room-based instructional reading and writing assess-
ments, and software and other educational tech-
nology. 
(8) Evaluating the effectiveness of the instruc-
tional strategies, teacher professional development 
programs, and other interventions that are imple-
mented under the subgrant. 
(d) EVALUATIONS.—A local educational agency re-
ceiving a subgrant under this title shall provide to the 
State administering the subgrant interim reports, which 
may be included as part of a consolidated annual report, 
on the effectiveness of the interventions implemented 
using the subgrant after year 3 and year 6 of the subgrant 
award period. 
SEC. 105. AUTHORIZATION OF APPROPRIATIONS; ALLOCA-
TIONS. 
(a) AUTHORIZATION.—For the purposes of carrying 
out this title, there are authorized to be appropriated 
$1,000,000,000 for fiscal year 2004 and such sums as 
may be necessary for the 5 succeeding fiscal years. 
(b) SPECIAL RULE.—
(1) IN
GENERAL.—If the funds appropriated 
under this section for a fiscal year are less than 
$500,000,000, then the Secretary shall award 
grants, on a competitive basis, directly to eligible
local educational agencies to establish reading and 
writing programs to improve overall reading and 
writing performance among students in middle 
school and secondary school. 
(2) ELIGIBILITY REQUIREMENT.—To be eligible 
to receive a grant under this subsection, a local edu-
cational agency shall be among the local educational 
agencies in the State with the lowest graduation 
rates for public secondary school students (as de-
fined 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))). 
(c) STATE ALLOCATIONS.—
(1) IN GENERAL.—Of the funds appropriated 
under subsection (a), 95 percent shall be allocated to 
the States submitting applications under this title. 
(2) MINIMUM.—The minimum State allocation 
is 0.25 percent of the total amount allocated to 
States. 
(3) PUERTO RICO.—For any fiscal year, Puerto 
Rico shall receive an allocation that represents not
more than the percentage of the total allocation it 
received under part A of title I of the Elementary 
and Secondary Education Act of 1965 (20 U.S.C. 
6311 et seq.) for the preceding fiscal year.
(4) SUPPLEMENT, 
NOT
SUPPLANT.—States 
shall not use funds received under this title to sup-
plant funding already being provided by the State 
for such activities or for other educational activities. 
Funds may only be used to provide new services au-
thorized under this title. 
(5) REALLOCATION.—If a State does not apply 
for funding, the Secretary shall reallocate such 
State’s funds to the remaining States. 
(d) FUNDS RETAINED BY THE SECRETARY.—Funds 
retained by the Secretary shall be used to fund national 
activities in support of the programs funded under this 
title, except that the Secretary may not make direct grants 
to local educational agencies except as provided in sub-
section (b). 
(e) LOCAL EDUCATIONAL AGENCY SUBGRANTS.—
(1) MINIMUM.—For any fiscal year, each eligi-
ble local educational agency shall receive a minimum 
subgrant amount equal to at least the percentage of 
the total allocation it received under part A of title 
I of the Elementary and Secondary Education Act 
of 1965 (20 U.S.C. 6311 et seq.) for the preceding 
fiscal year. 
(2) FULL IMPLEMENTATION.—Subgrants to eli-
gible local educational agencies shall be of sufficient
size and scope to enable such entities to fully imple-
ment programs. 
(3) SUPPLEMENT, NOT SUPPLANT.—Local edu-
cational agencies shall not use funds received under 
this title to supplant funding already being provided 
by a local educational agency for such activities or 
for other educational activities. Funds may only be 
used to provide new services authorized under this 
title. 
SEC. 106. DEFINITIONS. 
For the purposes of this title: 
(1) INDIVIDUAL GRADUATION PLAN.—The term 
‘‘individual graduation plan’’ means a written plan, 
developed in partnership school personnel, parents, 
and students, to list the steps necessary for the indi-
vidual to achieve high school graduation with a 
standard diploma. 
(2) LITERACY
COACH.—The term ‘‘literacy 
coach’’ means a certified teacher, with a dem-
onstrated effectiveness in teaching reading to stu-
dents with specialized needs and the ability to work 
with classroom teachers to improve their instruc-
tional techniques to support reading and writing im-
provement, who works on site at a school to—
(A) train teachers from across the cur-
riculum to incorporate the teaching of reading 
and writing skills into their instruction of con-
tent; 
(B) train teachers to assess students’ read-
ing and writing skills and identify students re-
quiring remediation; and 
(C) provide or assess remedial literacy in-
struction, including for after school and sum-
mer school programs, for students requiring at-
tention, including economically disadvantaged 
students, students from major racial and ethnic 
groups, students with disabilities, students with 
limited English proficiency, migrant children, 
and homeless children. 
(3) SECRETARY.—The term ‘‘Secretary’’ means 
the Secretary of Education. 
(4) STATE.—The term ‘‘State’’ means the 50 
States, the Bureau of Indian Affairs, the District of 
Columbia, Puerto Rico, the Virgin Islands, Guam, 
American Samoa, and the Commonwealth of the 
Northern Mariana Islands.
TITLE II—Accountability 
SEC. 
201. 
ACCOUNTABILITY 
FOR 
ADEQUATE 
YEARLY 
PROGRESS. 
Section 1111(b)(2)(C) of the Elementary and Sec-
ondary Education Act of 1965 (20 U.S.C. 6311(b)(2)(C)) 
is amended—
(1) in clause (v)—
(A) by striking the semicolon at the end of 
subclause (II) and inserting a period; and 
(B) by inserting after subclause (II) the 
following: 
‘‘(III) In the case of secondary 
schools, the graduation rates for all 
students as described in clause (vi);’’; 
and 
(2) by amending clause (vi) to read as follows: 
‘‘(vi) in accordance with subparagraph 
(D), includes graduation rates for public 
secondary school students (defined as the 
percentage of students who graduate from 
secondary school with a regular diploma, 
as defined by the State, before reaching 21 
years of age or the maximum age for high 
school attendance in accordance with State