[Congressional Bills 103th Congress]
[From the U.S. Government Publishing Office]
[H.R. 3130 Introduced in House (IH)]

103d CONGRESS
  1st Session
                                H. R. 3130

               Entitled ``To improve America's schools''.


_______________________________________________________________________


                    IN THE HOUSE OF REPRESENTATIVES

                           September 23, 1993

Mr. Kildee (for himself, Mr. Ford of Michigan, Mr. Goodling, Mr. Miller 
of California, Mr. Gunderson, Mr. Sawyer, Mr. Owens, Mrs. Unsoeld, Mr. 
  Reed, Mrs. Mink, Mr. Engel, Mr. Green, Ms. English of Arizona, Mr. 
Strickland, Mr. Romero-Barcelo, Mr. Martinez, Mr. Andrews of New Jersey 
and Mr. Faleomavaega) introduced the following bill; which was referred 
                to the Committee on Education and Labor

_______________________________________________________________________

                                 A BILL


 
               Entitled ``To improve America's schools''.

    Be it enacted by the Senate and House of Representatives of the 
United States of America in Congress assembled, That this Act may be 
cited as the ``Improving America's Schools Act of 1993''.

                        organization of the act

    Sec. 2. This Act is organized into the following titles:

 TITLE I--AMENDMENTS TO THE ELEMENTARY AND SECONDARY EDUCATION ACT OF 
                                  1965

      TITLE II--AMENDMENTS TO THE GENERAL EDUCATION PROVISIONS ACT

                  Title III--AMENDMENTS TO OTHER ACTS

                      effective dates; transition

    Sec. 3. (a) Effective Dates.--(1) The provisions of title I of this 
Act shall take effect July 1, 1995, except that those provisions of 
title I that apply to programs under title VIII of the Elementary and 
Secondary Education Act of 1965, as amended by this Act, and to 
programs that are conducted on a competitive basis, shall be effective 
with respect to appropriations for use under such programs in fiscal 
year 1995 and in subsequent fiscal years.
    (2) The provisions of title II of this Act shall be effective upon 
enactment, except that section 250 of such title shall be effective--
            (A) July 1, 1995 for non-competitive programs in which 
        funds are allocated on the basis of a formula; and
            (B) for programs that are conducted on a competitive basis, 
        with respect to appropriations for use under such programs in 
        fiscal year 1995 and in subsequent fiscal years.
    (3)(A) Parts A and B of title III of this Act shall take effect 
July 1, 1995.
    (B) Part C of title III of this Act shall take effect on October 1, 
1994.
    (b) Transition.--Notwithstanding any other provision of law, a 
recipient of funds under the Elementary and Secondary Education Act of 
1965, as in effect prior to amendment by this Act, may use funds 
available to it under such predecessor authority to carry out necessary 
and reasonable planning and transition activities in order to ensure a 
smooth implementation of programs authorized by this Act.

 TITLE I--AMENDMENTS TO THE ELEMENTARY AND SECONDARY EDUCATION ACT OF 
                                  1965

    amendments to the elementary and secondary education act of 1965

    Sec. 101. The Elementary and Secondary Education Act of 1965 is 
amended to read as follows:

                             ``short title

    ``Section 1. This Act may be cited as the `Elementary and Secondary 
Education Act of 1965'.

                          ``table of contents

    ````Sec. 2. The table of contents for this Act is as follows:

        ``TITLE I--HELPING CHILDREN IN NEED MEET HIGH STANDARDS

``Sec. 1001. Declaration of policy and statement of purpose.
``Sec. 1002. Authorization of appropriations.
               ``Part A--Making High-Poverty Schools Work

                ``Subpart 1--Basic Program Requirements

``Sec. 1111. State plans.
``Sec. 1112. Local educational agency plans.
``Sec. 1113. Eligible school attendance areas.
``Sec. 1114. Schoolwide programs.
``Sec. 1115. Targeted assistance schools.
``Sec. 1116. Parental involvement.
``Sec. 1117. Participation of children enrolled in private schools.
``Sec. 1118. Assessment and school and district improvement.
``Sec. 1119. Fiscal requirements.
                        ``Subpart 2--Allocations

``Sec. 1121. Grants for the outlying areas and the Secretary of the 
                            Interior.
``Sec. 1122. Allocations to States.
``Sec. 1123. Basic grants.
``Sec. 1124. Concentration grants.
``Sec. 1125. Special allocation procedures.
``Sec. 1126. Carryover and waiver.
             ``Part B--Even Start Family Literacy Programs

``Sec. 1201. Statement of purpose.
``Sec. 1202. Program authorized.
``Sec. 1203. State programs.
``Sec. 1204. Uses of funds.
``Sec. 1205. Program elements.
``Sec. 1206. Eligible participants.
``Sec. 1207. Applications.
``Sec. 1208. Award of subgrants.
``Sec. 1209. Evaluation.
               ``Part C--Education of Migratory Children

``Sec. 1301. Program purpose.
``Sec. 1302. Program authorized.
``Sec. 1303. State allocations.
``Sec. 1304. State applications; services.
``Sec. 1305. Secretarial approval; peer review.
``Sec. 1306. Comprehensive needs assessment and service-delivery plan; 
                            authorized activities.
``Sec. 1307. Bypass.
``Sec. 1308. Coordination of migrant education activities.
``Sec. 1309. Definitions.
         ``Part D--Education of Neglected and Delinquent Youth

``Sec. 1401. Purpose; program authorized.
``Sec. 1402. Eligibility.
``Sec. 1403. Allocation of funds.
``Sec. 1404. State reallocation of funds.
``Sec. 1405. State plan and State agency applications.
``Sec. 1406. Use of funds.
``Sec. 1407. Institution-wide projects.
``Sec. 1408. Three-year projects.
``Sec. 1409. Program evaluations.
``Sec. 1410. Transition services.
``Sec. 1411. Definitions.
            ``Part E--Federal Evaluations and Demonstrations

``Sec. 1501. Evaluations.
``Sec. 1502. Demonstrations of innovative practices.
                      ``Part F--General Provisions

``Sec. 1601. State administration.
              ``TITLE II--IMPROVING TEACHING AND LEARNING

    ``Part A--Dwight D. Eisenhower Professional Development Program

``Sec. 2101. Findings.
``Sec. 2102. Purposes.
``Sec. 2103. Authorization of appropriations; allocation between 
                            subparts.
                    ``Subpart 1--Federal Activities

``Sec. 2111. Program authorized.
``Sec. 2112. Authorized activities.
                ``Subpart 2--State and Local Activities

``Sec. 2121. Program authorized.
``Sec. 2122. Allocation of funds.
``Sec. 2123. Within-State allocations.
``Sec. 2124. Priority for professional development in mathematics and 
                            science.
``Sec. 2125. State applications.
``Sec. 2126. State-level activities.
``Sec. 2127. Local educational agency applications.
``Sec. 2128. Local cost-sharing.
``Sec. 2129. Local allocation of funds and allowable activities.
``Sec. 2130. Higher education activities.
                    ``Subpart 3--General Provisions

``Sec. 2131. Reporting and accountability.
``Sec. 2132. Definitions.
           ``Part B--Support and Assistance for ESEA Programs

``Sec. 2201. Findings.
``Sec. 2202. Purpose.
``Sec. 2203. Program authorized.
``Sec. 2204. Eligible entities.
``Sec. 2205. Comprehensive regional centers.
``Sec. 2206. Information collection and evaluation.
``Sec. 2207. Transition.
``Sec. 2208. Authorization of appropriations.
           ``TITLE III--EXPANDING OPPORTUNITIES FOR LEARNING

         ``Part A--Putting Technology to Work for All Students

 ``Subpart 1--Research, Development, and Demonstration of Educational 
                               Technology

``Sec. 3111. Findings and purposes.
``Sec. 3112. Office of Educational Technology.
``Sec. 3113. National long-range plan.
``Sec. 3114. Federal leadership.
``Sec. 3115. Authorization of appropriations.
                   ``Subpart 2--Star Schools Program

``Sec. 3121. Findings.
``Sec. 3122. Statement of purpose.
``Sec. 3123. Program authorized.
``Sec. 3124. Eligible entities.
``Sec. 3125. Applications.
``Sec. 3126. Leadership and evaluation activities.
``Sec. 3127. Definitions.
            ``Part B--Fund for the Improvement of Education

``Sec. 3201. Fund for the Improvement of Education.
    ``Part C--Jacob K. Javits Gifted and Talented Education Program

``Sec. 3301. Findings and purpose.
``Sec. 3302. Authorized programs.
``Sec. 3303. Program priorities.
``Sec. 3304. National responsibilities.
``Sec. 3305. Authorization of appropriations.
``Sec. 3306. Definitions.
                       ``Part D--Charter Schools

``Sec. 3401. Findings and purpose.
``Sec. 3402. Program authorized.
``Sec. 3403. Applications.
``Sec. 3404. Selection of grantees; waivers.
``Sec. 3405. Uses of funds.
``Sec. 3406. National activities.
``Sec. 3407. Definitions.
``Sec. 3408. Authorization of appropriations.
                      ``Part E--Arts in Education

``Sec. 3501. Support for arts education.
            ``Part F--Inexpensive Book Distribution Program

``Sec. 3601. Inexpensive book distribution program for reading 
                            motivation.
         ``TITLE IV--SAFE AND DRUG-FREE SCHOOLS AND COMMUNITIES

``Sec. 4001. Findings.
``Sec. 4002. Purpose.
``Sec. 4003. Authorization of appropriations.
    ``Part A--State Grants for Drug and Violence Prevention Programs

``Sec. 4101. Reservations and allotments.
``Sec. 4102. State Drug and Violence Prevention Coordinating Council.
``Sec. 4103. State applications.
``Sec. 4104. Governor's programs.
``Sec. 4105. State and local educational agency programs.
``Sec. 4106. Local applications.
``Sec. 4107. Local drug and violence prevention programs.
``Sec. 4108. Evaluation and reporting.
     ``Part B--Postsecondary Drug and Violence Prevention Programs

``Sec. 4201. Grants to institutions of higher education.
``Sec. 4202. National center.
                      ``Part C--National Programs

``Sec. 4301. Federal activities.
                      ``Part D--General Provisions

``Sec. 4401. Definitions.
``Sec. 4402. Materials.
``Sec. 4403. Prohibited uses of funds.
                      ``TITLE V--PROMOTING EQUITY

                  ``Part A--Magnet Schools Assistance

``Sec. 5101. Findings.
``Sec. 5102. Statement of purpose.
``Sec. 5103. Program authorized.
``Sec. 5104. Definition.
``Sec. 5105. Eligibility.
``Sec. 5106. Applications and requirements.
``Sec. 5107. Priority.
``Sec. 5108. Use of funds.
``Sec. 5109. Prohibitions.
``Sec. 5110. Limitation on payments.
``Sec. 5111. Authorization of appropriations; reservation.
                   ``Part B--Equalization Assistance

``Sec. 5201. Technical and other assistance regarding school finance 
                            equity.
                  ``Part C--Women's Educational Equity

``Sec. 5301. Findings.
``Sec. 5302. Statement of purposes.
``Sec. 5303. Program authorized.
``Sec. 5304. Applications.
``Sec. 5305. Criteria and priorities.
``Sec. 5306. Report.
``Sec. 5307. Evaluation and dissemination.
``Sec. 5308. Authorization of appropriations.
                      ``TITLE VI--INDIAN EDUCATION

``Sec. 6001. Findings.
``Sec. 6002. Purpose.
         ``Part A--Formula Grants To Local Educational Agencies

``Sec. 6101. Purpose.
``Sec. 6102. Grants to local educational agencies.
``Sec. 6103. Amount of grants.
``Sec. 6104. Applications.
``Sec. 6105. Authorized services and activities.
``Sec. 6106. Student eligibility forms.
``Sec. 6107. Payments.
``Part B--Discretionary Programs To Improve Educational Achievement of 
                            Indian Children

``Sec. 6201. Grants to Indian-controlled schools.
``Sec. 6202. Demonstration grants.
    ``Part C--Professional Development and Adult Education Programs

``Sec. 6301. Professional development.
``Sec. 6302. Adult education.
           ``Part D--National Activities and Grants To States

``Sec. 6401. National activities.
``Sec. 6402. Grants to States.
                    ``Part E--Federal Administration

``Sec. 6501. Office of Indian Education.
``Sec. 6502. National Advisory Council on Indian Education.
``Sec. 6503. Peer review.
``Sec. 6504. Preference for Indian applicants.
``Sec. 6505. Minimum grant criteria.
        ``Part F--Definitions; Authorizations of Appropriations

``Sec. 6601. Definitions.
``Sec. 6602. Authorizations of appropriations.
               ``TITLE VII--BILINGUAL EDUCATION PROGRAMS

``Sec. 7001. Findings.
``Sec. 7002. Policy; authorization of appropriations.
``Sec. 7003. Definitions.
``Sec. 7004. Indian children in school.
         ``Part A--Financial Assistance for Bilingual Education

``Sec. 7101. Financial assistance for bilingual education.
                   ``Part B--Research and Evaluation

``Sec. 7201. Use of funds.
``Sec. 7202. Research.
``Sec. 7203. Academic excellence awards.
``Sec. 7204. State grant program.
``Sec. 7205. National Clearinghouse for Bilingual Education.
``Sec. 7206. Evaluations.
                   ``Part C--Professional Development

``Sec. 7301. Purpose.
``Sec. 7302. Professional development grants.
``Sec. 7303. Fellowships.
``Sec. 7304. Stipends.
            ``Part D--Emergency Immigrant Education Program

``Sec. 7401. Purpose.
``Sec. 7402. Emergency immigrant education grants.
                        ``Part E--Administration

``Sec. 7501. Coordination with related programs.
``Sec. 7502. Report on bilingual education.
``Sec. 7503. State educational agency recommendations; peer review.
                         ``Part F--Special Rule

``Sec. 7601. Special rule.
                        ``TITLE VIII--IMPACT AID

``Sec. 8001. Findings.
``Sec. 8002. Purpose.
``Sec. 8003. Payments for eligible children.
``Sec. 8004. Policies and procedures for children residing on Indian 
                            lands.
``Sec. 8005. Applications for payments under section 8003.
``Sec. 8006. Sudden and substantial increases in attendance of military 
                            dependents.
``Sec. 8007. Construction.
``Sec. 8008. Minimum school facilities assisted by the Secretary.
``Sec. 8009. State consideration of payments in providing State aid.
``Sec. 8010. Federal administration.
``Sec. 8011. Administrative hearings and judicial review.
``Sec. 8012. Definitions.
``Sec. 8013. Authorization of appropriations.
                     ``TITLE IX--GENERAL PROVISIONS

                         ``Part A--Definitions

``Sec. 9101. Definitions.
``Sec. 9102. Applicability of this title.
   ``Part B--Flexibility in the Use of Administrative and Other Funds

``Sec. 9201. Consolidation of State administrative funds for elementary 
                            and secondary education programs.
``Sec. 9202. Single local educational agency States.
``Sec. 9203. Consolidation of funds for local administration.
``Sec. 9204. Administrative funds study.
``Sec. 9205. Consolidated set-aside for Department of the Interior 
                            funds.
``Sec. 9206. Schoolwide programs.
``Sec. 9207. Availability of unneeded program funds.
   ``Part C--Coordination of Programs; Consolidated State and Local 
                              Applications

``Sec. 9301. Purpose.
``Sec. 9302. Optional consolidated State application.
``Sec. 9303. General applicability of State educational agency 
                            assurances.
``Sec. 9304. Consolidated local applications.
``Sec. 9305. Other general assurances.
                           ``Part D--Waivers

``Sec. 9401. Waivers of statutory and regulatory requirements.
                      ``Part E--Uniform Provisions

``Sec. 9501. Maintenance of effort.
``Sec. 9502. Prohibition regarding State aid.
``Sec. 9503. Participation by private school children and teachers.
``Sec. 9504. Standards for by-pass.
``Sec. 9505. Complaint process for participation of private school 
                            children.
``Sec. 9506. By-pass determination process.
``Sec. 9507. Prohibition against funds for religious worship or 
                            instruction.
                       ``Part F--Other Provisions

``Sec. 9601. State recognition of exemplary performance.
``Sec. 9604. International education activities.

        ``TITLE I--HELPING CHILDREN IN NEED MEET HIGH STANDARDS

            ``declaration of policy and statement of purpose

    ``Sec. 1001. (a) Statement of Policy.--The Congress declares it to 
be the policy of the United States that a high-quality education for 
all citizens and a fair and equal opportunity to obtain that 
education--
            ``(1) are a societal good necessary for creating a vibrant 
        future for our complex and diverse democracy and for meeting 
        the challenge of an internationally competitive economy;
            ``(2) are a private good because individual opportunity is 
        greatly enhanced by one's being well educated;
            ``(3) are a moral imperative in our society; simple justice 
        demands that the opportunity to acquire skills and knowledge 
        deemed necessary for basic citizenship and economic opportunity 
        be equally available to all; and
            ``(4) improve the life of every citizen, because the 
        quality of our individual lives ultimately depends on the 
        quality of the lives of others.
    ``(b) Recognition of Need.--The Congress recognizes that--
            ``(1) although the achievement gap between disadvantaged 
        children and other children has been reduced by half over the 
        past two decades, a sizeable gap remains, and many segments of 
        our society lack the opportunity to become well educated;
            ``(2) the most urgent need for educational improvement is 
        in schools with high concentrations of children from low-income 
        families. Achieving the National Education Goals will not be 
        possible without substantial improvement in these schools;
            ``(3) educational needs are particularly great for low-
        achieving children in our highest-poverty schools, children 
        with limited English proficiency, children of migrant workers, 
        Indian children, children who are neglected or delinquent, and 
        young children and their parents who are in need of family-
        literacy services; and
            ``(4) while title I and other programs funded under this 
        Act have contributed to narrowing the achievement gap between 
        children in high-poverty and low-poverty schools, they need to 
        become even more effective in improving high-poverty schools in 
        order to help enable all children to achieve high standards.
    ``(c) What Has Been Learned.--To enable schools to provide all 
children a high-quality education, this title builds upon what has been 
learned:
            ``(1) All children can master challenging content and 
        complex problem-solving skills; research clearly shows that 
        children, including low-achieving children, can succeed when 
        expectations are high and they are given the opportunity to 
        learn challenging material.
            ``(2) Piecemeal reform, particularly when not tied to an 
        overall vision of teaching to, and helping all children reach, 
        high standards, does not work.
            ``(3) Use of low-level tests that are not aligned with 
        schools' curricula fails to provide adequate information about 
        what children know and can do and encourages curricula and 
        instruction that focus on low-level skills measured by those 
        tests.
            ``(4) Resources are less effective when they serve children 
        through such practices as pull-out programs, instead of 
        ensuring that children have full access to effective regular 
        school programs and receive supplemental help through extended-
        time activities.
            ``(5) The disproven theory that children must first learn 
        basic skills before engaging in more complex tasks continues to 
        dominate strategies for classroom instruction, resulting in 
        emphasis on repetitive drill and practice at the expense of 
        content-rich instruction, accelerated curricula, and effective 
        teaching to high standards.
            ``(6) Intensive and sustained professional development for 
        teachers and other school staff--focused on teaching and 
        learning and on helping children attain high standards--is too 
        often not provided.
            ``(7) Insufficient attention and resources are directed 
        toward the effective use of technology in schools and the role 
        it can play in professional development and improved teaching 
        and learning.
            ``(8) All parents can contribute to their children's 
        success by helping at home and becoming partners with teachers 
        so that children can achieve high standards.
            ``(9) Decentralized decisionmaking is a key ingredient of 
        systemic reform. Schools need the resources, flexibility, and 
        responsibility to design and implement effective strategies for 
        bringing their children to high levels of performance and 
        should accept responsibility to do so.
            ``(10) Opportunities for students to achieve to high 
        standards can be enhanced through a variety of approaches such 
        as public school choice and charter schools.
            ``(11) Attention to academics alone cannot ensure that all 
        children will reach high standards. The health and other needs 
        of children that affect learning are frequently unmet, 
        particularly in high-poverty schools, thereby necessitating 
        coordination of services to better meet children's needs.
            ``(12) Resources provided under this title have not been 
        adequately targeted on the highest-poverty school districts and 
        schools that have children most in need.
    ``(d) Statement of Purpose.--The purpose of this title is to enable 
schools to provide opportunities for children served to acquire the 
knowledge and skills contained in the rigorous State content standards 
and to meet the challenging State performance standards developed for 
all children under the Goals 2000: Educate America Act or, in their 
absence, under this title. This purpose shall be accomplished by--
            ``(1) ensuring high standards for all children and aligning 
        the efforts of States, local educational agencies, and schools 
        to help children served under this title to reach them;
            ``(2) providing children an enriched and accelerated 
        educational program through schoolwide programs or through 
        additional services that increase the amount and quality of 
        instructional time so that children served under this title 
        receive at least all the classroom instruction that other 
        children receive;
            ``(3) promoting schoolwide reform and ensuring access of 
        children--from the earliest grades--to effective instructional 
        strategies and challenging academic content that includes 
        intensive complex thinking and problem-solving experiences;
            ``(4) significantly upgrading the quality of curricula and 
        instruction by providing staff in participating schools with 
        substantial opportunities for intensive and sustained 
        professional development;
            ``(5) coordinating services under all parts of this title 
        with each other, with other educational services, and, to the 
        extent feasible, with health and social service programs funded 
        from other sources;
            ``(6) affording parents meaningful opportunities to 
        participate in the education of their children at home and at 
        school;
            ``(7) distributing resources, in amounts sufficient to make 
        a difference, to areas where needs are greatest;
            ``(8) improving accountability, as well as teaching and 
        learning, by using State assessment systems designed to measure 
        how well children are achieving high State standards of 
        performance expected of all children; and
            ``(9) providing greater decisionmaking authority and 
        flexibility to schools in exchange for greater responsibility 
        for student performance.

                   ``authorization of appropriations

     ``Sec. 1002. Appropriations are authorized for the following 
programs and activities under this title:
     ``(a) Local Educational Agency Grants.--For the purpose of 
carrying out part A of this title, other than section 1117(e) and 
sections 1118(b)(1), (b)(2), and (e), there are authorized to be 
appropriated $7,000,000,000 for fiscal year 1995 and such sums as may 
be necessary for each of the fiscal years 1996 through 2004.
     ``(b) Even Start.--For the purpose of carrying out part B of this 
title, there are authorized to be appropriated such sums as may be 
necessary for each of the fiscal years 1995 through 2004.
     ``(c) Education of Migratory Children.--For the purpose of 
carrying out part C of this title, there are authorized to be 
appropriated such sums as may be necessary for each of the fiscal years 
1995 through 2004.
     ``(d) Education For Neglected or Delinquent Youth.--For the 
purpose of carrying out part D of this title, there are authorized to 
be appropriated such sums as may be necessary for each of the fiscal 
years 1995 through 2004.
     ``(e) Capital Expenses.--For the purpose of carrying out section 
1117(e) of this title, there are authorized to be appropriated such 
sums as may be necessary for each of the fiscal years 1995 through 
2004.
     ``(f) School Improvement.--For the purpose of carrying out the 
activities authorized in sections 1118(b)(1), (b)(2), and (e) of this 
title, there are authorized to be appropriated such sums as may be 
necessary for each of the fiscal years 1995 through 2004.
     ``(g) Federal Activities.--(1) For the purpose of carrying out 
section 1501 of this title, there are authorized to be appropriated 
such sums as may be necessary for each of the fiscal years 1995 through 
2004.
    ``(2) For the purpose of carrying out section 1502 of this title, 
there are authorized to be appropriated such sums as may be necessary 
for each of the fiscal years 1995 through 2004.

               ``Part A--Making High-Poverty Schools Work

                ``Subpart 1--Basic Program Requirements

                             ``state plans

     ``Sec. 1111. (a) Plans Required.--(1) Any State desiring to 
receive a grant under this part shall submit to the Secretary a plan, 
developed in consultation with local educational agencies, teachers, 
administrators, and parents, that--
            ``(A) is integrated with the State's plan, either approved 
        or being developed, under title III of the Goals 2000: Educate 
        America Act, and satisfies the requirements of this section 
        that are not already addressed by that State plan; or
            ``(B) if the State does not have an approved plan under 
        title III of the Goals 2000: Educate America Act and is not 
        developing such a plan, is integrated with other State plans 
        under this Act and satisfies the requirements of this section.
    ``(2) A State plan submitted under paragraph (1)(A) may, if 
necessary, be submitted as an amendment to the State's plan under title 
III of the Goals 2000: Educate America Act.
    ``(b) Standards And Assessment Provisions.--(1)(A) Each State plan 
shall contain a description of the high-quality standards for all 
children that will be used by the State, its local educational 
agencies, and its schools to carry out this Act, which shall include--
            ``(i) challenging content standards in the core academic 
        subjects that--
                    ``(I) specify what all children are expected to 
                know and be able to do; and
                    ``(II) contain coherent and rigorous content; and
            ``(ii) challenging performance standards that--
                    ``(I) are aligned with the State's content 
                standards;
                    ``(II) describe two levels of high performance--
                `proficient' and `advanced'--that determine how well 
                children are mastering the material in the content 
                standards; and
                    ``(III) include a third benchmark below proficient, 
                if necessary, to provide complete information about the 
                progress of the lower-performing children toward 
                achieving to the high `proficient' and `advanced' 
                performance standards.
    ``(B) If a State has not adopted challenging content and 
performance standards in all of its core academic subjects, the State 
plan shall include content and performance standards for elementary and 
secondary school children in those core subjects that it has adopted 
(which must include at least mathematics and reading/language arts), 
and the State shall add other content and performance standards as it 
adopts them under a schedule that it shall include in the State plan.
    ``(2)(A) Each State plan shall include a description, based on 
assessments described under paragraph (3), of what constitutes adequate 
yearly progress of--
            ``(i) any school served under this part toward enabling all 
        children to meet the State's `proficient' and `advanced' 
        performance standards; and
            ``(ii) any local educational agency that receives funds 
        under this part toward enabling all children within its 
        jurisdiction to meet the State's `proficient' and `advanced' 
        performance standards.
    ``(B) Adequate yearly progress shall be defined in a manner that 
results in continuous and substantial yearly improvement of each school 
and local educational agency toward the goal of all children meeting 
the State's challenging `advanced' performance standards.
    ``(3) Each State plan shall include a description of the set of 
high-quality, yearly student assessments that will be used as the 
primary means of determining the yearly performance of each local 
educational agency and school served under this part in enabling all 
children to meet the State's performance standards. These assessments 
shall--
            ``(A) be aligned with the State's challenging content and 
        performance standards and provide coherent information about 
        student attainment;
            ``(B) be used for purposes for which they are valid and 
        reliable and be consistent with relevant, nationally 
        recognized, professional and technical standards of assessment;
            ``(C) be comprised of multiple, up-to-date measures of 
        student performance;
            ``(D) include, except under the most extreme conditions, 
        children with disabilities and limited English proficient 
        children who, to the extent practicable, shall be assessed in 
        the language that will afford them the greatest opportunity to 
        demonstrate their proficiency;
            ``(E) provide individual student scores; and
            ``(F) provide for disaggregated results for educationally 
        meaningful categories of children, when results for those 
        categories would be reliable.
    ``(4) If a State has adopted challenging content and performance 
standards and an aligned set of assessments for all students under 
title III of the Goals 2000: Educate America Act, the State shall use 
those standards and assessments, modified, if necessary, to conform 
with the requirements of paragraphs (1)(A)(ii), (2), and (3).
    ``(5)(A) If a State does not have challenging content and 
performance standards that meet the requirements of paragraph (1) or 
assessments that meet the requirements of paragraph (3), the State may 
propose to use, for an interim period of up to two years, an 
alternative statewide set of yearly assessments that the Secretary 
finds assesses the performance of complex skills and challenging 
subject matter.
    ``(B)(i) The Secretary, upon the request of a State and a showing 
of substantial progress toward meeting the requirements of paragraphs 
(1) and (3), may extend for one year the use of the alternative 
assessments described in subparagraph (A).
    ``(ii) A State that is denied the one-year extension under clause 
(i) or is granted such an extension but, after one additional year, 
does not have challenging content and performance standards that meet 
the requirements of paragraph (1) or assessments that meet the 
requirements of paragraph (3) shall adopt a set of standards and 
aligned assessments that are satisfactory to the Secretary, such as 
those contained in other State plans the Secretary has approved.
    ``(C) For any year during which a State is using an interim 
assessment system, the State shall devise a means for identifying 
schools and local educational agencies in need of improvement under 
section 1118.
    ``(c) Other Provisions To Support Teaching And Learning.--Each 
State plan shall also describe--
            ``(1) the method the State educational agency will use to 
        implement a system of school support teams under section 
        1114(c), including provision of necessary professional 
        development for those teams;
            ``(2) the means by which the State educational agency will 
        work with other agencies and institutions to provide technical 
        assistance to local educational agencies and schools to carry 
        out their responsibilities under this part;
            ``(3) how the State educational agency will fulfill its 
        district and school improvement responsibilities under section 
        1118, including the corrective actions it will take under 
        section 1118(d)(6); and
            ``(4) how the State educational agency will encourage the 
        use of funds from other Federal, State, and local sources for 
        schoolwide reform in schoolwide programs under section 1114.
    ``(d) Peer Review and Secretarial Approval.--The Secretary shall--
            ``(1) establish a peer review process to assist in the 
        review and revision of State plans;
            ``(2) following an initial peer review, approve a State 
        plan the Secretary determines meets the requirements of 
        subsections (b) and (c); and
            ``(3)(A) if the Secretary determines that the State plan 
        does not meet the requirements of subsection (b) or (c), 
        immediately notify the State of that determination and the 
        reasons for it.
            ``(B) The Secretary may withhold funds until he or she 
        determines that the plan meets the requirements.
    ``(e) Duration of the Plan.--(1) Each State plan shall--
            ``(A) remain in effect for the duration of the State's 
        participation under this part; and
            ``(B) be periodically reviewed and revised by the State, as 
        necessary, to reflect changes in the State's strategies and 
        programs under this part.
    ``(2) If the State makes significant changes in its plan, such as 
the adoption of new content and performance standards, new assessments, 
or a new definition of adequate progress, the State shall submit this 
information to the Secretary for approval.

                    ``local educational agency plans

    ``Sec. 1112. (a) Plans Required.--(1) A local educational agency 
may receive a subgrant under this part for any fiscal year only if it 
has on file with the State educational agency a plan, approved by the 
State educational agency, that--
            ``(A) is integrated with the local educational agency's 
        plan, either approved or being developed, under title III of 
        the Goals 2000: Educate America Act, and satisfies the 
        requirements of this section that are not already addressed by 
        that plan; or
            ``(B) if the local educational agency does not have an 
        approved plan under title III of the Goals 2000: Educate 
        America Act and is not developing such a plan, is integrated 
        with its other plans under this Act and satisfies the 
        requirements of this section.
    ``(2) A local educational agency plan submitted under paragraph 
(1)(A) may, if necessary, be submitted as an amendment to its plan 
under title III of the Goals 2000: Educate America Act.
    `(b) Standards and Assessment Provisions.--Each local educational 
agency plan shall include--
            ``(1) a description of its challenging content and 
        performance standards, if any, in the core subjects, in 
        addition to the content and performance standards adopted by 
        the State under section 1111, that the local educational agency 
        expects all children to meet; and
            ``(2) a description of additional high-quality student 
        assessments, if any, other than those described in the State 
        plan under section 1111, that the local educational agency and 
        schools served under this part will use to determine--
                    ``(A) the success of children in schools served 
                under this part in meeting the State's performance 
                standards; and
                    ``(B) what revisions are needed to projects under 
                this part so that such children will meet the State's 
                performance standards.
    ``(c) Other Provisions To Support Teaching and Learning.--(1) To 
ensure high-quality instruction to enable participating children to 
meet the State's challenging performance standards expected of all 
students, each local educational agency plan shall describe a coherent 
strategy for intensive and sustained professional development for 
teachers, administrators, and other staff, including district-level 
staff, that--
            ``(A) takes into account the needs and activities across 
        and within schools; and
            ``(B) draws on resources available under this part and from 
        other sources.
    ``(2) Each local educational agency plan shall describe how the 
local educational agency will--
            ``(A) work in consultation with schools as the schools 
        develop their plans pursuant to section 1114 or 1115 and assist 
        schools as they implement those plans so that each school can 
        make adequate yearly progress toward meeting the State's 
        standards;
            ``(B) support and encourage schoolwide programs; and
            ``(C) fulfill its school improvement responsibilities under 
        section 1118, including the corrective actions it will take 
        under section 1118(c)(4).
    ``(3) To address the comprehensive needs of children, each local 
educational agency plan shall describe how the local educational agency 
will--
            ``(A) coordinate and integrate services provided under this 
        part with other educational services, including--
                    ``(i) Even Start, Head Start, and other preschool 
                programs, and school-to-work transition programs; and
                    ``(ii) services for children with limited English 
                proficiency or with disabilities, migratory children 
                served under part C of this title, neglected or 
                delinquent children served under part D of this title, 
                homeless children, and immigrant children in order to 
                increase program effectiveness, eliminate duplication, 
                and reduce fragmentation of the children's 
                instructional program;
            ``(B) coordinate and collaborate, to the extent feasible, 
        with other agencies providing services to children, youth, and 
        families, including, but not limited to, health and social 
        services; and
            ``(C) establish a procedure to ensure that all children in 
        participating elementary schools in which the percentage of 
        children from low-income families is 50 percent or more 
        receive, at a minimum, two health screenings during the 
        elementary school years at appropriate intervals based on 
        reasonable pediatric standards. Funds under this part may be 
        used to provide such health screenings only if funds from other 
        public or private sources, including, but not limited to, 
        Medicaid; Early Periodic Screening, Diagnosis, and Treatment 
        (EPSDT); private insurance; or other community health 
        resources, are not reasonably available to pay for such 
        screening.
    ``(4) The local educational agency plan shall also include a 
description of--
            ``(A) the poverty criteria that will be used to select 
        school attendance areas under section 1113;
            ``(B) the multiple criteria that will be used by targeted 
        assistance schools under section 1115 to identify children 
        eligible for services under this part;
            ``(C) a general description of the nature of the programs 
        to be conducted by its schools under sections 1114 and 1115 and 
        services outside those schools for children living in local 
        institutions for neglected or delinquent children and for 
        eligible homeless children; and
            ``(D) a description of how the local educational agency 
        will provide services to eligible children attending private 
        elementary and secondary schools in accordance with section 
        1117, and how timely and meaningful consultation with private 
        school officials regarding such services will occur.
    ``(d) Plan Development and Duration.--Each local educational agency 
plan shall be--
            ``(1) developed in consultation with teachers and parents 
        of children in schools served under this part; and
            ``(2) periodically reviewed and revised, as necessary, to 
        reflect changes in the local educational agency's strategies 
        and programs.
    ``(e) State Approval.--The State educational agency shall approve a 
local educational agency's plan only if the State educational agency 
determines that the plan will enable schools served under this part to 
substantially help all children served meet the State's challenging 
performance standards expected of all children.
    ``(f) Program Responsibility.--The local educational agency plan 
shall reflect the shared responsibility of schools and the local 
educational agency in making decisions required under sections 1114 and 
1115.

                   ``eligible school attendance areas

    ``Sec. 1113. (a) General.--(1)(A)(i) A local educational agency 
shall use funds received under this part only in school attendance 
areas with high concentrations of children from low-income families, 
hereafter in this section referred to as `eligible school attendance 
areas'.
    ``(ii) For the purposes of this part--
            ``(I) `school attendance area' means, in relation to a 
        particular school, the geographical area in which the children 
        who are normally served by that school reside; and
            ``(II) `eligible school attendance area' means a school 
        attendance area in which the percentage of children from low-
        income families is at least as high as the percentage of 
        children from low-income families in the local educational 
        agency as a whole.
    ``(B) If funds allocated in accordance with subsection (c) are 
insufficient to serve all eligible school attendance areas, a local 
educational agency shall--
            ``(i) annually rank, without regard to grade spans, its 
        eligible school attendance areas in which the concentration of 
        children from low-income families exceeds 75 percent from 
        highest to lowest according to the percentage of children from 
        low-income families; and
            ``(ii) serve such eligible school attendance areas in rank 
        order.
    ``(C) If funds remain after serving all eligible school attendance 
areas under subparagraph (B), a local educational agency shall--
            ``(i) annually rank its remaining eligible school 
        attendance areas from highest to lowest either by grade span or 
        for the entire local educational agency according to the 
        percentage of children from low-income families; and
            ``(ii) serve such eligible school attendance areas in rank 
        order either within each grade-span grouping or within the 
        local educational agency as a whole.
    ``(2) The local educational agency shall use the same measure of 
low income, which it shall choose on the basis of the best available 
data and which may be a composite of several indicators, with respect 
to all school attendance areas in the local educational agency to--
            ``(A) identify eligible school attendance areas;
            ``(B) determine the ranking of each area; and
            ``(C) determine allocations under subsection (c).
    ``(3) This subsection shall not apply to a local educational agency 
with a total enrollment of less than 1,000 children.
    ``(b) Local Educational Agency Discretion.--Notwithstanding 
subsection (a)(1), a local educational agency may--
            ``(1) designate as eligible any school attendance area or 
        school in which at least 50 percent of the children are from 
        low-income families;
            ``(2) use funds received under this part in a school that 
        is not in an eligible school attendance area, if the percentage 
        of children from low-income families enrolled in the school is 
        equal to or greater than the percentage of such children in a 
        participating school attendance area of such agency; and
            ``(3)(A) skip an eligible school attendance area or 
        eligible school that has a higher percentage of children from 
        low-income families if--
                    ``(i) the school meets the comparability 
                requirements of section 1119(c);
                    ``(ii) the school is receiving supplemental funds 
                from other State or local sources that are spent 
                according to the requirements of section 1114 or 1115; 
                and
                    ``(iii) the funds expended from those other sources 
                equal or exceed the amount that would be provided under 
                this part.
            ``(B) Notwithstanding subparagraph (A), the number of 
        children to receive services attending private elementary and 
        secondary schools, and the assistance they receive under this 
        part, shall be determined without regard to whether the public 
        school attendance area in which such children reside is skipped 
        under this paragraph.
    ``(c) Allocations.--(1) A local educational agency shall allocate 
funds received under this part to eligible school attendance areas or 
eligible schools, identified under subsection (a) or (b), in rank 
order, on the basis of the total number of children from low-income 
families in each area or school.
    ``(2)(A) Except as provided in subparagraph (B), the per-pupil 
amount of funds allocated to each school attendance area or school 
under paragraph (1) shall be at least 80 percent of the per-pupil 
amount of funds the local educational agency received for that year 
under sections 1123 and 1124.
    ``(B) A local educational agency may reduce the amount of funds 
allocated under subparagraph (A) for a school attendance area or school 
by the amount of any supplemental State and local funds expended in 
that school attendance area or school for programs that meet the 
requirements of section 1114 or 1115.
    ``(3) A local educational agency shall reserve such funds as are 
necessary under this part to provide services comparable to those 
provided to children in schools funded under this part to serve--
            ``(A) eligible homeless children who do not attend 
        participating schools, including providing educationally 
        related support services to children in shelters, where 
        appropriate; and
            ``(B) children living in local institutions for neglected 
        or delinquent children.

                         ``schoolwide programs

    ``Sec. 1114. (a) Use of Funds For Schoolwide Programs.--(1) A local 
educational agency may use funds under this part, in combination with 
other Federal, State, and local funds, to upgrade the entire 
educational program in an eligible school if, for the initial year of 
the schoolwide program, the school meets the following criteria:
            ``(A) For school year 1995-96--
                    ``(i) the school serves an eligible school 
                attendance area in which at least 65 percent of the 
                children are from low-income families; or
                    ``(ii) at least 65 percent of the children enrolled 
                in the school are from such families.
            ``(B) For school year 1996-97 and thereafter, the 
        percentage requirement in subparagraphs (A) (i) and (ii) shall 
        be 50 percent.
    ``(2)(A) No schoolwide program school shall be required to identify 
particular children as eligible to participate or to provide 
supplemental services to them.
    ``(B) A schoolwide program school shall use such funds only to 
supplement the amount of funds that would, in the absence of funds 
under this part, be made available from non-Federal sources for the 
school, including funds needed to provide services that are required by 
law for children with disabilities and children with limited English 
proficiency.
    ``(3) A school may use funds received under any noncompetitive, 
formula-grant program administered by the Secretary, except such a 
program under the Individuals With Disabilities Education Act, and any 
discretionary program contained on a list (updated as necessary) issued 
by the Secretary to support a schoolwide program, notwithstanding any 
provision of the statute or regulations governing any such program.
    ``(b) Components of a Schoolwide Program.--(1) A schoolwide program 
shall include the following components:
            ``(A) A comprehensive needs assessment of the entire school 
        that is based on information on the performance of children in 
        relation to the State's standards.
            ``(B) Schoolwide reform strategies that--
                    ``(i) provide opportunities for all children to 
                meet the State's `proficient' and `advanced' 
                performance standards expected of all children;
                    ``(ii) are based on research on effective means of 
                improving the achievement of children;
                    ``(iii) use effective instructional strategies that 
                increase the amount and quality of learning time and 
                help provide an enriched and accelerated curriculum 
                rather than remedial drill and practice;
                    ``(iv) address the needs of all children in the 
                school, but particularly the needs of low-achieving 
                children, children with limited English proficiency, 
                children from migratory families, and children who are 
                members of the target population of any program that is 
                included in the schoolwide program, and how the school 
                will determine if those needs have been met; and
                    ``(v) are consistent with, and are designed to 
                implement, the State and local reform plans, if any, 
                approved under title III of the Goals 2000: Educate 
                America Act.
            ``(C) Instruction by highly qualified professional staff.
            ``(D) Intensive and sustained professional development for 
        teachers, principals, and other staff to enable all children in 
        the school to meet the State's performance standards.
            ``(E) Parental involvement in accordance with section 1116.
            ``(F) Additionally, in schools serving children beyond 
        grade six, in coordination with funds available from other 
        programs and, as appropriate, drawing on private and public 
        organizations--
                    ``(i) counseling and mentoring services;
                    ``(ii) college and career awareness and 
                preparation, such as college and career guidance, 
                enhancement of employability skills, and job placement 
                services; and
                    ``(iii) services to prepare students for the 
                transition from school to work.
    ``(2)(A) Any eligible school that desires to operate a schoolwide 
program shall first develop, in consultation with the local educational 
agency, a comprehensive plan for reforming the total instructional 
program in the school that--
            ``(i) incorporates the components described in paragraph 
        (1);
            ``(ii) describes how the school will use resources under 
        this part and from other sources to implement those components;
            ``(iii) includes a list of State and local educational 
        agency programs and other Federal programs under paragraph 
        (a)(3) that will be included in the schoolwide program; and
            ``(iv) describes how the school will provide individual 
        student assessment results, including an interpretation of 
        those results, to the parents of any child who participates in 
        the assessment required by section 1111(b)(3).
    ``(B) Plans developed before a State has adopted standards and a 
set of assessments that meet the criteria in section 1111(b) (1) and 
(3) shall be based on an analysis of available data on the achievement 
of students in the school and a review of the school's instructional 
practices in the context of available research on effective 
instructional and school improvement practices.
    ``(C) The comprehensive plan shall be--
            ``(i) developed over a one-year period, unless--
                    ``(I) the local educational agency, based on the 
                recommendation of the school support team under 
                subsection (c), determines that less time is needed to 
                develop and implement the schoolwide program; or
                    ``(II) the school is operating a schoolwide program 
                at the time this section takes effect, in which case it 
                may continue to operate that program, but shall develop 
                a new plan during the first year to reflect the 
                provisions of this section;
            ``(ii) developed with the involvement of the community to 
        be served and those individuals who will carry it out, 
        including teachers, principals, other staff, parents, and, if 
        the plan relates to a secondary school, students from the 
        school;
            ``(iii) reviewed and revised, as necessary, by the school; 
        and
            ``(iv) available to the local educational agency, parents, 
        and the public. The information contained therein shall be 
        translated, to the extent feasible, into any language that a 
        significant percentage of the parents of participating children 
        in the school speak as their primary language.
    ``(c) School Support Teams.--(1) Each State educational agency 
shall establish a system of school support teams to provide information 
and assistance to each schoolwide program to ensure that schoolwide 
programs provide the opportunity for all children to meet the State's 
challenging performance standards.
    ``(2) Each such team shall be composed of persons, including 
teachers, knowledgeable about research and practice on teaching and 
learning, particularly about strategies for improving the educational 
opportunities for low-achieving children.
    ``(3) A school support team shall work with each school as it 
develops its schoolwide program plan, review the merits of each plan, 
and make recommendations to the school and the local educational 
agency.
    ``(4) During the operation of the schoolwide program, a school 
support team shall--
            ``(A) periodically review the progress of the school in 
        enabling children in the school to meet the State's performance 
        standards;
            ``(B) identify problems in the design and operation of the 
        instructional program; and
            ``(C) make suggestions for improvement to the school and 
        the local educational agency.
    ``(5) Funds available for State administration and for local 
educational agencies under this part may be used to pay the costs of 
the school support teams.

                     ``targeted assistance schools

    ``Sec. 1115. (a) General.--In all schools selected to participate 
under section 1113 that are ineligible for a schoolwide program, or 
that choose not to operate a schoolwide program, a local educational 
agency may use funds received under this part only for programs that 
provide services to eligible children identified as having the greatest 
need for special assistance.
    ``(b) Eligible Children--(1)(A) The eligible population for 
services under this part is--
            ``(i) those children up to age 21 who are entitled to a 
        free public education through grade 12; and
            ``(ii) those children who are not yet at a grade level 
        where the local educational agency provides a free public 
        education, yet are of an age at which they can benefit from an 
        organized instructional program provided in a school or other 
        educational setting.
    ``(B) From the population described in subparagraph (A), eligible 
children are children identified by the school as failing, or most at 
risk of failing, to meet the State's challenging performance standards 
on the basis of multiple, educationally related, objective criteria 
established by the local educational agency and supplemented by the 
school, except that children from preschool through grade two shall be 
selected solely on the basis of such criteria as teacher judgment, 
interviews with parents, and developmentally appropriate measures.
    ``(2)(A)(i) Children receiving services to overcome a disability or 
limited English proficiency are eligible for services under this part 
on the same basis as other children selected to receive services under 
this part.
    ``(ii) Funds received under this part may not be used to provide 
services that are otherwise required by law to be made available to 
such children.
    ``(B) A child who, at any time in the previous two years, received 
services under the program for neglected and delinquent children under 
part D of this title (or its predecessor authority) is eligible for 
services under this part.
    ``(C) A local educational agency shall use funds received under 
this part to serve eligible homeless children who attend any school in 
the local educational agency.
    ``(c) Components of a Targeted Assistance School Program.--(1) To 
assist targeted assistance schools and local educational agencies to 
meet their responsibility to provide for all their students the 
opportunity to meet the State's challenging performance standards, each 
targeted assistance program under this section shall--
            ``(A) use its resources under this part to help 
        participating children meet the challenging performance 
        standards expected for all children;
            ``(B) be based on research on effective means for improving 
        achievement of children;
            ``(C) use effective instructional strategies that--
                    ``(i) give primary consideration to providing 
                extended learning time;
                    ``(ii) involve an accelerated, high-quality 
                curriculum, rather than remedial drill and practice; 
                and
                    ``(iii) minimize removing children from the regular 
                classroom for instruction provided under this part;
            ``(D) be coordinated with and support the regular program 
        in providing an enriched and accelerated curriculum for 
        eligible children;
            ``(E) provide instruction by highly qualified professional 
        staff;
            ``(F) provide opportunities for intensive and sustained 
        professional development with resources under this part and 
        from other sources for administrators and for teachers and 
        other school staff who work with participating children in 
        programs under this section or in the regular education 
        program;
            ``(G) provide opportunities for parental involvement in 
        accordance with section 1116; and
            ``(H) include, additionally, in schools serving children 
        beyond grade six, in coordination with funds available from 
        other programs and, as appropriate, drawing on private and 
        public organizations--
                    ``(i) counseling and mentoring;
                    ``(ii) college and career awareness and 
                preparation, such as college and career guidance, 
                enhancement of employability skills, and job placement 
                services; and
                    ``(iii) services to prepare students for the 
                transition from school to work.
    ``(2)(A) Each school conducting a program under this section shall 
develop, in consultation with the local educational agency, a plan to 
assist participating children to meet the State's 'proficient' and 
'advanced' performance standards that describes--
            ``(i) the selection of children to participate in 
        accordance with subsection (b);
            ``(ii) the program to be conducted that incorporates the 
        components described in paragraph (1) and how the resources 
        provided under this part will be coordinated with other 
        resources to enable the children served to meet the State's 
        standards;
            ``(iii) how the school will review, on an ongoing basis, 
        the progress of participating children and revise the program, 
        if necessary, to provide additional assistance to enable such 
        children to meet the State's challenging performance standards;
            ``(iv) how the school will provide individual student 
        assessment results, including an interpretation of those 
        results, to the parents of any child who participates in the 
        assessment required by section 1111(b)(3); and
            ``(v) if the school is eligible to operate a schoolwide 
        program under section 1114, why it did not choose to do so.
    ``(B) Plans developed before a State has adopted standards and a 
set of assessments that meet the criteria of section 1111(b)(1) and (3) 
shall be based on an analysis of available data on the achievement of 
participating children and a review of the school's instructional 
practices in the context of available research on effective 
instructional practices.
    ``(C) Each plan shall be--
            ``(i) developed with the involvement of the community to be 
        served and those individuals who will carry it out, including 
        teachers, administrators, other staff, parents, and, if the 
        plan relates to a secondary school, students from the school;
            ``(ii) available to the local educational agency, parents, 
        and the public, and the information contained therein shall be 
        translated, to the extent feasible, into any language that a 
        significant percentage of the parents of participating children 
        in the school speak as their primary language; and
            ``(iii) reviewed and revised, as necessary, by the school.
    ``(d) Assignment of Personnel.--To promote the integration of staff 
supported with funds under this part and children served under this 
part into the regular school program and overall school planning and 
improvement efforts, public school personnel who are paid with funds 
received under this part may--
            ``(1) assume limited duties that are assigned to similar 
        personnel who are not so paid, including duties beyond 
        classroom instruction or that do not benefit participating 
        children so long as the amount of time spent on these duties is 
        the same proportion of total work time as prevails with respect 
        to similar personnel at the same school;
            ``(2) participate in general professional development and 
        school planning activities; and
            ``(3) collaboratively teach with regular classroom 
        teachers, so long as their efforts directly benefit 
        participating children.

                         ``parental involvement

    ``Sec. 1116. (a) Local Educational Agency Policy.--(1) Each local 
educational agency that receives funds under this part shall develop 
jointly with, and make available to, parents of participating children 
a written parent involvement policy that is incorporated into the local 
educational agency's plan developed under section 1112, establishes the 
expectations for parent involvement, and describes how the local 
educational agency will--
            ``(A) involve parents in the development of the plan 
        described under section 1112, and the process of school review 
        and improvement described under section 1118;
            ``(B) provide the coordination, technical assistance, and 
        other support necessary to assist participating schools in 
        planning and implementing effective parent involvement;
            ``(C) build the schools' and parents' capacity for strong 
        parent involvement as described in subsection (e);
            ``(D) coordinate and integrate parent involvement 
        strategies in this part with those under other programs; and
            ``(E) ensure that participating schools review their parent 
        involvement activities on an ongoing basis and use the findings 
        of the reviews in designing strategies for school improvement.
    ``(2) If the local educational agency has a district-level parental 
involvement policy that applies to all parents, it may amend that 
policy, if necessary, to meet the requirements of this subsection.
    ``(b) School Parental Involvement Plan.--(1) Each school served 
under this part shall jointly develop with, and make available to, 
parents of participating children a written parent involvement plan 
that shall be incorporated into the school plan developed under section 
1114 or 1115 and shall describe the means for carrying out the 
requirements of subsections (c) through (f).
    ``(2) If the school has a parental involvement policy that applies 
to all parents, it may amend that policy, if necessary, to meet the 
requirements of this subsection.
    ``(c) Policy Involvement.--Each school served under this part 
shall--
            ``(1) convene an annual meeting, at a convenient time, to 
        which all parents of participating children shall be invited 
        and encouraged to attend, to inform parents of their school's 
        participation under this part and to explain this part, its 
        requirements, and their right to be involved;
            ``(2) involve parents, in an organized, ongoing, and timely 
        way, in the planning, review, and improvement of programs under 
        this part, including the development of the school plan under 
        section 1114 or 1115. If a school has in place a process for 
        involving parents in the planning and design of its programs, 
        the school may use that process, provided that it includes an 
        adequate representation of parents of participating children; 
        and
            ``(3) provide parents of participating children--
                    ``(A) timely information about programs under this 
                part;
                    ``(B) school performance profiles required under 
                section 1118(a)(2);
                    ``(C) opportunities for regular meetings to 
                formulate suggestions, if such parents so desire; and
                    ``(D) timely responses to their recommendations.
    ``(d) Shared Responsibilities For High Student Performance.--As a 
component of the school-level parental involvement plan developed under 
subsection (b), each school served under this part shall jointly 
develop with parents for all children a school-parent compact that 
outlines how parents, the entire school staff, and students will share 
the responsibility for improved student achievement and the means by 
which the school and parents will build and develop a partnership to 
help children achieve the State's high standards. Such compact shall--
            ``(1) describe the school's responsibility to provide high-
        quality curriculum and instruction in a supportive and 
        effective learning environment that enable the children to meet 
        the State's challenging performance standards, and the ways in 
        which each parent will be responsible for supporting his or her 
        children's learning, including monitoring attendance, homework 
        completion, television watching, and positive use of 
        extracurricular time; and
            ``(2) address the importance of communication between 
        teachers and parents on an ongoing basis through at least--
                    ``(A) parent-teacher conferences in elementary 
                schools, at least annually, during which the compact 
                shall be discussed as it relates to the individual 
                child's achievement;
                    ``(B) frequent reports to parents on their 
                children's progress; and
                    ``(C) reasonable access to staff and observation of 
                classroom activities.
    ``(e) Building Capacity For Involvement.--To ensure effective 
involvement of parents and to support a partnership among the school, 
parents, and the community to improve student achievement, each school 
and local educational agency shall--
            ``(1) provide assistance to participating parents in such 
        areas as understanding the National Education Goals, the 
        State's content and performance standards, State and local 
        assessments, the requirements of this part, and how to monitor 
        their children's progress and work with educators to improve 
        the performance of their children;
            ``(2) provide materials and training, including necessary 
        literacy training that is not otherwise available from other 
        sources to help parents work with their children to improve 
        their children's achievement;
            ``(3) educate teachers, principals and other staff in the 
        value and utility of contributions of parents, and in how to 
        reach out to, communicate with, and work with parents as equal 
        partners, implement and coordinate parent programs, and build 
        ties between home and school; and
            ``(4) develop appropriate roles for community-based 
        organizations and businesses in parent involvement activities, 
        including providing information about opportunities for them to 
        work with parents and schools.
    ``(f) Accessibility.--In carrying out the parental involvement 
requirements of this part, local educational agencies and schools 
shall, to the extent practicable, provide full opportunities for 
participation to parents with limited English proficiency or with 
disabilities, including providing information in a language and form 
they understand.

