I
106TH CONGRESS
2D SESSION
H. R. 4766
To amend the Elementary and Secondary Education Act of 1965 to authorize
the appropriation of funds to assist States and local educational agencies
with the expenses of Federal education statutory requirements and prior-
ities relating to infrastructure, technology, and equipment.
IN THE HOUSE OF REPRESENTATIVES
JUNE 27, 2000
Mr. GOODLING (for himself, Mr. ISAKSON, Mr. CASTLE, Mr. MCKEON, Mr.
PETRI, Mr. UPTON, and Mr. FLETCHER) introduced the following bill;
which was referred to the Committee on Education and the Workforce
A BILL
To amend the Elementary and Secondary Education Act
of 1965 to authorize the appropriation of funds to assist
States and local educational agencies with the expenses
of Federal education statutory requirements and prior-
ities relating to infrastructure, technology, and equip-
ment.
Be it enacted by the Senate and House of Representa-
tives of the United States of America in Congress assembled,
SECTION 1. SCHOOL INFRASTRUCTURE AND EQUIPMENT
IMPROVEMENT.
Title XII of the Elementary and Secondary Edu-
cation Act of 1965 (20 U.S.C. 8501 et seq.) is amended
to read as follows:
‘‘TITLE XII—CLASSROOM
MODERNIZATION
‘‘SEC. 12001. SHORT TITLE.
‘‘This title may be cited as the ‘Classroom Moderniza-
tion Act of 2000’.
‘‘SEC. 12002. FINDINGS.
‘‘The Congress finds as follows:
‘‘(1) All children deserve a high-quality edu-
cation in safe, suitable classrooms with the necessary
equipment. Research shows that academic perform-
ance suffers if students are in school buildings that
are below par. Safety code violations, outdated
science and vocational education laboratories and
equipment, 
environmental 
hazards, 
structural
threats to personal safety, and facilities that are ob-
stacle courses for disabled students all can adversely
affect learning.
‘‘(2) The primary responsibility for school con-
struction is and should remain at the State and local
level. However, the Federal Government can provide
limited assistance without usurping State and local
decision making.
‘‘(3) The limited role of the Federal Govern-
ment should focus on assistance to States and com-
munities in complying with Federal statutory and
regulatory requirements that reduce the ability of
State and local governments to fund the construc-
tion and renovation of school facilities.
‘‘(4) Charter schools continue to grow in num-
ber. However, while traditional public schools have
access to special State and local funding streams for
capital improvements and school construction, char-
ter schools are often left to face the difficulty of
finding their own facilities and paying for the cost
of such facilities out of their regular operating
funds. By assisting charter schools in overcoming
persistent infrastructure obstacles, the Federal Gov-
ernment can assist the increasing numbers of stu-
dents attending and waiting to attend charter
schools in order to improve their academic achieve-
ment.
‘‘(5) Often children living on Indian lands at-
tend schools that are in disrepair, unsafe, unhealthy,
overcrowded, or in need of extensive renovation. De-
spite the importance of providing a high-quality edu-
cation to these children, schools on or near Indian
lands often face an inability to access funding
sources available to schools in other geographic
areas. These schools rely heavily on Federal funds
made available under title VIII of the Elementary
and Secondary Education Act of 1965 to make up
for the lack of other revenues, but often these funds,
especially those earmarked for construction pur-
poses, do not come close to meeting the needs of the
schools. Federal construction and renovation assist-
ance to schools located on or near Indian lands will
help fulfill the Federal responsibility to assist with
the provision of educational services to children
whose education is affected by the Federal trust ob-
ligation to Indians and Indian tribes.
‘‘SEC. 12003. PURPOSE.
‘‘The purpose of this title is to assist public elemen-
tary and secondary schools, including charter schools and
schools on or near Indian lands, with the expenses of Fed-
eral education statutory requirements and priorities relat-
ing to infrastructure, technology, and equipment needs.
‘‘SEC. 12004. RESERVATION; FORMULA GRANTS TO STATES;
STATE ALLOTMENTS.
‘‘(a) RESERVATION.—From the amount made avail-
able under section 12015 to carry out this title for each
fiscal year, the Secretary shall reserve 3.5 percent of such
amount to carry out section 12009.
‘‘(b) FORMULA GRANTS TO STATES.—In the case of
each State that in accordance with section 12006 submits
to the Secretary an application for a fiscal year, the Sec-
retary shall make a grant for the year to the State. The
grant shall consist of the allotment determined for the
State under subsection (c).
