‘‘(2) ADDITIONAL
REQUIREMENTS.—A local
educational agency that receives a basic support pay-
ment under section 8003(b)(1) shall also meet at
least 1 of the following requirements:
‘‘(A) The number of children determined
under section 8003(a)(1)(C) for the agency for
the preceding school year constituted at least
50 percent of the total student enrollment in
the schools of the agency during the preceding
school year.
‘‘(B) The number of children determined
under subparagraphs (B) and (D)(i) of section
8003(a)(1) for the agency for the preceding
school year constituted at least 50 percent of
the total student enrollment in the schools of
the agency during the preceding school year.
‘‘(3) AMOUNT OF PAYMENTS.—
‘‘(A) LOCAL EDUCATIONAL AGENCIES IM-
PACTED
BY
MILITARY
DEPENDENT
CHIL-
DREN.—The amount of a payment to each local
educational agency described in this subsection
that is impacted by military dependent children
for a fiscal year shall be equal to—
‘‘(i)(II) 35 percent of the amount ap-
propriated under section 8014(e) for such
fiscal year; divided by
‘‘(II) the total number of weighted
student units of children described in sub-
paragraphs (B) and (D)(i) of section
8003(a)(1) for all local educational agen-
cies described in this subsection (as cal-
culated under section 8003(a)(2)), includ-
ing the number of weighted student units
of such children attending a school facility
described in section 8008(a) if the Sec-
retary does not provide assistance for the
school facility under that section for the
prior fiscal year; multiplied by
‘‘(ii) the total number of such weight-
ed student units for the agency.
‘‘(B) LOCAL EDUCATIONAL AGENCIES IM-
PACTED BY CHILDREN WHO RESIDE ON INDIAN
LANDS.—The amount of a payment to each
local educational agency described in this sub-
section that is impacted by children who reside
on Indian lands for a fiscal year shall be equal
to—
‘‘(i)(I) 35 percent of the amount ap-
propriated under section 8014(e) for such
fiscal year; divided by
‘‘(II) the total number of weighted
student units of children described in sec-
tion 8003(a)(1)(C) for all local educational
agencies described in this subsection (as
calculated under section 8003(a)(2)); mul-
tiplied by
‘‘(ii) the total number of such weight-
ed student units for the agency.
‘‘(4) USE
OF
FUNDS.—Any local educational
agency that receives funds under this subsection
shall use such funds for construction, as defined in
section 8013(3).
‘‘(b) SCHOOL FACILITY MODERNIZATION GRANTS
AUTHORIZED.—
‘‘(1) IN GENERAL.—From 30 percent of the
amount appropriated for each fiscal year under sec-
tion 8014(e), the Secretary shall award grants in ac-
cordance with this subsection to eligible local edu-
cational agencies to enable the local educational
agencies to carry out modernization of school facili-
ties.
‘‘(2) ELIGIBILITY
REQUIREMENTS.—A local
educational agency is eligible to receive funds under
this subsection only if—
‘‘(A) such agency (or in the case of a local
educational agency that does not have the au-
thority to tax or issue bonds, such agency’s fis-
cal agent) has no capacity to issue bonds or is
at such agency’s limit in bonded indebtedness
for the purposes of generating funds for capital
expenditures; and
‘‘(B)(i) such agency received assistance
under section 8002(a) for the fiscal year and
has an assessed value of taxable property per
student in the school district that is less than
the average of the assessed value of taxable
property per student in the State in which the
local educational agency is located; or
‘‘(ii) such agency received assistance under
subsection (a) for the fiscal year and has a
school facility emergency, as determined by the
Secretary, that poses a health or safety hazard
to the students and school personnel assigned
to the school facility.
‘‘(3) AWARD
CRITERIA.—In awarding grants
under this subsection the Secretary shall consider 1
or more of the following factors:
‘‘(A) The extent to which the local edu-
cational agency lacks the fiscal capacity to un-
dertake the modernization project without Fed-
eral assistance.
‘‘(B) The extent to which property in the
local educational agency is nontaxable due to
the presence of the Federal Government.
‘‘(C) The extent to which the local edu-
cational agency serves high numbers or percent-
ages of children described in subparagraphs
(A), (B), (C), and (D) of section 8003(a)(1).
‘‘(D) The need for modernization to
meet—
‘‘(i) the threat that the condition of
the school facility poses to the safety and
well-being of students;
‘‘(ii) overcrowding conditions as evi-
denced by the use of trailers and portable
buildings and the potential for future over-
crowding because of increased enrollment;
and
‘‘(iii) facility needs resulting from ac-
tions of the Federal Government.
‘‘(E) The age of the school facility to be
modernized.
‘‘(4) OTHER AWARD PROVISIONS.—
‘‘(A) 
FEDERAL
SHARE.—The 
Federal
funds provided under this subsection to a local
educational agency described in subparagraph
(C) shall not exceed 50 percent of the total cost
of the project to be assisted under this sub-
section. A local educational agency may use in-
kind contributions to meet the matching re-
quirement of the preceding sentence.
‘‘(B) MAXIMUM
GRANT.—A local edu-
cational agency described in subparagraph (C)
may not receive a grant under this subsection
in an amount that exceeds $3,000,000 during
any 5-year period.
‘‘(C) LOCAL
EDUCATIONAL
AGENCY
DE-
SCRIBED.—A local educational agency described
in this subparagraph is a local educational
agency that has the authority to issue bonds
but is at such agency’s limit in bonded indebt-
edness for the purposes of generating funds for
capital expenditures.