        ``participation of children enrolled in private schools

    ``Sec. 1117. (a) General Requirement.--(1) To the extent consistent 
with the number of eligible children identified according to section 
1115(b) in a local educational agency who are enrolled in private 
elementary and secondary schools, a local educational agency shall, 
after timely and meaningful consultation with appropriate private 
school officials, provide such children, on an equitable basis, special 
educational services or other benefits under this part.
    ``(2) The educational services or other benefits, including 
materials and equipment, must be secular, neutral, and nonideological.
    ``(3) Educational services and other benefits for such private 
school children shall be equitable in comparison to services and other 
benefits for public school children participating under this part.
    ``(4) Expenditures for educational services and other benefits to 
eligible private school children shall be equal to the proportion of 
funds allocated to participating school attendance areas based on the 
number of children from low-income families who attend private schools.
    ``(5) The local educational agency may provide such services 
directly or through contracts with public and private agencies, 
organizations, and institutions.
    ``(b) Consultation.--(1) To ensure timely and meaningful 
consultation, a local educational agency shall consult with appropriate 
private school officials during the design and development of the 
agency's programs under this part, on issues such as--
            ``(A) how the children's needs will be identified;
            ``(B) what services will be offered;
            ``(C) how and where the services will be provided; and
            ``(D) how the services will be assessed.
    ``(2) Consultation shall occur before the local educational agency 
makes any decision that affects the opportunities of eligible private 
school children to participate in programs under this part.
    ``(3) Consultation shall include a discussion of the full range of 
service delivery mechanisms a local educational agency could use to 
provide equitable services to eligible private school children 
including, but not limited to, instruction provided at public school 
sites, at neutral sites, and in mobile vans, computer-assisted 
instruction, extended-day services, home tutoring, and instruction 
provided with take-home computers.
    ``(c) Public Control of Funds.--(1) The control of funds provided 
under this part, and title to materials, equipment, and property 
purchased with those funds, shall be in a public agency, and a public 
agency shall administer such funds and property.
    ``(2)(A) The provision of services under this section shall be 
provided--
            ``(i) by employees of a public agency; or
            ``(ii) through contract by such public agency with an 
        individual, association, agency, or organization.
    ``(B) In the provision of such services, such employee, person, 
association, agency, or organization shall be independent of such 
private school and of any religious organization, and such employment 
or contract shall be under the control and supervision of such public 
agency.
    ``(d) Standards for a Bypass.--If a local educational agency is 
prohibited by law from providing for the participation on an equitable 
basis of eligible children enrolled in private elementary and secondary 
schools or if the Secretary determines that a local educational agency 
has substantially failed or is unwilling to provide for such 
participation, as required by this section, the Secretary shall--
            ``(1) waive the requirements of this section for such local 
        educational agency; and
            ``(2) arrange for the provision of services to such 
        children through arrangements that shall be subject to the 
        requirements of this section and sections 9505 and 9506 of this 
        Act.
    ``(e) Capital Expenses.--(1)(A) From the amount appropriated for 
this subsection under section 1002(e) for any fiscal year, each State 
is eligible to receive an amount that bears the same ratio to the 
amount so appropriated as the number of private school children who 
received services under this part in the State in the most recent year 
for which data satisfactory to the Secretary are available bears to the 
number of such children in all States in that same year.
    ``(B) The Secretary shall reallocate any amounts allocated under 
subparagraph (A) that are not used by a State for the purpose of this 
subsection to other States on the basis of their respective needs, as 
determined by the Secretary.
    ``(2)(A) A local educational agency may apply to the State 
educational agency for payments for capital expenses consistent with 
this subsection.
    ``(B) State educational agencies shall distribute such funds to 
local educational agencies based on the degree of need set forth in 
their respective applications.
    ``(3) Any funds appropriated to carry out this subsection shall be 
used only for capital expenses incurred to provide equitable services 
for private school children under this section.
    ``(4) For the purpose of this subsection, the term `capital 
expenses' is limited to--
            ``(A) expenditures for noninstructional goods and services, 
        such as the purchase, lease, or renovation of real and personal 
        property, including, but not limited to, mobile educational 
        units and leasing of neutral sites or spaces;
            ``(B) insurance and maintenance costs;
            ``(C) transportation; and
            ``(D) other comparable goods and services.

            ``assessment and school and district improvement

    ``Sec. 1118. (a) Local Review.--Each local educational agency 
receiving funds under this part shall--
            ``(1) use the State assessments described in the State plan 
        and any additional measures described in the local educational 
        agency's plan to review annually the progress of each school 
        served under this part to determine whether the school is 
        meeting, or making adequate progress as defined in section 
        1111(b)(2)(A)(i) toward enabling its students to meet, the 
        State's performance standards;
            ``(2) publicize and disseminate to teachers, parents, 
        students, and the community the results of the annual review 
        under paragraph (1) of all schools served under this part in 
        individual school performance profiles that include 
        disaggregated results as required by section 1111(b)(3)(F); and
            ``(3) provide the results of the local annual review to 
        schools so that they can continually refine the program of 
        instruction to help all children in those schools meet the 
        State's high performance standards.
    ``(b) Distinguished Schools.--(1) Each State shall designate as a 
Distinguished School--
            ``(A) any school served under this part that, for three 
        consecutive years, has exceeded the State's definition of 
        adequate progress as defined in section 1111(b)(2)(A)(i); and
            ``(B) any school in which virtually all students have met 
        the State's `advanced' performance standards.
    ``(2)(A) A State shall use funds available under section 1002(f) to 
recognize Distinguished Schools, including making monetary awards.
    ``(B) Funds awarded to a Distinguished School may be used by the 
school to further its educational program under this part, provide 
additional incentives for continued success, and reward individuals or 
groups in the school for past performance.
    ``(3) A local educational agency may also recognize the success of 
a Distinguished School by providing additional institutional and 
individual rewards, such as greater decisionmaking authority at the 
school building level, increased access to resources or supplemental 
services such as summer programs that may be used to sustain or 
increase success, additional professional development opportunities, 
opportunities to participate in special projects, and individual 
financial bonuses.
    ``(4) Schools designated as Distinguished Schools under paragraph 
(1) may serve as models and provide additional assistance to other 
schools served under this part that are not making adequate progress.
    ``(c) School Improvement.--(1) A local educational agency shall 
identify for school improvement any school served under this part 
that--
            ``(A) has been in program improvement under section 1020 of 
        chapter 1 of title I of the Elementary and Secondary Education 
        Act of 1965, as in effect before the effective date of the 
        Improving America's Schools Act of 1993, for at least two 
        consecutive school years prior to that date;
            ``(B) has not made adequate progress as defined in the 
        State's plan under section 1111(b)(2)(A)(i) for two consecutive 
        school years and if it does not have virtually all students 
        meeting the State's `advanced' performance standards; or
            ``(C) has failed to meet the criteria established by the 
        State through its interim procedure under section 1111(b)(5)(C) 
        for two consecutive years.
    ``(2)(A) Each school identified under paragraph (1) shall--
            ``(i) in consultation with parents, the local educational 
        agency, and, for schoolwide programs, the school support team, 
        revise its school plan under section 1114 or 1115 in ways that 
        have the greatest likelihood of improving the performance of 
        participating children in meeting the State's performance 
        standards; and
            ``(ii) submit the revised plan to the local educational 
        agency for approval.
    ``(B) During the first year immediately following identification 
under paragraph (1), the school shall implement its revised plan.
    ``(3) For each school identified under paragraph (1), the local 
educational agency shall provide technical assistance as the school 
develops and implements its revised plan.
    ``(4)(A) The local educational agency may take corrective action at 
any time against a school that has been identified under paragraph (1), 
but, during the third year following identification under paragraph 
(1), shall take such action against any school that still fails to make 
adequate progress.
    ``(B) Corrective actions are those listed in the local educational 
agency plan, which may include, but are not limited to, decreasing 
decisionmaking authority at the school level; making alternative 
governance arrangements such as the creation of a charter school; 
reconstituting the school staff; withholding funds; and authorizing 
students to transfer, including paying transportation costs, to other 
schools in the local educational agency.
    ``(5) The State educational agency shall--
            ``(A) make assistance from Distinguished Educators under 
        subsection (e) available to the schools farthest from meeting 
        the State's standards, if requested by the school or local 
        educational agency; and
            ``(B) if it determines that a local educational agency 
        failed to carry out its responsibility under paragraphs (3) and 
        (4), take such corrective actions that it deems appropriate.
    ``(6) Schools that for at least two of the three years following 
identification under paragraph (1) make adequate progress toward 
meeting the State's `proficient' and `advanced' performance standards 
no longer need to be identified for school improvement.
    ``(d) State Review and Local Educational Agency Improvement.--(1) A 
State educational agency shall--
            ``(A) annually review the progress of each local 
        educational agency receiving funds under this part to determine 
        whether it is making adequate progress as defined in section 
        1111(b)(2)(A)(ii) toward meeting the State's performance 
        standards; and
            ``(B) publicize and disseminate to teachers, parents, 
        students, and the community the results of the State review, 
        including disaggregated results, as required by section 
        1111(b)(3)(F).
    ``(2) In the case of a local educational agency that for three 
consecutive years has exceeded the State's definition of adequate 
progress as defined in section 1111(b)(2)(A)(ii), the State may make 
institutional and individual rewards of the kinds described for 
individual schools in subsection (b)(3).
    ``(3) A State educational agency shall identify for improvement any 
local educational agency that--
            ``(A) for two consecutive years, is not making adequate 
        progress as defined in section 1111(b)(2)(A)(ii) toward meeting 
        the State's performance standards; or
            ``(B) has failed to meet the criteria established by the 
        State through its interim procedure under section 1111(b)(5)(C) 
        for two consecutive years.
    ``(4) Each local educational agency identified under paragraph (3) 
shall, in consultation with schools, parents, and educational experts, 
revise its district-level plan under section 1112 in ways that have the 
greatest likelihood of improving the performance of its schools in 
meeting the State's performance standards.
    ``(5) For each local educational agency identified under paragraph 
(3), the State educational agency shall--
            ``(A) provide technical assistance to better enable the 
        local educational agency to develop and implement its revised 
        plan and work with schools needing improvement; and
            ``(B) make available to the districts farthest from meeting 
        the State's standards, if requested, assistance from 
        Distinguished Educators under subsection (e).
    ``(6)(A) The State educational agency may take corrective action at 
any time against a local educational agency that has been identified 
under paragraph (3), but, during the fourth year following 
identification under paragraph (3), shall take such action against any 
local educational agency that still fails to make adequate progress.
    ``(B) Corrective actions are those listed in the local educational 
agency plan, which may include, but are not limited to, reconstitution 
of district personnel; appointment by the State educational agency of a 
receiver or trustee to administer the affairs of the local educational 
agency in place of the superintendent and school board; removal of 
particular schools from the jurisdiction of the local educational 
agency and establishment of alternative arrangements for governing and 
supervising such schools; the abolition or restructuring of the local 
educational agency; authorizing students to transfer from one local 
educational agency to another, including paying the cost of 
transportation; and the withholding of funds.
    ``(7) Local educational agencies that for at least two of the three 
years following identification under paragraph (3) make adequate 
progress toward meeting the State's standards no longer need to be 
identified for district improvement.
    ``(e) Distinguished Educators.--(1) In order to provide assistance 
to schools and local educational agencies identified as needing 
improvement under subsection (c) or (d), each State, using funds 
available under section 1002(f), shall establish a corps of 
Distinguished Educators.
    ``(2) When possible, these Distinguished Educators shall be chosen 
from schools served under this part that have been especially 
successful in enabling children to meet or make outstanding progress 
toward meeting the State's performance standards, such as those schools 
described in subsection (b).
    ``(3) Distinguished Educators shall provide, upon request, 
intensive and sustained assistance to the schools and districts 
farthest from meeting the State's standards as they revise and 
implement their plans.
    ``(4) If the State has devised an alternative approach to providing 
such intensive and sustained assistance to schools and districts 
farthest from meeting the State's standards, this approach shall meet 
the requirements of this subsection subject to the approval of the 
Secretary as part of the State plan.
    ``(f) State Allocations For School Improvement.--From the amount 
appropriated under section 1002(f) for any fiscal year, each State 
shall be eligible to receive an amount that bears the same ratio to the 
amount appropriated as the amount allocated to the State under sections 
1123 and 1124 bears to the total amount allocated to all States under 
those sections, except that each State shall receive at least $180,000, 
or $30,000 in the case of Guam, American Samoa, the Virgin Islands, the 
Northern Marianas, and Palau (until the Compact of Free Association 
goes into effect).

                         ``fiscal requirements

    ``Sec. 1119. (a) Maintenance of Effort.--A local educational agency 
may receive funds under this part for any fiscal year only if the State 
educational agency finds that the local educational agency has 
maintained its fiscal effort in accordance with section 9501 of this 
Act.
    ``(b) Federal Funds To Supplement, Not Supplant, Non-Federal 
Funds.--(1)(A) Except as provided in subparagraph (B), a State or local 
educational agency shall use funds received under this part only to 
supplement the amount of funds that would, in the absence of such 
Federal funds, be made available from non-Federal sources for the 
education of pupils participating in programs assisted under this part, 
and not to supplant such funds.
    ``(B) For the purpose of complying with subparagraph (A), a State 
or local educational agency may exclude supplemental State and local 
funds expended in any eligible school attendance area or school for 
programs that meet the requirements of section 1114 or 1115.
    ``(2) No local educational agency shall be required to provide 
services under this part through a particular instructional method or 
in a particular instructional setting in order to demonstrate its 
compliance with paragraph (1).
    ``(c) Comparability of Services.--(1)(A) Except as provided in 
paragraphs (4) and (5), a local educational agency may receive funds 
under this part only if State and local funds will be used in schools 
served under this part to provide services that, taken as a whole, are 
at least comparable to services in schools that are not receiving funds 
under this part.
    ``(B) If the local educational agency is serving all of its schools 
under this part, such agency may receive funds under this part only if 
it will use State and local funds to provide services that, taken as a 
whole, are substantially comparable in each school.
    ``(C) A local educational agency may meet the requirements of 
subparagraphs (A) and (B) on a grade-span by grade-span basis or a 
school-by-school basis.
    ``(2)(A) To meet the requirements of paragraph (1), a local 
educational agency shall demonstrate that--
            ``(i) expenditures per pupil from State and local funds in 
        each school served under this part are equal to or greater than 
        the average expenditures per pupil in schools not receiving 
        services under this part; or
            ``(ii) instructional salaries per pupil from State and 
        local funds in each school served under this part are equal to 
        or greater than the average instructional salaries per pupil in 
        schools not receiving services.
    ``(B) A local educational agency need not include unpredictable 
changes in student enrollment or personnel assignments that occur after 
the beginning of a school year in determining comparability of services 
under this subsection.
    ``(3) Each local educational agency shall--
            ``(A) develop procedures for compliance with this 
        subsection; and
            ``(B) maintain records that are updated biennially 
        documenting its compliance.
    ``(4) This subsection shall not apply to a local educational agency 
that does not have more than one building for each grade span.
    ``(5) For the purpose of determining compliance with paragraph (1), 
a local educational agency may exclude State and local funds expended 
for--
            ``(A) bilingual education for children of limited English 
        proficiency; and
            ``(B) excess costs of providing services to children with 
        disabilities.

                        ``Subpart 2--Allocations

   ``grants for the outlying areas and the secretary of the interior

    ``Sec. 1121. (a) Reservation of Funds.--From the amount 
appropriated for payments to States for any fiscal year under section 
1002(a), the Secretary shall reserve a total of up to 0.8 percent to 
provide assistance to--
            ``(1) the outlying areas on the basis of their respective 
        need for such assistance according to such criteria as the 
        Secretary determines will best carry out the purpose of this 
        part; and
            ``(2) the Secretary of the Interior in the amount necessary 
        to make payments pursuant to subsection (b).
    ``(b) Allotment to the Secretary of the Interior.--(1) The amount 
allotted for payments to the Secretary of the Interior under subsection 
(a)(2) for any fiscal year shall be, as determined pursuant to criteria 
established by the Secretary, the amount necessary to meet the special 
educational needs of--
            ``(A) Indian children on reservations served by elementary 
        and secondary schools for Indian children operated or supported 
        by the Department of the Interior; and
            ``(B) out-of-State Indian children in elementary and 
        secondary schools in local educational agencies under special 
        contracts with the Department of the Interior.
    ``(2) From the amount allotted for payments to the Secretary of the 
Interior under subsection (a)(2), the Secretary of the Interior shall 
make payments to local educational agencies, upon such terms as the 
Secretary of Education determines will best carry out the purposes of 
this part, with respect to out-of-State Indian children described in 
paragraph (1). The amount of such payment may not exceed, for each such 
child, the greater of--
            ``(A) 40 percent of the average per-pupil expenditure in 
        the State in which the agency is located; or
            ``(B) 48 percent of such expenditure in the United States.

                        ``allocations to states

    ``Sec. 1122. (a) General.--After reserving funds under section 
1121(a), the Secretary shall allocate the remaining funds appropriated 
under section 1002(a) to States as follows:
            ``(1) 50 percent of such funds shall be allocated for basic 
        grants in accordance with section 1123.
            ``(2) 50 percent of such funds shall be allocated for 
        concentration grants in accordance with section 1124.
    ``(b) Adjustments Where Necessitated by Appropriations.--(1) If the 
sums available under subsection (a) for any fiscal year are 
insufficient to pay the full amounts that all counties in States are 
eligible to receive under sections 1123 and 1124 for such year, the 
Secretary shall ratably reduce the allocations to such counties, 
subject to subsections (c) and (d) of this section.
    ``(2) If additional funds become available for making payments 
under sections 1123 and 1124 for such fiscal year, allocations that 
were reduced under paragraph (1) shall be increased on the same basis 
as they were reduced.
    ``(c) Hold-Harmless Amounts.--Notwithstanding subsection (b), the 
total amount made available to each county under sections 1123 and 1124 
for any fiscal year shall be at least 85 percent of the total amount 
such county was allocated under such sections (or, for fiscal year 
1995, their predecessor authorities) for the preceding fiscal year.
    ``(d) State Minimum.--Notwithstanding any other provision of this 
part, from the total amount available for any fiscal year to carry out 
sections 1123 and 1124, each State shall be allotted at least the 
lesser of--
            ``(1) one quarter of one percent of such amount; or
            ``(2) the amount it was allotted under such sections (or, 
        for fiscal year 1995, under their predecessor authorities) for 
        the previous year increased or decreased, as the case may be, 
        by the same percentage by which such total amount appropriated 
        for those sections increased or decreased from the previous 
        year.
    ``(e) Definition--For the purpose of this section and sections 1123 
through 1125, the term `State' means each of the 50 States, the 
District of Columbia, and the Commonwealth of Puerto Rico.

                             ``basic grants

    ``Sec. 1123. (a) Eligibility of Counties.--A county in a State is 
eligible for a basic grant under this section for any fiscal year only 
if the number of children in the county counted under subsection 
(c)(1)(A) is at least--
            ``(1) 100; or
            ``(2) 18 percent of the total number of children aged five 
        through 17 in the county.
    ``(b) Grants for Counties, the District of Columbia, and Puerto 
Rico.--(1) The amount of the grant that a county in a State or that the 
District of Columbia is eligible to receive under this section for any 
fiscal year shall be the product of--
            ``(A) the number of children counted under subsection (c); 
        and
            ``(B) 40 percent of the average per-pupil expenditure in 
        the State, except that such percentage shall not be less than 
        32 percent nor more than 48 percent of the average per-pupil 
        expenditure in the United States.
    ``(2) For each fiscal year, the amount of the grant for which the 
Commonwealth of Puerto Rico is eligible under this section shall be 
equal to--
            ``(A) the number of children counted under subsection (c) 
        for Puerto Rico, multiplied by the product of--
            ``(B)(i) the percentage that the average per-pupil 
        expenditure in Puerto Rico is of the lowest average per-pupil 
        expenditure of any of the 50 States; and
            ``(ii) 32 percent of the average per-pupil expenditure in 
        the United States.
    ``(c) Children To Be Counted.--
            ``(1) Categories of children.--The number of children to be 
        counted for purposes of this section shall be--
                    ``(A) the total number of children aged five 
                through 17 in a county--
                             ``(i) from families below the poverty 
                        level, as determined under paragraph (2)(A);
                            ``(ii) from families above the poverty 
                        level, as determined under paragraph (2) (B) 
                        and (C); and
                            ``(iii) living in institutions for 
                        neglected or delinquent children (other than 
                        institutions operated by the United States and 
                        those with children counted under part D of 
                        this title) or being supported in foster homes 
                        with public funds, as determined under 
                        paragraph (2)(C); less
                    ``(B) two percent of the total number of children 
                aged five through 17 in the county.
            ``(2) Determination of number of children.--(A)(i) The 
        Secretary shall determine the number of children described in 
        paragraph (1)(A)(i) on the basis of the most recent 
        satisfactory data available from the Department of Commerce for 
        counties, the District of Columbia, and Puerto Rico.
            ``(ii) In making such determinations, the Secretary shall 
        use the criteria of poverty used by the Bureau of the Census in 
        compiling the most recent decennial census.
            ``(B)(i) The Secretary shall determine the number of 
        children described in paragraph (1)(A)(ii) on the basis of the 
        number of such children from families receiving an annual 
        income, in excess of the current criteria of poverty, from 
        payments under the program of aid to families with dependent 
        children under a State plan approved under title IV of the 
        Social Security Act.
            ``(ii) In making such determinations, the Secretary shall 
        use the criteria of poverty used by the Bureau of the Census in 
        compiling the most recent decennial census, for a family of 
        four, in such form as those criteria have been updated to 
        reflect increases in the Consumer Price Index.
            ``(C) The Secretary shall determine the number of children 
        described in paragraph (1)(A) (ii) and (iii) on the basis of--
                    ``(i) caseload data for the month of October of the 
                preceding fiscal year, using, in the case of children 
                described in paragraph (1)(A)(ii), the criteria of 
                poverty and the form of such criteria that were 
                determined for the calendar year preceding such month 
                of October; or
                    ``(ii) to the extent that such data are not 
                available to the Secretary by January 1 of the calendar 
                year in which the Secretary's determination is made, on 
                the basis of the most recent reliable data available to 
                the Secretary at the time of such determination.
            ``(D) For purposes of this subsection, the Secretary shall 
        consider all children who are in correctional institutions to 
        be living in institutions for delinquent children.
            ``(E) The Secretary of Health and Human Services shall 
        collect and transmit information on the number of children 
        described in paragraph (1)(A)(ii) and the number of foster 
        children described in paragraph (1)(A)(iii) to the Secretary by 
        January 1 of each year.
    ``(d) Local Educational Agency Allocations.--(1) From funds 
remaining after the State educational agency reserves any funds under 
section 1601(c), and except as provided in section 1125(d), a State 
educational agency shall allocate each county amount determined under 
subsection (b) among all local educational agencies in the county or 
counties in which the agencies are located on the basis of--
            ``(A) the total number of children aged five through 17 in 
        the local educational agency--
                    ``(i) in local institutions for neglected or 
                delinquent children; and
                    ``(ii) from low-income families, as determined 
                under paragraph (2); less
            ``(B) two percent of the total number of children aged five 
        through 17 in the local educational agency.
    ``(2) The State educational agency shall determine the number of 
children from low-income families in local educational agencies--
            ``(A) based on the best data available on a Statewide 
        basis; and
            ``(B) using the same measure of low income throughout the 
        State.
    ``(3) The State educational agency shall distribute funds under 
this section to each local educational agency in proportion to the 
number of children counted under paragraph (1) in the local educational 
agency compared to the number of such children in all local educational 
agencies in the county.

                         ``concentration grants

    ``Sec. 1124. (a) Eligibility of Counties.--Except as otherwise 
provided in this section, a county in a State is eligible for a grant 
under this section if--
            ``(1) the number of children counted under section 
        1123(c)(1)(A) in the county is more than 6,500; or
            ``(2) the percentage of children counted under such section 
        is greater than 18 percent of the total number of children aged 
        five through 17 in the county.
    ``(b) Grants for Counties, the District of Columbia, and Puerto 
Rico.--(1) The amount of the grant that a county in a State or that the 
District of Columbia or Puerto Rico is eligible to receive under this 
section for any fiscal year is the product of--
            ``(A) the number of children counted under section 
        1123(c)(1)(A), minus two percent of the total number of 
        children aged five through 17 in the county; and
            ``(B) the per-pupil amount determined under section 1123(b) 
        for the fiscal year for which the determination is being made 
        for that county.
    ``(c) Local Educational Agency Allocations.--(1)(A) From funds 
remaining after the State educational agency reserves any funds under 
section 1601(c), and except as otherwise provided in this subsection 
and in section 1125(d), funds allocated to counties under this section 
shall be allocated by the State educational agency only to those local 
educational agencies whose school districts lie, in whole or in part, 
within the county and that are determined by the State educational 
agency to meet either of the eligibility criteria in subsection (a).
    ``(B) Such determinations shall be made on the basis of the same 
poverty data used by the State educational agency under section 
1123(d). If the State educational agency does not use census poverty 
data to determine eligibility, it must equate the poverty measure it 
uses to the latest available census data in order that eligibility is 
not affected by differences in sources of poverty data.
    ``(C) The State educational agency shall distribute funds under 
this section to each local educational agency that is eligible to 
receive those funds in proportion to the number of children counted 
under section 1123(d) in each local educational agency compared to the 
number of such children in all local educational agencies that are 
eligible for concentration grants in the county.
    ``(2)(A) In counties where no local educational agency meets either 
of the criteria in subsection (a), the State educational agency shall 
allocate such funds among the local educational agencies within such 
counties, in whole or in part, based on their respective concentrations 
and numbers of children counted under section 1123(d).
    ``(B) Only local educational agencies with concentrations of 
poverty that exceed the countywide average percentage of children 
counted under section 1123(d) or the countywide average number of such 
children may receive any funds on the basis of this paragraph.
    ``(3) In States that receive the minimum grant under section 
1122(d), the State educational agency shall allocate such funds among 
the local educational agencies in such State either--
            ``(A) in accordance with paragraphs (1) and (2) of this 
        subsection and section 1125(d); or
            ``(B) without regard to the counties in which such local 
        educational agencies are located, based on their respective 
        concentrations and numbers of children counted under section 
        1123(d), except that only those local educational agencies with 
        concentrations of children counted under section 1123(d) that 
        exceed the Statewide average percentage of such children or the 
        Statewide average number of such children shall receive any 
        funds on the basis of this subparagraph.
    ``(4) A State educational agency may reserve not more than ten 
percent of its allocation under this section to make direct payments to 
local educational agencies that meet either of the criteria in 
subsection (a), but are in ineligible counties.

                    ``special allocation procedures

    ``Sec.1125. (a) Hold-Harmless Amounts.--The total amount made 
available to each local educational agency under sections 1123 and 1124 
for any fiscal year shall be at least 85 percent of the total amount 
such agency received under such sections (or, for fiscal year 1995, 
under their predecessor authorities) for the preceding fiscal year.
    ``(b) Allocations for Neglected or Delinquent Children.--(1) If a 
State educational agency determines that a local educational agency in 
the State is unable or unwilling to provide for the special educational 
needs of children who are living in institutions for neglected or 
delinquent children as described in section 1123(c)(1)(A)(ii), the 
State educational agency shall, if it assumes responsibility for the 
special educational needs of such children, receive the portion of such 
local educational agency's allocation under sections 1123 and 1124 that 
is attributable to such children.
    ``(2) If the State educational agency does not assume such 
responsibility, any other State or local public agency that does assume 
such responsibility shall receive that portion of the local educational 
agency's allocation.
    ``(c) Allocations Among Local Educational Agencies.--The State 
educational agency may allocate the amounts of grants under sections 
1123 and 1124 between and among the affected local educational agencies 
when--
            ``(1) two or more local educational agencies serve, in 
        whole or in part, the same geographical area; or
            ``(2) a local educational agency provides free public 
        education for children who reside in the school district of 
        another local educational agency.
    ``(d) Allocations Without Regard to Counties.--A State educational 
agency may allocate funds under sections 1123 and 1124 directly to 
eligible local educational agencies without regard to counties if the 
State educational agency can demonstrate to the Secretary's 
satisfaction that doing so will result in a reasonable allocation of 
those funds.
    ``(e) Reallocation.--If a State educational agency determines that 
the amount of a grant a local educational agency would receive under 
sections 1123 and 1124 is more than such local agency will use, the 
State educational agency shall make the excess amount available to 
other local educational agencies in the State that need additional 
funds in accordance with criteria established by the State educational 
agency.

                         ``carryover and waiver

    ``Sec. 1126. (a) Limitation on Carryover.--Notwithstanding section 
412 of the General Education Provisions Act or any other provision of 
law, not more than 15 percent of the funds allocated to a local 
educational agency for any fiscal year under this subpart (but not 
including funds received through any reallocation under this subpart) 
may remain available for obligation by such agency for one additional 
fiscal year.
    ``(b) Waiver.--A State educational agency may, once every three 
years, waive the percentage limitation in subsection (a) if--
            ``(1) the agency determines that the request of a local 
        educational agency is reasonable and necessary; or
            ``(2) supplemental appropriations for this subpart become 
        available.
    ``(c) Exclusion.--The percentage limitation under subsection (a) 
shall not apply to any local educational agency that receives less than 
$50,000 under this subpart for any fiscal year.

             ``Part B--Even Start Family Literacy Programs

                         ``statement of purpose

    ``Sec. 1201. It is the purpose of this part to help break the cycle 
of poverty and illiteracy by improving the educational opportunities of 
the Nation's low-income families by integrating early childhood 
education, adult literacy or adult basic education, and parenting 
education into a unified family literacy program, to be referred to as 
`Even Start', that is implemented through cooperative projects that 
build on existing community resources to create a new range of 
services, that promotes achievement of the National Education Goals, 
and that assists children and adults from low-income families to 
achieve to challenging State standards.

                          ``program authorized

    ``Sec. 1202. (a) Reservation for Migrant Programs, Outlying Areas, 
and Indian Tribes.--In each fiscal year, the Secretary shall reserve 
not more than 5 percent of the amount appropriated under section 
1002(b) of this title for programs, under such terms and conditions as 
the Secretary shall establish, that are consistent with the purpose of 
this part, and according to their relative needs, for--
            ``(1) children of migratory workers;
            ``(2) the outlying areas; and
            ``(3) Indian tribes and tribal organizations.
    ``(b) Reservation for Federal Activities.--From amounts 
appropriated under section 1002(b), the Secretary may reserve not more 
than three percent of such amounts or the amount reserved for such 
purposes in the fiscal year 1994, whichever is greater, for purposes 
of--
            ``(1) carrying out the evaluation required by section 1209; 
        and
            ``(2) providing, through grants or contracts, technical 
        assistance, program improvement, and replication activities.
    ``(c) State Allocation.--(1) After reserving funds under 
subsections (a) and (b), the Secretary shall allocate the remaining 
funds appropriated for this part to States, to be used in accordance 
with section 1203.
    ``(2) Except as provided in paragraph (3), from the total amount 
available for allocation to States in any fiscal year, each State shall 
be eligible to receive a grant under paragraph (1) in an amount that 
bears the same ratio to such total amount as the amount allocated to 
that State under section 1122 of this title bears to the total amount 
allocated under that section to all the States.
    ``(3) No State shall receive less than $250,000 under paragraph (1) 
for any fiscal year.
    ``(d) Definitions.--For the purpose of this part--
            ``(1) the term `eligible entity' means a partnership 
        composed of both--
                    ``(A) a local educational agency; and
                    ``(B) a nonprofit community-based organization, 
                public agency, institution of higher education, or 
                other public or private nonprofit organization of 
                demonstrated quality;
            ``(2) the terms `Indian tribe' and `tribal organization' 
        have the meanings given such terms in section 4 of the Indian 
        Self-Determination and Education Assistance Act; and
            ``(3) the term `State' includes each of the 50 States, the 
        District of Columbia, and the Commonwealth of Puerto Rico.

                            ``state programs

    ``Sec. 1203. (a) State-Level Activities.--Each State that receives 
a grant under section 1202(c)(1) may use not more than 5 percent of 
assistance provided under the grant for the costs of--
            ``(1) administration; and
            ``(2) providing, through one or more subgrants or 
        contracts, technical assistance for program improvement and 
        replication to eligible entities that receive subgrants under 
        subsection (b).
    ``(b) Subgrants for Local Programs.--(1) Each State shall use the 
remainder of its grant to make subgrants to eligible entities to carry 
out Even Start programs.
    ``(2) No State shall award a subgrant under paragraph (1) for an 
amount less than $75,000.

                            ``uses of funds

    ``Sec. 1204. (a) In General.--In carrying out an Even Start program 
under this part, a recipient of funds under this part shall use such 
funds to pay the Federal share of the cost of providing family-centered 
education programs that involve parents and children in a cooperative 
effort to help parents become full partners in the education of their 
children and to assist children in reaching their full potential as 
learners.
    ``(b) Federal Share Limitation.--(1)(A) Except as provided in 
paragraph (2), the Federal share under this part may not exceed--
            ``(i) 90 percent of the total cost of the program in the 
        first year that that program receives assistance under this 
        part or its predecessor authority;
            ``(ii) 80 percent in the second such year;
            ``(iii) 70 percent in the third such year;
            ``(iv) 60 percent in the fourth such year; and
            ``(v) 50 percent in any subsequent such year.
    ``(B) The remaining cost of a program under this part may be 
provided in cash or in kind, fairly evaluated, and may be obtained from 
any source other than funds received under this title.
    ``(2) The State educational agency may waive, in whole or in part, 
the cost-sharing requirement of paragraph (1) if an eligible entity--
            ``(A) demonstrates that it otherwise would not be able to 
        participate in the program under this part; and
            ``(B) negotiates an agreement with the State educational 
        agency with respect to the amount of the remaining cost to 
        which the waiver would be applicable.
    ``(3) Federal funds under this part may not be used for the 
indirect costs of an Even Start program, except that the Secretary may 
waive this limitation if a recipient of funds reserved under section 
1202(a)(3) demonstrates to the Secretary's satisfaction that it 
otherwise would not be able to participate in the program under this 
part.

                           ``program elements

    ``Sec. 1205. Each Even Start program assisted under this part 
shall--
            ``(1) include the identification and recruitment of those 
        families most in need of services provided under this part, as 
        indicated by a low level of income, a low level of adult 
        literacy or English language proficiency of the eligible parent 
        or parents, and other need-related indicators;
            ``(2) include screening and preparation of parents and 
        children to enable them to participate fully in the activities 
        and services provided under this part, including testing, 
        referral to necessary counselling, other developmental and 
        support services, and related services;
            ``(3) be designed to accommodate the participants' work and 
        other responsibilities, including the provision of support 
        services, when unavailable from other sources, necessary for 
        their participation, such as--
                    ``(A) scheduling and location of services to allow 
                joint participation by parents and children;
                    ``(B) child care for the period that parents are 
                involved in the program provided under this part; and
                    ``(C) transportation for the purpose of enabling 
                parents and their children to participate in programs 
                authorized by this part;
            ``(4) include high-quality instructional programs that 
        promote adult literacy, training of parents to support the 
        educational growth of their children, developmentally 
        appropriate early childhood educational services, and 
        preparation of children for success in regular school programs;
            ``(5) include special training of staff, including child 
        care staff, to develop the skills necessary to work with 
        parents and young children in the full range of instructional 
        services offered through this part;
            ``(6) provide and monitor integrated instructional services 
        to participating parents and children through home-based 
        programs;
            ``(7) operate on a year-round basis, including the 
        provision of some program services, either instructional or 
        enrichment, or both, during the summer months;
            ``(8) be coordinated with--
                    ``(A) programs assisted under other parts of this 
                title and this Act;
                    ``(B) any relevant programs under the Adult 
                Education Act, the Individuals With Disabilities 
                Education Act, and the Job Training Partnership Act; 
                and
                    ``(C) the Head Start program, volunteer literacy 
                programs, and other relevant programs; and
            ``(9) provide for an independent evaluation of the program.

                        ``eligible participants

    ``Sec. 1206. (a) In General.--Except as provided in subsection (b), 
eligible participants in an Even Start program are--
            ``(1) a parent or parents--
                    ``(A) who are eligible for participation in an 
                adult basic education program under the Adult Education 
                Act; or
                    ``(B) who are within the State's compulsory school 
                attendance age range, so long as a local educational 
                agency provides (or ensures the availability of) the 
                basic education component required under this part; and
            ``(2) the child or children, from birth through age seven, 
        of any individual described in paragraph (1).
    ``(b) Eligibility for Certain Other Participants.--(1) Family 
members other than those described in subsection (a) may participate in 
program activities and services, when deemed by the program to serve 
the purpose of this part.
    ``(2) Any family participating in a program under this part that 
becomes ineligible for such participation as a result of one or more 
members of the family becoming ineligible for such participation may 
continue to participate in the program until all members of the family 
become ineligible for participation, which--
            ``(A) in the case of a family in which ineligibility was 
        due to the child or children of such family attaining the age 
        of eight, shall be in two years or when the parent or parents 
        become ineligible due to educational advancement, whichever 
        occurs first; and
            ``(B) in the case of a family in which ineligibility was 
        due to the educational advancement of the parent or parents of 
        such family, shall be when all children in the family attain 
        the age of eight.

                             ``applications

    ``Sec. 1207. (a) Submission.--To be eligible to receive a subgrant 
under this part, an eligible entity shall submit an application to the 
State educational agency in such form and containing or accompanied by 
such information as the State educational agency shall require.
    ``(b) Required Documentation.--Each application shall include 
documentation, satisfactory to the State educational agency, that the 
eligible entity has the qualified personnel needed--
            ``(1) to develop, administer, and implement an Even Start 
        program under this part; and
            ``(2) to provide the special training necessary to prepare 
        staff for the program.
    ``(c) Plan.--Such application shall also include a plan of 
operation for the program that is consistent with, and promotes the 
goals of, the State and local plans, either approved or being 
developed, under title III of the Goals 2000: Educate America Act or, 
if those plans are not approved or being developed, with the State and 
local plans under sections 1111 and 1112 of this Act; and includes--
            ``(1) a description of the program goals;
            ``(2) a description of the activities and services that 
        will be provided under the program, including a description of 
        how the program will incorporate the program elements required 
        by section 1205;
            ``(3) a description of the population to be served and an 
        estimate of the number of participants;
            ``(4) as appropriate, a description of the applicant's 
        collaborative efforts with institutions of higher education, 
        community-based organizations, the State educational agency, 
        private elementary schools, or other appropriate nonprofit 
        organizations in carrying out the program for which assistance 
        is sought; and
            ``(5) a statement of the methods that will be used--
                    ``(A) to ensure that the programs will serve those 
                families most in need of the activities and services 
                provided by this part;
                    ``(B) to provide services under this part to 
                individuals with special needs, such as individuals 
                with limited English proficiency and individuals with 
                disabilities; and
                    ``(C) to encourage participants to remain in the 
                program for a time sufficient to meet the program's 
                purpose.

                          ``award of subgrants

    ``Sec. 1208. (a) Selection Process.--(1) The State educational 
agency shall establish a review panel that will approve applications 
that--
            ``(A) are most likely to be successful in meeting the 
        purpose of this part, and in effectively implementing the 
        program elements required under section 1205;
            ``(B) demonstrate that the area to be served by such 
        program has a high percentage or a large number of children and 
        families who are in need of such services as indicated by high 
        levels of poverty, illiteracy, unemployment, limited English 
        proficiency, or other need-related indicators, including a high 
        percentage of children to be served by the program who reside 
        in a school attendance area designated for participation in 
        programs under part A of this title;
            ``(C) provide services for at least a three-year age range;
            ``(D) demonstrate the greatest possible cooperation and 
        coordination between a variety of relevant service providers in 
        all phases of the program;
            ``(E) include cost-effective budgets, given the scope of 
        the application;
            ``(F) demonstrate the applicant's ability to provide the 
        additional funding required by section 1204(b);
            ``(G) are representative of urban and rural regions of the 
        State; and
            ``(H) show the greatest promise for providing models that 
        may be adopted by other local educational agencies.
    ``(2) The State educational agency shall give priority for 
subgrants under this subsection to proposals that either--
            ``(A) target services primarily to families whose children 
        reside in attendance areas of schools eligible for schoolwide 
        programs under part A of this title; or
            ``(B) are located in areas designated as empowerment zones 
        or enterprise communities.
    ``(b) Review Panel.--A review panel shall consist of at least three 
members, including one early childhood professional, one adult 
education professional, and one of the following individuals:
            ``(1) A representative of a parent-child education 
        organization.
            ``(2) A representative of a community-based literacy 
        organization.
            ``(3) A member of a local board of education.
            ``(4) A representative of business and industry with a 
        commitment to education.
            ``(5) An individual who has been involved in the 
        implementation of programs under this title in the State.
    ``(c) Duration.--(1) Subgrants may be awarded for a period not to 
exceed four years.
    ``(2) The State educational agency may provide a subgrantee, at the 
subgrantee's request, a 3- to 6-month start-up period during the first 
year of the four-year period, which may include staff recruitment and 
training, and the coordination of services, before requiring full 
implementation of the program.
    ``(3)(A) In reviewing any application for a subgrant to continue a 
program for the second, third, or fourth year, the State educational 
agency shall review the progress being made toward meeting the 
objectives of the program after the conclusion of the start-up period, 
if any.
    ``(B) The State educational agency may refuse to award a subgrant 
if such agency finds that sufficient progress has not been made toward 
meeting such objectives, but only after affording the applicant notice 
and an opportunity for a hearing.
    ``(4)(A) An eligible entity that has previously received a subgrant 
under this part may reapply under the terms of this part for a second 
project period.
    ``(B) During the second project period, the Federal share of the 
subgrant shall not exceed 50 percent in any year.

                              ``evaluation

    ``Sec. 1209. From funds reserved under section 1202(b)(1), the 
Secretary shall provide for an independent evaluation of programs under 
this part--
            ``(1) to determine the performance and effectiveness of 
        programs; and
            ``(2) to identify effective Even Start projects that can be 
        replicated and used in providing technical assistance to 
        national, State, and local programs.

               ``Part C--Education of Migratory Children

                           ``program purpose

    ``Sec. 1301. It is the purpose of this part to assist States to--
            ``(1) support high-quality and comprehensive educational 
        programs for migratory children to help reduce the educational 
        disruptions and other problems that result from repeated moves;
            ``(2) ensure that migratory children are provided with 
        appropriate educational services (including supportive 
        services) that address their special needs in a coordinated and 
        efficient manner;
            ``(3) ensure that migratory children have the opportunity 
        to achieve to meet the same challenging State performance 
        standards that all children are expected to meet;
            ``(4) design programs to help migratory children overcome 
        educational disruption, cultural and language barriers, social 
        isolation, various health-related problems, and other factors 
        that inhibit their ability to do well in school, and to prepare 
        these children to make a successful transition to postsecondary 
        education or employment; and
            ``(5) ensure that migratory children benefit from State and 
        local systemic reforms.

                          ``program authorized

    ``Sec. 1302. In order to carry out the purpose of this part, the 
Secretary shall make grants to State educational agencies, or 
combinations of such agencies, to establish or improve, directly or 
through local operating agencies, programs of education for migratory 
children in accordance with this part.

                          ``state allocations

    ``Sec. 1303. (a) State Allocations.--Each State (other than the 
Commonwealth of Puerto Rico) is eligible to receive under this part, 
for each fiscal year, an amount equal to--
            ``(1) the sum of the estimated number of migratory children 
        aged three through 21 who reside in the State full time and the 
        full-time equivalent of the estimated number of migratory 
        children aged three through 21 who reside in the State part 
        time, as determined in accordance with subsection (e); 
        multiplied by
            ``(2) 40 percent of the average per-pupil expenditure in 
        the State, except that the amount determined under this 
        paragraph shall not be less than 32 percent, or more than 48 
        percent, of the average per-pupil expenditure in the United 
        States.
    ``(b) Allocation to Puerto Rico.--For each fiscal year, the amount 
for which the Commonwealth of Puerto Rico is eligible under this 
section shall be equal to--
            ``(1) the number of migratory children in Puerto Rico, 
        determined under subsection (a)(1); multiplied by
            ``(2) the product of--
                    ``(A) the percentage that the average per-pupil 
                expenditure in Puerto Rico is of the lowest average 
                per-pupil expenditure of any of the 50 States; and
                    ``(B) 32 percent of the average per-pupil 
                expenditure in the United States.
    ``(c) Ratable Reductions; Reallocations.--(1)(A) If, after the 
Secretary reserves funds under section 1308(c), the amount appropriated 
to carry out this part for any fiscal year is insufficient to pay in 
full the amounts for which all States are eligible, the Secretary shall 
ratably reduce each such amount.
    ``(B) If additional funds become available for making such payments 
for any fiscal year, the Secretary shall allocate such funds to States 
in amounts that the Secretary finds would best carry out the purpose of 
this part.
    ``(2)(A) The Secretary shall further reduce the amount of any grant 
to a State under this part for any fiscal year if the Secretary 
determines, based on available information on the numbers and needs of 
migratory children in the State and the program proposed by the State 
to address those needs, that such amount is not needed by the State.
    ``(B) The Secretary shall reallocate such excess funds to other 
States whose grants under this part would otherwise be insufficient to 
provide an appropriate level of services to migratory children, in such 
amounts as the Secretary determines are appropriate.
    ``(d) Consortium Arrangements.--(1) In the case of any State that 
receives a grant of $500,000 or less under this section, the Secretary 
shall consult with the State educational agency to determine whether 
consortium arrangements with another State or other appropriate entity 
would result in delivery of services in a more effective and efficient 
manner.
    ``(2) Any State, irrespective of the amount of its allocation, may 
propose a consortium arrangement.
    ``(3) The Secretary shall approve a consortium arrangement under 
paragraph (1) or (2) if the proposal demonstrates that the arrangement 
will--
            ``(A) reduce administrative costs or program function costs 
        for State programs; and
            ``(B) make more funds available for direct services to add 
        substantially to the welfare or educational attainment of 
        children to be served under this part.
    ``(e) Determining Numbers of Eligible Children.--In order to 
determine the estimated number of migratory children residing in each 
State for purposes of this section, the Secretary shall--
            ``(1) use such information as the Secretary finds most 
        accurately reflects the actual number of migratory children; 
        and
            ``(2) adjust the full-time equivalent number of migratory 
        children who reside in each State to take account of--
                    ``(A) the special needs of those children 
                participating in special programs provided under this 
                part that operate during the summer or other 
                intersession periods; and
                    ``(B) the additional costs of operating such 
                programs.

                     ``state applications; services

    ``Sec. 1304. (a) Application Required.--Any State wishing to 
receive a grant under this part for any fiscal year shall submit an 
application to the Secretary at such time and in such manner as the 
Secretary may require.
    ``(b) Program Information.--Each such application shall include--
            ``(1) a description of how, in planning, implementing, and 
        evaluating programs and projects under this part, the State and 
        its operating agencies will ensure that the special educational 
        needs of migratory children are identified and addressed 
        through a comprehensive plan for needs assessment and service 
        delivery that meets the requirements of section 1306;
            ``(2) a description of the steps the State is taking to 
        provide all migratory students with the opportunity to meet the 
        same challenging State performance standards that all children 
        are expected to meet;
            ``(3) a description of how the State will use its funds to 
        promote interstate and intrastate coordination of services for 
        migratory children, including how, consistent with procedures 
        the Secretary may require, it will provide for educational 
        continuity through the timely transfer of pertinent school 
        records, including information on health, when children move 
        from one school to another, whether or not during the regular 
        school year;
            ``(4) a description of the State's priorities for the use 
        of funds received under this part, and how they relate to the 
        State's assessment of needs for services in the State;
            ``(5) a description of how the State will determine the 
        amount of any subgrants it will award to local operating 
        agencies and the amount of funds that these agencies will 
        provide to individual schools, taking into account the 
        requirements of paragraph (1); and
            ``(6) such budgetary and other information as the Secretary 
        may require.
    ``(c) Assurances.--Each such application shall also include 
assurances, satisfactory to the Secretary, that--
            ``(1) funds received under this part will be used only--
                    ``(A) for programs and projects, including the 
                acquisition of equipment, in accordance with section 
                1306(b)(1); and
                    ``(B) to coordinate such programs and projects with 
                similar programs and projects within the State and in 
                other States, as well as with other Federal programs 
                that can benefit migratory children and their families;
            ``(2) such programs and projects will be carried out in a 
        manner consistent with the objectives of sections 1114, 1115(b) 
        and (d), 1117, and 1119(b) and (c), and part F of this title;
            ``(3) in the planning and operation of programs and 
        projects at both the State and local operating agency level, 
        there is appropriate consultation with parent advisory councils 
        for programs lasting a school year, and that all such programs 
        and projects are carried out, to the extent feasible, in a 
        manner consistent with section 1116 of this title;
            ``(4) in planning and carrying out such programs and 
        projects, there has been, and will be, adequate provision for 
        addressing the unmet education needs of preschool migratory 
        children;
            ``(5) the effectiveness of such programs and projects will 
        be determined, where feasible, using the same approaches and 
        standards that will be used to assess the performance of 
        students, schools, and local educational agencies under part A 
        of this title; and
            ``(6) the State will assist the Secretary in determining 
        the number of migratory children under section 1303(e), through 
        such procedures as the Secretary may require.
    ``(d) Priority for Services.--In providing services with funds 
received under this part, each recipient of those funds shall give 
priority to migratory children who are failing, or most at risk of 
failing, to meet the State's challenging performance standards, and 
whose education has been interrupted during the regular school year.
    ``(e) Continuation of Services.--Notwithstanding any other 
provision of this part--
            ``(1) a child who ceases to be a migratory child during a 
        school term shall be eligible for services until the end of 
        such term; and
            ``(2) a child who is no longer a migratory child may 
        continue to receive services for one additional school year, 
        but only if comparable services are not available through other 
        programs.

                  ``secretarial approval; peer review

    ``Sec. 1305. (a) Secretarial Approval.--The Secretary shall approve 
each State application that meets the requirements of this part.
    ``(b) Peer Review.--The Secretary may review any such application 
with the assistance and advice of State officials and other individuals 
with relevant expertise.

