SECTION 1. SHORT TITLE.

    This Act may be cited as the ``National Education Technology 
Funding Corporation Act of 1995''.

SEC. 2. FINDINGS; PURPOSE.

    (a) Findings.--The Congress finds as follows:
            (1) Corporation.--There has been established in the 
        District of Columbia a private, nonprofit corporation known as 
        the National Education Technology Funding Corporation which is 
        not an agency or independent establishment of the Federal 
        Government.
            (2) Board of directors.--The Corporation is governed by a 
        Board of Directors, as prescribed in the Corporation's articles 
        of incorporation, consisting of 15 members, of which--
                    (A) five members are representative of public 
                agencies representative of schools and public 
                libraries;
                    (B) five members are representative of State 
                government, including persons knowledgeable about State 
                finance, technology and education; and
                    (C) five members are representative of the private 
                sector, with expertise in network technology, finance 
                and management.
            (3) Corporate purposes.--The purposes of the Corporation, 
        as set forth in its articles of incorporation, are--
                    (A) to leverage resources and stimulate private 
                investment in education technology infrastructure;
                    (B) to designate State education technology 
                agencies to receive loans, grants or other forms of 
                assistance from the Corporation;
                    (C) to establish criteria for encouraging States 
                to--
                            (i) create, maintain, utilize and upgrade 
                        interactive high capacity networks capable of 
                        providing audio, visual and data communications 
                        for elementary schools, secondary schools and 
                        public libraries;
                            (ii) distribute resources to assure 
                        equitable aid to all elementary schools and 
                        secondary schools in the State and achieve 
                        universal access to network technology; and .
                            (iii) upgrade the delivery and development 
                        of learning through innovative technology-based 
                        instructional tools and applications.
                    (D) to provide loans, grants and other forms of 
                assistance to State education technology agencies, with 
                due regard for providing a fair balance among types of 
                school districts and public libraries assisted and the 
                disparate needs of such districts and libraries;
                    (E) to leverage resources to provide maximum aid to 
                elementary schools, secondary schools and public 
                libraries; and
                    (F) to encourage the development of education 
                telecommunications and information technologies through 
                public-private ventures, by serving as a clearinghouse 
                for information on new education technologies, and by 
                providing technical assistance, including assistance to 
                States, if needed, to establish State education 
                technology agencies.
    (b) Purpose.--The purpose of this Act is to recognize the 
Corporation as a nonprofit corporation operating under the laws of the 
District of Columbia, and to provide authority for Federal departments 
and agencies to provide assistance to the Corporation.

SEC. 3. DEFINITIONS.

    For the purpose of this Act--
            (1) The term ``Corporation'' means the National Education 
        Technology Funding Corporation described in section 2(a)(1);
            (2) the terms ``elementary school'' and ``secondary 
        school'' have the same meanings given such terms in section 
        14101 of the Elementary and Secondary Education Act of 1965; 
        and
            (3) the term ``public library'' has the same meaning given 
        such term in section 3 of the Library Services and Construction 
        Act.

SEC. 4. ASSISTANCE FOR EDUCATION TECHNOLOGY PURPOSES.

    (a) Authorization of Assistance.--Each Federal department or agency 
is authorized to award grants or contracts, or provide gifts, 
contributions, or technical assistance, to the Corporation to enable 
the Corporation to carry out the corporate purposes described in 
section 2(a)(3).
    (b) Agreement.--In order to receive any assistance described in 
subsection (a) the Corporation shall enter into an agreement with the 
Federal department or agency providing such assistance, under which the 
Corporation agrees--
            (1) to use such assistance to provide funding and technical 
        assistance only for activities which the Board of Directors of 
        the Corporation determines are consistent with the corporate 
        purposes described in section 2(a)(3);
            (2) to review the activities of State education technology 
        agencies and other entities receiving assistance from the 
        Corporation to assure that the corporate purposes described in 
        section 2(a)(3) are carried out;
            (3) that no part of the assets of the Corporation shall 
        accrue to the benefit of any member of the Board of Directors 
        of the Corporation, any officer or employee of the Corporation, 
        or any other individual, except as salary or reasonable 
        compensation for services;
            (4) that the Board of Directors of the Corporation will 
        adopt policies and procedures to prevent conflicts of interest;
            (5) to maintain a Board of Directors of the Corporation 
        consistent with section 2(a)(2);
            (6) that the Corporation, and any entity receiving the 
        assistance from the Corporation, are subject to the appropriate 
        oversight procedures of the Congress; and
            (7) to comply with--
                    (A) the audit requirements described in section 5; 
                and
                    (B) the reporting and testimony requirements 
                described in section 6.
    (c) Construction.--Nothing in this Act shall be construed to 
establish the Corporation as an agency or
 independent establishment of the Federal Government, or to establish 
the members of the Board of Directors of the Corporation, or the 
officers and employees of the Corporation, as officers or employees of 
the Federal Government.

SEC. 5. AUDITS.

