[Congressional Bills 107th Congress]
[From the U.S. Government Publishing Office]
[H.R. 340 Introduced in House (IH)]







107th CONGRESS
  1st Session
                                H. R. 340

To amend the Elementary and Secondary Education Act of 1965 to improve 
   the quality of public education and raise student achievement by 
increasing investment, strengthening accountability, raising standards 
     for teachers, improving professional development and teacher 
   compensation, rewarding successful schools, and providing better 
            information to parents, and for other purposes.


_______________________________________________________________________


                    IN THE HOUSE OF REPRESENTATIVES

                            January 31, 2001

Mr. George Miller of California (for himself, Mr. Kildee, Mr. Andrews, 
Mr. Baldacci, Mr. Bonior, Mr. Brown of Ohio, Mr. Conyers, Mr. Cummings, 
  Mr. Delahunt, Ms. DeLauro, Mr. Dingell, Mr. Fattah, Mr. Filner, Mr. 
  Frost, Mr. Green of Texas, Mr. Hinchey, Mr. Hinojosa, Mr. Holt, Mr. 
   Kind, Mr. Kucinich, Mrs. McCarthy of New York, Ms. McCollum, Mr. 
 McDermott, Mr. McGovern, Ms. Millender-McDonald, Mrs. Mink of Hawaii, 
Mr. Nadler, Mr. Owens, Mr. Payne, Ms. Pelosi, Mr. Rodriguez, Mr. Reyes, 
 Mr. Rush, Ms. Sanchez, Mr. Scott, Ms. Solis, Mr. Stark, Mr. Tierney, 
 Mr. Udall of New Mexico, Ms. Velazquez, Ms. Woolsey, Ms. DeGette, Mr. 
   Kennedy of Rhode Island, Mr. Towns, Mr. Engel,  and Mr. DeFazio) 
 introduced the following bill; which was referred to the Committee on 
                      Education and the Workforce

_______________________________________________________________________

                                 A BILL


 
To amend the Elementary and Secondary Education Act of 1965 to improve 
   the quality of public education and raise student achievement by 
increasing investment, strengthening accountability, raising standards 
     for teachers, improving professional development and teacher 
   compensation, rewarding successful schools, and providing better 
            information to parents, and for other purposes.

    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 ``Excellence and 
Accountability in Education Act''.
    (b) Table of Contents.--The table of contents for this Act is as 
follows:

Sec. 1. Short title; table of contents.
Sec. 2. References.
                        TITLE I--STUDENT RESULTS

                         Part A--Basic Program

Sec. 101. Low-achieving children meet high standards.
Sec. 102. Purposes and intent.
Sec. 103. Authorization of appropriations.
Sec. 104. Reservation and allocation.
Sec. 105. State plans.
Sec. 106. Local educational agency plans.
Sec. 107. Eligible school attendance areas.
Sec. 108. Schoolwide programs.
Sec. 109. Targeted assistance schools.
Sec. 110. School choice.
Sec. 111. Assessment and local educational agency and school 
                            improvement.
Sec. 112. State assistance for school support and improvement.
Sec. 113. Academic achievement awards program; improving State 
                            assessments.
Sec. 114. Parental involvement changes.
Sec. 115. Qualifications for teachers and paraprofessionals.
Sec. 116. Professional development.
Sec. 117. Participation of children enrolled in private schools.
Sec. 118. Requirements; records.
Sec. 119. Coordination requirements.
Sec. 120. Amounts for grants.
Sec. 121. Basic grants to local educational agencies.
Sec. 122. Concentration grants.
Sec. 123. Targeted grants.
Sec. 124. Special allocation procedures.
                Part B--Education of Migratory Children

Sec. 131. State allocations.
Sec. 132. State applications; services.
Sec. 133. Authorized activities.
Sec. 134. Coordination of migrant education activities.
                 Part C--Neglected or Delinquent Youth

Sec. 141. Neglected or delinquent youth.
Sec. 142. Findings.
Sec. 143. Allocation of funds.
Sec. 144. State plan and State agency applications.
Sec. 145. Use of funds.
Sec. 146. Purpose.
Sec. 147. Transition services.
Sec. 148. Programs operated by local educational agencies.
Sec. 149. Local educational agency applications.
Sec. 150. Uses of funds.
Sec. 151. Program requirements.
Sec. 152. Program evaluations.
                       Part D--General Provisions

Sec. 161. General provisions.
                  Part E--Comprehensive School Reform

Sec. 171. Comprehensive school reform.
                       TITLE II--SMART CLASSROOMS

Sec. 201. Smart classrooms.
Sec. 202. Reading Excellence Act.
Sec. 203. Student loan forgiveness for teachers.
                  TITLE III--TECHNOLOGY FOR EDUCATION

Sec. 301. Technology for education.
          TITLE IV--SAFE AND DRUG-FREE SCHOOLS AND COMMUNITIES

Sec. 401. Safe and drug-free schools and communities.
TITLE V--MAGNET SCHOOLS ASSISTANCE, PUBLIC SCHOOL CHOICE, AND NATIONAL 
                               PRIORITIES

Sec. 501. Magnet schools assistance.
Sec. 502. Women's educational equity.
Sec. 503. Fund for the improvement of education.
Sec. 504. Amendment to ESEA relating to gifted and talented children.
Sec. 505. Charter schools.
Sec. 506. Arts in education.
Sec. 507. Inexpensive book distribution program.
Sec. 508. Civic education.
Sec. 509. Allen J. Ellender fellowship program.
Sec. 510. 21st century community learning centers.
Sec. 511. Rural education achievement program.
Sec. 512. Physical education for progress.
Sec. 513. Coordinated services.
Sec. 514. Dropout prevention.
Sec. 515. Office of Dropout Prevention and Program Completion.
Sec. 516. Impact Aid amendments.
              TITLE VI--INNOVATIVE EDUCATIONAL STRATEGIES

Sec. 601. Innovative educational strategies.
Sec. 602. School construction and renovation grants.
    TITLE VII--EDUCATION OF LIMITED ENGLISH PROFICIENT CHILDREN AND 
                     EMERGENCY IMMIGRANT EDUCATION

Sec. 701. Programs authorized.
    TITLE VIII--INDIAN, NATIVE HAWAIIAN, AND ALASKA NATIVE EDUCATION

Sec. 801. Amendments.
Sec. 802. Native Hawaiian education.
Sec. 803. Alaska native education.
                      TITLE IX--GENERAL PROVISIONS

Sec. 901. General provisions.
                    TITLE X--REPEALS; EFFECTIVE DATE

Sec. 1001. Repeals; effective date.
                   TITLE XI--AMENDMENTS TO OTHER ACTS

Sec. 1101. Amendments to Education Amendments of 1978.
Sec. 1102. Amendments to Tribally Controlled Schools Act of 1988.
Sec. 1103. Amendments to Stewart B. McKinney Homeless Assistance Act.

SEC. 2. REFERENCES.

    Except as otherwise expressly provided--
            (1) whenever in this Act an amendment or repeal is 
        expressed in terms of an amendment to, or repeal of, a title, 
        chapter, part, subpart, section, subsection, or other 
        provision, the reference shall be considered to be made to a 
        title, chapter, part, subpart, section, subsection, or other 
        provision of the Elementary and Secondary Education Act of 1965 
        (20 U.S.C. 6301 et seq.); and
            (2) each reference in this Act to ``the Act'' shall be 
        considered to be a reference to the Elementary and Secondary 
        Education Act of 1965 (20 U.S.C. 6301 et seq.).

                        TITLE I--STUDENT RESULTS

                         PART A--BASIC PROGRAM

SEC. 101. LOW-ACHIEVING CHILDREN MEET HIGH STANDARDS.

    The heading for title I is amended by striking ``DISADVANTAGED'' 
and inserting ``LOW-ACHIEVING''.

SEC. 102. PURPOSES AND INTENT.

    Section 1001 (20 U.S.C. 6301) is amended to read as follows:

``SEC. 1001. FINDINGS; RECOGNITION OF NEED; AND STATEMENT OF PURPOSE.

    ``(a) Findings.--Congress finds the following:
            ``(1) Schools that enroll high concentrations of children 
        living in poverty face the greatest challenges but effective 
        educational strategies based on scientifically based research 
        can succeed in educating children to high standards.
            ``(2) High-poverty schools are much more likely to be 
        identified as failing to meet State standards for satisfactory 
        progress. As a result, these schools are generally the most in 
        need of additional resources and technical assistance to build 
        the capacity of these schools to address the many needs of 
        their students.
            ``(3) The educational progress of children participating in 
        programs under this title is closely associated with their 
        being taught by a fully qualified staff, particularly in 
        schools with the highest concentrations of poverty, where 
        paraprofessionals, uncertified teachers, and teachers teaching 
        out of field frequently provide instructional services.
            ``(4) States, local educational agencies, and schools 
        should be held accountable for improving student achievement, 
        while being given appropriate flexibility.
            ``(5) Programs funded under this part must demonstrate 
        increased effectiveness in improving schools in order to ensure 
        all children achieve to high standards.
    ``(b) Recognition of Need.--The Congress recognizes the following:
            ``(1) Educational needs are particularly great for low-
        achieving children in our Nation's highest-poverty schools, 
        children with limited English proficiency, children of migrant 
        workers, children with disabilities, Indian children, children 
        who are neglected or delinquent and young children and their 
        parents who are in need of family literacy services.
            ``(2) Despite decades of education reform efforts, a 
        sizable achievement gap remains between minority and 
        nonminority students, and between disadvantaged students and 
        their more advantaged peers.
            ``(3) States, local educational agencies and schools should 
        be held accountable for improving the academic achievement of 
        all students, and for identifying and turning around low-
        performing schools.
            ``(4) Federal education assistance is intended not only to 
        increase pupil achievement overall, but also more specifically 
        and importantly, to help ensure that all pupils, especially the 
        disadvantaged, meet challenging standards for curriculum 
        content and pupil performance. It can only be determined if 
        schools, local educational agencies, and States, are reaching 
        this goal if pupil achievement results are disaggregated by at-
        risk categories.''.
    ``(c) Purpose and Intent.--The purpose and intent of this title are 
to ensure that all children have a fair and equal opportunity to obtain 
a high quality education.

SEC. 103. AUTHORIZATION OF APPROPRIATIONS.

    (a) Local Educational Agency Grants.--Subsection (a) of section 
1002 (20 U.S.C. 6302(a)) is amended by striking ``$7,400,000,000 for 
fiscal year 1995'' and all that follows through the period and 
inserting $10,321,000,000 for fiscal year 2002, $12,040,000,000 for 
fiscal year 2003, $13,760,000,000 for fiscal year 2004, $15,481,000,000 
for fiscal year 2005, and $17,200,000,000 for fiscal year 2006.''.
    (b) Even Start.--Subsection (b) of section 1002 (20 U.S.C. 6302(b)) 
is amended by striking ``$250,000,000 for fiscal year 2001'' and 
inserting ``$300,000,000 for fiscal year 2002''.
    (c) Education of Migratory Children.--Subsection (c) of section 
1002 (20 U.S.C. 6302(c)) is amended by striking ``$310,000,000 for 
fiscal year 1995'' and inserting ``$450,000,000 for fiscal year 2002''.
    (d) Prevention and Intervention Programs for Youth Who Are 
Neglected, Delinquent, or at Risk of Dropping Out.--Subsection (d) of 
section 1002 (20 U.S.C. 6302(d)) is amended by striking ``$40,000,000 
for fiscal year 1995'' and inserting ``$60,000,000 for fiscal year 
2002''.
    (e) Capital Expenses.--Subsection (e) of section 1002 (20 U.S.C. 
6302(e)) is amended to read as follows:
    ``(e) Capital Expenses.--For the purpose of carrying out section 
1120(e), there are authorized to be appropriated $10,000,000 for fiscal 
year 2002.''.
    (f) Additional Assistance.--Subsection (f) of section 1002 is 
amended to read as follows:
    ``(f) School Improvement.--Each State may reserve for the purpose 
of carrying out its duties under section 1116 and 1117, the greater of 
one-half of 1 percent of the amount allocated under this part, or 
$200,000.''.
    (g) Federal Activities.--Subsection (g) of section 1002 (20 U.S.C. 
6302(g)) is amended by striking ``1995'' each place it appears and 
inserting ``2002''.
    (h) State Administration.--Section 1002 is amended by adding at the 
end the following:
    ``(h) State Administration.--
            ``(1) State reservation.--Each State may reserve, from the 
        grants it receives under parts A, C, and D, of this title, an 
        amount equal to the greater of--
                    ``(A) 1 percent of the amount it received under 
                parts A, C, and D; or
                    ``(B) $400,000 ($50,000 for each outlying area), to 
                carry out administrative duties assigned under parts A, 
                C, and D.
            ``(2) Special rule.--The amount reserved by each State 
        under this subsection may not exceed the amount of State funds 
        expended by the State educational agency to administer 
        elementary and secondary education programs in such State.
    ``(i) Assistance for Local School Improvement.--
            ``(1) Program authorized.--The Secretary shall award grants 
        to States to provide subgrants to local educational agencies 
        for the purpose of providing assistance for school improvement 
        consistent with section 1116. Such grants shall be allocated 
        among States, the Bureau of Indian Affairs, and the outlying 
        areas, in the same proportion to the grants received by each 
        State, the Bureau of Indian Affairs, and the outlying areas for 
        the fiscal year under parts A, C, and D of this title. The 
        Secretary shall expeditiously allocate a portion of such funds 
        to States for the purpose of assisting local educational 
        agencies and schools that were in school improvement status on 
        the date preceding the date of the enactment of the Excellence 
        and Accountability in Education Act.
            ``(2) Reallocations.--If a State does not apply for funds 
        under this subsection, the Secretary shall reallocate such 
        funds to other States in the same proportion funds are 
        allocated under paragraph (1).
            ``(3) State applications.--Each State educational agency 
        that desires to receive funds under this subsection shall 
        submit an application to the Secretary at such time, and 
        containing such information as the Secretary shall reasonably 
        require, except that such requirement shall be waived if a 
        State educational agency has submitted such information as part 
        of its State plan under this part. Each State plan shall 
        describe how such funds will be allocated to ensure that the 
        State educational agency and local educational agencies comply 
        with school improvement and corrective action requirements of 
        section 1116.
            ``(4) Local educational agency grants.--A grant to a local 
        educational agency under this subsection shall be--
                    ``(A) of sufficient size and scope to support the 
                activities required under sections 1116 and 1117, but 
                not less than $50,000 and not more than $500,000 to 
                each participating school;
                    ``(B) integrated with other funds under this Act; 
                and
                    ``(C) renewable for 2 additional 1-year periods if 
                schools are making yearly progress consistent with 
                State and local educational agency plans developed 
                under section 1116.
            ``(5) Priority.--The State, in awarding such grants, shall 
        give priority to local educational agencies with the lowest 
        achieving schools, that demonstrate the greatest need for such 
        funds, and that demonstrate the strongest commitment to making 
        sure such funds are used to provide adequate resources to 
        enable such schools to meet the yearly progress goals under 
        State and local school improvement and corrective action plans 
        under section 1116.
            ``(6) Administrative costs.--A State educational agency 
        that receives a grant award under this subsection may reserve 
        not more than 5 percent of such award for administration, 
        evaluation, and technical assistance expenses.
            ``(7) Local awards.--Each local educational agency that 
        applies for assistance under this subsection shall describe how 
        it will provide the lowest achieving schools the resources 
        necessary to meet yearly progress goals under State and local 
        school improvement and corrective action plans under section 
        1116.
            ``(8) Authorization of appropriations.--For the purpose of 
        carrying out this subsection, there are authorized to be 
        appropriated $250,000,000 for fiscal year 2002, $300,000,000 
        for fiscal year 2003, $350,000,000 for fiscal year 2004, 
        $400,000,000 for fiscal year 2005, and $450,000,000 for fiscal 
        year 2006.''.

SEC. 104. RESERVATION AND ALLOCATION.

    Section 1003 (20 U.S.C. 6303) is repealed.

SEC. 105. STATE PLANS.

    Section 1111 (20 U.S.C. 6311) is amended to read as follows:

``SEC. 1111. STATE PLANS.

    ``(a) Plans Required.--
            ``(1) In general.--Any State desiring to receive a grant 
        under this part shall submit to the Secretary a plan, developed 
        in consultation with local educational agencies, teachers, 
        pupil services personnel, administrators (including 
        administrators of programs described in other parts of this 
        title), other staff, and parents, that satisfies the 
        requirements of this section and that is coordinated with other 
        programs under this Act, the Individuals with Disabilities 
        Education Act, the Carl D. Perkins Vocational and Technical 
        Education Act of 1998, and the Head Start Act.
            ``(2) Consolidated plan.--A State plan submitted under 
        paragraph (1) may be submitted as part of a consolidated plan 
        under section 10202.
    ``(b) Standards, Assessments, and Accountability.--
            ``(1) Challenging standards.--(A) Each State plan shall 
        demonstrate that the State has adopted and implemented 
        challenging content standards and challenging student 
        performance standards that will be used by the State, its local 
        educational agencies, and its schools to carry out this part, 
        except that a State shall not be required to submit such 
        standards to the Secretary.
            ``(B) The standards required by subparagraph (A) shall be 
        the same standards that the State applies to all schools and 
        children in the State.
            ``(C) The State shall have such standards for elementary 
        and secondary school children served under this part in 
        subjects determined by the State, but including at least 
        mathematics, reading or language arts, and science, which shall 
        include the same knowledge, skills, and levels of performance 
        expected of all children.
            ``(D) Standards under this paragraph shall include--
                    ``(i) challenging content standards in academic 
                subjects that--
                            ``(I) specify what children are expected to 
                        know and be able to do;
                            ``(II) contain coherent and rigorous 
                        content; and
                            ``(III) encourage the teaching of advanced 
                        skills; and
                    ``(ii) challenging student performance standards 
                that--
                            ``(I) are aligned with the State's content 
                        standards;
                            ``(II) describe 2 levels of high 
                        performance, proficient and advanced, that 
                        determine how well children are mastering the 
                        material in the State content standards; and
                            ``(III) describe a third level of 
                        performance, basic, to provide complete 
                        information about the progress of the lower 
                        performing children toward achieving to the 
                        proficient and advanced levels of performance.
            ``(E) For the subjects in which students will be served 
        under this part, but for which a State is not required by 
subparagraphs (A), (B), and (C) to develop, and has not otherwise 
developed such standards, the State plan shall describe a strategy for 
ensuring that such students are taught the same knowledge and skills 
and held to the same expectations as are all children.
            ``(2) Adequate yearly progress.--
                    ``(A) In general.--Each State plan shall 
                demonstrate, based on assessments described under 
                paragraph (4), what constitutes adequate yearly 
                progress of--
                            ``(i) any school served under this part 
                        toward enabling all children to meet the 
                        State's challenging student performance 
                        standards;
                            ``(ii) any local educational agency that 
                        received funds under this part toward enabling 
                        all children in schools receiving assistance 
                        under this part to meet the State's challenging 
                        student performance standards; and
                            ``(iii) the State in enabling all children 
                        in schools receiving assistance under this part 
                        to meet the State's challenging student 
                        performance standards.
                    ``(B) Definition.--Adequate yearly progress shall 
                be defined in a manner that--
                            ``(i) applies the same high standards of 
                        academic performance to all students in the 
                        State;
                            ``(ii) takes into account the progress of 
                        all students in the State and in each local 
                        educational agency and school served under 
                        section 1114 or 1115;
                            ``(iii) uses the State challenging content 
                        and challenging student performance standards 
                        and assessments described in paragraphs (1) and 
                        (4);
                            ``(iv) compares separately, within each 
                        State, local educational agency, and school, 
                        the performance and progress of students by 
                        gender, each major ethnic and racial group, by 
                        English proficiency status, by migrant status, 
                        by students with disabilities as compared to 
                        nondisabled students, and by economically 
                        disadvantaged students as compared to students 
                        who are not economically disadvantaged (except 
                        that such disaggregation shall not be required 
                        in a case in which the number of students in a 
                        category is insufficient to yield statistically 
                        reliable information or the results would 
                        reveal individually identifiable information 
                        about an individual student);
                            ``(v) compares the proportions of students 
                        at the `basic', `proficient', and `advanced' 
                        levels of performance with the proportions of 
                        students at each of the 3 levels in the same 
                        grade in the previous school year;
                            ``(vi) includes annual numerical goals for 
                        improving the performance of all groups 
                        specified in clause (iv) and narrowing gaps in 
                        performance between these groups; and
                            ``(vii) includes a timeline for ensuring 
                        that each group of students described in clause 
                        (iv) meets or exceeds the State's proficient 
                        level of performance on each State assessment 
                        used for the purposes of section 1111 and 
                        section 1116 not later than 10 years after the 
                        date of the enactment of the Excellence and 
                        Accountability in Education Act; and
                            ``(viii) at the State's discretion, may 
                        also include other academic measures such as 
                        promotion, completion of college preparatory 
                        courses, and high school completion, except 
                        that inclusion of such other measures may not 
                        change which schools or local educational 
                        agencies would otherwise be subject to 
                        improvement or corrective action under section 
                        1116 if the discretionary indicators were not 
                        included.
                    ``(C) Annual improvement for states.--For a State 
                to make adequate yearly progress under subparagraph 
                (A)(iii), not less than 90 percent of the local 
                educational agencies within its jurisdiction shall meet 
                the State's criteria for adequate yearly progress.
                    ``(D) Annual improvement for local educational 
                agencies.--For a local educational agency to make 
                adequate yearly progress under subparagraph (A)(ii), 
                not less than 90 percent of the schools within its 
                jurisdiction must meet the State's criteria for 
                adequate yearly progress.
                    ``(E) Annual improvement for schools.--For a school 
                to make adequate yearly progress under subparagraph 
                (A)(i), not less than 90 percent of each group of 
                students described in subparagraph (A)(iv) who are 
                enrolled in such school are required to take the 
                assessments consistent with section 612(a)(17)(A) of 
                the Individuals with Disabilities Education Act and 
                paragraph (4)(F)(iv) on which adequate yearly progress 
                is based. The requirement of this subparagraph must be 
                met for such assessments to be used to determine 
                whether a school is making adequate yearly progress.
                    ``(F) Public notice and comment.--Each State shall 
                ensure that in developing its plan for adequate yearly 
                progress, it diligently seeks public comment from a 
                range of institutions and individuals in the State with 
                an interest in improved student achievement and that 
                the State makes and will continue to make a substantial 
                effort to ensure that information under this part is 
                widely known and understood by the public, parents, 
                teachers, and school administrators throughout the 
                State. Such efforts shall include, at a minimum, 
                publication of such information and explanatory text, 
                broadly to the public through such means as the 
Internet, the media, and public agencies.
                    ``(G) Review.--The Secretary shall review the 
                information from States on the adequate yearly progress 
                of schools and local educational agencies required 
                under subparagraphs (A) and (B) for the purpose of 
                determining State and local compliance with section 
                1116.
                    ``(H) Revision.--The Secretary shall require States 
                to revise their definition of adequate yearly progress, 
                consistent with the requirements of this paragraph. 
                Such revisions shall be submitted to the Secretary for 
                approval not later than 1 year after the date of the 
                enactment of the Excellence and Accountability in 
                Education Act.
            ``(3) State authority.--If a State educational agency 
        provides evidence, which is satisfactory to the Secretary, that 
        neither the State educational agency nor any other State 
        government official, agency, or entity has sufficient 
        authority, under State law, to adopt curriculum content and 
        student performance standards, and assessments aligned with 
        such standards, which will be applicable to all students 
        enrolled in the State's public schools, then the State 
        educational agency may meet the requirements of this subsection 
        by--
                    ``(A) adopting standards and assessments that meet 
                the requirements of this subsection, on a statewide 
                basis, limiting their applicability to students served 
                under this part; or
                    ``(B) adopting and implementing policies that 
                ensure that each local educational agency in the State 
                which receives grants under this part will adopt 
                curriculum content and student performance standards, 
                and assessments aligned with such standards, which meet 
                all of the criteria in this subsection and any 
                regulations regarding such standards and assessments 
                which the Secretary may publish, and which are 
                applicable to all students served by each such local 
                educational agency.
            ``(4) Assessments.--Each State plan shall demonstrate that 
        the State has implemented and is administering a set of high-
        quality, yearly student assessments that include, at a minimum, 
        assessments in mathematics, reading or language arts, and 
        science as the primary means of determining the yearly 
        performance of each local educational agency and school served 
        under this title in enabling all children served under this 
        part to meet the State's challenging student performance 
        standards. Such assessments shall--
                    ``(A) be the same assessments used to measure the 
                performance of all children, if the State measures the 
                performance of all children;
                    ``(B) be criterion referenced and aligned with the 
                State's challenging content and student performance 
                standards and provide coherent information about 
                student attainment of such standards;
                    ``(C) be used for purposes for which such 
                assessments are valid and reliable, and be consistent 
                with relevant, nationally recognized professional and 
                technical standards for such assessments;
                    ``(D) measure the proficiency of students in the 
                academic subjects in which a State has adopted 
                challenging content and student performance standards 
                and be administered not less than one or more times 
                during--
                            ``(i) grades 3 through 5;
                            ``(ii) grades 6 through 9; and
                            ``(iii) grades 10 through 12;
                    ``(E) involve multiple up-to-date measures of 
                student performance, including measures that assess 
                higher order thinking skills and understanding;
                    ``(F) provide for--
                            ``(i) the participation in such assessments 
                        of all students;
                            ``(ii) the reasonable adaptations and 
                        accommodations for students with disabilities 
                        defined under 602(3) of the Individuals with 
                        Disabilities Education Act necessary to measure 
                        the achievement of such students relative to 
                        State content and State student performance 
                        standards; and
                            ``(iii) the inclusion of limited English 
                        proficient students who shall be assessed, to 
                        the extent practicable, in the language and 
                        form most likely to yield accurate and reliable 
                        information on such students' knowledge of, and 
                        skills in, the subject area being assessed;
                    ``(G) include students who have attended schools in 
                a local educational agency for a full academic year but 
                have not attended a single school for a full academic 
                year, except that the performance of students who have 
                attended more than 1 school in the local educational 
                agency in any academic year shall be used only in 
                determining the progress of the local educational 
                agency;
                    ``(H) provide individual student reports, which 
                include assessment scores, or other information on the 
                attainment of student performance standards; and
                    ``(I) enable results to be disaggregated within 
                each State, local educational agency, and school by 
                gender, by each major racial and ethnic group, by 
                English proficiency status, by migrant status, by 
                students with disabilities as compared to nondisabled 
                students, and by economically disadvantaged students as 
                compared to students who are not economically 
                disadvantaged.
            ``(5) Special rule.--
                    ``(A) In general.--Assessment measures that do not 
                meet the requirements of paragraph (4)(C) may be 
                included as one of the multiple measures, if a State 
                includes in the State plan information regarding the 
                State's efforts to validate such measures.
                    ``(B) Student literacy skills.--States may measure 
                the literacy skills of students 1 or more times during 
                grades K-2. Such measurement shall serve only as a 
                diagnostic tool, with its sole purpose being the 
                improvement of reading instruction.
            ``(6) Language assessments.--Each State plan shall identify 
        the languages other than English that are present in the 
        participating student population and indicate the languages for 
        which yearly student assessments are not available and are 
        needed. The State shall make every effort to develop such 
        assessments and may request assistance from the Secretary if 
        linguistically accessible assessment measures are needed. Upon 
        request, the Secretary shall assist with the identification of 
        appropriate assessment measures in the needed languages, but 
        shall not mandate a specific assessment or mode of instruction.
            ``(7) Requirement.--Each State plan shall describe--
                    ``(A) how the State educational agency will ensure 
                that each local educational agency and school affected 
                by the State plan to develop the capacity to comply 
                with each of the requirements of sections 
                1112(c)(1)(D), 1114(c), and 1115(c) that is applicable 
                to such agency or school;
                    ``(B) what specific steps the State educational 
                agency will take to assist, and provide resources to, 
                schools and local educational agencies that receive 
                funds under this part to ensure that all students 
                enrolled in such schools and local educational agencies 
                reach, at a minimum, the proficient level of 
                performance;
                    ``(C) the actions the State will take to ensure 
                that critical education services and resources are 
                available in local educational agencies that receive 
                funds under this part to the extent that such services 
                are available in local educational agencies that do not 
                receive funds under this part;
                    ``(D) whether services in local educational 
                agencies that receive funds under this part are of 
                comparable quality to the services in local educational 
                agencies that do not receive funds under this part;
                    ``(E) at a minimum--
                            ``(i) how the State will ensure, not later 
                        than December 1, 2004, that students from 
                        families with incomes below the poverty line 
                        and minority students receive instruction from 
                        fully qualified teachers at the same rate as 
                        other students;
                            ``(ii) how the State will ensure, not later 
                        than December 1, 2004, that students from 
                        families with incomes below the poverty line 
                        and minority students have the same access to 
                        challenging curricula and rigorous courses, 
                        including advance placement courses, as do 
                        other students;
                            ``(iii) how the State will ensure, not 
                        later than December 1, 2004, that the quality 
                        and availability of instructional materials and 
                        instructional resources including technology in 
                        local educational agencies receiving funds 
                        under this part, is comparable to such quality 
                        and availability in local educational agencies 
                        not receiving funds under this part; and
                    ``(F) the measures that the State educational 
                agency will use annually to measure and publicly report 
                progress regarding subparagraph (E).
            ``(8) Exclusion from assessments.--
                    ``(A) In general.--Local educational agencies 
                receiving funds under this part shall compile 
                information and report, by individual school, on 
                students who do not participate in assessments required 
                under paragraph (4). Such report, which shall be 
                distributed widely to the public, shall include--
                            ``(i) a list of each reason that students 
                        did not participate in any such assessment; and
                            ``(ii) the number from each group of 
                        students described in paragraph (2)(B)(iv) who 
                        did not participate on any such assessment for 
                        each reason.
                    ``(B) Protection.--Reports required under 
                subparagraph (A) shall not report information in a case 
                in which it would reveal individually identifiable 
                information.
    ``(c) Other Provisions To Support Teaching and Learning.--Each 
State plan shall contain assurances that--
            ``(1) the State educational agency will work with other 
        agencies, including educational service agencies or other local 
        consortia, and institutions to provide technical assistance to 
        local educational agencies and schools to carry out the State 
        educational agency's responsibilities under this part, 
        including technical assistance in providing professional 
        development under section 1119 and technical assistance under 
        section 1117; and
            ``(2)(A) where educational service agencies exist, the 
        State educational agency will consider providing professional 
        development and technical assistance through such agencies; and
            ``(B) where educational service agencies do not exist, the 
        State educational agency will consider providing professional 
        development and technical assistance through other cooperative 
        agreements such as through a consortium of local educational 
        agencies;
            ``(3) the State educational agency will notify local 
        educational agencies and the public of the content and student 
        performance standards and assessments developed under this 
        section, and of the authority to operate schoolwide programs, 
        and will fulfill the State educational agency's 
        responsibilities regarding local educational agency improvement 
        and school improvement under section 1116, including such 
        corrective actions as are necessary;
            ``(4) the State educational agency will provide the least 
        restrictive and burdensome regulations for local educational 
        agencies and individual schools participating in a program 
        assisted under this part;
            ``(5) if applicable, the State educational agency will 
        inform the Secretary and the public of how and which Federal 
        laws hinder the ability of States--
                    ``(A) to improve overall student achievement; and
                    ``(B) to close achievement gaps between groups of 
                students described in subsection (b)(2)(A)(iv);
            ``(6) the State educational agency will encourage schools 
        to consolidate funds from other Federal, State, and local 
        sources for schoolwide reform in schoolwide programs under 
        section 1114;
            ``(7) the State educational agency will modify or eliminate 
        State fiscal and accounting barriers so that schools can easily 
        consolidate funds from other Federal, State, and local sources 
        for schoolwide programs under section 1114;
            ``(8) the State educational agency has involved the 
        committee of practitioners established under section 1603(b) in 
        developing the plan and monitoring its implementation; and
            ``(9) the State educational agency will inform local 
        educational agencies of the local educational agency's 
        authority to seek waivers under title X and, if the State is an 
        Ed-Flex Partnership State, waivers under the Education 
        Flexibility Partnership Act of 1999 (30 U.S.C. 589a et seq.).
    ``(d) Peer Review and Secretarial Approval.--
            ``(1) Secretarial duties.--The Secretary shall--
                    ``(A) establish a peer review process to assist in 
                the review of State plans;
                    ``(B) approve a State plan after its submission 
                unless the Secretary determines that the plan does not 
                meet the requirements of this section;
                    ``(C) if the Secretary determines that the State 
                plan does not meet the requirements of subsection (a), 
                (b), or (c), immediately notify the State of such 
                determination and the reasons for such determination;
                    ``(D) not decline to approve a State's plan 
                before--
                            ``(i) offering the State an opportunity to 
                        revise its plan;
                            ``(ii) providing technical assistance in 
                        order to assist the State to meet the 
                        requirements under subsections (a), (b), and 
                        (c); and
                            ``(iii) providing a hearing;
                    ``(E) have the authority to disapprove a State plan 
                for not meeting the requirements of this part, but 
                shall not have the authority to require a State, as a 
                condition of approval of the State plan, to include in, 
                or delete from, such plan one or more specific elements 
                of the State's content standards or to use specific 
                assessment instruments or items; and
            ``(2) State revisions.--States shall revise their plans if 
        necessary to satisfy the requirements of this section. Revised 
        plans shall be submitted to the Secretary for approval not 
        later than 1 year after the date of the enactment of the 
        Excellence and Accountability in Education Act.
    ``(e) Duration of the Plan.--
            ``(1) In general.--Each State plan shall--
                    ``(A) be submitted for the first year for which 
                this part is in effect after the date of the enactment 
                of the Excellence and Accountability in Education Act;
                    ``(B) remain in effect for the duration of the 
                State's participation under this part; and
                    ``(C) be periodically reviewed and revised by the 
                State, as necessary, to reflect changes in the State's 
                strategies and programs under this part.
            ``(2) Additional information.--If the State makes 
        significant changes in its plan, such as the adoption of new 
        State content standards and State student performance 
        standards, new assessments, or a new definition of adequate 
        yearly progress, the State shall submit such information to the 
        Secretary.
    ``(f) Limitation on Conditions.--Nothing in this part shall be 
construed to authorize an officer or employee of the Federal Government 
to mandate, direct, or control a State, local educational agency, or 
school's specific instructional content or student performance 
standards and assessments, curriculum, or program of instruction, as a 
condition of eligibility to receive funds under this part.
    ``(g) Penalties.--
            ``(1) In general.--If a State fails to demonstrate that it 
        has in place challenging content standards and student 
        performance standards and assessments, and a system for 
        measuring and monitoring adequate yearly progress which 
        includes the disaggregation of data by groups, as described in 
        subsection (b)(2)(A)(iv), the State shall be ineligible to 
        receive any administrative funds under section 1002(h) that 
        exceed the amount received by the State for such purpose in the 
        previous year.
            ``(2) Additional funds.--Based on the extent to which the 
        requirements of paragraph (1) are not met, additional 
        administrative funds shall be withheld in such amount as the 
        Secretary determines appropriate, except that for each 
        additional year that the State fails to comply with such 
        requirements, the Secretary shall withhold not less than one-
        fifth of the amount the State receives for administrative 
        expenses under section 1002(h).
            ``(3) Waiver.--Notwithstanding title X of this Act and the 
        Education Flexibility Partnership Act of 1999 or any other 
        provision of law, a waiver shall not be granted except that a 
        State may request a 1-time, 1-year waiver to meet the 
        requirements of this section.
    ``(h) School Report Cards; Parental Information.--
            ``(1) In general.--
                    ``(A) Annual report.--Not later than the beginning 
                of the 2002-2003 school year, a State that receives 
                assistance under this Act shall prepare and publicly 
                disseminate an annual report on all schools that 
                receive funds under this part. States and local 
                educational agencies may issue report cards under this 
                section only for local educational agencies and schools 
                receiving funds under this part, except that if a State 
                or local educational agency issues a report card for 
                all students, the State or local educational agency may 
                include the information under this section as part of 
                such report card.
                    ``(B) Implementation.--The State shall ensure the 
                dissemination of this information at all levels. Such 
                information shall be--
                            ``(i) concise; and
                            ``(ii) presented in a format and manner 
                        that parents can understand, and which, to the 
                        extent practicable, shall be in a language the 
                        parents can understand.
            ``(2) Content of annual state reports.--
                    ``(A) Required information.--The State shall, at a 
                minimum, include in the annual State reports 
                information for the State on each local educational 
                agency and school regarding--
                            ``(i) student performance on statewide 
                        assessments for the current and preceding years 
                        in at least mathematics, reading or language 
                        arts, and science, including--
                                    ``(I) a comparison of the 
                                proportions of students who performed 
                                at `basic', `proficient', and 
                                `advanced' levels in each subject area, 
                                for each grade level at which 
                                assessments are required under this 
                                part, with proportions in each of the 
                                same 3 categories at the same grade 
                                levels in the previous school year; and
                                    ``(II) a statement of the 
                                percentage of students not tested and a 
                                listing of categories of the reasons 
                                why they were not tested;
                            ``(ii) retention in grade, completion of 
                        advanced placement courses, and 4-year 
                        graduation rates;
                            ``(iii) the professional qualifications of 
                        teachers in the aggregate, including the 
                        percentage of course sections in core academic 
                        subjects taught by teachers with emergency or 
                        provisional credentials, and the percentage of 
                        class sections not taught by fully qualified 
                        teachers; and
                            ``(iv) the professional qualifications of 
                        paraprofessionals, the number of 
                        paraprofessionals in the aggregate and the 
                        ratio of paraprofessionals to teachers in the 
                        classroom.
                    ``(B) Student data.--Student data in each report 
                shall contain disaggregated results for the following 
                categories:
                            ``(i) gender;
                            ``(ii) racial and ethnic group;
                            ``(iii) migrant status;
                            ``(iv) students with disabilities, as 
                        compared to students who are not disabled;
                            ``(v) economically disadvantaged students, 
                        as compared to students who are not 
                        economically disadvantaged; and
                            ``(vi) students with limited English 
                        proficiency, as compared to students who are 
                        proficient in English.
                    ``(C) Optional information.--A State may include in 
                its report any other information it determines 
                appropriate to reflect school quality and school 
                achievement, including information on average class 
                size by grade level, and information on school safety, 
                such as the incidence of school violence and drug and 
                alcohol abuse, and the incidence of student suspensions 
                and expulsions.
            ``(3) Content of local educational agencies reports.--
                    ``(A) Minimum requirements.--The State shall ensure 
                that each local educational agency collects appropriate 
                data and publishes and publicly disseminates an annual 
                report for each of its schools which includes, at a 
                minimum--
                            ``(i) the information described in 
                        paragraphs (2)(A) and (2)(B) for each local 
                        educational agency and school--
                                    ``(I) in the case of a local 
                                educational agency--
                                            ``(aa) the number and 
                                        percentage of schools 
                                        identified for school 
                                        improvement, including schools 
                                        identified under section 
                                        1116(b) of this Act;
                                            ``(bb) information that 
                                        shows how students in its 
                                        schools perform on the 
                                        statewide assessment compared 
                                        to students in the State as a 
                                        whole;
                                    ``(II) in the case of a school--
                                            ``(aa) whether it has been 
                                        identified for school 
                                        improvement; and
                                            ``(bb) information that 
                                        shows how its students 
                                        performed on the statewide 
                                        assessment compared to students 
                                        in the local educational agency 
                                        and the State as a whole.
                    ``(B) Other information.--A local educational 
                agency may include in its annual reports any other 
                appropriate information whether or not such information 
                is included in the annual State report.
            ``(4) Dissemination and accessibility of reports.--
                    ``(A) State reports.--State annual reports under 
                paragraph (2) shall be disseminated to all schools and 
                local educational agencies in the State, and made 
                broadly available to the public through means such as 
                posting on the Internet, distribution to the media, and 
                distribution through public agencies.
                    ``(B) Local educational agency reports.--Local 
                educational agency reports under paragraph (3) shall be 
                disseminated to all schools in the school district and 
                to all parents of students attending these schools and 
                made broadly available to the public through means such 
                as posting on the Internet, distribution to the media, 
                and distribution through public agencies.
            ``(5) Parent's right-to-know.--
                    ``(A) Qualifications.--A local educational agency 
                that receives funds under this part shall provide, upon 
                request, in an understandable and uniform format, to 
                any parent of a student attending any school receiving 
                funds under this part, information regarding the 
                professional qualifications of the student's classroom 
                teachers, including, at a minimum, the following:
                            ``(i) Whether the teacher has met State 
                        qualification and licensing criteria for the 
                        grade levels and subject areas in which the 
                        teacher provides instruction.
                            ``(ii) Whether the teacher is teaching 
                        under emergency or other provisional status 
                        through which State qualification or licensing 
                        criteria have been waived.
                            ``(iii) The baccalaureate degree major of 
                        the teacher and any other graduate 
                        certification or degree held by the teacher, 
                        and the field of discipline of the 
                        certification or degree.
                            ``(iv) Whether the child is provided 
                        services by paraprofessionals and the 
                        qualifications of such paraprofessional.
                    ``(B) Additional information.--In addition to the 
                information which parents may request under 
                subparagraph (A), and the information provided in 
                subsection (c), a school which receives funds under 
                this part shall provide to each individual parent or 
                guardian--
                            ``(i) information on the level of 
                        performance of the individual student for whom 
                        they are the parent or guardian in each of the 
                        State assessments as required under this part; 
                        and
                            ``(ii) timely notice that the student for 
                        whom they are the parent or guardian has been 
                        assigned or has been taught for 2 or more 
                        consecutive weeks by a substitute teacher or by 
                        a teacher not fully qualified.
                    ``(C) Notification.--A local educational agency 
                shall notify parents of students attending any school 
                receiving funds under this part, on an annual basis, of 
                their ability to request information under this 
                paragraph and initially not later than 1 year after the 
                date of the enactment of the Excellence and 
                Accountability in Education Act. A local educational 
                agency shall provide such notification to parents in a 
                format, and to the extent practicable, in a language 
                they can understand.
            ``(6) Plan content.--A State shall include in its plan 
        under subsection (b) an assurance that it has in effect a 
        policy that meets the requirements of this section.
    ``(i) Privacy.--Information collected under this section shall be 
collected and disseminated in a manner that protects the privacy of 
individuals.
    ``(j) Special Rule on Science Standards and Assessments.--
Notwithstanding subsections (b) and (h), no State shall be required to 
meet the requirements under this title relating to science standards or 
assessments until the beginning of the 2006-2007 school year.''.

