SEC. 102. REPEAL OF ELEMENTARY AND SECONDARY EDU-
CATION ACT AND LIMITATION ON SECRE-
TARIAL AUTHORITY. 
(a) REPEAL.—The Elementary and Secondary Edu-
cation Act of 1965 (20 U.S.C. 6301 et seq.) is repealed. 
(b) LIMITATION ON SECRETARIAL AUTHORITY.—The 
authority of the Secretary under this title is limited to 
evaluating State applications under section 104 and mak-
ing payments to States under section 103. The Secretary 
shall not impose any further requirements on States with 
respect to elementary and secondary education beyond the 
requirements of this title. 
SEC. 103. BLOCK GRANTS TO STATES. 
(a) GRANTS
TO STATES.—From amounts appro-
priated to carry out this title for a fiscal year, the Sec-
retary shall award grants (from allotments made under 
subsection (b)) to qualified States to enable such States 
to carry out an education voucher program under section 
105. 
(b) ALLOTMENT.—From amounts described in sub-
section (a) for a fiscal year, the Secretary shall allot to 
each qualified State for that fiscal year an amount that 
bears the same ratio to those amounts as the number of 
eligible children in the qualified State (as determined by 
the Secretary on the basis of the most recent satisfactory 
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data) bears to the number of all eligible children in all 
States in such school year. 
(c) REALLOTMENT.—If a State does not receive 
funds under subsection (b) for a fiscal year, the Secretary 
shall allot the remainder of such funds to each qualified 
State in an amount that bears the same ratio to such re-
mainder for such year as the amount received under sub-
section (b) by such qualified State bears to the amount 
received under such subsection for such year by all quali-
fied States. 
(d) DEFICIT REDUCTION.—Any amounts remaining 
after allotments are made under subsection (c) for a fiscal 
year shall not be available for any purpose other than def-
icit reduction. 
SEC. 104. APPLICATION. 
(a) APPLICATION.—To be eligible to receive a grant 
under this title, a State shall submit an application to the 
Secretary that includes assurances that the State will— 
(1) comply with the requirements of section 
105; and 
(2) make it lawful for parents of an eligible 
child to elect— 
(A) to enroll their child in any public or 
private elementary or secondary school in the 
State; or 
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(B) to home-school their child. 
(b) APPROVAL.—Not later than 30 days after receiv-
ing an application from a State that meets the require-
ments of subsection (a), the Secretary shall approve such 
application. 
SEC. 105. EDUCATION VOUCHER PROGRAM REQUIRE-
MENTS. 
(a) EDUCATION VOUCHER PROGRAM.— 
(1) IN GENERAL.—The State shall distribute 
funds received under this title among the local edu-
cational agencies in the State based on the number 
of eligible children enrolled in the public schools op-
erated by each local educational agency and the 
number of eligible children within each local edu-
cational agency’s geographical area whose parents 
elect to send their child to a private school or to 
home-school their child. 
(2) SENSE OF CONGRESS.—It is the sense of 
Congress that States should distribute non-Federal 
funds for elementary and secondary education in a 
manner that promotes competition and choices in 
education. 
(b) IDENTIFICATION OF ELIGIBLE CHILDREN; ALLO-
CATION AND DISTRIBUTION OF FUNDS.— 
(1) IDENTIFICATION OF ELIGIBLE CHILDREN.— 
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(A) LEA IDENTIFICATION.—On an annual 
basis, on a date to be determined by the Sec-
retary, each local educational agency shall in-
form the State educational agency of— 
(i) the number of eligible children en-
rolled in public schools served by the local 
educational agency; and 
(ii) the number of eligible children 
within each local educational agency’s geo-
graphical area whose parents elect— 
(I) to send their child to a pri-
vate school; or 
(II) to home-school their child. 
(B) STATE IDENTIFICATION.—On an an-
nual basis, on a date to be determined by the 
Secretary, each State educational agency shall 
inform the Secretary of the total number of 
children identified by all local educational agen-
cies in the State under subparagraph (A). 
(2) AMOUNT OF PAYMENT.— 
(A) IN
GENERAL.—Subject to subpara-
graph (B), the amount of payment for each eli-
gible child in a State shall be equal to— 
(i) the total amount allotted to the 
State under this title; divided by 
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(ii) the total number of eligible chil-
dren in the State identified under para-
graph (1). 
(B) LIMITATIONS.— 
(i) In the case of a payment made to 
the parent of an eligible child who elects to 
attend a private school, the amount of the 
payment described in subparagraph (A) for 
each eligible child shall not exceed the cost 
for tuition, fees, and transportation for the 
eligible child to attend the private school. 
(ii) In the case of a payment made to 
a parent of an eligible child who elects to 
home-school such child, the amount of the 
payment described in subparagraph (A) for 
each eligible child shall not exceed the cost 
of home-schooling the child. 
(3) ALLOCATION
TO
LOCAL
EDUCATIONAL 
AGENCIES.—Based on the identification of eligible 
children in paragraph (1), the State educational 
agency shall provide to a local educational agency an 
amount equal to the product of— 
(A) the amount available for each eligible 
child in the State, as determined in paragraph 
(2); multiplied by 
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(B) the number of eligible children identi-
fied by the local educational agency under para-
graph (1)(A). 
(4) 
DISTRIBUTION
TO
SCHOOLS.—From 
amounts allocated under paragraph (3), each local 
educational agency that receives funds under such 
paragraph shall distribute a portion of such funds to 
the public schools served by the local educational 
agency, which amount shall— 
(A) be based on the number of eligible chil-
dren enrolled in such schools and included in 
the count submitted under paragraph (1)(A); 
and 
(B) be distributed in a manner that would, 
in the absence of such Federal funds, supple-
ment the funds made available from non-Fed-
eral resources for the education of eligible chil-
dren, and not to supplant such funds. 
(5) DISTRIBUTION TO PARENTS.— 
(A) IN GENERAL.—From the amounts allo-
cated under paragraph (3), each local edu-
cational agency that receives funds under such 
paragraph shall distribute a portion of such 
funds, in an amount equal to the amount de-
scribed in paragraph (2), to the parents of each 
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