In the Senate of the United States,
June 14, 2001.
Resolved, That the bill from the House of Representa-
tives (H.R. 1) entitled ‘‘An Act to close the achievement gap
with accountability, flexibility, and choice, so that no child is
left behind.’’, do pass with the following
AMENDMENT:
Strike out all after the enacting clause and insert:
SECTION 1. SHORT TITLE; TABLE OF CONTENTS.
(a) SHORT TITLE.—This Act may be cited as the ‘‘Bet-
ter Education for Students and Teachers Act’’.
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(b) TABLE OF CONTENTS.—The table of contents for
this Act is as follows:
Sec. 1. Short title; table of contents.
Sec. 2. References.
Sec. 3. Elementary and Secondary Education Act of 1965: Short title; purpose;
definitions; uniform provisions.
TITLE I—BETTER RESULTS FOR DISADVANTAGED CHILDREN
Sec. 101. Policy and purpose.
Sec. 102. Authorization of appropriations.
Sec. 103. Reservation and allocation for school improvement.
PART A—BETTER RESULTS FOR DISADVANTAGED CHILDREN
Sec. 111. State plans.
Sec. 112. Local educational agency plans.
Sec. 113. Eligible school attendance areas.
Sec. 114. Schoolwide programs.
Sec. 115. Targeted assistance schools.
Sec. 116. Pupil safety and family school choice.
Sec. 117. Assessment and local educational agency and school improvement.
Sec. 118. Assistance for school support and improvement.
Sec. 118A. Grants for enhanced assessment instruments.
Sec. 119. Parental involvement.
Sec. 120. Professional development.
Sec. 120A. Participation of children enrolled in private schools.
Sec. 120B. Early childhood education.
Sec. 120C. Limitations on funds.
Sec. 120D. Allocations.
Sec. 120E. School year extension activities.
Sec. 120F. Adequacy of funding of targeted grants to local educational agencies
in fiscal years after fiscal year 2001.
PART B—LITERACY FOR CHILDREN AND FAMILIES
Sec. 121. Reading first.
Sec. 122. Early reading initiative.
PART C—EDUCATION OF MIGRATORY CHILDREN
Sec. 131. Program purpose.
Sec. 132. State application.
Sec. 133. Comprehensive plan.
Sec. 134. Coordination.
PART D—INITIATIVES FOR NEGLECTED, DELINQUENT, OR AT RISK YOUTH
Sec. 141. Initiatives for neglected, delinquent, or at risk youth.
PART E—NATIONAL ASSESSMENT OF TITLE I
Sec. 151. National assessment of title I.
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PART F—21ST CENTURY LEARNING CENTERS; COMPREHENSIVE SCHOOL
REFORM; SCHOOL DROPOUT PREVENTION
Sec. 161. 21st century learning centers; comprehensive school reform.
PART G—EDUCATION FOR HOMELESS CHILDREN AND YOUTH
Sec. 171. Statement of policy.
Sec. 172. Grants for State and local activities.
Sec. 173. Local educational agency grants.
Sec. 174. Secretarial responsibilities.
Sec. 175. Definitions.
Sec. 176. Authorization of appropriations.
Sec. 177. Conforming amendments.
Sec. 178. Local educational agency spending audits.
TITLE II—TEACHERS
Sec. 201. Teacher quality.
Sec. 202. Teacher mobility.
Sec. 203. Modification of troops-to-teachers program.
Sec. 204. Professional development.
Sec. 205. Close Up Fellowship Program and National Student/Parent Mock Elec-
tion.
Sec. 206. Rural technology education academies and early childhood educator
professional development.
Sec. 207. Teachers and principals.
TITLE III—MOVING LIMITED ENGLISH PROFICIENT STUDENTS TO
ENGLISH FLUENCY
Sec. 301. Bilingual education.
TITLE IV—SAFE AND DRUG-FREE SCHOOLS AND COMMUNITIES
Sec. 401. Amendment to the Elementary and Secondary Education Act of 1965.
Sec. 402. Gun-free requirements.
Sec. 403. School safety and violence prevention.
Sec. 404. School safety enhancement.
Sec. 405. Amendments to the National Child Protection Act of 1993.
Sec. 406. Environmental tobacco smoke.
Sec. 407. Grants to reduce alcohol abuse.
Sec. 408. Mentoring programs.
Sec. 409. Study concerning the health and learning impacts of dilapidated or en-
vironmentally unhealthy public school buildings on America’s
children and the healthy and high performance schools program.
Sec. 410. Amendment to the Individuals with Disabilities Education Act.
TITLE V—PUBLIC SCHOOL CHOICE AND FLEXIBILITY
Sec. 501. Public school choice and flexibility.
Sec. 502. Empowering parents.
TITLE VI—PARENTAL INVOLVEMENT AND ACCOUNTABILITY
Sec. 601. Parental involvement and accountability.
Sec. 602. Guidelines for student privacy.
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TITLE VII—INDIAN, NATIVE HAWAIIAN, AND ALASKA NATIVE
EDUCATION
Sec. 701. Programs.
Sec. 702. Conforming amendments.
TITLE VIII—IMPACT AID
Sec. 801. Eligibility under section 8003 for certain heavily impacted local edu-
cational agencies.
TITLE IX—REPEALS
Sec. 901. Repeals.
TITLE X—MISCELLANEOUS PROVISIONS
Sec. 1001. Independent evaluation.
Sec. 1002. Helping children succeed by fully funding the Individuals with Dis-
abilities Education Act (IDEA).
Sec. 1003. Sense of the Senate; authorization of appropriations for title II of the
Elementary and Secondary Education Act of 1965.
Sec. 1004. Sense of the Senate regarding education opportunity tax relief.
Sec. 1005. Sense of the Senate regarding tax relief for elementary and secondary
educators.
Sec. 1006. Sense of the Senate; authorization of appropriations for title III of the
Elementary and Secondary Education Act of 1965.
Sec. 1007. Grants for the teaching of traditional American history as a separate
subject.
Sec. 1008. Study and information.
Sec. 1009. Sense of the Senate regarding transmittal of S. 27 to House of Rep-
resentatives.
Sec. 1010. Sense of the Senate; authorization of appropriations for title I of the
Elementary and Secondary Education Act of 1965.
Sec. 1011. Excellence in economic education.
Sec. 1012. Loan forgiveness for Head Start teachers.
Sec. 1013. Sense of the Senate regarding the benefits of music and arts education.
Sec. 1014. Sense of the Senate concerning postal rates for educational materials.
Sec. 1015. The study of the Declaration of Independence, United States Constitu-
tion, and the Federalist Papers.
Sec. 1016. Study and recommendation with respect to sexual abuse in schools.
Sec. 1017. Sense of Senate on the percentage of Federal education funding that
is spent in the classroom.
Sec. 1018. Sense of the Senate regarding Bible teaching in public schools.
Sec. 1019. Senior opportunities.
Sec. 1020. Impact aid payments relating to Federal acquisition of real property.
Sec. 1021. Impact aid technical amendments.
Sec. 1022. Sense of the Senate regarding science education.
Sec. 1023. School facility modernization grants.
Sec. 1024. Department of Education campaign to promote access of Armed Forces
recruiters to student directory information.
Sec. 1025. Military recruiting on campus.
Sec. 1026. Maintaining funding for the Individuals with Disabilities Education
Act.
Sec. 1027. School resource officer projects.
Sec. 1028. Boys and Girls Clubs of America.
Sec. 1029. Federal income tax incentive study.
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Sec. 1030. Carl D. Perkins Vocational and Technical Education Act of 1998.
Sec. 1031. Sense of Congress on enhancing awareness of the contributions of vet-
erans to the Nation.
Sec. 1032. Technical amendment to the Kids 2000 Act.
Sec. 1033. Pest management in schools.
TITLE XI—TEACHER PROTECTION
Sec. 1101. Teacher protection.
TITLE XII—NATIVE AMERICAN EDUCATION IMPROVEMENT
Sec. 1201. Short title.
Subtitle A—Amendments to the Education Amendments of 1978
Sec. 1211. Amendments to the Education Amendments of 1978.
Subtitle B—Tribally Controlled Schools Act of 1988
Sec. 1221. Tribally controlled schools.
Sec. 1222. Lease payments by the Ojibwa Indian School.
Sec. 1223. Enrollment and general assistance payments.
TITLE XIII—EQUAL ACCESS TO PUBLIC SCHOOL FACILITIES
Sec. 1301. Short title.
Sec. 1302. Equal access.
Sec. 1303. Effective date.
TITLE XIV—INDIVIDUALS WITH DISABILITIES
Sec. 1401. Discipline.
Sec. 1402. Procedural safeguards.
Sec. 1403. Alternative education for children with disabilities.
TITLE XV—EQUAL ACCESS TO PUBLIC SCHOOL FACILITIES
Sec. 1501. Short title.
Sec. 1502. Equal access.
TITLE XVI—EDUCATION PROGRAMS OF NATIONAL SIGNIFICANCE
Sec. 1601. Amendment to the Elementary and Secondary Education Act of 1965.
TITLE XVII—JOHN H. CHAFEE ENVIRONMENTAL EDUCATION ACT
Sec. 1701. Short title.
Sec. 1702. Office of Environmental Education.
Sec. 1703. Environmental education grants.
Sec. 1704. John H. Chafee Memorial Fellowship Program.
Sec. 1705. National environmental education awards.
Sec. 1706. Environmental Education Advisory Council and Task Force.
Sec. 1707. National Environmental Learning Foundation.
Sec. 1708. Theodore Roosevelt Environmental Stewardship Grant Program.
Sec. 1709. Information standards.
Sec. 1710. Authorization of appropriations.
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SEC. 2. REFERENCES.
Except as otherwise expressly provided, whenever in
this Act an amendment or repeal is expressed in terms of
an amendment to, or repeal of, a section or other provision,
the reference shall be considered to be made to a section or
other provision of the Elementary and Secondary Edu-
cation Act of 1965 (20 U.S.C. 6301 et seq.).
SEC. 3. ELEMENTARY AND SECONDARY EDUCATION ACT OF
1965: SHORT TITLE; PURPOSE; DEFINITIONS;
UNIFORM PROVISIONS.
The Act (20 U.S.C. 6301 et seq.) is amended—
(1) in the heading for section 1, by striking
‘‘TABLE
OF
CONTENTS’’ and inserting ‘‘SHORT
TITLE’’; and
(2) by adding after section 1 the following:
‘‘SEC. 2. PURPOSE.
‘‘It is the purpose of this Act to support programs and
activities that will improve the Nation’s schools and enable
all children to achieve high standards.
‘‘SEC. 3. DEFINITIONS.
‘‘Except as otherwise provided, in this Act:
‘‘(1) AVERAGE DAILY ATTENDANCE.—
‘‘(A) IN GENERAL.—Except as provided oth-
erwise by State law or this paragraph, the term
‘average daily attendance’ means—
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‘‘(i) the aggregate number of days of
attendance of all students during a school
year; divided by
‘‘(ii) the number of days school is in
session during such school year.
‘‘(B) CONVERSION.—The Secretary shall
permit the conversion of average daily member-
ship (or other similar data) to average daily at-
tendance for local educational agencies in States
that provide State aid to local educational agen-
cies on the basis of average daily membership or
such other data.
‘‘(C) SPECIAL
RULE.—If the local edu-
cational agency in which a child resides makes
a tuition or other payment for the free public
education of the child in a school located in an-
other school district, the Secretary shall, for pur-
poses of this Act—
‘‘(i) consider the child to be in attend-
ance at a school of the agency making such
payment; and
‘‘(ii) not consider the child to be in at-
tendance at a school of the agency receiving
such payment.
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‘‘(D) CHILDREN WITH DISABILITIES.—If a
local educational agency makes a tuition pay-
ment to a private school or to a public school of
another local educational agency for a child with
a disability, as defined in section 602 of the In-
dividuals with Disabilities Education Act, the
Secretary shall, for the purposes of this Act, con-
sider such child to be in attendance at a school
of the agency making such payment.
‘‘(2) AVERAGE
PER-PUPIL
EXPENDITURE.—The
term ‘average per-pupil expenditure’ means, in the
case of a State or of the United States—
‘‘(A) without regard to the source of
funds—
‘‘(i) the aggregate current expenditures,
during the third fiscal year preceding the
fiscal year for which the determination is
made (or, if satisfactory data for that year
are not available, during the most recent
preceding fiscal year for which satisfactory
data are available) of all local educational
agencies in the State or, in the case of the
United States for all States (which, for the
purpose of this paragraph, means the 50
States and the District of Columbia); plus
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‘‘(ii) any direct current expenditures
by the State for the operation of such agen-
cies; divided by
‘‘(B) the aggregate number of children in
average daily attendance to whom such agencies
provided free public education during such pre-
ceding year.
‘‘(3) CHILD.—The term ‘child’ means any person
within the age limits for which the State provides free
public education.
‘‘(4) COMMUNITY-BASED
ORGANIZATION.—The
term ‘community-based organization’ means a public
or private nonprofit organization of demonstrated ef-
fectiveness that—
‘‘(A) is representative of a community or
significant segments of a community; and
‘‘(B) provides educational or related services
to individuals in the community.
‘‘(5) CONSOLIDATED LOCAL APPLICATION.—The
term ‘consolidated local application’ means an appli-
cation submitted by a local educational agency pursu-
ant to section 5505.
‘‘(6) CONSOLIDATED
LOCAL
PLAN.—The term
‘consolidated local plan’ means a plan submitted by
a local educational agency pursuant to section 5505.
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‘‘(7) CONSOLIDATED STATE APPLICATION.—The
term ‘consolidated State application’ means an appli-
cation submitted by a State educational agency after
consultation with the Governor pursuant to section
5502.
‘‘(8) CONSOLIDATED
STATE
PLAN.—The term
‘consolidated State plan’ means a plan submitted by
a State educational agency after consultation with the
Governor pursuant to section 5502.
‘‘(9) COUNTY.—The term ‘county’ means one of
the divisions of a State used by the Secretary of Com-
merce in compiling and reporting data regarding
counties.
‘‘(10) COVERED
PROGRAM.—The term ‘covered
program’ means each of the programs authorized
by—
‘‘(A) part A of title I;
‘‘(B) part C of title I;
‘‘(C) part C of title II;
‘‘(D) part A of title IV (other than section
4114); and
‘‘(E) subpart 4 of part B of title V.
‘‘(11) CURRENT EXPENDITURES.—The term ‘cur-
rent expenditures’ means expenditures for free public
education—
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‘‘(A) including expenditures for administra-
tion, instruction, attendance and health services,
pupil transportation services, operation and
maintenance of plant, fixed charges, and net ex-
penditures to cover deficits for food services and
student body activities; but
‘‘(B) not including expenditures for commu-
nity services, capital outlay, and debt service, or
any expenditures made from funds received
under subpart 4 of part B of title V.
‘‘(12) DEPARTMENT.—The term ‘Department’
means the Department of Education.
‘‘(13) EDUCATIONAL
SERVICE
AGENCY.—The
term ‘educational service agency’ means a regional
public multiservice agency authorized by State statute
to develop, manage, and provide services or programs
to local educational agencies.
‘‘(14) ELEMENTARY SCHOOL.—The term ‘elemen-
tary school’ means a nonprofit institutional day or
residential school, including a public elementary
charter school, that provides elementary education, as
determined under State law.
‘‘(15) FREE PUBLIC EDUCATION.—The term ‘free
public education’ means education that is provided—
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‘‘(A) at public expense, under public super-
vision and direction, and without tuition charge;
and
‘‘(B) as elementary school or secondary
school education as determined under applicable
State law, except that such term does not include
any education provided beyond grade 12.
‘‘(16) GIFTED AND TALENTED.—The term ‘gifted
and talented’, when used with respect to students,
children or youth, means students, children or youth
who give evidence of high performance capability in
areas such as intellectual, creative, artistic, or leader-
ship capacity, or in specific academic fields, and who
require services or activities not ordinarily provided
by the school in order to fully develop such capabili-
ties.
‘‘(17) INSTITUTION
OF
HIGHER
EDUCATION.—
The term ‘institution of higher education’ has the
meaning given the term in section 101 of the Higher
Education Act of 1965.
‘‘(18) LOCAL EDUCATIONAL AGENCY.—
‘‘(A) IN
GENERAL.—The term ‘local edu-
cational agency’ means a public board of edu-
cation or other public authority legally con-
stituted within a State for either administrative
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control or direction of, or to perform a service
function for, public elementary schools or sec-
ondary schools in a city, county, township,
school district, or other political subdivision of a
State, or for such combination of school districts
or counties as are recognized in a State as an
administrative agency for the State’s public ele-
mentary or secondary schools.
‘‘(B) ADMINISTRATIVE
CONTROL
AND
DI-
RECTION.—The term includes any other public
institution or agency having administrative con-
trol and direction of a public elementary school
or secondary school.
‘‘(C) BIA SCHOOLS.—The term includes an
elementary school or secondary school funded by
the Bureau of Indian Affairs but only to the ex-
tent that such inclusion makes such school eligi-
ble for programs for which specific eligibility is
not provided to such school in another provision
of law and such school does not have a student
population that is smaller than the student pop-
ulation of the local educational agency receiving
assistance under this Act with the smallest stu-
dent population, except that such school shall not
be subject to the jurisdiction of any State edu-
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cational agency other than the Bureau of Indian
Affairs.
‘‘(19) MENTORING.—The term ‘mentoring’, when
used with respect to mentoring other than teacher
mentoring, means a program in which an adult
works with a child or youth on a 1-to-1 basis, estab-
lishing a supportive relationship, providing academic
assistance, and introducing the child or youth to new
experiences that enhance the child or youth’s ability
to excel in school and become a responsible citizen.
‘‘(20) OTHER
STAFF.—The term ‘other staff’
means pupil services personnel, librarians, career
guidance and counseling personnel, education aides,
and other instructional and administrative personnel.
‘‘(21) OUTLYING
AREA.—The term ‘outlying
area’ means the United States Virgin Islands, Guam,
American Samoa, the Commonwealth of the Northern
Mariana Islands, and for the purpose of section 1121
and any other discretionary grant program under
this Act, the Republic of the Marshall Islands, the
Federated States of Micronesia, and the Republic of
Palau.
‘‘(22) PARENT.—The term ‘parent’ includes a
legal guardian or other person standing in loco
parentis.
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‘‘(23) PARENTAL INVOLVEMENT.—The term ‘pa-
rental involvement’ means the participation of par-
ents in regular, two-way, and meaningful commu-
nication, including ensuring—
‘‘(A) that parenting skills are promoted and
supported;
‘‘(B) that parents play an integral role in
assisting student learning;
‘‘(C) that parents are welcome in the
schools;
‘‘(D) that parents are included in decision-
making and advisory committees; and
‘‘(E) the carrying out of other activities de-
scribed in section 1118.
‘‘(24) PUBLIC TELECOMMUNICATIONS ENTITY.—
The term ‘public telecommunication entity’ has the
same meaning given to such term in section 397 of
the Communications Act of 1934.
‘‘(25) PUPIL SERVICES PERSONNEL; PUPIL SERV-
ICES.—
‘‘(A) PUPIL
SERVICES
PERSONNEL.—The
term ‘pupil services personnel’ means school
counselors, school social workers, school psycholo-
gists, and other qualified professional personnel
involved in providing assessment, diagnosis,
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counseling, educational, therapeutic, and other
necessary services (including related services as
such term is defined in section 602 of the Indi-
viduals with Disabilities Education Act) as part
of a comprehensive program to meet student
needs.
‘‘(B) PUPIL
SERVICES.—The term ‘pupil
services’ means the services provided by pupil
services personnel.
‘‘(26) SCIENTIFICALLY BASED RESEARCH.—The
term ‘scientifically based research’ used with respect
to an activity or a program, means an activity based
on specific strategies and implementation of such
strategies that, based on theory, research and evalua-
tion, are effective in improving student achievement
and performance and other program objectives.
‘‘(27) SECONDARY
SCHOOL.—The term ‘sec-
ondary school’ means a nonprofit institutional day or
residential school, including a public secondary char-
ter school, that provides secondary education, as de-
termined under State law, except that such term does
not include any education beyond grade 12.
‘‘(28) SECRETARY.—The term ‘Secretary’ means
the Secretary of Education.
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‘‘(II) may include coaching, class-
room observation, team teaching, and
reduced teaching loads; and
‘‘(B) may include the establishment of a
partnership by a local educational agency with
an institution of higher education, another local
educational agency, a teacher organization, or
another organization.
‘‘(32) 
TECHNOLOGY.—The 
term 
‘technology’
means state-of-the-art technology products and serv-
ices, such as closed circuit television systems, edu-
cational television and radio programs and services,
cable television, satellite, copper and fiber optic trans-
mission, computer hardware and software, servers
and storage devices, video and audio laser and CD–
ROM discs, video and audio tapes, web-based and
other digital learning resources, including online
classes, interactive tutorials, and interactive tools and
virtual learning environments, hand-held devices,
wireless technology, voice recognition systems, and
high-quality digital video, distance learning networks,
visualization, modeling, and simulation software, and
learning focused digital libraries and information re-
trieval systems.
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‘‘SEC. 4. MAINTENANCE OF EFFORT.
‘‘(a) IN GENERAL.—A local educational agency may
receive funds under a covered program for any fiscal year
only if the State educational agency finds that either the
combined fiscal effort per student or the aggregate expendi-
tures of such agency and the State with respect to the provi-
sion of free public education by such agency for the pre-
ceding fiscal year was not less than 90 percent of such com-
bined fiscal effort or aggregate expenditures for the second
preceding fiscal year.
‘‘(b) REDUCTION IN CASE OF FAILURE TO MEET.—
‘‘(1) IN GENERAL.—The State educational agen-
cy shall reduce the amount of the allocation of funds
under a covered program in any fiscal year in the
exact proportion to which a local educational agency
fails to meet the requirement of subsection (a) by fall-
ing below 90 percent of both the combined fiscal effort
per student and aggregate expenditures (using the
measure most favorable to such local agency).
‘‘(2) SPECIAL
RULE.—No such lesser amount
shall be used for computing the effort required under
subsection (a) for subsequent years.
