HR 366 PCS 
the remainder of the 88 percent, not more than 10 
percent may be used in accordance with subsection 
(c). 
‘‘(2) Subject to paragraph (4), not more than 
10 percent shall be made available to carry out State 
leadership activities described in section 124, of 
which—
‘‘(A) an amount equal to not more than 1 
percent of the amount allotted to the State 
under section 111 for the fiscal year shall be 
made available to serve individuals in State in-
stitutions, such as State correctional institu-
tions and institutions that serve individuals 
with disabilities; and 
‘‘(B) not less than $60,000 and not more 
than $150,000 shall be available for services 
that prepare individuals for nontraditional 
fields. 
‘‘(3) An amount equal to not more than 2 per-
cent, or $250,000, whichever is greater, shall be 
made available for administration of the State plan, 
which may be used for the costs of—
‘‘(A) developing the State plan; 
‘‘(B) reviewing the local plan;
HR 366 PCS 
‘‘(C) monitoring and evaluating program 
effectiveness; 
‘‘(D) assuring compliance with all applica-
ble Federal laws; and 
‘‘(E) providing technical assistance. 
‘‘(4) If the amount allocated for any fiscal year 
under paragraph (2) shall be less than the amount 
allocated under such paragraph for fiscal year 2005, 
additional amounts may be made available from the 
amount allocated under paragraph (1) for the pur-
poses described in paragraph (2). If such additional 
amounts are made available under this paragraph, 
the percentage of the total amount allotted under 
section 111 that is allocated for the purposes de-
scribed in paragraph (2) shall not exceed the per-
centage of the total amount allotted under section 
111 for fiscal year 2005 that was allocated under 
paragraph (2) for fiscal year 2005.’’; and 
(2) in subsection (c)—
(A) in paragraph (1)—
(i) in subparagraph (B), by striking 
the semicolon and inserting ‘‘; and’’; 
(ii) in subparagraph (C), by striking 
‘‘; and’’ and inserting a period; and
HR 366 PCS 
(iii) by striking subparagraph (D); 
and 
(B) in paragraph (2), by striking ‘‘through 
(D)’’ and inserting ‘‘through (C)’’. 
SEC. 8. ACCOUNTABILITY. 
(a) PURPOSE.—Section 113(a) (20 U.S.C. 2323(a)) 
is amended—
(1) by striking ‘‘establish a State’’ and insert-
ing ‘‘support a State and local’’; and 
(2) by inserting ‘‘and its eligible recipients’’ 
after ‘‘effectiveness of the State’’. 
(b) STATE
PERFORMANCE
MEASURES.—Section 
113(b) (20 U.S.C. 2323(b)) is amended—
(1) in paragraph (2)—
(A) by redesignating subparagraphs (B) 
through (D) as subparagraphs (C) through (E), 
respectively; 
(B) in subparagraph (A)—
(i) in the subparagraph heading, by 
inserting ‘‘FOR
SECONDARY
STUDENTS’’ 
after ‘‘PERFORMANCE’’; 
(ii) by inserting ‘‘of secondary stu-
dents that are, to the extent practicable, 
valid and reliable and’’ after ‘‘indicators of 
performance’’;
HR 366 PCS 
(iii) in clause (i), by striking ‘‘State 
established academic,’’ and inserting ‘‘aca-
demic content and achievement standards, 
as established by the State under section 
1111(b)(1) of the Elementary and Sec-
ondary Education Act of 1965 (20 U.S.C. 
6311(b)(1)),’’; 
(iv) in clause (ii)—
(I) by striking ‘‘or its recognized 
equivalent,’’ and inserting ‘‘, General 
Education 
Development 
credential 
(GED), or other State-recognized 
equivalent (including recognized alter-
native standards for individuals with 
disabilities), or’’; and 
(II) by striking ‘‘, or a postsec-
ondary degree or credential’’; 
(v) by amending clause (iii) to read as 
follows: 
‘‘(iii) Student graduation rates (as de-
scribed in section 1111(b)(2)(C)(vi) of the 
Elementary and Secondary Education Act 
of 1965 (20 U.S.C. 6311(b)(2)(C)(vi))).’’;
HR 366 PCS 
(vi) by redesignating clause (iv) as 
clause (v) and inserting after clause (iii) 
the following: 
‘‘(iv) Placement in postsecondary edu-
cation or advanced training, placement in 
military service, or placement in employ-
ment.’’; and 
(vii) in clause (v) (as so redesignated), 
by striking ‘‘training and employment’’ 
and inserting ‘‘fields’’; 
(C) by inserting after subparagraph (A) 
the following: 
‘‘(B) CORE INDICATORS OF PERFORMANCE 
FOR POSTSECONDARY STUDENTS.—Each eligi-
ble agency shall identify in the State plan core 
indicators of performance of postsecondary stu-
dents that are, to the extent practicable, valid 
and reliable, and that include, at a minimum, 
measures of each of the following: 
‘‘(i) Student attainment of challenging 
academic and vocational and technical skill 
proficiencies. 
