEPTIONS.—This subsection shall not

25 apply—
450

•HR 1 IH

1 ‘‘(A) in those cases where the tribal gov2 erning body, or the local school board concerned

3 (if so designated by the tribal governing body),

4 requests closure or consolidation; or

5 ‘‘(B) when a temporary closure, consolida6 tion, or substantial curtailment is required by

7 plant conditions which constitute an immediate

8 hazard to health and safety.

9 ‘‘(3) REGULATIONS.—The Secretary shall, by

10 regulation, promulgate standards and procedures for

11 the closure, transfer to another authority, consolida12 tion, or substantial curtailment of Bureau schools, in

13 accordance with the requirements of this subsection.

14 ‘‘(4) NOTICE.—Whenever closure, transfer to

15 another authority, consolidation, or substantial cur16 tailment of a school is under active consideration or

17 review by any division of the Bureau or the Depart18 ment of the Interior, the affected tribe, tribal gov19 erning body, and designated local school board, will

20 be notified immediately, kept fully and currently in21 formed, and afforded an opportunity to comment

22 with respect to such consideration or review. When

23 a formal decision is made to close, transfer to an24 other authority, consolidate, or substantially curtail

25 a school, the affected tribe, tribal governing body,
451

•HR 1 IH

1 and designated school board shall be notified at least

2 6 months prior to the end of the school year pre3 ceding the proposed closure date. Copies of any such

4 notices and information shall be transmitted prompt5 ly to the appropriate committees of Congress and

6 published in the Federal Register.

7 ‘‘(5) REPORT.—The Secretary shall make a re8 port to the appropriate committees of Congress, the

9 affected tribe, and the designated school board de10 scribing the process of the active consideration or re11 view referred to in paragraph (4). The report shall

12 include a study of the impact of such action on the

13 student population, identify those students with par14 ticular educational and social needs, and ensure that

15 alternative services are available to such students.

16 Such report shall include the description of the con17 sultation conducted between the potential service

18 provider, current service provider, parents, tribal

19 representatives and the tribe or tribes involved, and

20 the Director of the Office of Indian Education Pro21 grams within the Bureau regarding such students.

22 ‘‘(6) LIMITATION ON CERTAIN ACTIONS.—No

23 irrevocable action may be taken in furtherance of

24 any such proposed school closure, transfer to an25 other authority, consolidation, or substantial curtail-
452

•HR 1 IH

1 ment (including any action which would prejudice

2 the personnel or programs of such school) prior to

3 the end of the first full academic year after such re4 port is made.

5 ‘‘(7) TRIBAL GOVERNING BODY APPROVAL RE6 QUIRED FOR CERTAIN ACTIONS.—The Secretary may

7 terminate, contract, transfer to any other authority,

8 consolidate, or substantially curtail the operation or

9 facilities of—

10 ‘‘(A) any Bureau funded school that is op11 erated on or after of January 1, 1999;

12 ‘‘(B) any program of such a school that is

13 operated on or after January 1, 1999; or

14 ‘‘(C) any school board of a school operated

15 under a grant under the Tribally Controlled

16 Schools Act of 1988,

17 only if the tribal governing body approves such ac18 tion.

19 ‘‘(i) APPLICATION FOR CONTRACTS OR GRANTS FOR

20 NON-BUREAU FUNDED SCHOOLS OR EXPANSION OF BU21 REAU FUNDED SCHOOLS.—

22 ‘‘(1) IN GENERAL.—(A)(i) The Secretary shall

23 only consider the factors described in subparagraph

24 (B) in reviewing—
453

•HR 1 IH

1 ‘‘(I) applications from any tribe for the

2 awarding of a contract or grant for a school

3 that is not a Bureau funded school; and

4 ‘‘(II) applications from any tribe or school

5 board of any Bureau funded school for—

6 ‘‘(aa) a school which is not a Bureau

7 funded school; or

8 ‘‘(bb) the expansion of a Bureau

9 funded school which would increase the

10 amount of funds received by the Indian

11 tribe or school board under section 1127.

12 ‘‘(ii) With respect to applications described in

13 this subparagraph, the Secretary shall give consider14 ation to all the factors described in subparagraph

15 (B), but no such application shall be denied based

16 primarily upon the geographic proximity of com17 parable public education.

18 ‘‘(B) With respect to applications described in

19 subparagraph (A) the Secretary shall consider the

20 following factors relating to the program and serv21 ices that are the subject of the application:

22 ‘‘(i) The adequacy of the facilities or the

23 potential to obtain or provide adequate facili24 ties.
454

•HR 1 IH

1 ‘‘(ii) Geographic and demographic factors

2 in the affected areas.

3 ‘‘(iii) The adequacy of the applicant’s pro4 gram plans or, in the case of a Bureau funded

5 school, of projected needs analysis done either

6 by the tribe or the Bureau.

7 ‘‘(iv) Geographic proximity of comparable

8 public education.

9 ‘‘(v) The stated needs of all affected par10 ties, including students, families, tribal govern11 ments at both the central and local levels, and

12 school organizations.

13 ‘‘(vi) Adequacy and comparability of pro14 grams already available.

15 ‘‘(vii) Consistency of available programs

16 with tribal educational codes or tribal legisla17 tion on education.

18 ‘‘(viii) The history and success of these

19 services for the proposed population to be

20 served, as determined from all factors, including

21 but not limited to standardized examination

22 performance.

23 ‘‘(2) DETERMINATION ON APPLICATION.—(A)

24 The Secretary shall make a determination of wheth25 er to approve any application described in paragraph
455

•HR 1 IH

1 (1)(A) not later than 180 days after such applica2 tion is submitted to the Secretary.

3 ‘‘(B) If the Secretary fails to make the deter4 mination with respect to an application by the date

5 described in subparagraph (A), the application shall

6 be treated a having been approved by the Secretary.

7 ‘‘(3) REQUIREMENTS FOR APPLICATIONS.—(A)

8 Notwithstanding paragraph (2)(B), an application

9 described in paragraph (1)(A) may be approved by

10 the Secretary only if—

11 ‘‘(i) the application has been approved by

12 the tribal governing body of the students served

13 by (or to be served by) the school or program

14 that is the subject of the application; and

15 ‘‘(ii) written evidence of such approval is

16 submitted with the application.

17 ‘‘(B) Each application described in paragraph

18 (1)(A) shall provide information concerning each of

19 the factors described in paragraph (1)(B).

20 ‘‘(4) DENIAL OF APPLICATIONS.—Whenever the

21 Secretary makes a determination to deny approval of

22 any application described in paragraph (1)(A), the

23 Secretary shall—
456

•HR 1 IH

1 ‘‘(A) state the objections in writing to the

2 applicant not later 180 days after the applica3 tion is submitted to the Secretary;

4 ‘‘(B) provide assistance to the applicant to

5 overcome stated objections; and

6 ‘‘(C) provide the applicant a hearing,

7 under the same rules and regulations pertaining

8 to the Indian Self-Determination and Education

9 Assistance Act and an opportunity to appeal

10 the objections raised by the Secretary.

11 ‘‘(5) EFFECTIVE DATE OF A SUBJECT APPLICA12 TION.—(A) Except as otherwise provided in this

13 paragraph, the action which is the subject of any ap14 plication described in paragraph (1)(A) that is ap15 proved by the Secretary shall become effective at the

16 beginning of the academic year following the fiscal

17 year in which the application is approved, or at an

18 earlier date determined by the Secretary.

19 ‘‘(B) If an application is treated as having been

20 approved by the Secretary under paragraph (2)(B),

21 the action that is the subject of the application shall

22 become effective on the date that is 18 months after

23 the date on which the application is submitted to the

24 Secretary, or at an earlier date determined by the

25 Secretary.
457

•HR 1 IH

1 ‘‘(6) STATUTORY CONSTRUCTION.—Nothing in

2 this section shall be read so as to preclude the ex3 pansion of grades and related facilities at a Bureau

4 funded school where such expansion and the mainte5 nance of such expansion is occasioned or paid for

6 with non-Bureau funds.

7 ‘‘(j) GENERAL USE OF FUNDS.—Funds received by

8 Bureau funded schools from the Bureau of Indian Affairs

9 and under any program from the Department of Edu10 cation or any other Federal agency for the purpose of pro11 viding education or related services may be used for

12 schoolwide projects to improve the educational program

13 for all Indian students.

14 ‘‘(k) STUDY ON ADEQUACY OF FUNDS AND FOR15 MULAS.—The Comptroller General shall conduct a study,

16 in consultation with Indian tribes and local school boards,

17 to determine the adequacy of funding, and formulas used

18 by the Bureau to determine funding, for programs oper19 ated by Bureau funded schools, taking into account unique

20 circumstances applicable to Bureau funded schools, as well

21 as expenditures for comparable purposes in public schools

22 nationally. Upon completion of the study, the Secretary

23 of the Interior shall take such action as necessary to en24 sure distribution of the findings of the study to all affected
458

•HR 1 IH

1 Indian tribes, local school boards, and associations of local

2 school boards.

3 ‘‘SEC. 1122. NATIONAL CRITERIA FOR HOME-LIVING SITUA4 TIONS.

5 ‘‘(a) IN GENERAL.—The Secretary, in consultation

6 with the Secretary of Education, Indian organizations and

7 tribes, and Bureau funded schools, shall revise the na8 tional standards for home-living (dormitory) situations to

9 include such factors as heating, lighting, cooling, adult10 child ratios, needs for counselors (including special needs

11 related to off-reservation home-living (dormitory) situa12 tions), therapeutic programs, space, and privacy. Such

13 standards shall be implemented in Bureau operated

14 schools, and shall serve as minimum standards for con15 tract or grant schools. Once established, any revisions of

16 such standards shall be developed according to the re17 quirements established under section 1138A.

18 ‘‘(b) IMPLEMENTATION.—The Secretary shall imple19 ment the revised standards established under this section

20 immediately upon their completion.

21 ‘‘(c) PLAN.—At the time of each annual budget sub22 mission for Bureau educational services is presented, the

23 Secretary shall submit to the appropriate committees of

24 Congress, the tribes, and the affected schools, and publish

25 in the Federal Register, a detailed plan to bring all Bu-
459

•HR 1 IH

1 reau funded schools that provide home-living (dormitory)

2 situations up to the standards established under this sec3 tion. Such plan shall include a statement of the relative

4 needs of each Bureau funded home-living (dormitory)

5 school, projected future needs of each Bureau funded

6 home-living (dormitory) school, detailed information on

7 the status of each school in relation to the standards es8 tablished under this section, specific cost estimates for

9 meeting each standard for each such school, aggregate

10 cost estimates for bringing all such schools into compli11 ance with the criteria established under this section, and

12 specific timelines for bringing each school into compliance

13 with such standards.

14 ‘‘(d) WAIVER.—The criteria established under this

15 section may be waived in the same manner as the stand16 ards provided under section 1121(c) may be waived.

17 ‘‘(e) CLOSURE FOR FAILURE TO MEET STANDARDS

18 PROHIBITED.—No school in operation on or before Janu19 ary 1, 1987 (regardless of compliance or noncompliance

20 with the criteria established under this section), may be

21 closed, transferred to another authority, consolidated, or

22 have its program substantially curtailed for failure to meet

23 the criteria.
460

•HR 1 IH

1 ‘‘SEC. 1123. CODIFICATION OF REGULATIONS.

2 ‘‘(a) PART 32 OF TITLE 25 OF CODE OF FEDERAL

3 REGULATIONS.—The provisions of part 32 of title 25 of

4 the Code of Federal Regulations, as in effect on January

5 1, 1987, are incorporated into this Act and shall be treat6 ed as though such provisions are set forth in this sub7 section. Such provisions may be altered only by means of

8 an Act of Congress. To the extent that such provisions

9 of part 32 do not conform with this Act or any statutory

10 provision of law enacted before November 1, 1978, the

11 provisions of this Act and the provisions of such other

12 statutory law shall govern.

13 ‘‘(b) REGULATION DEFINED.—For purposes of this

14 part, the term ‘regulation’ means any rules, regulations,

15 guidelines, interpretations, orders, or requirements of gen16 eral applicability prescribed by any officer or employee of

17 the executive branch.

18 ‘‘SEC. 1124. SCHOOL BOUNDARIES.

19 ‘‘(a) ESTABLISHMENT BY SECRETARY.—The Sec20 retary shall establish, by regulation, separate geographical

21 attendance areas for each Bureau funded school.

22 ‘‘(b) ESTABLISHMENT BY TRIBAL BODY.—In any

23 case where there is more than one Bureau funded school

24 located on an Indian reservation, at the direction of the

25 tribal governing body, the relevant school boards of the

26 Bureau funded schools on the reservation may, by mutual
461

•HR 1 IH

1 consent, establish the relevant attendance areas for such

2 schools, subject to the approval of the tribal governing

3 body. Any such boundaries so established shall be accepted

4 by the Secretary.

5 ‘‘(c) BOUNDARY REVISIONS.—

6 ‘‘(1) IN GENERAL.—On or after July 1, 2001,

7 no geographical attendance area shall be revised or

8 established with respect to any Bureau funded

9 school unless the tribal governing body or the local

10 school board concerned (if so designated by the trib11 al governing body) has been afforded—

12 ‘‘(A) at least 6 months notice of the inten13 tion of the Bureau to revise or establish such

14 attendance area; and

15 ‘‘(B) the opportunity to propose alternative

16 boundaries.

17 Any tribe may petition the Secretary for revision of

18 existing attendance area boundaries. The Secretary

19 shall accept such proposed alternative or revised

20 boundaries unless the Secretary finds, after con21 sultation with the affected tribe or tribes, that such

22 revised boundaries do not reflect the needs of the In23 dian students to be served or do not provide ade24 quate stability to all of the affected programs. The
462

•HR 1 IH

1 Secretary shall cause such revisions to be published

2 in the Federal Register.

3 ‘‘(2) TRIBAL RESOLUTION DETERMINATION.—

4 Nothing in this section shall be interpreted as deny5 ing a tribal governing body the authority, on a con6 tinuing basis, to adopt a tribal resolution allowing

7 parents the choice of the Bureau funded school their

8 children may attend, regardless of the attendance

9 boundaries established under this section.

10 ‘‘(d) FUNDING RESTRICTIONS.—The Secretary shall

11 not deny funding to a Bureau funded school for any eligi12 ble Indian student attending the school solely because that

13 student’s home or domicile is outside of the geographical

14 attendance area established for that school under this sec15 tion. No funding shall be made available without tribal au16 thorization to enable a school to provide transportation for

17 any student to or from the school and a location outside

18 the approved attendance area of the school.

19 ‘‘(e) RESERVATION AS BOUNDARY.—In any case

20 where there is only one Bureau funded program located

21 on an Indian reservation, the attendance area for the pro22 gram shall be the boundaries (established by treaty, agree23 ment, legislation, court decisions, or executive decisions

24 and as accepted by the tribe) of the reservation served,
463

•HR 1 IH

1 and those students residing near the reservation shall also

2 receive services from such program.

3 ‘‘(f) OFF-RESERVATION HOME-LIVING (DORMITORY)

4 SCHOOLS.—Notwithstanding any geographical attendance

5 areas, attendance at off-reservation home-living (dor6 mitory) schools shall include students requiring special

7 emphasis programs to be implemented at each off-reserva8 tion home-living (dormitory) school. Such attendance shall

9 be coordinated between education line officers, the family,

10 and the referring and receiving programs.

11 ‘‘SEC. 1125. FACILITIES CONSTRUCTION.

12 ‘‘(a) COMPLIANCE WITH HEALTH AND SAFETY

13 STANDARDS.—The Secretary shall immediately begin to

14 bring all schools, dormitories, and other Indian education15 related facilities operated by the Bureau or under contract

16 or grant with the Bureau into compliance with all applica17 ble tribal, Federal, or State health and safety standards,

18 whichever provides greater protection (except that the

19 tribal standards to be applied shall be no greater than any

20 otherwise applicable Federal or State standards), with sec21 tion 504 of the Rehabilitation Act of 1973, and with the

22 Americans with Disabilities Act of 1990. Nothing in this

23 section shall require termination of the operations of any

24 facility which does not comply with such provisions and
464

•HR 1 IH

1 which is in use on the date of the enactment of the No

2 Child Left Behind Act of 2001.

3 ‘‘(b) COMPLIANCE PLAN.—At the time that the an4 nual budget request for Bureau educational services is

5 presented, the Secretary shall submit to the appropriate

6 committees of Congress a detailed plan to bring all facili7 ties covered under subsection (a) of this section into com8 pliance with the standards referred to in subsection (a).

9 Such plan shall include detailed information on the status

10 of each facility’s compliance with such standards, specific

11 cost estimates for meeting such standards at each school,

12 and specific timelines for bringing each school into compli13 ance with such standards.

14 ‘‘(c) CONSTRUCTION PRIORITIES.—

15 ‘‘(1) SYSTEM TO ESTABLISH PRIORITIES.—On

16 an annual basis the Secretary shall submit to the

17 appropriate committees of Congress and cause to be

18 published in the Federal Register, the system used

19 to establish priorities for replacement and construc20 tion projects for Bureau funded schools and home21 living schools, including boarding schools and dor22 mitories. At the time any budget request for edu23 cation is presented, the Secretary shall publish in

24 the Federal Register and submit with the budget re-
465

•HR 1 IH

1 quest the current list of all Bureau funded school

2 construction priorities.

3 ‘‘(2) LONG-TERM CONSTRUCTION AND RE4 PLACEMENT LIST.—In addition to the plan sub5 mitted under subsection (b), the Secretary shall—

6 ‘‘(A) not later than 18 months after the

7 date of the enactment of the No Child Left Be8 hind Act of 2001, establish a long-term con9 struction and replacement list for all Bureau

10 funded schools;

11 ‘‘(B) using the list prepared under sub12 paragraph (A), propose a list for the orderly re13 placement of all Bureau funded education-re14 lated facilities over a period of 40 years to en15 able planning and scheduling of budget re16 quests;

17 ‘‘(C) cause the list prepared under sub18 section (B) to be published in the Federal Reg19 ister and allow a period of not less than 120

20 days for public comment;

21 ‘‘(D) make such revisions to the list pre22 pared under subparagraph (B) as are appro23 priate based on the comments received; and

24 ‘‘(E) cause the final list to be published in

25 the Federal Register.
466

•HR 1 IH

1 ‘‘(3) EFFECT ON OTHER LIST.—Nothing in this

2 section shall be construed as interfering with or

3 changing in any way the construction priority list as

4 it exists on the date of the enactment of the No

5 Child Left Behind Act of 2001.

6 ‘‘(d) HAZARDOUS CONDITION AT BUREAU

7 SCHOOL.—

8 ‘‘(1) CLOSURE OR CONSOLIDATION.—A Bureau

9 funded school may be closed or consolidated, and the

10 programs of a Bureau funded school may be sub11 stantially curtailed by reason of plant conditions

12 that constitute an immediate hazard to health and

13 safety only if a health and safety officer of the Bu14 reau determines that such conditions exist at the

15 Bureau funded school.

16 ‘‘(2) INSPECTION.—(A) After making a deter17 mination described in paragraph (1), the Bureau

18 health and safety officer shall conduct an inspection

19 of the condition of such plant accompanied by an ap20 propriate tribal, county, municipal, or State health

21 and safety officer in order to determine whether con22 ditions at such plant constitute an immediate hazard

23 to health and safety. Such inspection shall be com24 pleted by not later than the date that is 30 days

25 after the date on which the action described in para-
467

•HR 1 IH

1 graph (1) is taken. No further negative action may

2 be taken unless the findings are concurred in by the

3 second, non-Bureau of Indian Affairs inspector.

4 ‘‘(B) If the health and safety officer conducting

5 the inspection of a plant required under subpara6 graph (A) determines that conditions at the plant do

7 not constitute an immediate hazard to health and

8 safety, any consolidation or curtailment that was

9 made under paragraph (1) shall immediately cease

10 and any school closed by reason of conditions at the

11 plant shall be reopened immediately.

12 ‘‘(C) If a Bureau funded school is temporarily

13 closed or consolidated or the programs of a Bureau

14 funded school are substantially curtailed under this

15 subsection and the Secretary determines that the

16 closure, consolidation, or curtailment will exceed 1

17 year, the Secretary shall submit to the Congress, by

18 not later than 6 months after the date on which the

19 closure, consolidation, or curtailment was initiated, a

20 report which sets forth the reasons for such tem21 porary actions, the actions the Secretary is taking to

22 eliminate the conditions that constitute the hazard,

23 and an estimated date by which such actions will be

24 concluded.

25 ‘‘(e) FUNDING REQUIREMENT.—
468

•HR 1 IH

1 ‘‘(1) DISTRIBUTION OF FUNDS.—Beginning

2 with the fiscal year following the year of the date of

3 the enactment of the No Child Left Behind Act of

4 2001, all funds appropriated for the operations and

5 maintenance of Bureau funded schools shall be dis6 tributed by formula to the schools. No funds from

7 this account may be retained or segregated by the

8 Bureau to pay for administrative or other costs of

9 any facilities branch or office, at any level of the Bu10 reau.

11 ‘‘(2) REQUIREMENTS FOR CERTAIN USES.—No

12 funds shall be withheld from the distribution to the

13 budget of any school operated under contract or

14 grant by the Bureau for maintenance or any other

15 facilities or road related purpose, unless such school

16 has consented, as a modification to the contract or

17 in writing for grants schools, to the withholding of

18 such funds, including the amount thereof, the pur19 pose for which the funds will be used, and the

20 timeline for the services to be provided. The school

21 may, at the end of any fiscal year, cancel an agree22 ment under this paragraph upon giving the Bureau

23 30 days notice of its intent to do so.

24 ‘‘(f) NO REDUCTION IN FEDERAL FUNDING.—Noth25 ing in this section shall be construed to diminish any Fed-
469

•HR 1 IH

1 eral funding due to the receipt by the school of funding

2 for facilities improvement or construction from a State or

3 any other source.

4 ‘‘SEC. 1126. BUREAU OF INDIAN AFFAIRS EDUCATION FUNC5 TIONS.

6 ‘‘(a) FORMULATION AND ESTABLISHMENT OF POL7 ICY AND PROCEDURE; SUPERVISION OF PROGRAMS AND

8 EXPENDITURES.—The Secretary shall vest in the Assist9 ant Secretary for Indian Affairs all functions with respect

10 to formulation and establishment of policy and procedure

11 and supervision of programs and expenditures of Federal

12 funds for the purpose of Indian education administered

13 by the Bureau. The Assistant Secretary shall carry out

14 such functions through the Director of the Office of Indian

15 Education Programs.

16 ‘‘(b) DIRECTION AND SUPERVISION OF PERSONNEL

17 OPERATIONS.—Not later than 6 months after the date of

18 the enactment of the No Child Left Behind Act of 2001,

19 the Director of the Office of Indian Education Programs

20 shall direct and supervise the operations of all personnel

21 directly and substantially involved in the provision of edu22 cation services by the Bureau, including school or institu23 tion custodial or maintenance personnel, facilities manage24 ment, contracting, procurement, and finance personnel.

25 The Assistant Secretary for Indian Affairs shall coordi-
470

•HR 1 IH

1 nate the transfer of functions relating to procurement,

2 contracts, operation, and maintenance of schools and

3 other support functions to the Director.

4 ‘‘(c) EVALUATION OF PROGRAMS; SERVICES AND

5 SUPPORT FUNCTIONS; TECHNICAL AND COORDINATING

6 ASSISTANCE.—Education personnel who are under the di7 rection and supervision of the Director of the Office of

8 Indian Education Programs in accordance with the first

9 sentence of subsection (b) shall—

10 ‘‘(1) monitor and evaluate Bureau education

11 programs;

12 ‘‘(2) provide all services and support functions

13 for education programs with respect to personnel

14 matters involving staffing actions and functions; and

15 ‘‘(3) provide technical and coordinating assist16 ance in areas such as procurement, contracting,

17 budgeting, personnel, curriculum, and operation and

18 maintenance of school facilities.

19 ‘‘(d) CONSTRUCTION, IMPROVEMENT, OPERATION,

20 AND MAINTENANCE OF FACILITIES.—

21 ‘‘(1) PLAN FOR CONSTRUCTION.—The Assistant

22 Secretary shall submit in the annual budget a

23 plan—

24 ‘‘(A) for school facilities to be constructed

25 under section 1125(c);
471

•HR 1 IH

1 ‘‘(B) for establishing priorities among

2 projects and for the improvement and repair of

3 educational facilities, which together shall form

4 the basis for the distribution of appropriated

5 funds; and

6 ‘‘(C) for capital improvements to be made

7 over the five succeeding years.

8 ‘‘(2) PROGRAM FOR OPERATION AND MAINTE9 NANCE.—

10 ‘‘(A) ESTABLISHMENT.—The Assistant

11 Secretary shall establish a program, including

12 the distribution of appropriated funds, for the

13 operation and maintenance of education facili14 ties. Such program shall include—

15 ‘‘(i) a method of computing the

16 amount necessary for each educational fa17 cility;

18 ‘‘(ii) similar treatment of all Bureau

19 funded schools;

20 ‘‘(iii) a notice of an allocation of ap21 propriated funds from the Director of the

22 Office of Indian Education Programs di23 rectly to the education line officers and ap24 propriate school officials;
472

•HR 1 IH

1 ‘‘(iv) a method for determining the

2 need for, and priority of, facilities repair

3 and maintenance projects, both major and

4 minor. In making such determination, the

5 Assistant Secretary shall cause to be con6 ducted a series of meetings at the agency

7 and area level with representatives of the

8 Bureau funded schools in those areas and

9 agencies to receive comment on the lists

10 and prioritization of such projects; and

11 ‘‘(v) a system for the conduct of rou12 tine preventive maintenance.

13 ‘‘(B) LOCAL SUPERVISORS.—The appro14 priate education line officers shall make ar15 rangements for the maintenance of education

16 facilities with the local supervisors of the Bu17 reau maintenance personnel. The local super18 visors of Bureau maintenance personnel shall

19 take appropriate action to implement the deci20 sions made by the appropriate education line of21 ficers, except that no funds under this chapter

22 may be authorized for expenditure unless such

23 appropriate education line officer is assured

24 that the necessary maintenance has been, or

25 will be, provided in a reasonable manner.
473

•HR 1 IH

1 ‘‘(3) IMPLEMENTATION.—The requirements of

2 this subsection shall be implemented as soon as

3 practicable after the date of the enactment of the No

4 Child Left Behind Act of 2001.

5 ‘‘(e) ACCEPTANCE OF GIFTS AND BEQUESTS.—Not6 withstanding any other provision of law, the Director shall

7 promulgate guidelines for the establishment of mecha8 nisms for the acceptance of gifts and bequests for the use

9 and benefit of particular schools or designated Bureau op10 erated education programs, including, where appropriate,

11 the establishment and administration of trust funds.

12 When a Bureau operated program is the beneficiary of

13 such a gift or bequest, the Director shall make provisions

14 for monitoring its use and shall report to the appropriate

15 committees of Congress the amount and terms of such gift

16 or bequest, the manner in which such gift or bequest shall

17 be used, and any results achieved by such action.

18 ‘‘(f) FUNCTIONS CLARIFIED.—For the purpose of

19 this section, the term ‘functions’ includes powers and du20 ties.

21 ‘‘SEC. 1127. ALLOTMENT FORMULA.

22 ‘‘(a) FACTORS CONSIDERED; REVISION TO REFLECT

23 STANDARDS.—

24 ‘‘(1) FORMULA.—The Secretary shall establish,

25 by regulation adopted in accordance with section
474

•HR 1 IH

1 1138A, a formula for determining the minimum an2 nual amount of funds necessary to sustain each Bu3 reau funded school. In establishing such formula,

4 the Secretary shall consider—

5 ‘‘(A) the number of eligible Indian stu6 dents served and total student population of the

7 school;

8 ‘‘(B) special cost factors, such as—

9 ‘‘(i) the isolation of the school;

10 ‘‘(ii) the need for special staffing,

11 transportation, or educational programs;

12 ‘‘(iii) food and housing costs;

13 ‘‘(iv) maintenance and repair costs as14 sociated with the physical condition of the

15 educational facilities;

16 ‘‘(v) special transportation and other

17 costs of isolated and small schools;

18 ‘‘(vi) the costs of home-living (dor19 mitory) arrangements, where determined

20 necessary by a tribal governing body or

21 designated school board;

22 ‘‘(vii) costs associated with greater

23 lengths of service by education personnel;
475

•HR 1 IH

1 ‘‘(viii) the costs of therapeutic pro2 grams for students requiring such pro3 grams; and

4 ‘‘(ix) special costs for gifted and tal5 ented students;

6 ‘‘(C) the cost of providing academic serv7 ices which are at least equivalent to those pro8 vided by public schools in the State in which

9 the school is located; and

10 ‘‘(D) such other relevant factors as the

11 Secretary determines are appropriate.

12 ‘‘(2) REVISION OF FORMULA.—Upon the estab13 lishment of the standards required in sections 1121

14 and 1122, the Secretary shall revise the formula es15 tablished under this subsection to reflect the cost of

16 funding such standards. Not later than January 1,

17 2003, the Secretary shall review the formula estab18 lished under this section and shall take such steps

19 as are necessary to increase the availability of coun20 seling and therapeutic programs for students in off21 reservation home-living (dormitory) schools and

22 other Bureau operated residential facilities. Concur23 rent with such action, the Secretary shall review the

24 standards established under section 1122 to be cer25 tain that adequate provision is made for parental no-
476

•HR 1 IH

1 tification regarding, and consent for, such counseling

2 and therapeutic programs.

3 ‘‘(b) PRO RATA ALLOTMENT.—Notwithstanding any

4 other provision of law, Federal funds appropriated for the

5 general local operation of Bureau funded schools shall be

6 allotted pro rata in accordance with the formula estab7 lished under subsection (a).

8 ‘‘(c) ANNUAL ADJUSTMENT; RESERVATION OF

9 AMOUNT FOR SCHOOL BOARD ACTIVITIES.—

10 ‘‘(1) ANNUAL ADJUSTMENT.—For fiscal year

11 2003, and for each subsequent fiscal year, the Sec12 retary shall adjust the formula established under

13 subsection (a) to ensure that the formula does the

14 following:

15 ‘‘(A) Uses a weighted unit of 1.2 for each

16 eligible Indian student enrolled in the seventh

17 and eighth grades of the school in considering

18 the number of eligible Indian students served

19 by the school.

20 ‘‘(B) Considers a school with an enroll21 ment of less than 50 eligible Indian students as

22 having an average daily attendance of 50 eligi23 ble Indian students for purposes of imple24 menting the adjustment factor for small

25 schools.
477

•HR 1 IH

1 ‘‘(C) Takes into account the provision of

2 residential services on less than a 9-month basis

3 at a school when the school board and super4 visor of the school determine that a less than

5 9-month basis will be implemented for the

6 school year involved.

7 ‘‘(D) Uses a weighted unit of 2.0 for each

8 eligible Indian student that—

9 ‘‘(i) is gifted and talented; and

10 ‘‘(ii) is enrolled in the school on a full11 time basis,

12 in considering the number of eligible Indian

13 students served by the school.

14 ‘‘(E) Uses a weighted unit of 0.25 for each

15 eligible Indian student who is enrolled in a

16 yearlong credit course in an Indian or Native

17 language as part of the regular curriculum of a

18 school, in considering the number of eligible In19 dian students served by such school. The ad20 justment required under this subparagraph

21 shall be used for such school after—

22 ‘‘(i) the certification of the Indian or

23 Native language curriculum by the school

24 board of such school to the Secretary, to25 gether with an estimate of the number of
478

•HR 1 IH

1 full-time students expected to be enrolled

2 in the curriculum in the second school year

3 for which the certification is made; and

4 (ii) the funds appropriated for allot5 ment under this section are designated by

6 the appropriations Act appropriating such

7 funds as the amount necessary to imple8 ment such adjustment at such school with9 out reducing allotments made under this

10 section to any school by virtue of such ad11 justment.

12 ‘‘(2) RESERVATION OF AMOUNT.—

13 ‘‘(A) IN GENERAL.—From the funds allot14 ted in accordance with the formula established

15 under subsection (a) for each Bureau school,

16 the local school board of such school may re17 serve an amount which does not exceed the

18 greater of—

19 ‘‘(i) $8,000; or

20 ‘‘(ii) the lesser of—

21 ‘‘(I) $15,000; or

22 ‘‘(II) 1 percent of such allotted

23 funds,

24 for school board activities for such school, in25 cluding (notwithstanding any other provision of
479

•HR 1 IH

1 law) meeting expenses and the cost of member2 ship in, and support of, organizations engaged

3 in activities on behalf of Indian education.

4 ‘‘(B) TRAINING.—Each school board shall

5 see that each new member of the school board

6 receives, within 12 months of the individual’s

7 assuming a position on the school board, 40

8 hours of training relevant to that individual’s

9 service on the board. Such training may include

10 legal issues pertaining to schools funded by the

11 Bureau, legal issues pertaining to school

12 boards, ethics, and other topics deemed appro13 priate by the school board.

14 ‘‘(d) RESERVATION OF AMOUNT FOR EMER15 GENCIES.—The Secretary shall reserve from the funds

16 available for distribution for each fiscal year under this

17 section an amount which, in the aggregate, shall equal 1

18 percent of the funds available for such purpose for that

19 fiscal year. Such funds shall be used, at the discretion of

20 the Director of the Office of Indian Education Programs,

21 to meet emergencies and unforeseen contingencies affect22 ing the education programs funded under this section.

23 Funds reserved under this subsection may only be ex24 pended for education services or programs, including

25 emergency repairs of educational facilities, at a schoolsite
480

•HR 1 IH

1 (as defined by section 5204(c)(2) of the Tribally Con2 trolled Schools Act of 1988). Funds reserved under this

3 subsection shall remain available without fiscal year limi4 tation until expended. However, the aggregate amount

5 available from all fiscal years may not exceed 1 percent

6 of the current year funds. Whenever, the Secretary makes

7 funds available under this subsection, the Secretary shall

8 report such action to the appropriate committees of Con9 gress within the annual budget submission.

10 ‘‘(e) SUPPLEMENTAL APPROPRIATIONS.—Supple11 mental appropriations enacted to meet increased pay costs

12 attributable to school level personnel shall be distributed

13 under this section.

14 ‘‘(f) ELIGIBLE INDIAN STUDENT DEFINED.—For the

15 purpose of this section, the term ‘eligible Indian student’

16 means a student who—

17 ‘‘(1) is a member of or is at least one-fourth de18 gree Indian blood descendant of a member of an In19 dian tribe which is eligible for the special programs

20 and services provided by the United States through

21 the Bureau because of their status as Indians; and

22 ‘‘(2) resides on or near an Indian reservation or

23 meets the criteria for attendance at a Bureau off24 reservation home-living (dormitory) school.

25 ‘‘(g) TUITION.—
481

•HR 1 IH

1 ‘‘(1) IN GENERAL.—An eligible Indian student

2 may not be charged tuition for attendance at a Bu3 reau school or contract or grant school. A student

4 attending a Bureau school under paragraph (2)(C)

5 may not be charged tuition for attendance at such

6 a school.

7 ‘‘(2) ATTENDANCE OF NON-INDIAN STUDENTS

8 AT BUREAU SCHOOLS.—The Secretary may permit

9 the attendance at a Bureau school of a student who

10 is not an eligible Indian student if—

11 ‘‘(A) the Secretary determines that the

12 student’s attendance will not adversely affect

13 the school’s program for eligible Indian stu14 dents because of cost, overcrowding, or violation

15 of standards or accreditation;

16 ‘‘(B) the school board consents;

17 ‘‘(C) the student is a dependent of a Bu18 reau, Indian Health Service, or tribal govern19 ment employee who lives on or near the

20 schoolsite; or

21 ‘‘(D) a tuition is paid for the student that

22 is not more than that charged by the nearest

23 public school district for out-of-district stu24 dents, and shall be in addition to the school’s

25 allocation under this section.
482

•HR 1 IH

1 ‘‘(3) ATTENDANCE OF NON-INDIAN STUDENTS

2 AT CONTRACT AND GRANT SCHOOLS.—The school

3 board of a contract or grant school may permit stu4 dents who are not eligible Indian students under this

5 subsection to attend its contract school or grant

6 school and any tuition collected for those students

7 shall be in addition to funding received under this

8 section.

9 ‘‘(h) FUNDS AVAILABLE WITHOUT FISCAL YEAR

10 LIMITATION.—Notwithstanding any other provision of

11 law, at the election of the school board of a Bureau school

12 made at any time during the fiscal year, a portion equal

13 to not more than 15 percent of the funds allocated with

14 respect to a school under this section for any fiscal year

15 shall remain available to the school for expenditure with16 out fiscal year limitation. The Assistant Secretary shall

17 take steps as may be necessary to implement this provi18 sion.

19 ‘‘(i) STUDENTS AT RICHFIELD DORMITORY, RICH20 FIELD, UTAH.—Tuition for out-of-State Indian students

21 in home-living (dormitory) arrangements at the Richfield

22 dormitory in Richfield, Utah, who attend Sevier County

23 high schools in Richfield, Utah, shall be paid from the In24 dian school equalization program funds authorized in this

25 section and section 1130 at a rate not to exceed the
483

•HR 1 IH

1 amounts per weighted student unit for that year for the

2 instruction of such students. No additional administrative

3 cost funds shall be added to the grant.

4 ‘‘SEC. 1128. ADMINISTRATIVE COST GRANTS.

5 ‘‘(a) GRANTS; EFFECT UPON APPROPRIATED

6 AMOUNTS.—

7 ‘‘(1) GRANTS.—Subject to the availability of

8 appropriated funds, the Secretary shall provide

9 grants to each tribe or tribal organization operating

10 a contract school or grant school in the amount de11 termined under this section with respect to the tribe

12 or tribal organization for the purpose of paying the

13 administrative and indirect costs incurred in oper14 ating contract or grant schools, provided that no

15 school operated as a stand-alone institution shall re16 ceive less than $200,000 per year for these pur17 poses, in order to—

18 ‘‘(A) enable tribes and tribal organizations

19 operating such schools, without reducing direct

20 program services to the beneficiaries of the pro21 gram, to provide all related administrative over22 head services and operations necessary to meet

23 the requirements of law and prudent manage24 ment practice; and
484

•HR 1 IH

1 ‘‘(B) carry out other necessary support

2 functions which would otherwise be provided by

3 the Secretary or other Federal officers or em4 ployees, from resources other than direct pro5 gram funds, in support of comparable Bureau

6 operated programs.

7 ‘‘(2) EFFECT UPON APPROPRIATED

8 AMOUNTS.—Amounts appropriated to fund the

9 grants provided under this section shall be in addi10 tion to, and shall not reduce, the amounts appro11 priated for the program being administered by the

12 contract or grant school.

13 ‘‘(b) DETERMINATION OF GRANT AMOUNT.—

14 ‘‘(1) IN GENERAL.—The amount of the grant

15 provided to each tribe or tribal organization under

16 this section for each fiscal year shall be determined

17 by applying the administrative cost percentage rate

18 of the tribe or tribal organization to the aggregate

19 of the Bureau elementary and secondary functions

20 operated by the tribe or tribal organization for which

21 funds are received from or through the Bureau. The

22 administrative cost percentage rate determined

23 under subsection (c) does not apply to other pro24 grams operated by the tribe or tribal organization.
485

•HR 1 IH

1 ‘‘(2) DIRECT COST BASE FUNDS.—The Sec2 retary shall—

3 ‘‘(A) reduce the amount of the grant deter4 mined under paragraph (1) to the extent that

5 payments for administrative costs are actually

6 received by an Indian tribe or tribal organiza7 tion under any Federal education program in8 cluded in the direct cost base of the tribe or

9 tribal organization; and

10 ‘‘(B) take such actions as may be nec11 essary to be reimbursed by any other depart12 ment or agency of the Federal Government for

13 the portion of grants made under this section

14 for the costs of administering any program for

15 Indians that is funded by appropriations made

16 to such other department or agency.

17 ‘‘(c) ADMINISTRATIVE COST PERCENTAGE RATE.—

18 ‘‘(1) IN GENERAL.—For purposes of this sec19 tion, the administrative cost percentage rate for a

20 contract or grant school for a fiscal year is equal to

21 the percentage determined by dividing—

22 ‘‘(A) the sum of—

23 ‘‘(i) the amount equal to—
486

•HR 1 IH

1 ‘‘(I) the direct cost base of the

2 tribe or tribal organization for the fis3 cal year, multiplied by

4 ‘‘(II) the minimum base rate;

5 plus

6 ‘‘(ii) the amount equal to—

7 ‘‘(I) the standard direct cost

8 base; multiplied by

9 ‘‘(II) the maximum base rate; by

10 ‘‘(B) the sum of—

11 ‘‘(i) the direct cost base of the tribe or

12 tribal organization for the fiscal year; plus

13 ‘‘(ii) the standard direct cost base.

14 ‘‘(2) ROUNDING.—The administrative cost percentage rate shall be determined to the 1 15 ⁄100 of a

16 decimal point.

17 ‘‘(d) COMBINING FUNDS.—

18 ‘‘(1) IN GENERAL.—Funds received by a tribe

19 or contract or grant school as grants under this sec20 tion for tribal elementary or secondary educational

21 programs may be combined by the tribe or contract

22 or grant school into a single administrative cost ac23 count without the necessity of maintaining separate

24 funding source accounting.
487

•HR 1 IH

1 ‘‘(2) INDIRECT COST FUNDS.—Indirect cost

2 funds for programs at the school which share com3 mon administrative services with tribal elementary

4 or secondary educational programs may be included

5 in the administrative cost account described in para6 graph (1).

7 ‘‘(e) AVAILABILITY OF FUNDS.—Funds received as

8 grants under this section with respect to tribal elementary

9 or secondary education programs shall remain available to

10 the contract or grant school without fiscal year limitation

11 and without diminishing the amount of any grants other12 wise payable to the school under this section for any fiscal

13 year beginning after the fiscal year for which the grant

14 is provided.

15 ‘‘(f) TREATMENT OF FUNDS.—Funds received as

16 grants under this section for Bureau funded programs op17 erated by a tribe or tribal organization under a contract

18 or agreement shall not be taken into consideration for pur19 poses of indirect cost underrecovery and overrecovery de20 terminations by any Federal agency for any other funds,

21 from whatever source derived.

22 ‘‘(g) TREATMENT OF ENTITY OPERATING OTHER

23 PROGRAMS.—In applying this section and section 105 of

24 the Indian Self-Determination and Education Assistance
488

•HR 1 IH

1 Act with respect to an Indian tribe or tribal organization

2 that—

3 ‘‘(1) receives funds under this section for ad4 ministrative costs incurred in operating a contract or

5 grant school or a school operated under the Tribally

6 Controlled Schools Act of 1988; and

7 ‘‘(2) operates one or more other programs

8 under a contract or grant provided under the Indian

9 Self-Determination and Education Assistance Act,

10 the Secretary shall ensure that the Indian tribe or tribal

11 organization is provided with the full amount of the ad12 ministrative costs that are associated with operating the

13 contract or grant school, and of the indirect costs, that

14 are associated with all of such other programs, provided

15 that funds appropriated for implementation of this section

16 shall be used only to supply the amount of the grant re17 quired to be provided by this section.

18 ‘‘(h) DEFINITIONS.—For purposes of this section:

19 ‘‘(1) ADMINISTRATIVE COST.—(A) The term

20 ‘administrative cost’ means the costs of necessary

21 administrative functions which—

22 ‘‘(i) the tribe or tribal organization incurs

23 as a result of operating a tribal elementary or

24 secondary educational program;
489

•HR 1 IH

1 ‘‘(ii) are not customarily paid by com2 parable Bureau operated programs out of direct

3 program funds; and

4 ‘‘(iii) are either—

5 ‘‘(I) normally provided for comparable

6 Bureau programs by Federal officials

7 using resources other than Bureau direct

8 program funds; or

9 ‘‘(II) are otherwise required of tribal

10 self-determination program operators by

11 law or prudent management practice.

12 ‘‘(B) The term ‘administrative cost’ may

13 include—

14 ‘‘(i) contract or grant (or other agreement)

15 administration;

16 ‘‘(ii) executive, policy, and corporate lead17 ership and decisionmaking;

18 ‘‘(iii) program planning, development, and

19 management;

20 ‘‘(iv) fiscal, personnel, property, and pro21 curement management;

22 ‘‘(v) related office services and record

23 keeping; and

24 ‘‘(vi) costs of necessary insurance, audit25 ing, legal, safety and security services.
490

•HR 1 IH

1 ‘‘(2) BUREAU ELEMENTARY AND SECONDARY

2 FUNCTIONS.—The term ‘Bureau elementary and sec3 ondary functions’ means—

4 ‘‘(A) all functions funded at Bureau

5 schools by the Office;

6 ‘‘(B) all programs—

7 ‘‘(i) funds for which are appropriated

8 to other agencies of the Federal Govern9 ment; and

10 ‘‘(ii) which are administered for the

11 benefit of Indians through Bureau schools;

12 and

13 ‘‘(C) all operation, maintenance, and repair

14 funds for facilities and government quarters

15 used in the operation or support of elementary

16 and secondary education functions for the ben17 efit of Indians, from whatever source derived.

18 ‘‘(3) DIRECT COST BASE.—(A) Except as other19 wise provided in subparagraph (B), the direct cost

20 base of a tribe or tribal organization for the fiscal

21 year is the aggregate direct cost program funding

22 for all tribal elementary or secondary educational

23 programs operated by the tribe or tribal organization

24 during—
491

•HR 1 IH

1 ‘‘(i) the second fiscal year preceding such

2 fiscal year; or

3 ‘‘(ii) if such programs have not been oper4 ated by the tribe or tribal organization during

5 the two preceding fiscal years, the first fiscal

6 year preceding such fiscal year.

7 ‘‘(B) In the case of Bureau elementary or sec8 ondary education functions which have not pre9 viously been operated by a tribe or tribal organiza10 tion under contract, grant, or agreement with the

11 Bureau, the direct cost base for the initial year shall

12 be the projected aggregate direct cost program fund13 ing for all Bureau elementary and secondary func14 tions to be operated by the tribe or tribal organiza15 tion during that fiscal year.

16 ‘‘(4) MAXIMUM BASE RATE.—The term ‘max17 imum base rate’ means 50 percent.

18 ‘‘(5) MINIMUM BASE RATE.—The term ‘min19 imum base rate’ means 11 percent.

20 ‘‘(6) STANDARD DIRECT COST BASE.—The term

21 ‘standard direct cost base’ means $600,000.

22 ‘‘(7) TRIBAL ELEMENTARY OR SECONDARY

23 EDUCATIONAL PROGRAMS.—The term ‘tribal elemen24 tary or secondary educational programs’ means all

25 Bureau elementary and secondary functions, to-
492

•HR 1 IH

1 gether with any other Bureau programs or portions

2 of programs (excluding funds for social services that

3 are appropriated to agencies other than the Bureau

4 and are expended through the Bureau, funds for

5 major subcontracts, construction, and other major

6 capital expenditures, and unexpended funds carried

7 over from prior years) which share common adminis8 trative cost functions, that are operated directly by

9 a tribe or tribal organization under a contract,

10 grant, or agreement with the Bureau.

11 ‘‘(i) STUDIES FOR DETERMINATION OF FACTORS AF12 FECTING COSTS; BASE RATES LIMITS; STANDARD DI13 RECT COST BASE; REPORT TO CONGRESS.—

14 ‘‘(1) STUDIES.—Not later than 120 days after

15 the date of the enactment of the No Child Left Be16 hind Act of 2001, the Director of the Office of In17 dian Education Programs shall—

18 ‘‘(A) conduct such studies as may be need19 ed to establish an empirical basis for deter20 mining relevant factors substantially affecting

21 required administrative costs of tribal elemen22 tary and secondary education programs, using

23 the formula set forth in subsection (c); and

24 ‘‘(B) conduct a study to determine—
493

•HR 1 IH

1 ‘‘(i) a maximum base rate which ensures

2 that the amount of the grants provided under

3 this section will provide adequate (but not ex4 cessive) funding of the administrative costs of

5 the smallest tribal elementary or secondary edu6 cational programs;

7 ‘‘(ii) a minimum base rate which ensures

8 that the amount of the grants provided under

9 this section will provide adequate (but not ex10 cessive) funding of the administrative costs of

11 the largest tribal elementary or secondary edu12 cational programs; and

13 ‘‘(iii) a standard direct cost base which is

14 the aggregate direct cost funding level for which

15 the percentage determined under subsection (c)

16 will—

17 ‘‘(I) be equal to the median between

18 the maximum base rate and the minimum

19 base rate; and

20 ‘‘(II) ensure that the amount of the

21 grants provided under this section will pro22 vide adequate (but not excessive) funding

23 of the administrative costs of tribal ele24 mentary or secondary educational pro25 grams closest to the size of the program.
494

•HR 1 IH

1 ‘‘(2) GUIDELINES.—The studies required under

2 paragraph (1) shall—

3 ‘‘(A) be conducted in full consultation (in

4 accordance with section 1131) with—

5 ‘‘(i) the tribes and tribal organizations

6 that are affected by the application of the

7 formula set forth in subsection (c); and

8 ‘‘(ii) all national and regional Indian

9 organizations of which such tribes and

10 tribal organizations are typically members;

11 ‘‘(B) be conducted onsite with a represent12 ative statistical sample of the tribal elementary

13 or secondary educational programs under a con14 tract entered into with a nationally reputable

15 public accounting and business consulting firm;

16 ‘‘(C) take into account the availability of

17 skilled labor; commodities, business and auto18 matic data processing services, related Indian

19 preference and Indian control of education re20 quirements, and any other market factors found

21 substantially to affect the administrative costs

22 and efficiency of each such tribal elementary or

23 secondary educational program studied in order

24 to assure that all required administrative activi25 ties can reasonably be delivered in a cost effec-
495

•HR 1 IH

1 tive manner for each such program, given an

2 administrative cost allowance generated by the

3 values, percentages, or other factors found in

4 the studies to be relevant in such formula;

5 ‘‘(D) identify, and quantify in terms of

6 percentages of direct program costs, any gen7 eral factors arising from geographic isolation,

8 or numbers of programs administered, inde9 pendent of program size factors used to com10 pute a base administrative cost percentage in

11 such formula; and

12 ‘‘(E) identify any other incremental cost

13 factors substantially affecting the costs of re14 quired administrative cost functions at any of

15 the tribal elementary or secondary educational

16 programs studied and determine whether the

17 factors are of general applicability to other such

18 programs, and (if so) how the factors may ef19 fectively be incorporated into such formula.

20 ‘‘(3) CONSULTATION WITH INSPECTOR GEN21 ERAL.—In carrying out the studies required under

22 this subsection, the Director shall obtain the input

23 of, and afford an opportunity to participate to, the

24 Inspector General of the Department of the Interior.
496

•HR 1 IH

1 ‘‘(4) CONSIDERATION OF DELIVERY OF ADMIN2 ISTRATIVE SERVICES.—Determinations described in

3 paragraph (2)(C) shall be based on what is prac4 ticable at each location studied, given prudent man5 agement practice, irrespective of whether required

6 administrative services were actually or fully deliv7 ered at these sites, or whether other services were

8 delivered instead, during the period of the study.

9 ‘‘(5) REPORT.—Upon completion of the studies

10 conducted under paragraph (1), the Director shall

11 submit to Congress a report on the findings of the

12 studies, together with determinations based upon

13 such studies that would affect the definitions set

14 forth under subsection (e) that are used in the for15 mula set forth in subsection (c).

16 ‘‘(6) PROJECTION OF COSTS.—The Secretary

17 shall include in the Bureau’s justification for each

18 appropriations request beginning in the first fiscal

19 year after the completion of the studies conducted

20 under paragraph (1), a projection of the overall

21 costs associated with the formula set forth in sub22 section (c) for all tribal elementary or secondary

23 education programs which the Secretary expects to

24 be funded in the fiscal year for which the appropria25 tions are sought.
497

•HR 1 IH

1 ‘‘(7) DETERMINATION OF PROGRAM SIZE.—For

2 purposes of this subsection, the size of tribal elemen3 tary or secondary educational programs is deter4 mined by the aggregate direct cost program funding

5 level for all Bureau funded programs which share

6 common administrative cost functions.

7 ‘‘(j) AUTHORIZATION OF APPROPRIATIONS.—

8 ‘‘(1) IN GENERAL.—There are authorized to be

9 appropriated such sums as necessary to carry out

10 this section.

11 ‘‘(2) REDUCTIONS.—If the total amount of

12 funds necessary to provide grants to tribes and trib13 al organizations in the amounts determined under

14 subsection (b) for a fiscal year exceeds the amount

15 of funds appropriated to carry out this section for

16 such fiscal year, the Secretary shall reduce the

17 amount of each grant determined under subsection

18 (b) for such fiscal year by an amount that bears the

19 same relationship to such excess as the amount of

20 such grants determined under subsection (b) bears

21 to the total of all grants determined under sub22 section (b) section for all tribes and tribal organiza23 tions for such fiscal year.

24 ‘‘(k) APPLICABILITY TO SCHOOLS OPERATING

25 UNDER TRIBALLY CONTROLLED SCHOOLS ACT OF
498

•HR 1 IH

1 1988.—The provisions of this section shall also apply to

2 those schools operating under the Tribally Controlled

3 Schools Act of 1988.

4 ‘‘SEC. 1129. DIVISION OF BUDGET ANALYSIS.

5 ‘‘(a) ESTABLISHMENT.—Not later than 12 months

6 after the date of the enactment of the No Child Left Be7 hind Act of 2001, the Secretary shall establish within the

8 Office of Indian Education Programs a Division of Budget

9 Analysis (hereinafter referred to as the ‘Division’). Such

10 Division shall be under the direct supervision and control

11 of the Director of the Office.

12 ‘‘(b) FUNCTIONS.—In consultation with the tribal

13 governing bodies and tribal school boards, the Director of

14 the Office, through the Division, shall conduct studies,

15 surveys, or other activities to gather demographic informa16 tion on Bureau funded schools and project the amount

17 necessary to provide Indian students in such schools the

18 educational program set forth in this part.

19 ‘‘(c) ANNUAL REPORTS.—Not later than the date

20 that the Assistant Secretary for Indian Affairs makes the

21 annual budget submission, for each fiscal year after the

22 date of the enactment of the No Child Left Behind Act

23 of 2001, the Director of the Office shall submit to the

24 appropriate committees of Congress (including the Appro25 priations committees), all Bureau funded schools, and the
499

•HR 1 IH

1 tribal governing bodies of such schools, a report which

2 shall contain—

3 ‘‘(1) projections, based upon the information

4 gathered pursuant to subparagraph (b) and any

5 other relevant information, of amounts necessary to

6 provide Indian students in Bureau funded schools

7 the educational program set forth in this part;

8 ‘‘(2) a description of the methods and formulas

9 used to calculate the amounts projected pursuant to

10 paragraph (1); and

11 ‘‘(3) such other information as the Director of

12 the Office considers appropriate.

13 ‘‘(d) USE OF REPORTS.—The Director of the Office

14 and the Assistant Secretary for Indian Affairs shall use

15 the annual report required by subsection (c) when pre16 paring their annual budget submissions.

17 ‘‘SEC. 1130. UNIFORM DIRECT FUNDING AND SUPPORT.

18 ‘‘(a) ESTABLISHMENT OF SYSTEM AND FORWARD

19 FUNDING.—

20 ‘‘(1) IN GENERAL.—The Secretary shall estab21 lish, by regulation adopted in accordance with sec22 tion 1138, a system for the direct funding and sup23 port of all Bureau funded schools. Such system shall

24 allot funds in accordance with section 1127. All
500

•HR 1 IH

1 amounts appropriated for distribution under this

2 section may be made available under paragraph (2).

3 ‘‘(2) TIMING FOR USE OF FUNDS.—(A) For the

4 purposes of affording adequate notice of funding

5 available pursuant to the allotments made under sec6 tion 1127, amounts appropriated in an appropria7 tions Act for any fiscal year shall become available

8 for obligation by the affected schools on July 1 of

9 the fiscal year in which such amounts are appro10 priated without further action by the Secretary, and

11 shall remain available for obligation through the suc12 ceeding fiscal year.

13 ‘‘(B) The Secretary shall, on the basis of the

14 amount appropriated in accordance with this

15 paragraph—

16 ‘‘(i) publish, not later than July 1 of the

17 fiscal year for which the funds are appro18 priated, allotments to each affected school made

19 under section 1127 of 85 percent of such ap20 propriation; and

21 ‘‘(ii) publish, not later than September 30

22 of such fiscal year, the allotments to be made

23 under section 1127 of the remaining 15 percent

24 of such appropriation, adjusted to reflect the

25 actual student attendance.
501

•HR 1 IH

1 ‘‘(3) LIMITATION.—(A) Notwithstanding any

2 other provision of law or regulation, the supervisor

3 of a Bureau funded school may expend an aggregate

4 of not more than $50,000 of the amount allotted the

5 school under section 1127 to acquire materials, sup6 plies, equipment, services, operation, and mainte7 nance for the school without competitive bidding if—

8 ‘‘(i) the cost for any single item purchased

9 does not exceed $15,000;

10 ‘‘(ii) the school board approves the pro11 curement;

12 ‘‘(iii) the supervisor certifies that the cost

13 is fair and reasonable;

14 ‘‘(iv) the documents relating to the pro15 curement executed by the supervisor or other

16 school staff cite this paragraph as authority for

17 the procurement; and

18 ‘‘(v) the transaction is documented in a

19 journal maintained at the school clearly identi20 fying when the transaction occurred, what was

21 acquired and from whom, the price paid, the

22 quantities acquired, and any other information

23 the supervisor or school board considers rel24 evant.
502

•HR 1 IH

1 ‘‘(B) Not later than 6 months after the date of

2 the enactment of the No Child Left Behind Act of

3 2001, the Secretary shall cause to be sent to each

4 supervisor of a Bureau operated program and school

5 board chairperson, the education line officer or offi6 cers of each agency and area, and the Bureau Divi7 sion in charge of procurement, at both the local and

8 national levels, notice of this paragraph.

9 ‘‘(C) The Director shall be responsible for de10 termining the application of this paragraph, includ11 ing the authorization of specific individuals to carry

12 out this paragraph, and shall be responsible for the

13 provision of guidelines on the use of this paragraph

14 and adequate training on such guidelines.