‘‘(c) WAIVER.—The Secretary may waive the require-
ments of this section if the Secretary determines that such
a waiver would be equitable due to—
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‘‘(1) exceptional or uncontrollable circumstances
such as a natural disaster; or
‘‘(2) a precipitous decline in the financial re-
sources of the local educational agency.
‘‘SEC. 5. PROHIBITION REGARDING STATE AID.
‘‘A State shall not take into consideration payments
under this Act (other than under title VIII) in determining
the eligibility of any local educational agency in such State
for State aid, or the amount of State aid, with respect to
free public education of children.
‘‘SEC. 6. PARTICIPATION BY PRIVATE SCHOOL CHILDREN
AND TEACHERS.
‘‘(a) PRIVATE SCHOOL PARTICIPATION.—
‘‘(1) IN GENERAL.—Except as otherwise provided
in this Act, to the extent consistent with the number
of eligible children in a State educational agency,
local educational agency, or educational service agen-
cy or consortium of such agencies receiving financial
assistance under a program specified in subsection
(b), who are enrolled in private elementary and sec-
ondary schools in such agency or consortium, such
agency or consortium shall, after timely and mean-
ingful consultation with appropriate private school
officials provide, on an equitable basis, such children
special educational services or other benefits under
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such program, and provide their teachers and other
education personnel serving such children training
and professional development services under such pro-
gram.
‘‘(2) SECULAR, NEUTRAL, AND NONIDEOLOGICAL
SERVICES
OR
BENEFITS.—Educational services or
other benefits, including materials and equipment,
provided under this section, shall be secular, neutral,
and nonideological.
‘‘(3) SPECIAL RULE.—Educational services and
other benefits provided under this section for such pri-
vate school children, teachers, and other educational
personnel shall be equitable in comparison to services
and other benefits for public school children, teachers,
and other educational personnel participating in such
program.
‘‘(4) EXPENDITURES.—Expenditures for edu-
cational services and other benefits provided under
this section to eligible private school children, their
teachers, and other educational personnel serving such
children shall be equal, taking into account the num-
ber and educational needs of the children to be served,
to the expenditures for participating public school
children.
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‘‘(5) PROVISION OF SERVICES.—Such agency or
consortium described in subsection (a)(1) may pro-
vide such services directly or through contracts with
public and private agencies, organizations, and insti-
tutions.
‘‘(b) APPLICABILITY.—
‘‘(1) IN GENERAL.—This section applies to pro-
grams under—
‘‘(A) subpart 2 of part B of title I;
‘‘(B) part C of title I (migrant education);
‘‘(C) parts A, (B) and C of title II;
‘‘(D) title III; and
‘‘(E) part A of title IV (other than section
4114).
‘‘(2) DEFINITION.—For the purposes of this sec-
tion, the term ‘‘eligible children’’ means children eli-
gible for services under a program described in para-
graph (1).
‘‘(c) CONSULTATION.—
‘‘(1) IN GENERAL.—To ensure timely and mean-
ingful consultation, a State educational agency, local
educational agency, educational service agency or
consortium of such agencies shall consult with appro-
priate private school officials during the design and
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development of the programs under this Act, on issues
such as—
‘‘(A) how the children’s needs will be identi-
fied;
‘‘(B) what services will be offered;
‘‘(C) how and where the services will be pro-
vided; and
‘‘(D) how the services will be assessed.
‘‘(2) TIMING.—Such consultation shall occur be-
fore the agency or consortium makes any decision
that affects the opportunities of eligible private school
children, teachers, and other educational personnel to
participate in programs under this Act.
‘‘(3) DISCUSSION REQUIRED.—Such consultation
shall include a discussion of service delivery mecha-
nisms that the agency or consortium could use to pro-
vide equitable services to eligible private school chil-
dren, teachers, administrators, and other staff.
‘‘(d) PUBLIC CONTROL OF FUNDS.—
‘‘(1) IN GENERAL.—The control of funds used to
provide services under this section, and title to mate-
rials, equipment, and property purchased with such
funds, shall be in a public agency for the uses and
purposes provided in this Act, and a public agency
shall administer such funds and property.
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vide for such participation, as required by section 6, the
Secretary shall—
‘‘(1) waive the requirements of that section for
such agency or consortium; and
‘‘(2) arrange for the provision of equitable serv-
ices to such children, teachers, or other educational
personnel through arrangements that shall be subject
to the requirements of this section and of sections 6,
8, and 9.
‘‘SEC. 8. COMPLAINT PROCESS FOR PARTICIPATION OF PRI-
VATE SCHOOL CHILDREN.
‘‘(a) PROCEDURES FOR COMPLAINTS.—The Secretary
shall develop and implement written procedures for receiv-
ing, investigating, and resolving complaints from parents,
teachers, or other individuals and organizations concerning
violations of section 6 by a State educational agency, local
educational agency, educational service agency, or consor-
tium of such agencies. Such individual or organization
shall submit such complaint to the State educational agency
for a written resolution by the State educational agency
within a reasonable period of time.
‘‘(b) APPEALS TO THE SECRETARY.—Such resolution
may be appealed by an interested party to the Secretary
not later than 30 days after the State educational agency
resolves the complaint or fails to resolve the complaint with-
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in a reasonable period of time. Such appeal shall be accom-
panied by a copy of the State educational agency’s resolu-
tion, and a complete statement of the reasons supporting
the appeal. The Secretary shall investigate and resolve each
such appeal not later than 120 days after receipt of the
appeal.
‘‘SEC. 9. BY-PASS DETERMINATION PROCESS.
‘‘(a) REVIEW.—
‘‘(1) IN GENERAL.—(A) The Secretary shall not
take any final action under section 7 until the State
educational agency, local educational agency, edu-
cational service agency, or consortium of such agen-
cies affected by such action has had an opportunity,
for not less than 45 days after receiving written no-
tice thereof, to submit written objections and to ap-
pear before the Secretary to show cause why that ac-
tion should not be taken.
‘‘(B) Pending final resolution of any investiga-
tion or complaint that could result in a determina-
tion under this section, the Secretary may withhold
from the allocation of the affected State or local edu-
cational agency the amount estimated by the Sec-
retary to be necessary to pay the cost of those services.
‘‘(2) PETITION
FOR
REVIEW.—(A) If such af-
fected agency or consortium is dissatisfied with the
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Secretary’s final action after a proceeding under
paragraph (1), such agency or consortium may, with-
in 60 days after notice of such action, file with the
United States court of appeals for the circuit in
which such State is located a petition for review of
that action.
‘‘(B) A copy of the petition shall be forthwith
transmitted by the clerk of the court to the Secretary.
‘‘(C) The Secretary upon receipt of the copy of
the petition shall file in the court the record of the
proceedings on which the Secretary based this action,
as provided in section 2112 of title 28, United States
Code.
‘‘(3) FINDINGS OF FACT.—(A) The findings of
fact by the Secretary, if supported by substantial evi-
dence, shall be conclusive, but the court, for good
cause shown, may remand the case to the Secretary
to take further evidence and the Secretary may then
make new or modified findings of fact and may mod-
ify the Secretary’s previous action, and shall file in
the court the record of the further proceedings.
‘‘(B) Such new or modified findings of fact shall
likewise be conclusive if supported by substantial evi-
dence.
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‘‘(4) JURISDICTION.—(A) Upon the filing of such
petition, the court shall have jurisdiction to affirm the
action of the Secretary or to set such action aside, in
whole or in part.
‘‘(B) The judgment of the court shall be subject
to review by the Supreme Court of the United States
upon certiorari or certification as provided in section
1254 of title 28, United States Code.
‘‘(b) DETERMINATION.—Any determination by the
Secretary under this section shall continue in effect until
the Secretary determines, in consultation with such agency
or consortium and representatives of the affected private
school children, teachers, or other educational personnel that
there will no longer be any failure or inability on the part
of such agency or consortium to meet the applicable require-
ments of section 6 or any other provision of this Act.
‘‘(c) PAYMENT FROM STATE ALLOTMENT.—When the
Secretary arranges for services pursuant to this section, the
Secretary shall, after consultation with the appropriate
public and private school officials, pay the cost of such serv-
ices, including the administrative costs of arranging for
those services, from the appropriate allocation or allocations
under this Act.
‘‘(d) PRIOR DETERMINATION.—Any by-pass deter-
mination by the Secretary under this Act as in effect on
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the day preceding the date of enactment of the Improving
America’s Schools Act of 1994 shall remain in effect to the
extent the Secretary determines that such determination is
consistent with the purpose of this section.
‘‘SEC. 10. PROHIBITION AGAINST FUNDS FOR RELIGIOUS
WORSHIP OR INSTRUCTION.
‘‘Nothing contained in this Act shall be construed to
authorize the making of any payment under this Act for
religious worship or instruction.
‘‘SEC. 11. APPLICABILITY TO HOME SCHOOLS.
‘‘Nothing in this Act shall be construed to affect home
schools.
‘‘SEC. 12. GENERAL PROVISION REGARDING NONRECIPIENT
NONPUBLIC SCHOOLS.
‘‘Nothing in this Act shall be construed to permit,
allow, encourage, or authorize any Federal control over any
aspect of any private, religious, or home school, whether or
not a home school is treated as a private school or home
school under State law. This section shall not be construed
to bar private, religious, or home schools from participation
in programs or services under this Act.
‘‘SEC. 13. SCHOOL PRAYER.
‘‘Any State or local educational agency that is ad-
judged by a Federal court of competent jurisdiction to have
willfully violated a Federal court order mandating that
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such local educational agency remedy a violation of the con-
stitutional right of any student with respect to prayer in
public schools, in addition to any other judicial remedies,
shall be ineligible to receive Federal funds under this Act
until such time as the local educational agency complies
with such order. Funds that are withheld under this section
shall not be reimbursed for the period during which the local
educational agency was in willful noncompliance.
‘‘SEC. 14. GENERAL PROHIBITIONS.
‘‘(a) PROHIBITION.—None of the funds authorized
under this Act shall be used—
‘‘(1) to develop or distribute materials, or oper-
ate programs or courses of instruction directed at
youth that are designed to promote or encourage, sex-
ual activity, whether homosexual or heterosexual;
‘‘(2) to distribute or to aid in the distribution by
any organization of legally obscene materials to mi-
nors on school grounds;
‘‘(3) to provide sex education or HIV prevention
education in schools unless such instruction is age ap-
propriate and includes the health benefits of absti-
nence; or
‘‘(4) to operate a program of condom distribu-
tion in schools.
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‘‘(b) LOCAL CONTROL.—Nothing in this section shall
be construed to—
‘‘(1) authorize an officer or employee of the Fed-
eral Government to mandate, direct, review, or con-
trol a State, local educational agency, or schools’ in-
structional content, curriculum, and related activities;
‘‘(2) limit the application of the General Edu-
cation Provisions Act;
‘‘(3) require the distribution of scientifically or
medically false or inaccurate materials or to prohibit
the distribution of scientifically or medically true or
accurate materials; or
‘‘(4) create any legally enforceable right.
‘‘SEC. 15. PROHIBITION ON FEDERAL MANDATES, DIREC-
TION, AND CONTROL.
‘‘Nothing in this Act shall be construed to authorize
an officer or employee of the Federal Government to man-
date, direct, or control a State, local educational agency,
or school’s curriculum, program of instruction, or allocation
of State or local resources, or mandate a State or any sub-
division thereof to spend any funds or incur any costs not
paid for under this Act.
‘‘SEC. 16. ADDITIONAL LIMITATIONS ON NATIONAL TEST-
ING.
‘‘(a) NATIONAL TESTING.—
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implementation, or administration of such test or certifi-
cation.
‘‘(c) DEVELOPMENT OF DATABASE OF PERSONALLY
IDENTIFIABLE INFORMATION.—Nothing in this Act (other
than section 1308(b)) shall be construed to authorize the de-
velopment of a nationwide database of personally identifi-
able information on individuals involved in studies or other
collections of data under this Act.
‘‘SEC. 17. ADDITIONAL LIMITATIONS AND PROTECTIONS RE-
GARDING PRIVATE, RELIGIOUS, AND HOME
SCHOOLS.
‘‘(a) APPLICABILITY TO HOME SCHOOLS.—(1) Nothing
in this Act 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 require any home schooled stu-
dent to participate in any assessment referenced in this Act.
‘‘(2) CONSTRUCTION OF SUPERSEDED PROVISION.—
Section 11 shall have no force or effect.
‘‘(b) APPILICABILITY TO PRIVATE SCHOOLS.—Nothing
in this Act shall be construed to affect any private school
that does not receive funds or services under this Act, or
to require any student who attends a private school that
does not receive funds or services under this Act to partici-
pate in any assessment referenced in this Act.
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‘‘(c) APPLICABILITY
TO PRIVATE, RELIGIONS, AND
HOME SCHOOLS OF GENERAL PROVISION REGARDING RE-
CIPIENT NONPUBLIC SCHOOLS.—
‘‘(1) IN GENERAL.—Nothing in this Act or any
other Act administered by the Secretary shall be con-
strued to permit, allow, encourage, or authorize any
Federal control over any aspect of any private, reli-
gious, or home school, whether or not a home school
is treated as a private school or home school under
State law. This section shall not be construed to bar
private, religious, and home schools from participa-
tion in programs and services under this Act.
‘‘(2) CONSTRUCTION
OF
SUPERSEDED
PROVI-
SION.—Section 12 shall have no force or effect.
‘‘(d) APPLICABILITY OF GUN-FREE SCHOOL PROVI-
SIONS TO HOME SCHOOLS.—Notwithstanding any provi-
sion of part B of title IV, for purposes of that part, the
term ‘school’ shall not include a home school, regardless of
whether or not a home school is treated as a private school
or home school under State law.
‘‘(e) STATE AND LOCAL EDUCATIONAL AGENCY MAN-
DATES REGARDING PRIVATE AND HOME SCHOOL CUR-
RICULA.—Nothing in this Act shall be construed to require
any State or local educational agency that receives funds
under this Act from mandating, directing, or controlling
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the curriculum of a private or home school, regardless of
whether or not a home school is treated as a private school
or home school under State law, nor shall any funds under
this Act be used for this purpose.
‘‘SEC. 18. PROHIBITION ON DISCRIMINATION.
‘‘Nothing in this Act shall be construed to require, au-
thorize, or permit, the Secretary, or a State, local edu-
cational agency, or school to grant to a student, or deny
or impose upon a student, any financial or educational ben-
efit or burden, in violation of the fifth or 14th amendments
to the Constitution or other law relating to discrimination
in the provision of federally funded programs or activi-
ties.’’.
TITLE I—BETTER RESULTS FOR
DISADVANTAGED CHILDREN
SEC. 101. POLICY AND PURPOSE.
Section 1001 (20 U.S.C. 6301) is amended to read as
follows:
‘‘SEC. 1001. STATEMENT OF PURPOSE.
‘‘The purpose of this title is to enable schools to provide
opportunities for children served under this title to acquire
the knowledge and skills contained in the challenging State
content standards and to meet the challenging State student
performance standards developed for all children. This pur-
pose should be accomplished by—
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‘‘(1) ensuring high standards for all children
and aligning the efforts of States, local educational
agencies, and schools to help children served under
this title to reach such standards;
‘‘(2) providing children an enriched and acceler-
ated educational program, including the use of
schoolwide programs or additional services that in-
crease the amount and quality of instructional time
so that children served under this title receive at least
the classroom instruction that other children receive;
‘‘(3) promoting schoolwide reform and ensuring
access of children (from the earliest grades, including
prekindergarten) to effective instructional strategies
and challenging academic content that includes inten-
sive complex thinking and problem-solving experi-
ences;
‘‘(4) significantly elevating the quality of in-
struction by providing staff in participating schools
with substantial opportunities for professional devel-
opment;
‘‘(5) coordinating services under all parts of this
title with each other, with other educational services,
and to the extent feasible, with other agencies pro-
viding services to youth, children, and families that
are funded from other sources;
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‘‘(6) affording parents substantial and meaning-
ful opportunities to participate in the education of
their children at home and at school;
‘‘(7) distributing resources in amounts sufficient
to make a difference to local educational agencies and
schools where needs are greatest;
‘‘(8) improving and strengthening account-
ability, teaching, and learning by using State assess-
ment systems designed to measure how well children
served under this title are achieving challenging State
student performance standards expected of all chil-
dren; and
‘‘(9) providing greater decisionmaking authority
and flexibility to schools and teachers in exchange for
greater responsibility for student performance.’’.
SEC. 102. AUTHORIZATION OF APPROPRIATIONS.
Section 1002 (20 U.S.C. 6302) is amended to read as
follows:
‘‘SEC. 1002. AUTHORIZATION OF APPROPRIATIONS.
‘‘(a) LOCAL EDUCATIONAL AGENCY GRANTS.—
‘‘(1) SHORT
TITLE.—This subsection may be
cited as the ‘Equal Educational Opportunity Act’.
‘‘(2) AUTHORIZATION.—For the purpose of car-
rying out part A, other than section 1120(e), there are
authorized to be appropriated—
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‘‘(A) $15,000,000,000 for fiscal year 2002;
‘‘(B) $18,240,000,000 for fiscal year 2003;
‘‘(C) $21,480,000,000 for fiscal year 2004;
‘‘(D) $24,720,000,000 for fiscal year 2005;
‘‘(E) $27,960,000,000 for fiscal year 2006;
‘‘(F) $31,200,000,000 for fiscal year 2007;
‘‘(G) $34,440,000,000 for fiscal year 2008;
‘‘(H) $37,680,000,000 for fiscal year 2009;
‘‘(I) $40,920,000,000 for fiscal year 2010;
and
‘‘(J) $44,164,000,000 for fiscal year 2011.
‘‘(b) READING FIRST.—
‘‘(1) EVEN START.—For the purpose of carrying
out subpart 1 of part B, there are authorized to be
appropriated $250,000,000 for fiscal year 2002 and
such sums as may be necessary for each of the 6 suc-
ceeding fiscal years.
‘‘(2) READING FIRST.—For the purpose of car-
rying out subpart 2 of part B, there are authorized
to be appropriated $900,000,000 for fiscal year 2002
and such sums as may be necessary for each of the
6 succeeding fiscal years.
‘‘(3) EARLY READING FIRST.—For the purpose of
carrying out subpart 3 of part B, there are authorized
to be appropriated $75,000,000 for fiscal year 2002
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and such sums as may be necessary for each of the
6 succeeding fiscal years.
‘‘(c) EDUCATION OF MIGRATORY CHILDREN.—For the
purpose of carrying out part C, there are authorized to be
appropriated $400,000,000 for fiscal year 2002 and such
sums as may be necessary for each of the 6 succeeding fiscal
years.
‘‘(d) PREVENTION AND INTERVENTION PROGRAMS FOR
YOUTH WHO ARE NEGLECTED, DELINQUENT, OR AT RISK
OF DROPPING OUT.—For the purpose of carrying out part
D, there are authorized to be appropriated $50,000,000 for
fiscal year 2002 and such sums as may be necessary for
each of the 6 succeeding fiscal years.
‘‘(e) CAPITAL EXPENSES.—For the purpose of carrying
out section 1120(e), there are authorized to be appropriated
$15,000,000 for fiscal year 2002, $15,000,000 for fiscal year
2003, and $5,000,000 for fiscal year 2004.
‘‘(f) FEDERAL ACTIVITIES.—
‘‘(1) SECTION 1501.—For the purpose of carrying
out section 1501, there are authorized to be appro-
priated $10,000,000 for fiscal year 2002 and such
sums as may be necessary for each of the 6 succeeding
fiscal years.
‘‘(2) SECTION 1502.—For the purpose of carrying
out section 1502, there are authorized to be appro-
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priated $25,000,000 for fiscal year 2002 and such
sums as may be necessary for each of the 6 succeeding
fiscal years.
‘‘(g) 21ST CENTURY LEARNING CENTERS.—For the
purpose of carrying out part F, there are authorized to be
appropriated $1,500,000,000 for fiscal year 2002 and such
sums as may be necessary for each of the 6 succeeding fiscal
years.
‘‘(h) COMPREHENSIVE SCHOOL REFORM.—For the
purpose of carrying out part G, there are authorized to be
appropriated $250,000,000 for fiscal year 2002 and such
sums as may be necessary for each of the 6 succeeding fiscal
years.
‘‘(i) SCHOOL DROPOUT PREVENTION.—For the pur-
pose of carrying out part H, there are authorized to be ap-
propriated $500,000,000 for fiscal year 2002 and such sums
as may be necessary for each of the 6 succeeding fiscal years,
of which—
‘‘(1) 10 percent shall be available to carry out
subpart 1 of part H for each fiscal year; and
‘‘(2) 90 percent shall be available to carry out
subpart 2 of part H for each fiscal year.’’.
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SEC. 103. RESERVATION AND ALLOCATION FOR SCHOOL IM-
PROVEMENT.
Section 1003 (20 U.S.C. 6303) is amended to read as
follows:
‘‘SEC. 1003. RESERVATION FOR SCHOOL IMPROVEMENT.
‘‘(a) STATE RESERVATION.—Each State educational
agency shall reserve 3.5 percent of the amount the State
educational agency receives under subpart 2 of part A for
each of the fiscal years 2002 and 2003, and 5 percent of
that amount for each of the fiscal years 2004 through 2008,
to carry out subsection (b) and to carry out the State edu-
cational agency’s responsibilities under sections 1116 and
1117, including carrying out the State educational agency’s
statewide system of technical assistance and support for
local educational agencies.
‘‘(b) USES.—Of the amount reserved under subsection
(a) for any fiscal year, the State educational agency shall
make available not less than 50 percent of that amount di-
rectly to local educational agencies for schools identified for
school improvement, corrective action, or reconstitution
under section 1116(c).
‘‘(c) STATE PLAN.—Each State educational agency, in
consultation with the Governor, shall prepare a plan to
carry out the responsibilities of the State under sections
1116 and 1117, including carrying out the State edu-
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cational agency’s statewide system of technical assistance
and support for local educational agencies.’’.
PART A—BETTER RESULTS FOR DISADVANTAGED
CHILDREN
SEC. 111. STATE PLANS.
