162
‘‘(13) OUTLYING
AREA.—The term ‘outlying
area’ has the meaning given to that term in section
101 of this Act.
‘‘(14) POSTSECONDARY EDUCATIONAL INSTITU-
TION.—The term ‘postsecondary educational institu-
tion’ means—
‘‘(A) an institution of higher education
that provides not less than a 2-year program of
instruction that is acceptable for credit toward
a bachelor’s degree;
‘‘(B) a tribally controlled community col-
lege; or
‘‘(C) a nonprofit educational institution of-
fering certificate or apprenticeship programs at
the postsecondary level.
‘‘(15) READING.—The term ‘reading’ has the
meaning given to that term in section 1208 of the
Elementary and Secondary Education Act of 1965.
‘‘(16) SCIENTIFICALLY
BASED
RESEARCH.—
The term ‘scientifically based research’ has the
meaning given to that term in section 9101 of the
Elementary and Secondary Education Act of 1965.
‘‘(17) 
SECRETARY.—The 
term 
‘Secretary’
means the Secretary of Education.
163
‘‘(18) STATE.—The term ‘State’ means each of
the several States of the United States, the District
of Columbia, and the Commonwealth of Puerto Rico.
‘‘(19) STATE
EDUCATIONAL
AGENCY.—The
term ‘State educational agency’ has the meaning
given to that term in section 9101 of the Elemen-
tary and Secondary Education Act of 1965.
‘‘(20) WORKPLACE LITERACY PROGRAM.—The
term ‘workplace literacy program’ means an edu-
cational program that is offered in collaboration be-
tween eligible providers and employers or employee
organizations for the purpose of improving the pro-
ductivity of the workforce through the improvement
of reading, writing, speaking, and math skills.
‘‘SEC. 204. HOME SCHOOLS.
‘‘Nothing in this title shall be construed to affect
home schools, whether or not a home school is treated as
a home school or a private school under State law, or to
compel a parent engaged in home schooling to participate
in an English language acquisition program, a family lit-
eracy education program, or an adult education, basic
skills, and family literacy education program.
164
‘‘SEC. 205. AUTHORIZATION OF APPROPRIATIONS.
‘‘There are authorized to be appropriated to carry out
this title $590,127,000 for fiscal year 2006 and such sums
as may be necessary for fiscal years 2007 through 2011.
‘‘CHAPTER 1—FEDERAL PROVISIONS
‘‘SEC. 211. RESERVATION OF FUNDS; GRANTS TO ELIGIBLE
AGENCIES; ALLOTMENTS.
‘‘(a) RESERVATION OF FUNDS.—From the sums ap-
propriated under section 205 for a fiscal year, the
Secretary—
‘‘(1) shall reserve up to 1.72 percent for incen-
tive grants under section 213;
‘‘(2) shall reserve 1.75 percent to carry out sec-
tion 242; and
‘‘(3) shall reserve up to 1.55 percent to carry
out section 243.
‘‘(b) GRANTS TO ELIGIBLE AGENCIES.—
‘‘(1) IN
GENERAL.—From the sums appro-
priated under section 205 and not reserved under
subsection (a) for a fiscal year, the Secretary shall
award a grant to each eligible agency having a State
plan approved under section 224 in an amount equal
to the sum of the initial allotment under subsection
(c)(1) and the additional allotment under subsection
(c)(2) for the eligible agency for the fiscal year, sub-
ject to subsections (f) and (g).
165
‘‘(2) PURPOSE
OF
GRANTS.—The Secretary
may award a grant under paragraph (1) only if the
eligible agency involved agrees to expend the grant
in accordance with the provisions of this title.
‘‘(c) ALLOTMENTS.—
‘‘(1) INITIAL
ALLOTMENTS.—From the sums
appropriated under section 205 and not reserved
under subsection (a) for a fiscal year, the Secretary
shall allot to each eligible agency having a State
plan approved under section 224—
‘‘(A) $100,000, in the case of an eligible
agency serving an outlying area; and
‘‘(B) $250,000, in the case of any other el-
igible agency.
‘‘(2) ADDITIONAL
ALLOTMENTS.—From the
sums appropriated under section 205, not reserved
under subsection (a), and not allotted under para-
graph (1), for a fiscal year, the Secretary shall allot
to each eligible agency that receives an initial allot-
ment under paragraph (1) an additional amount
that bears the same relationship to such sums as the
number of qualifying adults in the State or outlying
area served by the eligible agency bears to the num-
ber of such adults in all States and outlying areas.
166
‘‘(d) QUALIFYING ADULT.—For the purpose of sub-
section (c)(2), the term ‘qualifying adult’ means an adult
who—
‘‘(1) is at least 16 years of age;
‘‘(2) is beyond the age of compulsory school at-
tendance under the law of the State or outlying
area;
‘‘(3) does not have a secondary school diploma,
General Educational Development credential (GED),
or other State-recognized equivalent; and
‘‘(4) is not enrolled in secondary school.
‘‘(e) SPECIAL RULE.—
‘‘(1) IN GENERAL.—From amounts made avail-
able under subsection (c) for the Republic of Palau,
the Secretary shall award grants to Guam, American
Samoa, the Commonwealth of the Northern Mariana
Islands, or the Republic of Palau to carry out activi-
ties described in this title in accordance with the
provisions of this title as determined by the Sec-
retary.
‘‘(2) TERMINATION OF ELIGIBILITY.—Notwith-
standing any other provision of law, the Republic of
Palau shall be eligible to receive a grant under this
title until an agreement for the extension of United
States education assistance under the Compact of
167
Free Association for the Republic of Palau becomes
effective.
‘‘(3) ADMINISTRATIVE COSTS.—The Secretary
may provide not more than 5 percent of the funds
made available for grants under this subsection to
pay the administrative costs of the Pacific Region
Educational Laboratory regarding activities assisted
under this subsection.
‘‘(f) HOLD-HARMLESS PROVISIONS.—
‘‘(1) IN GENERAL.—Notwithstanding subsection
(c), and subject to paragraphs (2) and (3), for fiscal
year 2006 and each succeeding fiscal year, no eligi-
ble agency shall receive an allotment under this title
that is less than 90 percent of the allotment the eli-
gible agency received for the preceding fiscal year
under this title.
‘‘(2) EXCEPTION.—An eligible agency that re-
ceives for the preceding fiscal year only an initial al-
lotment under subsection (c)(1) (and no additional
allotment under subsection (c)(2)) shall receive an
allotment equal to 100 percent of the initial allot-
ment.
‘‘(3) RATABLE REDUCTION.—If for any fiscal
year the amount available for allotment under this
title is insufficient to satisfy the provisions of para-
168
graph (1), the Secretary shall ratably reduce the
payments to all eligible agencies, as necessary.
