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‘‘(3) TARGETED LOW-INCOME PARTICIPANTS.—
Not less than 50 percent of the participants in each
program supported under paragraph (1) shall be—
‘‘(A) parents of a child who is, or within
the past 24 months has been, a recipient of as-
sistance or services under a State program
funded under this part; or
‘‘(B) parents, including an expectant par-
ent or a married parent, whose income (after
adjustment for court-ordered child support paid
or received) does not exceed 150 percent of the
poverty line.
‘‘(4) CONSULTATION
WITH
DOMESTIC
VIO-
LENCE ASSISTANCE CENTERS.—Each State or entity
administering a program supported under paragraph
(1) shall consult with representatives of State and
local domestic violence centers.
‘‘(5) SUPPLEMENT NOT SUPPLANT.—Amounts
allotted to a State under this section shall be used
to supplement and not supplant other Federal,
State, or local funds provided to the State under this
part or any other provision of law that are used to
support programs and activities similar to the a re-
sponsible fatherhood program described in para-
graph (2).
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‘‘(6) RESTRICTIONS ON USE.—No amount allot-
ted under this section may be used for court pro-
ceedings on matters of child visitation or child cus-
tody, or for legislative advocacy.
‘‘(e) RECONCILIATION PROCESS.—
‘‘(1) 3-YEAR
AVAILABILITY
OF
AMOUNTS
AL-
LOTTED.—Each State that receives an allotment
under this section shall return to the Secretary any
unused portion of the amount allotted to a State
under this section for a fiscal year not later than the
last day of the second succeeding fiscal year, to-
gether with any earnings on such unused portion.
‘‘(2) PROCEDURE FOR REDISTRIBUTION OF UN-
USED ALLOTMENTS.—The Secretary shall establish
an appropriate procedure for redistributing to States
that have expended the entire amount allotted under
this section any amount that is—
‘‘(A) returned to the Secretary by States
under paragraph (1); or
‘‘(B) not allotted to a State under this sec-
tion because the State did not submit a certifi-
cation under subsection (b) by October 1 of a
fiscal year.
‘‘(f) REPORTING REQUIREMENTS.—
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‘‘(1) MONITORING
AND
EVALUATION.—Each
State receiving an allotment under this section shall
monitor and evaluate the programs supported using
funds made available under this section in such
manner as the Secretary, in consultation with the
States, determines appropriate.
‘‘(2) ANNUAL
REPORTS.—Not less frequently
than annually, each State receiving an allotment
under this section for a fiscal year shall submit to
the Secretary reports on the programs supported
under this section at such time, in such manner, and
containing such information as the Secretary may
reasonably require.
‘‘(g) AMOUNT OF ALLOTMENTS.—
‘‘(1) IN GENERAL.—Except as provided in para-
graph (2), of the amount appropriated for the pur-
pose of making allotments under this section for a
fiscal year the Secretary shall allot to each State
that submits a certification under subsection (b) for
that fiscal year an amount equal to the sum of—
‘‘(A) the amount that bears the same ratio
to 50 percent of such funds as the number of
young children in the State (as determined by
the Secretary based on the most recent March
supplement to the Current Population Survey
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of the Bureau of the Census before the begin-
ning of the calendar year in which such fiscal
year begins) as bears to the number of such
children in all States; and
‘‘(B) the amount that bears the same ratio
to 50 percent of such funds as the number of
children at risk in the State (as determined by
the Secretary based on the most recent March
supplement to the Current Population Survey
of the Bureau of the Census before the begin-
ning of the calendar year in which such fiscal
year begins) bears to the number of such chil-
dren in all States.
‘‘(2) MINIMUM
ALLOTMENTS.—No allotment
for a fiscal year under this section shall be less
than—
‘‘(A) in the case of a State other than the
Commonwealth of Puerto Rico, the United
States Virgin Islands, Guam, American Samoa,
and the Commonwealth of the Northern Mar-
iana Islands, 1 percent of the amount appro-
priated for the fiscal year under subsection (h);
and
‘‘(B) in the case of the Commonwealth of
Puerto Rico, the United States Virgin Islands,
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Guam, American Samoa, and the Common-
wealth of the Northern Mariana Islands, 0.5
percent of such amount.
‘‘(3) PRO RATA REDUCTIONS.—The Secretary
shall make such pro rata reductions to the allot-
ments determined under paragraph (1) as are nec-
essary to comply with the requirements of paragraph
(2).
‘‘(h) AUTHORIZATION OF APPROPRIATIONS.—There
is authorized to be appropriated $50,000,000 for each of
fiscal years 2002 through 2006 for purposes of making
allotments to States under this section.’’.
(b) EVALUATION AND REPORT.—
(1) EVALUATION.—
(A) 
IN
GENERAL.—The 
Secretary 
of
Health and Human Services (in this subsection
referred to as the ‘‘Secretary’’), in consultation
with the Secretary of Labor, shall, directly or
through a grant, contract, or interagency agree-
ment, conduct an evaluation of the projects
funded under section 469D of the Social Secu-
rity Act (as added by subsection (a)).
(B) OUTCOMES
ASSESSMENT.—The eval-
uation conducted under subparagraph (A) shall
assess, among other outcomes selected by the
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Secretary, effects of the projects on marriage,
parenting, employment, earnings, payment of
child support, and incidence of domestic vio-
lence and child abuse.
(C) PROJECT
SELECTION.—In selecting
projects for the evaluation, the Secretary should
include projects that are most likely to further
the purposes of this section.
(D) RANDOM ASSIGNMENT.—In conducting
the evaluation, random assignment should be
used wherever possible.
(2) REPORT.—Not later than December 31,
2004, the Secretary shall submit to Congress a re-
port on the results of the evaluation conducted
under paragraph (1).
(3) AUTHORIZATION
OF
APPROPRIATIONS.—
There is authorized to be appropriated $1,000,000
for each of fiscal years 2002 through 2006 to carry
out this subsection.
CHAPTER 2—NATIONAL CLEARINGHOUSE
SEC. 2511. NATIONAL CLEARINGHOUSE FOR RESPONSIBLE
FATHERHOOD PROGRAMS.
Part D of title IV of the Social Security Act (42
U.S.C. 651), as amended by section 2502, is amended by
adding at the end the following:
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‘‘(2) COORDINATION WITH DOMESTIC VIOLENCE
PROGRAMS.—The Secretary shall ensure that the na-
tionally recognized nonprofit fatherhood promotion
organization with a contract under paragraph (1)
coordinates the media campaign developed under
subparagraph (A) of such paragraph and the na-
tional clearinghouse developed under subparagraph
(B) of such paragraph with a national, State, or
local domestic violence program.
‘‘(b) NATIONALLY RECOGNIZED, NONPROFIT FA-
THERHOOD PROMOTION ORGANIZATION DESCRIBED.—
The nationally recognized, nonprofit fatherhood promotion
organization described in this subsection is such an orga-
nization that has at least 4 years of experience in—
‘‘(1) designing and disseminating a national
public education campaign, including the production
and successful placement of television, radio, and
print public service announcements that promote the
importance of responsible fatherhood; and
‘‘(2) providing consultation and training to
community-based organizations interested in imple-
menting fatherhood outreach, support, or skill devel-
opment programs with an emphasis on promoting
married fatherhood as the ideal.
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‘‘(c) AUTHORIZATION OF APPROPRIATIONS.—There
is authorized to be appropriated $2,000,000 for each of
fiscal years 2002 through 2006 to carry out this section.’’.
TITLE III—HEAD START AND
CHILD CARE
Subtitle A—Infants and Toddlers
SEC. 3001. RESERVATION OF HEAD START ACT FUNDS FOR
INFANTS AND TODDLERS.
Section 640(a)(6) of the Head Start Act (42 U.S.C.
9835(a)(6)) is amended—
(1) by striking subparagraph (A) and inserting
the following:
‘‘(A) Except as provided in subparagraph (B), from
amounts reserved and allotted pursuant to paragraphs (2)
and (4), the Secretary shall use, for grants for programs
described in section 645A(a), a portion of the combined
total of such amounts equal to—
‘‘(i) 10 percent of the funds appropriated pur-
suant to section 639(a) for fiscal year 2002;
‘‘(ii) 11 percent of such funds for fiscal year
2003;
‘‘(iii) 12 percent of such funds for fiscal year
2004;
‘‘(iv) 13 percent of such funds for fiscal year
2005;
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‘‘(v) 15 percent of such funds for fiscal year
2006;
‘‘(vi) 20 percent of such funds for fiscal year
2007;
‘‘(vii) 25 percent of such funds for fiscal year
2008;
‘‘(viii) 30 percent of such funds for fiscal 2009;
‘‘(ix) 35 percent of such funds for fiscal 2010;
and
‘‘(x) 40 percent of such funds for fiscal 2011.’’;
and
(2) in subparagraph (B)—
(A) by striking clause (i); and
(B) by redesignating clauses (ii) and (iii)
as clauses (i) and (ii), respectively.
SEC. 3002. RESERVATION OF CHILD CARE AND DEVELOP-
MENT BLOCK GRANT FUNDS FOR INFANTS
AND TODDLERS.
Section 658G of the Child Care and Development
Block Grant Act of 1990 (42 U.S.C. 9858e) is amended—
(1) by striking the heading and inserting the
following:
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‘‘SEC. 658G. ACTIVITIES TO IMPROVE THE QUALITY OF
CHILD CARE AND ACTIVITIES FOR INFANTS
AND TODDLERS.’’;
(2) by inserting before ‘‘A State’’ the following:
‘‘(a) ACTIVITIES TO IMPROVE
THE QUALITY
OF
CHILD CARE.—’’; and
(3) by adding at the end the following:
‘‘(b) ACTIVITIES FOR INFANTS AND TODDLERS.—A
State that receives funds to carry out this subchapter for
a fiscal year shall use, for activities that are designed to
improve and expand child care for children from birth
through age 3, not less than—
‘‘(1) 5 percent of such funds for fiscal year
2002;
‘‘(2) 6 percent of such funds for fiscal year
2003;
‘‘(3) 7 percent of such funds for fiscal year
2004;
‘‘(4) 8 percent of such funds for fiscal year
2005;
‘‘(5) 9 percent of such funds for fiscal year
2006; and
‘‘(6) 10 percent of such funds for fiscal year
2007.’’.
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Subtitle B—Child Care Access
CHAPTER 1—IMPROVING ACCESS TO
CHILD CARE
SEC. 3101. PAYMENT RATES.
Section 658E(c)(4) of the Child Care and Develop-
ment Block Grant Act of 1990 (42 U.S.C. 9858c(c)(4))
is amended by striking subparagraph (A) and inserting
the following:
‘‘(A) IN GENERAL.—The State plan shall
provide an assurance that payment rates for the
provision of child care services for which assist-
ance is provided under this subchapter—
‘‘(i) are set at not less than the rate
at the 100th percentile of the market rate
for child care in the State, calculated as a
rate—
‘‘(I) determined in accordance
with market surveys (that reflect vari-
ations in the cost of care by locality)
conducted by the State not less often
than once every 2 years; and
‘‘(II) adjusted at intervals be-
tween such surveys to reflect increases
in the cost of living, in such manner
as the Secretary may specify;
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‘‘(ii) are set at rates higher than the
rate at the 100th percentile of the market
rate for care of higher than average qual-
ity, such as care by accredited providers,
care that includes the provision of com-
prehensive services, care provided at un-
usual hours, care for children with special
needs, care for children from low-income
and rural communities, and care of a type
that is in short supply; and
‘‘(iii) are set at rates that reflect vari-
ations in the cost of providing care for
children of different ages and different
types of care.’’.
CHAPTER 
2—IMPROVEMENTS 
TO 
THE
CHILD 
CARE 
AND 
DEVELOPMENT
BLOCK GRANT PROGRAM
SEC. 3111. AUTHORIZATION OF APPROPRIATIONS.
(a) CHILD CARE AND DEVELOPMENT BLOCK GRANT
ACT OF 1990.—Section 658B of the Child Care and De-
velopment Block Grant Act of 1990 (42 U.S.C. 9858), is
amended to read as follows:
‘‘SEC. 658B. AUTHORIZATION OF APPROPRIATIONS.
‘‘There are authorized to be appropriated to carry out
this subchapter—
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‘‘(1) $2,936,400,000 for fiscal year 2002;
‘‘(2) $4,104,300,000 for fiscal year 2003;
‘‘(3) $5,292,400,000 for fiscal year 2004;
‘‘(4) $6,524,900,000 for fiscal year 2005;
‘‘(5) $7,827,700,000 for fiscal year 2006;
‘‘(6) $9,092,800,000 for fiscal year 2007;
‘‘(7) $10,524,100,000 for fiscal year 2008;
‘‘(8) $11,830,500,000 for fiscal year 2009;
‘‘(9) $13,343,900,000 for fiscal year 2010; and
‘‘(10) $14,991,200,000 for fiscal year 2011.’’.
(b) SOCIAL SECURITY ACT.—Section 418(a)(3) of
the Social Security Act (42 U.S.C. 618(a)(3)) is amended
by striking subparagraphs (A) through (F) and inserting
the following:
‘‘(A) $3,989,100,000 for fiscal year 2002;
‘‘(B) $5,575,600,000 for fiscal year 2003;
‘‘(C) $7,189,800,000 for fiscal year 2004;
‘‘(D) $8,864,100,000 for fiscal year 2005;
‘‘(E) $10,634,000,000 for fiscal year 2006;
‘‘(F) $12,352,500,000 for fiscal year 2007;
‘‘(G) $14,297,000,000 for fiscal year 2008;
‘‘(H) $16,071,800,000 for fiscal year
2009;
‘‘(I) $18,127,600,000 for fiscal year 2010;
and
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‘‘(J) $20,365,600,000 for fiscal year
2011.’’.
SEC. 3112. STATE PLAN REQUIREMENTS.