Section 1111 (20 U.S.C. 6311) is amended to read as
follows:
‘‘SEC. 1111. STATE PLANS.
‘‘(a) PLANS REQUIRED.—
‘‘(1) IN GENERAL.—Any State desiring to receive
a grant under this part shall submit to the Secretary,
by March 1, 2002, a plan prepared by the chief State
school official, in consultation with the Governor, that
satisfies the requirements of this section and that is
coordinated with other programs under this Act, the
Individuals with Disabilities Education Act, the Carl
D. Perkins Vocational and Technical Education Act
of 1998, the Adult Education and Family Literacy
Act, and the Head Start Act.
‘‘(2) CONSOLIDATION PLAN.—A State plan sub-
mitted under paragraph (1) may be submitted as
part of a consolidation plan under section 5506.
‘‘(b) STANDARDS, ASSESSMENTS, 
AND
ACCOUNT-
ABILITY.—
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‘‘(1) 
CHALLENGING
STANDARDS.—(A) 
Each
State plan shall demonstrate that the State has
adopted challenging content standards and chal-
lenging student performance standards that will be
used by the State, its local educational agencies, and
its schools to carry out this part, except that a State
shall not be required to submit such standards to the
Secretary.
‘‘(B) The standards required by subparagraph
(A) shall be the same standards that the State applies
to all schools and children in the State.
‘‘(C) The State shall have the standards de-
scribed in subparagraph (A) for all public elementary
school and secondary school children in subjects deter-
mined by the State, but including at least mathe-
matics, reading or language arts, history, and science,
except that—
‘‘(i) any State which does not have stand-
ards in mathematics or reading or language
arts, for public elementary school and secondary
school children who are not served under this
part, on the date of enactment of the Better Edu-
cation for Students and Teachers Act shall apply
the standards described in subparagraph (A) to
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such students not later than the beginning of the
school year 2002–2003; and
‘‘(ii) no State shall be required to meet the
requirements under this part relating to history
or science standards until the beginning of the
2005–2006 school year.
‘‘(D) Standards under this paragraph shall
include—
‘‘(i) challenging content standards in aca-
demic subjects that—
‘‘(I) specify what children are expected
to know and be able to do;
‘‘(II) contain coherent and rigorous
content; and
‘‘(III) encourage the teaching of ad-
vanced skills; and
‘‘(ii) 
challenging 
student 
performance
standards that—
‘‘(I) are aligned with the State’s con-
tent standards; and
‘‘(II) describe 2 levels of high perform-
ance, proficient and advanced, that deter-
mine how well children are mastering the
material in the State content standards.
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‘‘(E) For the subjects in which students served
under this part will be taught, but for which a State
is not required by subparagraphs (A), (B), and (C)
to develop standards, and has not otherwise developed
standards, the State plan shall describe a strategy for
ensuring that such students are taught the same
knowledge and skills and held to the same expecta-
tions as are all children.
‘‘(2) ACCOUNTABILITY.—(A) Each State plan
shall demonstrate that the State has developed and is
implementing a single, statewide State accountability
system that has been or will be effective in ensuring
that all local educational agencies, elementary schools,
and secondary schools make adequate yearly progress
as defined under subparagraphs (B) and (D). Each
State accountability system shall—
‘‘(i) be based on the standards and assess-
ments adopted under paragraphs (1) and (3)
and take into account the performance of all stu-
dents;
‘‘(ii) be used for all schools or all local edu-
cational agencies in the State, except that schools
and local educational agencies not participating
under this part are not subject to the require-
ments of section 1116(c);
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‘‘(iii) include performance indicators for
local educational agencies and schools to measure
student performance consistent with subpara-
graph (B); and
‘‘(iv) include sanctions and rewards, such
as bonuses or recognition, the State will use to
hold local educational agencies and schools ac-
countable for student achievement and perform-
ance and for ensuring that the agencies and
schools make adequate yearly progress in accord-
ance with the State’s definition under subpara-
graph (B).
‘‘(B) Adequate yearly progress shall be defined in
accordance with subparagraph (D) and in a manner
that—
‘‘(i) applies the same high standards of aca-
demic performance to all students in the State;
‘‘(ii) is statistically valid and reliable;
‘‘(iii) results in continuous and substantial
academic improvement for all students;
‘‘(iv) measures the progress of schools and
local educational agencies based primarily on the
assessments described in paragraph (3);
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‘‘(v) includes annual measurable objectives
for continuing and significant improvement
in—
‘‘(I) the achievement of all students;
and
‘‘(II) the achievement of economically
disadvantaged students, students with dis-
abilities, students with limited English pro-
ficiency, migrant students, students by ra-
cial and ethnic group, and students by gen-
der, except that such disaggregation shall
not be required in any case in which the
number of students in a category is insuffi-
cient to yield statistically reliable informa-
tion or the results would reveal individually
identifiable information about an indi-
vidual student;
‘‘(vi) includes a timeline for meeting the
goal that each group of students described in
clause (v) will meet or exceed the State’s pro-
ficient level of performance on the State assess-
ment used for the purposes of this section and
section 1116 not later than 10 years after the
date of enactment of the Better Education for
Students and Teachers Act; and
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‘‘(vii) includes school completion or gradua-
tion rates for secondary school students and at
least 1 other academic indicator, as determined
by the State, for elementary school students, ex-
cept that inclusion of such indicators shall not
decrease the number of schools or local edu-
cational agencies that would otherwise be subject
to identification for improvement or corrective
action if the indicators were not included.
‘‘(C)(i) Each State plan shall include a detailed
description of an objective system or formula that in-
corporates and gives appropriate weight to each of the
elements described in subparagraph (B), including the
progress of each of the groups of students described in
subparagraph (B)(v)(II), in meeting the State’s an-
nual measurable objectives for continuing and signifi-
cant improvement under subparagraph (B)(v) and in
making progress toward the 10-year goal described in
subparagraph (B)(vi), and that is primarily based on
academic progress as demonstrated by the assessments
described in paragraph (3) in subjects for which as-
sessments are required under this section, except that
the State shall give greater weight to the groups—
‘‘(I) performing at a level furthest from the
proficient level; and
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‘‘(II) that make the greatest improvement.
‘‘(ii) The system or formula shall be subject to
peer review and approval by the Secretary under sub-
section (e). The Secretary shall not approve the sys-
tem or formula unless the Secretary determines that
the system or formula is sufficiently rigorous and re-
liable to ensure continuous and significant progress
toward the goal of having all students proficient with-
in 10 years.
‘‘(D) A State shall define adequate yearly
progress for the purpose of making determinations
under this Act so that—
‘‘(i) a school, local educational agency, or
State, respectively, has failed to make adequate
yearly progress if the school, local educational
agency, or State, respectively, has not—
‘‘(I) made adequate progress as deter-
mined by the system or formula described
in subparagraph (C); or
‘‘(II) for each group of students de-
scribed in subparagraph (B)(v)(II) (other
than those groups formed by gender and mi-
grant status), achieved an increase of not
less than 1 percent, in the percentage of stu-
dents served by the school, local educational
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agency, or State, respectively, meeting the
State’s proficient level of performance in
reading or language arts and mathematics,
for a school year compared to the preceding
school year; and
‘‘(ii) for the purpose of making determina-
tions under clause (i) (I) or (II), the State may
establish a uniform procedure for averaging data
from the school year for which the determination
is made and 1 or 2 school years preceding such
school year.
‘‘(E) Each State shall ensure that in developing
its plan, the State diligently seeks public comment
from a range of institutions and individuals in the
State with an interest in improved student achieve-
ment and performance, including parents, teachers,
local educational agencies, pupil services personnel,
administrators (including those described in other
parts of this title), and other staff, and that the State
will continue to make a substantial effort to ensure
that information under this part is widely known
and understood by the public, parents, teachers, and
school administrators throughout the State. Such ef-
forts shall include, at a minimum, publication of such
information and explanatory text, broadly to the pub-
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lic through such means as the Internet, the media,
and public agencies.
‘‘(F) If a State educational agency provides evi-
dence, which is satisfactory to the Secretary, that nei-
ther the State educational agency nor any other State
government official, agency, or entity has sufficient
authority, under State law, to adopt content and stu-
dent performance standards, and assessments aligned
with such standards, which will be applicable to all
students enrolled in the State’s public schools, the
State educational agency may meet the requirements
of this subsection by—
‘‘(i) adopting standards and assessments
that meet the requirements of this subsection, on
a statewide basis, and limiting the applicability
of the standards and assessments to students
served under this part; or
‘‘(ii) adopting and implementing policies
that ensure that each local educational agency in
the State which receives a grant under this part
will adopt content and student performance
standards, and assessments aligned with such
standards, which meet all of the criteria of this
subsection.
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‘‘(G) Each State plan shall provide that in order
for a school to make adequate yearly progress under
subparagraph (B), not less than 95 percent of each
group 
of 
students 
described 
in 
subparagraph
(B)(v)(II), who are enrolled in the school at the time
of the administration of the assessments, shall take the
assessments 
(in 
accordance 
with 
paragraphs
(3)(H)(ii) and (3)(I), and with accommodations,
guidelines and alternate assessments provided in the
same manner as they are provided under section
612(a)(17)(A) of the Individuals with Disabilities
Education Act) on which adequate yearly progress is
based, except that nothing in this subparagraph shall
be construed to limit the requirement under para-
graph (3)(H)(i) to assess all students.
‘‘(H) Each State plan shall provide an assur-
ance that the State’s accountability requirements for
charter schools (as defined in section 5120), such as
requirements established under the State’s charter
school law and overseen by the State’s authorized
chartering agencies for such schools, are at least as
rigorous as the accountability requirements estab-
lished under this Act, such as the requirements re-
garding standards, assessments, adequate yearly
progress, school identification, receipt of technical as-
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sistance, and corrective action, that are applicable to
other schools in the State under this Act.
‘‘(3) ASSESSMENTS.—Each State plan shall
demonstrate that the State, in consultation with local
educational agencies, has a system of high-quality,
yearly student assessments in subjects that include, at
a minimum, mathematics, reading or language arts,
and science that will be used as the primary means
of determining the yearly performance of each local
educational agency and school in enabling all chil-
dren to meet the State’s student performance stand-
ards, except that no State shall be required to meet
the requirements of this part relating to science as-
sessments until the beginning of the 2007–2008 school
year. Such assessments shall—
‘‘(A) be the same assessments used to meas-
ure the performance of all children;
‘‘(B) be aligned with the State’s challenging
content and student performance standards and
provide coherent information about student at-
tainment of such standards;
‘‘(C) be used for purposes for which such as-
sessments are valid and reliable, and be con-
sistent with relevant, nationally recognized pro-
fessional and technical standards for such assess-
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ments developed and used by national experts on
educational testing;
‘‘(D) be used only if the State provides to
the Secretary evidence from the test publisher or
other relevant sources that the assessment used is
of adequate technical quality for each purpose re-
quired under this Act, and such evidence is made
public by the Secretary upon request;
‘‘(E) involve multiple up-to-date measures
of student performance, including measures that
assess higher order thinking skills and under-
standing;
‘‘(F)(i) beginning not later than school year
2001–2002, measure the proficiency of students
served under this part in mathematics and read-
ing or language arts and be administered not
less than one time during—
‘‘(I) grades 3 through 5;
‘‘(II) grades 6 through 9; and
‘‘(III) grades 10 through 12;
‘‘(ii) beginning not later than school year
2002–2003, measure the proficiency of all stu-
dents in mathematics and reading or language
arts and be administered not less than one time
during—
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‘‘(I) grades 3 through 5;
‘‘(II) grades 6 through 9; and
‘‘(III) grades 10 through 12;
‘‘(iii) beginning not later than school year
2007–2008, measure the proficiency of all stu-
dents in science and be administered not less
than one time during—
‘‘(I) grades 3 through 5;
‘‘(II) grades 6 through 9; and
‘‘(III) grades 10 through 12;
‘‘(G) beginning not later than school year
2005–2006, measure the performance of students
against the challenging State content and stu-
dent performance standards annually in grades
3 through 8, and at least once in grades 10
through 12, in at least mathematics and reading
or language arts, if the tests are aligned with
State standards, except that—
‘‘(i) a State may defer the commence-
ment, or suspend the administration, of the
assessments described in this paragraph,
that were not required prior to the date of
enactment of the Better Education for Stu-
dents and Teachers Act, for 1 year, for each
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year for which the amount appropriated for
grants under section 6204(c) is less than—
‘‘(I) $370,000,000 for fiscal year
2002;
‘‘(II) $380,000,000 for fiscal year
2003;
‘‘(III) $390,000,000 for fiscal year
2004;
‘‘(IV) $400,000,000 for fiscal year
2005;
‘‘(V) $410,000,000 for fiscal year
2006;
‘‘(VI) $420,000,000 for fiscal year
2007; and
‘‘(VII) $430,000,000 for fiscal
year 2008; and
‘‘(ii) the Secretary may permit a State
to commence the assessments, that were re-
quired by amendments made to this para-
graph by the Better Education for Students
and Teachers Act, in school year 2006–
2007, if the State demonstrates to the Sec-
retary that exceptional or uncontrollable
circumstances, such as a natural disaster or
a precipitous or unforeseen decline in the fi-
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nancial resources of the local educational
agency or school, prevent full implementa-
tion of the assessments in school year 2005–
2006 and that the State will administer
such assessments during school year 2006–
2007;
‘‘(H) at the discretion of the State, measure
the proficiency of students in academic subjects
not described in subparagraphs (E), (F), and
(G) in which the State has adopted challenging
content and student performance standards;
‘‘(I) provide for—
‘‘(i) the participation in such assess-
ments of all students;
‘‘(ii) the reasonable adaptations and
accommodations for students with disabil-
ities defined under section 602(3) of the In-
dividuals with Disabilities Education Act
necessary to measure the achievement of
such students relative to State content and
State student performance standards;
‘‘(iii) the inclusion of limited English
proficient students who shall be assessed, to
the extent practicable, in the language and
form most likely to yield accurate and reli-
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able information on what such students
know and can do in content areas; and
‘‘(iv) notwithstanding clause (iii), the
assessment (using tests written in English)
of reading or language arts of any student
who has attended school in the United
States (excluding the Commonwealth of
Puerto Rico) for 3 or more consecutive
years, except that if a local educational
agency demonstrates to the State edu-
cational agency that assessments in another
language and form is likely to yield more
accurate and reliable information on what
such a student knows and can do, then the
State educational agency, on a case-by-case
basis, may waive the requirement to use
tests written in English for those students
and permit those students to be assessed in
the appropriate language for one or more
additional years, but only if the total num-
ber of students so assessed does not exceed
one-third of the number of students in the
State who were not required to be assessed
using tests written in English in the pre-
vious year because the students were in the
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third year of the 3-year period described in
this clause;
‘‘(J) beginning not later than school year
2002–2003, provide for the annual assessment of
the development of English proficiency (appro-
priate to students’ oral language, reading, and
writing skills in English) of students with lim-
ited English proficiency who are served under
this part or under title III and who do not par-
ticipate in the assessment described in clause (iv)
of subparagraph (I);
‘‘(K) include students who have attended
schools in a local educational agency for a full
academic year but have not attended a single
school for a full academic year, except that the
performance of students who have attended more
than 1 school in the local educational agency in
any academic year shall be used only in deter-
mining the progress of the local educational
agency;
‘‘(L) produce individual student interpre-
tive and descriptive reports to be provided to
parents of all students, which shall include per-
formance on assessments aligned with State
standards, and other information on the attain-
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ment of student performance standards, such as
measures of student course work over time, stu-
dent attendance rates, student dropout rates, and
student participation in advanced level courses;
‘‘(M) enable results to be disaggregated
within each State, local educational agency, and
school by gender, by racial and ethnic group, by
English proficiency status, by migrant status, by
students with disabilities as compared to non-
disabled students, and by economically disadvan-
taged students as compared to students who are
not economically disadvantaged, except that in
the case of a local educational agency or a school
such disaggregation shall not be required in a
case in which the number of students in a cat-
egory is insufficient to yield statistically reliable
information or the results would reveal individ-
ually identifiable information about an indi-
vidual student; and
‘‘(N) enable itemized score analyses to be re-
ported to schools and local educational agencies
in a way that parents, teachers, schools, and
local educational agencies can interpret and ad-
dress the specific academic needs of individual
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students as indicated by the students’ perform-
ance on assessment items.
‘‘(4) SPECIAL RULES.—(A) Additional measures
that do not meet the requirements of paragraph
(3)(C) may be included in the assessments if a State
includes in the State plan information regarding the
State’s efforts to validate such measures, but such
measures shall not be the primary or sole indicator
of student progress toward meeting State standards.
‘‘(B) Consistent with section 1112(b)(1)(D)
States may measure the proficiency of students in the
academic subjects in which a State has adopted chal-
lenging content and student performance standards 1
or more times during grades kindergarten through 2.
‘‘(5) LANGUAGE
ASSESSMENTS.—Each State
plan shall identify the languages other than English
that are present in the participating student popu-
lation and indicate the languages for which yearly
student assessments are not available and are needed.
The State shall make every effort to develop such as-
sessments and may request assistance from the Sec-
retary if linguistically accessible assessment measures
are needed. Upon request, the Secretary shall assist
with the identification of appropriate assessment
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measures in the needed languages but shall not man-
date a specific assessment or mode of instruction.
‘‘(6) REQUIREMENT.—Each State plan shall
describe—
‘‘(A) how the State educational agency will
help each local educational agency and school af-
fected by the State plan to develop the capacity
to comply with each of the requirements of sec-
tions 1112(c)(4), 1114(b), and 1115(c) that is
applicable to such agency or school;
‘‘(B) the specific steps the State educational
agency will take to ensure that both schoolwide
programs and targeted assistance schools provide
instruction by highly qualified instructional staff
as required by sections 1114(b)(1)(C) and
1115(c)(1)(F), including steps that the State
educational agency will take to ensure that poor
and minority children are not taught at higher
rates than other children by inexperienced, un-
qualified, or out of field teachers, and the meas-
ures that the State educational agency will use
to evaluate and publicly report the progress of
the State educational agency with respect to such
steps;
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‘‘(C) how the State educational agency will
develop or identify high quality effective cur-
riculum models aligned with State standards
and how the State educational agency will dis-
seminate such models to each local educational
agency and school within the State; and
‘‘(D) such other factors the State deems ap-
propriate to provide students an opportunity to
achieve the knowledge and skills described in the
challenging content standards adopted by the
State.
‘‘(7) ED-FLEX.—A State shall not be eligible for
designation under the Ed-Flex Partnership Act of
1999 until the State develops assessments aligned
with the State’s content standards in at least mathe-
matics and reading or language arts.
‘‘(8) FACTORS
IMPACTING
STUDENT
ACHIEVE-
MENT.—Each State plan shall include a description
of the process that will be used with respect to any
school within the State that is identified for school
improvement or corrective action under section 1116
to identify the academic and other factors that have
significantly impacted student achievement at the
school.
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‘‘(c) OTHER PROVISIONS TO SUPPORT TEACHING AND
LEARNING.—Each State plan shall contain assurances
that—
‘‘(1) the State will meet the requirements of sub-
section (j)(1) and, beginning with the 2002–2003
school year, will produce the annual State report
cards described in such subsection;
‘‘(2) the State will, beginning in school year
2002–2003, participate in annual State assessments
of 4th and 8th grade reading and mathematics under
the National Assessment of Educational Progress car-
ried out under section 411(b)(2) of the National Edu-
cation Statistics Act of 1994 if the Secretary pays the
costs of administering such assessments, except that a
State in which less than 0.25 percent of the total
number of poor, school-aged children in the United
States is located shall be required to comply with the
requirement of this paragraph on a biennial basis;
‘‘(3) the State educational agency will work with
other agencies, including educational service agencies
or other local consortia, and institutions to provide
technical assistance to local educational agencies and
schools to carry out the State educational agency’s re-
sponsibilities under this part, including technical as-
sistance in providing professional development under
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section 1119, technical assistance under section 1117,
and parental involvement under section 1118;
‘‘(4)(A) where educational service agencies exist,
the State educational agency will consider providing
professional development and technical assistance
through such agencies; and
‘‘(B) where educational service agencies do not
exist, the State educational agency will consider pro-
viding professional development and technical assist-
ance through other cooperative agreements such as
through a consortium of local educational agencies;
‘‘(5) the State educational agency will notify
local educational agencies and the public of the con-
tent and student performance standards and assess-
ments developed under this section, and of the author-
ity to operate schoolwide programs, and will fulfill
the State educational agency’s responsibilities regard-
ing local educational agency improvement and school
improvement under section 1116, including such cor-
rective actions as are necessary;
‘‘(6) the State educational agency will provide
the least restrictive and burdensome regulations for
local educational agencies and individual schools par-
ticipating in a program assisted under this part;
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‘‘(7) the State educational agency will inform
the Secretary and the public of how Federal laws, if
at all, hinder the ability of States to hold local edu-
cational agencies and schools accountable for student
academic performance;
‘‘(8) the State educational agency will encourage
schools to consolidate funds from other Federal, State,
and local sources for schoolwide reform in schoolwide
programs under section 1114;
‘‘(9) the State educational agency will modify or
eliminate State fiscal and accounting barriers so that
schools can easily consolidate funds from other Fed-
eral, State, and local sources for schoolwide programs
under section 1114;
‘‘(10) the State educational agency has involved
the committee of practitioners established under sec-
tion 1903(b) in developing the plan and monitoring
its implementation;
‘‘(11) the State educational agency will inform
local educational agencies of the local educational
agency’s authority to obtain waivers under subpart 3
of part B of title V and, if the State is an Ed-Flex
Partnership State, waivers under the Education
Flexibility Partnership Act of 1999; and
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‘‘(12) the State will coordinate activities funded
under this part with other Federal activities as ap-
propriate.
‘‘(d) PARENTAL INVOLVEMENT.—Each State plan shall
describe how the State will support the collection and dis-
semination to local educational agencies and schools of ef-
fective parental involvement practices. Such practices
shall—
‘‘(1) be based on the most current research on ef-
fective parental involvement that fosters achievement
to high standards for all children; and
‘‘(2) be geared toward lowering barriers to great-
er participation in school planning, review, and im-
provement experienced by parents.