‘‘(ii) Student retention in postsec-
ondary education, attainment of an asso-
ciate degree or postsecondary credential, or
HR 366 PCS 
transfer to a baccalaureate degree pro-
gram. 
‘‘(iii) Placement in military service or 
placement or retention in employment. 
‘‘(iv) Student participation in and 
completion of vocational and technical edu-
cation programs in nontraditional fields.’’; 
(D) in subparagraph (C) (as so redesig-
nated), by striking ‘‘under the title’’ and insert-
ing ‘‘under this title’’; and 
(E) in subparagraph (D) (as so redesig-
nated), by inserting ‘‘vocational and technical 
education’’ after ‘‘has developed State’’; and 
(2) in paragraph (3)—
(A) by amending the paragraph heading to 
read as follows: 
‘‘(3) STATE
LEVELS
OF
PERFORMANCE.—’’; 
and 
(B) in subparagraph (A)—
(i) in clause (i)—
(I) 
by 
striking 
‘‘paragraph 
(2)(A)’’ and inserting ‘‘subparagraphs 
(A) and (B) of paragraph (2)’’; and 
(II) in subclause (II), by striking 
‘‘to continually’’ and all that follows
HR 366 PCS 
through ‘‘performance’’, and inserting 
‘‘to make continuous and substantial 
improvement in the academic and vo-
cational and technical achievement’’; 
(ii) by amending clause (v) to read as 
follows: 
‘‘(v) AGREEMENT
ON
STATE
AD-
JUSTED
LEVELS
OF
PERFORMANCE
FOR 
SUBSEQUENT YEARS.—
‘‘(I) 3RD
AND
4TH
PROGRAM 
YEARS.—Prior to the third program 
year covered by the State plan, the 
Secretary and each eligible agency 
shall reach agreement on the State 
adjusted levels of performance for 
each of the core indicators of perform-
ance for the third and fourth pro-
grams years covered by the State 
plan, taking into account the factors 
described in clause (vi). 
‘‘(II) 5TH
AND
6TH
PROGRAM 
YEARS.—Prior to the fifth program 
year covered by the State plan, the 
Secretary and each eligible agency 
shall reach agreement on the State
HR 366 PCS 
adjusted levels of performance for 
each of the core indicators of perform-
ance for the fifth and sixth programs 
years covered by the State plan, tak-
ing into account the factors described 
in clause (vi). 
‘‘(III) 
AGREEMENTS
INCOR-
PORATED
INTO
STATE
PLAN.—The 
State adjusted levels of performance 
agreed to under this clause shall be 
considered the State adjusted levels of 
performance for the State for such 
years and shall be incorporated into 
the State plan.’’; 
(iii) in clause (vi)(II), by inserting 
‘‘and substantial’’ after ‘‘continuous’’; and 
(iv) in clause (vii)—
(I) by striking ‘‘clause (vi)(II)’’ 
and inserting ‘‘clause (vi)’’; and 
(II) by striking ‘‘under clause 
(iii) or (vi)’’ and inserting ‘‘under 
clause (iii) or (v)’’. 
(c) LOCAL
LEVELS
OF
PERFORMANCE.—Section 
113(b) is further amended by adding at the end the fol-
lowing:
HR 366 PCS 
‘‘(4) LOCAL LEVELS OF PERFORMANCE.—
‘‘(A) LOCAL ADJUSTED LEVELS OF PER-
FORMANCE
FOR
CORE
INDICATORS
OF
PER-
FORMANCE.—
‘‘(i) IN GENERAL.—Each eligible re-
cipient shall establish in the local plan sub-
mitted under section 134, levels of per-
formance for each of the core indicators of 
performance described in paragraph (2)(A) 
and (B), as appropriate for the eligible re-
cipient, for vocational and technical edu-
cation activities authorized under this title. 
The levels of performance established 
under this subparagraph shall, at a min-
imum—
‘‘(I) be expressed in a percentage 
or numerical form, so as to be objec-
tive, quantifiable, and measurable; 
and 
‘‘(II) require the eligible recipient 
to make continuous and substantial 
improvement in the academic and vo-
cational and technical achievement of 
vocational and technical education 
students.
HR 366 PCS 
‘‘(ii) IDENTIFICATION IN THE LOCAL 
PLAN.—Each eligible recipient shall iden-
tify, in the local plan submitted under sec-
tion 134, levels of performance for each of 
the core indicators of performance for the 
first 2 program years covered by the local 
plan. 
‘‘(iii) AGREEMENT
ON
LOCAL
AD-
JUSTED
LEVELS
OF
PERFORMANCE
FOR 
FIRST 2 YEARS.—The eligible agency and 
each eligible recipient shall reach agree-
ment on the levels of performance for each 
of the core indicators of performance, for 
the first 2 program years covered by the 
local plan, taking into account the levels 
identified in the local plan under clause (ii) 
and the factors described in clause (v). The 
levels of performance agreed to under this 
clause shall be considered to be the local 
adjusted level of performance for the eligi-
ble recipient for such years and shall be in-
corporated into the local plan prior to the 
approval of such plan.
