I 
119TH CONGRESS 
2D SESSION 
H. R. 7340 
To provide for the long-term improvement of public school facilities, and 
for other purposes. 
IN THE HOUSE OF REPRESENTATIVES 
FEBRUARY 4, 2026 
Mr. SCOTT of Virginia (for himself, Mr. NORCROSS, Mr. SMITH of Wash-
ington, Mr. PANETTA, Ms. SA´NCHEZ, Ms. TOKUDA, Ms. WILSON of Flor-
ida, Ms. STRICKLAND, Ms. SCHAKOWSKY, Mr. BEYER, Ms. PLASKETT, 
Mr. HORSFORD, Mr. MORELLE, Ms. ROSS, Mr. MAGAZINER, Mr. 
CASTEN, Ms. LEE of Pennsylvania, Mr. TAKANO, Ms. NORTON, Mr. 
MCGARVEY, Ms. MCCLELLAN, Ms. BARRAGA´N, Ms. PINGREE, Mr. 
MANNION, Mr. LANDSMAN, Mr. BISHOP, Mrs. MCBATH, Mr. SWALWELL, 
Ms. ELFRETH, Mr. GOLDMAN of New York, Mrs. CHERFILUS-MCCOR-
MICK, Ms. BONAMICI, Mr. CARSON, Mr. MRVAN, Mrs. BEATTY, Ms. 
SIMON, Mr. FOSTER, Mr. DAVID SCOTT of Georgia, Mr. LIEU, Mr. DAVIS 
of Illinois, Ms. DEAN of Pennsylvania, Mrs. TRAHAN, Ms. CRAIG, Mr. 
DELUZIO, Ms. SCANLON, Ms. CASTOR of Florida, Ms. JACOBS, Mr. 
MFUME, Mrs. HAYES, Ms. BUDZINSKI, Ms. SALINAS, Ms. BROWNLEY, 
Ms. LOIS FRANKEL of Florida, Mr. LATIMER, Mrs. MCCLAIN DELANEY, 
Ms. MOORE of Wisconsin, Ms. STANSBURY, Mr. MOULTON, Ms. TLAIB, 
Mr. COURTNEY, Mr. VARGAS, Ms. OMAR, Ms. KAPTUR, Mr. CARBAJAL, 
Mr. THOMPSON of Mississippi, Ms. DEGETTE, Ms. LOFGREN, Ms. 
ESCOBAR, Mr. MULLIN, Mrs. GRIJALVA, Mr. JOHNSON of Georgia, Mr. 
GARAMENDI, Mr. SHERMAN, Mr. CASAR, Mr. BOYLE of Pennsylvania, 
Mr. GREEN of Texas, Mr. QUIGLEY, Mr. THANEDAR, Mr. DESAULNIER, 
Ms. CHU, Mr. BELL, Ms. TITUS, Mr. CISNEROS, and Mr. RASKIN) intro-
duced the following bill; which was referred to the Committee on Edu-
cation and Workforce, and in addition to the Committee on Ways and 
Means, for a period to be subsequently determined by the Speaker, in 
each case for consideration of such provisions as fall within the jurisdic-
tion of the committee concerned 
VerDate Sep 11 2014 
00:31 Feb 05, 2026
Jkt 069200
PO 00000
Frm 00001
Fmt 6652
Sfmt 6652
E:\BILLS\H7340.IH
H7340
ssavage on LAPJG3WLY3PROD with BILLS
A BILL 
To provide for the long-term improvement of public school 
facilities, and for other purposes. 
Be it enacted by the Senate and House of Representa-
tives of the United States of America in Congress assembled, 
SECTION 1. SHORT TITLE; TABLE OF CONTENTS. 
(a) SHORT TITLE.—This Act may be cited as the 
‘‘Rebuild America’s Schools Act of 2026’’. 
(b) TABLE OF CONTENTS.—The table of contents for 
this Act is as follows: 
Sec. 1. Short title; table of contents. 
Sec. 2. Definitions. 
TITLE I—GRANTS FOR THE LONG-TERM IMPROVEMENT OF 
PUBLIC SCHOOL FACILITIES 
Sec. 101. Purpose and reservation. 
Sec. 102. Allocations to States. 
Sec. 103. Need-based grants to qualified local educational agencies. 
Sec. 104. Annual report on grant program. 
Sec. 105. Authorization of appropriations. 
TITLE II—SCHOOL INFRASTRUCTURE BONDS 
Sec. 201. Restoration of certain qualified tax credit bonds. 
Sec. 202. School infrastructure bonds. 
Sec. 203. Annual report on bond program. 
TITLE III—USES OF FUNDS 
Sec. 301. Allowable uses of funds. 
Sec. 302. Prohibited uses. 
Sec. 303. Requirements for hazard-resistance and energy and water conserva-
tion. 
Sec. 304. Green practices. 
Sec. 305. Use of American iron, steel, and manufactured products. 
TITLE IV—REPORTS AND OTHER MATTERS 
Sec. 401. Comptroller General report. 
Sec. 402. Study and report on physical condition of public schools. 
Sec. 403. Office of School Infrastructure and Sustainability. 
Sec. 404. Development of data standards. 
Sec. 405. Information clearinghouse. 
Sec. 406. Sense of Congress on opportunity zones. 
VerDate Sep 11 2014 
00:31 Feb 05, 2026
Jkt 069200
PO 00000
Frm 00002
Fmt 6652
Sfmt 6211
E:\BILLS\H7340.IH
H7340
ssavage on LAPJG3WLY3PROD with BILLS
TITLE V—IMPACT AID CONSTRUCTION 
Sec. 501. Temporary increase in funding for impact aid construction. 
TITLE VI—ASSISTANCE FOR REPAIR OF SCHOOL FOUNDATIONS 
AFFECTED BY PYRRHOTITE 
Sec. 601. Allocations to States. 
Sec. 602. Grants to local educational agencies. 
Sec. 603. Definitions. 
Sec. 604. Authorization of appropriations. 
SEC. 2. DEFINITIONS. 
In this Act: 
(1) APPROPRIATE
CONGRESSIONAL
COMMIT-
TEES.—The term ‘‘appropriate congressional com-
mittees’’ means the Committee on Education and 
the Workforce of the House of Representatives and 
the Committee on Health, Education, Labor, and 
Pensions of the Senate. 
(2) BUREAU-FUNDED SCHOOL.—The term ‘‘Bu-
reau-funded school’’ has the meaning given that 
term in section 1141 of the Education Amendments 
of 1978 (25 U.S.C. 2021). 
(3) COVERED
FUNDS.—The term ‘‘covered 
funds’’ means funds received— 
(A) under title I of this Act; 
(B) from a school infrastructure bond; or 
(C) from a qualified zone academy bond 
(as such term is defined in section 54E of the 
Internal Revenue Code of 1986 (as restored by 
section 201)). 
VerDate Sep 11 2014 
00:31 Feb 05, 2026
Jkt 069200
PO 00000
Frm 00003
Fmt 6652
Sfmt 6201
E:\BILLS\H7340.IH
H7340
ssavage on LAPJG3WLY3PROD with BILLS
means a local educational agency that receives funds 
under part A of title I of the Elementary and Sec-
ondary Education Act of 1965 (20 U.S.C. 6311 et 
seq.). 
(9) SCHOOL
INFRASTRUCTURE
BOND.—The 
term ‘‘school infrastructure bond’’ has the meaning 
given such term in section 54BB of the Internal 
Revenue Code of 1986 (as added by section 202). 
(10) 
SECRETARY.—The 
term 
‘‘Secretary’’ 
means the Secretary of Education. 
(11) STATE.—The term ‘‘State’’ means each of 
the 50 States, the District of Columbia, and the 
Commonwealth of Puerto Rico. 
TITLE 
I—GRANTS 
FOR 
THE 
LONG-TERM 
IMPROVEMENT 
OF PUBLIC SCHOOL FACILI-
TIES 
SEC. 101. PURPOSE AND RESERVATION. 
(a) PURPOSE.—Funds made available under this title 
shall be for the purpose of supporting long-term improve-
ments to public school facilities in accordance with this 
Act. 
(b) RESERVATION FOR OUTLYING AREAS AND BU-
REAU-FUNDED SCHOOLS.— 
VerDate Sep 11 2014 
00:31 Feb 05, 2026
Jkt 069200
PO 00000
Frm 00005
Fmt 6652
Sfmt 6201
E:\BILLS\H7340.IH
H7340
ssavage on LAPJG3WLY3PROD with BILLS
(1) IN
GENERAL.—For each of fiscal years 
2027 through 2031, the Secretary shall reserve, 
from the amount appropriated to carry out this 
title— 
(A) one-half of 1 percent, to make alloca-
tions to the outlying areas in accordance with 
paragraph (3); and 
(B) one-half of 1 percent, for payments to 
the Secretary of the Interior to provide assist-
ance to Bureau-funded schools. 
(2) USE OF RESERVED FUNDS.— 
(A) IN GENERAL.—Funds reserved under 
paragraph (1) shall be used in accordance with 
title III. 
(B) SPECIAL RULES FOR BUREAU-FUNDED 
SCHOOLS.— 
(i) APPLICABILITY.—The provisions 
of title III shall apply to a Bureau-funded 
school that receives assistance under para-
graph (1)(B) in the same manner that 
such provisions apply to a qualified local 
educational agency that receives covered 
funds. The facilities of a Bureau-funded 
school shall be treated as public school fa-
VerDate Sep 11 2014 
00:31 Feb 05, 2026
Jkt 069200
PO 00000
Frm 00006
Fmt 6652
Sfmt 6201
E:\BILLS\H7340.IH
H7340
ssavage on LAPJG3WLY3PROD with BILLS
cilities for purposes of the application of 
such provisions. 
(ii) TREATMENT OF TRIBALLY OPER-
ATED SCHOOLS.—The Secretary of the In-
terior shall provide assistance to Bureau- 
funded schools under paragraph (1)(B) 
without regard to whether such schools are 
operated by the Bureau of Indian Edu-
cation or by an Indian Tribe. In the case 
of a Bureau-funded school that is a con-
tract or grant school (as that term is de-
fined in section 1141 of the Education 
Amendments of 1978 (25 U.S.C. 2021)) 
operated by an Indian Tribe, the Secretary 
of the Interior shall provide assistance 
under such paragraph to the Indian Tribe 
concerned. 
(3) ALLOCATION TO OUTLYING AREAS.—From 
the amount reserved under paragraph (1)(A) for a 
fiscal year, the Secretary shall allocate to each out-
lying area an amount in proportion to the amount 
received by the outlying area under part A of title 
I of the Elementary and Secondary Education Act 
of 1965 (20 U.S.C. 6311 et seq.) for the previous 
VerDate Sep 11 2014 
00:31 Feb 05, 2026
Jkt 069200
PO 00000
Frm 00007
Fmt 6652
Sfmt 6201
E:\BILLS\H7340.IH
H7340
ssavage on LAPJG3WLY3PROD with BILLS
fiscal year relative to the total such amount received 
by all outlying areas for such previous fiscal year. 
SEC. 102. ALLOCATION TO STATES. 
(a) ALLOCATION TO STATES.— 
(1) STATE-BY-STATE ALLOCATION.— 
(A) FISCAL
YEAR
2027.—Of the amount 
appropriated to carry out this title for fiscal 
year 2027 and not reserved under section 
101(b), not later than 30 days after such funds 
are appropriated, each State that provides an 
assurance to the Secretary that the State will 
comply with the requirements of section 103(c) 
shall be allocated an amount in proportion to 
the amount received by all local educational 
agencies in the State under part A of title I of 
the Elementary and Secondary Education Act 
of 1965 (20 U.S.C. 6311 et seq.) for the pre-
vious fiscal year relative to the total amount re-
ceived under such part for such fiscal year by 
all local educational agencies in every State that 
provides such an assurance to the Secretary. 