‘‘(g) REALLOTMENT.—The portion of any eligible
agency’s allotment under this title for a fiscal year that
the Secretary determines will not be required for the pe-
riod such allotment is available for carrying out activities
under this title, shall be available for reallotment from
time to time, on such dates during such period as the Sec-
retary shall fix, to other eligible agencies in proportion to
the original allotments to such agencies under this title
for such year.
‘‘SEC. 212. PERFORMANCE ACCOUNTABILITY SYSTEM.
‘‘(a) PURPOSE.—The purpose of this section is to es-
tablish a comprehensive performance accountability sys-
tem, composed of the activities described in this section,
to assess the effectiveness of eligible agencies in achieving
continuous improvement of adult education, basic skills,
and family literacy education programs funded under this
title, in order to optimize the return on investment of Fed-
eral funds in adult education, basic skills, and family lit-
eracy education programs.
‘‘(b) ELIGIBLE
AGENCY
PERFORMANCE
MEAS-
URES.—
169
‘‘(1) IN GENERAL.—For each eligible agency,
the eligible agency performance measures shall con-
sist of—
‘‘(A)(i) the core indicators of performance
described in paragraph (2)(A); and
‘‘(ii) employment performance indicators
identified by the eligible agency under para-
graph (2)(B); and
‘‘(B) an eligible agency adjusted level of
performance for each indicator described in
subparagraph (A).
‘‘(2) INDICATORS OF PERFORMANCE.—
‘‘(A) CORE
INDICATORS
OF
PERFORM-
ANCE.—The core indicators of performance
shall include the following:
‘‘(i) Measurable improvements in lit-
eracy, including basic skill levels in read-
ing, writing, and speaking the English lan-
guage and basic math, leading to pro-
ficiency in each skill.
‘‘(ii) Receipt of a secondary school di-
ploma, General Educational Development
credential (GED), or other State-recog-
nized equivalent.
170
‘‘(iii) Placement in postsecondary edu-
cation or other training programs.
‘‘(B) EMPLOYMENT
PERFORMANCE
INDI-
CATORS.—Consistent with applicable Federal
and State privacy laws, an eligible agency shall
identify in the State plan the following indi-
vidual participant employment performance in-
dicators:
‘‘(i) Entry into employment.
‘‘(ii) Retention in employment.
‘‘(iii) Increase in earnings.
‘‘(3) LEVELS OF PERFORMANCE.—
‘‘(A) ELIGIBLE AGENCY ADJUSTED LEVELS
OF PERFORMANCE FOR CORE INDICATORS.—
‘‘(i) IN GENERAL.—For each eligible
agency submitting a State plan, there shall
be established, in accordance with this sub-
paragraph, levels of performance for each
of the core indicators of performance de-
scribed in paragraph (2)(A) for adult edu-
cation, basic skills, and family literacy edu-
cation programs authorized under this
title. The levels of performance established
under this subparagraph shall, at a
minimum—
171
‘‘(I) be expressed in an objective,
quantifiable, and measurable form;
and
‘‘(II) show the progress of the el-
igible agency toward continuously and
significantly improving the agency’s
performance outcomes in an objective,
quantifiable, and measurable form.
‘‘(ii) 
IDENTIFICATION
IN
STATE
PLAN.—Each eligible agency shall identify,
in the State plan submitted under section
224, expected levels of performance for
each of the core indicators of performance
for the first 3 program years covered by
the State plan.
‘‘(iii) 
AGREEMENT
ON
ELIGIBLE
AGENCY ADJUSTED LEVELS OF PERFORM-
ANCE FOR FIRST 3 YEARS.—In order to en-
sure an optimal return on the investment
of Federal funds in adult education, basic
skills, and family literacy education pro-
grams authorized under this title, the Sec-
retary and each eligible agency shall reach
agreement on levels of student perform-
ance for each of the core indicators of per-
172
formance, for the first 3 program years
covered by the State plan, taking into ac-
count the levels identified in the State plan
under clause (ii) and the factors described
in clause (iv). The levels agreed to under
this clause shall be considered to be the eli-
gible agency adjusted levels of performance
for the eligible agency for such years and
shall be incorporated into the State plan
prior to the approval of such plan.
‘‘(iv) FACTORS.—The agreement de-
scribed in clause (iii) or (v) shall take into
account—
‘‘(I) how the levels involved com-
pare with the eligible agency’s ad-
justed levels of performance, taking
into account factors including the
characteristics of participants when
the participants entered the program;
and
‘‘(II) the extent to which such
levels promote continuous and signifi-
cant improvement in performance on
the student proficiency measures used
by such eligible agency and ensure op-
173
timal return on the investment of
Federal funds.
‘‘(v) AGREEMENT ON ELIGIBLE AGEN-
CY ADJUSTED LEVELS OF PERFORMANCE
FOR SECOND 3 YEARS.—Prior to the fourth
program year covered by the State plan,
the Secretary and each eligible agency
shall reach agreement on levels of student
performance for each of the core indicators
of performance for the fourth, fifth, and
sixth program years covered by the State
plan, taking into account the factors de-
scribed in clause (iv). The levels agreed to
under this clause shall be considered to be
the eligible agency adjusted levels of per-
formance for the eligible agency for such
years and shall be incorporated into the
State plan.
‘‘(vi) REVISIONS.—If unanticipated
circumstances arise in a State resulting in
a significant change in the factors de-
scribed in clause (iv)(I), the eligible agency
may request that the eligible agency ad-
justed levels of performance agreed to
under clause (iii) or (v) be revised.
174
‘‘(B) LEVELS OF EMPLOYMENT PERFORM-
ANCE.—The eligible agency shall identify, in the
State plan, eligible agency levels of performance
for each of the employment performance indica-
tors described in paragraph (2)(B). Such levels
shall be considered to be eligible agency ad-
justed levels of performance for purposes of this
title.
‘‘(c) REPORT.—
‘‘(1) IN GENERAL.—Each eligible agency that
receives a grant under section 211(b) shall annually
prepare and submit to the Secretary, the Governor,
the State legislature, and eligible providers a report
on the progress of the eligible agency in achieving el-
igible agency performance measures, including the
following:
‘‘(A) Information on the levels of perform-
ance achieved by the eligible agency with re-
spect to the core indicators of performance and
employment performance indicators.
‘‘(B) The number and type of each eligible
provider that receives funding under such
grant.
‘‘(2) 
INFORMATION
DISSEMINATION.—The
Secretary—
175
‘‘(A) shall make the information contained
in such reports available to the general public
through publication (including on the Internet
site of the Department of Education) and other
appropriate methods;
‘‘(B) shall disseminate State-by-State com-
parisons of the information; and
‘‘(C) shall provide the appropriate commit-
tees of the Congress with copies of such re-
ports.