``comprehensive needs assessment and service-delivery plan; authorized 
                               activities

    ``Sec. 1306. (a) Comprehensive Plan.--Each State that receives a 
grant under this part shall ensure that the State and its local 
operating agencies identify and address the special educational needs 
of migratory children in accordance with a comprehensive State plan 
that--
            ``(1)(A) is integrated with the State's plan, either 
        approved or being developed, under title III of the Goals 2000: 
        Educate America Act, and satisfies the requirements of this 
        subsection that are not already addressed by that State plan; 
        or
            ``(B) if the State does not have an approved plan under 
        title III of the Goals 2000: Educate America Act and is not 
        developing such a plan, is integrated with other State plans 
        under this Act and satisfies the requirements of this 
        subsection;
            ``(2) provides that migratory children will have an 
        opportunity to meet the same challenging State performance 
        standards, set out in those plans, that all children are 
        expected to meet;
            ``(3) specifies measurable program goals and outcomes;
            ``(4) encompasses the full range of services that are 
        available for migratory children from appropriate local, State 
        and Federal educational programs;
            ``(5) is the product of joint planning among such local, 
        State, and Federal programs, including those under part A of 
        this title, early childhood programs, and bilingual education 
        programs under title VII of this Act;
            ``(6) provides for the integration of services available 
        under this part with services provided by such other programs; 
        and
            ``(7) to the extent feasible, provides for--
                    ``(A) advocacy and outreach activities for 
                migratory children and their families, including 
                informing them of, or helping them gain access to, 
                other education, health, nutrition, and social 
                services;
                    ``(B) professional development programs, including 
                mentoring, for teachers and other program personnel;
                    ``(C) family literacy programs, including those 
                that use models developed under the Even Start program;
                    ``(D) the integration of information technology 
                into educational and related programs; and
                    ``(E) programs to facilitate the transition of high 
                school students to postsecondary education or 
                employment.
    ``(b) Authorized Activities.--(1) In implementing the comprehensive 
plan described in subsection (a), each local operating agency shall 
have the flexibility to determine the activities to be provided with 
funds made available under this part, provided that--
            ``(A) before funds provided under this part are used to 
        provide services described in subparagraph (B), those funds 
        shall be used to meet the identified needs of migratory 
        children that--
                    ``(i) result from the effects of their migratory 
                lifestyle, or are needed to permit migratory children 
                to participate effectively in school; and
                    ``(ii) are not addressed by services provided under 
                other programs, including part A of this title; and
            ``(B) all migratory children who are eligible to receive 
        services under part A of this title shall receive such services 
        with funds provided under this part or under part A of this 
        title.
    ``(2) This subsection shall not apply to funds under this part that 
are used for schoolwide programs under section 1114 of this title.

                                ``bypass

    ``Sec. 1307. The Secretary may use all or part of any State's 
allocation under this part to make arrangements with any public or 
nonprofit agency to carry out the purpose of this part in such State if 
the Secretary determines that--
            ``(1) the State is unable or unwilling to conduct 
        educational programs for migratory children;
            ``(2) such arrangements would result in more efficient and 
        economic administration of such programs; or
            ``(3) such arrangements would add substantially to the 
        welfare or educational attainment of such children.

             ``coordination of migrant education activities

    ``Sec. 1308. (a) Improvement of Coordination.--The Secretary, in 
consultation with the States, may make grants to, or enter into 
contracts with, State educational agencies, local educational agencies, 
institutions of higher education, and other public and private entities 
to improve the interstate and intrastate coordination among State and 
local educational agencies of their educational programs, including the 
establishment or improvement of programs for credit accrual and 
exchange, available to migratory students.
    ``(b) Report.--Not later than October 1, 1995, the Secretary shall 
submit a report to the Congress regarding the effectiveness of methods 
used by States to transfer migratory students' educational and health 
records.
    ``(c) Availability of Funds.--For the purpose of carrying out this 
section, the Secretary shall reserve up to 5 percent of the amount 
appropriated for each fiscal year to carry out this part.

                             ``definitions

    ``Sec. 1309. As used in this part, the following terms have the 
following meanings:
            ``(1) The term `local operating agency' means--
                    ``(A) a local educational agency to which a State 
                educational agency makes a subgrant under this part;
                    ``(B) a public or nonprofit private agency with 
                which a State educational agency or the Secretary makes 
                an arrangement to carry out a project under this part; 
                or
                    ``(C) a State educational agency, if the State 
                educational agency operates the State's migrant 
                education program or projects directly.
            ``(2) The term `migratory child' means a child who is, or 
        whose parent or spouse is, a migratory agricultural worker 
        (including a migratory dairy worker) or a migratory fisher, and 
        who, in the preceding 24 months, in order to obtain, or 
        accompany such parent or spouse in order to obtain, temporary 
        or seasonal employment in agricultural or fishing work--
                    ``(A) has moved from one school district to 
                another; or
                    ``(B) in a State that is comprised of a single 
                school district, has moved from one administrative area 
                to another within such district.

         ``Part D--Education of Neglected and Delinquent Youth

                     ``purpose; program authorized

    ``Sec. 1401. (a) Purpose.--It is the purpose of this part to--
            ``(1) improve educational services to children in 
        institutions for neglected or delinquent children so that they 
        have the opportunity to meet the same challenging State 
        performance standards that all children in the State will be 
        expected to meet; and
            ``(2) provide those children the services they need to make 
        a successful transition from institutionalization to further 
        schooling or employment.
    ``(b) Program Authorized.--In order to carry out the purpose of 
this part, the Secretary shall make grants to State educational 
agencies, which shall make subgrants to State agencies to establish or 
improve programs of education for neglected or delinquent children, in 
accordance with this part.

                             ``eligibility

    ``Sec. 1402. A State agency is eligible for assistance under this 
part if it is responsible for providing free public education for 
children--
            ``(1) in institutions for neglected or delinquent children;
            ``(2) attending community-day programs for neglected or 
        delinquent children; or
            ``(3) in adult correctional institutions.

                         ``allocation of funds

     ``Sec. 1403. (a) Subgrants To State Agencies.--Each State agency 
described in section 1402 (other than an agency in the Commonwealth of 
Puerto Rico) is eligible to receive under this part, for each fiscal 
year, an amount equal to the product of--
            ``(1) the number of neglected or delinquent children in 
        institutions or attending programs described in section 1402, 
        who are enrolled for at least 20 hours per week in education 
        programs operated or supported by such agency, which shall--
                    ``(A) be determined by such agency as of a date or 
                dates set by the Secretary; and
                    ``(B) be adjusted, as the Secretary determines is 
                appropriate, to reflect the relative length of such 
                agency's annual programs; and
            ``(2) 40 percent of the average per-pupil expenditure in 
        the State, except that the amount determined under this 
        paragraph shall not be less than 32 percent, or more than 48 
        percent, of the average per-pupil expenditure in the United 
        States.
    ``(b) Subgrants to State Agencies In Puerto Rico.--For each fiscal 
year, the amount of the grant for which a State agency in the 
Commonwealth of Puerto Rico is eligible under this part shall be equal 
to--
            ``(1) the number of children counted under subsection 
        (a)(1) for Puerto Rico; multiplied by the product of--
                    ``(A) the percentage that the average per-pupil 
                expenditure in Puerto Rico is of the lowest average 
                per-pupil expenditure of any of the 50 States; and
                    ``(B) 32 percent of the average per-pupil 
                expenditure in the United States.
    ``(c) Ratable Reductions In Case of Insufficient Appropriations.--
If the amount appropriated for any fiscal year for subgrants under 
subsections (a) and (b) is insufficient to pay the full amount for 
which all agencies are eligible under such subsections, the Secretary 
shall ratably reduce each such amount.
    ``(d) Payments To State Educational Agencies.--(1) The Secretary 
shall pay to each State educational agency the total amount needed to 
make subgrants to State agencies in that State, as determined under 
this section.
    ``(2) Each State educational agency may retain a portion of such 
total amount for State administration of, in accordance with section 
1601(c) of this title.

                     ``state reallocation of funds

    ``Sec. 1404. If a State educational agency determines that a State 
agency does not need the full amount of the subgrant for which it is 
eligible under this part for any fiscal year, the State educational 
agency may reallocate the amount that will not be needed to other State 
agencies that need additional funds to carry out the purpose of this 
part, in such amounts as the State educational agency shall determine.

               ``state plan and state agency applications

    ``Sec. 1405. (a) State Plan.--(1)(A) Each State educational agency 
that desires to receive payments under this part shall submit, for 
approval by the Secretary, a plan for meeting the needs of neglected 
and delinquent children, which shall be revised and updated as needed, 
that--
            ``(i) is integrated with the State's plan, either approved 
        or being developed, under title III of the Goals 2000: Educate 
        America Act, and satisfies the requirements of this section 
        that are not already addressed by that State plan; or
            ``(ii) if the State does not have an approved plan under 
        title III of the Goals 2000: Educate America Act and is not 
        developing such a plan, is integrated with other State plans 
        under this Act and satisfies the requirements of this section.
    ``(B) A State plan submitted under paragraph (1)(A)(i) may, if 
necessary, be submitted as an amendment to the State's plan under title 
III of the Goals 2000: Educate America Act.
    ``(2) Each such plan shall also--
            ``(A) describe the State-established program goals, 
        objectives, and performance measures that will be used to 
        assess the effectiveness of the program in improving academic 
        and vocational skills of children in the program;
            ``(B) provide that, to the extent feasible, such children 
        will have the same opportunities to learn as they would have if 
        they were in the schools of local educational agencies in the 
        State; and
            ``(C) contain assurances that the State educational agency 
        will--
                    ``(i) ensure that programs assisted under this part 
                will be carried out in accordance with the State plan 
                described in this subsection;
                    ``(ii) carry out the evaluation requirements of 
                section 1409 of this part;
                    ``(iii) ensure that its State agencies comply with 
                all applicable statutory and regulatory requirements; 
                and
                    ``(iv) provide such other information as the 
                Secretary may reasonably require.
    ``(b) Secretarial Approval; Peer Review.--(1) The Secretary shall 
approve each State plan that meets the requirements of this part.
    ``(2) The Secretary may review any such plan with the assistance 
and advice of individuals with relevant expertise.
    ``(c) State Agency Applications.--Any State agency that desires to 
receive funds to carry out a program under this part shall submit an 
application to the State educational agency that--
            ``(1) describes the procedures to be used, consistent with 
        the State plan under part A of this title, to assess the 
        educational needs of the children to be served;
            ``(2) describes the program, including a budget for the 
        first year of the program, with annual updates to be provided;
            ``(3) describes how the program will meet the goals and 
        objectives of the State plan under this part;
            ``(4) describes how the State agency will consult with 
        experts and provide the necessary training for appropriate 
        staff, to ensure that the planning and operation of 
        institution-wide projects under section 1407 are of high 
        quality;
            ``(5) describes how the agency will carry out the 
        evaluation requirements of section 1409 and how the results of 
        the most recent evaluation were used to plan and improve the 
        program;
            ``(6) includes data showing that the agency has maintained 
        fiscal effort as if it were a local educational agency, in 
        accordance with section 9501 of this title;
            ``(7) describes how the programs will be coordinated with 
        other State and Federal programs administered by the State 
        agency;
            ``(8) describes how appropriate professional development 
        will be provided to teachers and other instructional and 
        administrative personnel;
            ``(9) designates an individual in each affected institution 
        to be responsible for issues relating to the transition of 
        children from the institution to locally operated programs.

                             ``use of funds

    ``Sec. 1406. (a) General.--(1) A State agency shall use funds 
received under this part only for programs and projects that--
            ``(A) are consistent with the State plan referred to in 
        section 1405(a); and
            ``(B) concentrate on providing participants with the 
        knowledge and skills needed to make a successful transition to 
        further education or employment.
    ``(2) Such programs and projects--
            ``(A) may include the acquisition of equipment;
            ``(B) shall be designed to support educational services 
        that--
                    ``(i) except for institution-wide projects under 
                section 1407, are provided to children identified by 
                the State agency as failing, or most at risk of 
                failing, to meet the State's challenging performance 
                standards;
                    ``(ii) supplement and improve the quality of the 
                educational services provided to such children by the 
                State agency; and
                    ``(iii) afford those children an opportunity to 
                learn to those challenging State standards;
            ``(C) shall be carried out in a manner consistent with 
        section 1119(b) and part F of this title; and
            ``(D) may include the costs of meeting the evaluation 
        requirements of section 1409.
    ``(b) Supplement, Not Supplant.--A program under this part that 
supplements the number of hours of instruction students receive from 
State and local sources shall be considered to comply with the 
`supplement, not supplant' requirement of section 1119(b) of this title 
without regard to the subject areas in which instruction is given 
during those hours.

                      ``institution-wide projects

    ``Sec. 1407. (a) Projects Authorized.--A State agency that provides 
free public education for children in an institution for neglected or 
delinquent children (other than an adult correctional institution) or 
attending a community-day program for such children may use funds 
received under this part to serve all children in, and upgrade the 
entire educational effort of, that institution or program if the State 
agency has developed, and the State educational agency has approved, a 
comprehensive plan for that institution or program that--
            ``(1) provides for a comprehensive assessment of the 
        educational needs of all individuals under the age of 21 in the 
        institution or program;
            ``(2) describes the steps the State agency has taken, or 
        will take, to provide all children under 21 with the 
        opportunity to meet challenging academic and vocational 
        standards in order to improve the likelihood that they will 
        complete high school and find employment after leaving the 
        institution;
            ``(3) describes the instructional program, pupil services, 
        and procedures that will be used to meet the needs described in 
        paragraph (1), including, to the extent feasible, the provision 
        of mentors for secondary school students;
            ``(4) specifically describes how such funds will be used;
            ``(5) describes the measures and procedures that will be 
        used to assess student progress;
            ``(6) describes how the agency has planned, and will 
        implement and evaluate, the institution-wide or program-wide 
        project in consultation with personnel providing direct 
        instructional services and support services in institutions or 
        community-day programs for neglected or delinquent children and 
        personnel from the State educational agency; and
            ``(7) includes an assurance that the State agency has 
        provided for appropriate training to teachers and other 
        instructional and administrative personnel to enable them to 
        carry out the project effectively.
    ``(b) Projects Required.--Beginning with school year 1996-1997, a 
State agency described in subsection (a) shall use funds received under 
this part only for institution-wide projects described in that 
subsection, except as described in section 1410.

                         ``three-year projects

    ``Sec. 1408. If a State agency operates a program under this part 
in which individual children are likely to participate for more than 
one year, the State educational agency may approve the State agency's 
application for a subgrant under this part for a period of up to three 
years.

                         ``program evaluations

    ``Sec. 1409. (a) Scope of Evaluation.--Each State agency that 
conducts a program under this part shall evaluate the program at least 
once every three years to determine its impact on the ability of 
participants to--
            ``(1) maintain and improve educational achievement;
            ``(2) accrue school credits that meet State requirements 
        for grade promotion and high school graduation;
            ``(3) make the transition to a regular program or other 
        education program operated by a local educational agency; and
            ``(4) complete high school and obtain employment after they 
        leave the institution.
    ``(b) Evaluation Measures.--In conducting each such evaluation with 
respect to subsection (a)(1), a State agency shall use multiple and 
appropriate measures of student progress.
    ``(c) Evaluation Results.--Each State agency shall--
            ``(1) submit those results to the State educational agency; 
        and
            ``(2) use the results of evaluations under this section to 
        plan and improve subsequent programs for participating 
        children.

                         ``transition services

    ``Sec. 1410. (a) Transition Services.--Each State agency may 
reserve up to 10 percent of the amount it receives under this part for 
any fiscal year to support projects that facilitate the transition of 
children from State-operated institutions for neglected and delinquent 
children into locally operated programs.
    ``(b) Conduct of Projects.--A project supported under this section 
may be conducted directly by the State agency, or through a contract or 
other arrangement with one or more local educational agencies, other 
public agencies, or private nonprofit organizations.
    ``(c) Limitation.--Any funds reserved under subsection (a) shall be 
used only to provide special educational services, which may include 
counseling and mentoring, to neglected and delinquent children in 
schools other than State-operated institutions.

                             ``definitions

    ``Sec. 1411. For the purpose of this part, the following terms have 
the following meanings:
            ``(1) The term `adult correctional institution' means a 
        facility in which persons are confined as a result of a 
        conviction for a criminal offense, including persons under 21 
        years of age.
            ``(2) The term `community-day program' means a regular 
        program of instruction provided by a State agency at a 
        community-day school operated specifically for neglected or 
        delinquent children.
            ``(3) The term `institution for delinquent children' means 
        a public or private residential facility for the care of 
        children who have been adjudicated to be delinquent or in need 
        of supervision.
            ``(4) The term `institution for neglected children' means a 
        public or private residential facility, other than a foster 
        home, that is operated for the care of children who have been 
        committed to the institution or voluntarily placed in the 
        institution under applicable State law, due to abandonment, 
        neglect, or death of their parents or guardians.

            ``Part E--Federal Evaluations and Demonstrations

                             ``evaluations

    ``Sec. 1501. (a) National Assessment.--(1) The Secretary shall 
conduct a national assessment of programs under this title, in 
coordination with the ongoing Chapter 1 Longitudinal Study under 
subsection (c) of this section, that shall be planned, reviewed, and 
conducted in consultation with an independent panel of researchers, 
State practitioners, local practitioners, and other appropriate 
individuals.
    ``(2) The assessment shall examine how well schools, local 
educational agencies, and States--
            ``(A) are progressing toward the goal of all children 
        served under this title reaching the State's content and 
        performance standards; and
            ``(B) accomplishing the specific purposes set out in 
        section 1001(d) of this title to achieve this goal, including--
                    ``(i) ensuring high standards for all children and 
                aligning the efforts of States, local educational 
                agencies, and schools to help children reach them;
                    ``(ii) providing children an enriched and 
                accelerated educational program through schoolwide 
                programs or through additional services that increase 
                the amount and quality of instructional time that 
                children receive;
                    ``(iii) promoting schoolwide reform and access of 
                all children to effective instructional strategies and 
                challenging academic content;
                    ``(iv) significantly upgrading the quality of the 
                curriculum and instruction by providing staff in 
                participating schools with substantial opportunities 
                for professional development;
                    ``(v) coordinating services under all parts of this 
                title with each other, with other educational services, 
                including preschool services, and, to the extent 
                feasible, with health and social service programs 
                funded from other sources;
                    ``(vi) affording parents meaningful opportunities 
                to participate in the education of their children at 
                home and at school;
                    ``(vii) distributing resources to areas where needs 
                are greatest;
                    ``(viii) improving accountability, as well as 
                teaching and learning, by making assessments under this 
                title congruent with State assessment systems; and
                    ``(ix) providing greater decisionmaking authority 
                and flexibility to schools in exchange for greater 
                responsibility for student performance.
    ``(3) Where feasible, the Secretary shall use information gathered 
by the National Assessment of Educational Progress in carrying out this 
subsection.
    ``(4) The Secretary shall submit an interim report summarizing the 
preliminary findings of the assessment to the President and the 
appropriate committees of the Congress by December 31, 1997 and a final 
report by December 31, 2002.
    ``(b) Studies and Data Collection.--(1) The Secretary may collect 
such data, as necessary, at the State, local, and school levels and 
conduct studies and evaluations, including national studies and 
evaluations, to assess on an ongoing basis the effectiveness of 
programs under this title and to report on such effectiveness on a 
periodic basis.
    ``(2) At a minimum, the Secretary shall collect trend information 
on the effect of programs under this title. These data shall complement 
the data collected and reported under subsections (a) and (c).
    ``(c) National Longitudinal Study.--The Secretary shall continue to 
conduct the longitudinal study of the educational achievement and 
progress of children served under this title, as authorized under 
section 1462 of this Act as in effect prior to its amendment by the 
Improving America's Schools Act of 1993. The Secretary shall report, 
not later than January 1, 1997, the findings of the study and 
recommendations for future data collections and reports to the 
President and the appropriate committees of the Congress.
    ``(d) Design Study On Estimating State Child Poverty Counts.--The 
Secretary shall conduct a study to determine whether a feasible method 
exists for producing reliable estimates, between decennial census 
counts, of the number of school-aged children living in poverty by 
State in each of the 50 States, the District of Columbia, and Puerto 
Rico, and use such a method, if one exists, to provide Congress with 
such estimates.

                ``demonstrations of innovative practices

    ``Sec. 1502. (a) Demonstration Programs To Improve Achievement.--
(1) From the funds appropriated for any fiscal year under section 
1002(g)(2), the Secretary may make grants to State educational 
agencies, local educational agencies, other public agencies, non-profit 
organizations, and consortia of those bodies to carry out demonstration 
projects that show the most promise of enabling children served under 
this title to meet challenging State standards. Such projects shall 
include promising strategies such as--
            ``(A) accelerated curricula, the application of new 
        technologies to improve teaching and learning, extended 
        learning time, and a safe and enriched full-day environment for 
        children to provide them the opportunity to reach high 
        standards;
            ``(B) integration of education services with each other and 
        with health, family, and other social services, particularly in 
        empowerment zones and enterprise communities;
            ``(C) effective approaches to whole school reform; and
            ``(D) programs that have been especially effective with 
        limited English proficient children, migratory children and 
        other highly mobile students, children leaving institutions for 
        neglected or delinquent children and returning to school, and 
        homeless children and youth.
    ``(2) The Secretary shall evaluate the demonstration projects 
supported under this title, using rigorous methodological designs and 
techniques, including control groups and random assignment, to the 
extent feasible, to produce reliable evidence of effectiveness.
    ``(b) Partnerships.--(1) From funds appropriated under section 
1002(g)(2) for any fiscal year, the Secretary may, directly or through 
grants or contracts, work in partnership with State educational 
agencies, local educational agencies, other public agencies, and non-
profit organizations to disseminate and use the highest quality 
research and knowledge about effective practices to improve the quality 
of teaching and learning in schools supported under this title.

                      ``Part F--General Provisions

                         ``state administration

    ``Sec. 1601. (a) Rulemaking.--(1) Each State that receives funds 
under this title shall--
            ``(A) ensure that any State rules, regulations, and 
        policies relating to this title conform to the purposes of this 
        title;
            ``(B) minimize such rules, regulations, and policies to 
        which their local educational agencies and schools are subject; 
        and
            ``(C) identify any such rule, regulation, or policy as a 
        State-imposed requirement.
    ``(2) State rules, regulations, and policies under this title shall 
support and facilitate local educational agency and school-level 
systemic reform designed to enable all children to meet the State's 
standards.
    ``(b) Committee of Practitioners.--(1) Each State educational 
agency shall create a State committee of practitioners to advise the 
State in carrying out its responsibilities under this title.
    ``(2) Each such committee shall include--
            ``(A) as a majority of its members, representatives from 
        local educational agencies;
            ``(B) administrators;
            ``(C) teachers;
            ``(D) parents;
            ``(E) members of local boards of education; and
            ``(F) representatives of private school children.
    ``(c) Payment For State Administration.--Each State may reserve for 
the proper and efficient performance of its duties under this title the 
greater of--
            ``(1) 1 percent of the funds received under section 1002(a) 
        and (c) through (f); or
            ``(2) $325,000, or $50,000 in the case of Guam, American 
        Samoa, the Virgin Islands, the Northern Mariana Islands, and 
        Palau (until the Compact of Free Association takes effect).

              ``TITLE II--IMPROVING TEACHING AND LEARNING

    ``Part A--Dwight D. Eisenhower Professional Development Program

                               ``findings

    ``Sec. 2101. The Congress finds that--
            ``(1) reaching National Education Goal Three (all students 
        will demonstrate mastery of challenging subject matter in the 
        core academic subjects) and National Education Goal Four (U.S. 
        students will become first in the world in mathematics and 
        science achievement) requires a comprehensive educational 
        reform strategy that involves parents, schools, government, 
        communities, and other public and private organizations at all 
        levels;
            ``(2) a crucial component of the strategy for achieving 
        these two goals is ensuring, through sustained and intensive 
        high-quality professional development, that all teachers can 
        provide challenging learning experiences in the core academic 
        subjects for their students;
            ``(3) the potential positive impact of high-quality 
        professional development is underscored by recent research 
        findings that--
                    ``(A) professional development must be focused on 
                teaching and learning in order to change the 
                opportunities of all students to achieve higher 
                standards;
                    ``(B) effective professional development focuses on 
                discipline-based knowledge and effective subject-
                specific pedagogical skills, involves teams of teachers 
                and administrators in a school and, through 
                professional networks of teachers and administrators, 
                is interactive and collaborative, motivates by its 
                intrinsic content and relationship to practice, builds 
                on experience and learning-by-doing, and becomes 
                incorporated into the everyday life of the school; and
                    ``(C) professional development can dramatically 
                improve classroom instruction and learning when 
                teachers and administrators are partners in its 
                development and implementation;
            ``(4) special attention must be given in professional 
        development activities to ensure that education professionals 
        are knowledgeable of, and make use of, strategies for serving 
        populations that historically have lacked access to equal 
        opportunities for advanced learning and career advancement;
            ``(5) professional development is often a victim of budget 
        reductions in fiscally difficult times;
            ``(6) there are few incentives or sanctions operating to 
        encourage teachers and administrators to work to prepare 
        themselves to be more effective or to participate in 
        challenging and effective professional development activities; 
        and
            ``(7) the Federal Government has a vital role in helping to 
        make sustained and intensive high-quality professional 
        development in the core academic subjects become an integral 
        part of the elementary and secondary education system.

                               ``purposes

    ``Sec. 2102. The purposes of this part are to help ensure that 
teachers, other staff, and administrators have access to high-quality 
professional development that is aligned to challenging State content 
and performance standards and to support the development and 
implementation of sustained and intensive high-quality professional 
development activities in the core academic subjects. This program is 
designed to help ensure that teachers have access to professional 
development that--
            ``(1) is tied to challenging State student content and 
        performance standards;
            ``(2) reflects recent research on teaching and learning;
            ``(3) includes strong academic content and pedagogical 
        components;
            ``(4) is of sufficient intensity and duration to have a 
        positive and lasting impact on the teacher's performance in the 
        classroom; and
            ``(5) is part of the everyday life of the school and 
        creates an orientation toward continuous improvement throughout 
        the school.

     ``authorization of appropriations; allocation between subparts

    ``Sec. 2103. (a) Authorization of Appropriations.--For the purpose 
of carrying out this part, there are authorized to be appropriated such 
sums as may be necessary for each of the fiscal years 1995 through 
1999.
    ``(b) Allocation Between Subparts.--Of the funds appropriated to 
carry out this part for any fiscal year, the Secretary shall use--
            ``(1) 6 percent to carry out subpart 1; and
            ``(2) 94 percent to carry out subpart 2.

                    ``Subpart 1--Federal Activities

                          ``program authorized

  ``Sec. 2111. (a) Program Authorized.--The Secretary is authorized to 
make grants to, and enter into contracts and cooperative agreements 
with, local educational agencies, State educational agencies, State 
agencies for higher education, institutions of higher education, and 
other public and private agencies, organizations, and institutions to--
            ``(1) support activities of national significance that will 
        contribute to the development and implementation of high-
        quality professional development activities in the core 
        academic subject areas; and
            ``(2) evaluate activities carried out under this subpart 
        and under subpart 2.
    ``(b) Coordination With Other Agencies.--In carrying out this 
program, the Secretary shall consult and coordinate with the National 
Science Foundation, the National Endowment for the Humanities, the 
National Endowment for the Arts, and other appropriate Federal agencies 
and entities.

                        ``authorized activities

    ``Sec. 2112. The Secretary shall use funds available to carry out 
this subpart for activities that help meet the purposes of this part, 
such as--
            ``(1) providing seed money to eligible entities to develop 
        their capacity to offer sustained and intensive high-quality 
        professional development;
            ``(2) professional development institutes that provide 
        teams of teachers, or teachers and administrators, from 
        individual schools, with professional development that contains 
        strong and integrated disciplinary and pedagogical components;
            ``(3) encouraging the development of local and national 
        professional networks that provide a forum for interaction 
        among teachers of the core academic subjects and that allow the 
        exchange of information on advances in content and pedagogy;
            ``(4) supporting the National Board for Professional 
        Teaching Standards;
            ``(5) the development and dissemination of teaching 
        standards in the core academic subjects;
            ``(6) the development of exemplary methods of assessing 
        teachers, other staff, and administrators for licensure and 
        certification;
            ``(7) activities that promote the transferability of 
        licensure and certification of teachers and administrators 
        among State and local jurisdictions;
            ``(8) the development and testing of incentive strategies 
        for motivating teachers and administrators to help increase 
        their effectiveness through professional development focused on 
        teaching and learning and giving all students the opportunity 
        to learn to challenging State standards;
            ``(9) the dissemination of information about voluntary 
        national content and performance standards and related models 
        of high-quality professional development;
            ``(10) the development and maintenance of a national 
        clearinghouse for science, mathematics, and technology 
        education materials and of such other clearinghouses for core 
        academic subjects as the Secretary determines are needed;
            ``(11) joint activities with other Federal agencies and 
        entities engaged in or supporting similar professional 
        development efforts;
            ``(12) support for consortia of education agencies and 
        organizations to disseminate information and provide assistance 
        regarding teaching methods and assessment tools that support 
        national or State content standards in mathematics and science; 
        and
            ``(13) the evaluation of programs under this subpart and 
        under subpart 2.

                ``Subpart 2--State and Local Activities

                          ``program authorized

    ``Sec. 2121. The Secretary is authorized to make grants to State 
educational agencies for the support of sustained and intensive high-
quality professional development activities in the core academic 
subjects at the State and local levels.

                         ``allocation of funds

    ``Sec. 2122. (a) Reservation of Funds.--From the amount made 
available to carry out this subpart for any fiscal year, the Secretary 
shall--
            ``(1) reserve one half of one percent for the outlying 
        areas, to be distributed among them on the basis of their 
        relative need, as determined by the Secretary in light of the 
        purposes of this part; and
            ``(2) reserve one quarter of one percent for the Secretary 
        of the Interior for programs under this subpart for 
        professional development activities for teachers, other staff, 
        and administrators in schools operated or funded by the Bureau 
        of Indian Affairs.
    ``(b) State Allotments.--The Secretary shall allocate the remaining 
amount to each of the 50 States, the District of Columbia, and the 
Commonwealth of Puerto Rico as follows, except that no State shall 
receive less than one-half of one percent of such remaining amount:
            ``(1) 50 percent shall be allocated among such 
        jurisdictions on the basis of their relative populations of 
        individuals aged five through 17, as determined by the 
        Secretary on the basis of the most recent satisfactory data.
            ``(2) 50 percent shall be allocated among such 
        jurisdictions in accordance with the relative amounts such 
        jurisdictions received under part A of title I of this Act for 
        the preceding fiscal year.
    ``(c) Reallocation.--If any jurisdiction does not apply for its 
allotment under subsection (b) for any fiscal year, the Secretary shall 
reallocate such amount to the remaining jurisdictions in accordance 
with that subsection.

                       ``within-state allocations

    ``Sec. 2123. Of the amounts received by any State under this 
subpart for any fiscal year--
            ``(1) not more than six percent shall be used for the 
        administrative costs of programs carried out by the State 
        educational agency and the State agency for higher education;
            ``(2) not more than 7.5 percent may be used for State-level 
        activities, as described in section 2126; and
            ``(3) of the remaining amount--
                    ``(A) 85 percent shall be distributed to local 
                educational agencies, to be used in accordance with 
                section 2129, as follows:
                            ``(i) 50 percent of such amount shall be 
                        distributed in accordance with the relative 
                        population of individuals aged five through 17 
                        in each such agency.
                            ``(ii) 50 percent of such amount shall be 
                        distributed in accordance with the relative 
                        amount such agencies received under part A of 
                        title I of this Act for the preceding fiscal 
                        year; and
                    ``(B) 15 percent shall be used for competitive 
                grants to institutions of higher education as described 
                in section 2130.

   ``priority for professional development in mathematics and science

    ``Sec. 2124. (a) Appropriation of Less Than $250,000,000.--In any 
fiscal year for which the amount appropriated for this part is 
$250,000,000 or less, each State shall ensure that all funds 
distributed in accordance with section 2123(3) are used for 
professional development in mathematics and science.
    ``(b) Appropriation Between $250,000,000 and $500,000,000.--In any 
fiscal year for which the amount appropriated for this part is at least 
$250,000,000, but not more than $500,000,000, each State shall ensure 
that the amount of funds distributed in accordance with section 2123(3) 
that is used for professional development in mathematics and science is 
not less than the amount that bears the same ratio to the total amount 
of funds so distributed as the sum of $250,000,000 plus 25 percent of 
the amount of the total appropriation for this part in excess of 
$250,000,000 bears to the total amount appropriated for this part.

                          ``state applications

    ``Sec. 2125. (a) Applications Required.--Each State educational 
agency that wishes to receive its allotment under this subpart for any 
fiscal year shall submit an application to the Secretary at such time 
and in such form as the Secretary may require.
    ``(b) Professional Development Plan.--(1) Each application under 
this section shall include a State plan for professional development 
that--
            ``(A) is integrated with the State's plan, either approved 
        or being developed, under title III of the Goals 2000: Educate 
        America Act, and satisfies the requirements of this section 
        that are not already addressed by that State plan; or
            ``(B) if the State does not have an approved plan under 
        title III of the Goals 2000: Educate America Act and is not 
        developing such a plan, is integrated with other State plans 
        under this Act and satisfies the requirements of this section.
    ``(2) A State plan submitted under paragraph (1)(A) may, if 
necessary, be submitted as an amendment to the State's plan under title 
III of the Goals 2000: Educate America Act.
    ``(3) Each such plan shall also--
            ``(A) be developed in conjunction with the State agency for 
        higher education, institutions of higher education, schools of 
        education, and with the extensive participation of local 
        teachers and administrators and show the role of each in 
        implementation;
            ``(B) be designed to give teachers and administrators in 
        the State the knowledge and skills to provide all students the 
        opportunity to meet challenging State performance standards;
            ``(C) include an assessment of State and local needs for 
        professional development specifically related to subparagraph 
        (B);
            ``(D) describe a strategy for addressing the need for 
        teacher development beginning with recruitment, pre-service, 
        and induction, and continuing throughout the professional 
        teaching career;
            ``(E) describe specific steps for the reform of State 
        requirements for licensure of teachers and administrators, 
        including certification and recertification, to align them with 
        challenging State content and performance standards;
            ``(F) describe how the State will work with teachers, 
        administrators, local educational agencies, schools, and 
        institutions of higher education to ensure that they develop 
        the capacity to support sustained and intensive, high-quality 
        professional development programs in the core academic subject 
        areas;
            ``(G) describe how the State will use technology, including 
        the emerging national information infrastructure, to enhance 
        the professional development of teachers and administrators;
            ``(H) describe how the State will ensure a strong focus on 
        professional development in mathematics and science;
            ``(I) describe how the State will provide incentives to 
        teachers and administrators to focus their professional 
        development on preparing themselves to provide instruction 
        consistent with challenging State content and performance 
        standards; and
            ``(J) set specific outcome performance indicators for 
        professional development.
    ``(c) Additional Material.--Each State application shall also 
include--
            ``(1) a description of how the activities funded under this 
        subpart will be coordinated, as appropriate, with--
                    ``(A) other activities conducted with Federal 
                funds, especially those supported under part A of title 
                I of this Act;
                    ``(B) State and local funds;
                    ``(C) resources from business and industry; and
                    ``(D) funds from other Federal agencies, such as 
                the National Science Foundation, the Departments of 
                Commerce, Energy, and Health and Human Services, the 
                National Endowment for the Arts, and the National 
                Endowment for the Humanities; and
            ``(2) a description of the activities to be sponsored under 
        the State-level activities and the higher education components 
        of its program under this subpart.
    ``(d) Peer Review and Secretarial Approval.--(1) The Secretary 
shall approve the application of a State educational agency if it meets 
the requirements of this section and holds reasonable promise of 
achieving the purposes of this part.
    ``(2) In reviewing applications, the Secretary shall obtain the 
advice of non-Federal experts on education in the core academic 
subjects and on teacher education, including teachers and 
administrators.

                        ``state-level activities

    ``Sec. 2126. Each State may use funds reserved under section 
2123(2) to carry out activities referred to in section 2125(b), such 
as--
            ``(1) reviewing and reforming State requirements for 
        teacher and administrator licensure, including certification 
        and recertification, to align these requirements with the 
        State's content standards and ensure that teachers and 
        administrators have the knowledge and skills to help students 
        meet challenging State performance standards;
            ``(2) developing performance assessments and peer review 
        procedures, as well as other methods, for licensing teachers 
        and administrators;
            ``(3) providing technical assistance to schools and local 
        educational agencies to help them provide effective 
        professional development in the core academic subjects;
            ``(4) developing or supporting professional development 
        networks, either within a State or in a regional consortium of 
        States, that provide a forum for interaction among teachers and 
        that allow exchange of information on advances in content and 
        pedagogy;
            ``(5) professional development in the effective use of 
        educational technology as an instructional tool for increasing 
        student understanding of the core academic subject areas;
            ``(6) providing financial or other incentives for teachers 
        to become certified by the National Board for Professional 
        Teaching Standards;
            ``(7) designing systems that enable teachers to meet pay 
        ladder professional development requirements by demonstrating 
        content knowledge and pedagogical competence tied to 
        challenging State content and performance standards, rather 
        than by merely completing course credits;
            ``(8) providing incentives for teachers to be involved in 
        assessment, curriculum development, and technical assistance 
        processes for teachers and students;
            ``(9) professional development to enable teachers and other 
        school staff to ensure that girls and young women, minorities, 
        limited English proficient students, individuals with 
        disabilities, and the economically disadvantaged have full 
        opportunity to achieve to challenging State performance 
        standards in the core academic subjects by, for example, 
        encouraging girls and young women and minorities to pursue 
        advanced courses in mathematics and science; and
            ``(10) professional development activities designed to 
        increase the numbers of members of minority and other 
        underrepresented groups in the teaching force in the core 
        subjects.

                ``local educational agency applications

    ``Sec. 2127. (a) Applications Required.--(1) Each local educational 
agency that wishes to receive a subgrant under this subpart shall 
submit an application to the State educational agency at such time as 
the State educational agency may require, but not less frequently than 
every third year.
    ``(2) If the local educational agency has an application approved 
by the State under title III of the Goals 2000: Educate America Act, 
the application required by this section shall be a component of (or, 
if necessary, an addendum to) its Goals 2000 application.
    ``(b) Application Contents.--Each application under this section 
shall include--
            ``(1) the local educational agency's plan for professional 
        development that has been developed with the extensive 
        participation of teachers and administrators and that--
                    ``(A) is aligned with the State's content and 
                performance standards;
                    ``(B) includes an assessment of local needs for 
                professional development as identified by the local 
                educational agency and school staff;
                    ``(C) describes a strategy, tied to State content 
                and performance standards, for addressing those needs;
                    ``(D) includes strong academic content and 
                pedagogical components;
                    ``(E) is of sufficient intensity and duration to 
                have a positive and lasting impact on the teacher's 
                performance in the classroom; and
                    ``(F) sets specific outcome performance indicators;
            ``(2) an assurance that the activities conducted with such 
        agency's funds received under this program will be assessed at 
        least every three years using the outcome performance 
        indicators to determine the effectiveness of those activities;
            ``(3) a description of how the programs funded under this 
        subpart will be coordinated, as appropriate, with--
                    ``(A) services of institutions of higher education;
                    ``(B) State and local funds;
                    ``(C) resources provided under part A of title I 
                and other parts of this Act;
                    ``(D) resources from business and industry; and
                    ``(E) funds from other Federal agencies, such as 
                the National Science Foundation, the Department of 
                Energy, the Department of Health and Human Services, 
                the National Endowment for the Arts, and the National 
                Endowment for the Humanities; and
            ``(4) an identification of the sources of funding that will 
        provide the local educational agency's contribution under 
        section 2128.

                          ``local cost-sharing

    ``Sec. 2128. (a) General.--Each local educational agency shall bear 
at least 33 percent of the cost of any program carried out under this 
subpart, but not including the cost of services provided to private 
schoolteachers.
    ``(b) Available Resources For Cost-Sharing.--A local educational 
agency may meet the requirement of subsection (a) through one or more 
of the following:
            ``(1) Cash expenditures from non-Federal sources directed 
        toward professional development activities.
            ``(2) Released time for teachers participating in 
        professional development funded under this subpart.
            ``(3) Funds received under one or more of the following 
        programs, so long as they are used for professional development 
        activities consistent with this subpart and the statutes under 
        which those funds were received, and are used to benefit 
        students and teachers in schools that would otherwise have been 
        served with those funds:
                    ``(A) Part A of title I of this Act.
                    ``(B) The Safe and Drug-Free Schools program under 
                title IV of this Act.
                    ``(C) The bilingual education program under title 
                VII of this Act.
                    ``(D) Title III of the Goals 2000: Educate America 
                Act.
                    ``(E) Programs that are related to the purposes of 
                this Act that are administered by other agencies, 
                including, but not limited to, the National Science 
                Foundation, the National Endowment for the Humanities, 
                the National Endowment for the Arts, and the Department 
                of Energy.

          ``local allocation of funds and allowable activities

    ``Sec. 2129. (a) Local Allocation of Funds.--Each local educational 
agency that receives funds under this subpart for any fiscal year--
            ``(1) shall use at least 80 percent of such funds for 
        professional development of teachers and other staff of 
        individual schools in a manner that is determined by such 
        teachers and staff and is consistent with the local educational 
        agency's application under section 2127, any school plan under 
        part A of title I of this Act, and any other plan for 
        professional development carried out with Federal, State, or 
        local funds; and
            ``(2) may use not more than 20 percent of such funds for 
        district-level professional development activities, which may 
        include the participation of administrators and policy-makers.
    ``(b) Authorized Activities.--Each local educational agency and 
school that receives funds under this subpart shall use those funds for 
activities that contribute to the implementation of the local 
educational agency's professional development plan described in section 
2127(b)(1), such as--
            ``(1) professional development for teams of teachers, 
        administrators, or other staff from individual schools, to 
        support teaching consistent with State or voluntary national 
        content standards and to create a school environment conducive 
        to high achievement in the core subjects;
            ``(2) support and time for teachers and other school staff 
        to participate in professional development in the core subjects 
        offered through professional associations, universities, and 
        other providers;
            ``(3) support and time for teachers and other school staff 
        to participate in professional development that goes beyond 
        training and encourages a variety of forms of learning that are 
        related to an educator's regular work, such as group study and 
        consultation with peers and supervisors;
            ``(4) peer training and mentoring programs, including 
        cross-generational mentoring, in the core academic subjects;
            ``(5) establishment and maintenance of local professional 
        networks that provide a forum for interaction among teachers 
        and that allow exchange of information on advances in content 
        and pedagogy;
            ``(6) activities that provide follow-up for teachers who 
        have participated in professional development activities that 
        are designed to ensure that the knowledge and skills learned by 
        the teacher are implemented in the classroom;
            ``(7) preparing teachers to work with parents and families 
        on fostering student achievement in the core academic subjects;
            ``(8) preparing teachers in the effective use of 
        educational technology as an instructional tool for increasing 
        student understanding of the core academic subject areas;
            ``(9) establishing policies to permit teachers to meet pay 
        ladder requirements by demonstrating content and pedagogical 
        competence rather than by only meeting course requirements;
            ``(10) professional development to enable teachers and 
        other school staff to ensure that girls and young women, 
        minorities, limited English proficient students, individuals 
        with disabilities, and the economically disadvantaged have full 
        opportunity to achieve to challenging State performance 
        standards in the core academic subjects;
            ``(11) professional development activities designed to 
        increase the numbers of minorities, individuals with 
        disabilities, and other underrepresented groups in the teaching 
        force and to increase the numbers of women and members of other 
        underrepresented groups who are science and mathematics 
        teachers, for example, through career ladder programs that 
        assist educational paraprofessionals to obtain teaching 
        credentials;
            ``(12) developing incentive strategies for rewarding 
        teachers and administrators collectively in schools that 
        sustain high performance or consistent growth in the number of 
        their students who met the challenging State performance 
        standards; and
            ``(13) developing incentive strategies for rewarding 
        schools where a substantial portion of the teachers achieve 
        certification by the National Board for Professional Teaching 
        Standards.

                     ``higher education activities

    ``Sec. 2130. (a) General.--(1) The State agency for higher 
education, working in conjunction with the State educational agency (if 
it is a separate agency), shall make grants to, or enter into contracts 
or cooperative agreements with, institutions of higher education 
working in conjunction with local educational agencies, for 
professional development activities in the core academic subject areas 
that contribute to the State plan for professional development.
    ``(2) All such awards shall be made on a competitive basis.
    ``(3) Each project funded under this section shall involve a joint 
effort of the recipient's school or department of education and the 
schools or departments in the specific disciplines in which such 
professional development will be provided.
    ``(b) Allowable Activities.--A recipient of funds under this 
section shall use those funds for--
            ``(1) sustained and intensive high-quality professional 
        development for teams of teachers, or teachers and 
        administrators from individual schools or districts; and
            ``(2) other sustained and intensive professional 
        development activities related to achievement of the State plan 
        for professional development.

                    ``Subpart 3--General Provisions

                     ``reporting and accountability

    ``Sec. 2131. (a) States.--Each State that receives funds under this 
part shall submit a report to the Secretary every three years on the 
State's progress toward the outcome performance indicators identified 
in its State plan, as well as on the effectiveness of State and local 
activities under this part.
    ``(b) Local Educational Agencies.--Each local educational agency 
that receives funds under this part shall submit a report to the State 
every three years on its progress toward outcome performance indicators 
identified in its local plan, as well as on the effectiveness of its 
activities under this part.
    ``(c) Federal Evaluation.--The Secretary shall report to the 
President and Congress on the effectiveness of programs and activities 
funded under this part.

                             ``definitions

    ``Sec. 2132. As used in this part, the following terms have the 
following meanings:
            ``(1) The term `core academic subjects' means those 
        subjects listed in the State plan under title III of the Goals 
        2000: Educate America Act or under National Education Goal 
        Three as set out in section 102(3) of such Act.
            ``(2) The term `outcome performance indicators' means 
        measures of specific outcomes that the State or local 
        educational agency identifies as assessing progress toward the 
        goal of ensuring that all teachers have the knowledge and 
        skills to assist their students to meet challenging State 
        standards in the core academic subject areas. Examples of such 
        indicators include--
                    ``(A) the degree to which licensure requirements 
                are tied to State standards;
                    ``(B) specific increases in the number of teachers 
                who are certified by the National Board for 
                Professional Teaching Standards;
                    ``(C) specific increases in the number of 
                elementary and secondary teachers with strong content 
                backgrounds in the core academic subjects; and
                    ``(D) specific increases in the number of teachers 
                licensed in each core subject.
            ``(3) The term `sustained and intensive high-quality 
        professional development' means professional development 
        activities that--
                    ``(A) are tied to challenging State or voluntary 
                national content and performance standards;
                    ``(B) reflect up-to-date research in teaching and 
                learning and include integrated content and pedagogical 
                components;
                    ``(C) are of sufficient intensity and duration to 
                have a positive and lasting impact on the teacher's 
                performance in the classroom or the administrator's 
                performance on the job; and
                    ``(D) recognize teachers as an important source of 
                knowledge that should inform and help shape 
                professional development.

           ``Part B--Support and Assistance For ESEA Programs

                               ``findings

    ``Sec. 2201. The Congress finds that--
            ``(1) high-quality technical assistance can enhance the 
        improvements in teaching and learning achieved through the 
        implementation of programs under this Act;
            ``(2) comprehensive technical assistance is an essential 
        ingredient of the overall strategy of the 1994 reauthorization 
        of this Act to improve programs and to provide all children 
        opportunities to meet challenging State performance standards;
            ``(3) States, local educational agencies, and schools 
        serving students with special needs, such as students with 
        limited English proficiency, have great need for comprehensive 
        technical assistance in order to use funds under this Act to 
        provide such students with opportunities to learn to 
        challenging State standards;
            ``(4) current technical assistance efforts are fragmented 
        and categorical in nature, and thus fail to address adequately 
        the needs of States and local educational agencies for help in 
        integrating into a coherent strategy for improving teaching and 
        learning the various programs under this Act with State and 
        local programs and other education reform efforts;
            ``(5) too little creative use is made of technology as a 
        means of providing information and assistance in a cost-
        effective way;
            ``(6) comprehensive technical assistance can help schools 
        and school systems focus on improving opportunities for all 
        children to reach challenging State performance standards, as 
        they implement programs under this Act;
            ``(7) comprehensive technical assistance would provide 
        `one-stop shopping' to help States, local educational agencies, 
        participating colleges and universities, and schools integrate 
        Federal, State, and local education programs in ways that 
        contribute to improving schools and entire school systems; and
            ``(8) technical assistance in support of programs under 
        this Act should be coordinated with the Department's regional 
        offices, the regional educational laboratories, and other 
        technical assistance efforts supported by the Department.

                               ``purpose

    ``Sec. 2202. The purpose of this part is to make available to 
States, local educational agencies, schools, and other recipients of 
funds under this Act technical assistance in--
            ``(1) administering and implementing programs authorized by 
        this Act in a manner that is consistent with State and local 
        plans under the Goals 2000: Educate America Act; and
            ``(2) coordinating those programs with other Federal, 
        State, and local education activities, so that all students are 
        provided opportunities to meet challenging State performance 
        standards.

                          ``program authorized

    ``Sec. 2203. (a) Comprehensive Regional Centers.--The Secretary is 
authorized to establish one center in each of the Department's ten 
regions to provide comprehensive technical assistance to States, local 
educational agencies, schools, and other recipients of funds under this 
Act in their administration and implementation of programs authorized 
by this Act. In allocating resources among the centers, the Secretary 
shall consider the geographic distribution of students with special 
needs.
    ``(b) Technology-Based Technical Assistance.--The Secretary is also 
authorized to provide a technology-based technical assistance service 
that will--
            ``(1) support the administration and implementation of 
        programs authorized by this Act by providing information, 
        including legal and regulatory information, and technical 
        guidance and information about best practices; and
            ``(2) be accessible to all States, local educational 
        agencies, schools, and others who are recipients of funds under 
        this Act.

                          ``eligible entities

    ``Sec. 2204. The Secretary may carry out this part directly or 
through grants to, or contracts or cooperative agreements with, public 
or private agencies or organizations or consortia of those agencies and 
organizations.

                    ``comprehensive regional centers

    ``Sec. 2205. Each comprehensive regional center established under 
section 2203(a) shall--
            ``(1) maintain staff expertise in at least all of the 
        following areas:
                    ``(A) Instruction, curriculum improvement, school 
                reform, and other aspects of title I of this Act.
                    ``(B) Meeting the needs of children served under 
                this Act, including children in high-poverty areas, 
                migratory children, children with limited English 
                proficiency, neglected or delinquent children, homeless 
                children and youth, Indian children, and children with 
                disabilities.
                    ``(C) Professional development for teachers, other 
                school staff, and administrators to help students meet 
                challenging State performance standards.
                    ``(D) Bilingual education, including programs that 
                emphasize English and native language proficiency, and 
                promote multicultural understanding.
                    ``(E) Safe and drug-free schools.
                    ``(F) Educational applications of technology.
                    ``(G) Parent involvement and participation.
                    ``(H) The reform of schools and school systems.
                    ``(I) Program evaluation;
            ``(2) ensure that technical assistance staff have 
        sufficient training, knowledge, and expertise in how to 
        integrate and coordinate programs under this Act with each 
        other, as well as with other Federal, State, and local programs 
        and reforms;
            ``(3) work collaboratively with the Department's regional 
        offices;
            ``(4) provide technical assistance using the highest 
        quality and most cost-effective strategies possible;
            ``(5) provide information and assistance regarding 
        exemplary and promising practices;
            ``(6) work collaboratively, and coordinate the services it 
        provides, with the general reform assistance provided by the 
        regional educational laboratories supported by the Office of 
        Educational Research and Improvement; and
            ``(7) consult with representatives of State educational 
        agencies, local educational agencies, and populations served 
        under this Act.

                ``information collection and evaluation

    ``Sec. 2206. The Secretary shall evaluate activities under this 
part to determine their effectiveness in advancing the purposes of this 
part, and report to the President and Congress on the effectiveness of 
such activities.

                              ``transition

    ``Sec. 2207. (a) General.--The Secretary may use funds appropriated 
for this part for fiscal year 1995 in such manner as the Secretary 
finds necessary in order to ensure a smooth implementation of this 
part.
    ``(b) Extension of Previous Centers.--In accordance with subsection 
(a), and notwithstanding any other provisions of law, the Secretary may 
use such funds for existing contracts and to extend the award of any 
categorical technical assistance center under this Act that was in 
operation on the day before enactment of the Improving America's 
Schools Act of 1993.

                   ``authorization of appropriations

    ``Sec. 2208. For the purpose of carrying out this part, there are 
authorized to be appropriated such sums as may be necessary for each of 
the fiscal years 1995 through 1999.

           ``TITLE III--EXPANDING OPPORTUNITIES FOR LEARNING

         ``Part A--Putting Technology To Work For All Students

 ``Subpart 1--Research, Development, and Demonstration of Educational 
                               Technology

                        ``findings and purposes

    ``Sec. 3111. (a) Findings.--The Congress finds that--
            ``(1) technology has the potential to assist and support 
        the improvement of teaching and learning in schools and other 
        settings;
            ``(2) technology can provide students, parents, teachers, 
        and other education professionals with increased access to 
        information, instruction, and educational services in schools 
        and other settings, including homes, libraries, preschool and 
        child-care facilities, and postsecondary institutions;
            ``(3) technology can produce far greater opportunities for 
        all students to learn to high standards and to promote 
        efficiency and effectiveness in education; and
            ``(4) the rapidly changing nature of technology requires 
        coordination and flexibility in Federal leadership.
    ``(b) Purposes.--The purposes of this subpart are to promote 
achievement of the National Education Goals and to increase the 
opportunity for all students to achieve to challenging State standards 
by--
            ``(1) promoting awareness of the potential of technology 
        for improving teaching and learning;
            ``(2) supporting State and local efforts to increase the 
        effective use of technology for education;
            ``(3) demonstrating ways in which technology can be used to 
        improve teaching and learning, and to help ensure that all 
        students have an equal opportunity to meet challenging State 
        education standards;
            ``(4) ensuring the availability of knowledge drawn from 
        research and experience that can form the basis for sound State 
        and local decisions about investment in, and effective uses of, 
        educational technology;
            ``(5) promoting high-quality professional development 
        opportunities for teachers and administrators on the 
        integration of technology into instruction and administration;
            ``(6) ensuring that Federal technology-related policies and 
        programs facilitate the use of technology in education; and
            ``(7) ensuring that, as technological advances are made, 
        the educational uses of these advances are considered and their 
        applications are developed.