SEC. 106. LOCAL EDUCATIONAL AGENCY PLANS.

    (a) Plans Required.--
            (1) Paragraph (1) of section 1112(a) (20 U.S.C. 6312(a)(1)) 
        is amended by striking ``the Goals 2000: Educate America Act'' 
        and all that follows and inserting the following: ``the 
        Individuals with Disabilities Education Act, the Carl D. 
        Perkins Vocational and Technical Education Act of 1998, the 
        Head Start Act, and other Acts, as appropriate.''.
            (2) Paragraph (2) of section 1112(a) is amended by striking 
        ``14304'' and inserting ``10204''.
    (b) Plan Provisions.--Subsection (b) of section 1112 (20 U.S.C. 
6312(b)) is amended--
            (1) by striking ``Each'' in the matter preceding paragraph 
        (1) and inserting ``In order to help low-achieving children 
        achieve to high standards, each'';
            (2) in paragraph (1)--
                    (A) by striking ``part'' each place it appears and 
                inserting ``title'';
                    (B) in subparagraph (B), by inserting ``low-
                achieving'' before ``children'';
                    (C) by striking ``and'' at the end of subparagraph 
                (B);
                    (D) by inserting ``and'' at the end of subparagraph 
                (C); and
                    (E) by adding at the end the following new 
                subparagraph:
                    ``(D) determine the literacy levels of first 
                graders and their need for interventions, and a 
                description of how the local educational agency will 
                ensure that any such assessments--
                            ``(i) are developmentally appropriate; and
                            ``(ii) use multiple measures to provide 
                        information about the variety of skills that 
                        scientifically based research has identified as 
                        leading to early acquisition of reading 
                        skills.'';
            (3) in paragraph (4)(B), by striking ``under part C or who 
        were formerly eligible for services under part C in the 2-year 
        period preceding the date of the enactment of the Improving 
America's School Act of 1994, neglected or delinquent youth and youth 
at risk of dropping out'' and inserting ``under part C, neglected or 
delinquent youth, Indian children served under title IX,'';
            (4) in paragraph (7), by striking ``eligible homeless 
        children'' and inserting ``homeless children'';
            (5) by striking the period at the end of paragraph (9) and 
        inserting ``; and''; and
            (6) by adding at the end the following new paragraphs:
            ``(10) a description of the actions the local educational 
        agency will take to assist its low-performing schools, 
        including schools identified under section 1116 as in need of 
        improvement;
            ``(11) a description of how the agency will promote the use 
        of extended learning time, such as an extended school year and 
        before and after school and summer programs; and
            ``(12) a description of the criteria established by the 
        local educational agency pursuant to section 1119(b)(1).''.
    (c) Assurances.--Subsection (c) of section 1112 (20 U.S.C. 6312(c)) 
is amended to read as follows:
    ``(c) Assurances.--
            ``(1) In general.--Each local educational agency plan shall 
        provide assurances that the local educational agency will--
                    ``(A) inform eligible schools and parents of 
                schoolwide project authority and the ability of such 
                schools to consolidate funds from Federal, State, and 
                local sources;
                    ``(B) provide technical assistance and support to 
                schoolwide programs;
                    ``(C) work in consultation with schools as the 
                schools develop the schools' plans pursuant to section 
                1114 and assist schools as the schools implement such 
                plans or undertake activities pursuant to section 1115 
                so that each school can make adequate yearly progress 
                toward meeting the State student performance standards;
                    ``(D) fulfill such agency's school improvement 
                responsibilities under section 1116, including taking 
                corrective actions under section 1116(b)(9);
                    ``(E) provide services to eligible children 
                attending private elementary and secondary schools in 
                accordance with section 1120, and timely and meaningful 
                consultation with private school officials regarding 
                such services;
                    ``(F) take into account the experience of model 
                programs for the educationally disadvantaged, and the 
                findings of relevant scientifically based research 
                indicating that services may be most effective if 
                focused on students in the earliest grades at schools 
                that receive funds under this part;
                    ``(G) in the case of a local educational agency 
                that chooses to use funds under this part to provide 
                early childhood development services to low-income 
                children below the age of compulsory school attendance, 
                ensure that such services comply with the performance 
                standards established under section 641A(a) of the Head 
                Start Act;
                    ``(H) comply with the requirements of section 1119 
                regarding the qualifications of teachers and 
                paraprofessionals;
                    ``(I) inform eligible schools of the local 
                educational agency's authority to obtain waivers on the 
                school's behalf under title X of this Act, and if the 
                State is an Ed-Flex Partnership State, waivers under 
                the Education Flexibility Partnership Act of 1999;
                    ``(J) coordinate and collaborate, to the extent 
                feasible and necessary as determined by the local 
                educational agency, with other agencies providing 
                services to children, youth, and families; and
                    ``(K) ensure that by not later than December 1, 
                2004, students from families with incomes below the 
                poverty line and minority students are not taught by 
                teachers who are not fully qualified at a greater rate 
                than other students.
            ``(2) Special rule.--In carrying out subparagraph (G) of 
        paragraph (1) the Secretary--
                    ``(A) shall consult with the Secretary of Health 
                and Human Services on the implementation of such 
                subparagraph and shall establish procedures (taking 
                into consideration existing State and local laws, and 
                local teacher contracts) to assist local educational 
                agencies to comply with such subparagraph; and
                    ``(B) upon publication, shall disseminate to local 
                educational agencies the Head Start performance 
                standards as in effect under section 641A(a) of the 
                Head Start Act, and such agencies affected by such 
                subparagraph shall plan for the implementation of such 
                subparagraph (taking into consideration existing State 
                and local laws, and local teacher contracts), including 
                pursuing the availability of other Federal, State, and 
                local funding sources to assist in compliance with such 
                subparagraph.''.
    (d) Plan Development and Duration.--Section 1112 is amended by 
striking subsection (d) and inserting the following:
    ``(d) Plan Development and Duration.--
            ``(1) Consultation.--Each local educational agency plan 
        shall be developed in consultation with teachers, 
        administrators (including administrators of programs described 
        in other parts of this title), and other appropriate school 
        personnel, and with parents of children in schools served under 
        this part.
            ``(2) Duration.--Each such plan shall be submitted for the 
        first year for which this part is in effect following the date 
        of the enactment of the Excellence and Accountability in 
        Education Act and shall remain in effect for the duration of 
        the agency's participation under this part.
            ``(3) Review.--Each such local educational agency shall 
        periodically review, and as necessary, revise its plan.''.
    (e) State Approval.--Section 1112 (20 U.S.C. 6312(e)) is amended by 
striking subsection (e) and inserting the following:
    ``(e) State Approval.--
            ``(1) In general.--Each local educational agency plan shall 
        be filed according to a schedule established by the State 
        educational agency.
            ``(2) Approval.--The State educational agency shall approve 
        a local educational agency's plan only if the State educational 
        agency determines that the local educational agency's plan--
                    ``(A) will enable schools served under this part to 
                substantially help children served under this part meet 
                the standards expected of all children described in 
                section 1111(b)(1); and
                    ``(B) will meet the requirements of this 
                section.''.

SEC. 107. ELIGIBLE SCHOOL ATTENDANCE AREAS.

    Section 1113(c) (20 U.S.C. 6313(c)) is amended by adding at the end 
the following:
            ``(4) Allocation for equitable service to private school 
        students.--
                    ``(A) Calculation.--A local educational agency 
                shall have the final authority, consistent with section 
                1120 to calculate the number of private school 
                children, ages 5 through 17, who are low-income by--
                            ``(i) using the same measure of low-income 
                        used to count public school children;
                            ``(ii) using the results of a survey that, 
                        to the extent possible, protects the identity 
                        of families of private school students and 
                        allowing such survey results to be extrapolated 
                        if complete actual data are not available; or
                            ``(iii) applying the low-income percentage 
                        of each participating public school attendance 
                        area, determined pursuant to this section, to 
                        the number of private school children who 
                        reside in that attendance area.
                    ``(B) Complaint process.--Any dispute regarding 
                low-income data on private school students shall be 
                subject to the complaint process authorized in section 
                10405.
            ``(5) School improvement reservation.--A local educational 
        agency shall reserve such funds as are necessary under this 
        part to meet such agency's school improvement responsibilities 
        under section 1116, including taking corrective actions under 
        section 1116(b)(9).''.

SEC. 108. SCHOOLWIDE PROGRAMS.

    Section 1114 (20 U.S.C. 6314) is amended to read as follows:

``SEC. 1114. SCHOOLWIDE PROGRAMS.

    ``(a) Purpose.--The purpose of a schoolwide program under this 
section is--
            ``(1) to enable a local educational agency to consolidate 
        funds under this part with other Federal, State, and local 
        funds, to upgrade the entire educational program in a high 
        poverty school; and
            ``(2) to help ensure that all children in such a school 
        meet challenging State standards for student performance, 
        particularly those children who are most at risk of not meeting 
        those standards.
    ``(b) Use of Funds for Schoolwide Programs.--
            ``(1) In general.--A local educational agency may 
        consolidate funds under this part, together with other Federal, 
        State, and local funds, in order to upgrade the entire 
        educational program of a school that serves an eligible school 
        attendance area in which not less than 50 percent of the 
        children are from low-income families, or not less than 50 
        percent of the children enrolled in the school are from such 
        families.
            ``(2) State assurances.--A local educational agency may 
        start new schoolwide programs under this section only after the 
        State educational agency provides written information to each 
        local educational agency in the State that demonstrates that 
        such State educational agency has established the statewide 
        system of support and improvement required by subsections 
        (c)(1) and (e) of section 1117.
            ``(3) Identification of students not required.--(A) No 
        school participating in a schoolwide program shall be required 
        to identify particular children under this part as eligible to 
        participate in a schoolwide program or to provide supplemental 
        services to such children.
            ``(B) A school participating in a schoolwide program shall 
        use funds available to carry out this section only to 
        supplement the amount of funds that would, in the absence of 
        funds under this part, be made available from non-Federal 
        sources for the school, including funds needed to provide 
        services that are required by law for children with 
        disabilities and children with limited English proficiency.
            ``(4) Exemption from statutory and regulatory 
        requirements.--(A) Except as provided in subsection (c), the 
        Secretary may, through publication of a notice in the Federal 
        Register, exempt schoolwide programs under this section from 
        statutory or regulatory provisions of any other noncompetitive 
        formula grant program administered by the Secretary (other than 
        formula or discretionary grant programs under the Individuals 
        with Disabilities Education Act, except as provided in section 
        613(a)(2)(D) of such Act), or any discretionary grant program 
        administered by the Secretary, to support schoolwide programs 
        if the intent and purposes of such other programs are met.
            ``(B) A school that chooses to use funds from such other 
        programs shall not be relieved of the requirements relating to 
        health, safety, civil rights, student and parental 
        participation and involvement, services to private school 
        children, maintenance of effort, uses of Federal funds to 
        supplement, not supplant non-Federal funds, or the distribution 
        of funds to State or local educational agencies that apply to 
        the receipt of funds from such programs.
            ``(C)(i) A school that consolidates funds from different 
        Federal programs under this section shall not be required to 
        maintain separate fiscal accounting records, by program, that 
        identify the specific activities supported by those particular 
        funds as long as it maintains records that demonstrate that the 
        schoolwide program, considered as a whole addresses the intent 
        and purposes of each of the Federal programs that were 
        consolidated to support the schoolwide program.
            ``(5) Professional development.--Each school receiving 
        funds under this part for any fiscal year shall devote 
        sufficient resources to effectively carry out the activities 
        described in subsection (c)(1)(E) in accordance with section 
        1119A for such fiscal year, except that a school may enter into 
        a consortium with another school to carry out such activities.
    ``(c) Components of a Schoolwide Program.--
            ``(1) In general.--A schoolwide program shall include the 
        following components:
                    ``(A) A comprehensive needs assessment of the 
                entire school (including taking into account the needs 
                of migratory children as defined in section 1309(2)) 
                that is based on information which includes the 
                performance of children in relation to the State 
                content standards and the State student performance 
                standards described in section 1111(b)(1).
                    ``(B) Schoolwide reform strategies that--
                            ``(i) provide opportunities for all 
                        children to meet the State's proficient and 
                        advanced levels of student performance 
                        described in section 1111(b)(1)(D);
                            ``(ii) use effective methods and 
                        instructional strategies that are based upon 
                        scientifically based research that--
                                    ``(I) strengthen the core academic 
                                program in the school;
                                    ``(II) increase the amount and 
                                quality of learning time, such as 
                                providing an extended school year and 
                                before- and after-school and summer 
                                programs and opportunities, and help 
                                provide an enriched and accelerated 
                                curriculum; and
                                    ``(III) include strategies for 
                                meeting the educational needs of 
                                historically underserved populations, 
                                including girls and women;
                            ``(iii)(I) address the needs of all 
                        children in the school, but particularly the 
                        needs of low-achieving children and those at 
                        risk of not meeting the State student 
                        performance standards who are members of the 
                        target population of any program that is 
                        included in the schoolwide program, which may 
                        include incorporation of gender-equitable 
                        methods and practices;
                            ``(II) address how the school will 
                        determine if such needs have been met; and
                            ``(iv) are consistent with, and are 
                        designed to implement, the State and local 
                        improvement plans, if any.
                    ``(D) Instruction by fully qualified (as defined in 
                section 10001) teachers.
                    ``(E) In accordance with section 1119A, high 
                quality and ongoing professional development for 
                teachers and paraprofessionals, and, where appropriate, 
                pupil services personnel, parents, principals, and 
                other staff to enable all children in the school to 
                meet the State's student performance standards.
                    ``(F) Strategies to increase parental involvement 
                in accordance with section 1118, such as family 
                literary services.
                    ``(G) Plans for assisting preschool children in the 
                transition from early childhood programs, such as Head 
                Start, Even Start, or a State-run preschool program, to 
                local elementary school programs.
                    ``(H) Measures to assist teachers in the use of 
                State content and performance standards and the data 
                yielded by assessments described in section 1111(b)(4) 
                and other assessments in order to provide information 
                on, and to improve, the performance of individual 
                students and the overall instructional program.
                    ``(I) Activities to ensure that students who 
                experience difficulty mastering the proficient or 
                advanced levels of performance standards required by 
                section 1111(b) shall be provided with effective, 
                timely additional assistance which shall include 
                measures to ensure that students' difficulties are 
                identified on a timely basis and to provide sufficient 
                information on which to base effective assistance.
            ``(2) Plan.--Any eligible school that desires to operate a 
        schoolwide program shall first develop (or amend a plan for 
        such a program that was in existence on the day before the date 
        of the enactment of the Excellence and Accountability in 
        Education Act), a comprehensive plan for reforming the total 
        instructional program in the school that--
                    ``(A) incorporates the components described in 
                paragraph (1);
                    ``(B) describes how the school will use resources 
                under this part and from other sources to implement 
                those components;
                    ``(C) includes a list of State and local 
                educational agency programs and other Federal programs 
                under subsection (b)(4) that will be consolidated in 
                the schoolwide program;
                    ``(D) describes how the school will provide 
                individual student assessment results, including an 
                interpretation of those results, to the parents of a 
                child who participates in the assessments required by 
                section 1111(b)(4) and in a format and, to the extent 
                practicable, in a language that they can understand; 
                and
                    ``(E) provides for the collection of data on the 
                achievement and assessment results of students 
                disaggregated by gender, major ethnic or racial groups, 
                limited English proficiency status, migrant students, 
                by children with disabilities as compared to other 
                students, and by economically disadvantaged students as 
                compared to students who are not economically 
                disadvantaged, except that such disaggregation shall 
                not be required in a case in which the number of 
                students in a category is insufficient to yield 
                statistically reliable information or the results would 
                reveal individually identifiable information about an 
                individual student.
            ``(3) Plan development.--The comprehensive plan shall be--
                    ``(A) developed during a 1-year period, unless--
                            ``(i) the local educational agency 
                        determines that less time is needed to develop 
                        and implement the schoolwide program; or
                            ``(ii) the school operated a schoolwide 
                        program on the day preceding the date of the 
                        enactment of the Excellence and Accountability 
                        in Education Act, in which case such school may 
                        continue to operate such program, but shall 
                        develop amendments to its existing plan during 
                        the first year of assistance under such Act to 
                        reflect the provisions of this section;
                    ``(B) developed with the involvement of the 
                community to be served and individuals who will carry 
                out such plan, including teachers, principals, 
                administrators (including administrators of programs 
                described in other parts of this title), if appropriate 
                pupil services personnel, school staff and parents, 
                and, if the plan relates to a secondary school, 
                students from such school;
                    ``(C) in effect for the duration of the school's 
                participation under this part and reviewed and revised, 
                as necessary, by the school;
                    ``(D) available to the local educational agency, 
                parents, and the public, and the information contained 
                in such plan shall be provided in a format, and to the 
                extent practicable, in a language that they can 
                understand; and
                    ``(E) if appropriate, developed in coordination 
                with programs under the Reading Excellence Act, the 
                Carl D. Perkins Vocational and Technical Education Act 
                of 1998, the Head Start Act, and part B of this title.
    ``(d) Accountability.--A schoolwide program under this section 
shall be subject to the school improvement provisions of section 1116.
    ``(e) Prekindergarten Program.--A school that is eligible for a 
schoolwide program under this section may use funds made available 
under this title to establish or enhance prekindergarten programs for 
3-, 4-, and 5-year-old children, such as Even Start programs.''.

SEC. 109. TARGETED ASSISTANCE SCHOOLS.

    (a) Fully Qualified Teacher.--Subsection (c)(1)(F) of section 1115 
(20 U.S.C. 6315(c)(1)(F)) is amended by striking ``highly qualified 
staff;'' and inserting ``fully qualified teachers (as defined in 
section 11001);''.
    (b) Integration of Professional Development.--Subsection (d) of 
section 1115 (20 U.S.C. 6515(d)) is amended to read as follows:
    ``(d) Integration of Professional Development.--To promote the 
integration of staff supported with funds under this part, public 
school personnel who are paid with funds received under this part may 
participate in general professional development and school planning 
activities.''.

SEC. 110. SCHOOL CHOICE.

    Subsection (b) of section 1115A (20 U.S.C. 6316(b)) is amended by 
striking paragraphs (7) through (10) and inserting the following:
            ``(7) parents of eligible students in the local educational 
        agency will be given prompt notice of the existence of the 
        public school choice program and its availability to them, and 
        a clear explanation of how the program will operate;
            ``(8) the program will include charter schools and any 
        other public school and shall not include a school that is or 
        has been identified as a school in school improvement or is or 
        has been in corrective action for the past 2 consecutive years;
            ``(9) transportation services or the costs of 
        transportation may be provided by the local educational agency 
        with funds under this part; and
            ``(10) such local educational agency will comply with the 
        other requirements of this part.''.

SEC. 111. ASSESSMENT AND LOCAL EDUCATIONAL AGENCY AND SCHOOL 
              IMPROVEMENT.

    (a) Local Review.--Section 1116(a) (20 U.S.C. 6317(a)) is amended--
            (1) in paragraph (2), by striking ``1111(b)(2)(A)(i)'' and 
        inserting ``1111(b)(2)(B)'';
            (2) in paragraph (3), by striking ``individual school 
        performance profiles'' and inserting ``school reports'';
            (3) in paragraph (3), by striking ``and'' after the 
        semicolon;
            (4) in paragraph (4), by striking the period at the end and 
        inserting ``; and''; and
            (5) by adding at the end the following:
            ``(5) review the effectiveness of the actions and 
        activities the schools are carrying out under this part with 
        respect to parental involvement assisted under this Act.''.
    (b) School Improvement.--Section 1116 (20 U.S.C. 6317) is amended 
by striking subsection (b) and by redesignating subsections (c) and (d) 
as subsections (b) and (c), respectively, and amending them to read as 
follows:
    ``(b) School Improvement.--
            ``(1) In general.--A local educational agency shall 
        identify for school improvement any school served under this 
        part that--
                    ``(A) for 2 consecutive years failed to make 
                adequate yearly progress as defined in the State's plan 
                under section 1111(b)(2); or
                    ``(B) was in school improvement status under this 
                section on the day preceding the date of the enactment 
                of the Excellence and Accountability in Education Act.
            ``(2) Transition.--The 2-year period described in paragraph 
        (1)(A) shall include any continuous period of time immediately 
        preceding the date of the enactment of the Excellence and 
        Accountability in Education Act during which a school did not 
        make adequate yearly progress as defined in the State's plan, 
        as such plan was in effect on the day preceding the date of 
        such enactment.
            ``(3) Targeted assistance schools.--To determine if a 
        school that is conducting a targeted assistance program under 
        section 1115 should be identified as in need of improvement 
        under this subsection, a local educational agency may choose to 
        review the progress of only those students in such school who 
        are served under this part.
            ``(4) Opportunity to review and present evidence.--
                    ``(A) In general.--Before identifying a school for 
                school improvement under paragraph (1), the local 
                educational agency shall provide the school with an 
                opportunity to review the school-level data, including 
                assessment data, on which the proposed identification 
                is based.
            ``(B) Supporting evidence.--If the school principal 
        believes that the proposed identification is in error for 
        statistical or other substantive reasons, the principal may 
        provide supporting evidence to the local educational agency, 
        which such agency shall consider before making a final 
        determination.
            ``(5) Notification to parents.--A local educational agency 
        shall, in an easily understandable format, provide in writing 
        to parents of each student in a school identified for school 
        improvement--
                    ``(A) an explanation of what the school improvement 
                identification means and how the school compares in 
                terms of academic performance to other schools in the 
                local educational agency and State;
                    ``(B) the reasons for such identification;
                    ``(C) the data on which such identification is 
                based;
                    ``(D) an explanation of what the school is doing to 
                address the problem of low achievement;
                    ``(E) an explanation of how parents can become 
                involved in upgrading the quality of the school;
                    ``(F) an explanation of the right of parents, 
                pursuant to paragraph (6), to transfer their child to 
                another public school, including a public charter 
                school, that is not in school improvement, and how such 
                transfer shall operate; and
                    ``(G) notification to parents in a format and, to 
                the extent practicable, in a language they can 
                understand.
            ``(6) Public school choice option.--
                    ``(A) Schools identified for improvement.--After 
                the date of the enactment of the Excellence and 
                Accountability in Education Act, a local educational 
                agency shall provide all students enrolled in a school 
                identified for school improvement with an option to 
                transfer to any other public school within the local 
                educational agency or any public school consistent with 
                subparagraph (C), including a public charter school 
                that has not been identified for school improvement, 
                unless such option to transfer is prohibited by State 
                law, or local law, which includes school board-approved 
                local educational agency policy.
                    ``(B) Capacity.--If a local educational agency 
                described in subparagraph (A) demonstrates to the 
                satisfaction of the State educational agency that such 
                local educational agency lacks the capacity to provide 
                all students with the option to transfer described in 
                subparagraph (A), and after giving notice to the 
                parents of children affected that it is not possible, 
                consistent with State and local law, to accommodate the 
                transfer request of every student, the local 
                educational agency shall permit as many students as 
                possible (who shall be selected by the local 
                educational agency on an equitable basis) to transfer 
                to a public school that has not been identified for 
                school improvement under section 1116(b).
                    ``(C) Cooperative agreement.--If all public schools 
                in the local educational agency to which a child may 
                transfer to, are identified for school improvement, the 
                agency shall, to the extent practicable, establish a 
                cooperative agreement with other local educational 
                agencies in the area for the transfer.
                    ``(D) Transportation.--The local educational agency 
                in which the schools have been identified for 
                improvement may use up to 10 percent of the funds 
                received under this part to provide transportation to 
                students whose parents choose to transfer their child 
                or children to a different school.
                    ``(E) Waiver.--A local educational agency using 
                funds received under this part for transportation 
                consistent with subparagraph (D) may request to waiver 
                of the limit of the use of such funds described in 
                subparagraph (D) from the Secretary.
                    ``(F) Continue option.--Once a school is no longer 
                identified for school improvement, the local 
                educational agency may continue to provide public 
                school choice as an option to students in such school 
                for a period of not less than 2 years.
            ``(7) School plan.--
                    ``(A) In general.--Each school identified under 
                paragraph (1) for school improvement shall, not later 
                than 3 months after being so identified, develop or 
                revise a school plan, in consultation with parents, 
                school staff, the local educational agency, and other 
                outside experts for approval by the local educational 
                agency. Such plan shall--
                    ``(i) incorporate scientifically based research 
                strategies that strengthen the core academic program in 
                the school;
                    ``(ii) adopt policies that have the greatest 
                likelihood of improving the performance of 
                participating children in meeting the State's student 
                performance standards;
                    ``(iii) address the professional development needs 
                of staff, particularly teachers and principals;
                    ``(iv) establish specific goals and objectives the 
                school will undertake for making adequate yearly 
                progress which include specific numerical performance 
                goals and targets for each of the groups of students 
                identified in the disaggregated data pursuant to 
                section 1111(b)(2), consistent with section 
                1111(b)(2)(B);
                    ``(v) identify how the school will provide written 
                notification to parents, in a format and to the extent 
                practicable in a language such parents can understand; 
                and
                    ``(vi) specify the responsibilities of the local 
                educational agency and the school under the plan.
            ``(B) Conditional approval.--A local educational agency may 
        condition approval of a school plan on inclusion of one or more 
        of the corrective actions specified in paragraph (9).
            ``(C) Implementation.--A school shall implement its plan or 
        revised plan expeditiously, but not later than the beginning of 
        the school year after which the school has been identified for 
        improvement.
            ``(D) Review.--The local educational agency shall promptly 
        review the plan, work with the school as necessary, and approve 
        the plan if it meets the requirements of this section.
            ``(8) Technical assistance.--
                    ``(A) In general.--For each school identified for 
                school improvement under paragraph (1), the local 
                educational agency shall provide technical assistance 
                as the school develops and implements its plan.
            ``(B) Specific technical assistance.--Such technical 
        assistance--
                    ``(i) shall include effective methods and 
                instructional strategies that are based upon 
                scientifically based research that strengthens the core 
                academic program in the school and addresses the 
                specific elements of student performance problems in 
                the school;
                    ``(ii) may be provided directly by the local 
                educational agency, through mechanisms authorized under 
                section 1117, or with the local educational agency's 
                approval, by an institution of higher education, a 
                private nonprofit organization, an educational service 
                agency, a comprehensive regional assistance center 
                under part A of title XIII (as such center was in 
                existence prior to the date of the enactment of 
                Excellence and Accountability in Education Act), or 
                other entities with experience in helping schools 
                improve achievement.
            ``(C) Technical assistance.--Technical assistance provided 
        under this section by the local educational agency or an entity 
        authorized by such agency shall be based upon scientifically 
        based research.
            ``(9) Corrective action.--In order to help students served 
        under this part meet challenging State standards, each local 
        educational agency shall implement a system of corrective 
        action in accordance with the following:
                    ``(A) In general.--After providing technical 
                assistance under paragraph (8) and subject to 
                subparagraph (F), the local educational agency--
                            ``(i) may take corrective action at any 
                        time with respect to a school that has been 
                        identified under paragraph (1);
                            ``(ii) shall take corrective action with 
                        respect to any school that fails to make 
                        adequate yearly progress, as defined by the 
                        State, after the end of the second year 
                        following its identification under paragraph 
                        (1); and
                            ``(iii) shall continue to provide technical 
                        assistance while instituting any corrective 
                        action under clause (i) or (ii).
                    ``(B) Definition.--As used in this paragraph, the 
                term `corrective action' means action, consistent with 
                State and local law, that--
                            ``(i) substantially and directly responds 
                        to the consistent academic failure that caused 
                        the local educational agency to take such 
                        action and to any underlying staffing, 
                        curricular, or other problems in the school; 
                        and
                            ``(ii) is designed to substantially 
                        increase the likelihood that students will 
                        perform at the proficient and advanced 
                        performance levels.
                    ``(C) Certain schools.--In the case of a school 
                described in subparagraph (A)(ii), the local 
                educational agency shall take not less than 1 of the 
                following corrective actions:
                            ``(i) Withhold funds from the school.
                            ``(ii) Decrease decisionmaking authority at 
                        the school level.
                            ``(iii) Make alternative governance 
                        arrangements, including reopening the school as 
                        a public charter school.
                            ``(iv) Reconstitute the school by requiring 
                        each person employed at the school to reapply 
                        for future employment at the same school or for 
                        any position in the local educational agency.
                            ``(v) Authorize students to transfer to 
                        other higher performing public schools served 
                        by the local educational agency, including 
                        public charter schools, and provide such 
                        students transportation (or the costs of 
                        transportation) to such schools in conjunction 
                        with not less than 1 additional action 
                        described under this subparagraph.
                            ``(vi) Institute and fully implement a new 
                        curriculum, including appropriate professional 
                        development for all relevant staff, that is 
                        based upon scientifically based research and 
                        offers substantial promise of improving 
                        educational achievement for low-performing 
                        students.
                    ``(D) Implementation delay.--A local educational 
                agency may delay, for a period not to exceed 1 year, 
                implementation of corrective action only if the failure 
                to make adequate yearly progress was justified due to 
                exceptional or uncontrollable circumstances such as a 
                natural disaster or a precipitous and unforeseen 
                decline in the financial resources of the local 
                educational agency or school.
                    ``(E) Publication.--The local educational agency 
                shall publish, and disseminate to the public and to 
                parents in a format and, to the extent practicable, in 
                a language that they can understand, any corrective 
                action it takes under this paragraph through such means 
                as the Internet, the media, and public agencies.
                    ``(F) Review.--(i) Before taking corrective action 
                with respect to any school under this paragraph, a 
                local educational agency shall provide the school an 
                opportunity to review the school level data, including 
                assessment data, on which the proposed determination is 
                made.
                    ``(ii) If the school believes that the proposed 
                determination is in error for statistical or other 
                substantive reasons, it may provide supporting evidence 
                to the local educational agency, which shall consider 
                such evidence before making a final determination.
            ``(10) State educational agency responsibilities.--If a 
        State educational agency determines that a local educational 
        agency failed to carry out its responsibilities under this 
        section, it shall take such action as it finds necessary, 
        consistent with this section, to improve the affected schools 
        and to ensure that the local educational agency carries out its 
        responsibilities under this section.
    ``(c) State Review and Local Educational Agency Improvement.--
            ``(1) In general.--A State educational agency shall--
                    ``(A) annually review the progress of each local 
                educational agency receiving funds under this part to 
                determine whether schools receiving assistance under 
                this part are making adequate yearly progress as 
                defined in section 1111(b)(2) toward meeting the 
                State's student performance standards; and
                    ``(B) publicize and disseminate to local 
                educational agencies, teachers and other staff, 
                parents, students, and the community the results of the 
                State review consistent with section 1111, including 
                statistically sound disaggregated results, as required 
                by section 1111(b)(2).
            ``(2) Identification of local educational agency for 
        improvement.--A State educational agency shall identify for 
        improvement any local educational agency that--
                    ``(A) for 2 consecutive years failed to make 
                adequate yearly progress as defined in the State's plan 
                under section 1111(b)(2); or
                    ``(B) was in improvement status under this section 
                as this section was in effect on the day preceding the 
                date of the enactment of the Excellence and 
                Accountability in Education Act.
            ``(3) Transition.--The 2-year period described in paragraph 
        (2)(A) shall include any continuous period of time immediately 
        preceding the date of the enactment of the Excellence and 
        Accountability in Education Act, during which a local 
        educational agency did not make adequate yearly progress as 
        defined in the State's plan, as such plan was in effect on the 
        day preceding the date of such enactment.
            ``(4) Targeted assistance schools.--For purposes of 
        targeted assistance schools in a local educational agency, a 
        State educational agency may choose to review the progress of 
        only the students in such schools who are served under this 
        part.
            ``(5) Opportunity to review and present evidence.--
                    ``(A) Review.--Before identifying a local 
                educational agency for improvement under paragraph (2), 
                a State educational agency shall provide the local 
                educational agency with an opportunity to review the 
                local educational agency data, including assessment 
                data, on which that proposed identification is based.
            ``(B) Supporting evidence.--If the local educational agency 
        believes that the proposed identification is in error for 
        statistical or other substantive reasons, it may provide 
        supporting evidence to the State educational agency, which such 
        agency shall consider before making a final determination.
            ``(6) Notification to parents.--The State educational 
        agency shall promptly notify parents in a format, and to the 
        extent practicable in a language they can understand, of each 
        student enrolled in a school in a local educational agency 
        identified for improvement, of the reasons for such agency's 
        identification and how parents can participate in upgrading the 
        quality of the local educational agency.
            ``(7) Local educational agency revisions.--
                    ``(A) Plan.--Each local educational agency 
                identified under paragraph (2) shall, not later than 3 
                months after being so identified, develop or revise a 
                local educational agency plan, in consultation with 
                parents, school staff, and others. Such plan shall--
                    ``(i) incorporate scientifically based research 
                strategies that strengthen the core academic program in 
                the local educational agency;
                    ``(ii) identify specific goals and objectives the 
                local educational agency will undertake to make 
                adequate yearly progress and which--
                            ``(I) have the greatest likelihood of 
                        improving the performance of participating 
                        children in meeting the State's student 
                        performance standards;
                            ``(II) address the professional development 
                        needs of staff; and
                            ``(III) include specific numerical 
                        performance goals and targets for each of the 
                        groups of students identified in the 
                        disaggregated data pursuant to section 
                        1111(b)(2) consistent with section 
                        1111(b)(2)(B);
                    ``(iii) identify how the local educational agency 
                will provide written notification to parents in a 
                format, and to the extent practicable in a language, 
                that they can understand, pursuant to paragraph (6); 
                and
                    ``(iv) specify the responsibilities of the State 
                educational agency and the local educational agency 
                under the plan.
            ``(B) Implementation.--The local educational agency shall 
        implement its plan or revised plan expeditiously, but not later 
        than the beginning of the school year after which the school 
        has been identified for improvement.
            ``(8) State educational agency responsibility.--
                    ``(A) In general.--For each local educational 
                agency identified under paragraph (2), the State 
                educational agency shall provide technical or other 
                assistance, if requested, as authorized under section 
                1117, to better enable the local educational agency--
                            ``(i) to develop and implement its revised 
                        plan as approved by the State educational 
                        agency consistent with the requirements of this 
                        section; and
                            ``(ii) to work with schools needing 
                        improvement.
                    ``(B) Technical assistance.--Technical assistance 
                provided under this section by the State educational 
                agency or an entity authorized by such agency shall be 
                based upon scientifically based research.
            ``(9) Corrective action.--In order to help students served 
        under this part meet challenging State standards, each State 
        educational agency shall implement a system of corrective 
        action in accordance with the following:
                    ``(A) In general.--After providing technical 
                assistance under paragraph (8) and subject to 
                subparagraph (D), the State educational agency--
                            ``(i) may take corrective action at any 
                        time with respect to a local educational agency 
                        that has been identified under paragraph (2);
                            ``(ii) shall take corrective action with 
                        respect to any local educational agency that 
                        fails to make adequate yearly progress, as 
                        defined by the State, after the end of the 
                        second year following its identification under 
                        paragraph (2); and
                            ``(iii) shall continue to provide technical 
                        assistance while instituting any corrective 
                        action under clause (i) or (ii).
                    ``(B) Definition.--As used in this paragraph, the 
                term `corrective action' means action, consistent with 
                State law, that--
                            ``(i) substantially and directly responds 
                        to the consistent academic failure that caused 
                        the State educational agency to take such 
                        action and to any underlying staffing, 
                        curricular, or other problems in the school; 
                        and
                            ``(ii) is designed to meet the goal of 
                        having all students served under this part 
                        perform at the proficient and advanced 
                        performance levels.
                    ``(C) Certain local educational agencies.--In the 
                case of a local educational agency described in this 
                paragraph, the State educational agency shall take not 
                less than 1 of the following corrective actions:
                            ``(i) Withhold funds from the local 
                        educational agency.
                            ``(ii) Reconstitute school district 
                        personnel.
                            ``(iii) Remove particular schools from the 
                        jurisdiction of the local educational agency 
                        and establish alternative arrangements for 
                        public governance and supervision of such 
                        schools.
                            ``(iv) Appoint, through the State 
                        educational agency, a receiver or trustee to 
                        administer the affairs of the local educational 
                        agency in place of the superintendent and 
                        school board.
                            ``(v) Abolish or restructure the local 
                        educational agency.
                            ``(vi) Authorize students to transfer from 
                        a school operated by a local educational agency 
                        to a higher performing public school operated 
                        by another local educational agency, or to a 
                        public charter school and provide such students 
                        transportation (or the costs of transportation 
                        to such schools, in conjunction with not less 
                        than 1 additional action described under this 
                        paragraph.
                    ``(D) Hearing.--Prior to implementing any 
                corrective action, the State educational agency shall 
                provide due process and a hearing to the affected local 
                educational agency, if State law provides for such 
                process and hearing.
                    ``(E) Publication.--The State educational agency 
                shall publish, and disseminate to parents and the 
                public any corrective action it takes under this 
                paragraph through such means as the Internet, the 
                media, and public agencies.
                    ``(F) Delay.--A local educational agency may delay, 
                for a period not to exceed 1 year, implementation of 
                corrective action if the failure to make adequate 
                yearly progress was justified due to exceptional or 
                uncontrollable circumstances such as a natural disaster 
                or a precipitous and unforeseen decline in the 
                financial resources of the local educational agency or 
                school.''.

SEC. 112. STATE ASSISTANCE FOR SCHOOL SUPPORT AND IMPROVEMENT.

    Section 1117 (20 U.S.C. 6318) is amended to read as follows:

``SEC. 1117. STATE ASSISTANCE FOR SCHOOL SUPPORT AND IMPROVEMENT.

    ``(a) System for Support.--Each State educational agency shall 
establish a statewide system of intensive and sustained support and 
improvement for local educational agencies and schools receiving funds 
under this part, in order to increase the opportunity for all students 
in those agencies and schools to meet the State's content standards and 
student performance standards.
    ``(b) Priorities.--In carrying out this section, a State 
educational agency shall--
            ``(1) first, provide support and assistance to local 
        educational agencies subject to corrective action under section 
        1116 and assist schools, in accordance with section 
        1116(b)(10), for which a local educational agency has failed to 
        carry out its responsibilities under paragraph (8) or (9) of 
        section 1116(b);
            ``(2) second, provide support and assistance to other local 
        educational agencies identified as in need of improvement under 
        section 1116; and
            ``(3) third, provide support and assistance to other local 
        educational agencies and schools participating under this part 
        that need that support and assistance in order to achieve the 
        purpose of this part.
    ``(c) Approaches.--In order to achieve the purpose described in 
subsection (a), each such system shall provide technical assistance and 
support through such approaches as--
            ``(1) school support teams, composed of individuals who are 
        knowledgeable about scientifically based research and practice 
        on teaching and learning, particularly about strategies for 
        improving educational results for low-achieving children; and
            ``(2) the designation and use of ``Distinguished 
        Educators'', chosen from schools served under this part that 
        have been especially successful in improving academic 
        achievement.
    ``(d) Funds.--Each State educational agency shall use funds 
reserved under section 1002(f) and authorized under section 1002(i) for 
such purpose.
    ``(e) Alternatives.--The State may devise additional approaches to 
providing the assistance described in paragraphs (1) and (2) of 
subsection (c), such as providing assistance through institutions of 
higher education and educational service agencies or other local 
consortia, and the State may seek approval from the Secretary to use 
funds made available under section 1002(h) for such approaches as part 
of the State plan.''.

