[Congressional Bills 106th Congress]
[From the U.S. Government Publishing Office]
[S. 7 Introduced in Senate (IS)]







106th CONGRESS
  1st Session
                                  S. 7

           To modernize public schools for the 21st century.


_______________________________________________________________________


                   IN THE SENATE OF THE UNITED STATES

                            January 19, 1999

 Mr. Daschle (for himself, Mr. Kennedy, Mrs. Murray, Mr. Sarbanes, Mr. 
 Robb, Mrs. Feinstein, Mr. Bryan, Mr. Torricelli, Mr. Levin, Mr. Dodd, 
 Mr. Harkin, Mr. Rockefeller, Mr. Cleland, Mr. Wellstone, Mr. Schumer, 
    Mr. Edwards, Mr. Reid, Mrs. Boxer, Mr. Durbin, Mr. Breaux, Ms. 
   Mikulski, Mr. Kerry, Mr. Johnson, Mr. Baucus, and Mr. Lautenberg) 
introduced the following bill; which was read twice and referred to the 
          Committee on Health, Education, Labor, and Pensions

_______________________________________________________________________

                                 A BILL


 
           To modernize public schools for the 21st century.

    Be it enacted by the Senate and House of Representatives of the 
United States of America in Congress assembled,

SECTION 1. SHORT TITLE; TABLE OF CONTENTS.

    (a) Short Title.--This Act may be cited as the ``Public Schools 
Excellence Act''.
    (b) Table of Contents.--The table of contents is as follows:

Sec. 1. Short title; table of contents.
Sec. 2. Findings.
        TITLE I--HELPING COMMUNITIES MODERNIZE SCHOOL FACILITIES

Sec. 101. Findings.
Sec. 102. Expansion of incentives for public schools.
Sec. 103. Sense of the Senate regarding funding for BIA school 
                            facilities.
                     TITLE II--CLASS SIZE REDUCTION

Sec. 201. Class size reduction.
                     TITLE III--TEACHER EXCELLENCE

Sec. 301. Short title.
Sec. 302. Findings.
Sec. 303. Definitions.
 Part A--Challenging States To Ensure That Every Child Is Taught by a 
                           Qualified Teacher

Sec. 311. Purposes.
Sec. 312. Authorization of appropriations; reservation.
Sec. 313. Grants to States.
Sec. 314. Attracting new teachers programs.
Sec. 315. Local teacher quality improvement grants.
Sec. 316. Supplement not supplant.
                 Part B--Improving Teacher Preparation

Sec. 321. Sense of the Senate.
             Part C--Improving Teacher Technology Training

Sec. 331. Improving teacher technology training.
             TITLE IV--STRENGTHENING AFTER-SCHOOL PROGRAMS

                     Part A--School-aged Child Care

Sec. 411. Definitions.
Sec. 412. Authorization of appropriations.
Sec. 413. State plan.
Sec. 414. School-age child care and development services.
Sec. 415. Conforming amendments.
 Part B--Strengthening the 21st Century Community Learning Centers Act

Sec. 421. Program authorization.
Sec. 422. Applications.
Sec. 423. Uses of funds.
Sec. 424. Continuation awards under current statute.
Sec. 425. Authorization of appropriations.
Sec. 426. Effective date.

SEC. 2. FINDINGS.

    Congress makes the following findings:
            (1) Our Nation's investment in a high quality public 
        education system is necessary not only for the future of our 
        children and our families, but also for the future of America. 
        A well-educated citizenry and workforce are essential to 
        compete in the global economy and maintain a strong democracy. 
        In order to promote prosperity and ensure individual 
        opportunity, America must make education a national priority.
            (2) Strong leadership in education is needed more than 
        ever. Schools are facing the challenge of educating more highly 
        skilled workers to meet the demands of a modern economy. The 
        Bureau of Labor Statistics estimates that 60 percent of all 
        jobs created at the turn of the 21st century will require more 
        than a high school education.
            (3) Record numbers of students are enrolled in our Nation's 
        elementary and secondary schools and we can expect to break 
        that record every year from 1998 through 2007. The record 
        numbers are straining many school facilities. Addressing that 
        growth will require an increasing commitment of resources to 
        build and modernize schools, and to hire and train new 
        teachers. In addition, the increasing use of technology in the 
        workplace is creating new demands to incorporate computers and 
        other high-technology equipment into the classroom starting in 
        elementary schools.
            (4) Too many students are learning in out-of-date and 
        overcrowded school buildings. Government Accounting Office 
        reports indicate that 14,000,000 children in a third of the 
        Nation's schools are learning in substandard classrooms. There 
        is clear evidence that the quality of school facilities affects 
        student achievement levels. In addition, new classrooms will be 
        needed to accommodate smaller class sizes, and improvements in 
        wiring are needed to accommodate high-technology equipment.
            (5) Across the Nation, schools will need to recruit and 
        hire an additional 2,000,000 teachers during the period from 
        1998 through 2008. More than 200,000 teachers will be needed 
        annually. Current teacher development programs produce 100,000 
        to 150,000 teachers per year.
            (6) Rigorous research shows that students in smaller 
        classes in the early grades make more rapid educational 
        progress than students in larger classes. The progress is most 
        likely to occur if classes are taught by qualified, well-
        trained teachers.
            (7) Young people aged 12 through 17 are most at risk of 
        committing violent acts and being the victims of violent acts 
        between 3 p.m. and 8 p.m. Children who attend quality after-
        school programs are less likely to engage in delinquent 
        behavior and have better grades and emotional development than 
        their counterparts who are left unsupervised after school. In 
        1993, only 33 percent of schools in low-income neighborhoods 
        offered before- and after-school programs and only 50 percent 
        of schools in affluent neighborhoods offered such programs.
            (8) Higher levels of academic achievement will be required 
        to equip American students for the workplace of the 21st 
        century. Employers will demand increasingly sophisticated 
        levels of literacy, communication, mathematical, and technical 
        skills. Sixty percent of all jobs will require computer skills. 
        Additional resources will be needed for effective programs, 
        such as the School Technology Resource Grants Program and the 
        National Challenge Grants for Technology in Education Program, 
        and additional emphasis needs to be placed on training teachers 
        to use technology effectively in the classroom.
            (9) Some communities are improving student achievement 
        levels by adopting high standards for teachers and students, 
abolishing social promotion, and taking other steps to improve the 
quality of education. Some of this can be done by implementing high 
standards, restructuring existing budgets, and reordering priorities. 
But some communities, particularly those serving a high number of low-
income students, do not have the same resources as higher income 
communities. Despite efforts in many States to supplement funding in 
poor school districts, the General Accounting Office found that 
wealthier school districts in 37 States had more total funding than 
poor school districts in the 1991-1992 school year. On average, wealthy 
school districts had about 24 percent more total funding per weighted 
pupil than poor school districts. It is in the national interest that 
children from low-income families be provided with opportunities to 
achieve to the best of their ability in order to become productive, 
contributing members of society. Additional Federal resources should be 
committed to implement effective reforms and improve the quality of 
education in low-income rural and inner-city schools.
            (10) Coordinated national actions to lower class size, 
        raise student and teacher standards, and rebuild school 
        facilities are also needed to help address high school and 
        college dropout rates, which have involved over 500,000 
        students each year in high school and 28 percent of college 
        freshmen, of whom a disproportionate number are Hispanic 
        Americans.
            (11) Meeting the challenges of the 21st century will 
        require the involvement of all Americans, including public 
        officials, educators, parents, business and community leaders, 
        and students. Encouraging active community participation is 
        essential for the success of students in the 21st century.

        TITLE I--HELPING COMMUNITIES MODERNIZE SCHOOL FACILITIES

SEC. 101. FINDINGS.

    Congress makes the following findings:
            (1) The General Accounting Office has performed a 
        comprehensive survey of the Nation's public elementary and 
        secondary school facilities and has found severe levels of 
        disrepair in all areas of the United States.
            (2) The General Accounting Office has concluded that more 
        than 14,000,000 children attend schools in need of extensive 
        repair or replacement, 7,000,000 children attend schools with 
        life threatening safety code violations, and 12,000,000 
        children attend schools with leaky roofs.
            (3) The General Accounting Office has found the problem of 
        crumbling schools transcends demographic and geographic 
        boundaries. At 38 percent of urban schools, 30 percent of rural 
        schools, and 29 percent of suburban schools, at least one 
        building is in need of extensive repair or should be completely 
        replaced.
            (4) The condition of school facilities has a direct effect 
        on the safety of students and teachers and on the ability of 
        students to learn. Academic research has provided a direct 
        correlation between the condition of school facilities and 
        student achievement. At Georgetown University, researchers have 
        found the test scores of students assigned to schools in poor 
        condition can be expected to fall 10.9 percentage points below 
        the test scores of students in buildings in excellent 
        condition. Similar studies have demonstrated up to a 20 percent 
        improvement in test scores when students were moved from a poor 
        facility to a new facility.
            (5) The General Accounting Office has found most schools 
        are not prepared to incorporate modern technology in the 
        classroom. Forty-six percent of schools lack adequate 
electrical wiring to support the full-scale use of technology. More 
than a third of schools lack the requisite electrical power. Fifty-six 
percent of schools have insufficient phone lines for modems.
            (6) The Department of Education has reported that 
        elementary and secondary school enrollment, already at a record 
        high level, will continue to grow over the next 10 years, and 
        that in order to accommodate this growth, the United States 
        will need to build an additional 6,000 schools.
            (7) The General Accounting Office has determined the cost 
        of bringing schools up to good, overall condition to be 
        $112,000,000,000, not including the cost of modernizing schools 
        to accommodate technology, or the cost of building additional 
        facilities needed to meet record enrollment levels.
            (8) Schools run by the Bureau of Indian Affairs (BIA) for 
        Native American children are also in dire need of repair and 
        renovation. The General Accounting Office has reported that the 
        cost of total inventory repairs needed for BIA facilities is 
        $754,000,000. The December 1997 report by the Comptroller 
        General of the United States states that, ``Compared with other 
        schools nationally, BIA schools are generally in poorer 
        physical condition, have more unsatisfactory environmental 
        factors, more often lack key facilities requirements for 
        education reform, and are less able to support computer and 
        communications technology.''.
            (9) State and local financing mechanisms have proven 
        inadequate to meet the challenges facing today's aging school 
        facilities. Large numbers of local educational agencies have 
        difficulties securing financing for school facility 
        improvement.
            (10) The Federal Government has provided resources for 
        school construction in the past. For example, between 1933 and 
        1939, the Federal Government assisted in 70 percent of all new 
        school construction.
            (11) The Federal Government can support elementary and 
        secondary school facilities without interfering in issues of 
        local control, and should help communities leverage additional 
        funds for the improvement of elementary and secondary school 
        facilities.