‘‘(c) DETERMINATION OF AMOUNT OF STATE ALLOT-
MENTS.—
‘‘(1) IN GENERAL.—Subject to paragraph (2),
the Secretary shall, for each fiscal year, allocate
among the States the amount made available under
section 12015 to carry out this title and not reserved
under subsection (a) as follows:
‘‘(A) 50 percent of such amount shall be
allotted among States in proportion to the num-
ber of children 5 to 17 years of age, inclusive,
who reside within the State from families with
incomes below the poverty line (as defined by
the Office of Management and Budget and re-
vised annually in accordance with section
673(2) of the Community Services Block Grant
Act (42 U.S.C. 9902(2)) applicable to a family
of the size involved for the most recent fiscal
year for which satisfactory data are available,
compared to the number of such individuals
who reside in all such States for that fiscal
year.
‘‘(B) 50 percent of such amount shall be
allotted among States in proportion to the
amount such State received under part A of
title I for the preceding fiscal year.
‘‘(2) MINIMUM.—For any fiscal year, no State
shall be allotted under this subsection an amount
that is less than one-quarter of 1 percent of the total
amount allotted to all the States under this sub-
section.
‘‘(3) REALLOTMENT
OF
UNUSED
FUNDS.—If
any State does not apply for an allotment under this
subsection for any fiscal year, the Secretary shall
reallot the amount of the State’s allotment to the re-
maining States in accordance with this subsection.
‘‘SEC. 12005. WITHIN-STATE DISTRIBUTION.
‘‘(a) IN GENERAL.—
‘‘(1) DISTRIBUTION.—Except as provided in
paragraph (2), of the funds that a State receives
under section 12004 for a fiscal year, the State shall
distribute 100 percent of such funds to local edu-
cational agencies in the State that, in accordance
‘‘(3) 
REFUNDING
OR
REFINANCING
OUT-
STANDING OBLIGATIONS.—Distributions under sub-
section (a) may also take the form of aid to refund
or refinance outstanding obligations, if such aid is
consistent with State law on school infrastructure fi-
nancing, is in the public interest, and alleviates the
financial hardship on the recipient.
‘‘(c) USE OF OBJECTIVE DATA.—In determining the
distribution of such funds, the State may consider the fol-
lowing:
‘‘(1) The percentage of children 5 to 17 years
of age, inclusive, in a local educational agency who
are counted for grants under section 1124(c).
‘‘(2) The fiscal capacity of an applicant to carry
out the activities specified in its application without
Federal financial assistance, including the ability to
raise funds through the use of a local educational
agency’s bonding capacity and otherwise.
‘‘(3) The demonstrated need for such activities,
based on the condition of the school facility or facili-
ties described in the application.
‘‘(4) The fiscal capacity of the applicant to
maintain in good condition any facility whose ren-
ovation is funded under this title and any equipment
purchased or repaired with funds provided under
this title.
‘‘(5) In the case of an applicant who proposes
to fund a project for a charter school or schools, the
degree of access of such school or schools to funding
for the infrastructure project through the financing
methods available to other public schools or local
educational agencies in the State.
‘‘(6) The extent to which activities specified in
the application represent innovative or cost-effective
approaches to meeting public school infrastructure
needs, such as—
‘‘(A) the employment of innovative edu-
cational approaches;
‘‘(B) the use of partnerships with employ-
ers or other organizations;
‘‘(C) the collocation of schools with other
community services; and
‘‘(D) the construction or renovation of
school facilities as part of a broader effort to
revitalize disadvantaged neighborhoods and
communities.
‘‘(d) FEDERAL SHARE.—
‘‘(1) FEDERAL SHARE FOR MEETING FEDERAL
REQUIREMENTS; CHARTER SCHOOLS.—The Federal
share of the total cost of any of the following
projects may be 100 percent:
‘‘(A) A project described in paragraph (1),
(2), (3), or (8) of section 12007 (and section
12007(9), to the extent that it relates to ancil-
lary renovation necessary to complete such a
project).
‘‘(B) A project described in subparagraph
(A), (B), (C), or (H) of section 12009(c)(1)
(and section 12009(c)(1)(I), to the extent that
it relates to ancillary renovation necessary to
complete such a project).
