H. R. 1—385
desegregation guidelines and the capacity of the applicant
to accommodate the students.
‘‘(c) SPECIAL RULE.—No grant shall be awarded under this
part unless the Assistant Secretary of Education for Civil Rights
determines that the assurances described in subsection (b)(2)(C)
will be met.
‘‘SEC. 5306. PRIORITY.
‘‘In awarding grants under this part, the Secretary shall give
priority to applicants that—
‘‘(1) demonstrate the greatest need for assistance, based
on the expense or difficulty of effectively carrying out approved
desegregation plans and the magnet school program for which
the grant is sought;
‘‘(2) propose to carry out new magnet school programs,
or significantly revise existing magnet school programs; and
‘‘(3) propose to select students to attend magnet school
programs by methods such as lottery, rather than through
academic examination.
‘‘SEC. 5307. USE OF FUNDS.
‘‘(a) IN GENERAL.—Grant funds made available under this part
may be used by an eligible local educational agency, or consortium
of such agencies—
‘‘(1) for planning and promotional activities directly related
to the development, expansion, continuation, or enhancement
of academic programs and services offered at magnet schools;
‘‘(2) for the acquisition of books, materials, and equipment,
including computers and the maintenance and operation of
materials, equipment, and computers, necessary to conduct pro-
grams in magnet schools;
‘‘(3) for the compensation, or subsidization of the compensa-
tion, of elementary school and secondary school teachers who
are highly qualified, and instructional staff where applicable,
who are necessary to conduct programs in magnet schools;
‘‘(4) with respect to a magnet school program offered to
less than the entire student population of a school, for instruc-
tional activities that—
‘‘(A) are designed to make available the special cur-
riculum that is offered by the magnet school program to
students who are enrolled in the school but who are not
enrolled in the magnet school program; and
‘‘(B) further the purpose of this part;
‘‘(5) for activities, which may include professional develop-
ment, that will build the recipient’s capacity to operate magnet
school programs once the grant period has ended;
‘‘(6) to enable the local educational agency, or consortium
of such agencies, to have more flexibility in the administration
of a magnet school program in order to serve students attending
a school who are not enrolled in a magnet school program;
and
‘‘(7) to enable the local educational agency, or consortium
of such agencies, to have flexibility in designing magnet schools
for students in all grades.
‘‘(b) SPECIAL RULE.—Grant funds under this part may be used
for activities described in paragraphs (2) and (3) of subsection
(a) only if the activities are directly related to improving student
academic achievement based on the State’s challenging academic
H. R. 1—386
content standards and student academic achievement standards
or directly related to improving student reading skills or knowledge
of mathematics, science, history, geography, English, foreign lan-
guages, art, or music, or to improving vocational, technological,
and professional skills.
‘‘SEC. 5308. PROHIBITION.
‘‘Grants under this part may not be used for transportation
or any activity that does not augment academic improvement.
‘‘SEC. 5309. LIMITATIONS.
‘‘(a) DURATION
OF AWARDS.—A grant under this part shall
be awarded for a period that shall not exceed 3 fiscal years.
‘‘(b) LIMITATION
ON PLANNING FUNDS.—A local educational
agency, or consortium of such agencies, may expend for planning
(professional development shall not be considered to be planning
for purposes of this subsection) not more than 50 percent of the
grant funds received under this part for the first year of the program
and not more than 15 percent of such funds for each of the second
and third such years.
‘‘(c) AMOUNT.—No local educational agency, or consortium of
such agencies, awarded a grant under this part shall receive more
than $4,000,000 under this part for any 1 fiscal year.
‘‘(d) TIMING.—To the extent practicable, the Secretary shall
award grants for any fiscal year under this part not later than
July 1 of the applicable fiscal year.
‘‘SEC. 5310. EVALUATIONS.
‘‘(a) RESERVATION.—The Secretary may reserve not more than
2 percent of the funds appropriated under section 5311(a) for any
fiscal year to carry out evaluations, provide technical assistance,
and carry out dissemination projects with respect to magnet school
programs assisted under this part.
‘‘(b) CONTENTS.—Each evaluation described in subsection (a),
at a minimum, shall address—
‘‘(1) how and the extent to which magnet school programs
lead to educational quality and improvement;
‘‘(2) the extent to which magnet school programs enhance
student access to a high quality education;
‘‘(3) the extent to which magnet school programs lead to
the elimination, reduction, or prevention of minority group
isolation in elementary schools and secondary schools with
substantial proportions of minority students; and
‘‘(4) the extent to which magnet school programs differ
from other school programs in terms of the organizational
characteristics and resource allocations of such magnet school
programs.
‘‘(c) DISSEMINATION.—The Secretary shall collect and dissemi-
nate to the general public information on successful magnet school
programs.
‘‘SEC. 5311. AUTHORIZATION OF APPROPRIATIONS; RESERVATION.
‘‘(a) AUTHORIZATION.—For the purpose of carrying out this part,
there are authorized to be appropriated $125,000,000 for fiscal
year 2002 and such sums as may be necessary for each of the
5 succeeding fiscal years.
‘‘(b) AVAILABILITY OF FUNDS FOR GRANTS TO AGENCIES NOT
PREVIOUSLY ASSISTED.—In any fiscal year for which the amount
H. R. 1—387
appropriated pursuant to subsection (a) exceeds $75,000,000, the
Secretary shall give priority in using such amounts in excess of
$75,000,000 to awarding grants to local educational agencies or
consortia of such agencies that did not receive a grant under this
part in the preceding fiscal year.
‘‘PART D—FUND FOR THE IMPROVEMENT OF
EDUCATION
‘‘SEC. 5401. AUTHORIZATION OF APPROPRIATIONS.
‘‘There are authorized to be appropriated to carry out this
part the following amounts:
‘‘(1) $550,000,000 for fiscal year 2002.