(B) 
OTHER
FISCAL
YEARS.—Of 
the 
amount appropriated to carry out this title for 
each fiscal year other than fiscal year 2027 and 
not reserved under section 101(b), each State 
VerDate Sep 11 2014 
00:31 Feb 05, 2026
Jkt 069200
PO 00000
Frm 00008
Fmt 6652
Sfmt 6201
E:\BILLS\H7340.IH
H7340
ssavage on LAPJG3WLY3PROD with BILLS
that has a plan approved by the Secretary 
under subsection (b) shall be allocated an 
amount in proportion to the amount received by 
all local educational agencies in the State under 
part A of title I of the Elementary and Sec-
ondary Education Act of 1965 (20 U.S.C. 6311 
et seq.) for the previous fiscal year relative to 
the total amount received under such part for 
such fiscal year by all local educational agencies 
in every State that has a plan approved by the 
Secretary under subsection (b). 
(2) STATE RESERVATION.—A State may reserve 
not more than 5 percent of its allocation under para-
graph (1) to carry out its responsibilities under this 
Act, which shall include— 
(A) providing technical assistance to local 
educational agencies, including by— 
(i) identifying which State agencies 
have programs, resources, and expertise 
relevant to the activities supported by the 
allocation under this section; and 
(ii) coordinating the provision of tech-
nical assistance across such agencies; 
(B) in accordance with the guidance issued 
by the Secretary under section 404, developing 
VerDate Sep 11 2014 
00:31 Feb 05, 2026
Jkt 069200
PO 00000
Frm 00009
Fmt 6652
Sfmt 6201
E:\BILLS\H7340.IH
H7340
ssavage on LAPJG3WLY3PROD with BILLS
an online, publicly searchable database that 
contains an inventory of the infrastructure of 
all public school facilities in the State (including 
the facilities of Bureau-funded schools, as ap-
propriate), including, with respect to each such 
facility, an identification of— 
(i) 
the 
information 
described 
in 
clauses (i) through (vii) of subparagraph 
(F); 
(ii) the age (including an identifica-
tion of the date of any retrofits or recent 
renovations) of— 
(I) the facility; 
(II) its roof; 
(III) its electrical panels and 
lighting system; 
(IV) its windows and any sky-
lights; 
(V) its cooking equipment and 
major appliances; 
(VI) its plumbing; and 
(VII) its heating, ventilation, and 
air conditioning system, including any 
energy management controls and sys-
tems; 
VerDate Sep 11 2014 
00:31 Feb 05, 2026
Jkt 069200
PO 00000
Frm 00010
Fmt 6652
Sfmt 6201
E:\BILLS\H7340.IH
H7340
ssavage on LAPJG3WLY3PROD with BILLS
(iii) fire safety inspection results; 
(iv) the proximity of the facilities to 
toxic sites, including sites contaminated by 
per- and polyfluoroalkyl substances, or the 
vulnerability of the facilities to natural dis-
asters, including the extent to which facili-
ties that are vulnerable to seismic natural 
disasters are seismically retrofitted; 
(v) any previous inspections showing 
the presence of toxic substances, including 
per- and polyfluoroalkyl substances; 
(vi) any improvements that are needed 
to support indoor and outdoor social 
distancing, personal hygiene, and building 
hygiene (including with respect to heating, 
ventilation, and air conditioning usage) in 
school facilities, consistent with guidance 
issued by the Centers for Disease Control 
and Prevention; and 
(vii) any improvements that are need-
ed to support energy and water efficiency, 
resilience, and climate mitigation; 
(C) updating the database developed under 
subparagraph (B) not less frequently than once 
every 3 years; 
VerDate Sep 11 2014 
00:31 Feb 05, 2026
Jkt 069200
PO 00000
Frm 00011
Fmt 6652
Sfmt 6201
E:\BILLS\H7340.IH
H7340
ssavage on LAPJG3WLY3PROD with BILLS
(D) ensuring that the information in the 
database developed under subparagraph (B)— 
(i) is posted on a publicly accessible 
State website; and 
(ii) is regularly distributed to local 
educational agencies and Tribal govern-
ments in the State; 
(E) issuing and reviewing regulations to 
ensure the health and safety of students and 
staff during construction or renovation projects; 
(F) issuing or reviewing regulations to en-
sure safe, healthy, and high-performing school 
buildings, including regulations governing— 
(i) indoor environmental quality and 
ventilation, including exposure to carbon 
monoxide, carbon dioxide, lead-based paint, 
and other combustion by-products such as 
oxides of nitrogen; 
(ii) mold, mildew, and moisture con-
trol; 
(iii) the safety of drinking water at 
the tap and water used for meal prepara-
tion, including regulations that— 
(I) address the presence of lead 
and other contaminants, including 
VerDate Sep 11 2014 
00:31 Feb 05, 2026
Jkt 069200
PO 00000
Frm 00012
Fmt 6652
Sfmt 6201
E:\BILLS\H7340.IH
H7340
ssavage on LAPJG3WLY3PROD with BILLS
per- and polyfluoroalkyl substances, in 
such water; and 
(II) require the regular testing of 
the potability of water at the tap and 
testing for contaminants, including 
per- and polyfluoroalkyl substances; 
(iv) energy and water efficiency; 
(v) excessive classroom noise due to 
activities allowable under section 301; 
(vi) the levels of maintenance work, 
operational spending, and capital invest-
ment needed to maintain the quality of 
public school facilities; and 
(vii) the construction or renovation of 
such facilities, including applicable building 
codes; 
(G) creating a plan to reduce or eliminate 
exposure to toxic substances, including mercury, 
radon, PCBs, lead, vapor intrusions, per- and 
polyfluoroalkyl substances, and asbestos; and 
(H) creating a plan to increase the number 
of net zero energy schools in the State, includ-
ing professional development opportunities for 
State and local educational agency staff in-
volved in maintenance, operations, and school 
VerDate Sep 11 2014 
00:31 Feb 05, 2026
Jkt 069200
PO 00000
Frm 00013
Fmt 6652
Sfmt 6201
E:\BILLS\H7340.IH
H7340
ssavage on LAPJG3WLY3PROD with BILLS
facilities capital outlay projects related to en-
ergy and water efficiency, resilience, climate 
mitigation, renewable energy, energy storage, 
and building electrification. 
(b) STATE PLAN.— 
(1) IN GENERAL.—Except as provided in para-
graph (2), to be eligible to receive an allocation 
under this section, a State shall submit to the Sec-
retary a plan that— 
(A) describes how the State will use the al-
location to make long-term improvements to 
public school facilities; 
(B) explains how the State will carry out 
each of its responsibilities under subsection 
(a)(2); 
(C) explains how the State will make the 
determinations under subsections (b) through 
(d) of section 103, including how the State will 
consider the impact that projects will have on 
student diversity and racial and socioeconomic 
isolation of students attending any current (as 
of the time of the submission of the plan) or fu-
ture public school facilities supported by such 
projects; 
VerDate Sep 11 2014 
00:31 Feb 05, 2026
Jkt 069200
PO 00000
Frm 00014
Fmt 6652
Sfmt 6201
E:\BILLS\H7340.IH
H7340
ssavage on LAPJG3WLY3PROD with BILLS
(D) identifies how long, and at what levels, 
the State will maintain fiscal effort for the ac-
tivities supported by the allocation after the 
State no longer receives the allocation; and 
(E) includes such other information as the 
Secretary may require. 
(2) EXPEDITED
PROCESS
FOR
FISCAL
YEAR 
2027.— 
(A) ASSURANCE
TO
SECRETARY.—To be 
eligible to receive an allocation for fiscal year 
2027 under subsection (a)(1)(A), a State shall 
provide to the Secretary an assurance that the 
State will comply with the requirements of sec-
tion 103(c). 
(B) SUBMITTAL OF STATE PLAN.—A State 
shall not be required to submit a State plan 
under paragraph (1) before receiving an alloca-
tion for fiscal year 2027 under subsection 
(a)(1)(A). A State that receives an allocation 
under such subsection for such fiscal year shall 
submit to the Secretary the State plan de-
scribed in paragraph (1) not later than 90 days 
after the date on which such allocation is re-
ceived. 
VerDate Sep 11 2014 
00:31 Feb 05, 2026
Jkt 069200
PO 00000
Frm 00015
Fmt 6652
Sfmt 6201
E:\BILLS\H7340.IH
H7340
ssavage on LAPJG3WLY3PROD with BILLS
(3) APPROVAL
AND
DISAPPROVAL.—The Sec-
retary shall have the authority to approve or dis-
approve a State plan submitted under paragraph 
(1). 
(c) CONDITIONS.—As a condition of receiving an allo-
cation under this section, a State shall agree to the fol-
lowing: 
(1) MATCHING REQUIREMENT.— 
(A) IN
GENERAL.—The State shall con-
tribute, from non-Federal sources, an amount 
equal to 10 percent of the amount of the alloca-
tion received under this section to carry out the 
activities supported by the allocation. 
(B) DEADLINE.—The State shall provide 
any contribution required under subparagraph 
(A) not later than September 30, 2035. 
(C) CERTAIN
FISCAL
YEARS.—With re-
spect to a fiscal year for which more than 
$7,000,000,000 are appropriated to carry out 
this title, subparagraph (A) shall be applied as 
if ‘‘, from non-Federal sources,’’ were struck. 
(D) 
COMMITMENT
TO
PROPORTIONAL 
STATE INVESTMENT IN SCHOOL FACILITIES.— 
(i) IN
GENERAL.—The State shall 
provide an assurance to the Secretary that 
VerDate Sep 11 2014 
00:31 Feb 05, 2026
Jkt 069200
PO 00000
Frm 00016
Fmt 6652
Sfmt 6201
E:\BILLS\H7340.IH
H7340
ssavage on LAPJG3WLY3PROD with BILLS
for each fiscal year that the State receives 
an allocation under this section, the State’s 
share of school facilities capital outlay will 
be not less than 90 percent of the average 
of the State’s share of school facilities cap-
ital outlay for the 5 years preceding the 
fiscal year for which the allocation is re-
ceived. 
(ii) WAIVER.—Notwithstanding clause 
(i), in response to a request from a State, 
the Secretary may modify or waive, in 
whole or in part, the requirement of clause 
(i) if the Secretary determines that such 
State demonstrates an exceptional or un-
controllable circumstance, such as a nat-
ural disaster, pandemic, or precipitous de-
cline in revenue. 
(iii) STATE’S SHARE OF SCHOOL FA-
CILITIES CAPITAL OUTLAY.—In this sub-
paragraph, the term ‘‘State’s share of 
school facilities capital outlay’’ means— 
(I) the total State expenditures 
on school facilities capital outlay 
projects; divided by 
VerDate Sep 11 2014 
00:31 Feb 05, 2026
Jkt 069200
PO 00000
Frm 00017
Fmt 6652
Sfmt 6201
E:\BILLS\H7340.IH
H7340
ssavage on LAPJG3WLY3PROD with BILLS
(II) the total school facilities cap-
ital expenditures in the State on 
school facilities capital outlay projects. 
