In this task, you are given text for US Congressional and California state bills, your task is to generate a summary for this bill.

Input: Consider Input: SECTION 1. SHORT TITLE.

    This Act may be cited as the ``National Emergency Centers 
Establishment Act''.

SEC. 2. ESTABLISHMENT OF NATIONAL EMERGENCY CENTERS.

    (a) In General.--In accordance with the requirements of this Act, 
the Secretary of Homeland Security shall establish not fewer than 6 
national emergency centers on military installations.
    (b) Purpose of National Emergency Centers.--The purpose of a 
national emergency center shall be to use existing infrastructure--
            (1) to provide temporary housing, medical, and humanitarian 
        assistance to individuals and families dislocated due to an 
        emergency or major disaster;
            (2) to provide centralized locations for the purposes of 
        training and ensuring the coordination of Federal, State, and 
        local first responders;
            (3) to provide centralized locations to improve the 
        coordination of preparedness, response, and recovery efforts of 
        government, private, and not-for-profit entities and faith-
        based organizations; and
            (4) to meet other appropriate needs, as determined by the 
        Secretary of Homeland Security.

SEC. 3. DESIGNATION OF MILITARY INSTALLATIONS AS NATIONAL EMERGENCY 
              CENTERS.

    (a) In General.--Not later than 60 days after the date of the 
enactment of this Act, the Secretary of Homeland Security, in 
consultation with the Secretary of Defense, shall designate not fewer 
than 6 military installations as sites for the establishment of 
national emergency centers.
    (b) Minimum Requirements.--A site designated as a national 
emergency center shall be--
            (1) capable of meeting for an extended period of time the 
        housing, health, transportation, education, and humanitarian 
        needs of a large number of individuals affected by an emergency 
        or major disaster;
            (2) environmentally safe and shall not pose a health risk 
        to individuals who may use the center;
            (3) capable of accommodating major disaster preparedness 
        and response drills, operations, and procedures; and
            (4) easily accessible at all times, including during an 
        emergency or major disaster.
    (c) Location of National Emergency Centers.--There shall be 
established not fewer than one national emergency center in each of the 
following areas:
            (1) The area consisting of Federal Emergency Management 
        Agency Regions I, II, and III.
            (2) The area consisting of Federal Emergency Management 
        Agency Region IV.
            (3) The area consisting of Federal Emergency Management 
        Agency Regions V and VII.
            (4) The area consisting of Federal Emergency Management 
        Agency Region VI.
            (5) The area consisting of Federal Emergency Management 
        Agency Regions VIII and X.
            (6) The area consisting of Federal Emergency Management 
        Agency Region IX.
    (d) Preference for Designation of Closed Military Installations.--
Wherever possible, the Secretary of Homeland Security, in consultation 
with the Secretary of Defense, shall designate a closed military 
installation as a site for a national emergency center. If the 
Secretaries of Homeland Security and Defense jointly determine that 
there is not a sufficient number of closed military installations that 
meet the requirements of subsections (b) and (c), the Secretaries shall 
jointly designate portions of existing military installations other 
than closed military installations as national emergency centers.
    (e) Transfer of Control of Closed Military Installations.--If a 
closed military installation is designated as a national emergency 
center, not later than 180 days after the date of designation, the 
Secretary of Defense shall transfer to the Secretary of Homeland 
Security administrative jurisdiction over such closed military 
installation.
    (f) Cooperative Agreement for Joint Use of Existing Military 
Installations.--If an existing military installation other than a 
closed military installation is designated as a national emergency 
center, not later than 180 days after the date of designation, the 
Secretary of Homeland Security and the Secretary of Defense shall enter 
into a cooperative agreement to provide for the establishment of the 
national emergency center.
    (g) Reports.--
            (1) Preliminary report.-- Not later than 90 days after the 
        date of the enactment of this Act, the Secretary of Homeland 
        Security, acting jointly with the Secretary of Defense, shall 
        submit to Congress a report that contains for each designated 
        site--
                    (A) an outline of the reasons why the site was 
                selected;
                    (B) an outline of the need to construct, repair, or 
                update any existing infrastructure at the site;
                    (C) an outline of the need to conduct any necessary 
                environmental clean-up at the site;
                    (D) an outline of preliminary plans for the 
                transfer of control of the site from the Secretary of 
                Defense to the Secretary of Homeland Security, if 
                necessary under subsection (e); and
                    (E) an outline of preliminary plans for entering 
                into a cooperative agreement for the establishment of a 
                national emergency center at the site, if necessary 
                under subsection (f).
            (2) Update report.--Not later than 120 days after the date 
        of the enactment of this Act, the Secretary of Homeland 
        Security, acting jointly with the Secretary of Defense, shall 
        submit to Congress a report that contains for each designated 
        site--
                    (A) an update on the information contained in the 
                report as required by paragraph (1);
                    (B) an outline of the progress made toward the 
                transfer of control of the site, if necessary under 
                subsection (e);
                    (C) an outline of the progress made toward entering 
                a cooperative agreement for the establishment of a 
                national emergency center at the site, if necessary 
                under subsection (f); and
                    (D) recommendations regarding any authorizations 
                and appropriations that may be necessary to provide for 
                the establishment of a national emergency center at the 
                site.
            (3) Final report.--Not later than 1 year after the date of 
        the enactment of this Act, the Secretary of Homeland Security, 
        acting jointly with the Secretary of Defense, shall submit to 
        Congress a report that contains for each designated site--
                    (A) finalized information detailing the transfer of 
                control of the site, if necessary under subsection (e);
                    (B) the finalized cooperative agreement for the 
                establishment of a national emergency center at the 
                site, if necessary under subsection (f); and
                    (C) any additional information pertinent to the 
                establishment of a national emergency center at the 
                site.
            (4) Additional reports.--The Secretary of Homeland 
        Security, acting jointly with the Secretary of Defense, may 
        submit to Congress additional reports as necessary to provide 
        updates on steps being taken to meet the requirements of this 
        Act.

SEC. 4. LIMITATIONS ON STATUTORY CONSTRUCTION.

    This Act does not affect--
            (1) the authority of the Federal Government to provide 
        emergency or major disaster assistance or to implement any 
        disaster mitigation and response program, including any program 
        authorized by the Robert T. Stafford Disaster Relief and 
        Emergency Assistance Act (42 U.S.C. 5121 et seq.); or
            (2) the authority of a State or local government to respond 
        to an emergency.

SEC. 5. AUTHORIZATION OF APPROPRIATIONS.

    There is authorized to be appropriated $125,000,000 for each of 
fiscal years 2006 and 2007 to carry out this Act. Such funds shall 
remain available until expended.

SEC. 6. DEFINITIONS.

    In this Act, the following definitions apply:
            (1) Closed military installation.--The term ``closed 
        military installation'' means a military installation, or 
        portion thereof, approved for closure in 2005 under the Defense 
        Base Closure and Realignment Act of 1990 (part A of title XXIX 
        of Public Law 101-510; 10 U.S.C. 2687 note).
            (2) Emergency.--The term ``emergency'' has the meaning 
        given such term in section 102 of the Robert T. Stafford 
        Disaster Relief and Emergency Assistance Act (42 U.S.C. 5122).
            (3) Major disaster.--The term ``major disaster'' has the 
        meaning given such term in section 102 of the Robert T. 
        Stafford Disaster Relief and Emergency Assistance Act (42 
        U.S.C. 5122).
            (4) Military installation.--The term ``military 
        installation'' has the meaning given such term in section 2910 
        of the Defense Base Closure and Realignment Act of 1990 (part A 
        of title XXIX of Public Law 101-510; 10 U.S.C. 2687 note).

Output: National Emergency Centers Establishment Act - Directs the Secretary of Homeland Security to establish at least six national emergency centers on mililtary installations to provide: (1) temporary housing, medical, and humanitarian assistance to individuals and families dislocated due to an emergency or major disaster; and (2) centralized locations for the training and coordination of federal, state, and local first responders, and to improve coordination of preparedness, response, and recovery efforts of government, private, and not-for-profit entities and faith-based organizations.

Requires the use of such centers to meet other appropriate needs determined by the Secretary.


Input: Consider Input: SECTION 1. FIREFIGHTER ASSISTANCE.

    The first section 33 of the Federal Fire Prevention and Control Act 
of 1974 (15 U.S.C. 2229) is amended to read as follows:

``SEC. 33. FIREFIGHTER ASSISTANCE.

    ``(a) Definition of Firefighting Personnel.--In this section, the 
term `firefighting personnel' means individuals, including volunteers, 
who are firefighters, officers of fire departments, or emergency 
medical service personnel of fire departments.
    ``(b) Assistance Program.--
            ``(1) Authority.--In accordance with this section, the 
        Administrator may--
                    ``(A) make grants on a competitive basis directly 
                to fire departments of a State, in consultation with 
                the chief executive of the State, for the purpose of 
                protecting the health and safety of the public, 
                firefighting personnel, and property against fire and 
                fire-related hazards; and
                    ``(B) provide assistance for fire prevention 
                programs in accordance with paragraph (4).
            ``(2) Office for administration of assistance.--
                    ``(A) Establishment.--Before providing assistance 
                under paragraph (1), the Administrator shall establish 
                an office in the Administration to administer the 
                assistance under this section.
                    ``(B) Included duties.--The duties of the office 
                shall include the following:
                            ``(i) Recipient selection criteria.--To 
                        establish specific criteria for the selection 
                        of recipients of the assistance under this 
                        section, including a requirement for peer 
                        review of the selection process.
                            ``(ii) Grant-writing assistance.--To 
                        provide grant-writing assistance to applicants.
            ``(3) Use of fire department grant funds.--The 
        Administrator may make a grant under paragraph (1)(A) only if 
        the applicant for the grant agrees to use the grant funds for 
        one or more of the following purposes:
                    ``(A) To hire additional firefighting personnel.
                    ``(B) To train firefighting personnel in 
                firefighting, emergency response (including response to 
                a terrorism incident or use of a weapon of mass 
                destruction), arson prevention and detection, or the 
                handling of hazardous materials, or to train 
                firefighting personnel to provide any of the training 
                described in this subparagraph.
                    ``(C) To fund the creation of rapid intervention 
                teams to protect firefighting personnel at the scenes 
                of fires and other emergencies.
                    ``(D) To certify fire inspectors.
                    ``(E) To establish wellness and fitness programs 
                for firefighting personnel to ensure that the 
                firefighting personnel can carry out their duties.
                    ``(F) To fund emergency medical services provided 
                by fire departments.
                    ``(G) To acquire additional firefighting vehicles, 
                including fire trucks.
                    ``(H) To acquire additional firefighting equipment, 
                including equipment for communications, monitoring, and 
                response to a terrorism incident or use of a weapon of 
                mass destruction.
                    ``(I) To acquire personal protective equipment 
                required for firefighting personnel by the Occupational 
                Safety and Health Administration, and other personal 
                protective equipment for firefighting personnel, 
                including protective equipment to respond to a 
                terrorism incident or the use of a weapon of mass 
                destruction.
                    ``(J) To modify fire stations, fire training 
                facilities, and other facilities to protect the health 
                and safety of firefighting personnel.
                    ``(K) To enforce fire codes.
                    ``(L) To fund fire prevention programs.
                    ``(M) To educate the public about arson prevention 
                and detection.
                    ``(N) To provide incentives for the recruitment and 
                retention of volunteer firefighting personnel for 
                volunteer firefighting departments and other 
                firefighting departments that utilize volunteers, 
                including funding to enable training described in 
                subparagraph (B).
            ``(4) Fire prevention programs.--
                    ``(A) In general.--For each fiscal year, the 
                Administrator shall use not less than 5 percent of the 
                funds made available under subsection (e)--
                            ``(i) to make grants to fire departments 
                        for the purpose described in paragraph (3)(L); 
                        and
                            ``(ii) to make grants to, or enter into 
                        contracts or cooperative agreements with, 
                        national, State, local, or community 
                        organizations that are recognized for their 
                        experience and expertise with respect to fire 
                        prevention or fire safety programs and 
                        activities, for the purpose of carrying out 
                        fire prevention programs.
                    ``(B) Priority.--In selecting organizations 
                described in subparagraph (A)(ii) to receive assistance 
                under this paragraph, the Administrator shall give 
                priority to organizations that focus on prevention of 
                injuries to children from fire.
            ``(5) Application.--The Administrator may provide 
        assistance to a fire department or organization under this 
        subsection only if the fire department or organization seeking 
        the assistance submits to the Administrator an application that 
        meets the following requirements:
                    ``(A) Form.--The application shall be in such form 
                as the Administrator may require.
                    ``(B) Information.--The application shall include 
                the following information:
                            ``(i) Financial need.--Information that 
                        demonstrates the financial need of the 
                        applicant for the assistance for which applied. 
                        In allocating funds under this section, the 
                        Administrator shall not discriminate against an 
                        applicant whose funding jurisdiction places a 
                        high budget priority on fire department needs.
                            ``(ii) Cost-benefit analysis.--An analysis 
                        of the costs and benefits, with respect to 
                        public safety, of the use of the assistance.
                            ``(iii) Reporting systems data.--An 
                        agreement to provide information to the 
                        national fire incident reporting system for the 
                        period covered by the assistance.
                            ``(iv) Other information.--Any other 
                        information that the Administrator may require.
            ``(6) Non-federal contribution.--
                    ``(A) In general.--Subject to subparagraph (B), the 
                Administrator may provide assistance under this 
                subsection only if the applicant for the assistance 
                agrees to provide 30 percent of the cost of the 
                purposes for which the assistance is sought under this 
                subsection in non-Federal funds for any fiscal year.
                    ``(B) Requirement for small community 
                organizations.--In the case of an applicant whose 
                personnel serve jurisdictions of 50,000 or fewer 
residents, the required non-Federal contribution under subparagraph (A) 
shall be 10 percent.
            ``(7) Maintenance of expenditures.--The Administrator may 
        provide assistance under this subsection only if the applicant 
        for the assistance agrees to maintain in the fiscal year for 
        which the assistance will be received the applicant's aggregate 
        expenditures for the uses described in paragraph (3) or (4) at 
        or above the average level of such expenditures in the two 
        fiscal years preceding the fiscal year for which the assistance 
        will be received.
            ``(8) Report to the administrator.--The Administrator may 
        provide assistance under this subsection only if the applicant 
        for the assistance agrees to submit to the Administrator a 
        report, including a description of how the assistance was used, 
        with respect to each fiscal year for which the assistance was 
        received.
            ``(9) Variety of fire department grant recipients.--The 
        Administrator shall ensure that grants under paragraph (1)(A) 
        for a fiscal year are made to a variety of fire departments, 
        including, to the extent that there are eligible applicants--
                    ``(A) career, volunteer, and combination fire 
                departments;
                    ``(B) fire departments located in communities of 
                varying sizes; and
                    ``(C) fire departments located in urban, suburban, 
                and rural communities.
            ``(10) Grant limitations.--
                    ``(A) Recipient limitation.--A grant recipient 
                under this section may not receive more than $750,000 
                under this section for any fiscal year.
                    ``(B) Limitation on expenditures for firefighting 
                vehicles.--Not more than 25 percent of the funds 
                appropriated to provide grants under this section for a 
                fiscal year may be used to assist grant recipients to 
                purchase vehicles, as authorized by paragraph (3)(G).
            ``(11) Reservation of grant funds for volunteer 
        departments.--In making grants to firefighting departments, the 
        Administrator shall ensure that those firefighting departments 
        that have either all-volunteer forces of firefighting personnel 
        or combined forces of volunteer and career firefighting 
        personnel collectively receive at least a proportion of the 
        total grant funding that equals the proportion of the United 
        States population that those firefighting departments protect.
    ``(c) Audits.--A recipient of a grant under this section shall be 
subject to audits to ensure that the grant proceeds are expended for 
the intended purposes and that the grant recipient complies with the 
requirements of paragraphs (6) and (7) of subsection (b).
    ``(d) State Defined.--In this section, the term `State' includes 
the District of Columbia and the Commonwealth of Puerto Rico.
    ``(e) Authorization of Appropriations.--
            ``(1) In general.--There are authorized to be appropriated 
        to the Administrator $900,000,000 for each of the fiscal years 
        2002 through 2004 for the purposes of this section.
            ``(2) Administrative expenses.--Of the funds appropriated 
        pursuant to paragraph (1) for a fiscal year, the Administrator 
        may use not more than five percent of the funds to cover 
        salaries and expenses and other administrative costs incurred 
        by the Administrator to operate the office established under 
        subsection (b)(2) and make grants and provide assistance under 
        this section.''.

SEC. 2. TECHNICAL AMENDMENTS.

    The second section 33 of the Federal Fire Prevention and Control 
Act of 1974 (15 U.S.C. 2230) and section 34 of that Act (15 U.S.C. 
2231) are redesignated as sections 34 and 35, respectively.

Output: Amends the Federal Fire Prevention and Control Act of 1974 with respect to competitive grants to fire departments by the Federal Emergency Management Agency's (FEMA's) U.S. Fire Administration. Adds protection of property to the list of grant purposes.Requires the grant administration office to require peer review of the grant recipient selection process.Adds funding for training as a volunteer recruitment and retention incentive among the proper uses of grant funds.


Input: Consider Input: SECTION 1. SHORT TITLE.

    This Act may be cited as the ``Expand and Rebuild America's Schools 
Act of 2006''.

SEC. 2. FINDINGS.

    The Congress finds the following:
            (1) The National Center for Education Statistics projects 
        that public school enrollment will reach 53,000,000 in 2010, an 
        increase of 3,500,000 from the 2003 enrollment level. Many 
        States and school districts will need to build new schools in 
        order to accommodate this increase in student enrollments.
            (2) In response to reduced class mandates enforced by State 
        governments and increased enrollment, many school districts 
        have been forced to utilize temporary classrooms and other 
        structures to accommodate increased school populations, along 
        with resorting to year-round schedules for students.
            (3) Research has proven a direct correlation between the 
        condition of school facilities and student achievement. 
        Research has shown that students assigned to schools in poor 
        condition can be expected to fall 10.9 percentage points behind 
        those in buildings in excellent condition. Similar studies have 
        demonstrated up to a 20 percent improvement in test scores when 
        students were moved from a school with poor facilities to a new 
        facility.
            (4) While school construction and maintenance are primarily 
        a State and local concern, States and communities have not, on 
        their own, met the increasing burden of providing acceptable 
        school facilities, and the poorest communities have had the 
        greatest difficulty meeting this need.
            (5) Many local educational agencies have difficulties 
        securing financing for school facility construction and 
        renovation, especially in States that require a \2/3\ majority 
        of voter approval for the passage of local bond initiatives.
            (6) The Federal Government, by providing interest subsidies 
        and similar types of support, can lower the costs of State and 
        local school infrastructure investment, creating an incentive 
        for businesses to support local school infrastructure 
        improvement efforts.
            (7) The United States competitive position within the world 
        economy is vulnerable if America's future workforce continues 
        to be educated in schools not equipped for the 21st century. 
        America must do everything in its power to properly educate its 
        people to compete in the global marketplace.

SEC. 3. PURPOSES.

    The purposes of this Act are--
            (1) to encourage public-private partnerships for the 
        financing of school construction and expansion, and
            (2) to help local educational agencies bring all public 
        school facilities up to an acceptable standard and build the 
        additional classrooms needed to educate the growing number of 
        students who will enroll in the next decade.

SEC. 4. CREDIT TO HOLDERS OF SCHOOL CONSTRUCTION BONDS.

    (a) In General.--Subpart B of part IV of subchapter A of chapter 1 
of the Internal Revenue Code of 1986 (relating to business-related 
credits) is amended by adding at the end the following new section:

``SEC. 30D. CREDIT TO HOLDERS OF SCHOOL CONSTRUCTION BONDS.

    ``(a) Allowance of Credit.--In the case of an eligible taxpayer who 
holds a school construction bond on the credit allowance date of such 
bond which occurs during the taxable year, there shall be allowed as a 
credit against the tax imposed by this chapter for such taxable year 
the amount determined under subsection (b).
    ``(b) Amount of Credit.--The amount of the credit determined under 
this subsection with respect to any school construction bond is the 
amount equal to the product of--
            ``(1) the credit rate determined by the Secretary under 
        section 1397E(b)(2) for the month in which such bond was 
        issued, multiplied by
            ``(2) the face amount of the bond held by the taxpayer on 
        the credit allowance date.
    ``(c) Limitation Based on Amount of Tax.--The credit allowed under 
subsection (a) for any taxable year shall not exceed the excess of--
            ``(1) the sum of the regular tax liability (as defined in 
        section 26(b)) plus the tax imposed by section 55, over
            ``(2) the sum of the credits allowable under this part 
        (other than under this section and subpart C thereof, relating 
        to refundable credits) and section 1397E.
    ``(d) School Construction Bond.--For purposes of this section--
            ``(1) In general.--The term `school construction bond' 
        means any bond issued as part of an issue if--
                    ``(A) 95 percent or more of the proceeds of such 
                issue are to be used for a qualified purpose with 
                respect to a new qualified school established by an 
                eligible local education agency,
                    ``(B) the bond is issued by a State or local 
                government within the jurisdiction of which such school 
                is located,
                    ``(C) the issuer--
                            ``(i) designates such bond for purposes of 
                        this section,
                            ``(ii) certifies that it has written 
                        assurances that the private business 
                        contribution requirement of paragraph (2) will 
                        be met with respect to such school, and
                            ``(iii) certifies that it has the written 
                        approval of the eligible local education agency 
                        for such bond issuance, and
                    ``(D) the term of each bond which is part of such 
                issue does not exceed the maximum term permitted under 
                section 1397E(d)(3).
            ``(2) Private business contribution requirement.--
                    ``(A) In general.--For purposes of paragraph (1), 
                the private business contribution requirement of this 
                paragraph is met with respect to any issue if the 
                eligible local education agency that established the 
                qualified school has written commitments from private 
                entities to make qualified contributions having a 
                present value (as of the date of issuance of the issue) 
                of not less than 10 percent of the proceeds of the 
                issue.
                    ``(B) Qualified contributions.--For purposes of 
                subparagraph (A), the term `qualified contribution' 
                means any contribution (of a type and quality 
                acceptable to the eligible local education agency) of--
                            ``(i) equipment for use in the qualified 
                        school (including state-of-the-art technology 
                        and vocational equipment),
                            ``(ii) technical assistance in developing 
                        curriculum or in training teachers in order to 
                        promote appropriate market driven technology in 
                        the classroom,
                            ``(iii) services of employees as volunteer 
                        mentors,
                            ``(iv) internships, field trips, or other 
                        educational opportunities outside the school 
                        for students, or
                            ``(v) any other property or service 
                        specified by the eligible local education 
                        agency.
            ``(3) Qualified school.--
                    ``(A) In general.--The term `qualified school' 
                means any public school which is established by and 
                operated under the supervision of an eligible local 
                education agency to provide education or training below 
                the postsecondary level if--
                            ``(i) such public school is designed in 
                        cooperation with business to enhance the 
                        academic curriculum, increase graduation and 
                        employment rates, and better prepare students 
                        for the rigors of college and the increasingly 
                        complex workforce,
                            ``(ii) students in such public school will 
                        be subject to the same academic standards and 
                        assessments as other students educated by the 
                        local education agency,
                            ``(iii) a well-structured program to 
                        alleviate overcrowding and to improve students' 
                        education has been constructed and implemented 
                        in the opinion of the Secretary of Education, 
                        and
                            ``(iv) at least 2 of the following 
                        requirements are met:
                                    ``(I) There is a reasonable 
                                expectation (as of the date of issuance 
                                of the bonds) that at least 35 percent 
                                of the population attending such public 
                                school will be eligible for free or 
                                reduced-cost lunches under the school 
                                lunch program established under the 
                                National School Lunch Act.
                                    ``(II) There is a reasonable 
                                expectation (as of the date of issuance 
                                of the bonds) that the student growth 
                                rate over the next 5 years for the 
                                school district in which such public 
                                school is to be located will be at 
                                least 10 percent.
                                    ``(III) The average student-teacher 
                                ratio for such district as of the date 
                                of issuance of the bonds is at least 28 
                                to 1.
                    ``(B) Eligible local education agency.--The term 
                `eligible local education agency' means any local 
                educational agency as defined in section 14101 of the 
                Elementary and Secondary Education Act of 1965.
            ``(4) Qualified purpose.--
                    ``(A) In general.--The term `qualified purpose' 
                means, with respect to any qualified school--
                            ``(i) constructing a new school facility, 
                        and
                            ``(ii) providing equipment for use at such 
                        facility.
                    ``(B) School facility.--The term `school facility' 
                means a new public structure suitable for use as a 
                classroom, laboratory, library, media center, or 
                related facility whose primary purpose is the 
                instruction of public elementary or secondary students. 
                Such term does not include an athletic stadium, or any 
                other structure or facility intended primarily for 
                athletic exhibitions, contests, games, or events for 
                which admission is charged to the general public.
    ``(e) Limitation on Amount of Bonds Designated.--
            ``(1) National limitation.--There is a national school 
        construction bond limitation for each calendar year. Such 
        limitation is $400,000,000 for 2007 and 2008, and, except for 
        carryovers as provided under the rules applicable under 
        paragraph (4), zero thereafter.
            ``(2) Allocation of limitation.--The national school 
        construction bond limitation for a calendar year shall be 
        allocated by the Secretary among the States on the basis of 
        their respective populations of individuals below the poverty 
        line (as defined by the Office of Management and Budget). The 
        limitation amount allocated to a State under the preceding 
        sentence shall be allocated by the Secretary of Education to 
        qualified schools within such State.
            ``(3) Designation subject to limitation amount.--The 
        maximum aggregate face amount of bonds issued during any 
        calendar year which may be designated under subsection (d)(1) 
        with respect to any qualified school shall not exceed the 
        limitation amount allocated to such school under paragraph (2) 
        for such calendar year.
            ``(4) Carryover of unused limitation.--If for any calendar 
        year--
                    ``(A) the limitation amount for any State, exceeds
                    ``(B) the amount of bonds issued during such year 
                which are designated under subsection (d)(1) with 
                respect to qualified schools within such State, the 
                limitation amount for such State for the following 
                calendar year shall be increased by the amount of such 
                excess.
    ``(f) Other Definitions.--The definitions in subsections (d)(6) and 
(f) of section 1397E shall apply for purposes of this section.
    ``(g) Credit Included in Gross Income.--Gross income includes the 
amount of the credit allowed to the taxpayer under this section.''
    (b) Conforming Amendment.--The table of sections for subpart B of 
part IV of subchapter A of chapter 1 of such Code is amended by adding 
at the end the following new item:

``Sec. 30D. Credit to holders of school construction bonds.''.
    (c) Effective Date.--The amendments made by this section shall 
apply to obligations issued after December 31, 2006.


Output: Expand and Rebuild America's Schools Act of 2006 - Amends the Internal Revenue Code to allow a nonrefundable tax credit to holders of school construction bonds. Sets forth requirements for issues of school construction bonds, including that: (1) 95% of the proceeds of such bonds must be used to construct new elementary and secondary school facilities and provide equipment for such schools; (2) local education agencies must require private business contributions of not less than 10% of the proceeds of an issue; and (3) bonds must be used for schools which meet specified criteria relating to curriculum, the alleviation of classroom overcrowding, and student-teacher ratios. Provides for a national school construction bond limitation of $400 million in 2007 and 2008.