‘‘(2) $575,000,000 for fiscal year 2003.
‘‘(3) $600,000,000 for fiscal year 2004.
‘‘(4) $625,000,000 for fiscal year 2005.
‘‘(5) $650,000,000 for fiscal year 2006.
‘‘(6) $675,000,000 for fiscal year 2007.
‘‘Subpart 1—Fund for the Improvement of
Education
‘‘SEC. 5411. PROGRAMS AUTHORIZED.
‘‘(a) AUTHORIZATION.—The Secretary is authorized to support
nationally significant programs to improve the quality of elementary
and secondary education at the State and local levels and help
all children meet challenging State academic content and student
academic achievement standards. The Secretary may carry out such
programs directly, or through grants to, or contracts with—
‘‘(1) States or local educational agencies;
‘‘(2) institutions of higher education; and
‘‘(3) other public and private agencies, organizations, and
institutions.
‘‘(b) USES OF FUNDS.—Funds made available under section 5401
to carry out this subpart may be used for any of the following
programs:
‘‘(1) Activities to promote systemic education reform at
the State and local levels, including scientifically based
research, development, and evaluation designed to improve—
‘‘(A) student academic achievement at the State and
local level; and
‘‘(B) strategies for effective parent and community
involvement.
‘‘(2) Programs at the State and local levels that are designed
to yield significant results, including programs to explore
approaches to public school choice and school-based decision-
making.
‘‘(3) Recognition programs, which may include financial
awards to States, local educational agencies, and schools that
have made the greatest progress, based on the Secretary’s
determination or on a nomination by the State in which the
school is located (or in the case of a Bureau funded school,
by the Secretary of the Interior) in—
‘‘(A) improving the academic achievement of economi-
cally disadvantaged students and students from major
racial and ethnic minority groups; and
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‘‘(B) closing the academic achievement gap for those
groups of students farthest away from the proficient level
on the academic assessments administered by the State
under section 1111.
‘‘(4) Scientifically based studies and evaluations of edu-
cation reform strategies and innovations, and the dissemination
of information on the effectiveness of such strategies and
innovations.
‘‘(5) Identification and recognition of exemplary schools and
programs, such as Blue Ribbon Schools, including programs
to evaluate the effectiveness of using the best practices of
exemplary or Blue Ribbon Schools to improve academic achieve-
ment.
‘‘(6) Activities to support Scholar-Athlete Games programs,
including the World Scholar-Athlete Games and the U.S.
Scholar-Athlete Games.
‘‘(7) Programs to promote voter participation in American
elections through programs, such as the National Student/
Parent Mock Election and Kids Voting USA.
‘‘(8) Demonstrations relating to the planning and evaluation
of the effectiveness of programs under which local educational
agencies or schools contract with private management organiza-
tions to reform a school or schools.
‘‘(9) Other programs that meet the purposes of this Act.
‘‘(c) BASIS OF AWARDS.—The Secretary is authorized to—
‘‘(1) make awards under this subpart on the basis of com-
petitions announced by the Secretary; and
‘‘(2) support meritorious unsolicited proposals for awards
under this subpart.
‘‘(d) EFFECTIVENESS OF PROGRAMS.—The Secretary shall ensure
that programs supported under this subpart are designed so that
their effectiveness is readily ascertainable, and shall ensure that
such effectiveness is assessed using rigorous, scientifically based
research and evaluations.
‘‘SEC. 5412. APPLICATIONS.
‘‘(a) SUBMISSION.—To be eligible for an award under this sub-
part, an entity shall submit an application to the Secretary, at
such time, in such manner, and containing such information as
the Secretary may require.
‘‘(b) CONTENTS.—Each application submitted under subsection
(a) shall—
‘‘(1) establish clear objectives, which are based on scientif-
ically based research, for the proposed program; and
‘‘(2) describe the activities the applicant will carry out
in order to meet the objectives described in paragraph (1).
‘‘(c) PEER REVIEW.—The Secretary shall use a peer review
process in reviewing applications for awards under this subpart
and in recognizing States, local educational agencies, and schools
under section 5411(b)(3), only if funds are used for such recognition
programs. The Secretary may use funds appropriated under this
subpart for the cost of such peer review.
‘‘SEC. 5413. PROGRAM REQUIREMENTS.
‘‘(a) EVALUATIONS.—A recipient of an award under this subpart
shall—
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‘‘(1) evaluate the effectiveness of the program funded under
the award in achieving the objectives stated in applications
submitted under section 5412; and
‘‘(2) report to the Secretary such information as may be
required to determine the effectiveness of such program,
including evidence of progress toward meeting such objectives.
‘‘(b) DISSEMINATION OF EVALUATION RESULTS.—The Secretary
shall provide for the dissemination of the evaluations of programs
funded under this subpart by making the evaluations publicly avail-
able upon request, and shall provide public notice that the evalua-
tions are so available.
‘‘(c) MATCHING FUNDS.—The Secretary may require recipients
of awards under this subpart to provide matching funds from non-
Federal sources, and shall permit the recipients to match funds
in whole or in part with in-kind contributions.
‘‘(d) SPECIAL RULE FOR RECOGNITION PROGRAMS.—The applica-
tion requirements of section 5412(b), and the evaluation require-
ments of subsections (a) and (b) of this section, do not apply to
recognition programs under section 5411(b)(3).
‘‘SEC. 5414. STUDIES OF NATIONAL SIGNIFICANCE.
‘‘(a) STUDIES.—The Secretary shall conduct the following studies
of national significance:
‘‘(1) UNHEALTHY
PUBLIC
SCHOOL
BUILDINGS.—A study
regarding the health and learning impacts of environmentally
unhealthy public school buildings on students and teachers.
The study shall include the following information:
‘‘(A) The characteristics of those public elementary
school and secondary school buildings that contribute to
unhealthy school environments.