Section 658E(c)(2) of the Child Care and Develop-
ment Block Grant Act of 1990 (42 U.S.C. 9858c(c)(2))
is amended—
(1) by striking subparagraph (D) and inserting
the following:
‘‘(D) CONSUMER
EDUCATION
INFORMA-
TION.—Certify that the State will collect and
disseminate to parents of eligible children and
the general public, consumer education informa-
tion that will promote informed child care
choices, and describe how the State will inform
parents receiving assistance under a State pro-
gram funded under part A of title IV of the So-
cial Security Act (42 U.S.C. 601 et seq.) and
low-income parents about eligibility for assist-
ance under this subchapter.’’; and
(2) by adding at the end the following new sub-
paragraphs:
‘‘(I) AVAILABILITY
OF
STAFF.—Describe
how the State will ensure that staff from the
lead agency described in section 658D will be
available, at the offices of the State program
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funded under part A of title IV of the Social
Security Act, to provide information about eligi-
bility for assistance under this subchapter.
‘‘(J) ELIGIBILITY
REDETERMINATION.—
Demonstrate that each child that receives as-
sistance under this subchapter in the State will
receive such assistance for not less than 1 year
before the State redetermines the eligibility of
the child under this subchapter.’’.
SEC. 3113. DEFINITIONS.
Section 658P(4)(C) of the Child Care and Develop-
ment Block Grant Act of 1990 (42 U.S.C. 9858n(4)(C))
is amended—
(1) in clause (i), by striking ‘‘or’’ at the end;
(2) in clause (ii), by striking the period and in-
serting ‘‘; or’’; and
(3) by adding at the end the following:
‘‘(iii) is a foster child.’’.
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Subtitle C—Child Care Quality
Improvement
CHAPTER 1—FOCUS ON COMMITTED AND
UNDERPAID STAFF FOR CHILDREN’S
SAKE
SEC. 3201. SHORT TITLE.
This Act may be cited as the ‘‘Focus On Committed
and Underpaid Staff for Children’s Sake Act’’ or as the
‘‘FOCUS Act’’.
SEC. 3202. FINDINGS AND PURPOSE.
(a) FINDINGS.—Congress makes the following find-
ings:
(1) Research on early brain development and
early childhood demonstrates that the experiences
children have and the attachments children form
early in life have a decisive, long-lasting impact on
their later development and learning.
(2) High-quality, developmentally appropriate
child care beginning in early childhood and con-
tinuing through the years that children are in school
improves the scholastic success and educational at-
tainment of children, and the success and attain-
ment persist into adulthood.
(3) According to a growing body of research,
the single most important determinant of child care
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quality is the presence of consistent, sensitive, well-
trained, and well-compensated child care providers.
However, child care programs nationwide experience
high turnover in teaching staff, fueled by poor com-
pensation and few opportunities for advancement.
(4) The Department of Labor reports that, in
1999, the average wage for a child care provider was
$7.42 per hour, or $15,430 annually. For full-time,
full-year work, the average annual wage for a child
care provider was not much above the 1999 poverty
line of $13,423 for a family consisting of a parent
and 2 children. Family child care providers earned
even less. The median weekly wage of a family child
care provider in 1999 was $264, which equals an
annual wage of $13,728.
(5) Despite the important role child care pro-
viders may play in early child development and
learning, on average, a child care provider earns less
in a year than a bus driver ($26,460), barber
($20,970), or janitor ($18,220).
(6) Employer-sponsored benefits are minimal
for most child care staff. Even for child care pro-
viders at child care centers, the availability of health
care coverage for staff remains woefully inadequate.
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compensation. This is true, with few exceptions, for
providers in all types of programs, including sub-
sidized and nonsubsidized programs, programs of-
fered by for-profit and nonprofit entities, and pro-
grams in large and small child care settings.
(11) Because of the severe nationwide shortage
of qualified staff available for employment by child
care programs, several States have recently initiated
programs to improve the quality of child care by in-
creasing the training and compensation of child care
providers. Such programs encourage the training,
education, and increased retention of qualified child
care providers by offering financial incentives, in-
cluding scholarships and increases in compensation,
that range from $350 to $6,500 annually.
(b) PURPOSES.—The purposes of this Act are—
(1) to establish the Child Care Provider Devel-
opment and Retention Grant Program and the Child
Care Provider Scholarship Program; and
(2) to help children receive the high quality
child care and early education the children need for
positive cognitive and social development, by reward-
ing and promoting the retention of committed, quali-
fied child care providers and by providing financial
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assistance to improve the educational qualifications
of child care providers.
SEC. 3203. DEFINITIONS.
In this Act:
(1) CHILD CARE PROVIDER.—The term ‘‘child
care provider’’ means an individual who provides a
service directly to a child on a person to person basis
for compensation for—
(A) a center-based child care provider that
is licensed or regulated under State or local law
and that satisfies the State and local require-
ments applicable to the child care services pro-
vided;
(B) a licensed or regulated family child
care provider that satisfies the State and local
requirements applicable to the child care serv-
ices provided; or
(C) an out-of-school time program that is
licensed or regulated under State or local law
and that satisfies the State and local require-
ments applicable to the child care services pro-
vided.
(2) FAMILY CHILD CARE PROVIDER.—The term
‘‘family child care provider’’ has the meaning given
such term in section 658P of the Child Care and
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Development Block Grant Act of 1990 (42 U.S.C.
9858n).
(3) INDIAN TRIBE.—The term ‘‘Indian tribe’’
has the meaning given such term in section 4 of the
Indian Self-Determination and Education Assistance
Act (25 U.S.C. 450b).
(4) IN-KIND
CONTRIBUTION.—The term ‘‘in-
kind contribution’’ means payment of the costs of
participation of eligible child care providers in health
insurance programs or retirement programs.
(5) LEAD AGENCY.—The term ‘‘lead agency’’
means the agency designated under section 658D of
the Child Care and Development Block Grant Act of
1990 (42 U.S.C. 9858b).
(6) SECRETARY.—The term ‘‘Secretary’’ means
the Secretary of Health and Human Services.
(7) STATE.—The term ‘‘State’’ means any of
the several States, the District of Columbia, the
Commonwealth of Puerto Rico, Guam, American
Samoa, or the Commonwealth of the Northern Mar-
iana Islands.
(8) TRIBAL ORGANIZATION.—The term ‘‘tribal
organization’’ has the meaning given the term in
section 4 of the Indian Self-Determination and Edu-
cation Assistance Act (25 U.S.C. 450b).
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SEC. 3204. FUNDS FOR CHILD CARE PROVIDER DEVELOP-
MENT AND RETENTION GRANTS AND FOR
CHILD CARE PROVIDER SCHOLARSHIPS.
(a) IN GENERAL.—The Secretary may allot and dis-
tribute funds appropriated to carry out this Act to eligible
States and Indian tribes and tribal organizations to pay
for the Federal share of the cost of making grants under
sections 3207 and 3208 to eligible child care providers.
(b) ALLOTMENTS.—The funds shall be allotted and
distributed by the Secretary in accordance with section
3205, and expended by the States (directly, or at the op-
tion of the States, through units of general purpose local
government), and by Indian tribes and tribal organiza-
tions, in accordance with this Act.
SEC. 3205. ALLOTMENTS TO STATES.
(a) AMOUNTS RESERVED.—
(1) TERRITORIES AND POSSESSIONS.—The Sec-
retary shall reserve not more than 1⁄2 of 1 percent
of the funds appropriated to carry out this Act for
any fiscal year for distribution to Guam, American
Samoa, and the Commonwealth of the Northern
Mariana Islands, to be allotted in accordance with
their respective needs, to plan and carry out pro-
grams and activities to encourage child care pro-
viders to improve their qualifications and to retain
qualified child care providers in the child care field.
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(2) INDIAN
TRIBES
AND
TRIBAL
ORGANIZA-
TIONS.—The Secretary shall reserve not more than
3 percent of the funds appropriated to carry out this
Act for any fiscal year for payments to Indian tribes
and tribal organizations with applications approved
under subsection (c), to plan and carry out pro-
grams and activities to encourage child care pro-
viders to improve their qualifications and to retain
qualified child care providers in the child care field.
(b) ALLOTMENTS TO REMAINING STATES.—
(1) GENERAL
AUTHORITY.—From the funds
appropriated to carry out this Act for any fiscal year
and remaining after the reservations made under
subsection (a), the Secretary shall allot to each State
(excluding Guam, American Samoa, and the Com-
monwealth of the Northern Mariana Islands) an
amount equal to the sum of—
(A) an amount that bears the same ratio
to 50 percent of such remainder as the product
of the young child factor of the State and the
allotment percentage of the State bears to the
sum of the corresponding products for all
States; and
(B) an amount that bears the same ratio
to 50 percent of such remainder as the product
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of the school lunch factor of the State and the
allotment percentage of the State bears to the
sum of the corresponding products for all
States.
(2) YOUNG CHILD FACTOR.—In this subsection,
the term ‘‘young child factor’’ means the ratio of the
number of children under 5 years of age in the State
to the number of such children in all the States, as
determined according to the most recent annual esti-
mates of population in the States, as provided by the
Bureau of the Census.
(3) SCHOOL
LUNCH
FACTOR.—In this sub-
section, the term ‘‘school lunch factor’’ means the
ratio of the number of children who are receiving
free or reduced price lunches under the school lunch
program established under the Richard B. Russell
National School Lunch Act (42 U.S.C. 1751 et seq.)
in the State to the number of such children in all
the States, as determined annually by the Depart-
ment of Agriculture.
(4) ALLOTMENT PERCENTAGE.—
(A) IN GENERAL.—Except as provided in
subparagraph (B), for purposes of this sub-
section, the allotment percentage for a State
shall be determined by dividing the per capita
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income of all individuals in the United States,
by the per capita income of all individuals in
the State.
(B) LIMITATIONS.—For purposes of this
subsection, if an allotment percentage deter-
mined under subparagraph (A)—
(i) is more than 1.2 percent, the allot-
ment percentage of that State shall be con-
sidered to be 1.2 percent; and
(ii) is less than 0.8 percent, the allot-
ment percentage of the State shall be con-
sidered to be 0.8 percent.
(C) PER CAPITA INCOME.—For purposes
of subparagraph (A), per capita income shall
be—
(i) determined at 2-year intervals;
(ii) applied for the 2-year period be-
ginning on October 1 of the first fiscal
year beginning after the date such deter-
mination is made; and
(iii) equal to the average of the an-
nual per capita incomes for the most re-
cent period of 3 consecutive years for
which satisfactory data are available from
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the Department of Commerce at the time
such determination is made.
(c) PAYMENTS TO INDIAN TRIBES AND TRIBAL OR-
GANIZATIONS.—
(1) RESERVATION OF FUNDS.—From amounts
reserved under subsection (a)(2), the Secretary may
make grants to or enter into contracts with Indian
tribes and tribal organizations that submit applica-
tions under this subsection, to plan and carry out
programs and activities to encourage child care pro-
viders to improve their qualifications and to retain
qualified child care providers in the child care field.
(2) APPLICATIONS
AND
REQUIREMENTS.—To
be eligible to receive a grant or contract under this
subsection, an Indian tribe or tribal organization
shall submit an application to the Secretary at such
time, in such manner, and containing such informa-
tion as the Secretary may require. The application
shall provide that the applicant—
(A) will coordinate the programs and ac-
tivities involved, to the maximum extent prac-
ticable, with the lead agency in each State in
which the applicant will carry out such pro-
grams and activities; and
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(B) will make such reports on, and conduct
such audits of the funds made available through
the grant or contract for, programs and activi-
ties under this Act as the Secretary may re-
quire.
(d) DATA AND INFORMATION.—The Secretary shall
obtain from each appropriate Federal agency, the most re-
cent data and information necessary to determine the al-
lotments provided for in subsection (b).
(e) REALLOTMENTS.—
(1) IN GENERAL.—Any portion of the allotment
under subsection (b) to a State for a fiscal year that
the Secretary determines will not be distributed to
the State for such fiscal year shall be reallotted by
the Secretary to other States in proportion to the
original allotments made under such subsection to
such States for such fiscal year.
(2) LIMITATIONS.—
(A) REDUCTION.—The amount of any re-
allotment to which a State is entitled under this
subsection shall be reduced to the extent that
such amount exceeds the amount that the Sec-
retary estimates will be distributed to the State
to make grants under this Act.
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(B) REALLOTMENTS.—The amount of
such reduction shall be reallotted to States for
which no reduction in an allotment, or in a real-
lotment, is required by this subsection, in pro-
portion to the original allotments made under
subsection (b) to such States for such fiscal
year.
(3) AMOUNTS REALLOTTED.—For purposes of
this Act (other than this subsection and subsection
(b)), any amount reallotted to a State under this
subsection shall be considered to be part of the allot-
ment made under subsection (b) to the State.
(f) COST-SHARING.—
(1) FEDERAL SHARE.—The Federal share of
the cost of making grants under sections 3207 and
3208, with funds allotted under this section and dis-
tributed by the Secretary to a State, shall be—
(A) not more than 90 percent of the cost
of each grant made under such sections, in the
1st fiscal year for which the State receives such
funds;
(B) not more than 85 percent of the cost
of each grant made under such sections, in the
2d fiscal year for which the State receives such
funds;
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(C) not more than 80 percent of the cost
of each grant made under such sections, in the
3d fiscal year for which the State receives such
funds; and
(D) not more than 75 percent of the cost
of each grant made under such sections, in any
subsequent fiscal year for which the State re-
ceives such funds.
(2) STATE SHARE.—The non-Federal share of
the cost of making such grants shall be paid by the
State in cash or in the form of an in-kind contribu-
tion, fairly evaluated by the Secretary.
(g) AVAILABILITY OF ALLOTTED FUNDS DISTRIB-
UTED TO STATES.—Of the funds allotted under this sec-
tion and distributed by the Secretary to a State for a fiscal
year—
(1) not less than 67.5 percent shall be available
to the State for grants under section 3207;
(2) not less than 22.5 percent shall be available
to the State for grants under section 3208; and
(3) not more than 10 percent shall be available
to pay administrative costs incurred by the State to
carry out this Act.