SEC. 102. EXPANSION OF INCENTIVES FOR PUBLIC SCHOOLS.

    (a) In General.--Part IV of subchapter U of chapter 1 of the 
Internal Revenue Code of 1986 (relating to incentives for education 
zones) is amended to read as follows:

 ``PART IV--INCENTIVES FOR QUALIFIED PUBLIC SCHOOL MODERNIZATION BONDS

                              ``Sec. 1397E. Credit to holders of 
                                        qualified public school 
                                        modernization bonds.
                              ``Sec. 1397F. Qualified zone academy 
                                        bonds.
                              ``Sec. 1397G. Qualified school 
                                        construction bonds.

``SEC. 1397E. CREDIT TO HOLDERS OF QUALIFIED PUBLIC SCHOOL 
              MODERNIZATION BONDS.

    ``(a) Allowance of Credit.--In the case of a taxpayer who holds a 
qualified public school modernization bond on the credit allowance date 
of such bond which occurs during the taxable year, there shall be 
allowed as a credit against the tax imposed by this chapter for such 
taxable year the amount determined under subsection (b).
    ``(b) Amount of Credit.--
            ``(1) In general.--The amount of the credit determined 
        under this subsection with respect to any qualified public 
        school modernization bond is the amount equal to the product 
        of--
                    ``(A) the credit rate determined by the Secretary 
                under paragraph (2) for the month in which such bond 
                was issued, multiplied by
                    ``(B) the face amount of the bond held by the 
                taxpayer on the credit allowance date.
            ``(2) Determination.--During each calendar month, the 
        Secretary shall determine a credit rate which shall apply to 
        bonds issued during the following calendar month. The credit 
        rate for any month is the percentage which the Secretary 
        estimates will on average permit the issuance of qualified 
        public school modernization bonds without discount and without 
        interest cost to the issuer.
    ``(c) Limitation Based on Amount of Tax.--
            ``(1) In general.--The credit allowed under subsection (a) 
        for any taxable year shall not exceed the excess of--
                    ``(A) the sum of the regular tax liability (as 
                defined in section 26(b)) plus the tax imposed by 
                section 55, over
                    ``(B) the sum of the credits allowable under part 
                IV of subchapter A (other than subpart C thereof, 
                relating to refundable credits).
            ``(2) Carryover of unused credit.--If the credit allowable 
        under subsection (a) exceeds the limitation imposed by 
        paragraph (1) for such taxable year, such excess shall be 
        carried to the succeeding taxable year and added to the credit 
        allowable under subsection (a) for such taxable year.
    ``(d) Qualified Public School Modernization Bond; Credit Allowance 
Date.--For purposes of this section--
            ``(1) Qualified public school modernization bond.--The term 
        `qualified public school modernization bond' means--
                    ``(A) a qualified zone academy bond, and
                    ``(B) a qualified school construction bond.
            ``(2) Credit allowance date.--The term `credit allowance 
        date' means, with respect to any issue, the last day of the 1-
        year period beginning on the date of issuance of such issue and 
        the last day of each successive 1-year period thereafter.
    ``(e) Other Definitions.--For purposes of this part--
            ``(1) Local educational agency.--The term `local 
        educational agency' has the meaning given to such term by 
        section 14101 of the Elementary and Secondary Education Act of 
        1965. Such term includes the local educational agency that 
        serves the District of Columbia but does not include any other 
        State agency.
            ``(2) Bond.--The term `bond' includes any obligation.
            ``(3) State.--The term `State' includes the District of 
        Columbia and any possession of the United States.
            ``(4) Public school facility.--The term `public school 
        facility' shall not include any stadium or other facility 
        primarily used for athletic contests or exhibitions or other 
        events for which admission is charged to the general public.
    ``(f) Credit Included in Gross Income.--Gross income includes the 
amount of the credit allowed to the taxpayer under this section and the 
amount so included shall be treated as interest income.
    ``(g) Bonds Held By Regulated Investment Companies.--If any 
qualified public school modernization bond is held by a regulated 
investment company, the credit determined under subsection (a) shall be 
allowed to shareholders of such company under procedures prescribed by 
the Secretary.

``SEC. 1397F. QUALIFIED ZONE ACADEMY BONDS.

    ``(a) Qualified Zone Academy Bond.--For purposes of this part--
            ``(1) In general.--The term `qualified zone academy bond' 
        means any bond issued as part of an issue if--
                    ``(A) 95 percent or more of the proceeds of such 
                issue are to be used for a qualified purpose with 
                respect to a qualified zone academy established by a 
                local educational agency,
                    ``(B) the bond is issued by a State or local 
                government within the jurisdiction of which such 
                academy is located,
                    ``(C) the issuer--
                            ``(i) designates such bond for purposes of 
                        this section,
                            ``(ii) certifies that it has written 
                        assurances that the private business 
                        contribution requirement of paragraph (2) will 
                        be met with respect to such academy, and
                            ``(iii) certifies that it has the written 
                        approval of the local educational agency for 
                        such bond issuance, and
                    ``(D) the term of each bond which is part of such 
                issue does not exceed 15 years.
            ``(2) Private business contribution requirement.--
                    ``(A) In general.--For purposes of paragraph (1), 
                the private business contribution requirement of this 
                paragraph is met with respect to any issue if the local 
                educational agency that established the qualified zone 
                academy has written commitments from private entities 
                to make qualified contributions having a present value 
                (as of the date of issuance of the issue) of not less 
                than 10 percent of the proceeds of the issue.
                    ``(B) Qualified contributions.--For purposes of 
                subparagraph (A), the term `qualified contribution' 
                means any contribution (of a type and quality 
                acceptable to the local educational agency) of--
                            ``(i) equipment for use in the qualified 
                        zone academy (including state-of-the-art 
                        technology and vocational equipment),
                            ``(ii) technical assistance in developing 
                        curriculum or in training teachers in order to 
                        promote appropriate market driven technology in 
                        the classroom,
                            ``(iii) services of employees as volunteer 
                        mentors,
                            ``(iv) internships, field trips, or other 
                        educational opportunities outside the academy 
                        for students, or
                            ``(v) any other property or service 
                        specified by the local educational agency.
            ``(3) Qualified zone academy.--The term `qualified zone 
        academy' means any public school (or academic program within a 
        public school) which is established by and operated under the 
        supervision of a local educational agency to provide education 
        or training below the postsecondary level if--
                    ``(A) such public school or program (as the case 
                may be) is designed in cooperation with business to 
                enhance the academic curriculum, increase graduation 
                and employment rates, and better prepare students for 
                the rigors of college and the increasingly complex 
                workforce,
                    ``(B) students in such public school or program (as 
                the case may be) will be subject to the same academic 
                standards and assessments as other students educated by 
                the local educational agency,
                    ``(C) the comprehensive education plan of such 
                public school or program is approved by the local 
                educational agency, and
                    ``(D)(i) such public school is located in an 
                empowerment zone or enterprise community (including any 
                such zone or community designated after the date of 
                enactment of this section), or
                    ``(ii) there is a reasonable expectation (as of the 
                date of issuance of the bonds) that at least 35 percent 
                of the students attending such school or participating 
                in such program (as the case may be) will be eligible 
                for free or reduced-cost lunches under the school lunch 
                program established under the National School Lunch 
                Act.
            ``(4) Qualified purpose.--The term `qualified purpose' 
        means, with respect to any qualified zone academy--
                    ``(A) constructing, rehabilitating, or repairing 
                the public school facility in which the academy is 
                established,
                    ``(B) providing equipment for use at such academy,
                    ``(C) developing course materials for education to 
                be provided at such academy, and
                    ``(D) training teachers and other school personnel 
                in such academy.
            ``(5) Temporary period exception.--A bond shall not be 
        treated as failing to meet the requirement of paragraph (1)(A) 
        solely by reason of the fact that the proceeds of the issue of 
        which such bond is a part are invested for a reasonable 
        temporary period (but not more than 36 months) until such 
        proceeds are needed for the purpose for which such issue was 
        issued. Any earnings on such proceeds during such period shall 
        be treated as proceeds of the issue for purposes of applying 
        paragraph (1)(A).
    ``(b) Limitations on Amount of Bonds Designated.--
            ``(1) In general.--There is a national zone academy bond 
        limitation for each calendar year. Such limitation is--
                    ``(A) $400,000,000 for 1999,
                    ``(B) $1,400,000,000 for 2000,
                    ``(C) $1,400,000,000 for 2001, and
                    ``(D) except as provided in paragraph (3), zero 
                after 2001.
            ``(2) Allocation of limitation.--
                    ``(A) Allocation among states.--
                            ``(i) 1999 limitation.--The national zone 
                        academy bond limitation for calendar year 1999 
                        shall be allocated by the Secretary among the 
                        States on the basis of their respective 
                        populations of individuals below the poverty 
                        line (as defined by the Office of Management 
                        and Budget).
                            ``(ii) Limitation after 1999.--The national 
                        zone academy bond limitation for any calendar 
                        year after 1999 shall be allocated by the 
                        Secretary among the States in the manner 
                        prescribed by section 1397G(d); except that, in 
                        making the allocation under this clause, the 
                        Secretary shall take into account Basic Grants 
                        attributable to large local educational 
                        agencies (as defined in section 1397G(e)).
                    ``(B) Allocation to local educational agencies.--
                The limitation amount allocated to a State under 
                subparagraph (A) shall be allocated by the State 
                education agency to qualified zone academies within 
                such State.
                    ``(C) Designation subject to limitation amount.--
                The maximum aggregate face amount of bonds issued 
                during any calendar year which may be designated under 
                subsection (a) with respect to any qualified zone 
                academy shall not exceed the limitation amount 
                allocated to such academy under subparagraph (B) for 
                such calendar year.
            ``(3) Carryover of unused limitation.--If for any calendar 
        year--
                    ``(A) the limitation amount under this subsection 
                for any State, exceeds
                    ``(B) the amount of bonds issued during such year 
                which are designated under subsection (a) with respect 
                to qualified zone academies within such State,
        the limitation amount under this subsection for such State for 
        the following calendar year shall be increased by the amount of 
        such excess. The preceding sentence shall not apply if such 
        following calendar year is after 2003.