(iv) TOTAL STATE EXPENDITURES.— 
In this subparagraph, the term ‘‘total 
State expenditures’’ means the State’s 
total expenditures (from funds other than 
an allocation under this section) on school 
facilities capital outlay projects, includ-
ing— 
(I) any direct expenditures by the 
State for the purpose of school facili-
ties capital outlay projects; and 
(II) funds provided by the State 
to local educational agencies for the 
purpose of school facilities capital out-
lay projects. 
(v) TOTAL SCHOOL FACILITIES CAP-
ITAL EXPENDITURES IN THE STATE.—In 
this subparagraph, the term ‘‘total school 
facilities capital expenditures in the State’’, 
means the sum of— 
(I) the total State expenditures 
calculated under clause (iv); plus 
VerDate Sep 11 2014 
00:31 Feb 05, 2026
Jkt 069200
PO 00000
Frm 00018
Fmt 6652
Sfmt 6201
E:\BILLS\H7340.IH
H7340
ssavage on LAPJG3WLY3PROD with BILLS
(II) all additional expenditures 
(from funds other than an allocation 
under this section) on school facilities 
capital outlay projects by local edu-
cational agencies in the State that 
were not included in the calculation of 
total State expenditures under clause 
(iv). 
(2) SUPPLEMENT NOT SUPPLANT.—The State 
shall use an allocation under this section only to 
supplement the level of State public funds that 
would, in absence of the receipt of Federal funds 
under this section, be made available for the State’s 
contribution to school facilities capital outlays, and 
not to supplant such State public funds. 
SEC. 103. NEED-BASED GRANTS TO QUALIFIED LOCAL EDU-
CATIONAL AGENCIES. 
(a) GRANTS TO LOCAL EDUCATIONAL AGENCIES.— 
(1) IN GENERAL.—Subject to paragraph (2), 
from the amounts allocated to a State under section 
102(a) and contributed by the State under section 
102(c)(1), the State shall award grants to qualified 
local educational agencies, on a competitive basis, to 
carry out the activities described in section 301(a). 
VerDate Sep 11 2014 
00:31 Feb 05, 2026
Jkt 069200
PO 00000
Frm 00019
Fmt 6652
Sfmt 6201
E:\BILLS\H7340.IH
H7340
ssavage on LAPJG3WLY3PROD with BILLS
(2) ALLOWANCE FOR DIGITAL LEARNING.—A 
State may use up to 10 percent of the amount de-
scribed in paragraph (1) to make grants to qualified 
local educational agencies to carry out activities to 
improve digital learning in accordance with section 
301(b). 
(b) ELIGIBILITY.— 
(1) IN GENERAL.—To be eligible to receive a 
grant under this section, a qualified local edu-
cational agency— 
(A) shall be among the local educational 
agencies in the State with the highest numbers 
or percentages of students counted under sec-
tion 1124(c) of the Elementary and Secondary 
Education Act of 1965 (20 U.S.C. 6333(c)); 
(B) shall agree to prioritize the improve-
ment of the facilities of public schools that 
serve the highest percentages of students who 
are eligible for a free or reduced price lunch 
under the Richard B. Russell National School 
Lunch Act (42 U.S.C. 1751 et seq.) (which, in 
the case of a high school, may be calculated 
using comparable data from the schools that 
feed into the high school), as compared to other 
VerDate Sep 11 2014 
00:31 Feb 05, 2026
Jkt 069200
PO 00000
Frm 00020
Fmt 6652
Sfmt 6201
E:\BILLS\H7340.IH
H7340
ssavage on LAPJG3WLY3PROD with BILLS
public schools in the jurisdiction of the agency; 
and 
(C) shall be among the local educational 
agencies in the State with the most limited ca-
pacity to raise funds for the long-term improve-
ment of public school facilities, as determined 
by an assessment of— 
(i) the current and historic ability of 
the agency to raise funds for construction, 
renovation, modernization, and major re-
pair projects for schools; 
(ii) whether the agency has been able 
to issue bonds or receive other funds to 
support school construction projects; and 
(iii) the bond rating of the agency. 
(2) EQUITABLE DISTRIBUTION.— 
(A) NUMBERS AND PERCENTAGES OF CER-
TAIN STUDENTS.—In making the determination 
under paragraph (1)(A), the State shall ensure 
that grants under this section are equitably dis-
tributed among— 
(i) qualified local educational agencies 
in the State with the highest numbers of 
students counted under section 1124(c) of 
VerDate Sep 11 2014 
00:31 Feb 05, 2026
Jkt 069200
PO 00000
Frm 00021
Fmt 6652
Sfmt 6201
E:\BILLS\H7340.IH
H7340
ssavage on LAPJG3WLY3PROD with BILLS
tors of need in the public school facilities of such 
local educational agencies, including— 
(i) the median age of facilities; 
(ii) the extent to which student enrollment 
exceeds physical and instructional capacity; 
(iii) the condition of major building sys-
tems such as heating, ventilation, air condi-
tioning, electrical, water, and sewer systems; 
(iv) the condition of roofs, windows, and 
doors; and 
(v) other critical health and safety condi-
tions; 
(B) will use the grant to improve the facilities 
of— 
(i) elementary schools or middle schools 
that have an enrollment of students who are eli-
gible for a free or reduced price lunch under the 
Richard B. Russell National School Lunch Act 
(42 U.S.C. 1751 et seq.) that constitutes not 
less than 40 percent of the total student enroll-
ment at such schools; or 
(ii) high schools that have an enrollment of 
students who are eligible for a free or reduced 
price lunch under such Act that constitutes not 
less than 30 percent of the total student enroll-
VerDate Sep 11 2014 
00:31 Feb 05, 2026
Jkt 069200
PO 00000
Frm 00023
Fmt 6652
Sfmt 6201
E:\BILLS\H7340.IH
H7340
ssavage on LAPJG3WLY3PROD with BILLS
ment at such schools (which may be calculated 
using comparable data from the schools that 
feed into the high school); and 
(C) operate public school facilities that pose a 
severe health and safety threat to students and staff, 
which may include consideration of threats posed by 
the proximity of the facilities to toxic sites or 
brownfield sites or the vulnerability of the facilities 
to natural disasters; or 
(2)(A) will use the grant to improve access to 
high-speed broadband sufficient to support digital 
learning in accordance with section 301(b); 
(B) serve elementary schools or secondary 
schools, including rural schools, that lack such ac-
cess; and 
(C) meet one or more of the requirements set 
forth in subparagraphs (A) through (C) of para-
graph (1). 
(d) APPLICATION.—To be considered for a grant 
under this section, a qualified local educational agency 
shall submit an application to the State at such time, in 
such manner, and containing such information as the 
State may require. Such application shall include, at min-
imum— 
VerDate Sep 11 2014 
00:31 Feb 05, 2026
Jkt 069200
PO 00000
Frm 00024
Fmt 6652
Sfmt 6201
E:\BILLS\H7340.IH
H7340
ssavage on LAPJG3WLY3PROD with BILLS
(1) the information necessary for the State to 
make the determinations under subsections (b) and 
(c); 
(2) a description of the projects that the agency 
plans to carry out with the grant; 
(3) an explanation of how such projects will— 
(A) improve conditions for the health and 
safety of staff and students at schools served by 
the agency; 
(B) improve learning and reduce inequity 
for such students; and 
(C) improve school facilities’ performance 
with respect to energy and water efficiency, re-
silience, and climate mitigation; 
(4) in the case of a local educational agency 
that proposes to fund a repair, renovation, or con-
struction project for a public charter school, the ex-
tent to which— 
(A) the public charter school lacks access 
to funding for school repair, renovation, and 
construction through the financing methods 
available to other public schools or local edu-
cational agencies in the State; and 
VerDate Sep 11 2014 
00:31 Feb 05, 2026
Jkt 069200
PO 00000
Frm 00025
Fmt 6652
Sfmt 6201
E:\BILLS\H7340.IH
H7340
ssavage on LAPJG3WLY3PROD with BILLS
(B) the charter school operator owns or 
has care and control of the facility that is to be 
repaired, renovated, or constructed; and 
(5) an explanation of how the local educational 
agency plans to increase the number of contracts 
such agency has with certified small businesses, mi-
nority-owned businesses, veteran-owned businesses, 
or women-owned businesses as of the date of sub-
mission of the application by awarding such con-
tracts under projects supported by the grant. 
(e) FACILITIES MASTER PLAN.— 
(1) PLAN REQUIRED.—Not later than 180 days 
after receiving a grant under this section, a qualified 
local educational agency shall submit to the State a 
comprehensive 10-year facilities master plan. 
(2) ELEMENTS.—The facilities master plan re-
quired under paragraph (1) shall include, with re-
spect to all public school facilities of the qualified 
local educational agency, a description of— 
(A) the extent to which public school facili-
ties meet students’ educational needs and sup-
port the agency’s educational mission and vi-
sion; 
(B) the physical condition of the public 
school facilities; 
VerDate Sep 11 2014 
00:31 Feb 05, 2026
Jkt 069200
PO 00000
Frm 00026
Fmt 6652
Sfmt 6201
E:\BILLS\H7340.IH
H7340
ssavage on LAPJG3WLY3PROD with BILLS
(C) the current health, safety, and environ-
mental conditions of the public school facilities, 
including— 
(i) indoor air quality; 
(ii) the presence of toxic substances; 
(iii) the safety of drinking water at 
the tap and water used for meal prepara-
tion, including the level of lead and other 
contaminants in such water; 
(iv) energy and water efficiency, resil-
ience, and climate mitigation; 
(v) excessive classroom noise; and 
(vi) other health, safety, and environ-
mental conditions that would impact the 
health, safety, and learning ability of stu-
dents; 
(D) how the local educational agency will 
address the conditions identified under subpara-
graph (C), including identifying performance 
targets where applicable; 
(E) the impact of current and future stu-
dent enrollment levels (as of the date of appli-
cation) on the design of current and future pub-
lic school facilities, as well as the financial im-
plications of such enrollment levels; 
VerDate Sep 11 2014 
00:31 Feb 05, 2026
Jkt 069200
PO 00000
Frm 00027
Fmt 6652
Sfmt 6201
E:\BILLS\H7340.IH
H7340
ssavage on LAPJG3WLY3PROD with BILLS
(F) the dollar amount and percentage of 
funds the local educational agency will dedicate 
to capital construction projects for public school 
facilities, including— 
(i) any funds in the budget of the 
agency that will be dedicated to such 
projects; and 
(ii) any funds not in the budget of the 
agency that will be dedicated to such 
projects, including any funds available to 
the agency as the result of a bond issue; 
and 
(G) the dollar amount and percentage of 
funds the local educational agency will dedicate 
to the maintenance and operation of public 
school facilities, including— 
(i) any funds in the budget of the 
agency that will be dedicated to the main-
tenance and operation of such facilities; 
and 
(ii) any funds not in the budget of the 
agency that will be dedicated to the main-
tenance and operation of such facilities. 
(3) CONSULTATION.—In developing the facili-
ties master plan required under paragraph (1)— 
VerDate Sep 11 2014 
00:31 Feb 05, 2026
Jkt 069200
PO 00000
Frm 00028
Fmt 6652
Sfmt 6201
E:\BILLS\H7340.IH
H7340
ssavage on LAPJG3WLY3PROD with BILLS
(A) a qualified local educational agency 
shall consult with teachers, principals and other 
school leaders, custodial and maintenance staff, 
emergency first responders, school facilities di-
rectors, students and families, community resi-
dents, and Indian Tribes; and 
(B) in addition to the consultation required 
under subparagraph (A), a Bureau-funded 
school shall consult with the Bureau of Indian 
Education. 
SEC. 104. ANNUAL REPORT ON GRANT PROGRAM. 