SEC. 113. ACADEMIC ACHIEVEMENT AWARDS PROGRAM; IMPROVING STATE 
              ASSESSMENTS.

    Subpart 1 of part A of title I is amended by inserting after 
section 1117 the following:

``SEC. 1117A. ACADEMIC ACHIEVEMENT AWARDS PROGRAM.

    ``(a) Establishment of Academic Achievement Awards Program.--
            ``(1) In general.--Each State receiving a grant under this 
        part shall establish a program for making academic achievement 
        awards to recognize and financially reward schools served under 
        this part that have--
                    ``(A) significantly closed the achievement gap 
                between the groups of students defined in section 
                1111(b)(2); or
                    ``(B) exceeded their adequate yearly progress 
                goals, consistent with section 1111(b)(2), for 2 or 
                more consecutive years.
            ``(2) Awards to teachers.--A State program under paragraph 
        (1) shall also recognize and provide financial awards to 
        teachers teaching in a school described in such paragraph whose 
        students consistently make significant gains in academic 
        achievement in the areas in which the teacher provides 
        instruction over multiple academic years.
    ``(b) Funding.--
            ``(1) Reservation of funds by state.--For the purpose of 
        carrying out this section, each State receiving a grant under 
        this part shall reserve, from the amount (if any) by which the 
        funds received by the State under this part for a fiscal year 
        exceed the amount received by the State under this part for the 
        preceding fiscal year, not more than 25 percent of such excess 
        amount.
            ``(2) Use within 3 years.--Notwithstanding any other 
        provision of law, the amount reserved under paragraph (1) by a 
        State for each fiscal year shall remain available to the State 
        until expended for a period not exceeding 3 years.
            ``(3) Special allocation rule for schools in high-poverty 
        areas.--
                    ``(A) In general.--Each State receiving a grant 
                under this part shall distribute at least 85 percent of 
                the amount reserved under paragraph (1) for each fiscal 
                year to schools described in subparagraph (B), or to 
                teachers teaching in such schools.
                    ``(B) Schools described.--A school described in 
                subparagraph (A) is a school whose student population 
                is in the highest quartile of schools statewide in 
                terms of the percentage of children eligible for free 
                and reduced priced lunches under the Richard B. Russell 
                National School Lunch Act.

``SEC. 1117B. GRANTS FOR THE IMPROVEMENT OF STATE ASSESSMENT SYSTEMS.

    ``(a) Purpose.--The purpose of this section is to enable States to 
improve the quality and fairness of State assessments systems and to 
ensure that they accurately measure how well all children are achieving 
challenging State student performance standards.
    ``(b) Program Authorized.--The Secretary is authorized to award 
grants, in an amount not less than $500,000, to State educational 
agencies with final assessments systems that have been reviewed by the 
Secretary and approved as having deemed to be in full compliance with 
section 1111(b)(4).
    ``(c) Authorization of Appropriations.--There are authorized to be 
appropriated, $100,000,000 for fiscal year 2002 and such sums as may be 
necessary for each of the 4 succeeding fiscal years, to carry out this 
section.
    ``(d) Application.--In order to receive a grant under this section 
for any fiscal year, a State educational agency shall submit, at such 
time and containing such information as the Secretary may require, an 
application to the Secretary for approval.
    ``(e) Authorized Uses of Funds.--States having an approved 
application under subsection (d) may use grant funds for the purpose 
of--
            ``(1) assuring the continued validity and reliability of 
        State assessments;
            ``(2) refining the assessments to ensure their continued 
        alignment with the State's content standards;
            ``(3) providing for multiple measures to increase the 
        reliability and validity of student and school classifications 
        that have high stakes consequences;
            ``(4) strengthening the capacity of local educational 
        agencies and schools to provide all students the opportunity to 
        increase educational achievement and to ensure fairness and 
        equitable treatment in testing;
            ``(5) expanding the range of accommodations available to 
        limited English proficient students and students with 
        disabilities to improve rates of inclusion and to include 
        instructional material development and modified assessment 
        practices that are culturally and ability appropriate, 
        respectively;
            ``(6) improving the alignment of curricula and instruction 
        materials with the State content standards and State 
        performance standards;
            ``(7) enhancing opportunities for professional development 
        for teachers that include--
                    ``(A) improving the capability of teachers to be 
                proficient in sound classroom assessment and 
                knowledgeable in State content and performance 
                standards and assessments; and
                    ``(B) improving the capability of teachers to 
                provide high quality instruction within the content 
                areas;
            ``(8) providing for the collection of performance data for 
        children in grades K-2--
                    ``(A) for early diagnosis of children's needs;
                    ``(B) to evaluate program effectiveness;
                    ``(C) to guide curriculum and instruction; or
                    ``(D) to provide information that can be used to 
                measure school and local educational agency progress;
            ``(9) expanding the range of valid and reliable assessments 
        to other academic subjects such as science, history, geography, 
        foreign languages, the arts, civic and government, and 
        economics; and
            ``(10) improving the dissemination of information on 
        student achievement and school performance to parents and the 
        community.''.

SEC. 114. PARENTAL INVOLVEMENT CHANGES.

    (a) Local Educational Agency Policy.--Subsection (a) of section 
1118 (20 U.S.C. 6319(a)) is amended--
            (1) in paragraph (1), by striking ``programs, activities, 
        and procedures'' and inserting ``activities and procedures''.
            (2) in paragraph (2) by striking subparagraphs (E) and (F) 
        and inserting the following:
                    ``(E) conduct, with the involvement of parents, an 
                annual evaluation of the content and effectiveness of 
                the parental involvement policy in improving the 
                academic quality of the schools served under this part;
                    ``(F) involve parents in efforts to improve 
                academics in schools served under this part; and
                    ``(G) promote consumer friendly environments at the 
                local educational agency and schools served under this 
                part.'';
            (3) in paragraph (3) by adding at the end the following new 
        subparagraph:
            ``(C) Not less than 90 percent of the funds reserved under 
        subparagraph (A) shall be distributed to schools served under 
        this part.''.
    (b) Notice.--Paragraph (1) of section 1118(b) (20 U.S.C. 
6319(b)(1)) is amended by inserting after the first sentence the 
following: ``Parents shall be notified of the policy in a format, and 
to the extent practicable, in a language that they can understand.''.
    (c) Parental Involvement.--Paragraph (4) of section 1118(c) (20 
U.S.C. 6319(c)(4)) is amended--
            (1) in subparagraph (B), by striking ``performance profiles 
        required under section 1116(a)(3)'' and inserting ``school 
        reports required under section 1111'';
            (2) by redesignating subparagraphs (D) and (E) as 
        subparagraphs (F) and (G), respectively;
            (3) by inserting after subparagraph (C) the following new 
        subparagraphs:
                    ``(D) notice of the schools' identification as a 
                school in school improvement under section 1116(b), if 
                applicable, and a clear explanation of what such 
                identification means;
                    ``(E) notice of the corrective action that has been 
                taken against the school under section 1116(b)(9) and 
                1116(c)(9), if applicable, and a clear explanation of 
                what such action means;''; and
            (4) in subparagraph (G) (as so redesignated), by striking 
        ``subparagraph (D)'' and inserting ``subparagraph (F)''.
    (d) Building Capacity for Involvement.--Subsection (e) of section 
1118 (20 U.S.C 6319(e)) is amended to read as follows:
    ``(e) Building Capacity for Involvement.--To ensure effective 
involvement of parents and to support a partnership among the school, 
parents, and the community to improve student achievement, each school 
and local educational agency--
            ``(1) shall provide assistance to participating parents in 
        such areas as understanding the State's content standards and 
        State student performance standards, the provisions of section 
        1111(b)(8), State and local assessments, the requirements of 
        this part, and how to monitor a child's progress and work with 
        educators to improve the performance of their children as well 
        as information on how parents can participate in decisions 
        relating to the education of their children;
            ``(2) shall provide materials and training, such as--
                    ``(A) coordinating necessary literacy training from 
                other sources to help parents work with their children 
                to improve their children's achievement; and
                    ``(B) training to help parents to work with their 
                children to improve their children's achievement;
            ``(3) shall educate teachers, pupil services personnel, 
        principals and other staff, with the assistance of parents, in 
        the value and utility of contributions of parents, and in how 
        to reach out to, communicate with, and work with parents as 
        equal partners, implement and coordinate parent programs, and 
        build ties between home and school;
            ``(4) shall coordinate and integrate parent involvement 
        programs and activities with Head Start, Even Start, the Home 
        Instruction Programs for Preschool Youngsters, the Parents as 
        Teachers Program, and public preschool programs and other 
        programs, to the extent feasible and appropriate;
            ``(5) shall conduct other activities, as appropriate and 
        feasible, such as parent resource centers and opportunities for 
        parents to learn how to become full partners in the education 
        of their children;
            ``(6) shall ensure, to the extent possible, that 
        information related to school and parent programs, meetings, 
        and other activities is sent to the homes of participating 
        children in the language used in such homes;
            ``(7) shall provide such other reasonable support for 
        parental involvement activities under this section as parents 
        may request;
            ``(8) shall expand the use of electronic communications 
        among teachers, students, and parents, such as through the use 
        of websites and e-mail communications;
            ``(9) may involve parents in the development of training 
        for teachers, principals, and other educators to improve the 
        effectiveness of such training in improving instruction and 
        services to the children of such parents in a format, and to 
        the extent practicable, in a language the parent can 
        understand;
            ``(10) may provide necessary literacy training from funds 
        received under this part if the local educational agency has 
        exhausted all other reasonably available sources of funding for 
        such activities;
            ``(11) may pay reasonable and necessary expenses associated 
        with local parental involvement activities, including 
        transportation and child care costs, to enable parents to 
        participate in school-related meetings and training sessions;
            ``(12) may train and support parents to enhance the 
        involvement of other parents;
            ``(13) may arrange meetings at a variety of times, such as 
        in the mornings and evenings, in order to maximize the 
        opportunities for parents to participate in school related 
        activities;
            ``(14) may arrange for teachers or other educators, who 
        work directly with participating children, to conduct in-home 
        conferences with parents who are unable to attend such 
        conferences at school;
            ``(15) may adopt and implement model approaches to 
        improving parental involvement, such as Even Start;
            ``(16) may establish a district-wide parent advisory 
        council to advise on all matters related to parental 
        involvement in programs supported under this part; and
            ``(17) may develop appropriate roles for community-based 
        organizations and businesses in parent involvement activities, 
        including providing information about opportunities for 
        organizations and businesses to work with parents and schools, 
        and encouraging the formation of partnerships between 
        elementary, middle, and secondary schools and local businesses 
        that include a role for parents.''.
    (e) Accessibility.--Subsection (f) of section 1118 (20 U.S.C. 
6319(f)) is amended to read as follows:
    ``(f) Accessibility.--In carrying out the parental involvement 
requirements of this part, local educational agencies and schools, to 
the extent practicable, shall provide full opportunities for the 
participation of parents with limited English proficiency or with 
disabilities and parents of migratory children, including providing 
information and school reports required under section 1111 in a format, 
and to the extent practicable, in a language such parents 
understand.''.

SEC. 115. QUALIFICATIONS FOR TEACHERS AND PARAPROFESSIONALS.

    Section 1119 (20 U.S.C. 6301) is amended to read as follows:

``SEC. 1119. QUALIFICATIONS FOR TEACHERS AND PARAPROFESSIONALS.

    ``(a) Teachers.--
            ``(1) In general.--Each local educational agency receiving 
        assistance under this part shall ensure that all teachers hired 
        on or after the effective date of the Excellence and 
        Accountability in Education Act and teaching in a program 
        supported with funds under this part are fully qualified.
            ``(2) Plan.--Each State receiving assistance under this 
        part shall develop and submit to the Secretary, not later than 
        1 year after the date of the enactment of the Excellence and 
        Accountability in Education Act, a plan to ensure that all 
        teachers teaching within the State are fully qualified not 
        later than December 31, 2005. Such plan shall include an 
        assurance that the State will require each local educational 
        agency and school receiving funds under this part publicly to 
        report their annual progress on the agency's and the school's 
        performance in increasing the percentage of classes in core 
        academic areas taught by fully qualified teachers.
    ``(b) New Paraprofessionals.--
            ``(1) In general.--Each local educational agency receiving 
        assistance under this part shall ensure that all 
        paraprofessionals hired 1 year or more after the effective date 
        of the Excellence and Accountability in Education Act and 
        working in a program supported with funds under this part 
        shall--
                    ``(A) have completed at least 2 years of study at 
                an institution of higher education;
                    ``(B) have obtained an associate's (or higher) 
                degree; or
                    ``(C) have met a rigorous standard of quality that 
                demonstrates, through a formal State or local 
                assessment--
                            ``(i) knowledge of, and the ability to 
                        assist in instructing reading, writing, and 
                        math; or
                            ``(ii) knowledge of, and the ability to 
                        assist in instructing reading readiness, 
                        writing readiness, and math readiness, as 
                        appropriate.
            ``(2) Clarification.--For purposes of paragraph (1)(C), the 
        receipt of a high school diploma (or its recognized equivalent) 
        shall be necessary but not by itself sufficient to satisfy the 
        requirements of such paragraph.
            ``(3) Certification.--The requirement of paragraph (1)(C) 
        may be included as part of a State of local educational agency 
        certification program for paraprofessionals.
    ``(c) Existing Paraprofessionals.--Each local educational agency 
receiving assistance under this part shall ensure that all 
paraprofessionals hired before the date that is 1 year after the 
effective date of the Excellence and Accountability in Education Act 
and working in a program supported with funds under this part shall, 
not later than 3 years after such effective date, satisfy the 
requirements of subsection (b).
    ``(d) Exceptions for Translation and Parental Involvement 
Activities.--Subsections (b) and (c) shall not apply to a 
paraprofessional--
                    ``(A) who is proficient in English and a language 
                other than English and who provides services primarily 
                to enhance the participation of children in programs 
                under this part by acting as a translator; or
                    ``(B) whose duties consist solely of conducting 
                parental involvement activities consistent with section 
                1118.
    ``(e) General Requirement for All Paraprofessionals.--Each local 
educational agency receiving assistance under this part shall ensure 
that all paraprofessionals working in a program supported with funds 
under this part, regardless of the paraprofessional's hiring date, 
possess a high school diploma or its recognized equivalent.
    ``(f) Duties of Paraprofessionals.--
            ``(1) In general.--Each local educational agency receiving 
        assistance under this part shall ensure that a paraprofessional 
        working in a program supported with funds under this part is 
        not assigned a duty inconsistent with this subsection.
            ``(2) Responsibilities paraprofessionals may be assigned.--
        A paraprofessional described in paragraph (1) may only be 
        assigned--
                    ``(A) to provide one-on-one tutoring for eligible 
                students, if the tutoring is scheduled at a time when a 
                student would not otherwise receive instruction from a 
                teacher;
                    ``(B) to assist with classroom management, such as 
                organizing instructional and other materials;
                    ``(C) to provide assistance in a computer 
                laboratory;
                    ``(D) to conduct parental involvement activities;
                    ``(E) to provide support in a library or media 
                center;
                    ``(F) to act as a translator; or
                    ``(G) to provide supplementary instructional 
                services to students;
            ``(3) Additional limitations.--A paraprofessional described 
        in paragraph (1)--
                    ``(A) may not provide any instructional service to 
                a student unless the paraprofessional is working under 
                the direct supervision of a fully qualified teacher; 
                and
                    ``(B) may not provide instructional services to 
                students in the area of reading, writing, or math 
                unless the paraprofessional has demonstrated, through a 
                State or local assessment, the ability effectively to 
                carry out reading, writing, or math instruction.
    ``(g) Use of Funds.--
            ``(1) Professional development.--A local educational agency 
        receiving funds under this part may use such funds to support 
        ongoing training and professional development to assist 
        teachers and paraprofessionals in satisfying the requirements 
        of this section.
            ``(2) Limitation on use of funds for paraprofessionals.--
                    ``(A) In general.--Beginning on and after the 
                effective date of the Excellence and Accountability in 
                Education Act, a local educational agency may not use 
                funds received under this part to fund any 
                paraprofessional hired after such date unless the 
                hiring is to fill a vacancy created by the departure of 
                another paraprofessional funded under this part and 
                such new paraprofessional satisfies the requirements of 
                subsection (b) or (c).
                    ``(B) Exception.--Subparagraph (A) shall not apply 
                for a fiscal year to a local educational agency that 
                can demonstrate to the State that all teachers under 
                the jurisdiction of the agency are fully qualified.
    ``(h) Verification of Compliance.--
            ``(1) In general.--In verifying compliance with this 
        section, each local educational agency at a minimum shall 
        require that the principal of each school operating a program 
        under section 1114 or 1115 annually attest in writing as to 
        whether such school is in compliance with the requirements of 
        this section.
            ``(2) Availability of information.--Copies of attestations 
        under paragraph (1)--
                    ``(A) shall be sent to the Secretary and maintained 
                at each school operating a program under section 1114 
                or 1115 and at the main office of the local educational 
                agency; and
                    ``(B) shall be available to any member of the 
                general public upon request.''.

SEC. 116. PROFESSIONAL DEVELOPMENT.

    Subpart 1 of part A of title I (20 U.S.C. 6311 et seq.) is amended 
by inserting after section 1119 the following:

``SEC. 1119A. PROFESSIONAL DEVELOPMENT.

    ``(a) Purpose.--The purpose of this section is to assist each local 
educational agency receiving assistance under this part in increasing 
the academic achievement of eligible children (as defined in section 
1115(b)(1)(B)) through improved teacher quality.
    ``(b) Professional Development Activities.--
            ``(1) Required activities.--Professional development 
        activities under this section shall--
                    ``(A) support professional development activities 
                that give teachers, principals, and administrators the 
                knowledge and skills to provide students with the 
                opportunity to meet challenging State or local content 
                standards and student performance standards;
                    ``(B) support the recruiting, hiring, and training 
                of fully qualified teachers, including teachers fully 
                qualified through State and local alternative routes;
                    ``(C) advance teacher understanding of effective 
                instructional strategies based on scientifically based 
                research for improving student achievement, at a 
                minimum, in reading or language arts and mathematics;
                    ``(D) be directly related to the curriculum and 
                content areas in which the teacher provides 
                instruction;
                    ``(E) be designed to enhance the ability of a 
                teacher to understand and use the State's standards for 
                the subject area in which the teacher provides 
                instruction;
                    ``(F) be tied to scientifically based research 
                demonstrating the effectiveness of such professional 
                development activities or programs in increasing 
                student achievement or substantially increasing the 
                knowledge and teaching skills of teachers;
                    ``(G) be of sufficient intensity and duration (not 
                to include 1-day or short-term workshops and 
                conferences) to have a positive and lasting impact on 
                the teacher's performance in the classroom, except that 
                this paragraph shall not apply to an activity if such 
                activity is 1 component of a long-term comprehensive 
                professional development plan established by the 
                teacher and the teacher's supervisor based upon an 
                assessment of their needs, their students' needs, and 
                the needs of the local educational agency;
                    ``(H) be developed with extensive participation of 
                teachers, principals, parents, and administrators of 
                schools to be served under this part;
                    ``(I) to the extent appropriate, provide training 
                for teachers in the use of technology so that 
                technology and its applications are effectively used in 
                the classroom to improve teaching and learning in the 
                curriculum and academic content areas in which the 
                teachers provide instruction;
                    ``(J) as a whole, be regularly evaluated for their 
                impact on increased teacher effectiveness and improved 
                student achievement, with the findings of such 
                evaluations used to improve the quality of professional 
                development; and
                    ``(K) include strategies for identifying and 
                eliminating gender and racial bias in instructional 
                materials, methods, and practices.
            ``(2) Optional activities.--Such professional development 
        activities may include--
                    ``(A) instruction in the use of data and 
                assessments to inform and instruct classroom practice;
                    ``(B) instruction in ways that teachers, 
                principals, pupil services personnel, and school 
                administrators may work more effectively with parents;
                    ``(C) the forming of partnerships with institutions 
                of higher education to establish school-based teacher 
                training programs that provide prospective teachers and 
                novice teachers with an opportunity to work under the 
                guidance of experienced teachers and college faculty, 
                but only if each such institution of higher education 
                meets the reporting requirements of section 207 of the 
                Higher Education Act of 1965 (20 U.S.C. 1027) and its 
                teacher preparation program has not been identified by 
                their State as low-performing under such Act;
                    ``(D) the creation of career ladder programs for 
                paraprofessionals (assisting teachers under this part) 
                to obtain the education necessary for such 
                paraprofessionals to become licensed and certified 
                teachers;
                    ``(E) instruction in ways to teach special needs 
                children;
                    ``(F) instruction in the ways that teachers, 
                principals, and guidance counselors can work with 
                parents and students from groups, such as females and 
                minorities which are under represented in careers in 
                mathematics, science, engineering, and technology, to 
                encourage and maintain the interest of such students in 
                these careers;
                    ``(G) joint professional development activities 
                involving programs under this part, Head Start, Even 
                Start, or State-run preschool program personnel;
                    ``(H) instruction in experiential-based teaching 
                methods such as service or applied learning;
                    ``(I) mentoring programs focusing on changing 
                teacher behaviors and practices to help novice 
                teachers, including teachers who are members of a 
                minority group, develop and gain confidence in their 
                skills, to increase the likelihood that they will 
                continue in the teaching profession, and generally to 
                improve the quality of their teaching; and
                    ``(J) instruction in gender-equitable methods, 
                techniques, and practices.
    ``(c) Program Participation.--Each local educational agency 
receiving assistance under this part may design professional 
development programs so that--
            ``(1) all school staff in schools participating in a 
        schoolwide program under section 1114 can participate in 
        professional development activities; and
            ``(2) all school staff in targeted assistance schools may 
        participate in professional development activities if such 
        participation will result in better addressing the needs of 
        students served under this part.
    ``(d) Parental Participation.--Parents may participate in 
professional development activities under this part if the school 
determines that parental participation is appropriate.
    ``(e) Consortia.--In carrying out such professional development 
programs, local educational agencies may provide services through 
consortia arrangements with other local educational agencies, 
educational service agencies or other local consortia, institutions of 
higher education, or other public or private institutions or 
organizations, but only if each such institution of higher education 
meets the reporting requirements of section 207 of the Higher Education 
Act of 1965 (20 U.S.C. 1027) and its teacher preparation program has 
not been identified by their State as low-performing under such Act.
    ``(f) Consolidation of Funds.--Funds provided under this part that 
are used for professional development purposes may be consolidated with 
funds provided under title II of this Act and other sources.
    ``(g) Special Rule.--No State educational agency shall require a 
school or a local educational agency to expend a specific amount of 
funds for professional development activities under this part, except 
that this paragraph shall not apply with respect to requirements under 
section 1116(c)(9).''.

SEC. 117. PARTICIPATION OF CHILDREN ENROLLED IN PRIVATE SCHOOLS.

    (a) General Requirement.--Subsection (a) of section 1120 (20 U.S.C. 
6321(a)) is amended to read as follows:
    ``(a) General Requirement.--
            ``(1) In general.--To the extent consistent with the number 
        of eligible children identified under section 1115(b) in a 
        local educational agency who are enrolled in private elementary 
        and secondary schools, a local educational agency shall, after 
        timely and meaningful consultation with appropriate private 
        school officials, provide such children, on an equitable basis, 
        special educational services or other benefits under this part 
        (such as dual enrollment, educational radio and television, 
        computer equipment and materials, other technology, and mobile 
        educational services and equipment) that address their needs, 
        and shall ensure that teachers and families of these students 
        participate, on an equitable basis, in services and activities 
        developed pursuant to sections 1118 and 1119A.
            ``(2) Secular, neutral, nonideological.--Such educational 
        services or other benefits, including materials and equipment, 
        shall be secular, neutral, and nonideological.
            ``(3) Equity.--Educational services and other benefits for 
        such private school children shall be equitable in comparison 
        to services and other benefits for public school children 
        participating under this part, and shall be provided in a 
        timely manner.
            ``(4) Expenditures.--Expenditures for educational services 
        and other benefits to eligible private school children shall be 
        equal to the proportion of funds allocated to participating 
        school attendance areas based on the number of children from 
        low-income families who attend private schools, which the local 
        educational agency may determine each year or every 2 years.
            ``(5) Provision of services.--The local educational agency 
        shall provide services under this section directly or through 
        contracts with public and private agencies, organizations, and 
        institutions.''.
    (b) Consultation.--Subsection (b) of section 1120 (20 U.S.C. 
6321(b)) is amended to read as follows:
    ``(b) Consultation.--
            ``(1) In general.--To ensure timely and meaningful 
        consultation, a local educational agency shall consult with 
        appropriate private school officials during the design and 
        development of such agency's programs under this part, on 
        issues such as--
                    ``(A) how the children's needs will be identified;
                    ``(B) what services will be offered;
                    ``(C) how, where, and by whom the services will be 
                provided;
                    ``(D) how the services will be assessed and how the 
                results of that assessment will be used to improve 
                those services;
                    ``(E) the size and scope of the equitable services 
                to be provided to the eligible private school children, 
                and the amount of funds generated by low-income private 
                school children in each participating attendance area;
                    ``(F) the method or sources of data that are used 
                under subsection (a)(4) and section 1113(c)(4) to 
                determine the number of children from low-income 
                families in participating school attendance areas who 
                attend private schools; and
                    ``(G) how and when the agency will make decisions 
                about the delivery of services to such children, 
                including a thorough consideration and analysis of the 
                views of the private school officials on the provision 
                of contract services through potential third party 
                providers.
        If the local educational agency disagrees with the views of the 
        private school officials on the provision of services, through 
        a contract, the local educational agency shall provide in 
        writing to such private school officials, an analysis of the 
        reasons why the local educational agency has chosen not to use 
        a contractor.
            ``(2) Timing.--Such consultation shall include meetings of 
        agency and private school officials and shall occur before the 
        local educational agency makes any decision that affects the 
        opportunities of eligible private school children to 
participate in programs under this part. Such meetings shall continue 
throughout implementation and assessment of services provided under 
this section.
            ``(3) Discussion.--Such consultation shall include a 
        discussion of service delivery mechanisms a local educational 
        agency can use to provide equitable services to eligible 
        private school children.
            ``(4) Documentation.--Each local educational agency shall 
        provide to the State educational agency, and maintain in its 
        records, a written affirmation signed by officials of each 
        participating private school that the consultation required by 
        this section has occurred.
            ``(5) Compliance.--Private school officials shall have the 
        right to appeal to the State as to whether the consultation 
        provided for in this section was meaningful and timely, and 
        that due consideration was given to the views of private school 
        officials. If the private school wishes to appeal, the basis of 
        the claim of noncompliance with this section by the local 
        educational agencies shall be provided to the State, and the 
        local educational agency shall forward the documentation 
        provided in subsection (b)(3) to the State.''.
    (c) Standards for Bypass.--Subsection (d) of section 1120 (20 
U.S.C. 6321(d)) is amended to read as follows:
    ``(d) Standards for a Bypass.--If a local educational agency is 
prohibited by law from providing for the participation on an equitable 
basis of eligible children enrolled in private elementary and secondary 
schools or if the Secretary determines that a local educational agency 
has substantially failed or is unwilling to provide for such 
participation, as required by this section, the Secretary shall--
            ``(1) waive the requirements of this section for such local 
        educational agency;
            ``(2) arrange for the provision of services to such 
        children through arrangements that shall be subject to the 
        requirements of this section and sections 10405 and 10406; and
            ``(3) in making the determination, consider one or more 
        factors, including the quality, size, scope, and location of 
        the program and the opportunity of eligible children to 
        participate.''.
    (d) Capital Expenses.--Effective September 30, 2002, subsection (e) 
of section 1120 (20 U.S.C. 6321(e)) is hereby repealed.

SEC. 118. REQUIREMENTS; RECORDS.

    (a) Requirements.--Section 1120A(c)(2) (20 U.S.C. 6322(c)(2)) is 
amended to read as follows:
            ``(2) Criteria for meeting comparability requirement.--
                    ``(A) Approval.--To meet the requirement of 
                paragraph (1), a local educational agency shall obtain 
                the State educational agency's approval of a 
                comprehensive, 3-year plan to ensure comparability in 
                the use of State and local funds and educational 
                services among its schools receiving funds under this 
                part and its other schools with respect to:
                            ``(i) the rates at which class sections are 
                        taught by experienced and fully qualified 
                        teachers, including such rates for low-income 
                        and minority students;
                            ``(ii) curriculum, in terms of both the 
                        range of courses offered, and the opportunity 
                        to participate in rigorous courses including 
                        advanced placement (AP) courses, including such 
                        rates for low-income and minority students; and
                            ``(iii) the quality and availability of 
                        instructional materials and instructional 
                        resources including technology.''
                    ``(B) Exclusion.--A local educational agency need 
                not include unpredictable changes in student enrollment 
                or personnel assignments that occur after the beginning 
                of a school year in determining comparability of 
                services under this subsection.
                    ``(C) Requirements.--Notwithstanding subparagraph 
                (A), a local educational agency may continue to meet 
                the requirement of paragraph (1) by complying with 
                subparagraph (A) as such subparagraph was in effect on 
                the day preceding the date of the enactment of the 
                Excellence and Accountability in Education Act, except 
                that each local educational agency shall be required to 
                comply with subparagraph (A), as amended by such Act 
                not later than July 1, 2004.''.
    (b) Records.--Section 1120A(c)(3)(B) is amended by striking 
``biennially'' and inserting ``annually''.

SEC. 119. COORDINATION REQUIREMENTS.

    Section 1120B (20 U.S.C. 6323 et seq.) is amended--
            (1) in subsection (a), by striking ``to the extent 
        feasible'' and all that follows through the period and 
        inserting ``with local Head Start agencies, and if feasible, 
        other early childhood development programs.'';
            (2) in subsection (b)--
                    (A) in paragraph (3) by striking ``and'' after the 
                semicolon;
                    (B) in paragraph (4) by striking the period and 
                inserting ``; and''; and
                    (C) by adding at the end, the following:
            ``(5) linking the educational services provided in such 
        local educational agency with the services provided in local 
        Head Start agencies.''.

SEC. 120. AMOUNTS FOR GRANTS.

    Section 1122 (20 U.S.C. 6332 et seq.) is amended to read as 
follows:

``SEC. 1122. AMOUNTS FOR BASIC GRANTS, CONCENTRATION GRANTS, AND 
              TARGETED GRANTS.

    ``(a) Allocation Formula.--Of the amount authorized to be 
appropriated to carry out this part for each of fiscal years 2002 
through 2006 (referred to in this subsection as the current fiscal 
year)--
            ``(1) an amount equal to the amount appropriated to carry 
        out section 1124 for fiscal year 2001 plus 42.5 percent of the 
        amount, if any, by which the amount appropriated under section 
        1002(a) for the current fiscal year exceeds the amount 
appropriated under such section for fiscal year 2001 shall be allocated 
in accordance with section 1124;
            ``(2) an amount equal to the amount appropriated to carry 
        out section 1124A for fiscal year 2001 plus 7.5 percent of the 
        amount, if any, by which the amount appropriated under section 
        1002(a) for the current fiscal year exceeds the amount 
        appropriated under such section for fiscal year 2001 shall be 
        allocated in accordance with section 1124A; and
            ``(3) an amount equal to 50 percent of the amount, if any, 
        by which the amount appropriated under section 1002(a) for the 
        current fiscal year exceeds the amount appropriated under such 
        section for fiscal year 2001 shall be allocated in accordance 
        with section 1125.
    ``(b) Adjustments Where Necessitated by Appropriations.--
            ``(1) In general.--If the sums available under this part 
        for any fiscal year are insufficient to pay the full amounts 
        that all local educational agencies in States are eligible to 
        receive under sections 1124, 1124A, and 1125 for such year, the 
        Secretary shall ratably reduce the allocations to such local 
        educational agencies, subject to subsections (c) and (d) of 
        this section.
            ``(2) Additional funds.--If additional funds become 
        available for making payments under sections 1124, 1124A, and 
        1125 for such fiscal year, allocations that were reduced under 
        paragraph (1) shall be increased on the same basis as they were 
        reduced.
    ``(c) Hold-Harmless Amounts.--
            ``(1) Amounts for sections 1124 and 1125.--For each fiscal 
        year, the amount made available to each local educational 
        agency under each of sections 1124 and 1125 shall be--
                    ``(A) not less than 95 percent of the amount made 
                available in the preceding fiscal year if the number of 
                children counted for grants under section 1124 is not 
                less than 30 percent of the total number of children 
                aged 5 to 17 years, inclusive, in the local educational 
                agency;
                    ``(B) not less than 90 percent of the amount made 
                available in the preceding fiscal year if the 
                percentage described in subparagraph (A) is between 15 
                percent and 30 percent; and
                    ``(C) not less than 85 percent of the amount made 
                available in the preceding fiscal year if the 
                percentage described in subparagraph (A) is below 15 
                percent.
            ``(2) Amount for section 1124a.--The amount made available 
        to each local educational agency under section 1124A shall be 
        not less than 85 percent of the amount made available in the 
        preceding fiscal year.
            ``(3) Payments.--If sufficient funds are appropriated, the 
        amounts described in paragraph (2) shall be paid to all local 
        educational agencies that received grants under section 1124A 
        for the preceding fiscal year, regardless of whether the local 
        educational agency meets the minimum eligibility criteria for 
        that fiscal year provided in section 1124A(a)(1)(A) except that 
        a local educational agency that does not meet such minimum 
        eligibility criteria for 4 consecutive years shall no longer be 
        eligible to receive a hold harmless amount referred to in 
        paragraph (2).
            ``(4) Population data.--In any fiscal year for which the 
        Secretary calculates grants on the basis of population data for 
        counties, the Secretary shall apply the hold harmless 
        percentages in paragraphs (1) and (2) to counties, and if the 
        Secretary's allocation for a county is not sufficient to meet 
        the hold-harmless requirements of this subsection for every 
        local educational agency within that county, the State 
        educational agency shall reallocate funds proportionately from 
        all other local educational agencies in the State that are 
        receiving funds in excess of the hold harmless amounts 
        specified in this subsection.
    ``(d) Ratable Reductions.--
            ``(1) In general.--If the sums made available under this 
        part for any fiscal year are insufficient to pay the full 
        amounts that all States are eligible to receive under 
        subsection (c) for such year, the Secretary shall ratably 
        reduce such amounts for such year.
            ``(2) Additional funds.--If additional funds become 
        available for making payments under subsection (c) for such 
        fiscal year, amounts that were reduced under paragraph (1) 
        shall be increased on the same basis as such amounts were 
        reduced.
    ``(e) Definition.--Except as provided in section 1124(a)(5), for 
the purposes of this section and sections 1124, 1124A, and 1125, the 
term `State' means each of the 50 States, the District of Columbia, and 
the Commonwealth of Puerto Rico.''.

SEC. 121. BASIC GRANTS TO LOCAL EDUCATIONAL AGENCIES.

    Section 1124 (20 U.S.C. 6333 et seq.) is amended to read as 
follows:

``SEC. 1124. BASIC GRANTS TO LOCAL EDUCATIONAL AGENCIES.