‘‘(B) The health and learning impacts of environmental
unhealthy public school buildings on students that are
attending or that have attended such schools.
‘‘(C) Recommendations to Congress on how to assist
schools that are out of compliance with Federal or State
health and safety codes, and a cost estimate of bringing
up environmentally unhealthy public school buildings to
minimum Federal health and safety building standards.
‘‘(2) EXPOSURE
TO
VIOLENT
ENTERTAINMENT.—A study
regarding how exposure to violent entertainment (such as in
movies, music, television, Internet content, video games, and
arcade games) affects children’s cognitive development and edu-
cational achievement.
‘‘(3) SEXUAL ABUSE IN SCHOOLS.—A study regarding the
prevalence of sexual abuse in schools, including recommenda-
tions and legislative remedies for addressing the problem of
sexual abuse in schools.
‘‘(b) COMPLETION DATE.—The studies under subsection (a) shall
be completed not later than 18 months after the date of enactment
of the No Child Left Behind Act of 2001.
‘‘(c) PUBLIC DISSEMINATION.—The Secretary shall make the
study conducted under subsection (a)(1) available to the public
through the Educational Resources Information Center National
Clearinghouse for Educational Facilities of the Department.
H. R. 1—390
‘‘Subpart 2—Elementary and Secondary School
Counseling Programs
‘‘SEC. 5421. ELEMENTARY AND SECONDARY SCHOOL COUNSELING PRO-
GRAMS.
‘‘(a) GRANTS AUTHORIZED.—
‘‘(1) IN GENERAL.—The Secretary is authorized to award
grants to local educational agencies to enable such agencies
to establish or expand elementary school and secondary school
counseling programs that comply with the requirements of sub-
section (c)(2).
‘‘(2) SPECIAL CONSIDERATION.—In awarding grants under
this section, the Secretary shall give special consideration to
applications describing programs that—
‘‘(A) demonstrate the greatest need for new or addi-
tional counseling services among children in the schools
served by the local educational agency, in part by providing
information on current ratios of students to school coun-
selors, students to school social workers, and students to
school psychologists;
‘‘(B) propose the most promising and innovative
approaches for initiating or expanding school counseling;
and
‘‘(C) show the greatest potential for replication and
dissemination.
‘‘(3) EQUITABLE DISTRIBUTION.—In awarding grants under
this section, the Secretary shall ensure an equitable geographic
distribution among the regions of the United States and among
local educational agencies located in urban, rural, and suburban
areas.
‘‘(4) DURATION.—A grant under this section shall be
awarded for a period not to exceed 3 years.
‘‘(5) MAXIMUM GRANT.—A grant awarded under this section
shall not exceed $400,000 for any fiscal year.
‘‘(6) SUPPLEMENT, NOT SUPPLANT.—Funds made available
under this section shall be used to supplement, and not sup-
plant, other Federal, State, or local funds used for providing
school-based counseling and mental health services to students.
‘‘(b) APPLICATIONS.—
‘‘(1) IN GENERAL.—Each local educational agency desiring
a grant under this section shall submit an application to the
Secretary at such time, in such manner, and accompanied
by such information as the Secretary may reasonably require.
‘‘(2) CONTENTS.—Each application for a grant under this
section shall—
‘‘(A) describe the school population to be targeted by
the program, the particular counseling needs of such popu-
lation, and the current school counseling resources avail-
able for meeting such needs;
‘‘(B) describe the activities, services, and training to
be provided by the program and the specific approaches
to be used to meet the needs described in subparagraph
(A);
‘‘(C) describe the methods to be used to evaluate the
outcomes and effectiveness of the program;
H. R. 1—391
‘‘(D) describe how the local educational agency will
involve community groups, social service agencies, and
other public and private entities in collaborative efforts
to enhance the program and promote school-linked services
integration;
‘‘(E) document that the local educational agency has
the personnel qualified to develop, implement, and admin-
ister the program;
‘‘(F) describe how diverse cultural populations, if
applicable, will be served through the program;
‘‘(G) assure that the funds made available under this
subpart for any fiscal year will be used to supplement,
and not supplant, any other Federal, State, or local funds
used for providing school-based counseling and mental
health services to students; and
‘‘(H) assure that the applicant will appoint an advisory
board composed of interested parties, including parents,
teachers, school administrators, counseling services pro-
viders described in subsection (c)(2)(D), and community
leaders, to advise the local educational agency on the design
and implementation of the program.
‘‘(c) USE OF FUNDS.—
‘‘(1) IN GENERAL.—The Secretary is authorized to award
grants to local educational agencies to enable the local edu-
cational agencies to initiate or expand elementary school or
secondary school counseling programs that comply with the
requirements of paragraph (2).
‘‘(2) REQUIREMENTS.—Each program funded under this sec-
tion shall—
‘‘(A) be comprehensive in addressing the counseling
and educational needs of all students;
‘‘(B) use a developmental, preventive approach to coun-
seling;
‘‘(C) increase the range, availability, quantity, and
quality of counseling services in the elementary schools
and secondary schools of the local educational agency;
‘‘(D) expand counseling services through qualified
school counselors, school social workers, school psycholo-
gists, other qualified psychologists, or child and adolescent
psychiatrists;
‘‘(E) use innovative approaches to increase children’s
understanding of peer and family relationships, work and
self, decisionmaking, or academic and career planning, or
to improve peer interaction;
‘‘(F) provide counseling services in settings that meet
the range of student needs;
‘‘(G) include in-service training appropriate to the
activities funded under this Act for teachers, instructional
staff, and appropriate school personnel, including in-service
training in appropriate identification and early intervention
techniques by school counselors, school social workers,
school psychologists, other qualified psychologists, and child
and adolescent psychiatrists;
‘‘(H) involve parents of participating students in the
design, implementation, and evaluation of the counseling
program;
H. R. 1—392
‘‘(I) involve community groups, social service agencies,
or other public or private entities in collaborative efforts
to enhance the program and promote school-linked integra-
tion of services;
‘‘(J) evaluate annually the effectiveness and outcomes
of the counseling services and activities assisted under
this section;
‘‘(K) ensure a team approach to school counseling in
the schools served by the local educational agency by
working toward ratios recommended by the American
School Health Association of one school counselor to 250
students, one school social worker to 800 students, and
one school psychologist to 1,000 students; and
‘‘(L) ensure that school counselors, school psychologists,
other qualified psychologists, school social workers, or child
and adolescent psychiatrists paid from funds made avail-
able under this section spend a majority of their time
counseling students or in other activities directly related
to the counseling process.