‘‘(5) APPLICATIONS.—A local educational agen-
cy that desires to receive a grant under this sub-
section shall submit an application to the Secretary
at such time, in such manner, and accompanied by
such information as the Secretary may require. Each
application shall contain—
‘‘(A) documentation certifying such agen-
cy’s lack of bonding capacity;
‘‘(B) a listing of the school facilities to be
modernized, including the number and percent-
age of children determined under section
8003(a)(1) in average daily attendance in each
school facility;
‘‘(C) a description of the ownership of the
property on which the current school facility is
located or on which the planned school facility
will be located;
‘‘(D) a description of any school facility
deficiency that poses a health or safety hazard
to the occupants of the school facility and a de-
scription of how that deficiency will be repaired;
‘‘(E) a description of the modernization to
be supported with funds provided under this
subsection;
‘‘(F) a cost estimate of the proposed mod-
ernization; and
‘‘(G) such other information and assur-
ances as the Secretary may reasonably require.
‘‘(6) EMERGENCY GRANTS.—
‘‘(A) APPLICATIONS.—Each local edu-
cational 
agency 
described 
in 
paragraph
(2)(B)(ii) that desires a grant under this sub-
section shall include in the application sub-
mitted under paragraph (5) a signed statement
from an appropriate local official certifying that
a health or safety deficiency exists.
‘‘(B) PRIORITY.—If the Secretary receives
more than 1 application from local educational
agencies described in paragraph (2)(B)(ii) for
grants under this subsection for any fiscal year,
the Secretary shall give priority to local edu-
cational agencies based on the severity of the
emergency, as determined by the Secretary, and
when the application was received.
‘‘(C) CONSIDERATION
FOR
FOLLOWING
YEAR.—A local educational agency described in
paragraph (2)(B)(ii) that applies for a grant
under this subsection for any fiscal year and
does not receive the grant shall have the appli-
cation for the grant considered for the following
fiscal year, subject to the priority described in
subparagraph (B).’’.
(b) DEFINITION.—Section 8013 of the Elementary
and Secondary Education Act of 1965 (20 U.S.C. 7713)
is amended by adding at the end the following:
‘‘(13) MODERNIZATION.—The term ‘moderniza-
tion’ means repair, renovation, alteration, or con-
struction, including—
‘‘(A) the concurrent installation of equip-
ment; and
‘‘(B) the complete or partial replacement
of an existing school facility, but only if such
replacement is less expensive and more cost-ef-
fective than repair, renovation, or alteration of
the school facility.’’.
SEC. 11. FEDERAL ADMINISTRATION.
Section 8010(c) of the Elementary and Secondary
Education Act of 1965 (20 U.S.C. 7710(c)) is amended—
(1) by striking paragraph (1);
(2) by redesignating paragraphs (2) and (3) as
paragraphs (1) and (2), respectively; and
(3) in paragraph (2)(D) (as redesignated), by
striking ‘‘section 5(d)(2) of the Act of September
30, 1950 (Public Law 874, 81st Congress) (as such
section was in effect on the day preceding the date
of enactment of the Improving America’s Schools
Act of 1994) or’’.
SEC. 12. ADMINISTRATIVE HEARINGS AND JUDICIAL RE-
VIEW.
(a) ADMINISTRATIVE HEARINGS.—
(1) IN GENERAL.—Section 8011(a) of the Ele-
mentary and Secondary Education Act of 1965 (20
U.S.C. 7711) is amended by adding at the end be-
fore the period the following: ‘‘if the local edu-
cational agency or State, as the case may be, sub-
mits to the Secretary a request for the hearing not
later than 60 days after the date of the action of the
Secretary under this title’’.
(2) EFFECTIVE DATE.—The amendment made
by paragraph (1) shall apply with respect to an ac-
tion of the Secretary under title VIII of the Elemen-
tary and Secondary Education Act of 1965 (20
U.S.C. 7701 et seq.) initiated on or after the date
of the enactment of this Act.
(b) JUDICIAL REVIEW OF SECRETARIAL ACTION.—
Section 8011(b)(1) of the Elementary and Secondary
Education Act of 1965 (20 U.S.C. 7711(b)(1)) is amended
by striking ‘‘60 days’’ and inserting ‘‘30 working days (as
determined by the local educational agency or State)’’.
SEC. 13. DEFINITIONS.
Section 8013(5)(A)(iii) of the Elementary and Sec-
ondary Education Act of 1965 (20 U.S.C. 7713(5)(A)(iii))
is amended—
(1) in subclause (I), by striking ‘‘or’’ at the
end; and
(2) by adding at the end the following:
‘‘(III) affordable housing assisted
under the Native American Housing As-
sistance and Self-Determination Act of
1996; or’’.
SEC. 14. AUTHORIZATION OF APPROPRIATIONS.
(a) PAYMENTS FOR FEDERAL ACQUISITION OF REAL
PROPERTY.—Section 8014(a) of the Elementary and Sec-
ondary Education Act of 1965 (20 U.S.C. 7714(a)) is
amended by striking ‘‘$16,750,000 for fiscal year 1995
and such sums as may be necessary for each of the four
succeeding fiscal years’’ and inserting ‘‘such sums as may
be necessary for fiscal year 2000 and each of the four suc-
ceeding fiscal years’’.
(b) BASIC PAYMENTS.—Section 8014(b) of the Ele-
mentary and Secondary Education Act of 1965 (20 U.S.C.
7714(b)) is amended—
(1) by striking ‘‘subsections (b) and (f) of sec-
tion 8003’’ and inserting ‘‘section 8003(b)’’; and