    ``(a) Amount of Grants.--
            ``(1) Grants for local educational agencies and puerto 
        rico.--Except as provided in paragraph (4) and in section 1126, 
        the grant that a local educational agency is eligible to 
        receive under this section for a fiscal year is the amount 
        determined by multiplying--
                    ``(A) the number of children counted under 
                subsection (c); and
                    ``(B) 40 percent of the average per-pupil 
                expenditure in the State, except that the amount 
                determined under this subparagraph shall not be less 
                than 32 percent or more than 48 percent, of the average 
                per-pupil expenditure in the United States.
            ``(2) Calculation of grants.--
                    ``(A) Allocations to local educational agencies.--
                The Secretary shall calculate grants under this section 
                on the basis of the number of children counted under 
                subsection (c) for local educational agencies, unless 
                the Secretary and the Secretary of Commerce determine 
                that some or all of those data are unreliable or that 
                their use would be otherwise inappropriate, in which 
                case--
                            ``(i) the 2 Secretaries shall publicly 
                        disclose the reasons for their determination in 
                        detail; and
                            ``(ii) paragraph (3) shall apply.
                    ``(B) Allocations to large and small local 
                educational agencies.--(i) For any fiscal year in which 
                this paragraph applies, the Secretary shall calculate 
                grants under this section for each local educational 
                agency.
                    ``(ii) The amount of a grant under this section for 
                each large local educational agency shall be the amount 
                determined under clause (i).
                    ``(iii) For small local educational agencies, the 
                State educational agency may either--
                            ``(I) distribute grants under this section 
                        in amounts determined by the Secretary under 
                        clause (i); or
                            ``(II) use an alternative method approved 
                        by the Secretary to distribute the portion of 
the State's total grants under this section that is based on those 
small agencies.
                    ``(iv) An alternative method under clause (iii)(II) 
                shall be based on population data that the State 
                educational agency determines best reflect the current 
                distribution of children in poor families among the 
                State's small local educational agencies that meet the 
                eligibility criteria of subsection (b).
                    ``(v) If a small local educational agency is 
                dissatisfied with the determination of its grant by the 
                State educational agency under clause (iii)(II), it may 
                appeal that determination to the Secretary, who shall 
                respond not later than 45 days after receipt of such 
                appeal.
                    ``(vi) As used in this subparagraph--
                            ``(I) the term `large local educational 
                        agency' means a local educational agency 
                        serving an area with a total population of 
                        20,000 or more; and
                            ``(II) the term `small local educational 
                        agency' means a local educational agency 
                        serving an area with a total population of less 
                        than 20,000.
            ``(3) Allocations to counties.--
                    ``(A) Calculation.--For any fiscal year to which 
                this paragraph applies, the Secretary shall calculate 
                grants under this section on the basis of the number of 
                children counted under section 1124(c) for counties, 
                and State educational agencies shall suballocate county 
                amounts to local educational agencies, in accordance 
                with regulations issued by the Secretary.
                    ``(B) Direct allocations.--In any State in which a 
                large number of local educational agencies overlap 
                county boundaries, or for which the State believes it 
                has data that would better target funds than allocating 
                them by county, the State educational agency may apply 
                to the Secretary for authority to make the allocations 
                under this part for a particular fiscal year directly 
                to local educational agencies without regard to 
                counties.
                    ``(C) Assurances.--If the Secretary approves the 
                State educational agency's application under 
                subparagraph (B), the State educational agency shall 
                provide the Secretary an assurance that such 
                allocations shall be made--
                            ``(i) using precisely the same factors for 
                        determining a grant as are used under this 
                        part; or
                            ``(ii) using data that the State 
                        educational agency submits to the Secretary for 
                        approval that more accurately target poverty.
                    ``(D) Appeal.--The State educational agency shall 
                provide the Secretary an assurance that it shall 
                establish a procedure through which a local educational 
                agency that is dissatisfied with its determinations 
                under subparagraph (B) may appeal directly to the 
                Secretary for a final determination.
            ``(4) Puerto rico.--
                    ``(A) In general.--For each fiscal year, the grant 
                which the Commonwealth of Puerto Rico shall be eligible 
                to receive under this section shall be the amount 
                determined by multiplying the number of children 
                counted under subsection (c) for the Commonwealth of 
                Puerto Rico by the product of--
                    ``(i) the percentage which the average per pupil 
                expenditure in the Commonwealth of Puerto Rico is of 
                the lowest average per pupil expenditure of any of the 
                50 States; and
                    ``(ii) 32 percent of the average per pupil 
                expenditure in the United States.
            ``(B) Minimum percentage.--The percentage in subparagraph 
        (A)(i) shall not be less than--
                    ``(i) for fiscal year 2002, 77.5 percent;
                    ``(ii) for fiscal year 2003, 80.0 percent;
                    ``(iii) for fiscal year 2004, 82.5 percent; and
                    ``(iv) for fiscal year 2005 and succeeding fiscal 
                years, 85.0 percent.
            ``(C) Limitation.--If the application of subparagraph (B) 
        would result in any of the 50 States or the District of 
        Columbia receiving less under this part than it received under 
        this part for the preceding fiscal year, the percentage in 
        subparagraph (A) shall be the greater of the percentage in 
        subparagraph (A)(i) or the percentage used for the preceding 
        fiscal year.
            ``(5) Definition.--For purposes of this subsection, the 
        term `State' does not include Guam, American Samoa, the Virgin 
        Islands, and the Northern Mariana Islands.
    ``(b) Minimum Number of Children To Qualify.--A local educational 
agency is eligible for a basic grant under this section for any fiscal 
year only if the number of children counted under subsection (c) for 
that agency is both--
            ``(1) 10 or more; and
            ``(2) more than 2 percent of the total school-age 
        population in the agency's jurisdiction.
    ``(c) Children To Be Counted.--
            ``(1) Categories of children.--The number of children to be 
        counted for purposes of this section is the aggregate of--
                    ``(A) the number of children aged 5 to 17, 
                inclusive, in the school district of the local 
                educational agency from families below the poverty 
                level as determined under paragraph (2);
                    ``(B) the number of children (determined under 
                paragraph (4) for either the preceding year as 
                described in that paragraph, or for the second 
                preceding year, as the Secretary finds appropriate) 
                aged 5 to 17, inclusive, in the school district of such 
                agency in institutions for neglected and delinquent 
                children (other than such institutions operated by the 
                United States), but not counted pursuant to subpart 1 
                of part D for the purposes of a grant to a State 
                agency, or being supported in foster homes with public 
                funds; and
                    ``(C) the number of children aged 5 to 17, 
                inclusive, in the school district of such agency from 
                families above the poverty level as determined under 
                paragraph (4).
            ``(2) Determination of number of children.--For the 
        purposes of this section, the Secretary shall determine the 
        number of children aged 5 to 17, inclusive, from families below 
        the poverty level on the basis of the most recent satisfactory 
        data, described in paragraph (3), available from the Department 
        of Commerce. The District of Columbia and the Commonwealth of 
        Puerto Rico shall be treated as individual local educational 
        agencies. If a local educational agency contains 2 or more 
        counties in their entirety, then each county will be treated as 
        if such county were a separate local educational agency for 
        purposes of calculating grants under this part. The total of 
        grants for such counties shall be allocated to such a local 
        educational agency, which local educational agency shall 
        distribute to schools in each county within such agency a share 
        of the local educational agency's total grant that is no less 
        than the county's share of the population counts used to 
        calculate the local educational agency's grant.
            ``(3) Population updates.--In fiscal year 2001 and every 2 
        years thereafter, the Secretary shall use updated data on the 
        number of children, aged 5 to 17, inclusive, from families 
        below the poverty level for local educational agencies or 
        counties, published by the Department of Commerce, unless the 
        Secretary and the Secretary of Commerce determine that use of 
        the updated population data would be inappropriate or 
        unreliable. If the Secretary and the Secretary of Commerce 
        determine that some or all of the data referred to in this 
        paragraph are inappropriate or unreliable, they shall publicly 
        disclose their reasons. In determining the families which are 
        below the poverty level, the Secretary shall utilize the 
        criteria of poverty used by the Bureau of the Census in 
        compiling the most recent decennial census, in such form as 
        those criteria have been updated by increases in the Consumer 
        Price Index for all urban consumers, published by the Bureau of 
        Labor Statistics.
            ``(4) Other children to be counted.--For the purposes of 
        this section, the Secretary shall determine the number of 
        children aged 5 to 17, inclusive, from families above the 
        poverty level on the basis of the number of such children from 
        families receiving an annual income, in excess of the current 
        criteria of poverty, from payments under a State program funded 
        under part A of title IV of the Social Security Act; and in 
        making such determinations the Secretary shall utilize the 
        criteria of poverty used by the Bureau of the Census in 
        compiling the most recent decennial census for a family of 4 in 
        such form as those criteria have been updated by increases in 
        the Consumer Price Index for all urban consumers, published by 
        the Bureau of Labor Statistics. The Secretary shall determine 
        the number of such children and the number of children aged 5 
        through 17 living in institutions for neglected or delinquent 
        children, or being supported in foster homes with public funds, 
        on the basis of the caseload data for the month of October of 
        the preceding fiscal year (using, in the case of children 
        described in the preceding sentence, the criteria of poverty 
        and the form of such criteria required by such sentence which 
        were determined for the calendar year preceding such month of 
        October) or, to the extent that such data are not available to 
        the Secretary before January of the calendar year in which the 
        Secretary's determination is made, then on the basis of the 
        most recent reliable data available to the Secretary at the 
        time of such determination. The Secretary of Health and Human 
        Services shall collect and transmit the information required by 
        this subparagraph to the Secretary not later than January 1 of 
        each year. For the purpose of this section, the Secretary shall 
        consider all children who are in correctional institutions to 
        be living in institutions for delinquent children.
            ``(5) Estimate.--When requested by the Secretary, the 
        Secretary of Commerce shall make a special updated estimate of 
        the number of children of such ages who are from families below 
        the poverty level (as determined under subparagraph (A) of this 
        paragraph) in each school district, and the Secretary is 
        authorized to pay (either in advance or by way of 
        reimbursement) the Secretary of Commerce the cost of making 
        this special estimate. The Secretary of Commerce shall give 
        consideration to any request of the chief executive of a State 
        for the collection of additional census information.
    ``(d) State Minimum.--Notwithstanding section 1122, the aggregate 
amount allotted for all local educational agencies within a State may 
not be less than the lesser of--
            ``(1) 0.25 percent of total grants under this section; or
            ``(2) the average of--
                    ``(A) one-quarter of 1 percent of the total amount 
                available for such fiscal year under this section; and
                    ``(B) the number of children in such State counted 
                under subsection (c) in the fiscal year multiplied by 
                150 percent of the national average per pupil payment 
                made with funds available under this section for that 
                year.''.

SEC. 122. CONCENTRATION GRANTS.

    Section 1124A (20 U.S.C. 6334 et seq.) is amended to read as 
follows:

``SEC. 1124A. CONCENTRATION GRANTS TO LOCAL EDUCATIONAL AGENCIES.

    ``(a) Eligibility for and Amount of Grants.--
            ``(1) In general.--(A) Except as otherwise provided in this 
        paragraph, each local educational agency, in a State other than 
        Guam, American Samoa, the Virgin Islands, and the Commonwealth 
        of the Northern Mariana Islands, which is eligible for a grant 
        under section 1124 for any fiscal year is eligible for an 
        additional grant under this section for that fiscal year if the 
number of children counted under section 1124(c) in the agency exceeds 
either--
                    ``(i) 6,500; or
                    ``(ii) 15 percent of the total number of children 
                aged 5 through 17 in the agency.
            ``(B) Notwithstanding section 1122, no State described in 
        subparagraph (A) shall receive less than the lesser of--
                    ``(i) 0.25 percent of total grants; or
                    ``(ii) the average of--
                            ``(I) one-quarter of 1 percent of the sums 
                        available to carry out this section for such 
                        fiscal year; and
                            ``(II) the greater of--
                                    ``(aa) $340,000; or
                                    ``(bb) the number of children in 
                                such State counted for purposes of this 
                                section in that fiscal year multiplied 
                                by 150 percent of the national average 
                                per pupil payment made with funds 
                                available under this section for that 
                                year.
            ``(2) Special rule.--For each county or local educational 
        agency eligible to receive an additional grant under this 
        section for any fiscal year the Secretary shall determine the 
        product of--
                    ``(A) the number of children counted under section 
                1124(c) for that fiscal year; and
                    ``(B) the quotient resulting from the division of 
                the amount determined for those agencies under section 
                1124(a)(1) for the fiscal year for which the 
                determination is being made divided by the total number 
                of children counted under section 1124(c) for that 
                agency for that fiscal year.
            ``(3) Amount.--The amount of the additional grant for which 
        an eligible local educational agency or county is eligible 
        under this section for any fiscal year shall be an amount which 
        bears the same ratio to the amount available to carry out this 
        section for that fiscal year as the product determined under 
        paragraph (2) for such local educational agency for that fiscal 
        year bears to the sum of such products for all local 
        educational agencies in the United States for that fiscal year.
            ``(4) Local allocations.--(A) Grant amounts under this 
        section shall be determined in accordance with section 
        1124(a)(2) and (3).
            ``(B) For any fiscal year for which the Secretary allocates 
        funds under this section on the basis of counties, a State may 
        reserve not more than 2 percent of its allocation under this 
        section to make grants to local educational agencies that meet 
        the criteria of paragraph (1)(A)(i) or (ii) but that are in 
        ineligible counties that do not meet these criteria.
    ``(b) States Receiving Minimum Grants.--In States that receive the 
minimum grant under subsection (a)(1)(B), the State educational agency 
shall allocate such funds among the local educational agencies in each 
State either--
            ``(1) in accordance with paragraphs (2) and (4) of 
        subsection (a); or
            ``(2) based on their respective concentrations and numbers 
        of children counted under section 1124(c), except that only 
        those local educational agencies with concentrations or numbers 
        of children counted under section 1124(c) that exceed the 
        statewide average percentage of such children or the statewide 
        average number of such children shall receive any funds on the 
        basis of this paragraph.''.

SEC. 123. TARGETED GRANTS.

    Section 1125 (20 U.S.C. 6335 et seq.) is amended to read as 
follows:

``SEC. 1125. TARGETED GRANTS TO LOCAL EDUCATIONAL AGENCIES.

    ``(a) Eligibility of Local Educational Agencies.--A local 
educational agency in a State is eligible to receive a targeted grant 
under this section for any fiscal year if the number of children in the 
local educational agency counted under subsection 1124(c), before 
application of the weighting factor described in subsection (c), is at 
least 10, and if the number of children counted for grants under 
section 1124 is at least 5 percent of the total population aged 5 to 17 
years, inclusive, in the local educational agency. For each fiscal year 
for which the Secretary uses county population data to calculate 
grants, funds made available as a result of applying this subsection 
shall be reallocated by the State educational agency to other eligible 
local educational agencies in the State in proportion to the 
distribution of other funds under this section.
    ``(b) Grants for Local Educational Agencies, the District of 
Columbia, and Puerto Rico.--
            ``(1) In general.--The amount of the grant that a local 
        educational agency in a State or that the District of Columbia 
        is eligible to receive under this section for any fiscal year 
        shall be the product of--
                    ``(A) the weighted child count determined under 
                subsection (c); and
                    ``(B) the amount in paragraph 1124(a)(1)(B).
            ``(2) Puerto rico.--For each fiscal year, the amount of the 
        grant for which the Commonwealth of Puerto Rico is eligible 
        under this section shall be equal to the number of children 
        counted under subsection (c) for Puerto Rico, multiplied by the 
        amount determined in subparagraph 1124(a)(4).
    ``(c) Weighted Child Count.--
            ``(1) Weights for allocations to counties.--
                    ``(A) In general.--For each fiscal year for which 
                the Secretary uses county population data to calculate 
                grants, the weighted child count used to determine a 
                county's allocation under this section is the larger of 
                the 2 amounts determined under clause (i) or (ii), as 
                follows:
                            ``(i) By percentage of children.--This 
                        amount is determined by adding--
                                    ``(I) the number of children 
                                determined under section 1124(c) for 
                                that county constituting up to 12.20 
                                percent, inclusive, of the county's 
                                total  population aged 5 to 17, 
inclusive, multiplied by 1.0;
                                    ``(II) the number of such children 
                                constituting more than 12.20 percent, 
                                but not more than 17.70 percent, of 
                                such population, multiplied by 1.75;
                                    ``(III) the number of such children 
                                constituting more than 17.70 percent, 
                                but not more than 22.80 percent, of 
                                such population, multiplied by 2.5;
                                    ``(IV) the number of such children 
                                constituting more than 22.80 percent, 
                                but not more than 29.70 percent, of 
                                such population, multiplied by 3.25; 
                                and
                                    ``(V) the number of such children 
                                constituting more than 29.70 percent of 
                                such population, multiplied by 4.0.
                            ``(ii) By number of children.--This amount 
                        is determined by adding--
                                    ``(I) the number of children 
                                determined under section 1124(c) 
                                constituting up to 1,917, inclusive, of 
                                the county's total population aged 5 to 
                                17, inclusive, multiplied by 1.0;
                                    ``(II) the number of such children 
                                between 1,918 and 5,938, inclusive, in 
                                such population, multiplied by 1.5;
                                    ``(III) the number of such children 
                                between 5,939 and 20,199, inclusive, in 
                                such population, multiplied by 2.0;
                                    ``(IV) the number of such children 
                                between 20,200 and 77,999, inclusive, 
                                in such population, multiplied by 2.5; 
                                and
                                    ``(V) the number of such children 
                                in excess of 77,999 in such population, 
                                multiplied by 3.0.
                    ``(B) Puerto rico.--Notwithstanding subparagraph 
                (A), the weighted child count for Puerto Rico under 
                this paragraph shall not be greater than the total 
                number of children counted under subsection 1124(c) 
                multiplied by 1.72.
            ``(2) Weights for allocations to local educational 
        agencies.--
                    ``(A) In general.--For each fiscal year for which 
                the Secretary uses local educational agency data, the 
                weighted child count used to determine a local 
                educational agency's grant under this section is the 
                larger of the 2 amounts determined under clauses (i) 
                and (ii), as follows:
                            ``(i) By percentage of children.--This 
                        amount is determined by adding--
                                    ``(I) the number of children 
                                determined under section 1124(c) for 
                                that local educational agency 
                                constituting up to 15.233 percent, 
                                inclusive, of the agency's total 
                                population aged 5 to 17, inclusive, 
                                multiplied by 1.0;
                                    ``(II) the number of such children 
                                constituting more than 15.233 percent, 
                                but not more than 22.706 percent, of 
                                such population, multiplied by 1.75;
                                    ``(III) the number of such children 
                                constituting more than 22.706 percent, 
                                but not more than 32.213 percent, of 
                                such population, multiplied by 2.5;
                                    ``(IV) the number of such children 
                                constituting more than 32.213 percent, 
                                but not more than 41.452 percent, of 
                                such population, multiplied by 3.25; 
                                and
                                    ``(V) the number of such children 
                                constituting more than 41.452 percent 
                                of such population, multiplied by 4.0.
                            ``(ii) By number of children.--This amount 
                        is determined by adding--
                                    ``(I) the number of children 
                                determined under section 1124(c) 
                                constituting up to 710, inclusive, of 
                                the agency's total population aged 5 to 
                                17, inclusive, multiplied by 1.0;
                                    ``(II) the number of such children 
                                between 710 and 2,384, inclusive, in 
                                such population, multiplied by 1.5;
                                    ``(III) the number of such children 
                                between 2,384 and 9,645, inclusive, in 
                                such population, multiplied by 2.0;
                                    ``(IV) the number of such children 
                                between 9,645 and 54,600, inclusive, in 
                                such population, multiplied by 2.5; and
                                    ``(V) the number of such children 
                                in excess of 54,600 in such population, 
                                multiplied by 3.0.
                    ``(B) Puerto rico.--Notwithstanding subparagraph 
                (A), the weighted child count for Puerto Rico under 
                this paragraph shall not be greater than the total 
                number of children counted under section 1124(c) 
                multiplied by 1.72.
    ``(d) Calculation of Grant Amounts.--Grants under this section 
shall be calculated in accordance with section 1124(a)(2) and (3).
    ``(e) State Minimum.--Notwithstanding any other provision of this 
section or section 1122, from the total amount available for any fiscal 
year to carry out this section, each State shall be allotted at least 
the lesser of--
            ``(1) 0.25 percent of total appropriations; or
            ``(2) the average of--
                    ``(A) one-quarter of 1 percent of the total amount 
                available to carry out this section; and
                    ``(B) 150 percent of the national average grant 
                under this section per child described in section 
                1124(c), without application of a weighting factor, 
                multiplied by the State's total number of children 
                described in section 1124(c), without application of a 
                weighting factor.''.

SEC. 124. SPECIAL ALLOCATION PROCEDURES.

    Section 1126 (20 U.S.C. 6337 et seq.) is amended to read as 
follows:

``SEC. 1126. SPECIAL ALLOCATION PROCEDURES.

    ``(a) Allocations for Neglected Children.--
            ``(1) In general.--If a State educational agency determines 
        that a local educational agency in the State is unable or 
        unwilling to provide for the special educational needs of 
        children who are living in institutions for neglected children 
        as described in subparagraph (B) of section 1124(c)(1), the 
        State educational agency shall, if such agency assumes 
        responsibility for the special educational needs of such 
        children, receive the portion of such local educational 
        agency's allocation under sections 1124, 1124A, and 1125 that 
        is attributable to such children.
            ``(2) Special rule.--If the State educational agency does 
        not assume such responsibility, any other State or local public 
        agency that does assume such responsibility shall receive that 
        portion of the local educational agency's allocation.
    ``(b) Allocations Among Local Educational Agencies.--The State 
educational agency may allocate the amounts of grants under sections 
1124, 1124A, and 1125 among the affected local educational agencies--
            ``(1) if 2 or more local educational agencies serve, in 
        whole or in part, the same geographical area;
            ``(2) if a local educational agency provides free public 
        education for children who reside in the school district of 
        another local educational agency; or
            ``(3) to reflect the merger, creation, or change of 
        boundaries of one or more local educational agencies.
    ``(c) Reallocation.--If a State educational agency determines that 
the amount of a grant a local educational agency would receive under 
sections 1124, 1124A, and 1125 is more than such local agency will use, 
the State educational agency shall make the excess amount available to 
other local educational agencies in the State that need additional 
funds in accordance with criteria established by the State educational 
agency.''.

                PART B--EDUCATION OF MIGRATORY CHILDREN

SEC. 131. STATE ALLOCATIONS.

    Section 1303 (20 U.S.C. 6393) is amended--
            (1) by amending subsection (b) to read as follows:
    ``(b) Allocation to Puerto Rico.--
            ``(1) Fiscal year 2002.--For fiscal year 2002, the grant 
        which the Commonwealth of Puerto Rico shall be eligible to 
        receive under this section shall be the amount determined by 
        multiplying the number of children counted under subsection 
        (a)(1)(A) for the Commonwealth of Puerto Rico by the product 
        of--
                    ``(A) the percentage which the average per pupil 
                expenditure in the Commonwealth of Puerto Rico is of 
                the lowest average per pupil expenditure of any of the 
                50 States; and
                    ``(B) 32 percent of the average per pupil 
                expenditure in the United States.
            ``(2) Subsequent fiscal years.--For each fiscal year after 
        fiscal year 2002, the grant which the Commonwealth of Puerto 
        Rico shall be eligible to receive under this section shall be 
        the amount determined by multiplying the number of children 
        counted under subsection (a)(2)(B)(i)(I) and (a)(2)(B)(i)(II) 
        for the Commonwealth of Puerto Rico during the previous fiscal 
        year, by the product of--
                    ``(A) the percentage which the average per pupil 
                expenditure in the Commonwealth of Puerto Rico is of 
                the lowest average per pupil expenditure of any of the 
                50 States; and
                    ``(B) 32 percent of the average per pupil 
                expenditure in the United States.
            ``(3) Minimum allocation.--
                    ``(A) Fiscal year 2002.--For fiscal year 2002, the 
                percentage in paragraph (1)(A) shall not be less than 
                77.5 percent.
                    ``(B) Subsequent fiscal years.--The percentage in 
                paragraph (2)(A) shall not be less than--
                            ``(i) for fiscal year 2003, 80.0 percent;
                            ``(ii) for fiscal year 2004, 82.5 percent; 
                        and
                            ``(iii) for fiscal year 2005 and succeeding 
                        fiscal years, 85.0 percent.
            ``(4) Special rule.--If the application of paragraph (3) 
        would result in any of the 50 States or the District of 
        Columbia receiving less under this part than it received under 
        this part for the preceding fiscal year, the percentage in 
        paragraph (1) or (2), respectively, shall be the greater of the 
        percentage in paragraph (1)(A) or (2)(A) the percentage used 
        for the preceding fiscal year.''; and
            (2) by striking subsections (d) and (e).

SEC. 132. STATE APPLICATIONS; SERVICES.

    (a) Program Information.--Section 1304(b) (20 U.S.C. 6394(b)) is 
amended--
            (1) in paragraph (1), by striking ``addressed through'' and 
        all that follows through the semicolon at the end and inserting 
        the following:
        ``addressed through--
                    ``(A) the full range of services that are available 
                for migratory children from appropriate local, State, 
                and Federal educational programs;
                    ``(B) joint planning among local, State, and 
                Federal educational programs serving migrant children, 
                including programs under title VII;
                    ``(C) the integration of services available under 
                this part with services provided by those other 
                programs; and
                    ``(D) measurable program goals and outcomes;'';
            (2) in paragraph (5), by striking ``the requirements of 
        paragraph (1); and'' and inserting ``the numbers and needs of 
        migratory children, the requirements of subsection (d), and the 
        availability of funds from other Federal, State, and local 
        programs;'';
            (3) in paragraph (6), by striking the period at the end and 
        inserting ``; and''; and
            (4) by adding at the end the following:
            ``(7) a description of how the State will encourage 
        programs and projects assisted under this part to offer family 
        literacy services if the program or project serves a 
        substantial number of migratory children who have parents who 
        do not have a high school diploma or its recognized equivalent 
        or who have low levels of literacy.''.
    (b) Assurances.--Section 1304(c) (20 U.S.C. 6394(c)) is amended--
            (1) in paragraph (1), by striking ``1306(b)(1);'' and 
        inserting ``1306(a);'';
            (2) in paragraph (3)--
                    (A) by striking ``appropriate'';
                    (B) by striking ``out, to the extent feasible,'' 
                and inserting ``out''; and
                    (C) by striking ``1118;'' and inserting ``1118, 
                unless extraordinary circumstances make implementation 
                consistent with such section impractical;''; and
            (3) in paragraph (7), by striking ``section 1303(e)'' and 
        inserting ``paragraphs (1)(A) and (2)(B)(i) of section 
        1303(a)''.

SEC. 133. AUTHORIZED ACTIVITIES.

    Section 1306 (20 U.S.C. 6396) is amended to read as follows:

``SEC. 1306. AUTHORIZED ACTIVITIES.

    ``(a) In General.--
            ``(1) Flexibility.--Each State educational agency, through 
        its local educational agencies, shall have the flexibility to 
        determine the activities to be provided with funds made 
        available under this part, except that such funds shall first 
        be used to meet the identified needs of migratory children that 
        result from their migratory lifestyle, and to permit these 
        children to participate effectively in school.
            ``(2) Unaddressed needs.--Funds provided under this part 
        shall be used to address the needs of migratory children that 
        are not addressed by services available from other Federal or 
        non-Federal programs, except that migratory children who are 
        eligible to receive services under part A of this title may 
        receive those services through funds provided under that part, 
        or through funds under this part that remain after the agency 
        addresses the needs described in paragraph (1).
    ``(b) Construction.--Nothing in this part shall be construed to 
prohibit a local educational agency from serving migratory children 
simultaneously with students with similar educational needs in the same 
educational settings, where appropriate.
    ``(c) Special Rule.--Notwithstanding section 1114, a school that 
receives funds under this part shall continue to address the identified 
needs described in subsection (a)(1).''.

SEC. 134. COORDINATION OF MIGRANT EDUCATION ACTIVITIES.

    (a) Duration.--Section 1308(a)(2) (20 U.S.C. 6398(a)(2)) is amended 
by striking ``subpart'' and inserting ``subsection''.
    (b) Student Records.--Section 1308(b) (20 U.S.C. 6398(b)) is 
amended to read as follows:
    ``(b) Access to Information on Migrant Students.--
            ``(1) National system.--(A) The Secretary shall establish a 
        national system for electronically exchanging, among the 
        States, health and educational information regarding all 
        students served under this part. Such information shall 
        include--
                    ``(i) immunization records and other health 
                information;
                    ``(ii) elementary and secondary academic history 
                (including partial credit), credit accrual, and results 
                from State assessments required under this title;
                    ``(iii) other academic information essential to 
                ensuring that migrant children achieve to high 
                standards; and
                    ``(iv) eligibility for services under the 
                Individuals with Disabilities Education Act.
            ``(B) The Secretary shall publish, not later than 120 days 
        after the date of enactment of the Excellence in Education Act, 
        a notice in the Federal Register seeking public comment on the 
        proposed data elements that each State receiving funds under 
        this part shall be required to collect for purposes of 
        electronic transfer of migrant student information, the 
        requirements for immediate electronic access to such 
        information, and the educational agencies eligible to access 
        such information.
            ``(C) Such system of electronic access to migrant student 
        information shall be operational not later than 1 year after 
        the date of enactment of the Excellence in Education Act.
            ``(D) For the purpose of carrying out this subsection in 
        any fiscal year, the Secretary shall reserve not more than 
        $10,000,000 of the amount appropriated to carry out this part 
        for such year.
            ``(2) Report to congress.--(A) Not later than April 30, 
        2003, the Secretary shall report to the Committee on Health, 
        Education, Labor, and Pensions of the Senate and the Committee 
        on Education and the Workforce of the House of Representatives 
        the Secretary's findings and recommendations regarding services 
        under this part, and shall include in this report, 
        recommendations for the interim measures that may be taken to 
        ensure continuity of services under this part.
            ``(B) The Secretary shall assist States in developing 
        effective methods for the transfer of student records and in 
        determining the number of students or full-time equivalent 
        students in each State if such interim measures are 
        required.''.
    (c) Availability of Funds.--Section 1308(c) (20 U.S.C. 6398(c)) is 
amended by striking ``$6,000,000'' and inserting ``$10,000,000''.
    (d) Incentive Grants.--Section 1308(d) (20 U.S.C. 6398(d)) is 
amended to read as follows:
    ``(d) Incentive Grants.--From the amounts made available to carry 
out this section for any fiscal year, the Secretary may reserve not 
more than $3,000,000 to award grants of not more than $250,000 on a 
competitive basis to State educational agencies that propose a 
consortium arrangement with another State or other appropriate entity 
that the Secretary determines, pursuant to criteria that the Secretary 
shall establish, will improve the delivery of services to migratory 
children whose education is interrupted.''.

                 PART C--NEGLECTED OR DELINQUENT YOUTH

SEC. 141. NEGLECTED OR DELINQUENT YOUTH.

    The heading for part D of title I is amended to read as follows:

    ``PART D--PREVENTION AND INTERVENTION PROGRAMS FOR NEGLECTED OR 
                    DELINQUENT CHILDREN AND YOUTH''.

SEC. 142. FINDINGS.

    Section 1401(a) is amended by striking paragraphs (6) through (9) 
and inserting the following:
            ``(6) Youth returning from correctional facilities need to 
        be involved in programs that provide them with high level 
        skills and other support to help them stay in school and 
        complete their education.
            ``(7) Pregnant and parenting teenagers are a high at-risk 
        group for dropping out of school and should be targeted by 
        dropout prevention programs.''.

SEC. 143. ALLOCATION OF FUNDS.

    Section 1412(b) is amended to read as follows:
    ``(b) Subgrants to State Agencies in Puerto Rico.--
            ``(1) In general.--For each fiscal year, the amount of the 
        subgrant for which a State agency in the Commonwealth of Puerto 
        Rico shall be eligible to receive under this part shall be the 
        amount determined by multiplying the number of children counted 
        under subparagraph (a)(1)(A) for the Commonwealth of Puerto 
        Rico by the product of--
                    ``(A) the percentage which the average per pupil 
                expenditure in the Commonwealth of Puerto Rico is of 
                the lowest average per pupil expenditure of any of the 
                50 States; and
                    ``(B) 32 percent of the average per pupil 
                expenditure in the United States.
            ``(2) Minimum allocation.--The percentage in paragraph 
        (1)(A) shall not be less than--
                    ``(A) for fiscal year 2002, 77.5 percent;
                    ``(B) for fiscal year 2003, 80.0 percent;
                    ``(C) for fiscal year 2004, 82.5 percent; and
                    ``(D) for fiscal year 2005 and for each succeeding 
                fiscal year, 85.0 percent.
            ``(3) Special rule.--If the application of paragraph (2) 
        would result in any of the 50 States or the District of 
        Columbia receiving less under this part than it received under 
        this part for the preceding fiscal year, the percentage in 
        paragraph (1) shall be the greater of the percentage in 
        paragraph (1)(A) or the percentage used for the preceding 
        fiscal year.''.

SEC. 144. STATE PLAN AND STATE AGENCY APPLICATIONS.

    Section 1414 is amended to read as follows:

``SEC. 1414. STATE PLAN AND STATE AGENCY APPLICATIONS.

    ``(a) State Plan.--
            ``(1) In general.--Each State educational agency that 
        desires to receive a grant under this part shall submit, for 
        approval by the Secretary, a plan for meeting the educational 
        needs of neglected and delinquent youth, for assisting in their 
        transition from institutions to locally operated programs, and 
        which is integrated with other programs under this Act or other 
        Acts, as appropriate, consistent with section 11206.
            ``(2) Contents.--Each such State plan shall--
                    ``(A) describe the program goals, objectives, and 
                performance measures established by the State that will 
                be used to assess the effectiveness of the program in 
                improving academic and vocational and technical skills 
                of children in the program;
                    ``(B) provide that, to the extent feasible, such 
                children will have the same opportunities to learn as 
                such children would have if such children were in the 
                schools of local educational agencies in the State; and
                    ``(C) contain assurances that the State educational 
                agency will--
                            ``(i) ensure that programs assisted under 
                        this part will be carried out in accordance 
                        with the State plan described in this 
                        subsection;
                            ``(ii) carry out the evaluation 
                        requirements of section 1416;
                            ``(iii) ensure that the State agencies 
                        receiving subgrants under this subpart comply 
                        with all applicable statutory and regulatory 
                        requirements; and
                            ``(iv) provide such other information as 
                        the Secretary may reasonably require.
            ``(3) Duration of the plan.--Each such State plan shall--
                    ``(A) remain in effect for the duration of the 
                State's participation under this part; and
                    ``(B) be periodically reviewed and revised by the 
                State, as necessary, to reflect changes in the State's 
                strategies and programs under this part.
    ``(b) Secretarial Approval; Peer Review.--
            ``(1) In general.--The Secretary shall approve each State 
        plan that meets the requirements of this part.
            ``(2) Peer review.--The Secretary may review any State plan 
        with the assistance and advice of individuals with relevant 
        expertise.
    ``(c) State Agency Applications.--Any State agency that desires to 
receive funds to carry out a program under this part shall submit an 
application to the State educational agency that--
            ``(1) describes the procedures to be used, consistent with 
        the State plan under section 1111, to assess the educational 
        needs of the children to be served;
            ``(2) provides assurances that in making services available 
        to youth in adult correctional facilities, priority will be 
        given to such youth who are likely to complete incarceration 
        within a 2-year period;
            ``(3) describes the program, including a budget for the 
        first year of the program, with annual updates to be provided 
        to the State educational agency;
            ``(4) describes how the program will meet the goals and 
        objectives of the State plan under this subpart;
            ``(5) describes how the State agency will consult with 
        experts and provide the necessary training for appropriate 
        staff, to ensure that the planning and operation of 
        institution-wide projects under section 1416 are of high 
        quality;
            ``(6) describes how the agency will carry out the 
        evaluation requirements of section 10501 and how the results of 
        the most recent evaluation are used to plan and improve the 
        program;
            ``(7) includes data showing that the agency has maintained 
        fiscal effort required of a local educational agency, in 
        accordance with section 10401;
            ``(8) describes how the programs will be coordinated with 
        other appropriate State and Federal programs, such as programs 
        under the Job Training Partnership Act or title I of the 
        Workforce Investment Act of 1998, vocational and technical 
        education programs, State and local dropout prevention 
        programs, and special education programs;
            ``(9) describes how States will encourage correctional 
        facilities receiving funds under this subpart to coordinate 
        with local educational agencies or alternative education 
        programs attended by incarcerated youth prior to their 
        incarceration to ensure that student assessments and 
        appropriate academic records are shared jointly between the 
        correctional facility and the local educational agency or 
        alternative education program;
            ``(10) describes how appropriate professional development 
        will be provided to teachers and other staff;
            ``(11) designates an individual in each affected 
        institution to be responsible for issues relating to the 
        transition of children and youth from the institution to 
        locally operated programs;
            ``(12) describes how the agency will, endeavor to 
        coordinate with businesses for training and mentoring for 
        participating youth;
            ``(13) provides assurances that the agency will assist in 
        locating alternative programs through which students can 
        continue their education if students are not returning to 
        school after leaving the correctional facility;
            ``(14) provides assurances that the agency will work with 
        parents to secure parents' assistance in improving the 
        educational achievement of their children and preventing their 
        children's further involvement in delinquent activities;
            ``(15) provides assurances that the agency works with 
        special education youth in order to meet an existing 
        individualized education program and an assurance that the 
        agency will notify the youth's local school if such youth--
                    ``(A) is identified as in need of special education 
                services while the youth is in the facility; and
                    ``(B) intends to return to the local school;
            ``(16) provides assurances that the agency will work with 
        youth who dropped out of school before entering the facility to 
        encourage the youth to reenter school once the term of the 
        youth has been completed or provide the youth with the skills 
        necessary to gain employment, continue the education of the 
        youth, or achieve a secondary school diploma or the recognized 
        equivalent if the youth does not intend to return to school;
            ``(17) provides assurances that teachers and other 
        qualified staff are also trained to work with children with 
        disabilities and other students with special needs taking into 
        consideration the unique needs of such students;
            ``(18) describes any additional services provided to youth, 
        such as career counseling, distance learning, and assistance in 
        securing student loans and grants; and
            ``(19) provides assurances that the program under this 
        subpart will be coordinated with any programs operated under 
        the Juvenile Justice and Delinquency Prevention Act of 1974 or 
        other comparable programs, if applicable.''.

SEC. 145. USE OF FUNDS.

    Section 1415(a) is amended--
            (1) in paragraph (1)(B), by inserting ``and vocational and 
        technical training'' after ``secondary school completion''; and
            (2) in paragraph (2)(B)--
                    (A) in clause (i), by inserting ``and'' after the 
                semicolon;
                    (B) in clause (ii), by striking ``; and'' and 
                inserting a period; and
                    (C) by striking clause (iii).

SEC. 146. PURPOSE.

    Section 1421 is amended by striking paragraph (3) and inserting the 
following:
            ``(3) operate programs for youth returning from 
        correctional facilities in local schools which may also serve 
        youth at risk of dropping out of school.''.

SEC. 147. TRANSITION SERVICES.

    Section 1418(a) is amended by striking ``10 percent'' and inserting 
``15 percent''.

SEC. 148. PROGRAMS OPERATED BY LOCAL EDUCATIONAL AGENCIES.

    Section 1422 is amended--
            (1) in subsection (a), by striking ``retained'';
            (2) by amending subsection (b) to read as follows:
    ``(b) Special Rule.--A local educational agency which includes a 
correctional facility that operates a school is not required to operate 
a program of support for children returning from such school to a 
school not operated by a correctional agency but served by such local 
educational agency if more than 30 percent of the youth attending the 
school operated by the correctional facility will reside outside the 
boundaries of the local educational agency after leaving such 
facility.''; and
            (3) by adding at the end of section 1422 the following:
    ``(d) Transitional and Academic Services.--Transitional and 
supportive programs operated in local educational agencies under this 
subpart shall be designed primarily to meet the transitional and 
academic needs of students returning to local educational agencies or 
alternative education programs from correctional facilities. Services 
to students at risk of dropping out of school shall not have a negative 
impact on meeting the transitional and academic needs of the students 
returning from correctional facilities.''.

SEC. 149. LOCAL EDUCATIONAL AGENCY APPLICATIONS.

    Section 1423 is amended by striking paragraphs (4) through (9) and 
inserting the following:
            ``(4) a description of the program operated by 
        participating schools for children returning from correctional 
        facilities and the types of services that such schools will 
        provide such youth and other at-risk youth;
            ``(5) a description of the youth returning from 
        correctional facilities and, as appropriate, other at-risk 
        youth expected to be served by the program and how the school 
        will coordinate existing educational programs to meet the 
        unique educational needs of such youth;
            ``(6) as appropriate, a description of how schools will 
        coordinate with existing social, health and other services to 
        meet the needs of students returning from correctional 
        facilities, students at risk of dropping out of school, and 
        other participating students, including prenatal health care 
        and nutrition services related to the health of the parent and 
        child, parenting and child development classes, child care, 
        targeted re-entry and outreach programs, referrals to community 
        resources, and scheduling flexibility;
            ``(7) as appropriate, a description of any partnerships 
        with local businesses to develop training, curriculum-based 
        youth entrepreneurship education and mentoring services for 
        participating students;
            ``(8) as appropriate, a description of how programs will 
        involve parents in efforts to improve the educational 
        achievement of their children, prevent the involvement of their 
        children in delinquent activities, and encourage their children 
        to remain in school and complete their education;
            ``(9) a description of how the program under this subpart 
        will be coordinated with other Federal, State, and local 
        programs, such as programs under the Job Training Partnership 
        Act or title I of the Workforce Investment Act of 1998 and 
        vocational and technical education programs serving this at-
        risk population of youth;''.

SEC. 150. USES OF FUNDS.

    Section 1424 is amended by striking paragraphs (1) through (3) and 
inserting the following:
            ``(1) programs that serve youth returning from correctional 
        facilities to local schools to assist in the transition of such 
        youth to the school environment and help them remain in school 
        in order to complete their education;
            ``(2) providing assistance to other youth at risk of 
        dropping out of school, including pregnant and parenting 
        teenagers;
            ``(3) the coordination of social, health, and other 
        services, including day care, for participating youth if the 
        provision of such services will improve the likelihood that 
        such youth will complete their education;
            ``(4) special programs to meet the unique academic needs of 
        participating youth, including vocational and technical 
        education, special education, career counseling, curriculum-
        based youth entrepreneurship education, and assistance in 
        securing student loans or grants for postsecondary education; 
        and
            ``(5) programs providing mentoring and peer mediation.''.

SEC. 151. PROGRAM REQUIREMENTS.

    Section 1425 is amended--
            (1) in paragraph (1), by striking ``where feasible, ensure 
        educational programs'' and inserting the following: ``to the 
        extent practicable, ensure that educational programs'';
            (2) in paragraph (3), by striking ``where feasible,'' and 
        inserting the following: ``to the extent practicable,'';
            (3) in paragraph (8), by striking ``where feasible,'' and 
        inserting the following: ``to the extent practicable,'';
            (4) in paragraph (9), by inserting ``and technical'' after 
        ``vocational''; and
            (5) by amending paragraph (11) to read as follows:
            ``(11) if appropriate, work with local businesses to 
        develop training, curriculum-based youth entrepreneurship 
        education, and mentoring programs for youth.''.

SEC. 152. PROGRAM EVALUATIONS.

    Section 1431(a) is amended by striking ``sex, and if feasible,'' 
and inserting ``gender,''.

                       PART D--GENERAL PROVISIONS

SEC. 161. GENERAL PROVISIONS.

    Title I is amended--
            (1) by redesignating part F as part G; and
            (2) by redesignating sections 1601 through 1604 as sections 
        1701 through 1704, respectively.

                  PART E--COMPREHENSIVE SCHOOL REFORM

SEC. 171. COMPREHENSIVE SCHOOL REFORM.

    Title I is amended by inserting after Part E the following:

                 ``PART F--COMPREHENSIVE SCHOOL REFORM

``SEC. 1601. COMPREHENSIVE SCHOOL REFORM.