``SEC. 1397G. QUALIFIED SCHOOL CONSTRUCTION BONDS.

    ``(a) Qualified School Construction Bond.--For purposes of this 
part, the term `qualified school construction bond' means any bond 
issued as part of an issue if--
            ``(1) 95 percent or more of the proceeds of such issue are 
        to be used for the construction, rehabilitation, or repair of a 
        public school facility,
            ``(2) the bond is issued by a State or local government 
        within the jurisdiction of which such school is located,
            ``(3) the issuer designates such bond for purposes of this 
        section, and
            ``(4) the term of each bond which is part of such issue 
        does not exceed 15 years.
Rules similar to the rules of section 1397F(a)(5) shall apply for 
purposes of paragraph (1).
    ``(b) Limitation on Amount of Bonds Designated.--The maximum 
aggregate face amount of bonds issued during any calendar year which 
may be designated under subsection (a) by any issuer shall not exceed 
the sum of--
            ``(1) the limitation amount allocated under subsection (d) 
        for such calendar year to such issuer, and
            ``(2) if such issuer is a large local educational agency 
        (as defined in subsection (e)) or is issuing on behalf of such 
        an agency, the limitation amount allocated under subsection (e) 
        for such calendar year to such agency.
    ``(c) National Limitation on Amount of Bonds Designated.--
            ``(1) In general.--There is a national qualified school 
        construction bond limitation for each calendar year equal to 
        the dollar amount specified in paragraph (2) for such year, 
        reduced, in the case of calendar years 2000 and 2001, by 1.5 
        percent of such amount.
            ``(2) Dollar amount specified.--The dollar amount specified 
        in this paragraph is--
                    ``(A) $9,700,000,000 for 2000,
                    ``(B) $9,700,000,000 for 2001, and
                    ``(C) except as provided in subsection (f), zero 
                after 2001.
    ``(d) 65 Percent of Limitation Allocated Among States.--
            ``(1) In general.--Sixty-five percent of the limitation 
        applicable under subsection (c) for any calendar year shall be 
        allocated among the States under paragraph (2) by the 
        Secretary. The limitation amount allocated to a State under the 
        preceding sentence shall be allocated by the State education 
        agency to issuers within such State and such allocations may be 
        made only if there is an approved State application.
            ``(2) Allocation formula.--The amount to be allocated under 
        paragraph (1) for any calendar year shall be allocated among 
        the States in proportion to the respective amounts each such 
        State received for Basic Grants under subpart 2 of part A of 
        title I of the Elementary and Secondary Education Act of 1965 
        (20 U.S.C. 6331 et seq.) for the most recent fiscal year ending 
        before such calendar year. For purposes of the preceding 
        sentence, Basic Grants attributable to large local educational 
        agencies (as defined in subsection (e)) shall be disregarded.
            ``(3) Minimum allocations to states.--
                    ``(A) In general.--The Secretary shall adjust the 
                allocations under this subsection for any calendar year 
                for each State to the extent necessary to ensure that 
                the sum of--
                            ``(i) the amount allocated to such State 
                        under this subsection for such year, and
                            ``(ii) the aggregate amounts allocated 
                        under subsection (e) to large local educational 
                        agencies in such State for such year,
                is not less than an amount equal to such State's 
                minimum percentage of 65 percent of the national 
                qualified school construction bond limitation under 
                subsection (c) for the calendar year.
                    ``(B) Minimum percentage.--A State's minimum 
                percentage for any calendar year is the minimum 
                percentage described in section 1124(d) of the 
                Elementary and Secondary Education Act of 1965 (20 
                U.S.C. 6334(d)) for such State for the most recent 
                fiscal year ending before such calendar year.
            ``(4) Allocations to certain possessions.--The amount to be 
        allocated under paragraph (1) to any possession of the United 
        States other than Puerto Rico shall be the amount which would 
        have been allocated if all allocations under paragraph (1) were 
        made on the basis of respective populations of individuals 
        below the poverty line (as defined by the Office of Management 
        and Budget). In making other allocations, the amount to be 
        allocated under paragraph (1) shall be reduced by the aggregate 
        amount allocated under this paragraph to possessions of the 
        United States.
            ``(5) Approved state application.--For purposes of 
        paragraph (1), the term `approved State application' means an 
        application which is approved by the Secretary of Education and 
        which includes--
                    ``(A) the results of a recent publicly-available 
                survey (undertaken by the State with the involvement of 
                local education officials, members of the public, and 
                experts in school construction and management) of such 
                State's needs for public school facilities, including 
descriptions of--
                            ``(i) health and safety problems at such 
                        facilities,
                            ``(ii) the capacity of public schools in 
                        the State to house projected enrollments, and
                            ``(iii) the extent to which the public 
                        schools in the State offer the physical 
                        infrastructure needed to provide a high-quality 
                        education to all students, and
                    ``(B) a description of how the State will allocate 
                to local educational agencies, or otherwise use, its 
                allocation under this subsection to address the needs 
                identified under subparagraph (A), including a 
                description of how it will--
                            ``(i) give highest priority to localities 
                        with the greatest needs, as demonstrated by 
                        inadequate or overcrowded school facilities 
                        coupled with a low level of resources to meet 
                        those needs,
                            ``(ii) use its allocation under this 
                        subsection to assist localities that lack the 
                        fiscal capacity to issue bonds on their own, 
                        including the issuance of bonds by the State on 
                        behalf of such localities, and
                            ``(iii) ensure that its allocation under 
                        this subsection is used only to supplement, and 
                        not supplant, the amount of school 
                        construction, rehabilitation, and repair in the 
                        State that would have occurred in the absence 
                        of such allocation.
        Any allocation under paragraph (1) by a State education agency 
        shall be binding if such agency reasonably determined that the 
        allocation was in accordance with the plan approved under this 
        paragraph.
    ``(e) 35 Percent of Limitation Allocated Among Largest School 
Districts.--
            ``(1) In general.--Thirty-five percent of the limitation 
        applicable under subsection (c) for any calendar year shall be 
        allocated under paragraph (2) by the Secretary among local 
        educational agencies which are large local educational agencies 
        for such year. No qualified school construction bond may be 
        issued by reason of an allocation to a large local educational 
        agency under the preceding sentence unless such agency has an 
        approved local application.
            ``(2) Allocation formula.--The amount to be allocated under 
        paragraph (1) for any calendar year shall be allocated among 
        large local educational agencies in proportion to the 
        respective amounts each such agency received for Basic Grants 
        under subpart 2 of part A of title I of the Elementary and 
        Secondary Education Act of 1965 (20 U.S.C. 6331 et seq.) for 
        the most recent fiscal year ending before such calendar year.
            ``(3) Large local educational agency.--For purposes of this 
        section, the term `large local educational agency' means, with 
        respect to a calendar year, any local educational agency if 
        such agency is--
                    ``(A) among the 100 local educational agencies with 
                the largest numbers of children aged 5 through 17 from 
                families living below the poverty level, as determined 
                by the Secretary using the most recent data available 
                from the Department of Commerce that are satisfactory 
                to the Secretary, or
                    ``(B) 1 of not more than 25 local educational 
                agencies (other than those described in clause (i)) 
                that the Secretary of Education determines (based on 
                the most recent data available satisfactory to the 
                Secretary) are in particular need of assistance, based 
                on a low level of resources for school construction, a 
                high level of enrollment growth, or such other factors 
                as the Secretary deems appropriate.
            ``(4) Approved local application.--For purposes of 
        paragraph (1), the term `approved local application' means an 
        application which is approved by the Secretary of Education and 
        which includes--
                    ``(A) the results of a recent publicly-available 
                survey (undertaken by the local educational agency with 
                the involvement of school officials, members of the 
                public, and experts in school construction and 
                management) of such agency's needs for public school 
                facilities, including descriptions of--
                            ``(i) the overall condition of the local 
                        educational agency's school facilities, 
                        including health and safety problems,
                            ``(ii) the capacity of the agency's schools 
                        to house projected enrollments, and
                            ``(iii) the extent to which the agency's 
                        schools offer the physical infrastructure 
                        needed to provide a high-quality education to 
                        all students,
                    ``(B) a description of how the local educational 
                agency will use its allocation under this subsection to 
                address the needs identified under subparagraph (A), 
                and
                    ``(C) a description of how the local educational 
                agency will ensure that its allocation under this 
                subsection is used only to supplement, and not 
                supplant, the amount of school construction, 
                rehabilitation, or repair in the locality that would 
                have occurred in the absence of such allocation.
        A rule similar to the rule of the last sentence of subsection 
        (d)(5) shall apply for purposes of this paragraph.
    ``(f) Carryover of Unused Limitation.--If for any calendar year--
            ``(1) the amount allocated under subsection (d) to any 
        State, exceeds
            ``(2) the amount of bonds issued during such year which are 
        designated under subsection (a) pursuant to such allocation,
the limitation amount under such subsection for such State for the 
following calendar year shall be increased by the amount of such 
excess. A similar rule shall apply to the amounts allocated under 
subsection (e). The subsection shall not apply if such following 
calendar year is after 2003.
    ``(g) Set-Aside Allocated Among Indian Tribes.--
            ``(1) In general.--The 1.5 percent set-aside applicable 
        under subsection (c)(1) for any calendar year shall be 
        allocated under paragraph (2) among Indian tribes for the 
        construction, rehabilitation, or repair of tribal schools. No 
        allocation may be made under the preceding sentence unless the 
        Indian tribe has an approved application.
            ``(2) Allocation formula.--The amount to be allocated under 
        paragraph (1) for any calendar year shall be allocated among 
        Indian tribes on a competitive basis by the Secretary of the 
        Interior, in consultation with the Secretary of Education--
                    ``(A) through a negotiated rulemaking procedure 
                with the tribes in the same manner as the procedure 
                described in section 106(b)(2) of the Native American 
                Housing Assistance and Self-Determination Act of 1996 
                (25 U.S.C. 4116(b)(2)), and
                    ``(B) based on criteria described in paragraphs 
                (1), (3), (4), (5), and (6) of section 12005(a) of the 
                Elementary and Secondary Education Act of 1965 (20 
                U.S.C. 8505(a)).
            ``(3) Approved application.--For purposes of paragraph (1), 
        the term `approved application' means an application submitted 
        by an Indian tribe which is approved by the Secretary of 
        Education and which includes--
                    ``(A) the basis upon which the applicable tribal 
                school meets the criteria described in paragraph 
                (2)(B), and
                    ``(B) an assurance by the Indian tribe that such 
                tribal school will not receive funds pursuant to 
                allocations described in subsection (d) or (e).
            ``(4) Definitions.--For purposes of this subsection--
                    ``(A) Indian tribe.--The term `Indian tribe' has 
                the meaning given such term by section 45A(c)(6).
                    ``(B) Tribal school.--The term `tribal school' 
                means a school that is operated by an Indian tribe for 
                the education of Indian children with financial 
                assistance under grant under the Tribally Controlled 
                Schools Act of 1988 (25 U.S.C. 2501 et seq.) or a 
                contract with the Bureau of Indian Affairs under the 
                Indian Self-Determination and Education Assistance Act 
                (25 U.S.C. 450f et seq.).''
    (b) Reporting.--Subsection (d) of section 6049 of the Internal 
Revenue Code of 1986 (relating to returns regarding payments of 
interest) is amended by adding at the end the following:
            ``(8) Reporting of credit on qualified public school 
        modernization bonds.--
                    ``(A) In general.--For purposes of subsection (a), 
                the term `interest' includes amounts includible in 
                gross income under section 1397E(f) and such amounts 
                shall be treated as paid on the credit allowance date 
                (as defined in section 1397E(d)(2)).
                    ``(B) Reporting to corporations, etc.--Except as 
                otherwise provided in regulations, in the case of any 
                interest described in subparagraph (A) of this 
                paragraph, subsection (b)(4) of this section shall be 
                applied without regard to subparagraphs (A), (H), (I), 
                (J), (K), and (L)(i).
                    ``(C) Regulatory authority.--The Secretary may 
                prescribe such regulations as are necessary or 
                appropriate to carry out the purposes of this 
                paragraph, including regulations which require more 
                frequent or more detailed reporting.''
    (c) Clerical Amendments.--
            (1) The table of parts for subchapter U of chapter 1 of the 
        Internal Revenue Code of 1986 is amended by striking the item 
        relating to part IV and inserting the following:

                              ``Part IV. Incentives for qualified 
                                        public school modernization 
                                        bonds.''
            (2) Part V of subchapter U of chapter 1 of such Code is 
        amended by redesignating both section 1397F and the item 
        relating thereto in the table of sections for such part as 
        section 1397H.
    (d) Effective Dates.--
            (1) In general.--Except as provided in paragraph (2), the 
        amendments made by this section shall apply to obligations 
        issued after December 31, 1998.
            (2) Repeal of restriction on zone academy bond holders.--
        The repeal of the limitation of section 1397E of the Internal 
        Revenue Code of 1986 (as in effect on the day before the date 
        of enactment of this Act) to eligible taxpayers (as defined in 
        subsection (d)(6) of such section) shall apply to obligations 
        issued after December 31, 1997.

SEC. 103. SENSE OF THE SENATE REGARDING FUNDING FOR BIA SCHOOL 
              FACILITIES.

    (a) Findings.--The Senate finds that--
            (1) the Bureau of Indian Affairs operates 1 of only 2 
        federally-run school systems; and
            (2) there is a clear Federal responsibility to ensure that 
        the more than 50,000 students attending these schools have 
        decent, safe schools.
    (b) Sense of the Senate.--It is the sense of the Senate that--
            (1) sufficient funds should be provided in fiscal year 2000 
        to begin construction of 4 new Bureau of Indian Affairs school 
        facilities and to increase funds available for the improvement 
        and repair of existing facilities; and
            (2) in addition, Congress should consider enacting 
        legislation to establish other funding mechanisms that would 
        leverage Federal investments on behalf of Bureau of Indian 
        Affairs schools in order to address the serious construction 
        backlog which exists at tribal schools.

                     TITLE II--CLASS SIZE REDUCTION

SEC. 201. CLASS SIZE REDUCTION.

    Title VI of the Elementary and Secondary Education Act of 1965 (20 
U.S.C. 7301 et seq.) is amended by adding at the end the following:

                     ``PART E--CLASS SIZE REDUCTION

``SEC. 6601. SHORT TITLE.

    ``This part may be cited as the `Class Size Reduction Act of 1999'.

``SEC. 6602. FINDINGS.

    ``Congress finds as follows:
            ``(1) Rigorous research has shown that students attending 
        small classes in the early grades make more rapid educational 
        progress than students in larger classes, and that these 
        achievement gains persist through at least the elementary 
        grades.
            ``(2) The benefits of smaller classes are greatest for 
        lower achieving, minority, poor, and inner-city children. One 
        study found that urban fourth-graders in smaller-than-average 
        classes were \3/4\ of a school year ahead of their counterparts 
        in larger-than-average classes.
            ``(3) Teachers in small classes can provide students with 
        more individualized attention, spend more time on instruction 
        and less on other tasks, cover more material effectively, and 
        are better able to work with parents to further their 
        children's education.
            ``(4) Smaller classes allow teachers to identify and work 
        more effectively with students who have learning disabilities 
        and, potentially, can reduce those students' need for special 
        education services in the later grades.
            ``(5) Students in smaller classes are able to become more 
        actively engaged in learning than their peers in large classes.
            ``(6) Efforts to improve educational achievement by 
        reducing class sizes in the early grades are likely to be more 
        successful if--
                    ``(A) well-prepared teachers are hired and 
                appropriately assigned to fill additional classroom 
                positions; and
                    ``(B) teachers receive intensive, continuing 
                training in working effectively in smaller classroom 
                settings.
            ``(7) Several States have begun a serious effort to reduce 
        class sizes in the early elementary grades, but these actions 
        may be impeded by financial limitations or difficulties in 
        hiring well-prepared teachers.
            ``(8) The Federal Government can assist in this effort by 
        providing funding for class-size reductions in grades 1 through 
        3, and by helping to ensure that the new teachers brought into 
        the classroom are well prepared.

``SEC. 6603. PURPOSE.

    ``The purpose of this part is to help States and local educational 
agencies recruit, train, and hire 100,000 additional teachers over a 7-
year period in order to--
            ``(1) reduce class sizes nationally, in grades 1 through 3, 
        to an average of 18 students per classroom; and
            ``(2) improve teaching in the early grades so that all 
        students can learn to read independently and well by the end of 
        the third grade.

``SEC. 6604. PROGRAM AUTHORIZED.

    ``(a) Authorization of Appropriations.--For the purpose of carrying 
out this part, there are authorized to be appropriated, $1,400,000,000 
for fiscal year 2000, $1,500,000,000 for fiscal year 2001, 
$1,700,000,000 for fiscal year 2002, $1,735,000,000 for fiscal year 
2003, $2,300,000,000 for fiscal year 2004, and $2,800,000,000 for 
fiscal year 2005.
    ``(b) Allotments.--
            ``(1) In general.--From the amount appropriated under 
        subsection (a) for a fiscal year the Secretary--
                    ``(A) shall make a total of 1 percent available to 
                the Secretary of the Interior (on behalf of the Bureau 
                of Indian Affairs) and the outlying areas for 
                activities that meet the purpose of this part; and
                    ``(B) shall allot to each State the same percentage 
                of the remaining funds as the percentage it received of 
                funds allocated to States for the previous fiscal year 
                under section 1122 or section 2202(b), whichever 
                percentage is greater, except that such allotments 
                shall be ratably decreased as necessary.
            ``(2) Definition of state.--In this part the term `State' 
        means each of the several States of the United States, the 
        District of Columbia and the Commonwealth of Puerto Rico.
            ``(3) State-level expenses.--Each State may use not more 
        than a total of \1/2\ of 1 percent of the amount the State 
        receives under this part, or $50,000, whichever is greater, for 
        a fiscal year, for the administrative costs of the State 
        educational agency.
    ``(c) Within State Distribution.--
            ``(1) In general.--Each State that receives an allotment 
        under this section shall distribute the amount of the allotted 
        funds that remain after using funds in accordance with 
        subsection (b)(3) to local educational agencies in the State, 
        of which--
                    ``(A) 80 percent of such remainder shall be 
                allocated to such local educational agencies in 
                proportion to the number of children, aged 5 to 17, who 
                reside in the school district served by such local 
                educational agency and are from families with incomes 
                below the poverty line (as defined by the Office of 
                Management and Budget and revised annually in 
                accordance with section 673(2) of the Community 
                Services Block Grant Act (42 U.S.C. 9902(2)) applicable 
                to a family of the size involved) for the most recent 
                fiscal year for which satisfactory data is available 
                compared to the number of such individuals who reside 
                in the school districts served by all the local 
                educational agencies in the State for that fiscal year, 
                except that a State may adjust such data, or use 
                alternative child-poverty data, to carry out this 
                subparagraph if the State demonstrates to the 
                Secretary's satisfaction that such adjusted or 
                alternative data more accurately reflects the relative 
                incidence of children living in poverty within local 
                educational agencies in the State; and
                    ``(B) 20 percent of such remainder shall be 
                allocated to such local educational agencies in 
                accordance with the relative enrollments of children, 
                aged 5 to 17, in public and private nonprofit 
                elementary schools and secondary schools in the school 
                districts within the boundaries of such agencies.
            ``(2) Award rule.--Notwithstanding paragraph (1), if the 
        award to a local educational agency under this section is less 
        than the starting salary for a new teacher in that agency, the 
        State shall not make the award unless the local educational 
        agency agrees to form a consortium with not less than 1 other 
        local educational agency for the purpose of reducing class 
        size.

``SEC. 6605. USE OF FUNDS.