(a) IN GENERAL.—Not later than September 30 of 
each fiscal year beginning after the date of the enactment 
of this Act, the Secretary shall submit to the appropriate 
congressional committees a report on the projects carried 
out with funds made available under this title. 
(b) ELEMENTS.—The report under subsection (a) 
shall include, with respect to the fiscal year preceding the 
year in which the report is submitted, the following: 
(1) An identification of each local educational 
agency that received a grant under this title. 
(2) With respect to each such agency, a descrip-
tion of— 
VerDate Sep 11 2014 
00:31 Feb 05, 2026
Jkt 069200
PO 00000
Frm 00029
Fmt 6652
Sfmt 6201
E:\BILLS\H7340.IH
H7340
ssavage on LAPJG3WLY3PROD with BILLS
(A) the demographic composition of the 
student population served by the agency, 
disaggregated by— 
(i) race; 
(ii) the number and percentage of stu-
dents counted under section 1124(c) of the 
Elementary and Secondary Education Act 
of 1965 (20 U.S.C. 6333(c)); and 
(iii) the number and percentage of 
students who are eligible for a free or re-
duced price lunch under the Richard B. 
Russell National School Lunch Act (42 
U.S.C. 1751 et seq.); 
(B) the population density of the geo-
graphic area served by the agency; 
(C) the projects for which the agency used 
the grant received under this title, described 
using measurements of school facility quality 
from the most recent available version of the 
Common Education Data Standards published 
by the National Center for Education Statistics; 
(D) the demonstrable or expected benefits 
of the projects, including any improvements— 
(i) to conditions for health, safety, 
and learning; and 
VerDate Sep 11 2014 
00:31 Feb 05, 2026
Jkt 069200
PO 00000
Frm 00030
Fmt 6652
Sfmt 6201
E:\BILLS\H7340.IH
H7340
ssavage on LAPJG3WLY3PROD with BILLS
(ii) to school facilities with respect to 
energy and water efficiency, resilience, re-
duced carbon emissions, and climate miti-
gation; 
(E) the square footage of the improve-
ments made with covered funds; 
(F) the total cost of each such project— 
(i) in total; and 
(ii) disaggregated by the costs of plan-
ning, design, construction, site purchase, 
and improvements; 
(G) the estimated number of jobs created 
by the projects; 
(H) of the total number of contracts 
awarded under the project, the percentage of 
such contracts that were awarded to certified 
small businesses, minority-owned businesses, 
veteran-owned businesses, and women-owned 
businesses; and 
(I)(i) the total dollar value of contracts 
awarded under the project to certified small 
businesses, minority-owned businesses, veteran- 
owned businesses, and women-owned busi-
nesses, respectively; and 
VerDate Sep 11 2014 
00:31 Feb 05, 2026
Jkt 069200
PO 00000
Frm 00031
Fmt 6652
Sfmt 6201
E:\BILLS\H7340.IH
H7340
ssavage on LAPJG3WLY3PROD with BILLS
(ii) the total dollar value of contracts 
awarded under the project to all such busi-
nesses combined. 
(3) The total dollar amount of all grants re-
ceived by local educational agencies under this title. 
(c) LEA INFORMATION COLLECTION.—A local edu-
cational agency that receives a grant under this title 
shall— 
(1) annually compile the information described 
in subsection (b)(2); 
(2) make the information available to the pub-
lic, including by posting the information on a pub-
licly accessible agency website; and 
(3) submit the information to the State. 
(d) STATE INFORMATION DISTRIBUTION.—A State 
that receives information from a local educational agency 
under subsection (c) shall— 
(1) compile the information and report it annu-
ally to the Secretary at such time and in such man-
ner as the Secretary may require; 
(2) make the information available to the pub-
lic, including by posting the information on a pub-
licly accessible State website; and 
VerDate Sep 11 2014 
00:31 Feb 05, 2026
Jkt 069200
PO 00000
Frm 00032
Fmt 6652
Sfmt 6201
E:\BILLS\H7340.IH
H7340
ssavage on LAPJG3WLY3PROD with BILLS
(3) regularly distribute the information to local 
educational agencies and Tribal governments in the 
State. 
SEC. 105. AUTHORIZATION OF APPROPRIATIONS. 
There 
are 
authorized 
to 
be 
appropriated 
$20,000,000,000 for each of fiscal years 2027 through 
2031 to carry out this title. Amounts so appropriated are 
authorized to remain available through fiscal year 2036. 
TITLE II—SCHOOL 
INFRASTRUCTURE BONDS 
SEC. 201. RESTORATION OF CERTAIN QUALIFIED TAX 
CREDIT BONDS. 
(a) ALLOWANCE OF CREDIT.— 
(1) IN GENERAL.—Section 54A of the Internal 
Revenue Code of 1986, as in effect on the day before 
repeal by Public Law 115–97, is revived. 
(2) CREDIT LIMITED TO CERTAIN BONDS.— 
(A) IN
GENERAL.—Section 54A(d)(1) of 
such Code, as revived by paragraph (1), is 
amended by striking ‘‘means—’’ and all that 
follows through ‘‘which is part’’ and inserting 
‘‘means a qualified zone academy bond which is 
part’’. 
(B) CONFORMING
AMENDMENT.—Section 
54A(c)(2)(C) of such Code, as revived by para-
VerDate Sep 11 2014 
00:31 Feb 05, 2026
Jkt 069200
PO 00000
Frm 00033
Fmt 6652
Sfmt 6201
E:\BILLS\H7340.IH
H7340
ssavage on LAPJG3WLY3PROD with BILLS
graph (1), is amended by striking ‘‘means—’’ 
and all that follows and inserting ‘‘a purpose 
specified in section 54E(a)(1)’’. 
(3) CONFORMING AMENDMENTS.— 
(A) The Internal Revenue Code of 1986 is 
amended by inserting before section 54A (as re-
vived by paragraph (1)) the following: 
‘‘Subpart I—Qualified Tax Credit Bonds 
‘‘Sec. 54A. Credit to holder of qualified tax credit bonds.’’. 
(B) Section 6401(b)(1) of such Code is 
amended by striking ‘‘and G’’ and inserting ‘‘G, 
and I’’. 
(C) The table of subparts for part IV of 
subchapter A of chapter 1 of such Code is 
amended by adding at the end the following: 
‘‘SUBPART I—QUALIFIED TAX CREDIT BONDS’’. 
(b) CREDIT ALLOWED TO ISSUER.— 
(1) IN GENERAL.—Section 6431 of the Internal 
Revenue Code of 1986, as in effect on the day before 
repeal by Public Law 115–97, is revived. 
(2) 
CONFORMING
AMENDMENT.—Section 
6211(b)(4) of such Code is amended by striking 
‘‘and 6428A’’ and inserting ‘‘6428A, and 6431’’. 
(c) QUALIFIED ZONE ACADEMY BONDS.— 
VerDate Sep 11 2014 
00:31 Feb 05, 2026
Jkt 069200
PO 00000
Frm 00034
Fmt 6652
Sfmt 6201
E:\BILLS\H7340.IH
H7340
ssavage on LAPJG3WLY3PROD with BILLS
(1) IN GENERAL.—Section 54E of the Internal 
Revenue Code of 1986, as in effect on the day before 
repeal by Public Law 115–97, is revived. 
(2) 
EXTENSION
OF
LIMITATION.—Section 
54(E)(c)(1) of such Code is amended— 
(A) by striking ‘‘and $400,000,000’’ and 
inserting ‘‘$400,000,000’’, and 
(B) by striking ‘‘and, except as provided’’ 
and all that follows through the period at the 
end and inserting ‘‘, and $1,400,000,000 for 
2027 and each calendar year thereafter.’’. 
(3) REMOVAL
OF
PRIVATE
BUSINESS
CON-
TRIBUTION REQUIREMENT.—Section 54E of the In-
ternal Revenue Code of 1986, as revived by para-
graph (1) and amended by paragraph (2), is amend-
ed— 
(A) in subsection (a)(3), by inserting 
‘‘and’’ at the end of subparagraph (A), by strik-
ing subparagraph (B), and by redesignating 
subparagraph (C) as subparagraph (B), 
(B) by striking subsection (b), and 
(C) by redesignating subsections (c) and 
(d) as subsections (b) and (c), respectively. 
(4) CONSTRUCTION OF A PUBLIC SCHOOL FA-
CILITY.—Section 54E(c)(3)(A) of the Internal Rev-
VerDate Sep 11 2014 
00:31 Feb 05, 2026
Jkt 069200
PO 00000
Frm 00035
Fmt 6652
Sfmt 6201
E:\BILLS\H7340.IH
H7340
ssavage on LAPJG3WLY3PROD with BILLS
enue Code of 1986, as revived by paragraph (1) and 
redesignated in paragraph (3)(C), is amended by 
striking ‘‘rehabilitating or repairing’’ and inserting 
‘‘constructing, rehabilitating, retrofitting, or repair-
ing’’. 
(d) CONFORMING AMENDMENT RELATED TO APPLI-
CATION OF CERTAIN LABOR STANDARDS.— 
(1) IN GENERAL.—Subchapter IV of chapter 31 
of the title 40, United States Code, shall apply to 
projects financed with the proceeds of any qualified 
zone academy bond (as defined in section 54E of the 
Internal Revenue Code of 1986) issued after the 
date of the enactment of the American Recovery and 
Reinvestment Tax Act of 2009. 
(2) CONFORMING AMENDMENT.—Section 1601 
of the American Recovery and Reinvestment Tax 
Act of 2009 is amended by striking paragraph (3) 
and redesignating paragraphs (4) and (5) as para-
graphs (3) and (4), respectively. 
(e) EFFECTIVE DATE.—The amendments made by 
this section shall apply to obligations issued after Decem-
ber 31, 2026. 
SEC. 202. SCHOOL INFRASTRUCTURE BONDS. 
(a) IN GENERAL.—The Internal Revenue Code of 
1986 is amended by inserting after subpart I (as revived 
VerDate Sep 11 2014 
00:31 Feb 05, 2026
Jkt 069200
PO 00000
Frm 00036
Fmt 6652
Sfmt 6201
E:\BILLS\H7340.IH
H7340
ssavage on LAPJG3WLY3PROD with BILLS
by section 201) of part IV of subchapter A of chapter 1 
the following new subpart: 
‘‘Subpart J—School Infrastructure Bonds 
‘‘Sec. 54BB. School infrastructure bonds. 
‘‘SEC. 54BB. SCHOOL INFRASTRUCTURE BONDS. 
‘‘(a) IN GENERAL.—If a taxpayer holds a school in-
frastructure bond on one or more interest payment dates 
of the bond during any taxable year, there shall be allowed 
as a credit against the tax imposed by this chapter for 
the taxable year an amount equal to the sum of the credits 
determined under subsection (b) with respect to such 
dates. 
‘‘(b) AMOUNT OF CREDIT.—The amount of the credit 
determined under this subsection with respect to any in-
terest payment date for a school infrastructure bond is 
100 percent of the amount of interest payable by the 
issuer with respect to such date. 
‘‘(c) LIMITATION BASED ON AMOUNT OF TAX.— 
‘‘(1) IN GENERAL.—The credit allowed under 
subsection (a) for any taxable year shall not exceed 
the excess of— 
‘‘(A) the sum of the regular tax liability of 
the taxpayer (as defined in section 26(b)) plus 
the tax imposed by section 55, over 
VerDate Sep 11 2014 
00:31 Feb 05, 2026
Jkt 069200
PO 00000
Frm 00037
Fmt 6652
Sfmt 6201
E:\BILLS\H7340.IH
H7340
ssavage on LAPJG3WLY3PROD with BILLS
‘‘(B) the sum of the credits allowable 
under this part (other than subpart C and this 
subpart). 