    ``(a) Findings and Purpose.--
            ``(1) Findings.--Congress finds the following:
                    ``(A) A number of schools across the country have 
                shown impressive gains in student performance through 
                the use of comprehensive models for schoolwide change 
                that incorporate virtually all aspects of school 
                operations.
                    ``(B) No single comprehensive school reform model 
                may be suitable for every school, however, schools 
                should be encouraged to examine successful, externally 
                developed comprehensive school reform approaches as 
                they undertake comprehensive school reform.
                    ``(C) Comprehensive school reform is an important 
                means by which children are assisted in meeting 
                challenging State student performance standards.
            ``(2) Purpose.--The purpose of this section is to provide 
        financial incentives for schools to develop comprehensive 
        school reforms, based upon scientifically based research and 
        effective practices that include an emphasis on basic academics 
        and parental involvement so that all children can meet 
        challenging State content and performance standards.
    ``(b) Program Authorized.--
            ``(1) In general.--The Secretary is authorized to provide 
        grants to State educational agencies to provide subgrants to 
        local educational agencies to carry out the purpose described 
        in subsection (a)(2).
            ``(2) Allocation.--
                    ``(A) Reservation.--Of the amount appropriated 
                under this section, the Secretary may reserve--
                            ``(i) not more than 1 percent for schools 
                        supported by the Bureau of Indian Affairs and 
                        in the United States Virgin Islands, Guam, 
                        American Samoa, and the Commonwealth of the 
                        Northern Mariana Islands; and
                            ``(ii) not more than 1 percent to conduct 
                        national evaluation activities described under 
                        subsection (e).
                    ``(B) In general.--Of the amount of funds remaining 
                after the reservation under subparagraph (A), the 
                Secretary shall allocate to each State for a fiscal 
                year, an amount that bears the same ratio to the amount 
                appropriated for that fiscal year as the amount made 
                available under section 1124 to the State for the 
                preceding fiscal year bears to the total amount 
                allocated under section 1124 to all States for that 
                year.
                    ``(C) Reallocation.--If a State does not apply for 
                funds under this section, the Secretary shall 
                reallocate such funds to other States that do apply in 
                proportion to the amount allocated to such States under 
                subparagraph (B).
    ``(c) State Awards.--
            ``(1) State application.--
                    ``(A) In general.--Each State educational agency 
                that desires to receive a grant under this section 
                shall submit an application to the Secretary at such 
                time, in such manner and containing such other 
                information as the Secretary may reasonably require.
                    ``(B) Contents.--Each State application shall also 
                describe--
                            ``(i) the process and selection criteria by 
                        which the State educational agency, using 
                        expert review, will select local educational 
                        agencies to receive subgrants under this 
                        section;
                            ``(ii) how the agency will ensure that only 
                        comprehensive school reforms that are based on 
                        scientifically based research receive funds 
                        under this section;
                            ``(iii) how the agency will disseminate 
                        materials regarding information on 
                        comprehensive school reforms that are based on 
                        scientifically based research;
                            ``(iv) how the agency will evaluate the 
                        implementation of such reforms and measure the 
                        extent to which the reforms resulted in 
                        increased student academic performance; and
                            ``(v) how the agency will provide, upon 
                        request, technical assistance to the local 
                        educational agency in evaluating, developing, 
                        and implementing comprehensive school reform.
            ``(2) Uses of funds.--
                    ``(A) In general.--Except as provided in 
                subparagraph (E), a State educational agency that 
                receives an award under this section shall use such 
                funds to provide competitive grants to local 
                educational agencies receiving funds under part A.
                    ``(B) Grant requirements.--A grant to a local 
                educational agency shall be--
                            ``(i) of sufficient size and scope to 
                        support the initial costs for the particular 
                        comprehensive school reform plan selected or 
                        designed by each school identified in the 
                        application of the local educational agency;
                            ``(ii) in an amount not less than $50,000 
                        to each participating school; and
                            ``(iii) renewable for 2 additional 1-year 
                        periods after the initial 1-year grant is made 
                        if schools are making substantial progress in 
                        the implementation of their reforms.
                    ``(C) Priority.--The State, in awarding grants 
                under this paragraph, shall give priority to local 
                educational agencies that--
                            ``(i) plan to use the funds in schools 
                        identified as being in need of improvement or 
                        corrective action under section 1116(b); and
                            ``(ii) demonstrate a commitment to assist 
                        schools with budget allocation, professional 
                        development, and other strategies necessary to 
                        ensure the comprehensive school reforms are 
                        properly implemented and are sustained in the 
                        future.
                    ``(D) Grant consideration.--In making subgrant 
                awards under this part, the State educational agency 
                shall take into account the equitable distribution of 
                awards to different geographic regions within the 
                State, including urban and rural areas, and to schools 
                serving elementary and secondary students.
                    ``(E) Administrative costs.--A State educational 
                agency that receives a grant award under this section 
                may reserve not more than 5 percent of such award for 
                administrative, evaluation, and technical assistance 
                expenses.
                    ``(F) Supplement.--Funds made available under this 
                section shall be used to supplement, not supplant, any 
                other Federal, State, or local funds that would 
                otherwise be available to carry out this section.
            ``(3) Reporting.--Each State educational agency that 
        receives an award under this section shall provide to the 
        Secretary such information as the Secretary may require, 
        including the names of local educational agencies and schools 
        selected to receive subgrant awards under this section, the 
        amount of such award, and a description of the comprehensive 
        school reform model selected and in use.
    ``(d) Local Awards.--
            ``(1) In general.--Each local educational agency that 
        applies for a subgrant under this section shall--
                    ``(A) identify which schools eligible for funds 
                under part A plan to implement a comprehensive school 
                reform program, including the projected costs of such a 
                program;
                    ``(B) describe the scientifically based 
                comprehensive school reforms that such schools will 
                implement;
                    ``(C) describe how the agency will provide 
                technical assistance and support for the effective 
                implementation of the scientifically based school 
                reforms selected by such schools; and
                    ``(D) describe how the agency will evaluate the 
                implementation of such reforms and measure the results 
                achieved in improving student academic performance.
            ``(2) Components of the program.--A local educational 
        agency that receives a subgrant award under this section shall 
        provide such funds to schools that implement a comprehensive 
        school reform program that--
                    ``(A) employs innovative strategies and proven 
                methods for student learning, teaching, and school 
                management that are based on scientifically based 
                research and effective practices and have been 
                replicated successfully in schools with diverse 
                characteristics;
                    ``(B) integrates a comprehensive design for 
                effective school functioning, including instruction, 
                assessment, classroom management, professional 
                development, parental involvement, and school 
                management, that aligns the school's curriculum, 
                technology, professional development into a 
                comprehensive reform plan for schoolwide change 
                designed to enable all students to meet challenging 
                State content and challenging student performance 
                standards and addresses needs identified through a 
                school needs assessment;
                    ``(C) provides high-quality and continuous teacher 
                and staff professional development;
                    ``(D) includes measurable goals for student 
                performance and benchmarks for meeting such goals;
                    ``(E) is supported by teachers, principals, 
                administrators, and other professional staff;
                    ``(F) provides for the meaningful involvement of 
                parents and the local community in planning and 
                implementing school improvement activities;
                    ``(G) uses high quality external technical support 
                and assistance from an entity, which may be an 
                institution of higher education, with experience and 
                expertise in schoolwide reform and improvement;
                    ``(H) includes a plan for the evaluation of the 
                implementation of school reforms and the student 
                results achieved; and
                    ``(I) identifies how other resources, including 
                Federal, State, local, and private resources, available 
                to the school will be used to coordinate services to 
                support and sustain the school reform effort.
            ``(3) Special rule.--A school that receives funds to 
        develop a comprehensive school reform program shall not be 
        limited to using the approaches identified or developed by the 
        Department of Education, but may develop its own comprehensive 
        school reform programs for schoolwide change that comply with 
        paragraph (2).
    ``(e) Evaluation and Report.--
            ``(1) In general.--The Secretary shall develop a plan for a 
        national evaluation of the programs developed pursuant to this 
        section.
            ``(2) Evaluation.--In carrying out paragraph (1), the 
        Secretary shall evaluate the implementation and results 
        achieved by schools after 3 years of implementing comprehensive 
        school reforms, and assess the effectiveness of comprehensive 
        school reforms in schools with diverse characteristics.
            ``(3) Reports.--Prior to the completion of a national 
        evaluation, the Secretary shall submit an interim report 
        outlining first year implementation activities to the 
        Committees on Education and the Workforce and Appropriations of 
        the House of Representatives and the Committees on Health, 
        Education, Labor, and Pensions and Appropriations of the 
        Senate.
    ``(f) Authorization of Appropriations.--There are authorized to 
carry out this section $300,000,000 for fiscal year 2002 and such sums 
as may be necessary for each of the 4 succeeding fiscal years.''.

                       TITLE II--SMART CLASSROOMS

SEC. 201. SMART CLASSROOMS.

    (a) In General.--Title II (20 U.S.C. 6601 et seq.) is amended--
            (1) by striking the heading for title II and inserting the 
        following:

                    ``TITLE II--SMART CLASSROOMS'';

            (2) by striking sections 2001 through 2003;
            (3) by striking parts A, B, D and E;
            (3) by redesignating part C as part D; and
            (4) by inserting after the title heading the following:

            ``PART A--QUALIFIED TEACHERS IN EVERY CLASSROOM

         ``Subpart 1--Purpose; Authorization of Appropriations

``SEC. 2001. PURPOSE.

    ``The purpose of this part is to support the improvement of 
classroom instruction, so that all students are able to achieve to 
challenging State content and student performance standards in the core 
academic subjects, by providing assistance to State and local 
educational agencies in their efforts to recruit and retain a fully 
qualified instructional staff by--
            ``(1) supporting States and local educational agencies in 
        continuing the task of developing challenging content and 
        student performance standards and aligned assessments, revising 
        curricula and teacher certification requirements, and using 
        challenging content and student performance standards to 
        improve teaching and learning;
            ``(2) assisting high-poverty local educational agencies and 
        low-performing local educational agencies that have the 
        greatest difficulty in recruiting and retaining fully qualified 
        teachers;
            ``(3) supporting States and local educational agencies in 
        recruiting and retaining teachers in subject areas in which the 
        State has determined there to be a shortage of teachers;
            ``(4) ensuring that all instructional staff have the 
        subject matter knowledge and teaching skills necessary to teach 
        effectively in all subjects in which they provide instruction;
            ``(5) providing assistance to new teachers during their 
        first 3 years in the classroom; and
            ``(6) ensuring that teachers, principals, administrators, 
        and other school staff have access to professional development 
        that is aligned with challenging State content and student 
        performance standards in the core academic subjects.

``SEC. 2002. AUTHORIZATION OF APPROPRIATIONS.

    ``(a) Subpart 2.--For the purpose of carrying out subpart 2, there 
are authorized to be appropriated $2,745,000,000 for fiscal year 2002, 
$2,816,000,000 for fiscal year 2003, $2,889,000,000 for fiscal year 
2004, $2,959,000,000 for fiscal year 2005, and $3,027,000,000 for 
fiscal year 2006.
    ``(b) Subpart 3.--For the purpose of carrying out subpart 3, there 
are authorized to be appropriated $40,000,000 for fiscal year 2002 and 
such sums as may be necessary for each of fiscal years 2003 through 
2006.

                ``Subpart 2--State and Local Activities

``SEC. 2011. ALLOCATIONS TO STATES.

    ``(a) In General.--In the case of each State that in accordance 
with section 2013 submits to the Secretary an application for a fiscal 
year, and has that application approved under section 2013(c), the 
Secretary shall make a grant for the year to the State for the uses 
specified in section 2012. The grant shall consist of the allocation 
determined for the State under subsection (b) or (c).
    ``(b) Reservation of Funds.--From the amount made available to 
carry out this subpart for any fiscal year, the Secretary shall 
reserve--
            ``(1) one-half of 1 percent to provide assistance to the 
        Virgin Islands, Guam, American Samoa, and the Commonwealth of 
        the Northern Mariana Islands, to be distributed among these 
        outlying areas on the basis of their relative need, as 
        determined by the Secretary in accordance with the purpose of 
        this part; and
            ``(2) one-half of 1 percent for the Secretary of the 
        Interior for activities under this subpart for teachers, 
        principals, administrators, and other school staff in schools 
        operated or funded by the Bureau of Indian Affairs.
    ``(c) State Allocations.--
            ``(1) In general.--After reserving funds under subsection 
        (b), the Secretary shall allocate the remaining amount made 
        available to carry out this subpart for any fiscal year among 
        the 50 States, the District of Columbia, and the Commonwealth 
        of Puerto Rico as follows:
                    ``(A) 50 percent of such amount shall be allocated 
                among such States on the basis of their relative 
                populations of individuals aged 5 through 17, as 
                determined by the Secretary on the basis of the most 
                recent satisfactory data.
                    ``(B) 50 percent of such amount shall be allocated 
                among such States in proportion to the number of 
                children, aged 5 to 17, who reside within the State 
                from families with incomes below the poverty line 
                applicable to a family of the size involved for the 
                most recent fiscal year for which satisfactory data are 
                available, compared to the number of such individuals 
                who reside in all such States for that fiscal year.
            ``(2) Minimum allocation.--No State receiving an allocation 
        under paragraph (1) may receive less than one-quarter of 1 
        percent of the total amount made available to carry out this 
        subpart for any fiscal year and not reserved under subsection 
        (b).

``SEC. 2012. WITHIN-STATE ALLOCATIONS.

    ``(a) Subgrants to Local Educational Agencies.--
            ``(1) In general.--Each State receiving a grant under this 
        subpart shall expend at least 92 percent of the amount of the 
        funds provided under the grant for the purpose of making 
subgrants to local educational agencies as follows:
                    ``(A) subject to paragraph (2), 80 percent of such 
                amount shall be allocated as follows:
                            ``(i) 60 percent shall be allocated among 
                        local educational agencies having an approved 
                        application under section 2017 in proportion to 
                        the number of children, aged 5 to 17, who 
                        reside within the jurisdiction served by the 
                        agency from families with incomes below the 
                        poverty line applicable to a family of the size 
                        involved for the most recent fiscal year for 
                        which satisfactory data are available, compared 
                        to the number of such children who reside in 
                        all such jurisdictions for that fiscal year.
                            ``(ii) 40 percent shall be allocated among 
                        local educational agencies having an approved 
                        application under section 2017 on the basis of 
                        their relative populations of children aged 5 
                        to 17, as determined by the Secretary on the 
                        basis of the most recent satisfactory data.
                    ``(B) 20 percent of such amount shall be used to 
                provide additional funds to local educational agencies, 
                and partnerships described in section 2016(b)(1), 
                having an approved application under section 2018 in 
                accordance with such section.
            ``(2) Minimum amount.--Notwithstanding paragraph (1)(A), a 
        local educational agency may not receive an allocation under 
        such paragraph for any fiscal year that is less than its 
        allocation for fiscal year 2001 under section 2203(1) of this 
        Act (as in effect on the day before the date of the enactment 
        of the Excellence and Accountability in Education Act). If the 
        amount available for allocations under paragraph (1)(A) is 
        insufficient to satisfy the preceding sentence, each allocation 
        under such paragraph shall be ratably reduced.
    ``(b) Subgrants to Partnerships.--Each State receiving a grant 
under this subpart shall expend at least 2 percent of the amount of the 
funds provided under the grant for the purpose of making subgrants to 
partnerships under section 2016.
    ``(c) State-Level Activities.--Each State receiving a grant under 
this part may expend not more than 6 percent of the amount of the funds 
provided under the grant for one or more of the State-level activities 
described in section 2015.
    ``(d) Administration and Evaluations.--Subject to section 2023, 
each State receiving a grant under this subpart or part C shall expend 
not more than \1/6\ of its allocation under subsection (c) for--
            ``(1) its costs of administering this subpart and part C;
            ``(2) evaluations of the effectiveness of activities under 
        this subpart and part C, including effectiveness as measured 
        using the indicators of program performance described in 
        section 2401; and
            ``(3) reports required under section 2201(e).

``SEC. 2013. STATE APPLICATION.

    ``(a) Applications Required.--
            ``(1) In general.--Each State desiring to receive its 
        allocation under this subpart shall submit, through its State 
        educational agency, an application to the Secretary at such 
        time, in such form, and containing such information as the 
        Secretary reasonably may require.
            ``(2) Consultation.--The State educational agency shall 
        develop the State application--
                    ``(A) in consultation with the State agency for 
                higher education, community-based and other nonprofit 
                organizations of demonstrated effectiveness in 
                professional development, and institutions of higher 
                education; and
                    ``(B) with the extensive participation of teachers, 
                teacher educators, school administrators, and content 
                specialists.
    ``(b) Contents.--Each such application shall include the following:
            ``(1) A description of how the State educational agency 
        will use all funds received under this subpart to implement 
        State plans or policies that support comprehensive standards-
        based education reform through the following strategies:
                    ``(A) Supporting the alignment of curricula and 
                assessments with challenging State content and student 
                performance standards.
                    ``(B) Supporting local educational agencies in 
                their efforts to recruit and retain fully qualified 
                teachers, with special consideration given to 
                recruiting highly qualified teachers from minority and 
                other historically underrepresented groups, including 
                bilingual teachers.
                    ``(C) Ensuring that teachers employed by local 
                educational agencies are proficient in content 
                knowledge and teaching skills in all subjects in which 
                they provide instruction.
                    ``(D) Providing professional development, aligned 
                with State content and student performance standards, 
                in core academic subjects.
            ``(2) An assurance that teacher aides or other 
        paraprofessionals who are not fully qualified teachers provide 
        instruction to students only under the direct and immediate 
        supervision of a fully qualified teacher, and have received the 
        professional development necessary to perform their duties.
            ``(3) A description of the process the State educational 
        agency will use to make competitive awards to local educational 
        agencies under section 2018, including a description of--
                    ``(A) the State's criteria for classifying local 
                educational agencies as among those having the greatest 
                need for services provided under this subpart and its 
                justification for those criteria;
                    ``(B) the State's strategies for ensuring that 
                local educational agencies that have historically had 
                little success in competing for funds are provided a 
                reasonable opportunity to compete for subgrants;
                    ``(C) the State's criteria for determining the 
                amounts that it will award to recipients and the 
criteria for providing noncompetitive renewals of subgrants;
                    ``(D) the technical assistance that the State 
                educational agency will provide, under section 
                2018(e)(2), to local educational agencies that it 
                identifies as having the greatest need for services and 
                that fail to receive an award under section 2018; and
                    ``(E) how the State will give special priority to 
                local educational agencies seeking to fulfill school 
                improvement requirements under section 1116.
            ``(4) A description of how the State educational agency 
        will ensure that all recipients of funds under this subpart 
        will report on their level of performance based on the program 
        performance indicators described in section 2401.
            ``(5) A list of any additional indicators of program 
        performance, beyond those described in section 2401, on which 
        the State educational agency and the State agency for higher 
        education will require recipients to report.
            ``(6) A set of specific, numerical, annual goals for each 
        of the performance indicators required under section 2401 and 
        for any additional indicators that the State elects to use for 
        measuring the progress of the State and local educational 
        agencies receiving funds under this subpart.
            ``(7) A description of how the State will coordinate 
        professional development activities authorized under this 
        subpart with professional development activities provided under 
        other Federal, State, and local programs, including those 
        authorized under this Act and (where applicable) the 
        Individuals with Disabilities Education Act and the Carl D. 
        Perkins Vocational and Technical Education Act. The application 
        shall also describe the comprehensive strategy that the State 
        will take as part of such coordination effort, to ensure that 
        teachers are trained in the utilization of technology so that 
        technology and its applications are effectively used in the 
        classroom to improve teaching and learning in all curriculum 
        and content areas, as appropriate.
    ``(c) Approval.--The Secretary shall, using a peer-review process, 
approve a State application if it meets the requirements of this 
section and holds reasonable promise of achieving the purpose described 
in section 2002.

``SEC. 2014. STATE ACCOUNTABILITY.

    ``(a) Annual Reports.--Each State educational agency that receives 
funds under this subpart and part C shall, beginning in fiscal year 
2003, annually compile, publish, submit to the Secretary, and 
distribute to the public, a report including the following information:
            ``(1) The percentage of teachers teaching in the State who 
        have not met State qualifications and licensing criteria for 
        all grade levels and subject areas in which they provide 
        instruction.
            ``(2) The percentage of teachers teaching in the State 
        under emergency or other provisional status through which State 
        qualifications or licensing criteria have been waived.
            ``(3) The percentage of teachers teaching in the State who 
        do not hold a postsecondary degree with a major in all subject 
        areas in which they provide instruction.
            ``(4) The average class size.
            ``(5) The percentage of teachers with certification from 
        the National Board for Professional Teaching Standards.
            ``(6) Information on the progress of recipients of 
        subgrants under this subpart, measured based on the program 
        performance indicators described in section 2041 and any 
        additional indicators included in the State's application.
            ``(7) Such other information as the Secretary may 
        reasonably require.
    ``(b) Disaggregated Data.--Data collected for the purpose of 
carrying out this section shall be disaggregated by State, local 
educational agency, and school.
    ``(c) Coordination.--The report required under this section shall 
be coordinated with reporting requirements under title I and other 
titles of this Act and shall not be duplicative of such reporting 
requirements.

``SEC. 2015. STATE-LEVEL ACTIVITIES.

    ``Each State shall use funds it reserves under section 2012(c) to 
carry out activities described in its approved application that promote 
high-quality classroom instruction, such as--
            ``(1) supporting the continued improvement of State content 
        and student performance standards and assessments aligned with 
        those standards;
            ``(2) providing technical assistance and other services to 
        increase the capacity of local educational agencies and schools 
        to develop and implement systemic local improvement plans, 
        implement State and local assessments, and develop curricula 
        consistent with State content and performance standards;
            ``(3) supporting the development and implementation, at the 
        local educational agency and school-building level, of improved 
        systems for recruiting, selecting, hiring, mentoring, 
        supporting, evaluating, and rewarding principals and fully 
        qualified teachers;
            ``(4) redesigning and strengthening professional licensure 
        systems for educators;
            ``(5) developing performance-based assessment systems for 
        full teacher licensure;
            ``(6) establishing, expanding, or improving rigorous 
        alternative routes to State certification or licensure that 
        lead to certification within 2 years and require applicants to 
        meet the same standards and pass the same tests as other 
        applicants;
            ``(7) developing or strengthening assessments to test the 
        content knowledge and teaching skills of new teachers;
            ``(8) developing and implementing professional development 
        opportunities for teachers, principals, administrators, and 
        other school staff based on State content and student 
        performance standards;
            ``(9) operating a teacher academy that establishes and 
        demonstrates models for local educational agencies to improve 
        teaching and learning through activities such as--
                    ``(A) using master teachers to mentor and train 
                student teachers; and
                    ``(B) providing ongoing professional development 
                opportunities and support for teachers;
            ``(10) providing professional development programs that 
        enable teachers to effectively communicate with parents in the 
        education process to support classroom instruction and work 
        effectively with parent volunteers;
            ``(11) executing policies and practices that will ensure 
        that low-income and minority students are not taught by 
        emergency certified or unqualified teachers at rates higher 
        than other students; and
            ``(12) increasing the portability of teacher pensions and 
        reciprocity of teaching credentials across State lines.

``SEC. 2016. SUBGRANTS TO PARTNERSHIPS.

    ``(a) Administration.--From the funds made available to it under 
section 2012(b) for any fiscal year, a State agency for higher 
education may use not more than 5 percent for its expenses in 
administering this section, including conducting evaluations and 
reporting under subsection (g).
    ``(b) Subgrants to Partnerships.--
            ``(1) In general.--
                    ``(A) Partnerships.--For the purpose of providing 
                professional development to elementary and secondary 
                school teachers in a local educational agency that is 
                both a high-poverty local educational agency and a low-
                performing local educational agency, a State agency for 
                higher education, subject to subsection (a) and in 
                conjunction with the State educational agency, shall 
                use the funds made available to it under section 
                2012(b) for any fiscal year to make subgrants to 
                partnerships consisting of--
                            ``(i) one or more institutions of higher 
                        education (including historically Black 
                        colleges and universities and Hispanic-serving 
                        institutions), or nonprofit organizations of 
                        demonstrated effectiveness in providing 
                        professional development in the core academic 
                        subjects; and
                            ``(ii) a local educational agency that is 
                        both a high-poverty local educational agency 
                        and a low-performing local educational agency, 
                        or more than 1 such agency.
                    ``(B) Requirement for institutions of higher 
                education.--Participating institutions of higher 
                education shall meet the criteria under sections 203 
                and 207 of the Higher Education Act of 1965.
            ``(2) Size, duration, and peer review.--Each subgrant under 
        this section shall be--
                    ``(A) of sufficient size and duration to carry out 
                the purpose of this subpart effectively; and
                    ``(B) awarded, using a peer-review process, on a 
                competitive basis.
            ``(3) Priority.--In making subgrants under this section, a 
        State agency for higher education shall give a priority to 
        projects that focus on induction programs for new teachers, 
        particularly those who teach in schools identified for school 
        improvement under section 1116.
            ``(4) Other factors.--In making subgrants under this 
        section, a State agency for higher education shall consider--
                    ``(A) the need for the proposed professional 
                development activities in the jurisdiction of the local 
                educational agency; and
                    ``(B) the quality of the proposed program and its 
                likelihood of success in improving classroom 
                instruction and student academic achievement.
    ``(c) Partnership Agreements.--No institution of higher education 
or nonprofit organization may receive a subgrant under this section 
unless it enters into a written agreement with at least 1 local 
educational agency that is both a high-poverty local educational agency 
and a low-performing local educational agency to provide professional 
development to elementary and secondary school teachers in the schools 
of that agency in the core academic subjects. Each such agreement shall 
identify specific goals for how the professional development that the 
subgrantee provides will enhance the ability of those teachers to 
prepare all students, including females, minorities, students with 
disabilities, students with limited English proficiency, and 
economically disadvantaged students, to achieve to challenging State 
content and student performance standards in all subjects in which 
those teachers provide instruction.
    ``(d) Coordination.--Any professional development activities 
carried out under this section by a partnership shall be coordinated 
with activities carried out under title II of the Higher Education Act 
of 1965 (20 U.S.C. 1021 et seq.), if any member of the partnership is 
participating in programs funded under that title.
    ``(e) Joint Efforts Within Institutions of Higher Education.--In 
the case of a partnership that includes an institution of higher 
education, each activity assisted under this section shall involve the 
joint effort of the institution's school or department of education and 
the schools or departments responsible for the specific disciplines in 
which the professional development will be provided.
    ``(f) Uses of Funds.--A recipient of funds under this section shall 
use those funds for--
            ``(1) research-based programs to assist new teachers during 
        their first 3 years in the classroom, which may include--
                    ``(A) mentoring and coaching by appropriately 
                trained and certified teachers;
                    ``(B) team teaching with experienced teachers;
                    ``(C) observation by, and consultation with, 
                experienced teachers;
                    ``(D) assignment of fewer course preparations; and
                    ``(E) provision of additional time for preparation;
            ``(2) professional development in the core academic 
        subjects, aligned with State content and student performance 
        standards, for teams of teachers from a school or local 
        educational agency and, where appropriate, principals, 
administrators, and other school staff; and
            ``(3) providing technical assistance to school and local 
        educational agency staff for planning, implementing, and 
        evaluating professional development.
    ``(g) Annual Reports.--
            ``(1) In general.--Beginning with fiscal year 2003, each 
        subgrantee under this section shall submit an annual report to 
        the State agency for higher education, by a date set by that 
        agency, on its progress, as measured using the indicators of 
        partnership performance described in section 2041.
            ``(2) Content.--Each such report--
                    ``(A) shall include a copy of each written 
                agreement required by subsection (c); and
                    ``(B) shall describe how the partners have 
                collaborated to achieve the specific goals set out in 
                the agreement, and the results of that collaboration.
            ``(3) Copy.--The State agency for higher education shall 
        provide the State educational agency with a copy of each 
        subgrantee's annual report.
    ``(h) Special Rule.--No single participant in a partnership 
receiving a subgrant under this section may retain more than 50 percent 
of the funds made available to the partnership under this section.

``SEC. 2017. LOCAL APPLICATIONS FOR FORMULA SUBGRANTS.

    ``(a) Application Required.--Each local educational agency desiring 
to receive its allocation from funds made available under section 
2012(a)(1)(A) for any fiscal year shall submit an application to the 
State educational agency at such time, in such form, and containing 
such information as the State educational agency reasonably may 
require. Each such application shall include an agency-wide plan for 
raising student achievement against State standards through each of the 
following strategies:
            ``(1) Supporting the alignment of curricula, assessments, 
        classroom instructional strategies, and professional 
        development with challenging State content and student 
        performance standards.
            ``(2) Carrying out activities to recruit fully qualified 
        teachers, particularly in subject areas and in schools in which 
        there is a shortage of such teachers with special consideration 
        given to recruiting fully qualified teachers from minority and 
        other historically underrepresented groups, including bilingual 
        teachers.
            ``(3) Ensuring that teachers employed by the local 
        educational agency are proficient in teaching skills and in the 
        content knowledge necessary to effectively teach the content 
        called for by State and local standards in all subjects in 
        which they provide instruction and are prepared to integrate 
        technology into the classroom.
            ``(4) Targeting funds to schools within the jurisdiction of 
        the local educational agency that--
                    ``(A) have the highest percentage of classes in 
                core academic subjects taught by teachers who are not 
                fully qualified;
                    ``(B) have the largest average class size; or
                    ``(C) are identified for school improvement under 
                section 1116(b).
            ``(5) Carrying out activities to assist new teachers during 
        their first 3 years in the classroom.
            ``(6) Providing professional development in core academic 
        subjects.
    ``(b) Additional Contents.--Each such application shall also--
            ``(1) identify specific, measurable goals for achieving the 
        purpose described in section 2002 that, at a minimum, reflect 
        the performance indicators described in section 2041;
            ``(2) describe how the local educational agency will use 
        funds received under this subpart to help implement the plan 
        described in subsection (a);
            ``(3) include an assurance that the local educational 
        agency will collect data that measure progress toward the 
        indicators of program performance described in section 2041;
            ``(4) describe how the local educational agency will 
        address the needs of high-poverty, low-performing schools 
        within its jurisdiction;
            ``(5) describe how the local educational agency will 
        address the needs of teachers of students with limited English 
        proficiency and other students with special needs; and
            ``(6) describe how the local educational agency will 
        coordinate funds under this subpart with the professional 
        development activities funded through other State and Federal 
        programs.
    ``(c) Approval.--Notwithstanding section 2012(a)(1)(A), a State 
educational agency shall approve a local educational agency's 
application under this section only if the application satisfies the 
requirements of this section and the State educational agency 
determines that the application holds reasonable promise of achieving 
the purpose described in section 2002.
    ``(d) Consolidated Application.--Local educational agencies may 
consolidate applications under this section and section 2018.

``SEC. 2018. LOCAL APPLICATIONS FOR COMPETITIVE SUBGRANTS.

    ``(a) In General.--Each State educational agency shall use the 
funds described in section 2012(a)(1)(B) for competitive grants to 
local educational agencies, and partnerships described in section 
2016(b)(1), that focus primarily on those agencies and partnerships 
with the greatest need for--
            ``(1) activities related to the development, and effective 
        implementation, of curricula aligned with state content and 
        student performance standards; and
            ``(2) professional development activities that are aligned 
        with those standards.
    ``(b) Selection Process.--
            ``(1) In general.--The State educational agency shall award 
        subgrants under this section through a peer-review process that 
        includes reviewers who are knowledgeable in the academic 
        content areas.
            ``(2) Public availability.--The State educational agency--
                    ``(A) shall provide local educational agencies and 
                the general public with a list of the selection 
                criteria that the State educational agency will use in 
                making subgrants under this section; and
                    ``(B) at the completion of the awards process, make 
                public a complete list of applicants and of the 
                applicants that received awards.
    ``(c) Demonstration of Need.--The State educational agency shall 
identify the applicants with the greatest need for services, based on 
the following objective data supplied by the applicant:
            ``(1) The number or percentage of children who fail to meet 
        State performance standards on assessments used for part A of 
        title I.
            ``(2) The number or percentage of schools identified for 
        school improvement under section 1116(b).
            ``(3) The number or percentage of teachers employed who 
        have not received full State certification or licensure.
            ``(4) The number or percentage of secondary school teachers 
        who do not have an academic major in a subject area directly 
        related to the area in which they provide instruction.
            ``(5) The number or percentage of students living in 
        poverty.
            ``(6) The number or percentage of students who have limited 
        English proficiency.
            ``(7) The applicant's fiscal capacity to fund programs 
        described in section 2019 without Federal assistance.
    ``(d) Selection of Subgrantees.--The State educational agency shall 
make awards to applicants based on--
            ``(1) the quality of the applicant's proposal and the 
        likelihood of its success in improving classroom instruction 
        and student academic achievement;
            ``(2) the demonstrated need of the applicant under 
        subsection (c); and
            ``(3) the applicant's need for professional development in 
        mathematics and science.
    ``(e) Opportunity To Compete.--
            ``(1) Strategies.--To ensure that local educational 
        agencies that have the greatest need are provided a reasonable 
        opportunity to compete for an award, State educational agencies 
        shall adopt at least 1 of the following strategies:
                    ``(A) Holding more than 1 competition for funds for 
                a fiscal year and, before each such competition, 
                providing technical assistance in developing a high-
                quality application to local educational agencies that 
                have demonstrated the greatest need but were 
                unsuccessful in the previous grant competition.
                    ``(B) Holding a competition restricted to local 
                educational agencies that it has identified under 
                subsection (c) as having the greatest need for 
                services.
                    ``(C) Requiring recipients seeking a renewal of a 
                subgrant under this section to form a partnership with 
                an applicant that applied for, but failed to receive, 
                such a subgrant.
                    ``(D) Providing a competitive priority to those 
                local educational agencies the State educational agency 
                has identified under subsection (c) as having the 
                greatest need for services.
            ``(2) Technical assistance.--At a minimum, a State 
        educational agency shall, after the completion of an award 
        cycle and before the start of the next cycle, provide technical 
        assistance in developing a high-quality application for future 
        competitions to any local educational agency identified under 
        subsection (c) as having the greatest need for services that 
        did not receive a subgrant.
    ``(f) Scope of Projects.--The State educational agency shall award 
a subgrant under this section only for projects that are of sufficient 
size, scope, and quality to achieve the purpose of this part.

``SEC. 2019. USES OF FUNDS.

    ``(a) Priority for Professional Development in Mathematics and 
Science and Fully Qualified Teachers.--
            ``(1) Appropriation equal to or less than $300,000,000.--
        Except as provided in section 2020(d), in any fiscal year for 
        which the amount appropriated for this subpart is $300,000,000 
        or less, each local educational agency shall ensure that all 
        funds received by the agency under this subpart are used for 
        professional development in mathematics and science.
            ``(2) Appropriation greater than $300,000,000.--Except as 
        provided in section 2020(d), in any fiscal year for which the 
        amount appropriated for this subpart is greater than 
        $300,000,000, each local educational agency shall ensure that 
        the amount of funds under this subpart that the agency uses for 
        professional development in mathematics and science is at least 
        as much as the amount that would have been made available to 
        the agency if the amount appropriated had been $300,000,000.
            ``(3) Interdisciplinary activities.--In meeting the 
        requirement under paragraph (1) or (2), a local educational 
        agency may use funds under this subpart for activities that 
        focus on more than 1 core academic subject if those activities 
        focus predominantly on improving instruction in mathematics or 
        science.
            ``(4) Increasing the percentage of fully qualified 
        teachers.--Each local educational agency receiving an 
        allocation under this subpart shall use funds in excess of the 
        allocation it received under this subpart (or in the case of 
        fiscal year 2002, under part B, as such part was in effect 
        before the date of the enactment of the Excellence and 
        Accountability in Education Act) for the preceding fiscal year 
        to increase its percentage of fully qualified teachers. Such 
        use shall be consistent with the plan and reporting 
        requirements established by the State under section 1119(a)(2) 
        to ensure that all teachers are fully qualified by December 31, 
        2005.
    ``(b) Other Professional Development Activities.--Each local 
educational agency shall ensure that funds under this subpart that the 
agency uses for professional development, in areas other than 
mathematics or science, are used to provide professional development 
activities in one or more of the other core academic subjects.
    ``(c) Other Uses of Funds.--Subject to subsection (a), a local 
educational agency that receives funds under this subpart may use those 
funds for activities to raise student achievement against challenging 
State standards, in accordance with its plan described in section 
2017(a), which may include the following:
            ``(1) Activities to recruit fully qualified teachers, 
        including teachers from historically underrepresented groups, 
        such as the provision of signing bonuses and other financial 
        incentives.
            ``(2) Providing the necessary education and training, 
        including paying (for programs that meet the criteria under 
        section 203(b)(2)(A)(i) of the Higher Education Act of 1965 (20 
        U.S.C. 1023(b)(2)(A)(i))) the costs of college tuition and 
        other student fees to assist current teachers or other school 
        personnel who are not fully qualified teachers to become fully 
        qualified, except that, to receive funds under this paragraph, 
        an individual must be within 2 years of completing an 
        undergraduate degree and must agree to teach in a high-poverty, 
        low-performing school for a period of at least 3 years.
            ``(3) Programs to assist new teachers during their first 3 
        years in the classroom, such as--
                    ``(A) mentoring and coaching by trained mentor 
                teachers;
                    ``(B) team teaching with experienced teachers;
                    ``(C) observation by, and consultation with, 
                experienced teachers;
                    ``(D) assignment of fewer course preparations; and
                    ``(E) provision of additional time for preparation.
            ``(4) Provision of professional development aligned with 
        State content and student performance standards.
            ``(5) Provision of professional development programs that 
        enable teachers to effectively communicate with parents and 
        involve parents in the educational process to support classroom 
        instruction and to work effectively with parent volunteers.
            ``(6) Participation by teams of teachers in summer 
        institutes and summer immersion activities that focus on 
        preparing teachers to bring all students to high standards in 
        one or more of the core academic subjects.
            ``(7) Subsidizing fees for teachers who participate in the 
        assessment process of the National Board for Professional 
        Teaching Standards.
            ``(8) Teacher participation in working groups, task forces, 
        or committees, charged with adapting and implementing high 
        standards for all students, including district-wide and school-
        based teams of teachers charged with aligning curricula and 
        lesson plans with State content and student performance 
        standards and assessments.
            ``(9) Programs to implement peer-assistance peer-review 
        processes for teachers, principals, administrators, and other 
        school staff.
            ``(10) Establishment and maintenance of local professional 
        networks that provide a forum for interaction among teachers 
        and that allow for the exchange of information on advances in 
        content and pedagogy.
            ``(11) Development of incentives to encourage teachers 
        employed by the agency, and other qualified individuals, to 
        obtain proficiency in content knowledge in a core academic 
        subject area identified by the agency as having a shortage of 
        qualified teachers.
            ``(12) Development and acquisition of curricular materials 
        and other instructional aids, if they are not normally provided 
        by the local educational agency or the State as part of the 
        regular instructional program, that will advance local reform 
        efforts to raise student achievement against State content and 
        student performance standards.
            ``(13) Providing increased opportunities for minorities, 
        individuals with disabilities, and other individuals 
        underrepresented in the teaching profession.

``SEC. 2020. LOCAL ACCOUNTABILITY.

    ``(a) Annual Reports.--Each local educational agency that receives 
funds under this subpart shall, beginning in fiscal year 2003, annually 
compile, publish, and submit to the State educational agency a report 
on its activities under this subpart, at such time, in such form, and 
containing such information as the State educational agency may 
reasonably require.
    ``(b) Contents.--Each report shall include the following 
information:
            ``(1) The percentage of classes taught in the jurisdiction 
        of the agency by teachers who have not met State qualifications 
        and licensing criteria for the grade levels of, and subject 
        matter taught in, such classes.
            ``(2) The percentage of teachers teaching in the 
        jurisdiction of the agency under emergency or other provisional 
        status through which State qualifications or licensing criteria 
        have been waived.
            ``(3) The percentage of teachers teaching in the 
        jurisdiction of the agency who do not hold a postsecondary 
        degree with a major in the subject areas in which they provide 
        instruction.
            ``(4) The average class size.
            ``(5) Information on the progress of schools and teachers 
        under this subpart, measured based on the program performance 
        indicators described in section 2041 and any additional 
        indicators included in the local educational agency's 
        application.
            ``(6) The percentage of classes taught in the jurisdiction 
        of the agency, disaggregated by school, and by unqualified 
        teachers.
            ``(7) Such other information as the State educational 
        agency may reasonably require.
    ``(c) Disaggregated Data.--Data collected for the purpose of 
carrying out this section shall be disaggregated by local educational 
agency and school.
    ``(d) Funding.--A local educational agency may reserve up to 5 
percent of the amount it receives under section 2012(a)(1)(A) to carry 
out this section.
    ``(e) Coordination.--The report required under this section shall 
be coordinated with reporting requirements under title I and other 
titles of this Act and shall not be duplicative of such reporting 
requirements.

``SEC. 2021. TECHNICAL ASSISTANCE.

    ``The State educational agency shall provide technical assistance 
to local educational agencies receiving a subgrant under this subpart 
that fail for 2 consecutive years to meet their goals, as measured 
using the performance indicators described in section 2041.

``SEC. 2022. CORRECTIVE ACTION.

    ``The State educational agency shall take corrective action, 
against any local educational agency that does not make sufficient 
effort to comply with this subpart within the time specified. In a case 
in which a State fails to take corrective action, the Secretary shall 
withhold funds from such State up to an amount equal to that described 
in section 2012(d).

``SEC. 2023. MAINTENANCE OF EFFORT.

    ``No funds may be provided to a local educational agency for a 
fiscal year under this subpart unless the State educational agency is 
satisfied that the local educational agency will spend, from other 
sources, at least as much for activities described in this subpart as 
the average amount it spent from other sources for those activities 
over the previous 3 fiscal years.

``SEC. 2024. EQUIPMENT AND TEXTBOOKS.