HR 366 PCS 
‘‘(iv) AGREEMENT
ON
LOCAL
AD-
JUSTED
LEVELS
OF
PERFORMANCE
FOR 
SUBSEQUENT YEARS.—
‘‘(I) 3RD
AND
4TH
PROGRAM 
YEARS.—Prior to the third program 
year covered by the local plan, the eli-
gible agency and each eligible recipi-
ent shall reach agreement on the local 
adjusted levels of performance for 
each of the core indicators of perform-
ance for the third and fourth program 
years covered by the local plan, taking 
into account the factors described in 
clause (v). 
‘‘(II) 5TH
AND
6TH
PROGRAM 
YEARS.—Prior to the fifth program 
year covered by the local plan, the eli-
gible agency and each eligible recipi-
ent shall reach agreement on the local 
adjusted levels of performance for 
each of the core indicators of perform-
ance for the fifth and sixth program 
years covered by the local plan, taking 
into account the factors described in 
clause (v).
HR 366 PCS 
‘‘(III) 
AGREEMENTS
INCOR-
PORATED
INTO
LOCAL
PLAN.—The 
local adjusted levels of performance 
agreed to under this clause shall be 
considered to be the local adjusted 
levels of performance for the eligible 
recipient for such years and shall be 
incorporated into the local plan. 
‘‘(v) FACTORS.—The agreement de-
scribed in clause (iii) or (iv) shall take into 
account—
‘‘(I) how the levels of perform-
ance involved compare with the local 
adjusted levels of performance estab-
lished for other eligible recipients tak-
ing into account factors including the 
characteristics of participants when 
the participants entered the program 
and the services or instruction to be 
provided; and 
‘‘(II) the extent to which such 
levels of performance promote contin-
uous and substantial improvement on 
the indicators of performance by such 
eligible recipient.
HR 366 PCS 
‘‘(vi) REVISIONS.—If unanticipated 
circumstances arise with respect to an eli-
gible recipient resulting in a significant 
change in the factors described in clause 
(v), the eligible recipient may request that 
the local adjusted levels of performance 
agreed to under clause (iii) or (iv) be re-
vised. The eligible agency shall issue objec-
tive criteria and methods for making such 
revisions. 
‘‘(B) LEVELS OF PERFORMANCE FOR AD-
DITIONAL INDICATORS.—Each eligible recipient 
may identify in the local plan, local levels of 
performance for any additional indicators of 
performance. Such levels shall be considered to 
be the local levels of performance for purposes 
of this title. 
‘‘(C) LOCAL REPORT.—
‘‘(i) CONTENT OF REPORT.—Each eli-
gible recipient that receives an allotment 
under section 111 shall annually prepare 
and submit to the eligible agency a report 
regarding—
‘‘(I) the progress of such recipi-
ent in achieving the local adjusted lev-
HR 366 PCS 
els of performance on the core indica-
tors of performance; and 
‘‘(II) in the case of an eligible re-
cipient that receives funds described 
in section 112(a) for activities de-
scribed in section 135(b)(3), the 
progress in achieving the local ad-
justed levels of performance on the 
core indicators of performance with 
respect to tech-prep program partici-
pants. 
‘‘(ii) DATA.—Each eligible recipient 
shall—
‘‘(I) disaggregate data for each 
of the indicators of performance under 
section 113(b)(2) for the categories of 
students enumerated under section 
1111(b)(2)(C)(v)(II) of the Elemen-
tary and Secondary Education Act of 
1965 that are served under this Act; 
and 
‘‘(II) identify and quantify any 
disparities or gaps in performance be-
tween any such category of students 
and the performance of all students
HR 366 PCS 
served by the eligible recipient under 
the Act. 
‘‘(iii) RULES
FOR
REPORTING
OF 
DATA.—The disaggregation of data under 
clause (ii) shall be required except in a 
case in which the number of students in a 
category is insufficient to yield statistically 
reliable information or in which the results 
would reveal personally identifiable infor-
mation about an individual student. 
‘‘(iv) AVAILABILITY.—The report de-
scribed in clause (i) shall be made available 
to the public through a variety of formats, 
including electronically through the Inter-
net.’’. 
(d) STATE REPORT.—Section 113(c) (20 U.S.C. 
2323(c)) is amended—
(1) by redesignating paragraphs (2) and (3) as 
paragraphs (4) and (5), respectively, and inserting 
after paragraph (1) the following: 
‘‘(2) DATA.—Each eligible agency under this 
subsection shall—
‘‘(A) disaggregate data for each of the in-
dicators of performance under section 113(b)(2) 
for the categories of students enumerated under
HR 366 PCS 
section 1111(b)(2)(C)(v)(II) of the Elementary 
and Secondary Education Act of 1965 that are 
served under this Act; and 
‘‘(B) identify and quantify any disparities 
or gaps in performance between any such cat-
egory of students and the performance of all 
students served by the eligible agency under the 
Act. 
