To amend the Elementary and Secondary Education Act of 1965 to direct the Secretary of Education to make grants to States for assistance in hiring additional school-based mental health and student service providers.

SECTION 1. SCHOOL-BASED MENTAL HEALTH AND STUDENT SERVICE PROVIDERS.

    (a) In General.--Subpart 14 of title V of the Elementary and 
Secondary Education Act of 1965 (20 U.S.C. 7269 et seq.) is amended--
            (1) by inserting after the subpart heading the following:

   ``CHAPTER A--SYSTEMS INTEGRATION; PROMOTION OF SCHOOL READINESS'';

        and
            (2) by adding at the end the following:

 ``CHAPTER B--SCHOOL-BASED MENTAL HEALTH AND STUDENT SERVICE PROVIDERS

``SEC. 5545. FINDINGS.

    ``Congress finds the following:
            ``(1) The Surgeon General of the Public Health Service has 
        found that although 1 in 10 children and adolescents suffer 
        from mental illness severe enough to cause some level of 
        impairment, in any given year fewer than 1 in 5 of these 
        children receives needed treatment. The short- and long-term 
        consequences of untreated childhood mental disorders are 
        costly, in both human and fiscal terms.
            ``(2) School counselors, school social workers, and school 
        psychologists are needed to help these children and to provide 
        a variety of crucial support services.
            ``(3) Across the United States, there are insufficient 
        resources for school-based counseling professionals, and often 
        students do not get the help they need. The current national 
        average ratio of students to school counselors in elementary 
        and secondary schools is 561 to 1.
            ``(4) United States schools need more mental health 
        professionals, and they need the flexibility to hire the 
        professionals that will best serve their students.
            ``(5) According to the Institute of Medicine of the 
        National Academy of Sciences, the maximum recommended ratio 
        of--
                    ``(A) students to school counselors is 250 to 1;
                    ``(B) students to school psychologists is 1,000 to 
                1; and
                    ``(C) students to school social workers is 800 to 
                1.
            ``(6) In some States, 1 school counselor typically serves 
        over 1,000 students. Ratios for school psychologists and school 
        social workers are also extremely high. In some schools, no 
        school-based mental health and student service provider is 
        available to assist students in times of crisis, or at any 
        other time.
            ``(7) The number of students is expected to grow 
        significantly over the next few years. During this time, many 
        school-based mental health professionals who currently serve 
        the Nation's youth will retire.
            ``(8) Model programs using school-based mental health and 
        student service providers have reduced school suspensions, 
        reduced referrals to the principal's office, reduced the use of 
        weapons, force, and threats, and increased students' feelings 
        of safety.

``SEC. 5546. PURPOSES.

    ``The purposes of this chapter are to assist States and local 
educational agencies in hiring additional school-based mental health 
providers, including additional school counselors, school 
psychologists, and school social workers to achieve each of the 
following:
            ``(1) To reduce the ratios of school-based mental health 
        and student service providers to students in elementary and 
        secondary schools in the United States to the following minimum 
        ratios recommended by the Institute of Medicine of the National 
        Academy of Sciences in its 1997 report `Schools and Health: Our 
        Nation's Investment':
                    ``(A) 1 school counselor for every 250 students;
                    ``(B) 1 school psychologist for every 1,000 
                students; and
                    ``(C) 1 school social worker for every 800 
                students.
            ``(2) To provide school-based mental health and student 
        services.
            ``(3) To remove emotional, behavioral, and psychosocial 
        barriers to learning so as to enhance students classroom 
        preparedness and ability to learn.
            ``(4) To support school staff and teachers in improving 
        classroom management, conducting behavioral interventions to 
        improve school discipline, and developing the awareness and 
        skills to identify early warning signs of violence and the need 
        for mental health services.
            ``(5) To support parental involvement in improving the 
        school behavior and academic success of their children.

``SEC. 5547. DEFINITIONS.