                   ``office of educational technology

    ``Sec. 3112. There is established in the Department an Office of 
Educational Technology, which shall be administered by a Director of 
Educational Technology appointed by the Secretary. The Office of 
Educational Technology, in consultation with other appropriate 
agencies, shall provide leadership to the Nation in the use of 
technology to promote achievement of the National Education Goals and 
to increase opportunities for all students to achieve to challenging 
State standards, and shall perform such additional functions as the 
Secretary may require.

                       ``national long-range plan

    ``Sec. 3113. (a) In General.--(1) The Secretary shall develop and 
publish by September 30, 1995, and update when appropriate, a national 
long-range plan to carry out the purposes of this subpart.
    ``(2) The Secretary shall--
            ``(A) develop the plan in consultation with other Federal 
        agencies, State and local education practitioners and policy-
        makers, experts in technology and the educational applications 
        of technology, and providers of technology services and 
        products;
            ``(B) transmit the plan to the President and to the 
        appropriate committees of the Congress; and
            ``(C) publish the plan in a form that is readily accessible 
        to the public.
    ``(b) Contents of the Plan.--The national long-range plan shall 
describe the Secretary's activities to promote the purposes of this 
subpart, including--
            ``(1) how the Secretary will encourage the effective use of 
        technology to provide all students the opportunity to achieve 
        to challenging State standards, especially through programs 
        administered by the Department;
            ``(2) joint activities with other Federal agencies, such as 
        the National Endowment for the Humanities, the National 
        Endowment for the Arts, the National Aeronautics and Space 
        Administration, the National Science Foundation, and the 
        Departments of Commerce, Energy, Health and Human Services, and 
        Labor, to promote the use of technology in education, and 
        training and lifelong learning, including plans for the 
        educational uses of a national information infrastructure, and 
        to ensure that the policies and programs of such agencies 
        facilitate the use of technology for educational purposes to 
        the extent feasible;
            ``(3) how the Secretary will work with educators, State and 
        local educational agencies, and appropriate representatives of 
        the private sector to facilitate the effective use of 
        technology in education;
            ``(4) how the Secretary will promote--
                    ``(A) increased access to the benefits of 
                technology for teaching and learning for schools with 
                high concentrations of children from low-income 
                families;
                    ``(B) the use of technology to assist in the 
                implementation of State systemic reform strategies;
                    ``(C) the application of technological advances to 
                use in education; and
                    ``(D) increased opportunities for the professional 
                development of teachers in the use of new technologies;
            ``(5) how the Secretary will determine, in consultation 
        with appropriate individuals, organizations, and agencies, the 
        feasibility and desirability of establishing guidelines and 
        protocols to facilitate effective use of technology in 
        education; and
            ``(6) the Secretary's long-range measurable goals and 
        objectives relating to the purposes of this subpart.

                          ``federal leadership

    ``Sec. 3114. (a) Program Authorized.--(1) In order to provide 
Federal leadership in promoting the use of technology in education, the 
Secretary, in consultation with the National Science Foundation, the 
Department of Commerce, and other appropriate Federal agencies, may 
carry out activities designed to achieve the purposes of this subpart 
directly or by awarding grants (pursuant to a peer review process) to, 
or entering into contracts with, State educational agencies, local 
educational agencies, institutions of higher education, or other public 
and private nonprofit or for-profit agencies and organizations.
    ``(2) For the purpose of carrying out coordinated or joint 
activities consistent with the purposes of this subpart, the Secretary 
may accept funds from, and transfer funds to, other Federal agencies.
    ``(b) Uses of Funds.--The Secretary may use funds appropriated 
under this subpart for activities designed to carry out the purpose of 
this subpart, and to meet the goals and objectives of the national 
long-range plan under section 3113, including--
            ``(1) planning grants to States and local education 
        agencies, to enable such entities to examine and develop 
        strategies for the effective use of technology to help achieve 
        the objectives of the Goals 2000: Educate America Act and the 
        School-to-Work Opportunities Act of 1993;
            ``(2) development grants to technical assistance providers, 
        to enable them to improve substantially the services they offer 
        to educators on the educational uses of technology, including 
        professional development;
            ``(3) consulting with representatives of industry, 
        elementary and secondary education, higher education, and 
        appropriate experts in technology and its educational 
        applications in carrying out activities under this subpart;
            ``(4) research on, and the development of, guidelines and 
        protocols to facilitate efficient and effective use of 
        technology in education;
            ``(5) research on, and the development of, educational 
        applications of the most advanced and newly emerging 
        technologies;
            ``(6) the development, demonstration, and evaluation of 
        applications of existing technology in preschool education, 
        elementary and secondary education, training and lifelong 
        learning, and professional development of educational 
        personnel;
            ``(7) the development and evaluation of software and other 
        products, including television programming, that incorporate 
        advances in technology and help achieve the National Education 
        Goals and challenging State standards;
            ``(8) the development, demonstration, and evaluation of 
        model strategies for preparing teachers and other personnel to 
        use technology effectively to improve teaching and learning;
            ``(9) the development of model programs to demonstrate the 
        educational effectiveness of technology in urban and rural 
        areas and economically-distressed communities;
            ``(10) research on, and the evaluation of, the 
        effectiveness and benefits of technology in education;
            ``(11) conferences on, and dissemination of information 
        about, the uses of technology in education;
            ``(12) the development of model strategies to promote 
        gender equity concerning access to, and the use of, technology 
        in the classroom; and
            ``(13) such other activities as the Secretary determines 
        would meet the purposes of this subpart.
    ``(c) Non-Federal Share.--(1) Subject to paragraph (2), the 
Secretary is authorized to require any recipient of a grant or contract 
under this subpart to share in the cost of its project, which share 
shall be announced through a notice in the Federal Register and may be 
in the form of cash or in-kind contributions, fairly valued.
    ``(2) The Secretary may increase the non-Federal share required of 
such recipient after the first year of the recipient's project, except 
that such share may not exceed 50 percent at any time during the 
recipient's project.

                   ``authorization of appropriations

    ``Sec. 3115. For the purpose of carrying out this subpart, there 
are authorized to be appropriated such sums as may be necessary for 
each of the fiscal years 1995 through 1999.

                   ``Subpart 2--Star Schools Program

                               ``findings

    ``Sec. 3121. The Congress finds that--
            ``(1) the Star Schools program has helped to encourage the 
        use of distance learning strategies to serve multi-State 
        regions primarily by means of satellite and broadcast 
        television;
            ``(2) in general, distance learning programs have been used 
        effectively to provide students in small, rural, and isolated 
        schools with courses and instruction, such as science and 
        foreign language instruction, that the local educational agency 
        would not otherwise have been able to provide; and
            ``(3) distance learning programs could also be used to--
                    ``(A) provide students in all types of schools and 
                local educational agencies with greater access to high-
                quality instruction in the full range of core academic 
                subjects that would enable them to meet challenging, 
                internationally competitive, educational standards;
                    ``(B) expand professional development opportunities 
                for teachers;
                    ``(C) contribute to achievement of the National 
                Education Goals; and
                    ``(D) expand learning opportunities for everyone.

                         ``statement of purpose

    ``Sec. 3122. The purpose of this subpart is to encourage the 
expansion and use of distance learning programs and technologies to 
help--
            ``(1) improve teaching and learning;
            ``(2) achieve the National Education Goals;
            ``(3) all students learn to challenging State content 
        standards; and
            ``(4) increase participation in State and local educational 
        reform.

                          ``program authorized

    ``Sec. 3123. (a) Star School Awards.--The Secretary is authorized, 
in accordance with this subpart, to make grants to eligible entities 
for the Federal share of the cost of providing distance learning 
programs, including--
            ``(1) developing, constructing, and acquiring 
        telecommunications facilities and equipment;
            ``(2) developing and acquiring instructional programming; 
        and
            ``(3) providing technical assistance regarding the use of 
        such facilities and instructional programming.
    ``(b) Authorization of Appropriations.--For the purpose of carrying 
out this subpart, there are authorized to be appropriated such sums as 
may be necessary for each of the fiscal years 1995 through 1999.
    ``(c) Limitations.--(1) A grant under this section shall not 
exceed--
            ``(A) five years in duration; and
            ``(B) $10,000,000 in any one fiscal year.
    ``(2) Not less than 25 percent of the funds available to the 
Secretary for any fiscal year under this subpart shall be used for the 
cost of instructional programming.
    ``(3) Not less than 50 percent of the funds available to the 
Secretary for any fiscal year under this subpart shall be used for the 
cost of facilities, equipment, teacher training or retraining, 
technical assistance, or programming, for local educational agencies 
that are eligible to receive assistance under part A of title I of this 
Act.
    ``(d) Federal Share.--(1) The Federal share of the cost of projects 
funded under this section shall not exceed 75 percent for the first and 
second years of the award, 60 percent for the third and fourth years, 
and 50 percent for the fifth year.
    ``(2) The Secretary may reduce or waive the requirement of the non-
Federal share under paragraph (1) upon a showing of financial hardship.
    ``(e) Authority To Accept Funds From Other Agencies.--The Secretary 
is authorized to accept funds from other agencies to carry out the 
purposes of this section, including funds for the purchase of 
equipment.

                          ``eligible entities

    ``Sec. 3124. (a) Eligible Entities.--(1) The Secretary may make a 
grant under section 3123 to any eligible entity, provided that at least 
one local educational agency is participating in the proposed project.
    ``(2) An eligible entity may include--
            ``(A) a public agency or corporation established for the 
        purpose of developing and operating telecommunications networks 
        to enhance educational opportunities provided by educational 
        institutions, teacher training centers, and other entities, 
        except that any such agency or corporation shall represent the 
        interests of elementary and secondary schools that are eligible 
        to participate in the program under part A of title I of this 
        Act; or
            ``(B) any two or more of the following, which will provide 
        a telecommunications network:
                    ``(i) a local educational agency that has a 
                significant number of elementary and secondary schools 
                that are eligible for assistance under part A of title 
                I of this Act, or elementary and secondary schools 
                operated or funded for Indian children by the 
                Department of the Interior eligible under section 
                1121(b)(1) of this Act;
                    ``(ii) a State educational agency;
                    ``(iii) an institution of higher education or a 
                State higher education agency;
                    ``(iv) a teacher training center or academy that--
                            ``(I) provides teacher pre-service and in-
                        service training; and
                            ``(II) receives Federal financial 
                        assistance or has been approved by a State 
                        agency;
                    ``(v)(I) a public or private entity with experience 
                and expertise in the planning and operation of a 
                telecommunications network, including entities involved 
                in telecommunications through satellite, cable, 
                telephone, or computer; or
                    ``(II) a public broadcasting entity with such 
                experience; or
                    ``(vi) a public or private elementary or secondary 
                school.

                             ``applications

    ``Sec. 3125. (a) General Requirement.--Each eligible entity that 
desires to receive a grant under this subpart shall submit an 
application to the Secretary in such form, at such time, and containing 
such information and assurances as the Secretary may require.
    ``(b) Star School Award Applications.--Each application for a grant 
authorized under section 3123 shall--
            ``(1) describe--
                    ``(A) how the proposed project will assist in 
                achieving the National Education Goals set out in title 
                I of the Goals 2000: Educate America Act, how it will 
                assist all students to have an opportunity to learn to 
                challenging State standards, and how it will assist 
                State and local educational reform efforts;
                    ``(B) the telecommunications facilities and 
                equipment and technical assistance for which assistance 
                is sought, which may include--
                            ``(i) the design, development, 
                        construction, and acquisition of district, 
                        multidistrict, State, or multistate educational 
                        telecommunications networks and technology 
                        resource centers;
                            ``(ii) microwave, fiber optics, cable, and 
                        satellite transmission equipment, or any 
                        combination thereof;
                            ``(iii) reception facilities, satellite 
                        time, production facilities, and other 
                        telecommunications equipment capable of serving 
                        the intended geographic area;
                            ``(iv) the provision of training services 
                        to instructors who will be using the facilities 
                        and equipment for which assistance is sought in 
                        using such facilities and equipment, and in 
                        integrating programs into the class curriculum; 
                        and
                            ``(v) the development of educational and 
                        related programming for use on a 
                        telecommunications network;
                    ``(C) the types of programming that will be 
                developed to enhance instruction and training, 
                including an assurance that such programming will be 
                designed in consultation with professionals who are 
                experts in the applicable subject matter and grade 
                level;
                    ``(D) how the eligible entity has engaged in 
                sufficient survey and analysis of the area to be served 
                to ensure that the services offered by the eligible 
                entity will increase the availability of courses of 
                instruction in English, mathematics, science, foreign 
                languages, arts, history, geography, or other 
                disciplines;
                    ``(E) the professional development policies for 
                teachers and other school personnel to be implemented 
                to ensure the effective use of the telecommunications 
                facilities and equipment for which assistance is 
                sought;
                    ``(F) the manner in which historically underserved 
                students (such as students from low-income families, 
                limited English proficient students, disabled students, 
                or students who have low literacy skills) and their 
                families will participate in the benefits of the 
                telecommunications facilities, equipment, technical 
                assistance, and programming assisted under this 
                subpart;
                    ``(G) how existing telecommunications equipment, 
                facilities, and services, where available, will be 
                used;
                    ``(H) the activities or services for which 
                assistance is sought, such as--
                            ``(i) providing facilities, equipment, 
                        training services, and technical assistance;
                            ``(ii) making programs accessible to 
                        individuals with disabilities through 
                        mechanisms such as closed captioning and 
                        descriptive video services;
                            ``(iii) linking networks around issues of 
                        national importance (such as elections) or to 
                        provide information about employment 
                        opportunities, job training, or student and 
                        other social service programs;
                            ``(iv) sharing curriculum materials between 
                        networks;
                            ``(v) providing teacher and student support 
                        services;
                            ``(vi) incorporating community resources 
                        such as libraries and museums into 
                        instructional programs;
                            ``(vii) providing professional development 
                        for teachers, including, as appropriate, 
                        training to early childhood development and 
                        Head Start teachers and staff and vocational 
                        education teachers and staff; and
                            ``(viii) providing programs for adults at 
                        times other than the regular school day in 
                        order to maximize the use of telecommunications 
                        facilities and equipment; and
                    ``(I) how the proposed project as a whole will be 
                financed and how arrangements for future financing will 
                be developed before the project expires;
            ``(2) provide an assurance that a significant portion of 
        any facilities, equipment, technical assistance, and 
        programming for which assistance is sought for elementary and 
        secondary schools will be made available to schools in local 
        educational agencies that have a high percentage of children 
        counted for the purpose of part A of title I of this Act; and
            ``(3) provide an assurance that the applicant will provide 
        such information and cooperate in any evaluation that the 
        Secretary may conduct under this subpart.
    ``(c) Priorities.--The Secretary shall, in approving applications 
for grants authorized under section 3123, give priority to applications 
that--
            ``(1) propose high-quality plans to assist in achieving one 
        or more of the National Education Goals as set out in title I 
        of the Goals 2000: Educate America Act, would provide 
        instruction consistent with State content standards, or would 
        otherwise provide significant and specific assistance to States 
        and local educational agencies undertaking systemic education 
        reform under title III of the Goals 2000: Educate America Act; 
        and
            ``(2) would serve schools with significant numbers of 
        children counted for the purposes of part A of title I of this 
        Act.
    ``(d) Geographic Distribution.--In approving applications for 
grants authorized under section 3123, the Secretary shall, to the 
extent feasible, ensure an equitable geographic distribution of 
services.

                 ``leadership and evaluation activities

    ``Sec. 3126. (a) Set-Aside.--From amounts appropriated under 
section 3123(b), the Secretary may reserve up to 10 percent for 
national leadership, evaluation, and peer review activities.
    ``(b) Method of Funding.--The Secretary may fund the activities 
described in subsection (a) directly or through grants, contracts, and 
cooperative agreements.
    ``(c) Uses of Funds.--(1) Funds reserved for leadership activities 
may be used for--
            ``(A) disseminating information, including lists and 
        descriptions of services available from recipients; and
            ``(B) other activities designed to enhance the quality of 
        distance learning activities nationwide.
    ``(2) Funds reserved for evaluation activities shall be used to 
conduct independent evaluations of the Star Schools program under this 
subpart and of distance learning in general, including--
            ``(A) analyses of distance learning efforts, including both 
        Star Schools projects and efforts not funded by the program 
        under this subpart; and
            ``(B) comparisons of the effects, including student 
        outcomes, of different technologies in distance learning 
        efforts.
    ``(3) Funds reserved for peer review activities may be used for 
peer review of both proposals and funded projects.

                             ``definitions

    ``Sec. 3127. For the purpose of this subpart, the following terms 
have the following meanings:
            ``(1) The term `educational institution' means an 
        institution of higher education, a local educational agency, or 
        a State educational agency.
            ``(2) The term `instructional programming' means courses of 
        instruction and training courses for elementary and secondary 
        students, teachers, and others, and materials for use in such 
        instruction and training that have been prepared in audio and 
        visual form on tape, disc, film, or live, and presented by 
        means of telecommunications devices.
            ``(3) The term `public broadcasting entity' has the same 
        meaning given that term in section 397 of the Communications 
        Act of 1934.

            ``Part B--Fund For the Improvement of Education

                ``fund for the improvement of education

    ``Sec. 3201. (a) Fund Authorized.--From funds appropriated under 
subsection (d), the Secretary is authorized to support nationally 
significant programs and projects to improve the quality of education, 
assist all students to meet challenging standards, and contribute to 
achievement of the National Education Goals. The Secretary is 
authorized to carry out such programs and projects directly or through 
grants to, or contracts with, State and local education agencies, 
institutions of higher education, and other public and private 
agencies, organizations, and institutions.
    ``(b) Uses of Funds.--(1) Funds under this section may be used 
for--
            ``(A) activities that will promote systemic education 
        reform at the State and local levels, such as--
                    ``(i) research and development related to content 
                and performance standards for student learning; and
                    ``(ii) the development and evaluation of model 
                strategies for assessment of student learning, 
                professional development for teachers and 
                administrators, parent and community involvement, and 
                other aspects of systemic reform;
            ``(B) demonstrations at the State and local levels that are 
        designed to yield nationally significant results, including 
        approaches to public school choice and school based decision-
        making;
            ``(C) joint activities with other agencies to assist the 
        effort to achieve the National Education Goals, including 
        activities related to improving the transition from preschool 
        to school and from school to work, as well as activities 
        related to the integration of education and health and social 
        services;
            ``(D) activities to promote and evaluate counseling and 
        mentoring for students, including intergenerational mentoring;
            ``(E) activities to promote comprehensive health education;
            ``(F) activities to promote environmental education;
            ``(G) activities to assist students to demonstrate 
        competence in foreign languages;
            ``(H) studies and evaluation of various education reform 
        strategies and innovations being pursued by the Federal 
        Government, States, and local educational agencies;
            ``(I) the identification and recognition of exemplary 
        schools and programs, such as Blue Ribbon Schools; and
            ``(J) other programs and projects that meet the purposes of 
        this section.
    ``(2) The Secretary may also use funds under this section to 
complete the project periods for direct grants or contracts awarded 
under the provisions of the Elementary and Secondary Education Act of 
1965, part B of title III of the Augustus F. Hawkins-Robert T. Stafford 
Elementary and Secondary School Improvement Amendments of 1988, or 
title III of the Education for Economic Security Act, as these Acts 
were in effect on the day before enactment of the Improving America's 
Schools Act of 1993.
    ``(c) Awards.--(1) The Secretary may make awards under this section 
on the basis of competitions announced by the Secretary and may also 
support meritorious unsolicited proposals.
    ``(2) The Secretary shall ensure that projects and activities 
supported under this section are designed so that their effectiveness 
is readily ascertainable.
    ``(3) The Secretary shall use a peer review process in reviewing 
applications for grants under this section and may use funds 
appropriated under subsection (d) for this purpose.
    ``(d) Authorization.--For the purpose of carrying out this section, 
there are authorized to be appropriated such sums as may be necessary 
for each of the fiscal years 1995 through 1999.

    ``Part C--Jacob K. Javits Gifted and Talented Education Program

                         ``findings and purpose

    ``Sec. 3301. (a) Findings.--The Congress finds that--
            ``(1) all students can learn to high standards;
            ``(2) all students must develop their talents, realize 
        their potential, and learn to high standards if the United 
        States is to prosper;
            ``(3) too often, schools fail to challenge students to do 
        their best work, and students who are not challenged will not 
        fully develop their talents, realize their potential, and learn 
        to high standards;
            ``(4) schools must provide all students with important and 
        challenging subject matter to study and encourage the habits of 
        hard work;
            ``(5) during the past 20 years, programs for gifted and 
        talented students have served as laboratories for innovative 
        and experimental approaches to teaching and learning;
            ``(6) many programs developed for gifted and talented 
        students, when used with disadvantaged students, have shown 
        promise in achieving better results than remedial programs;
            ``(7) the experience and knowledge gained in developing and 
        implementing programs for gifted and talented students can and 
        should be used to develop a rich and challenging curriculum for 
        all students;
            ``(8) the Federal Government should encourage the 
        adaptation of strategies used in programs for gifted and 
        talented students to help all students develop their talents, 
        realize their potential, and learn to high standards, while 
        also continuing to challenge gifted and talented students; and
            ``(9) examples of programs and strategies in which students 
        can and have learned to the highest standards will help to 
        demonstrate how all students can learn to high standards.
    ``(b) Purpose.--The purpose of this part is to demonstrate how 
strategies and programs designed for the education of gifted and 
talented students can be adapted and used to improve teaching and 
learning for all students in a school and to help all students in a 
school develop their talents, realize their potential, and meet 
challenging performance standards, while not diminishing the curriculum 
and instruction for students traditionally identified as gifted and 
talented. Such strategies and programs shall, at a minimum--
            ``(1) contain important and challenging academic content;
            ``(2) elicit complex thinking and understanding in 
        students;
            ``(3) engage students in learning and allow them to 
        progress at their own pace; and
            ``(4) use performance measures that assess whether students 
        have developed a thorough understanding of the important and 
        challenging subject matter contained in the school curriculum.

                         ``authorized programs

    ``Sec. 3302. (a) Establishment of Program.--From the sums 
appropriated under section 3305(a) for any fiscal year that are 
remaining after the reservation of funds pursuant to section 3305(b), 
the Secretary shall make grants to, or enter into contracts with, State 
educational agencies, local educational agencies, institutions of 
higher education, or other public agencies or private agencies and 
organizations (including Indian tribes and organizations, as defined by 
the Indian Self-Determination and Education Assistance Act, and Native 
Hawaiian organizations) to assist such agencies, schools, institutions, 
and organizations to carry out the purpose of this part.
    ``(b) Application.--Any eligible applicant that wishes to receive 
funds under this part shall submit an application to the Secretary at 
such time, in such manner, and containing such information as the 
Secretary may require.
    ``(c) Uses of Funds.--(1) A recipient of funds under this part 
shall use those funds for activities that are designed to meet the 
purpose of this part. Such activities may include--
            ``(A) developing, implementing, and expanding new programs 
        that adapt strategies or programs designed for gifted and 
        talented students to serve all students (including gifted and 
        talented students) in a school or in several schools;
            ``(B) adapting and expanding existing programs for gifted 
        and talented students to serve all students (including gifted 
        and talented students) in a school or in several schools;
            ``(C) implementing innovative strategies, such as 
        cooperative learning and peer tutoring, for expanding programs 
        that serve gifted and talented students into programs that 
        serve all the students (including gifted and talented students) 
        in a school;
            ``(D) establishing and operating cooperative programs 
        involving business, industry, and education;
            ``(E) establishing and operating summer programs; and
            ``(F) strengthening the capability of State educational 
        agencies and institutions of higher education to provide 
        leadership and assistance to local educational agencies and 
        nonprofit private schools in adapting strategies and programs 
        for educating gifted and talented students to improve education 
        for all students (including gifted and talented students).
    ``(2) Each project assisted under this part that provides services 
to students shall, by the end of the period for which assistance is 
sought (but in no case later than the end of the third year of 
assistance under this part) serve all the students (including gifted 
and talented students) in a school.
    ``(d) Non-Federal Share.--(1) Subject to paragraph (2), the 
Secretary is authorized to require any recipient of a grant or contract 
under this part to share in the cost of its project, which share shall 
be announced through a notice in the Federal Register and may be in the 
form of cash or in-kind contributions, fairly valued.
    ``(2) The Secretary may increase the non-Federal share required of 
such recipient after the first year of the recipient's project, except 
that such share may not exceed 50 percent at any time during the 
recipient's project.

                          ``program priorities

    ``Sec. 3303. In making awards under this part, the Secretary shall 
ensure that for each fiscal year at least one-half of the awards made 
contain a component designed to serve schools in which at least 50 
percent of the students in the school are children counted under 
section 1123(c)(1)(A) of this Act (children from low-income families).

                      ``national responsibilities

    ``Sec. 3304. (a) Program Operations.--The Secretary shall ensure 
that the programs under this part are administered within the 
Department of Education by a person who has recognized professional 
qualifications and experience in the field of the education of gifted 
and talented students and who shall serve as a focal point of national 
leadership and information on mechanisms to carry out the purpose of 
this part.
    ``(b) Review, Dissemination, and Evaluation.--The Secretary shall--
            ``(1) use a peer review process in reviewing applications 
        under this part;
            ``(2) ensure that information on the activities and results 
        of projects funded under this part is disseminated to 
        appropriate State and local agencies and other appropriate 
        organizations, including nonprofit private organizations; and
            ``(3) evaluate the effectiveness of programs under this 
        part, both in terms of the impact on students traditionally 
        served in separate gifted and talented programs and on other 
        students, and submit the results of such evaluation to Congress 
        by January 1, 1999.
    ``(c) Applied Research and Development.--The Secretary may conduct, 
in coordination with other appropriate offices of the Department, 
applied research and development of theories, strategies, and models 
that further the purpose of this part.
    ``(d) Grant and Contract Authority.--The Secretary may carry out 
the activities under subsections (a), (b), and (c) directly or through 
grants or contracts.

                   ``authorization of appropriations

    ``Sec. 3305. (a) In General.--For the purpose of carrying out this 
part, there are authorized to be appropriated such sums as may be 
necessary for each of the fiscal years 1995 through 1999.
    ``(b) Reservation.--In order to carry out the purpose of this part, 
the Secretary may reserve not more than 15 percent of the sum 
appropriated under subsection (a) for any fiscal year for activities 
under section 3304(b).

                             ``definitions

    ``Sec. 3306. For the purpose of this part, the following terms have 
the following meanings:
            ``(1) The term `Native Hawaiian' means any individual any 
        of whose ancestors were natives prior to 1778 of the area that 
        now comprises the State of Hawaii.
            ``(2) The term `Native Hawaiian organization' means any 
        organization recognized by the Governor of the State of Hawaii 
        and primarily serving and representing Native Hawaiians.

                       ``Part D--Charter Schools

                         ``findings and purpose

    ``Sec. 3401. (a) Findings.--The Congress finds that--
            ``(1) enhancement of parent and student choices among 
        public schools can assist in promoting comprehensive 
        educational reform and give more students the opportunity to 
        learn to challenging State academic standards, if sufficiently 
        diverse and high-quality choices, and genuine opportunities to 
        take advantage of them, are available to all students;
            ``(2) useful examples of such choices can come from States 
        and communities that experiment with methods of offering 
        teachers and other educators, parents, and other members of the 
        public the opportunity to design and implement new public 
        schools;
            ``(3) the new schools developed through this process should 
        be free to test a variety of educational approaches and should, 
        therefore, be exempted from restrictive rules and regulations 
        if their leadership commits to attaining specific and ambitious 
        educational results for students consistent with challenging 
        State content and performance standards for all students;
            ``(4) charter schools, as they have been implemented in a 
        few States, can embody the necessary mixture of enhanced 
        choice, exemption from restrictive regulations, and a focus on 
        learning gains; and
            ``(5) the Federal Government should test, evaluate, and 
        disseminate information on a variety of charter school models 
        in order to help demonstrate the benefits of this promising 
        educational reform.
    ``(b) Purpose.--It is the purpose of this part to increase national 
understanding of the charter schools model by--
            ``(1) providing financial assistance for the design and 
        initial implementation of charter schools; and
            ``(2) evaluating the effects of those schools, including 
        their effects on students, staff, and parents.

                          ``program authorized

    ``Sec. 3402. (a) General.--The Secretary may make grants to 
eligible applicants for the design and initial operation of charter 
schools.
    ``(b) Project Periods.--Each such grant shall be for a period of 
not more than three years, of which the grantee may use--
            ``(1) no more than 18 months for planning and program 
        design; and
            ``(2) no more than two years for the initial implementation 
        of the charter school.
    ``(c) Limitation.--The Secretary shall not make more than one grant 
to support a particular charter school.

                             ``applications

    ``Sec. 3403. (a) Applications Required.--Any eligible applicant 
that desires to receive a grant under this part shall submit an 
application to the Secretary at such time and in such manner as the 
Secretary may require.
    ``(b) Scope of Application.--Each such application may request 
assistance for a single charter school or for a cluster of schools, 
which may include a high school and its feeder elementary and middle 
schools, within a community.
    ``(c) Application Contents.--Each such application shall include, 
for each charter school for which assistance is sought--
            ``(1) a description of the educational program to be 
        implemented by the proposed charter school, including--
                    ``(A) how the program will enable all students to 
                meet challenging State performance standards;
                    ``(B) the grade levels or ages of children to be 
                served; and
                    ``(C) the curriculum and instructional practices to 
                be used;
            ``(2) a description of how the school will be managed;
            ``(3) a description of--
                    ``(A) the objectives of the school; and
                    ``(B) the methods by which the school will 
                determine its progress toward achieving those 
                objectives;
            ``(4) a description of the administrative relationship 
        between the charter school and the local educational agency or 
        State educational agency that will authorize or approve the 
        school's charter and act as the grantee under this part;
            ``(5) a description of how parents and other members of the 
        community will be involved in the design and implementation of 
        the charter school;
            ``(6) a description of how the State or local educational 
        agency, as the case may be, will provide for continued 
        operation of the school once the Federal grant has expired, if 
        such agency determines that the school is successful;
            ``(7) a request and justification for waivers of any 
        Federal statutory or regulatory provisions that the applicant 
        believes are necessary for the successful operation of the 
        charter school, and a description of any State or local rules, 
        generally applicable to public schools, that will be waived 
        for, or otherwise not apply to, the school;
            ``(8) a description of how the grant funds would be used;
            ``(9) a description of how grant funds would be used in 
        conjunction with other Federal programs administered by the 
        Secretary;
            ``(10) a description of how students in the community will 
        be--
                    ``(A) informed about the school; and
                    ``(B) given an equal opportunity to attend the 
                school;
            ``(11) an assurance that the applicant will annually 
        provide the Secretary such information as the Secretary may 
        require to determine if the charter school is making 
        satisfactory progress toward achieving the objectives described 
        under paragraph (3);
            ``(12) an assurance that the applicant will cooperate with 
        the Secretary in evaluating the program authorized by this 
        part; and
            ``(13) such other information and assurances as the 
        Secretary may require.
    ``(d) State Educational Agency Approval Required.--(1) A local 
educational agency that desires to receive a grant under this part 
shall obtain the State educational agency's approval of its application 
before submitting it to the Secretary.
    ``(2) A State educational agency that approves an application of a 
local educational agency shall provide the local educational agency, 
and such local agency shall include in its application to the 
Secretary, a statement that the State has granted, or will grant, the 
waivers and exemptions from State requirements described in such local 
agency's application.

                    ``selection of grantees; waivers

    ``Sec. 3404. (a) Criteria.--The Secretary shall select projects to 
be funded on the basis of the quality of the applications, taking into 
consideration such factors as--
            ``(1) the quality of the proposed curriculum and 
        instructional practices;
            ``(2) the degree of flexibility afforded by the State and, 
        if applicable, the local educational agency to the school;
            ``(3) the extent of community support for the application;
            ``(4) the ambitiousness of the objectives for the school;
            ``(5) the quality of the plan for assessing achievement of 
        those objectives; and
            ``(6) the likelihood that the school will meet those 
        objectives and improve educational results for students.
    ``(b) Peer Review.--The Secretary shall use a peer review process 
to review applications for grants under this section.
    ``(c) Diversity of Projects.--The Secretary may approve projects in 
a manner that ensures, to the extent possible, that they--
            ``(1) are distributed throughout different areas of the 
        Nation, including in urban and rural areas; and
            ``(2) represent a variety of educational approaches.
    ``(d) Waivers.--The Secretary may waive any statutory or regulatory 
requirement that the Secretary is responsible for enforcing, except for 
any such requirement relating to the elements of a charter school 
described in section 3407(1), if--
            ``(1) the waiver is requested in an approved application or 
        by a grantee under this part; and
            ``(2) the Secretary determines that granting such a waiver 
        would promote the purpose of this part.

                            ``uses of funds

    ``Sec. 3405. A recipient of a grant under this part may use the 
grant funds only for--
            ``(1) post-award planning and design of the educational 
        program, which may include--
                    ``(A) refinement of the desired educational results 
                and of the methods for measuring progress toward 
                achieving those results; and
                    ``(B) professional development of teachers and 
                other staff who will work in the charter school; and
            ``(2) initial implementation of the charter school, which 
        may include--
                    ``(A) informing the community about the school;
                    ``(B) acquiring necessary equipment;
                    ``(C) acquiring or developing curriculum materials; 
                and
                    ``(D) other operational costs that cannot be met 
                from State or local sources.

                         ``national activities

    ``Sec. 3406. The Secretary may reserve up to 10 percent of the 
funds appropriated for this part for any fiscal year for--
            ``(1) peer review of applications under section 3404(b);
            ``(2) an evaluation of charter schools, including those 
        assisted under this part; and
            ``(3) other activities designed to enhance the success of 
        the program authorized by this part, such as bringing grantees 
        together to share ideas and information.

                             ``definitions

    ``Sec. 3407. As used in this part, the following terms have the 
following meanings:
            ``(1) The term `charter school' means a school that--
                    ``(A) in accordance with an enabling State statute, 
                is exempted from significant State or local rules that 
                inhibit the flexible operation and management of public 
                schools, but not from any rules relating to the other 
                requirements of this paragraph;
                    ``(B) is created by a developer as a public school, 
                or is adapted by a developer from an existing public 
                school;
                    ``(C) operates in pursuit of a specific set of 
                educational objectives determined by the school's 
                developer and agreed to by the State or local 
                educational agency applying for a grant on behalf of 
                the school;
                    ``(D) provides a program of elementary or secondary 
                education, or both;
                    ``(E) is nonsectarian in its programs, admissions 
                policies, employment practices, and all other 
                operations, and is not affiliated with a sectarian 
                school or religious institution;
                    ``(F) does not charge tuition;
                    ``(G) complies with the Age Discrimination Act, 
                title VI of the Civil Rights Act of 1964, title IX of 
                the Education Amendments of 1972, section 504 of the 
                Rehabilitation Act of 1973, and part B of the 
                Individuals with Disabilities Education Act;
                    ``(H) admits students on the basis of a lottery, if 
                more students apply for admission than can be 
                accommodated;
                    ``(I) agrees to comply with the same Federal and 
                State audit requirements as do other schools in the 
                State, unless such requirements are specifically waived 
                for the purpose of this program; and
                    ``(J) meets all applicable Federal, State, and 
                local health and safety requirements.
            ``(2) The term `developer' means an individual or group of 
        individuals (including a public or private nonprofit 
        organization), which may include teachers, administrators and 
        other school staff, parents, or other members of the local 
        community in which a charter school project will be carried 
        out.
            ``(3) The term `eligible applicant' means a State 
        educational agency or local educational agency, in partnership 
        with a developer.

                   ``authorization of appropriations

    ``Sec. 3408. For the purpose of carrying out this part, there are 
authorized to be appropriated such sums as may be necessary for each of 
the fiscal years 1995 through 1999.

                      ``Part E--Arts in Education

                      ``support for arts education

    ``Sec. 3501. (a) Findings.--The Congress finds that--
            ``(1) the arts are forms of understanding and ways of 
        knowing that are fundamentally important to education;
            ``(2) the arts are important to excellent education and to 
        effective school reform;
            ``(3) the most significant contribution of the arts to 
        education reform is the transformation of teaching and 
        learning;
            ``(4) this transformation is best realized in the context 
        of comprehensive, systemic education reform;
            ``(5) demonstrated competency in the arts for American 
        students is among the National Education Goals; and
            ``(6) arts education should be an integral part of the 
        elementary and secondary school curriculum.
    ``(b) Purpose. The purposes of this part are to--
            ``(1) support systemic education reform by strengthening 
        arts education as an integral part of the elementary and 
        secondary school curriculum;
            ``(2) help ensure that all students have the opportunity to 
        learn to challenging standards in the arts; and
            ``(3) support the national effort to enable all students to 
        demonstrate competence in the arts in accordance with the 
        National Education Goals.
    ``(c) Eligible Recipients.--In order to carry out the purposes of 
this part, the Secretary is authorized to make grants to, or enter into 
contracts or cooperative agreements with--
            ``(1) State educational agencies;
            ``(2) local educational agencies;
            ``(3) institutions of higher education; and
            ``(4) other public and private agencies, institutions, and 
        organizations.
    ``(d) Authorized Activities.--Funds under this part may be used 
for--
            ``(1) research on arts education;
            ``(2) the development of, and dissemination of information 
        about, model arts education programs;
            ``(3) the development of model arts education assessments 
        based on high standards;
            ``(4) the development and implementation of curriculum 
        frameworks for arts education;
            ``(5) the development of model preservice and inservice 
        professional development programs for arts educators and other 
        instructional staff;
            ``(6) supporting collaborative activities with other 
        Federal agencies or institutions involved in arts education, 
        such as the National Endowment for the Arts, the Institute of 
        Museum Services, the John F. Kennedy Center for the Performing 
        Arts, and the National Gallery of Art;
            ``(7) supporting model projects and programs in the 
        performing arts for children and youth through arrangements 
        made with the John F. Kennedy Center for the Performing Arts;
            ``(8) supporting model projects and programs in the arts 
        for individuals with disabilities through arrangements with the 
        organization, Very Special Arts;
            ``(9) supporting model projects and programs to integrate 
        arts education into the regular elementary and secondary school 
        curriculum; and
            ``(10) other activities that further the purposes of this 
        part.
    ``(e) Coordination.--(1) A recipient of funds under this part 
shall, to the extent possible, coordinate its project with appropriate 
activities of public and private cultural agencies, institutions, and 
organizations, including museums, arts education associations, 
libraries, and theaters.
    ``(2) In carrying out this part, the Secretary shall coordinate 
with the National Endowment for the Arts, the Institute of Museum 
Services, the John F. Kennedy Center for the Performing Arts, and the 
National Gallery of Art.
    ``(f) Authorization.--For the purpose of carrying out this part, 
there are authorized to be appropriated such sums as may be necessary 
for each of the fiscal years 1995 through 1999.

            ``Part F--Inexpensive Book Distribution Program

     ``inexpensive book distribution program for reading motivation

    ``Sec. 3601. (a) Authorization.--The Secretary is authorized to 
enter into a contract with Reading Is Fundamental (RIF) (hereinafter in 
this section referred to as ``the contractor``) to support and promote 
programs, which include the distribution of inexpensive books to 
students, that motivate children to read.
    ``(b) Requirements of Contract.--Any contract entered into under 
subsection (a) shall--
            ``(1) provide that the contractor will enter into 
        subcontracts with local private nonprofit groups or 
        organizations or with public agencies under which each 
        subcontractor will agree to establish, operate, and provide the 
        non-Federal share of the cost of reading motivation programs 
        that include the distribution of books, by gift or loan, to 
        preschool, elementary, and secondary school children;
            ``(2) provide that funds made available by the Secretary 
        will be used by the contractor only to pay the Federal share of 
        the cost of such programs;
            ``(3) provide that in selecting subcontractors for initial 
        funding, the contractor will give priority to programs that 
        will serve a substantial number or percentage of children with 
        special needs, such as--
                    ``(A) low-income children, particularly in high-
                poverty areas;
                    ``(B) children at risk of school failure;
                    ``(C) children with disabilities, including 
                children with serious emotional disturbance;
                    ``(D) foster children;
                    ``(E) homeless children;
                    ``(F) migrant children;
                    ``(G) children without access to libraries;
                    ``(H) institutionalized or incarcerated children; 
                and
                    ``(I) children whose parents are institutionalized 
                or incarcerated;
            ``(4) provide that the contractor will not provide Federal 
        assistance under this section to any subcontractor for more 
        than five years after the date of enactment of the Improving 
        America's Schools Act of 1993 or the beginning of the 
        subcontractor's program under this section (or its predecessor 
        authority), whichever comes later, except that the contractor 
        may continue to provide such assistance beyond such date if--
                    ``(A) the program qualifies for priority treatment 
                under paragraph (3); and
                    ``(B) the contractor determines that, because of 
                severe economic hardship facing the subcontractor and 
                the local area it serves, the local program will be 
                unable to continue without additional assistance under 
                this section;
            ``(5) provide that, not later than three years from the 
        date of enactment of the Improving America's Schools Act of 
        1993, the contractor will cease providing Federal assistance 
        under this section to any subcontractor whose program--
                    ``(A) received such assistance under section 1563 
                of this Act, as in effect before the date of enactment 
                of the Improving America's Schools Act of 1993; and
                    ``(B) does not qualify for priority treatment under 
                paragraph (3);
            ``(6) provide that the contractor will provide such 
        technical assistance to subcontractors as may be necessary to 
        carry out the purpose of this section;
            ``(7) provide that the contractor will annually report to 
        the Secretary the number of, and describe, programs funded 
        under paragraph (3); and
            ``(8) include such other terms and conditions as the 
        Secretary determines to be appropriate to ensure the 
        effectiveness of such programs.
    ``(c) Restriction on Payments.--The Secretary shall make no payment 
of the Federal share of the cost of acquiring and distributing books 
under any contract under this section unless the Secretary determines 
that the contractor or subcontractor, as the case may be, has made 
arrangements with book publishers or distributors to obtain books at 
discounts at least as favorable as discounts that are customarily given 
by such publisher or distributor for book purchases made under similar 
circumstances in the absence of Federal assistance.
    ``(d) Definition of `Federal Share'.--For the purpose of this 
section, the term `Federal share' means the portion of the cost to a 
subcontractor of purchasing books to be paid with funds made available 
under this section. The Federal share shall be established by the 
Secretary, and shall not exceed 75 percent, except for books to be 
distributed to children of migrant or seasonal farmworkers.
    ``(e) Authorization of Appropriations.--For the purpose of carrying 
out this section, there are authorized to be appropriated such sums as 
may be needed for each of the fiscal years 1995 through 1999.

         ``TITLE IV--SAFE AND DRUG-FREE SCHOOLS AND COMMUNITIES

                               ``findings

    ``Sec. 4001. The Congress finds as follows:
            ``(1) National Education Goal Six provides that by the year 
        2000, all schools in America will be free of drugs and violence 
        and offer a disciplined environment that is conducive to 
        learning.
            ``(2) The widespread use of alcohol and other drugs among 
        the Nation's secondary school students, and increasingly by 
        students in elementary schools as well, constitutes a grave 
        threat to their physical and mental well-being, and 
        significantly impedes the learning process. For example, data 
        show that students who drink tend to receive lower grades and 
        are more likely to miss school because of illness than students 
        who do not drink.
            ``(3) Our Nation's schools and communities are increasingly 
        plagued by violence and crime. Approximately three million 
        thefts and violent crimes occur in or near our Nation's schools 
        every year, the equivalent of more than 16,000 incidents per 
        school day. Approximately one of every five high school 
        students now carries a firearm, knife, or club on a regular 
        basis.
            ``(4) The tragic consequences of violence and the illegal 
        use of alcohol and other drugs by students are felt not only by 
        students and their families, but by their communities and the 
        Nation, which can ill afford to lose their skills, talents, and 
        vitality.
            ``(5) Alcohol and tobacco (nicotine) are the most widely 
        used drugs among young people today. Both of these drugs can, 
        and do, have adverse consequences for users, their families, 
        communities, schools, and colleges. Drug prevention programs 
        for youth that address only controlled drugs send an erroneous 
        message that alcohol and tobacco do not present significant 
        problems, or that society is willing to overlook their use. To 
        be credible, messages opposing illegal drug use by youth should 
        address all drugs.
            ``(6) Drug and violence prevention programs are essential 
        components of a comprehensive strategy to promote school safety 
        and to reduce the demand for and use of drugs throughout the 
        Nation. Schools and local organizations in communities 
        throughout the Nation have a special responsibility to work 
        together to combat the growing epidemic of violence and illegal 
        drug use and should measure the success of their programs 
        against clearly defined goals and objectives.
            ``(7) Students must take greater responsibility for their 
        own well-being, health, and safety if schools and communities 
        are to achieve their goals of providing a safe, disciplined, 
        and drug-free learning environment.

                               ``purpose

    ``Sec. 4002. The purpose of this title is to support programs to 
meet Goal Six of the National Educational Goals by preventing violence 
in and around schools and by strengthening programs that prevent the 
illegal use of alcohol and other drugs, involve parents, and are 
coordinated with related Federal, State, and community efforts and 
resources, through the provision of Federal assistance to--
            ``(1) States for grants to local and intermediate 
        educational agencies and consortia to establish, operate, and 
        improve local programs of school drug and violence prevention, 
        early intervention, rehabilitation referral, and education in 
        elementary and secondary schools (including intermediate and 
        junior high schools);
            ``(2) States for grants to, and contracts with, community-
        based organizations and other public and private non-profit 
        agencies and organizations for programs of drug and violence 
        prevention, early intervention, rehabilitation referral, and 
        education;
            ``(3) States for development, training, technical 
        assistance, and coordination activities;
            ``(4) institutions of higher education to establish, 
        operate, expand, and improve programs of school drug and 
        violence prevention, education, and rehabilitation referral for 
        students enrolled in colleges and universities;
            ``(5) a national center to provide training and technical 
        assistance to institutions providing postsecondary education in 
        developing and implementing model programs and strategies to 
        prevent violence and illegal drug use by students at such 
        institutions; and
            ``(6) public and private non-profit organizations to 
        conduct training, demonstrations, research, and evaluation, and 
        to provide supplementary services for the prevention of drug 
        use and violence among students and youth.

                   ``authorization of appropriations

    ``Sec. 4003. There are authorized to be appropriated--
            ``(1) for State grants under part A, such sums as may be 
        necessary for each of fiscal years 1995 through 1999;
            ``(2) for postsecondary programs under part B, such sums as 
        may be necessary for each of fiscal years 1995 through 1999; 
        and
            ``(3) for national programs under part C, such sums as may 
        be necessary for each of fiscal years 1995 through 1999.

    ``Part A--State Grants For Drug and Violence Prevention Programs

                     ``reservations and allotments

    ``Sec. 4101. (a) Reservations.--From the amount appropriated for 
each fiscal year under section 4003(1), the Secretary--
            ``(1) shall reserve no more than one-half of 1 percent of 
        such amount for grants under this part to Guam, American Samoa, 
        the Virgin Islands, the Commonwealth of the Northern Mariana 
        Islands, and Palau (until the effective date of the Compact of 
        Free Association with the Government of Palau), to be allotted 
        in accordance with the Secretary's determination of their 
        respective needs;
            ``(2) shall reserve no more than one percent of such amount 
        for the Secretary of the Interior to carry out programs under 
        this part for Indian youth; and
            ``(3) may reserve no more than $1,000,000 for the national 
        impact evaluation required by section 4108(a).
    ``(b) State Allotments.--(1) Except as provided under paragraph 
(2), the Secretary shall, for each fiscal year, allocate among the 
States--
            ``(A) one-half of the remainder not reserved under 
        subsection (a) according to the ratio between the school-aged 
        population of each State and the school-aged population of all 
        the States; and
            ``(B) one-half of such remainder according to the ratio 
        between the amount each State received under section 1122 of 
        this Act for the preceding year (or, for fiscal year 1995 only, 
        sections 1005 and 1006 of this Act as in effect on the day 
        before enactment of the Improving America's Schools Act of 
        1993) and the sum of such amounts received by all the States.
    ``(2) For any fiscal year, no State shall be allotted under this 
subsection an amount that is less than one-half of 1 percent of the 
total amount allotted to all the States under this subsection.
    ``(3) The Secretary may reallot any amount of any allotment to a 
State if the Secretary determines that the State will be unable to use 
such amount within two years of such allotment. Such reallotments may 
be made on whatever basis the Secretary determines would best serve the 
purposes of this title.
    ``(4) For the purpose of this subsection, the term `State' means 
each of the 50 States, the District of Columbia, and the Commonwealth 
of Puerto Rico.

       ``state drug and violence prevention coordinating council

    ``Sec. 4102. (a) Establishment of Council.--No State may receive 
its allotment under section 4101 unless its chief executive officer 
establishes a State Drug and Violence Prevention Coordinating Council 
(or designates an existing body to perform the functions of such a 
Council) to advise him or her and the chief State school officer on the 
development and implementation of the State's application under section 
4103.
    ``(b) Membership.--(1) The chief executive officer, the chief State 
school officer, the head of the State alcohol and drug abuse agency, 
the heads of the State health and mental health agencies, and the head 
of the State criminal justice planning agency, or their designees, 
shall be members of the Council.
    ``(2) The chief executive officer shall also appoint 
representatives of other appropriate State agencies or offices as 
members of the Council.
    ``(c) Functions of Council.--The Council established or designated 
under this section shall--
            ``(1) review and comment on the development of the State's 
        application under section 4103, including the chief executive 
        officer's and State education agency's comprehensive plans 
        under sections 4103(b) and (c);
            ``(2) disseminate information about drug and violence 
        prevention initiatives within the State, including programs 
        funded under sections 4104 and 4105;
            ``(3) advise the chief executive officer and the State 
        educational agency on how to coordinate the State's activities 
        under this part with other available resources; and
            ``(4) advise the chief executive officer and the State 
        educational agency on the planning and implementation of 
        program evaluation activities and make recommendations on how 
        to improve the State's program, including the formulation of 
        measurable goals.

                          ``state applications

    ``Sec. 4103. (a) In General.--In order to receive its allotment 
under section 4101 for any fiscal year, a State shall submit to the 
Secretary, at such time as the Secretary may require, an application 
that--
            ``(1)(A)(i) is integrated into the State's plan, either 
        approved or being developed, under title III of the Goals 2000: 
        Educate America Act, and satisfies the requirements of this 
        section that are not already addressed by that plan; and
            ``(ii) is submitted, if necessary, as an amendment to the 
        State's plan under title III of the Goals 2000: Educate America 
        Act; or
            ``(B) if the State does not have an approved plan under 
        title III of the Goals 2000: Educate America Act and is not 
        developing such a plan, is integrated with other State plans 
        under this Act and satisfies the requirements of this section;
            ``(2) contains the results of the State's needs assessment 
        for drug and violence prevention programs, which shall be based 
        on the results of on-going State evaluation activities, 
        including data on the prevalence of drug use and violence by 
        youth in schools and communities;
            ``(3) contains a list of the members, and the interests or 
        organizations they represent, of the State Drug and Violence 
        Prevention Coordinating Council;
            ``(4) contains a description of the procedures the State 
        educational agency will use to review applications from local 
        educational agencies under section 4106;
            ``(5) contains an assurance that the State will cooperate 
        with, and assist, the Secretary in conducting a national impact 
        evaluation of programs required by section 4108(a); and
            ``(6) includes any other information the Secretary may 
        require.
    ``(b) Governor's Funds.--A State's application under this section 
shall also contain a comprehensive plan for the use of funds under 
section 4104(a) by the chief executive officer that includes--
            ``(1) a statement of the chief executive officer's 
        measurable goals and objectives for drug and violence 
        prevention and a description of the procedures to be used for 
        assessing and publicly reporting progress toward meeting those 
        goals and objectives;
            ``(2) a description of how the chief executive officer will 
        coordinate his or her activities under this part with the State 
        educational agency and other State agencies and organizations 
        involved with drug and violence prevention efforts;
            ``(3) a description of how funds reserved under section 
        4104(a) will be used so as not to duplicate the efforts of the 
        State educational agency and local educational agencies with 
        regard to the provision of school-based prevention efforts and 
        services and how those funds will be used to serve populations 
        not normally served by the State educational agency, such as 
        school dropouts and youth in detention centers;
            ``(4) a description of how the chief executive officer will 
        award funds under section 4104(a) and a plan for monitoring the 
        performance of, and providing technical assistance to, 
        recipients of such funds; and
            ``(5) a description of how funds will be used to support 
        community-wide comprehensive drug and violence prevention 
        planning.
    ``(c) State Educational Agency Funds.--A State's application under 
this section shall also contain a comprehensive plan for the use of 
funds under section 4105(a) by the State educational agency that 
includes--
            ``(1) a statement of the State educational agency's 
        measurable goals and objectives for drug and violence 
        prevention and a description of the procedures it will use for 
        assessing and publicly reporting progress toward meeting those 
        goals and objectives;
            ``(2) a plan for monitoring the implementation of, and 
        providing technical assistance regarding, the drug and violence 
        prevention programs conducted by local educational agencies in 
        accordance with section 4107;
            ``(3) a description of how the State educational agency 
        will use funds it reserves under section 4105(b);
            ``(4) a description of how the State educational agency 
        will coordinate its activities under this part with the chief 
        executive officer's drug and violence prevention programs under 
        this part and with the prevention efforts of other State 
        agencies; and
            ``(5) an explanation of the criteria the State educational 
        agency will use to identify which local educational agencies 
        receive supplemental funds under section 4105(d)(2)(A)(ii) and 
        how the supplemental funds will be allocated among those local 
        educational agencies.
    ``(d) Peer Review.--The Secretary shall use a peer review process 
in reviewing State applications under this section.
    ``(e) Interim Application.--Notwithstanding any other provisions of 
this section, a State may submit for fiscal year 1995 a one-year 
interim application and plan for the use of funds under this part that 
are consistent with the requirements of this section and contain such 
information as the Secretary may specify in regulations. The purpose of 
such interim application and plan shall be to afford the State the 
opportunity to fully develop and review its application and 
comprehensive plan otherwise required by this section. A State may not 
receive a grant under this part for a fiscal year subsequent to fiscal 
year 1995 unless the Secretary has approved its application and 
comprehensive plan.