‘‘(d) LIMITATION ON ADMINISTRATIVE COSTS.—Not more than
4 percent of the amounts made available under this section for
any fiscal year may be used for administrative costs to carry out
this section.
‘‘(e) DEFINITIONS.—For the purpose of this section—
‘‘(1) the term ‘child and adolescent psychiatrist’ means an
individual who—
‘‘(A) possesses State medical licensure; and
‘‘(B) has completed residency training programs in both
general psychiatry and child and adolescent psychiatry;
‘‘(2) the term ‘other qualified psychologist’ means an indi-
vidual who has demonstrated competence in counseling children
in a school setting and who—
‘‘(A) is licensed in psychology by the State in which
the individual works; and
‘‘(B) practices in the scope of the individual’s education,
training, and experience with children in school settings;
‘‘(3) the term ‘school counselor’ means an individual who
has documented competence in counseling children and adoles-
cents in a school setting and who—
‘‘(A) is licensed by the State or certified by an inde-
pendent professional regulatory authority;
‘‘(B) in the absence of such State licensure or certifi-
cation, possesses national certification in school counseling
or a specialty of counseling granted by an independent
professional organization; or
‘‘(C) holds a minimum of a master’s degree in school
counseling from a program accredited by the Council for
Accreditation of Counseling and Related Educational Pro-
grams or the equivalent;
‘‘(4) the term ‘school psychologist’ means an individual
who—
‘‘(A) has completed a minimum of 60 graduate semester
hours in school psychology from an institution of higher
education and has completed 1,200 clock hours in a super-
vised school psychology internship, of which 600 hours
are in the school setting;
H. R. 1—393
‘‘(B) is licensed or certified in school psychology by
the State in which the individual works; or
‘‘(C) in the absence of such State licensure or certifi-
cation, possesses national certification by the National
School Psychology Certification Board; and
‘‘(5) the term ‘school social worker’ means an individual
who—
‘‘(A) holds a master’s degree in social work from a
program accredited by the Council on Social Work Edu-
cation; and
‘‘(B)(i) is licensed or certified by the State in which
services are provided; or
‘‘(ii) in the absence of such State licensure or certifi-
cation, possesses a national credential or certification as
a school social work specialist granted by an independent
professional organization.
‘‘(f) REPORT.—Not later than 2 years after assistance is made
available to local educational agencies under subsection (c), the
Secretary shall make publicly available a report—
‘‘(1) evaluating the programs assisted pursuant to each
grant under this subpart; and
‘‘(2) outlining the information from local educational agen-
cies regarding the ratios of students to—
‘‘(A) school counselors;
‘‘(B) school social workers; and
‘‘(C) school psychologists.
‘‘(g) SPECIAL RULE.—
‘‘(1) AMOUNT EQUALS OR EXCEEDS $40,000,000.—If the amount
of funds made available by the Secretary for this subpart equals
or exceeds $40,000,000, the Secretary shall award not less
than $40,000,000 in grants to local educational agencies to
enable the agencies to establish or expand counseling programs
in elementary schools.
‘‘(2) AMOUNT LESS THAN $40,000,000.—If the amount of funds
made available by the Secretary for this subpart is less than
$40,000,000, the Secretary shall award grants to local edu-
cational agencies only to establish or expand counseling pro-
grams in elementary schools.
‘‘Subpart 3—Partnerships in Character Education
‘‘SEC. 5431. PARTNERSHIPS IN CHARACTER EDUCATION PROGRAM.
‘‘(a) PROGRAM AUTHORIZED.—
‘‘(1) IN GENERAL.—The Secretary is authorized to award
grants to eligible entities for the design and implementation
of character education programs that—
‘‘(A) are able to be integrated into classroom instruction
and to be consistent with State academic content standards;
and
‘‘(B) are able to be carried out in conjunction with
other educational reform efforts.
‘‘(2) ELIGIBLE ENTITY.—In this section, the term ‘eligible
entity’ means—
‘‘(A) a State educational agency in partnership with—
‘‘(i) one or more local educational agencies; or
‘‘(ii) one or more—
‘‘(I) local educational agencies; and
H. R. 1—394
‘‘(II) 
nonprofit 
organizations 
or 
entities,
including an institution of higher education;
‘‘(B) a local educational agency or consortium of local
educational agencies; or
‘‘(C) a local educational agency in partnership with
one or more nonprofit organizations or entities, including
an institution of higher education.
‘‘(3) DURATION.—Each grant under this section shall be
awarded for a period not to exceed 5 years, of which the
eligible entity may not use more than 1 year for planning
and program design.
‘‘(4) AMOUNT OF GRANTS FOR STATE EDUCATIONAL AGEN-
CIES.—Subject to the availability of appropriations, the amount
of a grant made by the Secretary to a State educational agency
under this section shall not be less than $500,000 if the State
educational agency—
‘‘(A) is in a partnership described in paragraph (2)(A);
and
‘‘(B) meets such requirements as the Secretary may
establish under this section.