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SEC. 3206. APPLICATION AND PLAN.
(a) APPLICATION.—To be eligible to receive a dis-
tribution of funds allotted under section 3205, a State
shall submit to the Secretary an application at such time,
in such manner, and containing such information as the
Secretary may require by rule and shall include in such
application a State plan that satisfies the requirements of
subsection (b).
(b) REQUIREMENTS OF PLAN.—
(1) LEAD AGENCY.—The State plan shall iden-
tify the lead agency to make grants under this Act
for the State.
(2) RECRUITMENT AND RETENTION OF CHILD
CARE
PROVIDERS.—The State plan shall describe
how the lead agency will encourage both the recruit-
ment of eligible child care providers who are new to
the child care field and the retention of eligible child
care providers who have a demonstrated commit-
ment to the child care field.
(3) NOTIFICATION OF GRANT AVAILABILITY.—
The State plan shall describe how the lead agency
will identify all eligible child care providers in the
State and notify the providers of the availability of
grants under this Act.
(4) DISTRIBUTION
OF
GRANTS.—The State
plan shall describe how the lead agency will make
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grants under sections 3207 and 3208 to child care
providers in selected geographical areas in the State
in compliance with the following requirements:
(A) 
SELECTION
OF
GEOGRAPHICAL
AREAS.—For the purpose of making such
grants for a fiscal year, the State shall—
(i) select a variety of geographical
areas, determined by the State, that,
collectively—
(I) include urban areas, suburban
areas, and rural areas; and
(II) are areas whose residents
have diverse income levels; and
(ii) give special consideration to geo-
graphical areas selected under this sub-
paragraph for the preceding fiscal year.
(B) SELECTION
OF
CHILD
CARE
PRO-
VIDERS
TO
RECEIVE
GRANTS.—In making
grants under section 3207, the State may make
grants only to eligible child care providers in
geographical areas selected under subparagraph
(A), but—
(i) may give special consideration in
such areas to eligible child care providers
who have attained a higher relevant edu-
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cational credential, who provide a specific
kind of child care services, who provide
child care services to populations who meet
specific economic characteristics, or who
meet such other criteria as the State may
establish; and
(ii) shall give special consideration to
eligible child care providers who received a
grant under such section in the preceding
fiscal year.
(C) LIMITATION.—The State shall describe
how the State will ensure that grants made
under section 3207 to child care providers will
not be used to offset reductions in the com-
pensation of such providers.
(D) REPORTING REQUIREMENT.—With re-
spect to each particular geographical area se-
lected under subparagraph (A), the State shall
provide an assurance that the State will, for
each fiscal year for which such State receives a
grant under section 3207—
(i) include in the report required by
section 
3209, 
detailed 
information
regarding—
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(I) the continuity of employment
of the grant recipients as child care
providers with the same employer;
(II) with respect to each em-
ployer that employed such a grant re-
cipient, whether such employer was
accredited by a recognized national or
State accrediting body during the pe-
riod of employment; and
(III) to the extent practicable
and available to the State, the rate
and frequency of employment turnover
of 
qualified 
child 
care 
providers
throughout such area,
during the 2-year period ending on the
deadline for submission of applications for
grants under section 3207 for that fiscal
year; and
(ii) provide a follow-up report, not
later than 90 days after the end of the suc-
ceeding fiscal year that includes informa-
tion regarding—
(I) the continuity of employment
of the grant recipients as child care
providers with the same employer;
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(II) with respect to each em-
ployer that employed such a grant re-
cipient, whether such employer was
accredited by a recognized national or
State accrediting body during the pe-
riod of employment; and
(III) to the extent practicable
and available to the State, detailed in-
formation regarding the rate and fre-
quency of employment turnover of
qualified child care providers through-
out such area,
during the 1-year period beginning on the
date on which the grant to the State was
made under section 3207.
(5) CHILD CARE PROVIDER DEVELOPMENT AND
RETENTION GRANT PROGRAM.—The State plan shall
describe how the lead agency will determine the
amounts of grants to be made under section 3207
in accordance with the following requirements:
(A) SUFFICIENT
AMOUNTS.—The State
shall demonstrate that the amounts of indi-
vidual grants to be made under section 3207
will be sufficient—
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(i) to encourage child care providers
to improve their qualifications; and
(ii) to retain qualified child care pro-
viders in the child care field.
(B) AMOUNTS
TO
CREDENTIALED
PRO-
VIDERS.—Such grants made to child care pro-
viders who have a child development associate
credential and who are employed full-time to
provide child care services shall be in an
amount that is not less than $1,000 per year.
(C) AMOUNTS TO PROVIDERS WITH HIGH-
ER LEVELS OF EDUCATION.—The State shall
make such grants in amounts greater than
$1,000 per year to child care providers who
have higher levels of education than the edu-
cation required for a credential such as a child
development associate credential, according to
the following requirements:
(i) PROVIDERS WITH BACCALAUREATE
DEGREES IN RELEVANT FIELDS.—A child
care provider who has a baccalaureate de-
gree in the area of child development or
early child education shall receive a grant
under section 3207 in an amount that is
not less than twice the amount of the
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grant that is made under section 3207 to
a child care provider who has an associate
of the arts degree in the area of child de-
velopment or early child education.
(ii) PROVIDERS WITH ASSOCIATE DE-
GREES.—A child care provider who has an
associate of the arts degree in the area of
child development or early child education
shall receive a grant under section 3207 in
an amount that is not less than 150 per-
cent of the amount of the grant that is
made under section 3207 to a child care
provider who has a child development asso-
ciate credential and is employed full-time
to provide child care services.
(iii) OTHER PROVIDERS WITH BACCA-
LAUREATE DEGREES.—
(I) IN GENERAL.—Except as pro-
vided in subclause (II), a child care
provider who has a baccalaureate de-
gree in a field other than child devel-
opment or early child education shall
receive a grant under section 3207 in
an amount equal to the amount of the
grant that is made under section 3207
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to a child care provider who has an
associate of the arts degree in the
area of child development or early
child education.
(II) EXCEPTION.—If a child care
provider who has such a baccalaureate
degree obtains additional educational
training in the area of child develop-
ment or early child education, as spec-
ified by the State, such provider shall
receive a grant under section 3207 in
an amount equal to the amount of the
grant that is made under section 3207
to a child care provider who has a
baccalaureate 
degree 
specified 
in
clause (i).
(D) 
AMOUNTS
TO
FULL-TIME
PRO-
VIDERS.—The State shall make a grant under
section 3207 to a child care provider who works
full-time in a greater amount than the amount
of the grant that is made under section 3207
to a child care provider who works part-time,
based on the State definitions of full-time and
part-time work.
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(E) AMOUNTS
TO
EXPERIENCED
PRO-
VIDERS.—The State shall make grants under
section 3207 in progressively larger amounts to
child care providers to reflect the number of
years worked as child care providers.
(6) DISTRIBUTION OF CHILD CARE PROVIDER
SCHOLARSHIPS.—The State plan shall describe how
the lead agency will make grants for scholarships in
compliance with section 3208 and shall specify the
types of educational and training programs for
which the scholarship grants made under such sec-
tion may be used, including only programs that—
(A) are administered by institutions of
higher education that are eligible to participate
in student financial assistance programs under
title IV of the Higher Education Act of 1965
(20 U.S.C. 1070 et seq.); and
(B) lead to a State or nationally recog-
nized credential in the area of child develop-
ment or early child education, an associate of
the arts degree in the area of child development
or early child education, or a baccalaureate de-
gree in the area of child development or early
child education.
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(7) EMPLOYER
CONTRIBUTION.—The State
plan shall describe how the lead agency will encour-
age employers of child care providers to contribute
to the attainment of education goals by child care
providers who receive grants under section 3208.
(8) SUPPLEMENTATION.—The State plan shall
provide assurances that amounts received by the
State to carry out sections 3207 and 3208 will be
used only to supplement, and not to supplant, Fed-
eral, State, and local funds otherwise available to
support existing services and activities (as of the
date the amounts are used) that encourage child
care providers to improve their qualifications and
that promote the retention of qualified child care
providers in the child care field.
SEC. 3207. CHILD CARE PROVIDER DEVELOPMENT AND RE-
TENTION GRANT PROGRAM.
(a) IN GENERAL.—A State that receives funds allot-
ted under section 3205 and made available to carry out
this section shall expend such funds to make grants to
eligible child care providers in accordance with this sec-
tion, to improve the qualifications and promote the reten-
tion of qualified child care providers.
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HR 1990 IH
(b) ELIGIBILITY TO RECEIVE GRANTS.—To be eligi-
ble to receive a grant under this section, a child care pro-
vider shall—
(1) have a child development associate creden-
tial or equivalent, an associate of the arts degree in
the area of child development or early child edu-
cation, a baccalaureate degree in the area of child
development or early child education, or a bacca-
laureate degree in an unrelated field; and
(2) be employed as a child care provider for not
less than 1 calendar year, or (if the provider is em-
ployed on the date of the eligibility determination in
a child care program that operates for less than a
full calendar year) the program equivalent of 1 cal-
endar year, ending on the date of the application for
such grant, except that not more than 3 months of
education related to child development or to early
child education obtained during the corresponding
calendar year may be treated as employment that
satisfies the requirements of this paragraph.
(c) PRESERVATION OF ELIGIBILITY.—A State shall
not take into consideration whether a child care provider
is receiving, may receive, or may be eligible to receive any
funds under section 3208 for purposes of selecting eligible
child care providers to receive grants under this section.
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SEC. 3208. CHILD CARE PROVIDER SCHOLARSHIP PRO-
GRAM.
(a) IN GENERAL.—A State that receives funds allot-
ted under section 3205 and made available to carry out
this section shall expend such funds to make scholarship
grants to eligible child care providers in accordance with
this section, to improve their educational qualifications to
provide child care services.
(b) ELIGIBILITY REQUIREMENT FOR SCHOLARSHIP
GRANTS.—To be eligible to receive a scholarship grant
under this section, a child care provider shall be employed
as a child care provider for not less than 1 calendar year,
or (if the provider is employed on the date of the eligibility
determination in a child care program that operates for
less than a full calendar year) the program equivalent of
1 calendar year, ending on the date of the application for
such grant.
(c) SELECTION OF GRANTEES.—For purposes of se-
lecting eligible child care providers to receive scholarship
grants under this section and determining the amounts of
such grants, a State shall not—
(1) take into consideration whether a child care
provider is receiving, may receive, or may be eligible
to receive any funds under any other provision of
this Act, or under any other Federal or State law
that provides funds for educational purposes; or
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HR 1990 IH
(2) consider as resources of such provider any
funds such provider is receiving, may receive, or may
be eligible to receive under any other provision of
this Act, under any other Federal or State law that
provides funds for educational purposes, or from a
private entity.
(d) COST-SHARING REQUIRED.—The amount of a
scholarship grant made under this section to an eligible
child care provider shall be less than the cost of the edu-
cational or training program for which such grant is made.
(e) 
ANNUAL
MAXIMUM
SCHOLARSHIP
GRANT
AMOUNT.—The maximum aggregate dollar amount of a
scholarship grant made by a State to an eligible child care
provider under this section in a fiscal year shall $1,500.
SEC. 3209. ANNUAL REPORT.
A State that receives funds appropriated to carry out
this Act for a fiscal year shall submit to the Secretary,
not later than 90 days after the end of such fiscal year,
a report—
(1) specifying the uses for which the State ex-
pended such funds, and the aggregate amount of
funds (including State funds) expended for each of
such uses;
(2) containing available data relating to grants
made with such funds, including—
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(A) the number of child care providers who
received such grants;
(B) the amounts of such grants;
(C) any other information that describes or
evaluates the effectiveness of this Act;
(D) the particular geographical areas se-
lected under section 3206 for the purpose of
making such grants;
(E) with respect to grants made under sec-
tion 3207—
(i) the number of years grant recipi-
ents have been employed as child care pro-
viders;
(ii) the level of training and education
of grant recipients;
(iii) to the extent practicable and
available to the State, detailed information
regarding the salaries and other compensa-
tion received by grant recipients to provide
child care services before, during, and after
receiving such grant;
(iv) the number of children who re-
ceived child care services provided by grant
recipients;
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(v) information on family demo-
graphics of such children;
(vi) the types of settings described in
subparagraphs (A), (B), and (C) of section
3203(a)(1) in which grant recipients are
employed; and
(vii) the ages of the children who re-
ceived child care services provided by grant
recipients;
(F) with respect to grants made under sec-
tion 3208—
(i) the number of years grant recipi-
ents have been employed as child care pro-
viders;
(ii) the level of training and education
of grant recipients;
(iii) to the extent practicable and
available to the State, detailed information
regarding the salaries and other compensa-
tion received by grant recipients to provide
child care services before, during, and after
receiving such grant;
(iv) the types of settings described in
subparagraphs (A), (B), and (C) of section
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3203(a)(1) in which grant recipients are
employed;
(v) the ages of the children who re-
ceived child care services provided by grant
recipients;
(vi) the number of course credits or
credentials obtained by grant recipients;
and
(vii) the amount of time taken for
completion of the educational and training
programs for which such grants were
made; and
(G) such other information as the Sec-
retary may require by rule.
SEC. 3210. AUTHORIZATION OF APPROPRIATIONS.
There 
is 
authorized 
to 
be 
appropriated
$5,000,000,000 in the aggregate for fiscal years 2002
through 2006 to carry out this Act.
CHAPTER 2—STRENGTHENING QUALITY
THROUGH THE CHILD CARE AND DE-
VELOPMENT BLOCK GRANT
SEC. 3231. STATE PLAN.
Section 658E(c)(2) of the Child Care and Develop-
ment Block Grant Act of 1990 (42 U.S.C. 9858c(c)(2)),
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HR 1990 IH
as amended in section 3112, is further amended by adding
at the end the following:
‘‘(K) ESTABLISHMENT OF TRAINING RE-
QUIREMENTS.—Certify that there are require-
ments in effect within the State, under State or
local law, that are designed to support the
learning and development of children and that
are applicable to all child care providers that
provide services for which assistance is made
available under this subchapter. Such require-
ments shall include requirements relating to
preservice training in childhood development.