‘‘(3) RULES FOR REPORTING OF DATA.—The 
disaggregation of data under paragraph (2) shall be 
required except in a case in which the number of 
students in a category is insufficient to yield statis-
tically reliable information or in which the results 
would reveal personally identifiable information 
about an individual student.’’; and 
(2) in paragraph (4) (as so redesignated)—
(A) by striking ‘‘special populations’’ and 
inserting ‘‘each of the populations described in 
section 3(25) and the populations described in 
section 1111(h)(1)(C)(i) of the Elementary and 
Secondary Education Act of 1965 (20 U.S.C. 
6311(h)(1)(C)(i))’’; and 
(B) by striking ‘‘have made’’ and inserting 
‘‘has made’’.
HR 366 PCS 
SEC. 9. NATIONAL ACTIVITIES. 
(a) PROGRAM PERFORMANCE INFORMATION.—Sec-
tion 114(a)(3) (20 U.S.C. 2324(a)(3)) is amended by in-
serting ‘‘in the aggregate’’ after ‘‘international compari-
sons’’. 
(b) EVALUATION AND ASSESSMENT.—Section 114(c) 
(20 U.S.C. 2324(c)) is amended—
(1) by amending paragraph (2) to read as fol-
lows: 
‘‘(2) INDEPENDENT
ADVISORY
PANEL.—The 
Secretary shall appoint an independent advisory 
panel, consisting of academic and vocational and 
technical education educators, administrators, ex-
perts in evaluation, research, and assessment, rep-
resentatives of labor organizations, businesses, par-
ents, guidance and counseling professionals, and 
other individuals with relevant expertise, to advise 
the Secretary on the implementation of the assess-
ment described in paragraph (3), including the 
issues to be addressed and the methodology of the 
studies involved to ensure the assessment adheres to 
the highest standards of quality. The advisory panel 
shall transmit to the Secretary and to Congress an 
independent analysis of the findings and rec-
ommendations resulting from such assessment. The 
Federal Advisory Committee Act (5 U.S.C. App.)
HR 366 PCS 
shall not apply to the panel established under this 
subsection.’’; 
(2) in paragraph (3)—
(A) in subparagraph (A), by inserting ‘‘the 
implementation of the’’ after ‘‘and assessment 
of’’; 
(B) in subparagraph (B)—
(i) by inserting ‘‘but shall not be lim-
ited to’’ after ‘‘paragraph (1) shall in-
clude’’; 
(ii) by striking clauses (i), (ii), (iv), 
and (vii) and redesignating clauses (iii), 
(v), (vi), and (viii) as clauses (i) through 
(iv), respectively; 
(iii) in clause (i) (as so redesignated), 
by striking ‘‘, and academic, curricula in 
vocational and technical education pro-
grams,’’ and inserting ‘‘education (such as 
meeting State established teacher certifi-
cation or licensing requirements)’’; and 
(iv) in clause (ii) (as so redesig-
nated)—
(I) by striking ‘‘and employment 
outcomes’’ 
and 
all 
that 
follows 
through ‘‘including analyses of’’ and
HR 366 PCS 
inserting ‘‘and vocational and tech-
nical education achievement and em-
ployment outcomes of vocational and 
technical education students, includ-
ing analyses of’’; 
(II) in subclause (I), by striking 
‘‘and tech-prep students’’ and insert-
ing ‘‘and students participating in the 
activities 
described 
in 
section 
135(b)(3)’’; 
(III) in subclause (II), by strik-
ing ‘‘academic, and vocational and 
technical, education’’ and inserting 
‘‘rigorous and challenging academic 
and vocational and technical edu-
cation, including a review of the effect 
of integrated rigorous and challenging 
academic and vocational and technical 
education on the achievement of stu-
dents’’; and 
(IV) in subclause (III), by insert-
ing ‘‘, particularly those in which 
math and science skills are critical,’’ 
after ‘‘high-skill careers’’; and 
(C) in subparagraph (C)—
HR 366 PCS 
(i) in clause (i)—
(I) by striking ‘‘the Committee 
on Education and the Workforce of 
the House of Representatives and the 
Committee on Labor and Human Re-
sources of the Senate’’ and inserting 
‘‘Congress’’; and 
(II) by striking ‘‘2002’’ and in-
serting ‘‘2009’’ both places it appears; 
and 
(ii) in clause (ii), by striking ‘‘the 
Committee on Education and the Work-
force of the House of Representatives, the 
Committee on Labor and Human Re-
sources of the Senate,’’ and inserting 
‘‘Congress’’; 
(3) in paragraph (5)(A)—
(A) by striking ‘‘to carry out research’’ 
each place it appears, and inserting ‘‘to carry 
out scientifically based research’’; 
(B) in clause (i), by inserting ‘‘scientif-
ically based’’ after ‘‘programs, including’’; 
(C) in clause (ii), by inserting ‘‘that are in-
tegrated with rigorous and challenging aca-
demic education’’ after ‘‘implementation of vo-
HR 366 PCS 
cational and technical education programs’’; 
and 
(D) in clause (iii)(I), by inserting ‘‘and the 
integration of those systems with the academic 
education system’’ after ‘‘technical education 
systems’’; 
(4) in paragraph (6)—
(A) by striking: 
‘‘(6) DEMONSTRATIONS AND DISSEMINATION.—
‘‘(A) DEMONSTRATION
PROGRAM.—The’’, 
and inserting: 
‘‘(6) DEMONSTRATIONS AND DISSEMINATION.—
The’’; and 
(B) by striking subparagraph (B); and 
(5) in paragraph (8), by striking ‘‘this section’’ 
and all that follows and inserting ‘‘subsections (a), 
(b), and (c) of this section, such sums as may be 
necessary for each of fiscal years 2006 through 
2011.’’. 