    ``A local educational agency may not use subgrant funds under this 
subpart for equipment, computer hardware, textbooks, telecommunications 
fees, or other items, that would otherwise be provided by the local 
educational agency, the State, or a private school whose students 
receive services under this part.

``SEC. 2025. SUPPLEMENT, NOT SUPPLANT.

    ``A local educational agency that receives funds under this subpart 
shall use those funds only to supplement the amount of funds or 
resources that would, in the absence of those Federal funds, be made 
available from non-Federal sources for the purposes of the program 
authorized under this subpart, and not to supplant those non-Federal 
funds or resources.

 ``Subpart 3--National Activities for the Improvement of Teaching and 
                           School Leadership

``SEC. 2031. ACTIVITIES OF NATIONAL SIGNIFICANCE.

    ``(a) In General.--The Secretary may make grants to, and enter into 
contracts and cooperative agreements with, local educational agencies, 
educational service agencies, State educational agencies, State 
agencies for higher education, institutions of higher education, and 
other public and private nonprofit agencies, organizations, and 
institutions to carry out subsection (b).
    ``(b) Activities.--The Secretary--
            ``(1) may support activities of national significance that 
        are not supported through other sources and that the Secretary 
        determines will contribute to the improvement of teaching and 
        school leadership in the Nation's schools, such as--
                    ``(A) supporting collaborative efforts by States, 
                or consortia of States, to review and benchmark the 
                quality, rigor, and alignment of State standards and 
                assessments;
                    ``(B) supporting collaborative efforts by States, 
                or consortia of States, to develop performance-based 
                systems for assessing content knowledge and teaching 
                skills prior to full teacher licensure;
                    ``(C) efforts to increase the portability of 
                teacher pensions and reciprocity of teaching 
                credentials across State lines; and
                    ``(D) research, evaluation, and dissemination 
                activities related to effective strategies for 
                increasing the portability of teachers' credited years 
                of experience across State and local educational agency 
                lines;
            ``(2) may support activities of national significance that 
        the Secretary determines will contribute to the recruitment and 
        retention of fully qualified teachers and principals in high-
        poverty local educational agencies and low-performing local 
        educational agencies, such as--
                    ``(A) providing States with assistance in the 
                development of alternative certification programs that 
                lead to certification within 2 years and require 
                applicants to meet the same standards and pass the same 
                tests as other applicants;
                    ``(B) the development and implementation of a 
                national teacher recruitment clearinghouse and job 
                bank, which shall be coordinated and, to the extent 
                feasible, integrated with the America's Job Bank 
                administered by the Secretary of Labor--
                            ``(i) to disseminate information and 
                        resources nationwide on entering the teaching 
                        profession to persons interested in becoming 
                        teachers;
                            ``(ii) to serve as a national resource 
                        center for effective practices in teacher 
                        recruitment and retention;
                            ``(iii) to link prospective teachers to 
                        local educational agencies and training 
                        resources with particular attention to high-
                        poverty local educational agencies and low-
                        performing local educational agencies with 
                        critical teacher shortages; and
                            ``(iv) to provide information and technical 
                        assistance to prospective teachers about 
                        certification and other State and local 
                        requirements related to teaching; and
                    ``(C) the development and implementation, or 
                expansion, of programs that recruit talented 
                individuals to become principals, including such 
                programs that employ alternative routes to State 
                certification, and that prepare both new and 
                experienced principals to serve as instructional 
                leaders, which may include the creation and operation 
                of a national center for the preparation and support of 
                principals as leaders of school reform; and
            ``(3) shall support the National Board for Professional 
        Teaching Standards.

``SEC. 2032. EISENHOWER NATIONAL CLEARINGHOUSE FOR MATHEMATICS AND 
              SCIENCE EDUCATION.

    ``(a) Establishment of Clearinghouse.--The Secretary shall award a 
competitive grant or contract to establish the Eisenhower National 
Clearinghouse for Mathematics and Science Education (in this section 
referred to as the `Clearinghouse').
    ``(b) Authorized Activities.--
            ``(1) Application and award basis.--
                    ``(A) In general.--Each entity desiring to 
                establish and operate the Clearinghouse shall submit an 
                application to the Secretary at such time, in such 
                manner, and containing such information as the 
                Secretary may require.
                    ``(B) Peer review.--The Secretary shall establish a 
                peer review process to make recommendations on the 
                recipient of the award for the Clearinghouse.
                    ``(C) Merit.--The Secretary shall make the award 
                for the Clearinghouse on the basis of merit.
            ``(2) Duration.--The Secretary shall award the grant or 
        contract for the Clearinghouse for a period of 5 years.
            ``(3) Activities.--The award recipient shall use the award 
        funds to--
                    ``(A) maintain a permanent collection of such 
                mathematics and science education instructional 
                materials and programs for elementary and secondary 
                schools as the Secretary finds appropriate, with a 
                priority for such materials and programs that have been 
                identified as promising or exemplary, through a 
                systematic approach such as the use of expert panels 
                required under the Educational Research, Development, 
                Dissemination, and Improvement Act of 1994;
                    ``(B) disseminate the materials and programs 
                described in paragraph (1) to the public, State 
                educational agencies, local educational agencies, and 
                schools (particularly high-poverty, low-performing 
                schools), including through the maintenance of an 
                interactive national electronic information management 
                and retrieval system accessible through the Worldwide 
                Web and other advanced communications technologies;
                    ``(C) coordinate with other databases containing 
                mathematics and science curriculum and instructional 
                materials, including Federal, non-Federal, and, where 
                feasible, international databases;
                    ``(D) support the development and dissemination of 
                model professional development materials in mathematics 
                and science education;
                    ``(E) contribute materials or information, as 
                appropriate, to other national repositories or 
                networks; and
                    ``(F) gather qualitative and evaluative data on 
                submissions to the Clearinghouse, and disseminate that 
                data widely, including through the use of electronic 
                dissemination networks.
            ``(4) Submission to clearinghouse.--Each Federal agency or 
        department that develops mathematics or science education 
        instructional materials or programs, including the National 
        Science Foundation and the Department, shall submit copies of 
        that material and those programs to the Clearinghouse.
            ``(5) Steering committee.--The Secretary may appoint a 
        steering committee to recommend policies and activities for the 
        Clearinghouse.
            ``(6) Application of copyright laws.--
                    ``(A) In general.--Nothing in this section shall be 
                construed to allow the use or copying, in any medium, 
                of any material collected by the Clearinghouse that is 
                protected under the copyright laws of the United States 
                unless the permission of the owner of the copyright is 
                obtained.
                    ``(B) Compliance.--In carrying out this section, 
                the Clearinghouse shall ensure compliance with title 17 
                of the United States Code.

  ``PART B--TRANSITION OF CAREER-CHANGING PROFESSIONALS TO TEACHING; 
                           TROOPS TO TEACHERS

``SEC. 2101. FINDINGS.

    ``The Congress finds as follows:
            ``(1) School districts will need to hire more than 
        2,000,000 teachers during the first decade of the 21st century.
            ``(2) The need for teachers in the areas of math, science, 
        foreign languages, special education, and bilingual education, 
        and for teachers able to teach in high-poverty school 
        districts, will be particularly high. To meet this need, 
        talented Americans of all ages should be recruited to become 
        successful, qualified teachers.
            ``(3) Nearly 13 percent of teachers of academic subjects 
        have neither an undergraduate major nor minor in their main 
        assignment fields. This problem is most acute in high-poverty 
        local educational agencies, where the out-of-field teaching 
        percentage is 22 percent.
            ``(4) The Third International Math and Science Study 
        (TIMSS) ranked United States high school seniors last among 16 
        countries in physics and next to last in math. It is also 
        evident, mainly from the TIMSS data, that based on academic 
        scores, a stronger emphasis needs to be placed on the academic 
        preparation of our children in math and science.
            ``(5) One-fourth of high-poverty local educational agencies 
        find it very difficult to fill bilingual teaching positions, 
        and nearly half of public school teachers have students in 
        their classrooms for whom English is a second language.
            ``(6) Many career-changing professionals with strong 
        content-area skills are interested in a teaching career, but 
        they need assistance in getting the appropriate pedagogical 
        training and classroom experience.
            ``(7) The teacher placement program known as the `troops-
        to-teachers program', which was established by the Secretary of 
        Defense and the Secretary of Transportation under section 1151 
of title 10, United States Code, has been highly successful in securing 
high-quality teachers for teaching positions in high-poverty local 
educational agencies.

``SEC. 2102. PURPOSE.

    ``The purpose of this part is to address the need of local 
educational agencies that are high-poverty local educational agencies 
or low-performing local educational agencies for fully qualified 
teachers in particular subject areas, such as mathematics, science, 
foreign languages, bilingual education, and special education, by--
            ``(1) continuing and enhancing the troops-to-teachers 
        program for recruiting and supporting the placement of former 
        members of the Armed Forces as teachers in such local 
        educational agencies; and
            ``(2) recruiting, preparing, placing, and supporting 
        career-changing professionals who have knowledge and experience 
        that will help them become such teachers.

``SEC. 2103. CONTINUATION AND SUPPORT FOR TROOPS-TO-TEACHERS PROGRAM.

    ``(a) Continuation.--The Secretary may enter into a written 
agreement with the Secretary of Defense and the Secretary of 
Transportation, or take such other steps as the Secretary determines 
are appropriate, to ensure effective continuation of the troops-to-
teachers program, notwithstanding the duration of the program specified 
in section 1151(c)(1)(A) of title 10, United States Code.
    ``(b) Support.--Before providing any assistance under section 2104 
for a fiscal year, the Secretary shall first--
            ``(1) consult with the Secretary of Defense and the 
        Secretary of Transportation regarding the appropriate amount of 
        funding needed to continue and enhance the troops-to-teachers 
        program; and
            ``(2) upon agreement, transfer that amount to the Secretary 
        of Defense to carry out the troops-to-teachers program.

``SEC. 2104. TRANSITION OF CAREER-CHANGING PROFESSIONALS TO TEACHING.

    ``(a) Authority To Support Transition Programs.--The Secretary may 
use funds appropriated pursuant to the authorization of appropriations 
in section 2108 to award grants to, and enter into contracts or 
cooperative agreements with, institutions of higher education, 
including historically Black colleges and universities and Hispanic-
serving institutions, and public and private nonprofit agencies or 
organizations to recruit, prepare, place, and support career-changing 
professionals as teachers in local educational agencies that are high-
poverty local educational agencies or low-performing local educational 
agencies.
    ``(b) Application.--Each entity described in subsection (a) that 
desires assistance under subsection (a) shall submit an application to 
the Secretary containing such information as the Secretary may require, 
including--
            ``(1) a description of the target group of career-changing 
        professionals upon which the applicant will focus in carrying 
        out its program under this part, including a description of the 
        characteristics of that target group that shows how the 
        knowledge and experience of its members are relevant to meeting 
        the purpose of this part;
            ``(2) a description of how the applicant will identify and 
        recruit career-changing professional for its program under this 
        part;
            ``(3) a description of the training that career-changing 
        professionals will receive in the program and how that training 
        will relate to their certification as teachers;
            ``(4) a description of how the applicant will ensure that 
        career-changing professionals are placed and teach in high-
        poverty local educational agencies or low-performing local 
        educational agencies;
            ``(5) a description of the teacher induction services 
        (which may be provided through existing induction programs) 
        that the career-changing professionals in the program will 
        receive throughout at least their first year of teaching;
            ``(6) a description of how the applicant will collaborate, 
        as needed, with other institutions, agencies, or organizations 
        to recruit, train, place, and support career-changing 
        professionals under this part, including evidence of the 
        commitment of those institutions, agencies, or organizations to 
        the applicant's program;
            ``(7) a description of how the applicant will evaluate the 
        progress and effectiveness of its program, including--
                    ``(A) the program's goals and objectives;
                    ``(B) the performance indicators the applicant will 
                use to measure the program's progress; and
                    ``(C) the outcome measures that will be used to 
                determine the program's effectiveness; and
            ``(8) an assurance that the applicant will provide to the 
        Secretary such information as the Secretary determines 
        necessary to determine the overall effectiveness of programs 
        under this part.

``SEC. 2105. USES OF FUNDS AND PERIOD OF SERVICE.

    ``(a) Authorized Activities.--Funds provided under section 2104 may 
be used for--
            ``(1) recruiting career-changing professionals, including 
        informing them of opportunities under the program and putting 
        them in contact with other institutions, agencies, or 
        organizations that would train, place, and support them;
            ``(2) training stipends and other financial incentives for 
        career-changing professional in the program, such as moving 
        expenses, not to exceed $5,000, in the aggregate, per 
        participant;
            ``(3) assisting institutions of higher education or other 
        providers of teacher training to tailor their training to meet 
        the particular needs of career-changing professionals;
            ``(4) placement activities, including identifying high-
        poverty, low-performing local educational agencies with needs 
        for the particular skills and characteristics of the newly 
        trained career-changing professionals and assisting those 
        persons to obtain employment in those local educational 
        agencies; and
            ``(5) post-placement induction or support activities.
    ``(b) Period of Service.--A career-changing professional selected 
to participate in a program under this part who completes his or her 
training shall serve in a high-poverty local educational agency or a 
low-performing local educational agency for at least 3 years.
    ``(c) Repayment.--The Secretary shall establish such requirements 
as the Secretary determines appropriate to ensure that career-changing 
professionals who receive a training stipend or other financial 
incentive under subsection (a)(2), but who fail to complete their 
service obligation under subsection (b), repay all or a portion of such 
stipend or other incentive.

``SEC. 2106. EQUITABLE DISTRIBUTION.

    ``To the extent practicable, the Secretary shall make awards and 
enter into contracts and cooperative agreements under section 2104 to 
support teacher placement programs for career-changing professionals in 
different geographic regions of the United States.

``SEC. 2107. AUTHORIZATION OF APPROPRIATIONS.

    ``For the purpose of carrying out this part, there is authorized to 
be appropriated to the Secretary $40,000,000 for each of fiscal years 
2002 and such sums as may be necessary for the next 4 succeeding fiscal 
years.

                     ``PART C--CLASS SIZE REDUCTION

``SEC. 2201. GRANT PROGRAM.

    ``(a) Purpose.--The purposes of this section are--
            ``(1) to reduce class size through the use of fully 
        qualified teachers;
            ``(2) to assist States and local educational agencies in 
        recruiting, hiring, and training 100,000 teachers in order to 
        reduce class sizes nationally, in grades 1 through 3, to an 
        average of 18 students per regular classroom; and
            ``(3) to improve teaching in those grades so that all 
        students can learn to read independently and well by the end of 
        the 3d grade.
    ``(b) Allotment to States.--
            ``(1) Reservation.--From the amount made available to carry 
        out this part for a fiscal year, the Secretary shall reserve 
        not more than 1 percent for the Secretary of the Interior (on 
        behalf of the Bureau of Indian Affairs) and the outlying areas 
        for activities carried out in accordance with this section.
            ``(2) State allotments.--
                    ``(A) Hold harmless.--
                            ``(i) In general.--Subject to subparagraph 
                        (B) and clause (ii), from the amount made 
                        available to carry out this part for a fiscal 
                        year and not reserved under paragraph (1), the 
                        Secretary shall allot to each State an amount 
                        equal to the amount that such State received 
                        for the preceding fiscal year under this 
                        section or section 306 of the Department of 
                        Education Appropriations Act, 2001, as the case 
                        may be.
                            ``(ii) Ratable reduction.--If the amount 
                        made available to carry out this part for a 
                        fiscal year and not reserved under paragraph 
                        (1) is insufficient to pay the full amounts 
                        that all States are eligible to receive under 
                        clause (i) for such fiscal year, the Secretary 
                        shall ratably reduce such amounts for such 
                        fiscal year.
                    ``(B) Allotment of additional funds.--
                            ``(i) In general.--Subject to clause (ii), 
                        for any fiscal year for which the amount made 
                        available to carry out this part and not 
                        reserved under paragraph (1) exceeds the amount 
                        made available to the States for the preceding 
                        year under the authorities described in 
                        subparagraph (A)(i), the Secretary shall allot 
                        to each of those States the percentage of the 
                        excess amount that is the greater of--
                                    ``(I) the percentage the State 
                                received for the preceding fiscal year 
                                of the total amount made available to 
                                the States under section 1122; or
                                    ``(II) the percentage so received 
                                of the total amount made available to 
                                the States under section 6511(b), as in 
                                effect on the day before the date of 
                                the enactment of the Excellence and 
                                Accountability in Education Act, or the 
                                corresponding provision of this title, 
                                as the case may be.
                            ``(ii) Ratable reductions.--If the excess 
                        amount for a fiscal year is insufficient to pay 
                        the full amounts that all States are eligible 
                        to receive under clause (i) for such fiscal 
                        year, the Secretary shall ratably reduce such 
                        amounts for such fiscal year.
    ``(c) Allocation to Local Educational Agencies.--
            ``(1) Allocation.--Each State that receives funds under 
        this section shall allocate 100 percent of those funds to local 
        educational agencies, of which--
                    ``(A) 80 percent shall be allocated to those local 
                educational agencies in proportion to the number of 
                children, age 5 through 17, 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, who reside 
                in the school district served by that local educational 
                agency for the most recent fiscal year for which 
                satisfactory data are available, compared to the number 
                of those children who reside in the school districts 
                served by all the local educational agencies in the 
                State for that fiscal year; and
                    ``(B) 20 percent shall be allocated to those local 
                educational agencies in accordance with the relative 
                enrollments of children, age 5 through 17, in public 
                and private nonprofit elementary schools and secondary 
                schools within the areas served by those agencies.
            ``(2) Exception.--Notwithstanding paragraph (1) and 
        subsection (d)(2)(B), if the award to a local educational 
        agency under this section is less than the starting salary for 
        a new fully qualified teacher for a school served by that 
        agency, that agency may use funds made available under this 
        section to--
                    ``(A) help pay the salary of a full- or part-time 
                fully qualified teacher hired to reduce class size, 
                which may be done in combination with the expenditure 
                of other Federal, State, or local funds; or
                    ``(B) pay for activities described in subsection 
                (d)(2)(A)(iii) that may be related to teaching in 
                smaller classes.
    ``(d) Use of Funds.--
            ``(1) Mandatory uses.--Each local educational agency that 
        receives funds under this section shall use those funds to 
        carry out effective approaches to reducing class size through 
        use of fully 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.
            ``(2) Permissible uses.--
                    ``(A) In general.--Each such local educational 
                agency may use funds made available under this section 
                for--
                            ``(i) recruiting (including through the use 
                        of signing bonuses, and other financial 
                        incentives), hiring, and training fully 
                        qualified regular and special education 
                        teachers (which may include hiring special 
                        education teachers to team-teach with regular 
                        teachers in classrooms that contain both 
                        children with disabilities and non-disabled 
                        children) and teachers of special needs 
                        children;
                            ``(ii) testing new teachers for academic 
                        content knowledge, and to meet State 
                        certification or licensing requirements that 
                        are consistent with title II of the Higher 
                        Education Act of 1965; and
                            ``(iii) providing professional development 
                        (which may include such activities as promoting 
                        retention and mentoring) for teachers, 
                        including special education teachers and 
                        teachers of special needs children, in order to 
                        meet the goal of ensuring that all teachers 
                        have the general knowledge, teaching skills, 
                        and subject matter knowledge necessary to teach 
                        effectively in the content areas in which the 
                        teachers teach, consistent with title II of the 
                        Higher Education Act of 1965.
                    ``(B) Limitation on testing and professional 
                development.--
                            ``(i) In general.--Except as provided in 
                        clause (ii), a local educational agency may use 
                        not more than a total of 25 percent of the 
                        funds received by the agency under this section 
                        for activities described in clauses (ii) and 
                        (iii) of subparagraph (A).
                            ``(ii) Special rule.--A local educational 
                        agency may use more than 25 percent of the 
                        funds the agency receives under this section 
                        for activities described in subparagraph 
                        (A)(iii) for the purpose of helping teachers 
                        who are not yet fully qualified in attaining 
                        full qualification if 10 percent or more of the 
                        elementary school classes in a school are 
                        taught by individuals who are not fully 
                        qualified teachers or the State educational 
                        agency has waived State certification or 
                        licensing requirements for 10 percent or more 
                        of such teachers.
                    ``(C) Use of funds by agencies that have reduced 
                class size.--Notwithstanding subparagraph (B), a local 
                educational agency that has already reduced class size 
                in the early elementary grades to 18 or fewer children 
                (or has already reduced class size to a State or local 
                class size reduction goal that was in effect on 
                November 28, 1999 if that goal is 20 or fewer children) 
                may use funds received under this section--
                            ``(i) to make further class size reductions 
                        in kindergarten through third grade;
                            ``(ii) to reduce class size in other 
                        grades; or
                            ``(iii) to carry out activities to improve 
                        teacher quality, including professional 
                        development.
            ``(3) Supplement, not supplant.--Each such agency shall use 
        funds made available under this section only to supplement, and 
        not to supplant, State and local funds that, in the absence of 
        funds made available under this section, would otherwise be 
expended for activities described in this section.
            ``(4) Limitation on use for salaries and benefits.--
                    ``(A) In general.--Except as provided in 
                subparagraph (B), no funds made available under this 
                section may be used to increase the salaries of, or 
                provide benefits (other than participation in 
                professional development and enrichment programs) to, 
                teachers who are not hired under this section.
                    ``(B) Exception.--Funds made available under this 
                section may be used to pay the salaries of teachers 
                hired under section 306 of the Department of Education 
                Appropriations Act, 2001.
    ``(e) Reports.--
            ``(1) State activities.--Each State receiving funds under 
        this section shall prepare and submit to the Secretary a 
        biennial report on activities carried out in the State under 
        this section that provides the information described in section 
        6122(a)(2) with respect to the activities.
            ``(2) Progress concerning class size and qualified 
        teachers.--Each State and local educational agency receiving 
        funds under this section shall annually report to parents and 
        the public, in numeric form as compared to the previous year, 
        on--
                    ``(A) the agency's progress in reducing class size, 
                and increasing the percentage of classes in core 
                academic areas taught by fully qualified teachers ; and
                    ``(B) the impact that hiring additional fully 
                qualified teachers and reducing class size, has had, if 
                any, on increasing student academic achievement.
            ``(3) Notice.--Each local educational agency that receives 
        funds under this section shall provide to each individual 
        parent of a child who attends a school in such local 
        educational agency timely, written notice if the child has been 
        assigned or has been taught for 2 or more consecutive weeks by 
        a substitute teacher, as defined by such local educational 
        agency, or a teacher who is not fully qualified.
    ``(f) Private Schools.--If a local educational agency uses funds 
made available under this section for professional development 
activities, the agency shall ensure the equitable participation of 
private nonprofit elementary schools and secondary schools in such 
activities in accordance with section 6402. Section 6402 shall not 
apply to other activities carried out under this section.
    ``(g) Administrative Expenses.--A local educational agency that 
receives funds under this section may use not more than 3 percent of 
such funds for local administrative costs.
    ``(h) Request for Funds.--Each local educational agency that 
desires to receive funds under this section shall include in the 
application required under section 2017 a description of the agency's 
program to reduce class size by hiring additional fully qualified 
teachers.
    ``(i) Certification, Licensing, and Competency.--No funds made 
available under this section may be used to pay the salary of any 
teacher unless such teachers is fully qualified.
    ``(j) Definition.--As used in this section, the term `certified' 
includes certification through State or local alternative routes.

``SEC. 2202. AUTHORIZATION OF APPROPRIATIONS.

    ``There are authorized to be appropriated to carry out this part 
$2,537,000,000 for fiscal year 2002 $3,452,000,000 for fiscal year 
2003, $4,336,000,000 for fiscal year 2004, and $5,281,000,000 for 
fiscal years 2005 and 2006.''.
    (b) National Writing Project; Teacher Compensation; Principal 
Leadership Development; General Provisions.--Part K of title X is 
repealed. Title II is amended by adding at the end the following:

                   ``PART E--NATIONAL WRITING PROJECT

``SEC. 2301. FINDINGS AND PURPOSES.

    ``(a) Findings.--Congress finds that--
            ``(1) the United States faces a continuing crisis in 
        writing in schools and in the workplace;
            ``(2) the writing problem has been magnified by the rapidly 
        changing student population, the growing number of at-risk 
        students due to limited English proficiency, the shortage of 
        adequately trained teachers, and the specialized knowledge 
        required of teachers to teach students with special needs who 
        are now part of mainstream classrooms;
            ``(3) nationwide reports from universities and colleges 
        show that entering students are unable to meet the demands of 
        college level writing, almost all 2-year institutions of higher 
        education offer remedial writing courses, and three-quarters of 
        public 4-year institutions of higher education and half of all 
        private 4-year institutions of higher education must provide 
        remedial courses in writing;
            ``(4) American businesses and corporations are concerned 
        about the limited writing skills of both entry-level workers 
        and executives whose promotions are denied due to inadequate 
        writing abilities;
            ``(5) writing is fundamental to learning, including 
        learning to read, yet writing has been neglected historically 
        in schools and in teacher training institutions;
            ``(6) writing is a central feature in State and school 
        district education standards in all disciplines;
            ``(7) since 1973, the only national program to address the 
        writing problem in the Nation's schools has been the National 
        Writing Project, a network of collaborative university-school 
        programs the goals of which are to improve student achievement 
        in writing and student learning through improving the teaching 
        and uses of writing at all grade levels and in all disciplines;
            ``(8) the National Writing Project is a nationally 
        recognized and honored nonprofit organization that improves the 
        quality of teaching and teachers through developing teacher 
        leaders who teach other teachers in summer and school year 
        programs;
            ``(9) evaluations of the National Writing Project document 
        the positive impact the project has had on improving the 
        teaching of writing, student performance in writing, and 
        student learning;
            ``(10) the National Writing Project has become a model for 
        programs to improve teaching in such other fields as 
        mathematics, science, history, reading and literature, 
        performing arts and foreign languages;
            ``(11) each year over 150,000 participants benefit from 
        National Writing Project programs in 1 of 156 United States 
        sites located in 46 States and the Commonwealth of Puerto Rico; 
        and
            ``(12) the National Writing Project is a cost-effective 
        program and leverages over 6 dollars for every 1 Federal 
        dollar.
    ``(b) Purpose.--It is the purpose of this part--
            ``(1) to support and promote the expansion of the National 
        Writing Project network of sites so that teachers in every 
        region of the United States will have access to a National 
        Writing Project program;
            ``(2) to ensure the consistent high quality of the sites 
        through ongoing review, evaluation and technical assistance;
            ``(3) to support and promote the establishment of programs 
        to disseminate effective practices and research findings about 
        the teaching of writing; and
            ``(4) to coordinate activities assisted under this part 
        with activities assisted under this Act.

``SEC. 2302. AUTHORIZATION.

    ``(a) Authorization.--The Secretary is authorized to make a grant 
to the National Writing Project (hereafter in this section referred to 
as the `grantee'), a nonprofit educational organization that has as its 
primary purpose the improvement of the quality of student writing and 
learning, to improve the teaching and uses of writing to learn in our 
Nation's classrooms.
    ``(b) Requirements of Grant.--The grant shall provide that--
            ``(1) the grantee will enter into contracts with 
        institutions of higher education or other nonprofit educational 
        providers (hereafter in this section referred to as 
        `contractors') under which the contractors will agree to 
        establish, operate, and provide the non-Federal share of the 
        cost of teacher training programs in effective approaches and 
        processes for the teaching of writing;
            ``(2) funds made available by the Secretary to the grantee 
        pursuant to any contract entered into under this section will 
        be used to pay the Federal share of the cost of establishing 
        and operating teacher training programs as provided in 
        paragraph (1); and
            ``(3) the grantee will meet such other conditions and 
        standards as the Secretary determines to be necessary to assure 
        compliance with the provisions of this section and will provide 
        such technical assistance as may be necessary to carry out the 
        provisions of this section.
    ``(c) Teacher Training Programs.--The teacher training programs 
authorized in subsection (a) shall--
            ``(1) be conducted during the school year and during the 
        summer months;
            ``(2) train teachers who teach grades kindergarten through 
        college;
            ``(3) select teachers to become members of a National 
        Writing Project teacher network whose members will conduct 
        writing workshops for other teachers in the area served by each 
        National Writing Project site; and
            ``(4) encourage teachers from all disciplines to 
        participate in such teacher training programs.
    ``(d) Federal Share.--
            ``(1) In general.--Except as provided in paragraph (2) or 
        (3) and for purposes of subsection (a), the term `Federal 
        share' means, with respect to the costs of teacher training 
        programs authorized in subsection (a), 50 percent of such costs 
        to the contractor.
            ``(2) Waiver.--The Secretary may waive the provisions of 
        paragraph (1) on a case-by-case basis if the National Advisory 
        Board described in subsection (e) determines, on the basis of 
        financial need, that such waiver is necessary.
            ``(3) Maximum.--The Federal share of the costs of teacher 
        training programs conducted pursuant to subsection (a) may not 
        exceed $100,000 for any 1 contractor, or $200,000 for a 
        statewide program administered by any 1 contractor in at least 
        5 sites throughout the State.
    ``(e) National Advisory Board.--
            ``(1) Establishment.--The National Writing Project shall 
        establish and operate a National Advisory Board.
            ``(2) Composition.--The National Advisory Board established 
        pursuant to paragraph (1) shall consist of--
                    ``(A) national educational leaders;
                    ``(B) leaders in the field of writing; and
                    ``(C) such other individuals as the National 
                Writing Project deems necessary.
            ``(3) Duties.--The National Advisory Board established 
        pursuant to paragraph (1) shall--
                    ``(A) advise the National Writing Project on 
                national issues related to student writing and the 
                teaching of writing;
                    ``(B) review the activities and programs of the 
                National Writing Project; and
                    ``(C) support the continued development of the 
                National Writing Project.
    ``(f) Evaluation.--
            ``(1) In general.--The Secretary shall conduct an 
        independent evaluation by grant or contract of the teacher 
        training programs administered pursuant to this Act in 
        accordance with section 11501. Such evaluation shall specify 
        the amount of funds expended by the National Writing Project 
        and each contractor receiving assistance under this section for 
        administrative costs. The results of such evaluation shall be 
        made available to the appropriate committees of the Congress.
            ``(2) Funding limitation.--The Secretary shall reserve not 
        more than $150,000 from the total amount appropriated pursuant 
        to the authority of subsection (h) for fiscal year 2002 and the 
        4 succeeding fiscal years to conduct the evaluation described 
        in paragraph (1).
    ``(g) Application Review.--
            ``(1) Review board.--The National Writing Project shall 
        establish and operate a National Review Board that shall 
        consist of--
                    ``(A) leaders in the field of research in writing; 
                and
                    ``(B) such other individuals as the National 
                Writing Project deems necessary.
            ``(2) Duties.--The National Review Board shall--
                    ``(A) review all applications for assistance under 
                this subsection; and
                    ``(B) recommend applications for assistance under 
                this subsection for funding by the National Writing 
                Project.
    ``(h) Authorization of Appropriations.--There are authorized to be 
appropriated for the grant to the National Writing Project, $15,000,000 
for fiscal year 2002 and such sums as may be necessary for each of the 
4 succeeding fiscal years.

                     ``PART F--TEACHER COMPENSATION

``SEC. 2351. PURPOSE.

    ``The purpose of this part is to provide additional compensation to 
attract and retain fully qualified teachers who provide instruction in 
disadvantaged and low-performing schools.

``SEC. 2352. PROGRAM AUTHORIZED.

    ``(a) Grants.--The Secretary is authorized, in accordance with the 
provisions of this part, to award grants, on a competitive basis, to 
local educational agencies with approved applications under section 
2353 for the purpose of providing additional compensation to attract 
and retain fully qualified teachers who provide instruction in 
disadvantaged and low-performing schools.
    ``(b) Equitable Distribution.--In awarding grants under this part, 
the Secretary shall assure an equitable distribution of assistance 
among urban and rural areas of the United States.
    ``(c) Minimum Amount.--The Secretary shall ensure that all grants 
awarded under this part are of sufficient size and scope so as to be 
effective and such grants are in an amount consistent with section 
2354(a).

``SEC. 2353. ELIGIBILITY; APPLICATION.

    ``(a) Eligibility.--To be eligible to receive a grant under this 
part, a local educational agency shall have no less than 20 percent of 
its children from families with incomes below the poverty line.
    ``(b) Application Required.--To be eligible to receive a grant 
under this part, a local educational agency shall submit an application 
to the Secretary at such time, in such manner, and accompanied by such 
information as the Secretary may reasonably prescribe.
    ``(c) Assurances.--Each such application, at a minimum, shall 
include--
            ``(1) an assurance that teachers receiving compensation are 
        fully qualified;
            ``(2) an assurance that teachers from all academic subjects 
        are permitted to participate, including special education 
        teachers, and teachers with expertise in teaching students with 
        limited English proficiency, and
            ``(3) a description of how funds made available under this 
        part shall be used in conjunction with other federal, state, 
        and local resources to attract and retain fully qualified 
        teachers, including how such funds will be used to make 
        progress on the performance indicators specified in section 
        2401.

``SEC. 2354. USES OF FUNDS.

    ``(a) Additional Compensation.--Local educational agencies 
receiving a grant under this part shall use such funds to provide 
additional compensation to teachers, up to $5,000 per individual 
teacher per academic year, who teach in schools--
            ``(1) of which 50 percent of children are from families 
        with incomes below the poverty line; or
            ``(2) which are identified for school improvement or 
        corrective action under section 1116.
    ``(b) Fully Qualified.--All teachers who receive compensation under 
this part shall be fully qualified, and shall agree to teach in schools 
described under subsection (a)(1) for at least 2 academic years.

``SEC. 2355. EVALUATION.

    ``(a) National Evaluation.--(1) The Secretary shall develop a plan 
for a national evaluation of this part to assess its effectiveness in 
increasing the percentage of classes in schools in which fully 
qualified teachers receiving additional compensation under this part 
are teaching.
    ``(2) The evaluation required under paragraph (1) shall focus on 
the results for schools in the three years following the initial 
distribution of funds under this part.
    ``(b) Report.--Prior to the completion of the national evaluation 
under subsection (a), the Secretary shall submit an interim report 
outlining first-year implementation activities and their effectiveness 
to the Committee on Education and the Workforce of the House of 
Representatives and the Committee on Health, Education, Labor, and 
Pensions of the Senate.

``SEC. 2356. AUTHORIZATION OF APPROPRIATIONS.

    ``For purposes of carrying out this part, there are authorized to 
be appropriated $1,000,000,000 for fiscal year 2002, $1,130,000,000 for 
fiscal year 2003, $1,276,000,000 for fiscal year 2004, $1,442,000,000 
for fiscal year 2005, and $1,630,000,000 for fiscal year 2006.

               ``PART G--PRINCIPAL LEADERSHIP DEVELOPMENT

``SEC. 2361. PROFESSIONAL DEVELOPMENT FOR PRINCIPALS AS LEADERS OF 
              SCHOOL REFORM.

    ``(a) Competitive Grants.--The Secretary is authorized to award, on 
a competitive basis, grants to eligible partnerships--
            ``(1) consisting of--
                    ``(A) one or more institutions of higher education 
                that provide professional development for principals 
                and other school administrators; and
                    ``(B) one or more local educational agencies; and
            ``(2) that may include other entities, agencies, and 
        organizations, such as a State educational agency, a State 
        agency for higher education, or professional organizations for 
        principals, administrators, teachers, and parents.
    ``(b) Application.--An eligible partnership that desires to receive 
a grant under this section shall submit an application at such time, in 
such form, and containing such information as the Secretary may 
require. Each such application shall include--
            ``(1) a description of the activities the partnership will 
        carry out to meet the purpose of this part;
            ``(2) a description of how those activities will build on 
        and be coordinated with other professional development 
        activities, including activities under this title and title II 
        of the Higher Education Act of 1965;
            ``(3) a description of how principals, teachers, and other 
        interested parties were involved in developing the application 
        and will be involved in planning and carrying out the 
        activities under this section; and
            ``(4) a description of how the professional development 
        will result in the acquisition of a license, degree, or 
        continuing education unit.
    ``(c) Use of Funds.--An eligible partnership that receives a grant 
under this section shall use the grant funds to provide professional 
development to principals and other school administrators to enable 
them to be effective school leaders and prepare all students to achieve 
to challenging State content and student performance standards, 
including professional development on--
            ``(1) comprehensive school reform;
            ``(2) leadership skills;
            ``(3) recruitment, assignment, retention and evaluation of 
        teacher and other instructional staff;
            ``(4) State content standards;
            ``(5) effective instructional practice;
            ``(6) using smaller classes effectively; and
            ``(7) parental and community involvement.
    ``(d) Authorization of Appropriations.--For purposes of carrying 
out this part, there are authorized to be appropriated $100,000,000 for 
fiscal year 2002, and such sums as may be necessary for the 4 
succeeding fiscal years.

                      ``PART H--GENERAL PROVISIONS

``SEC. 2401. PERFORMANCE INDICATORS.

    ``(a) Minimum Indicators.--At a minimum, the indicators of program 
performance under part B, against which recipients of funds under this 
title shall report their progress in such manner as the Secretary may 
determine, are the following:
            ``(1) Improvement in student achievement.
            ``(2) An increase in the percentage of classes taught by 
        fully qualified teachers, including teachers from minority and 
        other historically underrepresented groups.
            ``(3) An equalization, between high- and low-poverty 
        schools in a local educational agency, of classes in core 
        academic areas taught by fully qualified teachers.
            ``(4) An increase in the percentage of fully qualified 
        teachers.
            ``(5) An increase in the percentage of paraprofessionals 
        who have completed a certification program.

``SEC. 2402. DEFINITIONS.

    ``As used in this title:
            ``(1) Career-changing professional.--The term `career-
        changing professional' means a person who--
                    ``(A) holds at least a baccalaureate degree;
                    ``(B) demonstrates a commitment to changing the 
                person's current professional career and becoming a 
                teacher; and
                    ``(C) has knowledge and experience that is relevant 
                to teaching a high-need subject area in a high-poverty 
                local educational agency.
            ``(2) High-poverty local educational agency.--The term 
        `high-poverty local educational agency' means a local 
        educational agency in which--
                    ``(A) the percentage of children, ages 5 through 
                17, from families below the poverty level (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 are 
                available is 33 percent or greater; or
                    ``(B) the number of such children exceeds 10,000.
            ``(3) Low-performing local educational agency.--The term 
        `low-performing local educational agency' means--
                    ``(A) a local educational agency that includes a 
                school identified by the agency for school improvement 
                under section 1116(c); or
                    ``(B) a local educational agency that includes a 
                school in which at least 50 percent of the students 
                fail to meet State student performance standards based 
                on assessments the agency is using under part A of 
                title I.
            ``(4) Technology deficient.--The term `technology 
        deficient', when used with respect to a local educational 
        agency or a school, means that the agency or school does not 
        possess the equipment, networking, or skills to use technology 
        to enhance teaching and learning.
            ``(5) Technology proficient.--The term `technology 
        proficient', when used with respect to a local educational 
        agency or a school, means that the agency or school possesses 
        the equipment, networking, and skills to use technology to 
        enhance teaching and learning.
            ``(6) Troops-to-teachers program.--The term `troops-to-
        teachers program' means the teachers and teachers' aide 
        placement program for separated members of the Armed Forces 
        that was established by the Secretary of Defense, and the 
        Secretary of Transportation with respect to the Coast Guard, 
        under section 1151 of title 10, United States Code.
            ``(7) Unqualified teacher.--The term `unqualified teacher' 
        means a teacher who is not fully qualified.

``SEC. 2403. FUNDING FOR TEACHER QUALITY.

    ``(a) Use of Funds.--Notwithstanding any other provision of this 
Act, local educational agencies may use funds appropriated under 
sections 1002(a), 2003(a), and 6002(a) to provide the necessary 
education, training, and professional development to ensure that all 
teachers become fully qualified. Such assistance may include--
            ``(1) the use of signing bonuses or other financial 
        incentives to recruit and retain fully qualified teachers;
            ``(2) collaboration with programs that recruit, place, and 
        train fully qualified teachers; or
            ``(3) subsidizing the costs of college tuition and other 
        students fees (for programs that meet the criteria under 
        section 203(a)(2)(A)(i) of the Higher Education Amendments of 
        1998, relating to the passage rates of graduates from the 
        program), to help current teachers, and other school personnel, 
        to become fully qualified teachers.
    ``(b) Special Rule.--In order to receive assistance under 
subsection (a)(3), a teacher must agree to teach for at least 2 
subsequent years after receiving such assistance in a school in which 
the enrollment of children counted under section 1124(c) exceeds 50 
percent of the total enrollment of that school.''.