‘‘(e) PEER REVIEW AND SECRETARIAL APPROVAL.—
‘‘(1) 
SECRETARIAL
DUTIES.—The 
Secretary
shall—
‘‘(A) establish a peer review process to assist
in the review of State plans;
‘‘(B) appoint individuals to the peer review
process who are representative of parents, teach-
ers, State educational agencies, local educational
agencies, and who are familiar with educational
standards, assessments, accountability, and other
diverse educational needs of students;
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‘‘(C) approve a State plan within 120 days
of its submission unless the Secretary determines
that the plan does not meet the requirements of
this section;
‘‘(D) if the Secretary determines that the
State plan does not meet the requirements of sub-
section (a), (b), or (c), immediately notify the
State of such determination and the reasons for
such determination;
‘‘(E) not decline to approve a State’s plan
before—
‘‘(i) offering the State an opportunity
to revise its plan;
‘‘(ii) providing technical assistance in
order to assist the State to meet the require-
ments under subsections (a), (b), and (c);
and
‘‘(iii) providing a hearing; and
‘‘(F) have the authority to disapprove a
State plan for not meeting the requirements of
this part, but shall not have the authority to re-
quire a State, as a condition of approval of the
State plan, to include in, or delete from, such
plan 1 or more specific elements of the State’s
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content standards or to use specific assessment
instruments or items.
‘‘(2) STATE REVISIONS.—States shall revise their
plans if necessary to satisfy the requirements of this
section.
‘‘(f) PROVISION OF TESTING RESULTS TO PARENTS
AND TEACHERS.—Each State plan shall demonstrate how
the State educational agency will assist local educational
agencies in assuring that results from the assessments re-
quired under this section will be provided to parents and
teachers as soon as is practicably possible after the test is
taken, in a manner and form that is understandable and
easily accessible to parents and teachers.
‘‘(g) DURATION OF THE PLAN.—
‘‘(1) IN GENERAL.—Each State plan shall—
‘‘(A) remain in effect for the duration of the
State’s participation under this part; and
‘‘(B) be periodically reviewed and revised
by the State, as necessary, to reflect changes in
the State’s strategies and programs under this
part.
‘‘(2) ADDITIONAL
INFORMATION.—If the State
makes significant changes in its plan, such as the
adoption of new State content standards and State
student performance standards, new assessments, or a
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new definition of adequate progress, the State shall
submit such information to the Secretary.
‘‘(h) LIMITATION ON CONDITIONS.—Nothing in this
part shall be construed to authorize an officer or employee
of the Federal Government to mandate, direct, or control
a State, local educational agency, or school’s specific in-
structional content or student performance standards and
assessments, curriculum, or program of instruction, as a
condition of eligibility to receive funds under this part.
‘‘(i) PENALTY.—If a State fails to meet the statutory
deadlines for demonstrating that it has in place challenging
content standards and student performance standards, a set
of high quality annual student assessments aligned to the
standards, and a system for measuring and monitoring
adequate yearly progress, the Secretary shall withhold funds
for State administration and activities under section 1117
and take such other steps as are needed to assist the State
in coming into compliance with this section until the Sec-
retary determines that the State plan meets the require-
ments of this section.
‘‘(j) REPORTS.—
‘‘(1) ANNUAL STATE REPORT CARD.—
‘‘(A) IN GENERAL.—Not later than the be-
ginning of the 2002–2003 school year, a State
that receives assistance under this Act shall pre-
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pare and disseminate an annual State report
card.
‘‘(B) IMPLEMENTATION.—The State report
card shall be—
‘‘(i) concise; and
‘‘(ii) presented in a format and man-
ner that parents can understand, and
which, to the extent practicable, shall be in
a language the parents can understand.
‘‘(C) PUBLIC
DISSEMINATION.—The State
shall widely disseminate the information de-
scribed in subparagraph (D) to all schools and
local educational agencies in the State and make
the information broadly available through public
means, such as posting on the Internet, distribu-
tion to the media, and distribution through pub-
lic agencies.
‘‘(D) REQUIRED INFORMATION.—The State
shall include in its annual State report card—
‘‘(i) information, in the aggregate, on
student achievement and performance at
each proficiency level on the State assess-
ments described in subsection (b)(3)(G)
(disaggregated by race, ethnicity, gender,
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disability status, migrant status, English
proficiency, and socioeconomic status);
‘‘(ii) the percentage of students not
tested (disaggregated by the same categories
described in clause (i));
‘‘(iii) the most recent 2-year trend in
student performance in each subject area,
and for each grade level, for which assess-
ments under section 1111 are required;
‘‘(iv) aggregate information included
in all other indicators used by the State to
determine the adequate yearly progress of
students in achieving State content and stu-
dent performance standards;
‘‘(v) average 4-year graduation rates
and 
annual 
school 
dropout 
rates
disaggregated by race, ethnicity, gender,
disability status, migrant status, English
proficiency, and socioeconomic status, ex-
cept that such disaggregation shall not be
required in a case in which the number of
students in a category is insufficient to
yield statistically reliable information or
the results would reveal individually identi-
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fiable information about an individual stu-
dent;
‘‘(vi) the percentage of teachers teach-
ing with emergency or provisional creden-
tials (disaggregated by high poverty and
low poverty schools which for purposes of
this clause means schools in which 50 per-
cent or more, or less than 50 percent, re-
spectively, of the students are from low-in-
come families), and the percentage of classes
not taught by highly qualified teachers in
such high poverty schools;
‘‘(vii) the number and names of each
school identified for school improvement, in-
cluding schools identified under section
1116(c); and
‘‘(viii) information on the performance
of local educational agencies in the State re-
garding making adequate yearly progress,
including the number and percentage of
schools in the State that did not make ade-
quate yearly progress.
‘‘(E) 
PERMISSIVE
INFORMATION.—The
State may include in its annual State report
card such other information as the State believes
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will best provide parents, students, and other
members of the public with information regard-
ing the progress of each of the State’s public ele-
mentary schools and secondary schools. Such in-
formation may include information regarding—
‘‘(i) school attendance rates;
‘‘(ii) average class size in each grade;
‘‘(iii) academic achievement and gains
in English proficiency of limited English
proficient students;
‘‘(iv) the incidence of school violence,
drug abuse, alcohol abuse, student suspen-
sions, and student expulsions;
‘‘(v) the extent of parental participa-
tion in the schools;
‘‘(vi) parental involvement activities;
‘‘(vii) extended learning time programs
such as after-school and summer programs;
‘‘(viii) the percentage of students com-
pleting advanced placement courses;
‘‘(ix) the percentage of students com-
pleting college preparatory curricula; and
‘‘(x) student access to technology in
school.
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‘‘(F) PROTECTION OF PUPIL RIGHTS.—In
meeting the requirements of this section, States,
local educational agencies, and schools shall com-
ply with the provisions of section 445 of the Gen-
eral Education Provisions Act.
‘‘(2) ANNUAL LOCAL EDUCATIONAL AGENCY RE-
PORT CARDS.—
‘‘(A) IN GENERAL.—Not later than the be-
ginning of the 2002–2003 school year, a local
educational agency that receives assistance under
this Act shall prepare and disseminate an an-
nual local educational agency report card.
‘‘(B) MINIMUM REQUIREMENTS.—The State
shall ensure that each local educational agency
collects appropriate data and includes in the
local educational agency’s annual report the in-
formation described in paragraph (1)(D) as ap-
plied to the local educational agency and each
school served by the local educational agency,
and—
‘‘(i) in the case of a local educational
agency—
‘‘(I) the number and percentage of
schools identified for school improve-
ment and how long they have been so
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identified, including schools identified
under section 1116(c); and
‘‘(II) information that shows how
students served by the local educational
agency perform on the statewide assess-
ment compared to students in the State
as a whole; and
‘‘(ii) in the case of a school—
‘‘(I) whether the school has been
identified for school improvement; and
‘‘(II) information that shows how
the school’s students performed on the
statewide assessment compared to stu-
dents in the local educational agency
and the State as a whole.
‘‘(C) OTHER INFORMATION.—A local edu-
cational agency may include in its annual re-
ports any other appropriate information whether
or not such information is included in the an-
nual State report.
‘‘(D) DATA.—A local educational agency or
school shall only include in its annual local edu-
cational agency report card data that is suffi-
cient to yield statistically reliable information,
as determined by the State, and does not reveal
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individually identifiable information about an
individual student.
‘‘(E) PUBLIC
DISSEMINATION.—The local
educational agency shall, not later than the be-
ginning of the 2002–2003 school year, publicly
disseminate the information described in this
paragraph to all schools in the school district
and to all parents of students attending those
schools, and make the information broadly avail-
able through public means, such as posting on
the Internet, distribution to the media, and dis-
tribution through public agencies, except that if
a local educational agency issues a report card
for all students, the local educational agency
may include the information under this section
as part of such report.
‘‘(3) PREEXISTING REPORT CARDS.—A State or
local educational agency that was providing public
report cards on the performance of students, schools,
local educational agencies, or the State, may continue
to use those reports for the purpose of this subsection,
if such report is modified, as may be necessary, to
contain the information required by this subsection.
‘‘(4) ANNUAL
STATE
REPORT
TO
THE
SEC-
RETARY.—Each State receiving assistance under this
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Act shall report annually to the Secretary, and make
widely available within the State—
‘‘(A) beginning with school year 2001–2002,
information on the State’s progress in developing
and implementing the assessments described in
subsection (b)(3);
‘‘(B) beginning not later than school year
2004–2005, information on the achievement of
students on the assessments required by that sec-
tion, including the disaggregated results for the
categories of students identified in subsection
(b)(2)(B)(v)(II);
‘‘(C) the number and names of each school
identified for school improvement, including
schools identified under section 1116(c), the rea-
son why each school was so identified, and the
measures taken to address the performance prob-
lems of such schools; and
‘‘(D) in any year before the State begins to
provide the information described in subpara-
graph (B), information on the results of student
assessments (including disaggregated results) re-
quired under this section.
‘‘(5) PARENTS RIGHT-TO-KNOW.—
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‘‘(A) QUALIFICATIONS.—A local educational
agency that receives funds under this part shall
provide and notify the parents of each student
attending any school receiving funds under this
part that the parents may request, and will be
provided on request, information regarding the
professional qualifications of the student’s class-
room teachers, including, at a minimum, the fol-
lowing:
‘‘(i) Whether the teacher has met State
qualification and licensing criteria for the
grade levels and subject areas in which the
teacher provides instruction.
‘‘(ii) Whether the teacher is teaching
under emergency or other provisional status
through which State qualification or licens-
ing criteria have been waived.
‘‘(iii) The baccalaureate degree major
of the teacher and any other graduate cer-
tification or degree held by the teacher, and
the field of discipline of the certification or
degree.
‘‘(iv) Whether the child is provided
services by a paraprofessional and the
qualifications of such paraprofessional.
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‘‘(B) ADDITIONAL INFORMATION.—A school
that receives funds under this part shall provide
to parents information on the level of perform-
ance, of the individual student for whom they
are the parent, in each of the State assessments
as required under this part.
‘‘(C) FORMAT.—The notice and information
provided to parents shall be in an understand-
able and uniform format.
‘‘(6) REPORT
TO
CONGRESS.—The Secretary
shall report annually to Congress—
‘‘(A) beginning with school year 2001–2002,
information on the State’s progress in developing
and implementing the assessments described in
subsection (b)(3);
‘‘(B) beginning not later than school year
2004–2005, information on the achievement of
students on the assessments described in sub-
section (b)(3), including the disaggregated results
for the categories of students described in sub-
section (b)(2)(B)(v)(II);
‘‘(C) in any year before the States begin to
provide the information described in paragraph
(B) to the Secretary, information on the results
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of student assessments (including disaggregated
results) required under this section.
‘‘(k) PRIVACY.—Information collected under this sec-
tion shall be collected and disseminated in a manner that
protects the privacy of individuals.
‘‘(l) TECHNICAL ASSISTANCE.—The Secretary shall
provide a State educational agency, at the State edu-
cational agency’s request, technical assistance in meeting
the requirements of this section, including the provision of
advice by experts in the development of high-quality assess-
ments, the setting of State performance standards, the devel-
opment of measures of adequate yearly progress that are
valid and reliable, and other relevant areas.
‘‘(m) VOLUNTARY PARTNERSHIPS.—A State may enter
into a voluntary partnership with another State to develop
and implement the assessments and standards required
under this section.’’.
SEC. 112. LOCAL EDUCATIONAL AGENCY PLANS.
Section 1112 (20 U.S.C. 6312) is amended—
(1) in subsection (a)—
(A) in paragraph (1), by striking ‘‘the
Goals’’ and all that follows through ‘‘section
14306’’ and inserting ‘‘the Individuals with Dis-
abilities Education Act, the Carl D. Perkins Vo-
cational and Technical Education Act of 1998,
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the Head Start Act, and other Acts, as appro-
priate’’; and
(B) in paragraph (2), by striking ‘‘14304’’
and inserting ‘‘5504’’;
(2) in subsection (b)—
(A) in paragraph (1)—
(i) in subparagraph (B), by striking
‘‘and’’ after the semicolon;
(ii) in subparagraph (C), by inserting
‘‘and’’ after the semicolon; and
(iii) by adding at the end the fol-
lowing:
‘‘(D) determine the literacy levels of first
graders and their needs for interventions, includ-
ing a description of how the agency will ensure
that any such assessments—
‘‘(i) are developmentally appropriate;
‘‘(ii) use multiple measures to provide
information about the variety of skills that
research has identified as leading to early
reading; and
‘‘(iii) are administered to students in
the language most likely to yield valid re-
sults;’’;
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(B) in paragraph (3), by inserting ‘‘, which
strategy shall be coordinated with activities
under title II if the local educational agency re-
ceives funds under title II’’ before the semicolon;
(C) in paragraph (4)—
(i) in subparagraph (A)—
(I) by striking ‘‘programs, voca-
tional’’ and inserting ‘‘programs and
vocational’’; and
(II) by striking ‘‘, and school-to-
work transition programs’’; and
(ii) in subparagraph (B)—
(I) by striking ‘‘served under part
C’’ and all that follows through
‘‘1994’’; and
(II) by striking ‘‘served under
part D’’; and
(D) by striking paragraph (9) and insert-
ing the following:
‘‘(9) where appropriate, a description of how the
local educational agency will use funds under this
part to support early childhood education programs
under section 1120B;
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‘‘(10) a description of the strategy the local edu-
cational agency will use to implement effective paren-
tal involvement under section 1118;
‘‘(11) a description of the process that will be
used with respect to any school identified for school
improvement or corrective action that is served by the
local educational agency to determine the academic
and other factors that have significantly impacted
student achievement at the school; and
‘‘(12) where appropriate, a description of how
the local educational agency will use funds under this
part to support school year extension programs under
section 1120C for low-performing schools.’’;
(3) by amending subsection (c) to read as fol-
lows:
‘‘(c) ASSURANCES.—Each local educational agency
plan shall provide assurances that the local educational
agency will—
‘‘(1) inform eligible schools and parents of
schoolwide project authority;
‘‘(2) provide technical assistance and support to
schoolwide programs;
‘‘(3) work in consultation with schools as the
schools develop the schools’ plans pursuant to section
1114 and assist schools as the schools implement such
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plans or undertake activities pursuant to section 1115
so that each school can make adequate yearly progress
toward meeting the State content standards and State
student performance standards;
‘‘(4) fulfill such agency’s school improvement re-
sponsibilities under section 1116, including taking
corrective actions under section 1116(c)(5);
‘‘(5) work in consultation with schools as the
schools develop and implement their plans or activi-
ties under sections 1118 and 1119;
‘‘(6) coordinate and collaborate, to the extent fea-
sible and necessary as determined by the local edu-
cational agency, with other agencies providing serv-
ices to children, youth, and families, including health
and social services;
‘‘(7) provide services to eligible children attend-
ing private elementary and secondary schools in ac-
cordance with section 1120, and timely and meaning-
ful consultation with private school officials regarding
such services;
‘‘(8) take into account the experience of model
programs for the educationally disadvantaged, and
the findings of relevant research indicating that serv-
ices may be most effective if focused on students in the
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earliest grades at schools that receive funds under this
part;
‘‘(9) comply with the requirements of section
1119 regarding professional development;
‘‘(10) inform eligible schools of the local edu-
cational agency’s authority to obtain waivers on the
school’s behalf under subpart 3 of part B of title V,
and if the State is an Ed-Flex Partnership State,
waivers under the Education Flexibility Partnership
Act of 1999;
‘‘(11) ensure, through incentives for voluntary
transfers, the provision of professional development,
recruitment programs, or other effective strategies,
that low-income students and minority students are
not taught at higher rates than other students by un-
qualified, out-of-field, or inexperienced teachers;
‘‘(12) use the results of the student assessments
required under section 1111(b)(3), and other measures
or indicators available to the agency, to review annu-
ally the progress of each school served by the agency
and receiving funds under this title to determine
whether or not all of the schools are making the an-
nual progress necessary to ensure that all students
will meet the State’s proficient level of performance
on the State assessments described in section
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1111(b)(3) within 10 years of the date of enactment
of the Better Education for Students and Teachers
Act;
‘‘(13) ensure that the results from the assessments
required under section 1111 will be provided to par-
ents and teachers as soon as is practicably possible
after the test is taken, in a manner and form that is
understandable and easily accessible to parents and
teachers; and
‘‘(14) make available to each school served by the
agency and assisted under this part models of high
quality, effective curriculum that are aligned with the
State’s standards and developed or identified by the
State.’’; and
(4) in subsection (e)—
(A) in paragraph (1), by striking ‘‘, except
that’’ and all that follows through ‘‘finally ap-
proved by the State educational agency’’; and
(B) in paragraph (3)—
(i) by striking ‘‘professional develop-
ment’’; and
(ii) by striking ‘‘section 1119’’ and in-
serting ‘‘sections 1118 and 1119’’.
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SEC. 113. ELIGIBLE SCHOOL ATTENDANCE AREAS.
Section 
1113(b)(1) 
(20 
U.S.C. 
6313(b)(2)) 
is
amended—
(1) in subparagraph (B), by striking ‘‘and’’ after
the semicolon;
(2) in subparagraph (C)(iii), by striking the pe-
riod and inserting ‘‘; and’’; and
(3) by adding at the end the following:
‘‘(D) designate and serve a school attend-
ance area or school that is not an eligible school
attendance area under subsection (a)(2), but that
was an eligible school attendance area and was
served in the fiscal year preceding the fiscal year
for which the determination is made, but only
for 1 additional fiscal year.’’.
SEC. 114. SCHOOLWIDE PROGRAMS.
Section 1114 (20 U.S.C. 6314) is amended—
(1) in subsection (a)—
(A) by striking paragraph (1) and inserting
the following:
‘‘(1) IN GENERAL.—A local educational agency
may use funds under this part, together with other
Federal, State, and local funds, to upgrade the entire
educational program of a school that serves an eligible
school attendance area in which not less than 40 per-
cent of the children are from low-income families, or
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not less than 40 percent of the children enrolled in the
school are from such families, for the initial year of
the schoolwide program.’’; and
(B) in paragraph (4)—
(i) by amending the heading to read as
follows: ‘‘EXEMPTION FROM STATUTORY AND
REGULATORY REQUIREMENTS.—’’; and
(ii) by adding at the end the following:
‘‘(C) A school that chooses to use funds from such
other programs under this section shall not be re-
quired to maintain separate fiscal accounting records,
by program, that identify the specific activities sup-
ported by those particular funds as long as the school
maintains 
records 
that 
demonstrate 
that 
the
schoolwide program, considered as a whole, addresses
the intent and purposes of each of the programs that
were consolidated to support the schoolwide pro-
gram.’’; and
(2) in subsection (b)—
(A) in paragraph (1)—
(i) in subparagraph (B)(vii), by strik-
ing ‘‘, if any, approved under title III of
the Goals 2000: Educate America Act’’;
(ii) in subparagraph (E), by striking
‘‘, such as family literacy services’’ and in-
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serting ‘‘(including activities described in
section 1118), such as family literacy serv-
ices, in-school volunteer opportunities, or
parent membership on school-based leader-
ship or management teams.’’; and
(iii) by adding at the end the fol-
lowing:
‘‘(I) Coordination and integration of Fed-
eral, State, and local services and programs, in-
cluding programs supported under this Act, vio-
lence prevention programs, nutrition programs,
housing programs, Head Start, adult education,
and job training.’’; and
(B) in paragraph (2)—
(i) in subparagraph (A)—
(I) in the matter preceding clause
(i), by striking ‘‘Improving America’s
Schools Act of 1994’’ and inserting
‘‘Better Education for Students and
Teachers Act’’;
(II) in clause (iv), by inserting
‘‘in a language the family can under-
stand’’ after ‘‘assessment results’’;
(III) in clause (vi), by striking
‘‘and’’ after the semicolon;
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(IV) in clause (vii), by striking
the period and inserting ‘‘; and’’; and
(V) by adding at the end the fol-
lowing:
‘‘(viii) describes how the school will co-
ordinate and collaborate with other agencies
providing services to children and families,
including programs supported under this
Act, violence prevention programs, nutrition
programs, housing programs, Head Start,
adult education, and job training.’’; and
(ii) in subparagraph (C)—
(I) in clause (i)(II), by striking
‘‘Improving America’s Schools Act of
1994’’ and inserting ’’Better Education
for Students and Teachers Act’’; and
(II) in clause (v), by striking ‘‘the
School-to-Work Opportunities Act of
1994’’.
SEC. 115. TARGETED ASSISTANCE SCHOOLS.