‘‘(2) FEDERAL
SHARE
FOR
OTHER
SITUA-
TIONS.—The Federal share of the total cost of any
of the following projects may not exceed 50 percent:
‘‘(A) A project described in paragraph (4),
(5), (6), or (7) of section 12007 (and section
12007(9), to the extent that it relates to ancil-
lary renovation necessary to complete such a
project).
‘‘(B) A project described in subparagraph
(D), (E), (F), or (G) of section 12009(c)(1)
(and section 12009(c)(1)(I), to the extent that
it relates to ancillary renovation necessary to
complete such a project).
‘‘(3) NON-FEDERAL SHARE.—The non-Federal
share of the cost of a project described in paragraph
(2) may be provided in cash or in kind, fairly evalu-
ated and may be obtained from any source, includ-
ing funds from State or local governments, nonprofit
organizations, private sector businesses, and private
individuals.
‘‘(4) APPLICATION OF FEDERAL SHARE LIMITA-
TIONS TO LOANS.—
‘‘(A) CONSTRUCTION.—Nothing in this
subsection shall be construed as permitting any
person or agency to fail to pay principal or in-
terest on any loan made pursuant to this title.
‘‘(B) STATE
LOAN
GUARANTEE
PRO-
GRAM.—The limitation in paragraph (2) shall
not be construed as applying to the use of
amounts in a reserve fund established under
section 12010(b) to make payments to financial
institutions 
in 
accordance 
with 
section
12010(d).
‘‘SEC. 12006. APPLICATIONS.
‘‘(a) STATE APPLICATION.—
‘‘(1) IN GENERAL.—In order to receive a grant
under this title for a fiscal year, a State shall submit
to the Secretary an application for such year. Such
application shall specify and describe the method by
which the State will distribute funds to local edu-
cational agencies in accordance with section 12005,
including a description of the loan guarantee criteria
established by the State for any State loan guar-
antee program operating with funds received under
this title.
‘‘(2) ASSURANCES.—Such State applications
shall contain assurances that—
‘‘(A) funds will be provided to a local edu-
cational agency only if the State finds that
projects undertaken with funds received under
this title will be undertaken in an economical
manner; and
‘‘(B) the State will comply with the re-
quirements in section 12005(d).
‘‘(3) GENERAL APPROVAL.—A State application
submitted to the Secretary under this title shall be
deemed to be approved by the Secretary unless the
Secretary makes a written determination, prior to
the expiration of the 90-day period beginning on the
date that the Secretary receives the application, that
the application is in violation of this title.
‘‘(4) DISAPPROVAL.—The Secretary shall not
finally disapprove a State application, except after
giving the State notice and opportunity for a hear-
ing.
‘‘(b) LOCAL APPLICATIONS.—
‘‘(1) IN
GENERAL.—Each local educational
agency desiring to receive assistance under this title
for a fiscal year shall submit an application to the
State for such year.
‘‘(2) CONTENTS.—Each application described in
paragraph (1) shall contain—
‘‘(A) an assurance that the application was
developed in consultation with parents, stu-
dents, classroom teachers, principals, school ad-
ministrators, and other interested community
members;
‘‘(B) an assurance that the project will at-
tract the maximum number of qualified bidders,
including small, minority, and women-owned
businesses, through full and open competition;
‘‘(C) a description of the renovation, tech-
nology, or equipment acquisition project, to be
supported with funds provided under this title
and how it will significantly impact the condi-
tion of a school facility or facilities;
‘‘(D) a cost estimate for the proposed
project;
‘‘(E) an identification of other resources,
such as unused bonding capacity, that are avail-
able to carry out the project for which funds
are requested under this title;
‘‘(F) an assurance that the local edu-
cational agency shall comply with the require-
ments in section 12005(d) and the limitations
in section 12008; and
‘‘(G) such other information and assur-
ances as the State may reasonably require.
‘‘SEC. 12007. AUTHORIZED ACTIVITIES.
‘‘(a) IN GENERAL.—Each local educational agency
receiving funds under this title shall use the funds for one
or more of the following:
‘‘(1) Renovation, construction, acquisition, and
start-up needs related to the building infrastructure
of a charter school.
‘‘(2) School facilities modifications necessary to
comply with the Americans with Disabilities Act of
1990.
‘‘(3) To purchase, lease, or otherwise provide
for the acquisition, of assistive technology devices for
children with disabilities.
‘‘(4) School facility wiring and associated infra-
structure improvements that enhance students’ aca-
demic experiences and—
‘‘(A) are necessary for use of the Internet
or related emerging technologies; or
‘‘(B) that better equip schools for modern
educational technologies.