‘‘SEC. 213. INCENTIVE GRANTS FOR STATES.
‘‘(a) IN GENERAL.—From funds appropriated under
section 211(a)(1), the Secretary may award grants to
States for exemplary performance in carrying out pro-
grams under this title. Such awards shall be based on
States exceeding the core indicators of performance estab-
lished under section 212(b)(2)(A) and may be based on
the performance of the State in serving populations, such
as those described in section 224(b)(10), including the lev-
els of service provided and the performance outcomes, and
such other factors relating to the performance of the State
under this title as the Secretary determines appropriate.
‘‘(b) USE OF FUNDS.—The funds awarded to a State
under this paragraph may be used to carry out any activi-
176
ties authorized under this title, including demonstrations
and innovative programs for hard-to-serve populations.
‘‘CHAPTER 2—STATE PROVISIONS
‘‘SEC. 221. STATE ADMINISTRATION.
‘‘Each eligible agency shall be responsible for the fol-
lowing activities under this title:
‘‘(1) The development, submission, implementa-
tion, and monitoring of the State plan.
‘‘(2) Consultation with other appropriate agen-
cies, groups, and individuals that are involved in, or
interested in, the development and implementation
of activities assisted under this title.
‘‘(3) Coordination and avoidance of duplication
with other Federal and State education, training,
corrections, public housing, and social service pro-
grams.
‘‘SEC. 222. STATE DISTRIBUTION OF FUNDS; MATCHING RE-
QUIREMENT.
‘‘(a) STATE DISTRIBUTION OF FUNDS.—Each eligi-
ble agency receiving a grant under this title for a fiscal
year—
‘‘(1) shall use an amount not less than 82.5
percent of the grant funds to award grants and con-
tracts under section 231 and to carry out section
177
225, of which not more than 10 percent of such
amount shall be available to carry out section 225;
‘‘(2) shall use not more than 12.5 percent of
the grant funds to carry out State leadership activi-
ties under section 223; and
‘‘(3) shall use not more than 5 percent of the
grant funds, or $75,000, whichever is greater, for
the administrative expenses of the eligible agency.
‘‘(b) MATCHING REQUIREMENT.—
‘‘(1) IN GENERAL.—In order to receive a grant
from the Secretary under section 211(b), each eligi-
ble agency shall provide, for the costs to be incurred
by the eligible agency in carrying out the adult edu-
cation, basic skills, and family literacy education
programs for which the grant is awarded, a non-
Federal contribution in an amount at least equal
to—
‘‘(A) in the case of an eligible agency serv-
ing an outlying area, 12 percent of the total
amount of funds expended for adult education,
basic skills, and family literacy education pro-
grams in the outlying area, except that the Sec-
retary may decrease the amount of funds re-
quired under this subparagraph for an eligible
agency; and
178
‘‘(B) in the case of an eligible agency serv-
ing a State, 25 percent of the total amount of
funds expended for adult education, basic skills,
and family literacy education programs in the
State.
‘‘(2) NON-FEDERAL CONTRIBUTION.—An eligi-
ble agency’s non-Federal contribution required under
paragraph (1) may be provided in cash or in kind,
fairly evaluated, and shall include only non-Federal
funds that are used for adult education, basic skills,
and family literacy education programs in a manner
that is consistent with the purpose of this title.
‘‘SEC. 223. STATE LEADERSHIP ACTIVITIES.
‘‘(a) IN GENERAL.—Each eligible agency may use
funds made available under section 222(a)(2) for any of
the following adult education, basic skills, and family lit-
eracy education programs:
‘‘(1) The establishment or operation of profes-
sional development programs to improve the quality
of instruction provided pursuant to local activities
required under section 231(b), including instruction
incorporating the essential components of reading
instruction and instruction provided by volunteers or
by personnel of a State or outlying area.
179
‘‘(2) The provision of technical assistance to eli-
gible providers of adult education, basic skills, and
family literacy education programs, including for the
development and dissemination of scientifically based
research instructional practices in reading, writing,
speaking, math, and English language acquisition
programs.
‘‘(3) The provision of assistance to eligible pro-
viders in developing, implementing, and reporting
measurable progress in achieving the objectives of
this title.
‘‘(4) The provision of technology assistance, in-
cluding staff training, to eligible providers of adult
education, basic skills, and family literacy education
programs, including distance learning activities, to
enable the eligible providers to improve the quality
of such activities.
‘‘(5) The development and implementation of
technology applications or distance learning, includ-
ing professional development to support the use of
instructional technology.
‘‘(6) Coordination with other public programs,
including welfare-to-work, workforce development,
and job training programs.
180
‘‘(7) Coordination with existing support serv-
ices, such as transportation, child care, and other
assistance designed to increase rates of enrollment
in, and successful completion of, adult education,
basic skills, and family literacy education programs,
for adults enrolled in such activities.
‘‘(8) The development and implementation of a
system to assist in the transition from adult basic
education to postsecondary education.
‘‘(9) Activities to promote workplace literacy
programs.
‘‘(10) Activities to promote and complement
local outreach initiatives described in section 243(7).
‘‘(11) Other activities of statewide significance,
including assisting eligible providers in achieving
progress in improving the skill levels of adults who
participate in programs under this title.
‘‘(12) Integration of literacy, instructional, and
occupational skill training and promotion of linkages
with employees.
‘‘(b) COORDINATION.—In carrying out this section,
eligible agencies shall coordinate where possible, and avoid
duplicating efforts, in order to maximize the impact of the
activities described in subsection (a).
181
‘‘(c) STATE-IMPOSED REQUIREMENTS.—Whenever a
State or outlying area implements any rule or policy relat-
ing to the administration or operation of a program au-
thorized under this title that has the effect of imposing
a requirement that is not imposed under Federal law (in-
cluding any rule or policy based on a State or outlying
area interpretation of a Federal statute, regulation, or
guideline), the State or outlying area shall identify, to eli-
gible providers, the rule or policy as being imposed by the
State or outlying area.
‘‘SEC. 224. STATE PLAN.
‘‘(a) 6-YEAR PLANS.—
‘‘(1) IN GENERAL.—Each eligible agency desir-
ing a grant under this title for any fiscal year shall
submit to, or have on file with, the Secretary a 6-
year State plan.
‘‘(2) COMPREHENSIVE
PLAN
OR
APPLICA-
TION.—The eligible agency may submit the State
plan as part of a comprehensive plan or application
for Federal education assistance.