(c) INCENTIVE GRANTS FOR ELIGIBLE AGENCIES.—
Section 114 is further amended by adding at the end the 
following new subsection: 
‘‘(d) INCENTIVE GRANTS
FOR ELIGIBLE AGEN-
CIES.—
HR 366 PCS 
‘‘(1) IN GENERAL.—From funds reserved under 
section 111(a)(1)(C), the Secretary may award 
grants to eligible agencies for exemplary perform-
ance in carrying out programs under this Act. Such 
awards shall be based on an eligible agency exceed-
ing State adjusted levels of performance established 
under section 113(b) and showing sustained or sig-
nificant improvement. 
‘‘(2) SPECIAL
CONSIDERATION.—In awarding 
these grants, the Secretary may consider—
‘‘(A) an eligible agency’s success in effec-
tively developing connections between secondary 
education and postsecondary education and 
training; 
‘‘(B) an eligible agency’s integration of rig-
orous and challenging academic and technical 
coursework; and 
‘‘(C) an eligible agency’s progress in hav-
ing special populations participating in voca-
tional and technical education meet State ad-
justed levels of performance. 
‘‘(3) USE OF FUNDS.—The funds awarded to 
an eligible agency under this subsection may be used 
to carry out any activities authorized under section
HR 366 PCS 
124, including demonstrations of innovative pro-
grams.’’. 
SEC. 10. OUTLYING AREAS, NATIVE AMERICAN PROGRAMS, 
AND TRIBALLY CONTROLLED INSTITUTIONS. 
(a) ASSISTANCE FOR THE OUTLYING AREAS.—Sec-
tion 115 (20 U.S.C. 2325) is amended to read as follows: 
‘‘SEC. 115. ASSISTANCE FOR THE OUTLYING AREAS. 
‘‘(a) OUTLYING AREAS.—From funds reserved pur-
suant to section 111(a)(1)(A), the Secretary shall—
‘‘(1) make a grant in the amount of $660,000 
to Guam; 
‘‘(2) make a grant in the amount of $350,000 
to each of American Samoa and the Commonwealth 
of the Northern Mariana Islands; and 
‘‘(3) make a grant in the amount of $160,000 
to the Republic of Palau. 
‘‘(b) REMAINDER.—Subject to the provisions of sub-
section (a), the Secretary shall make a grant of the re-
mainder 
of 
funds 
reserved 
pursuant 
to 
section 
111(a)(1)(A), in equal proportion, to each of Guam, 
American Samoa, and the Commonwealth of the Northern 
Mariana Islands, for the purpose of providing direct voca-
tional and technical educational services, including—
‘‘(1) teacher and counselor training and retrain-
ing;
HR 366 PCS 
‘‘(2) curriculum development; and 
‘‘(3) the improvement of vocational and tech-
nical education and training programs in secondary 
schools and institutions of higher education, or im-
proving cooperative education programs involving 
both secondary schools and institutions of higher 
education. 
‘‘(c) RESTRICTION.—The Republic of Palau shall 
cease to be eligible to receive funding under this section 
upon entering into an agreement for extension of United 
States educational assistance under the Compact of Free 
Association after the date of enactment of the Vocational 
and Technical Education for the Future Act.’’. 
(b) NATIVE AMERICAN PROGRAM.—Section 116 (20 
U.S.C. 2326) is amended—
(1) in subsection (a), by inserting a period at 
the end of paragraph (5); and 
(2) in subsection (b)—
(A) in paragraph (1), by striking ‘‘sub-
section (d)’’ and inserting ‘‘subsection (c)’’; and 
(B) in paragraph (2), by striking ‘‘(other 
than in subsection (i))’’. 