‘‘(2) CARRYOVER OF UNUSED CREDIT.—If the 
credit allowable under subsection (a) exceeds the 
limitation imposed by paragraph (1) for such taxable 
year, such excess shall be carried to the succeeding 
taxable year and added to the credit allowable under 
subsection (a) for such taxable year (determined be-
fore the application of paragraph (1) for such suc-
ceeding taxable year). 
‘‘(d) SCHOOL INFRASTRUCTURE BOND.— 
‘‘(1) IN GENERAL.—For purposes of this sec-
tion, the term ‘school infrastructure bond’ means 
any bond issued as part of an issue if— 
‘‘(A) 100 percent of the available project 
proceeds of such issue are to be used for the 
purposes described in section 301 of the Re-
build America’s Schools Act of 2026, 
‘‘(B) the interest on such obligation would 
(but for this section) be excludable from gross 
income under section 103, 
‘‘(C) the issue meets the requirements of 
paragraph (3), and 
VerDate Sep 11 2014 
00:31 Feb 05, 2026
Jkt 069200
PO 00000
Frm 00038
Fmt 6652
Sfmt 6201
E:\BILLS\H7340.IH
H7340
ssavage on LAPJG3WLY3PROD with BILLS
‘‘(D) the issuer designates such bond for 
purposes of this section. 
‘‘(2) APPLICABLE RULES.—For purposes of ap-
plying paragraph (1)— 
‘‘(A) for purposes of section 149(b), a 
school infrastructure bond shall not be treated 
as federally guaranteed by reason of the credit 
allowed under section 6431(a), 
‘‘(B) for purposes of section 148, the yield 
on a school infrastructure bond shall be deter-
mined without regard to the credit allowed 
under subsection (a), and 
‘‘(C) a bond shall not be treated as a 
school infrastructure bond if the issue price has 
more than a de minimis amount (determined 
under rules similar to the rules of section 
1273(a)(3)) of premium over the stated prin-
cipal amount of the bond. 
‘‘(3) 6-YEAR EXPENDITURE PERIOD.— 
‘‘(A) IN
GENERAL.—An issue shall be 
treated as meeting the requirements of this 
paragraph if, as of the date of issuance, the 
issuer reasonably expects 100 percent of the 
available project proceeds to be spent for pur-
poses described in section 301 of the Rebuild 
VerDate Sep 11 2014 
00:31 Feb 05, 2026
Jkt 069200
PO 00000
Frm 00039
Fmt 6652
Sfmt 6201
E:\BILLS\H7340.IH
H7340
ssavage on LAPJG3WLY3PROD with BILLS
America’s Schools Act of 2026 within the 6- 
year period beginning on such date of issuance. 
‘‘(B) 
FAILURE
TO
SPEND
REQUIRED 
AMOUNT
OF
BOND
PROCEEDS
WITHIN
YEARS.—To the extent that less than 100 per-
cent of the available project proceeds of the 
issue are expended at the close of the period de-
scribed in subparagraph (A) with respect to 
such issue, the issuer shall redeem all of the 
nonqualified bonds within 90 days after the end 
of such period. For purposes of this paragraph, 
the amount of the nonqualified bonds required 
to be redeemed shall be determined in the same 
manner as under section 142. 
‘‘(e) LIMITATION
ON AMOUNT
OF BONDS DES-
IGNATED.—The maximum aggregate face amount of 
bonds issued during any calendar year which may be des-
ignated under subsection (d)(1)(D) by any issuer shall not 
exceed the limitation amount allocated under subsection 
(g) for such calendar year to such issuer. 
‘‘(f) NATIONAL LIMITATION ON AMOUNT OF BONDS 
DESIGNATED.—The national qualified school infrastruc-
ture bond limitation for each calendar year is— 
‘‘(1) $10,000,000,000 for 2027, 
‘‘(2) $10,000,000,000 for 2028, and 
VerDate Sep 11 2014 
00:31 Feb 05, 2026
Jkt 069200
PO 00000
Frm 00040
Fmt 6652
Sfmt 6201
E:\BILLS\H7340.IH
H7340
ssavage on LAPJG3WLY3PROD with BILLS
‘‘(3) $10,000,000,000 for 2029. 
‘‘(g) ALLOCATION OF LIMITATION.— 
‘‘(1) ALLOCATIONS.— 
‘‘(A) STATES.—After application of sub-
paragraph (B) and paragraph (3)(A), the limi-
tation applicable under subsection (f) for a cal-
endar year shall be allocated by the Secretary 
among the States in proportion to the respec-
tive amounts received by all local educational 
agencies in each State under part A of title I 
of the Elementary and Secondary Education 
Act of 1965 (20 U.S.C. 6311 et seq.) for the 
previous fiscal year relative to the total such 
amount received by all local educational agen-
cies for the most recent fiscal year ending be-
fore such calendar year. 
‘‘(B) CERTAIN POSSESSIONS.—One-half of 
1 percent of the amount of the limitation appli-
cable under subsection (f) for a calendar year 
shall be allocated by the Secretary to posses-
sions of the United States other than Puerto 
Rico for such calendar year. 
‘‘(2) ALLOCATIONS TO SCHOOLS.—The limita-
tion amount allocated to a State or possession under 
paragraph (1) shall be allocated by the State edu-
VerDate Sep 11 2014 
00:31 Feb 05, 2026
Jkt 069200
PO 00000
Frm 00041
Fmt 6652
Sfmt 6201
E:\BILLS\H7340.IH
H7340
ssavage on LAPJG3WLY3PROD with BILLS
cational agency (or such other agency as is author-
ized under State law to make such allocation) to 
issuers within such State or possession in accord-
ance with the priorities described in subsections (c) 
and (d) of section 103 of the Rebuild America’s 
Schools Act of 2026 and the eligibility requirements 
described in section 103(b) of such Act, except that 
paragraph (1)(C) of such section shall not apply to 
the determination of eligibility for such allocation. 
‘‘(3) ALLOCATIONS FOR INDIAN SCHOOLS.— 
‘‘(A) IN GENERAL.—One-half of 1 percent 
of the amount of the limitation applicable under 
subsection (f) for any calendar year shall be al-
located by the Secretary to the Secretary of the 
Interior for schools funded by the Bureau of In-
dian Affairs for such calendar year. 
‘‘(B) ALLOCATION TO SCHOOLS.—The lim-
itation amount allocated to the Secretary of the 
Interior under paragraph (1) shall be allocated 
by such Secretary to issuers or schools funded 
as described in paragraph (2). In the case of 
amounts allocated under the preceding sen-
tence, Indian tribal governments shall be treat-
ed as qualified issuers for purposes of this sub-
chapter. 
VerDate Sep 11 2014 
00:31 Feb 05, 2026
Jkt 069200
PO 00000
Frm 00042
Fmt 6652
Sfmt 6201
E:\BILLS\H7340.IH
H7340
ssavage on LAPJG3WLY3PROD with BILLS
‘‘(4) DIGITAL LEARNING.—Up to 10 percent of 
the limitation amount allocated under paragraph (1) 
or (3)(A) may be allocated by the State to issuers 
within such State (in the case of an amount allo-
cated under paragraph (1)) or by the Secretary of 
the Interior to issuers or schools funded by the Bu-
reau of Indian Affairs (in the case of an amount al-
located under paragraph (3)(A)) to carry out activi-
ties to improve digital learning in accordance with 
section 301(b) of the Rebuild America’s Schools Act 
of 2026. 
‘‘(h) INTEREST PAYMENT DATE.—For purposes of 
this section, the term ‘interest payment date’ means any 
date on which the holder of record of the school infrastruc-
ture bond is entitled to a payment of interest under such 
bond. 
‘‘(i) SPECIAL RULES.— 
‘‘(1) INTEREST ON SCHOOL INFRASTRUCTURE 
BONDS
INCLUDIBLE
IN
GROSS
INCOME
FOR
FED-
ERAL INCOME TAX PURPOSES.—For purposes of this 
title, interest on any school infrastructure bond shall 
be includible in gross income. 
‘‘(2) APPLICATION OF CERTAIN RULES.—Rules 
similar to the rules of subsections (f), (g), (h), and 
VerDate Sep 11 2014 
00:31 Feb 05, 2026
Jkt 069200
PO 00000
Frm 00043
Fmt 6652
Sfmt 6201
E:\BILLS\H7340.IH
H7340
ssavage on LAPJG3WLY3PROD with BILLS
(i) of section 54A shall apply for purposes of the 
credit allowed under subsection (a).’’. 
(b) 
CREDIT
ALLOWED
TO
ISSUER.—Section 
6431(f)(3)(A) of such Code, as revived by section 
201(b)(1), is amended by striking ‘‘means any qualified 
tax credit bond’’ and all that follows through the end of 
subparagraph (A) and inserting ‘‘means any bond if— 
‘‘(A) such bond is— 
‘‘(i) a qualified tax credit bond which 
is a qualified zone academy bond (as de-
fined in section 54E) determined without 
regard to any allocation relating to the na-
tional zone academy bond limitation for 
years after 2010 or any carryforward of 
any such allocation, or 
‘‘(ii) any school infrastructure bond 
(as defined in section 54BB), and’’. 
(c) APPLICATION OF CERTAIN LABOR STANDARDS.— 
Subchapter IV of chapter 31 of title 40, United States 
Code, shall apply to projects financed with the proceeds 
of any qualified zone academy bond (as defined in section 
54E of the Internal Revenue Code of 1986) issued after 
the date of the enactment of this Act. 
(d) CONFORMING AMENDMENTS.— 
VerDate Sep 11 2014 
00:31 Feb 05, 2026
Jkt 069200
PO 00000
Frm 00044
Fmt 6652
Sfmt 6201
E:\BILLS\H7340.IH
H7340
ssavage on LAPJG3WLY3PROD with BILLS
(1) Section 6401(b)(1) of the Internal Revenue 
Code of 1986, as amended by section 201(a), is 
amended by striking ‘‘and I’’ and inserting ‘‘I, and 
J’’. 
(2) The table of subparts for part IV of sub-
chapter A of chapter 1 of such Code, as amended by 
section 201(a), is amended by adding at the end the 
following: 
‘‘SUBPART J—SCHOOL INFRASTRUCTURE BONDS’’. 
(e) EFFECTIVE DATE.—The amendments made by 
this section shall apply to obligations issued after Decem-
ber 31, 2026. 
SEC. 203. ANNUAL REPORT ON BOND PROGRAM. 
(a) IN GENERAL.—Not later than September 30 of 
each fiscal year beginning after the date of the enactment 
of this Act, the Secretary of the Treasury shall submit 
to the appropriate congressional committees a report on 
the amendments made by sections 201 and 202. 
(b) ELEMENTS.—The report under paragraph (1) 
shall include, with respect to the fiscal year preceding the 
year in which the report is submitted, the following: 
(1) An identification of— 
(A) each local educational agency (if any) 
that received an allocation under section 
54E(b)(2) or 54BB(g) of the Internal Revenue 
Code of 1986, and 
VerDate Sep 11 2014 
00:31 Feb 05, 2026
Jkt 069200
PO 00000
Frm 00045
Fmt 6652
Sfmt 6201
E:\BILLS\H7340.IH
H7340
ssavage on LAPJG3WLY3PROD with BILLS
(B) each local educational agency (if any) 
that was eligible to receive such funds but did 
not receive such funds. 