SEC. 202. READING EXCELLENCE ACT.

    Section 2260(a) (20 U.S.C. 6661i(a)) is amended by adding at the 
end the following:
            ``(3) Fiscal years 2002 to 2006.--There are authorized to 
        be appropriated to carry out this part $350,000,000 for fiscal 
        year 2002 and such sums as may be necessary for fiscal years 
        2003 through 2006.''.

SEC. 203. STUDENT LOAN FORGIVENESS FOR TEACHERS.

    (a) Guaranteed Loans.--Section 428J of the Higher Education Act of 
1965 (20 U.S.C. 1078-10) is amended to read as follows:

``SEC. 428J. LOAN FORGIVENESS FOR TEACHERS.

    ``(a) Statement of Purpose.--It is the purpose of this section to 
encourage individuals to enter and continue in the teaching profession.
    ``(b) Program Authorized.--The Secretary shall carry out a program, 
through the holder of the loan, of assuming the obligation to repay in 
accordance with subsection (c) a qualified loan amount for a loan made 
under section 428 or 428H for any borrower who--
            ``(1) is employed as a full-time teacher during the 
        academic year beginning in calendar year 2001 or during any 
        subsequent academic year--
                    ``(A) in a school that qualifies under section 
                465(a)(2)(A) for loan cancellation for Perkins loan 
                recipients who teach in such schools;
                    ``(B) if employed as a secondary school teacher, is 
                teaching--
                            ``(i) a subject area that is relevant to 
                        the borrower's academic major as certified by 
                        the chief administrative officer of the public 
                        or nonprofit private secondary school in which 
                        the borrower is employed; or
                            ``(ii) special education or bilingual 
                        education;
                    ``(C) if employed as an elementary school teacher, 
                has demonstrated, as certified by the chief 
                administrative officer of the public or nonprofit 
                private elementary school in which the borrower is 
                employed, knowledge and teaching skills in reading, 
                writing, mathematics, special education, bilingual 
                education, and other areas of the elementary school 
                curriculum; and
                    ``(D) is fully qualified, as such term is defined 
                in section 10101 of the Elementary and Secondary 
                Education Act of 1965; and
            ``(2) is not in default on a loan for which the borrower 
        seeks forgiveness.
    ``(c) Qualified Loans Amount.--
            ``(1) In general.--Of the aggregate loan obligations of a 
        borrower on loans made under section 428 or 428H that are 
        outstanding after the completion of the first complete school 
        year of teaching described in subsection (b)(1) for which the 
        borrower applies for repayment under this section, the 
        Secretary shall repay not more than--
                    ``(A) $3,000 for each of the first and second such 
                complete school years;
                    ``(B) $4,000 for the third such complete school 
                year; and
                    ``(C) $5,000 for each of the fourth and fifth such 
                complete school years.
            ``(2) Treatment of consolidation loans.--A loan amount for 
        a loan made under section 428C may be a qualified loan amount 
        for the purposes of this subsection only to the extent that 
        such loan amount was used to repay a Federal Direct Stafford 
        Loan, a Federal Direct Unsubsidized Stafford Loan, or a loan 
        made under section 428 or 428H for a borrower who meets the 
        requirements of subsection (b), as determined in accordance 
        with regulations prescribed by the Secretary.
    ``(d) Regulations.--The Secretary is authorized to issue such 
regulations as may be necessary to carry out the provisions of this 
section.
    ``(e) Construction.--Nothing in this section shall be construed to 
authorize any refunding of any repayment of a loan.
    ``(f) List.--If the list of schools in which a teacher may perform 
service pursuant to subsection (b) is not available before May 1 of any 
year, the Secretary may use the list for the year preceding the year 
for which the determination is made to make such service determination.
    ``(g) Additional Eligibility Provisions.--
            ``(1) Continued eligibility.--Any teacher who performs 
        service in a school that--
                    ``(A) meets the requirements of subsection 
                (b)(1)(A) in any year during such service; and
                    ``(B) in a subsequent year fails to meet the 
                requirements of such subsection,
        may continue to teach in such school and shall be eligible for 
        loan forgiveness pursuant to subsection (b).
            ``(2) Prevention of double benefits.--No borrower may, for 
        the same service, receive a benefit under both this subsection 
        and subtitle D of title I of the National and Community Service 
        Act of 1990 (42 U.S.C. 12571 et seq.). No borrower may receive 
        a reduction of loan obligations under both this section and 
        section 460.
    ``(h) Definition.--For purposes of this section, the term `year', 
where applied to service as a teacher, means an academic year as 
defined by the Secretary.''.
    (b) Direct Loans.--Section 460 of such Act (20 U.S.C. 1087j) is 
amended to read as follows:

``SEC. 460. LOAN FORGIVENESS FOR TEACHERS.

    ``(a) Statement of Purpose.--It is the purpose of this section to 
encourage individuals to enter and continue in the teaching profession.
    ``(b) Program Authorized.--The Secretary shall carry out a program 
of canceling the obligation to repay a qualified loan amount in 
accordance with subsection (c) for Federal Direct Stafford Loans and 
Federal Direct Unsubsidized Stafford Loans made under this part for any 
borrower who--
            ``(1) is employed as a full-time teacher during the 
        academic year beginning in calendar year 2001 or during any 
        subsequent academic year--
                    ``(A) in a school that qualifies under section 
                465(a)(2)(A) for loan cancellation for Perkins loan 
                recipients who teach in such schools;
                    ``(B) if employed as a secondary school teacher, is 
                teaching--
                            ``(i) a subject area that is relevant to 
                        the borrower's academic major as certified by 
                        the chief administrative officer of the public 
                        or nonprofit private secondary school in which 
                        the borrower is employed; or
                            ``(ii) special education or bilingual 
                        education;
                    ``(C) if employed as an elementary school teacher, 
                has demonstrated, as certified by the chief 
                administrative officer of the public or nonprofit 
                private elementary school in which the borrower is 
                employed, knowledge and teaching skills in reading, 
                writing, mathematics, special education, bilingual 
                education, and other areas of the elementary school 
                curriculum; and
                    ``(D) is fully qualified, as such term is defined 
                in section 10101 of the Elementary and Secondary 
                Education Act of 1965; and
            ``(2) is not in default on a loan for which the borrower 
        seeks forgiveness.
    ``(c) Qualified Loans Amount.--
            ``(1) In general.--Of the aggregate loan obligations of a 
        borrower on Federal Direct Stafford Loans and Federal Direct 
        Unsubsidized Stafford Loans made under this part that are 
        outstanding after the completion of the first complete school 
        year of teaching described in subsection (b)(1) for which the 
borrower applies for cancellation under this section, the Secretary 
shall cancel not more than--
                    ``(A) $3,000 for each of the first and second such 
                complete school years;
                    ``(B) $4,000 for the third such complete school 
                year; and
                    ``(C) $5,000 for each of the fourth and fifth such 
                complete school years.
            ``(2) Treatment of consolidation loans.--A loan amount for 
        a Federal Direct Consolidation Loan may be a qualified loan 
        amount for the purposes of this subsection only to the extent 
        that such loan amount was used to repay a Federal Direct 
        Stafford Loan, a Federal Direct Unsubsidized Stafford Loan, or 
        a loan made under section 428 or 428H, for a borrower who meets 
        the requirements of subsection (b), as determined in accordance 
        with regulations prescribed by the Secretary.
    ``(d) Regulations.--The Secretary is authorized to issue such 
regulations as may be necessary to carry out the provisions of this 
section.
    ``(e) Construction.--Nothing in this section shall be construed to 
authorize any refunding of any repayment of a loan.
    ``(f) List.--If the list of schools in which a teacher may perform 
service pursuant to subsection (b) is not available before May 1 of any 
year, the Secretary may use the list for the year preceding the year 
for which the determination is made to make such service determination.
    ``(g) Additional Eligibility Provisions.--
            ``(1) Continued eligibility.--Any teacher who performs 
        service in a school that--
                    ``(A) meets the requirements of subsection 
                (b)(1)(A) in any year during such service; and
                    ``(B) in a subsequent year fails to meet the 
                requirements of such subsection,
        may continue to teach in such school and shall be eligible for 
        loan forgiveness pursuant to subsection (b).
            ``(2) Prevention of double benefits.--No borrower may, for 
        the same service, receive a benefit under both this subsection 
        and subtitle D of title I of the National and Community Service 
        Act of 1990 (42 U.S.C. 12571 et seq.). No borrower may receive 
        a reduction of loan obligations under both this section and 
        section 428J.
    ``(h) Definition.--For purposes of this section, the term `year', 
where applied to service as a teacher, means an academic year as 
defined by the Secretary.''.

                  TITLE III--TECHNOLOGY FOR EDUCATION

SEC. 301. TECHNOLOGY FOR EDUCATION.

    Title III (20 U.S.C. 6801 et seq.) is amended to read as follows:

                 ``TITLE III--TECHNOLOGY FOR EDUCATION

``SEC. 3001. SHORT TITLE.

    ``This title may be cited as the `Technology for Education Act'.

``SEC. 3002. FINDINGS.

    ``Congress finds the following:
            ``(1) Technology can--
                    ``(A) support education improvement efforts by 
                expanding available resources and reshaping 
                instruction, teaching, and learning environments; and
                    ``(B) when used effectively and aligned with 
                challenging State academic content and performance 
                standards, support teacher capacity to create 
                classrooms where students develop higher-order thinking 
                and information technology skills.
            ``(2) By providing students with a rapidly expanding 
        educational resource base, and a unique means of developing 
        content knowledge, improvements in software and other 
        technology applications (such as high-quality video, voice 
        recognition, modeling and simulation, and intelligent tutoring 
        and virtual reality tools), have increased student 
        opportunities for meaningful exploration and discovery.
            ``(3) The Federal Government--
                    ``(A) has played an integral role in expanding and 
                improving access to technology as an important tool for 
                teaching and learning; and
                    ``(B) can continue to serve as a catalyst in 
                bringing effective uses for education technology to the 
                classroom by providing support for--
                            ``(i) access to technology;
                            ``(ii) the development of educational 
                        software and web-based learning resources; and
                            ``(iii) sustained and intensive, high-
                        quality professional development that is 
                        aligned with challenging State academic content 
                        and performance standards.
            ``(4) Professional development programs for prospective 
        teachers and current teachers should be refocused to strengthen 
        the ability of such teachers to integrate technology across the 
        curriculum.
            ``(5) Policies at the Federal, State, and local levels 
        concerning technology in education must address disparities in 
        the availability of technology to different groups of students, 
        give priority to serving students in greatest need, and 
        recognize that educational telecommunications and technology 
        can address educational equalization concerns and school 
        restructuring needs by providing universal access to high-
        quality teaching and programs, particularly in urban and rural 
        areas.
            ``(6) Technology can enhance the ongoing professional 
        development of teachers and administrators by providing 
        constant access to updated research in teaching and learning by 
        means of telecommunications, and, through exposure to 
        technology advancements, keep teachers and administrators 
        excited and knowledgeable about unfolding opportunities for the 
        classroom.
            ``(7) Poor children are less likely than their wealthier 
        peers to have access to a computer at home, and to attend a 
        school in which teachers use technology to develop technical 
        and higher-order thinking skills.
            ``(8) Because girls of all ethnicities consistently rate 
        themselves significantly lower than boys on computer ability, 
and are less likely to experiment with technology and enroll in 
advanced computer science courses, the Federal Government should 
encourage States, local educational agencies, and teachers to consider 
the needs of girls and women to obtain technical proficiency and expose 
girls and women to careers in technology, so that they can compete in 
an increasingly technological society.

``SEC. 3003. STATEMENT OF PURPOSE.

    ``The purpose of this title is to help all students to develop 
technical and higher-order thinking skills and to achieve to 
challenging State academic content and performance standards.
            ``(1) helping to provide all classrooms with access to 
        educational technology through support for the acquisition of 
        advanced multimedia computers, Internet connections, and other 
        technologies;
            ``(2) helping to ensure access to, and effective use of, 
        educational technology in all classrooms through the provision 
        of sustained and intensive, high-quality professional 
        development that improves teachers capability to integrate 
        educational technology effectively into their classrooms and 
        instructional practices by actively engaging students and 
        teachers in the use of technology;
            ``(3) helping to improve the capability of teachers to 
        design and construct new learning experiences using technology, 
        and actively engage students in that design and construction;
            ``(4) supporting Federal partnerships with business and 
        industry to realize more rapidly the potential of digital 
        communications to expand the scope of, and opportunities for, 
        learning; and
            ``(5) providing national leadership to stimulate and 
        coordinate public and private efforts, at the national, State, 
        and local levels, that support the development and integration 
        of advanced technologies and applications to improve school 
        planning and classroom instruction;

``SEC. 3004. DEFINITIONS.

    ``For the purposes of this title--
            ``(1) the term `adult education' has the same meaning given 
        such term by section 203 of the Adult Education and Family 
        Literacy Act;
            ``(2) the term `all students' means students from a broad 
        range of backgrounds and circumstances, including disadvantaged 
        students, students with diverse racial, ethnic, and cultural 
        backgrounds, students with disabilities, students with limited 
        English proficiency, students who have dropped out of school, 
        and academically talented students;
            ``(3) the term `information infrastructure' means a network 
        of communication systems designed to exchange information among 
        all citizens and residents of the United States;
            ``(4) the term `instructional programming' means the full 
        range of audio and video data, text, graphics, or additional 
        state-of-the-art communications, including multimedia based 
        resources distributed through interactive, command and control, 
        or passive methods for the purpose of education and 
        instruction;
            ``(5) the term `interoperable' means the ability to 
        exchange easily data with, and connect to, other hardware and 
        software in order to provide the greatest accessibility for all 
        students and other users;
            ``(6) the term `regional educational laboratory' means a 
        regional educational laboratory supported under section 941(h) 
        of the Educational Research, Development, Dissemination, and 
        Improvement Act of 1994;
            ``(7) the term `State educational agency' includes the 
        Bureau of Indian Affairs for purposes of serving schools funded 
        by the Bureau of Indian Affairs in accordance with this title; 
        and
            ``(8) the term `State library administrative agency' has 
        the same meaning given to such term in section 213 of the 
        Library Services and Technology Act.

``SEC. 3005. AUTHORIZATION OF APPROPRIATIONS.

    ``(a) Part A--Long-Range Technology Plan and National Activities.--
There are authorized to be appropriated $450,000,000 for fiscal year 
2002, and such sums as may be necessary for each of the 4 succeeding 
fiscal years to carry out part A.
    ``(b) Part B--Technology Innovation for Learning.--There are 
authorized to be appropriated $1,042,000,000 for fiscal year 2002, 
$1,212,000,000 for fiscal year 2003, $1,382,000,000 for fiscal year 
2004, $1,552,000,000 for fiscal year 2005, and $1,722,000,000 for 
fiscal year 2006.
    ``(c) Part C--Getting Our Girls Ready for the 21st Century Act (Go-
Girl Act).--There are authorized to be appropriated $50,000,000 for 
fiscal year 2002, and such sums as may be necessary for each of the 4 
succeeding fiscal years to carry out part C.

      ``PART A--NATIONAL LONG-RANGE TECHNOLOGY PLAN AND ACTIVITIES

``SEC. 3111. NATIONAL LONG-RANGE TECHNOLOGY PLAN.

    ``(a) In General.--The Secretary shall update, not later than 1 
year after the date of the enactment of the Excellence and 
Accountability in Education Act, and update subsequently when the 
Secretary determines appropriate, the national long-range plan (as such 
plan was in existence prior to the date of the enactment of the 
Excellence and Accountability in Education Act) that supports the 
overall national technology policy and carries out the purposes of this 
part. The Secretary shall disseminate such plan to State educational 
agencies, local educational agencies, the public, and other interested 
parties.
    ``(b) Plan Requirements.--The Secretary shall--
            ``(1) update the national long-range plan in consultation 
        with other Federal departments or agencies, State and local 
        education practitioners and policymakers, experts in technology 
        and the applications of technology to education, 
        representatives of distance learning consortia, and providers 
        of technology services and products;
            ``(2) transmit such plan to the President and to the 
        appropriate committees of the Congress; and
            ``(3) publish such plan in a form that is readily 
        accessible to the public.

``SEC. 3112. FEDERAL LEADERSHIP.

    ``(a) Program Authorized.--The Secretary, in consultation with the 
National Science Foundation, the Department of Commerce, and other 
appropriate Federal agencies, shall carry out activities designed to 
achieve the purpose of this part directly or by awarding grants or 
contracts competitively and pursuant to a peer review process to, or 
entering into contracts with, State educational agencies, local 
educational agencies, institutions of higher education, or other public 
and private nonprofit or for-profit agencies or organizations.
    ``(b) Assistance.--
            ``(1) In general.--The Secretary shall provide assistance 
        to the States to enable such States to plan effectively for the 
        use of technology in all schools throughout the State.
            ``(2) Other federal agencies.--For the purpose of carrying 
        out coordinated or joint activities consistent with the purpose 
        of this part, the Secretary may accept funds from, and transfer 
        funds to, other Federal agencies.
    ``(c) Required Uses of Funds.--The Secretary shall use funds made 
available to carry out this section, through grant or contract, for the 
following activities:
            ``(1) Development or redesign of teacher preparation 
        programs to enable prospective teachers to effectively use 
        technology in their classrooms and integrate it throughout 
        their instructional practices.
            ``(2) Creation or expansion of community technology centers 
        in economically distressed urban and rural communities that 
        provide disadvantaged residents with access to information 
        technology and related training.
            ``(3) Development, production, and distribution of 
        educational and instructional video programming by nonprofit 
        entities (including a public telecommunications entity) for 
        preschool and elementary school children and their parents.
            ``(4) Development, for wide-scale adoption by State 
        educational agencies and local educational agencies, of models 
        of innovative and effective applications of technology to 
        teaching and learning that are aligned with challenging State 
        academic content and student performance standards.
            ``(5) Providing school library media specialists with 
        professional development and acquisition of school library 
        media specialists.
    ``(d) Uses of Funds.--The Secretary may use funds made available to 
carry out this section for one or more of the following activities:
            ``(1) Providing development grants to technical assistance 
        providers, to enable such providers to improve substantially 
        the services such providers offer to educators on the 
        educational uses of technology, including professional 
        development.
            ``(2) Consulting with representatives of industry, 
        elementary and secondary education, higher education, adult and 
        family education, and appropriate experts in technology and 
        educational applications of technology in carrying out 
        activities under this title.
            ``(3) The development of a national repository of 
        information on the effective uses of educational technology, 
        including its use for sustained and intensive, high-quality 
        professional development, and the nationwide dissemination of 
        that information.
            ``(4) Research on, and the development of, applications for 
        education of the most advanced and newly emerging technologies 
        and such research shall be coordinated, when appropriate, with 
        the Office of Educational Research and Improvement, and other 
        Federal agencies.
            ``(5) The development, demonstration, and evaluation of the 
        educational aspects of high performance computing and 
        communications technologies and of the national information 
        infrastructure, in providing professional development for 
        teachers, school librarians, and other educators; enriching 
        academic curricula for elementary and secondary schools; 
        facilitating communications among schools, local educational 
        agencies, libraries, parents, and local communities and in 
        other such areas as the Secretary deems appropriate.
            ``(6) The development, demonstration, and evaluation of 
        applications of technology and innovative tools in preschool 
        education, elementary and secondary education, vocational and 
        professional training and lifelong learning, and professional 
        development of educational personnel.
            ``(7) The development and evaluation of software and other 
        products, including multimedia television programming, that 
        incorporate advances in technology and State content standards 
        and State student performance standards.
            ``(8) The development, demonstration, and evaluation of 
        model strategies for preparing teachers and other personnel to 
        use technology effectively to improve teaching and learning.
            ``(9) The development of model programs that demonstrate 
        the educational effectiveness of technology in urban and rural 
        areas and economically distressed communities.
            ``(10) Research on, and the evaluation of, the 
        effectiveness and benefits of technology in education.
            ``(11) A biennial assessment of, and report to the public 
        regarding, the uses of technology in elementary and secondary 
        education throughout the United States upon which private 
        businesses and Federal, State, tribal, and local governments 
        may rely for decisionmaking about the need for, and provision 
        of, appropriate technologies in schools, and such assessment 
        and report shall use, to the extent possible, existing 
        information and resources.
            ``(12) Conferences on, and dissemination of information 
        regarding, the uses of technology in education.
            ``(13) The development of model strategies to promote 
        gender equity concerning access to, and the use of, technology 
        in the classroom.
            ``(14) Encouraging collaboration between the Department and 
        other Federal agencies in the development, implementation, 
        evaluation and funding of applications of technology for 
        education, as appropriate.
            ``(15) The development, demonstration, and evaluation of 
        model technology programs designed to improve parental 
        involvement.
            ``(16) Other activities the Secretary determines will meet 
        the purpose of this title.
    ``(e) Non-Federal Share.--
            ``(1) In general.--Subject to paragraphs (2) and (3), the 
        Secretary may require any recipient of a grant or contract 
        under this section to share in the cost of the activities 
        assisted under such grant or contract, and such non-Federal 
        share shall be announced through a notice in the Federal 
        Register and may be in the form of cash or in-kind 
        contributions, fairly valued.
            ``(2) Increase.--The Secretary may increase the non-Federal 
        share that is required of a recipient of a grant or contract 
        under this section after the first year such recipient receives 
        funds under such grant or contract.
            ``(3) Maximum.--The non-Federal share required under this 
        section shall not exceed 50 percent of the cost of the 
        activities assisted pursuant to a grant or contract under this 
        section.

      ``PART B--STATE AND LOCAL TECHNOLOGY INNOVATION FOR LEARNING

``SEC. 3201. PURPOSE.

    ``It is the purpose of this part to increase the capacity of State 
and local educational agencies to improve student achievement through 
the use and application of technology, particularly that of students in 
high-poverty, low-performing schools, and the ability of teachers to 
integrate technology across the curriculum, by supporting State and 
local efforts that--
            ``(1) make effective use of new technologies and technology 
        applications, networks, and electronic learning resources;
            ``(2) utilize research-based teaching practices that are 
        linked to advanced technologies;
            ``(3) promote sustained and intensive, high-quality 
        professional development that enables teachers to help students 
        achieve to challenging State content standards and assessments 
        in core academic subjects through the integration of 
        educational technology into instruction;
            ``(4) disseminate information to local educational agencies 
        and schools about technology and applications, including 
        software, that are aligned to challenging State content 
        standards in core academic subjects; and
            ``(5) develop standards and performance indicators for 
        students and teachers on the effective use and integration of 
        education technology into the core academic curriculum and 
        methods for measuring program outcomes against indicators.

``SEC. 3202. ALLOTMENT AND REALLOTMENT.

    ``(a) Allotment.--
            ``(1) In general.--Except as provided in paragraph (2), 
        each State educational agency shall be eligible to receive a 
        grant under this part for a fiscal year in an amount which 
        bears the same relationship to the amount made available under 
        section 3005(b)(1) for such year as the amount such State 
        received under part A of title I for such year bears to the 
        amount received for such year under such part by all States.
            ``(2) Minimum.--No State educational agency (including for 
        purposes of this part, the Bureau of Indian Affairs) shall be 
        eligible to receive a grant under paragraph (1) in any fiscal 
        year in an amount which is less than one-half of 1 percent of 
        the amount made available under section 3005(b)(1) for such 
        year, except that this minimum shall apply to the aggregate of 
        grants received under this part by the outlying areas for a 
        fiscal year.
    ``(b) Reallotment of Unused Funds.--
            ``(1) In general.--The amount of any State educational 
        agency's allotment under subsection (a) for any fiscal year 
        which the Secretary determines will not be required for such 
        fiscal year to carry out this part shall be available for 
        reallotment from time to time, on such dates during such year 
        as the Secretary may determine, to other State educational 
        agencies in proportion to the original allotments to such State 
        educational agencies under subsection (a) for such year, but 
        with such proportionate amount for any of such other State 
        educational agencies being reduced to the extent such amount 
        exceeds the sum the Secretary estimates such State needs and 
        will be able to use for such year.
            ``(2) Other reallotments.--The total of reductions under 
        paragraph (1) shall be similarly reallotted among the State 
        educational agencies whose proportionate amounts were not so 
        reduced.

``SEC. 3203. GRANT AWARDS.

    ``(a) Grants to States.--
            ``(1) In general.--From amounts made available under 
        section 3202, the Secretary, through the Office of Educational 
        Technology, shall award grants to State educational agencies 
        having applications approved under section 3204.
            ``(2) Use of grants.--
                    ``(A) Each State educational agency that receives a 
                grant under paragraph (1) shall use--
                            ``(i) not less than 95 percent of the grant 
                        funds to award, on a competitive basis, 
                        subgrants to eligible local applicants, as 
                        defined in section 3207(1), for use in creating 
                        learning environments designed to prepare all 
                        students, including students with disabilities 
                        or limited English proficiency, to achieve to 
                        challenging State academic content and 
                        performance standards through the use of 
                        research-based teaching practices, integration 
                        of technology into the curriculum and advanced 
                        technologies for activities described in 
                        section 3205; and
                            ``(ii) subject to subparagraph (C), the 
                        remainder of the grant funds for administrative 
                        costs and technical assistance, and the 
                        development and updating of the State 
                        technology plan.
                    ``(B) In awarding grants under subparagraph (A)(i), 
                each State educational agency shall--
                            ``(i) ensure that each such grant is of 
                        sufficient duration, and of sufficient size, 
                        scope, and quality, to carry out the purposes 
                        of this part effectively; and
                            ``(ii) shall give priority to an eligible 
                        local applicant that is a partnership that 
                        meets the requirements of section 3207(1)(B).
                    ``(C) From funds described in subparagraph (A)(i), 
                a State educational agency may use not more than 2 
                percent of the grant funds received by that agency 
                under this subpart to provide planning subgrants to 
                eligible local applicants in order to assist them to 
                develop strategic long-term local technology plans that 
                shall be included in the application for a subgrant 
                under section 3206.
    ``(b) Technical Assistance.--Each State educational agency 
receiving a grant under subsection (a) shall--
            ``(1) identify the local educational agencies in the State 
        educational agency that--
                    ``(A) have the highest number or percentage of 
                children in poverty; and
                    ``(B) demonstrate to such State educational agency 
                the greatest need for technical assistance in 
                developing the application under section 3206; and
            ``(2) offer technical assistance to such local educational 
        agencies in--
                    ``(A) developing applications under section 3206;
                    ``(B) forming partnerships among the entities 
                described in section 3206(1)(B); and
                    ``(C) meeting the standards and performance 
                indicators as described in section 3204(a)(5).

``SEC. 3204. STATE APPLICATION.

    ``(a) In General.--To receive funds under this part, each State 
educational agency shall submit an application to the Secretary at such 
time, in such manner, and accompanied by such information as the 
Secretary may reasonably require. As part of its application, a State 
educational agency shall submit a new or updated statewide educational 
technology plan. The plan shall demonstrate how it will be coordinated 
with and support the State plan or policies for comprehensive 
standards-based education reform, and shall describe--
            ``(1) the State educational agency's long-term strategies 
        for financing educational technology in the State, including 
        how the State educational agency will use other sources of 
        Federal and non-Federal funds, including the E-rate, for this 
        purpose;
            ``(2) the State educational agency's criteria for 
        identifying local educational agencies under section 3203(b)(1) 
        and how the State educational agency will report to the public 
        the criteria to be used and the outcome of the competition 
        under section 3204(a)(2)(A)(i);
            ``(3) the State educational agency's specific goals for 
        using advanced technologies to improve student achievement to 
        challenging State academic content and performance standards 
        by--
                    ``(A) using web-based resources and 
                telecommunications networks to provide challenging 
                content and improve classroom instruction;
                    ``(B) using research-based teaching practices and 
                models of effective uses of advanced technology to 
                promote basic skills in core academic areas and higher-
                order thinking skills in all students; and
                    ``(C) promoting sustained and intensive high-
                quality professional development that increases teacher 
                capacity to enable students to learn to challenging 
                State content and performance standards and develop 
                higher-order thinking skills through the integration of 
                technology into instruction;
            ``(4) the strategy of the State educational agency for 
        disseminating information, or arranging for other qualified 
        entities with the appropriate experience to provide technical 
        assistance, regarding software and other technology 
        applications that are aligned to the content standards in core 
        academic subjects of the States;
            ``(5) the State educational agency's performance indicators 
        for each of the strategies and goals described in paragraphs 
        (1) and (3) and included in its plan, baseline performance data 
        for the indicators, a timeline for achieving the goals, and 
        interim measures of success toward achieving the goals;
            ``(6) how the State educational agency will ensure that 
        grants to eligible local applicants are of sufficient size, 
        scope, and quality to meet the purposes of this part 
        effectively;
            ``(7) how the State educational agency will provide 
        technical assistance to eligible local applicants, and its 
        capacity for providing such assistance;
            ``(8) how the State educational agency will ensure that 
        educational technology is accessible to and usable by all 
        students, including students with special needs, such as 
        students who have disabilities or limited English proficiency;
            ``(9) how the State educational agency will ensure the 
        ongoing integration of technology across the curriculum used by 
        its local educational agencies and schools in all such schools 
        in the State by September 30, 2006; and
            ``(10) how the State educational agency will evaluate its 
        activities under the plan as it relates to its specific goals 
        as described in paragraph (3), including its impact on student 
        achievement for all students, and the ability of teachers to 
        integrate technology into the core academic curriculum.
    ``(b) Approval of State Educational Agency Application.--The 
Secretary shall review the application of a State educational agency 
for assistance under this part and shall approve the application, 
unless the Secretary makes a determination in writing that such 
application does not meet the specific requirements of this part or 
does not show reasonable promise of achieving its goals.

``SEC. 3205. LOCAL USES OF FUNDS.

    ``Each eligible local applicant, having an approved application 
under section 3206, shall, consistent with such application, use funds 
made available under section 3203(a)(2)(A)(i) for one or more of the 
following activities:
            ``(1)(A) Adapting or expanding existing and new 
        applications of technology to enable teachers to help students 
        to achieve to challenging State academic content and student 
        performance standards through the use of research-based 
        teaching practices and advanced technologies; and
            ``(B) integrating technology across the curriculum.
            ``(2) Providing sustained and intensive, high-quality 
        professional development in the integration of advanced 
        technologies across the curriculum and in using those 
        technologies to create enriching learning environments, 
        including training in the use of technology to access data and 
        resources to develop curricula and instructional materials that 
        are aligned to the challenging State academic content standards 
        in core academic subjects.
            ``(3) Enabling teachers to use the Internet to communicate 
        with other teachers, parents, and students, and retrieve web-
        based learning resources.
            ``(4) Using technology to enable teachers and 
        administrators to collect, manage, and analyze data to identify 
        strengths and weaknesses in academic performance to improve 
        school reform efforts.
            ``(5) Acquiring wireless telecommunications, hand-held 
        devices, modeling or simulation tools, distance learning 
        networks, and other advanced technologies with classroom 
        applications.
            ``(6) Acquiring proven and effective technology-based 
        curricular programs that will help students to achieve to 
        challenging State academic content and student performance 
        standards, including programs that enable family and parental 
        access to advanced telecommunications, and support 
        communications between families, parents and schools.
            ``(7) Acquiring proven and effective curricula that 
        includes integrated technology and are designed to help 
        students achieve challenging State academic content and student 
        performance standards.
            ``(8) Acquiring wiring and access to advanced 
        telecommunications.
            ``(9) Using web-based learning resources, including those 
        that provide access to challenging courses such as Advanced 
        Placement courses.
            ``(10) Assisting schools to use technology to promote 
        parent and family involvement, and support communications 
        between family and school.
            ``(11) Utilizing technology to develop or expand efforts to 
        connect schools and teachers with parents to promote meaningful 
        parental involvement and foster increased communication about 
        curriculum, assignments, and assessments.
            ``(12) Providing support to help parents understand the 
        technology being applied in their children's education so 
        parents will be able to reinforce their children's learning.
            ``(13) Other activities which are consistent with the 
        purpose of this part.

``SEC. 3206. LOCAL APPLICATIONS.

    ``Each eligible local applicant desiring assistance from a State 
educational agency under this part shall submit an application, 
consistent with the objectives of the systemic statewide plan, to the 
State educational agency at such time, in such manner, and accompanied 
by such information as the State educational agency may reasonably 
require. Such application, at a minimum, shall--
            ``(1) include a strategic, long-range (3- to 5-year) plan 
        that includes--
                    ``(A) a description of how the applicant plans to 
                improve the achievement of all students by--
                            ``(i) making effective use of new 
                        technologies, networks, and electronic learning 
                        resources;
                            ``(ii) using research-based teaching 
                        practices and models of effective uses of 
                        advanced technology to promote basic skills in 
                        core academic areas and higher-order thinking 
                        skills;
                            ``(iii) promoting sustained and intensive, 
                        high quality professional development that 
                        increases teacher capacity to enable students 
                        to learn to challenging State content and 
                        performance standards and develop higher-order 
                        thinking skills through the integration of 
                        technology into instruction; and
                            ``(iv) the steps that will be taken to 
                        inform parents of the use of technologies in 
                        their children's education so that parents will 
                        be able to reinforce at home the instruction 
                        their children receive in school;
                    ``(B) an explanation of how the acquired 
                technologies will be integrated into the curriculum to 
                help the local educational agency that is the eligible 
                local applicant under section 3207(1)(A) or is a member 
                of a partnership described in section 3207(1)(B), 
                enhance teaching, training, and student achievement;
                    ``(C) a description of the applicant's goals 
                regarding the use of educational technology that are 
                consistent with the performance indicators of the State 
                described under section 3204(a)(5), as well as the 
                applicant's baseline data, timelines, benchmarks, and 
                indicators of success for meeting those goals;
                    ``(D) a description of how the applicant will 
                ensure sustained and intensive, high-quality 
                professional development for teachers, administrators, 
                and other educational personnel to further the 
                effective use of technology in the classroom and the 
                integration of technology into instructional practices;
                    ``(E) a description of the administrative and 
                technical support that the applicant will provide 
                schools;
                    ``(F) the projected timetable for implementing such 
                plan in schools;
                    ``(G) the projected cost of technologies to be 
                acquired and related expenses needed to implement such 
                plan;
                    ``(H) a description of the applicant's strategy for 
                financing its strategic, long-term local technology 
                plan, including the use of other Federal and non-
                Federal funds, and how the plan will be coordinated 
                with other technology initiatives;
                    ``(I) a description of how the applicant will use 
                advanced technology to promote communication between 
                teachers for activities such as--
                            ``(i) sharing examples of student work;
                            ``(ii) developing instructional strategies 
                        that promote basic skills in core academic 
                        areas and higher-order thinking skills in all 
                        students;
                            ``(iii) developing challenging curricula 
                        aligned with State or local standards; and
                            ``(iv) using data to improve teaching and 
                        learning; and
                    ``(J) a description of how the applicant will use 
                technology to improve the teaching and learning of 
                students with special needs, such as students with 
                disabilities or limited English proficiency;
            ``(2) describe how the eligible local applicant will 
        involve parents, public libraries, business leaders and 
        community leaders in the development of the plan described in 
        paragraph (1);
            ``(3) describe how the acquired instructionally based 
        technologies will help the local educational agency that is the 
        eligible local applicant under section 3207(1)(A), or is a 
        member of a partnership described in section 3207(1)(B) and 
        meets the requirements of section 3207(1)(A)--
                    ``(A) promote equity in education in order to 
                support State content standards and State student 
                performance standards that may be developed; and
                    ``(B) provide access for teachers, parents, and 
                students to the best teaching practices and curriculum 
                resources through technology;
            ``(4) describe a process for the ongoing evaluation of how 
        technologies acquired under this section--
                    ``(A) will be integrated into the school curriculum 
                and instructional practices of teachers of the school; 
                and
                    ``(B) will affect student achievement and progress 
                toward meeting any challenging State content standards 
                and State student performance standards that may be 
                developed;
            ``(5) describe how the applicant will use subgrant funds to 
        benefit low-performing schools in integrating technology into 
        the curriculum of such schools;
            ``(6) describe how the applicant will ensure that 
        technology is accessible to, and usable by, all students, 
        particularly students with disabilities or limited English 
        proficiency;
            ``(7) include an assurance that, before any funds received 
        under this part are used to acquire wiring or access to 
        advanced telecommunications, the applicant will use all 
        appropriate resources available to it through the E-Rate;
            ``(8) describe how the eligible local applicant will 
        provide for an independent evaluation of the program funded 
        under this part and how such evaluation will be used for 
        program improvement; and
            ``(9) if the applicant is a partnership, describe the 
        members of the partnership, their respective roles, and their 
        respective contributions to improving the capacity of the local 
        educational agency.

``SEC. 3207. DEFINITIONS.

    ``For the purposes of this part--
            ``(1) the term `eligible local applicant' means
                    ``(A) a local educational agency that, as 
                determined by the State educational agency--
                            ``(i) is among the local educational 
                        agencies in the State with the highest numbers 
                        or percentages of children from families with 
                        incomes below the poverty line;
                            ``(ii) includes one or more low-performing 
                        schools; and
                            ``(iii) has a substantial need for 
                        assistance in acquiring and using technology; 
                        or
                    ``(B) a partnership that includes at least 1 local 
                educational agency that meets the requirements of 
                subparagraph (A) and at least 1--
                            ``(i) local educational agency that can 
                        demonstrate that teachers in schools served by 
                        that agency are using technology effectively in 
                        their classrooms;
                            ``(ii) institution of higher education in 
                        full compliance with the reporting requirements 
                        of section 207(f) of the Higher Education Act 
                        of 1965 and that has not been identified by its 
                        State as low performing under section 208 of 
                        such Act;
                            ``(iii) for-profit organization that 
                        develops, designs, manufactures, or produces 
                        technology products or services, or has 
                        substantial expertise in the application of 
                        technology; or
                            ``(iv) public or private non-profit 
                        organization with demonstrated experience in 
                        the application of educational technology; and
            ``(2) the term `low-performing school' means a school 
        identified by the local educational agency for school 
        improvement under section 1116(b) of this Act.

    ``PART C--GETTING OUR GIRLS READY FOR THE 21ST CENTURY (GO GIRL)

``SEC. 3311. FINDINGS.

    ``Congress finds the following:
            ``(1) Women have historically been underrepresented in 
        mathematics, science, technology, and engineering occupations.
            ``(2) Female students take fewer high-level mathematics and 
        science courses in high school than male students.
            ``(3) Female students take far fewer advanced computer 
        classes than male students take and tend to take only basic 
        data entry and word processing classes.
            ``(4) Female students earn fewer baccalaureate, masters, 
        and doctoral degrees in mathematics, science, technology, and 
        engineering than male students.
            ``(5) Early career exploration is key to choosing a career.
            ``(6) Teachers' attitudes, methods of teaching, and 
        classroom atmosphere affect female student's interest in 
        nontraditional fields.
            ``(7) Stereotypes about appropriate careers for females, a 
        lack of female role models, and a lack of basic career 
        information significantly deters girls' interest in 
        mathematics, science, technology, and engineering careers.
            ``(8) Females consistently rate themselves significantly 
        lower than males in computer ability.
            ``(9) In the coming years, 65 percent of the economy will 
        be based on information-technology.
            ``(10) Limited access is a hurdle faced by females seeking 
        jobs in mathematics, science, technology, and engineering.
            ``(11) Common recruitment and hiring practices make 
        extensive use of traditional networks that often overlook 
        females.

``SEC. 3312. PROGRAM AUTHORITY.

    ``(a) In General.--From funds provided under section 3005(c), the 
Secretary is authorized to provide grants to and enter into contracts 
or cooperative agreements with local educational agencies on behalf of 
elementary and secondary schools to encourage the ongoing interest of 
girls in science, mathematics, engineering, and technology and to 
prepare girls to pursue undergraduate and graduate degrees and careers 
in science, mathematics, engineering, or technology.
    ``(b) Application.--
            ``(1) In general.--To be eligible to receive a grant, enter 
        into a contract, or cooperative agreement under this part, a 
        local educational agency shall submit an application to the 
        Secretary at such time, in such form, and containing such 
        information as the Secretary may reasonably require.
            ``(2) Contents.--The application referred to in paragraph 
        (1) shall contain, at a minimum, the following:
                    ``(A) A specific program description, including the 
                content of the program and the research and models used 
                to design the program.
                    ``(B) A description of the collaboration between 
                elementary and secondary schools to fulfill goals of 
                the program.
                    ``(C) An explanation regarding the recruitment and 
                selection of participants.
                    ``(D) A description of the instructional and 
                motivational activities planned to be used.
                    ``(E) An evaluation plan.

``SEC. 3313. ELEMENTARY SCHOOL PROGRAM.