15 ‘‘(4) EFFECT OF SEQUESTRATION ORDER.—If a

16 sequestration order issued under the Balanced

17 Budget and Emergency Deficit Control Act of 1985

18 reduces the amount of funds available for allotment

19 under section 1127 for any fiscal year by more than

20 7 percent of the amount of funds available for allot21 ment under such section during the preceding fiscal

22 year—

23 ‘‘(A) to fund allotments under section

24 1127, the Secretary, notwithstanding any other

25 law, may use—
503

•HR 1 IH

1 ‘‘(i) funds appropriated for the oper2 ation of any Bureau school that is closed

3 or consolidated; and

4 ‘‘(ii) funds appropriated for any pro5 gram that has been curtailed at any Bu6 reau school; and

7 ‘‘(B) the Secretary may waive the applica8 tion of the provisions of section 1121(h) with

9 respect to the closure or consolidation of a

10 school, or the curtailment of a program at a

11 school, during such fiscal year if the funds de12 scribed in clauses (i) and (ii) of subparagraph

13 (A) with respect to such school are used to fund

14 allotments made under section 1127 for such

15 fiscal year.

16 ‘‘(b) LOCAL FINANCIAL PLANS FOR EXPENDITURE

17 OF FUNDS.—

18 ‘‘(1) PLAN REQUIRED.—In the case of all Bu19 reau operated schools, allotted funds shall be ex20 pended on the basis of local financial plans which

21 ensure meeting the accreditation requirements or

22 standards for the school established pursuant to sec23 tion 1121 and which shall be prepared by the local

24 school supervisor in active consultation with the local

25 school board for each school. The local school board
504

•HR 1 IH

1 for each school shall have the authority to ratify, re2 ject, or amend such financial plan, and expenditures

3 thereunder, and, on its own determination or in re4 sponse to the supervisor of the school, to revise such

5 financial plan to meet needs not foreseen at the time

6 of preparation of the financial plan.

7 ‘‘(2) The supervisor—

8 ‘‘(A) shall put into effect the decisions of

9 the school board;

10 ‘‘(B) shall provide the appropriate local

11 union representative of the education employees

12 with copies of proposed draft financial plans

13 and all amendments or modifications thereto, at

14 the same time such copies are submitted to the

15 local school board; and

16 ‘‘(C) may appeal any such action of the

17 local school board to the appropriate education

18 line officer of the Bureau agency by filing a

19 written statement describing the action and the

20 reasons the supervisor believes such action

21 should be overturned. A copy of such statement

22 shall be submitted to the local school board and

23 such board shall be afforded an opportunity to

24 respond, in writing, to such appeal. After re25 viewing such written appeal and response, the
505

•HR 1 IH

1 appropriate education line officer may, for good

2 cause, overturn the action of the local school

3 board. The appropriate education line officer

4 shall transmit the determination of such appeal

5 in the form of a written opinion to such board

6 and to such supervisor identifying the reasons

7 for overturning such action.

8 ‘‘(c) USE OF SELF-DETERMINATION GRANTS

9 FUNDS.—Funds for self-determination grants under sec10 tion 103(a)(2) of the Indian Self-Determination and Edu11 cation Assistance Act shall not be used for providing tech12 nical assistance and training in the field of education by

13 the Bureau unless such services are provided in accord14 ance with a plan, agreed to by the tribe or tribes affected

15 and the Bureau, under which control of education pro16 grams is intended to be transferred to such tribe or tribes

17 within a specific period of time negotiated under such

18 agreement. The Secretary may approve applications for

19 funding tribal divisions of education and development of

20 tribal codes of education from funds appropriated pursu21 ant to section 104(a) of such Act.

22 ‘‘(d) TECHNICAL ASSISTANCE AND TRAINING.—In

23 the exercise of its authority under this section, a local

24 school board may request technical assistance and training

25 from the Secretary, and the Secretary shall, to the great-
506

•HR 1 IH

1 est extent possible, provide such services, and make appro2 priate provisions in the budget of the Office for such serv3 ices.

4 ‘‘(e) SUMMER PROGRAM OF ACADEMIC AND SUPPORT

5 SERVICES.—

6 ‘‘(1) IN GENERAL.—A financial plan under sub7 section (b) for a school may include, at the discre8 tion of the local administrator and the school board

9 of such school, a provision for a summer program of

10 academic and support services for students of the

11 school. Any such program may include activities re12 lated to the prevention of alcohol and substance

13 abuse. The Assistant Secretary for Indian Affairs

14 shall provide for the utilization of any such school

15 facility during any summer in which such utilization

16 is requested.

17 ‘‘(2) USE OF OTHER FUNDS.—Notwithstanding

18 any other provision of law, funds authorized under

19 the Act of April 16, 1934, and this Act may be used

20 to augment the services provided in each summer

21 program at the option, and under the control, of the

22 tribe or Indian controlled school receiving such

23 funds.

24 ‘‘(3) TECHNICAL ASSISTANCE AND PROGRAM

25 COORDINATION.—The Assistant Secretary for Indian
507

•HR 1 IH

1 Affairs, acting through the Director of the Office,

2 shall provide technical assistance and coordination

3 for any program described in paragraph (1) and

4 shall, to the extent possible, encourage the coordina5 tion of such programs with any other summer pro6 grams that might benefit Indian youth, regardless of

7 the funding source or administrative entity of any

8 such program.

9 ‘‘(f) COOPERATIVE AGREEMENTS.—

10 ‘‘(1) IN GENERAL.—From funds allotted to a

11 Bureau school under section 1127, the Secretary

12 shall, if specifically requested by the tribal governing

13 body (as defined in section 1141), implement any co14 operative agreement entered into between the tribe,

15 the Bureau school board, and the local public school

16 district which meets the requirements of paragraph

17 (2) and involves the school. The tribe, the Bureau

18 school board, and the local public school district

19 shall determine the terms of the agreement. Such

20 agreement may encompass coordination of all or any

21 part of the following:

22 ‘‘(A) Academic program and curriculum,

23 unless the Bureau school is currently accredited

24 by a State or regional accrediting entity and

25 would not continue to be so accredited.
508

•HR 1 IH

1 ‘‘(B) Support services, including procure2 ment and facilities maintenance.

3 ‘‘(C) Transportation.

4 ‘‘(2) EQUAL BENEFIT AND BURDEN.—Each

5 agreement entered into pursuant to the authority

6 provided in paragraph (1) shall confer a benefit

7 upon the Bureau school commensurate with the bur8 den assumed, though this requirement shall not be

9 construed so as to require equal expenditures or an

10 exchange of similar services.

11 ‘‘(g) PRODUCT OR RESULT OF STUDENT

12 PROJECTS.—Notwithstanding any other provision of law,

13 where there is agreement on action between the super14 intendent and the school board of a Bureau funded school,

15 the product or result of a project conducted in whole or

16 in major part by a student may be given to that student

17 upon the completion of such project.

18 ‘‘(h) NOT CONSIDERED FEDERAL FUNDS FOR

19 MATCHING REQUIREMENTS.—Notwithstanding any other

20 provision of law, funds received by a Bureau funded school

21 under this part shall not be considered Federal funds for

22 the purposes of meeting a matching funds requirement for

23 any Federal program.
509

•HR 1 IH

1 ‘‘SEC. 1131. POLICY FOR INDIAN CONTROL OF INDIAN EDU2 CATION.

3 ‘‘(a) FACILITATION OF INDIAN CONTROL.—It shall

4 be the policy of the Secretary and the Bureau, in carrying

5 out the functions of the Bureau, to facilitate tribal control

6 of Indian affairs in all matters relating to education.

7 ‘‘(b) CONSULTATION WITH TRIBES.—

8 ‘‘(1) IN GENERAL.—All actions under this Act

9 shall be done with active consultation with tribes.

10 ‘‘(2) REQUIREMENTS.—The consultation re11 quired under paragraph (1) means a process involv12 ing the open discussion and joint deliberation of all

13 options with respect to potential issues or changes

14 between the Bureau and all interested parties. Dur15 ing such discussions and joint deliberations, inter16 ested parties (including tribes and school officials)

17 shall be given an opportunity to present issues in18 cluding proposals regarding changes in current prac19 tices or programs which will be considered for future

20 action by the Bureau. All interested parties shall be

21 given an opportunity to participate and discuss the

22 options presented or to present alternatives, with the

23 views and concerns of the interested parties given ef24 fect unless the Secretary determines, from informa25 tion available from or presented by the interested

26 parties during one or more of the discussions and
510

•HR 1 IH

1 deliberations, that there is a substantial reason for

2 another course of action. The Secretary shall submit

3 to any Member of Congress, within 18 days of the

4 receipt of a written request by such Member, a writ5 ten explanation of any decision made by the Sec6 retary which is not consistent with the views of the

7 interested parties.

8 ‘‘SEC. 1132. INDIAN EDUCATION PERSONNEL.

9 ‘‘(a) IN GENERAL.—Chapter 51, subchapter III of

10 chapter 53, and chapter 63 of title 5, United States Code,

11 relating to classification, pay and leave, respectively, and

12 the sections of such title relating to the appointment, pro13 motion, hours of work, and removal of civil service employ14 ees, shall not apply to educators or to education positions

15 (as defined in subsection (p)).

16 ‘‘(b) REGULATIONS.—Not later than 60 days after

17 the date of the enactment of the No Child Left Behind

18 Act of 2001, the Secretary shall prescribe regulations to

19 carry out this section. Such regulations shall include—

20 ‘‘(1) the establishment of education positions;

21 ‘‘(2) the establishment of qualifications for edu22 cators and education personnel;

23 ‘‘(3) the fixing of basic compensation for edu24 cators and education positions;

25 ‘‘(4) the appointment of educators;
511

•HR 1 IH

1 ‘‘(5) the discharge of educators;

2 ‘‘(6) the entitlement of educators to compensa3 tion;

4 ‘‘(7) the payment of compensation to educators;

5 ‘‘(8) the conditions of employment of educators;

6 ‘‘(9) the leave system for educators;

7 ‘‘(10) the annual leave and sick leave for edu8 cators; and

9 ‘‘(11) such matters as may be appropriate.

10 ‘‘(c) QUALIFICATIONS OF EDUCATORS.—

11 ‘‘(1) REQUIREMENTS.—In prescribing regula12 tions to govern the qualifications of educators, the

13 Secretary shall require—

14 ‘‘(A)(i) that lists of qualified and inter15 viewed applicants for education positions be

16 maintained in each agency and area office of

17 the Bureau from among individuals who have

18 applied at the agency or area level for an edu19 cation position or who have applied at the na20 tional level and have indicated in such applica21 tion an interest in working in certain areas or

22 agencies; and

23 ‘‘(ii) that a list of qualified and interviewed

24 applicants for education positions be main25 tained in the Office from among individuals
512

•HR 1 IH

1 who have applied at the national level for an

2 education position and who have expressed in3 terest in working in an education position any4 where in the United States;

5 ‘‘(B) that a local school board shall have

6 the authority to waive on a case-by-case basis,

7 any formal education or degree qualifications

8 established by regulation pursuant to subsection

9 (b)(2), in order for a tribal member to be hired

10 in an education position to teach courses on

11 tribal culture and language and that subject to

12 subsection (e)(2), a determination by a school

13 board that such a person be hired shall be insti14 tuted supervisor; and

15 ‘‘(C) that it shall not be a prerequisite to

16 the employment of an individual in an edu17 cation position at the local level that such indi18 vidual’s name appear on the national list main19 tained pursuant to subparagraph (A)(ii) or that

20 such individual has applied at the national level

21 for an education position.

22 ‘‘(2) EXCEPTION FOR CERTAIN TEMPORARY EM23 PLOYMENT.—The Secretary may authorize the tem24 porary employment in an education position of an

25 individual who has not met the certification stand-
513

•HR 1 IH

1 ards established pursuant to regulations, if the Sec2 retary determines that failure to do so would result

3 in that position remaining vacant.

4 ‘‘(d) HIRING OF EDUCATORS.—

5 ‘‘(1) REQUIREMENTS.—In prescribing regula6 tions to govern the appointment of educators, the

7 Secretary shall require—

8 ‘‘(A)(i) that educators employed in a Bu9 reau operated school (other than the supervisor

10 of the school) shall be hired by the supervisor

11 of the school. In cases where there are no quali12 fied applicants available, such supervisor may

13 consult the national list maintained pursuant to

14 subsection (c)(1)(A)(ii);

15 ‘‘(ii) each school supervisor shall be hired

16 by the education line officer of the agency office

17 of the Bureau in which the school is located;

18 ‘‘(iii) educators employed in an agency of19 fice of the Bureau shall be hired by the super20 intendent for education of the agency office;

21 and

22 ‘‘(iv) each education line officer and edu23 cators employed in the Office of the Director of

24 Indian Education Programs shall be hired by

25 the Director;
514

•HR 1 IH

1 ‘‘(B) that before an individual is employed

2 in an education position in a school by the su3 pervisor of a school (or with respect to the posi4 tion of supervisor, by the appropriate agency

5 education line officer), the local school board

6 for the school shall be consulted. A determina7 tion by such school board that such individual

8 should or should not be so employed shall be in9 stituted by the supervisor (or with respect to

10 the position of supervisor, by the agency super11 intendent for education);

12 ‘‘(C) that before an individual may be em13 ployed in an education position at the agency

14 level, the appropriate agency school board shall

15 be consulted, and that a determination by such

16 school board that such individual should or

17 should not be employed shall be instituted by

18 the agency superintendent for education; and

19 ‘‘(D) that before an individual may be em20 ployed in an education position in the Office of

21 the Director (other than the position of Direc22 tor), the national school boards representing all

23 Bureau schools shall be consulted.

24 ‘‘(2) INFORMATION REGARDING APPLICATION

25 AT NATIONAL LEVEL.—Any individual who applies
515

•HR 1 IH

1 at the local level for an education position shall state

2 on such individual’s application whether or not such

3 individual has applied at the national level for an

4 education position in the Bureau. If such individual

5 is employed at the local level, such individual’s name

6 shall be immediately forwarded to the Secretary,

7 who shall, as soon as practicable but in no event in

8 more than 30 days, ascertain the accuracy of the

9 statement made by such individual pursuant to the

10 first sentence of this paragraph. Notwithstanding

11 subsection (e), if the individual’s statement is found

12 to have been false, such individual, at the Sec13 retary’s discretion, may be disciplined or discharged.

14 If the individual has applied at the national level for

15 an education position in the Bureau, the appoint16 ment of such individual at the local level shall be

17 conditional for a period of 90 days, during which pe18 riod the Secretary may appoint a more qualified in19 dividual (as determined by the Secretary) from the

20 list maintained at the national level pursuant to sub21 section (c)(1)(A)(ii) to the position to which such in22 dividual was appointed.

23 ‘‘(3) STATUTORY CONSTRUCTION.—Except as

24 expressly provided, nothing in this section shall be

25 construed as conferring upon local school boards au-
516

•HR 1 IH

1 thority over, or control of, educators at Bureau

2 funded schools or the authority to issue management

3 decisions.

4 ‘‘(e) DISCHARGE AND CONDITIONS OF EMPLOYMENT

5 OF EDUCATORS.—

6 ‘‘(1) REGULATIONS.—In prescribing regulations

7 to govern the discharge and conditions of employ8 ment of educators, the Secretary shall require—

9 ‘‘(A) that procedures be established for the

10 rapid and equitable resolution of grievances of

11 educators;

12 ‘‘(B) that no educator may be discharged

13 without notice of the reasons therefore and op14 portunity for a hearing under procedures that

15 comport with the requirements of due process;

16 and

17 ‘‘(C) that educators employed in Bureau

18 schools be notified 30 days prior to the end of

19 the school year whether their employment con20 tract will be renewed for the following year.

21 ‘‘(2) PROCEDURES FOR DISCHARGE.—The su22 pervisor of a Bureau school may discharge (subject

23 to procedures established under paragraph (1)(B))

24 for cause (as determined under regulations pre25 scribed by the Secretary) any educator employed in
517

•HR 1 IH

1 such school. Upon giving notice of proposed dis2 charge to an educator, the supervisor involved shall

3 immediately notify the local school board for the

4 school of such action. A determination by the local

5 school board that such educator shall not be dis6 charged shall be followed by the supervisor. The su7 pervisor shall have the right to appeal such action

8 to the education line officer of the appropriate agen9 cy office of the Bureau. Upon such an appeal, the

10 agency education line officer may, for good cause

11 and in writing to the local school board, overturn the

12 determination of the local school board with respect

13 to the employment of such individual.

14 ‘‘(3) RECOMMENDATIONS OF SCHOOL BOARDS

15 FOR DISCHARGE.—Each local school board for a Bu16 reau school shall have the right—

17 ‘‘(A) to recommend to the supervisor of

18 such school that an educator employed in the

19 school be discharged; and

20 ‘‘(B) to recommend to the education line

21 officer of the appropriate agency office of the

22 Bureau and to the Director of the Office, that

23 the supervisor of the school be discharged.

24 ‘‘(f) APPLICABILITY OF INDIAN PREFERENCE

25 LAWS.—
518

•HR 1 IH

1 ‘‘(1) IN GENERAL.—Notwithstanding any provi2 sion of the Indian preference laws, such laws shall

3 not apply in the case of any personnel action under

4 this section respecting an applicant or employee not

5 entitled to Indian preference if each tribal organiza6 tion concerned grants a written waiver of the appli7 cation of such laws with respect to such personnel

8 action and states that such waiver is necessary. This

9 paragraph shall not relieve the Bureau’s responsi10 bility to issue timely and adequate announcements

11 and advertisements concerning any such personnel

12 action if such action is intended to fill a vacancy (no

13 matter how such vacancy is created).

14 ‘‘(2) TRIBAL ORGANIZATION DEFINED.—For

15 purposes of this subsection, the term ‘tribal organi16 zation’ means—

17 ‘‘(A) the recognized governing body of any

18 Indian tribe, band, nation, pueblo, or other or19 ganized community, including a Native village

20 (as defined in section 3(c) of the Alaska Native

21 Claims Settlement Act); or

22 ‘‘(B) in connection with any personnel ac23 tion referred to in this subsection, any local

24 school board as defined in section 1141 which

25 has been delegated by such governing body the
519

•HR 1 IH

1 authority to grant a waiver under this sub2 section with respect to personnel action.

3 ‘‘(3) INDIAN PREFERENCE LAW DEFINED.—The

4 term ‘Indian preference laws’ means section 12 of

5 the Act of June 18, 1934, or any other provision of

6 law granting a preference to Indians in promotions

7 and other personnel actions. Such term shall not in8 clude section 7(b) of the Indian Self-Determination

9 and Education Assistance Act.

10 ‘‘(g) COMPENSATION OR ANNUAL SALARY.—

11 ‘‘(1) IN GENERAL.—(A) Except as otherwise

12 provided in this section, the Secretary shall fix the

13 basic compensation for educators and education po14 sitions at rates in effect under the General Schedule

15 for individuals with comparable qualifications, and

16 holding comparable positions, to whom chapter 51 of

17 title 5, United States Code, is applicable or on the

18 basis of the Federal Wage System schedule in effect

19 for the locality, and for the comparable positions,

20 the rates of compensation in effect for the senior ex21 ecutive service.

22 ‘‘(B) The Secretary shall establish the rate of

23 basic compensation, or annual salary rates, for the

24 positions of teachers and counselors (including dor25 mitory counselors and home-living counselors) at the
520

•HR 1 IH

1 rates of basic compensation applicable (on the date

2 of the enactment of the No Child Left Behind Act

3 of 2001 and thereafter) to comparable positions in

4 the overseas schools under the Defense Department

5 Overseas Teachers Pay Act. The Secretary shall

6 allow the local school boards authority to implement

7 only the aspects of the Defense Department Over8 seas Teacher pay provisions that are considered es9 sential for recruitment and retention. Implementa10 tion of such provisions shall not be construed to re11 quire the implementation of the Act in its entirety.

12 ‘‘(C)(i) Beginning with the fiscal year following

13 the date of the enactment of the No Child Left Be14 hind Act of 2001, each school board may set the

15 rate of compensation or annual salary rate for teach16 ers and counselors (including academic counselors)

17 who are new hires at the school and who have not

18 worked at the school on the date of implementation

19 of this provision, at rates consistent with the rates

20 paid for individuals in the same positions, with the

21 same tenure and training, in any other school within

22 whose boundaries the Bureau school lies. In in23 stances where the adoption of such rates cause a re24 duction in the payment of compensation from that

25 which was in effect for the fiscal year following the
521

•HR 1 IH

1 date of the enactment of the No Child Left Behind

2 Act of 2001, the new rate may be applied to the

3 compensation of employees of the school who worked

4 at the school on of the date of the enactment of that

5 Act by applying those rates to each contract renewal

6 such that the reduction takes effect in three equal

7 installments. Where adoption of such rates lead to

8 an increase in the payment of compensation from

9 that which was in effect for the fiscal year following

10 the date of the enactment of the No Child Left Be11 hind Act of 2001, the school board may make such

12 rates applicable at the next contract renewal such

13 that either—

14 ‘‘(I) the increase occurs in its entirety; or

15 ‘‘(II) the increase is applied in three equal

16 installments.

17 ‘‘(ii) The establishment of rates of basic com18 pensation and annual salary rates under subpara19 graphs (B) and (C) shall not preclude the use of

20 regulations and procedures used by the Bureau prior

21 to April 28, 1988, in making determinations regard22 ing promotions and advancements through levels of

23 pay that are based on the merit, education, experi24 ence, or tenure of the educator.
522

•HR 1 IH

1 ‘‘(D) The establishment of rates of basic com2 pensation and annual salary rates under subpara3 graphs (B) and (C) shall not affect the continued

4 employment or compensation of an educator who

5 was employed in an education position on October

6 31, 1979, and who did not make an election under

7 subsection (p) is in effect on January 1, 1990.

8 ‘‘(2) POST-DIFFERENTIAL RATES.—(A) The

9 Secretary may pay a post-differential rate not to ex10 ceed 25 percent of the rate of basic compensation,

11 on the basis of conditions of environment or work

12 which warrant additional pay as a recruitment and

13 retention incentive.

14 ‘‘(B)(i) Upon the request of the supervisor and

15 the local school board of a Bureau school, the Sec16 retary shall grant the supervisor of the school au17 thorization to provide one or more post-differentials

18 under subparagraph (A) unless the Secretary deter19 mines for clear and convincing reasons (and advises

20 the board in writing of those reasons) that certain

21 of the requested post-differentials should be dis22 approved or decreased because there is no disparity

23 of compensation for the involved employees or posi24 tions in the Bureau school, as compared with the

25 nearest public school, that is either—
523

•HR 1 IH

1 ‘‘(I) at least 5 percent; or

2 ‘‘(II) less than 5 percent and affects the

3 recruitment or retention of employees at the

4 school.

5 ‘‘(ii) A request under clause (i) shall be deemed

6 granted at the end of the 60th day after the request

7 is received in the Central Office of the Bureau un8 less before that time the request is approved, ap9 proved with modification, or disapproved by the Sec10 retary.

11 ‘‘(iii) The Secretary or the supervisor of a Bu12 reau school may discontinue or decrease a post-dif13 ferential authorized under this subparagraph at the

14 beginning of a school year if—

15 ‘‘(I) the local school board requests that

16 such differential be discontinued or decreased;

17 or

18 ‘‘(II) the Secretary or the supervisor deter19 mines for clear and convincing reasons (and ad20 vises the board in writing of those reasons) that

21 there is no disparity of compensation that

22 would affect the recruitment or retention of em23 ployees at the school after the differential is

24 discontinued or decreased.
524

•HR 1 IH

1 ‘‘(iv) On or before February 1 of each year, the

2 Secretary shall submit to Congress a report describ3 ing the requests and grants of authority under this

4 subparagraph during the previous year and listing

5 the positions contracted under those grants of au6 thority.

7 ‘‘(h) LIQUIDATION OF REMAINING LEAVE UPON

8 TERMINATION.—Upon termination of employment with

9 the Bureau, any annual leave remaining to the credit of

10 an individual within the purview of this section shall be

11 liquidated in accordance with sections 5551(a) and 6306

12 of title 5, United States Code, except that leave earned

13 or accrued under regulations prescribed pursuant to sub14 section (b)(10) of this section shall not be so liquidated.

15 ‘‘(i) TRANSFER OF REMAINING SICK LEAVE UPON

16 TRANSFER, PROMOTION, OR REEMPLOYMENT.—In the

17 case of any educator who is transferred, promoted, or re18 appointed, without break in service, to a position in the

19 Federal Government under a different leave system, any

20 remaining leave to the credit of such person earned or

21 credited under the regulations prescribed pursuant to sub22 section (b)(10) shall be transferred to such person’s credit

23 in the employing agency on an adjusted basis in accord24 ance with regulations which shall be prescribed by the Of25 fice of Personnel Management.
525

•HR 1 IH

1 ‘‘(j) INELIGIBILITY FOR EMPLOYMENT OF VOLUN2 TARILY TERMINATED EDUCATORS.—An educator who vol3 untarily terminates employment with the Bureau before

4 the expiration of the existing employment contract be5 tween such educator and the Bureau shall not be eligible

6 to be employed in another education position in the Bu7 reau during the remainder of the term of such contract.

8 ‘‘(k) DUAL COMPENSATION.—In the case of any edu9 cator employed in an education position described in sub10 section (l)(1)(A) who—

11 ‘‘(1) is employed at the close of a school year;

12 ‘‘(2) agrees in writing to serve in such position

13 for the next school year; and

14 ‘‘(3) is employed in another position during the

15 recess period immediately preceding such next school

16 year, or during such recess period receives additional

17 compensation referred to in section 5533 of title 5,

18 United States Code, relating to dual compensation,

19 shall not apply to such educator by reason of any such

20 employment during a recess period for any receipt of addi21 tional compensation.

22 ‘‘(l) VOLUNTARY SERVICES.—Notwithstanding sec23 tion 1342 of title 31, United States Code, the Secretary

24 may, subject to the approval of the local school board con25 cerned, accept voluntary services on behalf of Bureau
526

•HR 1 IH

1 schools. Nothing in this part shall be construed to require

2 Federal employees to work without compensation or to

3 allow the use of volunteer services to displace or replace

4 Federal employees. An individual providing volunteer serv5 ices under this section is a Federal employee only for pur6 poses of chapter 81 of title 5, United States Code, and

7 chapter 171 of title 28, United States Code.

8 ‘‘(m) PRORATION OF PAY.—

9 ‘‘(1) ELECTION OF EMPLOYEE.—Notwith10 standing any other provision of law, including laws

11 relating to dual compensation, the Secretary, at the

12 election of the employee, shall prorate the salary of

13 an employee employed in an education position for

14 the academic school year over the entire 12-month

15 period. Each educator employed for the academic

16 school year shall annually elect to be paid on a 12-

17 month basis or for those months while school is in

18 session. No educator shall suffer a loss of pay or

19 benefits, including benefits under unemployment or

20 other Federal or federally assisted programs, be21 cause of such election.

22 ‘‘(2) CHANGE OF ELECTION.—During the

23 course of such year the employee may change elec24 tion once.
527

•HR 1 IH

1 ‘‘(3) LUMP SUM PAYMENT.—That portion of

2 the employee’s pay which would be paid between

3 academic school years may be paid in a lump sum

4 at the election of the employee.

5 ‘‘(4) DEFINITIONS.—For purposes of this sub6 section, the terms ‘educator’ and ‘education position’

7 have the meanings contained in paragraphs (1) and

8 (2) of subsection (o). This subsection applies to

9 those individuals employed under the provisions of

10 section 1132 of this title or title 5, United States

11 Code.

12 ‘‘(n) EXTRACURRICULAR ACTIVITIES.—

13 ‘‘(1) STIPEND.—Notwithstanding any other

14 provision of law, the Secretary may provide, for each

15 Bureau area, a stipend in lieu of overtime premium

16 pay or compensatory time off. Any employee of the

17 Bureau who performs additional activities to provide

18 services to students or otherwise support the school’s

19 academic and social programs may elect to be com20 pensated for all such work on the basis of the sti21 pend. Such stipend shall be paid as a supplement to

22 the employee’s base pay.

23 ‘‘(2) ELECTION NOT TO RECEIVE STIPEND.—If

24 an employee elects not to be compensated through

25 the stipend established by this subsection, the appro-
528

•HR 1 IH

1 priate provisions of title 5, United States Code, shall

2 apply.

3 ‘‘(3) APPLICABILITY OF SUBSECTION.—This

4 subsection applies to all Bureau employees, whether

5 employed under section 1132 of this title or title 5,

6 United States Code.

7 ‘‘(o) DEFINITIONS.—For the purpose of this

8 section—

9 ‘‘(1) EDUCATION POSITION.—The term ‘edu10 cation position’ means a position in the Bureau the

11 duties and responsibilities of which—

12 ‘‘(A) are performed on a school-year basis

13 principally in a Bureau school and involve—

14 ‘‘(i) classroom or other instruction or

15 the supervision or direction of classroom or

16 other instruction;

17 ‘‘(ii) any activity (other than teach18 ing) which requires academic credits in

19 educational theory and practice equal to

20 the academic credits in educational theory

21 and practice required for a bachelor’s de22 gree in education from an accredited insti23 tution of higher education;

24 ‘‘(iii) any activity in or related to the

25 field of education notwithstanding that
529

•HR 1 IH

1 academic credits in educational theory and

2 practice are not a formal requirement for

3 the conduct of such activity; or

4 ‘‘(iv) support services at, or associated

5 with, the site of the school; or

6 ‘‘(B) are performed at the agency level of

7 the Bureau and involve the implementation of

8 education-related programs other than the posi9 tion for agency superintendent for education.

10 ‘‘(2) EDUCATOR.—The term ‘educator’ means

11 an individual whose services are required, or who is

12 employed, in an education position.

13 ‘‘(p) COVERED INDIVIDUALS; ELECTION.—This sec14 tion shall apply with respect to any educator hired after

15 November 1, 1979 (and to any educator who elected for

16 coverage under that provision after November 1, 1979)

17 and to the position in which such individual is employed.

18 The enactment of this section shall not affect the contin19 ued employment of an individual employed on October 31,

20 1979 in an education position, or such person’s right to

21 receive the compensation attached to such position.

22 ‘‘SEC. 1133. COMPUTERIZED MANAGEMENT INFORMATION

23 SYSTEM.

24 ‘‘(a) ESTABLISHMENT OF SYSTEM.—Not later than

25 July 1, 2003, the Secretary shall establish within the Of-
530

•HR 1 IH

1 fice, a computerized management information system,

2 which shall provide processing and information to the Of3 fice. The information provided shall include information

4 regarding—

5 ‘‘(1) student enrollment;

6 ‘‘(2) curriculum;

7 ‘‘(3) staffing;

8 ‘‘(4) facilities;

9 ‘‘(5) community demographics;

10 ‘‘(6) student assessment information;

11 ‘‘(7) information on the administrative and pro12 gram costs attributable to each Bureau program, di13 vided into discreet elements;

14 ‘‘(8) relevant reports;

15 ‘‘(9) personnel records;

16 ‘‘(10) finance and payroll; and

17 ‘‘(11) such other items as the Secretary deems

18 appropriate.

19 ‘‘(b) IMPLEMENTATION OF SYSTEM.—Not later than

20 July 1, 2004, the Secretary shall complete implementation

21 of such a system at each field office and Bureau funded

22 school.
531

•HR 1 IH

1 ‘‘SEC. 1134. UNIFORM EDUCATION PROCEDURES AND PRAC2 TICES.

3 ‘‘The Secretary shall cause the various divisions of

4 the Bureau to formulate uniform procedures and practices

5 with respect to such concerns of those divisions as relate

6 to education, and shall report such practices and proce7 dures to the Congress.

8 ‘‘SEC. 1135. RECRUITMENT OF INDIAN EDUCATORS.

9 ‘‘The Secretary shall institute a policy for the recruit10 ment of qualified Indian educators and a detailed plan to

11 promote employees from within the Bureau. Such plan

12 shall include opportunities for acquiring work experience

13 prior to actual work assignment.

14 ‘‘SEC. 1136. BIENNIAL REPORT; AUDITS.

15 ‘‘(a) BIENNIAL REPORTS.—The Secretary shall sub16 mit to each appropriate committee of Congress, all Bureau

17 funded schools, and the tribal governing bodies of such

18 schools, a detailed biennial report on the state of education

19 within the Bureau and any problems encountered in In20 dian education during the 2-year period covered by the

21 report. Such report shall contain suggestions for the im22 provement of the Bureau educational system and for in23 creasing tribal or local Indian control of such system. Such

24 report shall also include the current status of tribally con25 trolled community colleges. The annual budget submission

26 for the Bureau’s education programs shall include—
532

•HR 1 IH

1 ‘‘(1) information on the funds provided to pre2 viously private schools under section 208 of the In3 dian Self-Determination and Education Assistance

4 Act, and recommendations with respect to the future

5 use of such funds;

6 ‘‘(2) the needs and costs of operations and

7 maintenance of tribally controlled community col8 leges eligible for assistance under the Tribally Con9 trolled Community College Assistance Act of 1978

10 and recommendations with respect to meeting such

11 needs and costs; and

12 ‘‘(3) the plans required by sections 1121 (g),

13 1122(c), and 1125(b).

14 ‘‘(b) FINANCIAL AND COMPLIANCE AUDITS.—The

15 Inspector General of the Department of the Interior shall

16 establish a system to ensure that financial and compliance

17 audits are conducted of each Bureau operated school at

18 least once in every 3 years. Audits of Bureau schools shall

19 be based upon the extent to which such school has com20 plied with its local financial plan under section 1130.

21 ‘‘SEC. 1137. RIGHTS OF INDIAN STUDENTS.

22 ‘‘The Secretary shall prescribe such rules and regula23 tions as are necessary to ensure the constitutional and civil

24 rights of Indian students attending Bureau funded

25 schools, including such students’ right to privacy under
533

•HR 1 IH

1 the laws of the United States, such students’ right to free2 dom of religion and expression, and such students’ right

3 to due process in connection with disciplinary actions, sus4 pensions, and expulsions.

5 ‘‘SEC. 1138. REGULATIONS.

6 ‘‘(a) IN GENERAL.—The Secretary is authorized to

7 issue only such regulations as are necessary to ensure

8 compliance with the specific provision of this Act. The Sec9 retary shall publish proposed regulations in the Federal

10 Register, shall provide a period of not less than 90 days

11 for public comment thereon, and shall place in parentheses

12 after each regulatory section the citation to any statutory

13 provision providing authority to promulgate such regu14 latory provision.

15 ‘‘(b) MISCELLANEOUS.—

16 ‘‘(1) CONSTRUCTION.—The provisions of this

17 Act shall supersede any conflicting provisions of law

18 (including any conflicting regulations) in effect on

19 the day before the date of the enactment of this Act

20 and the Secretary is authorized to repeal any regula21 tion inconsistent with the provisions of this Act.

22 ‘‘(2) LEGAL AUTHORITY TO BE STATED.—Reg23 ulations issued to implement this Act shall contain,

24 immediately following each substantive provision of

25 such regulations, citations to the particular section
534

•HR 1 IH

1 or sections of statutory law or other legal authority

2 upon which provision is based.

3 ‘‘SEC. 1138A. REGIONAL MEETINGS AND NEGOTIATED

4 RULEMAKING.

5 ‘‘(a) MEETINGS.—

6 ‘‘(1) IN GENERAL.—The Secretary shall obtain

7 tribal involvement in the development of proposed

8 regulations under this part and the Tribally Con9 trolled Schools Act of 1988. The Secretary shall ob10 tain the advice of and recommendations from rep11 resentatives of Indian tribes with Bureau funded

12 schools on their reservations, Indian tribes whose

13 children attend Bureau funded off-reservation board14 ing schools, school boards, administrators or employ15 ees of Bureau funded schools, and parents and

16 teachers of students enrolled in Bureau funded

17 schools.

18 ‘‘(2) ISSUES.—The Secretary shall provide for a

19 comprehensive discussion and exchange of informa20 tion concerning the implementation of this part and

21 the Tribally Controlled Schools Act of 1988 through

22 such mechanisms as regional meetings and electronic

23 exchanges of information. The Secretary shall take

24 into account the information received through such

25 mechanisms in the development of proposed regula-
535

•HR 1 IH

1 tions and shall publish a summary of such informa2 tion in the Federal Register together with such pro3 posed regulations.

4 ‘‘(b) DRAFT REGULATIONS.—

5 ‘‘(1) IN GENERAL.—After obtaining the advice

6 and recommendations described in subsection (a)(1)

7 and before publishing proposed regulations in the

8 Federal Register, the Secretary shall prepare draft

9 regulations implementing this part and the Tribally

10 Controlled Schools Act of 1988 and shall submit

11 such regulations to a negotiated rulemaking process.

12 Participants in the negotiations process shall be cho13 sen by the Secretary from individuals nominated by

14 the entities described in subsection (a)(1). To the

15 maximum extent possible, the Secretary shall ensure

16 that the tribal representative membership chosen

17 pursuant to the preceding sentence reflects the pro18 portionate share of students from tribes served by

19 the Bureau funded school system. The negotiation

20 process shall be conducted in a timely manner in

21 order that the final regulations may issued by the

22 Secretary no later than 18 months after the enact23 ment of this section.

24 ‘‘(2) NOTIFICATION TO CONGRESS.—If draft

25 regulations implementing this part and the Tribally
536

•HR 1 IH

1 Controlled Schools Act of 1988 are not issued in

2 final form by the deadline provided in paragraph

3 (1), the Secretary shall notify the appropriate com4 mittees of Congress of which draft regulations were

5 not issued in final form by the deadline and the rea6 son such final regulations were not issued.

7 ‘‘(3) EXPANSION OF NEGOTIATED RULE8 MAKING.—All regulations pertaining to this part and

9 the Tribally Controlled Schools Act of 1988 that are

10 promulgated after the date of the enactment of this

11 subsection shall be subject to a negotiated rule12 making (including the selection of the regulations to

13 be negotiated), unless the Secretary determines that

14 applying such a requirement with respect to given

15 regulations is impracticable, unnecessary, or con16 trary to the public interest (within the meaning of

17 section 553(b)(3)(B) of title 5), and publishes the

18 basis for such determination in the Federal Register

19 at the same time as the proposed regulations in

20 question are first published. All published proposed

21 regulations shall conform to agreements resulting

22 from such negotiated rulemaking unless the Sec23 retary reopens the negotiated rulemaking process or

24 provides a written explanation to the participants in

25 that process why the Secretary has decided to depart
537

•HR 1 IH

1 from such agreements. Such negotiated rulemaking

2 shall be conducted in accordance with the provisions

3 of subsection (a), and the Secretary shall ensure

4 that a clear and reliable record of agreements

5 reached during the negotiation process is main6 tained.

7 ‘‘(c) APPLICABILITY OF FEDERAL ADVISORY COM8 MITTEE ACT.—The Federal Advisory Committee Act shall

9 apply to activities carried out under this section.

10 ‘‘SEC. 1139. EARLY CHILDHOOD DEVELOPMENT PROGRAM.

11 ‘‘(a) IN GENERAL.—The Secretary shall provide

12 grants to tribes, tribal organizations, and consortia of

13 tribes and tribal organizations to fund early childhood de14 velopment programs that are operated by such tribes, or15 ganizations, or consortia.

16 ‘‘(b) AMOUNT OF GRANTS.—

17 ‘‘(1) IN GENERAL.—The total amount of the

18 grants provided under subsection (a) with respect to

19 each tribe, tribal organization, or consortium of

20 tribes or tribal organizations for each fiscal year

21 shall be equal to the amount which bears the same

22 relationship to the total amount appropriated under

23 the authority of subsection (g) for such fiscal year

24 (less amounts provided under subsection (f)) as—
538

•HR 1 IH

1 ‘‘(A) the total number of children under 6

2 years of age who are members of—

3 ‘‘(i) such tribe;

4 ‘‘(ii) the tribe that authorized such

5 tribal organization; or

6 ‘‘(iii) any tribe that—

7 ‘‘(I) is a member of such consor8 tium; or

9 ‘‘(II) authorizes any tribal orga10 nization that is a member of such con11 sortium; bears to

12 ‘‘(B) the total number of all children under

13 6 years of age who are members of any tribe

14 that—

15 ‘‘(i) is eligible to receive funds under

16 subsection (a);

17 ‘‘(ii) is a member of a consortium that

18 is eligible to receive such funds; or

19 ‘‘(iii) authorizes a tribal organization

20 that is eligible to receive such funds.

21 ‘‘(2) LIMITATION.—No grant may be provided

22 under subsection (a)—

23 ‘‘(A) to any tribe that has less than 500

24 members;
539

•HR 1 IH

1 ‘‘(B) to any tribal organization which is

2 authorized—

3 ‘‘(i) by only one tribe that has less

4 than 500 members; or

5 ‘‘(ii) by one or more tribes that have

6 a combined total membership of less than

7 500 members; or

8 ‘‘(C) to any consortium composed of tribes,

9 or tribal organizations authorized by tribes,

10 that have a combined total tribal membership of

11 less than 500 members.

12 ‘‘(c) APPLICATION.

13 ‘‘(1) IN GENERAL.—A grant may be provided

14 under subsection (a) to a tribe, tribal organization,

15 or consortia of tribes and tribal organizations only

16 if the tribe, organization, or consortia submits to the

17 Secretary an application for the grant at such time

18 and in such form as the Secretary shall prescribe.

19 ‘‘(2) CONTENTS.—Applications submitted under

20 paragraph (1) shall set forth the early childhood de21 velopment program that the applicant desires to op22 erate.

23 ‘‘(d) REQUIREMENT OF PROGRAMS FUNDED.—The

24 early childhood development programs that are funded by

25 grants provided under subsection (a)—
540

•HR 1 IH

1 ‘‘(1) shall coordinate existing programs and

2 may provide services that meet identified needs of

3 parents and children under 6 years of age which are

4 not being met by existing programs, including—

5 ‘‘(A) prenatal care;

6 ‘‘(B) nutrition education;

7 ‘‘(C) health education and screening;

8 ‘‘(D) family literacy services;

9 ‘‘(E) educational testing; and

10 ‘‘(F) other educational services;

11 ‘‘(2) may include instruction in the language,

12 art, and culture of the tribe; and

13 ‘‘(3) shall provide for periodic assessment of the

14 program.

15 ‘‘(e) COORDINATION OF FAMILY LITERACY PRO16 GRAMS.—Family literacy programs operated under this

17 section and other family literacy programs operated by the

18 Bureau of Indian Affairs shall be coordinated with family

19 literacy programs for Indian children under part B of title

20 I of the Elementary and Secondary Education Act of 1965

21 in order to avoid duplication and to encourage the dissemi22 nation of information on quality family literacy programs

23 serving Indians.

24 ‘‘(f) ADMINISTRATIVE COSTS.—The Secretary shall,

25 out of funds appropriated under subsection (g), include
541

•HR 1 IH

1 in the grants provided under subsection (a) amounts for

2 administrative costs incurred by the tribe, tribal organiza3 tion, or consortium of tribes in establishing and maintain4 ing the early childhood development program.

5 ‘‘(g) AUTHORIZATION OF APPROPRIATIONS.—For the

6 purpose of carrying out the provisions of this section,

7 there are authorized to be appropriated $10,000,000 for

8 fiscal year 2002 and such sums as may be necessary for

9 each of the fiscal years 2003, 2004, 2005, and 2006.

10 ‘‘SEC. 1140. TRIBAL DEPARTMENTS OR DIVISIONS OF EDU11 CATION.

12 ‘‘(a) IN GENERAL.—Subject to the availability of ap13 propriations, the Secretary shall provide grants and tech14 nical assistance to tribes for the development and oper15 ation of tribal departments of education for the purpose

16 of planning and coordinating all educational programs of

17 the tribe.

18 ‘‘(b) GRANTS.—Grants provided under this section

19 shall—

20 ‘‘(1) be based on applications from the gov21 erning body of the tribe;

22 ‘‘(2) reflect factors such as geographic and pop23 ulation diversity;

24 ‘‘(3) facilitate tribal control in all matters relat25 ing to the education of Indian children on Indian
542

•HR 1 IH

1 reservations (and on former Indian reservations in

2 Oklahoma);

3 ‘‘(4) provide for the development of coordinated

4 educational programs on Indian reservations (and on

5 former Indian reservations in Oklahoma) (including

6 all preschool, elementary, secondary, and higher or

7 vocational educational programs funded by tribal,

8 Federal, or other sources) by encouraging tribal ad9 ministrative support of all Bureau funded edu10 cational programs as well as encouraging tribal co11 operation and coordination with all educational pro12 grams receiving financial support from State agen13 cies, other Federal agencies, or private entities;

14 ‘‘(5) provide for the development and enforce15 ment of tribal educational codes, including tribal

16 educational policies and tribal standards applicable

17 to curriculum, personnel, students, facilities, and

18 support programs; and

19 ‘‘(6) otherwise comply with regulations for

20 grants under section 103(a) of the Indian Self-De21 termination and Educational Assistance Act that are

22 in effect on the date that application for such grants

23 are made.

24 ‘‘(c) PRIORITIES.—
543

•HR 1 IH

1 ‘‘(1) IN GENERAL.—In making grants under

2 this section, the Secretary shall give priority to any

3 application that—

4 ‘‘(A) includes assurances from the majority

5 of Bureau funded schools located within the

6 boundaries of the reservation of the applicant

7 that the tribal department of education to be

8 funded under this section will provide coordi9 nating services and technical assistance to all of

10 such schools, including the submission to each

11 applicable agency of a unified application for

12 funding for all of such schools which provides

13 that—

14 ‘‘(i) no administrative costs other

15 than those attributable to the individual

16 programs of such schools will be associated

17 with the unified application; and

18 ‘‘(ii) the distribution of all funds re19 ceived under the unified application will be

20 equal to the amount of funds provided by

21 the applicable agency to which each of

22 such schools is entitled under law;

23 ‘‘(B) includes assurances from the tribal

24 governing body that the tribal department of

25 education funded under this section will admin-
544

•HR 1 IH

1 ister all contracts or grants (except those cov2 ered by the other provisions of this title and the

3 Tribally Controlled Community College Assist4 ance Act of 1978) for education programs ad5 ministered by the tribe and will coordinate all

6 of the programs to the greatest extent possible;

7 ‘‘(C) includes assurances for the moni8 toring and auditing by or through the tribal de9 partment of education of all education pro10 grams for which funds are provided by contract

11 or grant to ensure that the programs meet the

12 requirements of law; and

13 ‘‘(D) provides a plan and schedule for—

14 ‘‘(i) the assumption over the term of

15 the grant by the tribal department of edu16 cation of all assets and functions of the

17 Bureau agency office associated with the

18 tribe, insofar as those responsibilities re19 late to education; and

20 ‘‘(ii) the termination by the Bureau of

21 such operations and office at the time of

22 such assumption,

23 except that when mutually agreeable between

24 the tribal governing body and the Assistant

25 Secretary, the period in which such assumption
545

•HR 1 IH

1 is to occur may be modified, reduced, or ex2 tended after the initial year of the grant.

3 ‘‘(2) TIME PERIOD OF GRANT.—Subject to the

4 availability of appropriated funds, grants provided

5 under this section shall be provided for a period of

6 3 years and the grant may, if performance by the

7 grantee is satisfactory to the Secretary, be renewed

8 for additional 3-year terms.

9 ‘‘(d) TERMS, CONDITIONS, OR REQUIREMENTS.—The

10 Secretary shall not impose any terms, conditions, or re11 quirements on the provision of grants under this section

12 that are not specified in this section.

13 ‘‘(e) AUTHORIZATION OF APPROPRIATIONS.—For the

14 purpose of carrying out the provisions of this section,

15 there are authorized to be appropriated $2,000,000 for fis16 cal year 2002 and such sums as may be necessary for each

17 of the fiscal years 2003, 2004, 2005, and 2006.

18 ‘‘SEC. 1141. DEFINITIONS.

19 ‘‘For the purposes of this part, unless otherwise spec20 ified:

21 ‘‘(1) AGENCY SCHOOL BOARD.—The term

22 ‘agency school board’ means a body, the members of

23 which are appointed by all of the school boards of

24 the schools located within an agency, including

25 schools operated under contract or grant, and the
546

•HR 1 IH

1 number of such members shall be determined by the

2 Secretary in consultation with the affected tribes, ex3 cept that, in agencies serving a single school, the

4 school board of such school shall fulfill these duties,

5 and in agencies having schools or a school operated

6 under contract or grant, one such member at least

7 shall be from such a school.

8 ‘‘(2) BUREAU.—The term ‘Bureau’ means the

9 Bureau of Indian Affairs of the Department of the

10 Interior.

11 ‘‘(3) BUREAU FUNDED SCHOOL.—The term

12 ‘Bureau funded school’ means—

13 ‘‘(A) a Bureau school;

14 ‘‘(B) a contract or grant school; or

15 ‘‘(C) a school for which assistance is pro16 vided under the Tribally Controlled Schools Act

17 of 1988.

18 ‘‘(4) BUREAU SCHOOL.—The term ‘Bureau

19 school’ means a Bureau operated elementary or sec20 ondary day or boarding school or a Bureau operated

21 dormitory for students attending a school other than

22 a Bureau school.

23 ‘‘(5) CONTRACT OR GRANT SCHOOL.—The term

24 ‘contract or grant school’ means an elementary or

25 secondary school or dormitory which receives finan-
547

•HR 1 IH

1 cial assistance for its operation under a contract,

2 grant or agreement with the Bureau under section

3 102, 103(a), or 208 of the Indian Self-Determina4 tion and Education Assistance Act, or under the

5 Tribally Controlled Schools Act of 1988.

6 ‘‘(6) EDUCATION LINE OFFICER.—The term

7 ‘education line officer’ means education personnel

8 under the supervision of the Director, whether lo9 cated in the central, area, or agency offices.

10 ‘‘(7) FAMILY LITERACY SERVICES.—The term

11 ‘family literacy services’ has the meaning given that

12 term in section 14101 of the Elementary and Sec13 ondary Education Act of 1965 (20 U.S.C. 8801).

14 ‘‘(8) FINANCIAL PLAN.—The term ‘financial

15 plan’ means a plan of services provided by each Bu16 reau school.

17 ‘‘(9) INDIAN ORGANIZATION.—the term ‘Indian

18 organization’ means any group, association, partner19 ship, corporation, or other legal entity owned or con20 trolled by a federally recognized Indian tribe or

21 tribes, or a majority of whose members are members

22 of federally recognized tribes.

23 ‘‘(10) LOCAL EDUCATIONAL AGENCY.—The

24 term ‘local educational agency’ means a board of

25 education or other legally constituted local school
548

•HR 1 IH

1 authority having administrative control and direction

2 of free public education in a county, township, inde3 pendent, or other school district located within a

4 State, and includes any State agency which directly

5 operates and maintains facilities for providing free

6 public education.

7 ‘‘(11) LOCAL SCHOOL BOARD.—The term ‘local

8 school board’, when used with respect to a Bureau

9 school, means a body chosen in accordance with the

10 laws of the tribe to be served or, in the absence of

11 such laws, elected by the parents of the Indian chil12 dren attending the school, except that in schools

13 serving a substantial number of students from dif14 ferent tribes, the members shall be appointed by the

15 governing bodies of the tribes affected, and the num16 ber of such members shall be determined by the Sec17 retary in consultation with the affected tribes.

18 ‘‘(12) OFFICE.—The term ‘Office’ means the

19 Office of Indian Education Programs within the Bu20 reau.

21 ‘‘(13) SECRETARY.—The term ‘Secretary’

22 means the Secretary of the Interior.

23 ‘‘(14) SUPERVISOR.—The term ‘supervisor’

24 means the individual in the position of ultimate au25 thority at a Bureau school.
549

•HR 1 IH

1 ‘‘(15) TRIBAL GOVERNING BODY.—The term

2 ‘tribal governing body’ means, with respect to any

3 school, the tribal governing body, or tribal governing

4 bodies, that represent at least 90 percent of the stu5 dents served by such school.

6 ‘‘(16) TRIBE.—The term ‘tribe’ means any In7 dian tribe, band, nation, or other organized group or

8 community, including any Alaska Native village or

9 regional or village corporation as defined in or estab10 lished pursuant to the Alaska Native Claims Settle11 ment Act, which is recognized as eligible for the spe12 cial programs and services provided by the United

13 States to Indians because of their status as Indi14 ans.’’.

15 SEC. 314. TRIBALLY CONTROLLED SCHOOLS ACT OF 1988.

16 Sections 5202 through 5212 of Public Law 100–297

17 (25 U.S.C. 2501 et seq.) are amended to read as follows:

18 ‘‘SEC. 5202. FINDINGS.

19 ‘‘Congress, after careful review of the Federal Gov20 ernment’s historical and special legal relationship with,

21 and resulting responsibilities to, Indians, finds that—

22 ‘‘(1) the Indian Self-Determination and Edu23 cation Assistance Act, which was a product of the le24 gitimate aspirations and a recognition of the inher-
550

•HR 1 IH

1 ent authority of Indian nations, was and is a crucial

2 positive step towards tribal and community control;

3 ‘‘(2) the Bureau of Indian Affairs’ administra4 tion and domination of the contracting process

5 under such Act has not provided the full opportunity

6 to develop leadership skills crucial to the realization

7 of self-government and has denied Indians an effec8 tive voice in the planning and implementation of

9 programs for the benefit of Indians which are re10 sponsive to the true needs of Indian communities;

11 ‘‘(3) Indians will never surrender their desire to

12 control their relationships both among themselves

13 and with non-Indian governments, organizations,

14 and persons;

15 ‘‘(4) true self-determination in any society of

16 people is dependent upon an educational process

17 which will ensure the development of qualified people

18 to fulfill meaningful leadership roles;

19 ‘‘(5) the Federal administration of education

20 for Indian children has not effected the desired level

21 of educational achievement or created the diverse op22 portunities and personal satisfaction that education

23 can and should provide;

24 ‘‘(6) true local control requires the least pos25 sible Federal interference; and
551

•HR 1 IH

1 ‘‘(7) the time has come to enhance the concepts

2 made manifest in the Indian Self-Determination and

3 Education Assistance Act.

4 ‘‘SEC. 5203. DECLARATION OF POLICY.

5 ‘‘(a) RECOGNITION.—Congress recognizes the obliga6 tion of the United States to respond to the strong expres7 sion of the Indian people for self-determination by assur8 ing maximum Indian participation in the direction of edu9 cational services so as to render such services more re10 sponsive to the needs and desires of those communities.

11 ‘‘(b) COMMITMENT.—Congress declares its commit12 ment to the maintenance of the Federal Government’s

13 unique and continuing trust relationship with and respon14 sibility to the Indian people through the establishment of

15 a meaningful Indian self-determination policy for edu16 cation which will deter further perpetuation of Federal bu17 reaucratic domination of programs.

18 ‘‘(c) NATIONAL GOAL.—Congress declares that a

19 major national goal of the United States is to provide the

20 resources, processes, and structure which will enable tribes

21 and local communities to effect the quantity and quality

22 of educational services and opportunities which will permit

23 Indian children to compete and excel in the life areas of

24 their choice and to achieve the measure of self-determina25 tion essential to their social and economic well-being.
552

•HR 1 IH

1 ‘‘(d) EDUCATIONAL NEEDS.—Congress affirms the

2 reality of the special and unique educational needs of In3 dian peoples, including the need for programs to meet the

4 linguistic and cultural aspirations of Indian tribes and

5 communities. These may best be met through a grant

6 process.

7 ‘‘(e) FEDERAL RELATIONS.—Congress declares its

8 commitment to these policies and its support, to the full

9 extent of its responsibility, for Federal relations with the

10 Indian Nations.

11 ‘‘(f) TERMINATION.—Congress hereby repudiates and

12 rejects House Resolution 108 of the 83d Congress and any

13 policy of unilateral termination of Federal relations with

14 any Indian Nation.

15 ‘‘SEC. 5204. GRANTS AUTHORIZED.

16 ‘‘(a) IN GENERAL.—

17 ‘‘(1) ELIGIBILITY.—The Secretary shall provide

18 grants to Indian tribes, and tribal organizations

19 that—

20 ‘‘(A) operate contract schools under title

21 XI of the Education Amendments of 1978 and

22 notify the Secretary of their election to operate

23 the schools with assistance under this part

24 rather than continuing as contract school;
553

•HR 1 IH

1 ‘‘(B) operate other tribally controlled

2 schools eligible for assistance under this part

3 and submit applications (which are approved by

4 their tribal governing bodies) to the Secretary

5 for such grants; or

6 ‘‘(C) elect to assume operation of Bureau

7 funded schools with the assistance under this

8 part and submit applications (which are ap9 proved by their tribal governing bodies) to the

10 Secretary for such grants.

11 ‘‘(2) DEPOSIT OF FUNDS.—Grants provided

12 under this part shall be deposited into the general

13 operating fund of the tribally controlled school with

14 respect to which the grant is made.

15 ‘‘(3) USE OF FUNDS.—(A) Except as otherwise

16 provided in this paragraph, grants provided under

17 this part shall be used to defray, at the discretion

18 of the school board of the tribally controlled school

19 with respect to which the grant is provided, any ex20 penditures for education related activities for which

21 any funds that compose the grant may be used

22 under the laws described in section 5205(a), includ23 ing, but not limited to, expenditures for—
554

•HR 1 IH

1 ‘‘(i) school operations, academic, edu2 cational, residential, guidance and counseling,

3 and administrative purposes; and

4 ‘‘(ii) support services for the school, includ5 ing transportation.

6 ‘‘(B) Grants provided under this part may, at

7 the discretion of the school board of the tribally con8 trolled school with respect to which such grant is

9 provided, be used to defray operations and mainte10 nance expenditures for the school if any funds for

11 the operation and maintenance of the school are al12 located to the school under the provisions of any of

13 the laws described in section 5205(a).

14 ‘‘(b) LIMITATIONS.—

15 ‘‘(1) ONE GRANT PER TRIBE OR ORGANIZATION

16 PER FISCAL YEAR.—Not more than one grant may

17 be provided under this part with respect to any In18 dian tribe or tribal organization for any fiscal year.

19 ‘‘(2) NONSECTARIAN USE.—Funds provided

20 under any grant made under this part may not be

21 used in connection with religious worship or sec22 tarian instruction.