(c) TRIBALLY CONTROLLED INSTITUTIONS.—Section 
117 (20 U.S.C. 2327) is amended—
HR 366 PCS 
(1) by amending subsection (b) to read as fol-
lows: 
‘‘(b) USES OF GRANTS.—Amounts made available 
under this section shall be used for vocational and tech-
nical education programs for Indian students and for in-
stitutional support costs of the grant, including the ex-
penses described in subsection (e).’’; 
(2) in subsection (c), by inserting after para-
graph (2) the following: 
‘‘(3) INDIRECT
COSTS.—Notwithstanding any 
other provision of law or regulation, the Secretary 
shall not require the use of a restricted indirect cost 
rate for grants issued under this section.’’; 
(3) by striking subsection (g) and redesignating 
subsections (h) and (i) as subsections (g) and (h), 
respectively; and 
(4) in subsection (h) (as so redesignated)—
(A) by striking ‘‘$4,000,000 for fiscal year 
1999 and’’; and 
(B) by striking ‘‘the 4 succeeding fiscal 
years’’ and inserting ‘‘fiscal years 2006 through 
2011’’. 
(d) OCCUPATIONAL
AND EMPLOYMENT INFORMA-
TION.—Section 118 (20 U.S.C. 2328) is amended—
HR 366 PCS 
(1) by amending subsection (b) to read as fol-
lows: 
‘‘(b) STATE LEVEL ACTIVITIES.—
‘‘(1) DESIGNATED
ENTITY.—In order for a 
State to receive a grant under this section, the eligi-
ble agency and the Governor of the State shall joint-
ly designate an entity in the State responsible for 
conducting the activities in this subsection. 
‘‘(2) APPLICATION.—The jointly designated 
agency shall submit an application to the Secretary 
at the same time the State submits its state plan 
under section 122. The application shall be in such 
a manner and be accompanied by such information 
as the Secretary may reasonably require. At a min-
imum, the application shall describe how the jointly 
designated agency will assist the eligible agency in 
meeting its adjusted levels of performance under sec-
tion 113(b). 
‘‘(3) ACTIVITIES.—The jointly designated agen-
cy shall conduct activities—
‘‘(A) to provide support for career guid-
ance and academic counseling programs de-
signed to promote improved career and edu-
cation decision making by students (and par-
ents, as appropriate) regarding education and
HR 366 PCS 
training options and preparations for high skill, 
high wage occupations; 
‘‘(B) to make available to students, par-
ents, teachers, administrators, and counselors, 
and improve accessibility to, information and 
planning resources that relate academic and vo-
cational and technical educational preparation 
to career goals and expectations; 
‘‘(C) to equip teachers, administrators, and 
counselors with the knowledge, skills, and occu-
pational information needed to assist students 
and parents with educational and other postsec-
ondary opportunities and education financing; 
‘‘(D) to assist appropriate State entities in 
tailoring resources and training for use by such 
entities; 
‘‘(E) to improve coordination and commu-
nication among administrators and planners of 
programs authorized by this Act and by section 
15 of the Wagner-Peyser Act (29 U.S.C. 49l–
2) at the Federal, State, and local levels to en-
sure nonduplication of efforts and the appro-
priate use of shared information and data; and 
‘‘(F) to provide ongoing means for cus-
tomers, such as students and parents, to pro-
HR 366 PCS 
vide comments and feedback on products and 
services and to update resources, as appro-
priate, to better meet customer requirements.’’; 
(2) in subsection (e)(1), by striking ‘‘an identi-
fication’’ and inserting ‘‘a description’’; and 
(3) in subsection (f), by striking ‘‘1999 through 
2003’’ and inserting ‘‘2006 through 2011’’. 
SEC. 11. STATE ADMINISTRATION. 
Section 121 (20 U.S.C. 2341) is amended to read as 
follows: 
‘‘SEC. 121. STATE ADMINISTRATION. 
‘‘(a) ELIGIBLE AGENCY RESPONSIBILITIES.—The re-
sponsibilities of an eligible agency under this title shall 
include—
‘‘(1) coordination of the development, submis-
sion, and implementation of the State plan, and the 
evaluation of the program, services, and activities as-
sisted under this title, including preparation for non-
traditional fields; 
‘‘(2) consultation with the Governor and appro-
priate agencies, groups, and individuals including 
parents, students, teachers, representatives of busi-
nesses, labor organizations, eligible recipients, State 
and local officials, and local program administrators, 
involved in the planning, administration, evaluation,
HR 366 PCS 
and coordination of programs funded under this 
title; 
‘‘(3) convening and meeting as an eligible agen-
cy (consistent with State law and procedure for the 
conduct of such meetings) at such time as the eligi-
ble agency determines necessary to carry out the eli-
gible agency’s responsibilities under this title, but 
not less than four times annually; and 
‘‘(4) the adoption of such procedures as the eli-
gible agency considers necessary to—
‘‘(A) implement State level coordination 
with the activities undertaken by the State 
boards under section 111 of Public Law 105–
220; and 
‘‘(B) make available to the service delivery 
system under section 121 of Public Law 105–
220 within the State a listing of all school drop-
out, postsecondary, and adult programs assisted 
under this title. 