‘‘(L) INSURING
THE
SAFETY
OF
CHIL-
DREN.—Certify that there are requirements in
effect within the State, under State or local
law, that require that evaluators from an appro-
priate State or local agency make not less than
2 unannounced visits annually to each child
care provider in the State that provides services
for which assistance is made available under
this subchapter.’’.
SEC. 3232. CHILD CARE QUALITY IMPROVEMENTS.
Section 658G of the Child Care and Development
Block Grant Act of 1990 (42 U.S.C. 9858e), as amended
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HR 1990 IH
in section 3002, is further amended by striking subsection
(a) and inserting the following:
‘‘(a) ACTIVITIES TO IMPROVE
THE QUALITY
OF
CHILD CARE.—
‘‘(1) IN GENERAL.—A State that receives funds
to carry out this subchapter shall reserve and use
not less than 12 percent of the funds—
‘‘(A) for 1 or more activities consisting
of—
‘‘(i) providing directly, or providing fi-
nancial assistance to private nonprofit or-
ganizations or public entities (including
units of general purpose local government)
for the development, establishment, expan-
sion, operation, and coordination of, child
care resource and referral services;
‘‘(ii) making grants or providing loans
to eligible child care providers to assist the
providers in meeting applicable State and
local child care standards and recognized
accreditation standards;
‘‘(iii) improving the ability of State or
local government, as applicable, to monitor
compliance with, and to enforce, State and
local licensing and regulatory requirements
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HR 1990 IH
(including registration requirements) appli-
cable to child care providers;
‘‘(iv) providing training and technical
assistance in areas relating to the provision
of child care services, such as training re-
lating to promotion of health and safety,
promotion of good nutrition, provision of
first aid, recognition of communicable dis-
eases, child abuse detection and preven-
tion, and care of children with special
needs; and
‘‘(v) improving salaries and other
compensation paid to full-time and part-
time staff who provide child care services
for which assistance is made available
under this subchapter; and
‘‘(B) to support the system described in
paragraph (2).
‘‘(2) CHILD CARE RESOURCE AND REFERRAL
SYSTEM.—The State shall use a portion of the funds
reserved under paragraph (1) to support a system of
local child care resource and referral organizations
coordinated by a statewide lead child care resource
and referral organization. The local child care re-
source and referral organizations shall—
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HR 1990 IH
‘‘(A) provide parents in the State with in-
formation and support concerning child care op-
tions in their communities;
‘‘(B) collect data on the supply of and de-
mand for child care in political subdivisions
within the State;
‘‘(C) develop links with the business com-
munity; and
‘‘(D) increase the supply and improve the
quality of child care in the State and in political
subdivisions in the State.’’.
SEC. 3233. ADMINISTRATION AND ENFORCEMENT.
(a) IN GENERAL.—Section 658I of the Child Care
and Development Block Grant Act of 1990 (42 U.S.C.
9858g) is amended by adding at the end the following:
‘‘(c) FEDERAL ADMINISTRATION ACTIVITIES.—The
Secretary shall use the funds reserved under section
658O(a)(3)—
‘‘(1) to support the establishment of a national
data system to develop statistics on the supply of,
demand for, and quality of child care, early edu-
cation, and non-school-hours programs, including
use of data collected through child care resource and
referral organizations at the national, State, and
local levels;
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‘‘(2) to prepare and submit to Congress an an-
nual report on the supply of, demand for, and qual-
ity of child care, early education, and non-school-
hours programs, using data collected through State
and local child care resource and referral organiza-
tions and other sources; and
‘‘(3) to provide technical assistance to States to
enable the States to participate in carrying out the
activities described in paragraphs (1) and (2).’’.
(b) RESERVATION.—Section 658O(a) of the Child
Care and Development Block Grant Act of 1990 (42
U.S.C. 9858m(a)) is amended by adding at the end the
following:
‘‘(3) ADMINISTRATION.—The Secretary shall
reserve not more than 2 percent of the amount ap-
propriated under section 658B for each fiscal year
to carry out section 658I(c).’’.
CHAPTER 3—CHILD CARE CENTERS IN
FEDERAL FACILITIES
SEC. 3241. SHORT TITLE.
This chapter may be cited as the ‘‘Federal Employees
Child Care Act’’.
SEC. 3242. DEFINITIONS.
In this chapter (except as otherwise provided in sec-
tion 3245):
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(1) ADMINISTRATOR.—The term ‘‘Adminis-
trator’’ means the Administrator of General Serv-
ices.
(2) CHILD CARE ACCREDITATION ENTITY.—The
term ‘‘child care accreditation entity’’ means a non-
profit private organization or public agency that—
(A) is recognized by a State agency or by
a national organization that serves as a peer re-
view panel on the standards and procedures of
public and private child care or school accred-
iting bodies; and
(B) accredits a facility to provide child
care on the basis of—
(i) an accreditation or credentialing
instrument based on peer-validated re-
search;
(ii) compliance with applicable State
or local licensing requirements, as appro-
priate, for the facility;
(iii) outside monitoring of the facility;
and
(iv) criteria that provide assurances
of—
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(I) use of developmentally appro-
priate health and safety standards at
the facility;
(II) use of developmentally ap-
propriate educational activities, as an
integral part of the child care pro-
gram carried out at the facility; and
(III) use of ongoing staff devel-
opment or training activities for the
staff of the facility, including related
skills-based testing.
(3) ENTITY SPONSORING A CHILD CARE FACIL-
ITY.—The term ‘‘entity sponsoring a child care facil-
ity’’ means a Federal agency that operates, or an
entity that enters into a contract or licensing agree-
ment with a Federal agency to operate, a child care
facility primarily for the use of Federal employees.
(4) EXECUTIVE AGENCY.—The term ‘‘Executive
agency’’ has the meaning given the term in section
105 of title 5, United States Code, except that the
term—
(A) does not include the Department of
Defense and the Coast Guard; and
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(B) includes the General Services Adminis-
tration, with respect to the administration of a
facility described in paragraph (5)(B).
(5) EXECUTIVE FACILITY.—The term ‘‘execu-
tive facility’’—
(A) means a facility that is owned or
leased by an Executive agency; and
(B) includes a facility that is owned or
leased by the General Services Administration
on behalf of a judicial office.
(6) FEDERAL
AGENCY.—The term ‘‘Federal
agency’’ means an Executive agency, a legislative of-
fice, or a judicial office.
(7) JUDICIAL FACILITY.—The term ‘‘judicial fa-
cility’’ means a facility that is owned or leased by a
judicial office (other than a facility that is also a fa-
cility described in paragraph (5)(B)).
(8) JUDICIAL OFFICE.—The term ‘‘judicial of-
fice’’ means an entity of the judicial branch of the
Federal Government.
(9) LEGISLATIVE FACILITY.—The term ‘‘legisla-
tive facility’’ means a facility that is owned or leased
by a legislative office.
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(10) LEGISLATIVE OFFICE.—The term ‘‘legisla-
tive office’’ means an entity of the legislative branch
of the Federal Government.
(11) STATE.—The term ‘‘State’’ has the mean-
ing given the term in section 658P of the Child Care
and Development Block Grant Act of 1990 (42
U.S.C. 9858n).
SEC. 3243. PROVIDING QUALITY CHILD CARE IN FEDERAL
FACILITIES.
(a) EXECUTIVE FACILITIES.—
(1) STATE
AND
LOCAL
LICENSING
REQUIRE-
MENTS.—
(A) IN GENERAL.—Any entity sponsoring
a child care facility in an executive facility
shall—
(i) comply with child care standards
described in paragraph (2) that are no less
stringent than applicable State or local li-
censing requirements that are related to
the provision of child care in the State or
locality involved; or
(ii) obtain the applicable State or local
licenses, as appropriate, for the facility.
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(B) COMPLIANCE.—Not later than 6
months after the date of enactment of this
Act—
(i) the entity shall comply, or make
substantial progress (as determined by the
Administrator) toward complying, with
subparagraph (A); and
(ii) any contract or licensing agree-
ment used by an Executive agency for the
provision of child care services in the child
care facility shall include a condition that
the child care be provided by an entity that
complies with the standards described in
subparagraph (A)(i) or obtains the licenses
described in subparagraph (A)(ii).
(2) HEALTH, SAFETY, AND FACILITY STAND-
ARDS.—The Administrator shall by regulation estab-
lish standards relating to health, safety, facilities, fa-
cility design, and other aspects of child care that the
Administrator determines to be appropriate for child
care in executive facilities, and require child care fa-
cilities, and entities sponsoring child care facilities,
in executive facilities to comply with the standards.
The standards shall include requirements that child
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care facilities be inspected for, and be free of, lead
hazards.
(3) ACCREDITATION STANDARDS.—
(A) IN
GENERAL.—The Administrator
shall issue regulations requiring, to the max-
imum extent possible, any entity sponsoring an
eligible child care facility (as defined by the Ad-
ministrator) in an executive facility to comply
with standards of a child care accreditation en-
tity.
(B) COMPLIANCE.—The regulations shall
require that, not later than 3 years after the
date of enactment of this Act—
(i) the entity shall comply, or make
substantial progress (as determined by the
Administrator) toward complying, with the
standards; and
(ii) any contract or licensing agree-
ment used by an Executive agency for the
provision of child care services in the child
care facility shall include a condition that
the child care be provided by an entity that
complies with the standards.
(4) EVALUATION AND COMPLIANCE.—
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(A) IN
GENERAL.—The Administrator
shall evaluate the compliance, with the require-
ments of paragraph (1) and the regulations
issued pursuant to paragraphs (2) and (3), as
appropriate, of child care facilities, and entities
sponsoring child care facilities, in executive fa-
cilities. The Administrator may conduct the
evaluation of such a child care facility or entity
directly, or through an agreement with another
Federal agency or private entity, other than the
Federal agency for which the child care facility
is providing services. If the Administrator de-
termines, on the basis of such an evaluation,
that the child care facility or entity is not in
compliance with the requirements, the Adminis-
trator shall notify the Executive agency.
(B) EFFECT OF NONCOMPLIANCE.—On re-
ceipt of the notification of noncompliance issued
by the Administrator, the head of the Executive
agency shall—
(i) if the entity operating the child
care facility is the agency—
(I) not later than 2 business days
after the date of receipt of the notifi-
cation, correct any deficiencies that
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are determined by the Administrator
to be life threatening or to present a
risk of serious bodily harm;
(II) not later than 4 months
after the date of receipt of the notifi-
cation, develop and provide to the Ad-
ministrator a plan to correct any
other deficiencies in the operation of
the facility and bring the facility and
entity into compliance with the re-
quirements;
(III) provide the parents of the
children receiving child care services
at the child care facility and employ-
ees of the facility with a notification
detailing the deficiencies described in
subclauses (I) and (II) and actions
that will be taken to correct the defi-
ciencies, and post a copy of the notifi-
cation in a conspicuous place in the
facility for 5 working days or until the
deficiencies are corrected, whichever is
later;
(IV) bring the child care facility
and entity into compliance with the
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requirements and certify to the Ad-
ministrator that the facility and entity
are in compliance, based on an onsite
evaluation of the facility conducted by
an individual with expertise in child
care health and safety; and
(V) in the event that deficiencies
determined by the Administrator to be
life threatening or to present a risk of
serious bodily harm cannot be cor-
rected within 2 business days after
the date of receipt of the notification,
close the child care facility, or the af-
fected portion of the facility, until the
deficiencies are corrected and notify
the Administrator of the closure; and
(ii) if the entity operating the child
care facility is a contractor or licensee of
the Executive agency—
(I) require the contractor or li-
censee, not later than 2 business days
after the date of receipt of the notifi-
cation, to correct any deficiencies that
are determined by the Administrator
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to be life threatening or to present a
risk of serious bodily harm;
(II) require the contractor or li-
censee, not later than 4 months after
the date of receipt of the notification,
to develop and provide to the head of
the agency a plan to correct any other
deficiencies in the operation of the
child care facility and bring the facil-
ity and entity into compliance with
the requirements;
(III) require the contractor or li-
censee to provide the parents of the
children receiving child care services
at the child care facility and employ-
ees of the facility with a notification
detailing the deficiencies described in
subclauses (I) and (II) and actions
that will be taken to correct the defi-
ciencies, and to post a copy of the no-
tification in a conspicuous place in the
facility for 5 working days or until the
deficiencies are corrected, whichever is
later;
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(IV) require the contractor or li-
censee to bring the child care facility
and entity into compliance with the
requirements and certify to the head
of the agency that the facility and en-
tity are in compliance, based on an
onsite evaluation of the facility con-
ducted by an independent entity with
expertise in child care health and
safety; and
(V) in the event that deficiencies
determined by the Administrator to be
life threatening or to present a risk of
serious bodily harm cannot be cor-
rected within 2 business days after
the date of receipt of the notification,
close the child care facility, or the af-
fected portion of the facility, until the
deficiencies are corrected and notify
the Administrator of the closure,
which closure may be grounds for the
immediate termination or suspension
of the contract or license of the con-
tractor or licensee.
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(C) COST REIMBURSEMENT.—The Execu-
tive agency shall reimburse the Administrator
for the costs of carrying out subparagraph (A)
for child care facilities located in an executive
facility other than an executive facility of the
General Services Administration. If an entity is
sponsoring a child care facility for 2 or more
Executive agencies, the Administrator shall allo-
cate the reimbursement costs with respect to
the entity among the agencies in a fair and eq-
uitable manner, based on the extent to which
each agency is eligible to place children in the
facility.