23 ‘‘(3) ADMINISTRATIVE COSTS LIMITATION.—

24 Funds provided under any grant under this part

25 may not be expended for administrative costs (as de-
555

•HR 1 IH

1 fined in section 1128(h)(1) of the Education Amend2 ments of 1978) in excess of the amount generated

3 for such costs under section 1128 of such Act.

4 ‘‘(c) LIMITATION ON TRANSFER OF FUNDS AMONG

5 SCHOOLSITES.—

6 ‘‘(1) IN GENERAL.—In the case of a grantee

7 that operates schools at more than one schoolsite,

8 the grantee may expend not more than the lesser

9 of—

10 ‘‘(A) 10 percent of the funds allocated for

11 such schoolsite under section 1128 of the Edu12 cation Amendments of 1978; or

13 ‘‘(B) $400,000 of such funds, at any other

14 schoolsite.

15 ‘‘(2) DEFINITION OF SCHOOLSITE.—For pur16 poses of this subsection, the term ‘schoolsite’ means

17 the physical location and the facilities of an elemen18 tary or secondary educational or residential program

19 operated by, or under contract or grant with, the

20 Bureau for which a discreet student count is identi21 fied under the funding formula established under

22 section 1127 of the Education Amendments of 1978.

23 ‘‘(d) NO REQUIREMENT TO ACCEPT GRANTS.—

24 Nothing in this part may be construed—
556

•HR 1 IH

1 ‘‘(1) to require a tribe or tribal organization to

2 apply for or accept; or

3 ‘‘(2) to allow any person to coerce any tribe or

4 tribal organization to apply for, or accept,

5 a grant under this part to plan, conduct, and administer

6 all of, or any portion of, any Bureau program. Such appli7 cations and the timing of such applications shall be strictly

8 voluntary. Nothing in this part may be construed as allow9 ing or requiring any grant with any entity other than the

10 entity to which the grant is provided.

11 ‘‘(e) NO EFFECT ON FEDERAL RESPONSIBILITY.—

12 Grants provided under this part shall not terminate, mod13 ify, suspend, or reduce the responsibility of the Federal

14 Government to provide a program.

15 ‘‘(f) RETROCESSION.—

16 ‘‘(1) IN GENERAL.—Whenever a tribal gov17 erning body requests retrocession of any program for

18 which assistance is provided under this part, such

19 retrocession shall become effective upon a date speci20 fied by the Secretary that is not later than 120 days

21 after the date on which the tribal governing body re22 quests the retrocession. A later date as may be spec23 ified if mutually agreed upon by the Secretary and

24 the tribal governing body. If such a program is

25 retroceded, the Secretary shall provide to any Indian
557

•HR 1 IH

1 tribe served by such program at least the same

2 quantity and quality of services that would have

3 been provided under such program at the level of

4 funding provided under this part prior to the ret5 rocession.

6 ‘‘(2) STATUS AFTER RETROCESSION.—The tribe

7 requesting retrocession shall specify whether the ret8 rocession is to status as a Bureau operated school

9 or as a school operated under contract under title XI

10 of the Education Amendments of 1978.

11 ‘‘(3) TRANSFER OF EQUIPMENT AND MATE12 RIALS.—Except as otherwise determined by the Sec13 retary, the tribe or tribal organization operating the

14 program to be retroceded must transfer to the Sec15 retary (or to the tribe or tribal organization which

16 will operate the program as a contract school) the

17 existing equipment and materials which were

18 acquired—

19 ‘‘(A) with assistance under this part; or

20 ‘‘(B) upon assumption of operation of the

21 program under this part if the school was a Bu22 reau funded school under title XI of the Edu23 cation Amendments of 1978 before receiving as24 sistance under this part.
558

•HR 1 IH

1 ‘‘(g) PROHIBITION OF TERMINATION FOR ADMINIS2 TRATIVE CONVENIENCE.—Grants provided under this

3 part may not be terminated, modified, suspended, or re4 duced solely for the convenience of the administering agen5 cy.

6 ‘‘SEC. 5205. COMPOSITION OF GRANTS.

7 ‘‘(a) IN GENERAL.—The grant provided under this

8 part to an Indian tribe or tribal organization for any fiscal

9 year shall consist of—

10 ‘‘(1) the total amount of funds allocated for

11 such fiscal year under sections 1127 and 1128 of the

12 Education Amendments of 1978 with respect to the

13 tribally controlled schools eligible for assistance

14 under this part which are operated by such Indian

15 tribe or tribal organization, including, but not lim16 ited to, funds provided under such sections, or under

17 any other provision of law, for transportation costs;

18 ‘‘(2) to the extent requested by such Indian

19 tribe or tribal organization, the total amount of

20 funds provided from operations and maintenance ac21 counts and, notwithstanding section 105 of the In22 dian Self-Determination Act, or any other provision

23 of law, other facilities accounts for such schools for

24 such fiscal year (including but not limited to those
559

•HR 1 IH

1 referenced under section 1126(d) of the Education

2 Amendments of 1978 or any other law); and

3 ‘‘(3) the total amount of funds that are allo4 cated to such schools for such fiscal year under—

5 ‘‘(A) title I of the Elementary and Sec6 ondary Education Act of 1965;

7 ‘‘(B) the Individuals with Disabilities Edu8 cation Act; and

9 ‘‘(C) any other Federal education law, that

10 are allocated to such schools for such fiscal

11 year.

12 ‘‘(b) SPECIAL RULES.—

13 ‘‘(1) IN GENERAL.—(A) Funds allocated to a

14 tribally controlled school by reason of paragraph (1)

15 or (2) of subsection (a) shall be subject to the provi16 sions of this part and shall not be subject to any ad17 ditional restriction, priority, or limitation that is im18 posed by the Bureau with respect to funds provided

19 under—

20 ‘‘(i) title I of the Elementary and Sec21 ondary Education Act of 1965;

22 ‘‘(ii) the Individuals with Disabilities Edu23 cation Act; or

24 ‘‘(iii) any Federal education law other than

25 title XI of the Education Amendments of 1978.
560

•HR 1 IH

1 ‘‘(B) Indian tribes and tribal organizations to

2 which grants are provided under this part, and trib3 ally controlled schools for which such grants are pro4 vided, shall not be subject to any requirements, obli5 gations, restrictions, or limitations imposed by the

6 Bureau that would otherwise apply solely by reason

7 of the receipt of funds provided under any law re8 ferred to in clause (i), (ii), or (iii) of subparagraph

9 (A).

10 ‘‘(2) SCHOOLS CONSIDERED CONTRACT

11 SCHOOLS.—Tribally controlled schools for which

12 grants are provided under this part shall be treated

13 as contract schools for the purposes of allocation of

14 funds under sections 1126(d), 1127, and 1128 of

15 the Education Amendments of 1978.

16 ‘‘(3) SCHOOLS CONSIDERED BUREAU

17 SCHOOLS.—Tribally controlled schools for which

18 grants are provided under this chapter shall be

19 treated as Bureau schools for the purposes of alloca20 tion of funds provided under—

21 ‘‘(A) title I of the Elementary and Sec22 ondary Education Act of 1965;

23 ‘‘(B) the Individuals with Disabilities Edu24 cation Act; and
561

•HR 1 IH

1 ‘‘(C) any other Federal education law, that

2 are distributed through the Bureau.

3 ‘‘(4) ACCOUNTS; USE OF CERTAIN FUNDS.—(A)

4 Notwithstanding section 5204(a)(2), with respect to

5 funds from facilities improvement and repair, alter6 ation and renovation (major or minor), health and

7 safety, or new construction accounts included in the

8 grant under section 5204(a), the grantee shall main9 tain a separate account for such funds. At the end

10 of the period designated for the work covered by the

11 funds received, the grantee shall submit to the Sec12 retary a separate accounting of the work done and

13 the funds expended to the Secretary. Funds received

14 from these accounts may only be used for the pur15 pose for which they were appropriated and for the

16 work encompassed by the application or submission

17 under which they were received.

18 ‘‘(B) Notwithstanding subparagraph (A), a

19 school receiving a grant under this part for facilities

20 improvement and repair may use such grant funds

21 for new construction if the tribal government or

22 other organization provides funding for the new con23 struction equal to at least 25 percent of the total

24 cost of such new construction.
562

•HR 1 IH

1 ‘‘(C) Where the appropriations measure or the

2 application submission does not stipulate a period

3 for the work covered by the funds so designated, the

4 Secretary and the grantee shall consult and deter5 mine such a period prior to the transfer of the

6 funds. A period so determined may be extended

7 upon mutual agreement of the Secretary and the

8 grantee.

9 ‘‘(5) ENFORCEMENT OF REQUEST TO INCLUDE

10 FUNDS.—If the Secretary fails to carry out a re11 quest made under subsection (a)(2) within 180 days

12 of a request filed by an Indian tribe or tribal organi13 zation to include in such tribe or organization’s

14 grant the funds described in subsection (a)(2), the

15 Secretary shall be deemed to have approved such re16 quest and the Secretary shall immediately amend

17 the grant accordingly. Such tribe or organization

18 may enforce its rights under subsection (a)(2) and

19 this paragraph, including any denial or failure to act

20 on such tribe or organization’s request, pursuant to

21 the disputes authority described in section 5209(e).

22 ‘‘SEC. 5206. ELIGIBILITY FOR GRANTS.

23 ‘‘(a) RULES.—
563

•HR 1 IH

1 ‘‘(1) IN GENERAL.—A tribally controlled school

2 is eligible for assistance under this part if the

3 school—

4 ‘‘(A) on April 28, 1988, was a contract

5 school under title XI of the Education Amend6 ments of 1978 and the tribe or tribal organiza7 tion operating the school submits to the Sec8 retary a written notice of election to receive a

9 grant under this part;

10 ‘‘(B) was a Bureau operated school under

11 title XI of the Education Amendments of 1978

12 and has met the requirements of subsection (b);

13 ‘‘(C) is a school for which the Bureau has

14 not provided funds, but which has met the re15 quirements of subsection (c); or

16 ‘‘(D) is a school with respect to which an

17 election has been made under paragraph (2)

18 and which has met the requirements of sub19 section (b).

20 ‘‘(2) NEW SCHOOLS.—Any application which

21 has been submitted under the Indian Self-Deter22 mination and Education Assistance Act by an Indian

23 tribe for a school which is not in operation on the

24 date of the enactment of the No Child Left Behind

25 Act of 2001 shall be reviewed under the guidelines
564

•HR 1 IH

1 and regulations for applications submitted under the

2 Indian Self-Determination and Education Assistance

3 Act that were in effect at the time the application

4 was submitted, unless the Indian tribe or tribal or5 ganization elects to have the application reviewed

6 under the provisions of subsection (b).

7 ‘‘(b) ADDITIONAL REQUIREMENTS FOR BUREAU

8 FUNDED SCHOOLS AND CERTAIN ELECTING SCHOOLS.—

9 ‘‘(1) BUREAU FUNDED SCHOOLS.—A school

10 that was a Bureau funded school under title XI of

11 the Education Amendments of 1978 on the date of

12 the enactment of the No Child Left Behind Act of

13 2001, and any school with respect to which an elec14 tion is made under subsection (a)(2), meets the re15 quirements of this subsection if—

16 ‘‘(A) the Indian tribe or tribal organization

17 that operates, or desires to operate, the school

18 submits to the Secretary an application request19 ing that the Secretary—

20 ‘‘(i) transfer operation of the school to

21 the Indian tribe or tribal organization, if

22 the Indian tribe or tribal organization is

23 not already operating the school; and
565

•HR 1 IH

1 ‘‘(ii) make a determination as to

2 whether the school is eligible for assistance

3 under this part; and

4 ‘‘(B) the Secretary makes a determination

5 that the school is eligible for assistance under

6 this part.

7 ‘‘(2) CERTAIN ELECTING SCHOOLS.—(A) By

8 not later than the date that is 120 days after the

9 date on which an application is submitted to the

10 Secretary under paragraph (1)(A), the Secretary

11 shall determine—

12 ‘‘(i) in the case of a school which is not

13 being operated by the Indian tribe or tribal or14 ganization, whether to transfer operation of the

15 school to the Indian tribe or tribal organization;

16 and

17 ‘‘(ii) whether the school is eligible for as18 sistance under this part.

19 ‘‘(B) In considering applications submitted

20 under paragraph (1)(A), the Secretary—

21 ‘‘(i) shall transfer operation of the school

22 to the Indian tribe or tribal organization, if the

23 tribe or tribal organization is not already oper24 ating the school; and
566

•HR 1 IH

1 ‘‘(ii) shall determine that the school is eli2 gible for assistance under this part, unless the

3 Secretary finds by clear and convincing evidence

4 that the services to be provided by the Indian

5 tribe or tribal organization will be deleterious to

6 the welfare of the Indians served by the school.

7 ‘‘(C) In considering applications submitted

8 under paragraph (1)(A), the Secretary shall consider

9 whether the Indian tribe or tribal organization would

10 be deficient in operating the school with respect to—

11 ‘‘(i) equipment;

12 ‘‘(ii) bookkeeping and accounting proce13 dures;

14 ‘‘(iii) ability to adequately manage a

15 school; or

16 ‘‘(iv) adequately trained personnel.

17 ‘‘(c) ADDITIONAL REQUIREMENTS FOR A SCHOOL

18 WHICH IS NOT A BUREAU FUNDED SCHOOL.—

19 ‘‘(1) IN GENERAL.—A school which is not a Bu20 reau funded school under title XI of the Education

21 Amendments of 1978 meets the requirements of this

22 subsection if—

23 ‘‘(A) the Indian tribe or tribal organization

24 that operates, or desires to operate, the school

25 submits to the Secretary an application request-
567

•HR 1 IH

1 ing a determination by the Secretary as to

2 whether the school is eligible for assistance

3 under this part; and

4 ‘‘(B) the Secretary makes a determination

5 that a school is eligible for assistance under this

6 part.

7 ‘‘(2) DEADLINE FOR DETERMINATION BY SEC8 RETARY.—(A) By not later than the date that is

9 180 days after the date on which an application is

10 submitted to the Secretary under paragraph (1)(A),

11 the Secretary shall determine whether the school is

12 eligible for assistance under this part.

13 ‘‘(B) In making the determination under sub14 paragraph (A), the Secretary shall give equal consid15 eration to each of the following factors:

16 ‘‘(i) with respect to the applicant’s

17 proposal—

18 ‘‘(I) the adequacy of facilities or the

19 potential to obtain or provide adequate fa20 cilities;

21 ‘‘(II) geographic and demographic fac22 tors in the affected areas;

23 ‘‘(III) adequacy of the applicant’s pro24 gram plans;
568

•HR 1 IH

1 ‘‘(IV) geographic proximity of com2 parable public education; and

3 ‘‘(V) the needs as expressed by all af4 fected parties, including but not limited to

5 students, families, tribal governments at

6 both the central and local levels, and

7 school organizations; and

8 ‘‘(ii) with respect to all education services

9 already available—

10 ‘‘(I) geographic and demographic fac11 tors in the affected areas;

12 ‘‘(II) adequacy and comparability of

13 programs already available;

14 ‘‘(III) consistency of available pro15 grams with tribal education codes or tribal

16 legislation on education; and

17 ‘‘(IV) the history and success of these

18 services for the proposed population to be

19 served, as determined from all factors in20 cluding, if relevant, standardized examina21 tion performance.

22 ‘‘(C) The Secretary may not make a determina23 tion under this paragraph that is primarily based

24 upon the geographic proximity of comparable public

25 education.
569

•HR 1 IH

1 ‘‘(D) Applications submitted under paragraph

2 (1)(A) shall include information on the factors de3 scribed in subparagraph (B)(i), but the applicant

4 may also provide the Secretary such information rel5 ative to the factors described in subparagraph

6 (B)(ii) as the applicant considers appropriate.

7 ‘‘(E) If the Secretary fails to make a deter8 mination under subparagraph (A) with respect to an

9 application within 180 days after the date on which

10 the Secretary received the application, the Secretary

11 shall be treated as having made a determination that

12 the tribally controlled school is eligible for assistance

13 under the title and the grant shall become effective

14 18 months after the date on which the Secretary re15 ceived the application, or on an earlier date, at the

16 Secretary’s discretion.

17 ‘‘(d) FILING OF APPLICATIONS AND REPORTS.—

18 ‘‘(1) IN GENERAL.—All applications and reports

19 submitted to the Secretary under this part, and any

20 amendments to such applications or reports, shall be

21 filed with the education line officer designated by

22 the Director of the Office of Indian Education Pro23 grams of the Bureau of Indian Affairs. The date on

24 which such filing occurs shall, for purposes of this
570

•HR 1 IH

1 part, be treated as the date on which the application

2 or amendment was submitted to the Secretary.

3 ‘‘(2) SUPPORTING DOCUMENTATION.—Any ap4 plication that is submitted under this chapter shall

5 be accompanied by a document indicating the action

6 taken by the tribal governing body in authorizing

7 such application.

8 ‘‘(e) EFFECTIVE DATE FOR APPROVED APPLICA9 TIONS.—Except as provided by subsection (c)(2)(E), a

10 grant provided under this part, and any transfer of the

11 operation of a Bureau school made under subsection (b),

12 shall become effective beginning the academic year suc13 ceeding the fiscal year in which the application for the

14 grant or transfer is made, or at an earlier date determined

15 by the Secretary.

16 ‘‘(f) DENIAL OF APPLICATIONS.—

17 ‘‘(1) IN GENERAL.—Whenever the Secretary re18 fuses to approve a grant under this chapter, to

19 transfer operation of a Bureau school under sub20 section (b), or determines that a school is not eligi21 ble for assistance under this part, the Secretary

22 shall—
571

•HR 1 IH

1 ‘‘(A) state the objections in writing to the

2 tribe or tribal organization within the allotted

3 time;

4 ‘‘(B) provide assistance to the tribe or trib5 al organization to overcome all stated objec6 tions.

7 ‘‘(C) at the request of the tribe or tribal

8 organization, provide the tribe or tribal organi9 zation a hearing on the record under the same

10 rules and regulations that apply under the In11 dian Self-Determination and Education Assist12 ance Act; and

13 ‘‘(D) provide an opportunity to appeal the

14 objection raised.

15 ‘‘(2) TIMELINE FOR RECONSIDERATION OF

16 AMENDED APPLICATIONS.—The Secretary shall re17 consider any amended application submitted under

18 this part within 60 days after the amended applica19 tion is submitted to the Secretary.

20 ‘‘(g) REPORT.—The Bureau shall submit an annual

21 report to the Congress on all applications received, and

22 actions taken (including the costs associated with such ac23 tions), under this section at the same time that the Presi24 dent is required to submit to Congress the budget under

25 section 1105 of title 31, United States Code.
572

•HR 1 IH

1 ‘‘SEC. 5207. DURATION OF ELIGIBILITY DETERMINATION.

2 ‘‘(a) IN GENERAL.—If the Secretary determines that

3 a tribally controlled school is eligible for assistance under

4 this part, the eligibility determination shall remain in ef5 fect until the determination is revoked by the Secretary,

6 and the requirements of subsection (b) or (c) of section

7 5206, if applicable, shall be considered to have been met

8 with respect to such school until the eligibility determina9 tion is revoked by the Secretary.

10 ‘‘(b) ANNUAL REPORTS.—

11 ‘‘(1) IN GENERAL.—Each recipient of a grant

12 provided under this part shall complete an annual

13 report which shall be limited to—

14 ‘‘(A) an annual financial statement report15 ing revenue and expenditures as defined by the

16 cost accounting established by the grantee;

17 ‘‘(B) an annual financial audit conducted

18 pursuant to the standards of the Single Audit

19 Act of 1984;

20 ‘‘(C) an annual submission to the Sec21 retary of the number of students served and a

22 brief description of programs offered under the

23 grant; and

24 ‘‘(D) a program evaluation conducted by

25 an impartial evaluation review team, to be
573

•HR 1 IH

1 based on the standards established for purposes

2 of subsection (c)(1)(A)(ii).

3 ‘‘(2) EVALUATION REVIEW TEAMS.—Where ap4 propriate, other tribally controlled schools and rep5 resentatives of tribally controlled community colleges

6 shall make up members of the evaluation review

7 teams.

8 ‘‘(3) EVALUATIONS.—In the case of a school

9 which is accredited, evaluations will be conducted at

10 intervals under the terms of accreditation.

11 ‘‘(4) SUBMISSION OF REPORT.—

12 ‘‘(A) TO TRIBALLY GOVERNING BODY.—

13 Upon completion of the report required under

14 paragraph (a), the recipient of the grant shall

15 send (via first class mail, return receipt re16 quested) a copy of such annual report to the

17 tribal governing body (as defined in section

18 1132(f) of the Education Amendments of 1978)

19 of the tribally controlled school.

20 ‘‘(B) TO SECRETARY.—Not later than 30

21 days after receiving written confirmation that

22 the tribal governing body has received the re23 port send pursuant to subsection (A), the re24 cipient of the grant shall send a copy of the re25 port to the Secretary.
574

•HR 1 IH

1 ‘‘(c) REVOCATION OF ELIGIBILITY.—

2 ‘‘(1) IN GENERAL.—(A) The Secretary shall not

3 revoke a determination that a school is eligible for

4 assistance under this part if—

5 ‘‘(i) the Indian tribe or tribal organization

6 submits the reports required under subsection

7 (b) with respect to the school; and

8 ‘‘(ii) at least one of the following sub9 clauses applies with respect to the school:

10 ‘‘(I) The school is certified or accred11 ited by a State or regional accrediting as12 sociation or is a candidate in good stand13 ing for such accreditation under the rules

14 of the State or regional accrediting asso15 ciation, showing that credits achieved by

16 the students within the education pro17 grams are, or will be, accepted at grade

18 level by a State certified or regionally ac19 credited institution.

20 ‘‘(II) A determination made by the

21 Secretary that there is a reasonable expec22 tation that the accreditation described in

23 subclause (I), or the candidacy in good

24 standing for such accreditation, will be

25 reached by the school within 3 years and
575

•HR 1 IH

1 that the program offered by the school is

2 beneficial to the Indian students.

3 ‘‘(III) The school is accredited by a

4 tribal department of education if such ac5 creditation is accepted by a generally rec6 ognized regional or State accreditation

7 agency.

8 ‘‘(IV) The schools accept the stand9 ards promulgated under section 1121 of

10 the Education Amendments of 1978 and

11 an evaluation of performance is conducted

12 under this section in conformance with the

13 regulations pertaining to Bureau operated

14 schools by an impartial evaluator chosen

15 by the grantee, but no grantee shall be re16 quired to comply with these standards to a

17 higher degree than a comparable Bureau

18 operated school.

19 ‘‘(V) A positive evaluation of the

20 school is conducted by an impartial eval21 uator agreed upon by the Secretary and

22 the grantee every 2 years under standards

23 adopted by the contractor under a contract

24 for a school entered into under the Indian

25 Self-Determination and Education Assist-
576

•HR 1 IH

1 ance Act (or revisions of such standards

2 agreed to by the Secretary and the grant3 ee) prior to the date of the enactment of

4 this Act. If the Secretary and the grantee

5 other than the tribal governing body fail to

6 agree on such an evaluator, the tribal gov7 erning body shall choose the evaluator or

8 perform the evaluation. If the Secretary

9 and a grantee which is the tribal governing

10 body fail to agree on such an evaluator,

11 this subclause shall not apply.

12 ‘‘(B) The choice of standards employed for the

13 purpose of subparagraph (A)(ii) shall be consistent

14 with section 1121(e) of the Education Amendments

15 of 1978.

16 ‘‘(2) NOTICE REQUIREMENTS FOR REVOCA17 TION.—The Secretary shall not revoke a determina18 tion that a school is eligible for assistance under this

19 part, or reassume control of a school that was a Bu20 reau school prior to approval of an application sub21 mitted under section 5206(b)(1)(A) until the

22 Secretary—

23 ‘‘(A) provides notice to the tribally con24 trolled school and the tribal governing body

25 (within the meaning of section 1141(14) of the
577

•HR 1 IH

1 Education Amendments of 1978) of the tribally

2 controlled school which states—

3 ‘‘(i) the specific deficiencies that led

4 to the revocation or resumption determina5 tion; and

6 ‘‘(ii) the actions that are needed to

7 remedy such deficiencies; and

8 ‘‘(B) affords such authority an opportunity

9 to effect the remedial actions.

10 ‘‘(3) TECHNICAL ASSISTANCE.—The Secretary

11 shall provide such technical assistance as is prac12 ticable to effect such remedial actions. Such notice

13 and technical assistance shall be in addition to a

14 hearing and appeal to be conducted pursuant to the

15 regulations described in section 5206(f)(1)(C).

16 ‘‘(d) APPLICABILITY OF SECTION PURSUANT TO

17 ELECTION UNDER SECTION 5209(b).—With respect to a

18 tribally controlled school which receives assistance under

19 this part pursuant to an election made under section

20 5209(b)—

21 ‘‘(1) subsection (b) of this section shall apply;

22 and

23 ‘‘(2) the Secretary may not revoke eligibility for

24 assistance under this part except in conformance

25 with subsection (c) of this section.
578

•HR 1 IH

1 ‘‘SEC. 5208. PAYMENT OF GRANTS; INVESTMENT OF FUNDS.

2 ‘‘(a) PAYMENTS.—

3 ‘‘(1) IN GENERAL.—Except as otherwise pro4 vided in this subsection, the Secretary shall make

5 payments to grantees under this part in two pay6 ments, of which—

7 ‘‘(A) the first payment shall be made not

8 later than July 15 of each year in an amount

9 equal to 85 percent of the amount which the

10 grantee was entitled to receive during the pre11 ceding academic year; and

12 ‘‘(B) the second payment, consisting of the

13 remainder to which the grantee is entitled for

14 the academic year, shall be made not later than

15 December 1 of each year.

16 ‘‘(2) NEWLY FUNDED SCHOOLS.—For any

17 school for which no payment under this part was

18 made from Bureau funds in the preceding academic

19 year, full payment of the amount computed for the

20 first academic year of eligibility under this part shall

21 be made not later than December 1 of the academic

22 year.

23 ‘‘(3) LATE FUNDING.—With regard to funds for

24 grantees that become available for obligation on Oc25 tober 1 of the fiscal year for which such funds are

26 appropriated, the Secretary shall make payments to
579

•HR 1 IH

1 grantees not later than December 1 of the fiscal

2 year.

3 ‘‘(4) APPLICABILITY OF CERTAIN TITLE 31 PRO4 VISIONS.—The provisions of chapter 39 of Title 31,

5 United States Code, shall apply to the payments re6 quired to be made by paragraphs (1), (2), and (3).

7 ‘‘(5) RESTRICTIONS.—Paragraphs (1), (2), and

8 (3) shall be subject to any restriction on amounts of

9 payments under this part that are imposed by a con10 tinuing resolution or other Act appropriating the

11 funds involved.

12 ‘‘(b) INVESTMENT OF FUNDS.—

13 ‘‘(1) TREATMENT OF INTEREST AND INVEST14 MENT INCOME.—Notwithstanding any other provi15 sion of law, any interest or investment income that

16 accrues to any funds provided under this part after

17 such funds are paid to the Indian tribe or tribal or18 ganization and before such funds are expended for

19 the purpose for which such funds were provided

20 under this part shall be the property of the Indian

21 tribe or tribal organization and shall not be taken

22 into account by any officer or employee of the Fed23 eral Government in determining whether to provide

24 assistance, or the amount of assistance, under any
580

•HR 1 IH

1 provision of Federal law. Such interest income shall

2 be spent on behalf of the school.

3 ‘‘(2) PERMISSIBLE INVESTMENTS.—Funds pro4 vided under this part may be invested by the Indian

5 tribe or tribal organization before such funds are ex6 pended for the purposes of this part so long as such

7 funds are—

8 ‘‘(A) invested by the Indian tribe or tribal

9 organization only in obligations of the United

10 States, or in obligations or securities that are

11 guaranteed or insured by the United States, or

12 mutual (or other) funds registered with the Se13 curities and Exchange Commission and which

14 only invest in obligations of the United States,

15 or securities that are guaranteed or insured by

16 the United States; or

17 ‘‘(B) deposited only into accounts that are

18 insure by and agency or instrumentality of the

19 United States, or are fully collateralized to en20 sure protection of the funds, even in the event

21 of a bank failure.

22 ‘‘(c) RECOVERIES.—For the purposes of under23 recovery and overrecovery determinations by any Federal

24 agency for any other funds, from whatever source derived,
581

•HR 1 IH

1 funds received under this part shall not be taken into con2 sideration.

3 ‘‘SEC. 5209. APPLICATION WITH RESPECT TO INDIAN SELF4 DETERMINATION AND EDUCATION ASSIST5 ANCE ACT.

6 ‘‘(a) CERTAIN PROVISIONS TO APPLY TO GRANTS.—

7 The following provisions of the Indian Self-Determination

8 and Education Assistance Act (and any subsequent revi9 sions thereto or renumbering thereof), shall apply to

10 grants provided under this part:

11 ‘‘(1) Section 5(f) (relating to single agency

12 audit).

13 ‘‘(2) Section 6 (relating to criminal activities;

14 penalties).

15 ‘‘(3) Section 7 (relating to wage and labor

16 standards).

17 ‘‘(4) Section 104 (relating to retention of Fed18 eral employee coverage).

19 ‘‘(5) Section 105(f) (relating to Federal prop20 erty).

21 ‘‘(6) Section 105(k) (relating to access to Fed22 eral sources of supply).

23 ‘‘(7) Section 105(l) (relating to lease of facility

24 used for administration and delivery of services).
582

•HR 1 IH

1 ‘‘(8) Section 106(e) (relating to limitation on

2 remedies relating to cost allowances).

3 ‘‘(9) Section 106(i) (relating to use of funds for

4 matching or cost participation requirements).

5 ‘‘(10) Section 106(j) (relating to allowable uses

6 of funds).

7 ‘‘(11) Section 108(c) (Model Agreements provi8 sions (1)(a)(5) (relating to limitations of costs),

9 (1)(a)(7) (relating to records and monitoring),

10 (1)(a)(8) (relating to property), and (a)(1)(9) (relat11 ing to availability of funds).

12 ‘‘(12) Section 109 (relating to reassumption).

13 ‘‘(13) Section 111 (relating to sovereign immu14 nity and trusteeship rights unaffected).

15 ‘‘(b) ELECTION FOR GRANT IN LIEU OF CON16 TRACT.—

17 ‘‘(1) IN GENERAL.—Contractors for activities to

18 which this part applies who have entered into a con19 tract under the Indian Self-Determination and Edu20 cation Assistance Act that is in effect upon the date

21 of the enactment of the No Child Left Behind Act

22 of 2001 may, by giving notice to the Secretary, elect

23 to have the provisions of this part apply to such ac24 tivity in lieu of such contract.
583

•HR 1 IH

1 ‘‘(2) EFFECTIVE DATE OF ELECTION.—Any

2 election made under paragraph (1) shall take effect

3 on the later of—

4 ‘‘(A) October 1 of the fiscal year suc5 ceeding the fiscal year in which such election is

6 made; or

7 ‘‘(B) 60 days after the date of such elec8 tion.

9 ‘‘(3) EXCEPTION.—In any case in which the 60-

10 day period referred to in paragraph (2)(B) is less

11 than 60 days before the beginning of the succeeding

12 fiscal year, such election shall not take effect until

13 the fiscal year after the fiscal year succeeding the

14 election.

15 ‘‘(c) NO DUPLICATION.—No funds may be provided

16 under any contract entered into under the Indian Self-De17 termination and Education Assistance Act to pay any ex18 penses incurred in providing any program or services if

19 a grant has been made under this part to pay such ex20 penses.

21 ‘‘(d) TRANSFERS AND CARRYOVERS.—

22 ‘‘(1) BUILDINGS, EQUIPMENT, SUPPLIES, MATE23 RIALS.—A tribe or tribal organization assuming the

24 operation of—
584

•HR 1 IH

1 ‘‘(A) a Bureau school with assistance

2 under this part shall be entitled to the transfer

3 or use of buildings, equipment, supplies, and

4 materials to the same extent as if it were con5 tracting under the Indian Self-Determination

6 and Education Assistance Act; or

7 ‘‘(B) a contract school with assistance

8 under this part shall be entitled to the transfer

9 or use of buildings, equipment, supplies and

10 materials that were used in the operation of the

11 contract school to the same extent as if it were

12 contracting under the Indian Self-Determina13 tion and Education Assistance Act.

14 ‘‘(2) FUNDS.—Any tribe or tribal organization

15 which assumes operation of a Bureau school with as16 sistance under this part and any tribe or tribal orga17 nization which elects to operate a school with assist18 ance under this part rather that to continue as a

19 contract school shall be entitled to any funds which

20 would carryover from the previous fiscal year as if

21 such school were operated as a contract school.

22 ‘‘(e) EXCEPTIONS, PROBLEMS, AND DISPUTES.—Any

23 exception or problem cited in an audit conducted pursuant

24 to section 5207(b)(2), any dispute regarding a grant au25 thorized to be made pursuant to this part or any amend-
585

•HR 1 IH

1 ment to such grant, and any dispute involving an adminis2 trative cost grant under section 1128 of the Education

3 Amendments of 1978 shall be administered under the pro4 visions governing such exceptions, problems, or disputes

5 in the case of contracts under the Indian Self-Determina6 tion and Education Assistance Act of 1975. The Equal

7 Access to Justice Act shall apply to administrative appeals

8 filed after September 8, 1988, by grantees regarding a

9 grant under this part, including an administrative cost

10 grant.

11 ‘‘SEC. 5210. ROLE OF THE DIRECTOR.

12 ‘‘Applications for grants under this part, and all ap13 plication modifications, shall be reviewed and approved by

14 personnel under the direction and control of the Director

15 of the Office of Indian Education Programs. Required re16 ports shall be submitted to education personnel under the

17 direction and control of the Director of such Office.

18 ‘‘SEC. 5211. REGULATIONS.

19 ‘‘The Secretary is authorized to issue regulations re20 lating to the discharge of duties specifically assigned to

21 the Secretary by this part. In all other matters relating

22 to the details of planning, development, implementing, and

23 evaluating grants under this part, the Secretary shall not

24 issue regulations. Regulations issued pursuant to this part
586

•HR 1 IH

1 shall not have the standing of a Federal statute for the

2 purposes of judicial review.

3 ‘‘SEC. 5212. THE TRIBALLY CONTROLLED GRANT SCHOOL

4 ENDOWMENT PROGRAM.

5 ‘‘(a) IN GENERAL.—

6 ‘‘(1) TRUST FUNDS.—Each school receiving

7 grants under this part may establish, at a Federally

8 insured banking and savings institution, a trust fund

9 for the purposes of this section.

10 ‘‘(2) AUTHORITY OF SCHOOLS REGARDING

11 TRUST FUNDS.—The school may provide—

12 ‘‘(A) for the deposit into the trust fund,

13 only funds from non-Federal sources, except

14 that the interest on funds received from grants

15 under this part may be used for this purpose;

16 ‘‘(B) for the deposit in the account of any

17 earnings on funds deposited in the account; and

18 ‘‘(C) for the sole use of the school any

19 noncash, in-kind contributions of real or per20 sonal property, such property may at any time

21 be converted to cash.

22 ‘‘(b) INTEREST.—Interest from the fund established

23 under subsection (a) may periodically be withdrawn and

24 used, at the discretion of the school, to defray any ex25 penses associated with the operation of the school.
587

•HR 1 IH

1 ‘‘SEC. 5213. DEFINITIONS.

2 ‘‘For the purposes of this part:

3 ‘‘(1) BUREAU.—The term ‘Bureau’ means the

4 Bureau of Indian Affairs of the Department of the

5 Interior.

6 ‘‘(2) ELIGIBLE INDIAN STUDENT.—The term

7 ‘eligible Indian student’ has the meaning of such

8 term in section 1127(f) of the Education Amend9 ments of 1978.

10 ‘‘(3) INDIAN TRIBE.—The term ‘Indian tribe’

11 means any Indian tribe, band, nation, or other orga12 nized group or community, including Alaska Native

13 Village or regional corporations (as defined in or es14 tablished pursuant to the Alaskan Native Claims

15 Settlement Act, which is recognized as eligible for

16 the special programs and services provided by the

17 United States to Indians because of their status as

18 Indians.

19 ‘‘(4) LOCAL EDUCATIONAL AGENCY.—The term

20 ‘local educational agency’ means a public board of

21 education or other public authority legally con22 stituted within a State for either administrative con23 trol or direction of, or to perform a service function

24 for, public elementary or secondary schools in a city,

25 county, township, school district, or other political

26 subdivision of a State or such combination of school
588

•HR 1 IH

1 districts or counties as are recognized in a State as

2 an administrative agency for its public elementary or

3 secondary schools. Such term includes any other

4 public institution or agency having administrative

5 control and direction of a public elementary or sec6 ondary school.

7 ‘‘(5) SECRETARY.—The term ‘Secretary’ means

8 the Secretary of the Interior.

9 ‘‘(6) TRIBAL ORGANIZATION.—(A) The term

10 ‘tribal organization’ means—

11 ‘‘(i) the recognized governing body of any

12 Indian tribe; or

13 ‘‘(ii) any legally established organization of

14 Indians which—

15 ‘‘(I) is controlled, sanctioned, or char16 tered by such governing body or is demo17 cratically elected by the adult members of

18 the Indian community to be served by such

19 organization; and

20 ‘‘(II) includes the maximum participa21 tion of Indians in all phases of its activi22 ties.

23 ‘‘(B) In any case in which a grant is provided

24 under this part to an organization to provide serv25 ices benefiting more than one Indian tribe, the ap-
589

•HR 1 IH

1 proval of the governing bodies of Indian tribes rep2 resenting 80 percent of those students attending the

3 tribally controlled school shall be considered a suffi4 cient tribal authorization for such grant.

5 ‘‘(7) TRIBALLY CONTROLLED SCHOOL.—The

6 term ‘tribally controlled school’ means a school oper7 ated by a tribe or a tribal organization, enrolling

8 students in kindergarten through grade 12, includ9 ing preschools, which is not a local educational agen10 cy and which is not directly administered by the Bu11 reau of Indian Affairs.’’.

12 TITLE IV—PROMOTING IN13 FORMED PARENTAL CHOICE

14 AND INNOVATIVE PROGRAMS

15 PART A—INNOVATIVE PROGRAMS

16 SEC. 401. PROMOTING INFORMED PARENTAL CHOICE AND

17 INNOVATIVE PROGRAMS.

18 Title IV is amended to read as follows:

19 ‘‘TITLE IV—PROMOTING IN20 FORMED PARENTAL CHOICE

21 AND INNOVATIVE PROGRAMS

22 ‘‘PART A—INNOVATIVE PROGRAMS

23 ‘‘SEC. 4101. FINDINGS AND STATEMENT OF PURPOSE.

24 ‘‘(a) FINDINGS.—Congress finds that this part—

25 ‘‘(1) provides flexibility to meet local needs;
590

•HR 1 IH

1 ‘‘(2) promotes local and State education re2 forms;

3 ‘‘(3) contributes to the improvement of aca4 demic achievement for all students;

5 ‘‘(4) provides funding for critical activities; and

6 ‘‘(5) provides services for private school stu7 dents.

8 ‘‘(b) STATEMENT OF PURPOSE.—It is the purpose of

9 programs under this part—

10 ‘‘(1) to provide funding to enable States and

11 local educational agencies to implement promising

12 educational reform programs and school improve13 ment initiatives based on scientifically based re14 search;

15 ‘‘(2) to provide a continuing source of innova16 tion and educational improvement, including support

17 for library services and instructional and media ma18 terials; and

19 ‘‘(3) to meet the educational needs of all stu20 dents, including at-risk youth.

21 ‘‘(c) STATE AND LOCAL RESPONSIBILITY.—

22 ‘‘(1) IN GENERAL.—The States shall have the

23 basic responsibility for the administration of funds

24 made available under this part, but such administra-
591

•HR 1 IH

1 tion shall be carried out with a minimum of paper2 work.

3 ‘‘(2) DESIGN AND IMPLEMENTATION.—Not4 withstanding paragraph (1), local educational agen5 cies, school superintendents and principals, and

6 classroom teachers and supporting personnel shall be

7 mainly responsible for the design and implementa8 tion of programs assisted under this part, because

9 such agencies and individuals have the most direct

10 contact with students and are most likely to be able

11 to design programs to meet the educational needs of

12 students in their own school districts.

13 ‘‘Subpart 1—State and Local Programs

14 ‘‘SEC. 4111. ALLOCATION TO STATES.

15 ‘‘(a) RESERVATIONS.—From the sums appropriated

16 to carry out this part for each fiscal year, the Secretary

17 shall reserve not more than 1 percent for payments to out18 lying areas to be allotted in accordance with their respec19 tive needs.

20 ‘‘(b) ALLOCATION OF REMAINDER.—From the re21 mainder of such sums, the Secretary shall allocate, and

22 make available in accordance with this part, to each State

23 an amount which bears the same ratio to the amount of

24 such remainder as the school-age population of the State

25 bears to the school-age population of all States, except
592

•HR 1 IH

1 that no State shall receive less than an amount equal to

1 2 ⁄2 of 1 percent of such remainder.

3 ‘‘SEC. 4112. ALLOCATION TO LOCAL EDUCATIONAL AGEN4 CIES.

5 ‘‘(a) DISTRIBUTION RULE.—

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

7 from the sums made available each year to carry out

8 this part, the State shall distribute not less than 85

9 percent to local educational agencies within such

10 State according to the relative enrollments in public

11 and private, nonprofit schools within the jurisdic12 tions of such agencies, adjusted, in accordance with

13 criteria approved by the Secretary, to provide higher

14 per-pupil allocations to local educational agencies

15 that have the greatest numbers or percentages of

16 children whose education imposes a higher than av17 erage cost per child, such as—

18 ‘‘(A) children living in areas with high con19 centrations of economically disadvantaged fami20 lies;

21 ‘‘(B) children from economically disadvan22 taged families; and

23 ‘‘(C) children living in sparsely populated

24 areas.
593

•HR 1 IH

1 ‘‘(2) EXCEPTION.—100 percent of any amount

2 by which the funds paid to a State under this part

3 for a fiscal year exceed the amount of such funds

4 paid to the State for fiscal year 2001 shall be dis5 tributed to local educational agencies and used lo6 cally for innovative assistance described in section

7 4131(b).

8 ‘‘(3) LIMITATION ON ADMINISTRATIVE COSTS.—

9 Not more than 4 percent of the funds paid to a

10 State under this part for a fiscal year may be used

11 by the agency for administration and supervision of

12 programs assisted under this part.

13 ‘‘(b) CALCULATION OF ENROLLMENTS.—

14 ‘‘(1) IN GENERAL.—The calculation of relative

15 enrollments under subsection (a)(1) shall be on the

16 basis of the total of—

17 ‘‘(A) the number of children enrolled in

18 public schools; and

19 ‘‘(B) the number of children enrolled in

20 private, nonprofit schools whose parents would

21 like their children to participate in programs or

22 projects assisted under this part, for the fiscal

23 year preceding the fiscal year for which the de24 termination is made.
594

•HR 1 IH

1 ‘‘(2) CONSTRUCTION.—Nothing in this sub2 section shall diminish the responsibility of each local

3 educational agency to contact, on an annual basis,

4 appropriate officials from private nonprofit schools

5 within the areas served by such agencies in order to

6 determine whether such schools desire that their

7 children participate in programs assisted under this

8 subpart.

9 ‘‘(3) ADJUSTMENTS.—

10 ‘‘(A) IN GENERAL.—Relative enrollments

11 calculated under subsection (a)(1) shall be ad12 justed, in accordance with criteria approved by

13 the Secretary under subparagraph (B), to pro14 vide higher per-pupil allocations only to local

15 educational agencies that serve the greatest

16 numbers or percentages of—

17 ‘‘(i) children living in areas with high

18 concentrations of economically disadvan19 taged families;

20 ‘‘(ii) children from economically dis21 advantaged families; or

22 ‘‘(iii) children living in sparsely popu23 lated areas.

24 ‘‘(B) CRITERIA.—The Secretary shall re25 view criteria submitted by a State for adjusting
595

•HR 1 IH

1 allocations under paragraph (1) and shall ap2 prove such criteria only if the Secretary deter3 mines that such criteria are reasonably cal4 culated to produce an adjusted allocation that

5 reflects the relative needs of the State’s local

6 educational agencies based on the factors set

7 forth in subparagraph (A).

8 ‘‘(c) PAYMENT OF ALLOCATIONS.—

9 ‘‘(1) DISTRIBUTION.—From the funds paid to a

10 State under this part for a fiscal year, a State shall

11 distribute to each eligible local educational agency

12 that has submitted an application as required in sec13 tion 4133 the amount of such local educational

14 agency’s allocation, as determined under subsection

15 (a).

16 ‘‘(2) ADDITIONAL FUNDS.—

17 ‘‘(A) IN GENERAL.—Additional funds re18 sulting from higher per-pupil allocations pro19 vided to a local educational agency on the basis

20 of adjusted enrollments of children described in

21 subsection (a)(1) may, in the discretion of the

22 local educational agency, be allocated for ex23 penditures to provide services for children en24 rolled in public and private, nonprofit schools in

25 direct proportion to the number of children de-
596

•HR 1 IH

1 scribed in subsection (a)(1) and enrolled in

2 such schools within the local educational agen3 cy.

4 ‘‘(B) ELECTION.—In any fiscal year, any

5 local educational agency that elects to allocate

6 such additional funds in the manner described

7 in subparagraph (A) shall allocate all additional

8 funds to schools within the local educational

9 agency in such manner.

10 ‘‘(C) CONSTRUCTION.—Subparagraphs (A)

11 and (B) may not be construed to require any

12 school to limit the use of the additional funds

13 described in subparagraph (A) to the provision

14 of services to specific students or categories of

15 students.

16 ‘‘Subpart 2—State Programs

17 ‘‘SEC. 4121. STATE USE OF FUNDS.

18 ‘‘A State may use funds made available for State use

19 under this part only for—

20 ‘‘(1) State administration of programs under

21 this part including—

22 ‘‘(A) supervision of the allocation of funds

23 to local educational agencies;

24 ‘‘(B) planning, supervision, and processing

25 of State funds; and
597

•HR 1 IH

1 ‘‘(C) monitoring and evaluation of pro2 grams and activities under this part;

3 ‘‘(2) support for planning, designing, and initial

4 implementation of charter schools as described in

5 part B;

6 ‘‘(3) statewide education reform and school im7 provement activities and technical assistance and di8 rect grants to local educational agencies which assist

9 such agencies under section 4131; and

10 ‘‘(4) support for arrangements that provide for

11 independent analysis to measure and report on

12 school district achievement.

13 ‘‘SEC. 4122. STATE APPLICATIONS.

14 ‘‘(a) APPLICATION REQUIREMENTS.—Any State that

15 desires to receive assistance under this part shall submit

16 to the Secretary an application that—

17 ‘‘(1) provides for an annual statewide summary

18 of how assistance under this part is contributing to19 ward improving student achievement or improving

20 the quality of education for students;

21 ‘‘(2) provides information setting forth the allo22 cation of such funds required to implement section

23 4142;

24 ‘‘(3) provides that the State will keep such

25 records and provide such information to the Sec-
598

•HR 1 IH

1 retary as may be required for fiscal audit and pro2 gram evaluation (consistent with the responsibilities

3 of the Secretary under this section);

4 ‘‘(4) provides assurance that, apart from tech5 nical and advisory assistance and monitoring compli6 ance with this part, the State has not exercised and

7 will not exercise any influence in the decisionmaking

8 processes of local educational agencies as to the ex9 penditure made pursuant to an application under

10 section 4133;

11 ‘‘(5) contains assurances that there is compli12 ance with the specific requirements of this part; and

13 ‘‘(6) provides for timely public notice and public

14 dissemination of the information provided under

15 paragraph (2).

16 ‘‘(b) STATEWIDE SUMMARY.—The statewide sum17 mary referred to in subsection (a)(1) shall be submitted

18 to the Secretary and shall be derived from the evaluation

19 information submitted by local educational agencies to the

20 State under section 4133(a)(8). The format and content

21 of such summary shall be in the discretion of the State

22 and may include statistical measures such as the number

23 of students served by each type of innovative assistance

24 described in section 4131(b), including the number of

25 teachers trained.
599

•HR 1 IH

1 ‘‘(c) PERIOD OF APPLICATION.—An application filed

2 by the State under subsection (a) shall be for a period

3 not to exceed 3 years, and may be amended annually as

4 may be necessary to reflect changes without filing a new

5 application.

6 ‘‘(d) AUDIT LIMITATION.—Each local educational

7 agency receiving less than an average of $5,000 under this

8 part may not be audited more frequently than once every

9 5 years.

10 ‘‘Subpart 3—Local Innovative Education Programs

11 ‘‘SEC. 4131. USE OF FUNDS.

12 ‘‘(a) IN GENERAL.—Funds made available to local

13 educational agencies under section 4112 shall be used for

14 innovative assistance described in subsection (b).

15 ‘‘(b) INNOVATIVE ASSISTANCE.—The innovative as16 sistance programs referred to in subsection (a) may

17 include—

18 ‘‘(1) professional development activities and the

19 hiring of teachers, including activities carried out in

20 accordance with title II, that give teachers, prin21 cipals, and administrators the knowledge and skills

22 to provide students with the opportunity to meet

23 challenging State or local content standards and stu24 dent achievement standards;
600

•HR 1 IH

1 ‘‘(2) technology related to the implementation

2 of school-based reform programs, including profes3 sional development to assist teachers, and other

4 school officials, regarding how to use effectively such

5 equipment and software;

6 ‘‘(3) programs for the development or acquisi7 tion and use of instructional and educational mate8 rials, including library services and materials (in9 cluding media materials), assessments, reference ma10 terials, computer software and hardware for instruc11 tional use, and other curricular materials that are

12 tied to high academic standards, that will be used to

13 improve student achievement, and that are part of

14 an overall education reform program;

15 ‘‘(4) promising education reform projects, in16 cluding effective schools and magnet schools;

17 ‘‘(5) programs to improve the academic skills of

18 disadvantaged elementary and secondary school stu19 dents and to prevent students from dropping out of

20 school;

21 ‘‘(6) programs to combat illiteracy;

22 ‘‘(7) programs to provide for the educational

23 needs of gifted and talented children;

24 ‘‘(8) planning, designing, and initial implemen25 tation of charter schools as described in part B;
601

•HR 1 IH

1 ‘‘(9) school improvement programs or activities

2 under sections 1116 and 1117;

3 ‘‘(10) community service programs that use

4 qualified school personnel to train and mobilize

5 young people to measurably strengthen their com6 munities through nonviolence, responsibility, com7 passion, respect, and moral courage;

8 ‘‘(11) activities to promote consumer, economic,

9 and personal finance education, such as dissemi10 nating and encouraging the best practices for teach11 ing the basic principles of economics and promoting

12 the concept of achieving financial literacy through

13 the teaching of personal financial management skills

14 (including the basic principles involved with earning,

15 spending, saving, and investing);

16 ‘‘(12) activities to promote, implement, or ex17 pand public school choice;

18 ‘‘(13) activities to promote, implement, or ex19 pand private school choice for disadvantaged chil20 dren in failing public schools;

21 ‘‘(14) expanding and improving school-based

22 mental health services, including early identification

23 of drug use and violence, assessment, and direct in24 dividual or group counseling services provided to stu-
602

•HR 1 IH

1 dents, parents, and school personnel by qualified

2 school based mental health services personnel;

3 ‘‘(15) alternative educational programs for

4 those students who have been expelled or suspended

5 from their regular educational setting, including pro6 grams to assist students to reenter the regular edu7 cational setting upon return from treatment or alter8 native educational programs;

9 ‘‘(16) activities to improve the quality of civics

10 and government education to foster civic competence

11 and responsibility, by educating students about the

12 history and principles of the Constitution of the

13 United States, including the Bill of Rights; and

14 ‘‘(17) programs that improve academic achieve15 ment by strengthening arts education as an integral

16 part of the elementary and secondary school cur17 riculum.

18 ‘‘SEC. 4132. ADMINISTRATIVE AUTHORITY.

19 ‘‘In order to conduct the activities authorized by this

20 part, each State or local educational agency may use funds

21 made available under this part to make grants to, and to

22 enter into contracts with, local educational agencies, insti23 tutions of higher education, libraries, museums, and other

24 public and private nonprofit agencies, organizations, and

25 institutions, including religious organizations.
603

•HR 1 IH

1 ‘‘SEC. 4133. LOCAL APPLICATIONS.

2 ‘‘(a) CERTIFICATION.—

3 ‘‘(1) IN GENERAL.—A local educational agency

4 or a consortium of such agencies may receive an al5 location of funds under this part for any year for

6 which the agency or consortium submits an applica7 tion under this section that is certified by the State

8 under paragraph (2) to meet the requirements of

9 this section.

10 (2) CONTENTS OF APPLICATION.—The State

11 shall certify each application that—

12 ‘‘(1) describes locally identified needs relative to

13 the purposes of this part and to the innovative as14 sistance described in section 4131(b);

15 ‘‘(2) based on the needs identified in paragraph

16 (1), sets forth the planned allocation of funds among

17 innovative assistance programs described in section

18 4131 and describes the programs, projects, and ac19 tivities designed to carry out such innovative assist20 ance programs that the local educational agency in21 tends to support;

22 ‘‘(3) contains information setting forth the allo23 cation of such funds required to implement section

24 4142;
604

•HR 1 IH

1 ‘‘(4) describes how assistance under this part

2 will contribute to improving student academic

3 achievement;

4 ‘‘(5) provides assurances of compliance with the

5 provisions of this part, including the participation of

6 children enrolled in private, nonprofit schools in ac7 cordance with section 4142;

8 ‘‘(6) provides assurance that the local edu9 cational agency will keep such records, and provide

10 such information to the State as may be reasonably

11 required for fiscal audit and program evaluation,

12 consistent with the responsibilities of the State

13 under this part;

14 ‘‘(7) provides in the allocation of funds for the

15 assistance authorized by this part, and in the design,

16 planning, and implementation of such programs, for

17 systematic consultation with parents of children at18 tending elementary and secondary schools in the

19 area served by the local educational agency, with

20 teachers and administrative personnel in such

21 schools, and with other groups involved in the imple22 mentation of this part (such as librarians, school

23 counselors, and other pupil services personnel) as

24 may be considered appropriate by the local edu25 cational agency; and
605

•HR 1 IH

1 ‘‘(8) provides assurance that—

2 ‘‘(A) programs, services, and activities will

3 be evaluated annually;

4 ‘‘(B) such evaluation will be used to deter5 mine and implement appropriate changes in

6 program services and activities for the subse7 quent year;

8 ‘‘(C) such evaluation will describe how as9 sistance under this part contributed toward im10 proving student academic achievement; and

11 ‘‘(D) such evaluation will be submitted to

12 the State in the time and manner requested by

13 the State.

14 ‘‘(b) TIME PERIOD TO WHICH APPLICATION RE15 LATES.—An application submitted by a local educational

16 agency under subsection (a) may seek allocations under

17 this part for a period of time not to exceed 3 fiscal years

18 and may be amended annually as may be necessary to re19 flect changes without the filing of a new application.

20 ‘‘(c) LOCAL EDUCATIONAL AGENCY DISCRETION.—

21 ‘‘(1) IN GENERAL.—Subject to the limitations

22 and requirements of this part, a local educational

23 agency shall have complete discretion in determining

24 how funds made available under this subpart will be
606

•HR 1 IH

1 divided among programs and activities described in

2 section 4131.

3 ‘‘(2) LIMITATION.—In exercising the discretion

4 described in paragraph (1), a local educational agen5 cy shall ensure that expenditures under this subpart

6 carry out the purposes of this part and are used to

7 meet the educational needs within the schools of

8 such local educational agency.

9 ‘‘Subpart 4—General Provisions

10 ‘‘SEC. 4141. MAINTENANCE OF EFFORT; FEDERAL FUNDS

11 SUPPLEMENTARY.

12 ‘‘(a) MAINTENANCE OF EFFORT.—

13 ‘‘(1) IN GENERAL.—Except as provided in para14 graph (2), a State is entitled to receive its full allo15 cation of funds under this subpart for any fiscal

16 year only if the Secretary determines that either the

17 combined fiscal effort per student or the aggregate

18 expenditures within the State with respect to the

19 provision of free public education for the fiscal year

20 preceding the fiscal year for which the determination

21 is made was not less than 90 percent of such com22 bined fiscal effort or aggregate expenditures for the

23 fiscal year that is 2 fiscal years before the fiscal year

24 for which the determination is made.
607

•HR 1 IH

1 ‘‘(2) REDUCTION OF FUNDS.—The Secretary

2 shall reduce the amount of the allocation of funds

3 under this subpart in any fiscal year in the exact

4 proportion to which the State fails to meet the re5 quirements of paragraph (1) by falling below 90 per6 cent of both the fiscal effort per student and aggre7 gate expenditures (using the measure most favorable

8 to the State), and no such lesser amount shall be

9 used for computing the effort required under para10 graph (1) for subsequent years.

11 ‘‘(3) WAIVER.—The Secretary may waive, for 1

12 fiscal year only, the requirements of this section if

13 the Secretary determines that such a waiver would

14 be equitable due to exceptional or uncontrollable cir15 cumstances such as a natural disaster or a precipi16 tous and unforeseen decline in the financial re17 sources of the State.

18 ‘‘(b) FEDERAL FUNDS SUPPLEMENTARY.—A State

19 or local educational agency may use and allocate funds

20 received under this subpart only to supplement and, to the

21 extent practical, to increase the level of funds that would,

22 in the absence of Federal funds made available under this

23 subpart, be made available from non-Federal sources, and

24 in no case may such funds be used so as to supplant funds

25 from non-Federal sources.
608

•HR 1 IH

1 ‘‘SEC. 4142. PARTICIPATION OF CHILDREN ENROLLED IN

2 PRIVATE SCHOOLS.

3 ‘‘(a) PARTICIPATION ON EQUITABLE BASIS.—

4 ‘‘(1) IN GENERAL.—To the extent consistent

5 with the number of children in the school district of

6 a local educational agency which is eligible to receive

7 funds under this part or which serves the area in

8 which a program or project assisted under this part

9 is located, who are enrolled in private nonprofit ele10 mentary and secondary schools, or with respect to

11 instructional or personnel training programs funded

12 by the State from funds made available for State

13 use, such agency, after consultation with appropriate

14 private school officials—

15 ‘‘(A) shall provide for the benefit of such

16 children in such schools secular, neutral, and

17 nonideological services, materials, and equip18 ment, including the participation of the teach19 ers of such children (and other educational per20 sonnel serving such children) in training pro21 grams, and the repair or minor remodeling of

22 public facilities as may be necessary for their

23 provision (consistent with subsection (c) of this

24 section); or

25 ‘‘(B) if such services, materials, and equip26 ment are not feasible or necessary in 1 or more
609

•HR 1 IH

1 such private schools as determined by the local

2 educational agency after consultation with the

3 appropriate private school officials, shall pro4 vide such other arrangements as will assure eq5 uitable participation of such children in the

6 purposes and benefits of this part.