                         ``governor's programs

    ``Sec. 4104. (a) Use of Funds.--(1) An amount equal to 20 percent 
of the total amount allocated to a State under section 4101 for each 
fiscal year shall be used by the chief executive officer of such State 
for drug and violence prevention programs and activities in accordance 
with this section.
    ``(2) A chief executive officer may use no more than five percent 
of the amount reserved under subsection (a)(1) for the administrative 
costs incurred in carrying out the duties of such officer under this 
section, including the cost of the State Drug and Violence Prevention 
Coordinating Council under section 4102(a).
    ``(b) Programs Authorized.--(1) A chief executive officer shall use 
funds reserved under subsection (a)(1) for grants to or contracts with 
parent groups, community action and job training agencies, community-
based organizations, and other public entities and private nonprofit 
organizations. Such grants or contracts shall support programs and 
activities described in subsection (c) for children and youth who are 
not normally served by State or local educational agencies, for 
populations that need special services or additional resources (such as 
preschoolers, youth in juvenile detention facilities, runaway or 
homeless children and youth, and dropouts), or both.
    ``(2) Grants or contracts awarded under this subsection shall be 
subject to a peer review process.
    ``(c) Authorized Activities.--Grants and contracts under subsection 
(b) shall be used for programs and activities such as--
            ``(1) disseminating information about drug and violence 
        prevention;
            ``(2) training parents, law enforcement officials, judicial 
        officials, social service providers, health service providers 
        and community leaders about drug and violence prevention, 
        education, early intervention, counseling, or rehabilitation 
        referral;
            ``(3) developing and implementing comprehensive, community-
        based drug and violence prevention programs that link community 
        resources with schools and integrate services involving 
        education, vocational and job skills training, law enforcement, 
        health, mental health, and other appropriate services;
            ``(4) planning and implementing drug and violence 
        prevention activities that coordinate the efforts of State 
        agencies with those of the State educational agency and its 
        local educational agencies;
            ``(5) activities to protect students traveling to and from 
        school;
            ``(6) developing and implementing strategies to prevent 
        illegal gang activity;
            ``(7) coordinating and conducting community-wide violence 
        and safety assessments and surveys; and
            ``(8) evaluating programs and activities under this 
        section.

             ``state and local educational agency programs

    ``Sec. 4105. (a) Use of Funds.--An amount equal to 80 percent of 
the total amount allocated to a State under section 4101 for each 
fiscal year shall be used by the State educational agency and its local 
educational agencies for drug and violence prevention activities in 
accordance with this section.
    ``(b) State Level Programs.--(1) A State educational agency shall 
use no more than five percent of the amount reserved under subsection 
(a) for activities such as--
            ``(A) training and technical assistance concerning drug and 
        violence prevention for local and intermediate educational 
        agencies, including teachers, administrators, coaches and 
        athletic directors, other educational personnel, parents, 
        students, community leaders, health service providers, local 
        law enforcement officials, and judicial officials;
            ``(B) the development, identification, dissemination and 
        evaluation of the most readily available, accurate, and up-to-
        date curriculum materials, for consideration by local 
        educational agencies;
            ``(C) demonstration projects in drug and violence 
        prevention;
            ``(D) financial assistance to enhance resources available 
        for drug and violence prevention in areas serving large numbers 
        of economically disadvantaged children or sparsely populated 
        areas, or to meet other special needs consistent with the 
        purposes of this part; and
            ``(E) evaluation activities required by this subpart.
    ``(2) A State educational agency may carry out activities under 
this subsection directly, or through grants or contracts.
    ``(c) State Administration.--A State educational agency may use no 
more than five percent of the amount reserved under subsection (a) for 
the administrative costs of carrying out its responsibilities under 
this part.
    ``(d) Local Educational Agency Programs.--(1) A State educational 
agency shall distribute not less than 90 percent of the amount reserved 
under subsection (a) for each fiscal year to local educational agencies 
in accordance with this subsection.
    ``(2)(A) Of the amount distributed under subsection (d)(1), a State 
educational agency shall distribute--
            ``(i) 70 percent of such amount to local educational 
        agencies, based on the relative enrollments in public and 
        private non-profit schools within their boundaries; and
            ``(ii) 30 percent of such amount to local educational 
        agencies that the State educational agency determines have the 
        greatest need for additional funds to carry out drug and 
        violence prevention programs authorized by this part.
    ``(B)(i) A State educational agency shall distribute funds under 
subparagraph (A)(ii) to no more than ten percent of its local 
educational agencies, or five such agencies, whichever is greater.
    ``(ii) In determining which local educational agencies have the 
greatest need for additional funds, the State educational agency shall 
consider factors such as--
            ``(I) high rates of alcohol or other drug use among youth;
            ``(II) high rates of victimization of youth by violence and 
        crime;
            ``(III) high rates of arrests and convictions of youth for 
        violent or drug- or alcohol-related crime;
            ``(IV) the extent of illegal gang activity;
            ``(V) high rates of referrals of youths to drug and alcohol 
        abuse treatment and rehabilitation programs;
            ``(VI) high rates of referrals of youths to juvenile court; 
        and
            ``(VII) high rates of expulsions and suspensions of 
        students from schools.
    ``(e) Reallocation of Funds.--If a local educational agency chooses 
not to apply to receive the amount allocated to it under subsection 
(d), or if its application under section 4106 is disapproved by the 
State educational agency, the State educational agency shall reallocate 
such amount to one or more of the local education agencies determined 
by the State educational agency under subsection (d)(2)(B) to have the 
greatest need for additional funds.

                          ``local applications

    ``Sec. 4106. (a) In General.--(1) In order to be eligible to 
receive an allocation under section 4105(d) for any fiscal year, a 
local educational agency shall submit, at such time as the State 
educational agency requires, an application to the State educational 
agency for approval. Such an application shall be amended, as 
necessary, to reflect changes in the local educational agency's 
program.
    ``(2)(A) A local educational agency shall develop its application 
under subsection (a)(1) in consultation with a local or substate 
regional advisory council that includes, to the extent possible, 
representatives of local government, business, parents, students, 
teachers, appropriate state agencies, private schools, the medical 
profession, law enforcement, community-based organizations, and other 
groups with interest and expertise in drug and violence prevention.
    ``(B) In addition to assisting the local educational agency to 
develop its application under this section, the advisory council 
established or designated under paragraph (2)(A) shall, on an on-going 
basis--
            ``(i) disseminate information about drug and violence 
        prevention programs, projects, and activities conducted within 
        the boundaries of the local educational agency;
            ``(ii) advise the local educational agency on how best to 
        coordinate its activities under this part with other related 
        programs, projects, and activities and the agencies that 
        administer them; and
            ``(iii) review program evaluations and other relevant 
        material and make recommendations to the local educational 
        agency on how to improve its drug and violence prevention 
        programs.
    ``(b) Contents of Applications.--An application under this section 
shall contain--
            ``(1) a needs assessment of the current alcohol, tobacco, 
        and other drug problems as well as the violence, safety, and 
        discipline problems among students who attend the schools of 
        the applicant (including private school students who 
        participate in the applicant's drug and violence prevention 
        program) that is based on on-going local assessment or 
        evaluation activities;
            ``(2) a detailed explanation of the local educational 
        agency's comprehensive plan for drug and violence prevention, 
        which shall include a description of--
                    ``(A) how that plan is consistent with, and 
                promotes the goals in, the State's application under 
                section 4103 and the local educational agency's plan, 
                either approved or being developed, under title III of 
                the Goals 2000: Educate America Act, or, if the local 
                educational agency does not have such an approved plan 
                and is not developing one, its plan under section 1112 
                of this Act;
                    ``(B) the local educational agency's measurable 
                goals for drug and violence prevention, and a 
                description of how it will assess and publicly report 
                progress toward attaining these goals;
                    ``(C) if the local educational agency intends to 
                use funds under this part to implement an expanded drug 
                and violence prevention program under section 4107(c), 
                an explanation of how the local educational agency is 
                already meeting the requirements of a basic drug and 
                violence prevention program under section 4107(b), 
                regardless of the source of funds used;
                    ``(D) how the local educational agency will use its 
                regular allocation under section 4105(d)(2)(A)(i) and 
                its supplemental allocation, if any, under section 
                4105(d)(2)(A)(ii);
                    ``(E) how the local educational agency will 
                coordinate its programs and projects with community-
                wide efforts to achieve its goals for drug and violence 
                prevention; and
                    ``(F) how the local education agency will 
                coordinate its programs and projects with other 
                Federal, State, and local programs for drug-abuse 
                prevention, including health programs; and
            ``(3) such other information and assurances as the State 
        educational agency may reasonably require.
    ``(c) Review of Application.--(1) A State educational agency shall 
use a peer review process in reviewing local applications under this 
section.
    ``(2)(A) In determining whether to approve the application of a 
local educational agency under this section, a State educational agency 
shall consider the quality of the local educational agency's 
comprehensive plan under subsection (b)(2) and the extent to which it 
is consistent with, and supports, the State's application under section 
4103 and the State's plan under the Goals 2000: Educate America Act, 
and, if the State does not have such a plan, its plan under section 
1111 of this Act.
    ``(B) A State educational agency shall not permit a local 
educational agency to use funds under this part to implement an 
expanded drug and violence prevention program under section 4107(c) 
unless it determines that the local educational agency is already 
meeting (regardless of the source of funds) the requirements of a basic 
drug and violence prevention program under section 4107(b).
    ``(C) A State educational agency may disapprove a local educational 
agency application under this section in whole or in part and may 
withhold, limit, or place restrictions on the use of funds allotted to 
such a local educational agency in a manner the State educational 
agency determines will best promote the purposes of this part or the 
State's plan under the Goals 2000: Educate America Act, and, if the 
State does not have such a plan, its plan under section 1111 of this 
Act.

             ``local drug and violence prevention programs

    ``Sec. 4107. (a) Use of Funds.--Except as permitted under 
subsection (c), a local educational agency shall use funds received 
under this part to adopt and implement a basic drug and violence 
prevention program described under subsection (b).
    ``(b) Basic Program.--(1) A basic drug and violence prevention 
program under this part shall--
            ``(A) be designed, for all students and employees, to--
                    ``(i) prevent the illegal use, possession, and 
                distribution of alcohol, tobacco, and other drugs;
                    ``(ii) prevent violence and promote school safety; 
                and
                    ``(iii) create a disciplined environment conducive 
                to learning;
            ``(B) include mandatory standards of conduct for students 
        and employees, which clearly describe the sanctions that will 
        be imposed for violations of the standards and which are 
        distributed to all students, parents, and employees;
            ``(C) include, with respect to drug prevention--
                    ``(i) age-appropriate, developmentally based 
                education and prevention programs for all students, 
                from the early childhood level through grade 12, that 
                address the legal, social and health consequences of 
                the use of illegal drugs, promote a sense of individual 
                responsibility, and provide information about effective 
                techniques for resisting peer pressure to use illegal 
                drugs;
                    ``(ii) professional development programs for school 
                personnel who provide the education and prevention 
                programs required by subsection (b)(1)(C)(i);
                    ``(iii) activities to promote the involvement of 
                parents and coordination with community groups and 
                agencies, including the distribution of information 
                about the local educational agency's needs assessments, 
                goals, and programs under subsection (b)(1)(C)(i); and
                    ``(iv) the distribution of information to all 
                students and employees about resources for drug and 
                alcohol counseling, rehabilitation, and re-entry 
                programs that are available in the community; and
            ``(D) include, with respect to violence prevention--
                    ``(i) age-appropriate, developmentally based 
                education and prevention programs for all students, 
                from the early childhood level through grade 12, that 
                address the legal, personal, and social consequences of 
                violent and disruptive behavior, including sexual 
                harassment, and that include activities designed to 
                help students develop a sense of individual 
                responsibility and respect for the rights of others, 
                and to resolve conflicts without violence;
                    ``(ii) professional development programs for school 
                personnel who provide the education and prevention 
                programs required by subsection (b)(1)(D)(i);
                    ``(iii) activities to promote the involvement of 
                parents and coordination with community groups and 
                agencies, including the distribution of information 
                about the local educational agency's needs assessment, 
                goals and programs under subsection (b)(1)(D)(i); and
                    ``(iv) the distribution of information to all 
                students and employees about resources for counseling, 
                re-entry, and conflict resolution that are available in 
                the community.
    ``(2) In implementing its basic drug and violence prevention 
program under paragraph (1) or its expanded program under subsection 
(c), a local educational agency may use no more than 33 percent of the 
funds it receives under this part for any fiscal year for--
            ``(A) minor remodeling to promote security and reduce the 
        risk of violence, such as removing lockers, installing better 
        lights, and upgrading locks; and
            ``(B) acquiring and installing metal detectors and hiring 
        security personnel.
    ``(c) Expanded Program.--(1) A local educational agency that 
demonstrates to the satisfaction of the State educational agency that 
it has adopted and implemented a basic drug and violence prevention 
program described under subsection (b) may use funds received under 
this subpart to supplement its basic program, to carry out one or more 
of the activities described in paragraph (2), or both.
    ``(2) A local educational agency described in paragraph (1) may use 
funds received under this subpart for--
            ``(A) programs of drug prevention, health education, early 
        intervention, counseling, mentoring, or rehabilitation 
        referral, which emphasize students' sense of individual 
        responsibility and may include--
                    ``(i) the dissemination of information about drug 
                prevention;
                    ``(ii) the training of school personnel, parents, 
                students, law enforcement officials, judicial 
                officials, health service providers, and community 
                leaders in prevention, education, early intervention, 
                counseling, or rehabilitation referral; and
                    ``(iii) the implementation of strategies, including 
                strategies to integrate the delivery of services from a 
                variety of providers, to combat illegal alcohol and 
                other drug use, such as--
                            ``(I) family counseling;
                            ``(II) early intervention activities that 
                        prevent family dysfunction, enhance school 
                        performance, and boost attachment to school and 
                        family; and
                            ``(III) activities, such as community 
                        service projects, that are designed to increase 
                        students' sense of community;
            ``(B) violence prevention programs for school-aged youth, 
        which emphasize students' sense of individual responsibility 
        and may include--
                    ``(i) the dissemination of information about school 
                safety and discipline;
                    ``(ii) the training of school personnel, parents, 
                law enforcement officials, judicial officials, and 
                community leaders in designing and implementing 
                strategies to prevent school violence;
                    ``(iii) the implementation of strategies, such as 
                conflict resolution and peer mediation and the use of 
                mentoring programs, to combat school violence and other 
                forms of disruptive behavior, such as sexual 
                harassment; and
                    ``(iv) comprehensive, community-wide strategies to 
                prevent or reduce illegal gang activity;
            ``(C) the promotion of before- and after-school 
        recreational, instructional, cultural, and artistic programs in 
        supervised community settings; and
            ``(D) the evaluation of any of the activities authorized by 
        subsection (c).

                       ``evaluation and reporting

    ``Sec. 4108. (a) National Impact Evaluation.--The Secretary, in 
consultation with the Secretary of Health and Human Services, the 
Director of the Office of National Drug Control Policy, and the 
Attorney General, shall conduct an independent biennial evaluation of 
the national impact of programs under this part and submit a report of 
the findings of such evaluation to the President and the Congress.
    ``(b) State Report.--(1) By October 1, 1997, and every third year 
thereafter, the chief executive officer of the State, in cooperation 
with the State educational agency, shall submit to the Secretary a 
report--
            ``(A) on the implementation and outcomes of State programs 
        under section 4104 and section 4105(b) and local programs under 
        section 4105(d), as well as an assessment of their 
        effectiveness; and
            ``(B) on the State's progress toward attaining its goals 
        for drug and violence prevention under sections 4103 (b)(1) and 
        (c)(1).
    ``(2) The report required by this subsection shall be--
            ``(A) in the form specified by the Secretary;
            ``(B) based on the State's on-going evaluation activities, 
        and shall include data on the prevalence of drug use and 
        violence by youth in schools and communities; and
            ``(C) made readily available to the public.
    ``(c) Local Educational Agency Report.--Each local educational 
agency receiving funds under this subpart shall submit to the State 
educational agency whatever information, and at whatever intervals, the 
State requires to complete the State report required by subsection (b), 
including information on the prevalence of drug use and violence by 
youth in the schools and the community. Such information shall be made 
readily available to the public.

     ``Part B--Postsecondary Drug and Violence Prevention Programs

              ``grants to institutions of higher education

    ``Sec. 4201. (a) In General.--From funds appropriated under section 
4003(2), the Secretary is authorized to make grants to, or enter into 
contracts with, institutions of higher education, or consortia of such 
institutions, for drug and violence prevention programs under this 
section. Awards under this section shall support the development, 
implementation, validation, and dissemination of model programs and 
strategies to promote the safety of students attending institutions of 
higher education by preventing violent behavior and the illegal use of 
alcohol and other drugs by such students.
    ``(b) Applications.--An institution of higher education, or 
consortium of such institutions, that desires to receive an award under 
this section shall submit an application to the Secretary at such time, 
in such manner, and containing such information as the Secretary may 
reasonably require. The Secretary shall use a peer review process for 
reviewing applications for funds under this section.
    ``(c) Equitable Participation.--The Secretary shall make every 
reasonable effort to ensure the equitable participation of private and 
public institutions of higher education (including community and junior 
colleges), institutions of limited enrollment, and institutions in 
different geographic regions.

                           ``national center

    ``Sec. 4202. From funds appropriated under section 4003(2), the 
Secretary is authorized to support, through a grant to, or a contract 
with, an institution of higher education, a public or private non-
profit organization, or a for-profit organization, a national center to 
provide training and technical assistance to institutions providing 
postsecondary education, including for-profit institutions, in 
developing, implementing, evaluating, validating, replicating, and 
disseminating model programs and strategies to prevent violence and the 
use of illegal drugs by students at such institutions.

                      ``Part C--National Programs

                          ``federal activities

    ``Sec. 4301. (a) Program Authorized.--From funds appropriated under 
section 4003(3), the Secretary of Education, in consultation with the 
Secretary of Health and Human Services, the Director of the Office of 
National Drug Control Policy, and the Attorney General, shall carry out 
programs to prevent the illegal use of drugs and violence among, and 
promote safety and discipline for, students at all educational levels, 
prekindergarten through postsecondary. The Secretary shall carry out 
such programs directly, or through grants, contracts, or cooperative 
agreements with public and private non-profit organizations and 
individuals, or through agreements with other Federal agencies, and 
shall coordinate such programs with other appropriate Federal 
activities. Such programs may include--
            ``(1) the development and demonstration of innovative 
        strategies for training school personnel, parents, and members 
        of the community, including the demonstration of model 
        preservice training programs for prospective school personnel;
            ``(2) demonstrations and rigorous evaluations of innovative 
        approaches to drug and violence prevention;
            ``(3) drug and violence prevention research that is 
        coordinated with other Federal agencies and is directed towards 
        improving programs and activities under this title;
            ``(4) program evaluations that address issues not addressed 
        under section 4108(a);
            ``(5) direct services to schools and school systems 
        afflicted with especially severe drug and violence problems;
            ``(6) activities in communities designated as empowerment 
        zones or enterprise communities that will connect schools to 
        community-wide efforts to reduce drug and violence problems;
            ``(7) developing and disseminating drug and violence 
        prevention materials, including model curricula; and
            ``(8) other activities that meet unmet national needs 
        related to the purposes of this title.
    ``(b) Peer Review.--The Secretary shall use a peer review process 
in reviewing applications for funds under this section.

                      ``Part D--General Provisions

                             ``definitions

    ``Sec. 4401. For the purposes of this title, the following terms 
have the following meanings:
            ``(1) The term `drug and violence prevention' means--
                    ``(A) with respect to drugs, prevention, early 
                intervention, rehabilitation referral, or education 
                related to the illegal use of alcohol and tobacco 
                (nicotine) and the use of controlled, illegal, 
                addictive, or harmful substances, including inhalants 
                and anabolic steroids; and
                    ``(B) with respect to violence, the promotion of 
                school safety, such that students and school personnel 
                are free from violent and disruptive acts, including 
                sexual harassment, on school premises, going to and 
                from school, and at school-sponsored activities, 
                through the creation and maintenance of a school 
                environment that is free of weapons and fosters 
                individual responsibility and respect for the rights of 
                others.
            ``(2) The term `nonprofit', as applied to a school, agency, 
        organization, or institution means a school, agency, 
        organization, or institution owned and operated by one or more 
        nonprofit corporations or associations, no part of the net 
        earnings of which inures, or may lawfully inure, to the benefit 
        of any private shareholder or individual.
            ``(3) The term `school-aged population' means the 
        population aged five through 17, as determined by the Secretary 
        on the basis of the most recent satisfactory data available 
        from the Department of Commerce.
            ``(4) The term `school personnel' includes teachers, 
        administrators, guidance counselors, social workers, 
        psychologists, nurses, librarians, and other support staff who 
        are employed by a school or who perform services for the school 
        on a contractual basis.

                              ``materials

    ``Sec. 4402. (a) `Wrong and Harmful' Message.--Drug prevention 
programs supported under this title shall convey a clear and consistent 
message that the illegal use of alcohol and other drugs is wrong and 
harmful.
    ``(b) Curriculum.--The Secretary shall not prescribe the use of 
specific curricula for programs supported under this title, but may 
evaluate the effectiveness of such curricula and other strategies in 
drug and violence prevention.

                       ``prohibited uses of funds

    ``Sec. 4403. No funds under this title may be used for--
            ``(1) construction (except for minor remodeling needed to 
        accomplish the purposes of this title);
            ``(2) drug treatment or rehabilitation; and
            ``(3) psychiatric, psychological, or other medical 
        treatment or rehabilitation, other than school-based counseling 
        for students or school personnel who are victims or witnesses 
        of school-related crime.

                      ``TITLE V--PROMOTING EQUITY

                  ``Part A--Magnet Schools Assistance

                               ``findings

    ``Sec. 5101. The Congress finds that--
            ``(1) magnet schools are a significant part of our Nation's 
        effort to achieve voluntary desegregation in its schools;
            ``(2) the use of magnet schools has increased dramatically 
        since enactment of this program, with approximately 1.4 million 
        students nationwide now attending such schools, of which more 
        than 60 percent of the students are nonwhite;
            ``(3) magnet schools offer a wide range of distinctive 
        programs that have served as models for school improvement 
        efforts;
            ``(4) in administering this program, the Federal Government 
        has learned that--
                    ``(A) where magnet programs are implemented for 
                only a portion of a school's student body, special 
                efforts must be made to discourage the isolation of 
                magnet students from other students in the school;
                    ``(B) school districts can maximize their 
                effectiveness in achieving the purposes of this program 
                if they have more flexibility to serve students 
                attending a school who are not enrolled in the magnet 
                school program;
                    ``(C) school districts must be creative in 
                designing magnet schools for students at all academic 
                levels, so that school districts do not skim off only 
                the highest achieving students to attend the magnet 
                schools;
                    ``(D) school districts must seek to enable 
                participation in magnet school programs by students who 
                reside in the neighborhoods where the programs are 
                placed; and
                    ``(E) in order to ensure that magnet schools are 
                sustained after Federal funding ends, the Federal 
                Government must assist school districts to improve 
                their capacity to continue to operate magnet schools at 
                a high level of performance;
            ``(5) it is in the best interest of the Federal Government 
        to--
                    ``(A) continue its support of school districts 
                implementing court-ordered desegregation plans and 
                school districts seeking to foster meaningful 
                interaction among students of different racial and 
                ethnic backgrounds beginning at the earliest stage of 
                their education;
                    ``(B) ensure that all students have equitable 
                access to quality education that will prepare them to 
                function well in a culturally diverse, technologically-
                oriented, and highly competitive global community; and
                    ``(C) maximize the ability of school districts to 
                plan, develop, implement and continue new and 
                innovative magnet schools that contribute to State and 
                local systemic reform.

                         ``statement of purpose

    ``Sec. 5102. The purpose of this part is to assist in the 
desegregation of school districts by providing financial assistance to 
eligible local educational agencies for--
            ``(1) the elimination, reduction, or prevention of minority 
        group isolation in elementary and secondary schools with 
        substantial proportions of minority students;
            ``(2) the development and implementation of magnet school 
        projects that will assist local educational agencies in 
        achieving systemic reforms and providing all students the 
        opportunity to meet challenging performance State standards;
            ``(3) the development and design of innovative educational 
        methods and practices; and
            ``(4) courses of instruction within magnet schools that 
        will substantially strengthen the knowledge of academic 
        subjects and the grasp of tangible and marketable vocational 
        skills of students attending such schools.

                          ``program authorized

    ``Sec. 5103. The Secretary is authorized, in accordance with this 
part, to make grants to eligible local educational agencies for use in 
magnet schools that are part of an approved desegregation plan and that 
are designed to bring students from different social, economic, ethnic, 
and racial backgrounds together.

                              ``definition

    ``Sec. 5104. For the purpose of this part, the term `magnet school' 
means a school or education center that offers a special curriculum 
capable of attracting substantial numbers of students of different 
racial backgrounds.

                             ``eligibility

    ``Sec.  5105. A local educational agency is eligible to receive 
assistance under this part if it--
            ``(1) is implementing a plan undertaken pursuant to a final 
        order issued by a court of the United States, or a court of any 
        State, or any other State agency or official of competent 
        jurisdiction, and that requires the desegregation of minority-
        group-segregated children or faculty in the elementary and 
        secondary schools of such agency; or
            ``(2) without having been required to do so, has adopted 
        and is implementing, or will, if assistance is made available 
        to it under this part, adopt and implement a plan that has been 
        approved by the Secretary as adequate under title VI of the 
        Civil Rights Act of 1964 for the desegregation of minority-
        group-segregated children or faculty in such schools.

                    ``applications and requirements

    ``Sec. 5106. (a) Applications.--An eligible local educational 
agency desiring to receive assistance under this part shall submit an 
application to the Secretary at such time, in such manner, and 
containing such information and assurances as the Secretary may 
require.
    ``(b) Information and Assurances.--An application under this part 
shall include--
            ``(1) a description of--
                    ``(A) how assistance made available under this part 
                will be used to promote desegregation, including how 
                the proposed magnet school project will increase 
                interaction among students of different social, 
                economic, ethnic, and racial backgrounds;
                    ``(B) the manner and extent to which the magnet 
                school project will increase student achievement in the 
                instructional area or areas offered by the school;
                    ``(C) the manner in which an applicant will 
                continue the magnet school project after assistance 
                under this part is no longer available, including, if 
                applicable, an explanation of whether successful magnet 
                schools established or supported by the applicant with 
                funds under this part have been continued without the 
                use of funds under this part;
                    ``(D) how funds under this part will be used to 
                implement services and activities that are consistent 
                with--
                            ``(i) the State's systemic reform plan, if 
                        any, under title III of the Goals 2000: Educate 
                        America Act; and
                            ``(ii) the local educational agency's 
                        systemic reform plan, if any, under title III 
                        of the Goals 2000: Educate America Act; and
                    ``(E) the criteria to be used in selecting students 
                to attend the proposed magnet school projects; and
            ``(2) assurances that the applicant will--
                    ``(A) use funds under this part for the purposes 
                specified in section 5103;
                    ``(B) employ teachers in the courses of instruction 
                assisted under this part who are certified or licensed 
                by the State to teach the subject matter of the courses 
                of instruction;
                    ``(C) not engage in discrimination based on race, 
                religion, color, national origin, sex, or disability 
                in--
                            ``(i) the hiring, promotion, or assignment 
                        of employees of the agency or other personnel 
                        for whom the agency has any administrative 
                        responsibility;
                            ``(ii) the assignment of students to 
                        schools, or to courses of instruction within 
                        the school, of such agency, except to carry out 
                        the approved plan; and
                            ``(iii) designing or operating 
                        extracurricular activities for students;
                    ``(D) carry out a high-quality education program 
                that will encourage greater parental decisionmaking and 
                involvement; and
                    ``(E) give students residing in the local 
                attendance area of the proposed magnet school projects 
                equitable consideration for places in those projects.
    ``(c) Special Rule.--No application may be approved under this 
section unless the Assistant Secretary of Education for Civil Rights 
determines that the assurances described in subsection (b)(2)(C) will 
be met.

                               ``priority

    ``Sec. 5107. In approving applications under this part, the 
Secretary shall give priority to applicants that--
            ``(1) have the greatest need for assistance, based on the 
        expense or difficulty of effectively carrying out an approved 
        desegregation plan and the projects for which assistance is 
        sought;
            ``(2) propose to carry out new magnet school projects or 
        significantly revise existing magnet school projects;
            ``(3) propose to implement innovative educational 
        approaches that are consistent with the State's and the local 
        educational agency's approved systemic reform plans, if any, 
        under title III of the Goals 2000: Educate America Act;
            ``(4) propose to select students to attend magnet school 
        projects by lottery, rather than through academic examination; 
        and
            ``(5) propose to draw on comprehensive community plans for 
        educational improvement, school and residential desegregation, 
        and community renewal.

                             ``use of funds

    ``Sec. 5108. (a) Use of Funds.--Grants made under this part may be 
used by eligible local educational agencies--
            ``(1) for planning and promotional activities directly 
        related to the development, expansion, continuation, or 
        enhancement of academic programs and services offered at magnet 
        schools;
            ``(2) for the acquisition of books, materials, and 
        equipment, including computers and the maintenance and 
        operation thereof, necessary for the conduct of programs in 
        magnet schools;
            ``(3) for the payment of, or subsidization of the 
        compensation of, elementary and secondary school teachers who 
        are certified or licensed by the State and who are necessary 
        for the conduct of programs in magnet schools; and
            ``(4) with respect to a magnet school program offered to 
        less than the entire student population of a school, for 
        instructional activities that--
                    ``(A) are designed to make available the special 
                curriculum that is offered by the magnet school project 
                to students who are enrolled in the school but who are 
                not enrolled in the magnet school program; and
                    ``(B) further the purposes of this part.
    ``(b) Special Rule.--With respect to subsections (a) (2) and (3), 
such grants may be used by eligible local educational agencies for such 
activities only if those activities are directly related to improving 
the students' reading skills or their knowledge of mathematics, 
science, history, geography, English, foreign languages, art, or music, 
or to improving vocational skills.

                             ``prohibitions

    ``Sec. 5109. Grants under this part may not be used for 
transportation, or for any activity that does not augment academic 
improvement.

                        ``limitation on payments

    ``Sec. 5110. (a) Duration of Awards.--Awards made under this part 
shall not exceed four years.
    ``(b) Limitation on Planning Funds.--(1) A local educational agency 
may expend for planning up to 50 percent of the funds received under 
this part for the first year of the project, 25 percent for the second 
year of the project, and 10 percent for the third year of the project.
    ``(2) A local educational agency shall not expend funds under this 
part for planning after the third year of the project.
    ``(c) Federal Share.--The Federal share of the cost of any project 
under this part shall not exceed 100 percent for the first and second 
years of the project, 90 percent for the third year, and 70 percent for 
the fourth year.
    ``(d) Limitation on Grants.--No local educational agency shall 
receive more than $4,000,000 under this part in any one grant cycle.
    ``(e) Award Requirement.--To the extent practicable, for any fiscal 
year, the Secretary shall award grants to local educational agencies 
under this part no later than June 30 of the applicable fiscal year.

             ``authorization of appropriatons; reservation

    ``Sec. 5111. (a) Authorization.--For the purpose of carrying out 
this part, there are authorized to be appropriated such sums as may be 
necessary for each of the fiscal years 1995 through 1999.
    ``(b) Availability of Funds for Grants to Agencies Not Previously 
Assisted.--In any fiscal year for which the amount appropriated 
pursuant to subsection (a) exceeds $75,000,000, the Secretary shall, 
with respect to such excess amount, give priority to grants to local 
educational agencies that did not receive a grant under this part in 
the last fiscal year of the funding cycle prior to the fiscal year for 
which the determination is made.
    ``(c) Evaluations.--The Secretary may reserve no more than 2 
percent of the funds appropriated under subsection (a) for any fiscal 
year to carry out evaluations of projects under this part.

                   ``Part B--Equalization Assistance

    ``technical and other assistance regarding school finance equity

    ``Sec. 5201. (a) Technical Assistance.--(1) The Secretary is 
authorized to make grants to, and enter into contracts and cooperative 
agreements with, State educational agencies and other public and 
private agencies, institutions, and organizations to provide technical 
assistance to State and local educational agencies to assist them in 
achieving a greater degree of equity in the distribution of financial 
resources for education among local educational agencies in the State.
    ``(2) A grant or contract under this section may support technical 
assistance activities, such as--
            ``(A) the establishment and operation of a center or 
        centers for the provision of technical assistance to State and 
        local educational agencies;
            ``(B) the convening of conferences on equalization of 
        resources within local educational agencies, within States, and 
        among States; and
            ``(C) obtaining advice from experts in the field of school 
        finance equalization.
    ``(b) Research.--(1) The Secretary is authorized to carry out 
applied research and analysis designed to further knowledge and 
understanding of methods to achieve greater equity in the distribution 
of financial resources among local educational agencies.
    ``(2) The Secretary may carry out research under this subsection 
directly or through grants to, or contracts or cooperative agreements 
with, any public or private organization.
    ``(3) In carrying out this section, the Secretary is authorized 
to--
            ``(A) support research on the equity of existing State 
        school funding systems;
            ``(B) train individuals in such research;
            ``(C) promote the coordination of such research;
            ``(D) collect and analyze data related to school finance 
        equity in the United States and other nations; and
            ``(E) report periodically on the progress of States in 
        achieving school finance equity.
    ``(4) The Secretary shall coordinate activities under this 
subsection with activities carried out by the Office of Educational 
Research and Improvement.
    ``(5) Each State educational agency or local educational agency 
receiving assistance under this Act shall provide such data and 
information on school finance as the Secretary may require to carry out 
the purposes of this section.
    ``(c) Models.--The Secretary is authorized, directly or through 
grants, contracts, or cooperative agreements, to develop and 
disseminate models and materials useful to States in planning and 
implementing revisions of their school finance systems.
    ``(d) Authorization of Appropriations.--For the purpose of carrying 
out this section, there are authorized to be appropriated such sums as 
may be necessary for each of the fiscal years 1995 through 1999.

                  ``Part C--Women's Educational Equity

                               ``findings

    ``Sec. 5301. The Congress finds that--
            ``(1) since the enactment of title IX of the Education 
        Amendments of 1972, women and girls have made strides in 
        educational achievement and in their ability to avail 
        themselves of educational opportunities;
            ``(2) because of funding provided under the Women's 
        Educational Equity Act, there are now many more curricula, 
        training and other educational materials concerning educational 
        equity for women and girls available for national 
        dissemination;
            ``(3) however, significant gender inequities still exist in 
        teaching and learning practices, for example--
                    ``(A) sexual harassment, particularly that 
                experienced by girls, is a significant problem in 
                schools, undermining the ability of schools to provide 
                a safe and equitable learning or workplace environment;
                    ``(B) girls receive significantly less attention 
                from classroom teachers than boys, and girls of color 
                have less interaction with teachers than all other 
                girls;
                    ``(C) educational materials do not sufficiently 
                reflect the experiences, achievements, or concerns of 
                women and, in most cases, are not written by women or 
                persons of color;
                    ``(D) girls do not take as many mathematics and 
                science courses as boys, they lose confidence in their 
                mathematics and science ability as they move through 
                adolescence, there are few women role models in the 
                sciences, and women continue to be concentrated in low-
                paying, traditionally female jobs that do not require 
                mathematics and science skills; and
                    ``(E) pregnant and parenting teenagers are at high 
                risk for dropping out of school and existing dropout 
                prevention programs do not adequately address this 
                population;
            ``(4) Federal support should address not only research and 
        development of innovative model curricula and teaching and 
        learning strategies to promote gender equity, but, to the 
        extent feasible, also help schools and local communities 
        implement and institutionalize gender equitable practices;
            ``(5) Federal assistance for gender equity must be tied to 
        systemic reform, involve collaborative efforts to implement 
        effective gender practices at the local level, and encourage 
        parental participation; and
            ``(6) excellence in education, high educational 
        achievements and standards, and the full participation of women 
        and girls in American society cannot be achieved without 
        educational equity for women and girls.

                        ``statement of purposes

    ``Sec. 5302. The purposes of this part are to--
            ``(A) promote educational equity for women and girls in the 
        United States and to provide financial assistance to enable 
        educational agencies and institutions to meet the requirements 
        of title IX of the Education Amendments of 1972;
            ``(B) promote educational equity for women and girls who 
        suffer multiple discrimination, bias, or stereotyping based on 
        gender and on race, ethnic origin, disability, or age; and
            ``(C) help ensure that all women and girls have equal 
        opportunity to achieve to high educational standards.

                          ``program authorized

    ``Sec. 5303. The Secretary is authorized to make grants to, and 
enter into contracts and cooperative agreements with, public agencies, 
private nonprofit agencies, organizations, and institutions, including 
student and community groups, and individuals, to achieve the purposes 
of this part by providing support and technical assistance for--
            ``(1) the implementation of effective gender-equity 
        policies and practices at all educational levels, including--
                    ``(A) assisting educational agencies and 
                institutions to implement policies and practices to 
                comply with title IX of the Education Amendments of 
                1972, including preventing the sexual harassment of 
                students and employees;
                    ``(B) training for teachers, counselors, 
                administrators, and other school personnel, especially 
                preschool and elementary school personnel, to ensure 
                that gender equity pervades their teaching and learning 
                practices;
                    ``(C) leadership training to allow women and girls 
                to develop professional and marketable skills to 
                compete in the global marketplace, improve self-esteem, 
                and benefit from exposure to positive role models;
                    ``(D) school-to-work transition programs and other 
                programs to increase opportunities for women and girls 
                to enter a technologically demanding workplace and, in 
                particular, to enter highly skilled, high paying 
                careers in which they have been underrepresented;
                    ``(E) enhancing educational and career 
                opportunities for women and girls who suffer multiple 
                forms of discrimination, based on sex and on race, 
                ethnic origin, limited English proficiency, disability, 
                or age; and
                    ``(F) assisting pregnant students and students 
                rearing children to remain in high school, graduate, 
                and prepare their preschool children to start school; 
                and
            ``(2) research and development designed to advance gender 
        equity nationwide and to help make policies and practices in 
        educational agencies and institutions and local communities 
        gender-equitable, including--
                    ``(A) research and development designed to advance 
                gender equity, including the development of innovative 
                strategies to improve teaching and learning practices;
                    ``(B) the development of high quality and 
                challenging assessment instruments that are free of 
                gender bias;
                    ``(C) the evaluation of curricula, textbooks, and 
                other educational materials to ensure the absence of 
                gender stereotyping and bias;
                    ``(D) the development of instruments and procedures 
                that employ new and innovative strategies to assess 
                whether diverse educational settings are gender 
                equitable;
                    ``(E) the development of new dissemination and 
                replication strategies; and
                    ``(F) updating high quality educational materials 
                previously developed through awards made under this 
                part.

                             ``applications

    ``Sec. 5304. (a) Applications.--(1) A grant may be made, and a 
contract or cooperative agreement may be entered into, under this part 
only upon application to the Secretary, at such time, in such form, and 
containing or accompanied by such information as the Secretary may 
prescribe.
    ``(2) Each application shall--
            ``(A) set forth policies and procedures that will ensure a 
        comprehensive evaluation of the activities carried out under 
        the project, including an evaluation of the practices, 
        policies, and materials used by the applicant and an evaluation 
        or estimate of the continued significance of the work of the 
        project following completion of the award period;
            ``(B) demonstrate how funds received under this part will 
        be used to promote the attainment of one or more of the 
        National Education Goals set out in title I of the Goals 2000: 
        Educate America Act and support the implementation of State and 
        local plans for systemic reform, if any, approved under title 
        III of such Act;
            ``(C) demonstrate how the applicant will address 
        perceptions of gender roles based on cultural and linguistic 
        differences or stereotypes;
            ``(D) describe how funds under this part will be used in a 
        manner that is consistent with and promotes the implementation 
        of State and local programs under the School-to-Work 
        Opportunities Act of 1993;
            ``(E) for applications for projects under section 5303(1), 
        demonstrate how the applicant will foster partnerships and 
        share resources with State educational agencies, local 
        educational agencies, institutions of higher education, and 
        other recipients of Federal educational funding; and
            ``(F) for applications for projects under section 5303(1), 
        demonstrate how parental involvement in the project will be 
        encouraged.
    ``(b) Special Rule.--In approving applications under this part, the 
Secretary shall give special consideration to applications--
            ``(1) submitted by applicants that have not received 
        assistance under this part or under part C of title IX of this 
        Act as in effect prior to October 1, 1988;
            ``(2) for projects that would contribute significantly to 
        directly improving teaching and learning practices in the local 
        community; and
            ``(3) for projects that would--
                    ``(A) provide for a comprehensive approach to 
                enhancing gender equity in educational institutions and 
                agencies; and
                    ``(B) draw on a variety of resources, including 
                local educational agencies, community-based 
                organizations, institutions of higher education, and 
                private organizations.
    ``(c) Limitation.--Nothing in this part shall be construed as 
prohibiting men and boys from participating in any programs or 
activities assisted under this part.

                       ``criteria and priorities

    ``Sec. 5305. The Secretary shall establish separate criteria and 
priorities for awards under sections 5303 (1) and (2) of this part to 
ensure that available funds are used for programs that most effectively 
will achieve the purposes of this part.

                                ``report

    ``Sec. 5306. The Secretary shall, by January 1, 1999, submit to the 
President and the Congress a report on the status of educational equity 
for girls and women in the Nation.

                     ``evaluation and dissemination

    ``Sec. 5307. (a) Evaluation and Dissemination.--The Secretary shall 
evaluate and disseminate materials and programs developed under this 
part.
    ``(b) Use of Program Funds.--The Secretary is authorized to use 
funds appropriated under section 5308 to gather and disseminate 
information about emerging issues concerning gender equity and, if 
necessary, to convene meetings for this purpose.

                   ``authorization of appropriations

    ``Sec. 5308. For the purpose of carrying out this part, there are 
authorized to be appropriated such sums as may be necessary for each of 
the fiscal years 1995 through 1999.

                      ``TITLE VI--INDIAN EDUCATION

                               ``findings

    ``Sec. 6001. The Congress finds that--
            ``(1) the Federal Government has a special responsibility 
        to ensure that educational programs for all American Indian and 
        Alaska Native children and adults--
                    ``(A) are based on high-quality, internationally 
                competitive content and student performance standards 
                and build on Indian culture and the Indian community; 
                and
                    ``(B) assist local educational agencies, Indian 
                tribes, and others in providing Indian students the 
                opportunity to learn to those standards;
            ``(2) since enactment of the original Indian Education Act 
        in 1972, Indian parents have become significantly more involved 
        in the planning, development, and implementation of educational 
        programs that affect them and their children, and schools 
        should continue to foster this involvement;
            ``(3) although the numbers of Indian teachers, 
        administrators, and university professors have increased since 
        1972, teacher training programs are not recruiting, training, 
        or retraining sufficient numbers of Indian persons as educators 
        to meet the needs of a growing Indian student population in 
        elementary, secondary, vocational, adult, and higher education;
            ``(4) the dropout rate for Indian students is unacceptably 
        high; for example, nine percent of Indian students who were 
        eighth graders in 1988 had already dropped out of school by 
        1990;
            ``(5) from 1980 to 1990, the percentage of Indian persons 
        living in poverty increased from 24 percent to 31 percent, and 
        the readiness of Indian children to learn is hampered by the 
        high incidence of poverty, unemployment, and health problems 
        among Indian children and families; and
            ``(6) research related specifically to the education of 
        Indian children and adults is very limited, and much of it is 
        poor in quality or focused on limited local or regional issues.

                               ``purpose

    ``Sec. 6002. (a) Purpose.--It is the purpose of this title to 
support the efforts of local educational agencies, Indian tribes and 
organizations, State educational agencies, postsecondary institutions, 
and other entities to meet the unique educational needs of American 
Indians and Alaska Natives, so that they can achieve to the same 
challenging State performance standards expected of all students.
    ``(b) Programs Authorized.--This title carries out the purpose 
described in subsection (a) by authorizing programs of direct 
assistance for--
            ``(1) the education of Indian children and adults;
            ``(2) the training of Indian persons as educators and 
        counselors, and in other professions serving Indian people; and
            ``(3) research, evaluation, data collection, and technical 
        assistance.

         ``Part A--Formula Grants To Local Educational Agencies

                               ``purpose

    ``Sec. 6101. It is the purpose of this part to support local 
educational agencies in their efforts to reform elementary and 
secondary school programs that serve Indian students, in order to 
ensure that those programs--
            ``(1) are based on challenging State content and student 
        performance standards that are used for all students; and
            ``(2) are designed to assist Indian students meet those 
        standards and assist the Nation in reaching the National 
        Education Goals.

                 ``grants to local educational agencies

    ``Sec. 6102. A local educational agency is eligible for a grant 
under this part for any fiscal year if the number of Indian children 
who were enrolled in the schools of the agency, and to whom the agency 
provided free public education, during the preceding fiscal year--
            ``(1) was at least 20; or
            ``(2) constituted at least 25 percent of the agency's total 
        enrollment.

                           ``amount of grants

    ``Sec. 6103. (a) Amount of Grants.--(1) The Secretary is authorized 
to allocate to each local educational agency whose application has been 
approved under this part an amount equal to the product of--
            ``(A) the number of Indian children described in section 
        6102; and
            ``(B) the greater of--
                    ``(i) the average per-pupil expenditure of the 
                State in which the agency is located; or
                    ``(ii) 80 percent of the average per-pupil 
                expenditure in the United States.
    ``(2) The Secretary shall reduce the amount of each allocation 
determined under paragraph (1) in accordance with subsection (e) of 
this section.
    ``(b) Minimum Grant Amount.--The Secretary shall not make any grant 
to a local educational agency if the amount determined under subsection 
(a) is less than $4,000, except that the Secretary may make a grant to 
a consortium of local educational agencies, one or more of which does 
not qualify for such a minimum award, if--
            ``(1) the total amount so determined for those agencies is 
        at least $4,000;
            ``(2) those agencies, in the aggregate, meet the 
        eligibility requirement of either section 6102(1) or 6102(2); 
        and
            ``(3) the Secretary determines that such a grant would be 
        effectively used to carry out the purpose of this part.
    ``(c) Definition.--For the purpose of this section, the average 
per-pupil expenditure of a State is determined by dividing--
            ``(1) the aggregate current expenditures of all the local 
        educational agencies in the State, plus any direct current 
        expenditures by the State for the operation of such agencies, 
        without regard to the sources of funds from which such local or 
        State expenditures were made, during the second fiscal year 
        preceding the fiscal year for which the computation is made; by
            ``(2) the aggregate number of children who were in average 
        daily attendance for whom such agencies provided free public 
        education during such preceding fiscal year.
    ``(d) Schools Operated or Supported by the Bureau of Indian 
Affairs.--(1) In addition to the grants determined under subsection 
(a), the Secretary shall allocate to the Secretary of the Interior an 
amount equal to the product of--
            ``(A) the total number of Indian children enrolled in 
        schools that are operated by--
                    ``(i) the Bureau of Indian Affairs; or
                    ``(ii) an Indian tribe, or an organization 
                controlled or sanctioned by an Indian tribal 
                government, for the children of that tribe under a 
                contract with, or grant from, the Department of the 
                Interior under the Indian Self-Determination Act (25 
                U.S.C. 450f et seq.) or the Tribally Controlled Schools 
                Act of 1988 (25 U.S.C. 2501 et seq.); and
            ``(B) the greater of--
                    ``(i) the average per-pupil expenditure of the 
                State in which the school is located; or
                    ``(ii) 80 percent of the average per-pupil 
                expenditure in the United States.
            ``(2) The Secretary shall transfer the amount determined 
        under paragraph (1), reduced as may be necessary under 
        subsection (e), to the Secretary of the Interior in accordance 
        with, and subject to, section 9205 of this Act.
    ``(e) Ratable Reductions.--If the sums appropriated for any fiscal 
year under section 6602(a) are insufficient to pay in full the amounts 
determined for local educational agencies under subsection (a)(1) and 
for the Secretary of the Interior under subsection (d), each of those 
amounts shall be ratably reduced.

                             ``applications

    ``Sec. 6104. (a) General.--Any local educational agency that 
desires to receive a grant under this part shall submit an application 
to the Secretary at such time, in such manner, and containing such 
information as the Secretary may require.
    ``(b) Comprehensive Plan Required.--Each such application shall 
include a comprehensive plan for meeting the needs of Indian children 
in the local educational agency, including their language and cultural 
needs, that--
            ``(1)(A) is consistent with, and promotes the goals in, the 
        State and local plans, either approved or being developed, 
        under title III of the Goals 2000: Educate America Act or, if 
        those plans are not approved or being developed, with the State 
        and local plans under sections 1111 and 1112 of this Act; and
            ``(B) includes academic content and student performance 
        goals for those children, and benchmarks for attaining them, 
        that are based on the challenging State standards adopted under 
        title III of the Goals 2000: Educate America Act or under title 
        I of this Act for all children;
    ``(2) explains how Federal, State, and local programs, especially 
under title I of this Act, will meet the needs of those students;
    ``(3) demonstrates how funds under this part will be used for 
activities authorized by section 6106;
    ``(4) describes the professional development to be provided, as 
needed, to ensure that--
            ``(A) teachers and other school professionals who are new 
        to the Indian community are prepared to work with Indian 
        children; and
            ``(B) all teachers who will be involved in the project have 
        been properly trained to carry it out; and
    ``(5) describes how the agency--
            ``(A) will periodically assess the progress of all Indian 
        children in its schools, including those not participating in 
        programs under this part, in meeting the goals described in 
        paragraph (1);
            ``(B) will provide the results of that assessment to the 
        parent committee described in subsection (c)(8) and to the 
        community served by the agency; and
            ``(C) is responding to findings of any previous such 
        assessments.
    ``(c) Assurances.--Each such application shall also include 
assurances that--
            ``(1) the local educational agency will use funds received 
        under this part only to supplement the level of funds that, in 
        the absence of such Federal funds, the agency would make 
        available for the education of Indian children, and not to 
        supplant such funds;
            ``(2) the local educational agency will submit such reports 
        to the Secretary, in such form and containing such information, 
        as the Secretary may require to--
                    ``(A) carry out the Secretary's functions under 
                this part; and
                    ``(B) determine the extent to which funds provided 
                under this part have been effective in improving the 
                educational achievement of Indian students in the local 
                educational agency;
            ``(3) the program for which assistance is sought will use 
        the best available talents and resources, including persons 
        from the Indian community;
            ``(4) the local educational agency has developed the 
        program in open consultation with parents of Indian children, 
        teachers, and, where appropriate, secondary school Indian 
        students, including holding public hearings at which these 
        persons have had a full opportunity to understand the program 
        and to offer recommendations on it;
            ``(5) the local educational agency has developed the 
        program with the participation and written approval of a 
        committee--
                    ``(A) that is composed of, and selected by, parents 
                of Indian children in the local educational agency's 
                schools, teachers, and, where appropriate, secondary 
                school Indian students; and
                    ``(B) of which at least half the members are 
                parents described in subparagraph (A); and
            ``(6) the parent committee described in paragraph (5) will 
        adopt and abide by reasonable bylaws for the conduct of the 
        activities of the committee.
    ``(d) State Educational Agency Review.--(1) Before submitting its 
application to the Secretary, the local educational agency shall obtain 
comments on the application from the State educational agency.
    ``(2) The local educational agency shall send the State educational 
agency's comments to the Secretary with its application.

