SECTION 1. SHORT TITLE. 
This Act may be cited as the ‘‘DC Parental Choice 
Incentive Act of 2003’’. 
SEC. 2. FINDINGS. 
The Congress finds the following: 
(1) Parents are best equipped to make decisions 
for their children, including the educational setting 
that will best serve the interests and educational 
needs of their child. 
(2) For many parents in the District of Colum-
bia, public school choice provided for under the No 
Child Left Behind Act of 2001 is inadequate due to 
capacity constraints within the public schools. 
Therefore, in keeping with the spirit of the No Child 
Left Behind Act of 2001, school choice options, in 
addition to those already available to parents in the 
District of Columbia (such as magnet and charter 
schools and open enrollment schools) should be made 
available to those parents. 
(3) In the most recent mathematics assessment 
on the National Assessment of Educational Progress 
(NAEP), administered in 2000, a lower percentage 
of 4th-grade students in DC demonstrated pro-
ficiency than was the case for any State. Seventy-six 
percent of DC fourth-graders scored at the ‘‘below 
basic’’ level and of the 8th-grade students in the
District of Columbia, only 6 percent of the students 
tested at the proficient or advanced levels, and 77 
percent were below basic. In the most recent NAEP 
reading assessment, in 1998, only 10 percent of DC 
fourth-graders could read proficiently, while 72 per-
cent were below basic. At the 8th-grade level, 12 
percent were proficient or advanced and 56 percent 
were below basic. 
(4) A program enacted for the valid secular 
purpose of providing educational assistance to low-
income children in a demonstrably failing public 
school system is constitutional under Zelman v. Sim-
mons-Harris if it is neutral with respect to religion 
and provides assistance to a broad class of citizens 
who direct government aid to schools solely as a re-
sult of their independent private choices. 
SEC. 3. PURPOSE. 
The purpose of this Act is to provide low-income par-
ents residing in the District of Columbia, particularly par-
ents of students who attend elementary or secondary 
schools identified for improvement, corrective action, or 
restructuring under section 1116 of the Elementary and 
Secondary Education Act of 1965 (20 U.S.C. 6316), with 
expanded opportunities for enrolling their children in high-
er-performing schools in the District of Columbia.
SEC. 4. GENERAL AUTHORITY. 
(a) AUTHORITY.—From funds appropriated to carry 
out this Act, the Secretary shall award grants on a com-
petitive basis to eligible entities with approved applications 
under section 5 to carry out activities to provide eligible 
students with expanded school choice opportunities. The 
Secretary may award a single grant or multiple grants, 
depending on the quality of applications submitted and the 
priorities of this Act. 
(b) DURATION
OF GRANTS.—The Secretary may 
make grants under this section for a period of not more 
than 5 years. 
SEC. 5. APPLICATIONS. 
(a) IN GENERAL.—In order to receive a grant under 
this Act, an eligible entity shall submit an application to 
the Secretary at such time, in such manner, and accom-
panied by such information as the Secretary may require. 
(b) CONTENTS.—The Secretary may not approve the 
request of an eligible entity for a grant under this Act 
unless the entity’s application includes—
(1) a detailed description of—
(A) how the entity will address the prior-
ities described in section 6; 
(B) how the entity will select eligible stu-
dents to participate in the program, including 
how it will ensure that if more eligible students
participating in the program seek admission in 
a participating school than the school can ac-
commodate, eligible students are selected for 
admission through a random selection process; 
(C) how the entity will notify parents of el-
igible students of the expanded choice opportu-
nities; 
(D) the activities that the entity will carry 
out to provide parents of eligible students with 
expanded choice opportunities through the 
awarding of scholarships under section 7(a); 
(E) how the entity will determine the 
amount that will be provided to parents for the 
tuition, fees, and transportation expenses, if 
any; 
(F) how the entity will seek out private ele-
mentary and secondary schools in the District 
of Columbia to participate in the program, and 
will ensure that participating schools will meet 
the applicable requirements of this Act and pro-
vide the information needed for the entity to 
meet the reporting requirements of this Act; 
and 
(G) how the entity will ensure that partici-
pating schools are financially responsible; and
(2) an assurance that the entity will comply 
with all requests regarding any evaluation carried 
out under section 9. 