7 ‘‘(2) OTHER PROVISIONS FOR SERVICES.—If no

8 program or project is carried out under paragraph

9 (1) in the school district of a local educational agen10 cy, the State shall make arrangements, such as

11 through contracts with nonprofit agencies or organi12 zations, under which children in private schools in

13 such district are provided with services and mate14 rials to the extent that would have occurred if the

15 local educational agency had received funds under

16 this part.

17 ‘‘(3) APPLICATION OF REQUIREMENTS.—The

18 requirements of this section relating to the participa19 tion of children, teachers, and other personnel serv20 ing such children shall apply to programs and

21 projects carried out under this part by a State or

22 local educational agency, whether directly or through

23 grants to or contracts with other public or private

24 agencies, institutions, or organizations.

25 ‘‘(b) EQUAL EXPENDITURES.—
610

•HR 1 IH

1 ‘‘(1) IN GENERAL.—Expenditures for programs

2 pursuant to subsection (a) shall be equal (consistent

3 with the number of children to be served) to expend4 itures for programs under this part for children en5 rolled in the public schools of the local educational

6 agency.

7 ‘‘(2) CONCENTRATED PROGRAMS.—Taking into

8 account the needs of the individual children and

9 other factors which relate to the expenditures re10 ferred to in paragraph (1), and when funds available

11 to a local educational agency under this part are

12 used to concentrate programs or projects on a par13 ticular group, attendance area, or grade or age level,

14 children enrolled in private schools who are included

15 within the group, attendance area, or grade or age

16 level selected for such concentration shall, after con17 sultation with the appropriate private school offi18 cials, be assured equitable participation in the pur19 poses and benefits of such programs or projects.

20 ‘‘(c) ADMINISTRATIVE RULES.—

21 ‘‘(1) FUNDS AND PROPERTY.—The control of

22 funds provided under this part, and title to mate23 rials, equipment, and property repaired, remodeled,

24 or constructed with such funds, shall be in a public

25 agency for the uses and purposes provided in this
611

•HR 1 IH

1 part, and a public agency shall administer such

2 funds and property.

3 ‘‘(2) PROVISION OF SERVICES.—The provision

4 of services pursuant to this part shall be provided by

5 employees of a public agency or through contract by

6 such public agency with a person, an association,

7 agency, or corporation who or which, in the provi8 sion of such services, is independent of such private

9 school and of any religious organizations, and such

10 employment or contract shall be under the control

11 and supervision of such public agency, and the funds

12 provided under this part shall not be commingled

13 with State or local funds.

14 ‘‘(d) WAIVER.—

15 ‘‘(1) STATE PROHIBITION WAIVER.—If by rea16 son of any provision of law a State or local edu17 cational agency is prohibited from providing for the

18 participation in programs of children enrolled in pri19 vate elementary and secondary schools, as required

20 by this section, the Secretary shall waive such re21 quirements and shall arrange for the provision of

22 services to such children through arrangements

23 which shall be subject to the requirements of this

24 section.
612

•HR 1 IH

1 ‘‘(2) FAILURE TO COMPLY.—If the Secretary

2 determines that a State or a local educational agen3 cy has substantially failed or is unwilling to provide

4 for the participation on an equitable basis of chil5 dren enrolled in private elementary and secondary

6 schools as required by this section, the Secretary

7 may waive such requirements and shall arrange for

8 the provision of services to such children through ar9 rangements which shall be subject to the require10 ments of this section.

11 ‘‘(e) WITHHOLDING OF ALLOCATION.—Pending final

12 resolution of any investigation or complaint that could re13 sult in a waiver under subsection (d)(1) or (d)(2), the Sec14 retary may withhold from the allocation of the affected

15 State or local educational agency the amount estimated

16 by the Secretary to be necessary to pay the cost of services

17 to be provided by the Secretary under such subsection.

18 ‘‘(f) TERM OF DETERMINATIONS.—Any determina19 tion by the Secretary under this section shall continue in

20 effect until the Secretary determines that there will no

21 longer be any failure or inability on the part of the State

22 or local educational agency to meet the requirements of

23 subsections (a) and (b).

24 ‘‘(g) PAYMENT FROM STATE ALLOTMENT.—When

25 the Secretary arranges for services pursuant to this sec-
613

•HR 1 IH

1 tion, the Secretary shall, after consultation with the ap2 propriate public and private school officials, pay the cost

3 of such services, including the administrative costs of ar4 ranging for those services, from the appropriate allotment

5 of the State under this part.

6 ‘‘(h) REVIEW.—

7 ‘‘(1) WRITTEN OBJECTIONS.—The Secretary

8 shall not take any final action under this section

9 until the State and the local educational agency af10 fected by such action have had an opportunity, for

11 not less than 45 days after receiving written notice

12 thereof, to submit written objections and to appear

13 before the Secretary or the Secretary’s designee to

14 show cause why that action should not be taken.

15 ‘‘(2) COURT ACTION.—If a State or local edu16 cational agency is dissatisfied with the Secretary’s

17 final action after a proceeding under paragraph (1),

18 such agency may, not later than 60 days after notice

19 of such action, file with the United States court of

20 appeals for the circuit in which such State is located

21 a petition for review of that action. A copy of the

22 petition shall be transmitted by the clerk of the

23 court to the Secretary. The Secretary thereupon

24 shall file in the court the record of the proceedings

25 on which the Secretary based this action, as pro-
614

•HR 1 IH

1 vided in section 2112 of title 28, United States

2 Code.

3 ‘‘(3) REMAND TO SECRETARY.—The findings of

4 fact by the Secretary, if supported by substantial

5 evidence, shall be conclusive; but the court, for good

6 cause shown, may remand the case to the Secretary

7 to take further evidence and the Secretary may

8 make new or modified findings of fact and may mod9 ify the Secretary’s previous action, and shall file in

10 the court the record of the further proceedings. Such

11 new or modified findings of fact shall likewise be

12 conclusive if supported by substantial evidence.

13 ‘‘(4) COURT REVIEW.—Upon the filing of such

14 petition, the court shall have jurisdiction to affirm

15 the action of the Secretary or to set such action

16 aside, in whole or in part. The judgment of the court

17 shall be subject to review by the Supreme Court of

18 the United States upon certiorari or certification as

19 provided in section 1254 of title 28, United States

20 Code.

21 ‘‘SEC. 4143. FEDERAL ADMINISTRATION.

22 ‘‘(a) TECHNICAL ASSISTANCE.—The Secretary, upon

23 request, shall provide technical assistance to States and

24 local educational agencies under this part.
615

•HR 1 IH

1 ‘‘(b) RULEMAKING.—The Secretary shall issue regu2 lations under this part only to the extent that such regula3 tions are necessary to ensure that there is compliance with

4 the specific requirements and assurances required by this

5 part.

6 ‘‘(c) AVAILABILITY OF APPROPRIATIONS.—Notwith7 standing any other provision of law, unless expressly in

8 limitation of this subsection, funds appropriated in any

9 fiscal year to carry out activities under this part shall be10 come available for obligation on July 1 of such fiscal year

11 and shall remain available for obligation until the end of

12 the subsequent fiscal year.

13 ‘‘SEC. 4144. DEFINITIONS.

14 ‘‘In this part, the following definitions apply:

15 ‘‘(1) SCHOOL-AGE POPULATION.—The term

16 ‘school-age population’ means the population aged 5

17 through 17.

18 ‘‘(2) STATE.—The term ‘State’ means each of

19 the 50 States, the District of Columbia, and the

20 Commonwealth of Puerto Rico.

21 ‘‘SEC. 4145. AUTHORIZATION OF APPROPRIATIONS.

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

23 this part $472,000,000 for fiscal year 2002 and such sums

24 as may be necessary for each of fiscal years 2003 through

25 2006.’’.
616

•HR 1 IH

1 PART B—PUBLIC CHARTER SCHOOLS

2 SEC. 411. PUBLIC CHARTER SCHOOLS.

3 Part B of title IV is amended to read as follows:

4 ‘‘PART B—PUBLIC CHARTER SCHOOLS

5 ‘‘SEC. 4201. FINDINGS AND PURPOSE.

6 ‘‘(a) FINDINGS.—The Congress finds that—

7 ‘‘(1) enhancement of parent and student choices

8 among public schools can assist in promoting com9 prehensive educational reform and give more stu10 dents the opportunity to learn to challenging State

11 content standards and challenging State student

12 performance standards, if sufficiently diverse and

13 high-quality choices, and genuine opportunities to

14 take advantage of such choices, are available to all

15 students;

16 ‘‘(2) useful examples of such choices can come

17 from States and communities that experiment with

18 methods of offering teachers and other educators,

19 parents, and other members of the public the oppor20 tunity to design and implement new public schools

21 and to transform existing public schools;

22 ‘‘(3) charter schools are a mechanism for test23 ing a variety of educational approaches and should,

24 therefore, be exempted from restrictive rules and

25 regulations if the leadership of such schools commits

26 to attaining specific and ambitious educational re-
617

•HR 1 IH

1 sults for educationally disadvantaged students con2 sistent with challenging State content standards and

3 challenging State student performance standards for

4 all students;

5 ‘‘(4) charter schools, as such schools have been

6 implemented in a few States, can embody the nec7 essary mixture of enhanced choice, exemption from

8 restrictive regulations, and a focus on learning

9 gains;

10 ‘‘(5) charter schools, including charter schools

11 that are schools-within-schools, can help reduce

12 school size, which reduction can have a significant

13 effect on student achievement;

14 ‘‘(6) the Federal Government should test, evalu15 ate, and disseminate information on a variety of

16 charter school models in order to help demonstrate

17 the benefits of this promising educational reform;

18 and

19 ‘‘(7) there is a strong documented need for

20 cash-flow assistance to charter schools that are

21 starting up, because State and local operating rev22 enue streams are not immediately available.

23 ‘‘(b) PURPOSE.—It is the purpose of this part to in24 crease national understanding of the charter schools model

25 by—
618

•HR 1 IH

1 ‘‘(1) providing financial assistance for the plan2 ning, program design and initial implementation of

3 charter schools;

4 ‘‘(2) evaluating the effects of such schools, in5 cluding the effects on students, student achievement,

6 staff, and parents; and

7 ‘‘(3) expanding the number of high-quality

8 charter schools available to students across the Na9 tion.

10 ‘‘SEC. 4202. PROGRAM AUTHORIZED.

11 ‘‘(a) IN GENERAL.—The Secretary may award grants

12 to State educational agencies having applications approved

13 pursuant to section 4203 to enable such agencies to con14 duct a charter school grant program in accordance with

15 this part.

16 ‘‘(b) SPECIAL RULE.—If a State educational agency

17 elects not to participate in the program authorized by this

18 part or does not have an application approved under sec19 tion 4203, the Secretary may award a grant to an eligible

20 applicant that serves such State and has an application

21 approved pursuant to section 4203(c).

22 ‘‘(c) PROGRAM PERIODS.—

23 ‘‘(1) GRANTS TO STATES.—Grants awarded to

24 State educational agencies under this part shall be

25 awarded for a period of not more than 3 years.
619

•HR 1 IH

1 ‘‘(2) GRANTS TO ELIGIBLE APPLICANTS.—

2 Grants awarded by the Secretary to eligible appli3 cants or subgrants awarded by State educational

4 agencies to eligible applicants under this part shall

5 be awarded for a period of not more than 3 years,

6 of which the eligible applicant may use—

7 ‘‘(A) not more than 18 months for plan8 ning and program design;

9 ‘‘(B) not more than 2 years for the initial

10 implementation of a charter school; and

11 ‘‘(C) not more than 2 years to carry out

12 dissemination activities described in section

13 4204(f)(6)(B).

14 ‘‘(d) LIMITATION.—A charter school may not

15 receive—

16 ‘‘(1) more than one grant for activities de17 scribed in subparagraphs (A) and (B) of subsection

18 (c)(2); or

19 ‘‘(2) more than one grant for activities under

20 subparagraph (C) of subsection (c)(2).

21 ‘‘(e) PRIORITY TREATMENT.—In awarding grants

22 under this part from any funds appropriated under section

23 4211, the Secretary shall give priority to States to the ex24 tent that the States meet the criteria described in para-
620

•HR 1 IH

1 graph (2) and one or more of the criteria described in sub2 paragraph (A), (B), or (C) of paragraph (3).

3 ‘‘(2) REVIEW AND EVALUATION PRIORITY CRI4 TERIA.—The criteria referred to in paragraph (1) is

5 that the State provides for periodic review and eval6 uation by the authorized public chartering agency of

7 each charter school, at least once every 5 years un8 less required more frequently by State law, to deter9 mine whether the charter school is meeting the

10 terms of the school’s charter, and is meeting or ex11 ceeding the academic performance requirements and

12 goals for charter schools as set forth under State

13 law or the school’s charter.

14 ‘‘(3) PRIORITY CRITERIA.—The criteria referred

15 to in paragraph (1) are the following:

16 ‘‘(A) The State has demonstrated progress,

17 in increasing the number of high quality charter

18 schools that are held accountable in the terms

19 of the schools’ charters for meeting clear and

20 measurable objectives for the educational

21 progress of the students attending the schools,

22 in the period prior to the period for which a

23 State educational agency or eligible applicant

24 applies for a grant under this part.

25 ‘‘(B) The State—
621

•HR 1 IH

1 ‘‘(i) provides for one authorized public

2 chartering agency that is not a local edu3 cational agency, such as a State chartering

4 board, for each individual or entity seeking

5 to operate a charter school pursuant to

6 such State law; or

7 ‘‘(ii) in the case of a State in which

8 local educational agencies are the only au9 thorized public chartering agencies, allows

10 for an appeals process for the denial of an

11 application for a charter school.

12 ‘‘(C) The State ensures that each charter

13 school has a high degree of autonomy over the

14 charter school’s budgets and expenditures.

15 ‘‘(f) AMOUNT CRITERIA.—In determining the amount

16 of a grant to be awarded under this part to a State edu17 cational agency, the Secretary shall take into consider18 ation the number of charter schools that are operating,

19 or are approved to open, in the State.

20 ‘‘SEC. 4203. APPLICATIONS.

21 ‘‘(a) APPLICATIONS FROM STATE AGENCIES.—Each

22 State educational agency desiring a grant from the Sec23 retary under this part shall submit to the Secretary an

24 application at such time, in such manner, and containing
622

•HR 1 IH

1 or accompanied by such information as the Secretary may

2 require.

3 ‘‘(b) CONTENTS OF A STATE EDUCATIONAL AGENCY

4 APPLICATION.—Each application submitted pursuant to

5 subsection (a) shall—

6 ‘‘(1) describe the objectives of the State edu7 cational agency’s charter school grant program and

8 a description of how such objectives will be fulfilled,

9 including steps taken by the State educational agen10 cy to inform teachers, parents, and communities of

11 the State educational agency’s charter school grant

12 program; and

13 ‘‘(2) describe how the State educational

14 agency—

15 ‘‘(A) will inform each charter school in the

16 State regarding—

17 ‘‘(i) Federal funds that the charter

18 school is eligible to receive; and

19 ‘‘(ii) Federal programs in which the

20 charter school may participate;

21 ‘‘(B) will ensure that each charter school

22 in the State receives the charter school’s com23 mensurate share of Federal education funds

24 that are allocated by formula each year, includ-
623

•HR 1 IH

1 ing during the first year of operation of the

2 charter school; and

3 ‘‘(C) will disseminate best or promising

4 practices of charter schools to each local edu5 cational agency in the State; and

6 ‘‘(3) contain assurances that the State edu7 cational agency will require each eligible applicant

8 desiring to receive a subgrant to submit an applica9 tion to the State educational agency containing—

10 ‘‘(A) a description of the educational pro11 gram to be implemented by the proposed char12 ter school, including—

13 ‘‘(i) how the program will enable all

14 students to meet challenging State student

15 performance standards;

16 ‘‘(ii) the grade levels or ages of chil17 dren to be served; and

18 ‘‘(iii) the curriculum and instructional

19 practices to be used;

20 ‘‘(B) a description of how the charter

21 school will be managed;

22 ‘‘(C) a description of—

23 ‘‘(i) the objectives of the charter

24 school; and
624

•HR 1 IH

1 ‘‘(ii) the methods by which the charter

2 school will determine its progress toward

3 achieving those objectives;

4 ‘‘(D) a description of the administrative re5 lationship between the charter school and the

6 authorized public chartering agency;

7 ‘‘(E) a description of how parents and

8 other members of the community will be in9 volved in the planning, program design and im10 plementation of the charter school;

11 ‘‘(F) a description of how the authorized

12 public chartering agency will provide for contin13 ued operation of the school once the Federal

14 grant has expired, if such agency determines

15 that the school has met the objectives described

16 in subparagraph (C)(i);

17 ‘‘(G) a request and justification for waivers

18 of any Federal statutory or regulatory provi19 sions that the applicant believes are necessary

20 for the successful operation of the charter

21 school, and a description of any State or local

22 rules, generally applicable to public schools,

23 that will be waived for, or otherwise not apply

24 to, the school;
625

•HR 1 IH

1 ‘‘(H) a description of how the subgrant

2 funds or grant funds, as appropriate, will be

3 used, including a description of how such funds

4 will be used in conjunction with other Federal

5 programs administered by the Secretary;

6 ‘‘(I) a description of how students in the

7 community will be—

8 ‘‘(i) informed about the charter

9 school; and

10 ‘‘(ii) given an equal opportunity to at11 tend the charter school;

12 ‘‘(J) an assurance that the eligible appli13 cant will annually provide the Secretary and the

14 State educational agency such information as

15 may be required to determine if the charter

16 school is making satisfactory progress toward

17 achieving the objectives described in subpara18 graph (C)(i);

19 ‘‘(K) an assurance that the applicant will

20 cooperate with the Secretary and the State edu21 cational agency in evaluating the program as22 sisted under this part;

23 ‘‘(L) a description of how a charter school

24 that is considered a local educational agency

25 under State law, or a local educational agency
626

•HR 1 IH

1 in which a charter school is located, will comply

2 with sections 613(a)(5) and 613(e)(1)(B) of the

3 Individuals with Disabilities Education Act;

4 ‘‘(M) if the eligible applicant desires to use

5 subgrant funds for dissemination activities

6 under section 4202(c)(2)(C), a description of

7 those activities and how those activities will in8 volve charter schools and other public schools,

9 local educational agencies, developers, and po10 tential developers; and

11 ‘‘(N) such other information and assur12 ances as the Secretary and the State edu13 cational agency may require.

14 ‘‘(c) CONTENTS OF ELIGIBLE APPLICANT APPLICA15 TION.—Each eligible applicant desiring a grant pursuant

16 to section 4202(b) shall submit an application to the State

17 educational agency or Secretary, respectively, at such

18 time, in such manner, and accompanied by such informa19 tion as the State educational agency or Secretary, respec20 tively, may reasonably require.

21 ‘‘(d) CONTENTS OF APPLICATION.—Each application

22 submitted pursuant to subsection (c) shall contain—

23 ‘‘(1) the information and assurances described

24 in subparagraphs (A) through (N) of subsection

25 (b)(3), except that for purposes of this subsection
627

•HR 1 IH

1 subparagraphs (J), (K), and (N) of such subsection

2 shall be applied by striking ‘and the State edu3 cational agency’ each place such term appears; and

4 ‘‘(2) assurances that the State educational

5 agency—

6 ‘‘(A) will grant, or will obtain, waivers of

7 State statutory or regulatory requirements; and

8 ‘‘(B) will assist each subgrantee in the

9 State in receiving a waiver under section

10 4204(e).

11 ‘‘SEC. 4204. ADMINISTRATION.

12 ‘‘(a) SELECTION CRITERIA FOR STATE EDU13 CATIONAL AGENCIES.—The Secretary shall award grants

14 to State educational agencies under this part on the basis

15 of the quality of the applications submitted under section

16 4203(b), after taking into consideration such factors as—

17 ‘‘(1) the contribution that the charter schools

18 grant program will make to assisting educationally

19 disadvantaged and other students to achieving State

20 content standards and State student performance

21 standards and, in general, a State’s education im22 provement plan;

23 ‘‘(2) the degree of flexibility afforded by the

24 State educational agency to charter schools under

25 the State’s charter schools law;
628

•HR 1 IH

1 ‘‘(3) the ambitiousness of the objectives for the

2 State charter school grant program;

3 ‘‘(4) the quality of the strategy for assessing

4 achievement of those objectives;

5 ‘‘(5) the likelihood that the charter school grant

6 program will meet those objectives and improve edu7 cational results for students;

8 ‘‘(6) the number of high quality charter schools

9 created under this part in the State; and

10 ‘‘(7) in the case of State educational agencies

11 that propose to use grant funds to support dissemi12 nation activities under section 4202(c)(2)(C), the

13 quality of those activities and the likelihood that

14 those activities will improve student achievement.

15 ‘‘(b) SELECTION CRITERIA FOR ELIGIBLE APPLI16 CANTS.—The Secretary shall award grants to eligible ap17 plicants under this part on the basis of the quality of the

18 applications submitted under section 4203(c), after taking

19 into consideration such factors as—

20 ‘‘(1) the quality of the proposed curriculum and

21 instructional practices;

22 ‘‘(2) the degree of flexibility afforded by the

23 State educational agency and, if applicable, the local

24 educational agency to the charter school;
629

•HR 1 IH

1 ‘‘(3) the extent of community support for the

2 application;

3 ‘‘(4) the ambitiousness of the objectives for the

4 charter school;

5 ‘‘(5) the quality of the strategy for assessing

6 achievement of those objectives;

7 ‘‘(6) the likelihood that the charter school will

8 meet those objectives and improve educational re9 sults for students; and

10 ‘‘(7) in the case of an eligible applicant that

11 proposes to use grant funds to support dissemina12 tion activities under section 4202(c)(2)(C), the qual13 ity of those activities and the likelihood that those

14 activities will improve student achievement.

15 ‘‘(c) PEER REVIEW.—The Secretary, and each State

16 educational agency receiving a grant under this part, shall

17 use a peer review process to review applications for assist18 ance under this part.

19 ‘‘(d) DIVERSITY OF PROJECTS.—The Secretary and

20 each State educational agency receiving a grant under this

21 part, shall award subgrants under this part in a manner

22 that, to the extent possible, ensures that such grants and

23 subgrants—
630

•HR 1 IH

1 ‘‘(1) are distributed throughout different areas

2 of the Nation and each State, including urban and

3 rural areas; and

4 ‘‘(2) will assist charter schools representing a

5 variety of educational approaches, such as ap6 proaches designed to reduce school size.

7 ‘‘(e) WAIVERS.—The Secretary may waive any statu8 tory or regulatory requirement over which the Secretary

9 exercises administrative authority except any such require10 ment relating to the elements of a charter school described

11 in section 4210(1), if—

12 ‘‘(1) the waiver is requested in an approved ap13 plication under this part; and

14 ‘‘(2) the Secretary determines that granting

15 such a waiver will promote the purpose of this part.

16 ‘‘(f) USE OF FUNDS.—

17 ‘‘(1) STATE EDUCATIONAL AGENCIES.—Each

18 State educational agency receiving a grant under

19 this part shall use such grant funds to award sub20 grants to one or more eligible applicants in the State

21 to enable such applicant to plan and implement a

22 charter school in accordance with this part, except

23 that the State educational agency may reserve not

24 more than 10 percent of the grant funds to support

25 dissemination activities described in paragraph (6).
631

•HR 1 IH

1 ‘‘(2) ELIGIBLE APPLICANTS.—Each eligible ap2 plicant receiving funds from the Secretary or a State

3 educational agency shall use such funds to plan and

4 implement a charter school, or to disseminate infor5 mation about the charter school and successful prac6 tices in the charter school, in accordance with this

7 part.

8 ‘‘(3) ALLOWABLE ACTIVITIES.—An eligible ap9 plicant receiving a grant or subgrant under this part

10 may use the grant or subgrant funds only for—

11 ‘‘(A) post-award planning and design of

12 the educational program, which may include—

13 ‘‘(i) refinement of the desired edu14 cational results and of the methods for

15 measuring progress toward achieving those

16 results; and

17 ‘‘(ii) professional development of

18 teachers and other staff who will work in

19 the charter school; and

20 ‘‘(B) initial implementation of the charter

21 school, which may include—

22 ‘‘(i) informing the community about

23 the school;

24 ‘‘(ii) acquiring necessary equipment

25 and educational materials and supplies;
632

•HR 1 IH

1 ‘‘(iii) acquiring or developing cur2 riculum materials; and

3 ‘‘(iv) other initial operational costs

4 that cannot be met from State or local

5 sources.

6 ‘‘(4) ADMINISTRATIVE EXPENSES.—Each State

7 educational agency receiving a grant pursuant to

8 this part may reserve not more than 5 percent of

9 such grant funds for administrative expenses associ10 ated with the charter school grant program assisted

11 under this part.

12 ‘‘(5) REVOLVING LOAN FUNDS.—Each State

13 educational agency receiving a grant pursuant to

14 this part may reserve not more than 10 percent of

15 the grant amount for the establishment of a revolv16 ing loan fund. Such fund may be used to make loans

17 to eligible applicants that have received a subgrant

18 under this part, under such terms as may be deter19 mined by the State educational agency, for the ini20 tial operation of the charter school grant program of

21 such recipient until such time as the recipient begins

22 receiving ongoing operational support from State or

23 local financing sources.

24 ‘‘(6) DISSEMINATION.—
633

•HR 1 IH

1 ‘‘(A) IN GENERAL.—A charter school may

2 apply for funds under this part, whether or not

3 the charter school has applied for or received

4 funds under this part for planning, program de5 sign, or implementation, to carry out the activi6 ties described in subparagraph (B) if the char7 ter school has been in operation for at least 3

8 consecutive years and has demonstrated overall

9 success, including—

10 ‘‘(i) substantial progress in improving

11 student achievement;

12 ‘‘(ii) high levels of parent satisfaction;

13 and

14 ‘‘(iii) the management and leadership

15 necessary to overcome initial start-up prob16 lems and establish a thriving, financially

17 viable charter school.

18 ‘‘(B) ACTIVITIES.—A charter school de19 scribed in subparagraph (A) may use funds re20 served under paragraph (1) to assist other

21 schools in adapting the charter school’s pro22 gram (or certain aspects of the charter school’s

23 program), or to disseminate information about

24 the charter school, through such activities as—
634

•HR 1 IH

1 ‘‘(i) assisting other individuals with

2 the planning and start-up of one or more

3 new public schools, including charter

4 schools, that are independent of the assist5 ing charter school and the assisting charter

6 school’s developers, and that agree to be

7 held to at least as high a level of account8 ability as the assisting charter school;

9 ‘‘(ii) developing partnerships with

10 other public schools, including charter

11 schools, designed to improve student per12 formance in each of the schools partici13 pating in the partnership;

14 ‘‘(iii) developing curriculum materials,

15 assessments, and other materials that pro16 mote increased student achievement and

17 are based on successful practices within

18 the assisting charter school; and

19 ‘‘(iv) conducting evaluations and de20 veloping materials that document the suc21 cessful practices of the assisting charter

22 school and that are designed to improve

23 student performance in other schools.

24 ‘‘(g) TRIBALLY CONTROLLED SCHOOLS.—Each State

25 that receives a grant under this part and designates a trib-
635

•HR 1 IH

1 ally controlled school as a charter school shall not consider

2 payments to a school under the Tribally Controlled

3 Schools Act of 1988 (25 U.S.C. 2507) in determining—

4 ‘‘(1) the eligibility of the school to receive any

5 other Federal, State, or local aid; or

6 ‘‘(2) the amount of such aid.

7 ‘‘SEC. 4205. NATIONAL ACTIVITIES.

8 ‘‘(a) IN GENERAL.—The Secretary shall reserve for

9 each fiscal year the greater of 5 percent or $5,000,000

10 of the amount appropriated to carry out this part, except

11 that in no fiscal year shall the total amount so reserved

12 exceed $8,000,000, to carry out the following activities:

13 ‘‘(1) To provide charter schools, either directly

14 or through State educational agencies, with—

15 ‘‘(A) information regarding—

16 ‘‘(i) Federal funds that charter

17 schools are eligible to receive; and

18 ‘‘(ii) other Federal programs in which

19 charter schools may participate; and

20 ‘‘(B) assistance in applying for Federal

21 education funds that are allocated by formula,

22 including assistance with filing deadlines and

23 submission of applications.

24 ‘‘(2) To provide for other evaluations or studies

25 that include the evaluation of the impact of charter
636

•HR 1 IH

1 schools on student achievement, including informa2 tion regarding—

3 ‘‘(A) students attending charter schools re4 ported on the basis of race, age, disability, gen5 der, limited English proficiency, and previous

6 enrollment in public school; and

7 ‘‘(B) the professional qualifications of

8 teachers within a charter school and the turn9 over of the teaching force.

10 ‘‘(3) To provide—

11 ‘‘(A) information to applicants for assist12 ance under this part;

13 ‘‘(B) assistance to applicants for assistance

14 under this part with the preparation of applica15 tions under section 4203;

16 ‘‘(C) assistance in the planning and start17 up of charter schools;

18 ‘‘(D) training and technical assistance to

19 existing charter schools; and

20 ‘‘(E) for the dissemination to other public

21 schools of best or promising practices in charter

22 schools.

23 ‘‘(4) To provide (including through the use of

24 one or more contracts that use a competitive bidding

25 process) for the collection of information regarding
637

•HR 1 IH

1 the financial resources available to charter schools,

2 including access to private capital, and to widely dis3 seminate to charter schools any such relevant infor4 mation and model descriptions of successful pro5 grams.

6 ‘‘(b) CONSTRUCTION.—Nothing in this section shall

7 be construed to require charter schools to collect any data

8 described in subsection (a).

9 ‘‘SEC. 4206. FEDERAL FORMULA ALLOCATION DURING

10 FIRST YEAR AND FOR SUCCESSIVE ENROLL11 MENT EXPANSIONS.

12 ‘‘(a) IN GENERAL.—For purposes of the allocation

13 to schools by the States or their agencies of funds under

14 part A of title I, and any other Federal funds which the

15 Secretary allocates to States on a formula basis, the Sec16 retary and each State educational agency shall take such

17 measures not later than 6 months after the date of the

18 enactment of the Charter School Expansion Act of 1998

19 as are necessary to ensure that every charter school re20 ceives the Federal funding for which the charter school

21 is eligible not later than 5 months after the charter school

22 first opens, notwithstanding the fact that the identity and

23 characteristics of the students enrolling in that charter

24 school are not fully and completely determined until that

25 charter school actually opens. The measures similarly shall
638

•HR 1 IH

1 ensure that every charter school expanding its enrollment

2 in any subsequent year of operation receives the Federal

3 funding for which the charter school is eligible not later

4 than 5 months after such expansion.

5 ‘‘(b) ADJUSTMENT AND LATE OPENINGS.—

6 ‘‘(1) IN GENERAL.—The measures described in

7 subsection (a) shall include provision for appropriate

8 adjustments, through recovery of funds or reduction

9 of payments for the succeeding year, in cases where

10 payments made to a charter school on the basis of

11 estimated or projected enrollment data exceed the

12 amounts that the school is eligible to receive on the

13 basis of actual or final enrollment data.

14 ‘‘(2) RULE.—For charter schools that first

15 open after November 1 of any academic year, the

16 State, in accordance with guidance provided by the

17 Secretary and applicable Federal statutes and regu18 lations, shall ensure that such charter schools that

19 are eligible for the funds described in subsection (a)

20 for such academic year have a full and fair oppor21 tunity to receive those funds during the charter

22 schools’ first year of operation.
639

•HR 1 IH

1 ‘‘SEC. 4207. SOLICITATION OF INPUT FROM CHARTER

2 SCHOOL OPERATORS.

3 ‘‘To the extent practicable, the Secretary shall ensure

4 that administrators, teachers, and other individuals di5 rectly involved in the operation of charter schools are con6 sulted in the development of any rules or regulations re7 quired to implement this part, as well as in the develop8 ment of any rules or regulations relevant to charter

9 schools that are required to implement part A of title I,

10 the Individuals with Disabilities Education Act (20 U.S.C.

11 1400 et seq.), or any other program administered by the

12 Secretary that provides education funds to charter schools

13 or regulates the activities of charter schools.

14 ‘‘SEC. 4208. RECORDS TRANSFER.

15 ‘‘State educational agencies and local educational

16 agencies, to the extent practicable, shall ensure that a stu17 dent’s records and, if applicable, a student’s individualized

18 education program as defined in section 602(11) of the

19 Individuals with Disabilities Education Act (20 U.S.C.

20 1401(11)), are transferred to a charter school upon the

21 transfer of the student to the charter school, and to an22 other public school upon the transfer of the student from

23 a charter school to another public school, in accordance

24 with applicable State law.
640

•HR 1 IH

1 ‘‘SEC. 4209. PAPERWORK REDUCTION.

2 ‘‘To the extent practicable, the Secretary and each

3 authorized public chartering agency shall ensure that im4 plementation of this part results in a minimum of paper5 work for any eligible applicant or charter school.

6 ‘‘SEC. 4210. DEFINITIONS.

7 ‘‘As used in this part:

8 ‘‘(1) The term ‘charter school’ means a public

9 school that—

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

11 statute authorizing the granting of charters to

12 schools, is exempted from significant State or

13 local rules that inhibit the flexible operation

14 and management of public schools, but not

15 from any rules relating to the other require16 ments of this paragraph;

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

18 school, or is adapted by a developer from an ex19 isting public school, and is operated under pub20 lic supervision and direction;

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

22 educational objectives determined by the

23 school’s developer and agreed to by the author24 ized public chartering agency;

25 ‘‘(D) provides a program of elementary or

26 secondary education, or both;
641

•HR 1 IH

1 ‘‘(E) is nonsectarian in its programs, ad2 missions policies, employment practices, and all

3 other operations, and is not affiliated with a

4 sectarian school or religious institution;

5 ‘‘(F) does not charge tuition;

6 ‘‘(G) complies with the Age Discrimination

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

8 1964, title IX of the Education Amendments of

9 1972, section 504 of the Rehabilitation Act of

10 1973, and part B of the Individuals with Dis11 abilities Education Act;

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

13 send their children, and that admits students

14 on the basis of a lottery, or in another non15 discriminatory manner consistent with State

16 law, if more students apply for admission than

17 can be accommodated;

18 ‘‘(I) agrees to comply with the same Fed19 eral and State audit requirements as do other

20 elementary and secondary schools in the State,

21 unless such requirements are specifically waived

22 for the purpose of this program;

23 ‘‘(J) meets all applicable Federal, State,

24 and local health and safety requirements;
642

•HR 1 IH

1 ‘‘(K) operates in accordance with State

2 law; and

3 ‘‘(L) has a written performance contract

4 with the authorized public chartering agency in

5 the State that includes a description of how

6 student performance will be measured in char7 ter schools pursuant to State assessments that

8 are required of other schools and pursuant to

9 any other assessments mutually agreeable to

10 the authorized public chartering agency and the

11 charter school.

12 ‘‘(2) The term ‘developer’ means an individual

13 or group of individuals (including a public or private

14 nonprofit organization), which may include teachers,

15 administrators and other school staff, parents, or

16 other members of the local community in which a

17 charter school project will be carried out.

18 ‘‘(3) The term ‘eligible applicant’ means an au19 thorized public chartering agency participating in a

20 partnership with a developer to establish a charter

21 school in accordance with this part.

22 ‘‘(4) The term ‘authorized public chartering

23 agency’ means a State educational agency, local edu24 cational agency, or other public entity that has the
643

•HR 1 IH

1 authority pursuant to State law and approved by the

2 Secretary to authorize or approve a charter school.

3 ‘‘SEC. 4211. AUTHORIZATION OF APPROPRIATIONS.

4 ‘‘For the purpose of carrying out this part, there are

5 authorized to be appropriated $200,000,000 for fiscal year

6 2002 and such sums as may be necessary for each of the

7 4 succeeding fiscal years.’’.

8 PART C—SCHOOL CHOICE RESEARCH AND

9 DEMONSTRATION

10 SEC. 421. SCHOOL CHOICE RESEARCH AND DEMONSTRA11 TION

12 Part C of title IV is amended to read as follows:

13 ‘‘PART C—EDUCATIONAL OPPORTUNITY FUND

14 ‘‘SEC. 4311. PURPOSE.

15 ‘‘The purpose of this part is to determine the effec16 tiveness of school choice in improving the academic

17 achievement of disadvantaged students and the overall

18 quality of public schools and local educational agencies.

19 ‘‘SEC. 4312. PROGRAM AUTHORIZED.

20 ‘‘The Secretary is authorized to make competitive

21 awards to eligible entities to carry out and evaluate,

22 through contracts or grants, research projects that dem23 onstrate how school choice options increase the academic

24 achievement of students, schools, and local educational

25 agencies.
644

•HR 1 IH

1 ‘‘SEC. 4313. ELIGIBLE ENTITIES.

2 ‘‘For purposes of this part an eligible entity is—

3 ‘‘(1) a State educational agency;

4 ‘‘(2) a county agency;

5 ‘‘(3) a municipal agency;

6 ‘‘(4) a local educational agency;

7 ‘‘(5) a nonprofit corporation; or

8 ‘‘(6) a consortia thereof.

9 ‘‘SEC. 4314. APPLICATIONS.

10 ‘‘Each eligible entity desiring an award under this

11 part shall submit an application to the Secretary that shall

12 include—

13 ‘‘(1) a description of the proposed research

14 project, including a designation from which local

15 educational agency or agencies eligible students will

16 be selected to participate in a choice program;

17 ‘‘(2) a description of the annual costs of the

18 project;

19 ‘‘(3) a description of the research design that

20 the eligible entity will employ in carrying out the

21 project;

22 ‘‘(4) a description of the project evaluation that

23 will be conducted by an independent third party en24 tity, including—
645

•HR 1 IH

1 ‘‘(A) the name and qualifications of the

2 independent entity that will conduct the evalua3 tion; and

4 ‘‘(B) a description of how the evaluation

5 will measure the academic achievement of stu6 dents participating in the program, parental

7 satisfaction and the effect of the project on the

8 schools and agencies designated in paragraph

9 (1);

10 ‘‘(5) a description of how the eligible entity will

11 ensure the participation of students selected for the

12 control group;

13 ‘‘(6) a description of the assessment that the el14 igible entity will use to assess annually the progress

15 of participants in the research project in grades 3

16 through 8 in mathematics and reading and how it is

17 comparable to assessments used by the agency or

18 agencies described under paragraph (1);

19 ‘‘(7) an assurance that the eligible entity will

20 assess all students that are participating in the pro21 gram or in the control group at the beginning of the

22 project;

23 ‘‘(8) an assurance that the eligible entity will

24 report annually to the Secretary on the impact of

25 the project on student achievement, including a dis-
646

•HR 1 IH

1 cussion of the meaning and an attestation of validity

2 of the achievement data;

3 ‘‘(9) an assurance that, if the number of stu4 dents applying to participate in the project is greater

5 than the number of students the project can serve,

6 participants will be selected by lottery;

7 ‘‘(10) a description of how the amount that will

8 be provided directly to students for tuition, fees,

9 transportation, or supplemental services will be de10 termined;

11 ‘‘(11) an assurance that schools participating

12 under this part will abide by the nondiscrimination

13 requirements set forth in section 4319;

14 ‘‘(12) an assurance that eligible students receiv15 ing assistance under this part will not be defined by

16 reference to religion and that grants will be allocated

17 on the basis of neutral, secular criteria that neither

18 favor nor disfavor religion, and will be made avail19 able to children attending secular and nonsecular in20 stitutions on a nondiscriminatory basis; and

21 ‘‘(13) an assurance that no private school will

22 be required to participate in the project without its

23 consent.
647

•HR 1 IH

1 ‘‘SEC. 4315. PRIORITIES.

2 ‘‘In awarding grants under this program, the Sec3 retary shall give priority to applications that—

4 ‘‘(1) provide students and families with the

5 widest range of educational options;

6 ‘‘(2) target resources to students and families

7 that lack the financial resources to take advantage

8 of available educational options;

9 ‘‘(3) are of sufficient size to have a significant

10 impact on the public and private schools of the com11 munity that the project serves;

12 ‘‘(4) propose using rigorous methodologies and

13 third party evaluators with experience in evaluating

14 school choice proposals; and

15 ‘‘(5) propose serving students of varying age

16 and grade levels.

17 ‘‘SEC. 4316. USE OF FUNDS.

18 ‘‘(a) IN GENERAL.—A grantee may reserve up to 10

19 percent of its award for research and evaluation activities,

20 of which not more than 2 percent may be used for admin21 istrative purposes.

22 ‘‘(b) GRANTS TO STUDENTS.—A grantee shall use at

23 least 90 percent of its award to provide grants to eligible

24 students, who shall use the grants to—
648

•HR 1 IH

1 ‘‘(1) pay the eligible educational expenses, in2 cluding tuition, fees, and transportation expenses re3 quired to attend the school of their choice; or

4 ‘‘(2) purchase supplemental educational serv5 ices.

6 ‘‘(c) ASSISTANCE.—All grants provided to students

7 by the project shall be deemed assistance to students rath8 er than to schools.

9 ‘‘SEC. 4317. ELIGIBLE STUDENTS.

10 ‘‘For purposes of the activities funded under this

11 part, an eligible student is defined as a student who—

12 ‘‘(1) is eligible for a free or reduced-price lunch

13 subsidy under the National School Lunch program;

14 and

15 ‘‘(2) attended a public elementary or secondary

16 school or was not yet of school age in the year pre17 ceding participation in this program.

18 ‘‘SEC. 4318. REPORTING REQUIREMENTS.

19 ‘‘(a) IN GENERAL.—Each grantee receiving an award

20 under this program shall, beginning with the second year

21 of the project, report annually to the Secretary

22 regarding—

23 ‘‘(1) the activities carried out during the pre24 ceding 12 months with program funds; and
649

•HR 1 IH

1 ‘‘(2) the results of the assessments given to stu2 dents participating in the program and students se3 lected for the control group.

4 ‘‘(b) PERFORMANCE REPORTS.—In addition, each

5 grantee shall, in the third year of the research project,

6 report annually to the Secretary regarding—

7 ‘‘(1) the academic performance of students par8 ticipating in the project; and

9 ‘‘(2) parental satisfaction; and

10 ‘‘(3) changes in the overall performance and

11 quality of public and private elementary and sec12 ondary schools affected by the project, as well as

13 other indicators such as teacher quality, innovative

14 reforms, or special programs.

15 ‘‘(c) REPORT TO CONGRESS.—The Secretary shall

16 submit to the appropriate congressional committees an an17 nual report on the findings of the reports submitted under

18 subsections (a) and (b), and include the comments of the

19 independent review panel in accordance with section

20 4019(3).

21 ‘‘SEC. 4319. NONDISCRIMINATION.

22 ‘‘(a) APPLICATION.—Except as provided in subpara23 graph (B), title VI of the Civil Rights Act of 1964, title

24 IX of the Education Amendments of 1972, and section

25 504 of the Rehabilitation Act of 1973, do not apply to
650

•HR 1 IH

1 a private school that enrolls an eligible child who receives

2 funds under this part by virtue of that child’s use of those

3 funds to enroll at that school.

4 ‘‘(b) RIGHT AT PRIVATE SCHOOLS.—The eligible en5 tity shall ensure that a private school that enrolls an eligi6 ble child described in subparagraph (A) shall afford the

7 child the same rights against discrimination provided by

8 the statutes identified in that subparagraph, and shall af9 ford those same rights to any eligible child who applies

10 to enroll in that school.

11 ‘‘SEC. 4320. INDEPENDENT REVIEW PANEL.

12 ‘‘(a) ESTABLISHMENT.—The Secretary shall estab13 lish an independent review panel to advise the Secretary

14 on technical and methodological issues and in overseeing

15 the activities funded under this part.

16 ‘‘(b) MEMBERSHIP.—The Secretary shall appoint

17 members of the independent review panel from among

18 qualified individuals who are—

19 ‘‘(A) specialists in school choice research,

20 as well as experts in statistics, evaluation, re21 search, and assessment; and

22 ‘‘(B) other individuals with technical ex23 pertise who will contribute to the overall rigor

24 and quality of the evaluations.
651

•HR 1 IH

1 ‘‘(c) POWERS.—The independent review panel shall

2 consult with and advise the Secretary—

3 ‘‘(1) to ensure that the evaluations funded

4 under this part adhere to the highest possible stand5 ards of quality with respect to research design and

6 statistical analysis; and

7 ‘‘(2) to evaluate and comment on the degree to

8 which annual reports submitted in accordance with

9 section 4318 meet the requirements under subpara10 graph (A) with such comments included with the re11 port submitted to the appropriate Congressional

12 committees.

13 ‘‘SEC. 4321. AUTHORIZATION OF APPROPRIATIONS.

14 ‘‘There are authorized to be appropriated

15 $25,000,000 for fiscal year 2002 and such sums as may

16 be necessary for each of the 4 succeeding fiscal years.’’.

17 PART D—MAGNET SCHOOLS ASSISTANCE

18 SEC. 431. MAGNET SCHOOLS ASSISTANCE.

19 Part D of title IV is amended to read as follows:

20 ‘‘PART D—MAGNET SCHOOLS ASSISTANCE

21 ‘‘SEC. 4401. STATEMENT OF PURPOSE.

22 ‘‘The purpose of this part is to assist in the desegre23 gation of schools served by local educational agencies by

24 providing financial assistance to eligible local educational

25 agencies for—
652

•HR 1 IH

1 ‘‘(1) the elimination, reduction, or prevention of

2 minority group isolation in elementary and sec3 ondary schools with substantial proportions of mi4 nority students;

5 ‘‘(2) the development and implementation of

6 magnet school projects that will assist local edu7 cational agencies in achieving systemic reforms and

8 providing all students the opportunity to meet chal9 lenging State content standards and challenging

10 State student performance standards;

11 ‘‘(3) the development and design of innovative

12 educational methods and practices that promote di13 versity and increase choices in public elementary and

14 secondary schools and educational programs; and

15 ‘‘(4) courses of instruction within magnet

16 schools that will substantially strengthen the knowl17 edge of academic subjects and the grasp of tangible

18 and marketable vocational and technical skills of

19 students attending such schools.

20 ‘‘SEC. 4402. PROGRAM AUTHORIZED.

21 ‘‘The Secretary, in accordance with this part, is au22 thorized to make grants to eligible local educational agen23 cies, and consortia of such agencies where appropriate, to

24 carry out the purpose of this part for magnet schools that

25 are—
653

•HR 1 IH

1 ‘‘(1) part of an approved desegregation plan;

2 and

3 ‘‘(2) designed to bring students from different

4 social, economic, ethnic, and racial backgrounds to5 gether.

6 ‘‘SEC. 4403. DEFINITION.

7 ‘‘For the purpose of this part, the term ‘magnet

8 school’ means a public elementary or secondary school or

9 public elementary or secondary education center that of10 fers a special curriculum capable of attracting substantial

11 numbers of students of different racial backgrounds.

12 ‘‘SEC. 4404. ELIGIBILITY.

13 ‘‘A local educational agency, or consortium of such

14 agencies where appropriate, is eligible to receive assistance

15 under this part to carry out the purpose of this part if

16 such agency or consortium—

17 ‘‘(1) is implementing a plan undertaken pursu18 ant to a final order issued by a court of the United

19 States, or a court of any State, or any other State

20 agency or official of competent jurisdiction, that re21 quires the desegregation of minority-group-seg22 regated children or faculty in the elementary and

23 secondary schools of such agency; or

24 ‘‘(2) without having been required to do so, has

25 adopted and is implementing, or will, if assistance is
654

•HR 1 IH

1 made available to such local educational agency or

2 consortium of such agencies under this part, adopt

3 and implement a plan that has been approved by the

4 Secretary as adequate under title VI of the Civil

5 Rights Act of 1964 for the desegregation of minor6 ity-group-segregated children or faculty in such

7 schools.

8 ‘‘SEC. 4405. APPLICATIONS AND REQUIREMENTS.

9 ‘‘(a) APPLICATIONS.—An eligible local educational

10 agency, or consortium of such agencies, desiring to receive

11 assistance under this part shall submit an application to

12 the Secretary at such time, in such manner, and con13 taining such information and assurances as the Secretary

14 may reasonably require.

15 ‘‘(b) INFORMATION AND ASSURANCES.—Each such

16 application shall include—

17 ‘‘(1) a description of—

18 ‘‘(A) how assistance made available under

19 this part will be used to promote desegregation,

20 including how the proposed magnet school

21 project will increase interaction among students

22 of different social, economic, ethnic, and racial

23 backgrounds;

24 ‘‘(B) the manner and extent to which the

25 magnet school project will increase student
655

•HR 1 IH

1 achievement in the instructional area or areas

2 offered by the school;

3 ‘‘(C) how an applicant will continue the

4 magnet school project after assistance under

5 this part is no longer available, including, if ap6 plicable, an explanation of why magnet schools

7 established or supported by the applicant with

8 funds under this part cannot be continued with9 out the use of funds under this part;

10 ‘‘(D) how funds under this part will be

11 used to improve student academic performance

12 for all students attending the magnet schools;

13 and

14 ‘‘(E) the criteria to be used in selecting

15 students to attend the proposed magnet school

16 projects; and

17 ‘‘(2) assurances that the applicant will—

18 ‘‘(A) use funds under this part for the pur19 pose specified in section 4401;

20 ‘‘(B) employ fully qualified teachers in the

21 courses of instruction assisted under this part;

22 ‘‘(C) not engage in discrimination based on

23 race, religion, color, national origin, sex, or dis24 ability in—
656

•HR 1 IH

1 ‘‘(i) the hiring, promotion, or assign2 ment of employees of the agency or other

3 personnel for whom the agency has any ad4 ministrative responsibility;

5 ‘‘(ii) the assignment of students to

6 schools, or to courses of instruction within

7 the school, of such agency, except to carry

8 out the approved plan; and

9 ‘‘(iii) designing or operating extra10 curricular activities for students;

11 ‘‘(D) carry out a high-quality education

12 program that will encourage greater parental

13 decisionmaking and involvement; and

14 ‘‘(E) give students residing in the local at15 tendance area of the proposed magnet school

16 projects equitable consideration for placement

17 in those projects.

18 ‘‘SEC. 4406. PRIORITY.

19 ‘‘In approving applications under this part, the Sec20 retary shall give priority to applicants that—

21 ‘‘(1) demonstrate the greatest need for assist22 ance, based on the expense or difficulty of effectively

23 carrying out an approved desegregation plan and the

24 projects for which assistance is sought;
657

•HR 1 IH

1 ‘‘(2) propose to carry out new magnet school

2 projects, or significantly revise existing magnet

3 school projects; and

4 ‘‘(3) propose to select students to attend mag5 net school projects by methods such as lottery, rath6 er than through academic examination.

7 ‘‘SEC. 4407. USE OF FUNDS.

8 ‘‘(a) IN GENERAL.—Grant funds made available

9 under this part may be used by an eligible local edu10 cational agency or consortium of such agencies—

11 ‘‘(1) for planning and promotional activities di12 rectly related to the development, expansion, con13 tinuation, or enhancement of academic programs

14 and services offered at magnet schools;

15 ‘‘(2) for the acquisition of books, materials, and

16 equipment, including computers and the mainte17 nance and operation thereof, necessary for the con18 duct of programs in magnet schools;

19 ‘‘(3) for the payment, or subsidization of the

20 compensation, of elementary and secondary school

21 teachers who are fully qualified, and instructional

22 staff where applicable, who are necessary for the

23 conduct of programs in magnet schools;
658

•HR 1 IH

1 ‘‘(4) with respect to a magnet school program

2 offered to less than the entire student population of

3 a school, for instructional activities that—

4 ‘‘(A) are designed to make available the

5 special curriculum that is offered by the magnet

6 school project to students who are enrolled in

7 the school but who are not enrolled in the mag8 net school program; and

9 ‘‘(B) further the purpose of this part; and

10 ‘‘(5) for activities, which may include profes11 sional development, that will build the recipient’s ca12 pacity to operate magnet school programs once the

13 grant period has ended.

14 ‘‘(b) SPECIAL RULE.—Grant funds under this part

15 may be used in accordance with paragraphs (2) and (3)

16 of subsection (a) only if the activities described in such

17 paragraphs are directly related to improving the students’

18 academic performance based on the State’s challenging

19 content standards and challenging student performance

20 standards or directly related to improving the students’

21 reading skills or knowledge of mathematics, science, his22 tory, geography, English, foreign languages, art, or music,

23 or to improving vocational and technical skills.
659

•HR 1 IH

1 ‘‘SEC. 4408. PROHIBITIONS.

2 ‘‘(a) TRANSPORTATION.—Grants under this part may

3 not be used for transportation or any activity that does

4 not augment academic improvement.

5 ‘‘(b) PLANNING.—A local educational agency shall

6 not expend funds under this part after the third year that

7 such agency receives funds under this part for such

8 project.

9 ‘‘SEC. 4409. LIMITATIONS.

10 ‘‘(a) DURATION OF AWARDS.—A grant under this

11 part shall be awarded for a period that shall not exceed

12 three fiscal years.

13 ‘‘(b) LIMITATION ON PLANNING FUNDS.—A local

14 educational agency may expend for planning not more

15 than 50 percent of the funds received under this part for

16 the first year of the project, 15 percent of such funds for

17 the second such year, and 10 percent of such funds for

18 the third such year.

19 ‘‘(c) AMOUNT.—No local educational agency or con20 sortium awarded a grant under this part shall receive

21 more than $4,000,000 under this part in any one fiscal

22 year.

23 ‘‘(d) TIMING.—To the extent practicable, the Sec24 retary shall award grants for any fiscal year under this

25 part not later than July 1 of the applicable fiscal year.
660

•HR 1 IH

1 ‘‘SEC. 4410. EVALUATIONS.

2 ‘‘(a) RESERVATION.—The Secretary may reserve not

3 more than 2 percent of the funds appropriated under sec4 tion 4411(a) for any fiscal year to carry out evaluations,

5 technical assistance, and dissemination projects with re6 spect to magnet school projects and programs assisted

7 under this part.

8 ‘‘(b) CONTENTS.—Each evaluation described in sub9 section (a), at a minimum, shall address—

10 ‘‘(1) how and the extent to which magnet school

11 programs lead to educational quality and improve12 ment;

13 ‘‘(2) the extent to which magnet school pro14 grams enhance student access to quality education;

15 ‘‘(3) the extent to which magnet school pro16 grams lead to the elimination, reduction, or preven17 tion of minority group isolation in elementary and

18 secondary schools with substantial proportions of mi19 nority students; and

20 ‘‘(4) the extent to which magnet school pro21 grams differ from other school programs in terms of

22 the organizational characteristics and resource allo23 cations of such magnet school programs.
661

•HR 1 IH

1 ‘‘SEC. 4411. AUTHORIZATION OF APPROPRIATIONS; RES2 ERVATION.

3 ‘‘(a) AUTHORIZATION.—For the purpose of carrying

4 out this part, there are authorized to be appropriated

5 $110,000,000 for fiscal year 2002 and such sums as may

6 be necessary for each of the 4 succeeding fiscal years.

7 ‘‘(b) AVAILABILITY OF FUNDS FOR GRANTS TO

8 AGENCIES NOT PREVIOUSLY ASSISTED.—In any fiscal

9 year for which the amount appropriated pursuant to sub10 section (a) exceeds $75,000,000, the Secretary shall give

11 priority to using such amounts in excess of $75,000,000

12 to award grants to local educational agencies or consortia

13 of such agencies that did not receive a grant under this

14 part in the preceding fiscal year.’’.

15 SEC. 432. CONTINUATION OF AWARDS.

16 Notwithstanding the amendment made by section

17 431, or any other provision of this Act, any local edu18 cational agency, or consortium of such agencies, that was

19 awarded a grant under section 5111 of the Elementary

20 and Secondary Education Act of 1965 (20 U.S.C. 7211)

21 prior to the date of the enactment of this Act shall con22 tinue to receive funds in accordance with the terms of such

23 award until the date on which the award period terminates

24 under such terms.
662

•HR 1 IH

1 TITLE V—SAFE SCHOOLS FOR

2 THE 21ST CENTURY

3 SEC. 501. SAFE SCHOOLS.

4 Title V is amended to read as follows:

5 ‘‘TITLE V—SAFE SCHOOLS FOR

6 THE 21ST CENTURY

7 ‘‘PART A—SUPPORTING DRUG AND VIOLENCE

8 PREVENTION AND EDUCATION FOR STU9 DENTS AND COMMUNITIES

10 ‘‘SEC. 5001. SHORT TITLE.

11 ‘‘This part may be cited as the ‘Safe Schools for the

12 21st Century Act of 2001’.

13 ‘‘SEC. 5002. PURPOSE.

14 ‘‘The purpose of this part is to support programs that

15 prevent the use of drugs, prevent violence, provide before

16 and after school activities and supervision for school age

17 youth, involve parents and communities, and are coordi18 nated with related Federal, State, and community efforts

19 and resources to foster a learning environment in which

20 students increase their academic achievement, through the

21 provision of Federal assistance to—

22 ‘‘(1) States for grants to local educational agen23 cies and consortia of such agencies to establish, op24 erate, and improve local programs of drug and vio-
663

•HR 1 IH

1 lence prevention in elementary and secondary

2 schools;

3 ‘‘(2) States for grants to local educational agen4 cies, in partnership with community-based organiza5 tions, religious organizations, and other public enti6 ties and private organizations, for before and after

7 school programs for youth; and

8 ‘‘(4) public and private nonprofit and for-profit

9 organizations to conduct training, demonstrations,

10 and evaluations.

11 ‘‘SEC. 5003. AUTHORIZATION OF APPROPRIATIONS.