Section 1115 (20 U.S.C. 6315) is amended—
(1) in subsection (b)—
(A) in paragraph (1)(A)(ii), by striking ‘‘,
yet’’ and all that follows through ‘‘setting’’; and
(B) in paragraph (2)—
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(i) in subparagraph (B), insert ‘‘or in
early childhood education services under
this title,’’ after ‘‘program,’’; and
(ii) in subparagraph (C)(i), by strik-
ing ‘‘under part D (or its predecessor au-
thority)’’; and
(2) in subsection (c)(1)—
(A) by amending subparagraph (G) to read
as follows:
‘‘(G) provide opportunities for professional
development with resources provided under this
part, and to the extent practicable, from other
sources, for teachers, principals, administrators,
paraprofessionals, pupil services personnel, and
parents, who work with participating children
in programs under this section or in the regular
education program;’’;
(B) in subparagraph (H), by striking ‘‘,
such as family literacy services’’ and inserting
‘‘(including activities described in section 1118),
such as family literacy services, in-school volun-
teer opportunities, or parent membership on
school-based leadership or management teams;
and’’; and
(C) by adding at the end the following:
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‘‘(I) coordinate and integrate Federal,
State, and local services and programs, includ-
ing programs supported under this Act, violence
prevention programs, nutrition programs, hous-
ing programs, Head Start, adult education, and
job training.’’.
SEC. 116. PUPIL SAFETY AND FAMILY SCHOOL CHOICE.
Subpart 1 of part A of title I (20 U.S.C. 6311 et seq.)
is amended by inserting after section 1115A (20 U.S.C.
6316) the following:
‘‘SEC. 1115B. PUPIL SAFETY AND FAMILY SCHOOL CHOICE.
‘‘(a) IN GENERAL.—If a student is eligible to be served
under section 1115(b), or attends a school eligible for a
schoolwide program under section 1114, and—
‘‘(1) becomes a victim of a violent criminal of-
fense while in or on the grounds of a public elemen-
tary school or secondary school that the student at-
tends and that receives assistance under this part,
then the local educational agency shall allow such stu-
dent to transfer to another public school or public
charter school in the same State as the school where
the criminal offense occurred, that is selected by the
student’s parent unless allowing such transfer is
prohibited—
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‘‘(A) under the provisions of a State or local
law; or
‘‘(B) by a local educational agency policy
that is approved by a local school board; or
‘‘(2) the public school that the student attends
and that receives assistance under this part has been
designated as an unsafe public school, then the local
educational agency may allow such student to trans-
fer to another public school or public charter school
in the same State as the school where the criminal of-
fense occurred, that is selected by the student’s parent.
‘‘(b) STATE
EDUCATIONAL
AGENCY
DETERMINA-
TIONS.—
‘‘(1) The State educational agency shall deter-
mine, based upon State law, what actions constitute
a violent criminal offense for purposes of this section.
‘‘(2) The State educational agency shall deter-
mine which schools in the State are unsafe public
schools.
‘‘(3) The term ‘unsafe public schools’ means a
public school that has serious crime, violence, illegal
drug, and discipline problems, as indicated by condi-
tions that may include high rates of—
‘‘(A) expulsions and suspensions of students
from school;
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‘‘(B) referrals of students to alternative
schools for disciplinary reasons, to special pro-
grams or schools for delinquent youth, or to juve-
nile court;
‘‘(C) victimization of students or teachers
by criminal acts, including robbery, assault and
homicide;
‘‘(D) enrolled students who are under court
supervision for past criminal behavior;
‘‘(E) possession, use, sale or distribution of
illegal drugs;
‘‘(F) enrolled students who are attending
school while under the influence of illegal drugs
or alcohol;
‘‘(G) possession or use of guns or other
weapons;
‘‘(H) participation in youth gangs; or
‘‘(I) crimes against property, such as theft
or vandalism.
‘‘(c) TRANSPORTATION COSTS.—The local educational
agency that serves the public school in which the violent
criminal offense occurred or that serves the designated un-
safe public school may use funds provided under this part
to provide transportation services or to pay the reasonable
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costs of transportation for the student to attend the school
selected by the student’s parent.
‘‘(d) SPECIAL RULE.—Any school receiving assistance
provided under this section shall comply with title VI of
the Civil Rights Act of 1964 (42 U.S.C. 2000d et seq.) and
not discriminate on the basis of race, color, or national ori-
gin.
‘‘(e) PART B OF THE INDIVIDUALS WITH DISABILITIES
EDUCATION ACT.—Nothing in this section shall be con-
strued to affect the requirements of part B of the Individ-
uals with Disabilities Education Act (20 U.S.C. 1411 et
seq.).’’.
SEC. 117. ASSESSMENT AND LOCAL EDUCATIONAL AGENCY
AND SCHOOL IMPROVEMENT.
Section 1116 (20 U.S.C. 6317) is amended to read as
follows:
‘‘SEC. 1116. ASSESSMENT AND LOCAL EDUCATIONAL AGEN-
CY AND SCHOOL IMPROVEMENT.
‘‘(a) LOCAL REVIEW.—Each local educational agency
receiving funds under this part shall—
‘‘(1) use the State assessments described in the
State plan;
‘‘(2) use any additional measures or indicators
described in the local educational agency’s plan to re-
view annually the progress of each school served under
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this part to determine whether the school is meeting,
or making adequate progress as defined in sections
1111(b)(2) (B) and (D) toward enabling its students
to meet the State’s student performance standards de-
scribed in the State plan;
‘‘(3) provide the results of the local annual re-
view to schools so that the schools, principals, teach-
ers, and other staff in an instructionally useful man-
ner can continually refine the program of instruction
to help all children served under this part in those
schools meet the State’s student performance stand-
ards; and
‘‘(4) annually review the effectiveness of the ac-
tions and activities the schools are carrying out under
this part with respect to parental involvement activi-
ties under section 1118, professional development ac-
tivities under section 1119, and other activities as-
sisted under this Act.
‘‘(b) DESIGNATION OF DISTINGUISHED SCHOOLS.—
Each State educational agency and local educational agen-
cy receiving funds under this part shall designate distin-
guished schools in accordance with section 1117.
‘‘(c) SCHOOL IMPROVEMENT.—
‘‘(1) SCHOOL
IMPROVEMENT.—(A) Subject to
subparagraph (B), a local educational agency shall
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identify for school improvement any elementary
school or secondary school served under this part that
fails, for any year, to make adequate yearly progress
as defined in the State’s plan under sections
1111(b)(2) (B) and (D).
‘‘(B) Subparagraph (A) shall not apply to a
school if almost every student in such school is meet-
ing the State’s proficient level of performance.
‘‘(C) To determine if an elementary school or a
secondary school that is conducting a targeted assist-
ance program under section 1115 should be identified
for school improvement under this subsection, a local
educational agency may choose to review the progress
of only the students in the school who are served, or
are eligible for services, under this part.
‘‘(2) OPPORTUNITY
TO
REVIEW
AND
PRESENT
EVIDENCE; TIME LIMIT.—(A) Before identifying an el-
ementary school or a secondary school for school im-
provement under paragraph (1), for corrective action
under paragraph (7), or for reconstitution under
paragraph (8), the local educational agency shall pro-
vide the school with an opportunity to review the
school-level data, including assessment data, on which
such identification is based.
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‘‘(B) If the principal of a school proposed for
identification under paragraph (1), (7), or (8) be-
lieves that the proposed identification is in error for
statistical or other substantive reasons, the principal
may provide supporting evidence to the local edu-
cational agency, which shall consider that evidence
before making a final determination.
‘‘(C) Not later than 30 days after a local edu-
cational agency makes an initial determination con-
cerning identifying a school under paragraph (1), (7),
or (8), the local educational agency shall make public
a final determination on the status of the school.
‘‘(3) SCHOOL PLAN.—(A) Each school identified
under paragraph (1) for school improvement shall,
not later than 3 months after being so identified, de-
velop or revise a school plan, in consultation with
parents, school staff, the local educational agency
serving the school, the local school board, and other
outside experts, for approval by such local educational
agency. The school plan shall cover a 2-year period
and—
‘‘(i) incorporate scientifically based research
strategies that strengthen the core academic sub-
jects in the school and address the specific aca-
demic issues that caused the school to be identi-
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fied for school improvement and may include a
strategy for the implementation of a comprehen-
sive school reform model that meets each of the
components described in section 1706(a);
‘‘(ii) adopt policies and practices con-
cerning the school’s core academic subjects that
have the greatest likelihood of ensuring that all
groups 
of 
students 
specified 
in 
section
1111(b)(2)(B)(v)(II) and enrolled in the school
will meet the State’s proficient level of perform-
ance on the State assessment described in section
1111(b)(3) within 10 years after the date of en-
actment of the Better Education for Students
and Teachers Act;
‘‘(iii) provide an assurance that the school
will reserve not less than 10 percent of the funds
made available to the school under this part for
each fiscal year that the school is in school im-
provement status, for the purpose of providing to
the school’s teachers and principal high-quality
professional development that—
‘‘(I) directly addresses the academic
performance problem that caused the school
to be identified for school improvement; and
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‘‘(II) meets the requirements for profes-
sional development activities under section
1119;
‘‘(iv) specify how the funds described in
clause (iii) will be used to remove the school from
school improvement status;
‘‘(v) establish specific annual, objective
goals for continuous and significant progress by
each group of students specified in section 1111
(b)(2)(B)(v)(II) and enrolled in the school that
will ensure that all such groups of students will
make continuous and significant progress to-
wards meeting the goal of all students reaching
the State’s proficient level of performance on the
State assessment described in section 1111(b)(3)
within 10 years after the date of enactment of
the Better Education for Students and Teachers
Act;
‘‘(vi) identify how the school will provide
written notification about the identification to
the parents of each student enrolled in such
school, in a format and, to the extent practicable,
in a language the parents can understand;
‘‘(vii) specify the responsibilities of the
school, the local educational agency, and the
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State educational agency serving the school
under the plan, including the technical assist-
ance to be provided by the local educational
agency under paragraph (4); and
‘‘(viii) include strategies to promote effective
parental involvement in the school.
‘‘(B) The local educational agency may condi-
tion approval of a school plan on inclusion of 1 or
more of the corrective actions specified in paragraph
(7)(D)(ii).
‘‘(C) A school shall implement the school plan
(including a revised plan) expeditiously, but not later
than the beginning of the school year following the
school year in which the school was identified for
school improvement.
‘‘(D) The local educational agency, within 45
days after receiving a school plan, shall—
‘‘(i) establish a peer-review process to assist
with review of a school plan prepared by a
school served by the local educational agency;
and
‘‘(ii) promptly review the school plan, work
with the school as necessary, and approve the
school plan if the plan meets the requirements of
this paragraph.
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‘‘(4) TECHNICAL
ASSISTANCE.—(A) For each
school identified for school improvement under para-
graph (1), the local educational agency serving the
school shall provide technical assistance as the school
develops and implements the school plan.
‘‘(B) Such technical assistance—
‘‘(i) shall include assistance in analyzing
data from the assessments required under section
1111(b)(3), and other samples of student work, to
identify and address instructional problems in-
cluding problems, if any, in implementing the
parental involvement requirements described in
section 1118, the professional development re-
quirements described in section 1119, and the re-
sponsibilities of the school and local educational
agency under the school plan and solutions;
‘‘(ii) shall include assistance in identifying
and implementing instructional strategies and
methods that are tied to scientifically based re-
search and that have proven effective in address-
ing the specific instructional issues that caused
the school to be identified for school improve-
ment;
‘‘(iii) shall include assistance in analyzing
and revising the school’s budget so that the school
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resources are more effectively allocated for the ac-
tivities most likely to increase student perform-
ance and to remove the school from school im-
provement status; and
‘‘(iv) may be provided—
‘‘(I) by the local educational agency,
through mechanisms authorized under sec-
tion 1117; or
‘‘(II) by the State educational agency,
an institution of higher education (in full
compliance with all the reporting provisions
of title II of the Higher Education Act of
1965), a private not-for-profit organization
or for-profit organization, an educational
service agency, or another entity with expe-
rience in helping schools improve perform-
ance.
‘‘(C) Technical assistance provided under this
section by a local educational agency or an entity ap-
proved by that agency shall be based on scientifically
based research.
‘‘(5) FAILURE
TO
MAKE
ADEQUATE
YEARLY
PROGRESS
AFTER
IDENTIFICATION.—In the case of
any school served under this part that fails to make
adequate yearly progress, as defined by the State
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under sections 1111(b)(2) (B) and (D), at the end of
the first year after the school year for which the school
was identified under paragraph (1), the local edu-
cational agency serving such school—
‘‘(A) shall provide all students enrolled in
the school with the option to transfer to another
public school within the local educational agen-
cy, including a public charter school, that has
not been identified for school improvement under
paragraph (1), unless—
‘‘(i) such an option is prohibited by
State law or local law, which includes
school board approved local educational
agency policy; or
‘‘(ii) the local educational agency dem-
onstrates to the satisfaction of the State
educational agency that the local edu-
cational agency lacks the capacity to pro-
vide that option to all students in the school
who request the option, in which case the
local educational agency shall permit as
many students as possible (selected by the
agency on an equitable basis and giving
priority to the lowest achieving students) to
make such a transfer, after giving notice to
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the parents of affected children that it is not
possible, consistent with State and local
law, to accommodate the transfer request of
every student;
‘‘(B) may identify the school for, and take,
corrective action under paragraph (7); and
‘‘(C) shall continue to provide technical as-
sistance while instituting any corrective action.
‘‘(6) NOTIFICATION TO PARENTS.—A local edu-
cational agency shall promptly provide (in a format
and, to the extent practicable, in a language the par-
ents can understand) the parents of each student in
an elementary school or a secondary school identified
for school improvement under paragraph (1), for cor-
rective action under paragraph (7), or for reconstitu-
tion under paragraph (8)—
‘‘(A) an explanation of what the identifica-
tion means, and how the school compares in
terms of academic performance to other elemen-
tary schools or secondary schools served by the
State educational agency and the local edu-
cational agency involved;
‘‘(B) the reasons for the identification;
‘‘(C) an explanation of what the school is
doing to address the problem of low performance;
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‘‘(D) an explanation of what the State edu-
cational agency or local educational agency is
doing to help the school address the performance
problem;
‘‘(E) an explanation of how parents de-
scribed in this paragraph can become involved in
addressing the academic issues that caused the
school to be identified; and
‘‘(F) when the school is identified for correc-
tive action under paragraph (7) or for recon-
stitution under paragraph (8), an explanation of
the parents’ option to transfer their child to an-
other public school (with transportation provided
by the agency when required by paragraph (9))
or to obtain supplemental services for the child,
in accordance with those paragraphs.
‘‘(7) CORRECTIVE
ACTION.—(A) In this sub-
section, the term ‘corrective action’ means action, con-
sistent with State and local law, that—
‘‘(i) substantially and directly responds
to—
‘‘(I) the consistent academic failure of
a school that caused the local educational
agency to take such action; and
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‘‘(II) any underlying staffing, cur-
riculum, or other problem in the school; and
‘‘(ii) is designed to increase substantially
the likelihood that students enrolled in the school
identified for corrective action will perform at
the State’s proficient and advanced levels of per-
formance on the State assessment described in
section 1111(b)(3).
‘‘(B) In order to help students served under this
part meet challenging State standards, each local edu-
cational agency shall implement a system of correc-
tive action in accordance with subparagraphs (C)
through (F) and paragraph (8).
‘‘(C) In the case of any school served by the local
educational agency under this part that fails to make
adequate yearly progress, as defined by the State
under sections 1111(b)(2) (B) and (D), at the end of
the second year after the school year for which the
school was identified under paragraph (1), the local
educational agency shall—
‘‘(i)(I) provide all students enrolled in the
school with the option to transfer to another pub-
lic school within the local educational agency,
including a public charter school, that has not
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been identified for school improvement under
paragraph (1); and
‘‘(II) if all public schools in the local edu-
cational agency to which children may transfer
are identified under paragraph (1) or this para-
graph, the agency shall, to the extent practicable,
establish a cooperative agreement with other
local educational agencies in the area for the
transfer of as many of those children as possible,
selected by the agency on an equitable basis;
‘‘(ii) make supplemental educational serv-
ices available, in accordance with subsection (f),
to children who remain in the school;
‘‘(iii) identify the school for corrective ac-
tion and take at least one of the following correc-
tive actions:
‘‘(I) Make alternative governance ar-
rangements, such as reopening the school as
a public charter school.
‘‘(II) Replace the relevant school staff.
‘‘(III) Institute and fully implement a
new curriculum, including providing ap-
propriate professional development for all
relevant staff, that is tied to scientifically
based research and offers substantial prom-
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ise of improving educational performance
for low-performing students; and
‘‘(iv) continue to provide technical assist-
ance to the school.
‘‘(D) A local educational agency may delay, for
a period not to exceed one year, implementation of
corrective action only if the school’s failure to make
adequate yearly progress was justified due to excep-
tional or uncontrollable circumstances, such as a nat-
ural disaster or a precipitous and unforeseen decline
in the financial resources of the local educational
agency or school.
‘‘(E) The local educational agency shall publish
and disseminate information regarding any corrective
action the local educational agency takes under this
paragraph at a school to the public through such
means as the Internet, the media, and public agen-
cies.
‘‘(8) RECONSTITUTION.—(A) If, after one year of
corrective action under paragraph (7), a school sub-
ject to such corrective action continues to fail to make
adequate yearly progress then the local educational
agency shall—
‘‘(i) provide all students enrolled in the
school with the option to transfer to another pub-
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lic 
school 
in 
accordance 
with 
paragraph
(7)(C)(i);
‘‘(ii) make supplemental educational serv-
ices available, in accordance with subsection (f),
to children who remain in the school; and
‘‘(iii) prepare a plan and make necessary
arrangements to carry out subparagraph (B).
‘‘(B)(i) Not later than the beginning of the school
year following the year in which the local educational
agency implements subparagraph (A), the local edu-
cational agency shall implement at least one of the
following alternative governance arrangements for the
school, consistent with State law:
‘‘(I) Reopening the school as a public char-
ter school.
‘‘(II) Replacing all or most of the school
staff.
‘‘(III) Turning the operation of the school
over to another entity, such as a private con-
tractor, with a demonstrated record of success.
‘‘(IV) Turning the operation of the school
over to the State, if agreed to by the State.
‘‘(V) Any other major restructuring of the
school’s governance arrangement.
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‘‘(ii) A rural local agency, as described in sec-
tion 5231(b), may apply to the Secretary for a waiver
of the requirements of this subparagraph if the agency
submits to the Secretary an alternative plan for mak-
ing significant changes to improve student perform-
ance in the school, such as providing an academically
focused after school program for all students, chang-
ing school administration, or implementing a re-
search based, proven effective, whole school reform
program. The Secretary shall approve or reject an ap-
plication for a waiver under this subparagraph not
later than 30 days after the submission of informa-
tion required by the Secretary to apply for the waiv-
er. If the Secretary fails to make a determination
with respect to the waiver application within such 30
days, the application shall be considered approved by
the Secretary.
‘‘(C) The local educational agency shall provide
prompt notice to teachers and parents whenever sub-
paragraph (A) or (B) applies, shall provide the teach-
ers and parents an adequate opportunity to comment
before taking any action under those subparagraphs
and to participate in developing any plan under sub-
paragraph (A)(iii).
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‘‘(9) TRANSPORTATION.—In any case described
in paragraph (7)(C), the local educational agency—
‘‘(A) shall provide, or shall pay for the pro-
vision of, transportation for the student to the
school the child attends, notwithstanding sub-
section (f)(1)(C)(ii); and
‘‘(B) may use not more than a total of 15
percent of the local educational agency’s alloca-
tion under this part for a fiscal year for that
transportation or for supplemental services
under subsection (f).
‘‘(10) DURATION OF RECONSTITUTION.—If any
school identified for reconstitution under paragraph
(8) makes adequate yearly progress for two consecu-
tive years, the local educational agency need no longer
subject the school to corrective action or identify the
school as in need of improvement for the succeeding
school year.
‘‘(11) SPECIAL
RULES.—A local educational
agency shall permit a child who transferred to an-
other school under this subsection to remain in that
school, and shall continue to provide or provide for
transportation for the child to attend that school to
the extent required by paragraph (9)(B) until the
child leaves that school.
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‘‘(12) SCHOOLS
PREVIOUSLY
IDENTIFIED
FOR
SCHOOL IMPROVEMENT OR CORRECTIVE ACTION.—
‘‘(A) SCHOOL IMPROVEMENT.—(i) Except as
provided in clauses (ii) and (iii), any school that
was in school improvement status under this
subsection on the day preceding the date of en-
actment of the Better Education for Students
and Teachers Act shall be treated by the local
educational agency, at the beginning of the next
school year following such day, as a school that
is in the first year of school improvement under
paragraph (1).
‘‘(ii) Any school that was in school im-
provement status under this subsection for the
two school years preceding the date of enactment
of the Better Education for Students and Teach-
ers Act shall be treated by the local educational
agency, at the beginning of the next school year
following such day, as a school described in
paragraph (5).
‘‘(iii) Any school described in clause (ii)
that fails to make adequate yearly progress for
the first full school year following the date of en-
actment of the Better Education for Students
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and Teachers Act shall be subject to paragraph
(7)(C) at the beginning of the next school year.
‘‘(iv) Any school described in clause (iii)
that fails to make adequate yearly progress for
the second full school year following the date of
enactment of the Better Education for Students
and Teachers Act shall be subject to paragraph
(8) at the beginning of the next school year.
‘‘(B) CORRECTIVE ACTION.—(i) Any school
that was in corrective action status under this
subsection on the day preceding the date of en-
actment of the Better Education for Students
and Teachers Act, and that fails to make ade-
quate yearly progress for the school year fol-
lowing such date, shall be subject to paragraph
(7)(C) at the beginning of the next school year.
‘‘(ii) Any school described in clause (i) that
fails to make adequate yearly progress for the
second school year following such date shall be
subject to paragraph (8) at the beginning of the
next school year.
‘‘(13) STATE
EDUCATIONAL
AGENCY
RESPON-
SIBILITIES.—The State educational agency shall—
‘‘(A) make technical assistance under sec-
tion 1117 available to all schools identified for
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school improvement and corrective action under
this subsection, to the extent possible with funds
reserved under section 1003;
‘‘(B) if the State educational agency deter-
mines that a local educational agency failed to
carry out its responsibilities under this sub-
section, take such corrective actions as the State
educational agency determines appropriate and
in compliance with State law;
‘‘(C) for each school in the State that is
identified for school improvement or corrective
action, notify the Secretary of academic and
other factors that were determined by the State
educational agency under section 1111(b)(8) as
significantly impacting student achievement;
and
‘‘(D) if a school in the State is identified for
school improvement or corrective action, encour-
age appropriate State and local agencies and
community groups to develop a consensus plan
to address any factors that significantly im-
pacted student achievement.