                  ``authorized services and activities

    ``Sec. 6105. (a) General Requirements.--Each local educational 
agency that receives a grant under this part shall use the grant funds 
for services and activities, consistent with the purpose of this part, 
that--
            ``(1) are designed to carry out its comprehensive plan for 
        Indian students, described in its application under section 
        6104(b);
            ``(2) are designed with special regard for the language and 
        cultural needs of those students; and
            ``(3) supplement and enrich the regular school program.
    ``(b) Particular Activities.--Such services and activities include, 
but are not limited to--
            ``(1) early childhood and family programs that emphasize 
        school readiness;
            ``(2) enrichment programs that focus on problem-solving and 
        cognitive skills development and that directly support the 
        attainment of challenging State content and student performance 
        standards;
            ``(3) integrated educational services in combination with 
        other programs meeting similar needs;
            ``(4) school-to-work transition activities to enable Indian 
        students to participate in programs such as those supported by 
        the School-to-Work Opportunities Act of 1993 and the Carl D. 
        Perkins Vocational and Applied Technology Education Act, 
        including tech-prep programs;
            ``(5) prevention of, and education about, substance abuse; 
        and
            ``(6) acquisition of equipment, but only if it is essential 
        to meet the purpose of this part.
    ``(c) Schoolwide Programs.--Notwithstanding any other provision of 
this part, a local educational agency may use funds it receives under 
this part to support a schoolwide program under section 1114 of title I 
of this Act, in accordance with such section, if the Secretary 
determines that the local educational agency has made adequate 
provision for the participation of Indian children, and the involvement 
of Indian parents, in such project.

                      ``student eligibility forms

    ``Sec. 6106. Each local educational agency that applies for a grant 
under this part shall maintain in its files a form, prescribed by the 
Secretary, for each Indian child described in section 6102, which shall 
contain at least--
            ``(1) the child's name;
            ``(2) the name of the Indian tribe or band of Indians in 
        which membership is claimed; and
            ``(3) the parent's signature.

                               ``payments

    ``Sec. 6107. (a) General.--The Secretary shall pay each local 
educational agency with an application approved under this part the 
amount determined under section 6103, subject to subsections (b) and 
(c) of this section.
    ``(b) Payments Taken Into Account by the State.--The Secretary 
shall not make a grant under this part for any fiscal year to any local 
educational agency in a State that has taken into consideration 
payments under this part (or under subpart 1 of the Indian Education 
Act of 1988) in determining the eligibility of the local educational 
agency for State aid, or the amount of that aid, with respect to the 
free public education of children during that year or the preceding 
fiscal year.
    ``(c) Reduction of Payment for Failure To Maintain Fiscal Effort.--
(1) The Secretary shall not pay any local educational agency the full 
amount determined under section 6103 for any fiscal year unless the 
State educational agency notifies the Secretary, and the Secretary 
determines, that the combined fiscal effort of that local agency and 
the State with respect to the provision of free public education by 
that local agency for the preceding fiscal year, computed on either a 
per-student or aggregate expenditure basis, was at least 90 percent of 
such combined fiscal effort, computed on the same basis, for the second 
preceding fiscal year.
    ``(2) If the Secretary determines for any fiscal year that a local 
educational agency failed to maintain its fiscal effort at the 90 
percent level required by paragraph (1), the Secretary shall--
            ``(A) reduce the amount of the grant that would otherwise 
        be made to the agency under this part in the exact proportion 
        of that agency's failure to maintain its fiscal effort at that 
        level; and
            ``(B) not use the reduced amount of the agency's 
        expenditures for the preceding year to determine compliance 
        with paragraph (1) for any succeeding fiscal year, but shall 
        use the amount of expenditures that would have been required to 
        comply with paragraph (1).
    ``(3)(A) The Secretary may waive the requirement of paragraph (1), 
for not more than one year at a time, if the Secretary determines that 
the failure to comply with such requirement is due to exceptional or 
uncontrollable circumstances, such as a natural disaster or a 
precipitous and unforeseen decline in the agency's financial resources.
    ``(B) The Secretary shall not use the reduced amount of such 
agency's expenditures for the fiscal year preceding the fiscal year for 
which a waiver is granted to determine compliance with paragraph (1) 
for any succeeding fiscal year, but shall use the amount of 
expenditures that would have been required to comply with paragraph (1) 
in the absence of the waiver.
    ``(d) Reallocations.--The Secretary may reallocate, in the manner 
the Secretary determines will best carry out the purpose of this part, 
any amounts that--
            ``(1) based on estimates by local educational agencies or 
        other information, will not be needed by those agencies to 
        carry out their approved projects under this part; or
            ``(2) otherwise become available for reallocation under 
        this part.

``Part B--Discretionary Programs To Improve Educational Achievement of 
                            Indian Children

                 ``grants to indian-controlled schools

    ``Sec. 6201. (a) Purpose.--It is the purpose of this section to 
support Indian-controlled schools by providing assistance to--
            ``(1) help Indian-controlled schools get started and 
        established; and
            ``(2) pay for supplemental services that will--
                    ``(A) enable Indian students to meet the same 
                challenging State performance standards that all 
                students will be expected to meet; and
                    ``(B) assist the Nation in reaching the National 
                Education Goals.
    ``(b) Eligible Applicants.--Indian tribes and Indian organizations 
may apply under this section for grants for schools for Indian 
children.
    ``(c) Priority.--(1) In making grants under this section, the 
Secretary shall give priority to applicants that are--
            ``(A) starting new schools with the approval of the Bureau 
        of Indian Affairs; or
            ``(B) in the process of gaining control over a school 
        operated by the Bureau of Indian Affairs.
    ``(2) To qualify for the priority under paragraph (1), an applicant 
must demonstrate to the Secretary's satisfaction that the school for 
which assistance is sought will--
            ``(A) receive funds under the Indian school equalization 
        program established under the Education Amendments of 1978 
        within three years of the beginning of its proposed project; 
        and
            ``(B) have been under the control of the applicant for less 
        than three years as of the beginning of its proposed project.
    ``(d) Authorized Activities.--(1) Recipients of grants under this 
section shall use grant funds to carry out projects and activities that 
meet the purpose of this section.
    ``(2) Such activities include, but are not limited to--
            ``(A) student assessments;
            ``(B) curriculum development;
            ``(C) staff development; and
            ``(D) community orientation.

                         ``demonstration grants

    ``Sec. 6202. (a) Purpose; Coordination.--(1) It is the purpose of 
this section to support projects that are designed to develop, test, 
and demonstrate the effectiveness of services and programs to improve 
educational achievement of Indian children.
    ``(2) The Secretary shall ensure that projects under this section 
are coordinated with projects under other provisions of this Act.
    ``(b) Eligible Applicants.--State educational agencies, local 
educational agencies, Indian tribes, Indian organizations, and 
institutions of higher education, including Indian institutions of 
higher education, may apply for grants under this section.
    ``(c) Authorized Projects and Activities.--Recipients of grants 
under this section shall use the grant funds to carry out projects and 
activities that meet the purpose of this section, such as--
            ``(1) instruction to raise the achievement of Indian 
        children in one or more of the core curriculum areas of 
        English, mathematics, science, foreign languages, arts, 
        history, and geography;
            ``(2) programs designed to reduce the incidence of students 
        dropping out of school and to increase the rate of high school 
        graduation;
            ``(3) partnership projects between local educational 
        agencies and institutions of higher education that allow high 
        school students to enroll in courses at the postsecondary level 
        to aid them in the transition from high school to postsecondary 
        education;
            ``(4) partnership projects between schools and local 
        businesses for school-to-work transition programs designed to 
        provide Indian youth with the knowledge and skills they need to 
        make an effective transition from school to a first job in a 
        high-skill, high-wage career;
            ``(5) family-based preschool programs that emphasize school 
        readiness and parenting skills;
            ``(6) programs designed to encourage and assist Indian 
        students to work toward, and gain entrance into, institutions 
        of higher education; and
            ``(7) programs to meet the needs of gifted and talented 
        Indian students.
    ``(d) Applications.--(1) Any eligible entity that desires to 
receive a grant under this section shall submit an application to the 
Secretary at such time and in such manner as the Secretary may require.
    ``(2) Each such application shall contain--
            ``(A) a description of how parents of Indian children and 
        representatives of Indian tribes have been, and will be, 
        involved in developing and implementing the project for which 
        assistance is sought;
            ``(B) an assurance that the applicant will participate, at 
        the request of the Secretary, in any national evaluation of 
        projects under this section; and
            ``(C) such other assurances and information as the 
        Secretary may require.

    ``Part C--Professional Development and Adult Education Programs

                       ``professional development

    ``Sec. 6301. (a) Purpose.--The purpose of this section is to 
increase the number of qualified Indian persons in professions serving 
Indian people.
    ``(b) Eligible Applicants.--Eligible applicants under this section 
are--
            ``(1) institutions of higher education, including Indian 
        institutions of higher education;
            ``(2) State and local educational agencies, in consortium 
        with institutions of higher education; and
            ``(3) Indian tribes and Indian organizations, in consortium 
        with institutions of higher education.
    ``(c) Authorized Projects and Activities.--(1) Each recipient of a 
grant under this section shall use the grant funds to provide training 
to Indian persons, consistent with the purpose of this section.
    ``(2)(A) For teachers, counselors, and other education 
professionals, such training shall consist of pre-service or in-service 
professional development.
    ``(B) For those being trained in other fields, such training shall 
be in programs that result in graduate degrees.
    ``(d) Allocation of Funds.--The Secretary shall ensure that at 
least 50 percent of the sums appropriated to carry out this section for 
any fiscal year are used for training of educational personnel under 
subsection (c)(2)(A).
    ``(e) Project Period.--The project period for each project approved 
under this section shall be up to five years.
    ``(f) Service Obligation.--The Secretary may, by regulation, 
require that individuals who receive training under this section 
perform related work following that training or repay all or part of 
the cost of the training.

                           ``adult education

    ``Sec. 6302. (a) Purpose.--The purpose of this section is to 
improve educational and employment opportunities for Indian adults who 
lack the level of literacy skills, quantitative skills, and knowledge 
that they need to enjoy more fully the benefits and responsibilities of 
effective citizenship and productive employment by supporting projects 
that--
            ``(1) provide them sufficient high-quality education to 
        enable them to benefit from job training and retraining 
        programs and to obtain and retain productive employment; and
            ``(2) enable Indian adults who so desire to continue their 
        education through the high school level and beyond.
    ``(b) Eligible Applicants.--Indian tribes, Indian organizations, 
Indian institutions of higher education, and other public and nonprofit 
private agencies and organizations may apply for grants under this 
section.
    ``(c) Program Requirements.--Each recipient of a grant under this 
section shall--
            ``(1) provide adult education, as defined in section 
        6601(2), to Indian adults in a manner that supplements State 
        funds expended for adult education for Indian adults;
            ``(2) coordinate its project with other adult education 
        programs, if any, in the same geographic area, including 
        programs funded under the Adult Education Act and programs 
        operated or funded by the Bureau of Indian Affairs; and
            ``(3) collect, evaluate, and report on data concerning such 
        matters as the Secretary may require, including the number of 
        participants, the effect of the project on the subsequent work 
        experience of participants, the progress of participants in 
        achieving literacy, and the number of participants who pass 
        high school equivalency examinations.

           ``Part D--National Activities and Grants to States

                         ``national activities

    ``Sec. 6401. (a) Authorized Activities.--From funds appropriated 
for any fiscal year to carry out this section, the Secretary may--
            ``(1) conduct research related to effective approaches to 
        the education of Indian children and adults;
            ``(2) evaluate federally assisted education programs from 
        which Indian children and adults may benefit;
            ``(3) collect and analyze data on the educational status 
        and needs of Indians; and
            ``(4) carry out other activities consistent with the 
        purpose of this Act.
    ``(b) Eligibility.--The Secretary may carry out any of the 
activities described in subsection (a) directly or through grants to, 
or contracts or cooperative agreements with, Indian tribes, Indian 
organizations, State educational agencies, local educational agencies, 
institutions of higher education, including Indian institutions of 
higher education, and other public and private agencies and 
institutions.

                           ``grants to states

    ``Sec. 6402. (a) Purpose.--The purpose of this section is to assist 
States in implementing comprehensive, Statewide strategies for 
providing Indian children and adults with greater opportunities to meet 
challenging State standards.
    ``(b) Eligibility.--Each State is eligible for a grant under this 
section if it has a State plan for education reform in the State that--
            ``(1) in the Secretary's judgment, effectively provides for 
        the education of Indian children and adults; and
            ``(2)(A) is integrated with the State's plan, either 
        approved or being developed, under title III of the Goals 2000: 
        Educate America Act, and satisfies the requirements of this 
        section that are not already addressed by that State plan; or
            ``(B) if the State does not have an approved plan under 
        title III of the Goals 2000: Educate America Act and is not 
        developing such a plan, is integrated with other State plans 
        under this Act.
    ``(c) Grant Amounts.--(1) From funds appropriated to carry out this 
section, the Secretary shall make a grant to each State educational 
agency in an eligible State whose application for assistance under this 
section has been approved.
            ``(2)(A) The Secretary is authorized to determine the 
        amount of each such grant on the basis of--
                    ``(i) the number of Indian individuals in the 
                State, as determined on the basis of the most recent 
                available data satisfactory to the Secretary;
                    ``(ii) the comprehensiveness and quality of the 
                State's plan;
                    ``(iii) the State's commitment to high-quality 
                education programs for Indian children and adults; and
                    ``(iv) other factors that the Secretary finds 
                appropriate.
            ``(B) Notwithstanding subparagraph (A), no grant under this 
        section shall be in an amount less than the greater of--
                    ``(i) $50,000; or
                    ``(ii) five percent of the total amount paid to 
                local educational agencies in the State for that fiscal 
                year under part A of this title.
    ``(d) Authorized Activities.--Each State that receives a grant 
under this section shall use the grant funds for activities to meet the 
purpose of this section, including--
            ``(1) reviewing local educational agency applications under 
        part A of this title;
            ``(2) collecting data;
            ``(3) providing technical assistance to local educational 
        agencies;
            ``(4) measuring the achievement of Indian students against 
        the standards set out in the State's plan described in 
        subsection (b); and
            ``(5) carrying out other activities and providing other 
        services designed to build the capacity of the State to serve 
        the educational needs of Indian children and adults.
    ``(e) Applications.--Each State that desires to receive a grant 
under this section shall submit an application to the Secretary at such 
time, in such manner, and containing such information and assurances as 
the Secretary may require, including an assurance that the State will 
submit to the Secretary, every two years, a report on its activities 
under this section containing such data and other information as the 
Secretary may require.

                    ``Part E--Federal Administration

                      ``office of indian education

    ``Sec. 6501. (a) Office of Indian Education.--There shall be an 
Office of Indian Education (hereafter in this section referred to as 
``the Office'') in the Department of Education.
    ``(b) Director.--(1) The Office shall be under the direction of the 
Director, who shall be appointed by the Secretary and who shall report 
directly to the Assistant Secretary for Elementary and Secondary 
Education.
    ``(2) The Director shall--
            ``(A) be responsible for administering this title;
            ``(B) be involved in, and be primarily responsible for, the 
        development of all policies affecting Indian children and 
        adults under programs administered by the Office of Elementary 
        and Secondary Education; and
            ``(C) coordinate the development of policy and practice for 
        all programs in the Department relating to Indian persons.
    ``(3) The Director of the Office shall be a member of the career 
Senior Executive Service.
    ``(c) Indian Preference in Employment.--(1) The Secretary shall 
give a preference to Indian persons in all personnel actions in the 
Office.
    ``(2) Such preference shall be implemented in the same fashion as 
the preference given to any veteran under section 2609 of the Revised 
Statutes, section 45 of title 25, United States Code.

            ``national advisory council on indian education

    ``Sec. 6502. (a) Membership.--There shall be a National Advisory 
Council on Indian Education (hereafter in this section referred to as 
``the Council''), which shall--
            ``(1) consist of 15 Indian members, who shall be appointed 
        by the President from lists of nominees furnished, from time to 
        time, by Indian tribes and organizations; and
            ``(2) represent different geographic areas of the country.
    ``(b) Duties.--The Council shall--
            ``(1) advise the Secretary on the funding and 
        administration, including the development of regulations and of 
        administrative policies and practices, of any program, 
        including programs under this title, for which the Secretary is 
        responsible and in which Indian children or adults participate 
        or from which they can benefit;
            ``(2) make recommendations to the Secretary for filling the 
        Director's position whenever a vacancy occurs in that position; 
        and
            ``(3) submit to the Congress, by June 30 of each year, a 
        report on its activities, which shall include--
                    ``(A) any recommendations it finds appropriate for 
                the improvement of Federal education programs in which 
                Indian children or adults participate, or from which 
                they can benefit; and
                    ``(B) its recommendations with respect to the 
                funding of any such programs.

                             ``peer review

    ``Sec. 6503. In reviewing applications under parts B, C, and D of 
this title, the Secretary may use a peer review process.

                   ``preference for indian applicants

    ``Sec. 6504. In making grants under parts B and C of this title, 
the Secretary shall give a preference to Indian tribes, Indian 
organizations, and Indian institutions of higher education under any 
program for which they are eligible to apply.

                        ``minimum grant criteria

    ``Sec. 6505. In making grants under parts B and C of this title, 
the Secretary shall approve only projects that are--
            ``(1) of sufficient size, scope, and quality to achieve the 
        purpose of the section under which assistance is sought; and
            ``(2) based on relevant research findings.

        ``Part F--Definitions; Authorizations of Appropriations

                             ``definitions

    ``Sec. 6601. The following definitions apply to terms as used in 
this title:
            ``(1) The term `adult' means an individual who is either--
                    ``(A) at least 16 years old; or
                    ``(B) beyond the age of compulsory school 
                attendance under State law.
            ``(2) The term `adult education' has the meaning given that 
        term in section 312(2) of the Adult Education Act.
            ``(3) The term `free public education' means education that 
        is--
                    ``(A) provided at public expense, under public 
                supervision and direction, and without tuition charge; 
                and
                    ``(B) provided as elementary or secondary education 
                in the applicable State or to preschool children.
            ``(4) The term `Indian' means an individual who is--
                    ``(A) a member of an Indian tribe or band, as 
                membership is defined by the tribe or band, including--
                            ``(i) tribes and bands terminated since 
                        1940; and
                            ``(ii) tribes and bands recognized by the 
                        State in which they reside;
                    ``(B) a descendant, in the first or second degree, 
                of an individual described in subparagraph (A);
                    ``(C) considered by the Secretary of the Interior 
                to be an Indian for any purpose; or
                    ``(D) an Eskimo, Aleut, or other Alaska Native.

                   ``authorizations of appropriations

    ``Sec. 6602. (a) Part A.--For the purpose of carrying out part A of 
this title, there are authorized to be appropriated such sums as may be 
necessary for each of the fiscal years 1995 through 1999.
    ``(b) Parts B Through D.--For the purpose of carrying out parts B, 
C, and D of this title, there are authorized to be appropriated such 
sums as may be necessary for each of the fiscal years 1995 through 
1999.
    ``(c) Part E.--For the purpose of carrying out part E of this 
title, including section 6502, there are authorized to be appropriated 
such sums as may be necessary for each of the fiscal years 1995 through 
1999.

               ``TITLE VII--BILINGUAL EDUCATION PROGRAMS

                               ``findings

    ``Sec. 7001. The Congress finds that--
            ``(1) there are large and growing numbers of children and 
        youth of limited English proficiency, many of whom have a 
        cultural heritage that differs from that of their English 
        proficient peers;
            ``(2) limited English proficient children and youth face a 
        number of challenges in receiving an education that will enable 
        them to participate fully in American society, including 
        segregated education programs; disproportionate and improper 
        placement in special education and other special programs due 
        to the use of inappropriate evaluation procedures; the limited 
        English proficiency of their own parents, which hinders the 
        parents' ability to fully participate in the education of their 
        children; a shortage of teachers and educational personnel who 
        are professionally trained and qualified to serve them;
            ``(3) the Federal government, as exemplified by title VI of 
        the Civil Rights Act of 1964 and section 204(f) of the Equal 
        Education Opportunities Act of 1974, has a special and 
        continuing obligation to ensure that States and local school 
        districts take appropriate action to provide equal educational 
        opportunities to children and youth of limited English 
        proficiency;
            ``(4) The Federal government also, as exemplified by its 
        efforts under this title, has a special and continuing 
        obligation to assist States and local school districts in 
        developing the capacity to provide programs of instruction that 
        offer limited English proficient children and youth an equal 
        educational opportunity;
            ``(5) in carrying out its responsibilities with respect to 
        ensuring equal educational opportunity for children and youth 
        of limited English proficiency, the Federal government has 
        learned that--
                    ``(A) large numbers of these children and youth 
                have needs that must be met by a program of instruction 
                designed specifically for them;
                    ``(B) a primary purpose of such programs must be 
                developing the English language skills of such children 
                and youth;
                    ``(C) the use of a child or youth's native language 
                and culture in classroom instruction can promote self-
                esteem and contribute to academic achievement and 
                learning English by limited English proficient children 
                and youth; benefit English proficient children and 
                youth who also participate in such programs; and 
                develop our national language resources, thus promoting 
                the nation's competitiveness in the global economy;
                    ``(D) parent and community participation in 
                bilingual education programs contributes to program 
                effectiveness; and
                    ``(E) research, evaluation, and data-collection 
                capabilities in the field of bilingual education need 
                to be strengthened so that educators can better 
                identify and promote those programs, program 
                implementation strategies, and instructional practices 
                that result in effective education; and
            ``(6) providing the educational services that prepare newly 
        immigrated children and youth for full participation in 
        American society and to achieve challenging State performance 
        standards is a significant problem for a number of local 
        educational agencies. Supplementary Federal assistance can help 
        such agencies meet their responsibilities.

               ``policy; authorization of appropriations

    ``Sec. 7002. (a) Policy.--The Congress declares it to be the policy 
of the United States, in order to ensure equal educational opportunity 
for all children and youth and to promote educational excellence, to 
assist State and local educational agencies to build their capacity to 
establish, implement, and sustain programs of instruction for children 
and youth of limited English proficiency that--
            ``(1) develop their English and, to the extent possible, 
        their native language skills;
            ``(2) educate such children and youth to meet the same 
        rigorous standards for academic performance expected of all 
        children and youth, including meeting challenging State 
        performance standards in academic areas; and
            ``(3) develop bilingual skills and multi-cultural 
        understanding.
    ``(b) Authorization of Appropriations.--(1) For the purpose of 
carrying out this title, except for part D, there are authorized to be 
appropriated such sums as may be necessary for each of the fiscal years 
1995 through 1999.
    ``(2) For the purpose of carrying out part D of this title, there 
are authorized to be appropriated such sums as may be necessary for 
each of the fiscal years 1995 through 1999.

                             ``definitions

    ``Sec. 7003. (a) Definitions.--For the purpose of this title, the 
following terms have the following meanings:
            ``(1)(A) The term `bilingual education program'--
                    ``(i) means a program of instruction designed 
                specifically for children and youth of limited English 
                proficiency at any grade level, including the 
                preschool, elementary, or secondary school levels, that 
                is intended to help them develop proficiency in the 
                English and, to the extent possible, the native 
                language and achieve to high academic standards in all 
                courses of study; and
                    ``(ii) may include activities to assist the parents 
                of such children and youth enrolled in bilingual 
                education programs to participate in the education of 
                their children.
            ``(B)(i) A bilingual education program may be conducted in 
        English, the native language, or both languages, except that 
        all bilingual education programs must develop proficiency in 
        the English language. The native language may be used in the 
        instructional program to facilitate the acquisition of English; 
        to develop overall linguistic competence; and to develop 
        competence in the academic curriculum.
            ``(ii) A bilingual education program must, to the extent 
        possible, incorporate the cultural heritage of the children or 
        youth of limited English proficiency served by the program, as 
        well as the cultural heritage of other children in American 
        society.
            ``(C) Children and youth proficient in English may 
        participate in a bilingual education program so long as the 
        primary purpose of the program is to benefit children and youth 
        of limited English proficiency.
            ``(2) The term `children and youth' means individuals aged 
        three through twenty-one.
            ``(3) The term `Director' means the Director of the Office 
        of Bilingual Education and Minority Languages Affairs 
        established under section 210 of the Department of Education 
        Organization Act.
            ``(4) The term `immigrant children and youth' means 
        individuals who--
                    ``(A) are aged three through twenty-one;
                    ``(B) were not born in any State; and
                    ``(C) have not been attending one or more schools 
                in any one or more States for more than 12 months.
            ``(5) The terms `limited English proficiency' and `limited 
        English proficient', when used with reference to an individual, 
        mean an individual--
                    ``(A) who--
                            ``(i) was not born in the United States or 
                        whose native language is a language other than 
                        English;
                            ``(ii) comes from an environment where a 
                        language other than English is dominant; or
                            ``(iii) is an American Indian or Alaska 
                        Native and comes from an environment where a 
                        language other than English has had a 
                        significant impact on his or her level of 
                        English language proficiency; and
                    ``(B) who, by reason thereof, has sufficient 
                difficulty speaking, reading, writing, or understanding 
                the English language to deny such individual the 
                opportunity to learn successfully in classrooms where 
                the language of instruction is English or to 
                participate fully in our society.
            ``(6) The term `native language', when used with reference 
        to an individual of limited English proficiency, means the 
        language normally used by such individual, or in the case of a 
        child or youth, the language normally used by the parents of 
        the child or youth.
            ``(7) The term `other programs for persons of limited 
        English proficiency' means any programs administered by the 
        Secretary that directly involve bilingual education activities 
        serving persons of limited English proficiency.

                      ``indian children in school

    ``Sec. 7004. (a) For the purpose of carrying out programs under 
this title for individuals served by elementary and secondary schools 
operated predominately for Indian or Alaska Native children and youth, 
an Indian tribe, a tribally sanctioned educational authority, or an 
elementary or secondary school that is operated or funded by the Bureau 
of Indian Affairs shall be considered to be a local educational agency 
as such term is used in this title, subject to the following 
qualifications:
            ``(1) The term `Indian tribe' means any Indian tribe, band, 
        nation, or other organized group or community, including any 
        Alaska Native village or regional or village corporation as 
        defined in or established pursuant to the Alaska Native Claims 
        Settlement Act (43 U.S.C. 1601 et seq.), that is recognized for 
        the special programs and services provided by the United States 
        to Indians because of their status as Indians.
            ``(2) The term `tribally sanctioned educational authority' 
        means--
                    ``(A) any department or division of education 
                operating within the administrative structure of the 
                duly constituted governing body of an Indian tribe; and
                    ``(B) any nonprofit institution or organization 
                that is--
                            ``(i) chartered by the governing body of an 
                        Indian tribe to operate any such school or 
                        otherwise to oversee the delivery of 
                        educational services to members of that tribe; 
                        and
                            ``(ii) approved by the Secretary for the 
                        purpose of this section.

         ``Part A--Financial Assistance for Bilingual Education

             ``financial assistance for bilingual education

    ``Sec. 7101. (a) Purpose.--The purpose of this part is to assist 
local educational agencies, through the grants authorized by 
subsections (b), (c), and (d), to--
            ``(1) develop and enhance their capacity to provide high-
        quality instruction to children and youth of limited English 
        proficiency; and
            ``(2) to help such children and youth--
                    ``(A) develop proficiency in English, and to the 
                extent possible, their native language; and
                    ``(B) meet the same challenging State performance 
                standards expected for all children and youth as 
                required by section 1111(b) of this Act.
    ``(b) Enhancement Grants.--(1) The Secretary is authorized to make 
grants to local educational agencies to--
            ``(A) develop new bilingual education programs;
            ``(B) enhance or expand existing bilingual education 
        programs to meet new conditions, such as the need to serve 
        additional language groups or different age or grade levels; 
        and
            ``(C) meet the short-term needs of local educational 
        agencies without bilingual education programs to serve children 
        and youth of limited English proficiency.
    ``(2) Grants awarded under this subsection shall be for a period of 
up to two years.
    ``(c) Comprehensive School Grants.--(1) The Secretary is authorized 
to make grants to local educational agencies for the purpose of 
implementing school-wide bilingual education programs that serve 
children and youth of limited English proficiency in schools with 
significant concentrations of such children and youth.
    ``(2) Grants awarded under this subsection shall be for a period of 
up to five years.
    ``(d) Comprehensive District Grants.--(1) The Secretary is 
authorized to make grants to local educational agencies for the purpose 
of implementing district-wide bilingual education programs that serve 
children and youth of limited English proficiency in districts with 
significant concentrations of such children and youth.
    ``(2) Grants awarded under this subsection shall be for a period of 
up to five years.
    ``(e) Use of Funds.--(1) Recipients may use funds for programs 
authorized by subsections (b), (c), and (d) for--
            ``(A) identification and acquisition of curricular 
        materials, educational software, and technologies to advance 
        the education of children and youth of limited English 
        proficiency;
            ``(B) parent outreach and training activities designed to 
        assist parents to become active participants in the education 
        of their children;
            ``(C) salaries of personnel, including teacher aides who 
        have been specifically trained, or are being trained, to 
        provide services to children and youth of limited English 
        proficiency;
            ``(D) tutorials and academic or career counseling for 
        children and youth of limited English proficiency; and
            ``(E) such other activities, related to the purposes of 
        this part, as the Secretary may approve.
    ``(2) Recipients of awards under subsections (c) and (d) may--
            ``(A) use such funds for pre-service and in-service 
        professional development of staff participating, or preparing 
        to participate, in the program, including those who will not 
        directly participate in the bilingual instructional program, if 
        such activities are directly related to serving children and 
        youth of limited English proficiency and will help accomplish 
        the purposes of this title; and
            ``(B) during the first 12 months of such a grant, engage 
        exclusively in activities preparatory to the delivery of 
        services, which may include program design, the development of 
        materials and procedures, and activities to involve parents in 
        the educational program and to enable parents and family 
        members to assist in the education of children and youth of 
        limited English proficiency.
    ``(f) Geographic Distribution of Funds.--To the extent possible, 
the Secretary shall award funds under this section throughout the 
Nation in a manner that reflects the geographic distribution of 
children and youth of limited English proficiency.
    ``(g) Applications.--(1) Any local educational agency desiring to 
receive a grant under this section shall submit, through its State 
educational agency, an application to the Secretary, in such form, at 
such time, and containing such information and assurances as the 
Secretary may require.
    ``(2) Each application shall--
            ``(A) describe--
                    ``(i) the need for the proposed program, including 
                data on the number of the children and youth of limited 
                English proficiency in the school or district to be 
                served and their characteristics, such as language 
                spoken, dropout rates, proficiency in English and the 
                native language, academic standing in relation to their 
                English proficient peers, and, where applicable, the 
                recency of immigration; and
                    ``(ii) the program to be implemented and how its 
                design--
                            ``(I) relates to the linguistic and 
                        academic needs of the children and youth of 
                        limited English proficiency to be served; and
                            ``(II) is consistent with, and promotes the 
                        goals in, its plan under title III of the Goals 
                        2000: Educate America Act, if such plan exists, 
                        and its plan under section 1112 of this Act, 
                        particularly as those plans relate to the 
                        education of children and youth of limited 
                        English proficiency; and
            ``(B) provide an assurance that the applicant will not 
        reduce the level of State and local funds that it expends for 
        bilingual education programs if it receives an award under this 
        part.
    ``(3) Each application for a grant under subsections (c) or (d) 
shall also--
            ``(A) describe--
                    ``(i) current services the applicant provides to 
                children and youth of limited English proficiency;
                    ``(ii) what services children and youth of limited 
                English proficiency would receive under the grant that 
                they would not otherwise receive;
                    ``(iii) how funds received under this part will be 
                integrated with all other Federal, State, local, and 
                private resources that may be used to serve children 
                and youth of limited English proficiency; and
                    ``(iv) specific achievement and school retention 
                goals for the children and youth to be served by the 
                proposed program and how progress toward achieving such 
                goals will be measured; and
            ``(B) provide assurances that--
                    ``(i) the program funded will--
                            ``(I) serve all (or virtually all) of the 
                        children and youth of limited English 
                        proficiency in a school participating in a 
                        program under subsection (c); or
                            ``(II) serve a significant number of the 
                        children and youth of limited English 
                        proficiency in the district participating in a 
                        program under subsection (d);
                    ``(ii) the program funded will be integrated with 
                the overall educational program; and
                    ``(iii) the application has been developed in 
                consultation with an advisory council, the majority of 
                whose members are parents and other representatives of 
                the children and youth to be served in such programs.
    ``(h) Limitation on Funding.--(1) No more than 25 percent of the 
total amount of funds that the Secretary awards under subsection (b) 
for any fiscal year shall be used to fund bilingual education programs 
that do not use the native language.
    ``(2) No more than 25 percent of the total amount of funds that the 
Secretary awards under subsection (c) for any fiscal year shall be used 
to fund bilingual education programs that do not use the native 
language.
    ``(i) State Review of Applications Under Part A.--In order for an 
eligible applicant to apply for funds under this part, its State 
educational agency shall review such application for funds and provide 
the Secretary with timely comments on the need within the State for the 
proposed program and whether the proposed program is consistent with 
the State's plan, either approved or being developed, under title III 
of the Goals 2000: Educate America Act, or, if the State does not have 
an approved plan under title III of the Goals 2000: Educate America Act 
and is not developing such a plan, with the State plan under section 
1111 of this Act.
    ``(j) Capacity Building.--(1) Each recipient of a grant under this 
section shall use its grant in ways that will build its capacity to 
continue to offer high-quality bilingual education programs and 
services to children and youth of limited English proficiency once 
Federal assistance is reduced or eliminated.
    ``(2) In making awards under this part for any fiscal year, the 
Secretary shall, consistent with the quality of applications and the 
funds available under this part, increase the amount of funds used to 
support grants under subsections (c) and (d) over the amount allotted 
to subsections (c) and (d) in the previous fiscal year.
    ``(k) Consortia.--A local educational agency that receives a grant 
under this part may collaborate or form a consortium with one or more 
local educational agencies, institutions of higher education, and non-
profit organizations to carry out the approved program.
    ``(l) Subgrants.--A local educational agency that receives a grant 
under this part may, with the approval of the Secretary, make a 
subgrant to, or enter into a contract with, an institution of higher 
education, a non-profit organization, or a consortium of such entities 
to carry out an approved program, including a program to serve out-of-
school youth.
    ``(m) Parental Notification.--(1) Parents of a child or youth of 
limited English proficiency identified for enrollment in bilingual 
education programs shall be informed of the--
            ``(A) benefits and nature of the bilingual educational 
        program and of the instructional alternatives; and
            ``(B) reasons for the selection of their child as being in 
        need of bilingual education.
    ``(2)(A) Parents shall also be informed that they have the option 
of declining enrollment of their children in such programs and shall be 
given an opportunity to do so if they so choose.
    ``(B) Local educational agencies are not relieved of any of their 
obligations under title VI of the Civil Rights Act of 1964 because 
parents choose not to enroll their children in bilingual education 
programs.
    ``(3) Parents must receive, in a manner and form understandable to 
them, including, if necessary and to the extent feasible, in their 
native language, the information required by this subsection. At a 
minimum, parents must receive--
            ``(A) timely information about projects funded under this 
        part; and
            ``(B) if the parents of participating children so desire, 
        notice of opportunities for regular meetings for the purpose of 
        formulating and responding to recommendations from such 
        parents.
    ``(n) Programs In Puerto Rico.--Programs authorized under this 
section in the Commonwealth of Puerto Rico may, notwithstanding any 
other provision of this title, include programs of instruction, teacher 
training, curriculum development, evaluation, and testing designed for 
children and youth of limited Spanish proficiency.

                   ``Part B--Research and Evaluation

                             ``use of funds

    ``Sec. 7201. The Secretary is authorized to conduct data 
collection, dissemination, research, and evaluation activities for the 
purpose of improving bilingual education programs for children and 
youth of limited English proficiency.

                               ``research

    ``Sec. 7202. (a) Awards.--The Secretary may make grants and award 
contracts and cooperative agreements for research and evaluation 
activities related to improving and maintaining high quality bilingual 
educational programs for persons of limited English proficiency.
    ``(b) Consultation.--The Secretary shall consult with agencies and 
organizations that are engaged in bilingual education research and 
practice, or related research, and bilingual education researchers and 
practitioners to identify areas of study and activities to be funded 
under this section.

                      ``academic excellence awards

    ``Sec. 7203. (a) Awards.--The Secretary may make grants to, and 
enter into contracts and cooperative agreements with, State and local 
educational agencies, nonprofit organizations, and institutions of 
higher education to promote the adoption and implementation of 
bilingual education programs that demonstrate great promise of 
assisting children and youth of limited English proficiency to meet 
challenging State standards.
    ``(b) Applications.--(1) An entity desiring to receive an award 
under this section shall submit an application to the Secretary in such 
form, at such time, and containing such information and assurances as 
the Secretary may require.
    ``(2) The Secretary shall use a peer review process, using 
effectiveness criteria that the Secretary shall establish, to review 
applications under this section.
    ``(c) Use of Funds.--Funds under this section shall be used to 
enhance the capacity of States and local education agencies to provide 
high quality academic programs for children and youth of limited 
English proficiency, which may include--
            ``(1) completing the development of such programs;
            ``(2) professional development of staff participating in 
        bilingual education programs;
            ``(3) sharing strategies and materials; and
            ``(4) supporting professional networks.
    ``(d) Coordination.--Recipients of funds under this section shall 
coordinate their activities with those carried out by comprehensive 
regional centers under section 2205 of this Act.

                         ``state grant program

    ``Sec. 7204. (a) State Grant Program.--The Secretary is authorized 
to make an award to a State educational agency that demonstrates, to 
the satisfaction of the Secretary, that its approved plan under title 
III of the Goals 2000: Educate America Act (by amendment, if 
necessary), if such plan exists, or, if such plan does not exist, its 
plan under section 1111 of this Act, effectively provides for the 
education of children and youth of limited English proficiency within 
the State.
    ``(b) Payments.--The amount paid to a State educational agency 
under subsection (a) shall not exceed 10 percent of the total amount 
awarded to local educational agencies within the State under part A of 
this title for the previous fiscal year.
    ``(c) Use of Funds.--(1) A State educational agency may use funds 
for programs authorized by this section to--
            ``(A) assist local educational agencies in the State with 
        program design, capacity building, assessment of student 
        performance, and program evaluation;
            ``(B) operate a bilingual education advisory panel under 
        subsection (d); and
            ``(C) collect data concerning children and youth of limited 
        English proficiency.
    ``(2) Recipients of awards under this section shall not restrict 
the provision of services under this section to federally-funded 
programs.
    ``(d) State Bilingual Education Advisory Panel.--Each State 
educational agency that receives funds under this section shall appoint 
a broad-based bilingual education advisory panel, with substantial 
representation from persons knowledgeable about the education of 
limited English proficient students, to develop and recommend to the 
State educational agency guidelines for reviewing, and providing the 
Secretary with comments regarding, applications for funds under parts A 
and C of this title that come from within the State.
    ``(e) Applications.--A State educational agency desiring to receive 
an award under this section shall submit an application to the 
Secretary in such form, at such time, containing such information and 
assurances as the Secretary may require.

            ``national clearinghouse for bilingual education

    ``Sec. 7205. (a) Establishment.--The Secretary shall establish and 
support the operation of a National Clearinghouse for Bilingual 
Education, which shall collect, analyze, synthesize, and disseminate 
information about bilingual education and related programs.
    ``(b) Functions.--The National Clearinghouse for Bilingual 
Education shall--
            ``(1) coordinate its activities with Federal data and 
        information clearinghouses and dissemination networks and 
        systems; and
            ``(2) develop a data base management and monitoring system 
        for improving the operation and effectiveness of funded 
        programs.

                             ``evaluations

    ``Sec. 7206. (a) Program Evaluations Under Part A.--(1) Each 
recipient of funds under part A of this title shall provide the 
Secretary with an evaluation, in the form prescribed by the Secretary, 
of its program every two years.
    ``(2) Such evaluation shall be used by a grantee--
            ``(A) for program improvement;
            ``(B) to further define the local program's goals and 
        objectives; and
            ``(C) to determine program effectiveness.
    ``(3) Evaluations shall include--
            ``(A) student outcome indicators that measure progress 
        toward the performance standards set out in the State's plan, 
        either approved or being developed, under title III of the 
        Goals 2000: Educate America Act, or, if the State does not have 
        an approved plan under title III of the Goals 2000: Educate 
        America Act and is not developing such a plan, with the State 
        plan approved or being developed under section 1111 of this 
        Act, including data comparing children and youth of limited 
        English proficiency with non-limited English proficient 
        children and youth with regard to school retention, academic 
        achievement, and gains in English (and, where applicable, 
        native language) proficiency;
            ``(B) program implementation indicators that provide 
        information for informing and improving program management and 
        effectiveness, including data on appropriateness of curriculum 
        in relationship to grade and course requirements, 
        appropriateness of program management, appropriateness of the 
        program's staff professional development, and appropriateness 
        of the language of instruction;
            ``(C) program context indicators that describe the 
        relationship of the activities funded under the grant to the 
        overall school program and other Federal, State, or local 
        programs serving children and youth of limited English 
        proficiency; and
            ``(D) such other information as the Secretary may require.
    ``(b) Program Evaluations Under Part C.--(1) Each recipient of 
funds under part C of this title shall provide the Secretary with an 
evaluation of its program every two years.
    ``(2) Such evaluation shall include data on--
            ``(A) post-program placement of persons trained;
            ``(B) how the training relates to the employment of persons 
        served by the program;
            ``(C) program completion; and
            ``(D) such other information as the Secretary may require.

                   ``Part C--Professional Development

                               ``purpose

    ``Sec. 7301. The purpose of this part is to improve the quality of 
instruction for children and youth of limited English proficiency--
            ``(1) through professional development programs designed--
                    ``(A) for persons preparing to provide services for 
                children and youth of limited English proficiency;
                    ``(B) to improve the skills of persons currently 
                providing services to children and youth of limited 
                English proficiency; and
                    ``(C) for other staff in schools serving children 
                and youth of limited English proficiency; and
            ``(2) by disseminating information on appropriate 
        instructional practices and activities for children and youth 
        of limited English proficiency to other school personnel, 
        including teachers not currently serving such children and 
        youth.

                   ``professional development grants

    ``Sec. 7302. (a) Grants to Institutions of Higher Education.--(1) 
The Secretary is authorized to make grants to institutions of higher 
education for--
            ``(A) pre-service and in-service professional development 
        for individuals who are either involved in, or preparing to be 
        involved in, the provision of educational services for children 
        and youth of limited English proficiency; and
            ``(B) national professional development institutes that 
        assist schools or departments of education in institutions of 
        higher education to improve the quality of professional 
        development programs for personnel serving, preparing to serve, 
        or who may serve, children and youth of limited English 
        proficiency.
    ``(b) Grants to State and Local Educational Agencies.--The 
Secretary may make grants to State and local educational agencies for 
in-service professional development programs that prepare current 
school personnel to provide effective services to limited English 
proficient students.
    ``(c) Use of Funds for Second Language Competence.--Awards under 
this section may be used to develop a program participant's competence 
in a second language.
    ``(d) Applications.--(1) An institution of higher education, or a 
state or local educational agency desiring to receive an award under 
this section shall submit, through its State educational agency, an 
application to the Secretary, in such form, at such time, and 
containing such information and assurances as the Secretary may 
require.
    ``(2) Each application shall contain a description of how the 
applicant has consulted with, and assessed the needs of, public and 
private schools serving children and youth of limited English 
proficiency to determine their need for and the design of the program 
for which funds are sought.
    ``(3)(A) An application for a grant under subsection (a) from an 
applicant who proposes to conduct a masters or doctoral-level program 
with funds received under this section shall provide an assurance that 
such program will include, as a part of the program, a training 
practicum in a local school program serving children and youth of 
limited English proficiency.
    ``(B) A recipient of a grant under subsection (a) may waive the 
requirement of a training practicum for a degree candidate with 
significant experience in a local school program serving children and 
youth of limited English proficiency.
    ``(4) In order for an institution of higher education or a local 
educational agency to apply for funds under this section, its State 
educational agency shall review such application for funds and provide 
the Secretary with timely comments on the need within the State for the 
proposed program and whether the proposed program is consistent with 
the State's plan, either approved or being developed, under title III 
of the Goals 2000: Educate America Act, or, if the State does not have 
an approved plan under title III of the Goals 2000: Educate America Act 
and is not developing such a plan, with the State plans under sections 
1111 and 2125(b) of this Act.

                             ``fellowships

    ``Sec. 7303. (a) Academic Fellowships.--The Secretary may award 
fellowships for masters, doctoral, and post-doctoral study related to 
instruction of children and youth of limited English proficiency in 
such areas as teacher training, program administration, research and 
evaluation, and curriculum development, and for the support of 
dissertation research related to such study.
    ``(b) Repayment.--(1) Any person receiving a fellowship under this 
section shall agree to--
            ``(A) work in an activity related to the program or in an 
        activity such as those authorized under the program for a 
        period of time equivalent to the period of time during which 
        such person receives assistance under this title; or
            ``(B) repay such assistance.
    ``(2) The Secretary shall establish in regulations such terms and 
conditions for such agreement as he or she deems reasonable and 
necessary and may waive the requirement of paragraph (1) in 
extraordinary circumstances.

                               ``stipends

    ``Sec. 7304. The Secretary shall provide for the payment of such 
stipends (including allowances for subsistence and other expenses for 
such persons and their dependents), as the Secretary determines to be 
appropriate, to persons participating in training programs under this 
part.

            ``Part D--Emergency Immigrant Education Program

                               ``purpose

    ``Sec. 7401. The purpose of this part is to assist eligible local 
educational agencies that experience unexpectedly large increases in 
their student population due to immigration to--
            ``(1) provide high-quality instruction to immigrant 
        children and youth; and
            ``(2) help such children and youth--
                    ``(A) with their transition into American society; 
                and
                    ``(B) meet the same challenging State performance 
                standards expected of all children and youth.

                 ``emergency immigrant education grants

    ``Sec. 7402. (a) Grants Authorized.--(1) The Secretary is 
authorized to make grants to eligible local educational agencies to--
            ``(A) develop new instructional programs for immigrant 
        children and youth;
            ``(B) enhance or expand existing instructional programs for 
        immigrant children and youth; and
            ``(C) meet the short-term needs of local educational 
        agencies without instructional programs for immigrant children 
        and youth.
    ``(2) Grants awarded under this part shall be for a period of up to 
two years.
    ``(b) Eligible Local Educational Agency.--For the purpose of this 
part, an eligible local educational agency is a local educational 
agency that has enrolled, in the aggregate, over the current school 
year and the preceding school year--
            ``(1) at least 1,000 immigrant children and youth; or
            ``(2) immigrant children and youth in numbers that 
        represent at least 10 percent of the local educational agency's 
        total enrollment.
    ``(c) Applications.--(1) Any eligible local educational agency 
desiring to receive a grant under this part shall submit to the 
Secretary an application in such form, at such time, and containing 
such information and assurances as the Secretary may require.
    ``(2) Each application shall--
            ``(A) describe--
                    ``(i) the need for the proposed program, including 
                data on the number of the immigrant children and youth 
                in the districts to be served and their 
                characteristics, such as language spoken, dropout 
                rates, proficiency in English and the native language, 
                and academic standing in relation to their English 
                proficient peers; and
                    ``(ii) the program to be implemented and how its 
                design--
                            ``(I) relates to the linguistic and 
                        academic needs of the immigrant children and 
                        youth to be served; and
                            ``(II) is consistent with, and promotes the 
                        goals in, its plan under title III of the Goals 
                        2000: Educate America Act, if such plan exists, 
                        and its plan under section 1112 of this Act, 
                        particularly as those plans relate to the 
                        education of immigrant children and youth; and
            ``(B) provide an assurance that the applicant will not 
        reduce the level of State and local funds that it expends for 
        instructional programs for immigrant children and youth if it 
        receives an award under this part.
    ``(d) Use of Funds.--Funds awarded under this part shall be used to 
pay for enhanced instructional opportunities for immigrant children and 
youth, which may include--
            ``(1) parent outreach and training activities designed to 
        assist parents to become active participants in the education 
        of their children;
            ``(2) salaries of personnel, including teacher aides who 
        have been specifically trained, or are being trained, to 
        provide services to immigrant children and youth;
            ``(3) tutorials and academic or career counseling for 
        immigrant children and youth;
            ``(4) identification and acquisition of curricular 
        materials, educational software, and technologies to be used in 
        the program; and
            ``(5) such other activities, related to the purposes of 
        this part, as the Secretary may authorize.
    ``(e) Consortia.--A local educational agency that receives a grant 
under this part may collaborate or form a consortium with one or more 
local educational agencies, institutions of higher education, and non-
profit organizations to carry out the approved program.
    ``(f) Subgrants.--A local educational agency that receives a grant 
under this part may, with the approval of the Secretary, make a 
subgrant to, or enter into a contract with, an institution of higher 
education, a non-profit organization, or a consortium of such entities 
to carry out an approved program, including a program to serve out-of-
school youth.

                        ``Part E--Administration

                  ``coordination with related programs

    ``Sec. 7501. In order to maximize the effectiveness of Federal 
efforts aimed at serving the educational needs of children and youth of 
limited English proficiency, the Secretary shall coordinate and ensure 
close cooperation with other programs administered by the Department of 
Education, including programs in such areas as teacher training, 
program content, research, and curriculum.

                    ``report on bilingual education

    ``Sec. 7502. The Secretary shall, within three years from the date 
of enactment of the Improving America's Schools Act of 1993, and every 
third year thereafter, submit to the Congress a report on the condition 
of bilingual education. The report shall include--
            ``(1) information on--
                    ``(A) the grants, contracts, and cooperative 
                agreements made pursuant to this title in the preceding 
                three fiscal years;
                    ``(B) the number of individuals benefiting from the 
                programs assisted under this title;
                    ``(C) the evaluation of activities carried out 
                under this title during the preceding three fiscal 
                years and the extent to which each of such activities 
                achieves the policy set forth in section 7002(a);
                    ``(D) an estimate of the number of teachers and 
                other school personnel for bilingual education that 
                will be necessary for the three succeeding fiscal 
                years; and
                    ``(E) the research activities carried out under 
                this title during the preceding three fiscal years and 
                the major findings of research studies; and
            ``(2) an analysis and synthesis of such data.

        ``state educational agency recommendations; peer review

    ``Sec. 7503. (a) State Educational Agency Recommendations.--In 
making awards under parts A and C of this title, the Secretary shall 
take State educational agency recommendations into account.
    ``(b) Peer Review.--(1) In making awards under parts A, C, and D of 
this title and in making funding decisions for continuation grants 
under parts A and C of this title, the Secretary may solicit 
recommendations from peer review panels composed of individuals 
experienced in aspects of the education of limited English proficient 
students.
    ``(2) The Secretary may use up to 0.2 percent of the total amount 
of funds appropriated for each fiscal year for programs authorized 
under this title for peer review.

                         ``Part F--Special Rule

                             ``special rule

    ``Sec. 7601. Notwithstanding any other provision of this title, no 
recipient of a grant under title VII of this Act as in effect prior to 
the enactment of the Improving America's Schools Act of 1993 shall be 
eligible for fourth- and fifth-year renewals authorized by section 
7021(d)(1)(C) of this title as in effect prior to such enactment.

                        ``TITLE VIII--IMPACT AID

                               ``findings

    ``Sec. 8001. The Congress finds that--
            ``(1) certain activities of the Federal Government place a 
        financial burden on the local educational agencies serving 
        areas where such activities are carried out; and
            ``(2) it is the shared responsibility of the Federal 
        Government, the States, and local educational agencies to 
        provide for the education of children connected to those 
        activities.

                               ``purpose

    ``Sec. 8002. In order to fulfill the Federal responsibility to 
assist with the provision of educational services to federally 
connected children, and to help them meet challenging State standards, 
it is the purpose of this title to provide financial assistance to 
local educational agencies that--
            ``(1) educate children who reside on Federal property and 
        whose parents are employed on Federal property;
            ``(2) experience sudden and substantial increases in 
        enrollments because of military realignments; or
            ``(3) need special assistance with capital expenditures for 
        construction activities because of the enrollments of 
        substantial numbers of children who reside on Indian lands.