12 ‘‘There are authorized to be appropriated—

13 ‘‘(1) $1,470,000,000 for fiscal year 2002, and

14 such sums as may be necessary for each of the 4

15 succeeding fiscal years, for State grants under sub16 part 1; and

17 ‘‘(2) $20,000,000 for fiscal year 2002, and for

18 each of the 4 succeeding fiscal years, for national

19 programs under subpart 2.

20 ‘‘Subpart I—School Safety

21 ‘‘SEC. 5111. RESERVATIONS AND ALLOTMENTS.

22 ‘‘(a) RESERVATIONS.—From the amount made avail23 able under section 5003(1) to carry out this part for each

24 fiscal year, the Secretary—
664

•HR 1 IH

1 ‘‘(1) shall reserve 0.5 percent or $73,500,000

2 (whichever is greater) of such amount for grants

3 under this subpart to Guam, American Samoa, the

4 United States Virgin Islands, and the Common5 wealth of the Northern Mariana Islands, to be allot6 ted in accordance with the Secretary’s determination

7 of their respective needs; and

8 ‘‘(2) shall reserve 0.5 percent or $73,500,000

9 (whichever is greater) of such amount for the Sec10 retary of the Interior to carry out programs under

11 this part for Indian youth.

12 ‘‘(b) STATE ALLOTMENTS.—

13 ‘‘(1) IN GENERAL.—Except as provided in para14 graph (2), the Secretary shall, for each fiscal year,

15 allocate among the States—

16 ‘‘(A) one-half of the remainder not re17 served under subsection (a) according to the

18 ratio between the school-aged population of

19 each State and the school-aged population of all

20 the States; and

21 ‘‘(B) one-half of such remainder according

22 to the ratio between the amount each State re23 ceived under part A of title I for the preceding

24 year and the sum of such amounts received by

25 all the States.
665

•HR 1 IH

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

2 shall be allotted under this subsection an amount

3 that is less than one-half of 1 percent of the total

4 amount allotted to all the States under this sub5 section.

6 ‘‘(c) REALLOTMENT OF UNUSED FUNDS.—If any

7 State does not apply for an allotment under this subpart

8 for a fiscal year, the Secretary shall reallot the amount

9 of the State’s allotment to the remaining States in accord10 ance with this section.

11 ‘‘SEC. 5112. WITHIN-STATE DISTRIBUTION.

12 ‘‘(a) GOVERNOR’S ALLOCATION.—

13 ‘‘(1) IN GENERAL.—The chief executive officer

14 of a State may reserve not more than 10 percent of

15 the total amount allocated to a State under section

16 5111(b) for each fiscal year for programs and activi17 ties in accordance with section 5115.

18 ‘‘(2) ADMINISTRATIVE COSTS.—The chief exec19 utive officer of a State may use not more than 1

20 percent of the amount described in paragraph (1)

21 for the administrative costs incurred in carrying out

22 the duties of such officer under this section.

23 ‘‘(3) GRANT AWARDS.—The chief executive offi24 cer of a State shall use the remainder of funds not

25 reserved under paragraph (2) to award competitive
666

•HR 1 IH

1 grants and contracts to local educational agencies,

2 community-based organizations, religious organiza3 tions, and other public entities and private organiza4 tions for programs or activities described in section

5 5115. Such officer shall award grants based on—

6 ‘‘(A) the quality of the activity or program

7 proposed; and

8 ‘‘(B) how closely the program or activity is

9 aligned with the appropriate principles of effec10 tiveness described in section 5115(a).

11 ‘‘(b) STATE FUNDS.—

12 ‘‘(1) IN GENERAL.—An amount equal to the

13 total amount allotted to a State under section

14 5111(b), less the amount reserved under subsection

15 (a) and paragraphs (2) and (3) of this subsection,

16 for each fiscal year shall be made available to the

17 State and its local educational agencies for activities

18 in accordance with section 5115.

19 ‘‘(2) STATE ACTIVITIES.—A State may use not

20 more than 4 percent of the amount available under

21 subsection (a) for State activities described in sec22 tion 5115(b).

23 ‘‘(3) STATE ADMINISTRATION.—A State may

24 use not more than 1 percent of the amount made

25 available under subsection (a) for the administrative
667

•HR 1 IH

1 costs of carrying out its responsibilities under this

2 part.

3 ‘‘(c) DISTRIBUTION TO LOCAL EDUCATIONAL AGEN4 CY.—

5 ‘‘(1) IN GENERAL.—

6 (A) DISTRIBUTION.— A State shall dis7 tribute not less than 95 percent of the amount

8 made available under subsection (b) for each

9 fiscal year as follows:

10 ‘‘(i) 70 percent of such amount to

11 local educational agencies, based on the

12 relative enrollments in public and private

13 nonprofit elementary and secondary

14 schools within the boundaries of such

15 agencies.

16 ‘‘(ii) 30 percent of such amount to

17 local educational agencies that the State

18 determines have the greatest need for addi19 tional funds to carry out activities under

20 this part.

21 ‘‘(B) SPECIAL CONSIDERATION.—In

22 awarding funds under clause (ii) of subpara23 graph (A), a State shall give special consider24 ation to agencies that pursue a comprehensive

25 approach to drug and violence prevention by
668

•HR 1 IH

1 providing or incorporating mental health serv2 ices in their programs.

3 ‘‘(C) PARTNERSHIPS.—In awarding funds

4 under clause (ii) of subparagraph (A) a State

5 shall distribute a portion of such funds to local

6 educational agencies that partner with commu7 nity-based organizations, religious organiza8 tions, other public entities, or private organiza9 tions, or consortia of such organizations, to

10 support before and after school programs and

11 activities.

12 ‘‘(D) ADMINISTRATIVE COSTS.—Of the

13 amount received under paragraph (1), a local

14 educational agency may use not more than 1

15 percent for the administrative costs of carrying

16 out its responsibilities under this part.

17 ‘‘(E) OBJECTIVE DATA.—In determining

18 which local educational agencies have the great19 est need for additional funds, a State shall con20 sider objective data such as—

21 ‘‘(i) low student performance on State

22 academic assessments;

23 ‘‘(ii) high rates of drug use among

24 youth;
669

•HR 1 IH

1 ‘‘(iii) high rates of violence among

2 youth;

3 ‘‘(iv) a high need for before and after

4 school activities among youth;

5 ‘‘(v) local fiscal capacity to fund drug

6 and violence prevention activities and pro7 grams or before and after school activities

8 without Federal assistance; and

9 ‘‘(vi) a high degree of geographically

10 rural isolation.

11 ‘‘(F) GEOGRAPHIC DIVERSITY.—The dis12 tribution of funds shall reflect the geographical

13 diversity of local educational agencies in the

14 State.

15 ‘‘(2) RETURN OF FUNDS TO STATE; REALLOCA16 TION.—

17 ‘‘(A) RETURN.—Except as provided in

18 subparagraph (B), upon the expiration of the 1-

19 year period beginning on the date that a local

20 educational agency receives its allocation—

21 ‘‘(i) such agency shall return to the

22 State any funds from such allocation that

23 remain unobligated; and

24 ‘‘(ii) the State shall reallocate any

25 such amount to local educational agencies
670

•HR 1 IH

1 that have submitted plans for using such

2 amount for programs or activities on a

3 timely basis.

4 ‘‘(B) CARRYOVER.—In any fiscal year, a

5 local educational agency, may retain for obliga6 tion in the succeeding fiscal year—

7 ‘‘(i) an amount equal to not more

8 than 25 percent of the allocation it re9 ceived under this title for such fiscal year;

10 or

11 ‘‘(ii) upon a demonstration of good

12 cause by such agency or consortium and

13 approval by the State, an amount that ex14 ceeds 25 percent of such allocation.

15 ‘‘SEC. 5113. STATE APPLICATION.

16 ‘‘(a) IN GENERAL.—In order to receive an allotment

17 under section 5111 for any fiscal year, a State shall sub18 mit to the Secretary, at such time as the Secretary may

19 require, an application that—

20 ‘‘(1) describes the activities to be funded under

21 sections 5112(a)(3) and 5112(b)(2);

22 ‘‘(2) describes how activities funded under this

23 part will support State academic achievement goals

24 in accordance with section 1111;
671

•HR 1 IH

1 ‘‘(3) describes how funds under this part will be

2 coordinated with programs under this Act, and other

3 programs, as appropriate, in accordance with the

4 provisions of section 8306;

5 ‘‘(4) provides an assurance that the application

6 was developed in consultation and coordination with

7 appropriate State officials and others, including the

8 chief executive officer, the chief State school officer,

9 the head of the State alcohol and drug abuse agency,

10 the heads of the State health and mental health

11 agencies, the head of the State criminal justice plan12 ning agency, the head of the State child welfare

13 agency, the head of the State board of education, or

14 their designees, and representatives of parents, stu15 dents, and community-based organizations, including

16 religious organizations;

17 ‘‘(5) provides an assurance that the State will

18 cooperate with, and assist, the Secretary in con19 ducting data collection as required by section 5115;

20 ‘‘(6) provides an assurance that the local edu21 cational agencies in the State will comply with the

22 provisions of section 8503 pertaining to the partici23 pation of private school children and teachers in the

24 programs and activities under this part;
672

•HR 1 IH

1 ‘‘(7) describes the results of the State’s needs

2 assessment for drug and violence prevention pro3 grams and before and after school activities, which

4 shall be based on the results of on-going State eval5 uation activities;

6 ‘‘(8)(A) provides a statement of the State’s per7 formance measures for drug and violence prevention

8 that shall be developed in consultation between the

9 State and local officials and that consist of—

10 ‘‘(i) performance indicators for drug and

11 violence prevention; and

12 ‘‘(ii) levels of performance for each per13 formance indicator;

14 ‘‘(B) a description of the procedures the State

15 will use for assessing and publicly reporting progress

16 toward meeting those performance measures; and

17 ‘‘(C) a plan for monitoring the implementation

18 of, and providing technical assistance regarding, the

19 activities and programs conducted by local edu20 cational agencies under this part.

21 ‘‘(b) GENERAL APPROVAL.—A State application sub22 mitted pursuant to subsection (a) shall be deemed to be

23 approved by the Secretary unless the Secretary makes a

24 written determination, prior to the expiration of the 90-

25 day period beginning on the date that the Secretary re-
673

•HR 1 IH

1 ceives the application, that the application is in violation

2 of this part.

3 ‘‘(c) DISAPPROVAL.—The Secretary shall not finally

4 disapprove a State application, except after giving the

5 State notice and opportunity for a hearing.

6 ‘‘SEC. 5114. LOCAL EDUCATIONAL AGENCY APPLICATION.

7 ‘‘(a) IN GENERAL.—In order to be eligible to receive

8 a distribution under section 5112(c) for any fiscal year,

9 a local educational agency shall submit, at such time as

10 the State requires, an application to the State. Such an

11 application shall be amended, as necessary, to reflect

12 changes in the activities and programs of the local edu13 cational agency.

14 ‘‘(b) DEVELOPMENT.—

15 ‘‘(1) CONSULTATION.—

16 ‘‘(A) IN GENERAL.—A local educational

17 agency shall develop its application through

18 timely and meaningful consultation with State

19 and local government representatives and com20 munity organizations, including religious orga21 nizations, with relevant expertise and interest in

22 drug and violence prevention and before and

23 after school activities, school personnel, stu24 dents, and parents.
674

•HR 1 IH

1 ‘‘(B) CONTINUED CONSULTATION.—On an

2 ongoing basis, the local educational agency shall

3 consult with such representatives and organiza4 tions in order to seek advice regarding how best

5 to coordinate such agency’s activities under this

6 part with other related strategies, programs,

7 and activities being conducted in the commu8 nity.

9 ‘‘(2) DESIGN AND DEVELOPMENT.—To ensure

10 timely and meaningful consultation, a local edu11 cational agency at the initial stages of design and

12 development of a program or activity shall consult,

13 in accordance with subsection (c), with appropriate

14 entities and persons on issues regarding the design

15 and development of the program or activity, includ16 ing efforts to meet the principles of effectiveness de17 scribed in section 5115(a).

18 ‘‘(c) CONTENTS OF APPLICATIONS.—An application

19 submitted by a local educational agency under this section

20 shall contain—

21 ‘‘(1) an assurance that the activities or pro22 grams to be funded support State academic achieve23 ment goals in accordance with section 1111;

24 ‘‘(2) in the case of drug and violence prevention

25 activities, a detailed explanation of the local edu-
675

•HR 1 IH

1 cational agency’s comprehensive plan for drug and

2 violence prevention, which shall include a description

3 of—

4 ‘‘(A) how the plan will be coordinated with

5 programs under this Act, other Federal, State,

6 and local programs for drug and violence pre7 vention, and before and after school activities,

8 as appropriate, in accordance with the provi9 sions of section 8306;

10 ‘‘(B) the local educational agency’s per11 formance measures for drug and violence pre12 vention, that shall consist of—

13 ‘‘(i) performance indicators for drug

14 and violence prevention; and

15 ‘‘(ii) levels of performance for each

16 performance indicator;

17 ‘‘(C) how such agency will assess and pub18 licly report progress toward attaining its per19 formance measures;

20 ‘‘(D) the drug and violence prevention ac21 tivity or program to be funded, including how

22 the activity or program will meet the principles

23 of effectiveness described in section 5115(a),

24 and the means of evaluating such activity or

25 program;
676

•HR 1 IH

1 ‘‘(3) in the case of before and after school

2 activities—

3 ‘‘(A) a description of the activity to be

4 funded;

5 ‘‘(B) a description of how the activity is

6 expected to improve student academic perform7 ance or contribute to drug and violence preven8 tion;

9 ‘‘(C) a description of how the activity will

10 meet the principles of effectiveness described in

11 section 5115(a); and

12 ‘‘(D) a description of the partnership with

13 a community-based organization, a religious or14 ganization, and another public entity or private

15 organization, if appropriate.

16 ‘‘(4) a certification that a meaningful assess17 ment has been conducted to determine community

18 needs, available resources in the private sector, and

19 capacity in the private sector, the findings of such

20 assessments, and a description of the mechanisms

21 used to provide effective notice to the community of

22 an intention to submit an application under this

23 title;

24 ‘‘(5) an assurance that drug prevention pro25 grams supported under this part convey a clear and
677

•HR 1 IH

1 consistent message that the use of drugs is wrong

2 and harmful; and

3 ‘‘(6) such other information and assurances as

4 the State may reasonably require.

5 ‘‘(d) PEER REVIEW.—

6 ‘‘(1) IN GENERAL.—In reviewing local applica7 tions under this section, a State shall use a peer re8 view process or other methods of assuring the qual9 ity of such applications.

10 ‘‘(2) CONSIDERATIONS.—

11 (A) IN GENERAL.—In determining whether

12 to approve the application of a local educational

13 agency under this section, a State shall consider

14 the quality of the local educational agency’s

15 comprehensive plan, including the degree to

16 which the principles of effectiveness described

17 in section 5115(a) are met.

18 ‘‘(B) GENERAL APPROVAL.—A local edu19 cational agency’s application submitted to the

20 State under this subpart shall be deemed to be

21 approved by the State unless the State makes

22 a written determination, prior to the expiration

23 of the 90-day period beginning on the date that

24 the State receives the application, that the ap25 plication is in violation of this subpart.
678

•HR 1 IH

1 ‘‘(C) DISAPPROVAL.—The State shall not

2 finally disapprove a local educational agency ap3 plication, except after giving such agency notice

4 and an opportunity for a hearing.

5 ‘‘SEC. 5115. AUTHORIZED ACTIVITIES.

6 ‘‘(a) PRINCIPLES OF EFFECTIVENESS.—

7 ‘‘(1) IN GENERAL.—For a program or activity

8 developed pursuant to this part to meet the prin9 ciples of effectiveness, such program or activity

10 shall—

11 ‘‘(A) be based upon an assessment of ob12 jective data—

13 ‘‘(i) regarding the drug and violence

14 problems in the elementary and secondary

15 schools and communities to be served, in16 cluding an objective analysis of the current

17 conditions and consequences regarding

18 drug use and violence, including delin19 quency and serious discipline problems,

20 among students who attend such schools

21 (including private school students who par22 ticipate in the drug and violence prevention

23 program) that is based on ongoing local

24 assessment or evaluation activities; or
679

•HR 1 IH

1 ‘‘(ii) regarding the need for before

2 and after school programs and activities in

3 such schools and communities;

4 ‘‘(B) be based upon an established set of

5 performance measures aimed at ensuring that

6 all elementary and secondary schools and com7 munities served by the local educational agency

8 have a drug-free, safe, and orderly learning en9 vironment; and

10 ‘‘(C) be based upon scientifically based re11 search that provides evidence that the program

12 to be used will be effective.

13 ‘‘(2) PERIODIC EVALUATION.—The program or

14 activity shall undergo a periodic evaluation to assess

15 its progress toward achieving its goals and objec16 tives. The results shall be used to refine, improve,

17 and strengthen the program, and to refine the per18 formance measures. The results shall also be made

19 available to the public upon request, with public no20 tice of such availability provided.

21 ‘‘(3) WAIVER.—A local educational agency may

22 apply to the State for a waiver of the requirement

23 of paragraph (1)(C) to allow innovative activities or

24 programs that demonstrate substantial likelihood of

25 success.
680

•HR 1 IH

1 ‘‘(b) STATE ACTIVITIES.—

2 ‘‘(1) IN GENERAL.—A State shall use the funds

3 described in section 5112(b)(1), either directly, or

4 through grants and contracts, to plan, develop, and

5 implement capacity building, technical assistance,

6 accountability, program improvement services, and

7 coordination activities for local educational agencies,

8 community-based organizations, religious organiza9 tions, other public entities, and private organizations

10 that are designed to support the implementation of

11 programs and activities under this part.

12 ‘‘(2) DATA COLLECTION.—

13 ‘‘(A) IN GENERAL.—A State shall use the

14 funds described in section 5112(b)(2), either di15 rectly or through grants and contracts, to es16 tablish and implement a statewide system of

17 collecting data regarding crimes occurring on

18 school property.

19 ‘‘(B) STATISTICS.—Such data collection

20 shall include statistics concerning the occur21 rence on school property of the following crimi22 nal offenses and prohibited activities as re23 ported to school security authorities or local po24 lice agencies—

25 ‘‘(i) murder;
681

•HR 1 IH

1 ‘‘(ii) sex offenses, forcible or nonforc2 ible;

3 ‘‘(iii) robbery;

4 ‘‘(iv) aggravated assault;

5 ‘‘(v) burglary;

6 ‘‘(vi) manslaughter;

7 ‘‘(vii) arson; and

8 ‘‘(viii) arrests or persons referred for

9 school disciplinary action for liquor law

10 violations, drug-related offenses, and weap11 ons possessions.

12 ‘‘(C) COMPILATION OF STATISTICS.—The

13 statistics shall be compiled in accordance with

14 definitions of such crimes as determined in the

15 State criminal code, but shall not identify vic16 tims of crimes or persons accused of crimes.

17 ‘‘(D) REPORTING.—Such data and statis18 tics shall be reported to the public and shall be

19 reported on a school-by-school basis.

20 ‘‘(E) LIMITATION.—Notwithstanding sub21 part 3, nothing in this subsection shall be con22 strued to authorize the Secretary to require

23 particular policies, procedures, or practices with

24 respect to crimes on school property or school

25 security.
682

•HR 1 IH

1 ‘‘(3) SAFE SCHOOLS.—The State shall establish

2 and implement a statewide policy requiring that stu3 dents attending persistently dangerous public ele4 mentary and secondary schools, as determined by

5 the State, or who become a victim of a violent crimi6 nal offense, as defined by State law, while in or on

7 the grounds of a public elementary school or sec8 ondary school that the student attends, be allowed to

9 attend a safe public school, including a public char10 ter school, or a private school if no safe public school

11 or public charter school can accommodate the stu12 dent, in the same State as the unsafe public elemen13 tary or secondary school, and allowing payment of

14 reasonable transportation costs and tuition costs for

15 such students.

16 ‘‘(4) CODE OF CONDUCT—The State shall es17 tablish and implement a student code of conduct pol18 icy that clearly states responsibilities of students,

19 teachers, and administrators in maintaining a class20 room environment that allows a teacher to commu21 nicate effectively with all students in the class and

22 that allows all students in the class to learn.

23 ‘‘(c) LOCAL EDUCATIONAL AGENCY ACTIVITIES.—

24 ‘‘(1) PROGRAM REQUIREMENTS.—A local edu25 cational agency shall use funds described in section
683

•HR 1 IH

1 5112(c) to develop, implement, and evaluate com2 prehensive programs and activities, which are coordi3 nated with other school and community-based serv4 ices and programs, that shall—

5 ‘‘(A) support State academic achievement

6 goals in accordance with section 1111;

7 ‘‘(B) be consistent with the principles of

8 effectiveness described in subsection (a);

9 ‘‘(C) be designed to—

10 ‘‘(i) prevent or reduce drug use or vio11 lence, delinquency, serious discipline prob12 lems, and poor academic performance; and

13 ‘‘(ii) create a well disciplined environ14 ment conducive to learning, which includes

15 consultation between teachers, principals,

16 and other school personnel to identify early

17 warning signs of drug use and violence and

18 to provide behavioral interventions as part

19 of classroom management efforts; and

20 ‘‘(D) include activities to promote the in21 volvement of parents in the activity or program,

22 to promote coordination with community groups

23 and coalitions, including religious organizations,

24 and government agencies, and to distribute in-
684

•HR 1 IH

1 formation about the local educational agency’s

2 needs, goals, and programs under this part.

3 ‘‘(2) AUTHORIZED ACTIVITIES.—Each local

4 educational agency, or consortium of such agencies,

5 that receives a subgrant under section 5112(c) may

6 use such funds to carry out activities, such as—

7 ‘‘(A) developmentally appropriate drug and

8 violence prevention programs in both elemen9 tary and secondary schools that incorporate a

10 variety of prevention strategies and activities,

11 which may include—

12 ‘‘(i) teaching students that most peo13 ple do not use drugs;

14 ‘‘(ii) teaching students to recognize

15 social and peer pressure to use drugs and

16 the skills for resisting drug use;

17 ‘‘(iii) teaching students about the dan18 gers of emerging drugs;

19 ‘‘(iv) engaging students in the learn20 ing process;

21 ‘‘(v) incorporating activities in sec22 ondary schools that reinforce prevention

23 activities implemented in elementary

24 schools; and
685

•HR 1 IH

1 ‘‘(vi) involving families and commu2 nities in setting clear expectations against

3 drug use and enforcing consequences for

4 drug use;

5 ‘‘(B) before and after school activities that

6 advance student achievement, including—

7 ‘‘(i) remedial education activities and

8 academic enrichment learning programs,

9 including providing additional assistance to

10 students in order to allow them to improve

11 their academic achievement;

12 ‘‘(ii) drug and violence prevention ac13 tivities;

14 ‘‘(iii) math and science education ac15 tivities;

16 ‘‘(iv) arts and music education activi17 ties;

18 ‘‘(v) entrepreneurial education pro19 grams; and

20 ‘‘(vi) mentoring programs;

21 ‘‘(C) establishing or enhancing programs

22 or initiatives that improve academic achieve23 ment;

24 ‘‘(D) training and development of school

25 personnel and parents in youth drug and vio-
686

•HR 1 IH

1 lence prevention, including training in early

2 identification, intervention, and prevention of

3 threatening behavior;

4 ‘‘(E) law enforcement and security activi5 ties, including—

6 ‘‘(i) acquisition and installation of

7 metal detectors;

8 ‘‘(ii) hiring and training of security

9 personnel, that are related to youth drug

10 and violence prevention;

11 ‘‘(iii) reporting of criminal offenses on

12 school property;

13 ‘‘(iv) development of comprehensive

14 school security assessments;

15 ‘‘(F) counseling, mentoring, and referral

16 services, and other student assistance practices

17 and programs, including assistance provided by

18 qualified school based mental health services

19 personnel and the training of teachers by

20 school-based mental health service providers in

21 appropriate identification and intervention tech22 niques for disciplining and teaching students at

23 risk of violent behavior;

24 ‘‘(G) establishing and implementing a sys25 tem for transferring suspension and expulsion
687

•HR 1 IH

1 records by a local educational agency to any

2 public or private elementary or secondary

3 school;

4 ‘‘(H) allowing students attending a persist5 ently dangerous public elementary or secondary

6 school, as determined by the State, or who be7 come a victim of a violent criminal offense, as

8 defined by State law, while in or on the grounds

9 of a public elementary school or secondary

10 school that the student attends, to attend a safe

11 public school, including a public charter school,

12 or a private school if no safe public school or

13 safe public charter school can accommodate the

14 student, in the same State as the unsafe public

15 elementary and or secondary school, and allow16 ing payment of reasonable transportation costs

17 and tuition costs for such students;

18 ‘‘(I) the development and implementation

19 of character education and training programs

20 that reflect values, that take into account the

21 views of parents or guardians of the student for

22 whom the program is intended, which may in23 clude honesty, citizenship, courage, justice, re24 spect, personal responsibility, and trust25 worthiness;
688

•HR 1 IH

1 ‘‘(J) testing students for illegal drug use

2 or conducting student locker searches for illegal

3 drugs or drug paraphernalia;

4 ‘‘(K) emergency intervention services fol5 lowing traumatic crisis events, such as a shoot6 ing, major accident, or a drug-related incident,

7 that has disrupted the learning environment;

8 ‘‘(L) establishing and maintaining a school

9 violence hotline;

10 ‘‘(M) expanding and improving school11 based mental health services, including early

12 identification of drug use and violence, assess13 ment, and direct individual or group counseling

14 services provided to students, parents, and

15 school personnel by qualified school based men16 tal health services personnel;

17 ‘‘(N) alternative education programs or

18 services for students who have been expelled or

19 suspended from the regular educational set20 tings, including programs or services to assist

21 students to reenter the regular education set22 ting upon return from treatment or alternative

23 education programs; and
689

•HR 1 IH

1 ‘‘(O) the evaluation of any of the activities

2 authorized under this subsection and the collec3 tion of any data required by this part.

4 ‘‘(d) GOVERNORS’ ACTIVITIES.—A chief executive of5 ficer of a State shall use funds made available under sec6 tion 5112(a)(3) for competitive grants or contracts with

7 local educational agencies, community-based organiza8 tions, religious organizations, and other public entities and

9 private organizations to support drug and violence preven10 tion programs and activities and before and after school

11 activities in accordance with the activities described in

12 subsection (c).

13 ‘‘SEC. 5116. EVALUATION AND REPORTING.

14 ‘‘(a) DATA COLLECTION.—

15 ‘‘(1) IN GENERAL.—The National Center for

16 Education Statistics shall collect data to determine

17 the frequency, seriousness, and incidence of drug use

18 by youth in schools and communities in the States

19 using, if appropriate, data submitted by the States

20 pursuant to subsection (b).

21 ‘‘(2) REPORT.—The Secretary shall submit to

22 the Congress a report on the data collected under

23 this subsection.

24 ‘‘(b) STATE REPORT.—
690

•HR 1 IH

1 ‘‘(1) IN GENERAL.—Not later than October 1,

2 2004, and every third year thereafter, the chief exec3 utive officer of a State, in consultation with the

4 State educational agency, shall submit to the Sec5 retary a report on the implementation and effective6 ness of State and local programs under section

7 5115.

8 ‘‘(2) SPECIAL RULE.—The report required by

9 this subsection shall be—

10 ‘‘(A) based on the State’s ongoing evalua11 tion activities, and shall include data on the

12 prevalence of drug use and violence by youth in

13 schools and communities; and

14 ‘‘(B) made available to the public upon re15 quest, with public notice of such availability

16 provided.

17 ‘‘(c) LOCAL EDUCATIONAL AGENCY REPORT.—Each

18 local educational agency receiving funds under this part

19 shall submit to the State such information, and at such

20 intervals as the State reasonably requires to complete the

21 State report required by subsection (b), information on the

22 prevalence of drug use and violence by youth in the schools

23 and the community and the progress of the local edu24 cational agency toward meeting its performance measures.
691

•HR 1 IH

1 The report shall be made available to the public upon re2 quest, with public notice of such availability provided.

3 ‘‘Subpart 2—National Programs

4 ‘‘SEC. 5121. FEDERAL ACTIVITIES.

5 ‘‘(a) PROGRAM AUTHORIZED.—

6 ‘‘(1) IN GENERAL.—From funds made available

7 to carry out this part under section 5003(2), the

8 Secretary, in consultation with the Secretary of

9 Health and Human Services, the Director of the Of10 fice of National Drug Control Policy, the Chair of

11 the Ounce of Prevention Council, and the Attorney

12 General, shall evaluate the effectiveness of programs

13 and activities that prevent the illegal use of drugs

14 and violence by youth, that promote safety and dis15 cipline for students in elementary and secondary

16 schools, and that provide before and after school su17 pervision and enrichment, based on the needs re18 ported by States and local educational agencies.

19 ‘‘(2) COORDINATION.—The Secretary shall

20 carry out activities described in paragraph (1) di21 rectly, or through grants, contracts, or cooperative

22 agreements with public and private nonprofit and

23 for-profit organizations, including religious organiza24 tions, and individuals, or through agreements with
692

•HR 1 IH

1 other Federal agencies, and shall coordinate such ac2 tivities with other appropriate Federal activities.

3 ‘‘(3) PROGRAMS.—Activities described in para4 graph (1) may include—

5 ‘‘(A) demonstrations and rigorous scientif6 ically based evaluations of innovative ap7 proaches to drug and violence prevention and

8 before and after school activities based on needs

9 reported by State and local educational agen10 cies;

11 ‘‘(B) the provision of information on drug

12 abuse education and prevention to the Secretary

13 of Health and Human Services for dissemina14 tion by the clearinghouse for alcohol and drug

15 abuse information established under section

16 501(d)(16) of the Public Health Service Act;

17 and

18 ‘‘(C) continuing technical assistance to

19 chief executive officers, State agencies, and

20 local educational agencies to build capacity to

21 develop and implement high-quality, effective

22 programs consistent with the principles of effec23 tiveness.
693

•HR 1 IH

1 ‘‘(b) PEER REVIEW.—The Secretary shall use a peer

2 review process in reviewing applications for funds under

3 this section.

4 ‘‘Subpart 3—Gun Possession

5 ‘‘SEC. 5125. GUN-FREE SCHOOL REQUIREMENTS.

6 ‘‘(a) REQUIREMENTS.—

7 ‘‘(1) STATE LAW.—Each State receiving funds

8 under this Act shall have in effect a State law re9 quiring each local educational agency—

10 ‘‘(A) to expel from school for a period of

11 not less than one year a student who is deter12 mined to have brought a firearm to a school

13 under the jurisdiction of a local educational

14 agency in that State, except that such State law

15 shall allow the chief administering officer of

16 such local educational agency to modify such

17 expulsion requirement for a student on a case18 by-case basis; and

19 ‘‘(B) to have a policy requiring each ele20 mentary and secondary school to refer to the

21 criminal justice or juvenile delinquency system

22 any student who brings a firearm to school.

23 ‘‘(2) CONSTRUCTION.—Nothing in this part

24 shall be construed to prevent a State from allowing

25 a local educational agency that has expelled a stu-
694

•HR 1 IH

1 dent from such student’s regular school setting from

2 providing educational services to such student in an

3 alternative setting.

4 ‘‘(b) SPECIAL RULE.—The provisions of this section

5 shall be construed in a manner consistent with the Individ6 uals with Disabilities Education Act.

7 ‘‘(c) DEFINITIONS.—For the purpose of this part—

8 ‘‘(1) the term ‘firearm’ has the same meaning

9 given to such term under section 921(a)(3) of title

10 18, United States Code; and

11 ‘‘(2) the term ‘school’ does not include a home

12 school, regardless of whether a home school is treat13 ed as a private school under State law.

14 ‘‘Subpart 4—General Provisions

15 ‘‘SEC. 5131. DEFINITIONS.

16 ‘‘For the purposes of this part, the following terms

17 have the following meanings:

18 ‘‘(1) BEFORE AND AFTER SCHOOL ACTIVI19 TIES.—The term ‘before and after school activities’

20 means academic, recreational, and enrichment activi21 ties for school-age youth outside of the regular

22 school hours or school year.

23 ‘‘(2) CONTROLLED SUBSTANCE.—The term

24 ‘controlled substance’ means a drug or other sub25 stance identified under Schedule I, II, III, IV, or V
695

•HR 1 IH

1 in section 202(c) of the Controlled Substances Act

2 (21 U.S.C. 812(c)).

3 ‘‘(3) DRUG.—The term ‘drug’ includes con4 trolled substances; the illegal use of alcohol and to5 bacco; and the harmful, abusive, or addictive use of

6 substances, including inhalants and anabolic

7 steroids.

8 ‘‘(4) DRUG AND VIOLENCE PREVENTION.—The

9 term ‘drug and violence prevention’ means—

10 ‘‘(A) with respect to drugs, prevention,

11 early intervention, rehabilitation referral, or

12 education related to the illegal use of drugs;

13 and

14 ‘‘(B) with respect to violence, the pro15 motion of school safety, such that students and

16 school personnel are free from violent and dis17 ruptive acts, on school premises, going to and

18 from school, and at school-sponsored activities,

19 through the creation and maintenance of a

20 school environment that is free of weapons and

21 fosters individual responsibility and respect for

22 the rights of others.

23 ‘‘(5) NONPROFIT.—The term ‘nonprofit,’ as ap24 plied to a school, agency, organization, or institution

25 means a school, agency, organization, or institution
696

•HR 1 IH

1 owned and operated by one or more nonprofit cor2 porations or associations, no part of the net earnings

3 of which inures, or may lawfully inure, to the benefit

4 of any private shareholder or individual.

5 ‘‘(6) SCHOOL-AGED POPULATION.—The term

6 ‘school-aged population’ means the population aged

7 5 through 17, as determined by the Secretary on the

8 basis of the most recent satisfactory data available

9 from the Department of Commerce.

10 ‘‘(7) SCHOOL BASED MENTAL HEALTH SERV11 ICES PROVIDER.—The term ‘school based mental

12 health services provider’ includes a State licensed or

13 State certified school counselor, school psychologist,

14 school social worker, or other State licensed or cer15 tified mental health professional qualified under

16 State law to provide such services to children and

17 adolescents.

18 ‘‘(8) SCHOOL PERSONNEL.—The term ‘school

19 personnel’ includes teachers, principals, administra20 tors, guidance counselors, social workers, psycholo21 gists, nurses, librarians, and other support staff who

22 are employed by a school or who perform services for

23 the school on a contractual basis.
697

•HR 1 IH

1 ‘‘(9) STATE.—The term ‘State’ means each of

2 the 50 States, the District of Columbia, and the

3 Commonwealth of Puerto Rico.

4 ‘‘SEC. 5132. MESSAGE AND MATERIALS.

5 ‘‘(a) ‘WRONG AND HARMFUL’ MESSAGE.—Drug pre6 vention programs supported under this title shall convey

7 a clear and consistent message that the use of drugs is

8 wrong and harmful.

9 ‘‘(b) CURRICULUM.—The Secretary shall not pre10 scribe the use of specific curricula for programs supported

11 under this part.

12 ‘‘SEC. 5133. PARENTAL CONSENT.

13 ‘‘Upon receipt of written notification from the par14 ents or legal guardians of a student, the local educational

15 agency shall withdraw such student from any program or

16 activity funded under this title. The local educational

17 agency shall make reasonable efforts to inform parents or

18 legal guardians of the content of such programs or activi19 ties funded under this title, other than classroom instruc20 tion.

21 ‘‘SEC. 5134. PROHIBITED USES OF FUNDS.

22 ‘‘No funds under this part may be used for—

23 ‘‘(1) construction (except for minor remodeling

24 needed to accomplish the purposes of this part);
698

•HR 1 IH

1 ‘‘(2) medical services, drug treatment or reha2 bilitation, except for pupil services or referral to

3 treatment for students who are victims of, or wit4 nesses to, use of drugs or crime; and

5 ‘‘(3) activities or programs that discriminate

6 against or denigrate the religious or moral beliefs of

7 students who participate in such activities or pro8 grams or of the parents or legal guardians of such

9 students.

10 ‘‘SEC. 5135. CONTINUATION AWARDS.

11 ‘‘From funds made available under section 5003(2),

12 the Secretary is authorized to continue funding multi-year

13 grants awarded prior to fiscal year 2001 under part I of

14 title X, as such part was in effect on the day preceding

15 the date of the enactment of the No Child Left Behind

16 Act of 2001, or the Middle School Coordinator Initiative

17 (as described in title III of the Department of Education

18 Act, 2000, (as enacted into law by section 1004(a)(4) of

19 Public Law 106–113) and prior appropriations Acts, prior

20 to the date of the enactment of the No Child Left Behind

21 Act for the duration of the original grant period.

22 ‘‘SEC. 5136. SERVICES PROVIDED BY CHARITABLE, RELI23 GIOUS, OR PRIVATE ORGANIZATIONS.

24 ‘‘(a) IN GENERAL.—A State may administer and pro25 vide services under the programs and activities described
699

•HR 1 IH

1 in this part through grants and contracts with charitable,

2 religious, or private organizations.

3 ‘‘(b) RELIGIOUS ORGANIZATIONS.—The purpose of

4 this section is to allow States to provide grants to or to

5 contract with religious organizations on the same basis as

6 any other nongovernmental provider without impairing the

7 religious character of such organizations, and without di8 minishing the religious freedom of beneficiaries of assist9 ance funded under such program.

10 ‘‘(c) NONDISCRIMINATION AGAINST RELIGIOUS OR11 GANIZATIONS.—In the event a State exercises its authority

12 under subsection (a), religious organizations are eligible,

13 on the same basis as any other private organization, as

14 grant recipients or contractors, to provide assistance

15 under any program described in this part if the programs

16 sponsored by such religious organization are implemented

17 in a manner consistent with Article I of the Constitution.

18 Except as provided in subsection (i), neither the Federal

19 Government, a State, nor a local educational agency re20 ceiving funds under this part may discriminate against an

21 organization that is or applies to be a contractor to pro22 vide assistance on the basis that the organization has a

23 religious character.

24 ‘‘(d) RELIGIOUS CHARACTER AND FREEDOM.—
700

•HR 1 IH

1 ‘‘(1) RELIGIOUS ORGANIZATIONS.—A religious

2 organization that receives a grant or contract under

3 this part shall retain its religious character and con4 trol over the definition, development, practice, and

5 expression of its religious beliefs.

6 ‘‘(2) ADDITIONAL SAFEGUARDS.—Neither the

7 Federal Government, a State, nor local government

8 shall require a religious organization to—

9 ‘‘(A) alter its form of internal governance;

10 or

11 ‘‘(B) remove religious art, icons, scripture,

12 or other symbols;

13 in order to be eligible to receive a grant or contract

14 under this part.

15 ‘‘(e) EMPLOYMENT PRACTICES.—A religious organi16 zation’s exemption provided under section 702 of the Civil

17 Rights Act of 1964 (42 U.S.C. 2000e–1), regarding em18 ployment practices, shall not be affected by its participa19 tion in, or receipt of funds from, programs under this part.

20 ‘‘(f) NONDISCRIMINATION AGAINST BENE21 FICIARIES.—Except as otherwise provided in law, a reli22 gious organization shall not discriminate against an indi23 vidual in regard to rendering assistance funded under any

24 program described in this part on the basis of religion,
701

•HR 1 IH

1 a religious belief, or refusal to actively participate in a reli2 gious practice.

3 ‘‘(g) FISCAL ACCOUNTABILITY.—

4 ‘‘(1) IN GENERAL.—Except as provided in para5 graph (2), any religious organization receiving a

6 grant or contracting to provide assistance funded

7 under any program described in this title shall be

8 subject to the same regulations as other recipients

9 or contractors to account in accord with generally

10 accepted auditing principles for the use of such

11 funds provided under such programs.

12 ‘‘(2) LIMITED AUDIT.—Such organization shall

13 segregate government funds provided under such

14 program into a separate account. Only the Govern15 ment funds shall be subject to audit by the Govern16 ment.

17 ‘‘(h) LIMITATIONS ON USE OF FUNDS FOR CERTAIN

18 PURPOSES.—No funds provided directly to institutions or

19 organizations to provide services and administer programs

20 under this Act part shall be expended for sectarian wor21 ship, instruction, or proselytization.

22 ‘‘(i) PREEMPTION.—Nothing in this section shall be

23 construed to preempt any provision of a State constitution

24 or State statute that prohibits or restricts the expenditure

25 of State funds in or by religious organizations.
702

•HR 1 IH

1 ‘‘(j) PROTECTION FOR BENEFICIARIES.—A chari2 table, religious, or private organization shall not subject

3 a participant during a program assisted under this title

4 to sectarian worship, instruction, or proselytization.

5 ‘‘SEC. 5137. DISCIPLINE OF CHILDREN WITH DISABILITIES.

6 ‘‘(a) AUTHORITY OF SCHOOL PERSONNEL.—Each

7 State receiving funds under this Act shall require each

8 local educational agency to have in effect a policy under

9 which school personnel of such agency may discipline (in10 cluding expel or suspend) a child with a disability who—

11 ‘‘(1) carries or possesses a weapon to or at a

12 school, on school premises, or to or at a school func13 tion, under the jurisdiction of a State or a local edu14 cational agency,

15 ‘‘(2) knowingly possesses or uses illegal drugs

16 or sells or solicits the sale of a controlled substance

17 at a school, on school premises, or at a school func18 tion, under the jurisdiction of a State or a local edu19 cational agency, or

20 ‘‘(3) commits an aggravated assault or battery

21 (as defined under State or local law) at a school, on

22 school premises, or at a school function, under the

23 jurisdiction of a State or local educational agency, or
703

•HR 1 IH

1 in the same manner in which such personnel may dis2 cipline a child without a disability. Such personnel may

3 modify the disciplinary action on a case-by-case basis.

4 ‘‘(b) RULE OF CONSTRUCTION.—Nothing in sub5 section (a) shall be construed to prevent a child with a

6 disability who is disciplined pursuant to the authority pro7 vided under paragraphs (1) and (3) of subsection (a), from

8 asserting a defense that the possession or use of the illegal

9 drugs (or the sale or solicitation of the controlled sub10 stance) or the carrying or possession of the weapon was

11 unintentional or innocent.

12 ‘‘(c) FREE APPROPRIATE PUBLIC EDUCATION.—

13 ‘‘(1) CEASING TO PROVIDE EDUCATION.—Not14 withstanding any other provision of Federal law, a

15 child expelled or suspended under subsection (a)

16 shall not be entitled to continue educational services,

17 including a free appropriate public education, re18 quired under Federal law during the term of such

19 expulsion or suspension, if the State in which the

20 local educational agency responsible for providing

21 educational services to such child does not require a

22 child without a disability to receive educational serv23 ices after being expelled or suspended.

24 ‘‘(2) PROVIDING EDUCATION.—Notwithstanding

25 paragraph (1), the local educational agency respon-
704

•HR 1 IH

1 sible for providing educational services to a child

2 with a disability who is expelled or suspended under

3 paragraph (1) may choose to continue to provide

4 educational services or mental health services to

5 such child. If the local educational agency so chooses

6 to continue to provide the services—

7 ‘‘(A) nothing in any other provision of

8 Federal law shall require the local educational

9 agency to provide such child with any particular

10 level of service; and

11 ‘‘(B) the location where the local edu12 cational agency provides the services shall be

13 left to the discretion of the local educational

14 agency.

15 ‘‘(3) DEFINITIONS.—For purposes of this sub16 section:

17 ‘‘(A) CONTROLLED SUBSTANCE.—The

18 term ‘controlled substance’ shall have the same

19 meaning as the term is defined in section 5131.

20 ‘‘(B) ILLEGAL DRUG.—The term ‘illegal

21 drug’ means a controlled substance, but does

22 not include such a substance that is legally pos23 sessed or used under the supervision of a li24 censed health-care professional or that is legally

25 possessed or used under any other authority
705

•HR 1 IH

1 under the Controlled Substances Act or under

2 any other provision of Federal law.’’.

3 ‘‘(C) WEAPON.—The term ‘weapon’ has

4 the meaning given the term ‘dangerous weapon’

5 under subsection (g)(2) of section 930 of title

6 18, United States Code.

7 ‘‘PART B—ENHANCING EDUCATION THROUGH

8 TECHNOLOGY

9 ‘‘SEC. 5201. SHORT TITLE.

10 ‘‘This title may be cited as the ‘Enhancing Education

11 Through Technology Act of 2001’.

12 ‘‘SEC. 5202. PURPOSES.

13 ‘‘The purposes of this part are as follows:

14 ‘‘(1) To provide assistance to States and local15 ities for implementing innovative technology initia16 tives that lead to increased student academic

17 achievement and that may be evaluated for effective18 ness and replicated if successful.

19 ‘‘(2) To encourage the establishment or expan20 sion of initiatives, including those involving public21 private partnerships, designed to increase access to

22 technology, particularly in high-need local edu23 cational agencies.

24 ‘‘(3) To assist States and localities in the acqui25 sition, development, interconnection, implementation,
706

•HR 1 IH

1 improvement, and maintenance of an effective edu2 cational technology infrastructure.

3 ‘‘(4) To promote initiatives that provide school

4 principals, administrators, and teachers with the ca5 pacity to effectively utilize technology in ways which

6 integrate such technology with challenging State

7 content and student achievement standards, through

8 such means as high quality professional development

9 programs.

10 ‘‘(5) To enhance the ongoing professional devel11 opment of principals, administrators, and teachers

12 by providing constant access to updated research in

13 teaching and learning via electronic means.

14 ‘‘(6) To support the development of electronic

15 networks and other innovative methods, such as dis16 tance learning, of delivering challenging courses and

17 curricula for students who would otherwise not have

18 access to such courses and curricula, especially in

19 isolated regions.

20 ‘‘(7) To support the rigorous evaluation of pro21 grams funded under this part, especially the impact

22 of such initiatives on student academic performance,

23 and ensuring timely information on the results of

24 such evaluations are widely accessible through elec25 tronic means.
707

•HR 1 IH

1 ‘‘(8) To support local efforts for the use of

2 technology to promote parent and family involve3 ment in education and communication among par4 ents, teachers and students.

5 ‘‘SEC. 5203. AUTHORIZATION OF APPROPRIATIONS; FUND6 ING RULE.

7 ‘‘(a) IN GENERAL.—There are authorized to be ap8 propriated to carry out this part—

9 ‘‘(1) $872,000,000 for fiscal year 2002; and

10 ‘‘(2) such sums as may be necessary for each

11 of fiscal years 2003 through 2006.

12 ‘‘(b) ALLOCATION OF FUNDS BETWEEN NATIONAL

13 AND STATE AND LOCAL INITIATIVES.—Except as pro14 vided in subsection (c), the amount of funds made avail15 able under subsection (a) shall be allocated as follows:

16 ‘‘(1) Not less than 95 percent shall be made

17 available for State and local technology initiatives

18 under subpart 1.

19 ‘‘(2) Not more than 5 percent may be made

20 available for activities of the Secretary under sub21 part 2.

22 ‘‘SEC. 5204. DEFINITIONS.

23 ‘‘In this part:

24 ‘‘(1) The term ‘distance learning’ means the

25 transmission of educational or instructional pro-
708

•HR 1 IH

1 gramming to geographically dispersed individuals

2 and groups via telecommunications.

3 ‘‘(2) The term ‘eligible local entity’ means—

4 ‘‘(A) a high-need local educational agency;

5 or

6 ‘‘(B) an eligible local partnership.

7 ‘‘(3) The term ‘eligible local partnership’ means

8 a partnership that includes at least one high-need

9 local educational agency and at least one—

10 ‘‘(A) local educational agency that can

11 demonstrate that teachers in schools served by

12 that agency are using technology effectively in

13 their classrooms;

14 ‘‘(B) institution of higher education;

15 ‘‘(C) for-profit business or organization

16 that develops, designs, manufactures, or pro17 duces technology products or services, or has

18 substantial expertise in the application of tech19 nology;

20 ‘‘(D) public or private non-profit organiza21 tion with demonstrated experience in the appli22 cation of educational technology; or

23 ‘‘(E) local educational agency which has

24 the potential to become an exemplary model for

25 wide-scale adoption by other local educational
709

•HR 1 IH

1 agencies on how to effectively integrate tech2 nology and proven research-based teaching

3 practices which result in improvement in class4 room instruction in the core academic subject

5 areas, and the preparation of students to meet

6 challenging State content and student achieve7 ment standards.

8 ‘‘(4) The term ‘high-need local educational

9 agency’ means a local educational agency that—

10 ‘‘(A) is among the local educational agen11 cies in the State with the highest numbers or

12 percentages of children from families with in13 comes below the poverty line, as defined by the

14 Office of Management and Budget and revised

15 annually in accordance with section 673(2) of

16 the Community Services Block Grant Act (42

17 U.S.C. 9902(2));

18 ‘‘(B) includes one or more low-performing

19 schools; and

20 ‘‘(C) has a substantial need for assistance

21 in acquiring and using technology.
710

•HR 1 IH

1 ‘‘Subpart 1—State and Local Technology for Success

2 Grants

3 ‘‘SEC. 5211. DETERMINATION OF AMOUNT OF STATE ALLOT4 MENT.

5 ‘‘(a) IN GENERAL.—Except as otherwise provided in

6 this subpart, each State shall be eligible to receive a grant

7 under this subpart for a fiscal year in an allotment deter8 mined as follows:

9 ‘‘(1) 50 percent shall bear the same relationship

10 to the amount made available under section

11 5203(b)(1) for such year as the amount such state

12 received under part A for title I for such year bears

13 to the amount received for such year under such

14 part by all States.

15 ‘‘(2) 50 percent shall be determined on the

16 basis of the State’s relative population of individuals

17 age 5 through 17, as determined by the Secretary on

18 the basis of the most recent satisfactory data.

19 ‘‘(b) RESERVATION OF FUNDS FOR BUREAU OF IN20 DIAN AFFAIRS AND OUTLYING AREAS.—Of the amount

21 made available to carry out this subpart under section

22 5203(b)(1) for a fiscal year—

‘‘(1) the Secretary shall reserve 1 23 ⁄2 of 1 percent

24 for the Secretary of the Interior for programs under

25 this subpart for schools operated or funded by the

26 Bureau of Indian Affairs; and
711

•HR 1 IH

‘‘(2) the Secretary shall reserve 1 1 ⁄2 of 1 percent

2 to provide assistance to the outlying areas.

3 ‘‘(c) MINIMUM ALLOTMENT.—The amount of any

4 State’s allotment under subsection (a) for any fiscal year

may not be less than 1 5 ⁄2 of 1 percent of the amount made

6 available under section 5203(b)(1) for such year.

7 ‘‘(d) REALLOTMENT OF UNUSED FUNDS.—If any

8 State does not apply for an allotment under this subpart

9 for a fiscal year, the Secretary shall reallot the amount

10 of the State’s allotment to the remaining States in accord11 ance with this section.

12 ‘‘SEC. 5212. USE OF ALLOTMENT BY STATE.

13 ‘‘Of the amount provided to a State from its allot14 ment under section 5211—

15 ‘‘(1) the State may use not more than 5 percent

16 to carry out activities under section 5215; and

17 ‘‘(2) not less than 95 percent shall be distrib18 uted to local educational agencies by the State as

19 follows:

20 ‘‘(A) At least 80 percent shall be used for

21 activities described in section 5216, to be dis22 tributed through a formula developed by the

23 State which shall target funds to high-need

24 local educational agencies which have submitted

25 plans to the State under section 5214.
712

•HR 1 IH

1 ‘‘(B) Not more than 20 percent shall be

2 awarded through a State-determined competi3 tive process to eligible local entities which have

4 submitted plans to the State under section

5 5214, to be used to carry out activities con6 sistent with this subpart.

7 ‘‘SEC. 5213. STATE PLANS.

8 ‘‘(a) IN GENERAL.—To be eligible to receive a grant

9 under this subpart, a State shall submit a new or updated

10 statewide, long-range strategic educational technology

11 plan to the Secretary at such time, in such manner, and

12 containing such information as the Secretary may reason13 ably require.

14 ‘‘(b) CONTENTS.—Each State plan submitted under

15 this section shall include the following:

16 ‘‘(1) A description of how the State will use

17 funds provided under this subpart to improve the

18 academic achievement of all students and to improve

19 the capacity of all teachers to provide instruction in

20 the State, through the use of education technology.

21 ‘‘(2) A description of the State’s goals for using

22 advanced technology to improve student achievement

23 aligned to challenging State content and student

24 achievement standards, including a description of

25 how the State will take steps to ensure that all stu-
713

•HR 1 IH

1 dents in the State, particularly those residing in dis2 tricts served by high-need local educational agencies,

3 will have increased access to educational technology.

4 ‘‘(3) A description of the accountability meas5 ures the State will use for the evaluation of the ex6 tent to which education technology funded under

7 this subpart has been successfully integrated into

8 teaching strategies and school curriculum, has in9 creased the ability of teachers to teach, and has en10 abled students to meet challenging State content and

11 student achievement standards.

12 ‘‘(4) A description of how the State will encour13 age the development and utilization of innovative

14 strategies for the delivery of specialized or rigorous

15 academic courses and curricula through the use of

16 technology and distance learning, particularly for

17 those areas of the State which are isolated and

18 which would not otherwise have access to such

19 courses and curricula.

20 ‘‘(5) An assurance that financial assistance pro21 vided under this subpart shall supplement, not sup22 plant, State and local funds.

23 ‘‘(6) A description of how the State will ensure

24 that every teacher within a school funded under this
714

•HR 1 IH

1 subpart will be computer-literate and proficient (as

2 determined by the State) by 2006.

3 ‘‘(7) A description of how the State will ensure

4 that grants to eligible local applicants are of suffi5 cient size, scope, and quality to meet the purposes

6 of this part effectively.

7 ‘‘(c) DEEMED APPROVAL.—A State plan submitted

8 to the Secretary under this section shall be deemed to be

9 approved by the Secretary unless the Secretary makes a

10 written determination prior to the expiration of the 90-

11 day period which begins on the date the Secretary receives

12 the application that the plan is in violation of the provi13 sions of this subpart.

14 ‘‘(d) DISAPPROVAL.—The Secretary may issue a final

15 disapproval of a State’s application under this subpart

16 only after giving the State notice and an opportunity for

17 a hearing.

18 ‘‘(e) DISSEMINATION OF INFORMATION ON STATE

19 PLANS.—The Secretary shall make information on State

20 plans under this subpart widely available to schools and

21 the general public, including through dissemination on the

22 Internet, in a timely and user-friendly manner.

23 ‘‘SEC. 5214. LOCAL PLANS.

24 ‘‘(a) IN GENERAL.—An applicant seeking to receive

25 funds from a State under this subpart shall submit a new
715

•HR 1 IH

1 or updated long-range local strategic educational tech2 nology plan consistent with the objectives of the statewide

3 education technology plan described in section 5213(a) to

4 the State at such time, in such manner, and accompanied

5 by such information as the State may reasonably require.

6 ‘‘(b) CONTENTS OF LOCAL PLAN.—Each local plan

7 described in this section shall include the following:

8 ‘‘(1) A description of how the applicant will use

9 Federal funds provided under this subpart to im10 prove the academic achievement of all students and

11 to improve the capacity of all teachers to provide in12 struction through the use of education technology.

13 ‘‘(2) A description of the applicant’s specific

14 goals for using advanced technology to improve stu15 dent achievement aligned to challenging State con16 tent and student achievement standards, including a

17 description of how the applicant will take steps to

18 ensure that all students in the local educational area

19 (particularly those in high poverty and high-need

20 schools) have increased access to educational tech21 nology, and a description of how such technology will

22 be used to improve the academic achievement for

23 such students.

24 ‘‘(3) A description of how the applicant will

25 promote—
716

•HR 1 IH

1 ‘‘(A) the utilization of teaching strategies

2 and curricula, based upon scientifically based

3 research, which effectively integrate technology

4 into instruction, leading to improvements in

5 student academic achievement as measured by

6 challenging State content and student achieve7 ment standards; and

8 ‘‘(B) sustained and intensive, high quality

9 professional development, based upon scientif10 ically based research, which increases teacher

11 capacity to create improved learning environ12 ments through the integration of technology

13 into instruction through proven strategies and

14 improved content as described in subparagraph

15 (A).

16 ‘‘(4) A description of how the applicant will in17 tegrate technology across the curriculum and a time

18 line for such integration, including a description of

19 how the applicant will make effective use of new and

20 emerging technologies and teaching practices that

21 are linked to such emerging technologies to provide

22 challenging content and improved classroom instruc23 tion.

24 ‘‘(5) A description of how the applicant will co25 ordinate education technology activities funded
717

•HR 1 IH

1 under this subpart, including (but not limited to)

2 professional development, with any such activities

3 provided under other Federal, State, and local pro4 grams, including those authorized under title I, title

5 II, title IV, and (where applicable) the Individuals

6 with Disabilities Education Act (20 U.S.C. 1400 et

7 seq.) and the Carl D. Perkins Vocational and Tech8 nical Education Act of 1998 (20 U.S.C. 2301 et

9 seq.).

10 ‘‘(6) A description of the process the applicant

11 will use for the evaluation of the extent to which

12 funds provided under this subpart were effective in

13 integrating technology into school curriculum, in14 creasing the ability of teachers to teach, and ena15 bling students to meet challenging State content and

16 student achievement standards.

17 ‘‘(7) If requested by the State—

18 ‘‘(A) a description of how the applicant will

19 use funds provided under this subpart in a

20 manner which is consistent with any broad edu21 cation technology priorities which may be estab22 lished by the State consistent with this subpart;

23 and

24 ‘‘(B) an assurance that any technology ob25 tained with funds provided under this subpart
718

•HR 1 IH

1 will have compatibility and interconnectivity

2 with technology obtained with funds provided

3 previously under title III (as in effect the day

4 preceding the date of enactment of the No

5 Child Left Behind Act of 2001).

6 ‘‘(8) A description of the applicant’s Internet

7 filtering or blocking technology and related enforce8 ment policies.

9 ‘‘SEC. 5215. STATE ACTIVITIES.

10 ‘‘(a) IN GENERAL.—From funds made available

11 under section 5212(1), a State shall carry out activities

12 and assist local efforts to carry out the purposes of this

13 subpart, which may include the following activities:

14 ‘‘(1) Developing or assisting applicants in the

15 development and utilization of innovative strategies

16 to deliver rigorous academic programs through the

17 use of technology and distance learning, and pro18 viding other technical assistance to such applicants

19 throughout the State, with a priority to high-need

20 local educational agencies.