‘‘(b) CONTRACTS UNDER PROGRAM.—
‘‘(1) EVALUATION.—Each eligible entity awarded a grant
under this section may contract with outside sources, including
institutions of higher education and private and nonprofit
organizations, for the purposes of—
‘‘(A) evaluating the program for which the assistance
is made available;
‘‘(B) measuring the integration of such program into
the curriculum and teaching methods of schools where
the program is carried out; and
‘‘(C) measuring the success of such program in fostering
the elements of character selected by the recipient under
subsection (c).
‘‘(2) MATERIALS AND PROGRAM DEVELOPMENT.—Each eligible
entity awarded a grant under this section may contract with
outside sources, including institutions of higher education and
private and nonprofit organizations, for assistance in—
‘‘(A) developing secular curricula, materials, teacher
training, and other activities related to character education;
and
‘‘(B) integrating secular character education into the
curricula and teaching methods of schools where the pro-
gram is carried out.
‘‘(c) ELEMENTS OF CHARACTER.—
‘‘(1) SELECTION.—
‘‘(A) IN GENERAL.—Each eligible entity awarded a grant
under this section may select the elements of character
that will be taught under the program for which the grant
was awarded.
‘‘(B) CONSIDERATION OF VIEWS.—In selecting elements
of character under subparagraph (A), the eligible entity
shall consider the views of the parents of the students
to be taught under the program and the views of the
students.
‘‘(2) EXAMPLE ELEMENTS.—Elements of character selected
under this subsection may include any of the following:
‘‘(A) Caring.
H. R. 1—395
‘‘(B) Civic virtue and citizenship.
‘‘(C) Justice and fairness.
‘‘(D) Respect.
‘‘(E) Responsibility.
‘‘(F) Trustworthiness.
‘‘(G) Giving.
‘‘(H) Any other elements deemed appropriate by the
eligible entity.
‘‘(d) USE OF FUNDS BY STATE EDUCATIONAL AGENCY RECIPI-
ENTS.—Of the total funds received in any fiscal year under this
section by an eligible entity that is a State educational agency—
‘‘(1) not more than 3 percent of such funds may be used
for administrative purposes; and
‘‘(2) the remainder of such funds may be used for—
‘‘(A) collaborative initiatives with and between local
educational agencies and schools;
‘‘(B) the preparation or purchase of materials, and
teacher training;
‘‘(C) providing assistance to local educational agencies,
schools, or institutions of higher education; and
‘‘(D) technical assistance and evaluation.
‘‘(e) APPLICATION.—
‘‘(1) IN
GENERAL.—Each eligible entity desiring a grant
under this section shall submit an application to the Secretary
at such time and in such manner as the Secretary may require.
‘‘(2) REQUIRED INFORMATION.—Each application for a grant
under this section shall include (together with any other
information that the Secretary may require) information that—
‘‘(A) demonstrates that the program for which the grant
is sought has clear objectives that are based on scientifically
based research;
‘‘(B) describes any partnerships or collaborative efforts
among the organizations and entities of the eligible entity;
‘‘(C) describes the activities that will be carried out
with the grant funds and how such activities will meet
the objectives described in subparagraph (A), including—
‘‘(i) how parents, students, students with disabil-
ities (including those with mental or physical disabil-
ities), and other members of the community, including
members of private and nonprofit organizations, will
be involved in the design and implementation of the
program and how the eligible entity will work with
the larger community to increase the reach and
promise of the program;
‘‘(ii) curriculum and instructional practices that
will be used or developed; and
‘‘(iii) methods of teacher training and parent edu-
cation that will be used or developed;
‘‘(D) describes how the program for which the grant
is sought will be linked to other efforts to improve academic
achievement, including—
‘‘(i) broader educational reforms that are being
instituted by the eligible entity or its partners; and
‘‘(ii) State academic content standards;
‘‘(E) in the case of an eligible entity that is a State
educational agency, describes how the State educational
agency—
H. R. 1—396
‘‘(i) will provide technical and professional assist-
ance to its local educational agency partners in the
development and implementation of character edu-
cation programs; and
‘‘(ii) will assist other interested local educational
agencies that are not members of the original partner-
ship in designing and establishing character education
programs;
‘‘(F) describes how the eligible entity will evaluate the
success of its program—
‘‘(i) based on the objectives described in subpara-
graph (A); and
‘‘(ii) in cooperation with any national evaluation
conducted pursuant to subsection (h)(2)(B)(iii); and
‘‘(G) assures that the eligible entity annually will pro-
vide to the Secretary such information as may be required
to determine the effectiveness of the program.
‘‘(f) SELECTION OF RECIPIENTS.—
‘‘(1) PEER REVIEW.—
‘‘(A) IN
GENERAL.—In selecting eligible entities to
receive grants under this section from among the applicants
for such grants, the Secretary shall use a peer review
process that includes the participation of experts in the
field of character education and development.
‘‘(B) USE OF FUNDS.—The Secretary may use funds
appropriated under this section for the cost of carrying
out peer reviews under this paragraph.
‘‘(2) SELECTION CRITERIA.—Each selection under paragraph
(1) shall be made on the basis of the quality of the application
submitted, taking into consideration such factors as—
‘‘(A) the extent to which the program fosters character
in students and the potential for improved student aca-
demic achievement;
‘‘(B) the extent and ongoing nature of parental, student,
and community involvement;
‘‘(C) the quality of the plan for measuring and assessing
success; and
‘‘(D) the likelihood that the objectives of the program
will be achieved.
‘‘(3) EQUITABLE DISTRIBUTION.—In making selections under
this subsection, the Secretary shall ensure, to the extent prac-
ticable under paragraph (2), that the programs assisted under
this section are equitably distributed among the geographic
regions of the United States, and among urban, suburban,
and rural areas.