(5) DISCLOSURE OF PRIOR VIOLATIONS TO PAR-
ENTS AND FACILITY EMPLOYEES.—
(A) IN
GENERAL.—The Administrator
shall issue regulations that require that each
entity sponsoring a child care facility in an ex-
ecutive facility, upon receipt by the child care
facility or the entity (as applicable) of a request
by any individual who is—
(i) a parent of any child enrolled at
the facility;
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(ii) a parent of a child for whom an
application has been submitted to enroll at
the facility; or
(iii) an employee of the facility;
shall provide to the individual the copies and
description described in subparagraph (B).
(B) COPIES AND DESCRIPTION.—The enti-
ty shall provide—
(i) copies of all notifications of defi-
ciencies that have been provided in the
past with respect to the facility under
clause (i)(III) or (ii)(III), as applicable, of
paragraph (4)(B); and
(ii) a description of the actions that
were taken to correct the deficiencies.
(b) LEGISLATIVE FACILITIES.—
(1) ACCREDITATION.—The Chief Administra-
tive Officer of the House of Representatives, the Li-
brarian of Congress, and the head of a designated
entity in the Senate shall ensure that, not later than
1 year after the date of enactment of this Act, the
corresponding child care facility obtains accredita-
tion by a child care accreditation entity, in accord-
ance with the accreditation standards of the entity.
(2) REGULATIONS.—
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(A) IN
GENERAL.—If the corresponding
child care facility does not maintain accredita-
tion status with a child care accreditation enti-
ty, the Chief Administrative Officer of the
House of Representatives, the Librarian of Con-
gress, or the head of the designated entity in
the Senate shall issue regulations governing the
operation of the corresponding child care facil-
ity, to ensure the safety and quality of care of
children placed in the facility. The regulations
shall be no less stringent in content and effect
than the requirements of subsection (a)(1) and
the regulations issued by the Administrator
under paragraphs (2) and (3) of subsection (a),
except to the extent that appropriate adminis-
trative officers make the determination de-
scribed in subparagraph (B).
(B) MODIFICATION
MORE
EFFECTIVE.—
The determination referred to in subparagraph
(A) is a determination, for good cause shown
and stated together with the regulations, that a
modification of the regulations would be more
effective for the implementation of the require-
ments and standards described in subsection (a)
for the corresponding child care facilities, and
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entities sponsoring the corresponding child care
facilities, in legislative facilities.
(3) CORRESPONDING CHILD CARE FACILITY.—
In this subsection, the term ‘‘corresponding child
care facility’’, used with respect to the Chief Admin-
istrative Officer, the Librarian, or the head of a des-
ignated entity described in paragraph (1), means a
child care facility operated by, or under a contract
or licensing agreement with, an office of the House
of Representatives, the Library of Congress, or an
office of the Senate, respectively.
(c) JUDICIAL BRANCH STANDARDS
AND COMPLI-
ANCE.—
(1) STATE
AND
LOCAL
LICENSING
REQUIRE-
MENTS
HEALTH, SAFETY, AND
FACILITY
STAND-
ARDS, AND ACCREDITATION STANDARDS.—The Di-
rector of the Administrative Office of the United
States Courts shall issue regulations for child care
facilities, and entities sponsoring child care facilities,
in judicial facilities, which shall be no less stringent
in content and effect than the requirements of sub-
section (a)(1) and the regulations issued by the Ad-
ministrator under paragraphs (2) and (3) of sub-
section (a), except to the extent that the Director
may determine, for good cause shown and stated to-
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gether with the regulations, that a modification of
such regulations would be more effective for the im-
plementation of the requirements and standards de-
scribed in paragraphs (1), (2), and (3) of subsection
(a) for child care facilities, and entities sponsoring
child care facilities, in judicial facilities.
(2) EVALUATION AND COMPLIANCE.—
(A) DIRECTOR
OF
THE
ADMINISTRATIVE
OFFICE OF THE UNITED STATES COURTS.—The
Director of the Administrative Office of the
United States Courts shall have the same au-
thorities and duties with respect to the evalua-
tion of, compliance of, and cost reimbursement
for child care facilities, and entities sponsoring
child care facilities, in judicial facilities as the
Administrator has under subsection (a)(4) with
respect to the evaluation of, compliance of, and
cost reimbursement for such centers and enti-
ties sponsoring such centers, in executive facili-
ties.
(B) HEAD OF A JUDICIAL OFFICE.—The
head of a judicial office shall have the same au-
thorities and duties with respect to the compli-
ance of and cost reimbursement for child care
facilities, and entities sponsoring child care fa-
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cilities, in judicial facilities as the head of an
Executive agency has under subsection (a)(4)
with respect to the compliance of and cost reim-
bursement for such centers and entities spon-
soring such centers, in executive facilities.
(d) APPLICATION.—Notwithstanding any other provi-
sion of this section, if 8 or more child care facilities are
sponsored in facilities owned or leased by an Executive
agency, the Administrator shall delegate to the head of
the agency the evaluation and compliance responsibilities
assigned to the Administrator under subsection (a)(4)(A).
(e) TECHNICAL ASSISTANCE, STUDIES, AND RE-
VIEWS.—The Administrator may provide technical assist-
ance, and conduct and provide the results of studies and
reviews, for Executive agencies, and entities sponsoring
child care facilities in executive facilities, on a reimburs-
able basis, in order to assist the entities in complying with
this section. The Chief Administrative Officer of the
House of Representatives, the Librarian of Congress, the
head of the designated Senate entity described in sub-
section (b), and the Director of the Administrative Office
of the United States Courts, may provide technical assist-
ance, and conduct and provide the results of studies and
reviews, or request that the Administrator provide tech-
nical assistance, and conduct and provide the results of
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studies and reviews, for legislative offices and judicial of-
fices, as appropriate, and entities operating child care fa-
cilities in legislative facilities or judicial facilities, as ap-
propriate, on a reimbursable basis, in order to assist the
entities in complying with this section.
(f) INTERAGENCY COUNCIL.—
(1) COMPOSITION.—The Administrator shall es-
tablish an interagency council, comprised of—
(A) representatives of all Executive agen-
cies described in subsection (d) and other Exec-
utive agencies at the election of the heads of the
agencies;
(B) a representative of the Chief Adminis-
trative Officer of the House of Representatives,
at the election of the Chief Administrative Offi-
cer;
(C) a representative of the head of the des-
ignated Senate entity described in subsection
(b), at the election of the head of the entity;
(D) a representative of the Librarian of
Congress, at the election of the Librarian; and
(E) a representative of the Director of the
Administrative Office of the United States
Courts, at the election of the Director.
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(2) FUNCTIONS.—The council shall facilitate
cooperation and sharing of best practices, and de-
velop and coordinate policy, regarding the provision
of child care, including the provision of areas for
nursing mothers and other lactation support facili-
ties and services, in the Federal Government.
(g) AUTHORIZATION OF APPROPRIATIONS.—There is
authorized to be appropriated to carry out this section
$900,000 for fiscal year 2002 and such sums as may be
necessary for each subsequent fiscal year.
SEC. 3244. FEDERAL CHILD CARE EVALUATION.
(a) IN GENERAL.—Not later than 1 year after the
date of enactment of this Act, the Administrator and the
Director of the Office of Personnel Management shall
jointly prepare and submit to Congress a report that eval-
uates child care provided by entities sponsoring child care
facilities in executive facilities, legislative facilities, or judi-
cial facilities.
(b) CONTENTS.—The evaluation shall contain, at a
minimum—
(1) information on the number of children re-
ceiving child care described in subsection (a), ana-
lyzed by age, including information on the number
of those children who are age 6 through 12;
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(2) information on the number of families not
using child care described in subsection (a) because
of the cost of the child care; and
(3) recommendations for improving the quality
and cost-effectiveness of child care described in sub-
section (a), including recommendations of options
for creating an optimal organizational structure and
using best practices for the delivery of the child
care.
SEC. 3245. CHILD CARE SERVICES FOR FEDERAL EMPLOY-
EES.
(a) IN GENERAL.—In addition to services authorized
to be provided by an agency of the United States pursuant
to section 616 of the Act of December 22, 1987 (40
U.S.C. 490b), an Executive agency that provides or pro-
poses to provide child care services for Federal employees
may use agency funds to provide the child care services,
in a facility that is owned or leased by an Executive agen-
cy, or through a contractor, for civilian employees of the
agency.
(b) AFFORDABILITY.—Funds so used with respect to
any such facility or contractor shall be applied to improve
the affordability of child care for lower income Federal
employees using or seeking to use the child care services
offered by the facility or contractor.
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(c) REGULATIONS.—The Administrator after con-
sultation with the Director of the Office of Personnel Man-
agement, shall, within 180 days after the date of enact-
ment of this Act, issue regulations necessary to carry out
this section.
(d) DEFINITION.—For purposes of this section, the
term ‘‘Executive agency’’ has the meaning given the term
by section 105 of title 5, United States Code, but does
not include the General Accounting Office.
SEC. 3246. MISCELLANEOUS PROVISIONS RELATING TO
CHILD CARE PROVIDED BY FEDERAL AGEN-
CIES.
(a) AVAILABILITY OF FEDERAL CHILD CARE CEN-
TERS FOR ONSITE CONTRACTORS; PERCENTAGE GOAL.—
Section 616 of the Act of December 22, 1987 (40 U.S.C.
490b) is amended—
(1) in subsection (a)—
(A) by striking ‘‘officer or agency of the
United States’’ and inserting ‘‘Federal agency
or officer of a Federal agency’’; and
(B) by striking paragraphs (2) and (3) and
inserting the following:
‘‘(2) the officer or agency determines that the
space will be used to provide child care and related
services to—
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‘‘(A) children of Federal employees or on-
site Federal contractors; or
‘‘(B) dependent children who live with
Federal employees or onsite Federal contrac-
tors; and
‘‘(3) the officer or agency determines that the
individual or entity will give priority for available
child care and related services in the space to Fed-
eral employees and onsite Federal contractors.’’; and
(2) by adding at the end the following:
‘‘(f)(1)(A) The Administrator of General Services
shall confirm that at least 50 percent of aggregate enroll-
ment in Federal child care centers governmentwide are
children of Federal employees or onsite Federal contrac-
tors, or dependent children who live with Federal employ-
ees or onsite Federal contractors.
‘‘(B) Each provider of child care services at an indi-
vidual Federal child care center shall maintain 50 percent
of the enrollment at the center of children described under
subparagraph (A) as a goal for enrollment at the center.
‘‘(C)(i) If enrollment at a center does not meet the
percentage goal under subparagraph (B), the provider
shall develop and implement a business plan with the
sponsoring Federal agency to achieve the goal within a
reasonable timeframe.
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‘‘(ii) The plan shall be approved by the Administrator
of General Services based on—
‘‘(I) compliance of the plan with standards es-
tablished by the Administrator; and
‘‘(II) the effect of the plan on achieving the ag-
gregate Federal enrollment percentage goal.
‘‘(2) The Administrator of General Services may
enter into public-private partnerships or contracts with
nongovernmental entities to increase the capacity, quality,
affordability, or range of child care and related services
and may, on a demonstration basis, waive subsection
(a)(3) and paragraph (1) of this subsection.’’.
(b) PAYMENT OF COSTS OF TRAINING PROGRAMS.—
Section 616(b)(3) of such Act (40 U.S.C. 490b(b)(3)) is
amended to read as follows:
‘‘(3) If a Federal agency has a child care facility in
a Federal space, or is a sponsoring agency for a child care
facility in a Federal space, the agency or the General Serv-
ices Administration may pay accreditation fees, including
renewal fees, for that center to be accredited. Any Federal
agency that provides or proposes to provide child care
services for children referred to in subsection (a)(2), may
reimburse any Federal employee or any person employed
to provide the services for the costs of training programs,
conferences, and meetings and related travel, transpor-
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tation, and subsistence expenses incurred in connection
with those activities. Any per diem allowance made under
this section shall not exceed the rate specified in regula-
tions prescribed under section 5707 of title 5, United
States Code.’’.
(c) TECHNICAL AND CONFORMING AMENDMENTS.—
Section 616(c) of such Act (40 U.S.C. 490b(c)) is
amended—
(1) by inserting ‘‘Federal’’ before ‘‘child care
centers’’; and
(2) by striking ‘‘Federal workers’’ and inserting
‘‘Federal employees’’.
(d) PROVISION OF CHILD CARE BY PRIVATE ENTI-
TIES.—Section 616(d) of such Act (40 U.S.C. 490b(d))
is amended to read as follows:
‘‘(d)(1) If a Federal agency has a child care facility
in a Federal space, or is a sponsoring agency for a child
care facility in a Federal space, the agency, the child care
center board of directors, or the General Services Adminis-
tration may enter into an agreement with 1 or more pri-
vate entities under which the private entities would assist
in defraying the general operating expenses of the child
care providers including salaries and tuition assistance
programs at the facility.
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‘‘(2)(A) Notwithstanding any other provision of law,
if a Federal agency does not have a child care program,
or if the Administrator of General Services has identified
a need for child care for Federal employees at a Federal
agency providing child care services that do not meet the
requirements of subsection (a), the agency or the Adminis-
trator may enter into an agreement with a non-Federal,
licensed, and accredited child care facility, or a planned
child care facility that will become licensed and accredited,
for the provision of child care services for children of Fed-
eral employees.
‘‘(B) Before entering into an agreement, the head of
the Federal agency shall determine that child care services
to be provided through the agreement are more cost-effec-
tively provided through the arrangement than through es-
tablishment of a Federal child care facility.
‘‘(C) The Federal agency may provide any of the
services described in subsection (b)(3) if, in exchange for
the services, the facility reserves child care spaces for chil-
dren referred to in subsection (a)(2), as agreed to by the
parties. The cost of any such services provided by a Fed-
eral agency to a Federal child care facility on behalf of
another Federal agency shall be reimbursed by the receiv-
ing agency.
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‘‘(3) This subsection does not apply to residential
child care programs.’’.