‘‘(b) PLAN CONTENTS.—The eligible agency shall in-
clude in the State plan or any revisions to the State plan—
‘‘(1) an objective assessment of the needs of in-
dividuals in the State or outlying area for adult edu-
cation, basic skills, and family literacy education
182
programs, including individuals most in need or
hardest to serve;
‘‘(2) a description of the adult education, basic
skills, and family literacy education programs that
will be carried out with funds received under this
title;
‘‘(3) a description of how the eligible agency
will evaluate and measure annually the effectiveness
and improvement of the adult education, basic skills,
and family literacy education programs based on the
performance measures described in section 212
including—
‘‘(A) how the eligible agency will evaluate
and measure annually such effectiveness on a
grant-by-grant basis; and
‘‘(B) how the eligible agency—
‘‘(i) will hold eligible providers ac-
countable regarding the progress of such
providers 
in 
improving 
the 
academic
achievement of participants in adult edu-
cation programs under this title and re-
garding the core indicators of performance
described in section 212(b)(2)(A); and
‘‘(ii) will use technical assistance,
sanctions, and rewards (including alloca-
183
tion of grant funds based on performance
and termination of grant funds based on
nonperformance);
‘‘(4) a description of the performance measures
described in section 212 and how such performance
measures have significantly improved adult edu-
cation, basic skills, and family literacy education
programs in the State or outlying area;
‘‘(5) an assurance that the eligible agency will,
in addition to meeting all of the other requirements
of this title, award not less than one grant under
this title to an eligible provider that—
‘‘(A) offers flexible schedules and necessary
support services (such as child care and trans-
portation) to enable individuals, including indi-
viduals with disabilities, or individuals with
other special needs, to participate in adult edu-
cation, basic skills, and family literacy edu-
cation programs; and
‘‘(B) attempts to coordinate with support
services that are not provided under this title
prior to using funds for adult education, basic
skills, and family literacy education programs
provided under this title for support services;
184
‘‘(6) an assurance that the funds received under
this title will not be expended for any purpose other
than for activities under this title;
‘‘(7) a description of how the eligible agency
will fund local activities in accordance with the
measurable goals described in section 231(d);
‘‘(8) an assurance that the eligible agency will
expend the funds under this title only in a manner
consistent with fiscal requirements in section 241;
‘‘(9) a description of the process that will be
used for public participation and comment with re-
spect to the State plan, which process—
‘‘(A) shall include consultation with the
State workforce investment board, the State
board responsible for administering community
or technical colleges, the Governor, the State
educational agency, the State board or agency
responsible for administering block grants for
temporary assistance to needy families under
title IV of the Social Security Act, the State
council on disabilities, the State vocational re-
habilitation agency, other State agencies that
promote the improvement of adult education,
basic skills, and family literacy education pro-
185
grams, and direct providers of such programs;
and
‘‘(B) may include consultation with the
State agency on higher education, institutions
responsible for professional development of
adult education, basic skills, and family literacy
education programs instructors, representatives
of business and industry, refugee assistance
programs, and faith-based organizations;
‘‘(10) a description of the eligible agency’s
strategies for serving populations that include, at a
minimum—
‘‘(A) low-income individuals;
‘‘(B) individuals with disabilities;
‘‘(C) the unemployed;
‘‘(D) the underemployed; and
‘‘(E) individuals with multiple barriers to
educational enhancement, including individuals
with limited English proficiency;
‘‘(11) a description of how the adult education,
basic skills, and family literacy education programs
that will be carried out with any funds received
under this title will be integrated with other adult
education, career development, and employment and
186
training activities in the State or outlying area
served by the eligible agency;
‘‘(12) a description of the steps the eligible
agency will take to ensure direct and equitable ac-
cess, as required in section 231(c)(1), including—
‘‘(A) how the State will build the capacity
of community-based and faith-based organiza-
tions to provide adult education, basic skills,
and family literacy education programs; and
‘‘(B) how the State will increase the par-
ticipation of business and industry in adult edu-
cation, basic skills, and family literacy edu-
cation programs;
‘‘(13) an assessment of the adequacy of the sys-
tem of the State or outlying area to ensure teacher
quality and a description of how the State or out-
lying area will use funds received under this subtitle
to improve teacher quality, including professional de-
velopment on the use of scientifically based research
to improve instruction; and
‘‘(14) a description of how the eligible agency
will consult with any State agency responsible for
postsecondary education to develop adult education
that prepares students to enter postsecondary edu-
187
cation without the need for remediation upon com-
pletion of secondary school equivalency programs.
‘‘(c) PLAN REVISIONS.—When changes in conditions
or other factors require substantial revisions to an ap-
proved State plan, the eligible agency shall submit the re-
visions of the State plan to the Secretary.
‘‘(d) CONSULTATION.—The eligible agency shall—
‘‘(1) submit the State plan, and any revisions to
the State plan, to the Governor, the chief State
school officer, or the State officer responsible for ad-
ministering community or technical colleges, or out-
lying area for review and comment; and
‘‘(2) ensure that any comments regarding the
State plan by the Governor, the chief State school
officer, or the State officer responsible for admin-
istering community or technical colleges, and any re-
vision to the State plan, are submitted to the Sec-
retary.
‘‘(e) PLAN APPROVAL.—A State plan submitted to
the Secretary shall be approved by the Secretary only if
the plan is consistent with the specific provisions of this
title.
188
‘‘SEC. 225. PROGRAMS FOR CORRECTIONS EDUCATION AND
OTHER INSTITUTIONALIZED INDIVIDUALS.
‘‘(a) PROGRAM AUTHORIZED.—From funds made
available under section 222(a)(1) for a fiscal year, each
eligible agency shall carry out corrections education and
education for other institutionalized individuals.
‘‘(b) USES OF FUNDS.—The funds described in sub-
section (a) shall be used for the cost of educational pro-
grams for criminal offenders in correctional institutions
and for other institutionalized individuals, including aca-
demic programs for—
‘‘(1) basic skills education;
‘‘(2) special education programs as determined
by the eligible agency;
‘‘(3) reading, writing, speaking, and math pro-
grams; and
‘‘(4) secondary school credit or diploma pro-
grams or their recognized equivalent.
‘‘(c) PRIORITY.—Each eligible agency that is using
assistance provided under this section to carry out a pro-
gram for criminal offenders within a correctional institu-
tion shall give priority to serving individuals who are likely
to leave the correctional institution within 5 years of par-
ticipation in the program.
‘‘(d) DEFINITIONS.—For purposes of this section:
189
‘‘(1) CORRECTIONAL INSTITUTION.—The term
‘correctional institution’ means any—
‘‘(A) prison;
‘‘(B) jail;
‘‘(C) reformatory;
‘‘(D) work farm;
‘‘(E) detention center; or
‘‘(F) halfway house, community-based re-
habilitation center, or any other similar institu-
tion designed for the confinement or rehabilita-
tion of criminal offenders.