    ``(a) In General.--Each local educational agency that receives 
funds under this part shall use such funds to carry out effective 
approaches to reducing class size with highly qualified teachers to 
improve educational achievement for both regular and special-needs 
children, with particular consideration given to reducing class size in 
the early elementary grades for which some research has shown class 
size reduction is most effective.
    ``(b) Class Reduction.--
            ``(1) In general.--Each such local educational agency may 
        pursue the goal of reducing class size through--
                    ``(A) recruiting, hiring, and training certified 
                regular and special education teachers and teachers of 
                special-needs children, including teachers certified 
                through State and local alternative routes;
                    ``(B) testing new teachers for academic content 
                knowledge, and to meet State certification requirements 
                that are consistent with title II of the Higher 
                Education Act of 1965; and
                    ``(C) providing professional development to 
                teachers, including special education teachers and 
                teachers of special-needs children, consistent with 
                title II of the Higher Education Act of 1965.
            ``(2) Restriction.--A local educational agency may use not 
        more than a total of 15 percent of the funds received under 
        this part for each of the fiscal years 2000 through 2003 to 
        carry out activities described in subparagraphs (B) and (C) of 
        paragraph (1), and may not use any funds received under this 
        part for fiscal year 2004 or 2005 for those activities.
            ``(3) Special rule.--A local educational agency that has 
        already reduced class size in the early grades to 18 or fewer 
        children may use funds received under this part--
                    ``(A) to make further class-size reductions in 
                grades 1 through 3;
                    ``(B) to reduce class size in kindergarten or other 
                grades; or
                    ``(C) to carry out activities to improve teacher 
                quality, including professional development activities.
    ``(c) Supplement Not Supplant.--A local educational agency shall 
use funds under this part only to supplement, and not to supplant, 
State and local funds that, in the absence of such funds, would 
otherwise be spent for activities under this part.
    ``(d) Prohibition.--No funds made available under this part may be 
used to increase the salaries of or provide benefits to (other than 
participation in professional development and enrichment programs) 
teachers who are, or have been, employed by the local educational 
agency.
    ``(e) Professional Development.--If a local educational agency uses 
funds made available under this part for professional development 
activities, the agency shall ensure the equitable participation of 
private nonprofit elementary and secondary schools in such activities. 
Section 6402 shall not apply to other activities under this section.
    ``(f) Administrative Expenses.--A local educational agency that 
receives funds under this part may use not more than 3 percent of such 
funds for local administrative expenses.

``SEC. 6606. COST-SHARING REQUIREMENT.

    (a) Federal Share.--The Federal share of the cost of activities 
carried out under this part--
            ``(1) may be up to 100 percent in local educational 
        agencies with child-poverty levels of 50 percent or greater; 
        and
            ``(2) shall be no more than 65 percent for local 
        educational agencies with child-poverty rates of less than 50 
        percent.
    ``(b) Local Share.--A local educational agency shall provide the 
non-Federal share of a project under this part through cash 
expenditures from non-Federal sources, except that if an agency has 
allocated funds under section 1113(c) to one or more schoolwide 
programs under section 1114, it may use those funds for the non-Federal 
share of activities under this program that benefit those schoolwide 
programs, to the extent consistent with section 1120A(c) and 
notwithstanding section 1114(a)(3)(B).

``SEC. 6607. REQUEST FOR FUNDS.

    ``Each local educational agency that desires to receive funds under 
this part shall include in the application submitted under section 6303 
a description of the agency's program under this part to reduce class 
size by hiring additional highly qualified teachers.

``SEC. 6608. REPORTS.

    ``(a) State.--Each State receiving funds under this part shall 
report on activities in the State under this section, consistent with 
section 6202(a)(2).
    ``(b) School.--Each school receiving assistance under this part, or 
the local educational agency serving that school, shall produce an 
annual report to parents, the general public, and the State educational 
agency, in easily understandable language, regarding student 
achievement that is a result of hiring additional highly qualified 
teachers and reducing class size.''.

                     TITLE III--TEACHER EXCELLENCE

SEC. 301. SHORT TITLE.

    This title may be cited as the ``Teacher Excellence and Classroom 
Help Act''.

SEC. 302. FINDINGS.

    Congress makes the following findings:
            (1) According to the National Commission for Teaching and 
        America's Future, what teachers know and can do is the most 
        important influence on what students learn.
            (2) The Nation will need 2,000,000 new teachers over the 10 
        year period beginning with 1999. Unfortunately, the need for 
        new teachers in 1998 was met by admitting 50,000 unqualified 
        teachers to the classroom.
            (3) Too many new teachers leave the teaching profession in 
        the first 3 years. Thirty to fifty percent of all new urban 
        teachers leave the teaching profession within the first 3 to 5 
        years of teaching. The sink or swim mentality is too often the 
        practice in schools. Too many beginning teachers are thrown 
        into the classroom without the guidance and support the 
        teachers need to succeed.
            (4) Too many teachers and principals are not prepared to 
        help all children meet new, high State standards, and use new 
        technologies well.
            (5) States and school districts should be held accountable 
        for making sure every child is taught by a qualified teacher.
            (6) The National Commission for Teaching and America's 
        Future recommends a major investment in recruiting, preparing, 
        and training teachers as a central strategy for improving 
        schools.

SEC. 303. DEFINITIONS.

    In this title:
            (1) Beginning teacher.--The term ``beginning teacher'' 
        means an individual who is--
                    (A) in the last year of a course of study to 
                prepare to become an elementary school or secondary 
                school teacher;
                    (B) in the first 3 years of a teaching assignment 
                at a public elementary school or secondary school; or
                    (C) an experienced teacher who is new to a school 
                or subject area.
            (2) Elementary school, local educational agency, outlying 
        area, secondary school, secretary, state, and state educational 
        agency.--The terms ``elementary school'', ``local educational 
        agency'', ``outlying area'', ``secondary school'', 
        ``Secretary'', ``State'', and ``State educational agency'' have 
        the meanings given the terms in section 14101 of the Elementary 
        and Secondary Education Act of 1965.
            (3) Induction program.--The term ``induction program'' 
        means a program to help beginning teachers succeed and stay in 
        the classroom. Such program may include--
                    (A) mentoring and coaching by trained mentor 
                teachers;
                    (B) team teaching with veteran teachers;
                    (C) time for observation of and consultation with 
                veteran teachers;
                    (D) assignment of fewer course preparations; and
                    (E) provision of additional time for course 
                preparation.
            (4) Veteran teacher.--The term ``veteran teacher'' means an 
        individual who is--
                    (A) certified to teach in an elementary school or 
                secondary school;
                    (B) teaching in a public elementary school or 
                secondary school; or
                    (C) recently retired from teaching in a public 
                elementary school or secondary school.

 PART A--CHALLENGING STATES TO ENSURE THAT EVERY CHILD IS TAUGHT BY A 
                           QUALIFIED TEACHER

SEC. 311. PURPOSES.

    The purposes of this part are as follows:
            (1) To improve student achievement in meeting State content 
        and performance standards.
            (2) To improve the quality and performance of the Nation's 
        teaching force.
            (3) To hold States, school districts, and schools 
        accountable for improving the quality and success of the 
        teaching force by providing beginning and veteran teachers with 
        the support the teachers need to succeed and stay in teaching, 
        by offering incentives for more qualified individuals to go 
        into teaching, by reducing out-of-field placement of teachers, 
        and by reducing the number of teachers with emergency 
        credentials.
            (4) To provide beginning and veteran teachers and 
        principals with the induction and ongoing professional 
        development they need to help all children meet high standards 
        of achievement.
            (5) To retain and support promising beginning teachers in 
        the teaching profession.

SEC. 312. AUTHORIZATION OF APPROPRIATIONS; RESERVATION.

    (a) Authorization of Appropriations.--There are authorized to be 
appropriated to carry out this part $1,200,000,000 for fiscal year 2000 
and such sums as may be necessary for each of the fiscal years 2001 
through 2005.
    (b) Reservation.--From amounts appropriated under subsection (a) 
for a fiscal year the Secretary shall reserve 1 percent to award grants 
to the Bureau of Indian Affairs to carry out the purposes of this Act 
for the benefit of Indians.

SEC. 313. GRANTS TO STATES.