    (a) Audits by Independent Certified Public Accountants.--
            (1) In general.--The Corporation's financial statements 
        shall be audited annually in accordance with generally accepted 
        auditing standards by independent certified public accountants 
        who are members of a nationally recognized accounting firm and 
        who are certified by a regulatory authority of a State or other 
        political subdivision of the United States. The audits shall be 
        conducted at the place or places where the accounts of the 
        Corporation are normally kept. All books, accounts, financial 
        records, reports, files, and all other papers, things, or 
        property belonging to or in use by the Corporation and 
        necessary to facilitate the audit shall be made available to 
        the person or persons conducting the audits, and full 
        facilities for verifying transactions with the balances or 
        securities held by depositories, fiscal agents, and custodians 
        shall be afforded to such person or persons.
            (2) Reporting requirements.--The report of each annual 
        audit described in paragraph (1) shall be included in the 
        annual report required by section 6(a).
    (b) Audits by the Comptroller General of the United States.--
            (1) Audits.--The programs, activities and financial 
        transactions of the Corporation shall be subject to audit by 
        the Comptroller General of the United States under such rules 
        and regulations as may be prescribed by the Comptroller 
        General. The representatives of the Comptroller General shall 
        have access to such books, accounts, financial records, 
        reports, files and such other papers, things, or property 
        belonging to or in use by the Corporation and necessary to 
        facilitate the audit, and the representatives shall be afforded 
        full facilities for verifying transactions with the balances or 
        securities held by depositories, fiscal agents, and custodians. 
        The representatives of the Comptroller General shall have 
        access, upon request to the Corporation or any auditor for an 
        audit of the Corporation under this section, to any books, 
        financial records, reports, files or other papers, things, or 
        property belonging to or in use by the Corporation and used in 
        any such audit and to papers, records, files, and reports of 
        the auditor used in such an audit.
            (2) Report.--A report on each audit described in paragraph 
        (1) shall be made by the Comptroller General to the Congress. 
        The report to the Congress shall contain such comments and 
        information as the Comptroller General may deem necessary to 
        inform the Congress of the financial operations and condition 
        of the Corporation, together with such recommendations as the 
        Comptroller General may deem advisable. The report shall also 
        show specifically any program, expenditure, or other financial 
        transaction or undertaking observed or reviewed in the course 
        of the audit, which, in the opinion of the Comptroller General, 
        has been carried on or made contrary to the requirements of 
        this Act. A copy of each such report shall be furnished to the 
        President and to the Corporation at the time such report is 
        submitted to the Congress.
    (c) Audit by Inspector General of the Department of Commerce.--The 
financial transactions of the Corporation may also be audited by the 
Inspector General of the Department of Commerce under the same 
conditions set forth in subsection (b) for audits by the Comptroller 
General of the United States.
    (d) Recordkeeping Requirements; Audit and Examination of Books.--
            (1) Recordkeeping requirements.--The Corporation shall 
        ensure that each recipient of assistance from the Corporation 
        keeps--
                    (A) separate accounts with respect to such 
                assistance;
                    (B) such records as may be reasonably necessary to 
                fully disclose--
                            (i) the amount and the disposition by such 
                        recipient of the proceeds of such assistance;
                            (ii) the total cost of the project or 
                        undertaking in connection with which such 
                        assistance is given or used; and
                            (iii) the amount and nature of that portion 
                        of the cost of the project or undertaking 
                        supplied by other sources; and
                    (C) such other records as will facilitate an 
                effective audit.
            (2) Audit and examination of books.--The Corporation shall 
        ensure that the Corporation, or any of the Corporation's duly 
        authorized representatives, shall have access for the purpose 
        of audit and examination to any books, documents, papers, and 
        records of any recipient of assistance from the Corporation 
        that are pertinent to such assistance. Representatives of the 
        Comptroller General shall also have such access for such 
        purpose.

SEC. 6. ANNUAL REPORT; TESTIMONY TO THE CONGRESS.

    (a) Annual Report.--Not later than April 30 of each year, the 
Corporation shall publish an annual report for the preceding fiscal 
year and submit that report to the President and the Congress. The 
report shall include a comprehensive and detailed evaluation of the 
Corporation's operations, activities, financial condition, and 
accomplishments under this Act and may include such recommendations as 
the Corporation deems appropriate.
    (b) Testimony Before Congress.--The members of the Board of 
Directors, and officers, of the Corporation shall be available to 
testify before appropriate committees of the Congress with respect to 
the report described in subsection (a), the report of any audit made by 
the Comptroller General pursuant to this Act, or any other matter which 
any such committee may determine appropriate.
Output: National Education Technology Funding Corporation Act of 1995 - Recognizes the National Education Technology Funding Corporation as a nonprofit corporation independent of the Federal Government and operating under the laws of the District of Columbia.  Authorizes Federal departments and agencies to provide assistance to such Corporation to carry out specified corporate purposes. 
Requires audits of the Corporation by independent certified public accountants and by the Comptroller General, and authorizes such audits by the Inspector General of the Department of Commerce.