21 ‘‘(2) Establishing or supporting joint public and

22 private initiatives to provide interest-free or reduced

23 loans for the acquisition of educational technology

24 for high-need local educational agencies and stu25 dents attending schools within such districts.
719

•HR 1 IH

1 ‘‘(3) Assisting applicants in providing sustained

2 and intensive high-quality professional development

3 based upon scientifically based research in the inte4 gration of advanced technologies (including emerging

5 technologies) into curriculum and in using those

6 technologies to create new learning environments, in7 cluding training in the use of technology to—

8 ‘‘(A) access data and resources to develop

9 curricula and instructional materials;

10 ‘‘(B) enable teachers to use the Internet to

11 communicate with other teachers and to re12 trieve Internet-based learning resources; and

13 ‘‘(C) lead to improvements in classroom in14 struction in the core academic subject areas,

15 which effectively prepare students to meet chal16 lenging State content and student achievement

17 standards.

18 ‘‘(4) Assisting applicants in providing all stu19 dents (including students with disabilities and stu20 dents with limited English proficiency) with access

21 to educational technology.

22 ‘‘(5) Establishing or expanding access to tech23 nology in neighborhoods served by high-need local

24 educational agencies, with special emphasis for ac25 cess provided through technology centers in partner-
720

•HR 1 IH

1 ship with libraries and with the support of the pri2 vate sector.

3 ‘‘(6) Developing enhanced performance meas4 urement systems to determine the effectiveness of

5 education technology programs funded under this

6 subpart, especially in determining the extent to

7 which education technology funded under this sub8 part has been successfully integrated into teaching

9 strategies and school curriculum, has increased the

10 ability of teachers to teach, and has enabled stu11 dents to meet challenging State content and student

12 achievement standards.

13 ‘‘(b) LIMITATION ON ADMINISTRATIVE COSTS.—Of

14 the 5 percent of the State’s allotment under section 5211

15 which may be used to carry out activities under this sec16 tion, not more than 2 percent may be used by the State

17 for administrative costs.

18 ‘‘SEC. 5216. LOCAL ACTIVITIES.

19 ‘‘(a) PROFESSIONAL DEVELOPMENT.—A recipient of

20 funds made available under section 5212(2)(A) shall use

21 not less than 20 percent of such funds to provide sustained

22 and intensive high-quality professional development based

23 on scientifically based research in the integration of ad24 vanced technologies (including emerging technologies) into

25 curriculum and in using those technologies to create new
721

•HR 1 IH

1 learning environments, including training in the use of

2 technology to—

3 ‘‘(1) access data and resources to develop cur4 ricula and instructional materials;

5 ‘‘(2) enable teachers to use the Internet to com6 municate with other teachers and retrieve Internet7 based learning resources; and

8 ‘‘(3) lead to improvements in classroom instruc9 tion in the core academic subject areas, which effec10 tively prepare students to meet challenging State

11 content and student achievement standards.

12 ‘‘(b) WAIVER.—Subsection (a) does not apply to a re13 cipient of funds under section 5212(2)(A) who dem14 onstrates, to the satisfaction of the State, that such recipi15 ent already provides sustained and intensive high-quality

16 professional development based on scientifically based re17 search in the integration of technology (including emerg18 ing technologies) into the curriculum.

19 ‘‘(c) OTHER ACTIVITIES.—In addition to the activi20 ties described in subsection (a), a recipient of funds made

21 available under section 5212(2)(A) shall use such funds

22 to carry out other activities consistent with this subpart,

23 which may include the following:

24 ‘‘(1) Adapting or expanding existing and new

25 applications of technology to enable teachers to in-
722

•HR 1 IH

1 crease student academic achievement through the

2 use of teaching practices and advanced technologies

3 which are based upon scientifically based research

4 and are designed to prepare students to meet chal5 lenging State content and student achievement

6 standards, and for developing and utilizing innova7 tive strategies to deliver rigorous academic pro8 grams.

9 ‘‘(2) Developing, expanding, or acquiring edu10 cation technology as a means to improve the aca11 demic achievement of all students.

12 ‘‘(3) The establishment or expansion of initia13 tives, especially those involving public-private part14 nerships, designed to increase access to technology,

15 particularly for high-need local educational agencies.

16 ‘‘(4) Using technology to promote parent and

17 family involvement and support communications be18 tween parents, teachers, and students.

19 ‘‘(5) Acquiring filtering, blocking, or other tech20 nologies and activities which are designed to protect

21 students from harmful materials which may be

22 accessed on the Internet.

23 ‘‘(6) Using technology to collect, manage, and

24 analyze data to inform school improvement efforts.
723

•HR 1 IH

1 ‘‘(7) Implementing enhanced performance

2 measurement systems to determine the effectiveness

3 of education technology programs funded under this

4 subpart, especially in determining the extent to

5 which education technology funded under this sub6 part has been successfully integrated into teaching

7 strategies and school curriculum, has increased the

8 ability of teachers to teach, and has enabled stu9 dents to meet challenging State content and student

10 achievement standards.

11 ‘‘(8) Preparing one or more teachers in elemen12 tary, middle, and secondary schools as technology

13 leaders who are provided with the means to serve as

14 experts and train other teachers in the effective use

15 of technology.

16 ‘‘(9) Establishing or expanding access to tech17 nology in neighborhoods served by high-need local

18 educational agencies, with special emphasis for ac19 cess provided through technology centers in partner20 ship with libraries and with the support of the pri21 vate sector.
724

•HR 1 IH

1 ‘‘Subpart 2—National Technology Initiatives

2 ‘‘SEC. 5221. NATIONAL TECHNOLOGY INITIATIVES.

3 ‘‘(a) IN GENERAL.—Using funds made available

4 under section 5203(b)(2), the Secretary may carry out the

5 following initiatives:

6 ‘‘(1) The funding of programs built upon sci7 entifically based research, which utilize technology in

8 education, through the competitive awarding of

9 grants or contracts, pursuant to a peer review proc10 ess, to States, local educational agencies (including

11 eligible local entities), institutions of higher edu12 cation, and public and private or nonprofit or for13 profit agencies.

14 ‘‘(2) The provision of technical assistance to

15 States, local educational agencies, and other grant16 ees under this subpart (directly or through the com17 petitive award of grants or contracts) in order to as18 sist such States, local educational agencies, and

19 other grantees to achieve the purposes of this part

20 subpart.

21 ‘‘(b) STUDY OF USE OF TECHNOLOGY TO IMPROVE

22 ACADEMIC ACHIEVEMENT.—Using funds made available

23 under section 5203(b)(2), the Secretary shall conduct an

24 independent, long-term study utilizing scientifically based

25 research methods and control groups, on the effectiveness

26 of the uses of educational technology on improving student
725

•HR 1 IH

1 academic achievement, and shall include in the study an

2 identification of effective uses of educational technology

3 that have a measurable positive impact on student achieve4 ment.

5 ‘‘(c) PRIORITIES.—In funding initiatives under sub6 section (a), the Secretary shall place a priority on projects

7 which—

8 ‘‘(1) develop innovative models using electronic

9 networks or other forms of distance learning to pro10 vide challenging courses which are otherwise not

11 readily available to students in a particular school

12 district, particularly in rural areas; and

13 ‘‘(2) increase access to technology to those re14 siding in districts served by high-need local edu15 cational agencies.

16 ‘‘SEC. 5222. REQUIREMENTS FOR RECIPIENTS OF FUNDS.

17 ‘‘(a) APPLICATION.—In order to receive a grant or

18 contract under this subpart, an entity shall submit an ap19 plication to the Secretary (at such time and in such form

20 as the Secretary may require), and shall include in the

21 application—

22 ‘‘(1) a description of the project proposed to be

23 carried out with the grant or contract and how it

24 would carry out the purposes of this subpart; and
726

•HR 1 IH

1 ‘‘(2) a detailed plan for the independent evalua2 tion of the project built upon scientifically based re3 search principles to determine the impact on the

4 academic achievement of students served under such

5 project, as measured by challenging State content

6 and student achievement standards.

7 ‘‘(b) NON-FEDERAL SHARE.—

8 ‘‘(1) IN GENERAL.—Subject to paragraphs (2)

9 and (3), the Secretary may require any recipient of

10 a grant or contract under this subpart to share in

11 the cost of the activities assisted under such grant

12 or contract, which may be in the form of cash or in13 kind contributions fairly valued.

14 ‘‘(2) INCREASE.—The Secretary may increase

15 the non-Federal share required of a recipient of a

16 grant or contract under this subpart after the first

17 year such recipient receives funds under such grant

18 or contract.

19 ‘‘(3) MAXIMUM.—The non-Federal share re20 quired under this subsection may not exceed 50 per21 cent of the cost of the activities assisted under a

22 grant or contract under this subpart.

23 ‘‘(4) NOTICE.—The Secretary shall publish in

24 the Federal Register the non-Federal share required

25 under this subsection.
727

•HR 1 IH

1 ‘‘SEC. 5223. EVALUATION AND DISSEMINATION.

2 ‘‘(a) EVALUATION AUTHORITY.—In order to identify

3 effective uses of educational technology that have a meas4 urable positive impact on student achievement, the Sec5 retary shall—

6 ‘‘(1) develop tools and provide resources, includ7 ing technical assistance, for recipients of funds

8 under this subpart to effectively evaluate their activi9 ties; and

10 ‘‘(2) conduct independent evaluations of the ac11 tivities assisted under this subpart.

12 ‘‘(b) POST-GRANT EVALUATION INFORMATION AND

13 DISSEMINATION.—

14 ‘‘(1) IN GENERAL.—The Secretary shall make

15 information on each project funded with a grant or

16 contract under this subpart widely available to

17 schools and the general public, including through

18 dissemination on the Internet, in a timely and user19 friendly manner.

20 ‘‘(2) SPECIFIC INFORMATION REQUIRED.—The

21 information made available and disseminated under

22 paragraph (1) shall at a minimum include the fol23 lowing:

24 ‘‘(A) Upon the awarding of such a grant or

25 contract under this subpart, the identification

26 of the grant or contract recipient, the amount
728

•HR 1 IH

1 of the grant or contract, the stated goals of the

2 grant or contract, the methods by which the

3 grant or contract will be evaluated in meeting

4 such stated goals, and the timeline for meeting

5 such goals.

6 ‘‘(B) Not later than one year after the

7 awarding of such a grant or contract, informa8 tion on the progress of the grant or contract re9 cipient in carrying out the grant or contract, in10 cluding a detailed description of the use of the

11 funds provided, the extent to which the stated

12 goals have been reached, and the results (or

13 progress of) the evaluation of the project, meet14 ing the requirements of scientifically based re15 search, funded under the grant or contract.

16 ‘‘(C) Not later than two years after the

17 awarding of such a grant or contract (and up18 dated thereafter as appropriate), a follow-up to

19 the information described in subparagraph (B).

20 ‘‘PART C—CHARACTER EDUCATION

21 ‘‘SEC. 5301. CHARACTER EDUCATION PROGRAM.

22 ‘‘(a) PROGRAM AUTHORIZED.—

23 ‘‘(1) IN GENERAL.—After consultation with ex24 perts in the field of character education, the Sec25 retary may make grants to, or enter into contracts
729

•HR 1 IH

1 with, State educational agencies, local educational

2 agencies, public or private agencies or organizations

3 (including religious organizations), or consortia of

4 such agencies or organizations for the design and

5 implementation of character education programs

6 that—

7 ‘‘(A) can be integrated into State content

8 standards for the core academic subjects; and

9 ‘‘(B) can be carried out in conjunction

10 with other educational reform efforts.

11 ‘‘(2) DURATION.—Each grant or contract under

12 this section shall be made for a period not to exceed

13 5 years, of which the grant recipient may not use

14 more than 1 year for planning and program design.

15 ‘‘(b) CONTRACTS UNDER PROGRAM.—

16 ‘‘(1) EVALUATION.—Each recipient of assist17 ance under this section may contract with outside

18 sources, including institutions of higher education

19 and private and nonprofit organizations (including

20 religious organizations), for the purposes of—

21 ‘‘(A) evaluating the program for which the

22 assistance is made available;

23 ‘‘(B) measuring the integration of such

24 program into the curriculum and teaching
730

•HR 1 IH

1 methods of schools where the program is car2 ried out; and

3 ‘‘(C) measuring the success of such pro4 gram in fostering the elements of character se5 lected by the recipient under subsection (c)(1).

6 ‘‘(2) MATERIALS AND PROGRAM DEVELOP7 MENT.—Each recipient of assistance under this sec8 tion may contract with outside sources, including in9 stitutions of higher education and private and non10 profit organizations (including religious organiza11 tions), for assistance in—

12 ‘‘(A) developing curricula, materials, teach13 er training, and other activities related to char14 acter education; and

15 ‘‘(B) integrating character education into

16 the curriculum and teaching methods of schools

17 where the program is carried out.

18 ‘‘(c) ELEMENTS OF CHARACTER.—

19 ‘‘(1) SELECTION.—

20 ‘‘(A) IN GENERAL.—Each agency, organi21 zation, or consortium receiving assistance under

22 this section may select the elements of char23 acter that will be taught under the program for

24 which the assistance is made available.
731

•HR 1 IH

1 ‘‘(B) CONSIDERATION OF VIEWS.—In se2 lecting elements of character under paragraph

3 (1), the agency, organization, or consortium

4 shall consider the views of the parents or

5 guardians of the students to be taught under

6 the program.

7 ‘‘(2) EXAMPLE ELEMENTS.—Elements of char8 acter that may be selected under this subsection in9 clude each of the following:

10 ‘‘(A) Trustworthiness.

11 ‘‘(B) Respect.

12 ‘‘(C) Responsibility.

13 ‘‘(D) Fairness.

14 ‘‘(E) Caring.

15 ‘‘(F) Citizenship.

16 ‘‘(d) APPLICATION.—

17 ‘‘(1) IN GENERAL.—Each agency, organization,

18 or consortium seeking assistance under this section

19 shall submit an application to the Secretary at such

20 time and in such manner as the Secretary may re21 quire.

22 ‘‘(2) REQUIRED INFORMATION.—Each applica23 tion for assistance under this section shall include

24 information that—
732

•HR 1 IH

1 ‘‘(A) demonstrates that the program to be

2 assisted has clear goals and objectives that are

3 based on scientifically based research;

4 ‘‘(B) describes the activities that will be

5 carried out with the assistance and how such

6 activities will meet the goals and objectives de7 scribed in paragraph (1); and

8 ‘‘(C) describes how the program to be as9 sisted will be linked to other efforts to improve

10 educational achievement, including—

11 ‘‘(i) broader educational reforms that

12 are being instituted by the applicant or its

13 partners; and

14 ‘‘(ii) applicable State content stand15 ards for student achievement.

16 ‘‘(e) SELECTION OF RECIPIENTS.—

17 ‘‘(1) PEER REVIEW.—

18 ‘‘(A) IN GENERAL.—In selecting agencies,

19 organizations, or consortia to receive assistance

20 under this section from among the applicants

21 for such assistance, the Secretary shall use a

22 peer review process.

23 ‘‘(B) USE OF FUNDS.—The Secretary may

24 use funds appropriated under this section for
733

•HR 1 IH

1 the cost of carrying out peer reviews under this

2 paragraph.

3 ‘‘(2) SELECTION CRITERIA.—Each selection

4 under paragraph (1) shall be made on the basis of

5 the quality of the application submitted, taking into

6 consideration such factors as—

7 ‘‘(A) the extent of parental, student, and

8 community involvement in the program; and

9 ‘‘(B) the likelihood that the goals of the

10 program will be realistically achieved.

11 ‘‘(3) DIVERSITY OF PROGRAMS.—In making se12 lections under this subsection, the Secretary shall

13 ensure, to the extent practicable under paragraph

14 (2), that the programs assisted under this section—

15 ‘‘(A) are equitably distributed among the

16 geographic regions of the United States, and

17 among urban, suburban, and rural areas; and

18 ‘‘(B) serve schools with a high percentage

19 of students from economically disadvantaged

20 families and students from racial and ethnic

21 minority groups.

22 ‘‘(f) EVALUATIONS.—

23 ‘‘(1) IN GENERAL.—The Secretary may not

24 make assistance available to an agency, organiza25 tion, or consortium under this section unless the
734

•HR 1 IH

1 agency, organization, or consortium agrees to trans2 mit to the Secretary, not later than 5 years after re3 ceipt of the assistance, a report containing an eval4 uation of each program assisted.

5 ‘‘(2) ATTAINMENT OF GOALS AND OBJEC6 TIVES.—In conducting an evaluation referred to in

7 paragraph (1), the agency, organization, or consor8 tium receiving the assistance under this section shall

9 evaluate the degree to which the program for which

10 the assistance was made available attained the goals

11 and objectives set for the program in the application

12 for assistance submitted under subsection (d).

13 ‘‘(3) DISSEMINATION.—

14 ‘‘(A) IN GENERAL.—The Secretary shall

15 disseminate each evaluation received under this

16 subsection by making it publicly available upon

17 request.

18 ‘‘(B) PUBLIC NOTICE.—When the Sec19 retary receives an evaluation under this sub20 section, the Secretary shall provide public notice

21 that it is available.

22 ‘‘(g) MATCHING FUNDS.—As a condition of receipt

23 of assistance under this section, the Secretary may require

24 that each recipient provide matching funds from non-Fed25 eral sources.
735

•HR 1 IH

1 ‘‘SEC. 5302. AUTHORIZATION OF APPROPRIATIONS.

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

3 this part $25,000,000 for fiscal year 2002 and such sums

4 as may be necessary for each of fiscal years 2003 through

5 2006.’’.

6 TITLE VI—IMPACT AID

7 PROGRAM

8 SEC. 601. PAYMENTS UNDER SECTION 8002 WITH RESPECT

9 TO FISCAL YEARS IN WHICH INSUFFICIENT

10 FUNDS ARE APPROPRIATED.

11 (a) FOUNDATION PAYMENTS FOR PRE-1995 RECIPI12 ENTS.—Section 8002(h)(1) (20 U.S.C. 7702(h)(1)) is

13 amended—

14 (1) in subparagraph (A), by striking ‘‘and was

15 eligible to receive a payment under section 2 of the

16 Act of September 30, 1950’’ and inserting ‘‘and that

17 filed, or has been determined pursuant to statute to

18 have filed a timely application, and met, or has been

19 determined pursuant to statute to meet, the eligi20 bility requirements of section 2(a)(1)(C) of the Act

21 of September 30, 1950’’; and

22 (2) in subparagraph (B), by striking ‘‘(or if the

23 local educational agency was not eligible to receive a

24 payment under such section 2 for fiscal year 1994’’

25 and inserting ‘‘(or if the local educational agency did

26 not meet, or has not been determined pursuant to
736

•HR 1 IH

1 statute to meet, the eligibility requirements of sec2 tion 2(a)(1)(C) of the Act of September 30, 1950

3 for fiscal year 1994’’.

4 (b) PAYMENTS FOR 1995 RECIPIENTS.—Section

5 8002(h)(2) (20 U.S.C. 7702(h)(2)) is amended—

6 (1) in subparagraph (A), by adding at the end

7 before the period ‘‘, or whose application for fiscal

8 year 1995 was determined pursuant to statute to be

9 timely filed for purposes of payments for subsequent

10 fiscal years’’; and

11 (2) in subparagraph (B)(ii), by striking ‘‘for

12 each local educational agency that received a pay13 ment under this section for fiscal year 1995’’ and in14 serting ‘‘for each local educational agency described

15 in subparagraph (A)’’.

16 (c) REMAINING FUNDS.—Section 8002(h)(4)(B) (20

17 U.S.C. 7702(h)(4)(B)) is amended—

18 (1) by striking ‘‘(in the same manner as per19 centage shares are determined for local educational

20 agencies under paragraph (2)(B)(ii))’’ and inserting

21 ‘‘(by dividing the maximum amount that the agency

22 is eligible to receive under subsection (b) by the total

23 of the maximum amounts for all such agencies)’’;

24 and
737

•HR 1 IH

1 (2) by striking ‘‘, except that for the purpose of

2 calculating a local educational agency’s assessed

3 value of the Federal property’’ and inserting ‘‘, ex4 cept that, for purposes of calculating a local edu5 cational agency’s maximum amount under sub6 section (b)’’.

7 (d) APPLICATION FOR PAYMENT.—Notwithstanding

8 any other provision of law, the Secretary shall treat as

9 timely filed an application under section 8002 (20 U.S.C.

10 7702) from Academy School District 20, Colorado, for a

11 payment for fiscal year 1999, and shall process that appli12 cation from funds appropriated for that section for fiscal

13 year 2001.

14 SEC. 602. CALCULATION OF PAYMENT UNDER SECTION 8003

15 FOR SMALL LOCAL EDUCATIONAL AGENCIES.

16 Section 8003(b)(3)(B)(iv) (20 U.S.C.

17 7703(b)(3)(B)(iv)) is amended by inserting after ‘‘of the

18 State in which the agency is located’’ the following: ‘‘or

19 less than the average per pupil expenditure of all the

20 States’’.

21 SEC. 603. CONSTRUCTION.

22 (a) SCHOOL FACILITY MODERNIZATION GRANTS.—

23 (1) ELIGIBILITY REQUIREMENTS.—Section

24 8007(b)(2) (20 U.S.C. 7707(b)(2)) is amended—
738

•HR 1 IH

1 (A) in subparagraph (A), by striking ‘‘has

2 no capacity to issue bonds or is at such agen3 cy’s limit in bonded indebtedness’’ and inserting

4 ‘‘has no practical capacity to issue bonds, or

5 has minimal capacity to issue bonds and is at

6 such agency’s limit in bonded indebtedness’’;

7 and

8 (B) by adding at the end the following:

9 ‘‘For purposes of subparagraph (A), a local

10 educational agency has no practical capacity to issue

11 bonds if the total assessed valuation of property

12 available to the agency for taxation purposes is less

13 than $25,000,000 and has minimal capacity to issue

14 bonds if the total assessed valuation of property

15 available to the agency for taxation purposes is not

16 less than $25,000,000 but not more than

17 $50,000,000.’’.

18 (2) CONFORMING AMENDMENTS.—(A) Section

19 8007(b)(2) (20 U.S.C. 7707(b)(2)), as amended by

20 paragraph (1)), is further amended—

21 (i) in the matter preceding subparagraph

22 (A), by striking ‘‘A local educational agency’’

23 and inserting ‘‘(A) A local educational agency’’;

24 (ii) by redesignating the second subpara25 graph (A) as clause (i);
739

•HR 1 IH

1 (iii) by redesignating subparagraph (B) as

2 clause (ii) (and redesignating clauses (i) and

3 (ii) contained therein as subclauses (I) and (II),

4 respectively);

5 (iv) by striking ‘‘For purposes’’ and insert6 ing ‘‘(B) For purposes’’; and

7 (v) in subparagraph (B) (as redesignated

8 by clause (iv))—

9 (I) by striking ‘‘For purposes of sub10 paragraph (A)’’ and inserting ‘‘For pur11 poses of subparagraph (A)(i)’’;

12 (II) by striking ‘‘has no practical ca13 pacity’’ and inserting ‘‘(i) has no practical

14 capacity’’; and

15 (III) by striking ‘‘has minimal capac16 ity’’ and inserting ‘‘(ii) has minimal capac17 ity’’.

18 (B) Section 8007(b)(4)(C) of such Act (20

19 U.S.C. 7707(b)(4)(C)) is amended by striking ‘‘has

20 the authority’’ and inserting ‘‘has minimal capac21 ity’’.

22 (C) Section 8007(b)(6) of such Act (20 U.S.C.

23 7707(b)(6)) is amended in subparagraphs (A), (B),

24 (C)(i), and (D) by striking ‘‘paragraph (2)(B)(ii)’’
740

•HR 1 IH

1 each place it appears and inserting ‘‘paragraph

2 (2)(A)(ii)(II)’’.

3 (b) AUTHORIZATION OF APPROPRIATIONS.—Section

4 8014(e) (20 U.S.C. 7714(e)) is amended by striking ‘‘for

5 each of the three succeeding fiscal years’’ and inserting

6 ‘‘for fiscal year 2001, $62,000,000 for fiscal year 2002,

7 and such sums as may be necessary for each of the four

8 succeeding fiscal years’’.

9 SEC. 604. STATE CONSIDERATION OF PAYMENTS IN PRO10 VIDING STATE AID.

11 Section 8009(b)(1) (20 U.S.C. 7709(b)(1)) is amend12 ed by inserting after ‘‘section 8003(a)(2)(B)’’ the fol13 lowing: ‘‘and, with respect to a local educational agency

14 that receives a payment under section 8003(b)(2), the

15 amount in excess of the amount that the agency would

16 receive if the agency were deemed to be an agency eligible

17 to receive a payment under section 8003(b)(1) and not

18 section 8003(b)(2)’’.

19 SEC. 605. AUTHORIZATION OF APPROPRIATIONS.

20 Section 8014 (20 U.S.C. 7714) is amended by strik21 ing ‘‘three succeeding fiscal years’’ each place it appears

22 and inserting ‘‘six succeeding fiscal years’’.

23 SEC. 606. REDESIGNATION OF PROGRAM.

24 (a) REDESIGNATION.—(1) Title VIII (20 U.S.C.

25 7701 et seq.) is redesignated as title VI.
741

•HR 1 IH

1 (2) Sections 8001 through 8005 (20 U.S.C. 7701–

2 7705) are redesignated as sections 6001 through 6005,

3 respectively.

4 (3) Sections 8007 through 8014 (20 U.S.C. 7707–

5 7714) are redesignated as sections 6006 through 6013,

6 respectively.

7 (b) CONFORMING AMENDMENTS.—(1) Title VI (as

8 redesignated by subsection (a)) is amended by striking

9 ‘‘8002’’, ‘‘8003’’, ‘‘8004’’, ‘‘8005’’, ‘‘8008’’, ‘‘8009’’,

10 ‘‘8011’’, ‘‘8013’’, and ‘‘8014’’ each place such terms ap11 pear and inserting ‘‘6002’’, ‘‘6003’’, ‘‘6004’’, ‘‘6005’’,

12 ‘‘6007’’, ‘‘6008’’, ‘‘6010’’, ‘‘6012’’, and ‘‘6013’’, respec13 tively.

14 (2) Section 6005 (as redesignated by subsection (a))

15 is amended in the heading by striking ‘‘8002 AND 8003’’

16 and inserting ‘‘6002 AND 6003’’.

17 (3) Section 6009(c)(1) (as redesignated by subsection

18 (a)) is amended in the heading by striking ‘‘8003’’ and in19 serting ‘‘6003’’.

20 (c) SAVINGS PROVISION.—Funds appropriated for

21 title VIII of the Elementary and Secondary Education Act

22 of 1965 (as in effect on the day before the date of the

23 enactment of this Act) shall be available for use under title

24 VI of such Act, as added by this section.
742

•HR 1 IH

1 TITLE VII—ACCOUNTABILITY

2 SEC. 701. FLEXIBILITY AND ACCOUNTABILITY.

3 Title VII is amended to read as follows:

4 ‘‘TITLE VII—FLEXIBILITY AND

5 ACCOUNTABILITY

6 ‘‘PART A—STATE ACCOUNTABILITY FOR

7 IMPROVING ACADEMIC ACHIEVEMENT

8 ‘‘SEC. 7101. STATE FINANCIAL AWARDS.

9 ‘‘(a) IN GENERAL.—Beginning in the 2002–2003

10 school year, the Secretary shall make in accordance with

11 this section financial awards, to be known as ‘Achievement

12 in Education Awards’, to States that have made signifi13 cant progress in improving educational achievement.

14 ‘‘(b) CRITERIA OF PROGRESS.—For the purposes of

15 subsection (a), the Secretary shall judge progress using

16 each of the following criteria, giving the greatest weight

17 to the criterion described in paragraph (1):

18 ‘‘(1) The progress of the State’s students from

19 economically disadvantaged families and students

20 from racial and ethnic minority groups—

21 ‘‘(A) on the assessments administered by

22 the State under section 1111; and

23 ‘‘(B) beginning in the 2003–2004 school

24 year, on assessments of 4th and 8th grade

25 reading and mathematics under—
743

•HR 1 IH

1 ‘‘(i) the State assessments carried out

2 as part of the National Assessment of

3 Educational Progress under section 411 of

4 the National Education Statistics Act of

5 1994 (20 U.S.C. 9010); or

6 ‘‘(ii) an assessment selected by the

7 State that—

8 ‘‘(I) is administered annually;

9 ‘‘(II) yields high quality data

10 that are valid and reliable;

11 ‘‘(III) meets widely recognized

12 professional and technical standards;

13 ‘‘(IV) is developed by an entity

14 independent from each State and local

15 government agency in the State;

16 ‘‘(V) is not identical to the as17 sessment used to meet the State as18 sessment requirements under section

19 1111;

20 ‘‘(VI) provides results in such a

21 form that they may be expressed in

22 terms of achievement levels that are

23 consistent with the achievement levels

24 (basic, proficient, and advanced) set

25 forth in section 1111;
744

•HR 1 IH

1 ‘‘(VII) provides results in such a

2 form that they may be disaggregated,

3 at a minimum, according to income

4 level and major racial and ethnic

5 group; and

6 ‘‘(VIII) is administered to all stu7 dents or to a representative sample of

8 students in the 4th and 8th grades

9 statewide, with a sample size that is

10 sufficiently large to produce statis11 tically significant estimates of state12 wide student achievement.

13 ‘‘(2) The overall improvement in the achieve14 ment of all of the State’s students, as measured

15 by—

16 ‘‘(A) the assessments administered by the

17 State under section 1111; and

18 ‘‘(B) beginning in the 2003–2004 school

19 year, the assessments described in paragraph

20 (1)(B).

21 ‘‘(3) The progress of the State in improving the

22 English proficiency of students who enter school

23 with limited English proficiency.
745

•HR 1 IH

1 ‘‘(c) OTHER CONSIDERATIONS.—In judging a State’s

2 progress under subsection (a), the Secretary may also

3 consider—

4 ‘‘(1) the progress of the State in increasing the

5 percentage of students who graduate from secondary

6 schools; and

7 ‘‘(2) the progress of the State in increasing the

8 percentage of students who take advanced

9 coursework (such as Advanced Placement or Inter10 national Baccalaureate courses) and who pass the

11 exams associated with such coursework.

12 ‘‘(d) AMOUNT.—The Secretary shall determine the

13 amount of an award under subsection (a) based on—

14 ‘‘(1) the school-age population of the State;

15 ‘‘(2) the degree of progress shown by a State

16 with respect to the criteria set forth in subsections

17 (b) and (c); and

18 ‘‘(3) whether the State has entered into a per19 formance agreement with the Secretary under part

20 B.

21 ‘‘(e) USE OF FUNDS.—

22 ‘‘(1) IN GENERAL.—A State receiving a finan23 cial award under this section shall use the proceeds

24 of such award only to make financial awards to pub25 lic elementary and secondary schools in the State
746

•HR 1 IH

1 that have made the most significant progress with

2 respect to the criteria described in subsection (b).

3 ‘‘(2) USE BY SCHOOLS.—In consultation with

4 the school’s teachers, the principal of each elemen5 tary or secondary school that receives a financial

6 award from a State under this section may use the

7 proceeds of such award for any educational purpose

8 permitted under State law.

9 ‘‘(3) RESPONSIBLE STATE AGENCY.—The State

10 educational agency for each State shall be the agen11 cy responsible for making awards under this sub12 section.

13 ‘‘(f) PEER REVIEW.—In selecting States for awards

14 under subsection (a), the Secretary shall use a peer-review

15 process.

16 ‘‘(g) COSTS OF INDEPENDENT ASSESSMENTS.—

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

18 the Secretary shall make grants to States to offset

19 the costs of administering assessments administered

20 by the States to meet the requirements of

21 (b)(1)(B)(ii).

22 ‘‘(2) LIMITATIONS.—Grants made by the Sec23 retary in any year to a State under paragraph (1)—

24 ‘‘(A) may be awarded only to offset the

25 costs of a single administration of an assess-
747

•HR 1 IH

1 ment described in such paragraph in the State

2 for that year; and

3 ‘‘(B) may not exceed the costs of admin4 istering in the State for that year the State as5 sessments that would be carried out under the

6 National Assessment of Educational Progress

7 described in subsection (b)(1)(B).

8 ‘‘(3) ALLOCATION.—The Secretary may deter9 mine the appropriate methodology of allocating

10 grants to States under this subsection.

11 ‘‘SEC. 7102. STATE SANCTIONS.

12 ‘‘(a) FAILURE TO MAKE PROGRESS.—

13 ‘‘(1) LOSS OF ADMINISTRATIVE FUNDS.—The

14 Secretary shall reduce, by 30 percent, the amount of

15 funding that a State may reserve for State adminis16 tration under the State formula grant programs au17 thorized by this Act if the Secretary determines that,

18 for 2 consecutive years—

19 ‘‘(A) the State’s students from economi20 cally disadvantaged families and students from

21 racial and ethnic minority groups failed to

22 make adequate yearly progress on the assess23 ments administered by the State under section

24 1111; and
748

•HR 1 IH

1 ‘‘(B) the State’s students from economi2 cally disadvantaged families and students from

3 racial and ethnic minority groups failed to

4 make measurable progress in reading and

5 mathematics, as measured by the 4th and 8th

6 grade assessments described in subsection

7 (b)(1)(B).

8 ‘‘(2) FURTHER REDUCTIONS.—In each of the first 2

9 years after the years described in paragraph (1), the Sec10 retary may increase the reduction described in such para11 graph by any amount up to a total of an additional 45

12 percent.

13 ‘‘(b) OTHER FAILURES.—In addition to any action

14 taken under subsection (a)(1) or (a)(2), the Secretary

15 shall reduce, by 10 percent, the amount of funding that

16 a State may reserve for State administration under the

17 State formula grant programs authorized by this Act if

18 the Secretary determines that, for 2 consecutive years, the

19 State failed to make adequate yearly progress—

20 ‘‘(1) with respect to the achievement of children

21 with limited English proficiency under section

22 1111(b)(2)(C)(iii)(II)(dd); or

23 ‘‘(2) with respect to the acquisition of English

24 language proficiency by children with limited
749

•HR 1 IH

1 English proficiency under section

2 1111(b)(2)(C)(iii)(III).

3 ‘‘(c) USE OF FUNDS FOR IMPROVEMENT.—

4 ‘‘(1) IN GENERAL.—The Secretary shall require

5 that any funds reduced under this section be allo6 cated by the State to local educational agencies in

7 the State for school improvement purposes described

8 in section 1116.

9 ‘‘(2) TREATMENT OF FUNDS.—Funds described

10 in paragraph (1) shall not count toward the amounts

11 that are required to be reserved by a State for

12 school improvement under section 1003.

13 ‘‘SEC. 7103. DEVELOPMENT OF STATE STANDARDS AND AS14 SESSMENTS.

15 ‘‘(a) IN GENERAL.—The Secretary shall make finan16 cial awards to States to enable the States—

17 ‘‘(1) to pay the costs of the development of the

18 additional State assessments and standards required

19 by section 1111(b); and

20 ‘‘(2) if a State has developed the assessments

21 and standards referred to in paragraph (1), to ad22 minister such assessments or to carry out other ac23 tivities described in this title and other activities re24 lated to ensuring accountability for results in the

25 State’s schools and local educational agencies, such
750

•HR 1 IH

1 as developing content and achievement standards

2 and aligned assessments in other subjects not re3 quired by section 1111.

4 ‘‘(b) BONUSES.—The Secretary shall make a one5 time bonus payment to each State that completes the de6 velopment of the assessments described in subsection (a)

7 ahead of the deadline set forth in section 1111.

8 ‘‘SEC. 7104. AUTHORIZATION OF APPROPRIATIONS.

9 ‘‘(a) AWARDS AND BONUS PAYMENTS.—For the pur10 poses of making awards under section 7101 and bonus

11 payments under section 7103(b), there are authorized to

12 be appropriated $40,000,000 for fiscal year 2002 and

13 such sums as may be necessary for each of fiscal years

14 2003 through 2006.

15 ‘‘(b) GRANTS FOR INDEPENDENT ASSESSMENTS; AD16 MINISTRATION OF STATE ASSESSMENTS UNDER

17 NAEP.—For the purposes of making grants to offset the

18 costs of independent assessments under section 7101(g)

19 and for the purposes of administering the State assess20 ments carried out under the National Assessment of Edu21 cational Progress referred to in section 7101(b)(1)(B)(i),

22 there are authorized to be appropriated to the Secretary

23 $69,000,000 for fiscal year 2002 and such sums as may

24 be necessary for each of fiscal years 2003 through 2006.
751

•HR 1 IH

1 ‘‘(c) DEVELOPMENT AND ADMINISTRATION OF

2 STATE STANDARDS AND ASSESSMENTS.—For the pur3 poses of carrying out subsection 7103(a), there are au4 thorized to be appropriated $320,000,000 for fiscal year

5 2002 and such sums as may be necessary for each of the

6 fiscal years 2003 through 2005.

7 ‘‘PART B—PERFORMANCE AGREEMENTS

8 ‘‘SEC. 7201. SHORT TITLE.

9 This part may be cited as the ‘‘Academic Achieve10 ment for All Act’’ or ‘‘Straight A’s Act’’.

11 ‘‘SEC. 7202. PURPOSE.

12 ‘‘The purpose of this part is to create options for

13 States and communities—

14 ‘‘(1) to improve the academic achievement of all

15 students, and to focus the resources of the Federal

16 Government upon such achievement;

17 ‘‘(2) to improve teacher quality and subject

18 matter mastery, especially in mathematics, reading,

19 and science;

20 ‘‘(3) to empower parents and schools to effec21 tively address the needs of their children and stu22 dents;

23 ‘‘(4) to give States and communities maximum

24 freedom in determining how to boost academic

25 achievement and implement education reforms;
752

•HR 1 IH

1 ‘‘(5) to eliminate Federal barriers to imple2 menting effective State and local education pro3 grams;

4 ‘‘(6) to hold States and communities account5 able for boosting the academic achievement of all

6 students, especially disadvantaged children; and

7 ‘‘(7) to narrow achievement gaps between the

8 lowest and highest performing groups of students so

9 that no child is left behind.

10 ‘‘SEC. 7203. PERFORMANCE AGREEMENT.

11 ‘‘(a) AUTHORITY.—In accordance with this part, the

12 Secretary shall enter into performance agreements with

13 States under which, except as otherwise provided in this

14 part, States may consolidate and use funds under 7204.

15 ‘‘(b) REQUIRED TERMS OF PERFORMANCE AGREE16 MENT.—Each performance agreement entered into by the

17 Secretary under this part shall have each of the following

18 terms:

19 ‘‘(1) TERM.— The performance agreement shall

20 be for a term of 5 years.

21 ‘‘(2) APPLICATION OF PROGRAM REQUIRE22 MENTS.—The performance agreement shall provide

23 that no requirements of any program described in

24 section 7204(b) and included by the State in the
753

•HR 1 IH

1 scope of the agreement shall apply to the State, ex2 cept as otherwise provided in this part.

3 ‘‘(3) LIST OF PROGRAMS.—The performance

4 agreement shall list which of the programs described

5 in section 7204(b) are included in the scope of the

6 performance agreement.

7 ‘‘(4) USE OF FUNDS TO IMPROVE STUDENT

8 ACHIEVEMENT.— The performance agreement shall

9 contain a 5-year plan describing how the State in10 tends to combine and use the funds from programs

11 included in the scope of the performance agreement

12 to advance the education priorities of the State, im13 prove student achievement, and narrow achievement

14 gaps.

15 ‘‘(5) ACCOUNTABILITY SYSTEM REQUIRE16 MENTS.—If title I is included in the scope of the

17 performance agreement the agreement shall include

18 a certification that the State—

19 ‘‘(A) has developed and implemented the

20 challenging State content standards, chal21 lenging State student achievement standards,

22 and aligned assessments described in section

23 1111(b);
754

•HR 1 IH

1 ‘‘(B) has developed and implemented a sys2 tem to produce annual state report cards in ac3 cordance with section 1111(c)(1);

4 ‘‘(C) agrees to participate in the National

5 Assessment of Educational Progress (carried

6 out under section 411 of the National Edu7 cation Statistics Act of 1994 (20 U.S.C. 9010))

8 or some other assessment in accordance with

9 section 1111(c)(2); and

10 ‘‘(C) has developed and implemented a

11 statewide system for turning around low-per12 forming schools and holding its local edu13 cational agencies and schools accountable for

14 improving student achievement in accordance

15 with section 1116.

16 ‘‘(6) ACHIEVEMENT GOALS.—

17 ‘‘(A) STUDENT ACADEMIC ACHIEVE18 MENT.—

19 ‘‘(i) PART A OF TITLE I INCLUDED.—

20 If part A of title I is included in the scope

21 of the performance agreement, the agree22 ment shall require that the State establish

23 annual student achievement goals for the

24 term of the agreement—
755

•HR 1 IH

1 ‘‘(I) that are designed to meet

2 the adequate yearly progress require3 ments set forth in subparagraphs (B)

4 and (C) of section 1111(b)(2); and

5 ‘‘(II) include goals for improving

6 the achievement of all groups of stu7 dents that are sufficient to ensure

8 that student achievement gains exceed

9 that which is required to meet the re10 quirements of the State’s definition of

11 adequate yearly progress under sec12 tion 1111(b)(2)(B).

13 ‘‘(ii) PART A OF TITLE I NOT IN14 CLUDED.—If part A of title I is not in15 cluded in the scope of a performance

16 agreement, the agreement shall require the

17 State to establish academic achievement

18 goals for such other programs.

19 ‘‘(B) CONSISTENCY OF ACHIEVEMENT

20 MEASURES.—The performance agreement shall

21 require that the State maintain, at a minimum,

22 the same level of challenging State student

23 achievement standards and assessments

24 throughout the term of the performance agree25 ment.
756

•HR 1 IH

1 ‘‘(c) OPTIONAL TERMS.—At the option of the State,

2 the performance agreement entered into under this part

3 may require the State to establish and meet goals for any

4 additional indicators of achievement such as graduation,

5 dropout, or attendance rates.

6 ‘‘(d) APPROVAL OF PERFORMANCE AGREEMENT.—

7 ‘‘(1) IN GENERAL.—Not later than 60 days

8 after the receipt of a proposed performance agree9 ment submitted by a State, the Secretary shall ap10 prove the agreement or provide the State with a

11 written determination that the performance agree12 ment fails to satisfy the requirements of this part.

13 ‘‘(2) TREATMENT AS APPROVED.—Each per14 formance agreement for which the Secretary fails to

15 take the action required in paragraph (1) in the

16 time period described in such paragraph shall be

17 considered to be approved.

18 ‘‘(3) REQUIREMENT TO EXECUTE APPROVED

19 AGREEMENTS.—In accordance with this part, the

20 Secretary shall enter into each approved perform21 ance agreement approved under this subsection.

22 ‘‘(e) LIMITATIONS.—The Secretary may not enter

23 into a performance agreement with a State under this sec24 tion unless each of the following conditions has been met:
757

•HR 1 IH

1 ‘‘(1) LOCAL INPUT.—The State has provided

2 parents, teachers, schools, and school districts in the

3 State with notice and an opportunity to comment on

4 the proposed terms of the performance agreement in

5 accordance with State law.

6 ‘‘(2) FISCAL RESPONSIBILITIES.—The State

7 agrees to use fiscal control and fund accounting pro8 cedures that will ensure proper disbursement of, and

9 accounting for, Federal funds consolidated and used

10 under the performance agreement.

11 ‘‘(3) CIVIL RIGHTS.—The performance agree12 ment contains an assurance that the State will meet

13 the requirements of applicable Federal civil rights

14 laws in carrying out the agreement and in consoli15 dating and using the funds under the agreement.

16 ‘‘(4) PRIVATE SCHOOL PARTICIPATION.—The

17 State agrees that in consolidating and using funds

18 under the performance agreement—

19 ‘‘(A) the State will provide for the equi20 table participation of students and professional

21 staff in private schools; and

22 ‘‘(B) that sections 8504, 8505, and 8506

23 shall apply to all services and assistance pro24 vided with such funds in the same manner as
758

•HR 1 IH

1 such sections apply to services and assistance

2 provided in accordance with section 8503.

3 ‘‘(5) STATE FINANCIAL PARTICIPATION.—The

4 State agrees that it will not reduce the level of

5 spending of State funds for elementary and sec6 ondary education during the term of the perform7 ance agreement.

8 ‘‘(6) ANNUAL REPORTS.—The State agrees that

9 not later than 1 year after the date on which the

10 Secretary and the State entered into the perform11 ance agreement, and annually thereafter during the

12 term of the agreement, the State shall disseminate

13 widely to parents and the general public, transmit to

14 the Secretary, distribute to print and broadcast

15 media, and post on the Internet, a report that

16 includes—

17 ‘‘(A) student achievement data as de18 scribed in section 1111(b)(2); and

19 ‘‘(B) a detailed description of how the

20 State used the funds consolidated under the

21 agreement to improve student academic

22 achievement and reduce achievement gaps.

23 ‘‘(f) AMENDMENT TO PERFORMANCE AGREEMENT.—

24 ‘‘(1) IN GENERAL.—In each of the following

25 circumstances, the Secretary shall agree to amend a
759

•HR 1 IH

1 performance agreement entered into with a State

2 under this part:

3 ‘‘(A) REDUCTION IN SCOPE OF PERFORM4 ANCE AGREEMENT.—Not later than 1 year

5 after entering into the performance agreement,

6 a State seeks to amend the agreement to re7 move from the scope any program described in

8 section 7204(b).

9 ‘‘(B) EXPANSION OF SCOPE OF PERFORM10 ANCE AGREEMENT.—Not later than 1 year

11 after entering into the performance agreement,

12 a State seeks to amend the agreement to in13 clude in its scope any additional program de14 scribed in section 7204(b) or any additional

15 achievement indicators for which the State will

16 be held accountable.

17 ‘‘(2) APPROVAL OF AMENDMENT.—

18 ‘‘(1) IN GENERAL.—Not later than 60

19 days after the receipt of a proposed perform20 ance agreement amendment submitted by a

21 State, the Secretary shall approve the amend22 ment or provide the State with a written deter23 mination that the amendment fails to satisfy

24 the requirements of this part.
760

•HR 1 IH

1 ‘‘(B) TREATMENT AS APPROVED.—Each

2 amendment for which the Secretary fails to

3 take the action required in subparagraph (A) in

4 the time period described in such subparagraph

5 shall be considered to be approved.

6 ‘‘(3) TREATMENT OF PROGRAM FUNDS WITH7 DRAWN FROM AGREEMENT.—Beginning on the effec8 tive date of an amendment executed under para9 graph (1)(A), each program requirement of each

10 program removed from the scope of a performance

11 agreement shall apply to the State’s use of funds

12 made available under the program.

13 ‘‘SEC. 7204. CONSOLIDATION AND USE OF FUNDS.

14 ‘‘(a) IN GENERAL.—

15 ‘‘(1) AUTHORITY.—Under a performance agree16 ment entered into under this part, a State may con17 solidate, subject to subsection (c), Federal funds

18 made available to the State under the provisions list19 ed in subsection (b) and use such funds for any ele20 mentary and secondary educational purpose per21 mitted under the law of the State.

22 ‘‘(2) PROGRAM REQUIREMENTS.—Except as

23 otherwise provided in this part, a State may use

24 funds under paragraph (1) notwithstanding the pro-
761

•HR 1 IH

1 gram requirements of the program under which the

2 funds were made available to the State.

3 ‘‘(b) ELIGIBLE PROGRAMS.—Funds made available

4 under programs under each of the following provisions of

5 this Act may be consolidated and used under subsection

6 (a):

7 ‘‘(1) Parts A, B, C, or D of title I.

8 ‘‘(2) Title II.

9 ‘‘(3) Part A of title III.

10 ‘‘(4) Part A of title IV.

11 ‘‘(5) Parts A or B of title V.

12 ‘‘SEC. 7205. WITHIN-STATE DISTRIBUTION OF FUNDS.

13 ‘‘(a) AUTHORITY.—

14 ‘‘(1) IN GENERAL.—The distribution of funds

15 consolidated under a performance agreement entered

16 into under this part by a State to local educational

17 agencies in the State shall be determined by the

18 Governor of the State and the State legislature.

19 ‘‘(2) DISTRIBUTION BY ALTERNATIVE AUTHOR20 ITY.—In each State in which the State constitution

21 or State law designates an individual, entity, or

22 agency other than the Governor or State Legislature

23 as the party responsible for public elementary and

24 secondary education policy, the distribution of funds

25 under subsection (a) shall be determined by such in-
762

•HR 1 IH

1 dividual, entity, or agency, in consultation with the

2 Governor and State Legislature.

3 ‘‘(3) RULE OF CONSTRUCTION.—Nothing in

4 this subsection shall be construed to supersede or

5 modify any provision of a State constitution or State

6 law.

7 ‘‘(b) LOCAL INPUT.—In accordance with State law,

8 each State shall provide parents, teachers, and local

9 schools and school districts notice and opportunity to com10 ment on the proposed distribution of funds under this sec11 tion.

12 ‘‘(c) AMOUNT OF PART A TITLE I FUNDS.—

13 ‘‘(1) IN GENERAL.—The Secretary may not

14 enter into a performance agreement with a State

15 under this part if the agreement includes in its scope

16 part A of title I and the agreement does not provide

17 an assurance that each local educational agency will

18 receive under the performance agreement, subject to

19 Federal appropriations, an amount equal to or

20 greater than the amount such agency received under

21 part A of title I in the fiscal year preceding the fis22 cal year in which the performance agreement is en23 tered into.

24 ‘‘(2) PROPORTIONATE REDUCTION.—If the

25 amount made available to the State from the Sec-
763

•HR 1 IH

1 retary for a fiscal year is insufficient to pay to each

2 local educational agency the amount made available

3 under part A of title I to such agency for the pre4 ceding fiscal year, the State shall reduce the amount

5 each local educational agency receives by a uniform

6 percentage.

7 ‘‘SEC. 7206. LOCAL PARTICIPATION.

8 ‘‘(a) IN GENERAL.—If a State chooses not to enter

9 into a performance agreement with the Secretary under

10 this part, any local educational agency in such State may

11 enter in accordance with this section into a performance

12 agreement with the Secretary in accordance with this sec13 tion.

14 ‘‘(b) TERMS OF AGREEMENT.—

15 ‘‘(1) IN GENERAL.—Except as otherwise pro16 vided in this section, each requirement and limita17 tion under this part that is applicable to a State

18 with respect to a performance agreement under this

19 part shall be applicable to a local educational agency

20 with respect to a performance agreement under this

21 section, as appropriate.

22 ‘‘(2) EXCEPTIONS.—Each of the following pro23 visions shall not apply to a local educational agency

24 with respect to a performance agreement under this

25 section:
764

•HR 1 IH

1 ‘‘(A) The provisions relating to distribution

2 of funds under section 7205.

3 ‘‘(B) The provisions limiting State use of

4 funds for administrative purposes under sub5 sections (a) and (b) of section 7207.

6 ‘‘(b) NO STATE OBJECTION.—The Secretary may not

7 enter into a performance agreement with a local edu8 cational agency under this section unless the agency pro9 vides the Secretary with written documentation that the

10 State in which such agency is located has no objection to

11 the agency’s proposed performance agreement.

12 ‘‘SEC. 7207. LIMITATIONS ON ADMINISTRATIVE EXPENDI13 TURES.

14 ‘‘(a) STATES CONSOLIDATING FUNDS UNDER PART

15 A OF TITLE I.—Each State that includes part A of title

16 I in the scope of a performance agreement entered into

17 under this part may use for administrative purposes not

18 more than 1 percent of the total amount of funds allocated

19 to the State under the programs included in the scope of

20 the performance agreement.

21 ‘‘(b) STATES NOT CONSOLIDATING FUNDS UNDER

22 PART A OF TITLE I.—Each State that does not include

23 part A of title I in the scope of a performance agreement

24 entered into under this part may use for administrative

25 purposes not more than 3 percent of the total amount of
765

•HR 1 IH

1 funds allocated to the State under the programs included

2 in the scope of the performance agreement.

3 ‘‘(c) LOCAL EDUCATIONAL AGENCY.—A local edu4 cational agency that has entered into a performance agree5 ment with the Secretary under section 7206 may use for

6 administrative purposes not more than 4 percent of the

7 total amount of funds allocated to the agency under the

8 programs included in the scope of the performance agree9 ment.

10 ‘‘SEC. 7208. PERFORMANCE REVIEW AND PENALTIES.

11 ‘‘(a) MIDTERM REVIEW.—The Secretary may not

12 enter into a performance agreement under this part unless

13 the agreement includes a provision permitting the Sec14 retary, after notice and an opportunity for a hearing, to

15 terminate the agreement if, during the term of the agree16 ment, student achievement declines for 3 consecutive years

17 in the academic achievement categories established under

18 the agreement.

19 ‘‘(b) FINAL REVIEW.—If, at the end of the 5-year

20 term of a performance agreement entered into under this

21 part, a State has not substantially met the achievement

22 goals submitted in the performance agreement, the Sec23 retary may not renew the agreement under section 7209

24 and beginning on the date on which such term ends the

25 State shall be required to comply with each of the program
766

•HR 1 IH

1 requirements in effect on such date for each program in2 cluded in the performance agreement.

3 ‘‘(c) SANCTIONS.—The Secretary may not enter into

4 a performance agreement under this part unless the agree5 ment provides that if the State fails to meet the terms

6 of its annual academic achievement goals under the agree7 ment it shall be subject to the sanctions set forth in sec8 tion 7102, and that under each of paragraphs (1) and (2)

9 of that section the Secretary may reduce the funds that

10 a State may reserve for State administrative costs for each

11 program included in the performance agreement by an ad12 ditional 10 percent.

13 ‘‘SEC. 7209. RENEWAL OF PERFORMANCE AGREEMENT.

14 ‘‘(a) IN GENERAL.—Except as provided in section

15 7208(b) and in accordance with this section, the Secretary

16 shall renew for 1 additional 5-year term a performance

17 agreement entered into under this part if the State that

18 is party to the agreement has met or has substantially

19 met, by the end of the original term of the agreement,

20 the achievement goals contained in the agreement.

21 ‘‘(b) NOTIFICATION.—The Secretary may not renew

22 a performance agreement under this part unless, not less

23 than 6 months before the end of the original term of the

24 agreement, the State seeking the renewal notifies the Sec25 retary of its intention to renew.
767

•HR 1 IH

1 ‘‘(c) EFFECTIVE DATE.—A renewal under this sec2 tion shall be effective at the end of the original term of

3 the agreement or on the date on which the State provides

4 to the Secretary all data required under the agreement,

5 whichever is later.

6 ‘‘SEC. 7210. STRAIGHT A’S ACHIEVEMENT REPORT.

7 ‘‘Not later than 60 days after the Secretary receives

8 an annual State report described in section 7203(e)(6),

9 the Secretary shall make the report available to the Com10 mittee on Education and the Workforce of the House of

11 Representatives and the Committee on Health, Education,

12 Labor and Pensions of the Senate.

13 ‘‘SEC. 7211. APPLICABILITY OF TITLE VIII.

14 ‘‘To the extent that provisions of title VIII are incon15 sistent with this part, this part shall be construed as su16 perseding such provisions.

17 ‘‘SEC. 7212. APPLICABILITY OF GENERAL EDUCATION PRO18 VISIONS ACT.

19 ‘‘To the extent that the provisions of the General

20 Education Provisions Act (20 U.S.C. 1221 et seq.) are in21 consistent with this part, this part shall be construed as

22 superseding such provisions, except where relating to civil

23 rights, withholding of funds and enforcement authority,

24 and family educational and privacy rights.
768

•HR 1 IH

1 ‘‘SEC. 7213. ALL STUDENTS DEFINED.

2 ‘‘In this part, the term ‘all students’ means all stu3 dents attending public schools or charter schools that are

4 participating in the State’s accountability and assessment

5 system.

6 ‘‘PART C—TRANSFERABILITY OF FUNDS

7 ‘‘SEC. 7301. SHORT TITLE.

8 ‘‘This part may be cited as the ‘State and Local

9 Transferability Act’.

10 ‘‘SEC. 7302. PURPOSE.

11 ‘‘The purpose of this part is to allow States and local

12 educational agencies the flexibility—

13 ‘‘(1) to target Federal funds to Federal pro14 grams that most effectively address the unique needs

15 of States and localities; and

16 ‘‘(2) to transfer Federal funds allocated to

17 other activities to allocations for activities authorized

18 under title I programs.

19 ‘‘SEC. 7303. TRANSFERABILITY OF FUNDS.

20 ‘‘(a) TRANSFERS BY STATES.—

21 ‘‘(1) IN GENERAL.—In accordance with this

22 part, a State may transfer up to 100 percent of the

23 nonadministrative State funds allocated to the State

24 for use for State-level activities under each of the

25 following provisions to 1 or more of the State’s allo26 cations under any other of such provisions:
769

•HR 1 IH

1 ‘‘(A) Title II.

2 ‘‘(B) Part A of title III.

3 ‘‘(C) Part A of title IV.

4 ‘‘(D) Part A or B of title V.

5 ‘‘(2) SUPPLEMENTAL FUNDS FOR TITLE I.—In

6 accordance with this part, a State may transfer any

7 funds allocated to the State under a provision listed

8 in paragraph (1) to its allocation under title I.

9 ‘‘(b) TRANSFERS BY LOCAL EDUCATIONAL AGEN10 CIES.—

11 ‘‘(1) AUTHORITY TO TRANSFER FUNDS.—

12 ‘‘(A) IN GENERAL.—In accordance with

13 this part, a local educational agency may trans14 fer funds allocated to it under each of the pro15 visions listed in paragraph (2) to 1 or more of

16 its allocations under any other such provision.

17 ‘‘(B) SUPPLEMENTAL FUNDS FOR TITLE

18 I.—In accordance with this part, a local edu19 cational agency may transfer funds allocated to

20 such agency under a provision listed in para21 graph (2) to its allocation under title I.

22 ‘‘(C) STATE APPROVAL.—

23 ‘‘(i) IN GENERAL.—In any fiscal year,

24 a local educational agency may not trans25 fer under this paragraph any amount of
770

•HR 1 IH

1 funds for use under a provision listed in

2 paragraph (2) if the total of all funds

3 transferred for such use exceeds 35 per4 cent of the funds allocated to the agency

5 under that provision for the fiscal year, un6 less the State in which the local edu7 cational agency is located has approved

8 each such transfer.