    ``In this chapter, the following definitions apply:
            ``(1) Child.--The term `child' means an individual who is 
        not less than 5 years old and not more than 17 years old.
            ``(2) Child in poverty.--The term `child in poverty' means 
        a child from a family with an income below the poverty line.
            ``(3) Mental health and student service provider.--The term 
        `mental health and student service provider' means a qualified 
        individual who provides mental health and student services, 
        including any individual who is a qualified school counselor, a 
        qualified school psychologist, or a qualified school social 
        worker.
            ``(4) Mental health and student services.--The term `mental 
        health and student services' includes direct, individual, and 
        group services provided to students, parents, and school 
        personnel by mental health and student service providers, and 
        the coordination of prevention strategies in schools or 
        community-based programs.
            ``(5) Poverty line.--The term `poverty line' means the 
        poverty line (as defined by the Office of Management and 
        Budget, and revised annually in accordance with section 673(2) 
        of the Community Services Block Grant Act (42 U.S.C. 9902(2)) 
        applicable to a family of the size involved.
            ``(6) School counselor.--The term `school counselor' means 
        an individual who has documented competence in counseling 
        children and adolescents in a school setting and who--
                    ``(A) possesses State licensure or certification 
                granted by an independent professional regulatory 
                authority;
                    ``(B) 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 Programs or the equivalent.
            ``(7) School psychologist.--The term `school psychologist' 
        means an individual who--
                    ``(A) possesses 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 supervised school psychology internship, of which 600 
                hours shall be in a school setting;
                    ``(B) possesses State licensure or certification in 
                school psychology in the State in which the individual 
                works; or
                    ``(C) possesses national certification by the 
                National School Psychology Certification Board.
            ``(8) School social worker.--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 
                Education;
                    ``(B) is licensed or certified by the State in 
                which services are provided; or
                    ``(C) possesses a national credential or national 
                certification as a school social work specialist 
                granted by an independent professional organization.
            ``(9) State.--The term `State' means each of the several 
        States, the District of Columbia, and the Commonwealth of 
        Puerto Rico.

``SEC. 5548. SCHOOL-BASED MENTAL HEALTH AND STUDENT SERVICE PROVIDER 
              GRANT PROGRAM.

    ``(a) In General.--In accordance with this chapter, the Secretary 
shall make grants to eligible States to assist local educational 
agencies in those States in hiring additional school-based mental 
health and student service providers.
    ``(b) Allocation of Funds.--From the total amount appropriated for 
a fiscal year to carry out this chapter, the Secretary shall--
            ``(1) make available 1 percent of such amount to the 
        Secretary of the Interior (on behalf of the Bureau of Indian 
        Affairs) and the outlying areas for activities that carry out 
        the purposes of this chapter; and
            ``(2) make available in the form of grants to each eligible 
        State an amount equal to the sum of--
                    ``(A) an amount that bears the same relationship to 
                50 percent of such total amount as the number of 
                children in poverty who reside in the State bears to 
                the number of such children in all States; and
                    ``(B) an amount that bears the same relationship to 
                50 percent of such total amount as the number of 
                children enrolled in public and private nonprofit 
                elementary schools and secondary schools in the State 
                bears to the number of children enrolled in all such 
                schools in all States.
    ``(c) Minimum Grant.--Notwithstanding subsection (b), no grant 
under this section shall be for an amount less than $1,000,000.
    ``(d) Reallocation.--The Secretary shall reallocate to States that 
have received approval under subsection (e)(2) any funds allocated 
under subsection (b) to a State that fails to submit an application 
that is approved by the Secretary.
    ``(e) Application by State.--
            ``(1) In general.--To be eligible to receive a grant under 
        this chapter, a State shall submit an application to the 
        Secretary at such time, in such manner, and containing such 
        information as the Secretary may require.
            ``(2) Approval.--The Secretary may not approve an 
        application under this subsection unless the State submitting 
        the application--
                    ``(A) presents a plan, which the Secretary 
                considers to be reasonable, under which the State will 
                make grants, in accordance with the purposes of this 
                chapter, to local educational agencies to fund the 
                hiring of additional school counselors, school 
                psychologists, and school social workers; and
                    ``(B) provides an assurance that the State will 
                provide the matching amount required under subsection 
                (g).
    ``(f) Use of Funds by State.--
            ``(1) In general.--In accordance with this subsection, the 
        total of the amounts made available to a State under this 
        section and the amounts of the non-Federal match required under 
        subsection (g) may only be used by a State to make grants to 
        local educational agencies to assist such agencies in hiring 
        additional school-based mental health and student service 
        providers.
            ``(2) Administrative costs.--In each fiscal year, a State 
        may use not more than 5 percent of the assistance made 
        available to it under this chapter for the administrative costs 
        of the State in carrying out the State's responsibilities under 
        this chapter.
            ``(3) Allocation of funds.--In making grants in accordance 
        with this subsection, the State shall allocate from the total 
        described in paragraph (1) to each local educational agency an 
        amount equal to the sum of--
                    ``(A) an amount that bears the same relationship to 
                50 percent of such total as the number of children in 
                poverty who reside in the school district served by the 
                local educational agency bears to the number of such 
                children who reside in all the school districts in the 
                State; and
                    ``(B) an amount that bears the same relationship to 
                50 percent of such total as the number of children 
                enrolled in public and private nonprofit elementary 
                schools and secondary schools in the school district 
                served by the local educational agency bears to the 
                number of children enrolled in all such schools in the 
                State.
            ``(4) Minimum grant.--Notwithstanding paragraph (3), no 
        grant made by a State in accordance with this subsection shall 
        be for an amount less than $50,000.
            ``(5) Source of data.--For purposes of paragraph (3), the 
        State shall use data from the most recent fiscal year for which 
        satisfactory data are available, except that the State may 
        adjust such data, or use alternative child poverty data, if the 
        State demonstrates to the Secretary's satisfaction that such 
        adjusted or alternative data more accurately reflect the 
        relative incidence of children who are living in poverty and 
        who reside in the school districts in the State.
            ``(6) Application by local educational agencies.--A State 
        may require that, in order to be eligible for a grant made by 
        the State in accordance with this subsection, a local 
        educational agency shall submit an application to the State at 
        such time, in such manner, and containing such information as 
        the State may require.
    ``(g) Matching Funds.--
            ``(1) In general.--As a condition of receiving a grant 
        under this section, the Secretary shall require that a State 
        provide from non-Federal sources an amount equal to the amount 
        of the grant.
            ``(2) Local contribution.--In making grants to local 
        educational agencies in accordance with this subsection, a 
        State may require that a local educational agency match a 
        portion of the amount of the grant made to the agency.
            ``(3) Form.--The non-Federal share required by this 
        subsection may be provided in cash or in kind, fairly 
        evaluated, and may include facilities, equipment, or services.
    ``(h) Funds To Be Supplementary.--Assistance made available under 
this chapter shall be used to supplement, and may not supplant, 
Federal, State, or local funds used for employing school-based mental 
health and student service providers.
    ``(i) Data Collection and Report.--
            ``(1) In general.--For each fiscal year for which it 
        receives assistance under this chapter, a State shall collect 
        data describing how the assistance is used.
            ``(2) Report.--Not later than 1 year after assistance is 
        made available to a State under this chapter, the State shall 
        transmit to the Secretary a report on the data described in 
        paragraph (1), including information with respect to each local 
        educational agency to which the State made a grant with 
        assistance made available under this chapter--
                    ``(A) the number of school counselors, school 
                psychologists, and school social workers employed by 
                local educational agency; and
                    ``(B) the ratio of students to school counselors, 
                the ratio of students to school psychologists, and the 
                ratio of students to school social workers.
            ``(3) Source of funds.--A State may use a portion of the 
        assistance permitted to be used for administrative costs to 
        carry out its responsibilities under this subsection.
            ``(4) Publication.--The Secretary shall make data received 
        under this subsection publicly available on an annual basis.