‘‘(2) CRIMINAL OFFENDER.—The term ‘crimi-
nal offender’ means any individual who is charged
with, or convicted of, any criminal offense.
‘‘CHAPTER 3—LOCAL PROVISIONS
‘‘SEC. 231. GRANTS AND CONTRACTS FOR ELIGIBLE PRO-
VIDERS.
‘‘(a) GRANTS AND CONTRACTS.—From grant funds
made available under section 211(b), each eligible agency
shall award multiyear grants or contracts, on a competi-
tive basis, to eligible providers within the State or outlying
area that meet the conditions and requirements of this
title to enable the eligible providers to develop, implement,
and improve adult education, basic skills, and family lit-
eracy education programs within the State.
190
‘‘(b) LOCAL ACTIVITIES.—The eligible agency shall
require eligible providers receiving a grant or contract
under subsection (a) to establish or operate one or more
programs of instruction that provide services or instruc-
tion in one or more of the following categories:
‘‘(1) Adult education, basic skills, and family
literacy education programs (including proficiency in
reading, writing, speaking, and math).
‘‘(2) Workplace literacy programs.
‘‘(3) English language acquisition programs.
‘‘(4) Family literacy education programs.
‘‘(c) DIRECT AND EQUITABLE ACCESS; SAME PROC-
ESS.—Each eligible agency receiving funds under this title
shall ensure that—
‘‘(1) all eligible providers have direct and equi-
table access to apply for grants or contracts under
this section; and
‘‘(2) the same grant or contract announcement
process and application process is used for all eligi-
ble providers in the State or outlying area.
‘‘(d) MEASURABLE GOALS.—The eligible agency shall
require eligible providers receiving a grant or contract
under subsection (a) to demonstrate—
‘‘(1) the eligible provider’s measurable goals for
participant outcomes to be achieved annually on the
191
core indicators of performance and employment per-
formance indicators described in section 212(b)(2);
‘‘(2) the past effectiveness of the eligible pro-
vider in improving the basic academic skills of adults
and, for eligible providers receiving grants in the
prior year, the success of the eligible provider receiv-
ing funding under this title in exceeding its perform-
ance goals in the prior year;
‘‘(3) the commitment of the eligible provider to
serve individuals in the community who are the most
in need of basic academic skills instruction services,
including individuals who are low-income or have
minimal reading, writing, speaking, and math skills,
or limited English proficiency;
‘‘(4) the program—
‘‘(A) is of sufficient intensity and duration
for participants to achieve substantial learning
gains; and
‘‘(B) uses instructional practices that in-
clude the essential components of reading in-
struction;
‘‘(5) educational practices are based on scientif-
ically based research;
192
‘‘(6) the activities of the eligible provider effec-
tively employ advances in technology, as appropriate,
including the use of computers;
‘‘(7) the activities provide instruction in real-life
contexts, when appropriate, to ensure that an indi-
vidual has the skills needed to compete in the work-
place and exercise the rights and responsibilities of
citizenship;
‘‘(8) the activities are staffed by well-trained in-
structors, counselors, and administrators;
‘‘(9) the activities are coordinated with other
available resources in the community, such as
through strong links with elementary schools and
secondary schools, postsecondary educational institu-
tions, one-stop centers, job training programs, com-
munity-based and faith-based organizations, and so-
cial service agencies;
‘‘(10) the activities offer flexible schedules and
support services (such as child care and transpor-
tation) that are necessary to enable individuals, in-
cluding individuals with disabilities or other special
needs, to attend and complete programs;
‘‘(11) the activities include a high-quality infor-
mation management system that has the capacity to
report measurable participant outcomes and to mon-
193
itor program performance against the performance
measures established by the eligible agency;
‘‘(12) the local communities have a dem-
onstrated need for additional English language ac-
quisition programs;
‘‘(13) the capacity of the eligible provider to
produce valid information on performance results,
including enrollments and measurable participant
outcomes;
‘‘(14) adult education, basic skills, and family
literacy education programs offer rigorous reading,
writing, speaking, and math content that are based
on scientifically based research; and
‘‘(15) applications of technology, and services to
be provided by the eligible providers, are of sufficient
intensity and duration to increase the amount and
quality of learning and lead to measurable learning
gains within specified time periods.
‘‘(e) SPECIAL RULE.—Eligible providers may use
grant funds under this title to serve children participating
in family literacy programs assisted under this part, pro-
vided that other sources of funds available to provide simi-
lar services for such children are used first.
194
‘‘SEC. 232. LOCAL APPLICATION.
‘‘Each eligible provider desiring a grant or contract
under this title shall submit an application to the eligible
agency containing such information and assurances as the
eligible agency may require, including—
‘‘(1) a description of how funds awarded under
this title will be spent consistent with the require-
ments of this title;
‘‘(2) a description of any cooperative arrange-
ments the eligible provider has with other agencies,
institutions, or organizations for the delivery of
adult education, basic skills, and family literacy edu-
cation programs; and
‘‘(3) each of the demonstrations required by
section 231(d).
‘‘SEC. 233. LOCAL ADMINISTRATIVE COST LIMITS.
‘‘(a) IN GENERAL.—Subject to subsection (b), of the
amount that is made available under this title to an eligi-
ble provider—
‘‘(1) at least 95 percent shall be expended for
carrying out adult education, basic skills, and family
literacy education programs; and
‘‘(2) the remaining amount shall be used for
planning, administration, personnel and professional
development, development of measurable goals in
195
reading, writing, speaking, and math, and inter-
agency coordination.
‘‘(b) SPECIAL RULE.—In cases where the cost limits
described in subsection (a) are too restrictive to allow for
adequate planning, administration, personnel develop-
ment, and interagency coordination, the eligible provider
may negotiate with the eligible agency in order to deter-
mine an adequate level of funds to be used for noninstruc-
tional purposes.
‘‘CHAPTER 4—GENERAL PROVISIONS
‘‘SEC. 241. ADMINISTRATIVE PROVISIONS.
‘‘(a) SUPPLEMENT
NOT SUPPLANT.—Funds made
available for adult education, basic skills, and family lit-
eracy education programs under this title shall supplement
and not supplant other State or local public funds ex-
pended for adult education, basic skills, and family literacy
education programs.
‘‘(b) MAINTENANCE OF EFFORT.—
‘‘(1) IN GENERAL.—
‘‘(A) DETERMINATION.—An eligible agency
may receive funds under this title for any fiscal
year if the Secretary finds that the fiscal effort
per student or the aggregate expenditures of
such eligible agency for activities under this
title, in the second preceding fiscal year, were
196
not less than 90 percent of the fiscal effort per
student or the aggregate expenditures of such
eligible agency for adult education, basic skills,
and family literacy education programs, in the
third preceding fiscal year.