    (a) Grants Authorized.--Using amounts appropriated under section 
312(a) and not reserved under section 312(b), the Secretary shall award 
grants to State educational agencies in each State, from allotments 
under subsection (c), to enable the agencies to implement statewide 
initiates--
            (1) to improve and expand the elementary school and 
        secondary school teaching force of the States through proven, 
        effective programs to recruit, train, and retain beginning 
        teachers; and
            (2) to provide ongoing professional development to veteran 
        teachers and principals to improve their ability to help all 
        students reach high State content and performance standards.
    (b) State Reservation.--
            (1) In general.--Subject to paragraph (2), each State 
        educational agency receiving a grant under this section may 
        reserve not more than 10 percent of the grant funds for 
        statewide activities to improve the quality of the teaching 
        force, including--
                    (A) providing assistance to local educational 
                agencies to reduce out-of-field placements;
                    (B) reducing the use of emergency credentials;
                    (C) improving alternative certification programs;
                    (D) administrative costs of activities assisted 
                under this section;
                    (E) evaluation of the activities assisted under 
                this section;
                    (F) improving State efforts to link the program 
                assisted under this section with State standards;
                    (G) supporting National Board for Professional 
                Teaching Standards certification of teachers who are or 
                will teach in high-need schools; and
                    (H) providing assistance to local educational 
                agencies in implementing effective programs of teacher 
                recruitment, induction, and professional development.
            (2) Administrative costs.--Each State educational agency 
        receiving a grant under this section may use not more than 3 
        percent of the grant funds for administrative costs described 
        in paragraph (1)(D).
    (c) Allotments.--
            (1) In general.--Subject to paragraph (2), the Secretary 
        shall make an allotment to each State educational agency in 
        each State in an amount equal to the greater of the amount the 
        State would receive if $1,200,000,000 were allocated under 
        section 1122 of the Elementary Secondary Education Act of 1965 
        or under section 2202(b) of such Act for fiscal year 1998, 
        except that such allotment shall be ratably decreased as may be 
        necessary.
            (2) Outlying areas.--The State educational agency serving 
        each outlying area shall receive an allotment under this 
        subsection in an amount equal to $500,000.
    (d) Applications.--A State educational agency that desires a grant 
under this section shall submit an application to the Secretary at such 
time, and in such manner as the Secretary may require. Each such 
application shall include--
            (1) a description of the State's teacher shortages relating 
        to high-need school districts or high-need subject areas;
            (2) a description of the need for professional development 
        of veteran teachers in the State and the need for strong 
        induction programs for beginning teachers, which needs 
        assessment shall be developed with the involvement of teachers;
            (3) a description of how the State educational agency will 
        improve the quality of the State's teaching force and meet the 
        requirements of this section;
            (4) a description of how the State educational agency will 
        align activities assisted under this section with State content 
        and performance standards, and State assessments;
            (5) a description of how the State educational agency will 
        advance teacher knowledge in content areas and of best 
        instructional practices;
            (6) a description of how the State educational agency 
        will--
                    (A) implement plans to encourage a reduction in 
                out-of-field placement of teachers;
                    (B) reduce the number of teachers hired with 
                emergency certification;
                    (C) increase the State's commitment to aligning 
                professional development with State content and 
                performance standards, and State assessments; and
                    (D) increase the rigor and quality of State 
                certification and licensure tests for teachers entering 
                the field of teaching, including subject matter tests 
                for secondary school teachers;
            (7) a description of how the State educational agency will 
        coordinate activities assisted under this section with efforts 
        under Goals 2000: Educate America Act, titles I and title II of 
        the Elementary and Secondary Education Act of 1965, section 307 
        of the Department of Education Appropriations Act, 1999, and 
        title II of the Higher Education Act of 1965, as appropriate; 
        and
            (8) a plan, developed with the extensive participation of 
        teachers, for addressing long-term teacher recruitment, 
retention, and professional development needs, which may include--
                    (A) technical assistance to help school districts 
                reform hiring practices to support strong teacher 
                recruitment and retention; or
                    (B) establishing State or regional partnerships to 
                address teacher shortages.

SEC. 314. ATTRACTING NEW TEACHERS PROGRAMS.

    (a) Scholarships.--Each State educational agency receiving a grant 
under this part shall use 20 percent of the grant funds--
            (1) to award scholarships to qualified individuals who 
        enter the elementary school or secondary school teaching field;
            (2) to establish partnerships described in subsection (c) 
        to assist in carrying out the scholarship program under this 
        section, including the recruitment of prospective teachers and 
        support services for the teachers.
    (b) Eligible Individuals.-- The scholarships shall be awarded on a 
statewide basis to individuals who--
            (1) want to change professions in mid-career and receive 
        graduate or continuing education in order to teach in public 
        elementary schools or secondary schools, including 
        paraprofessionals that want to become fully certified or 
        licensed teachers; or
            (2) want to obtain an undergraduate degree in order to 
        teach in public elementary schools or secondary schools.
    (c) Amount.--The amount of the scholarship shall be determined by 
the State educational agency. The State educational agency shall 
consider the need of the individual in determining the amount of the 
scholarship.
    (d) Partnerships.--A State educational agency shall enter into 
partnerships with local educational agencies that serve school 
districts with the greatest teacher shortages in the State and colleges 
of education at institutions of higher education in order to establish 
the scholarship program. The State educational agency may also include 
in the partnership community-based organizations and other 
organizations, for the purpose of implementing a successful scholarship 
program.
    (e) Requirements.--The scholarship program shall include the 
following:
            (1) Requirements that scholarship recipients agree to teach 
        for at least 3 years after completion of the degree for which 
        the scholarship was awarded.
            (2) Requirements that scholarship recipients agree to teach 
        in high-need school districts or high-need content areas.
            (3) Coordination of incentives under the program assisted 
        under this section with incentives under the Federal student 
        loan forgiveness program under section 428J of the Higher 
        Education Act of 1965 in order to attract more individuals to 
        teaching.

SEC. 315. LOCAL TEACHER QUALITY IMPROVEMENT GRANTS.

    (a) Grants Authorized.--Each State educational agency receiving a 
grant under this part shall use not less than 70 percent of the grant 
funds to award grants, on a competitive basis, to eligible local 
educational agencies to enable the local educational agencies to carry 
out the authorized activities described in subsection (e).
    (b) Definition of Eligible Local Educational Agencies.--In this 
section the term ``eligible local educational agency'' means a local 
education agency that--
            (1) is eligible to receive assistance under title I of the 
        Elementary and Secondary Education Act of 1965, and meets 
        additional eligibility criteria established by the State 
        educational agency with respect to--
                    (A) high rates of poverty of the families of the 
                children attending schools served by the local 
                educational agency;
                    (B) the need for support for improving teacher 
                quality based on low achievement of students served by 
                the local educational agency;
                    (C) low-teacher retention rates in the schools 
                served by the local educational agency;
                    (D) the need for improving or expanding veteran 
                teacher knowledge and skills in high-priority areas, 
                such as--
                            (i) State content and performance 
                        standards, and State assessments;
                            (ii) technology;
                            (iii) improving the ability of children 
                        with disabilities and limited English 
                        proficient children to meet State content and 
                        performance standards;
                            (iv) discipline; and
                            (v) implementing proven programs and 
                        research-based best practices; and
                    (E) high out-of-field placement rates.
    (c) Equitable Geographic Distribution.--A State educational agency 
shall ensure an equitable distribution of grants under this section 
among local educational agencies serving urban and rural areas.
    (d) Award Rule.--A State educational agency shall ensure that a 
portion of the funds awarded to eligible local educational agencies 
under this section are awarded to eligible local educational agencies 
with high numbers of children in poverty and high percentages of 
children in poverty.
    (e) Authorized Activities.--A local educational agency that 
receives a grant under this section--
            (1) shall use the grant funds--
                    (A) to provide high-quality induction programs for 
                beginning teachers, including mentor and internship 
                programs; and
                    (B) to provide high-quality professional 
                development for veteran teachers and principals to 
                ensure that every child has the opportunity to meet 
                high State standards under the guidance of--
                            (i) teaching by a qualified, knowledgeable, 
                        skillful teacher in the classroom; and
                            (ii) a qualified, knowledgeable, skillful 
                        principal of a school; and
            (2) may use the grant funds to establish a partnership with 
        an institution of higher education, another local educational 
        agency, or another organization, for the purpose of carrying 
        out the activities under this program.
    (f) Local Educational Agency Application.--Each eligible local 
educational agency desiring a grant under this section shall submit an 
application to the State educational agency at such time, in such 
manner, and accompanied by such information as the State educational 
agency may require. Each such application shall include a description 
of--
            (1) the partnership that the local educational agency will 
        form to carry out the authorized activities described in 
        subsection (d);
            (2) the goals of the activities assisted under this section 
        and the role of each member of the partnership in meeting the 
        goals;
            (3) a plan for selecting and assigning beginning and 
        veteran teachers for participation in the program;
            (4) the release time and other rewards or incentives 
        offered to beginning teachers and veteran teachers for 
        participation in the induction or professional development 
        program;
            (5) the training and support that will be provided to 
        veteran teachers participating in the induction program;
            (6) how the program--
                    (A) shall address the ongoing professional 
                development of teachers and principals in the areas 
                of--
                            (i) course content; and
                            (ii) instructional strategies;
                    (B) may address the ongoing professional 
                development of teachers and principals in the areas 
                of--
                            (i) meaningful parental and community 
                        involvement in schools;
                            (ii) use of educational technologies and 
                        the integration of the technologies into the 
                        curriculum;
                            (iii) understanding the special needs and 
                        cultural diversity of students insofar as the 
                        special needs and cultural diversity impact 
                        student learning; and
                            (iv) classroom management and discipline;
            (7) a description of how the induction and professional 
        development activities will--
                    (A) improve the ability of teachers and principals 
                to help all students reach high State content and 
                performance standards;
                    (B) advance teacher knowledge of content areas and 
                best instructional practices in 1 or more of the core 
                academic content areas;
                    (C) involve collaborative groups of teachers and 
                administrators from the same school district and, to 
                the greatest extent possible, from the same school;
                    (D) be of sufficient duration to have a positive 
                and lasting impact on classroom instruction and, to the 
                greatest extent possible, include school-based followup 
                support such as coaching or study groups;
                    (E) be embedded in school districtwide and school-
                based professional development plans designed to raise 
                student achievement on State academic standards; and
                    (F) be based on the best, most recent research and 
                practice on school leadership, teaching, and learning;
            (8) how teachers, parents, and school administrators will 
        be extensively involved in developing and implementing the 
        induction and professional development activities;
            (9) how the program will address the professional 
        development needs of paraprofessionals and other student 
        services personnel, including counselors; and
            (10) a plan for reducing out-of-field placement of 
        teachers.
    (g) Evaluation.--Each local educational agency receiving a grant 
under this section shall submit to the State educational agency, a 
biennial evaluation of the program assisted under this section, which 
evaluation shall be developed with the extensive participation of 
teachers. Each such evaluation shall describe--
            (1) the effectiveness of the program in meeting the goals 
        of the program;
            (2) the effectiveness of the mentor training to effectively 
        address the skills, pedagogy, and academic areas the mentor 
        teachers need in order to provide appropriate assistance to 
        beginning teachers;
            (3) the benefits and concerns identified by mentor teachers 
        and beginning teachers participating in the program;
            (4) the impact of the program with respect to--
                    (A) the classes taught by new teachers;
                    (B) staff members;
                    (C) parents; and
                    (D) the elementary school or secondary school 
                involved in the program;
            (5) the effectiveness of the induction and professional 
        development programs in helping the teachers help their 
        students meet State content and performance standards;
            (6) data relating to--
                    (A) how many new teachers participated in the 
                program;
                    (B) how many new teachers who participated in the 
                program are retained in the teaching profession 
                compared to how many new teachers were retained in the 
                teaching profession during years in which the program 
                did not operate; and
                    (C) how many mentor teachers who participated in 
                the program continued the participation; and
            (7) any changes made by an institution of higher education 
        in the preparation of new teachers, and in the professional 
        development opportunities related to teaching that are offered 
        by the institution, as a result of the institution's 
        participation in the program.