‘‘(5) Science laboratories and equipment, and
vocational education laboratories and equipment,
that are of significant cost or are related to emerg-
ing technologies.
‘‘(6) School facility renovations undertaken for
compliance with fire and safety codes.
‘‘(7) School facilities renovations to prevent
traumatic crisis events on school property that would
disrupt the learning environment, such as school
shootings or other major acts of violence, if the ren-
ovations are undertaken in direct response to, or in
anticipation of, such events.
‘‘(8) Asbestos abatement or removal from
school facilities.
‘‘(9) Any ancillary renovation necessary to com-
plete any of the projects described in paragraphs (1)
through (8).
‘‘(b) CLARIFICATION WITH RESPECT TO CHARTER
SCHOOLS.—In a case in which a local educational agency
is not a charter school, the agency may use funds received
under this title to carry out one or more of the authorized
projects described in subsection (a) for the benefit of a
charter school.
‘‘SEC. 12008. LIMITATIONS.
‘‘No funds received under this title may be used for—
‘‘(1) payment of maintenance costs in connec-
tion with any projects constructed in whole or in
part with Federal funds provided under this title;
‘‘(2) the construction of new school facilities,
except facilities for charter schools and facilities for
an impacted local educational agency under section
12009; or
‘‘(3) stadiums or other facilities primarily used
for athletic contests or exhibitions or other events
for which admission is charged to the general public.
‘‘SEC. 12009. GRANTS TO ACCOUNT FOR CHILDREN RESID-
ING ON INDIAN LANDS.
‘‘(a) GRANTS FOR LOCAL EDUCATIONAL AGENCIES
IMPACTED
BY CHILDREN WHO RESIDE
ON INDIAN
LANDS.—Of the funds reserved under section 12004(a),
the Secretary shall distribute 100 percent of such funds
as grants to impacted local educational agencies.
‘‘(b) DETERMINATION OF GRANT AMOUNT.—
‘‘(1) DETERMINATION OF WEIGHTED STUDENT
UNITS.—For purposes of computing the grant
amounts under this section for any fiscal year, the
Secretary shall determine the results obtained by the
computation made under section 8003(a)(2)(B) for
such year—
‘‘(A) for each impacted local educational
agency whose application under subsection (d)
is approved by the Secretary; and
‘‘(B) for all such agencies together.
‘‘(2) COMPUTATION OF PAYMENT.—For any fis-
cal year, the Secretary shall calculate the amount of
a grant to an impacted local educational agency
whose application under subsection (d) is approved
for the year by—
‘‘(A) dividing the amount reserved under
section 12004(a) for such fiscal year by the re-
sults of the computation described in paragraph
(1)(B); and
‘‘(B) multiplying the number derived under
subparagraph (A) by the results of the com-
putation described in paragraph (1)(A) for such
agency.
‘‘(c) USE OF FUNDS.—
‘‘(1) IN
GENERAL.—An impacted local edu-
cational agency that receives funds under this sec-
tion shall use such funds for one or more of the fol-
lowing:
‘‘(A) Renovation and construction needs
related to building infrastructure.
‘‘(B) Facilities modifications necessary to
comply with the Americans with Disabilities Act
of 1990.
‘‘(C) Purchase of assistive technology de-
vices for students with disabilities.
‘‘(D) School facility wiring and associated
infrastructure improvements that enhance stu-
dents’ academic experiences and—
‘‘(i) are necessary for use of the Inter-
net or related emerging technologies; or
‘‘(ii) that better equip schools for
modern educational technologies.
‘‘(E) Science laboratories and equipment,
and vocational education laboratories and
equipment, that are of significant cost or are
related to emerging technologies.
‘‘(F) School facility renovations under-
taken for compliance with fire and safety codes.
‘‘(G) School facilities renovations to pre-
vent traumatic crisis events on school property
that would disrupt the learning environment,
such as school shootings or other major acts of
violence, if the renovations are undertaken in
direct response to, or in anticipation of, such
events.
‘‘(H) Asbestos abatement or removal.
‘‘(I) Any ancillary renovation necessary to
complete any of the projects described in sub-
paragraphs (A) through (H).
‘‘(2) CLARIFICATION WITH RESPECT TO CHAR-
TER
SCHOOLS.—In a case in which an impacted
local educational agency is not a charter school, the
agency may use funds received under this title to
carry out one or more of the authorized projects de-
scribed in paragraph (1) for the benefit of a charter
school.