‘‘(d) STATE REVIEW AND LOCAL EDUCATIONAL AGEN-
CY IMPROVEMENT.—
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‘‘(1) IN GENERAL.—A State educational agency
shall review annually—
‘‘(A) the progress of each local educational
agency receiving funds under this part to deter-
mine whether schools receiving assistance under
this part are making adequate progress as de-
fined in sections 1111(b)(2) (B) and (D) toward
meeting the State’s student performance stand-
ards and to determine whether each local edu-
cational agency is carrying out its responsibil-
ities under section 1116 and section 1117; and
‘‘(B) the effectiveness of the activities car-
ried out under this part by each local edu-
cational agency that receives funds under this
part and is served by the State educational agen-
cy with respect to parental involvement, profes-
sional development, and other activities assisted
under this part.
‘‘(2) REWARDS.—In the case of a local edu-
cational agency that for 3 consecutive years has met
or exceeded the State’s definition of adequate progress
as defined in sections 1111(b)(2) (B) and (D), the
State may make institutional and individual rewards
of the kinds described for individual schools in para-
graph (2) of section 1117(c).
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‘‘(3) IDENTIFICATION.—(A) A State educational
agency shall identify for improvement any local edu-
cational agency that for 2 consecutive years, is not
making adequate progress as defined in sections
1111(b)(2) (B) and (D) in schools served under this
part toward meeting the State’s student performance
standards, except that schools served by the local edu-
cational agency that are operating targeted assistance
programs may be reviewed on the basis of the progress
of only those students served under this part.
‘‘(B) Before identifying a local educational agen-
cy for improvement under this paragraph, the State
educational agency shall provide the local educational
agency with an opportunity to review the school-level
data, including assessment data, on which such iden-
tification is based. If the local educational agency be-
lieves that such identification for improvement is in
error due to statistical or other substantive reasons,
such local educational agency may provide evidence
to the State educational agency to support such belief.
‘‘(C) Not later than 30 days after a State edu-
cational agency makes an initial determination under
subparagraph (A), the State educational agency shall
make public a final determination regarding the im-
provement status of the local educational agency.
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‘‘(4) LOCAL EDUCATIONAL AGENCY REVISIONS.—
(A) Each local educational agency identified under
paragraph (3) shall, not later than 3 months after
being so identified, revise and implement a local edu-
cational agency plan as described under section 1112.
The plan shall—
‘‘(i) include specific State-determined year-
ly progress requirements in subjects and grades
to ensure that all students will make continuous
and significant progress towards meeting the
goal of all students reaching the proficient level
of performance within 10 years;
‘‘(ii) address the fundamental teaching and
learning needs in the schools of that agency, and
the specific academic problems of low-performing
students including a determination of why the
local educational agency’s prior plan failed to
bring about increased student achievement and
performance;
‘‘(iii) incorporate scientifically based re-
search strategies that strengthen the core aca-
demic program in the local educational agency;
‘‘(iv) address the professional development
needs of the instructional staff by committing to
spend not less than 10 percent of the funds re-
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ceived by the local educational agency under this
part during 1 fiscal year for professional devel-
opment (including funds reserved for professional
development under subsection (c)(3)(A)(iii)),
which funds shall supplement and not supplant
professional development that instructional staff
would otherwise receive, and which professional
development shall increase the content knowledge
of teachers and build the capacity of the teachers
to align classroom instruction with challenging
content standards and to bring all students to
proficient or advanced levels of performance as
determined by the State;
‘‘(v) identify specific goals and objectives
the local educational agency will undertake for
making adequate yearly progress, which goals
and objectives shall be consistent with State
standards;
‘‘(vi) identify how the local educational
agency will provide written notification regard-
ing the identification to parents of students en-
rolled in elementary schools and secondary
schools served by the local educational agency in
a format, and to the extent practicable, in a lan-
guage that the parents can understand;
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‘‘(vii) specify the responsibilities of the
State educational agency and the local edu-
cational agency under the plan, including tech-
nical assistance to be provided by the State edu-
cational agency under paragraph (5); and
‘‘(viii) include strategies to promote effective
parental involvement in the school.
‘‘(5) STATE
EDUCATIONAL
AGENCY
RESPONSI-
BILITY.—(A) For each local educational agency iden-
tified under paragraph (3), the State educational
agency shall provide technical or other assistance, as
authorized under section 1117, to better enable the
local educational agency to—
‘‘(i) develop and implement the local edu-
cational agency’s revised plan; and
‘‘(ii) work with schools needing improve-
ment.
‘‘(B) Technical assistance provided under this
section by the State educational agency or an entity
authorized by such agency shall be supported by effec-
tive methods and instructional strategies tied to sci-
entifically based research. Such technical assistance
shall address problems, if any, in implementing the
parental involvement activities described in section
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1118 and the professional development activities de-
scribed in section 1119.’’;
‘‘(6) CORRECTIVE
ACTION.—(A)(i) Except as
provided in subparagraph (E), after providing tech-
nical assistance pursuant to paragraph (5) and tak-
ing other remediation measures, the State educational
agency may take corrective action at any time with
respect to a local educational agency that has been
identified under paragraph (3), but shall take such
action, consistent with State and local law, with re-
spect to any local educational agency that continues
to fail to make adequate progress at the end of the sec-
ond year following identification under paragraph
(3).
‘‘(ii) The State educational agency shall continue
to provide technical assistance while implementing
any corrective action.
‘‘(B) Consistent with State and local law, in the
case of a local educational agency subject to corrective
action under this paragraph, the State educational
agency shall not take less than 1 of the following cor-
rective actions:
‘‘(i) Instituting and fully implementing a
new curriculum that is based on State and local
standards, including appropriate professional
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development tied to scientifically based research
for all relevant staff that offers substantial prom-
ise of improving educational achievement for
low-performing students.
‘‘(ii) Restructuring or abolishing the local
educational agency.
‘‘(iii) Reconstituting school district per-
sonnel.
‘‘(iv) Removal of particular schools from the
jurisdiction of the local educational agency and
establishment of alternative arrangements for
public governance and supervision of such
schools.
‘‘(v) Appointment by the State educational
agency of a receiver or trustee to administer the
affairs of the local educational agency in place
of the superintendent and school board.
‘‘(vi) Deferring, reducing, or withholding
funds.
‘‘(C) HEARING.—Prior to implementing any cor-
rective action under this paragraph, the State edu-
cational agency shall provide notice and a hearing to
the affected local educational agency, if State law pro-
vides for such notice and hearing. The hearing shall
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take place not later than 45 days following the deci-
sion to implement corrective action.
‘‘(D) NOTIFICATION
TO
PARENTS.—The State
educational agency shall publish, and disseminate to
parents and the public, any corrective action the
State educational agency takes under this paragraph
through a widely read or distributed medium.
‘‘(E) DELAY.—A State educational agency may
delay, for a period not to exceed one year, implemen-
tation of corrective action under this paragraph only
if the local educational agency’s failure to make ade-
quate yearly progress was justified due to exceptional
or uncontrollable circumstances, such as a natural
disaster or a precipitous and unforeseen decline in the
financial resources of the local educational agency.
‘‘(F) WAIVERS.—The State educational agency
shall review any waivers approved prior to the date
of enactment of the Better Education for Students
and Teachers Act for a local educational agency des-
ignated for improvement or corrective action and
shall terminate any waiver approved by the State
under the Educational Flexibility Partnership Act of
1999 if the State determines, after notice and an op-
portunity for a hearing, that the waiver is not help-
ing the local educational agency make yearly progress
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to meet the objectives and specific goals described in
the local educational agency’s improvement plan.
‘‘(7) SPECIAL
RULES.—If a local educational
agency makes adequate progress toward meeting the
State’s standards for two consecutive years following
identification under paragraph (6), the State edu-
cational agency need no longer subject the local edu-
cational agency to corrective action for the succeeding
school year.
‘‘(e) CONSTRUCTION.—Nothing in this section shall be
construed to alter or otherwise affect the rights, remedies,
and procedures afforded school or school district employees
under Federal, State, or local laws (including applicable
regulations or court orders) or under the terms of collective
bargaining agreements, memoranda of understanding, or
other agreements between such employees and their employ-
ers.
‘‘(f) SUPPLEMENTAL SERVICES.—
‘‘(1) IN GENERAL.—
‘‘(A) REQUIREMENT.—In the case of any
school described in subsection (c)(7)(C) or
(c)(8)(A), the local educational agency serving
such school shall, subject to subparagraphs (B)
through (E), arrange for the provision of supple-
mental educational services to children in the
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school whose parents request those services, from
providers approved for that purpose by the State
educational agency and selected by the parents.
‘‘(B) MAXIMUM ALLOCATION.—The amount
that a local educational agency shall make avail-
able for supplemental educational services for
each child receiving those services under this sub-
section is equal to the lesser of—
‘‘(i) the amount of the agency’s alloca-
tion under subpart 2 of this part, divided
by the number of children from low-income
families enrolled in the agency’s schools; or
‘‘(ii) the actual costs of the supple-
mental educational services received by the
child.
‘‘(C) FINANCIAL OBLIGATION OF LEA.—The
local educational agency shall enter into agree-
ments with such approved providers to provide
services under this subsection to all children
whose parents request the services, except that—
‘‘(i) the local educational agency may
use not more than a total of 15 percent of
its allocation under this part for any fiscal
year to pay for services under this sub-
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section or to provide or provide for trans-
portation under subsection (c)(9); and
‘‘(ii) the total amount described in
clause (i) is the maximum amount the local
educational agency is required to spend
under this part on those services.
‘‘(D) INSUFFICIENT FUNDS.—If the amount
of funds described in subparagraph (C) available
to provide services under this subsection is insuf-
ficient to provide those services to each child
whose parents request the services, then the local
educational agency shall give priority to pro-
viding the services to the lowest-achieving chil-
dren.
‘‘(E) PROHIBITION.—A local educational
agency shall not, as a result of the application
of this paragraph, reduce by more than 15 per-
cent the total amount made available under this
part to a school described in subsection (c)(7)(C)
or (c)(8)(A).
‘‘(2) ADDITIONAL LOCAL EDUCATIONAL AGENCY
RESPONSIBILITIES.—Each local educational agency
subject to this subsection shall—
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‘‘(A) provide annual notice to parents (in a
format and, to the extent practicable, in a lan-
guage the parents can understand) of—
‘‘(i) the availability of services under
this subsection;
‘‘(ii) the eligible providers of those
services that are within the school district
served by the agency or whose services are
reasonably available in neighboring school
districts; and
‘‘(iii) a brief description of the services,
qualifications, and demonstrated effective-
ness of each such provider;
‘‘(B) provide annual notice to potential pro-
viders of supplemental services in the school dis-
trict of the agency of the opportunity to provide
services under this subsection and of the applica-
ble procedures for obtaining approval from the
State educational agency to be a provider of
those services;
‘‘(C) if requested, assist parents to choose a
provider from the list of approved providers
maintained by the State;
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‘‘(D) apply fair and equitable procedures
for serving students if spaces at eligible providers
are not sufficient to serve all students;
‘‘(E) enter into an agreement with each se-
lected provider that includes a statement for each
child, developed with the parents of the child and
the provider, of specific performance goals for the
student, how the student’s progress will be meas-
ured, and how the parents and the child’s teach-
ers will be regularly informed of the child’s
progress and that, in the case of a child with dis-
abilities, is consistent with the child’s individ-
ualized education program under section 614(d)
of the Individuals with Disabilities Education
Act; and
‘‘(F) not disclose to the public the identity
of any child eligible for, or receiving, supple-
mental services under this subsection without the
written permission of the parents of the child.
‘‘(3) ADDITIONAL STATE EDUCATIONAL AGENCY
RESPONSIBILITIES.—Each State educational agency
shall, in consultation with local educational agencies,
parents, teachers, and other interested members of the
public—
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‘‘(A) 
promote 
maximum 
participation
under this subsection by service providers to en-
sure, to the extent practicable, that parents have
as many choices of those providers as possible;
‘‘(B) develop and apply objective criteria to
potential service providers that are based on
demonstrated effectiveness in increasing the aca-
demic proficiency of students in subjects relevant
to meeting the State content and student per-
formance 
standards 
adopted 
under 
section
1111(b)(1);
‘‘(C) maintain an updated list of approved
service providers in school districts served by
local educational agencies subject to this sub-
section, from which parents may select;
‘‘(D) develop and implement standards and
techniques for monitoring, and publicly report-
ing on, the quality and effectiveness of the serv-
ices offered by service providers, and for with-
drawing approval from providers that fail, for
two consecutive years, to contribute to increasing
the academic proficiency of students served under
this subsection as described in subparagraph (B);
and
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‘‘(E) ensure that all approved providers
meet applicable health and safety codes.
‘‘(4) WAIVER.—A State educational agency may
waive the requirements of this subsection for a local
educational agency that demonstrates to the State
educational agency’s satisfaction that its list of ap-
proved service providers does not include any pro-
viders whose services are reasonably available geo-
graphically to children in that local educational agen-
cy.
‘‘(5) SPECIAL RULE.—If State law prohibits a
State educational agency from carrying out any of its
responsibilities under this subsection, each local edu-
cational agency in the State shall carry out those pro-
hibited responsibilities with respect to those who pro-
vide, or seek approval to provide, services to students
who attend schools served by the local educational
agency.
‘‘(6) DEFINITION.—In this subsection, the term
‘supplemental educational services’ means tutoring
and other supplemental academic enrichment services
that—
‘‘(A) are of high quality, research-based, fo-
cused on academic content, and directed exclu-
sively at raising student proficiency in meeting
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the State’s challenging content and student per-
formance standards; and
‘‘(B) are provided outside of regular school
hours.
‘‘(g) OTHER AGENCIES.—If a school is identified for
school improvement, the Secretary may notify other rel-
evant Federal agencies regarding the academic and other
factors determined by the State educational agency under
section 1111(b)(8) as significantly impacting student per-
formance.’’.
SEC. 118. ASSISTANCE FOR SCHOOL SUPPORT AND IM-
PROVEMENT.
Section 1117 (20 U.S.C. 6318) is amended—
(1) in subsection (a), by adding at the end the
following:
‘‘(3) PRIORITIES.—In carrying out this section,
a State educational agency shall—
‘‘(A) first, provide support and assistance to
local educational agencies subject to corrective
action described in section 1116 and assist
schools, in accordance with section 1116, for
which a local educational agency has failed to
carry out its responsibilities under section 1116;
‘‘(B) second, provide support and assistance
to other local educational agencies and schools
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identified as in need of improvement under sec-
tion 1116; and
‘‘(C) third, provide support and assistance
to other local educational agencies and schools
participating under this part that need support
and assistance in order to achieve the purpose of
this part.’’;
(2) in subsection (b), by striking ‘‘the com-
prehensive regional technical assistance centers under
part A of title XIII and’’ and inserting ‘‘comprehen-
sive regional technical assistance centers, and’’; and
(3) in subsection (c)—
(A) by amending paragraph (1) to read as
follows:
‘‘(1) APPROACHES.—
‘‘(A) IN GENERAL.—In order to achieve the
purpose described in subsection (a), each such
system shall give priority to using funds made
available to carry out this section—
‘‘(i) to establish school support teams
for assignment to and working in schools in
the State that are described in subsection
(a)(3)(A); and
‘‘(ii) to provide such support as the
State educational agency determines to be
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necessary and available to assure the effec-
tiveness of such teams.
‘‘(B) COMPOSITION.—Each school support
team shall be composed of persons knowledgeable
about successful schoolwide projects, school re-
form, and improving educational opportunities
for low-achieving students, including—
‘‘(i) teachers;
‘‘(ii) pupil services personnel;
‘‘(iii) parents;
‘‘(iv) distinguished teachers or prin-
cipals;
‘‘(v) representatives of institutions of
higher education;
‘‘(vi) regional educational laboratories
or research centers;
‘‘(vii) outside consultant groups; or
‘‘(viii) other individuals as the State
educational agency, in consultation with the
local educational agency, may determine
appropriate.
‘‘(C) FUNCTIONS.—Each school support
team assigned to a school under this section
shall—
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‘‘(i) review and analyze all facets of
the school’s operation, including the design
and operation of the instructional program,
and assist the school in developing rec-
ommendations for improving student per-
formances in that school;
‘‘(ii) collaborate, with school staff and
the local educational agency serving the
school, in the design, implementation, and
monitoring of a plan that, if fully imple-
mented, can reasonably be expected to im-
prove student performance and help the
school meet its goals for improvement, in-
cluding adequate yearly progress under sec-
tion 1111(b)(2)(B);
‘‘(iii) evaluate, at least semiannually,
the effectiveness of school personnel assigned
to the school, including identifying out-
standing teachers and principals, and make
findings and recommendations (including
the need for additional resources, profes-
sional development, or compensation) to the
school, the local educational agency, and,
where appropriate, the State educational
agency; and
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‘‘(iv) make additional recommenda-
tions as the school implements the plan de-
scribed in clause (ii) to the local edu-
cational agency and the State educational
agency concerning additional assistance
and resources that are needed by the school
or the school support team.
‘‘(D) CONTINUATION OF ASSISTANCE.—After
1 school year, the school support team may rec-
ommend that the school support team continue to
provide assistance to the school, or that the local
educational agency or the State educational
agency, as appropriate, take alternative actions
with regard to the school.’’;
(B) in paragraph (2)—
(i) in subparagraph (A), by striking
‘‘part which’’ and all that follows through
the period and inserting ‘‘part.’’; and
(ii) in subparagraph (C)—
(I) by striking ‘‘and may’’ and
inserting ‘‘(and may’’; and
(II) by striking ‘‘exemplary per-
formance’’ and inserting ‘‘exemplary
performance)’’; and
(C) in paragraph (3)—
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(i) in the paragraph heading, by strik-
ing ‘‘EDUCATORS’’ and inserting ‘‘TEACH-
ERS AND PRINCIPALS’’;
(ii) by amending subparagraph (A) to
read as follows:
‘‘(A) The State may also recognize and pro-
vide financial awards to teachers or principals
in a school described in paragraph (2) whose
students consistently make significant gains in
academic achievement.’’;
(iii) in subparagraph (B), by striking
‘‘educators’’ and inserting ‘‘teachers or
principals’’; and
(iv) by striking subparagraph (C).
SEC. 118A. GRANTS FOR ENHANCED ASSESSMENT INSTRU-
MENTS.
Part A of title I (20 U.S.C. 6311 et seq.) is amended
by inserting after section 1117 (20 U.S.C. 6318) the fol-
lowing:
‘‘SEC. 1117A. GRANTS FOR ENHANCED ASSESSMENT IN-
STRUMENTS.
‘‘(a) PURPOSE.—The purpose of this section is to—
‘‘(1) enable States (or consortia or States) and
local educational agencies (or consortia of local edu-
cational agencies) to collaborate with institutions of
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higher education, other research institutions, and
other organizations to improve the quality and fair-
ness of State assessment systems beyond the basic re-
quirements for assessment systems described in section
1111(b)(3);
‘‘(2) characterize student achievement in terms of
multiple aspects of proficiency;
‘‘(3) chart student progress over time;
‘‘(4) closely track curriculum and instruction;
and
‘‘(5) monitor and improve judgments based on
informed evaluations of student performance.
‘‘(b) AUTHORIZATION
OF APPROPRIATIONS.—There
are authorized to be appropriated to carry out this section
$200,000,000 for fiscal year 2002 and such sums as may
be necessary for each of the 6 succeeding fiscal years.
‘‘(c) GRANTS AUTHORIZED.—The Secretary is author-
ized to award grants to States and local educational agen-
cies to enable the States and local educational agencies to
carry out the purpose described in subsection (a).
‘‘(d) APPLICATION.—In order to receive a grant under
this section for any fiscal year, a State or local educational
agency shall submit an application to the Secretary at such
time and containing such information as the Secretary may
require.
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‘‘(e) AUTHORIZED USE OF FUNDS.—A State or local
educational agency having an application approved under
subsection (d) shall use the grant funds received under this
section to collaborate with institutions of higher education
or other research institutions, experts on curriculum, teach-
ers, administrators, parents, and assessment developers for
the purpose of developing enhanced assessments that are
aligned with standards and curriculum, are valid and reli-
able for the purposes for which the assessments are to be
used, are grade-appropriate, include multiple measures of
student achievement from multiple sources, and otherwise
meet the requirements of section 1111(b)(3). Such assess-
ments shall strive to better measure higher order thinking
skills, understanding, analytical ability, and learning over
time through the development of assessment tools that in-
clude techniques such as performance, curriculum-, and
technology-based assessments.
‘‘(f) ANNUAL REPORTS.—Each State or local edu-
cational agency receiving a grant under this section shall
report to the Secretary at the end of the fiscal year for which
the State or local educational agency received the grant on
the progress of the State or local educational agency in im-
proving the quality and fairness of assessments with respect
to the purpose described in subsection (a).’’.
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SEC. 119. PARENTAL INVOLVEMENT.