                    ``payments for eligible children

    ``Sec. 8003. (a) Eligible Children.--For the purpose of computing 
the amount that a local educational agency is eligible to receive under 
subsection (b) or (c) of this section for any fiscal year, the 
Secretary shall determine the number of children who were in average 
daily attendance in the schools of such agency, and for whom such 
agency provided free public education, during the preceding school year 
and who, while in attendance at such schools--
            ``(1) resided on Federal property with a parent employed on 
        Federal property located, in whole or in part, within the 
        boundaries of the school district of such agency;
            ``(2) resided on Federal property and had a parent on 
        active duty in the uniformed services (as defined in section 
        101 of title 37, United States Code); or
            ``(3) resided on Indian lands, as defined in section 
        8012(6) of this title.
    ``(b) Basic Support Payments.--(1) From the amount appropriated 
under section 8013(a) for any fiscal year, the Secretary is authorized 
to make payments to local educational agencies with children described 
in subsection (a).
    ``(2) The maximum amount that a local educational agency is 
eligible to receive under this subsection for any fiscal year is--
            ``(A) the total number of children determined under 
        subsection (a) (1) and (2), plus 1.25 times the number of 
        children determined under subsection (a)(3), for such agency; 
        multiplied by
            ``(B) the average per-pupil expenditure of local 
        educational agencies in such agency's State for the third 
        preceding fiscal year, as determined by the Secretary; 
        multiplied by
            ``(C) the local contribution percentage for the third 
        preceding fiscal year, as determined by the Secretary.
    ``(3) If the amount appropriated under section 8013(a) for any 
fiscal year is insufficient to pay to each local educational agency the 
amount determined under paragraph (2), the Secretary shall ratably 
reduce each such payment.
    ``(c) Supplemental Payments For Certain Children With 
Disabilities.--(1) From the amount appropriated under section 8013(b) 
for any fiscal year, the Secretary shall make supplemental payments to 
local educational agencies that receive basic support payments under 
subsection (b).
    ``(2) The maximum amount that a local educational agency is 
eligible to receive under this subsection for any fiscal year is--
            ``(A) the number of children with disabilities, as defined 
        in section 602(a)(1) of the Individuals with Disabilities 
        Education Act, described in paragraphs (2) and (3) of 
        subsection (a), to whom the local educational agency provided a 
        free appropriate public education in accordance with such Act 
        in the preceding school year; multiplied by
            ``(B) 50 percent of the average per-pupil expenditure 
        determined under subsection (b)(2)(B); multiplied by
            ``(C) the local contribution percentage determined by the 
        Secretary under subsection (b)(2)(C).
    ``(3) If the amount appropriated under section 8013(b) for any 
fiscal year is insufficient to pay to each local educational agency the 
amount determined under paragraph (2), the Secretary shall ratably 
reduce each such payment.
    ``(4) A local educational agency shall use any funds it receives 
under this subsection to provide a free appropriate public education to 
children described in paragraph (2), in accordance with part B of the 
Individuals with Disabilities Education Act.
    ``(d) Hold-Harmless Amounts.--(1) Notwithstanding any other 
provision of this section, the total amount that the Secretary shall 
pay a local educational agency under subsections (b) and (c) of this 
section--
            ``(A) for fiscal year 1995, shall not be less than 80 
        percent of the payment such agency received for fiscal year 
        1994 under section 3(a) of Public Law 81-874, as in effect for 
        fiscal year 1994;
            ``(B) for fiscal year 1996, shall not be less than 60 
        percent of such fiscal year 1994 payment; and
            ``(C) for fiscal year 1997, shall not be less than 40 
        percent of such fiscal year 1994 payment.
    ``(2) If necessary in order to make payments to local educational 
agencies in accordance with paragraph (1), the Secretary shall reduce 
payments to other local educational agencies determined under 
subsection (b).

    ``policies and procedures for children residing on indian lands

    ``Sec. 8004. (a) Policies and Procedures Required.--Any local 
educational agency that claims children residing on Indian lands for 
the purpose of receiving funds under section 8003 of this title shall 
establish policies and procedures to ensure that--
            ``(1) such children participate in programs and activities 
        supported by such funds on an equal basis with all other 
        children;
            ``(2) parents of such children and Indian tribes are 
        afforded an opportunity to present their views on such programs 
        and activities, including an opportunity to make 
        recommendations on the needs of those children and how they may 
        help those children realize the benefits of those programs and 
        activities;
            ``(3) parents and Indian tribes are consulted and involved 
        in planning and developing such programs and activities;
            ``(4) relevant applications, evaluations, and program plans 
        are disseminated to the parents and Indian tribes; and
            ``(5) parents and Indian tribes are afforded an opportunity 
        to present their views on the agency's general educational 
        program.
    ``(b) Records.--Each such agency shall maintain records 
demonstrating its compliance with subsection (a).
    ``(c) Waiver.--Any such agency is excused from the requirements of 
subsections (a) and (b) for any year with respect to any Indian tribe 
from which it has received a written statement that the agency need not 
comply with those subsections because the tribe is satisfied with the 
agency's provision of educational services to such children.
    ``(d) Technical Assistance and Enforcement.--The Secretary shall--
            ``(1) provide technical assistance to local educational 
        agencies, parents, and Indian tribes to enable them to carry 
        out this section; and
            ``(2) enforce this section through such actions, which may 
        include the withholding of funds, as the Secretary finds 
        appropriate, after affording the local educational agency, 
        parents, and affected Indian tribes an opportunity to present 
        their views.

             ``applications for payments under section 8003

    ``Sec. 8005. (a) Applications Required.--Any local educational 
agency wishing to receive a payment under section 8003 of this title 
shall--
            ``(1) file an application therefor with the Secretary; and
            ``(2) provide a copy of its application to the State 
        educational agency.
    ``(b) Application Contents.--Each such application shall be 
submitted in such form and manner, and shall contain such information, 
as the Secretary may require, including--
            ``(1) information to determine such agency's eligibility 
        for a payment and the amount of any such payment; and
            ``(2) where applicable, an assurance that such agency is in 
        compliance with section 8004 of this title, relating to 
        children residing on Indian lands.
    ``(c) Deadline For Submitting; Approval.--(1) The Secretary shall 
establish deadlines for the filing of applications under this section.
    ``(2) The Secretary shall approve each application submitted under 
this section that is filed by the deadline established under paragraph 
(1) and otherwise meets the requirements of this title.
    ``(3) The Secretary shall approve an application filed up to 60 
days after a deadline established under subsection (c) that otherwise 
meets the requirements of this title, except that, notwithstanding 
section 8003(d) or any other provision of this title, the Secretary 
shall reduce the payment based on such late application by ten percent 
of the amount that would otherwise be paid.
    ``(4) The Secretary shall not accept or approve any application 
filed more than 60 days after a deadline established under paragraph 
(1).

``sudden and substantial increases in attendance of military dependents

    ``Sec. 8006. (a) Eligibility.--A local educational agency is 
eligible for a payment under this section if--
            ``(1) the number of children in average daily attendance 
        during the current school year is at least ten percent or 100 
        more than the number of children in average daily attendance in 
        the preceding school year; and
            ``(2) the number of children in average daily attendance 
        with a parent on active duty (as defined in section 101(18) of 
        title 37, United States Code) in the Armed Forces who are in 
        attendance at such agency because of the assignment of their 
        parent to a new duty station between July 1 and September 30, 
        inclusive, of the current year, as certified by an appropriate 
        local official of the Department of Defense, is at least ten 
        percent or 100 more than the number of children in average 
        daily attendance in the preceding school year.
    ``(b) Application.--Any local educational agency that wishes to 
receive a payment under this section shall file an application therefor 
with the Secretary by October 15 of the current school year, in such 
manner and containing such information as the Secretary may prescribe, 
including information demonstrating that it is eligible for such a 
payment.
    ``(c) Children To Be Counted.--For each eligible local educational 
agency that applies for a payment under this section, the Secretary 
shall determine the lesser of--
            ``(1) the increase in the number of children in average 
        daily attendance from the preceding year; and
            ``(2) the number of children described in subsection 
        (a)(2).
    ``(d) Payments.--The Secretary shall pay each local educational 
agency with an approved application an amount, not to exceed $200 per 
eligible child, equal to--
            ``(1) the amount available to carry out this section, 
        including any funds carried over from prior years, divided by 
        the number of children determined under subsection (c) for all 
        such local educational agencies; multiplied by
            ``(2) the number of such children determined for that local 
        educational agency.

                             ``construction

    ``Sec. 8007. (a) Payments Authorized.--From the amount appropriated 
for each fiscal year under section 8013(d), the Secretary shall make 
payments to each local educational agency--
            ``(1) that receives a basic payment under section 8003(b); 
        and
            ``(2) in which the number of children determined under 
        section 8003(a) who resided on Indian lands constituted at 
        least 50 percent of the number of children who were in average 
        daily attendance in the schools of such agency during the 
        preceding school year.
    ``(b) Amount of Payments.--The amount of a payment to each such 
agency shall be equal to--
            ``(1) the amount so appropriated under section 8013(d); 
        divided by
            ``(2) the number of children determined under section 
        8003(a) for all such agencies, but not including any children 
        attending a school assisted or provided by the Secretary under 
        section 8008 of this title or section 10 of Public Law 81-815, 
        as in effect prior to the repeal of such statute; multiplied by
            ``(3) the number of such children determined for such 
        agency.
    ``(c) Use of Funds.--Any local educational agency that receives 
funds under this section shall use such funds for construction, as 
defined in section 8012(3) of this title.

         ``minimum school facilities assisted by the secretary

    ``Sec. 8008. (a) Current Facilities.--From the amount appropriated 
for any fiscal year under section 8013(e), the Secretary may continue 
to provide assistance for school facilities that were supported by the 
Secretary under section 10 of Public Law 81-815 as in effect prior to 
the repeal of such statute.
    ``(b) Transfer of Facilities.--(1) The Secretary shall, as soon as 
practicable, transfer to the appropriate local educational agency or 
another appropriate entity all the right, title, and interest of the 
United States in and to each facility provided under section 10 of 
Public Law 81-815, or under sections 204 or 310 of Public Law 81-874 as 
in effect on January 1, 1958.
    ``(2) Any such transfer shall be without charge to such agency or 
entity and shall be subject to such terms and conditions as the 
Secretary finds appropriate.

        ``state consideration of payments in providing state aid

    ``Sec. 8009. (a) General Prohibition on State Consideration.--
Except as provided in subsection (b), no State shall--
            ``(1) consider payments under this title or under Public 
        Law 81-874 in determining, for any fiscal year--
                    ``(A) the eligibility of any local educational 
                agency for State aid for free public education; or
                    ``(B) the amount of such aid; or
            ``(2) make such aid available to local educational agencies 
        in a manner that results in less State aid to any local 
        educational agency that is eligible for such payment than it 
        would receive if it were not so eligible.
    ``(b) State Equalization Plans.--(1) Notwithstanding subsection 
(a), a State may reduce State aid to a local educational agency that 
receives a payment under section 8003(b) of this title or under Public 
Law 81-874 (other than a payment under section 2 or an increase in 
payments described in paragraphs (2)(B), (2)(C), (2)(D), or (3)(B)(ii) 
of section 3(d)) for any fiscal year if the Secretary determines, and 
certifies under subsection (c)(3)(A), that the State has in effect a 
program of State aid that equalizes expenditures for free public 
education among local educational agencies in the State.
    ``(2)(A) For the purpose of paragraph (1), a program of State aid 
equalizes expenditures among local educational agencies if, in the 
second preceding fiscal year, the amount of per-pupil expenditures made 
by, or per-pupil revenues available to, the local educational agency in 
the State with the highest such per-pupil expenditures or revenues did 
not exceed the amount of such per-pupil expenditures made by, or per-
pupil revenues available to, the local educational agency in the State 
with the lowest such expenditures or revenues by more than 25 percent.
    ``(B) In making a determination under this subsection, the 
Secretary shall--
            ``(i) disregard local educational agencies with per-pupil 
        expenditures or revenues above the 95th percentile of such 
        expenditures or revenues in the State; and
            ``(ii) take into account the extent to which a program of 
        State aid reflects the additional cost of providing free public 
        education in particular types of local educational agencies, 
        such as those that are geographically isolated, or to 
        particular types of students, such as children with 
        disabilities.
    ``(3) Notwithstanding paragraph (2), if the Secretary determines 
that the State has substantially revised its program of State aid, the 
Secretary may certify such program for any fiscal year only if--
            ``(A) the Secretary determines, on the basis of projected 
        data, that the State's program will meet the 25 percent 
        disparity standard described in paragraph (2) in that fiscal 
        year; and
            ``(B) the State provides an assurance to the Secretary 
        that, if final data do not demonstrate that the State's program 
        met such standard for that year (or that it met such standard 
        with a greater percentage of disparity than anticipated), the 
        State will pay to each affected local educational agency the 
        amount by which it reduced State aid to the local educational 
        agency on the basis of such certification, or a proportionate 
        share thereof, as the case may be.
    ``(c) Procedures For Review of State Equalization Plans.--(1)(A) 
Any State that wishes to consider payments described in subsection 
(b)(1) in providing State aid to local educational agencies shall 
submit to the Secretary, not later than 120 days before the beginning 
of the State's fiscal year, a written notice of its intention to do so.
    ``(B) Such notice shall be in the form and contain the information 
the Secretary requires, including evidence that the State has notified 
each local educational agency in the State of its intention to consider 
such payments in providing State aid.
    ``(2) Before making a determination under subsection (b), the 
Secretary shall afford the State, and local educational agencies in the 
State, an opportunity to present their views.
    ``(3)(A) If the Secretary determines that a program of State aid 
qualifies under subsection (b), the Secretary shall--
            ``(i) certify the program and so notify the State; and
            ``(ii) afford an opportunity for a hearing, in accordance 
        with section 8011(a), to any local educational agency adversely 
        affected by such certification.
    ``(B) If the Secretary determines that a program of State aid does 
not qualify under subsection (b), the Secretary shall--
            ``(i) so notify the State; and
            ``(ii) afford an opportunity for a hearing, in accordance 
        with section 8011(a), to the State, and to any local 
        educational agency adversely affected by such determination.
    ``(d) Reductions of State Aid.--(1) A State whose program of State 
aid has been certified by the Secretary under subsection (c)(3)(A) may 
reduce the amount of such aid provided to a local educational agency 
that receives a payment described in subsection (b)(1) by any amount up 
to--
            ``(A) the amount of such payment; multiplied by
            ``(B) 100 percent minus the percentage of disparity 
        determined under subsection (b).
    ``(2) No State may make such reductions before its program of State 
aid has been certified by the Secretary under subsection (c)(3)(A).
    ``(e) Remedies for State Violations.--(1) The Secretary or any 
aggrieved local educational agency may, without exhausting 
administrative remedies, bring an action in United States district 
court against any State that violates subsection (a) or subsection 
(d)(2) of this section or fails to carry out an assurance provided 
under subsection (b)(3)(B) of this section.
    ``(2) A State shall not be immune under the eleventh amendment to 
the Constitution of the United States from such action.
    ``(3) The court shall grant such relief, other than monetary 
damages, as it determines is appropriate, which may include attorney's 
fees to a prevailing local educational agency.

                        ``federal administration

    ``Sec. 8010. (a) Payments in Whole Dollar Amounts--The Secretary 
shall round any payments under this title to the nearest whole dollar 
amount.
    ``(b) Other Agencies.--Each Federal agency administering Federal 
property on which children reside, and each agency principally 
responsible for an activity that may occasion assistance under this 
title, shall, to the maximum extent practicable, comply with requests 
of the Secretary for information the Secretary may need to carry out 
this title.

             ``administrative hearings and judicial review

    ``Sec. 8011. (a) Administrative Hearings.--Any local educational 
agency and any State that is adversely affected by any action of the 
Secretary under this title shall be entitled to a hearing on such 
action in the same manner as if such agency were a person under chapter 
5 of title 5, United States Code.
    ``(b) Judicial Review of Secretarial Action.--(1) Any local 
educational agency or any State aggrieved by the Secretary's final 
decision following an agency proceeding under subsection (a) may, 
within 60 days after receiving notice of such decision, file with the 
United States court of appeals for the circuit in which such agency or 
State is located a petition for review of that action. The clerk of the 
court shall promptly transmit a copy of the petition to the Secretary. 
The Secretary shall then file in the court the record of the 
proceedings on which the Secretary's action was based, as provided in 
section 2112 of title 28, United States Code.
    ``(2) The findings of fact by the Secretary, if supported by 
substantial evidence, shall be conclusive, but the court, for good 
cause shown, may remand the case to the Secretary to take further 
evidence. The Secretary may thereupon make new or modified findings of 
fact and may modify the Secretary's previous action, and shall file in 
the court the record of the further proceedings. Such new or modified 
findings of fact shall likewise be conclusive if supported by 
substantial evidence.
    ``(3) The court shall have exclusive jurisdiction to affirm the 
action of the Secretary or to set it aside, in whole or in part. The 
judgment of the court shall be subject to review by the Supreme Court 
of the United States upon certiorari or certification as provided in 
section 1254 of title 28, United States Code.

                             ``definitions

            ``Sec. 8012. As used in this title, the following terms 
        have the following meanings:
            ``(1) Armed forces.--The term `Armed Forces' means the 
        Army, Navy, Air Force, and Marine Corps.
            ``(2) Average per-pupil expenditure.--The term `average 
        per-pupil expenditure' means--
                    ``(A) the aggregate current expenditures of all 
                local educational agencies in the State; divided by
                    ``(B) the total number of children in average daily 
                attendance for whom such agencies provided free public 
                education.
            ``(3) Construction.--The term `construction' means--
                    ``(A) the preparation of drawings and 
                specifications for school facilities;
                    ``(B) erecting, building, acquiring, altering, 
                remodeling, repairing, or extending school facilities;
                    ``(C) inspecting and supervising the construction 
                of school facilities; and
                    ``(D) debt service for such activities.
            ``(4) Federal property.--(A) Except as otherwise described 
        in paragraphs (B) through (E) of this paragraph, the term 
        `Federal property' means real property that is not subject to 
        taxation by any State or any political subdivision of a State 
        due to Federal agreement, law, or policy, and that is--
                    ``(i) owned by the United States or leased by the 
                United States from another entity;
                    ``(ii)(I) held in trust by the United States for 
                individual Indians or Indian tribes;
                    ``(II) held by individual Indians or Indian tribes 
                subject to restrictions on alienation imposed by the 
                United States;
                    ``(III) conveyed at any time under the Alaska 
                Native Claims Settlement Act (Public Law 92-203, 43 
                U.S.C. 1601 et seq.) to a Native individual, Native 
                group, or Village or Regional corporation;
                    ``(IV) public land owned by the United States that 
                is designated for the sole use and benefit of 
                individual Indians or Indian tribes;
                    ``(V) used for low-rent housing, as otherwise 
                described in this paragraph, that is located on land 
                described in clauses (I), (II), (III), (IV) of this 
                subparagraph or on land that met one of those 
                descriptions immediately before its use for such 
                housing; or
                    ``(iii) part of a low-rent housing project assisted 
                under the United States Housing Act of 1937; or
                    ``(iv) owned by a foreign government or by an 
                international organization.
            ``(B) `Federal property' includes, so long as not subject 
        to taxation by any State or any political subdivision of a 
        State, and whether or not that tax exemption is due to Federal 
        agreement, law, or policy--
                    ``(i) any school providing flight training to 
                members of the Air Force under contract with the Air 
                Force at an airport owned by a State or political 
                subdivision of a State; and
                    ``(ii) real property that is part of a low-rent 
                housing project assisted under--
                            ``(I) section 516 of the Housing Act of 
                        1949, 42 U.S.C. 1486 (domestic farm labor low-
                        rent housing); or
                            ``(II) part B of title III of the Economic 
                        Opportunity Act of 1964, formerly 42 U.S.C. 
                        2861 et seq. (migrant and other seasonally 
                        employed farmworker low-rent housing).
            ``(C) ``Federal property' includes, whether or not subject 
        to taxation by a State or a political subdivision of a State--
                    ``(i) any non-Federal easement, lease, license, 
                permit, or other such interest in Federal property as 
                otherwise described in this paragraph, but not 
                including any non-Federal fee-simple interest;
                    ``(ii) any improvement on Federal property as 
                otherwise described in this paragraph; and
                    ``(iii) real property that, immediately before its 
                sale or transfer to a non-Federal party, was owned by 
                the United States and otherwise qualified as Federal 
                property described in this paragraph, but only for one 
                year beyond the end of the fiscal year of such sale or 
                transfer.
            ``(D) Notwithstanding any other provision of this 
        paragraph, `Federal property' does not include--
                    ``(i) any real property under the jurisdiction of 
                the United States Postal Service that is used primarily 
                for the provision of postal services; or
                    ``(ii) pipelines and utility lines.
            ``(E) Notwithstanding any other provision of this 
        paragraph, `Federal property' does not include any property on 
        which children reside that is otherwise described in this 
        paragraph if--
                    ``(i) no tax revenues of the State or of any 
                political subdivision of the State may be expended for 
                the free public education of children who reside on 
                that Federal property; or
                    ``(ii) no tax revenues of the State are allocated 
                or available for the free public education of such 
                children.
            ``(5) Free public education.--The term `free public 
        education' means education that is provided--
                    ``(A) at public expense, under public supervision 
                and direction, and without tuition charge; and
                    ``(B) as elementary or secondary education, as 
                determined under State law, except that, 
                notwithstanding State law, such term--
                            ``(i) includes preschool education; and
                            ``(ii) does not include any education 
                        provided beyond grade 12.
            ``(6) Indian lands.--The term `Indian lands' means any 
        Federal property described in paragraph (4)(A)(ii) of this 
        section.
            ``(7) Local contribution percentage.--(A) The term `local 
        contribution percentage' means the percentage of current 
        expenditures in the State derived from local and intermediate 
        sources, as reported to and verified by the National Center for 
        Education Statistics.
            ``(B) Notwithstanding subparagraph (A), the local 
        contribution percentage for Hawaii and for the District of 
        Columbia shall be the local contribution percentage computed 
        for the Nation as a whole.
            ``(8) Local educational agency.--(A) The term `local 
        educational agency' means a board of education or other legally 
        constituted local school authority having administrative 
        control and direction of free public education in a county, 
        township, independent school district, or other school 
        district.
            ``(B) `Local educational agency' includes any State agency 
        that directly operates and maintains facilities for providing 
        free public education.
            ``(C) `Local educational agency' does not include any 
        agency or school authority that the Secretary determines, on a 
        case-by-case basis--
                    ``(i) was constituted or reconstituted primarily 
                for the purpose of receiving assistance under this 
                title or under Public Law 81-874 or increasing the 
                amount of such assistance; or
                    ``(ii) is not constituted or reconstituted for 
                legitimate educational purposes.
            ``(9) School Facilities.--The term `school facilities' 
        includes classrooms and related facilities, and equipment, 
        machinery, and utilities necessary or appropriate for school 
        purposes.

                   ``authorization of appropriations

    ``Sec. 8013. (a) Basic Payments.--For the purpose of making 
payments under section 8003(b), there are authorized to be appropriated 
such sums as may be necessary for each of the fiscal years 1995 through 
1999.
    ``(b) Supplemental Payments for Children With Disabilities.--For 
the purpose of making payments under section 8003(c), there are 
authorized to be appropriated such sums as may be necessary for each of 
the fiscal years 1995 through 1999.
    ``(c) Payments for Increases in Military Children.--For the purpose 
of making payments under section 8006, there are authorized to be 
appropriated such sums as may be necessary for each of the fiscal years 
1995 through 1999.
    ``(d) Construction.--For the purpose of making payments under 
section 8007, there are authorized to be appropriated such sums as may 
be necessary for each of the fiscal years 1995 through 1999.
    ``(e) Facilities Maintenance.--For the purpose of carrying out 
section 8008, there are authorized to be appropriated such sums as may 
be necessary for each of the fiscal years 1995 through 1999.

                     ``TITLE IX--GENERAL PROVISIONS

                         ``Part A--Definitions

                             ``definitions

    ``Sec. 9101. Except as otherwise provided, for the purposes of this 
Act, the following terms have the following meanings:
            ``(1)(A) Except as provided otherwise by State law or this 
        paragraph, the term `average daily attendance' means--
                    ``(i) the aggregate number of days of attendance of 
                all students during a school year; divided by
                    ``(ii) the number of days school is in session 
                during such school year.
            ``(B) The Secretary shall permit the conversion of average 
        daily membership (or other similar data) to average daily 
        attendance for local educational agencies in States that 
        provide State aid to local educational agencies on the basis of 
        average daily membership or such other data.
            ``(C) If the local educational agency in which a child 
        resides makes a tuition or other payment for the free public 
        education of the child in a school located in another school 
        district, the Secretary shall, for purposes of this Act--
                    ``(i) consider the child to be in attendance at a 
                school of the agency making such payment; and
                    ``(ii) not consider the child to be in attendance 
                at a school of the agency receiving such payment.
            ``(D) If a local educational agency makes a tuition payment 
        to a private school or to a public school of another local 
        educational agency for a child with disabilities, as defined in 
        section 602(a)(1) of the Individuals with Disabilities 
        Education Act, the Secretary shall, for the purposes of this 
        Act, consider such child to be in attendance at a school of the 
        agency making such payment.
            ``(2) The term `average per-pupil expenditure' means, in 
        the case of a State or of the United States--
                    ``(A) without regard to the source of funds--
                            ``(i) the aggregate current expenditures, 
                        during the third preceding fiscal year (or, if 
                        satisfactory data for that year are not 
                        available, during the most recent preceding 
                        fiscal year for which satisfactory data are 
                        available) of all local educational agencies in 
                        the State or, in the case of the United States 
                        for all States (which, for the purpose of this 
                        paragraph, means the 50 States and the District 
                        of Columbia); plus
                            ``(ii) any direct current expenditures by 
                        the State for operation of such agencies; 
                        divided by
                    ``(B) the aggregate number of children in average 
                daily attendance to whom such agencies provided free 
                public education during such preceding year.
            ``(3) The term `child' means any person within the age 
        limits for which the applicable State provides free public 
        education.
            ``(4) The term `community-based organization' means a 
        private nonprofit organization that--
                    ``(A) is representative of a community or 
                significant segments of a community; and
                    ``(B) provides educational or related services to 
                individuals in the community.
            ``(5) The term `consolidated State application' means an 
        application submitted by a State educational agency pursuant to 
        section 9302 of this Act.
            ``(6) The term `county' means one of those divisions of a 
        State used by the Secretary of Commerce in compiling and 
        reporting data regarding counties.
            ``(7) The term `covered program' means each of the programs 
        authorized by--
                    ``(A) part A of title I of this Act (making high-
                poverty schools work);
                    ``(B) part C of title I of this Act (education of 
                migratory children);
                    ``(C) part A of title II of this Act (professional 
                development); and
                    ``(D) part A of title IV of this Act (safe and 
                drug-free schools) except section 4104.
            ``(8) The term `current expenditures' means expenditures 
        for free public education--
                    ``(A) including expenditures for administration, 
                instruction, attendance and health services, pupil 
                transportation services, operation and maintenance of 
                plant, fixed charges, and net expenditures to cover 
                deficits for food services and student body activities; 
                but
                    ``(B) not including expenditures for community 
                services, capital outlay, and debt service, or any 
                expenditures made from funds received under title I and 
                part A of title II of this Act.
            ``(9) The term `Department' means the Department of 
        Education.
            ``(10) The term `elementary school' means a day or 
        residential school that provides elementary education, as 
        determined under State law.
            ``(11) The term `free public education' means education 
        that is provided--
                    ``(A) at public expense, under public supervision 
                and direction, and without tuition charge; and
                    ``(B) as elementary or secondary school education 
                as determined under applicable State law, except that 
                such term does not include any education provided 
                beyond grade 12.
            ``(12) The term `institution of higher education' has the 
        meaning given that term in section 1201(a) of the Higher 
        Education Act of 1965.
            ``(13)(A) The term `local educational agency' means a 
        public board of education or other public authority legally 
        constituted within a State for either administrative control or 
        direction of, or to perform a service function for, public 
        elementary or secondary schools in a city, county, township, 
        school district, or other political subdivision of a State, or 
        for such combination of school districts or counties as are 
        recognized in a State as an administrative agency for its 
        public elementary or secondary schools.
            ``(B) The term includes any other public institution or 
        agency having administrative control and direction of a public 
        elementary or secondary school.
            ``(14) The term `outlying area' means the Virgin Islands, 
        Guam, American Samoa, the Commonwealth of the Northern Mariana 
        Islands, and Palau (until the effective date of the Compact of 
        Free Association with the Government of Palau).
            ``(15) The term `parent' includes a legal guardian or other 
        person standing in loco parentis.
            ``(16) The terms `pupil-services personnel' and `pupil 
        services' mean, respectively--
                    ``(A) school counselors, school social workers, 
                school psychologists, and other qualified professional 
                personnel involved in providing assessment, diagnosis, 
                counseling, educational, therapeutic, and other 
                necessary services as part of a comprehensive program 
                to meet student needs; and
                    ``(B) the services provided by such individuals.
            ``(17) The term `secondary school' means a day or 
        residential school that provides secondary education, as 
        determined under State law, except that it does not include any 
        education beyond grade 12.
            ``(18) The term `Secretary' means the Secretary of 
        Education.
            ``(19) The term `State' means each of the 50 States, the 
        District of Columbia, the Commonwealth of Puerto Rico, and each 
        of the outlying areas.
            ``(20) The term `State educational agency' means the agency 
        primarily responsible for the State supervision of public 
        elementary and secondary schools.

                     ``applicability of this title

    ``Sec. 9102. Parts B through F of this title do not apply to title 
VIII of this Act.

   ``Part B--Flexibility in the Use of Administrative and Other Funds

   ``consolidation of state administrative funds for elementary and 
                      secondary education programs

    ``Sec. 9201. (a) Consolidation of Administrative Funds.--(1) A 
State educational agency may consolidate the amounts specifically made 
available to it for State administration under one or more of the 
programs specified under paragraph (2).
    ``(2) This section applies to title I of this Act and the covered 
programs specified in sections 9101(7)(C) and (D).
    ``(b) Use of Funds.--(1) A State educational agency shall use the 
amount available under this section for the administration of the 
programs included in the consolidation under subsection (a).
    ``(2) A State educational agency may also use funds available under 
this section for administrative activities designed to enhance the 
effective and coordinated use of funds under such programs, such as--
            ``(A) the coordination of programs specified in subsection 
        (a)(2) with other Federal and non-Federal programs;
            ``(B) the establishment and operation of peer-review 
        mechanisms under this Act;
            ``(C) the administration of this title;
            ``(D) the dissemination of information regarding model 
        programs and practices; and
            ``(E) technical assistance under programs specified in 
        subsection (a)(2).
    ``(c) Records.--A State educational agency that consolidates 
administrative funds under this section shall not be required to keep 
separate records, by individual program, to account for costs relating 
to the administration of programs included in the consolidation under 
subsection (a).
    ``(d) Review.--To determine the effectiveness of State 
administration under this section, the Secretary may periodically 
review the performance of State educational agencies in using 
consolidated administrative funds under this section and take such 
steps as the Secretary finds appropriate to ensure the effectiveness of 
such administration.
    ``(e) Unused Administrative Funds.--If a State educational agency 
does not use all of the funds available to it under this section for 
administration, it may use such funds during the applicable period of 
availability as funds available under one or more programs included in 
the consolidation under subsection (a).

                ``single local educational agency states

    ``Sec. 9202. A State educational agency that also serves as a local 
educational agency shall, in its applications or State plans under this 
Act, describe how it will eliminate duplication in the conduct of 
administrative functions.

           ``consolidation of funds for local administration

    ``Sec. 9203. (a) General Authority.--In accordance with regulations 
of the Secretary, a local educational agency, with the approval of its 
State educational agency, may consolidate and use for the 
administration of one or more covered programs for any fiscal year not 
more than the percentage, determined by its State educational agency, 
of the total amount available to that local educational agency under 
those covered programs.
    ``(b) State Procedures.--Within one year from the date of enactment 
of the Improving America's Schools Act of 1993, a State educational 
agency shall, in collaboration with local educational agencies in the 
State, establish procedures for responding to requests from local 
educational agencies to consolidate administrative funds under 
subsection (a) and for establishing limitations on the amount of funds 
under covered programs that may be used for administration on a 
consolidated basis.
    ``(c) Conditions.--A local educational agency that consolidates 
administrative funds under this section for any fiscal year shall not 
use any other funds under the programs included in the consolidation 
for administration for that fiscal year.
    ``(d) Uses of Administrative Funds.--A local educational agency 
that consolidates administrative funds under this section may use these 
consolidated funds for the administration of covered programs and for 
the purposes described in section 9201(b)(2).
    ``(e) Records.--A local educational agency that consolidates 
administrative funds under this section shall not be required to keep 
separate records, by individual covered program, to account for costs 
relating to the administration of covered programs included in the 
consolidation.

                      ``administrative funds study

    ``Sec. 9204. (a) Study.--(1) The Secretary may conduct a study of 
the use of funds under this Act for the administration, by State and 
local educational agencies, of covered programs, including the 
percentage of grant funds used for such purpose in covered programs.
    ``(2) Based on the results of such study, the Secretary may publish 
regulations or guidelines regarding the use of funds for administration 
under those programs, including the use of such funds on a consolidated 
basis and limitations on the amount of such funds that may be used for 
administration.
    ``(b) Report.--The Secretary shall submit to the President and the 
appropriate committees of the Congress a report regarding the study, if 
any, conducted under this section within 30 days of its completion.

     ``consolidated set-aside for department of the interior funds

    ``Sec. 9205. (a) General Authority.--(1) The Secretary shall 
transfer to the Department of the Interior, as a consolidated amount 
for covered programs, the Indian education programs under part A of 
title VI of this Act, and the education for homeless children and youth 
program under subtitle B of title VII of the Stewart B. McKinney 
Homeless Assistance Act, the amounts allotted to the Department of the 
Interior under those programs.
    ``(2)(A) The Secretary and the Secretary of the Interior shall 
enter into an agreement, consistent with the requirements of the 
programs specified in paragraph (1), for the distribution and use of 
those funds under terms that the Secretary determines best meet the 
purposes of those programs.
    ``(B) The agreement shall--
            ``(i) set forth the plans of the Secretary of the Interior 
        for the use of the amount transferred, the steps to be taken to 
        achieve the National Education Goals, and performance measures 
        to assess program effectiveness, including measurable goals and 
        objectives; and
            ``(ii) be developed in consultation with Indian tribes.
    ``(b) Administration.--The Department of the Interior may use up to 
1.5 percent of the funds consolidated under this section for its costs 
related to the administration of the funds transferred under this 
section.

                         ``schoolwide programs

    ``Sec. 9206. In accordance with section 1114 of this Act, a school 
may use funds received under any noncompetitive, formula-grant program 
administered by the Secretary, except a program under the Individuals 
with Disabilities Education Act, and any discretionary program 
contained on a list (updated as necessary) issued by the Secretary, to 
support a schoolwide program, notwithstanding any provision of the 
statute or regulations governing any such program.

                ``availability of unneeded program funds

    ``Sec. 9207. With the approval of its State educational agency, a 
local educational agency that determines for any fiscal year that funds 
under a covered program other than part A of title I of this Act are 
not needed for the purpose of that covered program may use such funds, 
not to exceed five percent of the total amount of its funds under that 
covered program, for the purpose of another covered program.

   ``Part C--Coordination of Programs; Consolidated State and Local 
                              Applications

                               ``purpose

    ``Sec. 9301. It is the purpose of this part to improve teaching and 
learning by encouraging greater cross-program coordination, planning, 
and service delivery under this Act and enhanced integration of 
programs under this Act with educational activities carried out with 
State and local funds.

               ``optional consolidated state application

    ``Sec. 9302. (a) General Authority.--(1) In order to simplify 
application requirements and reduce burden for State educational 
agencies under this Act, the Secretary shall, in accordance with 
subsection (b), establish procedures and criteria under which a State 
educational agency may submit a consolidated State application meeting 
the requirements of this section for each of the covered programs in 
which the State participates.
    ``(2) A State educational agency may also include in its 
consolidated application--
            ``(A) the Even Start program under part B of title I of 
        this Act;
            ``(B) the education of neglected and delinquent youth 
        program under part D of title I of this Act;
            ``(C) part A of title II of the Carl D. Perkins Vocational 
        and Applied Technology Education Act; and
            ``(D) such other programs as the Secretary may designate.
    ``(3) A State educational agency that submits a consolidated State 
application under this section shall not be required to submit separate 
State plans or applications under any of the programs to which its 
consolidated application under this section applies.
    ``(b) Collaboration.--(1) In establishing criteria and procedures 
under this section, the Secretary shall collaborate with State 
educational agencies and, as appropriate, with other State agencies, 
local educational agencies, public and private nonprofit agencies, 
organizations, and institutions, private schools, and representatives 
of parents, students, and teachers.
    ``(2) Through the collaboration process described in subsection 
(b), the Secretary shall establish, for each program under the Act to 
which this section applies, the descriptions, information, assurances, 
and other material required to be included in a consolidated State 
application.

     ``general applicability of state educational agency assurances

    ``Sec. 9303. (a) Assurances.--A State educational agency that 
submits a State plan or application under this Act, whether separately 
or under section 9302, shall have on file with the Secretary a single 
set of assurances, applicable to each program for which a plan or 
application is submitted, that provides that--
            ``(1) each such program will be administered in accordance 
        with all applicable statutes, regulations, program plans, and 
        applications;
            ``(2)(A) the control of funds provided under each such 
        program and title to property acquired with program funds will 
        be in a public agency, in a nonprofit private agency, 
        institution, or organization, or in an Indian tribe if the 
        statute authorizing the program provides for assistance to such 
        entities; and
            ``(B) the public agency, nonprofit private agency, 
        institution, or organization, or Indian tribe will administer 
        such funds and property to the extent required by the 
        authorizing statutes;
            ``(3) the State will adopt and use proper methods of 
        administering each such program, including--
                    ``(A) the enforcement of any obligations imposed by 
                law on agencies, institutions, organizations and other 
                recipients responsible for carrying out each program;
                    ``(B) the correction of deficiencies in program 
                operations that are identified through audits, 
                monitoring, or evaluation; and
                    ``(C) the adoption of written procedures for the 
                receipt and resolution of complaints alleging 
                violations of law in the administration of such 
                programs;
            ``(4) the State will cooperate in carrying out any 
        evaluation of each such program conducted by or for the 
        Secretary or other Federal officials;
            ``(5) the State will use such fiscal control and fund 
        accounting procedures as will ensure proper disbursement of, 
        and accounting for, Federal funds paid to the State under each 
        such program;
            ``(6) the State will--
                    ``(A) make reports to the Secretary as may be 
                necessary to enable the Secretary to perform the 
                Secretary's duties under each such program; and
                    ``(B) maintain such records, provide such 
                information to the Secretary, and afford access to the 
                records as the Secretary may find necessary to carry 
                out the Secretary's duties; and
            ``(7) before the application was submitted to the 
        Secretary, the State has afforded a reasonable opportunity for 
        public comment on the application and has considered such 
        comment.
    ``(b) GEPA Provision.--Section 435 of the General Education 
Provisions Act does not apply to programs under this Act.

                   ``consolidated local applications

    ``Sec. 9304. (a) General Authority.--A local educational agency 
receiving funds under more than one covered program may submit 
applications to the State educational agency under such programs on a 
consolidated basis.
    ``(b) Required Consolidated Applications.--A State educational 
agency that has submitted and had approved a consolidated State 
application under section 9302 may require local educational agencies 
in the State receiving funds under more than one program included in 
the consolidated State application to submit consolidated local 
applications under such programs.
    ``(c) Collaboration.--A State educational agency shall collaborate 
with local educational agencies in the State in establishing procedures 
for the submission of the consolidated applications under this section.

                       ``other general assurances

    ``Sec. 9305. (a) Assurances.--Any applicant other than a State 
educational agency that submits an application under this Act, whether 
separately or pursuant to section 9304, shall have on file with the 
State educational agency a single set of assurances, applicable to each 
program for which an application is submitted, that provides that--
            ``(1) each such program will be administered in accordance 
        with all applicable statutes, regulations, program plans, and 
        applications;
            ``(2)(A) the control of funds provided under each such 
        program and title to property acquired with program funds will 
        be in a public agency or in a nonprofit private agency, 
        institution, organization, or Indian tribe, if the statute 
        authorizing the program provides for assistance to such 
        entities; and
            ``(B) the public agency, nonprofit private agency, 
        institution, or organization, or Indian tribe will administer 
        such funds and property to the extent required by the 
        authorizing statutes;
            ``(3) the applicant will adopt and use proper methods of 
        administering each such program, including--
                    ``(A) the enforcement of any obligations imposed by 
                law on agencies, institutions, organizations, and other 
                recipients responsible for carrying out each program; 
                and
                    ``(B) the correction of deficiencies in program 
                operations that are identified through audits, 
                monitoring, or evaluation;
            ``(4) the applicant will cooperate in carrying out any 
        evaluation of each such program conducted by or for the State 
        educational agency or the Secretary or other Federal officials;
            ``(5) the applicant will use such fiscal control and fund 
        accounting procedures as will ensure proper disbursement of, 
        and accounting for, Federal funds paid to such applicant under 
        each such program;
            ``(6) the applicant will--
                    ``(A) make reports to the State educational agency 
                and the Secretary as may be necessary to enable such 
                agency and the Secretary to perform their duties under 
                each such program; and
                    ``(B) maintain such records, provide such 
                information, and afford access to the records as the 
                State educational agency or the Secretary may find 
                necessary to carry out the State educational agency's 
                or the Secretary's duties; and
            ``(7) before the application was submitted, the applicant 
        afforded a reasonable opportunity for public comment on the 
        application and has considered such comment.
    ``(b) GEPA Provision.--Section 436 of the General Education 
Provisions Act does not apply to programs under this Act.

                           ``Part D--Waivers

           ``waivers of statutory and regulatory requirements

    ``Sec. 9401. (a) General.--Except as provided insubsection (c), the 
Secretary may waive any requirement of this Act or of the General 
Education Provisions Act, or of the regulations issued under such Acts, 
for a State educational agency, Indian tribe, or other agency, 
organization, or institution that receives funds under a program 
authorized by this Act from the Department and that requests such a 
waiver if--
            ``(1) the Secretary determines that such requirement 
        impedes the ability of the State educational agency or other 
        recipient to achieve more effectively the purposes of this Act; 
        and
            ``(2) in the case of a waiver proposal submitted by a State 
        educational agency, the State educational agency--
                    ``(A) provides all interested local educational 
                agencies in the State with notice and an opportunity to 
                comment on the proposal; and
                    ``(B) submits the comments to the Secretary; and
            ``(3) in the case of a waiver proposal submitted by a local 
        educational agency or other agency, institution, or 
        organization that receives funds under this Act from the State 
        educational agency, such request has been reviewed by the State 
        educational agency and is accompanied by the comments, if any, 
        of such agency.
    ``(b) Waiver Period.--(1) A waiver under this section shall be for 
a period not to exceed three years.
    ``(2) The Secretary may extend such period if the Secretary 
determines that--
            ``(A) the waiver has been effective in enabling the State 
        or affected recipients to carry out the activities for which it 
        was requested and has contributed to improved performance; and
            ``(B) such extension is in the public interest.
    ``(c) Waivers Not Authorized.--The Secretary may not waive, under 
this section, any statutory or regulatory requirement relating to--
            ``(1) comparability of services;
            ``(2) maintenance of effort;
            ``(3) the equitable participation of students attending 
        private schools;
            ``(4) parental participation and involvement;
            ``(5) the distribution of funds to States or to local 
        educational agencies or other recipients of funds under this 
        Act;
            ``(6) maintenance of records;
            ``(7) applicable civil rights requirements; or
            ``(8) the requirements of sections 438 and 439 of the 
        General Education Provisions Act.
    ``(d) Termination of Waivers.--The Secretary shall terminate a 
waiver under this section if the Secretary determines that the 
performance of the State or other recipient affected by the waiver has 
been inadequate to justify a continuation of the waiver or if it is no 
longer necessary to achieve its original purposes.

                      ``Part E--Uniform Provisions

                        ``maintenance of effort

    ``Sec. 9501. (a) General.--A local educational agency may receive 
funds under a covered program for any fiscal year only if the State 
educational agency finds that either the combined fiscal effort per 
student or the aggregate expenditures of that agency and the State with 
respect to the provision of free public education by that agency for 
the preceding fiscal year was not less than 90 percent of such combined 
fiscal effort or aggregate expenditures for the second preceding fiscal 
year.
    ``(b) Reduction in Case of Failure To Meet.--(1) The State 
educational agency shall reduce the amount of the allocation of funds 
under a covered program in any fiscal year in the exact proportion to 
which a local educational agency fails to meet the requirement of 
subsection (a) by falling below 90 percent of both the combined fiscal 
effort per student and aggregate expenditures (using the measure most 
favorable to such local agency).
    ``(2) No such lesser amount shall be used for computing the effort 
required under subsection (a) for subsequent years.
    ``(c) Waiver.--The Secretary may waive the requirements of this 
section if the Secretary determines that such a waiver would be 
equitable due to--
            ``(1) exceptional or uncontrollable circumstances such as a 
        natural disaster; or
            ``(2) a precipitous decline in the financial resources of 
        the local educational agency.

                   ``prohibition regarding state aid

    ``Sec. 9502. No State shall take into consideration payments under 
this Act in determining the eligibility of any local educational agency 
in that State for State aid, or the amount of State aid, with respect 
to free public education of children.

        ``participation by private school children and teachers

    ``Sec. 9503. (a) General Requirement.--(1) Except as otherwise 
provided in this Act, to the extent consistent with the number of 
eligible children in a State educational agency, local educational 
agency, or intermediate educational agency or consortium receiving 
financial assistance under a program specified in subsection (b), who 
are enrolled in private elementary and secondary schools in such agency 
or consortium, such agency or consortium shall, after timely and 
meaningful consultation with appropriate private school officials, 
provide such children and their teachers or other educational 
personnel, on an equitable basis, special educational services or other 
benefits under such program.
    ``(2) Educational services or other benefits, including materials 
and equipment, provided under this section, must be secular, neutral, 
and nonideological.
    ``(3) Educational services and other benefits provided under this 
section for such private school children, teachers, and other 
educational personnel shall be equitable in comparison to services and 
other benefits for public school children, teachers, and other 
educational personnel participating in such program.
    ``(4) Expenditures for educational services and other benefits 
provided under this section to eligible private school children, their 
teachers, and other educational personnel serving them shall be equal, 
taking into account the number and educational needs of the children to 
be served, to the expenditures for participating public school 
children.
    ``(5) Such agency or consortium may provide such services directly 
or through contracts with public and private agencies, organizations, 
and institutions.
    ``(b) Applicability.--(1) This section applies to--
            ``(A) each covered program;
            ``(B) programs under title VII of this Act; and
            ``(C) any other program under this Act specified by the 
        Secretary, subject to such conditions as the Secretary may 
        prescribe.
    ``(2) For the purposes of this section, the term `eligible 
children' mean children eligible for services under a program described 
in paragraph (1).
    ``(c) Consultation.--(1) To ensure timely and meaningful 
consultation, such agency or consortium shall consult with appropriate 
private school officials during the design and development of the 
programs under this Act, on issues such as--
            ``(A) how the children's needs will be identified;
            ``(B) what services will be offered;
            ``(C) how and where the services will be provided; and
            ``(D) how the services will be assessed.
    ``(2) Such consultation shall occur before the agency or consortium 
makes any decision that affects the opportunities of eligible private 
school children, teachers, and other educational personnel to 
participate in programs under this Act.
    ``(3) Such consultation shall include a discussion of the full 
range of service delivery mechanisms that an agency or consortium could 
use to provide equitable services to eligible private school children, 
teachers, and other educational personnel, including, but not limited 
to--
            ``(A) instruction provided at public school sites, at 
        neutral sites, or in mobile vans;
            ``(B) computer-assisted instruction;
            ``(C) extended-day services;
            ``(D) home tutoring; and
            ``(E) take-home computers.
    ``(d) Public Control of Funds.--(1) The control of funds used to 
provide services under this section, and title to materials, equipment, 
and property purchased with these funds, shall be in a public agency 
for the uses and purposes provided in this Act, and a public agency 
shall administer such funds and property.
    ``(2)(A) The provision of services under this section shall be 
provided--
            ``(i) by employees of a public agency; or
            ``(ii) through contract by such public agency with an 
        individual, association, agency, or organization.
    ``(B) In the provision of such services, such employee, person, 
association, agency, or organization shall be independent of such 
private school and of any religious organization, and such employment 
or contract shall be under the control and supervision of such public 
agency.
    ``(C) Funds used to provide services under this section shall not 
be commingled with non-Federal funds.

                        ``standards for by-pass

    ``Sec. 9504. If, by reason of any provision of law, a State, local, 
or intermediate educational agency or consortium is prohibited from 
providing for the participation in programs of children enrolled in, or 
teachers or other educational personnel from, private elementary and 
secondary schools, on an equitable basis, or if the Secretary 
determines that such agency or consortium has substantially failed or 
is unwilling to provide for such participation, as required by section 
9503, the Secretary shall--
            ``(1) waive the requirements of that section for such 
        agency or consortium; and
            ``(2) arrange for the provision of equitable services to 
        such children, teachers, or other educational personnel through 
        arrangements that shall be subject to the requirements of this 
        section and of sections 9503, 9505, and 9506.

    ``complaint process for participation of private school children

    ``Sec. 9505. (a) Procedures for Complaints.--The Secretary shall 
develop and implement written procedures for receiving, investigating, 
and resolving complaints from parents, teachers, or other individuals 
and organizations concerning violations by an agency or consortium of 
section 9503 of this Act. Such individual or organization shall submit 
such complaint to the State educational agency for a written resolution 
by such agency within a reasonable period of time.
    ``(b) Appeals to the Secretary.--Such resolution may be appealed by 
an interested party to the Secretary within 30 days after the State 
educational agency resolves the complaint or fails to resolve the 
complaint within a reasonable period of time. Such appeal shall be 
accompanied by a copy of the State educational agency's resolution, and 
a complete statement of the reasons supporting the appeal. The 
Secretary shall investigate and resolve each such appeal within 120 
days after receipt of the appeal.

                    ``by-pass determination process

    ``Sec. 9506. (a) Review.--(1)(A) The Secretary shall not take any 
final action under section 9504 until the agency or consortium affected 
by such action has had an opportunity, for at least 45 days after 
receiving written notice thereof, to submit written objections and to 
appear before the Secretary to show cause why that action should not be 
taken.
    ``(B) Pending final resolution of any investigation or complaint 
that could result in a determination under this section, the Secretary 
may withhold from the allocation of the affected State or local 
educational agency the amount estimated by the Secretary to be 
necessary to pay the cost of those services.
    ``(2)(A) If such affected agency or consortium is dissatisfied with 
the Secretary's final action after a proceeding under paragraph (1), it 
may, within 60 days after notice of such action, file with the United 
States court of appeals for the circuit in which such State is located 
a petition for review of that action.
    ``(B) A copy of the petition shall be forthwith transmitted by the 
clerk of the court to the Secretary.
    ``(C) The Secretary thereupon shall file in the court the record of 
the proceedings on which the Secretary based this action, as provided 
in section 2112 of title 28, United States Code.
    ``(3)(A) The findings of fact by the Secretary, if supported by 
substantial evidence, shall be conclusive, but the court, for good 
cause shown, may remand the case to the Secretary to take further 
evidence and the Secretary may thereupon make new or modified findings 
of fact and may modify the Secretary's previous action, and shall file 
in the court the record of the further proceedings.
    ``(B) Such new or modified findings of fact shall likewise be 
conclusive if supported by substantial evidence.
    ``(4)(A) Upon the filing of such petition, the court shall have 
jurisdiction to affirm the action of the Secretary or to set it aside, 
in whole or in part.
    ``(B) The judgment of the court shall be subject to review by the 
Supreme Court of the United States upon certiorari or certification as 
provided in section 1254 of title 28, United States Code.
    ``(b) Determination.--Any determination by the Secretary under this 
section shall continue in effect until the Secretary determines, in 
consultation with such agency or consortium and representatives of the 
affected private school children, teachers, or other educational 
personnel that there will no longer be any failure or inability on the 
part of such agency or consortium to meet the applicable requirements 
of section 9503 or any other provision of this Act.
    ``(c) Payment From State Allotment.--When the Secretary arranges 
for services pursuant to this section, the Secretary shall, after 
consultation with the appropriate public and private school officials, 
pay the cost of such services, including the administrative costs of 
arranging for those services, from the appropriate allocation or 
allocations under this Act.
    ``(d) Prior Determination.--Any by-pass determination by the 
Secretary under this Act as in effect on the day before enactment of 
the Improving America's Schools Act of 1993 shall remain in effect to 
the extent the Secretary determines that it is consistent with the 
purpose of this section.

    ``prohibition against funds for religious worship or instruction

    ``Sec. 9507. Nothing contained in this Act shall be construed to 
authorize the making of any payment under this Act for religious 
worship or instruction.