‘‘(B) PROPORTIONATE REDUCTION.—Sub-
ject to paragraphs (2), (3), and (4), for any fis-
cal year with respect to which the Secretary de-
termines under subparagraph (A) that the fiscal
effort or the aggregate expenditures of an eligi-
ble agency for the preceding program year were
less than such effort or expenditures for the
second preceding program year, the Secretary—
‘‘(i) shall determine the percentage
decreases in such effort or in such expendi-
tures; and
‘‘(ii) shall decrease the payment made
under this title for such program year to
the agency for adult education, basic skills,
and family literacy education programs by
the lesser of such percentages.
‘‘(2) COMPUTATION.—In computing the fiscal
effort and aggregate expenditures under paragraph
(1), the Secretary shall exclude capital expenditures
and special one-time project costs.
197
‘‘(3) DECREASE IN FEDERAL SUPPORT.—If the
amount made available for adult education, basic
skills, and family literacy education programs under
this title for a fiscal year is less than the amount
made available for adult education, basic skills, and
family literacy education programs under this title
for the preceding fiscal year, then the fiscal effort
per student and the aggregate expenditures of an el-
igible agency required in order to avoid a reduction
under paragraph (1)(B) shall be decreased by the
same percentage as the percentage decrease in the
amount so made available.
‘‘(4) WAIVER.—The Secretary may waive the
requirements of this subsection for not more than 1
fiscal year, if the Secretary determines that a waiver
would be equitable due to exceptional or uncontrol-
lable circumstances, such as a natural disaster or an
unforeseen and precipitous decline in the financial
resources of the State or outlying area of the eligible
agency. If the Secretary grants a waiver under the
preceding sentence for a fiscal year, the level of ef-
fort required under paragraph (1) shall not be re-
duced in the subsequent fiscal year because of the
waiver.
198
‘‘SEC. 242. NATIONAL INSTITUTE FOR LITERACY.
‘‘(a) IN GENERAL.—
‘‘(1) PURPOSE.—The purpose of the National
Institute for Literacy is to promote the improvement
of literacy, including skills in reading, writing, and
English language acquisition for children, youth, and
adults, through practices derived from the findings
of scientifically based research.
‘‘(2) ESTABLISHMENT.—There is established a
National Institute for Literacy (in this section re-
ferred to as the ‘Institute’). The Institute shall be
administered under the terms of an interagency
agreement entered into, reviewed annually, and
modified as needed by the Secretary of Education
with the Secretary of Health and Human Services
and the Secretary of Labor (in this section referred
to as the ‘Interagency Group’).
‘‘(3) OFFICES.—The Institute shall have offices
separate from the offices of the Department of Edu-
cation, the Department of Health and Human Serv-
ices, and the Department of Labor.
‘‘(4) ADMINISTRATIVE SUPPORT.—The Depart-
ment of Education shall provide administrative sup-
port for the Institute.
199
‘‘(5) DAILY OPERATIONS.—The Director of the
Institute shall administer the daily operations of the
Institute.
‘‘(b) DUTIES.—
‘‘(1) IN GENERAL.—To carry out its purpose,
the Institute may—
‘‘(A) identify and disseminate rigorous sci-
entific research on the effectiveness of instruc-
tional practices and organizational strategies re-
lating to programs on the acquisition of skills
in reading, writing, and English language ac-
quisition for children, youth, and adults;
‘‘(B) create and widely disseminate mate-
rials about the acquisition and application of
skills in reading, writing, and English language
acquisition for children, youth, and adults based
on scientifically based research;
‘‘(C) ensure a broad understanding of sci-
entifically based research on reading, writing,
and English language acquisition for children,
youth, and adults among Federal agencies with
responsibilities for administering programs that
provide related services, including State and
local educational agencies;
200
‘‘(D) facilitate coordination and informa-
tion sharing among national organizations and
associations interested in programs that provide
services to improve skills in reading, writing,
and English language acquisition for children,
youth, and adults;
‘‘(E) coordinate with the appropriate of-
fices in the Department of Education, the De-
partment of Health and Human Services, the
Department of Labor, and other Federal agen-
cies to apply the findings of scientifically based
research related to programs on reading, writ-
ing, and English language acquisition for chil-
dren, youth, and adults;
‘‘(F) establish a national electronic data-
base and Internet site describing and fostering
communication on scientifically based programs
in reading, writing, and English language ac-
quisition for children, youth, and adults, includ-
ing professional development programs; and
‘‘(G) provide opportunities for technical as-
sistance, meetings, and conferences that will
foster increased coordination among Federal,
State, and local agencies and entities and im-
provement of reading, writing, and English lan-
201
guage acquisition skills for children, youth, and
adults.
‘‘(2) COORDINATION.—In identifying scientif-
ically based research on reading, writing, and
English language acquisition for children, youth, and
adults, the Institute shall use standards for research
quality that are consistent with those established by
the Institute of Education Sciences.
‘‘(3) GRANTS, CONTRACTS, AND COOPERATIVE
AGREEMENTS.—
‘‘(A) IN
GENERAL.—The Institute may
award grants to, or enter into contracts or co-
operative agreements with, individuals, public
or private institutions, agencies, organizations,
or consortia of such individuals, institutions,
agencies, or organizations, to carry out the ac-
tivities of the Institute.
‘‘(B) REGULATIONS.—The Director may
adopt the general administrative regulations of
the Department of Education, as applicable, for
use by the Institute.
‘‘(C) RELATION
TO
OTHER
LAWS.—The
duties and powers of the Institute under this
title are in addition to the duties and powers of
the Institute under subparts 1, 2, and 3 of part
202
B of the Elementary and Secondary Education
Act of 1965 (commonly referred to as Reading
First, Early Reading First, and the William F.
Goodling Even Start Family Literacy Program,
respectively).
‘‘(c) VISITING SCHOLARS.—The Institute may estab-
lish a visiting scholars program, with such stipends and
allowances as the Director considers necessary, for out-
standing researchers, scholars, and individuals who—
‘‘(1) have careers in adult education, workforce
development, or scientifically based reading, writing,
or English language acquisition; and
‘‘(2) can assist the Institute in translating re-
search into practice and providing analysis that ad-
vances instruction in the fields of reading, writing,
and English language acquisition for children, youth,
and adults.