‘‘(d) LOCAL EDUCATIONAL AGENCY APPLICATION.—
‘‘(1) IN GENERAL.—Each impacted local edu-
cational agency desiring to receive Federal financial
assistance under this section for a fiscal year shall
submit an application to the Secretary for such year.
‘‘(2) CONTENTS.—Each application described in
paragraph (1) shall contain—
‘‘(A) an assurance that the application was
developed in consultation with parents, stu-
dents, classroom teachers, principals, school ad-
ministrators, and other interested community
members;
‘‘(B) an assurance that the project will at-
tract the maximum number of qualified bidders,
including small, minority, and women-owned
businesses, through full and open competition.
‘‘(C) a description of the renovation, tech-
nology, or equipment acquisition project to be
supported with funds provided under this sec-
tion and how it will significantly impact the
condition of a school facility;
‘‘(D) a cost estimate for the proposed
project;
‘‘(E) an identification of other resources,
such as unused bonding capacity, that are avail-
able to carry out the project for which funds
are requested under this section;
‘‘(F) an assurance that the impacted local
educational agency shall comply with the re-
quirements in section 12005(d) and the limita-
tions in section 12008; and
‘‘(G) such other information and assur-
ances as the Secretary may reasonably require.
‘‘(e) DEFINITION.—For purposes of this section, the
term ‘impacted local educational agency’ means, for any
fiscal year—
‘‘(1) a local educational agency that receives a
basic support payment under section 8003(b) for the
fiscal year; and
‘‘(2) with respect to which the number of chil-
dren 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 such preceding
year.
‘‘SEC. 12010. LOAN GUARANTEE PROGRAM.
‘‘(a) IN GENERAL.—From the amount a State is allo-
cated under section 12004 for any fiscal year, the State
may use, consistent with subsections (a)(2) and (b)(2) of
section 12005, some or all of such amount for carrying
out a State loan guarantee program that may include the
provision of loan guarantees for charter schools.
‘‘(b) ESTABLISHMENT OF RESERVE FUND FOR LOAN
GUARANTEES.—A State desiring to establish a loan guar-
antee program under this section shall establish a reserve
fund from amounts received from such State’s allotment
under section 12004 for the purpose of making commit-
ments to guarantee the payment of principal and interest
on loans made by financial institutions to local educational
agencies.
‘‘(c) MINIMUM CRITERIA FOR LOAN GUARANTEES.—
Such a State, in conjunction with appropriate financial in-
stitutions, shall establish and publish criteria for providing
State loan guarantees to local educational agencies. Such
criteria shall include, at a minimum, the requirement that
a State loan guarantee may be issued under the program
only if, at the time of such issuance, the beneficiary to
whom the guarantee is provided agrees to pay an insur-
ance premium on the loan to the State’s reserve fund es-
tablished under subsection (b).
‘‘(d) PAYMENT BY STATE TO FINANCIAL INSTITU-
TIONS IN CASES OF DEFAULT.—In accordance with cri-
teria developed by the State, the State shall make pay-
ments from the reserve fund established under subsection
(b) to financial institutions that have provided loans to
local educational agencies that have defaulted on such
loans for the purpose of reimbursing such institutions, in
accordance with State-developed criteria, for the amount
of principal and interest remaining unpaid to the institu-
tions by reason of such default.
‘‘SEC. 12011. NO FULL FAITH AND CREDIT FOR LOANS.
‘‘A loan provided by a State or a financial institution
under this title shall not be an obligation of, or guaranteed
in any respect by, the United States. The full faith and
credit of the United States is not pledged to the payment
of funds which may be required to be paid under any loan
made pursuant to any provision of this title.
‘‘SEC. 12012. SUPPLEMENT NOT SUPPLANT.
‘‘A local educational agency shall use funds received
under this title only to supplement the amount of funds
that would, in the absence of such Federal funds, be made
available from non-Federal sources for the projects de-
scribed in sections 12007 and 12009, and not to supplant
such funds.
‘‘SEC. 12013. REPORT ON OPERATIONS AND ACTIVITIES.
‘‘A State shall, as soon as practicable after the end
of each fiscal year, transmit to the Committee on Edu-
cation and the Workforce of the House of Representatives
and the Committee on Health, Education, Labor, and
Pensions of the United States Senate a report of the
State’s operations and activities funded under this title.
‘‘SEC. 12014. DEFINITIONS.