                       ``Part F--Other Provisions

              ``state recognition of exemplary performance

    ``Sec. 9601. (a) General Authority.--(1) A State educational agency 
may implement a program of State recognition awards under one or more 
covered programs (other than part A of title I of this Act) and part B 
of title I of this Act.
    ``(2) Such recognition awards shall be made by the State 
educational agency to recipients of assistance under this Act in the 
State that the State educational agency determines have carried out 
grant-related activities in an exemplary fashion and have demonstrated 
outstanding performance measured in accordance with this section.
    ``(3) A State desiring to make monetary awards under this section 
may reserve a portion of the total amount available for grants within 
the State under such program for any fiscal year, not to exceed one 
percent, for the purpose of making recognition awards to qualifying 
recipients under such programs. In implementing this section, a State 
may reduce the amount of funds it would otherwise allocate to 
recipients in accordance with the applicable statute governing such 
allocation to the extent necessary.
    ``(b) Conditions.--A State educational agency may make recognition 
awards under this section if--
            ``(1) in selecting awardees, it takes into account 
        improvements in performance (rather than comparisons with other 
        schools and school districts), and successful cooperative 
        efforts among teachers, administrators, and other school 
        personnel in achieving educational reform;
            ``(2) it employs peer review procedures in identifying 
        recipients eligible for awards, the identity of the awardees, 
        and the amount of the awards;
            ``(3) it determines that the awardee is in compliance with 
        applicable civil rights requirements; and
            ``(4) it submits to the Secretary a description of the 
        criteria used in making such awards.

                  ``international education activities

    ``Sec. 9602. (a) General Authority.--In order to enhance education 
in the United States and to encourage cooperative efforts with foreign 
governments and international organizations, the Secretary is 
authorized directly or through grants, contracts, or cooperative 
agreements to carry out the activities in subsection (b).
    ``(b) Authorized Activities.--Funds under this section may be used 
for--
            ``(1) activities to improve international understanding 
        through the exchange of technical assistance, information, and 
        training opportunities;
            ``(2) activities to improve our understanding of how 
        educational systems in other countries work in order to better 
        carry out reform efforts;
            ``(3) joint conferences with foreign countries to focus on 
        specific content areas; and
            ``(4) other joint efforts designed to foster international 
        collaboration and cooperation in education.
    ``(c) Authorization.--For the purpose of carrying out this section, 
there are authorized to be appropriated such sums as may be necessary 
for each of the fiscal years 1995 through 1999.''.

      TITLE II--AMENDMENTS TO THE GENERAL EDUCATION PROVISIONS ACT

     Part A--Applicability of the General Education Provisions Act

                   title; applicability; definitions

    Sec. 211. Section 400 of the General Education Provisions Act (20 
U.S.C. 1221 et seq.; hereafter in this title referred to as ``the 
Act'') is amended to read as follows:

                  ``title; applicability; definitions

    ``Sec. 400. (a) This title may be cited as the `General Education 
Provisions Act'.
    ``(b)(1) Except as otherwise provided, this title applies to each 
applicable program of the Department of Education.
    ``(2) Except as otherwise provided, this title does not apply to 
any contract made by the Department of Education.
    ``(c) As used in this title, the following terms have the following 
meanings:
            ``(1) The term `applicable program' means any program for 
        which the Secretary or the Department has administrative 
        responsibility as provided by law or by delegation of authority 
        pursuant to law. The term includes each program for which the 
        Secretary or the Department has administrative responsibility 
        under the Department of Education Organization Act or under 
        statutes effective after the effective date of that Act.
            ``(2) The term `applicable statute' means--
                    ``(A) the Act or the title, part, section, or any 
                other subdivision of an Act, as the case may be, that 
                authorizes the appropriation for an applicable program;
                    ``(B) this title; and
                    ``(C) any other statute that by its terms expressly 
                controls the administration of an applicable program.
            ``(3) The term `Department' means the Department of 
        Education.
            ``(4) The term `Secretary' means the Secretary of 
        Education.
    ``(d) Nothing in this title shall be construed to affect the 
applicability of title VI of the Civil Rights Act of 1964, title IX of 
the Education Amendments of 1972, title V of the Rehabilitation Act of 
1973, the Age Discrimination Act, or other statutes prohibiting 
discrimination, to any applicable program.''.

                                 repeal

    Sec. 212. Section 400A of the Act is repealed.

                  Part B--The Department of Education

                         new heading for part a

    Sec. 221. The heading for Part A of the Act is amended to read as 
follows: ``Part A--Functions of the Department of Education''.

                   general authority of the secretary

    Sec. 222. Section 408 of the Act is amended to read as follows:

                  ``general authority of the secretary

    ``Sec. 408. The Secretary, in order to carry out functions 
otherwise vested in him by law or by delegation of authority pursuant 
to law, and subject to limitations as may be otherwise imposed by law, 
is authorized to make, promulgate, issue, rescind, and amend rules and 
regulations governing the manner of operation of, and governing the 
applicable programs administered by, the Department.''.

                      office of private education

    Sec. 223. Section 409 of the Act is repealed and a new section 409 
is inserted in lieu thereof to read as follows:

                     ``office of private education

    ``Sec. 409. Subject to section 413 of the Department of Education 
Organization Act, there is established in the Department an Office of 
Private Education to ensure the maximum participation of nonpublic 
school students in all applicable programs for which such children are 
eligible.''.

                                repeals

    Sec. 224. Sections 401, 402, 403, 406A, 406B, 406C, and 407 of the 
Act are repealed.

                 Part C--Appropriations and Evaluations

                     availability of appropriations

    Sec. 231. (a) The heading for section 412 of the Act is amended to 
read as follows: ``availability of appropriations on academic or 
school-year basis; additional period for obligation of funds''.
    (b) Section 412 of the Act is further amended--
            (1) in subsection (a)--
                    (A) by striking out ``to educational agencies or 
                institutions'';
                    (B) by striking out ``expenditure'' and inserting 
                in lieu thereof ``obligations''; and
                    (C) by striking out ``by the agency or institution 
                concerned'' and inserting in lieu thereof ``by the 
                recipient'';
            (2) by amending subsection (b)(1) to read as follows:
    ``(b)(1)(A) Notwithstanding any other provision of law, unless 
enacted in express limitation of this subsection, any funds from 
appropriations to carry out any applicable State formula grant program 
that are not obligated by a recipient by the end of the fiscal year for 
which such funds were appropriated shall remain available for 
obligation by such recipient during the succeeding fiscal year.
    ``(B) As used in this subsection, the term `applicable State 
formula grant program' means an applicable program whose authorizing 
statute or implementing regulations provide a formula for allocating 
program funds among eligible States.'';
            (3) in subsection (b)(2)--
                    (A) by striking out ``applicable program'' and 
                inserting in lieu thereof ``applicable State formula 
                grant program'';
                    (B) by striking out ``and expenditure'' and ``and 
                expended''; and
                    (C) in subparagraph (B), by striking out 
                ``educational agencies or institutions'' and inserting 
                in lieu thereof ``recipients''; and
            (4) by striking out subsection (c).

                    contingent extension of programs

    Sec. 232. Section 414 of the Act is amended to read as follows:

                   ``contingent extension of programs

    ``Sec. 414. (a) The authorization of appropriations for, or 
duration of, an applicable program shall be automatically extended for 
one additional fiscal year unless Congress, in the regular session that 
ends prior to the terminal fiscal year of such authorization or 
duration--
            ``(1) has passed legislation that becomes law and extends, 
        or has formally rejected legislation that would have extended, 
        the authorization or duration of such program; or
            ``(2) approves a resolution, by action of either the House 
        of Representatives or the Senate, stating that this section 
        shall not apply to such program.
    ``(b) The amount authorized to be appropriated for the period of 
automatic extension of an applicable program under subsection (a) shall 
be the amount that was authorized to be appropriated for that program 
during its terminal fiscal year.
    ``(c) If the Secretary is required, in the terminal fiscal year of 
an applicable program, to carry out certain acts or make certain 
determinations that are necessary for the continuation of such program, 
such acts or determinations shall be required to be carried out or made 
during the period of automatic extension under subsection (a).''.

                       biennial evaluation report

    Sec. 233. Section 417 of the Act is amended to read as follows:

                      ``biennial evaluation report

    ``Sec. 417. Not later than March 31 of each second year beginning 
with 1995, the Secretary shall transmit to the Committee on Education 
and Labor of the House of Representatives and the Committee on Labor 
and Human Resources of the Senate an evaluation report on the 
effectiveness of applicable programs during the two preceding fiscal 
years in achieving their legislated purposes. Such report shall--
            ``(1) contain program profiles that include legislative 
        citations, multi-year funding histories, and legislated 
        purposes;
            ``(2) contain recent evaluation information on the progress 
        being made toward the achievement of program objectives, 
        including listings of program performance indicators, data from 
        performance measurement based on the indicators, and evaluation 
        information on the costs and benefits of the applicable 
        programs being evaluated;
            ``(3) contain selected significant program activities, such 
        as initiatives for program improvement, regulations, and 
        program monitoring and evaluation;
            ``(4) list the principal analyses and studies supporting 
        the major conclusions in the report; and
            ``(5) include available data to indicate the effectiveness 
        of the programs and projects by the race, sex, disability and 
        age of their beneficiaries.''.

                          technical amendments

    Sec. 234. (a) Section 415 of the Act is amended by striking out 
``Commissioner'' and inserting in lieu thereof ``Secretary''.
    (b) Section 420 of the Act is amended--
            (1) by striking out ``title I of'' and all that follows 
        through ``Congress)'' and inserting in lieu thereof ``title 
        VIII of the Elementary and Secondary Education Act of 1965''; 
        and
            (2) by striking out ``subparagraph (C) of section 3(d)(2) 
        or section 403(1)(C)'' and inserting in lieu thereof ``sections 
        8003(c) or residing on property described in section 
        8012(4)(B)(ii)''.

                                repeals

    Sec. 235. Sections 411, 413, 416, and 419 of the Act are repealed.

              Part D--Administration of Education Programs

                       joint funding of programs

    Sec. 241. (a) Section 421A of the Act is amended to read as 
follows:

                      ``joint funding of programs

    ``Sec. 421A. (a)(1) The Secretary is authorized to enter into 
arrangements with other Federal agencies to jointly carry out projects 
of common interest, to transfer to such agencies funds appropriated 
under any applicable program, and to receive and use funds from such 
agencies, for projects of common interest.
    ``(2) Funds so transferred or received shall be used only in 
accordance with the statutes authorizing the appropriation of such 
funds and the statutes appropriating such funds, and shall be made 
available only to parties eligible to receive such funds under such 
statutes.
    ``(3) If the Secretary enters into a agreement under this 
subsection for the administration of a project, the agency 
administering the project shall use its procedures to select awardees 
and to administer the awards, unless the parties to the agreement 
specify the use of procedures of another agency that is a party to the 
agreement.
    ``(4) If the Secretary has entered into an agreement authorized 
under subsection (a) of this section and the Secretary and the heads of 
the other agencies participating in the agreement determine that joint 
funding is necessary to address a special need consistent with the 
purposes and authorized activities of each program that provides 
funding, the Secretary and the heads of the other participating 
agencies may develop a single set of criteria for jointly funded 
projects and require each applicant for those projects to submit a 
single application for review by the participating agencies.
    ``(b) The Secretary may develop the criteria for, and require the 
submission of, joint applications under two or more applicable programs 
under which awards are made on a competitive basis, and may jointly 
review and approve such applications separately from other applications 
under such programs, when the Secretary determines that such joint 
awards are necessary to address a special need consistent with the 
purposes and authorized activities of each such program. Any applicant 
for such a joint award must meet the eligibility requirements of each 
such program.''.

              collection and dissemination of information

    Sec. 242. Section 422 of the Act is amended to read as follows:

             ``collection and dissemination of information

    ``Sec. 422. The Secretary shall--
            ``(1) prepare and disseminate to State and local 
        educational agencies and institutions information concerning 
        applicable programs and cooperate with other Federal officials 
        who administer programs affecting education in disseminating 
        information concerning such programs;
            ``(2) inform the public on federally supported education 
        programs; and
            ``(3) collect data and information on applicable programs 
        for the purpose of obtaining objective measurements of the 
        effectiveness of such programs in achieving their purposes.''.

                         review of applications

    Sec. 243. Section 425 of the Act is amended--
            (1) in subsection (a)--
                    (A) by striking out ``Commissioner'' and inserting 
                in lieu thereof ``Secretary'';
                    (B) by striking out ``and in the case of the 
                program provided for in title I of the Elementary and 
                Secondary Education Act of 1965,'';
                    (C) in the third sentence thereof, by inserting a 
                comma after ``the hearing''; and
                    (D) in the fourth sentence thereof--
                            (i) by striking out the comma after 
                        ``guidelines''; and
                            (ii) by inserting a comma after 
                        ``program'';
            (2) in subsection (b), by striking out ``Commissioner'' 
        each place it appears and inserting in lieu thereof 
        ``Secretary''; and
            (3) in subsection (d), by striking out ``Commissioner'' 
        each time it appears and inserting in lieu thereof 
        ``Secretary'' and by inserting before the period ``or issue 
        such other orders as the Secretary may deem appropriate to 
        achieve such compliance''.

                         use of funds withheld

    Sec. 244. Section 428 of the Act is amended to read as follows:

                        ``use of funds withheld

    ``Sec. 428. (a) At any time that the Secretary makes an allotment 
or reallotment to any State under any applicable program, the Secretary 
shall reduce such allotment or reallotment by such amount as the 
Secretary determines it would have been reduced, had the data on which 
the allotment or reallotment is based excluded all data relating to 
local educational agencies of the State that, on the date of the 
Secretary's action, are ineligible to receive the Federal financial 
assistance involved because of failure to comply with title VI of the 
Civil Rights Act of 1964, title IX of the Education Amendments of 1972, 
section 504 of the Rehabilitation Act of 1973, or the Age 
Discrimination Act of 1975.
    ``(b) The Secretary may use any funds withheld under subsection 
(a)--
            ``(1) to increase the allotments of other local educational 
        agencies within the State, or the allotments of all States, in 
        accordance with the statutes governing the program; or
            ``(2) for grants to local educational agencies of that 
        State in accordance with section 405 of the Civil Rights Act of 
        1964, or for any other program administered by the Department 
        that is designed to enhance equity in education or redress 
        discrimination on the basis of race, color, national origin, 
        sex, age, or disability.''.

                              applications

    Sec. 245. Section 430 of the Act is amended by striking out ``for 
three fiscal years'' and inserting in lieu thereof ``for more than one 
fiscal year''.

                              regulations

    Sec. 246. Section 431 of the Act is repealed.

              records; reduction in retention requirements

    Sec. 247. Section 437 of the Act is amended--
            (1) in subsection (a)--
                    (A) by striking out ``grant, subgrant, contract, 
                subcontract, loan, or other arrangement (other than 
                procurement contracts awarded by an administrative head 
                of an educational agency)'' and inserting in lieu 
                thereof ``grant, subgrant, cooperative agreement, loan 
                or other arrangement'';
                    (B) by inserting ``financial or programmatic'' 
                immediately before ``audit.''; and
                    (C) by striking out the last sentence thereof; and
            (2) in subsection (b), by striking out ``to any records of 
        a recipient which may be related, or pertinent to, the grants, 
        subgrants, contracts, subcontracts, loans, or other 
        arrangements'' and inserting in lieu thereof ``to any records 
        currently maintained by a recipient that may be related, or 
        pertinent to, grants, subgrants, cooperative agreements, loans, 
        or other arrangements''.

                          technical amendments

    Sec. 248. (a) The heading for Part C of the Act is amended by 
striking out ``Commissioner of Education'' and inserting in lieu 
thereof ``Secretary''.
    (b) Section 427 of the Act is amended--
            (1) by striking out ``Commissioner'' and inserting in lieu 
        thereof ``Secretary''; and
            (2) in the second sentence thereof, by inserting ``is 
        made'' after ``such determination''.
    (c) Section 430 of the Act is amended by striking out 
``Commissioner'' each place it appears and inserting in lieu thereof 
``Secretary''.
    (d) Section 433 of the Act is amended by striking out ``Except for 
emergency relief'' and inserting in lieu thereof ``All laborers''.
    (e)(1) The heading of section 434 of the Act is amended by striking 
out ``Educational''.
    (2) Section 434 of the Act is amended--
            (A) by striking out ``Commissioner'' each place it appears 
        and inserting in lieu thereof ``Secretary''; and
            (B) by inserting ``(c)'' before the last sentence and by 
        deleting ``paragraph (3)'' in such sentence and inserting in 
        lieu thereof ``subsection (b)(3)''.
    (f) Section 435 of the Act is amended--
            (1) by striking out ``Commissioner'' each place it appears 
        and inserting in lieu thereof ``Secretary''; and
            (2) in subsection (a)--
                    (A) by striking out the comma after ``submits a 
                plan''; and
                    (B) by striking out ``(subject, in the case of 
                programs under chapter 1 and chapter 2 of title I of 
                the Elementary and Secondary Education Act of 1965)''.
    (g) Section 436 of the Act is amended--
            (1) in subsection (a), by striking out ``that local 
        education agency'' and inserting in lieu thereof ``that local 
        educational agency''; and
            (2) in subsection (b)--
                    (A) in paragraph (2), by inserting a comma after 
                ``program'';
                    (B) in paragraph (4), by striking out 
                ``Commissioner'' each place it appears and inserting in 
                lieu thereof ``Secretary''; and
                    (C) in paragraph (7), by striking out ``handicapped 
                individuals'' and inserting in lieu thereof 
                ``individuals with disabilities''.
    (h) Section 438 of the Act is amended--
            (1) in subsection (a)(4)(B)(ii), by striking out the period 
        at the end thereof and inserting in lieu thereof a semicolon;
            (2) in subsection (b)--
                    (A) in paragraph (1)(C), by striking out ``(iii) an 
                administrative head of an education agency (as defined 
                in section 408(c)), or (iv)'' and inserting in lieu 
                thereof ``or (iii)'';
                    (B) in paragraph (1)(H), by striking out ``1954'' 
                and inserting in lieu thereof ``1986''; and
                    (C) in paragraph (3)--
                            (i) by striking out ``(C) an administrative 
                        head of an education agency or (D)'' and 
                        inserting in lieu thereof ``or (C)''; and
                            (ii) by striking out ``education program'' 
                        and inserting in lieu thereof ``education 
                        programs'';
            (3) in subsection (d), by inserting a comma after 
        ``education'';
            (4) in subsection (f)--
                    (A) by striking out ``The Secretary, or an 
                administrative head of an education agency,'' and 
                inserting in lieu thereof ``The Secretary'';
                    (B) by striking out ``provisions of'' after 
                ``enforce'';
                    (C) by striking out ``according to the provisions 
                of'' and inserting in lieu thereof ``in accordance 
                with''; and
                    (D) by striking out ``the provisions of'' after 
                ``with''; and
            (5) in subsection (g)--
                    (A) by striking out ``Health, Education, and 
                Welfare'' and inserting in lieu thereof ``Education''; 
                and
                    (B) by striking out ``the provisions of''.

                                repeals

    Sec. 249. (a) Sections 421, 423, 424, 426, 426A, and 429 of the Act 
are repealed.

     equity for students, teachers, and other program beneficiaries

    Sec. 250. The Act is further amended by inserting after section 425 
a new section 426 to read as follows:

    ``equity for students, teachers, and other program beneficiaries

    ``Sec. 426. (a) The purpose of this section is to assist the 
Department in implementing its mission to ensure equal access to 
education and to promote educational excellence throughout the Nation, 
by ensuring equal opportunities to participate for all eligible 
students, teachers and other program beneficiaries in any project or 
activity carried out under an applicable program and promoting their 
ability to meet high standards.
    ``(b) The Secretary shall require each applicant for assistance 
under an applicable program (other than an individual) to develop and 
describe in its application the steps it proposes to take to ensure 
equitable access to, and equitable participation in, the project or 
activity to be conducted with such assistance, by addressing the 
special needs of students, teachers, and other program beneficiaries in 
order to overcome barriers to equitable participation, including 
barriers based on gender, race, color, national origin, disability, and 
age.
    ``(c) The Secretary may establish criteria and provide technical 
assistance for meeting the requirements of this section.
    ``(d) Nothing in this section is intended to alter in any way the 
rights or responsibilities established under the statutes cited in 
section 400(d) of this Act.''.

                      Part E--Advisory Committees

                                 repeal

    Sec. 251. Part D of the Act is repealed.

                          Part F--Enforcement

                     repeal of grantback provision

    Sec. 261. Section 459 of the Act is repealed.

                Part G--Related Amendments to Other Acts

                department of education organization act

    Sec. 271. The Department of Education Organization Act is amended--
            (1) in section 414, by striking out ``(a)'' and subsection 
        (b);
            (2) in section 417, by adding a new subsection (d) to read 
        as follows:
    ``(d) The Secretary is authorized, with funds expressly 
appropriated for such purpose, to construct such facilities as may be 
necessary to carry out functions of the Secretary or the Department and 
to acquire and dispose of such property.'';
            (3) in section 421, by inserting ``and to accept donations 
        of services'' after ``personal''; and
            (4) by striking out section 427.

                      higher education act of 1965

    Sec. 272. Sections 432(d) and 482(c) of the Higher Education Act of 
1965 are repealed.

                     Part H--Conforming Amendments

                  conforming amendments to other acts

    Sec. 281. (a) The Rehabilitation Act of 1973 is amended--
            (1) by repealing section 9; and
            (2) in section 100, by striking out subsection (d).
    (b) Section 491(b) of the Higher Education Act of 1965 (20 U.S.C. 
1001 et seq.) is amended by striking out the last sentence thereof.

                  TITLE III--AMENDMENTS TO OTHER ACTS

 Part A--Amendments to the Individuals With Disabilities Education Act

               allocations under section 611 of the idea

    Sec. 311. (a) Section 611(a) of the Individuals with Disabilities 
Education Act (hereafter in this title referred to as the ``IDEA'') is 
amended--
            (1) by amending paragraph (1) to read as follows:
            ``(1) Except as provided in paragraph (5), the maximum 
        amount of the grant for which a State is eligible under this 
        section for any fiscal year is--
                    ``(A) the sum of--
                            ``(i) the number of children with 
                        disabilities in the State, aged six through 21, 
                        who are receiving special education and related 
                        services, as determined under paragraph (3); 
                        and
                            ``(ii) the number of such children in the 
                        State, aged three through five, if the State is 
                        eligible for a grant under section 619; 
                        multiplied by
                    ``(B) 40 percent of the average per-pupil 
                expenditure in public elementary and secondary schools 
                in the United States.'';
            (2) by amending paragraph (2) to read as follows:
            ``(2) For the purpose of this section, the term `State' 
        means each of the 50 States, the District of Columbia, and the 
        Commonwealth of Puerto Rico.''; and
            (3) in paragraph (5)(A)--
                    (A) in clause (i), by striking out ``and the 
                State'' and inserting in lieu thereof ``or the combined 
                percentage of such children counted by the Secretary 
                for the purpose of making fiscal year 1994 allocations 
                under this section and under subpart 2 of part D of 
                chapter 1 of title I of the Elementary and Secondary 
                Education Act of 1965, whichever is greater, if the 
                State'';
                    (B) in clause (ii)--
                            (i) by striking out ``and the State'' and 
                        inserting in lieu thereof ``or the combined 
                        percentage of such children counted by the 
                        Secretary for the purpose of making fiscal year 
                        1994 allocations under this section and under 
                        subpart 2 of part D of chapter 1 of title I of 
                        the Elementary and Secondary Education Act of 
                        1965, whichever is greater, if the State''; and
                            (ii) by striking out the semicolon and 
                        ``and'' at the end thereof and inserting in 
                        lieu thereof a period; and
                    (C) by striking out clause (iii).
    (b) Section 611(b) of the IDEA is amended to read as follows:
    ``(b)(1) Notwithstanding subsections (a) and (g) of this section, 
no State shall receive an amount under this section for any of the 
fiscal years 1995 through 1999 that is less than the combined amount it 
received for fiscal year 1994 under--
            ``(A) this section; and
            ``(B) subpart 2 of part D of chapter 1 of title I of the 
        Elementary and Secondary Education Act of 1965 for children 
        with disabilities aged three through 21.
    ``(2) If, for fiscal year 1998 or 1999, the number of children 
determined under subsection (a)(3) for any State is less than the total 
number of children with disabilities, aged three through 21, counted 
for that State's fiscal year 1994 grants under this section and under 
subpart 2 of part D of chapter 1 of title I of the Elementary and 
Secondary Education Act of 1965, the amount determined under paragraph 
(1) for that State shall be reduced by the same percentage by which the 
number of those children so declined.''.
    (c) Section 611(c) of the IDEA is amended--
            (1) by amending paragraph (1) to read as follows:
            ``(1) Of the funds received under subsection (a) by any 
        State for any fiscal year--
                    ``(A) the State may use up to 25 percent in 
                accordance with paragraph (2); and
                    ``(B) except as provided in paragraph (4), the 
                State shall distribute at least 75 percent to local 
                educational agencies and intermediate educational 
                units, in accordance with subsection (d), for use in 
                accordance with priorities established under section 
                612(3).'';
            (2) in paragraph (2), by amending subparagraph (A) to read 
        as follows:
                    ``(A) From the funds that any State may use under 
                paragraph (1)(A) for any fiscal year, the State--
                            ``(i) may use five percent of the funds 
                        received under this section or $450,000, 
                        whichever is greater, for administrative costs 
                        related to carrying out sections 612 and 613; 
                        and
                            ``(ii) shall use the remainder--
                                    ``(I) to provide support services 
                                and direct services, subject to 
                                subparagraph (B), in accordance with 
                                priorities established under section 
                                612(3); and
                                    ``(II) for the administrative costs 
                                of monitoring and complaint 
                                investigation, but only to the extent 
                                that such costs exceed the costs of 
                                administration incurred during fiscal 
                                year 1985.''.
    (d) Section 611(d) of the IDEA is amended to read as follows:
    ``(d)(1) From the total amount of funds available for any fiscal 
year under subsection (c)(1)(B), the State shall provide to each local 
educational agency or intermediate educational unit an amount that 
bears the same ratio to such total amount as the number of children, 
aged 3 through 21, determined under subsection (a)(3) for such agency 
or unit bears to the total number of such children determined for all 
such agencies and units that apply for such funds.
    ``(2)(A) To the extent necessary, the State--
            ``(i) shall use funds available under subsection 
        (c)(2)(A)(ii) to ensure that each State agency that received 
        fiscal year 1994 funds under subpart 2 of part D of chapter 1 
        of title I of the Elementary and Secondary Education Act of 
        1965 receives, from the combination of such funds and funds 
        provided under paragraph (1), an amount equal to--
                    ``(I) the number of children, aged 6 through 21, 
                determined under subsection (a)(3) for such agency; 
                multiplied by
                    ``(II) the per-child amount provided under such 
                subpart for fiscal year 1994; and
            ``(ii) may use such funds to ensure that each local 
        educational agency that received fiscal year 1994 funds under 
        such subpart for children who had transferred from a State-
        operated or State-supported school or program assisted under 
        such subpart receives, from the combination of such funds and 
        funds provided under paragraph (1), an amount for each such 
        child, aged 3 through 21, determined under subsection (a)(3) 
        for such agency, equal to the per-child amount the agency 
        received under such subpart for fiscal year 1994.
    ``(B) For the purpose of subparagraph (A), the number of children 
determined under subsection (a)(3) for any State agency or local 
educational agency shall not exceed the number of children aged 3 
through 21 for whom such agency received funds under such subpart for 
such fiscal year.''.
    (e) Section 611(e)(1) of the IDEA is amended to read as follows:
            ``(1) The jurisdictions to which this subsection applies 
        are Guam, American Samoa, the Virgin Islands, the Commonwealth 
        of the Northern Mariana Islands, and Palau (until the effective 
        date of the Compact of Free Association with the Government of 
        Palau).''.
    (f) Section 611(g) of the IDEA is amended to read as follows:
    ``(g)(1)(A) If the sums appropriated under subsection (h) for any 
fiscal year are not sufficient to pay in full the total of the amounts 
that all States are eligible to receive under subsection (a), each such 
amount shall be ratably reduced.
    ``(B) If additional funds become available for making such payments 
for any fiscal year, such reduced amounts shall be increased on the 
same basis as they were reduced.
    ``(C) Any State that receives any such additional funds shall 
distribute them in accordance with this section, except that any State 
that has used funds available under subsection (c)(2)(A)(ii) for the 
purposes described in subsection (d)(2) may--
            ``(i) deduct, from the amount that it would otherwise be 
        required to make available to local educational agencies and 
        intermediate educational units, the same amount of such 
        additional funds as it so used; and
            ``(ii) use such funds in accordance with subsection 
        (c)(2)(A)(ii).
    ``(2)(A) In any fiscal year for which payments have been reduced 
and additional funds have not been made available under paragraph (1) 
to pay in full the amounts for which all States are eligible under this 
section, each State educational agency shall fix dates by which each 
local educational agency or intermediate educational unit shall report 
to the State agency the amount of funds available to it under this 
section that it estimates it will expend.
    ``(B) The State educational agency shall, in accordance with this 
section, reallocate any funds that it determines will not be used 
during the period of availability by such local educational agencies 
and intermediate educational units, and by any such agency or unit to 
which such funds would be available if it applied for them under this 
part, to those local educational agencies and intermediate educational 
units that the State educational agency determines will need, and be 
able to use, additional funds to carry out approved programs.''.

                 treatment of chapter 1 state agencies

    Sec. 312. Part B of the IDEA is further amended by inserting after 
section 614 the following new section:

                ``treatment of chapter 1 state agencies

    ``Sec. 614A. (a) For the purpose of making payments under sections 
611 and 619 of this Act, any State agency that received funds for 
fiscal year 1994 under subpart 2 of part D of chapter 1 of title I of 
the Elementary and Secondary Education Act of 1965 shall be treated as 
if it were a local educational agency.
    ``(b) The State educational agency shall ensure that each State 
agency that operates or supports a program or school for children with 
disabilities with funds under this part--
            ``(1) provides each child with a disability in that school 
        or program a free appropriate public education in accordance 
        with this part, including the due process protections of 
        section 615, as if it were a local educational agency; and
            ``(2) has on file with the State educational agency an 
        application that meets those requirements of section 614 that 
        the Secretary finds appropriate.
    ``(c) Section 611(c)(4) shall not apply with respect to a State 
agency that is eligible for a payment under this part by virtue of this 
section.''.

                 infants and toddlers with disabilities

    Sec. 313. (a) Section 684(c) of the IDEA is amended--
            (1) by redesignating paragraph (2) as paragraph (5); and
            (2) by striking out paragraph (1) and inserting in lieu 
        thereof paragraphs (1) through (4) to read as follows:
            ``(1) Except as provided in paragraphs (3) and (4), from 
        the funds remaining for each fiscal year after the reservation 
        and payments under subsections (a) and (b), the Secretary shall 
        first allot to each State an amount that bears the same ratio 
        to the amount of such remainder as the number of infants and 
        toddlers in the State bears to the number of infants and 
        toddlers in all States.
            ``(2) For fiscal year 1995 only, the Secretary shall allot 
        $34,000,000 of the remaining funds described in paragraph (1) 
        among the States in proportion to their relative numbers of 
        infants and toddlers with disabilities who--
                    ``(A) are counted on December 1, 1994; and
                    ``(B) would have been eligible to be counted under 
                section 1221(c)(1) of the Elementary and Secondary 
                Education Act of 1965 as in effect before the enactment 
                of the Improving America's Schools Act of 1993.
            ``(3) Except as provided in paragraph (4), no State shall 
        receive an amount under this section for any fiscal year that 
        is less than the greater of--
                    ``(A) one-half of one percent of the remaining 
                amount described in paragraph (1), not including any 
                amounts allotted under paragraph (2); or
                    ``(B) $500,000.
            ``(4)(A) No State shall receive an amount under this 
        section for any of the fiscal years 1995 through 1999 that is 
        less than the combined amount it received for fiscal year 1994 
        under--
                    ``(i) this part; and
                    ``(ii) subpart 2 of part D of chapter 1 of title I 
                of the Elementary and Secondary Education Act of 1965 
                for children with disabilities from birth through age 
                two.
            ``(B) If, for fiscal year 1998 or 1999, the number of 
        infants and toddlers in any State, as determined under 
        paragraph (1), is less than the number of infants and toddlers 
        so determined for fiscal year 1994, the amount determined under 
        subparagraph (A) for that State shall be reduced by the same 
        percentage by which the number of those infants and toddlers so 
        declined.''.
    (b) The amendments made by subsection (a) shall take effect 
beginning with fiscal year 1995.

  Part B--Amendments to theStewart B. McKinney Homeless Assistance Act

                       state literacy initiatives

    Sec. 321. Section 702 of the Stewart B. McKinney Homeless 
Assistance Act (42 U.S.C. 11301 et seq.; hereinafter in this title 
referred to as ``the Act'') is amended to read as follows:

                      ``state literacy initiatives

    ``Sec. 702. (a) General Authority.--(1) The Secretary of Education 
is authorized to make grants to State educational agencies to enable 
each such agency to implement, either directly or through contracts and 
grants, a program of literacy training and academic remediation for 
adult homeless individuals within the State, which program shall--
            ``(A) include outreach activities; and
            ``(B) be coordinated with other agencies or organizations, 
        such as community-based organizations, nonprofit literacy-
        action organizations, and funding recipients under the Adult 
        Education Act, title II of the Job Training Partnership Act, 
        the Youth Fair Chance program under title IV of the Job 
        Training Partnership Act, the Volunteers in Service to America 
        program under the Domestic Volunteers Service Act, part C of 
        this title, or the Job Opportunity and Basic Skills program 
        under the Social Security Act.
    ``(2) The Secretary of Education shall, in awarding grants under 
this section, give special consideration to the estimates submitted in 
the application submitted under subsection (b) and make such awards in 
whatever amounts he or she determines would best serve the purposes of 
this section.
    ``(b) Application.--Each State educational agency desiring to 
receive a grant under this section shall submit to the Secretary of 
Education an application at such time, in such manner, and containing 
such information as the Secretary may reasonably require. Each such 
application shall include an estimate of the number of homeless 
individuals in the State and the number of such individuals expected to 
be served.
    ``(c) Authorization of Appropriations.--(1) For the purpose of 
carrying out the adult literacy and academic remediation programs 
authorized by this section, there are authorized to be appropriated 
such sums as may be necessary for each of the fiscal years 1995 through 
1999.
    ``(d) Definition.--As used in this section, the term `State' means 
each of the 50 States, the District of Columbia, the Commonwealth of 
Puerto Rico, the Virgin Islands, Guam, American Samoa, the Commonwealth 
of the Northern Mariana Islands, and Palau (until the effective date of 
the Compact of Free Association with the Government of Palau).''.

               education for homeless children and youth

    Sec. 322. Subtitle B of title VII of the Act is amended to read as 
follows:

        ``Subtitle B--Education for Homeless Children and Youth

                         ``statement of policy

    ``Sec. 721. It is the policy of the Congress that--
            ``(1) each State educational agency shall ensure that each 
        child of a homeless individual and each homeless youth has 
        equal access to the same free, appropriate public education, 
        including a public preschool education, as provided to other 
        children and youth;
            ``(2) in any State that has a compulsory residency 
        requirement as a component of its compulsory school attendance 
        laws or other laws, regulations, practices, or policies that 
        may act as a barrier to the enrollment, attendance, or success 
        in school of homeless children and youth, the State will review 
        and undertake steps to revise such laws, regulations, 
        practices, or policies to ensure that homeless children and 
        youth are afforded the same free, appropriate public education 
        as provided to other children and youth;
            ``(3) homelessness alone should not be sufficient reason to 
        separate students from the mainstream school environment; and
            ``(4) homeless children and youth should have access to the 
        education and other services that they need to ensure that they 
        have an opportunity to meet the same challenging State 
        performance standards to which all students are held.

 ``grants for state and local activities for the education of homeless 
                           children and youth

    ``Sec. 722. (a) General Authority.--The Secretary is, in accordance 
with the provisions of this section, authorized to make grants to 
States to carry out the activities described in subsections (d), (e), 
(f), and (g).
    ``(b) Application.--No State may receive a grant under this section 
unless the State educational agency submits an application to the 
Secretary at such time, in such manner, and containing or accompanied 
by such information as the Secretary may reasonably require.
    ``(c) Allocation and Reservations.--(1) Subject to paragraph (2) 
and section 724(c), from the amounts appropriated for each fiscal year 
pursuant to section 726, the Secretary is authorized to allot to each 
State an amount that bears the same ratio to the amount appropriated in 
each such year as the amount allocated under section 1122 of the 
Elementary and Secondary Education Act of 1965 to the State in that 
year bears to the total amount allocated to all States, except that no 
State shall receive less than $100,000.
    ``(2)(A) The Secretary is authorized to reserve 0.1 percent of the 
amount appropriated for each fiscal year pursuant to section 726 to be 
allocated by the Secretary among the Virgin Islands, Guam, American 
Samoa, the Commonwealth of the Northern Mariana Islands, and Palau 
(until the effective date of the Compact of Free Association with the 
Government of Palau), according to their respective need, as determined 
by the Secretary.
    ``(B)(i) The Secretary is authorized to transfer one percent of the 
amount appropriated for each fiscal year under section 726 to the 
Department of the Interior for programs for Indian students served by 
schools funded by the Secretary of the Interior, as determined under 
the Indian Self-Determination and Education Assistance Act, that are 
consistent with the purposes of this Act.
    ``(ii) The Secretary and the Secretary of the Interior shall enter 
into an agreement, consistent with the requirements of this part, for 
the distribution and use of these funds under terms that the Secretary 
determines best meet the purposes of the covered programs. Such 
agreement shall set forth the plans of the Secretary of the Interior 
for the use of the amounts transferred, including appropriate goals, 
objectives and milestones.
    ``(3) As used in this subsection, the term `State' shall not 
include the Virgin Islands, Guam, American Samoa, the Commonwealth of 
the Northern Mariana Islands, or Palau.
    ``(d) Mandated Activities.--Grants under this section shall be 
used--
            ``(1) to carry out the policies set forth in section 721 in 
        the State;
            ``(2) to provide activities for, and services to, homeless 
        children, including preschool-aged children, and homeless youth 
        that enable such children and youth to enroll in, attend, and 
        succeed in school, or, if appropriate, in preschool programs;
            ``(3) to establish or designate an Office of Coordinator of 
        Education of Homeless Children and Youth in the State 
        educational agency in accordance with subsection (f);
            ``(4) to prepare and carry out the State plan described in 
        subsection (g); and
            ``(5) to develop and implement professional development 
        programs for school personnel to heighten their awareness of, 
        and capacity to respond to, specific problems in the education 
        of homeless children and youth.
    ``(e) State and Local Grants.--(1)(A) Subject to subparagraph (B), 
if the amount allotted to the State educational agency for any fiscal 
year under this subtitle exceeds the amount such agency received for 
fiscal year 1990 under this subtitle, such agency shall provide grants 
to local educational agencies for purposes of section 723.
    ``(B) The State educational agency may reserve not more than the 
greater of five percent of the amount it receives under this subtitle 
for any fiscal year, or the amount such agency received under this 
subtitle for fiscal year 1990, to conduct activities under subsection 
(f) directly or through grants or contracts.
    ``(2) If the amount allotted to a State educational agency for any 
fiscal year under this subtitle is less than the amount such agency 
received for fiscal year 1990 under this subtitle, such agency, at its 
discretion, may provide such grants or may conduct activities under 
subsection (f) directly or through grants or contracts.
    ``(f) Functions of the Office of Coordinator.--The Coordinator of 
Education of Homeless Children and Youth established in each State 
shall--
            ``(1) estimate the number of homeless children and youth in 
        the State and the number of such children and youth served with 
        assistance provided under the grants under this subtitle;
            ``(2) gather, to the extent possible, reliable, valid, and 
        comprehensive information on the nature and extent of the 
        problems homeless children and youth have in gaining access to 
        public preschool programs and to public elementary and 
        secondary schools, the difficulties in identifying the special 
        needs of such children and youth, any progress made by the 
        State educational agency and local educational agencies in the 
        State in addressing such problems and difficulties, and the 
        success of the program under this subtitle in allowing homeless 
        children and youth to enroll in, attend, and succeed in school;
            ``(3) develop and carry out the State plan described in 
        subsection (g);
            ``(4) prepare and submit to the Secretary not later than 
        October 1, 1997, and on October 1 of every third year 
        thereafter, a report on the information gathered pursuant to 
        paragraphs (1) and (2) and such additional information as the 
        Secretary may require to carry out his or her responsibilities 
        under this subtitle;
            ``(5) facilitate coordination between the State educational 
        agency, the State social services agency, and other agencies 
        providing services to homeless children and youth and their 
        families; and
            ``(6) develop relationships and coordinate with other 
        relevant education, child development, or preschool programs 
        and providers of services to homeless children, homeless 
        families, and runaway and homeless youth (including domestic 
        violence agencies, shelter operators, transitional housing 
        facilities, runaway and homeless youth centers, and 
        transitional living programs for homeless youth), to improve 
        the provision of comprehensive services to homeless children 
        and youth and their families.
    ``(g) State Plan.--(1) Each State shall submit to the Secretary a 
plan to provide for the education of homeless children and youth within 
the State, which plan shall describe how such children and youth are or 
will be given the opportunity to meet the same challenging State 
performance standards all students are expected to meet, shall describe 
the procedures the State educational agency will use to identify such 
children and youth in the State and to assess their special needs, and 
shall--
            ``(A) describe procedures for the prompt resolution of 
        disputes regarding the educational placement of homeless 
        children and youth;
            ``(B) describe programs for school personnel (including 
        principals, attendance officers, teachers and enrollment 
        personnel), to heighten the awareness of such personnel of the 
        specific needs of runaway and homeless youth;
            ``(C) describe procedures that ensure that homeless 
        children and youth who meet the relevant eligibility criteria 
        are able to participate in Federal, State, or local food 
        programs;
            ``(D) describe procedures that ensure that--
                    ``(i) homeless children have equal access to the 
                same public preschool programs as provided to other 
                children; and
                    ``(ii) homeless children and youth who meet the 
                relevant eligibility criteria are able to participate 
                in Federal, State, or local before- and after-school 
                care programs;
            ``(E) address problems set forth in the report provided to 
        the Secretary under subsection (f)(4);
            ``(F) address other problems with respect to the education 
        of homeless children and youth, including problems caused by--
                    ``(i) transportation issues; and
                    ``(ii) enrollment delays that are caused by--
                            ``(I) immunization requirements;
                            ``(II) residency requirements;
                            ``(III) lack of birth certificates, school 
                        records, or other documentation; or
                            ``(IV) guardianship issues;
            ``(G) demonstrate that the State educational agency and 
        local educational agencies in the State have developed, and 
        will review and revise, policies to remove barriers to the 
        enrollment and retention of homeless children and youth in 
        schools in the State; and
            ``(H) contain an assurance that the State educational 
        agency and local educational agencies in the State will adopt 
        policies and practices to ensure that homeless children and 
        youth are not isolated or stigmatized.
    ``(2) Each plan adopted under this subsection shall also show how 
the State will ensure that local educational agencies in the State will 
comply with the requirements of paragraphs (3) through (9).
    ``(3)(A) The local educational agency of each homeless child and 
youth shall, according to the child's or youth's best interest, 
either--
            ``(i) continue the child's or youth's education in the 
        school of origin--
                    ``(I) for the remainder of the academic year; or
                    ``(II) in any case in which a family becomes 
                homeless between academic years, for the following 
                academic year; or
            ``(ii) enroll the child or youth in any school that 
        nonhomeless students who live in the attendance area in which 
        the child or youth is actually living are eligible to attend.
    ``(B) In determining the best interests of the child or youth under 
subparagraph (A), the local educational agency shall comply with the 
request made by a parent or guardian regarding school selection unless 
the local educational agency has a compelling reason for not complying 
with the request.
    ``(C) For purposes of this paragraph, the term `school of origin' 
means the school that the child or youth attended when permanently 
housed, or the school in which the child or youth was last enrolled.
    ``(D) The choice regarding placement shall be made regardless of 
whether the child or youth lives with the homeless parents or has been 
temporarily placed elsewhere by the parents.
    ``(4) Each homeless child or youth shall be provided services 
comparable to services offered to other students in the school selected 
according to the provisions of paragraph (3), including--
            ``(A) transportation services, except as required by 
        paragraph (9);
            ``(B) educational services for which the child or youth 
        meets the eligibility criteria, such as services provided under 
        title I of the Elementary and Secondary Education Act of 1965 
        or similar State or local programs, educational programs for 
        children with disabilities, and educational programs for 
        students with limited English proficiency;
            ``(C) programs in vocational education;
            ``(D) programs for gifted and talented students; and
            ``(E) school meals programs.
    ``(5) Any record ordinarily kept by the school, including 
immunization records, academic records, birth certificates, 
guardianship records, and evaluations for special services or programs, 
of each homeless child or youth shall be maintained--
            ``(A) so that the records are available, in a timely 
        fashion, when a child or youth enters a new school district; 
        and
            ``(B) in a manner consistent with section 438 of the 
        General Education Provisions Act.
    ``(6) Each local educational agency serving homeless children and 
youth that receives assistance under this subtitle shall coordinate 
with local social services agencies and other agencies or programs 
providing services to such children or youth and their families.
    ``(7)(A) Each local educational agency in which homeless children 
or youth live or attend school in a State that receives a grant under 
this subtitle shall designate a homelessness liaison to ensure that--
            ``(i) homeless children and youth enroll and succeed in the 
        schools of that agency; and
            ``(ii) homeless families, children, and youth receive 
        educational services for which they are eligible, including 
        preschool programs, and referrals to health care services, 
        dental services, mental health services, and other appropriate 
        services.
    ``(B) State coordinators and local educational agencies shall 
inform school personnel, service providers, and advocates working with 
homeless families of the duties of the liaisons.
    ``(8) Each State educational agency and local educational agency 
shall review and revise any policies that may act as barriers to the 
enrollment of homeless children and youth in schools selected in 
accordance with paragraph (3). In reviewing and revising such policies, 
consideration shall be given to issues concerning transportation, 
immunization, residency, birth certificates, school records, and other 
documentation, and guardianship. Special attention shall be given to 
ensuring the enrollment and attendance of homeless children and youth 
who are not currently attending school.
    ``(9) Each plan adopted under this subsection shall--
            ``(A) demonstrate that transportation, to the extent 
        possible, will be provided at no cost to homeless children and 
        youth attending the school in which they are enrolled; and
            ``(B) contain procedures for resolving disputes between 
        local educational agencies or within a local educational agency 
        concerning transportation costs for such children and youth.

    ``local educational agency grants for the education of homeless 
                           children and youth

    ``Sec. 723. (a) General Authority.--(1) The State educational 
agency shall, in accordance with section 722(e) and with amounts made 
available to such agency under section 726, make grants to local 
educational agencies for the purpose of facilitating the enrollment, 
attendance, and success in school of homeless children and youth.
    ``(2) Unless otherwise specified, services under paragraph (1) may 
be provided through programs on school grounds or at other facilities. 
Where services are provided through programs on school grounds, such 
services may also be made available to children and youth who are 
determined by the local educational agency to be at risk of failing in, 
or dropping out of, schools, except that priority for such services 
shall be given to homeless children and youth. To the maximum extent 
practicable, services shall be provided through existing programs and 
mechanisms that integrate homeless individuals with nonhomeless 
individuals.
    ``(3) Services provided under this section shall be designed to 
expand upon or improve services provided as part of the school's 
regular academic program.
    ``(b) Application.--A local educational agency that desires to 
receive a grant under this section shall submit an application to the 
State educational agency at such time, in such manner, and containing 
or accompanied by such information as the State educational agency may 
reasonably require according to guidelines issued by the Secretary. 
Each such application shall include--
            ``(1) a description of the services and programs for which 
        assistance is sought and the problems to be addressed through 
        the provision of such services and programs;
            ``(2) an assurance that the local educational agency's 
        combined fiscal effort per student or the aggregate 
        expenditures of that agency and the State with respect to the 
        provision of free public education by that agency for the 
        preceding fiscal year was not less than 90 percent of such 
        combined fiscal effort or aggregate expenditures for the second 
        preceding fiscal year;
            ``(3) an assurance that the applicant complies with, or 
        will use requested funds to come into compliance with, 
        paragraphs (3) through (9) of section 722(g); and
            ``(4) a description of policies and procedures that the 
        agency will implement to ensure that activities carried out by 
        the agency will not isolate or stigmatize homeless children and 
        youth.
    ``(c) Awards.--(1) The State educational agency shall, in 
accordance with section 722(g) and with amounts made available to such 
agency under section 726, award grants under this section to local 
educational agencies submitting an application under subsection (b) on 
the basis of the need of such agencies.
    ``(2) In determining need under paragraph (1), the State 
educational agency may consider the number of homeless children and 
youth enrolled in preschool, elementary, and secondary schools within 
the area served by the agency, and shall consider the needs of such 
children and youth and the ability of the agency to meet such needs. 
Such agency may also consider--
            ``(A) the extent to which the proposed use of funds would 
        facilitate the enrollment, retention, and educational success 
        of homeless children and youth;
            ``(B) the extent to which the application reflects 
        coordination with other local and State agencies that serve 
        homeless children and youth, as well as the State plan required 
        by section 722(g);
            ``(C) the extent to which the applicant exhibits in the 
        application and in current practice a commitment to education 
        for all homeless children and youth; and
            ``(D) such other criteria as the agency determines 
        appropriate.
    ``(3) Grants awarded under this section shall be for terms not to 
exceed three years.
    ``(d) Authorized Activities.--(1) A local educational agency may 
use funds awarded under this section for activities to carry out the 
purpose of this subtitle, including--
            ``(A) the provision of tutoring and supplementary 
        educational services that are linked to the achievement of the 
        same challenging standards the State establishes for other 
        children or youth;
            ``(B) the provision of expedited evaluations of the 
        strengths and needs of homeless children and youth, including 
        needs and eligibility for programs and services (such as 
        educational programs for gifted and talented students, children 
        with disabilities, and students with limited English 
        proficiency, services provided under title I of the Elementary 
        and Secondary Education Act of 1965 or similar State or local 
        programs, programs in vocational education, and school meals 
        programs);
            ``(C) professional development and other activities for 
        educators and other school personnel that is designed to 
        heighten the understanding and sensitivity of such personnel to 
        the needs of homeless children and youth, the rights of such 
        children and youth under this Act, and the specific educational 
        needs of runaway and homeless youth;
            ``(D) the provision of referral services to homeless 
        children and youth for medical, dental, mental, and other 
        health services;
            ``(E) the provision of assistance to defray the excess cost 
        of transportation for students pursuant to sections 722(g)(4) 
        or 722(g)(9), not otherwise provided through Federal, State, or 
        local funding, where necessary to enable students to attend the 
        school selected under section 722(g)(3);
            ``(F) the provision of developmentally appropriate early 
        childhood education programs, not otherwise provided through 
        Federal, State, or local funding, for preschool-aged children;
            ``(G) the provision of before- and after-school and summer 
        programs for homeless children and youth in which a teacher or 
        other qualified individual provides tutoring, homework 
        assistance, and supervision of educational activities;
            ``(H) where necessary, the payment of fees and other costs 
        associated with tracking, obtaining, and transferring records 
        necessary to enroll homeless children and youth in school, 
        including birth certificates, immunization records, academic 
        records, guardianship records, and evaluations for special 
        programs or services;
            ``(I) the provision of education and training to the 
        parents of homeless children and youth about the rights of, and 
        resources available to, such children and youth;
            ``(J) the development of coordination between schools and 
        agencies providing services to homeless children and youth;
            ``(K) the provision of counseling (including violence 
        prevention counseling), social work, and psychological 
        services, and referrals for such services;
            ``(L) activities to address the particular needs of 
        homeless children and youth that may arise from domestic 
        violence;
            ``(M) the adaptation of space and purchase of supplies for 
        nonschool facilities made available undersubsection (a)(2) to 
        provide services under this subsection;
            ``(N) the provision of school supplies to be distributed at 
        shelters or temporary housing facilities; and
            ``(O) the provision of other extraordinary or emergency 
        assistance needed to enable homeless children and youth to 
        attend school.

                     ``secretarial responsibilities

    ``Sec. 724. (a) Review of Plans.--In reviewing the State plans 
submitted by the State educational agencies under section 722(g), the 
Secretary shall use a peer review process and shall evaluate whether 
State laws, policies, and practices described in such plans adequately 
address the problems of homeless children and youth relating to access 
to education and placement as described in such plans.
    ``(b) Technical Assistance.--The Secretary shall provide support 
and technical assistance to the State educational agencies to assist 
such agencies to carry out their responsibilities under this subtitle.
    ``(c) Evaluation and Dissemination.--The Secretary shall conduct 
evaluation and dissemination activities of programs designed to meet 
the educational needs of homeless elementary and secondary school 
students, and may use funds appropriated under section 726 to conduct 
such activities.
    ``(d) Reports.--The Secretary shall prepare and submit a report to 
Congress on the programs and activities authorized by this subtitle by 
December 31, 1997, and every third year thereafter.

                             ``definitions

    ``Sec. 725. For the purpose of this subtitle, the following terms 
have the following meanings.
            ``(1) The term 'Secretary' means the Secretary of 
        Education.
            ``(2) The term 'State' means each of the 50 States, the 
        District of Columbia, and the Commonwealth of Puerto Rico.

                   ``authorization of appropriations

    ``Sec. 726. For the purpose of carrying out this subtitle, there 
are authorized to be appropriated such sums as may be necessary for 
each of the fiscal years 1995 through 1999.''.

                 Part C--Repeal of Impact Aid Statutes

                     repeal of impact aid statutes

    Sec. 331. Public Laws 81-815 and 81-874 are repealed.

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