‘‘(g) PARTICIPATION
BY
PRIVATE
SCHOOL
CHILDREN
AND
TEACHERS.—Each eligible entity that receives a grant under this
section shall provide, to the extent feasible and appropriate, for
the participation in programs and activities under this section of
students and teachers in private elementary schools and secondary
schools.
‘‘(h) EVALUATION AND PROGRAM DEVELOPMENT.—
‘‘(1) STATE AND LOCAL REPORTING AND EVALUATION.—Each
eligible entity receiving a grant under this section shall submit
to the Secretary a comprehensive evaluation of the program
assisted under this section, including its impact on students,
H. R. 1—397
students with disabilities (including those with mental or phys-
ical disabilities), teachers, administrators, parents, and others—
‘‘(A) by the end of the second year of the program;
and
‘‘(B) not later than 1 year after completion of the grant
period.
‘‘(2) NATIONAL
RESEARCH, DISSEMINATION, AND
EVALUA-
TION.—
‘‘(A) IN GENERAL.—
‘‘(i) AUTHORIZATION.—The Secretary is authorized
to award grants to, or enter into contracts or coopera-
tive agreements with, State educational agencies or
local educational agencies, institutions of higher edu-
cation, tribal organizations, or other public or private
agencies or organizations to carry out research,
development, dissemination, technical assistance, and
evaluation activities that support or inform State and
local character education programs.
‘‘(ii) RESERVATION OF FUNDS.—The Secretary shall
reserve not more than 5 percent of the funds made
available under this section to carry out this para-
graph.
‘‘(B) USES.—Funds made available under subparagraph
(A) may be used for the following:
‘‘(i) Conducting research and development activi-
ties that focus on matters such as—
‘‘(I) the extent to which schools are under-
taking character education initiatives;
‘‘(II) the effectiveness of instructional models
for all students, including students with disabil-
ities (including those with mental or physical
disabilities);
‘‘(III) materials and curricula for use by pro-
grams in character education;
‘‘(IV) models of professional development in
character education;
‘‘(V) the development of measures of effective-
ness for character education programs (which may
include the factors described in paragraph (3));
and
‘‘(VI) the effectiveness of State and local pro-
grams receiving funds under this section.
‘‘(ii) Providing technical assistance to State and
local programs, particularly on matters of program
evaluation.
‘‘(iii) Conducting evaluations of State and local
programs receiving funding under this section, that
may be conducted through a national clearinghouse
under clause (iv).
‘‘(iv) Compiling and disseminating, through a
national clearinghouse or other means—
‘‘(I) information on model character education
programs;
‘‘(II) information about high quality character
education materials and curricula;
‘‘(III) research findings in the area of character
education and character development; and
H. R. 1—398
‘‘(IV) any other information that will be useful
to 
character 
education 
program 
participants
nationwide, including educators, parents, and
administrators.
‘‘(C) PARTNERSHIPS.—In carrying out national activities
under this paragraph, the Secretary may enter into part-
nerships with national nonprofit character education
organizations and institutions of higher education with
expertise and successful experience in implementing—
‘‘(i) character education programs that had an
effective impact on schools, students, students with
disabilities (including those with mental or physical
disabilities), and teachers; or
‘‘(ii) character education program evaluation and
research.
‘‘(D) PARTNERSHIP
FOR
ACTIVITIES
UNDER
SUBPARA-
GRAPH (B)(iv).—In carrying out national activities under
subparagraph (B)(iv), the Secretary may enter into a part-
nership with a national nonprofit character education
organization that will disseminate information to edu-
cators, parents, administrators, and others nationwide,
including information about the range of model character
education programs, materials, and curricula.
‘‘(E) REPORT.—Each entity awarded a grant or entering
into a contract or cooperative agreement under this para-
graph shall submit an annual report to the Secretary that—
‘‘(i) describes the entity’s progress in carrying out
research, development, dissemination, evaluation, and
technical assistance under this paragraph;
‘‘(ii) identifies unmet and future information needs
in the field of character education; and
‘‘(iii) if applicable, describes the progress of the
entity in carrying out the requirements of subpara-
graph (B)(iv), including a listing of—
‘‘(I) the number of requests for information
received by the entity in the course of carrying
out such requirements;
‘‘(II) the types of organizations making such
requests; and
‘‘(III) the types of information requested.
‘‘(3) FACTORS.—Factors that may be considered in evalu-
ating the success of programs funded under this section include
the following:
‘‘(A) Discipline issues.
‘‘(B) Student academic achievement.
‘‘(C) Participation in extracurricular activities.
‘‘(D) Parental and community involvement.
‘‘(E) Faculty and administration involvement.
‘‘(F) Student and staff morale.
‘‘(G) Overall improvements in school climate for all
students, including students with disabilities (including
those with mental or physical disabilities).
‘‘(i) PERMISSIVE MATCH.—
‘‘(1) IN GENERAL.—The Secretary may require eligible enti-
ties to match funds awarded under this section with non-
Federal funds, except that the amount of the match may not
exceed the amount of the grant award.
H. R. 1—399
‘‘(2) SLIDING SCALE.—The amount of a match under para-
graph (1) shall be established based on a sliding scale that
takes into account—
‘‘(A) the poverty of the population to be targeted by
the eligible entity; and
‘‘(B) the ability of the eligible entity to obtain funding
for the match.
‘‘(3) IN-KIND CONTRIBUTIONS.—The Secretary shall permit
eligible entities to match funds in whole or in part with in-
kind contributions.
‘‘(4) CONSIDERATION.—Notwithstanding this subsection, the
Secretary in making awards under this section shall not con-
sider the ability of an eligible entity to match funds.
‘‘Subpart 4—Smaller Learning Communities
‘‘SEC. 5441. SMALLER LEARNING COMMUNITIES.
‘‘(a) GRANT AUTHORITY.—The Secretary is authorized to award
grants to local educational agencies to enable the agencies to create
a smaller learning community or communities.