(a) IN GENERAL.—Section 1118 (20 U.S.C. 6319) is
amended—
(1) in subsection (a)(2)(B), by inserting ‘‘activi-
ties to improve student achievement and student and
school performance’’ after ‘‘involvement’’;
(2) in subsection (b)(1)—
(A) in the first sentence, by inserting ‘‘(in
a language parents can understand)’’ after ‘‘dis-
tribute’’; and
(B) in the second sentence, insert ‘‘shall be
made available to the local community and’’
after ‘‘Such policy’’;
(3) in subsection (e)—
(A) in paragraph (1), by striking ‘‘partici-
pating parents in such areas as understanding
the National Education Goals,’’ and inserting
‘‘parents of children served by the school or local
educational agency, as appropriate, in under-
standing’’;
(B) in paragraph (2)—
(i) in subparagraph (A), by striking
‘‘and’’ after the semicolon;
(ii) in subparagraph (B), by inserting
‘‘and’’ after the semicolon; and
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(iii) by adding at the end the fol-
lowing:
‘‘(C) using technology, as appropriate, to
foster parental involvement;’’;
(C) in paragraph (14), by striking ‘‘and’’
after the semicolon;
(D) by amending paragraph (15) to read as
follows:
‘‘(15) may establish a school district wide parent
advisory council to advise the school and local edu-
cational agency on all matters related to parental in-
volvement in programs supported under this section;
and’’; and
(E) by adding at the end the following:
‘‘(16) shall provide such other reasonable support
for parental involvement activities under this section
as parents may request, which may include emerging
technologies.’’;
(4) in subsection (f), by striking ‘‘or with’’ and
inserting ‘‘, parents of migratory children, or parents
with’’; and
(5) by striking subsection (g) and inserting the
following:
‘‘(g) INFORMATION FROM PARENTAL INFORMATION
AND RESOURCE CENTERS.—In a State where a parental
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information and resource center is established to provide
training, information, and support to parents and individ-
uals who work with local parents, local educational agen-
cies, and schools receiving assistance under this part, each
school or local educational agency that receives assistance
under this part and is located in the State, shall assist par-
ents and parental organizations by informing such parents
and organizations of the existence and purpose of such cen-
ters, providing such parents and organizations with a de-
scription of the services and programs provided by such cen-
ters, advising parents on how to use such centers, and help-
ing parents to contact such centers.
‘‘(h) REVIEW.—The State educational agency shall re-
view the local educational agency’s parental involvement
policies and practices to determine if the policies and prac-
tices meet the requirements of this section.’’.
(b) 
GRANTS.—Section 
1118(a)(3) 
(20 
U.S.C.
6319(a)(3)) is amended by adding at the end the following:
‘‘(C)(i)(I) The Secretary is authorized to award
grants to local educational agencies to enable the local
educational agencies to supplement the implementa-
tion of the provisions of this section and to allow for
the expansion of other recognized and proven initia-
tives and policies to improve student achievement
through the involvement of parents.
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‘‘(II) Each local educational agency desiring a
grant under this subparagraph shall submit to the
Secretary an application at such time, in such man-
ner, and containing such information as the Sec-
retary may require.
‘‘(ii) Each application submitted under clause
(i)(II) shall describe the activities to be undertaken
using funds received under this subparagraph, shall
set forth the process by which the local educational
agency will annually evaluate the effectiveness of the
agency’s activities in improving student achievement
and increasing parental involvement shall include an
assurance that the local educational agency will no-
tify parents of the option to transfer their child to an-
other public school under section 1116(c)(7) or to ob-
tain supplemental services for their child under sec-
tion 1116(c)(8), in accordance with those sections.
‘‘(iii) Each grant under this subparagraph shall
be awarded for a 5-year period.
‘‘(iv) The Secretary shall conduct a review of the
activities carried out by each local educational agency
using funds received under this subparagraph to de-
termine whether the local educational agency dem-
onstrates improvement in student achievement and an
increase in parental involvement.
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‘‘(v) The Secretary shall terminate grants to a
local educational agency under this subparagraph
after the fourth year if the Secretary determines that
the evaluations conducted by such agency and the re-
views conducted by the Secretary show no improve-
ment in the local educational agency’s student
achievement and no increase in such agency’s paren-
tal involvement.
‘‘(vi) There are authorized to be appropriated to
carry out this subparagraph $100,000,000 for fiscal
year 2002, and such sums as may be necessary for
each subsequent fiscal year.’’.
SEC. 120. PROFESSIONAL DEVELOPMENT.
Section 1119 (20 U.S.C. 6320) is amended—
(1) in subsection (b)(1)—
(A) by amending subparagraph (A) to read
as follows:
‘‘(A) support professional development ac-
tivities that give teachers, principals, adminis-
trators, paraprofessionals, pupil services per-
sonnel, and parents the knowledge and skills to
provide students with the opportunity to meet
challenging State or local content standards and
student performance standards;’’;
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(B) by redesignating subparagraphs (B)
through (E) as subparagraphs (D) through (G),
respectively;
(C) by inserting after subparagraph (A) the
following:
‘‘(B) advance teacher understanding of ef-
fective instructional strategies, based on research
for improving student achievement, at a min-
imum in reading or language arts and mathe-
matics;
‘‘(C) be of sufficient intensity and duration
(not to include 1-day or short-term workshops
and conferences) to have a positive and lasting
impact on the teacher’s performance in the class-
room, except that this subparagraph shall not
apply to an activity if such activity is 1 compo-
nent of a long-term comprehensive professional
development plan established by the teacher and
the teacher’s supervisor based upon an assess-
ment of the needs of the teacher, the needs of stu-
dents, and the needs of the local educational
agency;’’;
(D) in subparagraph (E) (as so redesig-
nated), by striking ‘‘title III of the Goals 2000:
Educate America Act,’’;
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(E) in subparagraph (F) (as so redesig-
nated), by striking ‘‘and’’ after the semicolon;
(F) in subparagraph (G) (as so redesig-
nated), by striking the period and inserting a
semicolon; and
(G) by adding at the end the following:
‘‘(H) to the extent appropriate, provide
training for teachers in the use of technology and
the applications of technology that are effectively
used—
‘‘(i) in the classroom to improve teach-
ing and learning in the curriculum; and
‘‘(ii) in academic content areas in
which the teachers provide instruction;
‘‘(I) be regularly evaluated for their impact
on increased teacher effectiveness and improved
student performance and achievement, with the
findings of such evaluations used to improve the
quality of professional development; and
‘‘(J) provide assistance to teachers for the
purpose of meeting certification, licensing, or
other requirements needed to become highly
qualified as defined in section 2102(4).’’;
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(2) in subsection (g), by striking ‘‘title III of the
Goals 2000: Educate America Act,’’ and inserting
‘‘other Acts’’; and
(3) by adding at the end the following:
‘‘(j) REQUIREMENT.—Each local educational agency
that receives funds under this part and serves a school in
which 50 percent or more of the children are from low in-
come families shall use not less than 5 percent of the funds
for each of fiscal years 2002 and fiscal year 2003, and not
less than 10 percent of the funds for each subsequent fiscal
year, for professional development activities to ensure that
teachers who are not highly qualified become highly quali-
fied within 4 years.’’.
SEC. 120A. PARTICIPATION OF CHILDREN ENROLLED IN
PRIVATE SCHOOLS.
(a) AMENDMENTS.—Section 1120 (20 U.S.C. 6321) is
amended—
(1) in subsection (a)—
(A) in paragraph (1), by inserting ‘‘that
address their needs, and shall ensure that teach-
ers and families of such children participate, on
an equitable basis, in services and activities
under sections 1118 and 1119’’ before the period;
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(B) in paragraph (3), by inserting ‘‘and
shall be provided in a timely manner’’ before the
period; and
(C) in paragraph (4), insert ‘‘as determined
by the local educational agency each year or
every 2 years’’ before the period;
(2) in subsection (b)—
(A) in paragraph (1)—
(i) in subparagraph (C), by striking
‘‘and where’’ and inserting ‘‘, where, and by
whom’’;
(ii) by amending subparagraph (D) to
read as follows:
‘‘(D) how the services will be assessed and
how the results of that assessment will be used to
improve those services;’’;
(iii) in subparagraph (E), by striking
the period and inserting ‘‘; and’’; and
(iv) by adding at the end the following:
‘‘(F) how and when the local educational
agency will make decisions about the delivery of
services to eligible private school children, in-
cluding a thorough consideration and analysis of
the views of private school officials regarding the
provision of contract services through potential
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third party providers, and if the local edu-
cational agency disagrees with the views of the
private school officials on such provision of serv-
ices, the local educational agency shall provide
in writing to such private school officials an
analysis of the reasons why the local educational
agency has chosen not to so provide such serv-
ices.’’; and
(B) by adding at the end the following:
‘‘(4) CONSULTATION.—Each local educational
agency shall provide to the State educational agency,
and maintain in the local educational agency’s
records, a written affirmation signed by officials of
each participating private school that the consultation
required by this section has occurred. If a private
school declines in writing to have eligible children in
the private school participate in services provided
under this section, the local educational agency is not
required to further consult with the private school of-
ficials or to document the local educational agency’s
consultation with the private school officials until the
private school officials request in writing such con-
sultation. The local educational agency shall inform
the private school each year of the opportunity for eli-
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gible children to participate in services provided
under this section.
‘‘(5) COMPLIANCE.—A private school official
shall have the right to appeal to the State educational
agency the decision of a local educational agency as
to whether consultation provided for in this section
was meaningful and timely, and whether due consid-
eration was given to the views of the private school
official. If the private school official wishes to appeal
the decision, the basis of the claim of noncompliance
with this section by the local educational agencies
shall be provided to the State educational agency, and
the local educational agency shall forward the appro-
priate documentation to the State educational agen-
cy.’’;
(3) by redesignating subsections (c), (d), and (e)
as subsections (d), (e), and (f), respectively; and
(4) by inserting after subsection (b) the fol-
lowing:
‘‘(c) ALLOCATION FOR EQUITABLE SERVICE TO PRI-
VATE SCHOOL STUDENTS.—
‘‘(1) CALCULATION.—A local educational agency
shall have the final authority, consistent with this sec-
tion, to calculate the number of private school chil-
dren, ages 5 through 17, who are low-income by—
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‘‘(A) using the same measure of low-income
used to count public school children;
‘‘(B) using the results of a survey that, to
the extent possible, protects the identity of fami-
lies of private school students, and allowing such
survey results to be extrapolated if complete ac-
tual data are unavailable; or
‘‘(C) applying the low-income percentage of
each participating public school attendance area,
determined pursuant to this section, to the num-
ber of private school children who reside in that
school attendance area.
‘‘(2) COMPLAINT PROCESS.—Any dispute regard-
ing low-income data for private school students shall
be subject to the complaint process authorized in sec-
tion 8.’’;
(5) in subsection (e) (as so redesignated),
(A) in paragraph (2), by striking ‘‘14505
and 14506’’ and inserting ‘‘8 and 9’’;
(B) by redesignating paragraphs (1) and
(2) (as so amended) as subparagraphs (A) and
(B), respectively;
(C) by striking ‘‘If a’’ and inserting the fol-
lowing:
‘‘(1) IN GENERAL.—If a’’; and
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(D) by adding at the end the following:
‘‘(2) DETERMINATION.—In making the deter-
mination under paragraph (1), the Secretary shall
consider 1 or more factors, including the quality, size,
scope, or location of the program, or the opportunity
of eligible children to participate in the program.’’;
and
(6) by repealing subsection (f) (as so redesig-
nated).
(b) EFFECTIVE DATE.—The amendment made by sub-
section (a)(4) shall take effect on September 30, 2003.
(c) CONFORMING AMENDMENT.—Section 1120A(a) (20
U.S.C. 6322(a)) is amended by striking ‘‘14501 of this Act’’
and inserting ‘‘4’’.
SEC. 120B. EARLY CHILDHOOD EDUCATION.
Section 1120B (20 U.S.C. 6321) is amended—
(1) by amending the section heading to read as
follows:
‘‘SEC. 
1120B. 
COORDINATION 
REQUIREMENTS; 
EARLY
CHILDHOOD EDUCATION SERVICES.’’;
(2) in subsection (c), by striking ‘‘Head Start
Act Amendments of 1994’’ and inserting ‘‘Head Start
Amendments of 1998’’; and
(3) by adding at the end the following:
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‘‘(d) EARLY CHILDHOOD SERVICES.—A local edu-
cational agency may use funds received under this part to
provide preschool services—
‘‘(1) directly to eligible preschool children in all
or part of its school district;
‘‘(2) through any school participating in the
local educational agency’s program under this part;
or
‘‘(3) through a contract with a local Head Start
agency, an eligible entity operating an Even Start
program, a State-funded preschool program, or a
comparable public early childhood development pro-
gram.
‘‘(e) EARLY CHILDHOOD EDUCATION PROGRAMS.—
Early childhood education programs operated with funds
provided under this part may be operated and funded joint-
ly with Even Start programs under part B of this title,
Head Start programs, or State-funded preschool programs.
Early childhood education programs funded under this part
shall—
‘‘(1) focus on the developmental needs of partici-
pating children, including their social, cognitive, and
language-development needs, and use scientifically
based research approaches that build on competencies
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that lead to school success, particularly in language
and literacy development and in reading;
‘‘(2) teach children to understand and use lan-
guage in order to communicate for various purposes;
‘‘(3) enable children to develop and demonstrate
an appreciation of books; and
‘‘(4) in the case of children with limited English
proficiency, enable the children to progress toward ac-
quisition of the English language.’’.
SEC. 120C. LIMITATIONS ON FUNDS.
Subpart 1 of part A of title I (20 U.S.C. 6311 et seq.)
is amended by inserting after section 1120B (20 U.S.C.
6323) the following:
‘‘SEC. 1120C. LIMITATION ON FUNDS.
‘‘A local educational agency may not use funds re-
ceived under this subpart for—
‘‘(1) purchase or lease of privately owned facili-
ties;
‘‘(2) purchase or provision of facilities mainte-
nance, gardening, landscaping, or janitorial services,
or the payment of utility costs;
‘‘(3) the construction of facilities;
‘‘(4) the acquisition of real property;
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‘‘(5) the payment of travel and attendance costs
at conferences or other meetings other than travel and
attendance necessary for professional development; or
‘‘(6) the purchase or lease of vehicles.’’.
SEC. 120D. ALLOCATIONS.
Subpart 2 of part A of title I (20 U.S.C. 6331 et seq.)
is amended to read as follows:
‘‘Subpart 2—Allocations
‘‘SEC. 1121. GRANTS FOR THE OUTLYING AREAS AND THE
SECRETARY OF THE INTERIOR.
‘‘(a) RESERVATION OF FUNDS.—From the amount ap-
propriated for any fiscal year under section 1002(a), the
Secretary shall reserve a total of 1 percent to provide assist-
ance to—
‘‘(1) the outlying areas on the basis of their re-
spective need for such assistance according to such
criteria as the Secretary determines will best carry
out the purpose of this part; and
‘‘(2) the Secretary of the Interior in the amount
necessary to make payments pursuant to subsection
(c).
‘‘(b) ASSISTANCE TO THE OUTLYING AREAS.—
‘‘(1) IN GENERAL.—From amounts made avail-
able under subsection (a)(1) in each fiscal year the
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Secretary shall make grants to local educational agen-
cies in the outlying areas.
‘‘(2) COMPETITIVE GRANTS.—
‘‘(A) IN GENERAL.—For fiscal year 2002
and each of the 6 succeeding fiscal years, the Sec-
retary shall reserve $5,000,000 from the amounts
made available under subsection (a)(1) to award
grants, on a competitive basis, to local edu-
cational agencies in the Freely Associated States.
The Secretary shall award such grants taking
into consideration the recommendations of the
Pacific Region Educational Laboratory which
shall conduct a competition for such grants.
‘‘(B) USES.—Except as provided in sub-
paragraph (C), grant funds awarded under this
paragraph only may be used—
‘‘(i) for programs described in this Act,
including teacher training, curriculum de-
velopment, instructional materials, or gen-
eral school improvement and reform; and
‘‘(ii) to provide direct educational serv-
ices.
‘‘(C) ADMINISTRATIVE
COSTS.—The Sec-
retary may provide 5 percent of the amount
made available for grants under this paragraph
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to the Pacific Region Educational Laboratory to
pay the administrative costs of the Pacific Re-
gion Educational Laboratory regarding activi-
ties assisted under this paragraph.
‘‘(c) ALLOTMENT TO THE SECRETARY OF THE INTE-
RIOR.—
‘‘(1) IN
GENERAL.—The amount reserved for
payments to the Secretary of the Interior under sub-
section (a)(2) for any fiscal year shall be, as deter-
mined pursuant to criteria established by the Sec-
retary, the amount necessary to meet the special edu-
cational needs of—
‘‘(A) Indian children on reservations served
by elementary schools and secondary schools for
Indian children operated or supported by the De-
partment of the Interior; and
‘‘(B) out-of-State Indian children in ele-
mentary schools and secondary schools in local
educational agencies under special contracts with
the Department of the Interior.
‘‘(2) PAYMENTS.—From the amount reserved for
payments to the Secretary of the Interior under sub-
section (a)(2), the Secretary of the Interior shall make
payments to local educational agencies, upon such
terms as the Secretary determines will best carry out
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the purposes of this part, with respect to out-of-State
Indian children described in paragraph (1)(B). The
amount of such payment may not exceed, for each
such child, the greater of—
‘‘(A) 40 percent of the average per-pupil ex-
penditure in the State in which the agency is lo-
cated; or
‘‘(B) 48 percent of such expenditure in the
United States.
‘‘SEC. 1122. AMOUNTS FOR BASIC GRANTS, CONCENTRA-
TION GRANTS, AND TARGETED GRANTS.
‘‘(a) IN GENERAL.—For each of the fiscal years 2002
through 2008—
‘‘(1) the amount appropriated to carry out this
part that is less than or equal to the amount appro-
priated to carry out section 1124 for fiscal year 2001,
shall be allocated in accordance with section 1124;
‘‘(2) the amount appropriated to carry out this
part that is not used under paragraph (1) that equals
the amount appropriated to carry out section 1124A
for fiscal year 2001, shall be allocated in accordance
with section 1124A; and
‘‘(3) any amount appropriated to carry out this
part for the fiscal year for which the determination
is made that is not used to carry out paragraphs (1)
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and (2) shall be allocated in accordance with section
1125.
‘‘(b) ADJUSTMENTS WHERE NECESSITATED BY AP-
PROPRIATIONS.—
‘‘(1) IN GENERAL.—If the sums made available
under this part for any fiscal year are insufficient to
pay the full amounts that all local educational agen-
cies in States are eligible to receive under sections
1124, 1124A, and 1125 for such year, the Secretary
shall ratably reduce the allocations to such local edu-
cational agencies, subject to subsections (c) and (d).
‘‘(2) ADDITIONAL FUNDS.—If additional funds
become available for making payments under sections
1124, 1124A, and 1125 for such fiscal year, alloca-
tions that were reduced under paragraph (1) shall be
increased on the same basis as the allocations were re-
duced.
‘‘(c) HOLD-HARMLESS AMOUNTS.—
‘‘(1) IN
GENERAL.—For each fiscal year the
amount made available to each local educational
agency under each of sections 1124, 1124A, and 1125
shall be not less than:
‘‘(A) IN
GENERAL.—Notwithstanding any
other provision of this Act, the amount made
available for each local educational agency under
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sections 1124 and 1124A for the fiscal year shall
not be less than the greater of—
‘‘(i) 100 percent of the amount the
local educational agency received for fiscal
year 2001 under sections 1124 and 1124A,
respectively; or
‘‘(ii) 100 percent of the amount cal-
culated for the local educational agency for
the fiscal year under sections 1124 and
1124A, respectively, determined without ap-
plying the hold harmless provisions of this
subparagraph.
‘‘(B) 
APPLICABILITY.—Notwithstanding
any other provision of law, the Secretary shall
not take into consideration the hold harmless
provisions of this subsection for any fiscal year
for purposes of calculating State or local alloca-
tions for the fiscal year under any program ad-
ministered by the Secretary other than a pro-
gram authorized under this part.
‘‘(C) POPULATION UPDATES.—
‘‘(i) IN
GENERAL.—Notwithstanding
paragraph (4), in fiscal year 2001 and each
subsequent year, the Secretary shall use up-
dated data, for purposes of carrying out sec-
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tion 1124, on the number of children, aged
5 to 17, inclusive, from families below the
poverty level for counties or local edu-
cational agencies, published by the Depart-
ment of Commerce, unless the Secretary and
the Secretary of Commerce determine that
use of the updated population data would be
inappropriate or unreliable.
‘‘(ii) INAPPROPRIATE OR UNRELIABLE
DATA.—If the Secretary and the Secretary
of Commerce determine that some or all of
the data referred to in this subparagraph
are inappropriate or unreliable, the Sec-
retary and the Secretary of Commerce
shall—
‘‘(I) publicly disclose their rea-
sons;
‘‘(II) provide an opportunity for
States to submit updated data on the
number of children described in clause
(i); and
‘‘(III) review the data and, if the
data are appropriate and reliable, use
the data, for the purposes of section
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1124, to determine the number of chil-
dren described in clause (i).
‘‘(iii) CRITERIA OF POVERTY.—In de-
termining the families that are below the
poverty level, the Secretary shall utilize the
criteria of poverty used by the Bureau of
the Census in compiling the most recent de-
cennial census, as the criteria have been up-
dated by increases in the Consumer Price
Index for All Urban Consumers, published
by the Bureau of Labor Statistics.
‘‘(iv) AUTHORIZATION OF APPROPRIA-
TIONS.—There are authorized to be appro-
priated to the Department of Commerce for
each fiscal year such sums as may be nec-
essary to update the data described in
clause (i).
‘‘(2) SPECIAL
RULES.—If sufficient funds are
appropriated, the hold-harmless amounts described in
paragraph (1) shall be paid to all local educational
agencies that received grants under section 1124,
1124A, or 1125 for the preceding fiscal year, regard-
less of whether the local educational agency meets the
minimum eligibility criteria provided in section
1124(b), 1124A(a)(1)(A), or 1125(a), respectively, ex-
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cept that a local educational agency that does not
meet such minimum eligibility criteria for 5 consecu-
tive years shall no longer be eligible to receive a hold-
harmless amount under this subsection.
‘‘(3) COUNTY CALCULATION BASIS.—For any fis-
cal year for which the Secretary calculates grants on
the basis of population data for counties, the Sec-
retary shall apply the hold-homeless percentages in
paragraphs (1) and (2) to counties, and if the Sec-
retary’s allocation for a county is not sufficient to
meet the hold-harmless requirements of this subsection
for every local educational agency within that county,
then the State educational agency shall reallocate
funds proportionately from all other local educational
agencies in the State that receive funds for the fiscal
year in excess of the hold-harmless amounts specified
in this paragraph.