(e) PILOT PROJECTS.—Section 616 of such Act (40
U.S.C. 490b) is further amended by adding at the end
the following:
‘‘(g)(1) Upon approval of the agency head, a Federal
agency may conduct a pilot project not otherwise author-
ized by law for no more than 2 years to test innovative
approaches to providing alternative forms of quality child
care assistance for Federal employees. A Federal agency
head may extend a pilot project for an additional 2-year
period. Before any pilot project may be implemented, a
determination shall be made by the agency head that initi-
ating the pilot project would be more cost-effective than
establishing a new Federal child care facility. Costs of any
pilot project shall be paid solely by the agency conducting
the pilot project.
‘‘(2) The Administrator of General Services shall
serve as an information clearinghouse for pilot projects
initiated by other Federal agencies to disseminate infor-
mation concerning the pilot projects to the other Federal
agencies.
‘‘(3) Within 6 months after completion of the initial
2-year pilot project period, a Federal agency conducting
a pilot project under this subsection shall provide for an
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evaluation of the impact of the project on the delivery of
child care services to Federal employees, and shall submit
the results of the evaluation to the Administrator of Gen-
eral Services. The Administrator shall share the results
with other Federal agencies.’’.
(g) DEFINITIONS.—Section 616 of such Act (40
U.S.C. 490b) is further amended by adding at the end
the following:
‘‘(h) In this section:
‘‘(1) The term ‘Federal agency’ has the mean-
ing given the term ‘Executive agency’ in section
3242 of the Federal Employees Child Care Act.
‘‘(2) The terms ‘Federal building’ and ‘Federal
space’ have the meanings given the term ‘executive
facility’ in such section 3242.
‘‘(3) The term ‘Federal child care center’
means a child care center in an executive facility, as
defined in such section 3242.
‘‘(4) The terms ‘Federal contractor’ and ‘Fed-
eral employee’ mean a contractor and an employee,
respectively, of an Executive agency, as defined in
such section 3242.’’.
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CHAPTER 4—EARLY LEARNING
SEC. 3251. SHORT TITLE; FINDINGS.
(a) SHORT TITLE.—This chapter may be cited as the
‘‘Early Learning Linkages Act of 2001’’.
(b) FINDINGS.—Congress finds that—
(1) medical research demonstrates that ade-
quate stimulation of a young child’s brain between
birth and age 5 is critical to the physical develop-
ment of the young child’s brain;
(2) parents are the most significant and effec-
tive teachers of their children, and they alone are re-
sponsible for choosing the best early learning oppor-
tunities for their child;
(3) parent education and parent involvement
are critical to the success of any early learning pro-
gram or activity;
(4) the more intensively parents are involved in
their child’s early learning, the greater the cognitive
and noncognitive benefits to their children;
(5) many parents have difficulty finding the in-
formation and support the parents seek to help their
children grow to their full potential;
(6) each day approximately 13,000,000 young
children, including 6,000,000 infants or toddlers,
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spend some or all of their day being cared for by
someone other than their parents;
(7) quality early learning programs, including
those designed to promote effective parenting, can
increase the literacy rate, the secondary school grad-
uation rate, the employment rate, and the college en-
rollment rate for children who have participated in
voluntary early learning programs and activities;
(8) early childhood interventions can yield sub-
stantial advantages to participants in terms of emo-
tional and cognitive development, education, eco-
nomic well-being, and health, with the latter two ad-
vantages applying to the children’s families as well;
(9) participation in quality early learning pro-
grams, including those designed to promote effective
parenting, can decrease the future incidence of teen-
age pregnancy, welfare dependency, at-risk behav-
iors, and juvenile delinquency for children;
(10) several cost-benefit analysis studies indi-
cate that for each $1 invested in quality early learn-
ing programs, the Federal Government can save over
$5 by reducing the number of children and families
who participate in Federal Government programs
like special education and welfare;
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(11) for children placed in the care of others
during the workday, the low salaries paid to the
child care staff, the lack of career progression for
the staff, and the lack of child development special-
ists involved in early learning and child care pro-
grams, make it difficult to attract and retain the
quality of staff necessary for a positive early learn-
ing experience;
(12) Federal Government support for early
learning has primarily focused on out-of-home care
programs like those established under the Head
Start Act, the Child Care and Development Block
Grant of 1990, and part C of the Individuals with
Disabilities Education Act, and these programs—
(A) serve far fewer than half of all eligible
children;
(B) are not primarily designed to provide
support for parents who care for their young
children in the home; and
(C) lack a means of coordinating early
learning opportunities in each community; and
(13) by helping communities increase, expand,
and better coordinate early learning opportunities
for children and their families, the productivity and
creativity of future generations will be improved, and
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the Nation will be prepared for continued leadership
in the 21st century.
SEC. 3252. PURPOSES.
The purposes of this chapter are—
(1) to increase the availability of voluntary pro-
grams, services, and activities that support early
childhood development, increase parent effectiveness,
and promote the learning and socio-emotional readi-
ness of young children so that young children enter
school ready to learn;
(2) to remove barriers to the provision of an ac-
cessible system of early childhood learning programs
in communities throughout the United States;
(3) to increase the availability and affordability
of professional development activities and compensa-
tion for caregivers and child care providers; and
(4) to facilitate the development of community-
based systems of collaborative service delivery mod-
els characterized by resource sharing, linkages be-
tween appropriate supports, and local planning for
services.
SEC. 3253. DEFINITIONS.
In this chapter:
(1) CAREGIVER.—The term ‘‘caregiver’’ means
an individual (including a relative, neighbor, or fam-
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ily friend) who regularly or frequently provides care,
with or without compensation, for a child for whom
the individual is not the parent.
(2) CHILD CARE PROVIDER.—The term ‘‘child
care provider’’ means a provider of non-residential
child care services (including center-based, family-
based, or in-home child care services) for compensa-
tion who or that is legally operating under State law,
and complies with applicable State and local require-
ments for the provision of child care services.
(3) EARLY LEARNING.—The term ‘‘early learn-
ing’’, used with respect to a program or activity,
means learning designed to facilitate the develop-
ment of cognitive, language, motor, and social-emo-
tional skills for, and to promote learning readiness
in, young children.
(4) EARLY
LEARNING
PROGRAM.—The term
‘‘early learning program’’ means—
(A) a program of services or activities that
helps parents, caregivers, and child care pro-
viders incorporate early learning into the daily
lives of young children; or
(B) a program that directly provides early
learning to young children.
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(5) INDIAN TRIBE.—The term ‘‘Indian tribe’’
has the meaning given the term in section 4 of the
Indian Self-Determination and Education Assistance
Act (25 U.S.C. 450b).
(6) LOCAL COUNCIL.—The term ‘‘Local Coun-
cil’’ means a Local Council established or designated
under section 3261(a) that serves one or more local-
ities.
(7) LOCALITY.—The term ‘‘locality’’ means a
city, county, borough, township, or area served by
another general purpose unit of local government, an
Indian tribe, a Regional Corporation, or a Native
Hawaiian entity.
(8) MIGRATORY CHILDREN.—The term ‘‘migra-
tory children’’ has the meaning given such term in
section 1309 of the Elementary and Secondary Edu-
cation Act of 1965 (20 U.S.C. 6399).
(9) PARENT.—The term ‘‘parent’’ means a bio-
logical parent, an adoptive parent, a stepparent, a
foster parent, or a legal guardian of, or a person
standing in loco parentis to, a child.
(10) POVERTY LINE.—The term ‘‘poverty line’’
means the poverty line (as defined by the Office of
Management and Budget, and revised annually in
accordance with section 673(2) of the Community
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Services Block Grant Act (42 U.S.C. 9902(2))) ap-
plicable to a family of the size involved.
(11) 
PREKINDERGARTEN
EDUCATION
PRO-
GRAM.—The term ‘‘prekindergarten education pro-
gram’’ means a program that—
(A) serves children ages 3, 4, and 5 years
old and that supports children’s cognitive, so-
cial, emotional, and physical development and
helps prepare children for the transition to kin-
dergarten; and
(B) complies with the Head Start perform-
ance standards as in effect under section
641A(a) of the Head Start Act (42 U.S.C.
9836a(a)).
(12) REGIONAL CORPORATION.—The term ‘‘Re-
gional Corporation’’ means an entity listed in section
419(4)(B) of the Social Security Act (42 U.S.C.
619(4)(B)).
(13) 
SECRETARY.—The 
term 
‘‘Secretary’’
means the Secretary of Health and Human Services.
(14) STATE.—The term ‘‘State’’ means any of
the several States, the District of Columbia, the
Commonwealth of Puerto Rico, Guam, American
Samoa, or the Commonwealth of the Northern Mar-
iana Islands.
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(15) TRAINING.—The term ‘‘training’’ means
instruction in early learning that—
(A) is required for certification under
State and local laws, regulations, and policies;
(B) is required to receive a nationally or
State recognized credential or its equivalent;
(C) is received in a postsecondary edu-
cation program focused on early learning or
early childhood development in which the indi-
vidual is enrolled; or
(D) is provided, certified, or sponsored by
an organization that is recognized for its exper-
tise in promoting early learning or early child-
hood development.
(16) YOUNG CHILD.—The term ‘‘young child’’
means any child from birth to the age of mandatory
school attendance in the State where the child re-
sides.
SEC. 3254. PROHIBITIONS.
(a) PARTICIPATION NOT REQUIRED.—No person, in-
cluding a parent, shall be required to participate in any
program of early childhood education, early learning, par-
ent education, or developmental screening pursuant to the
provisions of this chapter.
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(b) RIGHTS OF PARENTS.—Nothing in this chapter
shall be construed to affect the rights of parents otherwise
established in Federal, State, or local law.
(c) NONDUPLICATION.—No funds provided under
this chapter shall be used to carry out an activity funded
under another provision of law providing for Federal child
care or early learning programs, unless an expansion of
such activity is identified in the local needs assessment
and performance goals under this chapter.
SEC. 
3255. 
AUTHORIZATION 
AND 
APPROPRIATION 
OF
FUNDS.
There are authorized to be appropriated to the De-
partment of Health and Human Services to carry out this
chapter—
(1) $1,000,000,000 for fiscal year 2002;
(2) $1,500,000,000 for fiscal year 2003; and
(3) such sums as may be necessary for fiscal
years 2004 and 2005.
SEC. 3256. ALLOTMENTS TO STATES.
(a) AMOUNTS RESERVED.—
(1) TERRITORIES AND POSSESSIONS.—The Sec-
retary shall reserve not more than 1⁄2 of 1 percent
of the funds appropriated to carry out this chapter
for any fiscal year for distribution to Guam, Amer-
ican Samoa, and the Commonwealth of the Northern
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Mariana Islands, to be allotted in accordance with
their respective needs.
(2) INDIAN
TRIBES
AND
TRIBAL
ORGANIZA-
TIONS.—The Secretary shall reserve not more than
3 percent of the funds appropriated to carry out this
chapter for any fiscal year for distribution to Indian
tribes and tribal organizations with applications ap-
proved under subsection (c).
(b) ALLOTMENTS TO REMAINING STATES.—
(1) GENERAL
AUTHORITY.—From the funds
appropriated to carry out this chapter for any fiscal
year remaining after reserving funds under sub-
section (a), the Secretary shall allot to each State
(excluding Guam, American Samoa, and the Com-
monwealth of the Northern Mariana Islands) an
amount equal to the sum of—
(A) an amount that bears the same ratio
to 50 percent of such remainder as the product
of the young child factor of the State and the
allotment percentage of the State bears to the
sum of the corresponding products for all
States, and
(B) an amount that bears the same ratio
to 50 percent of such remainder as the product
of the school lunch factor of the State and the
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allotment percentage of the State bears to the
sum of the corresponding products for all
States.
(2) YOUNG CHILD FACTOR.—The term ‘‘young
child factor’’ means the ratio of the number of chil-
dren in the State under 5 years of age to the num-
ber of such children in all States as provided by the
most recent annual estimates of population in the
States by the Bureau of the Census.
(3) 
SCHOOL
LUNCH
FACTOR.—The 
term
‘‘school lunch factor’’ means the ratio of the number
of children in the State who are receiving free or re-
duced price lunches under the school lunch program
established under the National School Lunch Act
(42 U.S.C. 1751 et seq.) to the number of such chil-
dren in all the States as determined annually by the
Department of Agriculture.
(4) ALLOTMENT PERCENTAGE.—
(A) IN GENERAL.—The allotment percent-
age for a State is determined by dividing the
per capita income of all individuals in the
United States, by the per capita income of all
individuals in the State.
(B) LIMITATIONS.—If an allotment per-
centage determined under subparagraph (A)—
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(i) is more than 1.2 percent, then the
allotment percentage of that State shall be
considered to be 1.2 percent, and
(ii) is less than 0.8 percent, then the
allotment percentage of the State shall be
considered to be 0.8 percent. ––
(C) PER CAPITA INCOME.—For purposes
of subparagraph (A), per capita income shall
be—
(i) determined at 2-year intervals,
(ii) applied for the 2-year period be-
ginning on October 1 of the first fiscal
year beginning on the date such deter-
mination is made, and
(iii) equal to the average of the an-
nual per capita incomes for the most re-
cent period of 3 consecutive years for
which satisfactory data are available from
the Department of Commerce at the time
such determination is made.
(c) ALLOTMENTS TO INDIAN TRIBES AND TRIBAL
ORGANIZATIONS.—
(1) RESERVATION OF FUNDS.—From amounts
reserved under subsection (a)(2), the Secretary may
make allotments to Indian tribes and tribal organi-
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zations that submit applications under this sub-
section, to plan and carry out programs and activi-
ties to encourage child care providers to improve
their qualifications and to retain qualified child care
providers in the child care field.
(2) APPLICATIONS
AND
REQUIREMENTS.—An
application for an allotment to an Indian tribe or
tribal organization under this section shall provide
that—
(A) the applicant will coordinate, to the
maximum extent practicable, with the lead
agency in each State in which the applicant will
carry out such programs and activities, and
(B) will make such reports on, and conduct
such audits of, programs and activities under
this chapter as the Secretary may require.
(d) DATA AND INFORMATION.—The Secretary shall
obtain from each appropriate Federal agency, the most re-
cent data and information necessary to determine the al-
lotments provided for in subsection (b).