SEC. 6. PRIORITIES. 
In awarding grants under this Act, the Secretary 
shall give priority to applications from eligible entities who 
will most effectively—
(1) give priority to eligible students who attend 
an elementary or secondary school identified for im-
provement, corrective action, or restructuring under 
section 1116 of the Elementary and Secondary Edu-
cation Act of 1965 (20 U.S.C. 6316); 
(2) target resources to students and families 
that lack the financial resources to take advantage 
of available educational options; 
(3) provide students and families with the 
widest range of educational options; and 
(4) serve students of varying age and grade lev-
els. 
SEC. 7. USE OF FUNDS. 
(a) SCHOLARSHIPS.—
(1) IN
GENERAL.—Subject to paragraph (2) 
and (3), a grantee shall use the grant funds to pro-
vide eligible students with scholarships to pay the 
tuition, fees, and transportation expenses, if any, to
enable them to attend the District of Columbia pri-
vate elementary or secondary school of their choice. 
Each grantee shall ensure that the amount of any 
tuition or fees charged by a school participating in 
the grantee’s program under this Act to an eligible 
student participating in the program does not exceed 
the amount of tuition or fees that the school custom-
arily charges to students who do not participate in 
the program. 
(2) PAYMENTS TO PARENTS.—A grantee shall 
make scholarship payments under the program 
under this Act to the parent of the eligible student 
participating in the program, in a manner which en-
sures that such payments will be used for the pay-
ment of tuition, fees, and transportation expenses (if 
any), in accordance with this Act. 
(3) AMOUNT OF ASSISTANCE.—
(A) VARYING AMOUNTS PERMITTED.—Sub-
ject to the other requirements of this sub-
section, a grantee may award scholarships in 
larger amounts to those eligible students with 
the greatest need. 
(B) ANNUAL
LIMIT
ON
AMOUNT.—The 
amount of assistance provided to any eligible 
student by a grantee under a program under
this Act may not exceed $7,500 for any aca-
demic year. 
(b) ADMINISTRATIVE EXPENSES.—A grantee may 
use not more than 3 percent of the amount provided under 
the grant each year for the administrative expenses of car-
rying out its program under this Act during the year, in-
cluding—
(1) determining the eligibility of students to 
participate; 
(2) providing information about the program 
and the schools involved to parents of eligible stu-
dents; 
(3) selecting students to receive support; 
(4) determining the amount of scholarships and 
issuing them to eligible students; 
(5) compiling and maintaining financial and 
programmatic records; and 
(6) providing funds to assist parents in meeting 
expenses that might otherwise preclude the partici-
pation of their child in the program. 
SEC. 8. NONDISCRIMINATION. 
(a) IN GENERAL.—A school participating in any pro-
gram under this Act shall not discriminate on the basis 
of race, color, national origin, or sex in participating in 
the program.
(b) APPLICABILITY AND CONSTRUCTION WITH RE-
SPECT TO DISCRIMINATION ON THE BASIS OF SEX.—
(1) 
APPLICABILITY.—Notwithstanding 
sub-
section (a) or any other provision of law, it shall not 
be considered discrimination on the basis of sex for 
a school that is operated by, supervised by, con-
trolled by, or connected to a religious organization to 
take sex into account to the extent that failing to do 
so would be inconsistent with the religious tenets or 
beliefs of the school. 
(2) SINGLE-SEX SCHOOLS, CLASSES, OR ACTIVI-
TIES.—Notwithstanding subsection (a) or any other 
provision of law, a parent may choose and a school 
may offer a single-sex school, class, or activity. 
(c) CHILDREN WITH DISABILITIES.—Nothing in this 
Act may be construed to alter or modify the provisions 
of the Individuals with Disabilities Education Act. 