SEC. 316. SUPPLEMENT NOT SUPPLANT.

    Funds made available under this part shall be used to supplement 
and not supplant other Federal, State, and local funds expended for 
teacher programs.

                 PART B--IMPROVING TEACHER PREPARATION

SEC. 321. SENSE OF THE SENATE.

    It is the sense of the Senate that--
            (1) Congress should fully fund title II of the Higher 
        Education Act of 1965, relating to Teacher Quality Enhancement 
        Grants for States and Partnerships, at $300,000,000; and
            (2) the 105th Congress made a strong commitment to holding 
        institutions of higher education accountable for improving the 
        initial preparation of teachers, and the 106th Congress should 
        make a strong investment in accomplishing that goal.

             PART C--IMPROVING TEACHER TECHNOLOGY TRAINING

SEC. 331. IMPROVING TEACHER TECHNOLOGY TRAINING.

    (a) Statement of Purpose for Title I.--Section 1001(d)(4) of the 
Elementary and Secondary Education Act of 1965 (20 U.S.C. 6301(d)(4)) 
is amended by inserting ``, giving particular attention to the role 
technology can play in professional development and improved teaching 
and learning'' before the semicolon.
    (b) School Improvement.--Section 1116(c)(3) of such Act (20 U.S.C. 
6317(c)(3)) is amended by adding at the end the following:
                    ``(D) In carrying out professional development 
                under this paragraph a school shall give particular 
                attention to professional development that incorporates 
                technology used to improve teaching and learning.''.
    (c) Professional Development.--Section 1119(b) of such Act (20 
U.S.C. 6320(b)) is amended--
            (1) in paragraph (1)--
                    (A) in subparagraph (D), by striking ``and'' after 
                the semicolon;
                    (B) in subparagraph (E), by striking the period and 
                inserting ``; and''; and
                    (C) by adding at the end the following:
                    ``(F) include instruction in the use of 
                technology.''; and
            (2) in paragraph (2)--
                    (A) by striking subparagraph (D); and
                    (B) by redesignating subparagraphs (E) through (I) 
                as subparagraphs (D) through (H), respectively.
    (d) Purposes for Title II.--Section 2002(2) of such Act (20 U.S.C. 
6602(2)) is amended--
            (1) in subparagraph (E), by striking ``and'' after the 
        semicolon;
            (2) in subparagraph (F), by striking the period and 
        inserting ``; and''; and
            (3) by adding at the end the following:
                    ``(G) uses technology to enhance the teaching and 
                learning process.''.
    (e) National Teacher Training Project.--Section 2103(b)(2) of such 
Act (20 U.S.C. 6623(b)(2)) is amended by adding at the end the 
following:
                    ``(J) Technology.''.
    (f) Local Plan for Improving Teaching and Learning.--Section 
2208(d)(1)(F) of such Act (20 U.S.C. 6648(d)(1)(F)) is amended by 
inserting ``, technologies,'' after ``strategies''.
    (g) Authorized Activities.--Section 2210(b)(2)(C) of such Act (20 
U.S.C. 6650(b)(2)(C)) is amended by inserting ``, and in particular 
technology,'' after ``practices''.
    (h) Higher Education Activities.--Section 2211(a)(1)(C) of such Act 
(20 U.S.C. 6651(a)(1)(C)) is amended by inserting ``, including 
technological innovation,'' after ``innovation''.

             TITLE IV--STRENGTHENING AFTER-SCHOOL PROGRAMS

                     PART A--SCHOOL-AGED CHILD CARE

SEC. 411. DEFINITIONS.

    The Child Care and Development Block Grant Act of 1990 (42 U.S.C. 
9858 et seq.) is amended--
            (1) by redesignating section 658P (42 U.S.C. 9858n) as 
        section 658T;
            (2) by transferring section 658T (as so redesignated) to 
        the end of such Act; and
            (3) in section 658T (as so redesignated)--
                    (A) in paragraph (4), by adding at the end the 
                following:
        ``The term `eligible child', used with respect to school-aged 
        child care and development services, means a school age 
        child.''; and
                    (B) by adding at the end the following:
            ``(15) Child care; child care services.--The terms `child 
        care' and `child care services' include child care and 
        development services.
            ``(16) Child care and development services.--The term 
        `child care and development services' means services described 
        in section 658H(f).
            ``(17) Child with a disability.--The term `child with a 
        disability' has the meaning given the term in section 602 of 
        the Individuals with Disabilities Education Act (20 U.S.C. 
        1401).
            ``(18) Elementary school; secondary school.--The terms 
        `elementary school' and `secondary school' mean a public 
        elementary or secondary school (as the case may be) as such 
        schools are defined for purposes of section 14101 of the 
        Elementary and Secondary Education Act of 1965 (20 U.S.C. 
        8801).
            ``(19) School age child.--The term `school age child' means 
        an individual who--
                    ``(A)(i) is not less than 5 and not more than 16 
                years of age; or
                    ``(ii) at the election of the State involved, is 
                less than 5 years of age; and
                    ``(B) meets the requirements of subparagraphs (B) 
                and (C) of paragraph (4).''

SEC. 412. AUTHORIZATION OF APPROPRIATIONS.

    Section 658B of the Child Care and Development Block Grant Act of 
1990 (42 U.S.C. 9858) is amended--
            (1) by striking ``There is'' and inserting ``(a) In 
        General.--There is'';
            (2) by striking ``this subchapter'' and inserting ``this 
        subchapter (other than section 658H)''; and
            (3) by adding at the end the following:
    ``(b) Programs for Child Care and Development Services.--There is 
authorized to be appropriated and there is appropriated to carry out 
section 658H, $150,000,000 for fiscal year 2000, $200,000,000 for 
fiscal year 2001, $300,000,000 for fiscal year 2002, $350,000,000 for 
fiscal year 2003, and 1,000,000,000 for fiscal year 2004.''

SEC. 413. STATE PLAN.

    Section 658E(c) of the Child Care and Development Block Grant Act 
of 1990 (42 U.S.C. 9858c(c)) is amended--
            (1) in paragraph (2)--
                    (A) in subparagraph (A)--
                            (i) in clause (i)--
                                    (I) by inserting ``, other than 
                                through assistance provided under 
                                paragraph (3)(E),'' after ``under this 
                                subchapter''; and
                                    (II) in subclause (II), by striking 
                                ``section 658P(2)'' and inserting 
                                ``section 658T(2)''; and
                            (ii) in clause (ii), by striking ``eligible 
                        provider'' and inserting ``eligible child care 
                        provider (or, in the case of child care and 
                        development services, an entity described in 
                        section 658H(c))''; and
                    (B) in the first sentence of subparagraph (E)(i)--
                            (i) by inserting after ``within the State'' 
                        the following ``(or, in the case of child care 
                        and development services, other appropriate 
                        requirements)''; and
                            (ii) by striking ``such requirements'' each 
                        place it appears and inserting ``such licensing 
                        or appropriate requirements''; and
            (2) in paragraph (3)--
                    (A) in subparagraph (A), by striking ``(D)'' and 
                inserting ``(E)''; and
                    (B) by adding at the end the following:
                    ``(E) Programs for school-age child care and 
                development services.--
                            ``(i) In general.--The State plan shall 
                        provide that the State will reserve the portion 
                        described in clause (ii) of the State allotment 
                        under section 658O for each fiscal year for 
                        grants and contracts to carry out activities 
                        under section 658H.
                            ``(ii) Portion.--For each fiscal year, the 
                        portion referred to in clause (i) is the amount 
                        that bears the same relationship to the State 
                        allotment for that year as the amount 
                        appropriated under section 658B(b) for that 
                        year bears to the total amount appropriated 
                        under section 658B for that year.''.

SEC. 414. SCHOOL-AGE CHILD CARE AND DEVELOPMENT SERVICES.

    The Child Care and Development Block Grant Act of 1990 (42 U.S.C. 
9858 et seq.) is amended by inserting after section 658G the following:

``SEC. 658H. AFTER SCHOOL SERVICES.