(e) REALLOTMENTS.—
(1) IN GENERAL.—Any portion of the allotment
under subsection (b) to a State for a fiscal year that
the Secretary determines will not be distributed to
the State for such fiscal year shall be reallotted by
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the Secretary to other States proportionately based
on allotments made under such subsection to such
States for such fiscal year.
(2) LIMITATIONS.—
(A) REDUCTION.—The amount of any re-
allotment to which a State is entitled to under
paragraph (1) shall be reduced to the extent
that such amount exceeds the amount that the
Secretary estimates will be distributed to the
State to make grants under this chapter.
(B) REALLOTMENTS.—The amount of
such reduction shall be reallotted proportion-
ately based on allotments made under sub-
section (b) to States with respect to which no
reduction in an allotment, or in a reallotment,
is required by this subsection.
(3) AMOUNTS REALLOTTED.—For purposes of
this chapter (other than this subsection and sub-
section (b)), any amount reallotted to a State under
this subsection shall be considered to be part of the
allotment made under subsection (b) to the State.
(f) FEDERAL SHARE.—
(1) IN GENERAL.—The Federal share of the
cost of making grants under this chapter shall be 85
percent for the first and second years of the grant,
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80 percent for the third and fourth years of the
grant, and 75 percent for the subsequent years of
the grant.
(2) NON-FEDERAL
SHARE.—The non-Federal
share of the cost of making grants under this chap-
ter may be contributed in cash or in kind, fairly
evaluated, including facilities, equipment, or services,
which may be provided from State or local public
sources, or through donations from private entities.
For the purposes of this paragraph the term ‘‘facili-
ties’’ includes the use of facilities, but the term
‘‘equipment’’ means donated equipment and not the
use of equipment.
(g) MAINTENANCE OF EFFORT.—The Secretary shall
not make a grant under this chapter to any State unless
the Secretary first determines that the total expenditures
by the State and its political subdivisions to support early
learning programs (other than funds used to pay the non-
Federal share under subsection (f)(2)) for the fiscal year
for which the determination is made is equal to or greater
than such expenditures for the preceding fiscal year.
(h) SUPPLEMENT NOT SUPPLANT.—Amounts re-
ceived under this chapter shall be used to supplement and
not supplant other Federal, State, and local public funds
expended to promote early learning.
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(i) SPECIAL RULE.—If funds appropriated to carry
out this chapter are less than $150,000,000 for any fiscal
year, the Secretary shall make grants for the fiscal year
directly to Local Councils, on a competitive basis, to pay
the Federal share of the cost of carrying out early learning
programs in the locality served by the Local Council. In
carrying out the preceding sentence—
(1) subsection (g) of this section, section
3257(b), and section 3259(b)(4) shall not apply;
(2) the Secretary shall provide such technical
assistance and monitoring as necessary to ensure
that the use of the funds by Local Councils and the
distribution of the funds to Local Councils are con-
sistent with this chapter; and
(3) subject to paragraph (1), the Secretary
shall assume the responsibilities of the Lead State
Agency under this chapter, as appropriate.
SEC. 3257. ADMINISTRATIVE COSTS.
(a) FEDERAL ADMINISTRATIVE COSTS.—The Sec-
retary may use not more than 3 percent of the amount
appropriated under section 3255 for a fiscal year to pay
for the administrative costs of carrying out this chapter,
including the monitoring and evaluation of State and local
efforts.
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(b) STATE ADMINISTRATIVE COSTS.—A State that
receives a grant under this chapter may use—
(1) not more than 2 percent of the funds made
available through the grant to carry out activities
designed to coordinate early learning programs on
the State level, including programs funded or oper-
ated by the State educational agency, health, chil-
dren and family, and human service agencies, and
any State-level collaboration or coordination council
involving early learning and education, such as the
entities funded under section 640(a)(5) of the Head
Start Act (42 U.S.C. 9835(a)(5));
(2) not more than 2 percent of the funds made
available through the grant for the administrative
costs of carrying out the grant program and the
costs of reporting State and local efforts to the Sec-
retary; and
(3) not more than 3 percent of the funds made
available through the grant for training, technical
assistance, and wage incentives provided by the
State to Local Councils.
SEC. 3258. STATE REQUIREMENTS.
(a) IN GENERAL.—The Secretary may make grants
to eligible States that comply with section 3259, to expand
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access to and quality of early learning programs that meet
requirements in section 3262.
(b) STATE APPLICATIONS.—
(1) IN GENERAL.—To be eligible to receive a
grant under subsection (a), a State shall submit an
application in accordance with this subsection to the
Secretary at such time, in such manner, and con-
taining such information as the Secretary may rea-
sonably require.
(2) CONTENTS OF STATE APPLICATION.—The
State shall include in such application a plan that
includes—
(A) a statement ensuring that the State
has identified a Lead State Agency to admin-
ister and monitor the grant and ensure State-
level coordination of early learning programs;
(B) a statement describing the manner in
which the Lead State Agency will allocate funds
received under this chapter to localities as re-
quired under section 3259;
(C) a description of how grant funds will
be used to improve access to and quality of
early learning programs as required under sec-
tion 3262;
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(A) advise and assist Local Councils in the
performance of their duties under this chapter;
(B) develop and submit the State applica-
tion and the State plan required under section
3258;
(C) evaluate and approve applications sub-
mitted by localities;
(D) ensure collaboration with respect to
assistance provided under this chapter between
the State agencies responsible for education,
child care, health and social services;
(E) prepare and submit to the Secretary
an annual report, after approval by the State
Council designated under subsection (c), which
shall include a statement describing the manner
in which funds received under section 3258 are
expended and documentation of the effects that
resources under this chapter have had on—
(i) the number of children in full day,
full year Head Start programs, as provided
under the Head Start Act (42 U.S.C. 9831
et seq.);
(ii) the number of infants and tod-
dlers in programs that provide comprehen-
sive Early Head Start services, as provided
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under the Head Start Act (42 U.S.C. 9831
et seq.);
(iii) the number of children attending,
and types of programs providing, pre-
kindergarten, including those with special
needs;
(iv) the linkages between early learn-
ing programs and health care services for
young children;
(v) linkages among early learning pro-
grams;
(vi) access to early learning activities
for young children with special needs;
(vii) expansion of the days or times
that children are served in existing early
learning programs;
(viii) removal of ancillary barriers to
early learning, including transportation dif-
ficulties, absence of programs during non-
traditional work times, and family afford-
ability; and
(ix) professional development, and re-
cruitment and retention incentives, for
caregivers.
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(4) STATE PREFERENCE.—In making grants to
Local Councils under this chapter, the State shall
give preference to supporting Local Councils that
meet criteria that are specified by the State and ap-
proved by the Secretary, for qualifying as serving
areas of greatest need for improving access to and
quality of early learning programs.
(c) STATE COUNCIL.—
(1) IN GENERAL.—The State Council referred
to in subsection (b)(3) shall be composed of a group
of representatives of agencies, institutions, and other
entities, as described in paragraphs (2) and (3), that
provide child care or early learning services in the
State.
(2) MEMBERSHIP.—Except as provided in para-
graph (6), the chief executive officer of the State
shall appoint to the State Council at least 1 rep-
resentative from—
(A) the office of the chief executive officer
of the State;
(B) the State educational agency;
(C) the State agency administering funds
received under the Child Care and Development
Block Grant Act of 1990 (42 U.S.C. 9858 et
seq.);
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(D) the State social services agency;
(E) the State Head Start association;
(F) organizations representing parents
within the State;
(G) resource and referral agencies within
the State; and
(H) specialists in early child development.
(3) ADDITIONAL
MEMBERS.—In addition to
representatives appointed under subparagraph (2),
the chief executive officer of the State may appoint
to the State Council additional representatives
from—
(A) the State Board of Education;
(B) the State health agency;
(C) the State labor or employment agency;
(D) organizations representing teachers;
(E) organizations representing business;
and
(F) organizations representing labor.
(4) REPRESENTATION.—To the extent prac-
ticable, the chief executive officer of the State shall
appoint representatives under subparagraphs (2)
and (3) in a manner that is diverse or balanced ac-
cording to the race, ethnicity, and gender of its
members.
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(5) FUNCTIONS OF THE COUNCIL.—The State
Council shall—
(A) conduct a needs and resources assess-
ment, or use such an assessment if conducted
not later than 2 years prior to the date of en-
actment of this chapter, to—
(i) determine where early learning
programs are lacking or are inadequate
within the State, with particular attention
to poor urban and rural areas, and what
special services are needed within the
State, such as services for children whose
native language is a language other than
English; and
(ii) identify all existing State-funded
early learning programs, and, to the extent
practical, other programs serving pre-
kindergarten children in the State, includ-
ing parent education programs, and to
specify which programs might be expanded
or upgraded with the use of funds received
under section 3255; and
(B) based on the assessment described in
subparagraph (A), determine funding priorities
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for amounts received under section 3255 for the
State.
(6) DESIGNATING
AN
EXISTING
ENTITY
AS
STATE COUNCIL.—To the extent that a State has a
State Council or a entity that functions as such be-
fore the date of enactment of this chapter that is
comparable to the State Council described in this
subsection, the State shall be considered to be in
compliance with this subsection.
SEC. 3260. LOCAL APPLICATION.
(a) IN GENERAL.—To be eligible to receive a grant
under this chapter, a Local Council shall submit an appli-
cation to the Lead State Agency at such time, in such
manner, and containing such information as the Lead
Agency may require.
(b) CONTENTS.—An application submitted under
subsection (a) shall include a statement containing an as-
surance that the local government entity, Indian tribe, Re-
gional Corporation, or Native Hawaiian entity has estab-
lished or designated a Local Council under section
3261(a), and the Local Council has developed a local plan
for carrying out early learning programs under this chap-
ter that includes—
(1) a needs and resources assessment con-
cerning early learning services and access to such
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services by families, and a statement describing how
early learning programs will be funded consistent
with the assessment;
(2) a statement of how the Local Council will
ensure that funded programs will meet the perform-
ance goals referred to in section 3258(b)(2)(D) es-
tablished by the State; and
(3) a description of how the Local Council will
form collaboratives among local child care, social,
and health services and educational providers to
maximize resources and concentrate efforts on areas
of greatest need.
SEC. 3261. LOCAL ADMINISTRATION.
(a) LOCAL COUNCIL.—
(1) IN GENERAL.—To be eligible to receive a
grant under this chapter, a local government entity,
Indian tribe, Regional Corporation or Native Hawai-
ian entity, as appropriate, shall establish or des-
ignate a Local Council, which shall be composed
of—
(A) representatives of local agencies and
organizations directly affected by early learning
programs assisted under this chapter;
(B) parents or representatives of families
with young children;
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(C) other individuals concerned with early
learning issues in the locality, such as rep-
resentative entities providing elementary edu-
cation, child care resource and referral services,
early learning opportunities, child care, and
health services; and
(D) other key community leaders.
(2) DESIGNATING EXISTING ENTITY.—If a local
government entity, Indian tribe, Regional Corpora-
tion, or Native Hawaiian entity has, before the date
of enactment of the Early Learning Development
Act, a Local Council or a regional entity that is
comparable to the Local Council described in para-
graph (1), the entity, tribe, or corporation may des-
ignate the council or entity as a Local Council under
this chapter, and shall be considered to have estab-
lished a Local Council in compliance with this sub-
section.
(3) FUNCTIONS.—The Local Council shall be
responsible for preparing and submitting the appli-
cation described in section 3260.
(b) ADMINISTRATION.—
(1) ADMINISTRATIVE COSTS.—Not more than 7
percent of the funds received by a Local Council
under this chapter shall be used to pay for the ad-
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ministrative costs of the Local Council in carrying
out this chapter.
(2) FISCAL AGENT.—A Local Council may des-
ignate any entity with a demonstrated capacity for
administering grants, that is affected by, or con-
cerned with, early learning issues, including the
State, to serve as fiscal agent for the administration
of grant funds received by the Local Council under
this chapter.
SEC. 3262. USE OF FUNDS.
(a) IN GENERAL.—Grants received under this chap-
ter by Local Councils shall be used in accordance with this
chapter to provide funds to service providers to—
(1) increase the number of children served in
State prekindergarten education programs;
(2) increase the number of Head Start pro-
grams providing full working day, full calendar year
Head Start services;
(3) increase the number of children served in
Early Head Start programs carried out under sec-
tion 645A of the Head Start Act (42 U.S.C. 9840a);
(4) enhance the quality of and access to edu-
cation and comprehensive services and support serv-
ices provided through the Child Care and Develop-
ment Block Grant Act of 1990 (42 U.S.C. 9858 et
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seq.) to child care programs and providers, including
health screening and diagnosis of children, parent
involvement and parent education, nutrition services
and education, staff and personnel training in early
childhood development, and upgrading the salaries of
early childhood development staff, and the develop-
ment of salary schedules for staff with varying levels
of experience, expertise and education;
(5) develop linkages among early learning pro-
grams within a community and between early learn-
ing programs and health care services for young
children in ways that facilitate greater access to
early learning programs;
(6) increase access to and quality of early learn-
ing opportunities for young children with special
needs, including migratory children, children with
limited English proficiency, and children with devel-
opmental delays, by facilitating coordination with
other programs serving such young children;
(7) improve the quality of early learning pro-
grams through professional development and train-
ing activities, increased compensation, and recruit-
ment and retention incentives for early learning pro-
viders;
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(8) remove ancillary barriers to early learning,
including transportation difficulties and family af-
fordability of early learning programs;
(9) increase access to home visitation programs
that are designed to improve early learning if serv-
ices are provided by staff who are given sufficient
training, and clinical and administrative supervision,
by a registered nurse or a qualified early childhood
professional;
(10) improve coordination between localities
carrying out early learning programs and persons
providing early intervention services under part C of
the Individuals with Disabilities Education Act (20
U.S.C. 1431 et seq.); or
(11) increase the number of child care providers
serving families during nontraditional work time if
such providers are licensed by the State.