(2) With respect to each local educational agen-
cy described in paragraph (1)— 
(A) an assessment of the capacity of the 
agency to raise funds for the long-term im-
provement of public school facilities, as deter-
mined by an assessment of— 
(i) the current and historic ability of 
the agency to raise funds for construction, 
renovation, modernization, and major re-
pair projects for schools, including the abil-
ity of the agency to raise funds through 
imposition of property taxes, 
(ii) whether the agency has been able 
to issue bonds to fund construction 
projects, including— 
(I) qualified zone academy bonds 
under section 54E of the Internal 
Revenue Code of 1986, and 
(II) school infrastructure bonds 
under section 54BB of the Internal 
Revenue Code of 1986, and 
(iii) the bond rating of the agency, 
VerDate Sep 11 2014 
00:31 Feb 05, 2026
Jkt 069200
PO 00000
Frm 00046
Fmt 6652
Sfmt 6201
E:\BILLS\H7340.IH
H7340
ssavage on LAPJG3WLY3PROD with BILLS
(B) the demographic composition of the 
student population served by the agency, 
disaggregated by— 
(i) race, 
(ii) the number and percentage of stu-
dents counted under section 1124(c) of the 
Elementary and Secondary Education Act 
of 1965 (20 U.S.C. 6333(c)), and 
(iii) the number and percentage of 
students who are eligible for a free or re-
duced price lunch under the Richard B. 
Russell National School Lunch Act (42 
U.S.C. 1751 et seq.), 
(C) the population density of the geo-
graphic area served by the agency, 
(D) a description of the projects carried 
out with funds received from school infrastruc-
ture bonds, 
(E) a description of the demonstrable or 
expected benefits of the projects, and 
(F) the estimated number of jobs created 
by the projects. 
(3) The total dollar amount of all funds re-
ceived by local educational agencies from school in-
frastructure bonds. 
VerDate Sep 11 2014 
00:31 Feb 05, 2026
Jkt 069200
PO 00000
Frm 00047
Fmt 6652
Sfmt 6201
E:\BILLS\H7340.IH
H7340
ssavage on LAPJG3WLY3PROD with BILLS
(4) Any other factors that the Secretary of the 
Treasury determines to be appropriate. 
(c) INFORMATION COLLECTION.—A State or local 
educational agency that receives an allocation under sec-
tion 54E(b)(2) or 54BB(g) of the Internal Revenue Code 
of 1986 shall— 
(1) annually compile the information necessary 
for the Secretary of the Treasury to determine the 
elements described in subsection (b), and 
(2) report the information to the Secretary of 
the Treasury at such time and in such manner as 
the Secretary of the Treasury may require. 
(d) SECRETARY OF THE TREASURY.—For purposes 
of this section, the term ‘‘Secretary of the Treasury’’ in-
cludes the Secretary’s delegate. 
TITLE III—USES OF FUNDS 
SEC. 301. ALLOWABLE USES OF FUNDS. 
(a) IN GENERAL.—Except as provided in section 302, 
a local educational agency that receives covered funds may 
use such funds to— 
(1) develop, maintain, and update (as nec-
essary) the facilities master plan required under sec-
tion 103(e); 
(2) construct, modernize, renovate, or retrofit 
public school facilities, which may include seismic 
VerDate Sep 11 2014 
00:31 Feb 05, 2026
Jkt 069200
PO 00000
Frm 00048
Fmt 6652
Sfmt 6201
E:\BILLS\H7340.IH
H7340
ssavage on LAPJG3WLY3PROD with BILLS
retrofitting for schools vulnerable to seismic natural 
disasters; 
(3) decarbonize public school facilities through 
the adoption of all-electric space and water heating 
systems and cooking equipment, including other effi-
ciency improvements and on-site renewable energy 
installation; 
(4) carry out major repairs of public school fa-
cilities, including deferred maintenance projects; 
(5) install furniture or fixtures with at least a 
10-year life in public school facilities; 
(6) construct new public school facilities; 
(7) acquire and prepare sites on which new 
public school facilities will be constructed; 
(8) extend the life of basic systems and compo-
nents of public school facilities; 
(9) ensure current or anticipated enrollment 
does not exceed the physical and instructional capac-
ity of public school facilities; 
(10) ensure the building envelopes and interiors 
of public school facilities protect occupants from nat-
ural elements and human threats, and are struc-
turally sound and secure; 
(11) compose building design plans that 
strengthen the safety and security on school prem-
VerDate Sep 11 2014 
00:31 Feb 05, 2026
Jkt 069200
PO 00000
Frm 00049
Fmt 6652
Sfmt 6201
E:\BILLS\H7340.IH
H7340
ssavage on LAPJG3WLY3PROD with BILLS
ises by utilizing design elements, principles, and 
technology that— 
(A) guarantee layers of security through-
out the school premises; and 
(B) uphold the aesthetics of the school 
premises as a learning and teaching environ-
ment; 
(12) improve energy and water efficiency to 
lower the costs of energy and water consumption in 
public school facilities; 
(13) improve indoor air quality in public school 
facilities; 
(14) reduce or eliminate the presence of— 
(A) toxic substances, including mercury, 
radon, PCBs, lead, per- and polyfluoroalkyl 
substances, and asbestos; 
(B) mold and mildew; or 
(C) rodents and pests; 
(15) ensure the safety of drinking water at the 
tap and water used for meal preparation in public 
school facilities, which may include testing of the po-
tability of water at the tap for the presence of lead 
and 
other 
contaminants, 
including 
per- 
and 
polyfluoroalkyl substances; 
VerDate Sep 11 2014 
00:31 Feb 05, 2026
Jkt 069200
PO 00000
Frm 00050
Fmt 6652
Sfmt 6201
E:\BILLS\H7340.IH
H7340
ssavage on LAPJG3WLY3PROD with BILLS
(16) bring public school facilities into compli-
ance with applicable fire, health, and safety codes; 
(17) make public school facilities accessible to 
people with disabilities through compliance with the 
Americans with Disabilities Act of 1990 (42 U.S.C. 
12101 et seq.) and section 504 of the Rehabilitation 
Act of 1973 (29 U.S.C. 794); 
(18) provide instructional program space im-
provements for programs relating to early learning 
(including early learning programs operated by part-
ners of the agency), special education, science, tech-
nology, career and technical education, physical edu-
cation, music, the arts, and literacy (including li-
brary programs); 
(19) improving the public school facilities of 
magnet schools, or other instructional programs, de-
signed to increase student diversity and decrease ra-
cial or socioeconomic isolation; 
(20) increase the use of public school facilities 
for the purpose of community-based partnerships 
that provide students with academic, health, and so-
cial services; 
(21) ensure the health of students and staff 
during the construction or modernization of public 
school facilities; or 
VerDate Sep 11 2014 
00:31 Feb 05, 2026
Jkt 069200
PO 00000
Frm 00051
Fmt 6652
Sfmt 6201
E:\BILLS\H7340.IH
H7340
ssavage on LAPJG3WLY3PROD with BILLS
(22) reduce or eliminate excessive classroom 
noise due to activities allowable under this section. 
(b) ALLOWANCE FOR DIGITAL LEARNING.—A local 
educational agency may use covered funds to leverage ex-
isting public programs or public-private partnerships to 
expand access to high-speed broadband sufficient for dig-
ital learning. 
SEC. 302. PROHIBITED USES. 
(a) IN GENERAL.—A local educational agency that 
receives covered funds may not use such funds for— 
(1) payment of routine and predictable mainte-
nance costs and minor repairs; 
(2) any facility that is primarily used for ath-
letic contests or exhibitions or other events for which 
admission is charged to the general public; 
(3) vehicles; or 
(4) central offices, operation centers, or other 
facilities that are not primarily used to educate stu-
dents. 
(b) ADDITIONAL PROHIBITIONS RELATING TO CHAR-
TER SCHOOLS.—No covered funds may be used— 
(1) for the facilities of a public charter school 
that is operated or managed by a for-profit entity; 
or 
VerDate Sep 11 2014 
00:31 Feb 05, 2026
Jkt 069200
PO 00000
Frm 00052
Fmt 6652
Sfmt 6201
E:\BILLS\H7340.IH
H7340
ssavage on LAPJG3WLY3PROD with BILLS
(2) for the facilities of a public charter school 
if— 
(A) the school leases the facilities from an 
individual or for-profit entity; and 
(B) such individual, or an individual with 
a direct or indirect financial interest in such en-
tity, has a management or governance role in 
such school. 
SEC. 303. REQUIREMENTS FOR HAZARD-RESISTANCE AND 
ENERGY AND WATER CONSERVATION. 
A local educational agency that receives covered 
funds shall ensure that any new construction, moderniza-
tion, or renovation project carried out with such funds 
meets or exceeds the requirements of the following: 
(1) Requirements for such projects set forth in 
the most recent published edition of a nationally rec-
ognized, consensus-based model building code. 
(2) Requirements for such projects set forth in 
the most recent published edition of a nationally rec-
ognized, consensus-based model energy conservation 
code. 
(3) Performance criteria under the WaterSense 
program, established under section 324B of the of 
the Energy Policy and Conservation Act (42 U.S.C. 
VerDate Sep 11 2014 
00:31 Feb 05, 2026
Jkt 069200
PO 00000
Frm 00053
Fmt 6652
Sfmt 6201
E:\BILLS\H7340.IH
H7340
ssavage on LAPJG3WLY3PROD with BILLS
6294b), applicable to such projects within a nation-
ally recognized, consensus-based model code. 
(4) Indoor environmental air quality require-
ments applicable to such projects as set forth in the 
most recent published edition of a nationally recog-
nized, consensus-based code or standard. 
SEC. 304. GREEN PRACTICES. 
(a) IN GENERAL.—A local educational agency that 
uses covered funds for a new construction. modernization, 
or renovation project shall ensure that such project for 
new construction is certified, verified, or consistent with 
the applicable provisions of— 
(1) the United States Green Building Council 
Leadership in Energy and Environmental Design 
green building rating standard (commonly known as 
the ‘‘LEED Green Building Rating System’’); 
(2) the Living Building Challenge developed by 
the International Living Future Institute; 
(3) a green building rating program developed 
by the Collaborative for High-Performance Schools 
(commonly known as ‘‘CHPS’’) that is CHPS- 
verified; 
(4) the Green Building Initiative Green Globes 
rating system; or 
(5) a program that— 
VerDate Sep 11 2014 
00:31 Feb 05, 2026
Jkt 069200
PO 00000
Frm 00054
Fmt 6652
Sfmt 6201
E:\BILLS\H7340.IH
H7340
ssavage on LAPJG3WLY3PROD with BILLS
(A) has standards that are equivalent to or 
more stringent than the standards of a program 
described in paragraphs (1) through (4); 
(B) is adopted by the State or another ju-
risdiction with authority over the agency; and 
(C) includes a verifiable method to dem-
onstrate compliance with such program. 
SEC. 305. USE OF AMERICAN IRON, STEEL, AND MANUFAC-
TURED PRODUCTS. 
(a) IN GENERAL.—A local educational agency that 
receives covered funds shall ensure that any iron, steel, 
and manufactured products used in projects carried out 
with such funds are produced in the United States. 