‘‘(b) APPLICATION.—Each local educational agency desiring a
grant under this subpart shall submit an application to the Sec-
retary at such time, in such manner, and accompanied by such
information as the Secretary may require. The application shall
include descriptions of the following:
‘‘(1) Strategies and methods the local educational agency
will use to create the smaller learning community or commu-
nities.
‘‘(2) Curriculum and instructional practices, including any
particular themes or emphases, to be used in the smaller
learning environment.
‘‘(3) The extent of involvement of teachers and other school
personnel in investigating, designing, implementing, and sus-
taining the smaller learning community or communities.
‘‘(4) The process to be used for involving students, parents,
and other stakeholders in the development and implementation
of the smaller learning community or communities.
‘‘(5) Any cooperation or collaboration among community
agencies, organizations, businesses, and others to develop or
implement a plan to create the smaller learning community
or communities.
‘‘(6) The training and professional development activities
that will be offered to teachers and others involved in the
activities assisted under this subpart.
‘‘(7) The objectives of the activities assisted under this
subpart, including a description of how such activities will
better enable all students to reach challenging State academic
content standards and State student academic achievement
standards.
‘‘(8) The methods by which the local educational agency
will assess progress in meeting the objectives described in para-
graph (7).
‘‘(9) If the smaller learning community or communities
exist as a school-within-a-school, the relationship, including
governance and administration, of the smaller learning commu-
nity to the remainder of the school.
H. R. 1—400
‘‘(10) The administrative and managerial relationship
between the local educational agency and the smaller learning
community or communities, including how such agency will
demonstrate a commitment to the continuity of the smaller
learning community or communities (including the continuity
of student and teacher assignment to a particular learning
community).
‘‘(11) How the local educational agency will coordinate or
use funds provided under this subpart with other funds pro-
vided under this Act or other Federal laws.
‘‘(12) The grade levels or ages of students who will partici-
pate in the smaller learning community or communities.
‘‘(13) The method of placing students in the smaller
learning community or communities, such that students are
not placed according to ability or any other measure, but are
placed at random or by their own choice, and not pursuant
to testing or other judgments.
‘‘(c) AUTHORIZED ACTIVITIES.—Funds under this section may
be used for one or more of the following:
‘‘(1) To study—
‘‘(A) the feasibility of creating the smaller learning
community or communities; and
‘‘(B) effective and innovative organizational and
instructional strategies that will be used in the smaller
learning community or communities.
‘‘(2) To research, develop, and implement—
‘‘(A) strategies for creating the smaller learning
community or communities; and
‘‘(B) strategies for effective and innovative changes in
curriculum and instruction, geared to challenging State
academic content standards and State student academic
achievement standards.
‘‘(3) To provide professional development for school staff
in innovative teaching methods that—
‘‘(A) challenge and engage students; and
‘‘(B) will be used in the smaller learning community
or communities.
‘‘(4) To develop and implement strategies to include par-
ents, business representatives, local institutions of higher edu-
cation, community-based organizations, and other community
members in the smaller learning communities as facilitators
of activities that enable teachers to participate in professional
development activities and provide links between students and
their community.
‘‘Subpart 5—Reading Is Fundamental—
Inexpensive Book Distribution Program
‘‘SEC. 
5451. 
INEXPENSIVE 
BOOK 
DISTRIBUTION 
PROGRAM 
FOR
READING MOTIVATION.
‘‘(a) PURPOSE.—The purpose of this subpart is to establish
and implement a model partnership between a governmental entity
and a private entity, to help prepare young children for reading
and to motivate older children to read, through the distribution
of inexpensive books. Local reading motivation programs assisted
under this section shall use such assistance to provide books,
training for volunteers, motivational activities, and other essential
H. R. 1—401
literacy resources and shall assign the highest priority to serving
the youngest and neediest children in the United States.
‘‘(b) AUTHORIZATION.—The Secretary is authorized to enter into
a contract with Reading Is Fundamental (RIF) (hereafter in this
section referred to as the ‘contractor’) to support and promote pro-
grams, which include the distribution of inexpensive books to young
and school-age children, that motivate children to read.
‘‘(c) REQUIREMENTS OF CONTRACT.—Any contract entered into
under subsection (b) shall contain each of the following:
‘‘(1) A provision that the contractor will enter into sub-
contracts with local private nonprofit groups or organizations,
or with public agencies, under which each subcontractor will
agree to establish, operate, and provide the non-Federal share
of the cost of reading motivation programs that include the
distribution of books, by gift (to the extent feasible) or by
loan, to children from birth through secondary school age,
including children in family literacy programs.
‘‘(2) A provision that funds made available to subcontractors
will be used only to pay the Federal share of the cost of
such programs.
‘‘(3) A provision that, in selecting subcontractors for initial
funding, the contractor will give priority to programs that will
serve a substantial number or percentage of children with
special needs, such as the following:
‘‘(A) Low-income children, particularly in high-poverty
areas.
‘‘(B) Children at risk of school failure.
‘‘(C) Children with disabilities.
‘‘(D) Foster children.
‘‘(E) Homeless children.
‘‘(F) Migrant children.
ildren without access to libraries.
‘‘(H) Institutionalized or incarcerated children.
‘‘(I) Children whose parents are institutionalized or
incarcerated.
‘‘(4) A provision that the contractor will provide such
training and technical assistance to subcontractors as may be
necessary to carry out the purpose of this subpart.
‘‘(5) A provision that the contractor will annually report
to the Secretary the number, and a description, of programs
funded under paragraph (3).
‘‘(6) Such other terms and conditions as the Secretary deter-
mines to be appropriate to ensure the effectiveness of such
programs.