‘‘(d) INTERNS AND VOLUNTEERS.—The Institute, in
consultation with the National Institute for Literacy Advi-
sory Board, may award paid and unpaid internships to
individuals seeking to assist the Institute in carrying out
its purpose. Notwithstanding section 1342 of title 31,
United States Code, the Institute may accept and use vol-
untary and uncompensated services as the Institute deter-
mines necessary.
203
‘‘(e) NATIONAL INSTITUTE FOR LITERACY ADVISORY
BOARD.—
‘‘(1) ESTABLISHMENT.—
‘‘(A) IN GENERAL.—There shall be a Na-
tional Institute for Literacy Advisory Board (in
this section referred to as the ‘Board’), which
shall consist of 10 individuals appointed by the
President with the advice and consent of the
Senate.
‘‘(B) QUALIFICATIONS.—The Board shall
be composed of individuals who—
‘‘(i) are not otherwise officers or em-
ployees of the Federal Government; and
‘‘(ii) are knowledgeable about current
effective scientifically based research find-
ings on instruction in reading, writing, and
English language acquisition for children,
youth, and adults.
‘‘(C) 
COMPOSITION.—The 
Board 
may
include—
‘‘(i) representatives of business, indus-
try, labor, literacy organizations, adult
education providers, community colleges,
students with disabilities, and State agen-
204
cies, including State directors of adult edu-
cation; and
‘‘(ii) individuals who, and representa-
tives of entities that, have been successful
in improving skills in reading, writing, and
English language acquisition for children,
youth, and adults.
‘‘(2) DUTIES.—The Board shall—
‘‘(A) make recommendations concerning
the appointment of the Director of the Insti-
tute;
‘‘(B) provide independent advice on the op-
eration of the Institute;
‘‘(C) receive reports from the Interagency
Group and the Director; and
‘‘(D) review the biennial report to the Con-
gress under subsection (k).
‘‘(3) FEDERAL
ADVISORY
COMMITTEE
ACT.—
Except as otherwise provided, the Board shall be
subject to the provisions of the Federal Advisory
Committee Act.
‘‘(4) APPOINTMENTS.—
‘‘(A) IN GENERAL.—Each member of the
Board shall be appointed for a term of 3 years,
except that the initial terms for members may
205
be 1, 2, or 3 years in order to establish a rota-
tion in which one-third of the members are se-
lected each year. Any such member may be ap-
pointed for not more than 2 consecutive terms.
‘‘(B) VACANCIES.—Any member appointed
to fill a vacancy occurring before the expiration
of the term for which the member’s predecessor
was appointed shall be appointed only for the
remainder of that term. A member may serve
after the expiration of that member’s term until
a successor has taken office.
‘‘(5) QUORUM.—A majority of the members of
the Board shall constitute a quorum, but a lesser
number may hold hearings. A recommendation of
the Board may be passed only by a majority of the
Board’s members present at a meeting for which
there is a quorum.
‘‘(6) ELECTION
OF
OFFICERS.—The Chair-
person and Vice Chairperson of the Board shall be
elected by the members of the Board. The term of
office of the Chairperson and Vice Chairperson shall
be 2 years.
‘‘(7) MEETINGS.—The Board shall meet at the
call of the Chairperson or a majority of the members
of the Board.
206
‘‘(f) GIFTS, BEQUESTS, AND DEVISES.—
‘‘(1) IN GENERAL.—The Institute may accept,
administer, and use gifts or donations of services,
money, or property, whether real or personal, tan-
gible or intangible.
‘‘(2) RULES.—The Board shall establish writ-
ten rules setting forth the criteria to be used by the
Institute in determining whether the acceptance of
contributions of services, money, or property whether
real or personal, tangible or intangible, would reflect
unfavorably upon the ability of the Institute or any
employee to carry out the responsibilities of the In-
stitute or employee, or official duties, in a fair and
objective manner, or would compromise the integrity,
or the appearance of the integrity, of the Institute’s
programs or any official involved in those programs.
‘‘(g) MAILS.—The Board and the Institute may use
the United States mails in the same manner and under
the same conditions as other departments and agencies of
the United States.
‘‘(h) DIRECTOR.—The Secretary of Education, after
considering recommendations made by the Board and con-
sulting with the Interagency Group, shall appoint and fix
the pay of the Director of the Institute and, when nec-
essary, shall appoint an Interim Director of the Institute.
207
‘‘(i) APPLICABILITY
OF CERTAIN CIVIL SERVICE
LAWS.—The Director and staff of the Institute may be
appointed without regard to the provisions of title 5,
United States Code, governing appointments in the com-
petitive service, and may be paid without regard to the
provisions of chapter 51 and subchapter III of chapter 53
of that title relating to classification and General Schedule
pay rates, except that an individual so appointed may not
receive pay in excess of the annual rate of basic pay pay-
able for level IV of the Executive Schedule.
‘‘(j) EXPERTS AND CONSULTANTS.—The Institute
may procure temporary and intermittent services under
section 3109(b) of title 5, United States Code.
‘‘(k) BIENNIAL REPORT.—
‘‘(1) IN GENERAL.—The Institute shall submit
a report biennially to the Committee on Education
and the Workforce of the House of Representatives
and the Committee on Health, Education, Labor,
and Pensions of the Senate. Each report submitted
under this subsection shall include—
‘‘(A) a comprehensive and detailed descrip-
tion of the Institute’s operations, activities, fi-
nancial condition, and accomplishments in iden-
tifying and describing programs on reading,
writing, and English language acquisition for
208
children, youth, and adults for the period cov-
ered by the report; and
‘‘(B) a description of how plans for the op-
eration of the Institute for the succeeding 2 fis-
cal years will facilitate achievement of the pur-
pose of the Institute.
‘‘(2) FIRST REPORT.—The Institute shall sub-
mit its first report under this subsection to the Con-
gress not later than 1 year after the date of the en-
actment of the Job Training Improvement Act of
2005.
‘‘(l) ADDITIONAL FUNDING.—In addition to the
funds authorized under section 205 and reserved for the
Institute under section 211, the Secretary of Education,
the Secretary of Health and Human Services, the Sec-
retary of Labor, or the head of any other Federal agency
or department that participates in the activities of the In-
stitute may provide funds to the Institute for activities
that the Institute is authorized to perform under this sec-
tion.
‘‘SEC. 243. NATIONAL LEADERSHIP ACTIVITIES.
‘‘The Secretary shall establish and carry out a pro-
gram of national leadership activities that may include the
following:
209
‘‘(1) Technical assistance, on request, including
assistance—
‘‘(A) on request to volunteer community-
and faith-based organizations, including but not
limited to, improving their fiscal management,
research-based instruction, and reporting re-
quirements, and the development of measurable
objectives to carry out the requirements of this
title;
‘‘(B) in developing valid, measurable, and
reliable performance data, and using perform-
ance information for the improvement of adult
education basic skills, English language acquisi-
tion, and family literacy education programs;
‘‘(C) on adult education professional devel-
opment; and
‘‘(D) in using distance learning and im-
proving the application of technology in the
classroom, including instruction in English lan-
guage acquisition for individuals who have lim-
ited English proficiency.