‘‘For the purpose of this title:
‘‘(1) ASSISTIVE
TECHNOLOGY
DEVICE.—The
term ‘assistive technology device’ has the meaning
given such term in section 602(1) of the Individuals
with Disabilities Education Act (20 U.S.C. 1401(1)).
‘‘(2) AUTHORIZED PUBLIC CHARTERING AGEN-
CY.—The term ‘authorized public chartering agency’
means a State educational agency, local educational
agency, or other public entity that has the authority
pursuant to State law and is approved by the Sec-
retary to authorize or approve a charter school.
‘‘(3) CHARTER
SCHOOL.—The term ‘charter
school’ means a public school that—
‘‘(A) in accordance with a specific State
statute authorizing the granting of charters to
schools, is exempted from significant State or
local rules that inhibit the flexible operation
and management of public schools, but not
from any rules relating to the other require-
ments of this paragraph;
‘‘(B) is created by a developer as a public
school, or is adapted by a developer from an ex-
isting public school, and is operated under pub-
lic supervision and direction;
‘‘(C) operates in pursuit of a specific set of
educational 
objectives 
determined 
by 
the
school’s developer and agreed to by the author-
ized public chartering agency;
‘‘(D) provides a program of elementary or
secondary education, or both;
‘‘(E) is nonsectarian in its programs, ad-
missions policies, employment practices, and all
other operations, and is not affiliated with a
sectarian school or religious institution;
‘‘(F) does not charge tuition;
‘‘(G) complies with the Age Discrimination
Act of 1975, title VI of the Civil Rights Act of
1964, title IX of the Education Amendments of
1972, section 504 of the Rehabilitation Act of
1973, and part B of the Individuals with Dis-
abilities Education Act;
‘‘(H) is a school to which parents choose to
send their children, and that admits students
on the basis of a lottery, or in another non-
discriminatory manner consistent with State
law, if more students apply for admission than
can be accommodated;
‘‘(I) agrees to comply with the same Fed-
eral and State audit requirements as do other
elementary and secondary schools in the State,
unless such requirements are specifically waived
for the purpose of this program;
‘‘(J) meets all applicable Federal, State,
and local health and safety requirements;
‘‘(K) operates in accordance with State
law; and
‘‘(L) has a written performance contract
with the authorized public chartering agency in
the State that includes a description of how
student performance will be measured in char-
ter schools pursuant to State assessments that
are required of other schools and pursuant to
any other assessments mutually agreeable to
the authorized public chartering agency and the
charter school.
‘‘(4) DEVELOPER.—The term ‘developer’ means
an individual or group of individuals (including a
public or private nonprofit organization), which may
include teachers, administrators and other school
staff, parents, or other members of the local commu-
nity in which a charter school project will be carried
out.
‘‘(5) LOCAL EDUCATIONAL AGENCY.—The term
‘local educational agency’ includes—
‘‘(A) a local educational agency (as defined
in section 14101(18)); and
‘‘(B) a charter school constituted as a local
educational agency under State law.
‘‘(6) 
RENOVATION.—The 
term 
‘renovation’
means the alteration or restoration of a building,
structure, or facility, including—
‘‘(A) the return of the existing facility to
good condition through repair; and
‘‘(B) the concurrent installation of equip-
ment.
‘‘SEC. 12015. AUTHORIZATION OF APPROPRIATIONS.
‘‘There are authorized to be appropriated to carry out
this title $1,500,000,000 for fiscal year 2001 and each
of the 4 succeeding fiscal years.’’.
SEC. 2. REPORT OF FEDERAL CONDITIONS OF AID ON
SCHOOL CONSTRUCTION PROJECTS.
Not later than one year after the date of the enact-
ment of this Act, the Comptroller General of the United
States shall transmit to the Congress a report containing
a description of the impact of Federal conditions of aid
on school construction projects. The report shall contain
an analysis of how such Federal conditions of aid, includ-
ing regulatory restrictions, might inflate the cost of con-
struction, with the goal of identifying and achieving poten-
tial savings or improved efficiencies to maximize the im-
pact of Federal funding of school construction. Informa-
tion for the report shall be gathered from 15 States se-
lected to represent a variety of regional, population, and
demographic profiles.
SEC. 3. EFFECTIVE DATE.
This Act and the amendments made by this Act shall
take effect on October 1, 2000, or the date of the enact-
ment of this Act, whichever occurs later.
Æ