‘‘(d) RESTRICTION
ON PAYMENTS.—The Secretary shall make
no payment of the Federal share of the cost of acquiring and
distributing books under any contract under this section unless
the Secretary determines that the contractor or subcontractor, as
the case may be, has made arrangements with book publishers
or distributors to obtain books at discounts at least as favorable
as discounts that are customarily given by such publisher or dis-
tributor for book purchases made under similar circumstances in
the absence of Federal assistance.
‘‘(e) SPECIAL RULES FOR CERTAIN SUBCONTRACTORS.—
‘‘(1) FUNDS FROM OTHER FEDERAL SOURCES.—Subcontrac-
tors operating programs under this section in low-income
H. R. 1—402
communities with a substantial number or percentage of chil-
dren with special needs, as described in subsection (c)(3), may
use funds from other Federal sources to pay the non-Federal
share of the cost of the program, if those funds do not comprise
more than 50 percent of the non-Federal share of the funds
used for the cost of acquiring and distributing books.
‘‘(2) WAIVER AUTHORITY.—Notwithstanding subsection (c),
the contractor may waive, in whole or in part, the requirement
in subsection (c)(1) for a subcontractor, if the subcontractor
demonstrates that it would otherwise not be able to participate
in the program, and enters into an agreement with the con-
tractor with respect to the amount of the non-Federal share
to which the waiver will apply. In a case in which such a
waiver is granted, the requirement in subsection (c)(2) shall
not apply.
‘‘(f) MULTI-YEAR CONTRACTS.—The contractor may enter into
a multi-year subcontract under this section, if—
‘‘(1) the contractor believes that such subcontract will pro-
vide the subcontractor with additional leverage in seeking local
commitments; and
‘‘(2) the subcontract does not undermine the finances of
the national program.
‘‘(g) FEDERAL SHARE DEFINED.—In this section, the term ‘Fed-
eral share’ means, with respect to the cost to a subcontractor
of purchasing books to be paid for under this section, 75 percent
of such costs to the subcontractor, except that the Federal share
for programs serving children of migrant or seasonal farmworkers
shall be 100 percent of such costs to the subcontractor.
‘‘Subpart 6—Gifted and Talented Students
‘‘SEC. 5461. SHORT TITLE.
‘‘This subpart may be cited as the ‘Jacob K. Javits Gifted
and Talented Students Education Act of 2001’.
‘‘SEC. 5462. PURPOSE.
‘‘The purpose of this subpart is to initiate a coordinated program
of scientifically based research, demonstration projects, innovative
strategies, and similar activities designed to build and enhance
the ability of elementary schools and secondary schools nationwide
to meet the special educational needs of gifted and talented stu-
dents.
‘‘SEC. 5463. RULE OF CONSTRUCTION.
Nothing in this subpart shall be construed to prohibit a
recipient of funds under this subpart from serving gifted and tal-
ented students simultaneously with students with similar edu-
cational needs, in the same educational settings, where appropriate.
‘‘SEC. 5464. AUTHORIZED PROGRAMS.
‘‘(a) ESTABLISHMENT OF PROGRAM.—
‘‘(1) IN GENERAL.—The Secretary (after consultation with
experts in the field of the education of gifted and talented
students) is authorized to make grants to, or enter into con-
tracts with, State educational agencies, local educational agen-
cies, institutions of higher education, other public agencies,
and other private agencies and organizations (including Indian
tribes and Indian organizations (as such terms are defined
H. R. 1—403
in section 4 of the Indian Self-Determination and Education
Assistance Act (25 U.S.C. 450b)) and Native Hawaiian organiza-
tions) to assist such agencies, institutions, and organizations
in carrying out programs or projects authorized by this subpart
that are designed to meet the educational needs of gifted and
talented students, including the training of personnel in the
education of gifted and talented students and in the use, where
appropriate, of gifted and talented services, materials, and
methods for all students.
‘‘(2) APPLICATION.—Each entity seeking assistance under
this subpart shall submit an application to the Secretary at
such time, in such manner, and containing such information
as the Secretary may reasonably require. Each such application
shall describe how—
‘‘(A) the proposed gifted and talented services, mate-
rials, and methods can be adapted, if appropriate, for use
by all students; and
‘‘(B) the proposed programs can be evaluated.
‘‘(b) USE
OF FUNDS.—Programs and projects assisted under
this section may include each of the following:
‘‘(1) Conducting—
‘‘(A) scientifically based research on methods and tech-
niques for identifying and teaching gifted and talented
students and for using gifted and talented programs and
methods to serve all students; and
‘‘(B) program evaluations, surveys, and the collection,
analysis, and development of information needed to accom-
plish the purpose of this subpart.
‘‘(2) Carrying out professional development (including
fellowships) for personnel (including leadership personnel)
involved in the education of gifted and talented students.
‘‘(3) Establishing and operating model projects and exem-
plary programs for serving gifted and talented students,
including innovative methods for identifying and educating stu-
dents who may not be served by traditional gifted and talented
programs (such as summer programs, mentoring programs,
service learning programs, and cooperative programs involving
business, industry, and education).
‘‘(4) Implementing innovative strategies, such as coopera-
tive learning, peer tutoring, and service learning.
‘‘(5) Carrying out programs of technical assistance and
information dissemination, including assistance and informa-
tion with respect to how gifted and talented programs and
methods, where appropriate, may be adapted for use by all
students.
‘‘(6) Making materials and services available through State
regional educational service centers, institutions of higher edu-
cation, or other entities.
‘‘(7) Providing funds for challenging, high-level course work,
disseminated 
through 
technologies 
(including 
distance
learning), for individual students or groups of students in
schools and local educational agencies that would not otherwise
have the resources to provide such course work.
‘‘(c) SPECIAL RULE.—To the extent that funds appropriated to
carry out this subpart for a fiscal year beginning with fiscal year
2002 exceed such funds appropriated for fiscal year 2001, the Sec-
retary shall use such excess funds to award grants, on a competitive