‘‘(2) Providing for the conduct of research on
national literacy basic skill acquisition levels among
adults, including the number of limited English pro-
210
ficient adults functioning at different levels of read-
ing proficiency.
‘‘(3) Improving the coordination, efficiency, and
effectiveness of adult education and workforce devel-
opment services at the national, State, and local lev-
els.
‘‘(4) Determining how participation in adult
education basic skills, English language acquisition,
and family literacy education programs prepares in-
dividuals for entry into and success in postsecondary
education and employment, and in the case of pris-
on-based services, the effect on recidivism.
‘‘(5) Evaluating how different types of pro-
viders, including community and faith-based organi-
zations or private for-profit agencies measurably im-
prove the skills of participants in adult education
basic skills, English language acquisition, and family
literacy education programs.
‘‘(6) Identifying model integrated basic and
workplace skills education programs, including pro-
grams for individuals with limited English pro-
ficiency coordinated literacy and employment serv-
ices, and effective strategies for serving adults with
disabilities.
211
‘‘(7) Supporting the development of an entity
that would produce and distribute technology-based
programs and materials for adult education, basic
skills, and family literacy education programs using
an intercommunication system, as that term is de-
fined in section 397 of the Communications Act of
1934, and expand the effective outreach and use of
such programs and materials to adult education eli-
gible providers.
‘‘(8) Initiating other activities designed to im-
prove the measurable quality and effectiveness of
adult education basic skills, English language acqui-
sition, and family literacy education programs na-
tionwide.’’.
TITLE III—AMENDMENTS TO
THE WAGNER-PEYSER ACT
SEC. 301. AMENDMENTS TO THE WAGNER-PEYSER ACT.
The Wagner-Peyser Act (29 U.S.C. 49 et. seq.) is
amended—
(1) by striking sections 1 through 13;
(2) in section 14 by inserting ‘‘of Labor’’ after
‘‘Secretary’’; and
(3) by amending section 15 to read as follows:
212
‘‘SEC. 15. WORKFORCE AND LABOR MARKET INFORMATION
SYSTEM.
‘‘(a) SYSTEM CONTENT.—
‘‘(1) IN GENERAL.—The Secretary of Labor, in
accordance with the provisions of this section, shall
oversee the development, maintenance, and contin-
uous improvement of a nationwide workforce and
labor market information system that includes—
‘‘(A) statistical data from cooperative sta-
tistical survey and projection programs and
data from administrative reporting systems
that, taken together, enumerate, estimate, and
project employment opportunities and condi-
tions at national, State, and local levels in a
timely manner, including statistics on—
‘‘(i) employment and unemployment
status of national, State, and local popu-
lations, including self-employed, part-time,
and seasonal workers;
‘‘(ii) industrial distribution of occupa-
tions, as well as current and projected em-
ployment opportunities, wages, benefits
(where data is available), and skill trends
by occupation and industry, with particular
attention paid to State and local condi-
tions;
213
‘‘(iii) the incidence of, industrial and
geographical location of, and number of
workers displaced by, permanent layoffs
and plant closings; and
‘‘(iv) employment and earnings infor-
mation maintained in a longitudinal man-
ner to be used for research and program
evaluation;
‘‘(B) information on State and local em-
ployment opportunities, and other appropriate
statistical data related to labor market dynam-
ics, which—
‘‘(i) shall be current and comprehen-
sive;
‘‘(ii) shall meet the needs identified
through the consultations described in sub-
paragraphs (A) and (B) of subsection
(e)(2); and
‘‘(iii) shall meet the needs for the in-
formation identified in section 134(d);
‘‘(C) technical standards (which the Sec-
retary shall publish annually) for data and in-
formation described in subparagraphs (A) and
(B) that, at a minimum, meet the criteria of
chapter 35 of title 44, United States Code;
214
‘‘(D) procedures to ensure compatibility
and additivity of the data and information de-
scribed in subparagraphs (A) and (B) from na-
tional, State, and local levels;
‘‘(E) procedures to support standardization
and aggregation of data from administrative re-
porting systems described in subparagraph (A)
of employment-related programs;
‘‘(F) analysis of data and information de-
scribed in subparagraphs (A) and (B) for uses
such as—
‘‘(i) national, State, and local policy-
making;
‘‘(ii) implementation of Federal poli-
cies (including allocation formulas);
‘‘(iii) program planning and evalua-
tion; and
‘‘(iv) researching labor market dynam-
ics;
‘‘(G) wide dissemination of such data, in-
formation, and analysis in a user-friendly man-
ner and voluntary technical standards for dis-
semination mechanisms; and
‘‘(H) programs of—
215
‘‘(i) training for effective data dis-
semination;
‘‘(ii) research and demonstration; and
‘‘(iii) programs and technical assist-
ance.
‘‘(2) INFORMATION TO BE CONFIDENTIAL.—
‘‘(A) IN
GENERAL.—No officer or em-
ployee of the Federal Government or agent of
the Federal Government may—
‘‘(i) use any submission that is fur-
nished for exclusively statistical purposes
under the provisions of this section for any
purpose other than the statistical purposes
for which the submission is furnished;
‘‘(ii) make any publication or media
transmittal of the data contained in the
submission described in clause (i) that per-
mits information concerning individual
subjects to be reasonably inferred by either
direct or indirect means; or
‘‘(iii) permit anyone other than a
sworn officer, employee, or agent of any
Federal department or agency, or a con-
tractor (including an employee of a con-
tractor) of such department or agency, to
216
examine an individual submission described
in clause (i),
without the consent of the individual, agency, or
other person who is the subject of the submis-
sion or provides that submission.
‘‘(B) IMMUNITY FROM LEGAL PROCESS.—
Any submission (including any data derived
from the submission) that is collected and re-
tained by a Federal department or agency, or
an officer, employee, agent, or contractor of
such a department or agency, for exclusively
statistical purposes under this section shall be
immune from the legal process and shall not,
without the consent of the individual, agency, or
other person who is the subject of the submis-
sion or provides that submission, be admitted
as evidence or used for any purpose in any ac-
tion, suit, or other judicial or administrative
proceeding.
‘‘(C) RULE OF CONSTRUCTION.—Nothing
in this section shall be construed to provide im-
munity from the legal process for such submis-
sion (including any data derived from the sub-
mission) if the submission is in the possession
of any person, agency, or entity other than the