‘‘(d) RATABLE REDUCTIONS.—
‘‘(1) IN GENERAL.—If the sums made available
under this part for any fiscal year are insufficient to
pay the full amounts that all States are eligible to re-
ceive under subsection (c) for such year, the Secretary
shall ratably reduce such amounts for such year.
‘‘(2) ADDITIONAL FUNDS.—If additional funds
become available for making payments under sub-
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section (c) for such fiscal year, amounts that were re-
duced under paragraph (1) shall be increased on the
same basis as such amounts were reduced.
‘‘SEC. 1123. DEFINITIONS.
‘‘In this subpart:
‘‘(1) FREELY
ASSOCIATED
STATES.—The term
‘Freely Associated States’ means the Republic of the
Marshall Islands, the Federated States of Micronesia,
and the Republic of Palau.
‘‘(2) OUTLYING
AREAS.—The term ‘outlying
areas’ means the United States Virgin Islands, Guam,
American Samoa, and the Commonwealth of the
Northern Mariana Islands.
‘‘(3) STATE.—The term ‘State’ means each of the
several States of the United States, the District of Co-
lumbia, and the Commonwealth of Puerto Rico.
‘‘SEC. 1124. BASIC GRANTS TO LOCAL EDUCATIONAL AGEN-
CIES.
‘‘(a) AMOUNT OF GRANTS.—
‘‘(1) GRANTS FOR LOCAL EDUCATIONAL AGEN-
CIES
AND
PUERTO
RICO.—Except as provided in
paragraph (4) and in section 1126, the grant that a
local educational agency is eligible to receive under
this section for a fiscal year is the amount determined
by multiplying—
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‘‘(A) the number of children counted under
subsection (c); and
‘‘(B) 40 percent of the average per-pupil ex-
penditure in the State, except that the amount
determined under this subparagraph shall not be
less than 32 percent, and not more than 48 per-
cent, of the average per-pupil expenditure in the
United States.
‘‘(2) CALCULATION OF GRANTS.—
‘‘(A) ALLOCATIONS TO LOCAL EDUCATIONAL
AGENCIES.—The Secretary shall calculate grants
under this section on the basis of the number of
children counted under subsection (c) for local
educational agencies, unless the Secretary and
the Secretary of Commerce determine that some
or all of those data are unreliable or that their
use would be otherwise inappropriate, in which
case—
‘‘(i) the Secretary and the Secretary of
Commerce shall publicly disclose the reasons
for their determination in detail; and
‘‘(ii) paragraph (3) shall apply.
‘‘(B) ALLOCATIONS TO LARGE AND SMALL
LOCAL EDUCATIONAL AGENCIES.—
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‘‘(i) 
LARGE
LOCAL
EDUCATIONAL
AGENCIES.—In the case of an allocation
under this section to a large local edu-
cational agency, the amount of the grant
under this section for the large local edu-
cational agency shall be the amount deter-
mined under paragraph (1).
‘‘(ii) 
SMALL
LOCAL
EDUCATIONAL
AGENCIES.—
‘‘(I) IN GENERAL.—In the case of
an allocation under this section to a
small local educational agency the
State educational agency may—
‘‘(aa) distribute grants under
this section in amounts deter-
mined by the Secretary under
paragraph (1); or
‘‘(bb) 
use 
an 
alternative
method approved by the Secretary
to distribute the portion of the
State’s total grants under this sec-
tion that is based on those small
local educational agencies.
‘‘(II) ALTERNATIVE
METHOD.—
An alternative method under subclause
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(I)(bb) shall be based on population
data that the State educational agency
determines best reflect the current dis-
tribution of children in poor families
among the State’s small local edu-
cational agencies that meet the min-
imum number of children to qualify
described in subsection (b).
‘‘(III) APPEAL.—If a small local
educational agency is dissatisfied with
the determination of the amount of its
grant by the State educational agency
under subclause (I)(bb), the small local
educational agency may appeal the de-
termination to the Secretary, who shall
respond within 45 days of receiving the
appeal.
‘‘(iii) 
DEFINITIONS.—In 
this
subparagraph—
‘‘(I) the term ‘large local edu-
cational agency’ means a local edu-
cational agency serving a school dis-
trict with a total population of 20,000
or more; and
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‘‘(II) the term ‘small local edu-
cational agency’ means a local edu-
cational agency serving a school dis-
trict with a total population of less
than 20,000.
‘‘(3) ALLOCATIONS TO COUNTIES.—
‘‘(A) IN GENERAL.—For any fiscal year to
which this paragraph applies, the Secretary shall
calculate grants under this section on the basis
of the number of children counted under section
1124(c) for counties, and State educational agen-
cies shall allocate county amounts to local edu-
cational agencies, in accordance with regulations
promulgated by the Secretary.
‘‘(B) APPLICATION.—In any State in which
a large number of local educational agencies
overlap county boundaries, or for which the
State believes the State has data that would bet-
ter target funds than allocating the funds by
county, the State educational agency may apply
to the Secretary for authority to make the alloca-
tions under this part for a particular fiscal year
directly to local educational agencies without re-
gard to counties.
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‘‘(C) ALLOCATIONS TO LOCAL EDUCATIONAL
AGENCIES.—If the Secretary approves its appli-
cation under subparagraph (B), the State edu-
cational agency shall provide the Secretary an
assurance that the allocations will be made—
‘‘(i) using precisely the same factors
for determining a grant as are used under
this section; or
‘‘(ii) using data that the State edu-
cational agency submits to the Secretary for
approval that more accurately target pov-
erty.
‘‘(D) APPEAL.—The State educational agen-
cy shall provide the Secretary an assurance that
a procedure is or will be established through
which local educational agencies that are dissat-
isfied with determinations under subparagraph
(B) may appeal directly to the Secretary for a
final determination.
‘‘(4) PUERTO RICO.—For each fiscal year, the
Secretary shall determine the percentage which the
average per-pupil expenditure in the Commonwealth
of Puerto Rico is of the lowest average per-pupil ex-
penditure of any of the 50 States. The grant which
the Commonwealth of Puerto Rico shall be eligible to
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‘‘(B) the number of children aged 5 to 17,
inclusive, in the school district of such agency
from families above the poverty level as deter-
mined under paragraph (4); and
‘‘(C) the number of children determined
under paragraph (4) for the preceding year (as
described in that paragraph, or for the second
preceding year, as the Secretary finds appro-
priate) aged 5 to 17, inclusive, in the school dis-
trict of such agency in institutions for neglected
and delinquent children and youth (other than
such institutions operated by the United States),
but not counted pursuant to chapter 1 of subpart
1 of part D for the purposes of a grant to a
State agency, or being supported in foster homes
with public funds.
‘‘(2) DETERMINATION
OF
NUMBER
OF
CHIL-
DREN.—For the purposes of this section, the Secretary
shall determine the number of children aged 5 to 17,
inclusive, from families below the poverty level on the
basis of the most recent satisfactory data, described in
paragraph (3), available from the Department of
Commerce. The District of Columbia and the Com-
monwealth of Puerto Rico shall be treated as indi-
vidual local educational agencies. If a local edu-
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cational agency contains 2 or more counties in their
entirety, then each county shall be treated as if such
county were a separate local educational agency for
purposes of calculating grants under this part. The
total of grants for such counties shall be allocated to
such a local educational agency, which local edu-
cational agency shall distribute to schools in each
county within such agency a share of the local edu-
cational agency’s total grant that is no less than the
county’s share of the population counts used to cal-
culate the local educational agency’s grant.
‘‘(3) POPULATION
UPDATES.—In fiscal year
2001 and every 2 years thereafter, the Secretary shall
use updated data on the number of children, aged 5
to 17, inclusive, from families below the poverty level
for counties or local educational agencies, published
by the Department of Commerce, unless the Secretary
and the Secretary of Commerce determine that use of
the updated population data would be inappropriate
or unreliable. If the Secretary and the Secretary of
Commerce determine that some or all of the data re-
ferred to in this paragraph are inappropriate or un-
reliable, the Secretary and the Secretary of Commerce
shall publicly disclose their reasons. In determining
the families which are below the poverty level, the Sec-
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retary shall utilize the criteria of poverty used by the
Bureau of the Census in compiling the most recent de-
cennial census, in such form as those criteria have
been updated by increases in the Consumer Price
Index for all urban consumers, published by the Bu-
reau of Labor Statistics.
‘‘(4) OTHER CHILDREN TO BE COUNTED.—For
purposes of this section, the Secretary shall determine
the number of children aged 5 to 17, inclusive, from
families above the poverty level on the basis of the
number of such children from families receiving an
annual income, in excess of the current criteria of
poverty, from payments under a State program fund-
ed under part A of title IV of the Social Security Act.
In making such determinations the Secretary shall
utilize the criteria of poverty used by the Bureau of
the Census in compiling the most recent decennial
census for a family of 4 in such form as those criteria
have been updated by increases in the Consumer Price
Index for all urban consumers, published by the Bu-
reau of Labor Statistics. The Secretary shall deter-
mine the number of such children and the number of
children aged 5 through 17 living in institutions for
neglected or delinquent children, or being supported
in foster homes with public funds, on the basis of the
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caseload data for the month of October of the pre-
ceding fiscal year (using, in the case of children de-
scribed in the preceding sentence, the criteria of pov-
erty and the form of such criteria required by such
sentence which were determined for the calendar year
preceding such month of October) or, to the extent
that such data are not available to the Secretary be-
fore January of the calendar year in which the Sec-
retary’s determination is made, then on the basis of
the most recent reliable data available to the Sec-
retary at the time of such determination. The Sec-
retary of Health and Human Services shall collect
and transmit the information required by this sub-
paragraph to the Secretary not later than January 1
of each year. For the purpose of this section, the Sec-
retary shall consider all children who are in correc-
tional institutions to be living in institutions for de-
linquent children.
‘‘(5) ESTIMATE.—When requested by the Sec-
retary, the Secretary of Commerce shall make a spe-
cial updated estimate of the number of children of
such ages who are from families below the poverty
level (as determined under paragraph (2)) in each
school district, and the Secretary is authorized to pay
(either in advance or by way of reimbursement) the
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Secretary of Commerce the cost of making this special
estimate. The Secretary of Commerce shall give con-
sideration to any request of the chief executive of a
State for the collection of additional census informa-
tion.
‘‘(d) STATE MINIMUM.—Notwithstanding section 1122,
the aggregate amount allotted for all local educational agen-
cies within a State may not be less than the lesser of—
‘‘(1) 0.25 percent of the total amount made
available to carry out this section for such fiscal year;
or
‘‘(2) the average of—
‘‘(A) 0.25 percent of the total amount made
available to carry out this section for such fiscal
year; and
‘‘(B) the number of children in such State
counted under subsection (c) in the fiscal year
multiplied by 150 percent of the national aver-
age per-pupil payment made with funds avail-
able under this section for that fiscal year.
‘‘SEC. 1124A. CONCENTRATION GRANTS TO LOCAL EDU-
CATIONAL AGENCIES.
‘‘(a) ELIGIBILITY FOR AND AMOUNT OF GRANTS.—
‘‘(1) ELIGIBILITY.—
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‘‘(A) IN
GENERAL.—Except as otherwise
provided in this paragraph, each local edu-
cational agency in a State that is eligible for a
grant under section 1124 for any fiscal year is
eligible for an additional grant under this sec-
tion for that fiscal year if the number of children
counted under section 1124(c) who are served by
the agency exceeds—
‘‘(i) 6,500; or
‘‘(ii) 15 percent of the total number of
children aged 5 through 17 served by the
agency.
‘‘(B) MINIMUM.—Notwithstanding section
1122, no State shall receive under this section an
amount that is less than the lesser of—
‘‘(i) 0.25 percent of the total amount
made available to carry out this section for
such fiscal year; or
‘‘(ii) the average of—
‘‘(I) 0.25 percent of the sums
available to carry out this section for
such fiscal year; and
‘‘(II) the greater of—
‘‘(aa) $340,000; or
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‘‘(bb) the number of children
in such State counted for purposes
of this section in that fiscal year
multiplied by 150 percent of the
national average per-pupil pay-
ment made with funds available
under this section for that fiscal
year.
‘‘(2) DETERMINATION.—For each county or local
educational agency eligible to receive an additional
grant under this section for any fiscal year the Sec-
retary shall determine the product of—
‘‘(A) the number of children counted under
section 1124(c) for that fiscal year; and
‘‘(B) the amount in section 1124(a)(1)(B)
for all States except the Commonwealth of Puerto
Rico, and the amount in section 1124(a)(3) for
the Commonwealth of Puerto Rico.
‘‘(3) AMOUNT.—The amount of the additional
grant for which an eligible local educational agency
or county is eligible under this section for any fiscal
year shall be an amount that bears the same ratio to
the amount available to carry out this section for that
fiscal year as the product determined under para-
graph (2) for such local educational agency for that
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fiscal year bears to the sum of such products for all
local educational agencies in the United States for
that fiscal year.
‘‘(4) LOCAL ALLOCATIONS.—
‘‘(A) IN GENERAL.—Grant amounts under
this section shall be calculated in the same man-
ner as grant amounts are calculated under sec-
tion 1124(a) (2) and (3).
‘‘(B) SPECIAL RULE.—For any fiscal year
for which the Secretary allocates funds under
this section on the basis of counties, a State may
reserve not more than 2 percent of the amount
made available to the State under this section for
any fiscal year to make grants to local edu-
cational agencies that meet the criteria in para-
graph (1)(A) (i) or (ii) but that are in ineligible
counties.
‘‘(b) RATABLE REDUCTION RULE.—If the sums avail-
able under subsection (a) for any fiscal year for making
payments under this section are not sufficient to pay in
full the total amounts which all States are eligible to receive
under subsection (a) for such fiscal year, the maximum
amounts that all States are eligible to receive under sub-
section (a) for such fiscal year shall be ratably reduced. In
the case that additional funds become available for making
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such payments for any fiscal year during which the pre-
ceding sentence is applicable, such reduced amounts shall
be increased on the same basis as they were reduced.
‘‘(c) STATES RECEIVING 0.25 PERCENT OR LESS.—In
States that receive 0.25 percent or less of the total amount
made available to carry out this section for a fiscal year,
the State educational agency shall allocate such funds
among the local educational agencies in the State—
‘‘(1) in accordance with paragraphs (2) and (4)
of subsection (a); or
‘‘(2) based on their respective concentrations and
numbers of children counted under section 1124(c),
except that only those local educational agencies with
concentrations or numbers of children counted under
section 1124(c) that exceed the statewide average per-
centage of such children or the statewide average
number of such children shall receive any funds on
the basis of this paragraph.
‘‘SEC. 1125. TARGETED GRANTS TO LOCAL EDUCATIONAL
AGENCIES.
‘‘(a) ELIGIBILITY
OF LOCAL EDUCATIONAL AGEN-
CIES.—
‘‘(1) IN GENERAL.—A local educational agency
in a State is eligible to receive a targeted grant under
this section for any fiscal year if—
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‘‘(A) the number of children in the local
educational 
agency 
counted 
under 
section
1124(c), before application of the weighted child
count described in subsection (c), is at least 10;
and
‘‘(B) if the number of children counted for
grants under section 1124(c), before application
of the weighted child count described in sub-
section (c), is at least 5 percent of the total num-
ber of children aged 5 to 17 years, inclusive, in
the school district of the local educational agen-
cy.
‘‘(2) SPECIAL RULE.—For any fiscal year for
which the Secretary allocates funds under this section
on the basis of counties, funds made available as a re-
sult of applying this subsection shall be reallocated by
the State educational agency to other eligible local
educational agencies in the State in proportion to the
distribution of other funds under this section.
‘‘(b) GRANTS FOR LOCAL EDUCATIONAL AGENCIES,
THE DISTRICT OF COLUMBIA, AND THE COMMONWEALTH
OF PUERTO RICO.—
‘‘(1) IN
GENERAL.—The amount of the grant
that a local educational agency in a State (other than
the Commonwealth of Puerto Rico) is eligible to re-
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ceive under this section for any fiscal year shall be
the product of—
‘‘(A) the weighted child count determined
under subsection (c); and
‘‘(B) the amount determined under section
1124(a)(1)(B).
‘‘(2) PUERTO RICO.—For each fiscal year, the
amount of the grant the Commonwealth of Puerto
Rico is eligible to receive under this section shall be
equal to the number of children counted under sub-
section (c) for the Commonwealth of Puerto Rico,
multiplied by the amount determined in section
1124(a)(4) for the Commonwealth of Puerto Rico.
‘‘(c) WEIGHTED CHILD COUNT.—
‘‘(1) WEIGHTS
FOR
ALLOCATIONS
TO
COUN-
TIES.—
‘‘(A) IN GENERAL.—For each fiscal year for
which the Secretary uses county population data
to calculate grants, the weighted child count used
to determine a county’s allocation under this sec-
tion is the larger of the 2 amounts determined
under subparagraphs (B) and (C).
‘‘(B) BY PERCENTAGE OF CHILDREN.—The
amount referred to in subparagraph (A) is deter-
mined by adding—
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‘‘(i) the number of children determined
under section 1124(c) for that county who
constitute not more than 15.00 percent, in-
clusive, of the county’s total population
aged 5 to 17, inclusive, multiplied by 1.0;
‘‘(ii) the number of such children who
constitute more than 15.00 percent, but not
more than 19.00 percent, of such popu-
lation, multiplied by 1.75;
‘‘(iii) the number of such children who
constitute more than 19.00 percent, but not
more than 24.20 percent, of such popu-
lation, multiplied by 2.5;
‘‘(iv) the number of such children who
constitute more than 24.20 percent, but not
more than 29.20 percent, of such popu-
lation, multiplied by 3.25; and
‘‘(v) the number of such children who
constitute more than 29.20 percent of such
population, multiplied by 4.0.
‘‘(C) BY
NUMBER
OF
CHILDREN.—The
amount referred to in subparagraph (A) is deter-
mined by adding—
‘‘(i) the number of children determined
under section 1124(c) who constitute not
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more than 2,311, inclusive, of the county’s
total population aged 5 to 17, inclusive,
multiplied by 1.0;
‘‘(ii) the number of such children be-
tween 2,312 and 7,913, inclusive, in such
population, multiplied by 1.5;
‘‘(iii) the number of such children be-
tween 7,914 and 23,917, inclusive, in such
population, multiplied by 2.0;
‘‘(iv) the number of such children be-
tween 23,918 and 93,810, inclusive, in such
population, multiplied by 2.5; and
‘‘(v) the number of such children in ex-
cess of 93,811 in such population, multi-
plied by 3.0.
‘‘(D) PUERTO RICO.—Notwithstanding sub-
paragraph (A), the weighting factor for the Com-
monwealth of Puerto Rico under this paragraph
shall not be greater than the total number of
children counted under section 1124(c) multi-
plied by 1.72.
‘‘(2) WEIGHTS FOR ALLOCATIONS TO LOCAL EDU-
CATIONAL AGENCIES.—
‘‘(A) IN GENERAL.—For each fiscal year for
which the Secretary uses local educational agen-
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cy data, the weighted child count used to deter-
mine a local educational agency’s grant under
this section is the larger of the 2 amounts deter-
mined under subparagraphs (B) and (C).
‘‘(B) BY PERCENTAGE OF CHILDREN.—The
amount referred to in subparagraph (A) is deter-
mined by adding—
‘‘(i) the number of children determined
under section 1124(c) for that local edu-
cational agency who constitute not more
than 15.233 percent, inclusive, of the agen-
cy’s total population aged 5 to 17, inclusive,
multiplied by 1.0;
‘‘(ii) the number of such children who
constitute more than 15.233 percent, but not
more than 22.706 percent, of such popu-
lation, multiplied by 1.75;
‘‘(iii) the number of such children who
constitute more than 22.706 percent, but not
more than 32.213 percent, of such popu-
lation, multiplied by 2.5;
‘‘(iv) the number of such children who
constitute more than 32.213 percent, but not
more than 41.452 percent, of such popu-
lation, multiplied by 3.25; and
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‘‘(v) the number of such children who
constitute more than 41.452 percent of such
population, multiplied by 4.0.
‘‘(C) BY
NUMBER
OF
CHILDREN.—The
amount referred to in subparagraph (A) is deter-
mined by adding—
‘‘(i) the number of children determined
under section 1124(c) who constitute not
more than 710, inclusive, of the agency’s
total population aged 5 to 17, inclusive,
multiplied by 1.0;
‘‘(ii) the number of such children be-
tween 711 and 2,384, inclusive, in such
population, multiplied by 1.5;
‘‘(iii) the number of such children be-
tween 2,385 and 9,645, inclusive, in such
population, multiplied by 2.0;
‘‘(iv) the number of such children be-
tween 9,646 and 54,600, inclusive, in such
population, multiplied by 2.5; and
‘‘(v) the number of such children in ex-
cess of 54,600 in such population, multi-
plied by 3.0.
‘‘(D) PUERTO RICO.—Notwithstanding sub-
paragraph (A), the weighting factor for the Com-
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monwealth of Puerto Rico under this paragraph
shall not be greater than the total number of
children counted under section 1124(c) multi-
plied by 1.72.
‘‘(d) CALCULATION
OF
GRANT
AMOUNTS.—Grant
amounts under this section shall be calculated in the same
manner as grant amounts are calculated under section
1124(a) (2) and (3).
‘‘(e) STATE MINIMUM.—Notwithstanding any other
provision of this section or section 1122, from the total
amount available for any fiscal year to carry out this sec-
tion, each State shall be allotted not less than 0.5 percent
of the total amount made available to carry out this section
for such fiscal year.
‘‘SEC. 1125A. EDUCATION FINANCE INCENTIVE PROGRAM.
‘‘(a) GRANTS.—From funds appropriated under sub-
section (e) the Secretary is authorized to make grants to
States, from allotments under subsection (b), to carry out
the purposes of this part.
‘‘(b) DISTRIBUTION BASED UPON FISCAL EFFORT AND
EQUITY.—
‘‘(1) IN GENERAL.—
‘‘(A) IN GENERAL.—Except as provided in
subparagraph (B), funds appropriated pursuant
to subsection (e) shall be allotted to each State