9 ‘‘(ii) REQUESTS TO BE IN WRITING.—

10 Each request by a local educational agency

11 for State approval under this subpara12 graph shall be made in writing to the

13 State.

14 ‘‘(iii) DECISION WITHIN 60 DAYS.—

15 Each request by a local educational agency

16 for State approval under this subpara17 graph shall be deemed approved by the

18 State, unless not later than 60 days after

19 receipt of the request the State disapproves

20 the request or notifies the agency in writ21 ing of steps that the agency needs to take

22 before the State will approve the transfer.

23 ‘‘(vi) APPROVAL CRITERIA.—In re24 viewing a request by a local educational

25 agency for State approval under this sub-
771

•HR 1 IH

1 paragraph, a State shall consider the de2 gree to which the transfer that is the sub3 ject of the request—

4 ‘‘(I) enables the local educational

5 agency to direct resources to a Fed6 eral program that more effectively ad7 dresses the needs of the agency’s stu8 dents, particularly the most disadvan9 taged students; and

10 ‘‘(II) allows the local educational

11 agency to target or focus resources to

12 address specific areas of need or areas

13 of priority and without the transfer

14 such targeting or focusing is pre15 vented, or significantly impeded, by

16 the Federal program requirements.

17 ‘‘(2) APPLICABLE PROVISIONS.—A local edu18 cational agency may transfer funds under this sub19 section from allocations made under each of the fol20 lowing provisions:

21 ‘‘(A) Title II.

22 ‘‘(B) Part A of title IV.

23 ‘‘(C) Part A or B of title V.

24 ‘‘(c) NO TRANSFER OF TITLE I FUNDS.—A State or

25 a local educational agency may not transfer under this
772

•HR 1 IH

1 part to any other program any funds allocated to it under

2 title I.

3 ‘‘(d) MODIFICATION OF PLANS AND APPLICATIONS;

4 NOTIFICATION.—

5 ‘‘(1) STATE TRANSFERS.—Each State that

6 makes a transfer of funds under this section shall—

7 ‘‘(A) modify to account for such transfer

8 each State plan, or application submitted by the

9 State, to which such funds relate;

10 ‘‘(B) not later than 30 days after the date

11 of such transfer, submit a copy of such modi12 fied plan or application to the Secretary; and

13 ‘‘(C) not later than 30 days before the ef14 fective date of such transfer, notify the Sec15 retary of such transfer.

16 ‘‘(2) LOCAL TRANSFERS.—Each local edu17 cational agency that makes a transfer under this

18 section shall—

19 ‘‘(A) modify to account for such transfer

20 each local plan, or application submitted by the

21 agency, to which such funds relate;

22 ‘‘(B) not later than 30 days after the date

23 of such transfer, submit a copy of such modi24 fied plan or application to the State; and
773

•HR 1 IH

1 ‘‘(C) not later than 30 days before the ef2 fective date of such transfer, notify the State of

3 such transfer.

4 ‘‘(f) APPLICABLE RULES.—Except as otherwise pro5 vided in this part, funds transferred under this section are

6 subject to each of the rules and requirements applicable

7 to the funds allocated by the Secretary under the provision

8 to which the transferred funds are transferred.’’.

9 TITLE VIII—GENERAL

10 PROVISIONS

11 SEC. 801. GENERAL PROVISIONS.

12 The Elementary and Secondary Education Act, as

13 amended by this Act, is further amended by adding at the

14 end of title VII the following:

15 ‘‘TITLE VIII—GENERAL

16 PROVISIONS

17 ‘‘PART A—DEFINITIONS

18 ‘‘SEC. 8101. DEFINITIONS.

19 ‘‘Except as otherwise provided, for the purposes of

20 this Act, the following terms have the following meanings:

21 ‘‘(1) Average daily attendance—

22 ‘‘(A) Except as provided otherwise by

23 State law or this paragraph, the term ‘average

24 daily attendance’ means—
774

•HR 1 IH

1 ‘‘(i) the aggregate number of days of

2 attendance of all students during a school

3 year; divided by

4 ‘‘(ii) the number of days school is in

5 session during such school year.

6 ‘‘(B) The Secretary shall permit the con7 version of average daily membership (or other

8 similar data) to average daily attendance for

9 local educational agencies in States that provide

10 State aid to local educational agencies on the

11 basis of average daily membership or such other

12 data.

13 ‘‘(C) If the local educational agency in

14 which a child resides makes a tuition or other

15 payment for the free public education of the

16 child in a school located in another school dis17 trict, the Secretary shall, for purposes of this

18 Act—

19 ‘‘(i) consider the child to be in attend20 ance at a school of the agency making such

21 payment; and

22 ‘‘(ii) not consider the child to be in at23 tendance at a school of the agency receiv24 ing such payment.
775

•HR 1 IH

1 ‘‘(D) If a local educational agency makes a

2 tuition payment to a private school or to a pub3 lic school of another local educational agency

4 for a child with disabilities, as defined in sec5 tion paragraph (5), the Secretary shall, for the

6 purposes of this Act, consider such child to be

7 in attendance at a school of the agency making

8 such payment.

9 ‘‘(2) AVERAGE PER-PUPIL EXPENDITURE.—The

10 term ‘average per-pupil expenditure’ means, in the

11 case of a State or of the United States—

12 ‘‘(A) without regard to the source of

13 funds—

14 ‘‘(i) the aggregate current expendi15 tures, during the third fiscal year pre16 ceding the fiscal year for which the deter17 mination is made (or, if satisfactory data

18 for that year are not available, during the

19 most recent preceding fiscal year for which

20 satisfactory data are available) of all local

21 educational agencies in the State or, in the

22 case of the United States for all States

23 (which, for the purpose of this paragraph,

24 means the 50 States and the District of

25 Columbia); plus
776

•HR 1 IH

1 ‘‘(ii) any direct current expenditures

2 by the State for the operation of such

3 agencies; divided by

4 ‘‘(B) the aggregate number of children in

5 average daily attendance to whom such agencies

6 provided free public education during such pre7 ceding year.

8 ‘‘(3) BEGINNING TEACHER.—The term ‘begin9 ning teacher’ means an educator in a public school

10 who has been teaching less than a total of 3 com11 plete school years.

12 ‘‘(4) CHILD.—The term ‘child’ means any per13 son within the age limits for which the State pro14 vides free public education.

15 ‘‘(5) CHILD WITH DISABILITY.—The term ‘child

16 with a disability’ means a child—

17 ‘‘(A) with mental retardation, hearing im18 pairments, hearing impairments (including

19 deafness), speech or language impairments, vis20 ual impairments (including blindness), serious

21 emotional disturbance (hereinafter referred to

22 as ‘emotional disturbance’), orthopedic impair23 ments, autism, traumatic brain injury, other

24 health impairments, or specific learning disabil25 ities; and
777

•HR 1 IH

1 ‘‘(B) who, by reason thereof, needs special

2 education and related services.

3 ‘‘(6) COMMUNITY-BASED ORGANIZATION.—The

4 term ‘community-based organization’ means a public

5 or private nonprofit organization of demonstrated ef6 fectiveness that—

7 ‘‘(A) is representative of a community or

8 significant segments of a community; and

9 ‘‘(B) provides educational or related serv10 ices to individuals in the community.

11 ‘‘(7) CONSOLIDATED LOCAL APPLICATION.—

12 The term ‘consolidated local application’ means an

13 application submitted by a local educational agency

14 pursuant to section 14305.

15 ‘‘(8) CONSOLIDATED LOCAL PLAN.—The term

16 ‘consolidated local plan’ means a plan submitted by

17 a local educational agency pursuant to section

18 14305.

19 ‘‘(9) CONSOLIDATED STATE APPLICATION.—

20 The term ‘consolidated State application’ means an

21 application submitted by a State educational agency

22 pursuant to section 14302.

23 ‘‘(10) CONSOLIDATED STATE PLAN.—The term

24 ‘consolidated State plan’ means a plan submitted by
778

•HR 1 IH

1 a State educational agency pursuant to section

2 14302.

3 ‘‘(11) COUNTY.—The term ‘county’ means one

4 of the divisions of a State used by the Secretary of

5 Commerce in compiling and reporting data regard6 ing counties.

7 ‘‘(12) COVERED PROGRAM.—The term ‘covered

8 program’ means each of the programs authorized

9 by—

10 ‘‘(A) part A of title I;

11 ‘‘(B) part B of title I;

12 ‘‘(C) part C of title I;

13 ‘‘(D) part D of title I;

14 ‘‘(E) part F of title I;

15 ‘‘(F) part G of title I;

16 ‘‘(G) part A of title II;

17 ‘‘(H) part A of title III;

18 ‘‘(I) part A of title V;

19 ‘‘(J) part B of title V; and

20 ‘‘(K) part A of title IV:

21 ‘‘(13) CURRENT EXPENDITURES.—The term

22 ‘current expenditures’ means expenditures for free

23 public education—

24 ‘‘(A) including expenditures for adminis25 tration, instruction, attendance, pupil transpor-
779

•HR 1 IH

1 tation services, operation and maintenance of

2 plant, fixed charges, and net expenditures to

3 cover deficits for food services and student body

4 activities; but

5 ‘‘(B) not including expenditures for com6 munity services, capital outlay, and debt serv7 ice, or any expenditures made from funds re8 ceived under title I and title VI.

9 ‘‘(14) DEPARTMENT.—The term ‘Department’

10 means the Department of Education.

11 ‘‘(15) EDUCATIONAL SERVICE AGENCY.—The

12 term ‘educational service agency’ means a regional

13 public multiservice agency authorized by State stat14 ute to develop, manage, and provide services or pro15 grams to local educational agencies.

16 ‘‘(16) EFFECTIVE SCHOOLS PROGRAM.—The

17 term ‘effective schools program’ means a school18 based program that may encompass preschool

19 through secondary school levels and that has the ob20 jectives of—

21 ‘‘(A) promoting school-level planning, in22 structional improvement, and staff development;

23 ‘‘(B) increasing the academic achievement

24 levels of all children and particularly education25 ally disadvantaged children; and
780

•HR 1 IH

1 ‘‘(C) achieving as ongoing conditions in the

2 school the following factors identified through

3 scientifically based research as distinguishing

4 effective from ineffective schools:

5 ‘‘(i) Strong and effective administra6 tive and instructional leadership that cre7 ates consensus on instructional goals and

8 organizational capacity for instructional

9 problem solving.

10 ‘‘(ii) Emphasis on the acquisition of

11 basic and advanced academic skills.

12 ‘‘(iii) A safe and orderly school envi13 ronment that allows teachers and pupils to

14 focus their energies on academic achieve15 ment.

16 ‘‘(iv) Continuous review of students

17 and programs to evaluate the effects of in18 struction.

19 ‘‘(17) ELEMENTARY SCHOOL.—The term ‘ele20 mentary school’ means a nonprofit institutional day

21 or residential school, including a public elementary

22 charter school, that provides elementary education,

23 as determined under State law.

24 ‘‘(18) ESSENTIAL COMPONENTS OF READING

25 INSTRUCTION.—The term ‘essential components of
781

•HR 1 IH

1 reading instruction’ means explicit and systematic

2 instruction in—

3 ‘‘(A) phonemic awareness;

4 ‘‘(B) phonics;

5 ‘‘(C) vocabulary development;

6 ‘‘(D) reading fluency; and

7 ‘‘(E) reading comprehension strategies.

8 ‘‘(19) FAMILY LITERACY SERVICES.—The term

9 ‘family literacy services’ means services provided to

10 participants on a voluntary basis that are of suffi11 cient intensity in terms of hours, and of sufficient

12 duration, to make sustainable changes in a family,

13 and that integrate all of the following activities:

14 ‘‘(A) Interactive literacy activities between

15 parents and their children.

16 ‘‘(B) Training for parents regarding how

17 to be the primary teacher for their children and

18 full partners in the education of their children.

19 ‘‘(C) Parent literacy training that leads to

20 economic self-sufficiency.

21 ‘‘(D) An age-appropriate education to pre22 pare children for success in school and life ex23 periences.
782

•HR 1 IH

1 ‘‘(20) FREE PUBLIC EDUCATION.—The term

2 ‘free public education’ means education that is

3 provided—

4 ‘‘(A) at public expense, under public super5 vision and direction, and without tuition charge;

6 and

7 ‘‘(B) as elementary or secondary school

8 education as determined under applicable State

9 law, except that such term does not include any

10 education provided beyond grade 12.

11 ‘‘(21) FULLY QUALIFIED.—The term ‘fully

12 qualified’—

13 ‘‘(A) when used with respect to a public el14 ementary or secondary school teacher (other

15 than a teacher teaching in a public charter

16 school), means that the teacher has obtained

17 State certification as a teacher (including cer18 tification obtained through alternative routes to

19 certification) or passed the State teacher licens20 ing exam and holds a license to teach in such

21 State; and

22 ‘‘(B) when used with respect to—

23 ‘‘(i) an elementary school teacher,

24 means that the teacher holds a bachelor’s

25 degree and demonstrates knowledge and
783

•HR 1 IH

1 teaching skills in reading, writing, mathe2 matics, science, and other areas of the ele3 mentary school curriculum; and

4 ‘‘(ii) a middle or secondary school

5 teacher, means that the teacher holds a

6 bachelor’s degree and demonstrates a high

7 level of competency in all subject areas in

8 which he or she teaches through—

9 ‘‘(I) a passing level of perform10 ance on a rigorous State or local aca11 demic subject areas test; or

12 ‘‘(II) completion of an academic

13 major in each of the subject areas in

14 which he or she provides instruction.

15 ‘‘(22) GIFTED AND TALENTED.—The term

16 ‘gifted and talented’, when used with respect to stu17 dents, children or youth, means students, children or

18 youth who give evidence of high performance capa19 bility in areas such as intellectual, creative, artistic,

20 or leadership capacity, or in specific academic fields,

21 and who require services or activities not ordinarily

22 provided by the school in order to fully develop such

23 capabilities.

24 ‘‘(23) INSTITUTION OF HIGHER EDUCATION.—

25 The term ‘institution of higher education’ has the
784

•HR 1 IH

1 meaning given that term in section 101 of the High2 er Education Act of 1965.

3 ‘‘(24) LIMITED ENGLISH PROFICIENT STU4 DENT.—The term ‘limited English proficient stu5 dent’ means an individual aged 5 through 17 en6 rolled in an elementary school or secondary school—

7 ‘‘(A) who—

8 ‘‘(i) was not born in the United States

9 or whose native language is a language

10 other than English;

11 ‘‘(ii)(I) is a Native American or Alas12 ka Native, or a native resident of the out13 lying areas; and

14 ‘‘(II) comes from an environment

15 where a language other than English has

16 had a significant impact on such individ17 ual’s level of English language proficiency;

18 or

19 ‘‘(iii) is migratory, whose native language

20 is a language other than English, and who

21 comes from an environment where a language

22 other than English is dominant; and

23 ‘‘(B) who has sufficient difficulty speaking,

24 reading, writing, or understanding the English
785

•HR 1 IH

1 language, and whose difficulties may deny the

2 individual—

3 ‘‘(i) the ability to meet the State’s

4 proficient level of performance on State as5 sessments described in section 1111(b)(4)

6 in core academic subjects; or

7 ‘‘(ii) the opportunity to participate

8 fully in society.

9 ‘‘(25) LOCAL EDUCATIONAL AGENCY.—(A) The

10 term ‘local educational agency’ means a public board

11 of education or other public authority legally con12 stituted within a State for either administrative con13 trol or direction of, or to perform a service function

14 for, public elementary or secondary schools in a city,

15 county, township, school district, or other political

16 subdivision of a State, or for such combination of

17 school districts or counties as are recognized in a

18 State as an administrative agency for its public ele19 mentary or secondary schools.

20 ‘‘(B) The term includes any other public insti21 tution or agency having administrative control and

22 direction of a public elementary or secondary school.

23 ‘‘(C) The term includes an elementary or sec24 ondary school funded by the Bureau of Indian Af25 fairs but only to the extent that such inclusion
786

•HR 1 IH

1 makes such school eligible for programs for which

2 specific eligibility is not provided to such school in

3 another provision of law and such school does not

4 have a student population that is smaller than the

5 student population of the local educational agency

6 receiving assistance under this Act with the smallest

7 student population, except that such school shall not

8 be subject to the jurisdiction of any State edu9 cational agency other than the Bureau of Indian Af10 fairs.

11 ‘‘(D) The term includes educational service

12 agencies and consortia of such agencies.

13 ‘‘(26) MENTORING.—The term ‘mentoring’

14 means a program in which an adult works with a

15 child or youth on a 1-to-1 basis, establishing a sup16 portive relationship, providing academic assistance,

17 and introducing the child or youth to new experi18 ences that enhance the child or youth’s ability to

19 excel in school and become a responsible citizen.

20 ‘‘(26) NATIVE AMERICAN AND NATIVE AMER21 ICAN LANGUAGE.—The terms ‘Native American’ and

22 ‘Native American language’ shall have the same

23 meaning given such terms in section 103 of the Na24 tive American Languages Act of 1990.
787

•HR 1 IH

1 ‘‘(27) OTHER STAFF.—The term ‘other staff’

2 means pupil services personnel, librarians, career

3 guidance and counseling personnel, education aides,

4 and other instructional and administrative per5 sonnel.

6 ‘‘(28) OUTLYING AREA.—The term ‘outlying

7 area’ means the United States Virgin Islands,

8 Guam, American Samoa, and the Commonwealth of

9 the Northern Mariana Islands.

10 ‘‘(29) PARENT.—The term ‘parent’ includes a

11 legal guardian or other person standing in loco

12 parentis.

13 ‘‘(30) PUPIL SERVICES PERSONNEL; PUPIL

14 SERVICES.—(A) The term ‘pupil services personnel’

15 means school counselors, school social workers,

16 school psychologists, and other qualified professional

17 personnel involved in providing assessment, diag18 nosis, counseling, educational, therapeutic, and other

19 necessary services (including related services as such

20 term is defined in section 602(22) of the Individuals

21 with Disabilities Education Act) as part of a com22 prehensive program to meet student needs.

23 ‘‘(B) The term ‘pupil services’ means the serv24 ices provided by pupil services personnel.
788

•HR 1 IH

1 ‘‘(31) READING.—The term ‘reading’ means a

2 complex system of deriving meaning from print that

3 requires all of the following:

4 ‘‘(A) Skills and knowledge to understand

5 how phonemes, or speech sounds are connected

6 in print.

7 ‘‘(B) Ability to decode unfamiliar words.

8 ‘‘(C) Ability to read fluently.

9 ‘‘(D) Sufficient background information

10 and vocabulary to foster reading comprehen11 sions.

12 ‘‘(E) Development of appropriate active

13 strategies to construct meaning from print.

14 ‘‘(F) Development and maintenance of a

15 motivation to read.

16 ‘‘(32) RIGOROUS DIAGNOSTIC READING ASSESS17 MENT.—The term ‘rigorous diagnostic reading as18 sessment’ means a diagnostic reading assessment

19 that—

20 ‘‘(A) is valid, reliable, and grounded on sci21 entifically based reading research;

22 ‘‘(B) measures progress in developing pho23 nemic awareness and phonics skills, vocabulary,

24 reading fluency, and reading comprehension;

25 and
789

•HR 1 IH

1 ‘‘(C) identifies students who may be at risk

2 for reading failure or who are having difficulty

3 reading.

4 ‘‘(33) SCIENTIFICALLY BASED RESEARCH.—

5 The term ‘scientifically based research’—

6 ‘‘(A) means the application of rigorous,

7 systematic, and objective procedures to obtain

8 valid knowledge relevant to education activities

9 and programs; and

10 ‘‘(B) shall include research that—

11 ‘‘(i) employs systematic, empirical

12 methods that draw on observation or ex13 periment;

14 ‘‘(ii) involves rigorous data analyses

15 that are adequate to test the stated

16 hypotheses and justify the general conclu17 sions drawn;

18 ‘‘(iii) relies on measurements or obser19 vational methods that provide valid data

20 across evaluators and observers and across

21 multiple measurements and observations;

22 ‘‘(iv) is evaluated using randomized

23 experiments in which individuals, entities,

24 programs, or activities are randomly as25 signed to different variations (including a
790

•HR 1 IH

1 control condition) to compare the relative

2 effects of the variations; and

3 ‘‘(v) has been accepted by a peer-re4 viewed journal or approved by a panel of

5 independent experts through a comparably

6 rigorous, objective, and scientific review.

7 ‘‘(34) SECONDARY SCHOOL.—The term ‘sec8 ondary school’ means a nonprofit institutional day or

9 residential school, including a public secondary char10 ter school, that provides secondary education, as de11 termined under State law, except that such term

12 does not include any education beyond grade 12.

13 ‘‘(35) SECRETARY.—The term ‘Secretary’

14 means the Secretary of Education.

15 ‘‘(36) STATE.—The term ‘State’ means each of

16 the 50 States, the District of Columbia, the Com17 monwealth of Puerto Rico, and each of the outlying

18 areas.

19 ‘‘(37) STATE EDUCATIONAL AGENCY.—The

20 term ‘State educational agency’ means the agency

21 primarily responsible for the State supervision of

22 public elementary and secondary schools.

23 ‘‘(38) TECHNOLOGY.—The term ‘technology’

24 means the latest state-of-the-art technology products

25 and services.
791

•HR 1 IH

1 ‘‘SEC. 8102. APPLICABILITY OF TITLE.

2 ‘‘Parts B, C, D, and E of this title do not apply to

3 title VI of this Act.

4 ‘‘SEC. 8103. APPLICABILITY TO BUREAU OF INDIAN AFFAIRS

5 OPERATED SCHOOLS.

6 ‘‘For purposes of any competitive program under this

7 Act, a consortia of schools operated by the Bureau of In8 dian Affairs, a school operated under a contract or grant

9 with the Bureau of Indian Affairs in consortia with an10 other contract or grant school or tribal or community or11 ganization, or a Bureau of Indian Affairs school in con12 sortia with an institution of higher education, a contract

13 or grant school and tribal or community organization shall

14 be given the same consideration as a local educational

15 agency.

16 ‘‘PART B—FLEXIBILITY IN THE USE OF

17 ADMINISTRATIVE AND OTHER FUNDS

18 ‘‘SEC. 8201. CONSOLIDATION OF STATE ADMINISTRATIVE

19 FUNDS FOR ELEMENTARY AND SECONDARY

20 EDUCATION PROGRAMS.

21 ‘‘(a) CONSOLIDATION OF ADMINISTRATIVE FUNDS.—

22 ‘‘(1) IN GENERAL.—A State educational agency

23 may consolidate the amounts specifically made avail24 able to such agency for State administration under

25 one or more of the programs under paragraph (2)

26 if such State educational agency can demonstrate
792

•HR 1 IH

1 that the majority of such agency’s resources are de2 rived from non-Federal sources.

3 ‘‘(2) APPLICABILITY.—This section applies to

4 any program under this Act under which funds are

5 authorized to be used for administration, and such

6 other programs as the Secretary may designate.

7 ‘‘(b) USE OF FUNDS.—

8 ‘‘(1) IN GENERAL.—A State educational agency

9 shall use the amount available under this section for

10 the administration of the programs included in the

11 consolidation under subsection (a).

12 ‘‘(2) ADDITIONAL USES.—A State educational

13 agency may also use funds available under this sec14 tion for administrative activities designed to enhance

15 the effective and coordinated use of funds under pro16 grams included in the consolidation under subsection

17 (a), such as—

18 ‘‘(A) the coordination of such programs

19 with other Federal and non-Federal programs;

20 ‘‘(B) the establishment and operation of

21 peer-review mechanisms under this Act;

22 ‘‘(C) the administration of this title;

23 ‘‘(D) the dissemination of information re24 garding model programs and practices;
793

•HR 1 IH

1 ‘‘(E) technical assistance under any pro2 gram under this Act;

3 ‘‘(F) State level activities designed to carry

4 out this title;

5 ‘‘(G) training personnel engaged in audit

6 and other monitoring activities; and

7 ‘‘(H) implementation of the Cooperative

8 Audit Resolution and Oversight Initiative of the

9 Department of Education.

10 ‘‘(c) RECORDS.—A State educational agency that

11 consolidates administrative funds under this section shall

12 not be required to keep separate records, by individual

13 program, to account for costs relating to the administra14 tion of programs included in the consolidation under sub15 section (a).

16 ‘‘(d) REVIEW.—To determine the effectiveness of

17 State administration under this section, the Secretary may

18 periodically review the performance of State educational

19 agencies in using consolidated administrative funds under

20 this section and take such steps as the Secretary finds

21 appropriate to ensure the effectiveness of such administra22 tion.

23 ‘‘(e) UNUSED ADMINISTRATIVE FUNDS.—If a State

24 educational agency does not use all of the funds available

25 to such agency under this section for administration, such
794

•HR 1 IH

1 agency may use such funds during the applicable period

2 of availability as funds available under one or more pro3 grams included in the consolidation under subsection (a).

4 ‘‘SEC. 8202. SINGLE LOCAL EDUCATIONAL AGENCY STATES.

5 ‘‘A State educational agency that also serves as a

6 local educational agency, in such agency’s applications or

7 plans under this Act, shall describe how such agency will

8 eliminate duplication in the conduct of administrative

9 functions.

10 ‘‘SEC. 8203. CONSOLIDATION OF FUNDS FOR LOCAL ADMIN11 ISTRATION.

12 ‘‘(a) GENERAL AUTHORITY.—In accordance with

13 regulations of the Secretary and for any fiscal year, a local

14 educational agency, with the approval of its State edu15 cational agency, may consolidate and use for the adminis16 tration of one or more programs under this Act (or such

17 other programs as the Secretary shall designate) not more

18 than the percentage, established in each such program, of

19 the total available for the local educational agency under

20 such programs.

21 ‘‘(b) STATE PROCEDURES.—Within one-year from

22 the date of enactment of the No Child Left Behind Act

23 of 2001, a State educational agency shall, in collaboration

24 with local educational agencies in the State, establish pro25 cedures for responding to requests from local educational
795

•HR 1 IH

1 agencies to consolidate administrative funds under sub2 section (a) and for establishing limitations on the amount

3 of funds under such programs that may be used for ad4 ministration on a consolidated basis.

5 ‘‘(c) CONDITIONS.—A local educational agency that

6 consolidates administrative funds under this section for

7 any fiscal year shall not use any other funds under the

8 programs included in the consolidation for administration

9 for that fiscal year.

10 ‘‘(d) USES OF ADMINISTRATIVE FUNDS.—A local

11 educational agency that consolidates administrative funds

12 under this section may use such consolidated funds for

13 the administration of such programs and for uses, at the

14 school district and school levels, comparable to those de15 scribed in section 8201(b)(2).

16 ‘‘(e) RECORDS.—A local educational agency that con17 solidates administrative funds under this section shall not

18 be required to keep separate records, by individual pro19 gram, to account for costs relating to the administration

20 of such programs included in the consolidation.

21 ‘‘SEC. 8204. CONSOLIDATED SET-ASIDE FOR DEPARTMENT

22 OF THE INTERIOR FUNDS.

23 ‘‘(a) GENERAL AUTHORITY.—

24 ‘‘(1) TRANSFER.—The Secretary shall transfer

25 to the Department of the Interior, as a consolidated
796

•HR 1 IH

1 amount for covered programs, the Indian education

2 programs under subpart 1 of part B of title III, and

3 the education for homeless children and youth pro4 gram under subtitle B of title VII of the Stewart B.

5 McKinney Homeless Assistance Act, the amounts al6 lotted to the Department of the Interior under those

7 programs.

8 ‘‘(2) AGREEMENT.—(A) The Secretary and the

9 Secretary of the Interior shall enter into an agree10 ment, consistent with the requirements of the pro11 grams specified in paragraph (1), for the distribu12 tion and use of those program funds under terms

13 that the Secretary determines best meet the pur14 poses of those programs.

15 ‘‘(B) The agreement shall—

16 ‘‘(i) set forth the plans of the Secretary of

17 the Interior for the use of the amount trans18 ferred and the performance measures to assess

19 program effectiveness, including measurable

20 goals and objectives; and

21 ‘‘(ii) be developed in consultation with In22 dian tribes.

23 ‘‘(b) ADMINISTRATION.—The Department of the In24 terior may use not more than 1.5 percent of the funds

25 consolidated under this section for such department’s
797

•HR 1 IH

1 costs related to the administration of the funds trans2 ferred under this section.

3 ‘‘PART C—COORDINATION OF PROGRAMS; CON4 SOLIDATED STATE AND LOCAL PLANS AND

5 APPLICATIONS

6 ‘‘SEC. 8301. PURPOSE.

7 ‘‘The purposes of this part are to improve teaching

8 and learning through greater coordination between pro9 grams and to provide greater flexibility to State and local

10 authorities by allowing the consolidation of State and local

11 plans, applications, and reporting.

12 ‘‘SEC. 8302. OPTIONAL CONSOLIDATED STATE PLANS OR

13 APPLICATIONS.

14 ‘‘(a) GENERAL AUTHORITY.—

15 ‘‘(1) SIMPLIFICATION.—In order to simplify ap16 plication requirements and reduce the burden for

17 States under this Act, the Secretary, in accordance

18 with subsection (b), shall establish procedures and

19 criteria under which a Governor and State edu20 cational agency may submit a consolidated State

21 plan or a consolidated State application meeting the

22 requirements of this section for—

23 ‘‘(A) any programs under this Act in which

24 the State participates; and
798

•HR 1 IH

1 ‘‘(B) such other programs as the Secretary

2 may designate.

3 ‘‘(2) CONSOLIDATED APPLICATIONS AND

4 PLANS.—A Governor and State educational agency

5 that submits a consolidated State plan or a consoli6 dated State application under this section shall not

7 be required to submit a separate State plan or appli8 cation for a program included in the consolidated

9 State plan or application.

10 ‘‘(b) COLLABORATION.—

11 ‘‘(1) IN GENERAL.—In establishing criteria and

12 procedures under this section, the Secretary shall

13 collaborate with Governors, State educational agen14 cies and, as appropriate, with other State agencies,

15 local educational agencies, public and private non16 profit agencies, organizations, and institutions, pri17 vate schools, and representatives of parents, stu18 dents, and teachers.

19 ‘‘(2) CONTENTS.—Through the collaborative

20 process described in paragraph (1), the Secretary

21 shall establish, for each program under the Act to

22 which this section applies, the descriptions, informa23 tion, assurances, and other material required to be

24 included in a consolidated State plan or consolidated

25 State application.
799

•HR 1 IH

1 ‘‘(3) NECESSARY MATERIALS.—The Secretary

2 shall require only descriptions, information, assur3 ances, and other materials that are absolutely nec4 essary for the consideration of the consolidated State

5 plan or consolidated State application.

6 ‘‘SEC. 8303. CONSOLIDATED REPORTING.

7 ‘‘In order to simplify reporting requirements and re8 duce reporting burdens, the Secretary shall establish pro9 cedures and criteria under which a Governor and State

10 educational agency may submit a consolidated State an11 nual report. Such report shall contain information about

12 the programs included in the report, including the State’s

13 performance under those programs, and other matters as

14 the Secretary determines, such as monitoring activities.

15 Such a report shall take the place of separate individual

16 annual reports for the programs subject to it.

17 ‘‘SEC. 8304. GENERAL APPLICABILITY OF STATE EDU18 CATIONAL AGENCY ASSURANCES.

19 ‘‘(a) ASSURANCES.—A Governor and State edu20 cational agency that submits a consolidated State plan or

21 consolidated State application under this Act, whether

22 separately or under section 8302, shall have on file with

23 the Secretary a single set of assurances, applicable to each

24 program for which such plan or application is submitted,

25 that provides that—
800

•HR 1 IH

1 ‘‘(1) each such program will be administered in

2 accordance with all applicable statutes, regulations,

3 program plans, and applications;

4 ‘‘(2)(A) the control of funds provided under

5 each such program and title to property acquired

6 with program funds will be in a public agency, in a

7 nonprofit private agency, institution, or organiza8 tion, or in an Indian tribe if the law authorizing the

9 program provides for assistance to such entities; and

10 ‘‘(B) the public agency, nonprofit private agen11 cy, institution, or organization, or Indian tribe will

12 administer such funds and property to the extent re13 quired by the authorizing law;

14 ‘‘(3) the State will adopt and use proper meth15 ods of administering each such program, including—

16 ‘‘(A) the enforcement of any obligations

17 imposed by law on agencies, institutions, orga18 nizations, and other recipients responsible for

19 carrying out each program;

20 ‘‘(B) the correction of deficiencies in pro21 gram operations that are identified through au22 dits, monitoring, or evaluation; and

23 ‘‘(C) the adoption of written procedures for

24 the receipt and resolution of complaints alleging
801

•HR 1 IH

1 violations of law in the administration of such

2 programs;

3 ‘‘(4) the State will cooperate in carrying out

4 any evaluation of each such program conducted by

5 or for the Secretary or other Federal officials;

6 ‘‘(5) the State will use such fiscal control and

7 fund accounting procedures as will ensure proper

8 disbursement of, and accounting for, Federal funds

9 paid to the State under each such program;

10 ‘‘(6) the State will—

11 ‘‘(A) make reports to the Secretary as may

12 be necessary to enable the Secretary to perform

13 the Secretary’s duties under each such pro14 gram; and

15 ‘‘(B) maintain such records, provide such

16 information to the Secretary, and afford access

17 to the records as the Secretary may find nec18 essary to carry out the Secretary’s duties; and

19 ‘‘(7) before the plan or application was sub20 mitted to the Secretary, the State has afforded a

21 reasonable opportunity for public comment on the

22 plan or application and has considered such com23 ment.
802

•HR 1 IH

1 ‘‘(b) GEPA PROVISION.—Section 441 of the General

2 Education Provisions Act shall not apply to programs

3 under this Act.

4 ‘‘SEC. 8305. CONSOLIDATED LOCAL PLANS OR APPLICA5 TIONS.

6 ‘‘(a) GENERAL AUTHORITY.—A local educational

7 agency receiving funds under more than one program

8 under this Act may submit plans or applications to the

9 Governor and State educational agency under such pro10 grams on a consolidated basis.

11 ‘‘(b) REQUIRED CONSOLIDATED PLANS OR APPLICA12 TIONS.—A State that has an approved consolidated State

13 plan or application under section 8302 may require local

14 educational agencies in the State receiving funds under

15 more than one program included in the consolidated State

16 plan or consolidated State application to submit consoli17 dated local plans or applications under such programs, but

18 may not require such agencies to submit separate plans.

19 ‘‘(c) COLLABORATION.—A Governor and State edu20 cational agency shall collaborate with local educational

21 agencies in the State in establishing procedures for the

22 submission of the consolidated State plans or consolidated

23 State applications under this section.

24 ‘‘(d) NECESSARY MATERIALS.—The State shall re25 quire only descriptions, information, assurances, and other
803

•HR 1 IH

1 material that are absolutely necessary for the consider2 ation of the local educational agency plan or application.

3 ‘‘SEC. 8306. OTHER GENERAL ASSURANCES.

4 ‘‘(a) ASSURANCES.—Any applicant other than a

5 State that submits a plan or application under this Act,

6 shall have on file with the State a single set of assurances,

7 applicable to each program for which a plan or application

8 is submitted, that provides that—

9 ‘‘(1) each such program will be administered in

10 accordance with all applicable statutes, regulations,

11 program plans, and applications;

12 ‘‘(2)(A) the control of funds provided under

13 each such program and title to property acquired

14 with program funds will be in a public agency or in

15 a nonprofit private agency, institution, organization,

16 or Indian tribe, if the law authorizing the program

17 provides for assistance to such entities; and

18 ‘‘(B) the public agency, nonprofit private

19 agency, institution, or organization, or Indian

20 tribe will administer such funds and property to

21 the extent required by the authorizing statutes;

22 ‘‘(3) the applicant will adopt and use proper

23 methods of administering each such program,

24 including—
804

•HR 1 IH

1 ‘‘(A) the enforcement of any obligations

2 imposed by law on agencies, institutions, orga3 nizations, and other recipients responsible for

4 carrying out each program; and

5 ‘‘(B) the correction of deficiencies in pro6 gram operations that are identified through au7 dits, monitoring, or evaluation;

8 ‘‘(4) the applicant will cooperate in carrying out

9 any evaluation of each such program conducted by

10 or for the State educational agency, the Secretary or

11 other Federal officials;

12 ‘‘(5) the applicant will use such fiscal control

13 and fund accounting procedures as will ensure prop14 er disbursement of, and accounting for, Federal

15 funds paid to such applicant under each such pro16 gram;

17 ‘‘(6) the applicant will—

18 ‘‘(A) make reports to the Governor and

19 State educational agency and the Secretary as

20 may be necessary to enable such agency and the

21 Secretary to perform their duties under each

22 such program; and

23 ‘‘(B) maintain such records, provide such

24 information, and afford access to the records as

25 the Governor and State educational agency or
805

•HR 1 IH

1 the Secretary may find necessary to carry out

2 the State’s or the Secretary’s duties; and

3 ‘‘(7) before the application was submitted, the

4 applicant afforded a reasonable opportunity for pub5 lic comment on the application and has considered

6 such comment.

7 ‘‘(b) GEPA PROVISION.—Section 442 of the General

8 Education Provisions Act shall not apply to programs

9 under this Act.

10 ‘‘PART D—WAIVERS

11 ‘‘SEC. 8401. WAIVERS OF STATUTORY AND REGULATORY RE12 QUIREMENTS.

13 ‘‘(a) IN GENERAL.—Except as provided in subsection

14 (c), the Secretary may waive any statutory or regulatory

15 requirement of this Act or the Carl D. Perkins Vocational

16 and Technical Education Act of 1998 for a State edu17 cational agency, local educational agency, Indian tribe, or

18 school through a local educational agency, that—

19 ‘‘(1) receives funds under a program authorized

20 by this Act; and

21 ‘‘(2) requests a waiver under subsection (b).

22 ‘‘(b) REQUEST FOR WAIVER.—

23 ‘‘(1) IN GENERAL.—A State educational agen24 cy, local educational agency, or Indian tribe which
806

•HR 1 IH

1 desires a waiver shall submit a waiver application to

2 the Secretary that—

3 ‘‘(A) indicates each Federal program af4 fected and each statutory or regulatory require5 ment requested to be waived;

6 ‘‘(B) describes the purpose and overall ex7 pected results of waiving each such require8 ment;

9 ‘‘(C) describes, for each school year, spe10 cific, measurable, educational goals for the

11 State educational agency and for each local

12 educational agency, Indian tribe, or school that

13 would be affected by the wavier;

14 ‘‘(D) explains why the waiver will assist

15 the State educational agency and each affected

16 local educational agency, Indian tribe, or school

17 in reaching such goals.

18 ‘‘(2) ADDITIONAL INFORMATION.—Such

19 requests—

20 ‘‘(A) may provide for waivers of require21 ments applicable to State educational agencies,

22 local educational agencies, Indian tribes, and

23 schools; and

24 ‘‘(B) shall be developed and submitted—
807

•HR 1 IH

1 ‘‘(i)(I) by local educational agencies

2 (on behalf of such agencies and schools) to

3 State educational agencies; and

4 ‘‘(II) by State educational agencies

5 (on behalf of, and based upon the requests

6 of, local educational agencies) to the Sec7 retary; or

8 ‘‘(ii) by Indian tribes (on behalf of

9 schools operated by such tribes) to the Sec10 retary.

11 ‘‘(3) GENERAL REQUIREMENTS.—

12 ‘‘(A) In the case of a waiver request sub13 mitted by a State educational agency acting in

14 its own behalf, the State educational agency

15 shall—

16 ‘‘(i) provide all interested local edu17 cational agencies in the State with notice

18 and a reasonable opportunity to comment

19 on the request;

20 ‘‘(ii) submit the comments to the Sec21 retary; and

22 ‘‘(iii) provide notice and information

23 to the public regarding the waiver request

24 in the manner that the applying agency
808

•HR 1 IH

1 customarily provides similar notices and

2 information to the public.

3 ‘‘(B) In the case of a waiver request sub4 mitted by a local educational agency that re5 ceives funds under this Act—

6 ‘‘(i) such request shall be reviewed by

7 the State educational agency and be ac8 companied by the comments, if any, of

9 such State educational agency; and

10 ‘‘(ii) notice and information regarding

11 the waiver request shall be provided to the

12 public by the agency requesting the waiver

13 in the manner that such agency custom14 arily provides similar notices and informa15 tion to the public.

16 ‘‘(c) RESTRICTIONS.—The Secretary shall not waive

17 under this section any statutory or regulatory require18 ments relating to—

19 ‘‘(1) the allocation or distribution of funds to

20 States, local educational agencies, or other recipients

21 of funds under this Act;

22 ‘‘(2) maintenance of effort;

23 ‘‘(3) comparability of services;

24 ‘‘(4) use of Federal funds to supplement, not

25 supplant, non-Federal funds;
809

•HR 1 IH

1 ‘‘(5) equitable participation of private school

2 students and teachers;

3 ‘‘(6) parental participation and involvement;

4 ‘‘(7) applicable civil rights requirements;

5 ‘‘(8) the requirement for a charter school under

6 part B of title IV; or

7 ‘(9) the prohibitions regarding—

8 ‘‘(A) State aid in section 8502;

9 ‘‘(B) use of funds for religious worship or

10 instruction in section 8507; and

11 ‘‘(C) activities in section 8514.

12 ‘‘(d) DURATION AND EXTENSION OF WAIVER.—

13 ‘‘(1) IN GENERAL.—Except as provided in para14 graph (2), the duration of a waiver approved by the

15 Secretary under this section may be for a period not

16 to exceed 5 years.

17 ‘‘(2) EXTENSION.—The Secretary may extend

18 the period described in paragraph (1) if the Sec19 retary determines that—

20 ‘‘(A) the waiver has been effective in ena21 bling the State or affected recipients to carry

22 out the activities for which the waiver was re23 quested and the waiver has contributed to im24 proved student performance; and
810

•HR 1 IH

1 ‘‘(B) such extension is in the public inter2 est.

3 ‘‘(e) REPORTS.—

4 ‘‘(1) LOCAL WAIVER.—A local educational agen5 cy that receives a waiver under this section shall at

6 the end of the second year for which a waiver is re7 ceived under this section, and each subsequent year,

8 submit a report to the State educational agency

9 that—

10 ‘‘(A) describes the uses of such waiver by

11 such agency or by schools;

12 ‘‘(B) describes how schools continued to

13 provide assistance to the same populations

14 served by the programs for which waivers are

15 requested; and

16 ‘‘(A) evaluates the progress of such agency

17 and of schools in improving the quality of in18 struction or the academic performance of stu19 dents.

20 ‘‘(2) STATE WAIVER.—A State educational

21 agency that receives reports required under para22 graph (1) shall annually submit a report to the Sec23 retary that is based on such reports and contains

24 such information as the Secretary may require.
811

•HR 1 IH

1 ‘‘(3) INDIAN TRIBE WAIVER.—An Indian tribe

2 that receives a waiver under this section shall annu3 ally submit a report to the Secretary that—

4 ‘‘(A) describes the uses of such waiver by

5 schools operated by such tribe; and

6 ‘‘(B) evaluates the progress of such schools

7 in improving the quality of instruction or the

8 academic performance of students.

9 ‘‘(4) REPORT TO CONGRESS.—Beginning in fis10 cal year 2002 and each subsequent year, the Sec11 retary shall submit to the Committee on Education

12 and the Workforce of the House of Representatives

13 and the Committee on Health, Education, Labor

14 and Pensions of the Senate a report—

15 ‘‘(A) summarizing the uses of waivers by

16 State educational agencies, local educational

17 agencies, Indian tribes, and schools; and

18 ‘‘(B) describing whether such waivers—

19 ‘‘(i) increased the quality of instruc20 tion to students; or

21 ‘‘(ii) improved the academic perform22 ance of students.

23 ‘‘(f) TERMINATION OF WAIVERS.—The Secretary

24 shall terminate a waiver under this section if the Secretary

25 determines, after notice and an opportunity for a hearing,
812

•HR 1 IH

1 that the performance of the State or other recipient af2 fected by the waiver has been inadequate to justify a con3 tinuation of the waiver or if the waiver is no longer nec4 essary to achieve its original purposes.

5 ‘‘(g) PUBLICATION.—A notice of the Secretary’s deci6 sion to grant each waiver under subsection (a) shall be

7 published in the Federal Register and the Secretary shall

8 provide for the dissemination of such notice to State edu9 cational agencies, interested parties, including educators,

10 parents, students, advocacy and civil rights organizations,

11 and the public.

12 ‘‘PART E—UNIFORM PROVISIONS

13 ‘‘SEC. 8501. MAINTENANCE OF EFFORT.

14 ‘‘(a) IN GENERAL.—A local educational agency may

15 receive funds under a covered program for any fiscal year

16 only if the State educational agency finds that either the

17 combined fiscal effort per student or the aggregate ex18 penditures of such agency and the State with respect to

19 the provision of free public education by such agency for

20 the preceding fiscal year was not less than 90 percent of

21 such combined fiscal effort or aggregate expenditures for

22 the second preceding fiscal year.

23 ‘‘(b) REDUCTION IN CASE OF FAILURE TO MEET.—

24 ‘‘(1) IN GENERAL.—The State educational

25 agency shall reduce the amount of the allocation of
813

•HR 1 IH

1 funds under a covered program in any fiscal year in

2 the exact proportion to which a local educational

3 agency fails to meet the requirement of subsection

4 (a) of this section by falling below 90 percent of

5 both the combined fiscal effort per student and ag6 gregate expenditures (using the measure most favor7 able to such local agency).

8 ‘‘(2) SPECIAL RULE.—No such lesser amount

9 shall be used for computing the effort required

10 under subsection (a) of this section for subsequent

11 years.

12 ‘‘(c) WAIVER.—The Secretary may waive the require13 ments of this section if the Secretary determines that such

14 a waiver would be equitable due to—

15 ‘‘(1) exceptional or uncontrollable circumstances

16 such as a natural disaster; or

17 ‘‘(2) a precipitous decline in the financial re18 sources of the local educational agency.

19 ‘‘SEC. 8502. PROHIBITION REGARDING STATE AID.

20 ‘‘A State shall not take into consideration payments

21 under this Act (other than under title VI) in determining

22 the eligibility of any local educational agency in such State

23 for State aid, or the amount of State aid, with respect

24 to free public education of children.
814

•HR 1 IH

1 ‘‘SEC. 8503. PARTICIPATION BY PRIVATE SCHOOL CHIL2 DREN AND TEACHERS.

3 ‘‘(a) PRIVATE SCHOOL PARTICIPATION.—

4 ‘‘(1) IN GENERAL.—Except as otherwise pro5 vided in this Act, to the extent consistent with the

6 number of eligible children in areas served by a

7 State educational agency, local educational agency,

8 educational service agency, consortium of such agen9 cies, or another entity receiving financial assistance

10 under a program specified in subsection (b), who are

11 enrolled in private elementary and secondary schools

12 in areas served by such agency, consortium or entity,

13 such agency, consortium or entity shall, after timely

14 and meaningful consultation with appropriate pri15 vate school officials, provide such children and their

16 teachers or other educational personnel, on an equi17 table basis, special educational services or other ben18 efits that address their needs under such program.

19 ‘‘(2) SECULAR, NEUTRAL, AND NONIDEOLOG20 ICAL SERVICES OR BENEFITS.—Educational services

21 or other benefits, including materials and equipment,

22 provided under this section, shall be secular, neutral,

23 and nonideological.

24 ‘‘(3) SPECIAL RULE.—Educational services and

25 other benefits provided under this section for such

26 private school children, teachers, and other edu-
815

•HR 1 IH

1 cational personnel shall be equitable in comparison

2 to services and other benefits for public school chil3 dren, teachers, and other educational personnel par4 ticipating in such program and shall be provided in

5 a timely manner.

6 ‘‘(4) EXPENDITURES.—Expenditures for edu7 cational services and other benefits provided under

8 this section to eligible private school children, their

9 teachers, and other educational personnel serving

10 such children shall be equal, taking into account the

11 number and educational needs of the children to be

12 served, to the expenditures for participating public

13 school children.

14 ‘‘(5) PROVISION OF SERVICES.—Such agency,

15 consortium or entity described in subsection (a)(1)

16 of this section may provide such services directly or

17 through contracts with public and private agencies,

18 organizations, and institutions.

19 ‘‘(b) APPLICABILITY.—

20 ‘‘(1) IN GENERAL.—This section applies to pro21 grams under—

22 ‘‘(A) part B, subpart 1 of title I;

23 ‘‘(B) part C of title I;

24 ‘‘(C) part A of title II;

25 ‘‘(D) part A of title III.
816

•HR 1 IH

1 ‘‘(E) part A of title V; and

2 ‘‘(F) part B of title V;

3 ‘‘(2) DEFINITION.—For the purposes of this

4 section, the term ‘eligible children’ means children

5 eligible for services under a program described in

6 paragraph (1).

7 ‘‘(c) CONSULTATION.—

8 ‘‘(1) IN GENERAL.—To ensure timely and

9 meaningful consultation, a State educational agency,

10 local educational agency, educational service agency,

11 consortium of such agencies or entity shall consult

12 with appropriate private school officials during the

13 design and development of the programs under this

14 Act, on issues such as—

15 ‘‘(A) how the children’s needs will be iden16 tified;

17 ‘‘(B) what services will be offered;

18 ‘‘(C) how, where, and by whom the services

19 will be provided;

20 ‘‘(D) how the services will be assessed and

21 how the results of the assessment will be used

22 to improve such services;

23 ‘‘(E) the size and scope of the equitable

24 services to be provided to the eligible private

25 school children, teachers, and other educational
817

•HR 1 IH

1 personnel and the amount of funds available for

2 such services; and

3 ‘‘(F) how and when the agency, consor4 tium, or entity will make decisions about the

5 delivery of services, including a thorough con6 sideration and analysis of the views of the pri7 vate school officials on the provision of contract

8 services through potential third party providers.

9 ‘‘(2) DISAGREEMENT.—If the agency, consor10 tium or entity disagrees with the views of the private

11 school officials on the provision of services through

12 a contract, the agency, consortium, or entity shall

13 provide in writing to such private school officials an

14 analysis of the reasons why the local educational

15 agency has chosen not to use a contractor.

16 ‘‘(3) TIMING.—Such consultation shall occur

17 before the agency, consortium, or entity makes any

18 decision that affects the opportunities of eligible pri19 vate school children, teachers, and other educational

20 personnel to participate in programs under this Act,

21 and shall continue throughout the implementation

22 and assessment of activities under this section.

23 ‘‘(4) DISCUSSION REQUIRED.—Such consulta24 tion shall include a discussion of service delivery

25 mechanisms that the agency, consortium, or entity
818

•HR 1 IH

1 could use to provide equitable services to eligible pri2 vate school children, teachers, administrators, and

3 other staff.

4 ‘‘(d) PUBLIC CONTROL OF FUNDS.—

5 ‘‘(1) IN GENERAL.—The control of funds used

6 to provide services under this section, and title to

7 materials, equipment, and property purchased with

8 such funds, shall be in a public agency for the uses

9 and purposes provided in this Act, and a public

10 agency shall administer such funds and property.

11 ‘‘(2) PROVISION OF SERVICES.—

12 ‘‘(A) The provision of services under this

13 section shall be provided—

14 ‘‘(i) by employees of a public agency;

15 or

16 ‘‘(ii) through contract by such public

17 agency with an individual, association,

18 agency, organization, or other entity.

19 ‘‘(B) In the provision of such services, such

20 employee, person, association, agency, organiza21 tion or other entity shall be independent of such

22 private school and of any religious organization,

23 and such employment or contract shall be under

24 the control and supervision of such public agen25 cy.
819

•HR 1 IH

1 ‘‘(C) Funds used to provide services under

2 this section shall not be commingled with non3 Federal funds.

4 ‘‘SEC. 8504. STANDARDS FOR BY-PASS.

5 ‘‘If, by reason of any provision of law, a State edu6 cational agency, local educational agency, educational

7 service agency, consortium, or other entity of such agen8 cies, is prohibited from providing for the participation in

9 programs of children enrolled in, or teachers or other edu10 cational personnel from, private elementary and secondary

11 schools, on an equitable basis, or if the Secretary deter12 mines that such agency consortium or entity has substan13 tially failed or is unwilling to provide for such participa14 tion, as required by section 8503, the Secretary shall—

15 ‘‘(1) waive the requirements of that section for

16 such agency, consortium, or entity;

17 ‘‘(2) arrange for the provision of equitable serv18 ices to such children, teachers, or other educational

19 personnel through arrangements that shall be sub20 ject to the requirements of this section and of sec21 tions 8503, 8505, and 8506; and

22 ‘‘(3) in making the determination, consider one

23 or more factors, including the quality, size, scope, lo24 cation of the program and the opportunity of private
820

•HR 1 IH

1 school children, teachers, and other educational per2 sonnel to participate.

3 ‘‘SEC. 8505. COMPLAINT PROCESS FOR PARTICIPATION OF

4 PRIVATE SCHOOL CHILDREN.

5 ‘‘(a) PROCEDURES FOR COMPLAINTS.—The Sec6 retary shall develop and implement written procedures for

7 receiving, investigating, and resolving complaints from

8 parents, teachers, or other individuals and organizations

9 concerning violations of section 8503 by a State edu10 cational agency, local educational agency, educational

11 service agency, consortium of such agencies or entity.

12 Such individual or organization shall submit such com13 plaint to the State educational agency for a written resolu14 tion by the State educational agency within a reasonable

15 period of time.

16 ‘‘(b) APPEALS TO SECRETARY.—Such resolution may

17 be appealed by an interested party to the Secretary not

18 later than 30 days after the State educational agency re19 solves the complaint or fails to resolve the complaint with20 in a reasonable period of time. Such appeal shall be ac21 companied by a copy of the State educational agency’s res22 olution, and a complete statement of the reasons sup23 porting the appeal. The Secretary shall investigate and re24 solve each such appeal not later than 120 days after re25 ceipt of the appeal.
821

•HR 1 IH

1 ‘‘SEC. 8506. BY-PASS DETERMINATION PROCESS.

2 ‘‘(a) REVIEW.—

3 ‘‘(1) IN GENERAL.—

4 ‘‘(A) The Secretary shall not take any final

5 action under section 8504 until the State edu6 cational agency, local educational agency, edu7 cational service agency, consortium of such

8 agencies or entity affected by such action has

9 had an opportunity, for not less than 45 days

10 after receiving written notice thereof, to submit

11 written objections and to appear before the Sec12 retary to show cause why that action should not

13 be taken.

14 ‘‘(B) Pending final resolution of any inves15 tigation or complaint that could result in a de16 termination under this section, the Secretary

17 may withhold from the allocation of the affected

18 State or local educational agency the amount

19 estimated by the Secretary to be necessary to

20 pay the cost of those services.

21 ‘‘(2) PETITION FOR REVIEW.—

22 ‘‘(A) If such affected agency consortium or

23 entity is dissatisfied with the Secretary’s final

24 action after a proceeding under paragraph (1),

25 such agency consortium or entity may, within

26 60 days after notice of such action, file with the
822

•HR 1 IH

1 United States court of appeals for the circuit in

2 which such State is located a petition for review

3 of that action.

4 ‘‘(B) A copy of the petition shall be forth5 with transmitted by the clerk of the court to the

6 Secretary.

7 ‘‘(C) The Secretary upon receipt of the

8 copy of the petition shall file in the court the

9 record of the proceedings on which the Sec10 retary based this action, as provided in section

11 2112 of title 28, United States Code.

12 ‘‘(3) FINDINGS OF FACT.—

13 ‘‘(A) The findings of fact by the Secretary,

14 if supported by substantial evidence, shall be

15 conclusive, but the court, for good cause shown,

16 may remand the case to the Secretary to take

17 further evidence and the Secretary may then

18 make new or modified findings of fact and may

19 modify the Secretary’s previous action, and

20 shall file in the court the record of the further

21 proceedings.

22 ‘‘(B) Such new or modified findings of fact

23 shall likewise be conclusive if supported by sub24 stantial evidence.

25 ‘‘(4) JURISDICTION.—
823

•HR 1 IH

1 ‘‘(A) Upon the filing of such petition, the

2 court shall have jurisdiction to affirm the action

3 of the Secretary or to set such action aside, in

4 whole or in part.

5 ‘‘(B) The judgment of the court shall be

6 subject to review by the Supreme Court of the

7 United States upon certiorari or certification as

8 provided in section 1254 of title 28, United

9 States Code.

10 ‘‘(b) DETERMINATION.—Any determination by the

11 Secretary under this section shall continue in effect until

12 the Secretary determines, in consultation with such agen13 cy, consortium or entity and representatives of the af14 fected private school children, teachers, or other edu15 cational personnel that there will no longer be any failure

16 or inability on the part of such agency or consortium to

17 meet the applicable requirements of section 8503 or any

18 other provision of this Act.

19 ‘‘(c) PAYMENT FROM STATE ALLOTMENT.—When

20 the Secretary arranges for services pursuant to this sec21 tion, the Secretary shall, after consultation with the ap22 propriate public and private school officials, pay the cost

23 of such services, including the administrative costs of ar24 ranging for those services, from the appropriate allocation

25 or allocations under this Act.
824

•HR 1 IH

1 ‘‘(d) PRIOR DETERMINATION.—Any by-pass deter2 mination by the Secretary under this Act as in effect on

3 the day preceding the date of enactment of the No Child

4 Left Behind Act of 2001 shall remain in effect to the ex5 tent the Secretary determines that such determination is

6 consistent with the purpose of this section.

7 ‘‘SEC. 8507. PROHIBITION AGAINST FUNDS FOR RELIGIOUS

8 WORSHIP OR INSTRUCTION.

9 ‘‘(a) IN GENERAL.—Nothing contained in this Act

10 shall be construed to authorize the making of any payment

11 under this Act for religious worship or instruction.

12 ‘‘(b) INAPPLICABILITY.—Subsection (a) shall not be

13 construed to prohibit the use of funds made available to

14 parents of eligible children for sectarian educational pur15 poses under private school choice provisions of this Act,

16 or to require an eligible private institution to remove reli17 gious art, icons, scripture, or other symbols.

18 ‘‘SEC. 8508. APPLICABILITY.