‘‘(b) EXCEPTION.—Except with respect to the re-
sponsibilities set forth in subsection (a), the eligible agen-
cy may delegate any of the other responsibilities of the 
eligible agency that involve the administration, operation, 
supervision of activities assisted under this title, in whole 
or in part, to one or more appropriate State agencies.’’.
HR 366 PCS 
SEC. 12. STATE PLAN. 
Section 122 (20 U.S.C. 2342) is amended—
(1) in subsection (a)—
(A) in paragraph (1), by striking ‘‘5-year 
period’’ and inserting ‘‘6-year period’’; 
(B) in paragraph (2)(B), by striking ‘‘5 
year State plan’’ and inserting ‘‘6-year period’’; 
and 
(C) in paragraph (3), by striking ‘‘(includ-
ing employers, labor organizations, and par-
ents)’’ and inserting ‘‘(including charter school 
authorizers and organizers, employers, labor or-
ganizations, parents, students, and community 
organizations)’’; 
(2) in subsection (b)(1), by striking ‘‘teachers, 
eligible recipients, parents, students, interested com-
munity members’’ and inserting ‘‘academic and vo-
cational and technical education teachers, eligible re-
cipients, charter school authorizers and organizers, 
parents, students, interested community members 
(including parent and community organizations), in-
stitutions of higher education’’; 
(3) in subsection (c)—
(A) in paragraph (1)—
(i) by redesignating subparagraphs 
(A) through (D) as subparagraphs (B)
HR 366 PCS 
through (E), respectively, and inserting be-
fore such subparagraphs (as so redesig-
nated) the following: 
‘‘(A) the development of model sequences 
of courses for vocational and technical content 
areas that—
‘‘(i) incorporate both secondary and 
postsecondary education elements; 
‘‘(ii) include rigorous and challenging 
academic content and vocational and tech-
nical content in a coordinated, nonduplica-
tive progression of courses that align sec-
ondary education with postsecondary edu-
cation to adequately prepare sudents to 
succeed in postsecondary education; 
‘‘(iii) lead to a postsecondary 1-year 
certificate, associate or baccalaureate de-
gree, or a proficiency credential in conjunc-
tion with a secondary school diploma; and 
‘‘(iv) may be adopted by local edu-
cational agencies and postsecondary insti-
tutions to be offered as an option to stu-
dents (and their parents as appropriate), 
when choosing future coursework;’’;
HR 366 PCS 
(ii) in subparagraph (B) (as so redes-
ignated), by inserting ‘‘and how the eligible 
agency will distribute information identi-
fying eligible recipients that offer elements 
of the model sequences of courses’’ before 
the semicolon; 
(iii) by amending subparagraph (C) 
(as so redesignated) to read as follows: 
‘‘(C) the criteria that will be used by the 
eligible agency to evaluate and approve eligible 
recipients for funds under this title, including 
criteria to assess the extent to which the local 
plan will promote continuous and substantial 
improvement in academic achievement and tech-
nical skill attainment;’’; 
(iv) in subparagraph (D) (as so redes-
ignated)—
(I) by inserting ‘‘, both academi-
cally and technically,’’ after ‘‘stu-
dents’’; and 
(II) by striking ‘‘; and’’ and in-
serting ‘‘, and how participating stu-
dents will be made aware of such op-
portunities;’’;
HR 366 PCS 
(v) in subparagraph (E) (as so redes-
ignated), by inserting ‘‘aligned with rig-
orous and challenging academic content’’ 
before the semicolon; and 
(vi) by inserting after subparagraph 
(E) (as so redesignated) the following: 
‘‘(F) the process through which the eligible 
agency will develop the secondary or postsec-
ondary elements of the model sequences of 
courses described in subparagraph (A); 
‘‘(G) the role that any eligible recipients 
successfully implementing the activities de-
scribed in section 135(b)(3) will play in assist-
ing other eligible recipients in establishing 
agreements and plans for coordinating the of-
fering of model sequences of courses to students 
at both the secondary and postsecondary levels; 
‘‘(H) how funds will be used effectively to 
link secondary and postsecondary academic and 
vocational and technical education in a manner 
that increases student academic and vocational 
and technical achievement; and 
‘‘(I) how the eligible agency will report the 
integration of rigorous and challenging aca-
demics in vocational and technical education
HR 366 PCS 
programs in order to adequately evaluate the 
quality of such integration;’’; 
(B) by amending paragraph (2) to read as 
follows: 
‘‘(2) describes how comprehensive professional 
development (including initial teacher preparation 
and activities that support recruitment) for voca-
tional and technical, academic, guidance, and admin-
istrative personnel will be provided, especially profes-
sional development that—
‘‘(A) promotes the integration of rigorous 
and challenging academic and vocational and 
technical education curriculum development; 