(b) WAIVER AUTHORITY.— 
(1) IN
GENERAL.—The Secretary may waive 
the requirement of subsection (a) if the Secretary 
determines that— 
(A) applying subsection (a) would be in-
consistent with the public interest; 
(B) iron, steel, and manufactured products 
produced in the United States are not produced 
in a sufficient and reasonably available amount 
or are not of a satisfactory quality; or 
(C) using iron, steel, and manufactured 
products produced in the United States will in-
VerDate Sep 11 2014 
00:31 Feb 05, 2026
Jkt 069200
PO 00000
Frm 00055
Fmt 6652
Sfmt 6201
E:\BILLS\H7340.IH
H7340
ssavage on LAPJG3WLY3PROD with BILLS
crease the cost of the overall project by more 
than 25 percent. 
(2) PUBLICATION.—Before issuing a waiver 
under paragraph (1), the Secretary shall publish in 
the Federal Register a detailed written explanation 
of the waiver determination. 
(c) CONSISTENCY WITH INTERNATIONAL AGREE-
MENTS.—This section shall be applied in a manner con-
sistent with the obligations of the United States under 
international agreements. 
(d) DEFINITIONS.—In this section: 
(1) PRODUCED IN THE UNITED STATES.—The 
term ‘‘produced in the United States’’ means the fol-
lowing: 
(A) When used with respect to a manufac-
tured product, the product was manufactured in 
the United States and the cost of the compo-
nents of such product that were mined, pro-
duced, or manufactured in the United States 
exceeds 60 percent of the total cost of all com-
ponents of the product. 
(B) When used with respect to iron or 
steel products, or an individual component of a 
manufactured product, all manufacturing proc-
esses for such iron or steel products or compo-
VerDate Sep 11 2014 
00:31 Feb 05, 2026
Jkt 069200
PO 00000
Frm 00056
Fmt 6652
Sfmt 6201
E:\BILLS\H7340.IH
H7340
ssavage on LAPJG3WLY3PROD with BILLS
nents, from the initial melting stage through 
the application of coatings, occurred in the 
United States, except that the term does not in-
clude— 
(i) steel or iron material or products 
manufactured abroad from semi-finished 
steel or iron from the United States; and 
(ii) steel or iron material or products 
manufactured in the United States from 
semi-finished steel or iron of foreign origin. 
(2) MANUFACTURED
PRODUCT.—The term 
‘‘manufactured product’’ means any construction 
material or end product (as such terms are defined 
in part 25.003 of the Federal Acquisition Regula-
tion) that is not an iron or steel product, includ-
ing— 
(A) electrical components; and 
(B) nonferrous building materials, includ-
ing, aluminum and polyvinylchloride (PVC), 
glass, fiber optics, plastic, wood, masonry, rub-
ber, manufactured stone, any other nonferrous 
metals, and any unmanufactured construction 
material. 
VerDate Sep 11 2014 
00:31 Feb 05, 2026
Jkt 069200
PO 00000
Frm 00057
Fmt 6652
Sfmt 6201
E:\BILLS\H7340.IH
H7340
ssavage on LAPJG3WLY3PROD with BILLS
TITLE IV—REPORTS AND OTHER 
MATTERS 
SEC. 401. COMPTROLLER GENERAL REPORT. 
(a) IN GENERAL.—Not later than 2 years after the 
date on which the majority of States receiving allocations 
under section 102 have made grants to local educational 
agencies under section 103, the Comptroller General of 
the United States shall submit to the appropriate congres-
sional committees a report on the projects carried out with 
covered funds. 
(b) ELEMENTS.—The report under subsection (a) 
shall include an assessment of— 
(1) State activities, including— 
(A) criteria used by each State to deter-
mine high-need students and facilities for pur-
poses of the projects carried out with covered 
funds; and 
(B) whether the State issued new regula-
tions to ensure the health and safety of stu-
dents and staff during construction or renova-
tion projects or to ensure safe, healthy, and 
high-performing school buildings; 
(2) the types of projects carried out with cov-
ered funds, including— 
VerDate Sep 11 2014 
00:31 Feb 05, 2026
Jkt 069200
PO 00000
Frm 00058
Fmt 6652
Sfmt 6201
E:\BILLS\H7340.IH
H7340
ssavage on LAPJG3WLY3PROD with BILLS
(A) the square footage of the improve-
ments made with covered funds; 
(B) the total cost of each such project; and 
(C) the costs of the project disaggregated 
by the costs for planning, design, construction, 
site purchase, and improvements; 
(3) the geographic distribution of the projects; 
(4) an assessment of the impact of selected 
projects (as identified by the Secretary) on the 
health and safety of school staff and students; and 
(5) how the Secretary or States could make 
covered funds more accessible— 
(A) to schools with the highest numbers 
and percentages of students counted under sec-
tion 1124(c) of the Elementary and Secondary 
Education Act of 1965 (20 U.S.C. 6333(c)); 
and 
(B) to schools with fiscal challenges in 
raising 
capital 
for 
school 
infrastructure 
projects. 
(c) UPDATES.—The Comptroller General shall up-
date and resubmit the report under this section to the ap-
propriate congressional committees— 
VerDate Sep 11 2014 
00:31 Feb 05, 2026
Jkt 069200
PO 00000
Frm 00059
Fmt 6652
Sfmt 6201
E:\BILLS\H7340.IH
H7340
ssavage on LAPJG3WLY3PROD with BILLS
(1) on a date that is between 5 and 6 years 
after the date of the submittal of the first report 
under this section; and 
(2) on a date that is between 10 and 11 years 
after the date of the submittal of such first report. 
SEC. 402. STUDY AND REPORT ON PHYSICAL CONDITION OF 
PUBLIC SCHOOLS. 
(a) STUDY AND REPORT.—Not less frequently than 
once in each 5-year period beginning after the date of the 
enactment of this Act, the Secretary, acting through the 
Director of the Institute of Education Sciences, shall— 
(1) carry out a comprehensive study of the 
physical conditions of all public schools in each State 
and outlying area; and 
(2) submit a report to the appropriate congres-
sional committees that includes the results of the 
study. 
(b) ELEMENTS.—Each study and report under sub-
section (a) shall include— 
(1) an assessment of— 
(A) the effect of school facility conditions 
on student and staff health and safety; 
(B) the effect of school facility conditions 
on student academic outcomes; 
VerDate Sep 11 2014 
00:31 Feb 05, 2026
Jkt 069200
PO 00000
Frm 00060
Fmt 6652
Sfmt 6201
E:\BILLS\H7340.IH
H7340
ssavage on LAPJG3WLY3PROD with BILLS
(C) the condition of school facilities, set 
forth separately by geographic region; 
(D) the condition of school facilities for 
economically disadvantaged students as well as 
students from major racial and ethnic sub-
groups; 
(E) the accessibility of school facilities for 
students and staff with disabilities; 
(F) the prevalence of school facilities at 
which student enrollment exceeds the physical 
and instructional capacity of the facility and the 
effect of such excess enrollment on instructional 
quality and delivery of school wraparound serv-
ices; 
(G) the condition of school facilities af-
fected by natural disasters; 
(H) the effect that projects carried out 
with covered funds have on the communities in 
which such projects are conducted, including 
the vitality, jobs, population, and economy of 
such communities; 
(I) the ability of building envelopes and in-
teriors of public school facilities to protect occu-
pants from natural elements and human 
threats; and 
VerDate Sep 11 2014 
00:31 Feb 05, 2026
Jkt 069200
PO 00000
Frm 00061
Fmt 6652
Sfmt 6201
E:\BILLS\H7340.IH
H7340
ssavage on LAPJG3WLY3PROD with BILLS
(J) the performance of school facilities 
projects with respect to energy and water effi-
ciency and climate mitigation and resilience; 
(2) an explanation of any differences observed 
with respect to the factors described in subpara-
graphs (A) through (J) of paragraph (1); and 
(3) a cost estimate for bringing school facilities 
to a state of good repair, as determined by the Sec-
retary. 
SEC. 403. OFFICE OF SCHOOL INFRASTRUCTURE AND SUS-
TAINABILITY. 
(a) ESTABLISHMENT.—Not later than 90 days after 
the date of enactment of this Act, the Secretary shall es-
tablish within the Department of Education an office to 
be known as the ‘‘Office of School Infrastructure and Sus-
tainability’’ (referred to in this section as the ‘‘Office’’). 
(b) HEAD OF OFFICE.—The head of the Office shall 
be an individual designated by the Secretary. 
(c) DUTIES.—The duties of the Office shall be— 
(1) to advise the Secretary on State plans 
under section 102; 
(2) to serve as a liaison with other departments 
and agencies of the Federal Government on matters 
relating to public school facilities, including the De-
partment of Energy, the Department of Health and 
VerDate Sep 11 2014 
00:31 Feb 05, 2026
Jkt 069200
PO 00000
Frm 00062
Fmt 6652
Sfmt 6201
E:\BILLS\H7340.IH
H7340
ssavage on LAPJG3WLY3PROD with BILLS
Human Services, the Department of the Treasury, 
the Federal Emergency Management Agency, and 
the Environmental Protection Agency; 
(3) to ensure the Department of Education is 
prepared to meet the requirements of this Act in a 
timely manner; and 
(4) to manage such other programs or initia-
tives affecting public school facilities as the Sec-
retary determines appropriate. 
SEC. 404. DEVELOPMENT OF DATA STANDARDS. 
(a) DATA STANDARDS.—Not later than 120 days 
after the date of the enactment of this Act, the Secretary, 
in consultation with the officials described in subsection 
(b), shall— 
(1) identify the data that States should collect 
and include in the databases developed under section 
102(a)(2)(B); 
(2) develop standards for the measurement of 
such data; and 
(3) issue guidance to States concerning the col-
lection and measurement of such data. 
(b) OFFICIALS.—The officials described in this sub-
section are— 
(1) the Administrator of the Environmental 
Protection Agency; 
VerDate Sep 11 2014 
00:31 Feb 05, 2026
Jkt 069200
PO 00000
Frm 00063
Fmt 6652
Sfmt 6201
E:\BILLS\H7340.IH
H7340
ssavage on LAPJG3WLY3PROD with BILLS
(2) the Secretary of Energy; 
(3) the Director of the Centers for Disease 
Control and Prevention; and 
(4) the Director of the National Institute for 
Occupational Safety and Health. 
SEC. 405. INFORMATION CLEARINGHOUSE. 
(a) IN GENERAL.—Not later than 120 days after the 
date of the enactment of this Act, the Secretary shall es-
tablish a clearinghouse to disseminate information on Fed-
eral programs and financing mechanisms that may be 
used to assist schools in initiating, developing, and financ-
ing— 
(1) energy efficiency projects; 
(2) distributed generation projects; and 
(3) energy retrofitting projects. 
(b) ELEMENTS.—In carrying out subsection (a), the 
Secretary shall— 
(1) consult with the officials described in sec-
tion 404(b) to develop a list of Federal programs 
and financing mechanisms to be included in the 
clearinghouse; and 
(2) coordinate with such officials to develop a 
collaborative education and outreach effort to 
streamline communications and promote the Federal 
programs and financing mechanisms included in the 
VerDate Sep 11 2014 
00:31 Feb 05, 2026
Jkt 069200
PO 00000
Frm 00064
Fmt 6652
Sfmt 6201
E:\BILLS\H7340.IH
H7340
ssavage on LAPJG3WLY3PROD with BILLS
clearinghouse, which may include the development 
and maintenance of a single online resource that in-
cludes contact information for relevant technical as-
sistance that may be used by States, outlying areas, 
local educational agencies, and Bureau-funded 
schools to effectively access and use such Federal 
programs and financing mechanisms. 
SEC. 406. SENSE OF CONGRESS ON OPPORTUNITY ZONES. 
(a) FINDINGS.—The Congress finds as follows: 
(1) Opportunity Zones were championed by 
prominent leaders of both parties as an innovative 
way to tackle longstanding challenges. 