(d) RELIGIOUSLY AFFILIATED SCHOOLS.—
(1) IN GENERAL.—Notwithstanding any other 
provision of law, a school participating in any pro-
gram under this Act which is operated by, super-
vised by, controlled by, or connected to, a religious 
organization may employ persons of the same reli-
gion to the extent determined by that school to pro-
mote the religious purpose for which the school is es-
tablished or maintained. 
(2) RELIGIOUS
PURPOSES.—Notwithstanding 
any other provision of law, funds made available 
under this Act may be used for religious educational 
purposes, and no participating school shall be re-
quired to remove religious art, icons, scriptures, or 
other symbols. A participating school may retain re-
ligious terms in its name, select its board members 
on a religious basis, and include religious references 
in its mission statements and other chartering or 
governing documents. 
(e) RULE OF CONSTRUCTION.—A scholarship (or any 
other form of support provided to parents of eligible stu-
dents) under this Act shall be considered assistance to the 
student and shall not be considered assistance to the 
school that enrolls the eligible student. The amount of any 
scholarship (or other form of support provided to parents 
of an eligible student) under this Act shall not be treated 
as income of the parents for purposes of Federal tax laws 
or for determining eligibility for any other Federal pro-
gram. 
SEC. 9. EVALUATIONS. 
(a) IN GENERAL.—
(1) DUTIES
OF
SECRETARY.—The Secretary 
shall—
(A) conduct an evaluation using the 
strongest possible research design for deter-
mining the effectiveness of the programs funded 
under this Act that addresses the issues de-
scribed in paragraph (2); and 
(B) disseminate information on the impact 
of the programs in increasing the student aca-
demic achievement of participating students, as 
well as other appropriate measures of student 
success, and on the impact of the programs on 
students and schools in the District of Colum-
bia. 
(2) ISSUES TO BE EVALUATED.—The issues de-
scribed in this paragraph include the following: 
(A) A comparison of the academic achieve-
ment of students who participate in the pro-
grams funded under this Act with the academic 
achievement of students of similar backgrounds 
who do not participate in such programs. 
(B) The success of the programs in ex-
panding choice options for parents. 
(C) The reasons parents choose for their 
children to participate in the programs.
(D) A comparison of the retention rates, 
dropout rates, and (if appropriate) graduation 
and college admission rates of students who 
participate in the programs funded under this 
Act with the retention rates, dropout rates, and 
(if appropriate) graduation and college admis-
sion rates of students of similar backgrounds 
who do not participate in such programs. 
(E) The effects of the programs on public 
elementary and secondary schools. 
(F) A comparison of the safety of the 
schools attended by students who participate in 
the programs and the schools attended by stu-
dents who do not participate in the programs. 
(G) The impact of the program on stu-
dents and schools in the District of Columbia. 
(H) Such other issues as the Secretary 
considers appropriate for inclusion in the eval-
uation. 
(b) REPORTS.—The Secretary shall submit to the 
Committees on Appropriations, Education and the Work-
force, and Government Reform of the House of Represent-
atives and the Committees on Appropriations, Health, 
Education, Labor, and Pensions, and Governmental Af-
fairs of the Senate—
(1) annual interim reports not later than De-
cember 1 of each year for which a grant is made 
under this Act on the progress and preliminary re-
sults of the evaluation of the programs funded under 
this Act; and 
(2) a final report not later than 1 year after the 
final year for which a grant is made under this Act 
on the results of the evaluation of the programs 
funded under this Act. 
(c) PUBLIC AVAILABILITY.—All reports and under-
lying data gathered pursuant to this section shall be made 
available to the public upon request, in a timely manner 
following submission of the applicable report under sub-
section (b), except that personally identifiable information 
shall not be disclosed or made available to the public. 
(d) LIMIT ON AMOUNT EXPENDED.—The amount ex-
pended by the Secretary to carry out this section for any 
fiscal year may not exceed 3 percent of the total amount 
appropriated to carry out this Act for the year. 
SEC. 10. REPORTING REQUIREMENTS. 
(a) ACTIVITIES REPORTS.—Each grantee receiving 
funds under this Act during a year shall submit a report 
to the Secretary not later than July 30 of the following 
year regarding the activities carried out with the funds 
during the preceding year.