    ``(a) Purpose.--It is the purpose of this section to fund quality 
child care and development services through grants and contracts, 
including direct services provided outside of normal school hours, to 
promote the health and academic achievement of school age children, and 
assist the children in avoiding high risk behaviors.
    ``(b) In General.--Each State that receives funds to carry out this 
subchapter for a fiscal year shall use the funds reserved as described 
in section 658E(c)(3)(E) to make grants to eligible entities to carry 
out programs to expand the availability and affordability of quality 
child care and development services, including direct services provided 
outside of normal school hours (including before- and after-school care 
and weekend, holiday, and summer care) for school age children.
    ``(c) Eligible Entities.--To be eligible to receive a grant under 
this section, an entity shall be--
            ``(1) an elementary school or secondary school; or
            ``(2) a community-based organization, including a 
        community-based entity that operates a child care center or 
        youth center or is a family child care provider, that meets 
        such requirements of the type described in subparagraphs (E) 
        and (F) of section 658E(c)(3) as the State and local 
        governments involved may prescribe.
    ``(d) Application.--To be eligible to receive a grant under this 
section, an entity shall submit an application to the State at such 
time, in such manner, and containing such information as the State may 
require. At a minimum, each application shall contain--
            ``(1) information demonstrating the manner in which the 
        entity will carry out a program described in subsection (b) in 
        a manner that meets the needs, of the community to be served, 
        for child care and development services, including direct 
        services provided outside of normal school hours;
            ``(2) an assurance that the entity will carry out direct 
        services provided through the program during--
                    ``(A) at least 3 days in each week that the program 
                operates, and for at least 3 hours on each day that the 
                program operates; or
                    ``(B) at least 10 hours in each week that the 
                program operates;
            ``(3) information demonstrating the manner in which the 
        entity will serve children with disabilities; and
            ``(4) information demonstrating the manner in which the 
        entity will carry out the planning, establishment, 
        implementation, and evaluation of the program, and provide 
        staff training for the program, in coordination with other 
        entities carrying out programs for children or public 
        transportation programs in the community.
    ``(e) Preference.--In making grants under this section, a State 
shall give preference to entities that--
            ``(1) serve communities with--
                    ``(A) a high rate of poverty, as determined in 
                accordance with criteria established by the Secretary; 
                and
                    ``(B) a high incidence of at-risk children; and
            ``(2) propose programs that make transportation services 
        available to the children served, if needed to enable the 
        children to receive other services described in this section, 
        using transportation provided under other public programs in 
        the community, such as transportation provided under the Head 
        Start Act (42 U.S.C. 9831 et seq.), or under programs providing 
        services to older individuals, educational programs, or public 
        transportation programs.
    ``(f) Use of Funds.--
            ``(1) In general.--An entity that receives a grant under 
        this section shall use the funds made available through the 
        grant to provide--
                    ``(A) direct services outside of normal school 
                hours;
                    ``(B) quality services; and
                    ``(C) indirect services.
            ``(2) Direct services and related quality services.--
                    ``(A) In general.--The entity shall use not less 
                than 75 percent of the funds described in paragraph (1) 
                to provide two or more of the direct services described 
                in subparagraph (B) to school age children and to carry 
                out related quality services.
                    ``(B) Direct services.--The direct services 
                referred to in subparagraph (A) consist of--
                            ``(i) recreational activities;
                            ``(ii) community-based service programs 
                        that provide for meaningful human, educational, 
                        environmental, or public safety service;
                            ``(iii) academic assistance and tutoring;
                            ``(iv) mentoring;
                            ``(v) conflict management;
                            ``(vi) health and nutrition services, 
                        including disease and injury prevention 
                        services;
                            ``(vii) literacy services;
                            ``(viii) child care (other than another 
                        service described in this subsection); and
                            ``(ix) transportation of school age 
                        children between--
                                    ``(I) school or home; and
                                    ``(II) the facility in which the 
                                services are provided.
                    ``(C) Quality services.--The quality services 
                referred to in subparagraph (A) consist of--
                            ``(i) provision of community-based 
                        training, related to the provision of direct 
                        services, for staff of the entity, at times and 
                        in locations that are accessible to the staff;
                            ``(ii) provision of financial assistance to 
                        the staff to attend courses at an institution 
                        of higher education that are related to the 
                        provision of direct services;
                            ``(iii) provision of financial assistance 
                        to staff to promote staff retention;
                            ``(iv) provision of financial assistance to 
                        enable the child care and development services 
                        program provided by the entity to obtain 
                        accreditation by a nationally recognized 
                        accreditation organization;
                            ``(v) data collection relating to direct 
                        services, including the collection of data 
                        described in paragraphs (1)(B) and (2) of 
                        section 658K(a) for family units receiving 
                        assistance under this section, and submission 
                        of the data to the State for inclusion in the 
                        reports described in section 658K(a)(2); and
                            ``(vi) evaluation of the child care and 
                        development services provided by the entity in 
                        accordance with criteria determined by the 
                        State, and participation in audits described in 
                        section 658K(b).
            ``(3) Indirect services.--
                    ``(A) In general.--The entity shall use not more 
                than 25 percent of the funds described in paragraph (1) 
                to provide indirect services that support the 
                sustainability of the direct services and the 
                accountability of entities carrying out the direct 
                services.
                    ``(B) Services.--The indirect services referred to 
                in subparagraph (A) may include--
                            ``(i) carrying out activities to provide 
                        increased compensation to staff who provide the 
                        direct services to school age children outside 
                        of normal school hours and who participate in 
                        appropriate training;
                            ``(ii) developing and maintaining 
                        electronic databases of providers who provide 
                        the direct services outside of normal school 
                        hours, and making the information in the 
                        databases available to the public through 
                        arrangements with elementary schools, secondary 
                        schools, public libraries, community-based 
                        agencies, and other public agencies; and
                            ``(iii) conducting community needs 
                        assessments to determine the need for direct 
                        services outside of normal school hours.
    ``(g) Definitions.--In this section:
            ``(1) Direct services.--The term `direct services' means 
        the services described in subsection (f)(2)(B).
            ``(2) Indirect services.--The term `indirect services' 
        means the services described in subsection (f)(3).
            ``(3) Quality services.--The term `quality services' means 
        the services described in subsection (f)(2)(C).''.

SEC. 415. CONFORMING AMENDMENTS.

    (a) Quality Activities.--Section 658G of the Child Care and 
Development Block Grant Act of 1990 (42 U.S.C. 9858e) is amended by 
striking ``this subchapter'' and inserting ``this subchapter (other 
than section 658H)''.
    (b) Redesignation.--Section 658K of the Child Care and Development 
Block Grant Act of 1990 (42 U.S.C 9858i) is amended, in subsection 
(a)(2)(A), by striking ``section 658P(5)'' and inserting ``section 
658T(5)''.
    (c) Construction.--Section 658O(c)(6) of the Child Care and 
Development Block Grant Act of 1990 (42 U.S.C. 9858m(c)(6)) is amended 
by inserting ``(other than the amounts provided to carry out section 
658H)'' after ``this subsection'' each place it appears.

 PART B--STRENGTHENING THE 21ST CENTURY COMMUNITY LEARNING CENTERS ACT

SEC. 421. PROGRAM AUTHORIZATION.

    Section 10903 of the 21st Century Community Learning Centers Act 
(20 U.S.C. 8243) is amended--
            (1) in subsection (a)--
                    (A) in the subsection heading, by inserting ``to 
                Local Educational Agencies for Schools'' after 
                ``Secretary''; and
                    (B) by striking ``rural and inner-city public'' and 
                all that follows through ``or to'' and inserting 
                ``local educational agencies for the support of public 
                elementary schools or secondary schools, including 
                middle schools, that serve communities with substantial 
                needs for expanded learning opportunities for children 
                and youth in the communities, to enable the schools to 
                establish or''; and
                    (C) by striking ``a rural or inner-city community'' 
                and inserting ``the communities'';
            (2) in subsection (b)--
                    (A) by striking ``States, among'' and inserting 
                ``States and among''; and
                    (B) by striking ``United States,'' and all that 
                follows through ``a State'' and inserting ``United 
                States''; and
            (3) in subsection (c), by striking ``3'' and inserting 
        ``5''.

SEC. 422. APPLICATIONS.

    Section 10904(a) of such Act (20 U.S.C. 8244(a)) is amended--
            (1) in the first sentence, by striking ``an elementary or 
        secondary school or consortium'' and inserting ``a local 
        educational agency'';
            (2) in paragraph (1), by striking ``or consortium'';
            (3) in paragraph (2), by striking ``and'' after the 
        semicolon;
            (4) in paragraph (3)--
                    (A) in subparagraph (B), by inserting ``, including 
                programs under the Child Care and Development Block 
                Grant Act of 1990'' after ``maximized'';
                    (B) in subparagraph (D), by striking ``or 
                consortium''; and
                    (C) in subparagraph (E)--
                            (i) in the matter preceding clause (i), by 
                        striking ``or consortium''; and
                            (ii) in clause (ii), by striking the period 
                        and inserting a semicolon;
            (5) by adding at the end the following:
            ``(4) information demonstrating that the local educational 
        agency will--
                    ``(A) provide not less than 35 percent of the 
                annual cost of the activities assisted under the 
                project from sources other than funds provided under 
                this part, which contribution may be provided in cash 
                or in kind, fairly evaluated; and
                    ``(B) provide not more than 25 percent of the 
                annual cost of the activities assisted under the 
                project from funds provided by the Secretary under 
                other Federal programs that permit the use of those 
                other funds for activities assisted under the project; 
                and
            ``(5) an assurance that the local educational agency, in 
        each year of the project, will maintain the agency's fiscal 
        effort, from non-Federal sources, from the preceding fiscal 
        year for the activities the local educational agency provides 
        with funds provided under this part.''; and
            (6) in the matter preceding paragraph (1), by striking 
        ``Each such'' and inserting the following:
    ``(b) Contents.--Each such''.

SEC. 423. USES OF FUNDS.

    Section 10905 of such Act (20 U.S.C. 8245) is amended--
            (1) by amending the matter preceding paragraph (1) to read 
        as follows:
    ``(a) In General.--Subject to subsection (b), grants awarded under 
this part may be used to establish or expand community learning 
centers. The centers may provide 1 or more of the following 
activities:'';
            (2) in subsection (a)(11) (as redesignated by paragraph 
        (1)), by inserting ``, and job skills preparation'' after 
        ``placement'';
            (3) by adding at the end of subsection (a) (as redesignated 
        by paragraph (1)) the following:
            ``(14) Mentoring programs.
            ``(15) Academic assistance programs.
            ``(16) Drug, alcohol, and gang prevention activities.''; 
        and
            (4) by adding at the end the following:
    ``(b) Special Rules.--Each grant awarded under this part--
            ``(1) shall be used for an activity described in subsection 
        (a) that--
                    ``(A) offers expanded learning opportunities for 
                children and youth in the community; and
                    ``(B) is conducted before or after school, except 
                that a supportive activity, such as training, may be 
                conducted during school if the supportive activity 
                relates directly to the activity described in 
                subsection (a) that is conducted before or after 
                school; and
            ``(2) may be used for an activity described in subsection 
        (a) that does not offer expanded learning opportunities for 
        children and youth in the community.''.

SEC. 424. CONTINUATION AWARDS UNDER CURRENT STATUTE.

    Such Act (20 U.S.C. 8241 et seq.) is further amended--
            (1) by redesignating sections 10906 and 10907 (20 U.S.C. 
        8246 and 8247) as sections 10907 and 10908, respectively; and
            (2) by inserting after section 10906 the following:

``SEC. 10907. CONTINUATION AWARDS.

    ``Notwithstanding any other provision of law, the Secretary may use 
funds appropriated under this part to make payments under this part for 
projects that were funded under this part for fiscal year 1999, under 
the terms and conditions that applied to the original grants for the 
projects.''.

SEC. 425. AUTHORIZATION OF APPROPRIATIONS.

    Section 10908 of such Act (as redesignated by section 424(1)) (20 
U.S.C. 8247) is amended by striking ``$20,000,000 for fiscal year 
1995'' and inserting ``$600,000,000 for fiscal year 2000 and such sums 
as may be necessary for each of the fiscal years 2001 through 2004''.

SEC. 426. EFFECTIVE DATE.

    This part, and the amendments made by this part, shall take effect 
on October 1, 1999.
                                 <all>