‘‘(B) increases the percentage of teachers 
that meet teacher certification or licensing re-
quirements; 
‘‘(C) increases the academic and industry 
knowledge of vocational and technical education 
teachers; and 
‘‘(D) encourages applied learning that con-
tributes to the academic and vocational and 
technical knowledge of the student;’’; 
(C) in paragraph (3), by inserting ‘‘aca-
demic and vocational and technical’’ after ‘‘par-
ents,’’;
HR 366 PCS 
(D) in paragraph (5)(A)—
(i) by inserting ‘‘(especially as per-
taining to math, science, and technology)’’ 
after ‘‘academic and technical skills’’; and 
(ii) by striking ‘‘core academic, and 
vocational and technical, subjects’’ and in-
serting ‘‘core academic subjects (as defined 
in section 9101(11) of the Elementary and 
Secondary Education Act of 1965 (20 
U.S.C. 7801(11))), and vocational and 
technical subjects’’; 
(E) in paragraph (11), by inserting ‘‘and 
technology’’ after ‘‘equipment’’; 
(F) by striking paragraph (19) and redes-
ignating paragraphs (12) through (18) as para-
graphs (13) through (19), respectively; 
(G) by inserting after paragraph (11) the 
following: 
‘‘(12) describes how the eligible agency will en-
sure that any entity in the State that purchases 
equipment with funds under this Act will dispose of 
that equipment in such a manner as to ensure that 
any personally identifiable information contained in 
that equipment will be totally destroyed prior to, or 
as part of, the disposition;’’;
HR 366 PCS 
(H) in paragraph (18) (as so redesig-
nated), by striking ‘‘training and employment’’ 
and inserting ‘‘fields’’; and 
(I) by redesignating paragraphs (20) and 
(21) as paragraphs (22) and (23), respectively, 
and inserting after paragraph (19) (as so redes-
ignated) the following: 
‘‘(20) describes how the eligible agency will 
award grants, on a competitive basis or on the basis 
of a formula determined by the eligible agency, using 
funds described in section 112 (a) (1) for activities 
described in section 135(b)(3); 
‘‘(21) describes how the eligible agency will 
carry out measurable, sustainable, and coordinated 
tech-prep activities in the State (as described in sec-
tion 135(b)(3)), with funds allocated under section 
112(a), that are developed in consultation with the 
entities described in subsection (b)(1) and that effec-
tively prepare students for post-secondary education 
or employment in high-demand occupations through 
a seamless program of study consisting of appro-
priate advanced academic and technical courses that 
include a minimum of 2 years of secondary school 
preceding graduation and a minimum of 2 years of
HR 366 PCS 
higher education or an apprenticeship program of at 
least 2 years following secondary instruction;’’; and 
(4) by striking subsections (d) and (f) and re-
designating subsection (e) as subsection (d). 
SEC. 13. IMPROVEMENT PLANS. 
Section 123 (20 U.S.C. 2343) is amended to read as 
follows: 
‘‘SEC. 123. IMPROVEMENT PLANS. 
‘‘(a) STATE PROGRAM IMPROVEMENT.—
‘‘(1) PLAN.—If a State fails to meet the agreed 
upon State adjusted levels of performance required 
under section 113(b)(3), the eligible agency shall de-
velop and implement a program improvement plan 
(with special consideration to performance gaps 
identified under section 113(c)(2)) in consultation 
with the appropriate agencies, individuals, and orga-
nizations for the first program year succeeding the 
program year in which the eligible agency failed to 
meet the State adjusted levels of performance, in 
order to avoid a sanction under paragraph (3). 
‘‘(2) TECHNICAL
ASSISTANCE.—If the Sec-
retary determines that an eligible agency is not 
properly implementing the eligible agency’s respon-
sibilities under section 122, or is not making sub-
stantial progress in meeting the purposes of this
HR 366 PCS 
Act, based on the State’s adjusted levels of perform-
ance, the Secretary shall work with the eligible agen-
cy to implement improvement activities consistent 
with the requirements of this Act. 
‘‘(3) SUBSEQUENT ACTION.—
‘‘(A) IN GENERAL.—If an eligible agency 
fails to meet the State adjusted levels of per-
formance and the purposes of this Act, has not 
implemented an improvement plan as described 
in paragraph (1), has shown no improvement 
within 1 year after implementing an improve-
ment plan as described in paragraph (1), or has 
failed to meet the State adjusted levels of per-
formance and the purposes of this Act for 2 or 
more consecutive years, the Secretary may, 
after notice and opportunity for a hearing, 
withhold from the eligible agency all, or a por-
tion of, the eligible agency’s allotment under 
this title. 
‘‘(B) WAIVER
FOR
EXCEPTIONAL
CIR-
CUMSTANCES.—The Secretary may waive the 
sanction in subparagraph (A) due to exceptional 
or uncontrollable circumstances, such as a nat-
ural disaster or a precipitous and unforeseen 
decline in the financial resources of the State.