19 ‘‘Nothing in this Act shall be construed to affect

20 home schools nor shall any home schooled student be re21 quired to participate in any assessment referenced in this

22 Act.
825

•HR 1 IH

1 ‘‘SEC. 8509. PRIVATE SCHOOLS.

2 ‘‘Nothing in this Act shall be construed to affect any

3 private school that does not receive funds or services under

4 this Act.

5 ‘‘SEC. 8510. PRIVACY OF ASSESSMENT RESULTS.

6 ‘‘Any results from individual assessments referenced

7 in this Act which become part of the education records

8 of the student shall have the protections as provided in

9 section 444 of the General Education Provisions Act.

10 ‘‘SEC. 8511. GENERAL PROVISION REGARDING NON11 RECIPIENT NONPUBLIC SCHOOLS.

12 ‘‘Nothing in this Act or any other Act administered

13 by the Department shall be construed to permit, allow,

14 encourage, or authorize any Federal control over any as15 pect of any private, religious, or home school, whether or

16 not a home school is treated as a private school or home

17 school under State law. This section shall not be construed

18 to bar private, religious, or home schools from participa19 tion in programs or services under this Act or any other

20 Act administered by the Department.

21 ‘‘SEC. 8512. SCHOOL PRAYER.

22 ‘‘Notwithstanding any provision of law, no funds

23 made available through the Department of Education

24 under this Act, or any other Act, shall be available to any

25 State or local educational agency which has a policy of

26 denying or which effectively prevents participation in, con-
826

•HR 1 IH

1 stitutionally protected prayer in public schools by individ2 uals on a voluntary basis. Neither the United States nor

3 any State nor any local educational agency shall require

4 any person to participate in prayer or influence the form

5 or content of any constitutionally protected prayer in such

6 public schools.

7 ‘‘SEC. 8513. ATTORNEYS FEES.

8 ‘‘Notwithstanding any other provision of Federal law,

9 a local educational agency or public elementary or sec10 ondary school may use not more than 20 percent of its

11 administrative funds from any program under this Act for

12 payment of attorneys fees and related legal services in the

13 defense of any legal action, brought against a local edu14 cational agency, public elementary or secondary school, or

15 agent of any of such entities, claiming such agency, school,

16 or agent violated the constitutional prohibition against the

17 establishment of religion by permitting, facilitating, or

18 accommodating—

19 ‘‘(1) a student’s religious expression; or

20 ‘‘(2) the design or construction of any memorial

21 which includes religious symbols, motifs, or saying

22 as part of a memorial placed on the campus of a

23 public elementary or secondary school in order to

24 honor the memory of a person slain on that campus.
827

•HR 1 IH

1 ‘‘SEC. 8514. GENERAL PROHIBITIONS.

2 ‘‘(a) PROHIBITION.—None of the funds authorized

3 under this Act shall be used—

4 ‘‘(1) to develop or distribute materials, or oper5 ate programs or courses of instruction directed at

6 youth that are designed to promote or encourage,

7 sexual activity, whether homosexual or heterosexual;

8 ‘‘(2) to distribute or to aid in the distribution

9 by any organization of legally obscene materials to

10 minors on school grounds;

11 ‘‘(3) to provide sex education or HIV preven12 tion education in schools unless such instruction is

13 age appropriate and emphasizes the health benefits

14 of abstinence; or

15 ‘‘(4) to operate a program of contraceptive dis16 tribution in schools.

17 ‘‘(b) LOCAL CONTROL.—Nothing in this section shall

18 be construed to—

19 ‘‘(1) authorize an officer or employee of the

20 Federal Government to mandate, direct, review, or

21 control a State, local educational agency, or schools’

22 instructional content, curriculum, and related activi23 ties;

24 ‘‘(2) limit the application of the General Edu25 cation Provisions Act (20 U.S.C.A. 1221 et seq.);
828

•HR 1 IH

1 ‘‘(3) require the distribution of scientifically or

2 medically false or inaccurate materials or to prohibit

3 the distribution of scientifically or medically true or

4 accurate materials; or

5 ‘‘(4) create any legally enforceable right.

6 ‘‘SEC. 8515. PROHIBITION ON FEDERAL MANDATES, DIREC7 TION, AND CONTROL.

8 ‘‘(a) GENERAL PROHIBITION.—Nothing in this Act

9 shall be construed to authorize an officer or employee of

10 the Federal Government to mandate, direct, or control a

11 State, local educational agency, or school’s curriculum,

12 program of instruction, or allocation of State or local re13 sources, or mandate a State or any subdivision thereof to

14 spend any funds or incur any costs not paid for under

15 this Act.

16 ‘‘(b) PROHIBITION OF FEDERAL MANDATES, DIREC17 TION, OR CONTROL.—Nothing in this Act shall be con18 strued to authorize an officer or employee of the Federal

19 Government to mandate, direct, or control a State, local

20 educational agency, or school’s specific instructional con21 tent or pupil performance standards and assessments, cur22 riculum, or program of instruction as a condition of eligi23 bility to receive funds under this Act.
829

•HR 1 IH

1 ‘‘(c) EQUALIZED SPENDING.—Nothing in this Act

2 shall be construed to mandate equalized spending per

3 pupil for a State, local educational agency, or school.

4 ‘‘(d) BUILDING STANDARDS.—Nothing in this Act

5 shall be construed to mandate national school building

6 standards for a State, local agency, or school.

7 ‘‘SEC. 8516. RULEMAKING.

8 ‘‘The Secretary shall issue regulations under this Act

9 only to the extent that such regulations are necessary to

10 ensure that there is compliance with the specific require11 ments and assurances required by this Act.

12 ‘‘SEC. 8517. REPORT.

13 ‘‘The Secretary shall report to the Congress not later

14 than 180 days after the date of enactment of the No Child

15 Left Behind Act of 2001 regarding how the Secretary

16 shall ensure that audits conducted by Department employ17 ees of activities assisted under this Act comply with

18 changes to this Act made by the No Child Left Behind

19 Act of 2001, particularly with respect to permitting chil20 dren with similar educational needs to be served in the

21 same educational settings, where appropriate.

22 ‘‘SEC. 8518. REQUIRED APPROVAL OR CERTIFICATION PRO23 HIBITED.

24 ‘‘(a) IN GENERAL.—Notwithstanding any other pro25 vision of Federal law, no State shall be required to have
830

•HR 1 IH

1 content standards or student achievement standards ap2 proved or certified by the Federal Government, in order

3 to receive assistance under this Act.

4 ‘‘(b) CONSTRUCTION.—Nothing in this section shall

5 be construed to affect requirements under title I of this

6 Act.

7 ‘‘SEC. 8519. PROHIBITION ON ENDORSEMENT OF CUR8 RICULUM.

9 ‘‘Notwithstanding any other prohibition of Federal

10 law, no funds provided to the Department of Education

11 or to any applicable program may be used by the Depart12 ment to endorse, approve, or sanction any curriculum de13 signed to be used in an elementary or secondary school.

14 ‘‘SEC. 8520. RULE OF CONSTRUCTION ON PERSONALLY

15 IDENTIFIABLE INFORMATION.

16 ‘‘Nothing in this Act shall be construed to permit the

17 development of a national database of personally identifi18 able information on individuals involved in studies or in

19 data collection efforts under this Act.

20 ‘‘PART F—SENSE OF CONGRESS

21 ‘‘SEC. 8601. PAPERWORK REDUCTION.

22 ‘‘(a) FINDINGS.—The Congress finds that—

23 ‘‘(1) instruction and other classroom activities

24 provide the greatest opportunity for students, espe-
831

•HR 1 IH

1 cially at-risk and disadvantaged students, to attain

2 high standards and achieve academic success;

3 ‘‘(2) one of the greatest obstacles to estab4 lishing an effective, classroom-centered education

5 system is the cost of paperwork compliance;

6 ‘‘(3) paperwork places a burden on teachers

7 and administrators who must complete Federal and

8 State forms to apply for Federal funds and absorbs

9 time and money which otherwise would be spent on

10 students;

11 ‘‘(4) the Education at a Crossroads Report re12 leased in 1998 by the Education Subcommittee on

13 Oversight and Investigations states that require14 ments by the Department of Education result in

15 more than $48,600,000 hours of paperwork per

16 year; and

17 ‘‘(5) paperwork distracts from the mission of

18 schools, encumbers teachers, and administrators

19 with nonacademic responsibilities, and competes with

20 teaching and classroom activities which promote

21 learning and achievement.

22 ‘‘(b) SENSE OF CONGRESS.—It is the sense of Con23 gress that Federal and State educational agencies should

24 reduce the paperwork requirements placed on schools,

25 teachers, principles, and other administrators.
832

•HR 1 IH

1 ‘‘SEC. 8602. PROHIBITION ON MANDATORY NATIONAL CER2 TIFICATION OF TEACHERS AND PARA3 PROFESSIONALS.

4 ‘‘(a) PROHIBITION ON MANDATORY TESTING OR

5 CERTIFICATION.—Notwithstanding any other provision of

6 law, the Secretary is prohibited from using Federal funds

7 to plan, develop, implement, or administer any mandatory

8 national teacher or paraprofessional test or certification.

9 ‘‘(b) PROHIBITION ON WITHHOLDING FUNDS.—The

10 Secretary is prohibited from withholding funds from any

11 State or local educational agency if such State or local

12 educational agency fails to adopt a specific method of

13 teacher or paraprofessional certification.

14 ‘‘SEC. 8603. PROHIBITION ON FEDERALLY SPONSORED

15 TESTING.

16 ‘‘Notwithstanding any other provision of Federal law,

17 no funds provided under this Act to the Secretary or to

18 the recipient of any award may be used to develop, pilot

19 test, field test, implement, administer, or distribute any

20 federally sponsored national test in reading, mathematics,

21 or any other subject, unless specifically and explicitly au22 thorized by law.

23 ‘‘SEC. 8604. SENSE OF CONGRESS REGARDING MEMORIALS.

24 ‘‘It is the sense of Congress that—

25 ‘‘(1) the saying of a prayer, the reading of a

26 scripture, or the performance of religious music, as
833

•HR 1 IH

1 part of a memorial service that is held on the cam2 pus of a public elementary or secondary school in

3 order to honor the memory of any person slain on

4 that campus is not objectionable under this Act; and

5 ‘‘(2) the design and construction of any memo6 rial which includes religious symbols, motifs, or

7 sayings that is placed on the campus of a public ele8 mentary or secondary school in order to honor the

9 memory of any person slain on that campus is not

10 objectionable under this Act.

11 ‘‘PART G—EVALUATIONS

12 ‘‘SEC. 8651. EVALUATIONS.

13 ‘‘(a) RESERVATION OF FUNDS.—Except as provided

14 in subsections (b) and (c), the Secretary may reserve not

15 more than 0.5 percent of the amount appropriated to

16 carry out each categorical program and demonstration

17 project authorized under this Act—

18 ‘‘(1) to conduct—

19 ‘‘(A) comprehensive evaluations of the pro20 gram or project; and

21 ‘‘(B) studies of the effectiveness of the pro22 grams or project and its administrative impact

23 on schools and local educational agencies;

24 ‘‘(2) to evaluate the aggregate short- and long25 term effects and cost efficiencies across Federal pro-
834

•HR 1 IH

1 grams assisted or authorized under this Act and re2 lated Federal preschool, elementary and secondary

3 programs under any other Federal law; and

4 ‘‘(3) to increase the usefulness of evaluations of

5 grant recipients in order to ensure the continuous

6 progress of the program or project by improving the

7 quality, timeliness, efficiency, and utilization of in8 formation relating to performance under the pro9 gram or project.

10 ‘‘(b) TITLE I EXCLUDED.—The Secretary may not

11 reserve under subsection (a) funds appropriated to carry

12 out any program authorized under title I.

13 ‘‘(c) EVALUATION ACTIVITIES AUTHORIZED ELSE14 WHERE.—

15 ‘‘(1) IN GENERAL.—If, under any other provi16 sion of this Act (other than title I), funds are au17 thorized to be reserved or used for evaluation activi18 ties with respect to a program or project, the Sec19 retary may not reserve additional funds under this

20 section for the evaluation of such program or

21 project.’’.

22 SEC. 802. COMPREHENSIVE REGIONAL ASSISTANCE CEN23 TERS.

24 (a) IN GENERAL.—Part A of title XIII (20 U.S.C.

25 8621 et seq.)—
835

•HR 1 IH

1 (1) is transferred to the end of title VIII, as

2 amended by section 801; and

3 (2) is redesignated as part H.

4 (b) REDESIGNATION OF SECTIONS.—Sections 13101

5 through 13105 are redesignated as sections 8701 through

6 8705, respectively.

7 (c) CONFORMING AMENDMENTS.—

8 (1) REQUIREMENTS.—Section 8702 (as redesig9 nated by subsection (b)) is amended—

10 (A) by striking ‘‘section 13101(a)’’ and in11 serting ‘‘section 8701(a)’’; and

12 (B) in paragraph (7), by striking ‘‘section

13 13201’’ and inserting ‘‘section 8751’’.

14 (2) MAINTENANCE OF SERVICE.—Section

15 8703(b) (as redesignated by subsection (b)) is

16 amended—

17 (A) in paragraph (1), by striking ‘‘section

18 13102’’ and inserting ‘‘section 8702’’; and

19 (B) in paragraph (2)—

20 (i) by striking ‘‘section 13201’’ and

21 inserting ‘‘section 8751’’; and

22 (ii) by striking ‘‘section 13401’’ and

23 inserting ‘‘section 8851’’.
836

•HR 1 IH

1 (3) TRANSITION.—Section 8704(b)(1) (as re2 designated by subsection (b)) is amended by striking

3 ‘‘section 13105’’ and inserting ‘‘section 8705’’.

4 SEC. 803. NATIONAL DIFFUSION NETWORK.

5 (a) IN GENERAL.—Part B of title XIII (20 U.S.C.

6 8651 et seq.)—

7 (1) is transferred to the end of title VIII, as

8 amended by section 802; and

9 (2) is redesignated as part I.

10 (b) REDESIGNATION OF SECTIONS.—Sections 13201

11 and 13202 are redesignated as sections 8751 and 8752,

12 respectively.

13 (c) CONFORMING AMENDMENT.—Section 8751(f)(4)

14 (as redesignated by subsection (b)) is amended by striking

15 ‘‘section 13401’’ and inserting ‘‘section 8851’’.

16 SEC. 804. EISENHOWER REGIONAL MATHEMATICS AND

17 SCIENCE EDUCATION CONSORTIA.

18 (a) IN GENERAL.—Part C of title XIII (20 U.S.C.

19 8671 et seq.)—

20 (1) is transferred to the end of title VIII, as

21 amended by section 803; and

22 (2) is redesignated as part J.

23 (b) REDESIGNATION OF SECTIONS.—Sections 13301

24 through 13308 are redesignated as sections 8801 through

25 8808, respectively.
837

•HR 1 IH

1 (c) CONFORMING AMENDMENTS.—

2 (1) GRANT AUTHORIZATION.—Section

3 8801(a)(3) (as redesignated by subsection (b)) is

4 amended by striking ‘‘section 13308’’ and inserting

5 ‘‘section 8808’’.

6 (2) USE OF FUNDS.—Section 8802 (as redesig7 nated by subsection (b)) is amended—

8 (A) by striking ‘‘section 13304’’ and in9 serting ‘‘section 8804’’;

10 (B) in paragraph (2), by striking

11 ‘‘13301(a)(1)’’ and inserting ‘‘8801(a)(1)’’; and

12 (C) in paragraph (3), by striking

13 ‘‘13301(a)(1)’’ and inserting ‘‘8801(a)(1)’’.

14 (3) PAYMENTS.—Section 8805 (as redesignated

15 by subsection (b)) is amended in each of subsections

16 (a) and (b) by striking ‘‘section 13303’’ and insert17 ing ‘‘section 8803’’.

18 (4) EVALUATION.—Section 8806(a) (as redesig19 nated by subsection (b)) is amended by striking

20 ‘‘section 14701’’ and inserting ‘‘section 8651’’.

21 (5) DEFINITIONS.—Section 8807(4) (as redes22 ignated by subsection (b)) is amended by striking

23 ‘‘section 13301’’ and inserting ‘‘section 8801’’.
838

•HR 1 IH

1 SEC. 805. TECHNOLOGY-BASED TECHNICAL ASSISTANCE.

2 (a) IN GENERAL.—Part D of title XIII (20 U.S.C.

3 8701)—

4 (1) is transferred to the end of title VIII, as

5 amended by section 804; and

6 (2) is redesignated as part K.

7 (b) REDESIGNATION OF SECTION.—Sections 13401

8 is redesignated as section 8851.

9 TITLE IX—MISCELLANEOUS

10 PROVISIONS

11 PART A—AMENDMENTS TO OTHER ACTS

12 Supart 1—National Education Statistics Act

13 SEC. 901. AMENDMENT TO NESA.

14 Section 411 of the National Education Statistics Act

15 of 1994 (20 U.S.C. 9010) is amended—

16 (1) by amending subsection (b)(2) to read as

17 follows:

18 ‘‘(2) STATE ASSESSMENTS.—(A) The Commis19 sioner, in carrying out the National Assessment—

20 ‘‘(i) may conduct State assessments of stu21 dent achievement in grades 4, 8, and 12; and

22 ‘‘(ii) shall conduct annual State assess23 ments of student achievement in reading and

24 mathematics in grades 4 and 8 in order for

25 States to carry out section 1111(c)(2) of the
839

•HR 1 IH

1 Elementary and Secondary Education Act of

2 1965.

3 ‘‘(B)(i) Except as provided in clause (ii), a par4 ticipating State shall review and give permission for

5 the release of results from any test of its students

6 administered as a part of a State assessment prior

7 to the release of the data. Refusal by a State to re8 lease its data shall not restrict the release of data

9 from other States that have approved the release of

10 that data.

11 ‘‘(ii) A State participating in the annual State

12 assessments of its students in reading and mathe13 matics in grades 4 and 8 shall be deemed to have

14 given its permission to release its data if it has an

15 approved plan under section 1111 of the Elementary

16 and Secondary Education Act of 1965.’’; and

17 (2) by amending subsection (d) to read as fol18 lows:

19 ‘‘(d) PARTICIPATION.—

20 ‘‘(1) NATIONAL AND REGIONAL PARTICIPA21 TION.—Participation in the national and regional as22 sessments by State and local educational agencies

23 shall be voluntary.
840

•HR 1 IH

1 ‘‘(2) STATE PARTICIPATION.—Participation in

2 assessments made on a State basis shall be vol3 untary.’’.

4 Subpart 2—Homeless Education

5 SEC. 911. SHORT TITLE.

6 This subpart may be cited as the ‘‘McKinney-Vento

7 Homeless Education Assistance Improvements Act of

8 2001’’.

9 SEC. 912. FINDINGS.

10 Congress makes the following findings:

11 (1) An estimated 1,000,000 children in the

12 United States will experience homelessness in 2001.

13 (2) Homelessness has a devastating impact on

14 the educational opportunities of children and youth.

15 Homeless children go hungry at more than twice the

16 rate of other children, have four times the rate of

17 delayed development, and are twice as likely to re18 peat a grade.

19 (3) Despite steady progress in school enroll20 ment and attendance resulting from the passage in

21 1987 of the Stewart B. McKinney Homeless Assist22 ance Act, homeless students still face numerous bar23 riers to education, including residency, guardianship

24 and registration requirements, delays in the transfer
841

•HR 1 IH

1 of school records, and inadequate transportation

2 service.

3 (4) School is one of the few secure factors in

4 the lives of homeless children and youth, providing

5 stability, structure, and accomplishment during a

6 time of great upheaval.

7 (5) Homeless children and youth require edu8 cational stability and the opportunity to maintain

9 regular and consistent attendance in school, so that

10 they acquire the skills necessary to escape poverty

11 and lead productive, healthy lives as adults.

12 (6) In the 14 years since the passage of the

13 McKinney Act, educators and service providers have

14 learned much about policies and practices which help

15 remove the barriers described.

16 SEC. 913. PURPOSE.

17 The purpose of this subpart is to strengthen subtitle

18 B of title VII of Public Law 100–77 (42 U.S.C. 11431

19 et seq.) by amending it—

20 (1) to include innovative practices, proven to be

21 effective in helping homeless children and youth en22 roll, attend, and succeed in school; and

23 (2) to help ensure that all children and youth

24 impacted by the loss of fixed, regular, and adequate
842

•HR 1 IH

1 housing receive a quality education and secure their

2 chance for a brighter future.

3 SEC. 914. EDUCATION FOR HOMELESS CHILDREN AND

4 YOUTH.

5 Subtitle B of title VII of Public Law 100–77 (42

6 U.S.C. 11431 et seq.) is amended to read as follows:

7 ‘‘Subtitle B—Education for

8 Homeless Children and Youth

9 ‘‘SEC. 721. STATEMENT OF POLICY.

10 ‘‘It is the policy of the Congress that—

11 ‘‘(1) each State educational agency ensure that

12 each child of a homeless individual and each home13 less youth has equal access to the same free, public

14 education, including a public preschool education, as

15 provided to other children and youth;

16 ‘‘(2) in any State that has a compulsory resi17 dency requirement as a component of the State’s

18 compulsory school attendance laws or other laws,

19 regulations, practices, or policies that may act as a

20 barrier to the enrollment, attendance, or success in

21 school of homeless children and youth, the State re22 view and undertake steps to revise such laws, regula23 tions, practices, or policies to ensure that homeless

24 children and youth are afforded the same free, pub-
843

•HR 1 IH

1 lic education as provided to other children and

2 youth;

3 ‘‘(3) homelessness alone is not sufficient reason

4 to separate students from the mainstream school en5 vironment; and

6 ‘‘(4) homeless children and youth must have ac7 cess to the education and other services that such

8 children and youth need to ensure that such children

9 and youth have an opportunity to meet the same

10 challenging State student performance standards to

11 which all students are held.

12 ‘‘SEC. 722. GRANTS FOR STATE AND LOCAL ACTIVITIES FOR

13 THE EDUCATION OF HOMELESS CHILDREN

14 AND YOUTH.

15 ‘‘(a) GENERAL AUTHORITY.—The Secretary is au16 thorized to make grants to States in accordance with the

17 provisions of this section to enable such States to carry

18 out the activities described in subsections (d), (e), (f), and

19 (g).

20 ‘‘(b) APPLICATION.—No State may receive a grant

21 under this section unless the State educational agency

22 submits an application to the Secretary at such time, in

23 such manner, and containing or accompanied by such in24 formation as the Secretary may reasonably require.

25 ‘‘(c) ALLOCATION AND RESERVATIONS.—
844

•HR 1 IH

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

2 and section 724(d), from the amounts appropriated

3 for each fiscal year under section 726, the Secretary

4 is authorized to allot to each State an amount that

5 bears the same ratio to the amount appropriated for

6 such year under section 726 as the amount allocated

7 under section 1122 of the Elementary and Sec8 ondary Education Act of 1965 to the State for that

9 year bears to the total amount allocated under sec10 tion 1122 to all States for that year, except that no

State shall receive less than $125,000 or 1 11 ⁄2 of 1

12 percent of the amount appropriated under section

13 726, whichever is greater.

14 ‘‘(2) RESERVATION.—(A) The Secretary is au15 thorized to reserve 0.1 percent of the amount appro16 priated for each fiscal year under section 726 to be

17 allocated by the Secretary among the United States

18 Virgin Islands, Guam, American Samoa, and the

19 Commonwealth of the Northern Mariana Islands, ac20 cording to their respective need for assistance under

21 this subtitle, as determined by the Secretary.

22 ‘‘(B)(i) The Secretary shall transfer one percent

23 of the amount appropriated for each fiscal year

24 under section 726 to the Department of the Interior

25 for programs for Indian students served by schools
845

•HR 1 IH

1 funded by the Secretary of the Interior, as deter2 mined under the Indian Self-Determination and

3 Education Assistance Act (25 U.S.C. 450 et seq.),

4 that are consistent with the purposes of this Act.

5 ‘‘(ii) The Secretary and the Secretary of the In6 terior shall enter into an agreement, consistent with

7 the requirements of this part, for the distribution

8 and use of the funds described in clause (i) under

9 terms that the Secretary determines best meet the

10 purposes of the programs described in such clause.

11 Such agreement shall set forth the plans of the Sec12 retary of the Interior for the use of the amounts

13 transferred, including appropriate goals, objectives,

14 and milestones.

15 ‘‘(3) DEFINITION.—As used in this subsection,

16 the term ‘‘State’’ shall not include the United States

17 Virgin Islands, Guam, American Samoa, and the

18 Commonwealth of the Northern Mariana Islands.

19 ‘‘(d) ACTIVITIES.—Grants under this section shall be

20 used—

21 ‘‘(1) to carry out the policies set forth in sec22 tion 721 in the State;

23 ‘‘(2) to provide activities for, and services to,

24 homeless children, including preschool-aged homeless

25 children, and youth that enable such children and
846

•HR 1 IH

1 youth to enroll in, attend, and succeed in school, or,

2 if appropriate, in preschool programs;

3 ‘‘(3) to establish or designate an Office of Coor4 dinator of Education of Homeless Children and

5 Youth in the State educational agency in accordance

6 with subsection (f);

7 ‘‘(4) to prepare and carry out the State plan

8 described in subsection (g); and

9 ‘‘(5) to develop and implement professional de10 velopment programs for school personnel to heighten

11 their awareness of, and capacity to respond to, spe12 cific problems in the education of homeless children

13 and youth.

14 ‘‘(e) STATE AND LOCAL GRANTS.—

15 ‘‘(1) MINIMUM DISBURSEMENTS BY STATES.—

16 From the sums made available each year to carry

17 out this title, the State education agency shall dis18 tribute not less than 75 percent in grants to local

19 educational agencies for the purposes of carrying out

20 section 723, except that States funded at the min21 imum level set forth in section 722(c)(1) shall dis22 tribute not less than 50 percent in grants to local

23 educational agencies for the purposes of carrying out

24 section 723.
847

•HR 1 IH

1 ‘‘(2) USE BY STATE EDUCATIONAL AGENCY.—

2 A State educational agency may use funds made

3 available for State use under this title to conduct ac4 tivities under subsection (f) directly or through

5 grants.

6 ‘‘(3) PROHIBITION ON SEGREGATING HOMELESS

7 STUDENTS.—

8 ‘‘(A) IN GENERAL.—Except as provided in

9 subparagraph (B) and section 723(a)(2)(B)(ii),

10 in providing a free, public education to a home11 less child or youth, no State receiving funds

12 under this subtitle shall segregate such child or

13 youth, either in a separate school, or in a sepa14 rate program within a school, based solely on

15 such child’s or youth’s status as homeless.

16 ‘‘(B) EXCEPTION.—A State that has es17 tablished a separate school for homeless chil18 dren in the fiscal year preceding the date of en19 actment of the McKinney-Vento Homeless Edu20 cation Assistance Improvements Act of 2001

21 shall remain eligible to receive funds under this

22 subtitle for such program.

23 ‘‘(f) FUNCTIONS OF THE OFFICE OF COORDI24 NATOR.—The Coordinator of Education of Homeless Chil25 dren and Youth established in each State shall—
848

•HR 1 IH

1 ‘‘(1) gather, to the extent possible, reliable,

2 valid, and comprehensive information on the nature

3 and extent of the problems homeless children and

4 youth have in gaining access to public preschool pro5 grams and to public elementary and secondary

6 schools, the difficulties in identifying the special

7 needs of such children and youth, any progress made

8 by the State educational agency and local edu9 cational agencies in the State in addressing such

10 problems and difficulties, and the success of the pro11 gram under this subtitle in assisting homeless chil12 dren and youth to enroll in, attend, and succeed in,

13 school;

14 ‘‘(2) develop and carry out the State plan de15 scribed in subsection (g);

16 ‘‘(3) collect and transmit to the Secretary infor17 mation gathered pursuant to paragraphs (1) and (2)

18 at such time and in such manner as the Secretary

19 may require;

20 ‘‘(4) facilitate coordination between the State

21 educational agency, the State social services agency,

22 and other agencies providing services to homeless

23 children and youth, including homeless children, in24 cluding preschool-aged homeless children, and youth,

25 and families of such children and youth; and
849

•HR 1 IH

1 ‘‘(5) in order to improve the provision of com2 prehensive education and related services to home3 less children and youth and their families, coordinate

4 and collaborate with—

5 ‘‘(A) educators, including child develop6 ment and preschool program personnel;

7 ‘‘(B) State and local providers of services

8 to homeless and runaway children and youth

9 and homeless families (including domestic vio10 lence agencies, shelter operators, transitional

11 housing facilities, runaway and homeless youth

12 centers, and transitional living programs for

13 homeless youth);

14 ‘‘(C) local educational agency liaisons for

15 homeless children and youth; and

16 ‘‘(D) State and local community organiza17 tions and groups representing homeless children

18 and youth and their families.

19 ‘‘(6) provide technical assistance to local edu20 cational agencies, in coordination with local liaisons

21 designated under subsection (g)(1)(J)(ii), to ensure

22 that local educational agencies comply with the re23 quirements of paragraphs (3) through (7) of sub24 section (g).

25 ‘‘(g) STATE PLAN.—
850

•HR 1 IH

1 ‘‘(1) IN GENERAL.—Each State shall submit to

2 the Secretary a plan to provide for the education of

3 homeless children and youth within the State, which

4 plan shall—

5 ‘‘(A) describe how such children and youth

6 are or will be given the opportunity to meet the

7 same challenging State student performance

8 standards all students are expected to meet;

9 ‘‘(B) describe the procedures the State

10 educational agency will use to identify such chil11 dren and youth in the State and to assess their

12 special needs;

13 ‘‘(C) describe procedures for the prompt

14 resolution of disputes regarding the educational

15 placement of homeless children and youth;

16 ‘‘(D) describe programs for school per17 sonnel (including principals, attendance officers,

18 teachers, enrollment personnel, and pupil serv19 ices personnel) to heighten the awareness of

20 such personnel of the specific needs of runaway

21 and homeless youth;

22 ‘‘(E) describe procedures that ensure that

23 homeless children and youth who meet the rel24 evant eligibility criteria are able to participate

25 in Federal, State, or local food programs;
851

•HR 1 IH

1 ‘‘(F) describe procedures that ensure

2 that—

3 ‘‘(i) homeless children have equal ac4 cess to the same public preschool pro5 grams, administered by the State agency,

6 as provided to other children;

7 ‘‘(ii) homeless youth and youth sepa8 rated from the public schools are identified

9 and accorded equal access to appropriate

10 secondary education and support services;

11 and

12 ‘‘(iii) homeless children and youth

13 who meet the relevant eligibility criteria

14 are able to participate in Federal, State, or

15 local before- and after-school care pro16 grams;

17 ‘‘(G) address problems set forth in the re18 port provided to the Secretary under subsection

19 (f)(3);

20 ‘‘(H) address other problems with respect

21 to the education of homeless children and

22 youth, including problems caused by—

23 ‘‘(i) transportation issues; and

24 ‘‘(ii) enrollment delays that are caused

25 by—
852

•HR 1 IH

1 ‘‘(I) immunization and medical

2 records requirements;

3 ‘‘(II) residency requirements;

4 ‘‘(III) lack of birth certificates,

5 school records, or other documenta6 tion;

7 ‘‘(IV) guardianship issues; or

8 ‘‘(V) uniform or dress code re9 quirements;

10 ‘‘(I) demonstrate that the State edu11 cational agency and local educational agencies

12 in the State have developed, and shall review

13 and revise, policies to remove barriers to the en14 rollment and retention of homeless children and

15 youth in schools in the State; and

16 ‘‘(J) contain assurances that—

17 ‘‘(i) except as provided in subsection

18 (e)(3)(B), State and local educational

19 agencies will adopt policies and practices to

20 ensure that homeless children and youth

21 are not segregated solely on the basis of

22 their status as homeless; and

23 ‘‘(ii) local educational agencies des24 ignate an appropriate staff person, who

25 may also be a coordinator for other Fed-
853

•HR 1 IH

1 eral programs, as a liaison for homeless

2 children and youth to carry out the duties

3 described in paragraph 6(A).

4 ‘‘(2) COMPLIANCE.—

5 ‘‘(A) IN GENERAL.—Each plan adopted

6 under this subsection shall also describe how

7 the State will ensure that local educational

8 agencies in the State will comply with the re9 quirements of paragraphs (3) through (7).

10 ‘‘(B) COORDINATION.—Such plan shall in11 dicate what technical assistance the State will

12 furnish to local educational agencies and how

13 compliance efforts will be coordinated with the

14 local liaisons established under this subchapter.

15 ‘‘(3) LOCAL EDUCATIONAL AGENCY REQUIRE16 MENTS.—

17 ‘‘(A) IN GENERAL.—The local educational

18 agency serving each child or youth to be as19 sisted under this subtitle shall, according to the

20 child’s or youth’s best interest, either—

21 ‘‘(i) continue the child’s or youth’s

22 education in the school of origin for the

23 duration of homelessness—

24 ‘‘(I) in any case in which a fam25 ily becomes homeless between aca-
854

•HR 1 IH

1 demic years or during the academic

2 year; or

3 ‘‘(II) for the remainder of the

4 academic year, if the child becomes

5 permanently housed during the aca6 demic year; or

7 ‘‘(ii) enroll the child or youth in any

8 public school that nonhomeless students

9 who live in the attendance area in which

10 the child or youth is actually living are eli11 gible to attend.

12 ‘‘(B) BEST INTEREST.—In determining the

13 best interest of the child or youth under sub14 paragraph (A), the local educational agency

15 shall—

16 ‘‘(i) to the extent feasible, keep a

17 homeless child or youth in the school of or18 igin, except when doing so is contrary to

19 the wishes of the child’s or youth’s parent

20 or guardian;

21 ‘‘(ii) provide a written explanation, in22 cluding a statement regarding the right to

23 appeal under subparagraph (E), to the

24 homeless child or youth’s parent or guard25 ian if the local educational agency sends
855

•HR 1 IH

1 such child or youth to a school other than

2 the school of origin or a school requested

3 by the parent or guardian; and

4 ‘‘(iii) in the case of an unaccompanied

5 youth, ensure that the homeless liaison

6 designated under paragraph (1)(J)(2) as7 sists in placement or enrollment decisions

8 under this subparagraph and provides no9 tice to such youth of the right to appeal

10 under subparagraph (E).

11 ‘‘(C) ENROLLMENT.—(i) The school se12 lected in accordance with this paragraph shall

13 immediately enroll pursuant to section 725(2)

14 the homeless child or youth, even if the child or

15 youth is unable to produce records normally re16 quired for enrollment, such as previous aca17 demic records, medical records, proof of resi18 dency, or other documentation.

19 ‘‘(ii) The enrolling school shall immediately

20 contact the school last attended by the child or

21 youth to obtain relevant academic and other

22 records.

23 ‘‘(iii) If the child or youth needs to obtain

24 immunizations or immunization or medical

25 records, the enrolling school shall immediately
856

•HR 1 IH

1 refer the parent or guardian of the child or

2 youth to the liaison who shall assist in obtain3 ing necessary immunizations or immunization

4 or medical records in accordance with subpara5 graph (E).

6 ‘‘(D) RECORDS.—Any record ordinarily

7 kept by the school, including immunization or

8 medical records, academic records, birth certifi9 cates, guardianship records, and evaluations for

10 special services or programs, of each homeless

11 child or youth shall be maintained—

12 ‘‘(i) so that the records are available,

13 in a timely fashion, when a child or youth

14 enters a new school or school district; and

15 ‘‘(ii) in a manner consistent with sec16 tion 444 of the General Education Provi17 sions Act (20 U.S.C. 1232g).

18 ‘‘(E) ENROLLMENT DISPUTES.—If a dis19 pute arises over school selection or enrollment

20 in a school—

21 ‘‘(i) the child or youth shall be imme22 diately admitted to the school in which en23 rollment is sought, pending resolution of

24 the dispute;
857

•HR 1 IH

1 ‘‘(ii) the parent or guardian of the

2 child or youth shall be provided with a

3 written explanation of the school’s decision

4 regarding school selection or enrollment,

5 including the rights of the parent, guard6 ian, or youth to appeal the decision;

7 ‘‘(iii) the child, youth, parent, or

8 guardian shall be referred to the local liai9 son designated under paragraph (1)(J)(ii),

10 who shall carry out the dispute resolution

11 process as described in paragraph (1)(A)

12 as expeditiously as possible after receiving

13 notice of the dispute; and

14 ‘‘(iv) in the case of an unaccompanied

15 youth, the homeless liaison shall ensure

16 that the youth is immediately enrolled in

17 school pending resolution of the dispute.

18 ‘‘(F) PLACEMENT CHOICE.—The choice re19 garding placement shall be made regardless of

20 whether the child or youth lives with the home21 less parents or has been temporarily placed

22 elsewhere.

23 ‘‘(G) SCHOOL OF ORIGIN DEFINED.—In

24 this paragraph, the term ‘‘school of origin’’

25 means the school that the child or youth at-
858

•HR 1 IH

1 tended when permanently housed or the school

2 in which the child or youth was last enrolled.

3 ‘‘(H) CONTACT INFORMATION.—Nothing

4 in this subtitle shall prohibit a local educational

5 agency from requiring a parent or guardian of

6 a homeless child to submit contact information

7 required by the local educational agency of a

8 parent or guardian of a nonhomeless child.

9 ‘‘(4) COMPARABLE SERVICES.—Each homeless

10 child or youth to be assisted under this subtitle shall

11 be provided services comparable to services offered

12 to other students in the school selected under para13 graph (3), including—

14 ‘‘(A) transportation services;

15 ‘‘(B) educational services for which the

16 child or youth meets the eligibility criteria, such

17 as services provided under title I of the Elemen18 tary and Secondary Education Act of 1965 or

19 similar State or local programs, educational

20 programs for children with disabilities, and edu21 cational programs for students with limited22 English proficiency;

23 ‘‘(C) programs in vocational and technical

24 education;
859

•HR 1 IH

1 ‘‘(D) programs for gifted and talented stu2 dents; and

3 ‘‘(E) school nutrition programs.

4 ‘‘(5) COORDINATION.—

5 ‘‘(A) IN GENERAL.—Each local educational

6 agency serving homeless children and youth

7 that receives assistance under this subtitle shall

8 coordinate—

9 ‘‘(i) the provision of services under

10 this subtitle with local social services agen11 cies and other agencies or programs pro12 viding services to homeless children and

13 youth and their families, including services

14 and programs funded under the Runaway

15 and Homeless Youth Act (42 U.S.C. 5701

16 et seq.); and

17 ‘‘(ii) with other local educational

18 agencies on interdistrict issues, such as

19 transportation or transfer of school

20 records.

21 ‘‘(B) HOUSING ASSISTANCE.—If applica22 ble, each State and local educational agency

23 that receives assistance under this subtitle shall

24 coordinate with State and local housing agen25 cies responsible for developing the comprehen-
860

•HR 1 IH

1 sive housing affordability strategy described in

2 section 105 of the Cranston-Gonzales National

3 Affordable Housing Act (42 U.S.C. 12705) to

4 minimize educational disruption for children

5 and youth who become homeless.

6 ‘‘(C) COORDINATION PURPOSE.—The co7 ordination required under subparagraphs (A)

8 and (B) shall be designed to—

9 ‘‘(i) ensure that homeless children and

10 youth have access and reasonable prox11 imity to available education and related

12 support services; and

13 ‘‘(ii) raise the awareness of school

14 personnel and service providers of the ef15 fects of short-term stays in a shelter and

16 other challenges associated with homeless17 ness.

18 ‘‘(6) LIAISON.—

19 ‘‘(A) DUTIES.—Each local liaison for

20 homeless children and youth, designated under

21 paragraph (1)(J)(ii), shall ensure that—

22 ‘‘(i) homeless children and youth are

23 identified by school personnel and through

24 coordination activities with other entities

25 and agencies;
861

•HR 1 IH

1 ‘‘(ii) homeless children and youth en2 roll in, and have an equal opportunity to

3 succeed in, schools of that agency;

4 ‘‘(iii) homeless families, children, and

5 youth receive educational services for

6 which such families, children, and youth

7 are eligible, including Head Start and

8 Even Start programs and preschool pro9 grams administered by the local edu10 cational agency, and referrals to health

11 care services, dental services, mental health

12 services, and other appropriate services;

13 ‘‘(iv) the parents or guardians of

14 homeless children and youth are informed

15 of the education and related opportunities

16 available to their children and are provided

17 with meaningful opportunities to partici18 pate in the education of their children;

19 ‘‘(v) public notice of the educational

20 rights of homeless children and youth is

21 disseminated where such children and

22 youth receive services under this Act, such

23 as family shelters and soup kitchens; and

24 ‘‘(vi) enrollment disputes are mediated

25 in accordance with subsection (g)(3)(E).
862

•HR 1 IH

1 ‘‘(B) NOTICE.—State coordinators whose

2 duties are described under subsection (d) and

3 local educational agencies shall inform school

4 personnel, service providers, and advocates

5 working with homeless families of the duties of

6 the liaisons.

7 ‘‘(C) LOCAL AND STATE COORDINATION.—

8 Local educational agency liaisons for homeless

9 children and youth shall, as a part of their du10 ties, coordinate and collaborate with State coor11 dinators and community and school personnel

12 responsible for the provision of education and

13 related services to homeless children and youth.

14 ‘‘(7) REVIEW AND REVISIONS.—

15 ‘‘(A) IN GENERAL.—Each State edu16 cational agency and local educational agency

17 that receives assistance under this subtitle,

18 shall review and revise any policies that may act

19 as barriers to the enrollment of homeless chil20 dren and youth in schools selected in accord21 ance with paragraph (3).

22 ‘‘(B) CONSIDERATION.—In reviewing and

23 revising such policies, consideration shall be

24 given to issues concerning transportation, im25 munization, residency, birth certificates, school
863

•HR 1 IH

1 records and other documentation, and guard2 ianship.

3 ‘‘(C) SPECIAL ATTENTION.—Special atten4 tion shall be given to ensuring the enrollment

5 and attendance of homeless children and youth

6 who are not currently attending school.

7 ‘‘SEC. 723. LOCAL EDUCATIONAL AGENCY GRANTS FOR THE

8 EDUCATION OF HOMELESS CHILDREN AND

9 YOUTH.

10 ‘‘(a) GENERAL AUTHORITY.—

11 ‘‘(1) IN GENERAL.—The State educational

12 agency shall, in accordance with section 722(e) and

13 from amounts made available to such agency under

14 section 726, make grants to local educational agen15 cies for the purpose of facilitating the enrollment,

16 attendance, and success in school of homeless chil17 dren and youth.

18 ‘‘(2) SERVICES.—

19 ‘‘(A) IN GENERAL.—Services under para20 graph (1)—

21 ‘‘(i) may be provided through pro22 grams on school grounds or at other facili23 ties;

24 ‘‘(ii) shall, to the maximum extent

25 practicable, be provided through existing
864

•HR 1 IH

1 programs and mechanisms that integrate

2 homeless children and youth with non3 homeless children and youth; and

4 ‘‘(iii) shall be designed to expand or

5 improve services provided as part of a

6 school’s regular academic program, but not

7 to replace such services provided under

8 such program.

9 ‘‘(B) SERVICES ON SCHOOL GROUNDS.—If

10 services under paragraph (1) are provided on

11 school grounds, schools—

12 ‘‘(i) may use funds under this subtitle

13 to provide the same services to other chil14 dren and youth who are determined by the

15 local educational agency to be at risk of

16 failing in, or dropping out of, schools, sub17 ject to the requirements of clause (ii);

18 ‘‘(ii) except as otherwise provided in

19 section 722(e)(3)(B), shall not provide

20 services in settings within a school that

21 segregates homeless children and youth

22 from other children and youth, except as is

23 necessary for short periods of time—

24 ‘‘(I) for health and safety emer25 gencies; or
865

•HR 1 IH

1 ‘‘(II) to provide temporary, spe2 cial, and supplementary services to

3 meet the unique needs of homeless

4 children and youth.

5 ‘‘(3) REQUIREMENT.—Services provided under

6 this section shall not replace the regular academic

7 program and shall be designed to expand upon or

8 improve services provided as part of the school’s reg9 ular academic program.

10 ‘‘(b) APPLICATION.—A local educational agency that

11 desires to receive a grant under this section shall submit

12 an application to the State educational agency at such

13 time, in such manner, and containing or accompanied by

14 such information as the State educational agency may rea15 sonably require. Each such application shall include—

16 ‘‘(1) an assessment of the educational and re17 lated needs of homeless children and youth, as de18 fined in section 725(1) and (2), in the area served

19 by such agency (which may be undertaken as part

20 of needs assessments for other disadvantaged

21 groups);

22 ‘‘(2) a description of the services and programs

23 for which assistance is sought to address the needs

24 identified in paragraph (1); and
866

•HR 1 IH

1 ‘‘(3) an assurance that the local educational

2 agency’s combined fiscal effort per student, or the

3 aggregate expenditures of that agency and the State

4 with respect to the provision of free public education

5 by such agency for the fiscal year preceding the fis6 cal year for which the determination is made, was

7 not less than 90 percent of such combined fiscal ef8 fort or aggregate expenditures for the second fiscal

9 year preceding the fiscal year for which the deter10 mination is made;

11 ‘‘(4) an assurance that the applicant complies

12 with, or will use requested funds to comply with,

13 paragraphs (3) through (7) of section 722(g); and

14 ‘‘(5) a description of policies and procedures,

15 consistent with section 722(e)(3)(B), that the agency

16 will implement to ensure that activities carried out

17 by the agency will not isolate or stigmatize homeless

18 children and youth.

19 ‘‘(c) AWARDS.—

20 ‘‘(1) IN GENERAL.—The State educational

21 agency shall, in accordance with the requirements of

22 this subtitle and from amounts made available to it

23 under section 726, make competitive subgrants to

24 local educational agencies that submit applications

25 under subsection (b). Such subgrants shall be
867

•HR 1 IH

1 awarded on the basis of the need of such agencies

2 for assistance under this subtitle and the quality of

3 the applications submitted.

4 ‘‘(2) NEED.—In determining need under para5 graph (1), the State educational agency may con6 sider the number of homeless children and youth en7 rolled in preschool, elementary, and secondary

8 schools within the area served by the agency, and

9 shall consider the needs of such children and youth

10 and the ability of the agency to meet such needs.

11 Such agency may also consider—

12 ‘‘(A) the extent to which the proposed use

13 of funds would facilitate the enrollment, reten14 tion, and educational success of homeless chil15 dren and youth;

16 ‘‘(B) the extent to which the application—

17 ‘‘(i) reflects coordination with other

18 local and State agencies that serve home19 less children and youth; and

20 ‘‘(ii) meets the requirements of sec21 tion 722(g)(3);

22 ‘‘(C) the extent to which the applicant ex23 hibits in the application and in current practice

24 a commitment to education for all homeless

25 children and youth; and
868

•HR 1 IH

1 ‘‘(D) such other criteria as the State agen2 cy determines appropriate.

3 ‘‘(3) QUALITY.—In determining the quality of

4 applications under paragraph (1), the State edu5 cational agency shall consider—

6 ‘‘(A) the applicant’s needs assessment

7 under subsection (b)(1) and the likelihood that

8 the program presented in the application will

9 meet such needs;

10 ‘‘(B) the types, intensity, and coordination

11 of the services to be provided under the pro12 gram;

13 ‘‘(C) the involvement of parents or guard14 ians;

15 ‘‘(D) the extent to which homeless children

16 and youth will be integrated within the regular

17 education program;

18 ‘‘(E) the quality of the applicant’s evalua19 tion plan for the program;

20 ‘‘(F) the extent to which services provided

21 under this subtitle will be coordinated with

22 other available services; and

23 ‘‘(G) such other measures as the State

24 educational agency considers indicative of a

25 high-quality program.
869

•HR 1 IH

1 ‘‘(4) DURATION OF GRANTS.—Grants awarded

2 under this section shall be for terms not to exceed

3 3 years.

4 ‘‘(d) AUTHORIZED ACTIVITIES.—A local educational

5 agency may use funds awarded under this section for ac6 tivities to carry out the purpose of this subtitle,

7 including—

8 ‘‘(1) the provision of tutoring, supplemental in9 struction, and enriched educational services that are

10 linked to the achievement of the same challenging

11 State content standards and challenging State stu12 dent performance standards the State establishes for

13 other children and youth;

14 ‘‘(2) the provision of expedited evaluations of

15 the strengths and needs of homeless children and

16 youth, including needs and eligibility for programs

17 and services (such as educational programs for gift18 ed and talented students, children with disabilities,

19 and students with limited-English proficiency, serv20 ices provided under title I of the Elementary and

21 Secondary Education Act of 1965 or similar State

22 or local programs, programs in vocational and tech23 nical education, and school nutrition programs);

24 ‘‘(3) professional development and other activi25 ties for educators and pupil services personnel that
870

•HR 1 IH

1 are designed to heighten the understanding and sen2 sitivity of such personnel to the needs of homeless

3 children and youth, the rights of such children and

4 youth under this Act, and the specific educational

5 needs of runaway and homeless youth;

6 ‘‘(4) the provision of referral services to home7 less children and youth for medical, dental, mental,

8 and other health services;

9 ‘‘(5) the provision of assistance to defray the

10 excess cost of transportation for students pursuant

11 to section 722(g)(4)(A), not otherwise provided

12 through Federal, State, or local funding, where nec13 essary to enable students to attend the school se14 lected under section 722(g)(3);

15 ‘‘(6) the provision of developmentally appro16 priate early childhood education programs, not oth17 erwise provided through Federal, State, or local

18 funding, for preschool-aged children;

19 ‘‘(7) the provision of services and assistance to

20 attract, engage, and retain homeless youth (as de21 scribed in paragraphs (1) and (2) of section 725) in

22 public school programs and services provided to non23 homeless youth;

24 ‘‘(8) the provision for homeless children and

25 youth of before- and after-school, mentoring, and
871

•HR 1 IH

1 summer programs in which a teacher or other quali2 fied individual provides tutoring, homework assist3 ance, and supervision of educational activities;

4 ‘‘(9) if necessary, the payment of fees and other

5 costs associated with tracking, obtaining, and trans6 ferring records necessary to enroll homeless children

7 and youth in school, including birth certificates, im8 munization or medical records, academic records,

9 guardianship records, and evaluations for special

10 programs or services;

11 ‘‘(10) the provision of education and training to

12 the parents of homeless children and youth about

13 the rights of, and resources available to, such chil14 dren and youth;

15 ‘‘(11) the development of coordination between

16 schools and agencies providing services to homeless

17 children and youth, as described in section

18 722(g)(5);

19 ‘‘(12) the provision of pupil services (including

20 violence prevention counseling) and referrals for

21 such services;

22 ‘‘(13) activities to address the particular needs

23 of homeless children and youth that may arise from

24 domestic violence;
872

•HR 1 IH

1 ‘‘(14) the adaptation of space and purchase of

2 supplies for nonschool facilities made available under

3 subsection (a)(2) to provide services under this sub4 section;

5 ‘‘(15) the provision of school supplies, including

6 those supplies to be distributed at shelters or tem7 porary housing facilities, or other appropriate loca8 tions; and

9 ‘‘(16) the provision of other extraordinary or

10 emergency assistance needed to enable homeless chil11 dren and youth to attend school.

12 ‘‘SEC. 724. SECRETARIAL RESPONSIBILITIES.

13 ‘‘(a) REVIEW OF PLANS.—In reviewing the State

14 plan submitted by a State educational agency under sec15 tion 722(g), the Secretary shall use a peer review process

16 and shall evaluate whether State laws, policies, and prac17 tices described in such plans adequately address the prob18 lems of homeless children and youth relating to access to

19 education and placement as described in such plans.

20 ‘‘(b) TECHNICAL ASSISTANCE.—The Secretary shall

21 provide support and technical assistance to the State edu22 cational agencies to assist such agencies to carry out their

23 responsibilities under this subtitle, if requested by the

24 State educational agency.
873

•HR 1 IH

1 ‘‘(c) NOTICE.—The Secretary shall, before the next

2 school year that begins after the date of the enactment

3 of the McKinney-Vento Homeless Education Assistance

4 Improvements Act of 2001, create and disseminate nation5 wide a public notice of the educational rights of homeless

6 children and youth and disseminate such notice to other

7 Federal agencies, programs, and grantees, including Head

8 Start grantees, Health Care for the Homeless grantees,

9 Emergency Food and Shelter grantees, and homeless as10 sistance programs administered by the Department of

11 Housing and Urban Development.

12 ‘‘(d) EVALUATION AND DISSEMINATION.—The Sec13 retary shall conduct evaluation and dissemination activi14 ties of programs designed to meet the educational needs

15 of homeless elementary and secondary school students,

16 and may use funds appropriated under section 726 to con17 duct such activities.

18 ‘‘(e) SUBMISSION AND DISTRIBUTION.—The Sec19 retary shall require applications for grants under this sub20 title to be submitted to the Secretary not later than the

21 expiration of the 60-day period beginning on the date that

22 funds are available for purposes of making such grants

23 and shall make such grants not later than the expiration

24 of the 120-day period beginning on such date.
874

•HR 1 IH

1 ‘‘(f) DETERMINATION BY SECRETARY.—The Sec2 retary, based on the information received from the States

3 and information gathered by the Secretary under sub4 section (e), shall determine the extent to which State edu5 cational agencies are ensuring that each homeless child

6 and homeless youth has access to a free appropriate public

7 education as described in section 721(1).

8 ‘‘(g) INFORMATION.—

9 ‘‘(1) IN GENERAL.—From funds appropriated

10 under section 726, the Secretary shall, either di11 rectly or through grants, contracts, or cooperative

12 agreements, periodically collect and disseminate data

13 and information regarding—

14 ‘‘(A) the number and location of homeless

15 children and youth;

16 ‘‘(B) the education and related services

17 such children and youth receive;

18 ‘‘(C) the extent to which such needs are

19 being met; and

20 ‘‘(D) such other data and information as

21 the Secretary deems necessary and relevant to

22 carry out this subtitle.

23 ‘‘(2) COORDINATION.—The Secretary shall co24 ordinate such collection and dissemination with
875

•HR 1 IH

1 other agencies and entities that receive assistance

2 and administer programs under this subtitle.

3 ‘‘(h) REPORT.—Not later than 4 years after the date

4 of the enactment of the McKinney-Vento Homeless Edu5 cation Assistance Improvements Act of 2001, the Sec6 retary shall prepare and submit to the President and the

7 Committee on Education and the Workforce of the House

8 of Representatives and the Committee on Health, Edu9 cation, Labor, and Pensions of the Senate a report on the

10 status of education of homeless children and youth, which

11 shall include information on—

12 ‘‘(1) the education of homeless children and

13 youth; and

14 ‘‘(2) the actions of the Department and the ef15 fectiveness of the programs supported under this

16 subtitle.

17 ‘‘SEC. 725. DEFINITIONS.

18 ‘‘In this subtitle:

19 ‘‘(1) The term ‘homeless children and youth’—

20 ‘‘(A) means individuals who lack a fixed,

21 regular, and adequate nighttime residence

22 (within the meaning of section 103(a)(1));

23 ‘‘(B) includes—

24 ‘‘(i) children and youth who are living

25 in doubled-up accommodations sharing the
876

•HR 1 IH

1 housing of another due to loss of housing,

2 economic hardship or a similar reason, are

3 living in motels, hotels, trailer parks, or

4 camping grounds due to the lack of alter5 native adequate accommodations, are living

6 in emergency or transitional shelters, are

7 abandoned in hospitals, or are awaiting

8 foster care placement;

9 ‘‘(ii) individuals who have a primary

10 nighttime residence that is a public or pri11 vate place not designed for or ordinarily

12 used as a regular sleeping accommodation

13 for human beings (within the meaning of

14 section 103(a)(2)(C)); and

15 ‘‘(iii) children and youth who are liv16 ing in cars, parks, public spaces, aban17 doned buildings or substandard housing,

18 bus or train stations, or similar settings;

19 and

20 ‘‘(B) does not include migratory children

21 (as such term is defined in section 1309(2) of

22 the Elementary and Secondary Education Act

23 of 1965, unless such children are staying in ac24 commodations not fit for habitation.
877

•HR 1 IH

1 ‘‘(2) The term ‘unaccompanied youth’ includes

2 youth not in the physical custody of a parent or

3 guardian.

4 ‘‘(3) The terms ‘enroll’ and ‘enrollment’ include

5 within their meaning the right to attend classes and

6 to participate fully in school activities.

7 ‘‘(4) The terms ‘local educational agency’ and

8 ‘State educational agency’ have the meanings given

9 such terms in section 8101 of the Elementary and

10 Secondary Education Act of 1965.

11 ‘‘(5) The term ‘Secretary’ means the Secretary

12 of Education.

13 ‘‘(6) The term ‘State’ means each of the 50

14 States, the District of Columbia, and the Common15 wealth of Puerto Rico.

16 ‘‘SEC. 726. AUTHORIZATION OF APPROPRIATIONS.

17 ‘‘For the purpose of carrying out this subtitle, there

18 are authorized to be appropriated $36,000,000 for fiscal

19 year 2002 and such sums as may be necessary for each

20 of the fiscal years 2003 through 2006.’’.

21 SEC. 915. TECHNICAL AMENDMENT.

22 (a) IN GENERAL.—Section 1 of Public Law 106–400

23 (42 U.S.C. 11301) is amended by striking ‘‘Section 1’’

24 and inserting ‘‘Section 101’’.
878

•HR 1 IH

1 (b) EFFECTIVE DATE.—The amendment made by

2 subsection (a) shall be deemed to be effective on the date

3 of enactment of Public Law 106–400.

4 PART B—REPEALS

5 SEC. 921. REPEALS.

6 The following provisions are repealed:

7 (1) GOALS.—Parts A and C of title II and title

8 VI of Goals 2000: Educate America Act.

9 (2) TROOPS-TO-TEACHERS PROGRAM ACT OF

10 1999.—The Troops-to-Teachers Program Act of

11 1999 (title XVII of Public Law 106–65; 20 U.S.C.

12 9301 et seq.).

13 (3) ESEA.—

14 (A) Part B of title IX, relating to Native

15 Hawaiians.

16 (B) Title X, relating to programs of na17 tional significance.

18 (C) Title XI, relating to coordinated serv19 ices.

20 (D) Title XII, relating to education infra21 structure.

22 (E) The title heading of title XIII and sec23 tions 13001 and 13002.

Æ