I
104TH CONGRESS
2D SESSION
H. R. 2886
To amend the Impact Aid program to provide for a hold-harmless with
respect to amounts for payments relating to the Federal acquisition
of real property, to permit certain local educational agencies to apply
for increased payments for fiscal year 1994 under the Impact Aid pro-
gram, and to amend the Impact Aid program to make a technical
correction with respect to maximum payments for certain heavily im-
pacted local educational agencies.
IN THE HOUSE OF REPRESENTATIVES
JANUARY 25, 1996
Mr. JOHNSON of South Dakota introduced the following bill; which was re-
ferred to the Committee on Economic and Educational Opportunities,
subsequently determined by the Speaker, in each case for consideration
of such provisions as fall within the jurisdiction of the committee con-
cerned
A BILL
To amend the Impact Aid program to provide for a hold-
harmless with respect to amounts for payments relating
to the Federal acquisition of real property, to permit
certain local educational agencies to apply for increased
payments for fiscal year 1994 under the Impact Aid
program, and to amend the Impact Aid program to make
a technical correction with respect to maximum payments
for certain heavily impacted local educational agencies.
Be it enacted by the Senate and House of Representa-
tives of the United States of America in Congress assembled,
SECTION 1. HOLD-HARMLESS AMOUNTS FOR PAYMENTS
RELATING TO FEDERAL ACQUISITION OF
REAL PROPERTY.
Section 8002 of the Elementary and Secondary Edu-
cation Act of 1965 (20 U.S.C. 7702) is amended by add-
ing at the end the following new subsections:
‘‘(g) FORMER DISTRICTS.—
‘‘(1) IN GENERAL.—Where the school district of
any local educational agency described in paragraph
(2) is formed at any time after 1938 by the consoli-
dation of two or more former school districts, such
agency may elect (at any time such agency files an
application under section 8005) for any fiscal year
to have (A) the eligibility of such local educational
agency, and (B) the amount which such agency shall
be eligible to receive, determined under this section
only with respect to such of the former school dis-
tricts comprising such consolidated school districts
as such agency shall designate in such election.
‘‘(2) ELIGIBLE
LOCAL
EDUCATIONAL
AGEN-
CIES.—A local educational agency referred to in
paragraph (1) is any local educational agency that,
for fiscal year 1994 or any preceding fiscal year, ap-
plied for and was determined eligible under section
2(c) of the Act of September 30, 1950 (Public Law
874, 81st Congress) as such section was in effect on
September 30, 1994.
‘‘(h) HOLD-HARMLESS AMOUNTS.—
‘‘(1) IN GENERAL.—Except as provided in para-
graph (2)(A), the total amount that the Secretary
shall pay a local educational agency under sub-
section (b)—
‘‘(A) for fiscal year 1995 shall not be less
than 85 percent of the amount such agency re-
ceived for fiscal year 1994 under section 2 of
the Act of September 30, 1950 (Public Law
874, 81st Congress) as such section was in ef-
fect on September 30, 1994; or
‘‘(B) for fiscal year 1996 shall not be less
than 85 percent of the amount such agency re-
ceived for fiscal year 1995 under subsection (b).
‘‘(2) RATABLE
REDUCTIONS.—(A)(i) If nec-
essary in order to make payments to local edu-
cational agencies in accordance with paragraph (1)
for any fiscal year, the Secretary first shall ratably
reduce payments under subsection (b) for such year
to local educational agencies that do not receive a
payment under this subsection for such year.
‘‘(ii) If additional funds become available for
making payments under subsection (b) for such
year, then payments that were reduced under clause
(i) shall be increased on the same basis as such pay-
ments were reduced.
‘‘(B)(i) If the sums made available under this
title for any fiscal year are insufficient to pay the
full amounts that all local educational agencies in all
States are eligible to receive under paragraph (1)
after the application of subparagraph (A) for such
year, then the Secretary shall ratably reduce pay-
ments under paragraph (1) to all such agencies for
such year.
‘‘(ii) If additional funds become available for
making payments under paragraph (1) for such fis-
cal year, then payments that were reduced under
clause (i) shall be increased on the same basis as
such payments were reduced.’’.
SEC. 2. APPLICATIONS FOR INCREASED PAYMENTS.
(a) PAYMENTS.—Notwithstanding any other provi-
sion of law—
(1) the Bonesteel-Fairfax School District Num-
ber 26–5, South Dakota, and the Wagner Commu-
nity School District Number 11–4, South Dakota,
shall be eligible to apply for payment for fiscal year
1994 under section 3(d)(2)(B) of the Act of Septem-
ber 30, 1950 (Public Law 874, 81st Congress) (as
such section was in effect on September 30, 1994);
and
(2) the Secretary of Education shall use a sub-
group of 10 or more generally comparable local edu-
cational agencies for the purpose of calculating a
payment described in paragraph (1), and the local
contribution rate applicable to such payment, for a
local educational agency described in such para-
graph.
(b) APPLICATION.—In order to be eligible to receive
a payment described in subsection (a), a school district
described in such subsection shall apply for such payment
within 30 days after the date of enactment of this Act.
(c) CONSTRUCTION.—Nothing in this section shall be
construed to require a local educational agency that re-
ceived a payment under section 3(d)(2)(B) of the Act of
September 30, 1950 (Public Law 874, 81st Congress) (as
such section was in effect on September 30, 1994) for fis-
cal year 1994 to return such payment or a portion of such
payment to the Federal Government.
SEC. 3. MAXIMUM PAYMENTS.
Subparagraph (B) of section 8003(f)(3) of the Ele-
mentary and Secondary Education Act of 1965 (20 U.S.C.
7703(f)(3)) is amended to read as follows: