SECTION 1. SHORT TITLE.

    This Act may be cited as the ``National Student Dropout Prevention 
and Recovery Act of 2001''.

SEC. 2. FINDINGS.

    Congress finds the following:
            (1) Lowering the student dropout rate is one of the most 
        significant challenges facing educators today. Students must 
        stay in school in order to receive the education they need to 
        succeed in the new economy and contribute fully to American 
        society.
            (2) The ability of local educational agencies to lower the 
        student dropout rate has been inhibited by the lack of focus at 
        the Federal level and the limited availability of appropriate 
        dropout prevention-focused curriculum, instruction, 
        professional development, and administrative support services.
            (3) According to the National Dropout Prevention Network, 
        it is at the local and community level where school 
        improvements and change occur that will eventually have an 
        impact on the graduation rate of students. The focus of these 
        efforts should be concentrated on the most successful 
        strategies that research has identified as having an impact on 
        increasing the graduation rate. These strategies encompass--
                    (A) systemic renewal;
                    (B) community collaboration;
                    (C) professional development;
                    (D) family involvement;
                    (E) early childhood education;
                    (F) reading and writing programs;
                    (G) individualized instruction;
                    (H) instructional technologies;
                    (I) mentoring and tutoring;
                    (J) service learning;
                    (K) learning styles and multiple intelligences;
                    (L) violence prevention and conflict resolution;
                    (M) career education and workforce readiness;
                    (N) out-of-school experiences; and
                    (O) alternative public schooling.
            (4) The National Dropout Prevention Network has found that 
        the strategies described in paragraph (3) have been successful 
        in all school levels from K-12 in rural, suburban, or urban 
        centers. When schools or school districts develop a program 
        improvement plan that encompasses most or all of these 
        strategies, positive outcomes will result.
            (5) It is necessary to develop a number of model dropout 
        prevention programs to fully develop the effective strategies 
        listed above into comprehensive dropout prevention programs. 
        These model programs should be used as examples by schools 
        across the country that wish to implement similar programs. 
        Subsequently, a nationwide dropout prevention program, in order 
        to be effective, should be based on these model programs.
            (6) Dropout prevention and recovery programs which are 
        proven to be successful in lowering dropout rates need to be 
        disseminated to school and community leaders willing to adapt 
        and support these innovative programs in their schools and 
        community.

SEC. 3. SCHOOL DROPOUT PREVENTION GRANT PROGRAMS.

    Part C of title V of the Elementary and Secondary Education Act of 
1965 (20 U.S.C. 7261 et seq.) is amended to read as follows:

           ``PART C--SCHOOL DROPOUT PREVENTION GRANT PROGRAMS

       ``Subpart 1--Model School Dropout Prevention Grant Program

``SEC. 5311. AUTHORIZATION.

    ``(a) In General.--The Director of the Office of Dropout Prevention 
and Program Completion shall award grants to public elementary schools, 
middle schools, and secondary schools that have established and are 
carrying out school dropout prevention programs to provide those 
schools with additional resources to develop such programs further, 
develop methods to assist other schools to implement similar programs, 
and provide for research on the effects of such programs on the student 
populations of the schools involved.
    ``(b) Duration.--A grant under subsection (a) shall be awarded for 
a period of not more than 5 years. A school that desires to continue to 
receive funding for the purposes described in subsection (a) shall 
apply for a grant under the national school dropout prevention grant 
program under subpart 2.

``SEC. 5312. REQUIRED ACTIVITIES.

    ``A school that receives a grant under section 5311 shall use 
amounts under the grant to establish and carry out, or further develop, 
school dropout prevention programs, intervention programs, and recovery 
programs, including as many of the following activities as possible: 
systemic renewal, community and family participation, professional 
development, early childhood education, reading and writing programs, 
alternative public schooling, individualized instruction, use of 
instructional technologies, mentoring and tutoring, service learning, 
instruction that recognizes that students learn in different ways 
(commonly referred to as `learning styles instruction'), violence 
prevention and conflict resolution, career education and workforce 
readiness, out-of-school experiences, and a comprehensive plan for 
dropout prevention.

``SEC. 5313. APPLICATION; SELECTION OF SCHOOLS; FISCAL AGENT.

    ``(a) Application.--
            ``(1) In general.--Each school desiring a grant under 
        section 5311 shall submit an application, after review by the 
        local educational agency of the school, to the Director at such 
        time, in such manner, and accompanied by such information as 
        the Director may require.
            ``(2) Contents.--A school desiring a grant under section 
        5311 shall submit an application, through the local educational 
        agency of the school under paragraph (1), that contains a 
        description of the current dropout prevention program of the 
        school.
    ``(b) Selection of Schools.--
            ``(1) Limitation.--The Director may award grants to not 
        more than 20 schools under section 5311. Such schools shall 
        have demonstrated success in establishing and carrying out 
        activities described in section 5312.
            ``(2) Allocation.--Grants awarded under section 5311 shall 
        be allocated among schools that meet the following 
        requirements:
                    ``(A) 4 elementary schools that have established 
                and are carrying out early childhood education 
                programs.
                    ``(B) 4 secondary schools that have established and 
                are carrying out academic intervention programs and 
                mediation programs.
                    ``(C) 4 secondary schools that have established and 
                are carrying out intervention programs and recovery 
                programs.
                    ``(D) 4 schools (either elementary, middle, or 
                secondary) that are located in rural school districts 
                and that have demonstrated success in establishing and 
                carrying out 12 or more of the activities described in 
                section 5312.
                    ``(E) 4 schools (either elementary, middle, or 
                secondary) that are located in urban school districts 
                and that have demonstrated success in establishing and 
                carrying out all of the activities described in section 
                5312.
            ``(3) Priority.--In awarding grants under section 5311, the 
        Director shall give priority to schools that have demonstrated 
        success in establishing and carrying out the highest number of 
        activities described in section 5312.
    ``(c) Fiscal Agent.--The local educational agency of the school 
shall act as the fiscal agent for the school and shall accept and 
administer the grant awarded to the school under section 5311, except 
that all funds shall be expended at the school level.

     ``Subpart 2--National School Dropout Prevention Grant Program

``SEC. 5321. AUTHORIZATION.

    ``(a) In General.--Beginning in the third year of the Model School 
Dropout Prevention Grant Program under subpart 1, the Director of the 
Office of Dropout Prevention and Program Completion shall award grants 
to public elementary schools, middle schools, and secondary schools to 
enable the schools to implement, or further carry out, effective, 
sustainable, and coordinated school dropout prevention programs.
    ``(b) Duration.--A grant under subsection (a) shall be awarded for 
a period of not less than 2 years but not more than 5 years.

``SEC. 5322. REQUIRED ACTIVITIES.

    ``A school that receives a grant under section 5321 shall use 
amounts under the grant to establish and carry out, or further develop, 
school dropout prevention programs, intervention programs, and recovery 
programs, including as many of the following activities as possible: 
systemic renewal, community and family participation, professional 
development, early childhood education, reading and writing programs, 
alternative public schooling, individualized instruction, use of 
instructional technologies, mentoring and tutoring, service learning, 
instruction that recognizes that students learn in different ways 
(commonly referred to as `learning styles instruction'), violence 
prevention and conflict resolution, career education and workforce 
readiness, out-of-school experiences, and a comprehensive plan for 
dropout prevention.

``SEC. 5323. APPLICATION; SELECTION OF SCHOOLS; FISCAL AGENT.

    ``(a) Application.--Each school desiring a grant under section 5321 
shall submit an application, after review by the local educational 
agency of the school, to the Director at such time, in such manner, and 
accompanied by such information as the Director may require.
    ``(b) Selection of Schools.--The Director shall establish clear and 
specific selection criteria for awarding grants to schools under 
section 5321, including the number of grants to award and the type of 
schools to be awarded grants. Such criteria shall be based on school 
dropout rates and other relevant factors, such as the quality of the 
existing or proposed dropout prevention program, the number of students 
who are dropouts, the number of students who are eligible to receive 
free or reduced price lunches under the Richard B. Russell National 
School Lunch Act, the number of students who are below their grade 
level in basic skills, the number of students who are involved in 
family court or the juvenile justice system, and the number of students 
who are teen mothers.
    ``(c) Fiscal Agent.--The local educational agency of the school 
shall act as the fiscal agent for the school and shall accept and 
administer the grant awarded to the school under section 5321, except 
that all funds shall be expended at the school level.

  ``Subpart 3--Additional Requirements for Model and National Dropout 
                        Prevention Grant Program

``SEC. 5331. DISSEMINATION ACTIVITIES.

    ``Each school that receives a grant under section 5311 or 5321, or 
the local educational agency of the school, shall provide information 
and technical assistance, including presentations, document-sharing, 
and joint staff development, to other schools within their school 
district and to other schools in their State that are desiring to 
receive grants under section 5311 or 5321, as the case may be.

``SEC. 5332. SCHOOL DROPOUT RATE CALCULATION.

    ``For purposes of calculating a school dropout rate under subparts 
1 and 2, a school shall use--
            ``(1) the annual event school dropout rate for students 
        leaving a school in a single year determined in accordance with 
        the National Center for Education Statistics' Common Core of 
        Data, if available;
            ``(2) the standard method used by the State agency; or
            ``(3) in other cases, a standard method for calculating the 
        school dropout rate as determined by the Director.

``SEC. 5333. REPORTING AND ACCOUNTABILITY.

    ``(a) Reporting.--In order to receive funding under subpart 1 or 2 
for a fiscal year after the first fiscal year a school receives funding 
under subpart 1 or 2, as the case may be, the school shall provide, on 
an annual basis, to the Director a report regarding the status of the 
implementation of activities funded under subpart 1 or 2 and 
certification of progress from the eligible entity whose strategies the 
school is implementing.
    ``(b) Accountability.--On the basis of the reports submitted under 
subsection (a), the Director shall evaluate the effect of the 
activities assisted under subpart 1 or 2, as the case may be, on school 
dropout prevention compared to a control group, to the extent 
practicable.

    ``Subpart 4--National Clearinghouse on Effective School Dropout 
                               Prevention

``SEC. 5341. ESTABLISHMENT OF NATIONAL CLEARINGHOUSE.

    ``Not later than 6 months after the date of enactment of this part, 
the Director shall establish a national clearinghouse on effective 
school dropout prevention, intervention programs, and reentry programs. 
The clearinghouse shall be established through a competitive grant or 
contract awarded to an organization with a demonstrated capacity to 
provide technical assistance and disseminate information in the area of 
school dropout prevention, intervention programs, and reentry programs. 
The clearinghouse shall--
            ``(1) collect and disseminate to educators, parents, and 
        policymakers information on research, effective programs, best 
        practices, and available Federal resources with respect to 
        school dropout prevention, intervention programs, and reentry 
        programs, including dissemination by an electronically 
        accessible database, a worldwide Web site, and a national 
        journal;
            ``(2) provide technical assistance regarding securing 
        resources with respect to, and designing and implementing, 
        effective and comprehensive school dropout prevention, 
        intervention programs, and reentry programs; and
            ``(3) provide professional development opportunities 
        through workshops, seminars, and institutes for educators and 
        program providers responsible for planning, implementing, and 
        evaluating comprehensive school dropout prevention, 
        intervention programs, and recovery programs.

       ``Subpart 5--Definitions; Authorization of Appropriations

``SEC. 5351. DEFINITIONS.

    ``In this part:
            ``(1) Director.--The term `Director' means the Director of 
        the Office of Dropout Prevention and Program Completion 
        established under section 218 of the General Education 
        Provisions Act.
            ``(2) Intervention programs.--The term `intervention 
        programs' means programs or strategies that are designed to 
        improve academic or personal problems of students that 
        negatively affect the students' performance or ability to 
        remain in school and graduate from school with a diploma.
            ``(3) Prevention programs.--The term `prevention programs' 
        means programs that anticipate, forestall, or relate to 
        cognitive, social, or personal problems of students before such 
        problems impair a student's ability to perform in school.
            ``(4) Recovery programs.--The term `recovery programs' 
        means programs or strategies designed to offer another 
        schooling option to an individual who has dropped out of 
        school.
            ``(5) School dropout.--The term `school dropout' has the 
        meaning given the term in section 4(17) of the School-to-Work 
        Opportunities Act of 1994.

``SEC. 5352. AUTHORIZATION OF APPROPRIATIONS.

    ``(a) Subpart 1.--There are authorized to be appropriated to carry 
out subpart 1 such sums as may be necessary for fiscal year 2002 and 
for each of the 4 succeeding fiscal years.
    ``(b) Subpart 2.--There are authorized to be appropriated to carry 
out subpart 2 such sums as may be necessary for fiscal year 2004 and 
for each of the 4 succeeding fiscal years.
    ``(c) Subpart 4.--There are authorized to be appropriated to carry 
out subpart 4 such sums as may be necessary for fiscal year 2002 and 
for each of the 4 succeeding fiscal years.''.

SEC. 4. OFFICE OF DROPOUT PREVENTION AND PROGRAM COMPLETION.

    (a) Establishment.--Title II of the Department of Education 
Organization Act (20 U.S.C. 3411 et seq.) is amended by adding at the 
end the following:

         ``office of dropout prevention and program completion

    ``Sec. 220. (a) Establishment.--There shall be in the Department of 
Education an Office of Dropout Prevention and Program Completion 
(hereafter in this section referred to as the `Office'), to be 
administered by the Director of the Office of Dropout Prevention and 
Program Completion. The Director of the Office shall report directly to 
the Under Secretary of Education and shall perform such additional 
functions as the Under Secretary may prescribe.
    ``(b) Duties.--The Director of the Office of Dropout Prevention and 
Program Completion (hereafter in this section referred to as the 
`Director'), through the Office, shall--
            ``(1) help coordinate Federal, State, and local efforts to 
        lower school dropout rates and increase program completion by 
        elementary, middle, and secondary school students;
            ``(2) recommend Federal policies, objectives, and 
        priorities to lower school dropout rates and increase program 
        completion;
            ``(3) oversee the implementation of subparts 1 and 2 of 
        part C of title V of the Elementary and Secondary Education Act 
        of 1965;
            ``(4) annually prepare and submit to Congress and the 
        Secretary a national report describing efforts and recommended 
        actions regarding school dropout prevention and program 
        completion;
            ``(5) recommend action to the Secretary and the President, 
        as appropriate, regarding school dropout prevention and program 
        completion; and
            ``(6) consult with and assist State and local governments 
        regarding school dropout prevention and program completion.
    ``(c) Scope of Duties.--The scope of the Director's duties under 
subsection (b) shall include examination of all Federal and non-Federal 
efforts related to--
            ``(1) promoting program completion for children attending 
        elementary, middle, or secondary school;
            ``(2) programs to obtain a secondary school diploma or its 
        recognized equivalent (including general equivalency diploma 
        (GED) programs); and
            ``(3) reentry programs for individuals aged 12 to 24 who 
        are out of school.
    ``(d) Detailing.--In carrying out the Director's duties under this 
section, the Director may request the head of any Federal department or 
agency to detail personnel who are engaged in school dropout prevention 
activities to another Federal department or agency in order to 
implement the National School Dropout Prevention Strategy.''.
    (b) Conforming Amendment.--The table of contents of the Department 
of Education Organization Act (20 U.S.C. 3401 note) is amended by 
inserting after the item relating to section 217 the following new 
item:

``Sec. 220. Office of Dropout Prevention and Program Completion.''.
Output: National Student Dropout Prevention and Recovery Act of 2001 - Amends the Elementary and Secondary Education Act of 1965 to revise, reauthorize, and rename title V part C (Assistance to Address School Dropout Prevention Problems, also currently known as the School Dropout Assistance Act) as School Dropout Prevention Grant Programs.Requires the Director of the Office of Dropout Prevention and Program Completion (established by this Act in the Department of Education) to carry out provisions for: (1) a model school dropout prevention grant program; (2) a national school dropout prevention grant program; and (3) a national clearinghouse on effective school dropout prevention, intervention programs, and reentry programs.Amends the Department of Education Organization Act to establish an Office of Dropout Prevention and Program Completion, to be administered by the Director, who shall report directly to the Under Secretary of Education.