SEC. 3263. REPEALER.
The Early Learning Opportunities Act (title VIII of
the Departments of Labor, Health and Human Services,
and Education, and Related Agencies Appropriations Act,
2001) (as enacted into law by section 1(a)(1) of Public
Law 106–554) is repealed.
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SEC. 3264. EFFECTIVE DATE.
This chapter shall take effect on the 1st day of the
1st fiscal year that begins after the date of the enactment
of this Act.
CHAPTER 5—CHILD CARE FACILITIES
FINANCING
SEC. 3271. SHORT TITLE.
This chapter may be cited as the ‘‘Child Care Facili-
ties Financing Act’’.
SEC. 
3272. 
TECHNICAL 
AND 
FINANCIAL 
ASSISTANCE
GRANTS.
(a) DEFINITIONS.—In this section:
(1) CHILD CARE FACILITY.—The term ‘‘child
care facility’’ means a center-based or home-based
child care facility.
(2) ELIGIBLE INTERMEDIARY.—The term ‘‘eli-
gible intermediary’’ means a private, nonprofit inter-
mediary organization that has demonstrated experi-
ence in—
(A) providing technical or financial assist-
ance for the construction and renovation of
physical facilities;
(B) providing technical or financial assist-
ance to child care providers; and
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(C) securing private sources for capital fi-
nancing of child care or other low-income com-
munity development.
(3) ELIGIBLE RECIPIENT.—The term ‘‘eligible
recipient’’ means—
(A) any existing or new center-based or
home-based child care provider that provides
services to eligible children under a program
carried out under the Child Care and Develop-
ment Block Grant Act of 1990 (42 U.S.C. 9858
et seq.), or another program serving low-income
children as determined by the Secretary; and
(B) any organization in the process of es-
tablishing a center-based or home-based child
care program or otherwise seeking to provide
child care services to children described in sub-
paragraph (A).
(4) SECRETARY.—The term ‘‘Secretary’’ means
the Secretary of Health and Human Services.
(b) GRANT AUTHORITY.—The Secretary may award
grants on a competitive basis in accordance with this sec-
tion to eligible intermediaries to assist the intermediaries
in carrying out the activities described in subsection (e).
(c) APPLICATIONS.—To be eligible to receive a grant
under this section an eligible intermediary shall submit to
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the Secretary an application, in such form and containing
such information as the Secretary may require.
(d) PRIORITY.—In awarding grants under this sec-
tion the Secretary shall give a priority to applicants under
subsection (c) that serve low-income areas or individuals.
(e) USE OF FUNDS.—
(1) REVOLVING
FUND.—Each eligible inter-
mediary that receives a grant under this section
shall deposit the grant amount into a child care re-
volving fund established by the eligible intermediary.
(2) PAYMENTS FROM FUND.—Subject to sub-
section (f), from amounts deposited into the revolv-
ing fund under paragraph (1), each eligible inter-
mediary shall provide technical and financial assist-
ance (in the form of loans, grants, investments,
guarantees, interest subsidies, and other appropriate
forms of assistance) to eligible recipients to pay for
the Federal share of the cost of the acquisition, con-
struction, or improvement of child care facilities or
equipment, or for the improvement of related man-
agement and business practices, for each such recipi-
ent. The amounts may be used solely for the purpose
of providing technical or financial assistance.
(3) LOAN REPAYMENTS AND INVESTMENT PRO-
CEEDS.—Any amount received by an eligible inter-
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mediary from an eligible recipient in the form of a
loan repayment or investment proceeds shall be de-
posited into the child care revolving fund of the eligi-
ble intermediary for redistribution to other eligible
recipients in accordance with this section.
(f) FEDERAL SHARE.—
(1) IN GENERAL.—The Federal share of the
cost described in subsection (e)(2) shall be not more
than 50 percent.
(2) NON-FEDERAL
SHARE.—The non-Federal
share of the cost may be provided in cash or in kind,
fairly evaluated, including plant, equipment, or serv-
ices.
(g) AUTHORIZATION OF APPROPRIATIONS.—There is
authorized to be appropriated to carry out this section
$500,000,000 for each of fiscal years 2002 through 2006.
Subtitle D—Head Start Access and
Improvement
SEC. 3301. AUTHORIZATION OF APPROPRIATIONS.
Section 639(a) of the Head Start Act (42 U.S.C.
9834(a)) is amended to read as follows:
‘‘(a) There are authorized to be appropriated to carry
out this subchapter—
‘‘(1) $7,199,812,000 for fiscal year 2002;
‘‘(2) $8,000,000,000 for fiscal year 2003;
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‘‘(3) $9,000,000,000 for fiscal year 2004;
‘‘(4) $10,000,000,000 for fiscal year 2005;
‘‘(5) $11,002,000,000 for fiscal year 2006;
‘‘(6) $12,200,000,000 for fiscal year 2007;
‘‘(7) $13,605,000,000 for fiscal year 2008;
‘‘(8) $15,275,000,000 for fiscal year 2009;
‘‘(9) $17,280,000,000 for fiscal year 2010; and
‘‘(10) $19,720,000,000 for fiscal year 2011.’’.
Subtitle E—Education
Improvements
Chapter 1—Increasing Access to Quality
Prekindergarten Programs
SEC. 3401. PREKINDERGARTEN PROGRAMS.
Title X of the Elementary and Secondary Education
Act of 1965 (20 U.S.C. 8001 et seq.) is amended—
(1) by redesignating part L as part N; and
(2) by inserting after part K the following:
‘‘PART L—PREKINDERGARTEN PROGRAMS
‘‘SEC. 10996A. FINDINGS.
‘‘Congress finds the following:
‘‘(1) Countless studies have shown what every
parent already knows: High-quality preschool edu-
cation programs work. Such programs prepare chil-
dren to learn when they go to school, and increase
the success of students throughout their lives.
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‘‘(2) Children who get a high-quality prekinder-
garten education are less likely to repeat a grade
level and have less need for special education in-
struction than those with no prekindergarten experi-
ence.
‘‘(3) Prekindergarten programs make a signifi-
cant difference in the lives of children from low-in-
come families. A recent study found that children in
high-quality child care programs had better thinking
and attention skills, better mathematics and pre-
reading skills, and fewer behavioral problems.
‘‘(4) In a study following children to age 21
who received high-quality early childhood education,
such children were more likely to have enrolled in
college, been employed, and delayed parenthood.
‘‘SEC. 10996B. DEFINITIONS.
‘‘In this part:
‘‘(1) 
PREKINDERGARTEN.—The 
term 
‘pre-
kindergarten’ means a program serving children
ages 3, 4, and 5 years old that supports children’s
cognitive, social, emotional, and physical develop-
ment and helps prepare children for the transition to
kindergarten.
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‘‘(2) 
ELIGIBLE
PREKINDERGARTEN
PRO-
VIDER.—The term ‘eligible prekindergarten provider’
means—
‘‘(A) a child care program or Head Start
agency under the Head Start Act (42 U.S.C.
9831 et seq.) that—
‘‘(i) has met applicable State licensing
requirements and has obtained accredita-
tion by a national accrediting body with
demonstrated experience in accrediting
child care programs, prekindergarten pro-
grams, or schools; or
‘‘(ii) agrees to obtain such accredita-
tion not later than 3 years after receipt of
a grant under this part; and
‘‘(B) a local educational agency in partner-
ship with an early childhood program, organiza-
tion, or agency that serves prekindergarten
school children.
‘‘(3) PREKINDERGARTEN TEACHER.—The term
‘prekindergarten teacher’ means an individual who
has, or is working toward, a bachelor of arts degree
in early childhood development.
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‘‘SEC. 10996C. PROGRAM AUTHORIZED.
‘‘(a) IN GENERAL.—From amounts made available
under section 10996G, the Secretary may provide grants
to States with approved applications under subsection
(b)(2) for the purpose of enabling to States to award sub-
grants to eligible prekindergarten providers to establish,
enhance, or expand prekindergarten programs.
‘‘(b) STATE AGENCY.—
‘‘(1) IN GENERAL.—A State desiring a grant
under this part shall designate a State agency to ad-
minister the grant.
‘‘(2) APPLICATION.—
‘‘(A) IN
GENERAL.—With respect to a
State desiring a grant under this part, the
State agency designated under paragraph (1)
shall submit an application to the Secretary at
such time, in such manner, and containing such
information as the Secretary may require.
‘‘(B) CONTENTS.—The application sub-
mitted under subparagraph (A) shall include—
‘‘(i) an assurance that the State will
provide non-Federal matching funds, for
carrying out the programs to be funded by
a grant under this part, in an amount
equal to not less than 20 percent of the
grant award; and
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‘‘(ii) a description of—
‘‘(I) how grant funds will be used
to expand or enhance existing efforts
across the State in providing access to
high quality prekindergarten pro-
grams;
‘‘(II) how the State will collabo-
rate with local child care agencies and
councils, including local child care re-
source and referral agencies;
‘‘(III) how grant funds will be
used to supplement and not supplant
existing Federal, State, local and pri-
vate funds used for prekindergarten
programs;
‘‘(IV) how the State will ensure
that grant funds are provided to a
range of types of eligible prekinder-
garten providers;
‘‘(V) how the State will help eli-
gible prekindergarten providers at-
tract and retain qualified prekinder-
garten teachers;
‘‘(VI) how the State will identify
eligible prekindergarten providers and
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identify children to receive prekinder-
garten education; and
‘‘(VII) how the State will give
priority in awarding subgrants under
paragraph (3)(B) to full-time pre-
kindergarten programs, including the
expansion of existing part-time pro-
grams into full-time programs.
‘‘(3) DUTIES.—The State agency designated
under paragraph (1) shall—
‘‘(A) receive and administer grant funds
received under this part;
‘‘(B) award subgrants, from such grant
funds received, to eligible prekindergarten pro-
viders to carry out section 10996E; and
‘‘(C) conduct evaluations of prekinder-
garten programs carried out by eligible pre-
kindergarten providers that receive subgrants
under subparagraph (B).
‘‘SEC. 10996D. LOCAL APPLICATIONS.
‘‘(a) IN GENERAL.—An eligible prekindergarten pro-
vider that desires to receive a subgrant under this part
shall submit an application to the appropriate State agen-
cy designated under section 10996C(b)(1) at such time,
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in such manner, and containing such information as such
State agency may reasonably require.
‘‘(b) CONTENT.—An application submitted under
subsection (a), at a minimum, shall—
‘‘(1) demonstrate a need for the establishment,
enhancement, or expansion of a prekindergarten pro-
gram;
‘‘(2) describe how the eligible prekindergarten
provider will collaborate with local early childhood
councils and agencies;
‘‘(3) provide an assurance that each individual
hired as a teacher by the eligible prekindergarten
provider is qualified to teach children at the pre-
kindergarten level;
‘‘(4) provide an assurance that the ratio of
teacher or child development specialist to children at
each prekindergarten program administered by the
provider will not exceed 1–10;
‘‘(5) provide a description of how funds will be
used to coordinate with and enhance, but not dupli-
cate or supplant, early childhood programs serving
eligible children that exist in the community;
‘‘(6) describe how the eligible prekindergarten
provider will use a collaborative process with organi-
zations and members of the community that have an
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interest and experience in early childhood develop-
ment and education to establish, enhance, or expand
prekindergarten programs;
‘‘(7) describe how the program to be funded
under the subgrant will meet the diverse needs of
children, ages 3 through 5, in the community who
are not enrolled in kindergarten, including children
with disabilities or whose native language is other
than English;
‘‘(8) describe how the eligible prekindergarten
provider will collaborate with local schools to ensure
a smooth transition for participating students from
prekindergarten to kindergarten and early elemen-
tary education;
‘‘(9) describe the results the prekindergarten
program is intended to achieve, and what tools will
be used to measure the progress in attaining those
results; and
‘‘(10) provide an assurance that none of the
funds received under this part will be used for the
construction or renovation of existing or new facili-
ties (except for minor remodeling needed to accom-
plish the purposes of this part).
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‘‘SEC. 10996E. LOCAL USES OF FUNDS.
‘‘(a) IN GENERAL.—An eligible prekindergarten pro-
vider that receives a subgrant under this part shall use
funds received under such subgrant to establish, enhance,
or expand prekindergarten programs for children, ages 3
through 5, who are not enrolled in kindergarten,
including—
‘‘(1) providing a program that focuses on the
developmental needs of participating children, in-
cluding their social, cognitive, physical, and lan-
guage-development needs, and uses research-based
approaches that build on competencies that lead to
school success, particularly in language and literacy
development and in reading;
‘‘(2) paying the costs of purchasing educational
equipment, including educational materials, nec-
essary to provide a high quality program;
‘‘(3) pursuing accreditation by a national ac-
creditation body with demonstrated experience in ac-
creditation of prekindergarten programs, to be ob-
tained not later than 3 years after the date on which
funds are first received under this part;
‘‘(4) helping prekindergarten teachers pursue
and attain the credential and degree requirements
established by the State and provide a stipend for
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attaining educational or professional development;
and
‘‘(5) meeting the needs of working parents.
‘‘(b) PERMISSIBLE USES
OF FUNDS.—An eligible
prekindergarten provider that receives a subgrant under
this part may use funds received under such subgrant to
pay for transporting students to and from a prekinder-
garten program.
‘‘SEC. 10996F. REPORTING.
‘‘(a) LOCAL
REPORTS.—Each eligible prekinder-
garten provider that receives a subgrant under this part
shall submit to the State agency designated under section
10996C(b)(1), not later than 18 months after the date
on which the provider first receives such subgrant, a re-
port relating to the period for which subgrant funds were
received, containing information on—
‘‘(1) the number and ages of children served by
the provider, including information disaggregated by
family income, race, disability, native language;
‘‘(2) the number of hours of service per day and
number of months of service;
‘‘(3) the total number of prekindergarten teach-
ers employed by the provider; and
‘‘(4) other sources of Federal, State, local, and
private funds used to operate the prekindergarten