(2) As of December 2018, 8,763 low-income 
communities had been designated as Opportunity 
Zones, representing all 50 States, the District of Co-
lumbia, Puerto Rico, the United States Virgin Is-
lands, and American Samoa. 
(3) Schools are integral parts of communities, 
and a key part of communities’ economic and work-
force development efforts could be modernizing 
school facilities. 
(b) SENSE OF CONGRESS.—It is the sense of the 
Congress that opportunity zones, when combined with 
public infrastructure investment, can provide an innova-
tive approach to capital financing that has the potential 
VerDate Sep 11 2014 
00:31 Feb 05, 2026
Jkt 069200
PO 00000
Frm 00065
Fmt 6652
Sfmt 6201
E:\BILLS\H7340.IH
H7340
ssavage on LAPJG3WLY3PROD with BILLS
to unleash creativity and help local communities rebuild 
schools, rebuild economics, and get people back to work. 
TITLE V—IMPACT AID 
CONSTRUCTION 
SEC. 501. TEMPORARY INCREASE IN FUNDING FOR IMPACT 
AID CONSTRUCTION. 
Section 7014(d) of the Elementary and Secondary 
Education Act of 1965 (20 U.S.C. 7714(d)) is amended 
to read as follows: 
‘‘(d) CONSTRUCTION.—For the purpose of carrying 
out section 7007, there are authorized to be appropriated 
$100,000,000 for each of fiscal years 2027 through 
2031.’’. 
TITLE VI—ASSISTANCE FOR RE-
PAIR OF SCHOOL FOUNDA-
TIONS 
AFFECTED 
BY 
PYRRHOTITE 
SEC. 601. ALLOCATIONS TO STATES. 
(a) IN GENERAL.—Beginning not later than 180 
days after the date of the enactment of this Act, the Sec-
retary shall carry out a program under which the Sec-
retary makes allocations to States to pay the Federal 
share of the costs of making grants to local educational 
agencies under section 602. 
VerDate Sep 11 2014 
00:31 Feb 05, 2026
Jkt 069200
PO 00000
Frm 00066
Fmt 6652
Sfmt 6201
E:\BILLS\H7340.IH
H7340
ssavage on LAPJG3WLY3PROD with BILLS
(b) WEBSITE.—Not later than 180 days after the 
date of enactment of this Act, the Secretary shall publish, 
on a publicly accessible website of the Department of Edu-
cation, instructions describing how a State may receive an 
allocation under this section. 
SEC. 602. GRANTS TO LOCAL EDUCATIONAL AGENCIES. 
(a) IN GENERAL.—From the amounts allocated to a 
State under section 601(a) and contributed by the State 
under subsection (e)(2), the State shall award grants to 
local educational agencies— 
(1) to pay the future costs of repairing concrete 
school foundations damaged by the presence of 
pyrrhotite; or 
(2) to reimburse such agencies for costs in-
curred by the agencies in making such repairs in the 
five-year period preceding the date of enactment of 
this Act. 
(b) LOCAL EDUCATIONAL AGENCY ELIGIBILITY.— 
(1) ELIGIBILITY FOR GRANTS FOR FUTURE RE-
PAIRS.—To be eligible to receive a grant under sub-
section (a)(1), a local educational agency shall— 
(A) with respect to each school for which 
the agency seeks to use grant funds, dem-
onstrate to the State that— 
VerDate Sep 11 2014 
00:31 Feb 05, 2026
Jkt 069200
PO 00000
Frm 00067
Fmt 6652
Sfmt 6201
E:\BILLS\H7340.IH
H7340
ssavage on LAPJG3WLY3PROD with BILLS
(i) the school is a pyrrhotite-affected 
school; and 
(ii) any laboratory tests, core tests, 
and visual inspections of the school’s foun-
dation used to determine that the school is 
a pyrrhotite-affected school were con-
ducted— 
(I) by a professional engineer li-
censed in the State in which the 
school is located; and 
(II) in accordance with applicable 
State standards or standards ap-
proved by any independent, nonprofit, 
or private entity authorized by the 
State to oversee construction, testing, 
or financial relief efforts for damaged 
building foundations; and 
(B) provide an assurance that— 
(i) the local educational agency will 
use the grant only for the allowable uses 
described in subsection (f)(1); and 
(ii) all work funded with the grant 
will be conducted by a qualified contractor 
or architect licensed in the State. 
VerDate Sep 11 2014 
00:31 Feb 05, 2026
Jkt 069200
PO 00000
Frm 00068
Fmt 6652
Sfmt 6201
E:\BILLS\H7340.IH
H7340
ssavage on LAPJG3WLY3PROD with BILLS
(2) 
ELIGIBILITY
FOR
REIMBURSEMENT 
GRANTS.—To be eligible to receive a grant under 
subsection (a)(2), a local educational agency shall 
demonstrate that it met the requirements of para-
graph (1) at the time it carried out the project for 
which the agency seeks reimbursement. 
(c) APPLICATION.— 
(1) IN GENERAL.—A local educational agency 
that seeks a grant under this section shall submit to 
the State an application at such time, in such man-
ner, and containing such information as the State 
may require, which upon approval by the State 
under subsection (d)(1)(A), the State shall submit to 
the 
Secretary 
for 
approval 
under 
subsection 
(d)(1)(B). 
(2) CONTENTS.—At minimum, each application 
shall include— 
(A) information and documentation suffi-
cient to enable the State to determine if the 
local educational agency meets the eligibility 
criteria under subsection (b); 
(B) in the case of an agency seeking a 
grant under subsection (a)(1), an estimate of 
the costs of carrying out the activities described 
in subsection (f); 
VerDate Sep 11 2014 
00:31 Feb 05, 2026
Jkt 069200
PO 00000
Frm 00069
Fmt 6652
Sfmt 6201
E:\BILLS\H7340.IH
H7340
ssavage on LAPJG3WLY3PROD with BILLS
(C) in the case of an agency seeking a 
grant under subsection (a)(2)— 
(i) an itemized explanation of— 
(I) the costs incurred by the 
agency in carrying out any activities 
described subsection (f); 
(II) any amounts contributed 
from other Federal, State, local, or 
private sources for such activities; and 
(ii) the amount for which the local 
educational agency seeks reimbursement; 
and 
(D) the percentage of any costs described 
in subparagraph (B) or (C) that are covered by 
an insurance policy. 
(d) APPROVAL AND DISBURSEMENT.— 
(1) APPROVAL.— 
(A) STATE.—The State shall approve the 
application of each local educational agency for 
submission to the Secretary that— 
(i) submits a complete and correct ap-
plication under subsection (c); and 
(ii) meets the criteria for eligibility 
under subsection (b). 
VerDate Sep 11 2014 
00:31 Feb 05, 2026
Jkt 069200
PO 00000
Frm 00070
Fmt 6652
Sfmt 6201
E:\BILLS\H7340.IH
H7340
ssavage on LAPJG3WLY3PROD with BILLS
that is not more than 50 percent of the total cost 
of the project for which the grant is awarded. 
(2) STATE SHARE.— 
(A) IN
GENERAL.—Subject to subpara-
graph (B), the State share of each grant under 
this section shall be an amount that is not less 
than 40 percent of the total cost of the project 
for which the grant is awarded, which the State 
shall contribute from non-Federal sources. 
(B) SPECIAL RULE FOR REIMBURSEMENT 
GRANTS.—In the case of a reimbursement grant 
made to a local educational agency under sub-
section (a)(2), a State shall be treated as meet-
ing the requirement of subparagraph (A) if the 
State demonstrates that it contributed, from 
non-Federal sources, not less than 40 percent 
of the total cost of the project for which the re-
imbursement grant is awarded. 
(f) USES OF FUNDS.— 
(1) ALLOWABLE USES OF FUNDS.—A local edu-
cational agency that receives a grant under this sec-
tion shall use such grant only for costs associated 
with— 
(A) the repair or replacement of the con-
crete foundation or other affected areas of a 
VerDate Sep 11 2014 
00:31 Feb 05, 2026
Jkt 069200
PO 00000
Frm 00072
Fmt 6652
Sfmt 6201
E:\BILLS\H7340.IH
H7340
ssavage on LAPJG3WLY3PROD with BILLS
pyrrhotite-affected school in the jurisdiction of 
such agency to the extent necessary— 
(i) to restore the structural integrity 
of the school to the safety and health 
standards established by the professional 
licensed engineer or architect associated 
with the project; and 
(ii) to restore the school to the condi-
tion it was in before the school’s founda-
tion was damaged due to the presence of 
pyrrhotite; and 
(B) engineering reports, architectural de-
sign, core tests, and other activities directly re-
lated to the repair or replacement project. 
(2) PROHIBITED USES OF FUNDS.—A local edu-
cational agency that receives a grant under this sec-
tion may not use the grant for any costs associated 
with— 
(A) work done to outbuildings, sheds, or 
barns, swimming pools (whether in-ground or 
above-ground), playgrounds or ballfields, or any 
ponds or water features; 
(B) the purchase of items not directly as-
sociated with the repair or replacement of the 
school building or its systems, including items 
VerDate Sep 11 2014 
00:31 Feb 05, 2026
Jkt 069200
PO 00000
Frm 00073
Fmt 6652
Sfmt 6201
E:\BILLS\H7340.IH
H7340
ssavage on LAPJG3WLY3PROD with BILLS
such as desks, chairs, electronics, sports equip-
ment, or other school supplies; or 
(C) any other activities not described in 
paragraph (1). 
(g) LIMITATION.—A local educational agency may 
not, for the same project, receive a grant under both— 
(1) this section; and 
(2) title I. 
SEC. 603. DEFINITIONS. 
In this title: 
(1) 
PYRRHOTITE-AFFECTED
SCHOOL.—The 
term ‘‘pyrrhotite-affected school’’ means an elemen-
tary school or a secondary school that meets the fol-
lowing criteria: 
(A) The school has a concrete foundation. 
(B) Pyrrhotite is present in the school’s 
concrete foundation, as demonstrated by a 
petrographic or other type of laboratory core 
analysis or core inspection. 
(C) A visual inspection of the school’s con-
crete foundation indicates that the presence of 
pyrrhotite is causing the foundation to deterio-
rate at an unsafe rate. 
VerDate Sep 11 2014 
00:31 Feb 05, 2026
Jkt 069200
PO 00000
Frm 00074
Fmt 6652
Sfmt 6201
E:\BILLS\H7340.IH
H7340
ssavage on LAPJG3WLY3PROD with BILLS
(D) A qualified engineer determined that 
the deterioration of the school’s foundation, due 
to the presence of pyrrhotite— 
(i) caused the school to become struc-
turally unsound; or 
(ii) will result in the school becoming 
structurally unsound within the next five 
years. 
(2) 
QUALIFIED
CONTRACTOR.—The 
term 
‘‘qualified contractor’’ means a contractor who is 
qualified under State law, or approved by any State 
agency or other State-sanctioned independent or 
nonprofit entity, to repair or replace residential or 
commercial building foundations that are deterio-
rating due to the presence of pyrrhotite. 
SEC. 604. AUTHORIZATION OF APPROPRIATIONS. 
There are authorized to be appropriated to carry out 
this title such sums as may be necessary for fiscal year 
2027 and each fiscal year thereafter. 
Æ 
VerDate Sep 11 2014 
00:31 Feb 05, 2026
Jkt 069200
PO 00000
Frm 00075
Fmt 6652
Sfmt 6301
E:\BILLS\H7340.IH
H7340
ssavage on LAPJG3WLY3PROD with BILLS