``SEC. 5549. AUTHORIZATION OF APPROPRIATIONS.

    ``There are authorized to be appropriated to carry out this chapter 
$100,000,000 for each of fiscal years 2004 through 2008.''.
    (b) Clerical Amendments.--The table of contents for the Elementary 
and Secondary Education Act of 1965 (20 U.S.C. 6301 et seq.) is amended 
by amending the items relating to subpart 14 of title V to read as 
follows:

     ``Subpart 14--Grants to Improve the Mental Health of Children

    ``CHAPTER A--SYSTEMS INTEGRATION; PROMOTION OF SCHOOL READINESS

``Sec. 5541. Grants for the integration of schools and mental health 
                            systems.
``Sec. 5542. Promotion of school readiness through early childhood 
                            emotional and social development.
 ``CHAPTER B--SCHOOL-BASED MENTAL HEALTH AND STUDENT SERVICE PROVIDERS

``Sec. 5545. Findings.
``Sec. 5546. Purposes.
``Sec. 5547. Definitions.
``Sec. 5548. School-based mental health and student service provider 
                            grant program.
``Sec. 5549. Authorization of appropriations.''.

Summary: Amends the Elementary and Secondary Education Act of 1965 to establish a program to assist States and local educational agencies (LEAs) to recruit, train, and hire additional school-based mental health and student service providers, including additional school counselors, psychologists, and social workers (in order to reduce the student-to-counselor ratios nationally, in elementary and secondary schools, to an average of one school counselor for every 250 students, one psychologist for every 1,000 students, and one social worker for every 800 students, as recommended in a report by the Institute of Medicine of the National Academy of Sciences relating to schools and health).

Directs the Secretary of Education, after reserving certain funds for schools in outlying areas and schools run by the Bureau of Indian Affairs, to make program allotments to States according to a specified formula. Requires States to allocate funds from Federal and State shares of program costs to LEAs according to specified formulae.