    ``(a) Selection.--Local educational agencies shall select 
elementary schools to provide services that--
            ``(1) encourage girls in grades 4 through 8 to enjoy and 
        pursue studies in science, mathematics, engineering, and 
        technology;
            ``(2) acquaint girls in grades 4 through 8 with careers in 
        science, mathematics, engineering, and technology; and
            ``(3) educate the parents of girls in grades 4 through 8 
        about the difficulties faced by girls to maintain an interest 
        and desire to achieve in science, mathematics, engineering, and 
        technology and enlist the help of the parents in overcoming 
        these difficulties.
    ``(b) Services.--Services provided under this section shall include 
one or more of the following:
            ``(1) Tutoring in reading, science, mathematics, 
        engineering, and technology.
            ``(2) Mentoring relationships, both in-person and through 
        the Internet.
            ``(3) Paying the costs of female students and their 
        teachers attending events and academic programs in science, 
        mathematics, engineering, and technology.
            ``(4) Providing after-school activities designed to 
        encourage the interest of girls in grades 4 and higher in 
        science, mathematics, engineering, and technology.
            ``(5) Summer programs designed to encourage interest, and 
        develop skills, in science, mathematics, engineering, and 
        technology.
            ``(6) Purchasing software designed for girls, or designed 
        to encourage girls' interest in science, mathematics, 
        engineering, and technology.
            ``(7) Offering field trips to locations that educate and 
        encourage girls' interest in science, mathematics, engineering, 
        and technology.
            ``(8) Offering field trips to locations that acquaint girls 
        with careers in science, mathematics, engineering, and 
        technology.
            ``(9) Purchasing and disseminating information to parents 
        of girls in grades 4 and higher that will help parents to 
        encourage their daughters' interest in science, mathematics, 
        engineering, and technology.

``SEC. 3314. SECONDARY SCHOOL PROGRAM.

    ``(a) Selection.--Local educational agencies shall select secondary 
schools to provide services that--
            ``(1) encourage girls in grades 9 and higher to major in 
        science, mathematics, engineering, and technology of a 
        institution of higher education;
            ``(2) provide academic advice and assistance in high school 
        course selection;
            ``(3) encourage girls in grades 9 and higher to plan for 
        careers in science, mathematics, engineering, and technology; 
        and
            ``(4) educate the parents of girls in grades 9 and higher 
        about the difficulties faced by girls to maintain an interest 
        in and desire to, achieve in science, mathematics, engineering, 
        and technology, and enlist the help of the parents in 
        overcoming these difficulties.
    ``(b) Services.--Services provided under this section shall include 
one or more of the following:
            ``(1) Tutoring in science, mathematics, engineering, and 
        technology.
            ``(2) Mentoring relationships, both in-person and through 
        the Internet.
            ``(3) Paying the costs of female students and their 
        teachers attending events and academic programs in science, 
        mathematics, engineering, and technology.
            ``(4) Paying up to 50 percent of the cost of an internship 
        in science, mathematics, engineering, or technology for female 
        students.
            ``(5) Providing after-school activities designed to 
        encourage the interest of girls in grades 9 and higher in 
        science, mathematics, engineering, and technology, including 
        the cost of that portion of a staff salary to supervise these 
        activities.
            ``(6) Providing summer programs designed to encourage 
        interest, and develop skills, in science, mathematics, 
        engineering, and technology.
            ``(7) Purchasing software designed for girls, or designed 
        to encourage girls' interest in science, mathematics, 
        engineering, and technology.
            ``(8) Offering field trips to locations that educate and 
        encourage girls' interest in science, mathematics, engineering, 
        and technology.
            ``(9) Offering field trips to locations that acquaint girls 
        with careers in science, mathematics, engineering, and 
        technology.
            ``(10) Visits to institutions of higher education to 
        acquaint girls with college-level programs in science, 
        mathematics, engineering, or technology, and to meet with 
        educators and female college students who will encourage them 
        to pursue degrees in science, mathematics, engineering, and 
        technology.

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

SEC. 401. SAFE AND DRUG-FREE SCHOOLS AND COMMUNITIES.

    Title IV (20 U.S.C. 7101 et seq.) is amended to read as follows:

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

``SEC. 4001. SHORT TITLE.

    ``This title may be cited as the `Safe and Drug-Free Schools and 
Communities Act'.

``SEC. 4002. FINDINGS.

    ``Congress finds the following:
            ``(1) It is essential for schools to provide a drug-free, 
        safe, and orderly learning environment for all students, if all 
        students are to live healthy lives and achieve to high academic 
        standards.
            ``(2) Student drug use, alcohol and tobacco, and school 
        violence are serious educational and public health concerns.
            ``(3) Safe and Drug-Free Schools and Communities programs 
        are most likely to be effective when they are based on a 
        thorough assessment of objective data about the drug and 
        violence problems in schools and communities, are designed to 
        meet measurable goals and objectives, are based on sound 
        research or evaluation findings, and are evaluated regularly 
        and held accountable for results.
            ``(4) Safe and Drug-Free Schools and Communities program 
        resources should be targeted at the local level to projects in 
        areas that demonstrate need for the funds, have developed the 
        best strategic plans for using the funds, and are committed to 
        being accountable for results.
            ``(5) Alternative education, for children who have been 
        suspended or expelled from school, is vital to improving the 
        safety of schools and communities, and ensuring continued 
        educational opportunity.

``SEC. 4003. PURPOSE.

    ``The purpose of this title is to support programs that prevent 
violence in and around schools and the illegal use of alcohol, tobacco, 
and drugs; involve parents; and are coordinated with related Federal, 
State, and community efforts and resources, through the provision of 
Federal assistance to--
            ``(1) States for grants to local educational agencies and 
        educational service agencies and consortia of such agencies to 
        establish, operate, and improve local programs of school drug 
        and violence prevention, early intervention, rehabilitation 
        referral, and education in elementary and secondary schools 
        (including intermediate and junior high schools);
            ``(2) States for grants to, and contracts with, community-
        based organizations and other public and private nonprofit 
        agencies and organizations for programs of drug and violence 
        prevention, early intervention, rehabilitation referral, and 
        education;
            ``(3) States for development, training, technical 
        assistance, and coordination activities;
            ``(4) public and private nonprofit organizations to conduct 
        training, demonstrations, and evaluation, and to provide 
        supplementary services for the prevention of drug use and 
        violence among students and youth; and
            ``(5) institutions of higher education to establish, 
        operate, expand, and improve programs of school drug and 
        violence prevention, education, and rehabilitation referral for 
        students enrolled in colleges and universities.

``SEC. 4004. AUTHORIZATION OF APPROPRIATIONS.

    ``There are authorized to be appropriated--
            ``(1) $500,000,000 for fiscal year 2002, and such sums as 
        may be necessary for each of the 4 succeeding fiscal years, for 
        State grants under subpart 1 of part A;
            ``(2) $200,000,000 for fiscal year 2002, and such sums as 
        may be necessary for each of the 4 succeeding fiscal years, for 
        national programs under subpart 2 of part A;
            ``(3) $200,000,000 for fiscal year 2002, and such sums as 
        may be necessary for each of the 4 succeeding fiscal years to 
        carry out part B related to alternative education;
            ``(4) $1,300,000,000 for fiscal year 2002, $1,623,000,000 
        for fiscal year 2003, $2,537,000,000 for fiscal year 2004, 
        $3,452,000,000 for fiscal year 2005, and $4,366,000,000 for 
        fiscal year 2006 to carry out part C related to reserve staff 
        for students; and
            ``(5) $100,000,000 for fiscal year 2002 and such sums as 
        may be necessary for the 4 succeeding fiscal years to carry out 
        part D related to Technical Assistance.

    ``PART A--STATE GRANTS FOR DRUG AND VIOLENCE PREVENTION PROGRAMS

  ``Subpart 1--State Grants for Drug and Violence Prevention Programs

``SEC. 4111. RESERVATIONS AND ALLOTMENTS.

    ``(a) Reservations.--From the amount made available under section 
4004(1) to carry out this subpart for each fiscal year, the Secretary--
            ``(1) shall reserve 1 percent of such amount for grants 
        under this subpart to Guam, American Samoa, the Virgin Islands, 
        and the Commonwealth of the Northern Mariana Islands, to be 
        allotted in accordance with the Secretary's determination of 
        their respective needs;
            ``(2) shall reserve 1 percent of such amount for the 
        Secretary of the Interior to carry out programs under this part 
        for Indian youth;
            ``(3) may reserve not more than $2,000,000 for the national 
        evaluation activities required by section 4117(a); and
            ``(4) shall reserve 0.2 percent of such amount for programs 
        for Native Hawaiians under section 4118.
    ``(b) State Allotments.--
            ``(1) In general.--Except as provided in paragraph (2), the 
        Secretary shall, for each fiscal year, allocate among the 
        States--
                    ``(A) \1/2\ of the remainder not reserved under 
                subsection (a) according to the ratio between the 
                school-aged population of each State and the school-
                aged population of all the States; and
                    ``(B) \1/2\ of such remainder according to the 
                ratio between the amount each State received under part 
                A of title I for the preceding year and the sum of such 
                amounts received by all the States.
            ``(2) Minimum.--For any fiscal year, no State shall be 
        allotted under this subsection an amount that is less than one-
        half of 1 percent of the total amount allotted to all the 
        States under this subsection.
            ``(3) Reallotment.--The Secretary may reallot any amount of 
        any allotment to a State if the Secretary determines that the 
        State will be unable to use such amount within 2 years of such 
        allotment. Such reallotments shall be made on the same basis as 
        allotments are made under paragraph (1).
            ``(4) Definitions.--For the purposes of this subsection--
                    ``(A) the term `State' means each of the 50 States, 
                the District of Columbia, and the Commonwealth of 
                Puerto Rico; and
                    ``(B) the term `local educational agency' includes 
                educational service agencies and consortia of such 
                agencies.

``SEC. 4112. STATE APPLICATION.

    ``(a) State Application.--In order to receive an allotment under 
section 4111(b) for any fiscal year, a State shall submit to the 
Secretary, at such time and in such manner as the Secretary may 
require, a 5-year application that--
            ``(1) is submitted jointly by the Governor and the State 
        educational agency of the State;
            ``(2) contains a description of how funds under this part 
        will be coordinated with other programs under this Act and with 
        other Federal education and drug prevention programs;
            ``(3) contains a comprehensive plan for the use of funds by 
        the State educational agency and the Governor to provide safe, 
        orderly, and drug-free school environments that includes--
                    ``(A) the results of the State's needs assessment 
                for drug and violence-prevention programs, which shall 
                be based on the results of ongoing State evaluation 
                activities and include data on the prevalence of drug 
                use and violence by youth in schools and communities in 
                the State;
                    ``(B) a list of the State's results-based 
                performance measures for drug and violence prevention, 
                which shall--
                            ``(i) be focused on student behavior and 
                        attitudes and derived from the needs 
                        assessment;
                            ``(ii) be selected from a core set of 
                        indicators that the Secretary shall develop in 
                        consultation with State and local officials;
                            ``(iii) include targets and due dates for 
                        the attainment of these indicators;
                            ``(iv) include a description of the 
                        procedures the State will use to inform local 
                        educational agencies of the State's results-
                        based performance measures for drug and 
                        violence prevention for assessing and publicly 
                        reporting progress toward meeting these 
                        indicators, or revising them as needed;
                            ``(v) include a description of how the 
                        procedures described in subparagraph (C) and 
                        subparagraph (D) will support the achievement 
                        of the State's results-based performance 
                        measures; and
                            ``(vi) incorporate each of the principles 
                        of effectiveness;
                    ``(C) a description of the procedures the Governor 
                will use to award funds to eligible applicants on a 
                competitive basis consistent with section 4115, 
                including--
                            ``(i) the criteria the Governor will use to 
                        assess the relative quality of applications and 
                        demonstrated need for funding of eligible 
                        applicants;
                            ``(ii) the peer review process the Governor 
                        will use to review applications;
                            ``(iii) how those funds will be used for 
                        community resources and activities that support 
                        local educational agency programs to create 
                        drug-free, safe, and disciplined learning 
                        environments in, and passageways to and from, 
                        schools; and
                            ``(iv) how the Governor will ensure that 
                        the geographic distribution of awards reflects 
                        the diversity of local educational agencies in 
                        the State;
                    ``(D) a description of how the State educational 
                agency and Governor will use the funds reserved under 
                sections 4113(b) and 4115(c) for coordinated capacity-
                building and technical assistance and program 
                accountability services and activities at the State and 
                local levels, including how the State educational 
                agency and Governor will coordinate their activities 
                with law enforcement, health, mental health, and 
                education programs and officials at the State and local 
                levels;
                    ``(E) a description of how the State educational 
                agency and the Governor will monitor local programs and 
                provide corrective action if necessary; and
                    ``(F) a description of how the State educational 
                agency will ensure that local educational agencies not 
                receiving funds under this part will be provided 
                technical assistance to improve their programs;
            ``(4) contains assurances that the application was 
        developed in consultation and coordination with appropriate 
        State officials, including the head of the State alcohol and 
        drug abuse agency, the heads of the State health and mental 
        health agencies, the head of the State criminal justice 
        planning agency, the head of the State child welfare agency, 
        the head of the State board of education, or their designees, 
        and representatives of parents, students, and community-based 
        organizations; and
            ``(5) contains an assurance that the State will cooperate 
        with, and assist, the Secretary in conducting the national 
        impact evaluation of programs required by section 4117(a).
    ``(b) Peer Review.--The Secretary shall use a peer review process 
in reviewing State applications under this section.

``SEC. 4113. STATE AND LOCAL EDUCATIONAL AGENCY PROGRAMS.

    ``(a) Use of Funds.--
            ``(1) In general.--Except as provided in paragraph (2), an 
        amount equal to 85 percent of the total amount allocated to a 
        State under section 4111(b) for each fiscal year shall be used 
        by the State educational agency and its local educational 
        agencies for drug and violence prevention activities in 
        accordance with this section.
            ``(2) Exception.--
                    ``(A) If a State had, on or before January 1, 1994, 
                established an independent State agency for the purpose 
                of administering all of the funds described in section 
                5121 of this Act (as such section was in effect on the 
                day preceding the date of the enactment of the 
                Improving America's Schools Act of 1994), then--
                            ``(i) an amount equal to 85 percent of the 
                        total amount allocated to such State under 
                        section 4111 for each fiscal year shall be used 
                        by the State educational agency and its local 
                        educational agencies for drug and violence 
                        prevention activities in accordance with this 
                        section; and
                            ``(ii) an amount equal to 15 percent of 
                        such total amount shall be used by such 
                        independent State agency for drug and violence 
                        prevention activities in accordance with this 
                        section.
                    ``(B) Not more than 5 percent of the amount 
                reserved under subparagraph (A)(ii) may be used for 
                administrative costs of the independent State agency 
                incurred in carrying out the activities described in 
                such subparagraph.
                    ``(C) For the purposes of this paragraph, the term 
                independent State agency means an independent agency 
                with a board of directors or a cabinet level agency 
                whose chief executive officer is appointed by the chief 
                executive officer of the State and confirmed with the 
                advice and consent of the Senate of such State.
    ``(b) State Level Activities.--
            ``(1) In general.--A State educational agency may use not 
        more than 5 percent of the amount available under subsection 
        (a) for activities such as--
                    ``(A) training and technical assistance concerning 
                drug and violence prevention for local educational 
                agencies and educational service agencies, including 
                teachers, administrators, coaches and athletic 
                directors, other staff, parents, students, community 
                leaders, health service providers, local law 
                enforcement officials, and judicial officials;
                    ``(B) the development, identification, 
                dissemination, and evaluation of the most readily 
                available, accurate, and up-to-date curriculum 
                materials with a solid research base, for consideration 
                by local educational agencies;
                    ``(C) making available to local educational 
                agencies cost effective programs for youth violence and 
                drug abuse prevention;
                    ``(D) demonstration projects in drug and violence 
                prevention;
                    ``(E) training, technical assistance, and 
                demonstration projects to address violence associated 
                with prejudice and intolerance;
                    ``(F) financial assistance to enhance resources 
                available for drug and violence prevention in areas 
                serving large numbers of economically disadvantaged 
                children or sparsely populated areas, or to meet other 
                special needs consistent with the purposes of this 
                title;
                    ``(G) developing and implementing strategies and 
                programs to greatly reduce the incidence of sexual 
                harassment and abuse and to encourage positive and 
                respectful interactions between girls and boys; and
                    ``(H) the evaluation of activities carried out 
                within the State under this part.
            ``(2) Special rule.--A State educational agency may carry 
        out activities under this subsection directly, or through 
        grants or contracts with community based organizations, 
        institutions of higher education and other public and private 
        non-profit entities.
    ``(c) State Administration.--A State educational agency may use not 
more than 3 percent of the amount reserved under subsection (a) for the 
administrative costs of carrying out its responsibilities under this 
part.
    ``(d) Local Educational Agency Programs.--
            ``(1) In general.--A State educational agency shall 
        distribute not less than 92 percent of the amount made 
        available under subsection (a) for each fiscal year to local 
educational agencies in accordance with this subsection.
            ``(2) Distribution.--
                    ``(A) Of the amount distributed under paragraph 
                (1), a State educational agency shall distribute--
                            ``(i) 70 percent of such amount to local 
                        educational agencies, based on the relative 
                        enrollments in public and private nonprofit 
                        elementary and secondary schools within the 
                        boundaries of such agencies; and
                            ``(ii) 30 percent of such amount to local 
                        educational agencies that the State educational 
                        agency determines have the greatest need for 
                        additional funds to carry out drug and violence 
                        prevention programs authorized by this subpart.
                    ``(B) Where appropriate and to the extent 
                consistent with the needs assessment conducted by the 
                State, not less than 25 percent of the amount 
                distributed under subparagraph (A)(ii) for a fiscal 
                year shall be distributed to local educational agencies 
                located in rural and urban areas.
                    ``(C)(i) A State educational agency shall 
                distribute funds under subparagraph (A)(ii) to not more 
                than 10 percent of the local educational agencies in 
                the State, or 5 such agencies, whichever is greater.
                    ``(ii) In determining which local educational 
                agencies have the greatest need for additional funds 
                under subparagraph (A)(ii), the State educational 
                agency shall consider objective data such as--
                            ``(I) high rates of alcohol or drug use 
                        among youth;
                            ``(II) high rates of victimization of youth 
                        by violence and crime;
                            ``(III) high rates of arrests and 
                        convictions of youth for violent or drug- or 
                        alcohol-related crime;
                            ``(IV) the extent of illegal gang activity;
                            ``(V) high incidence of violence associated 
                        with prejudice and intolerance;
                            ``(VI) high rates of referrals of youths to 
                        drug and alcohol abuse treatment and 
                        rehabilitation programs;
                            ``(VII) high rates of referrals of youths 
                        to juvenile court;
                            ``(VIII) high rates of expulsions and 
                        suspensions of students from schools; and
                            ``(IX) high rates of reported cases of 
                        child abuse and domestic violence.
                    ``(D) Special rule, minimum grant amounts.--
                            ``(i) Except as provided in clause (ii), a 
                        local educational agency shall not receive an 
                        allocation under this subsection unless the 
                        amount allocated to such agency under this 
                        subsection is greater than $5,000. A local 
                        educational agency may enter into a consortium 
                        with other local educational agencies for the 
                        purposes of meeting the minimum allocation 
                        requirement of this clause.
                            ``(ii) Waiver.--The State educational 
                        agency shall waive the requirement of clause 
                        (i) in any case in which the local educational 
                        agency demonstrates that it is unable to enter 
                        into a consortium for the purposes of carrying 
                        out activities under this part.
    ``(e) Reallocation of Funds.--If a local educational agency chooses 
not to apply to receive the amount allocated to such agency under 
subsection (d), does not meet the requirements of subsection (d)(2)(D) 
and does not form a consortium, or if such agency's application under 
section 4115 is disapproved by the State educational agency, the State 
educational agency shall reallocate such amount to one or more of the 
local educational agencies determined by the State educational agency 
under subsection (d)(2)(A)(ii) to have the greatest need for additional 
funds.
    ``(f) Return of Funds to State Educational Agency; Reallocation.--
            ``(1) Return.--Except as provided in paragraph (2), upon 
        the expiration of the 1-year period beginning on the date that 
        a local educational agency or educational service agency under 
        this title receives its allocation under this title--
                    ``(A) such agency shall return to the State 
                educational agency any funds from such allocation that 
                remain unobligated; and
                    ``(B) the State educational agency shall reallocate 
                any such amount to local educational agencies or 
                educational service agencies that have plans for using 
                such amount for programs or activities on a timely 
                basis.
            ``(2) Reallocation.--In any fiscal year, a local 
        educational agency, may retain for obligation in the succeeding 
        fiscal year--
                    ``(A) an amount equal to not more than 25 percent 
                of the allocation it receives under this title for such 
                fiscal year; or
                    ``(B) upon a demonstration of good cause by such 
                agency or consortium, a greater amount approved by the 
                State educational agency.

``SEC. 4114. LOCAL DRUG AND VIOLENCE PREVENTION PROGRAMS.

    ``(a) Principles of Effectiveness.--Each local educational agency 
that receives a subgrant under section 4113(c) shall use those funds to 
support research-based drug- and violence-prevention services and 
activities that are consistent with the principles of effectiveness 
described in section 4119 and the purpose of this title, such as--
            ``(1) staff training and development;
            ``(2) parental involvement and training;
            ``(3) community involvement activities;
            ``(4) law enforcement and security activities that are 
        related to school safety and drug use;
            ``(5) creating and maintaining safe zones of passage to and 
        from school to prevent violence and drug trafficking;
            ``(6) counseling, mentoring, and referral services, and 
        other student assistance programs;
            ``(7) before- and after-school programs;
            ``(8) alternative education programs for those students who 
        have been expelled from their regular education programs;
            ``(9) programs to assist students to reenter the regular 
        education program upon return from treatment or alternative 
        education settings;
            ``(10) services and activities that reduce the need for 
        suspension and expulsion in maintaining classroom order and 
        school discipline;
            ``(11) services and activities to prevent and reduce 
        truancy;
            ``(12) teaching students about the risks and consequences 
        associated with handling firearms that enabling them to make 
        safe choices and avoid injury to themselves and others;
            ``(13) age-appropriate, developmentally based violence 
        prevention and education programs for all students, from the 
        preschool level through grade 12, that address the legal, 
        health, personal, and social consequences of violent and 
        disruptive behavior, including sexual harassment and abuse, and 
        victimization associated with prejudice and intolerance, and 
        that include activities designed to help students develop a 
        sense of individual responsibility and respect for the rights 
        of others, and to resolve conflicts without violence;
            ``(14) age-appropriate, developmentally based or community-
        oriented safety programs for all students, from the preschool 
        level through grade 12, that address prevention and education 
        of child abuse and abduction, including--
                    ``(A) teaching students the skills to identify, 
                avoid if possible, and cope with potentially dangerous 
                or threatening situations that may include abduction, 
                abuse, or neglect; and
                    ``(B) providing guidance to students that 
                encourages students to seek advice for anxiety, threats 
                of abuse, or actual abuse and to confide in a trusted 
                adult regarding an uncomfortable or threatening 
                situation;
            ``(15) activities designed to prevent hate crimes and 
        strengthen tolerance and understanding;
            ``(16) activities to greatly reduce the incidence of sexual 
        harassment and abuse;
            ``(17) activities to increase the safety of children going 
        to and from school, including those that improve pedestrian and 
        bicyclist safety; and
            ``(18) other activities that are consistent with the 
        purposes of this title.
    ``(b) Limitation.--A local educational agency may not use more that 
20 percent of its subgrant for the acquisition or use of metal 
detectors and security personnel unless it demonstrates in its 
application under section 4116 to the satisfaction of the State 
educational agency that it has a compelling need to do so.
    ``(c) School Protection.--Each local educational agency, or 
consortium of such agencies, that receives a subgrant under section 
4113(c) and has reported expulsions under part F during the past 3 
years shall develop a program with local law enforcement agencies to 
protect students and employees of public schools against gun violence 
that includes promoting the benefits of child safety locks for 
firearms.

``SEC. 4115. GOVERNORS PROGRAMS.

    ``(a) Use of Funds.--
            ``(1) In general.--An amount equal to 15 percent of the 
        total amount allocated to a State under section 4111(b) for 
        each fiscal year shall be used by the chief executive officer 
        of such State for drug and violence prevention programs and 
        activities in accordance with this section.
            ``(2) Law enforcement education partnerships.--A chief 
        executive officer shall use not less than 10 percent of the 15 
        percent of the total amount described in paragraph (1) for each 
        fiscal year for law enforcement education partnerships in 
        accordance with subsection (d).
            ``(3) Administrative costs.--A chief executive officer may 
        use not more than 20 percent of the total amount described in 
        paragraph (1) for the administrative costs incurred in carrying 
        out the duties of such officer under this section.
    ``(b) Programs Authorized.--
            ``(1) In general.--A chief executive officer shall use 
        funds made available under subsection (a) for competitive 
        grants to or contracts with parent groups, community action and 
        job training agencies, community-based organizations, and other 
        public entities and private nonprofit organizations and 
        consortia thereof to support community efforts that directly 
        complement the efforts of local educational agencies to foster 
        drug-free, safe, and orderly learning environments in and 
        around schools. In making such grants and contracts, a chief 
        executive officer shall give priority to programs and 
        activities described in subsection (c) for--
                    ``(A) children and youth who are not normally 
                served by State or local educational agencies; or
                    ``(B) populations that need special services or 
                additional resources (such as preschoolers, youth in 
                juvenile detention facilities, runaway or homeless 
                children and youth, pregnant and parenting teenagers, 
                and school dropouts).
            ``(2) Peer review.--Grants or contracts awarded under this 
        subsection shall be subject to a peer review process.
    ``(c) Authorized Activities.--Grants and contracts under subsection 
(b) shall be used for programs and activities that are consistent with 
the principles of effectiveness described under section 4119, such as--
            ``(1) disseminating information about drug and violence 
        prevention;
            ``(2) training parents, law enforcement officials, judicial 
        officials, social service providers, health service providers 
        and community leaders about drug and violence prevention, 
        comprehensive health education, early intervention, pupil 
        services, or rehabilitation referral;
            ``(3) developing and implementing comprehensive, community-
        based drug and violence prevention programs that link community 
        resources with schools and integrate services involving 
        education, vocational and job skills training and placement, 
        law enforcement, health, mental health, community service, 
        mentoring, and other appropriate services;
            ``(4) planning and implementing drug and violence 
        prevention activities that coordinate the efforts of State 
        agencies with efforts of the State educational agency and its 
        local educational agencies;
            ``(5) activities to protect students traveling to and from 
        school, including pedestrian and bicycle safety education;
            ``(6) before-and-after school recreational, instructional, 
        cultural, and artistic programs that encourage drug- and 
        violence-free lifestyles;
            ``(7) activities that promote the awareness of and 
        sensitivity to alternatives to violence through courses of 
        study that include related issues of intolerance and hatred in 
        history;
            ``(8) developing and implementing activities to prevent and 
        reduce violence associated with prejudice and intolerance;
            ``(9) developing and implementing strategies to prevent 
        illegal gang activity;
            ``(10) coordinating and conducting community-wide violence 
        and safety assessments and surveys;
            ``(11) service-learning projects that encourage drug- and 
        violence-free lifestyles; and
            ``(12) evaluating programs and activities assisted under 
        this section.
    ``(d) Law Enforcement Education Partnerships.--A chief executive 
officer shall use funds under subsection (a)(2) to award grants to 
State, county, or local law enforcement agencies (including district 
attorneys) in consortium with local educational agencies or community-
based agencies for the purpose of carrying out drug abuse and violence 
prevention activities, such as--
            ``(1) Project Drug Abuse Resistance Education and other 
        programs which provide classroom instruction by uniformed law 
        enforcement officials that is designed to teach students to 
        recognize and resist pressures to experiment that influence 
        such children to use controlled substances or alcohol;
            ``(2) Project Legal Lives and other programs in which 
        district attorneys provide classroom instruction in the law and 
        legal system which emphasizes interactive learning techniques, 
        such as mock trial competitions;
            ``(3) partnerships between law enforcement and child 
        guidance professionals; and
            ``(4) before- and after-school activities.

``SEC. 4116. LOCAL APPLICATIONS.

    ``(a) Application Required.--
            ``(1) In general.--In order to be eligible to receive a 
        subgrant under section 4113(d) or section 4115 for any fiscal 
        year, an applicant shall submit, at such time and including 
        such information as the State educational agency or Governor, 
        as applicable, requires, an application to the State 
        educational agency or Governor, as applicable for approval. 
        Such an application shall be amended, as necessary, to reflect 
        changes in the applicant's program.
            ``(2) Application process.--
                    ``(A) Applications for subgrants from entities 
                other than local educational agencies, under section 
                4115 shall be developed in consultation with the 
                schools or local educational agencies to be served and, 
                to the extent practicable, with the representatives 
                described in subparagraph (B).
                    ``(B) An application from local educational 
                agencies for subgrants shall be developed in 
                consultation with a local or substate regional advisory 
                council that includes, to the extent possible, 
                representatives of local government, business, parents, 
                students, teachers, pupil services personnel, 
                appropriate State agencies, private schools, the 
                medical profession, law enforcement, community-based 
                organizations, and other groups with interest and 
                expertise in drug and violence prevention.
    ``(b) Contents of Applications.--(1) An application under this 
section shall contain--
            ``(A) the results of the applicant's needs assessment 
        concerning the creation and maintenance of a drug-free, safe, 
        and orderly school environment and include data on the 
        prevalence of drug use and violence by youth in the schools and 
        communities to be served;
            ``(B) a description of how the applicant will target 
        services and activities on the communities, schools, and 
        students with the greatest need for assistance in creating and 
        maintaining drug-free, safe, and orderly learning environments;
            ``(C) the applicant's results-based performance measures 
        for creating and maintaining a drug-free, safe, and orderly 
        learning environment, which shall be focused on student 
        behavior and attitudes, and include annual targets for each 
        performance measure;
            ``(D) a description of the procedures the applicant will 
        use to assess and publicly report progress toward meeting its 
        performance indicators;
            ``(E) a description of how--
                    ``(i) the applicant will use the funds to be 
                awarded and how the activities it will support with 
                those funds address the needs identified under 
                subparagraph (A) and the performance measures 
                identified under subparagraph (C); and
                    ``(ii) if the applicant is a local educational 
                agency, how those activities are consistent with the 
                Safe and Drug-Free Schools plan under paragraph (2)(D) 
                or another existing school plan related to safe, 
                disciplined, and drug-free environments;
            ``(F) a description of how the applicant will coordinate 
        its activities with local, State, and Federal law enforcement, 
health, mental health, and education officials;
            ``(G) a description of the applicant's plan for evaluating 
        its project; and
            ``(H) any other information the State educational agency or 
        Governor, as applicable, may require to review application's, 
        and award subgrants, based on the applicants need for 
        assistance and the quality of the application.
    ``(2) Each applicant for a subgrant under this section shall also 
include in its application an assurance that it--
            ``(A) has a policy, consistent with State law and the Gun-
        Free Schools Act, that requires the expulsion of students who 
        possess a firearm at school;
            ``(B) has, or will have, a full-or part-time program 
        coordinator whose primary responsibility is planning, 
        designing, implementing, and evaluating the applicant's 
        programs (unless the applicant demonstrates in its application, 
        to the satisfaction of the State educational agency, that such 
        a program coordinator is not needed);
            ``(C) will evaluate its program every 2 years to assess its 
        progress toward meeting its goals and objectives, and will use 
        the results of its evaluation to improve its program and refine 
        its goals and objectives, as needed; and
            ``(D) has, or the schools to be served have, a 
        comprehensive Safe and Drug-Free Schools plan that includes--
                    ``(i) appropriate and effective discipline policies 
                that prohibit disorderly conduct, the possession of 
                firearms and other weapons, and the illegal use, 
                possession, distribution, and sale of tobacco, alcohol, 
                and other drugs by students, and that mandate 
                predetermined consequences, sanctions, or interventions 
                for specific offenses;
                    ``(ii) security procedures at school and while 
                students are on the way to and from school, which may 
                include the use of metal detectors and the development 
                and implementation of formal agreements with law 
                enforcement officials;
                    ``(iii) early intervention and prevention 
                activities of demonstrated effectiveness designed to 
                create and maintain safe, disciplined, and drug-free 
                environments;
                    ``(iv) school readiness and family involvement 
                activities;
                    ``(v) improvements to classroom management and 
                school environment, such as efforts to reduce class 
                size or improve classroom discipline;
                    ``(vi) procedures to identify and intervene with 
                troubled students, including establishing linkages 
                with, and referring students to, juvenile justice, 
                community mental health, and other service providers;
                    ``(vii) activities that connect students to 
                responsible adults in the community, including 
                activities such as after-school or mentoring programs; 
                and
                    ``(viii) a crisis management plan for responding to 
                violent or traumatic incidents on school grounds, which 
                provides for addressing the needs of victims, and 
                communicating with parents, the media, law enforcement 
                officials, and mental health service providers.
    ``(3) Each applicant for a subgrant under section 4115 shall also 
include in its application--
            ``(A) a description of how the services and activities to 
        be supported will be coordinated with relevant programs under 
        this part that are supported by State educational agencies, 
        including how recipients will share resources, services, and 
        data;
            ``(B) a description of how the applicant will coordinate 
        its activities under this part with those implemented under the 
        Drug-Free Communities Act, if any; and
            ``(C)(i) an assurance that it will evaluate its program 
        every 2 years to assess its progress toward meeting its goals 
        and objectives, and will use the results of its evaluation to 
        improve its program and refine its goals and objectives as 
        needed, if the applicant is not a local educational agency; or
            ``(ii) the assurance under paragraph (2) if the applicant 
        is a local educational agency.
    ``(c) Review of Application.--
            ``(1) In general.--In reviewing local applications under 
        this section--
                    ``(A) a State educational agency shall use a peer 
                review process or other methods of assuring the quality 
                of such applications; and
                    ``(B) Governors may use a peer review process or 
                other methods that ensure that applications are funded 
                and approved on the basis of need and quality.
            ``(2) Considerations.--
                    ``(A) In determining whether to approve the 
                application of a local educational agency under this 
                section, a State educational agency shall consider the 
                quality of the local educational agency's comprehensive 
                plan under subsection (b)(2).
                    ``(B) A State educational agency may disapprove a 
                local educational agency's application under this 
                section in whole or in part and may withhold, limit, or 
                place restrictions on the use of funds allotted to such 
                a local educational agency in a manner the State 
                educational agency determines will best promote the 
                purpose of this title, except that a local educational 
                agency shall be afforded an opportunity to appeal any 
                such disapproval.

``SEC. 4117. NATIONAL EVALUATIONS AND DATA COLLECTIONS.

    ``(a) National Evaluations.--
            ``(1) The Secretary shall provide for periodic national 
        evaluations, at least every 2 years, of the quality and impact 
        of programs under this title and other programs designed to 
        prevent drugs and violence in schools and submit a report of 
        the findings of such evaluations to the President and Congress.
            ``(2)(A) The National Center for Education Statistics shall 
        collect data for the following purposes:
                    ``(i) To determine the frequency, seriousness, and 
                incidence of drug use by youth in schools and 
                communities in the States using, if appropriate, data 
                submitted by the States pursuant to subsection (b).
                    ``(ii) To determine the frequency, degree of harm, 
                and morbidity of violent incidents, particularly 
                firearm-related injuries and fatalities, by youth in 
                schools and communities in the States, including 
                information with respect to--
                            ``(I) the relationship between victims and 
                        perpetrators;
                            ``(II) demographic characteristics of 
                        victims and perpetrators; and
                            ``(III) type and characteristic of the 
                        firearm used in the shooting.
                    ``(B) The Secretary shall report to Congress on the 
                data collected under this paragraph, together with such 
                recommendations as the Secretary determines 
                appropriate.
            ``(3) The Secretary shall publish annual reports on school 
        safety.
    ``(b) State Reports.--
            ``(1) The Governor and State educational agency of each 
        State shall annually report to the Secretary, in such form as 
        the Secretary may require, on the State's progress toward 
        attaining its performance indicators, required under section 
        4112(a)(1)(B), for achieving drug-free, safe, and orderly 
        learning environments in its schools. Annual reports shall--
                    ``(A) be based on the State's ongoing evaluation 
                activities;
                    ``(B) include data on the prevalence and incidence 
                of drug use and violence by youth in schools and 
                communities;
                    ``(C) address the implementation and outcomes of 
                State and local programs under this part, as well as 
                their effectiveness; and
                    ``(D) be made readily available to the public.
            ``(2) Each State shall report to the Secretary, in such 
        form as the Secretary, in consultation with the Secretary of 
        Health and Human services, may require, all school-related 
        suicides and homicides within the State not later than 30 days 
        after the incident.
    ``(c) Local Reports.--
            ``(1)(A) Each local educational agency that receives a 
        subgrant under section 4113(d) shall report annually to the 
        State educational agency and the public on--
                            ``(i) the local educational agency's 
                        progress toward meeting its results-based 
                        performance indicators for its program;
                            ``(ii) the results of its on-going 
                        evaluation of its program; and
                            ``(iii) any problems the local educational 
                        agency has encountered in implementing its 
                        program that warrant the provision of technical 
                        assistance by the State educational agency.
                    ``(B)(i) The State educational agency shall review 
                the annual reports described under paragraph (1) and 
                shall not provide funding for the second or third year 
                of a local educational agency's program unless it 
                determines that the local educational agency is making 
                reasonable progress toward meeting its objectives.
                    ``(ii) Before the denial of funding under clause 
                (i) a local educational agency shall be afforded an 
                opportunity to a hearing.
            ``(2)(A) Each recipient of funds under section 4115 shall 
        report annually to the Governor and to the public on--
                            ``(i) its progress toward meeting its 
                        results-based performance measures for its 
                        program;
                            ``(ii) the results of its on-going 
                        evaluation of its program; and
                            ``(iii) any problems it encountered in 
                        implementing its program that warrant the 
                        provision of technical assistance by the 
                        Governor.
                    ``(B) The Governor shall review the annual reports 
                described under subparagraph (A), and shall not provide 
                funding for subsequent years of a multiyear program 
                unless the Governor determines that the recipient is 
                making reasonable progress toward meeting its 
                objectives.

``SEC. 4118. PROGRAMS FOR NATIVE HAWAIIANS.

    ``(a) General Authority.--From the funds made available pursuant to 
section 4111(a)(4) to carry out this section, the Secretary shall make 
grants to or enter into cooperative agreements or contracts with 
organizations primarily serving and representing Native Hawaiians, 
which are recognized by the Governor of the State of Hawaii to plan, 
conduct, and administer programs, or portions thereof, which are 
authorized by and consistent with the provisions of this title for the 
benefit of Native Hawaiians.
    ``(b) Definition of Native Hawaiian.--For the purposes of this 
section, the term Native Hawaiian means any individual any of whose 
ancestors were natives, prior to 1778, of the area which now comprises 
the State of Hawaii.

``SEC. 4119. PRINCIPLES OF EFFECTIVENESS.

    ``The principles of effectiveness referred to under this title are 
as follows:
            ``(1) The applicant's program is based on a thorough 
        assessment of objective data about the drug and violence 
        problems in the schools and communities to be served.
            ``(2) The applicant has established a set of measurable 
        goals and objectives aimed at ensuring that all schools served 
        by the local educational agency have a drug-free, safe, and 
        orderly learning environment, and has designed its programs to 
        meet those goals and objectives.
            ``(3) The applicant has designed and will implement its 
        programs for youth based on research or evaluation that 
        provides evidence that the program to be used will prevent or 
reduce drug use, violence, delinquency, or disruptive behavior among 
youth.
            ``(4) The applicant will evaluate its program periodically 
        to assess its progress toward achieving its goals and 
        objectives, and will use evaluation results to refine, improve, 
        and strengthen its program, and refine its goals and 
        objectives, as needed.

                     ``Subpart 2--National Programs

``SEC. 4121. NATIONAL PROGRAMS.

    ``(a) Program Authorized.--From funds appropriated to carry out 
this part for each fiscal year under section 4004(2), the Secretary 
shall--
            ``(1) carry out programs designed to promote drug-free, 
        safe, and orderly learning environments for students at all 
        educational levels, from preschool through the postsecondary 
        level; and
            ``(2) reserve the lesser of 5 percent or $10,000,000 to 
        carry out section 4122, relating to Hate Crime prevention.
    ``(b) Drug-Free, Safe, and Orderly Learning Environments.--
            ``(1) The Secretary may carry out the programs described in 
        subsection (a)(1)(A) directly, or through grants, contracts, or 
        cooperative agreements with public and private agencies, 
        organizations, and individuals, or through agreements with 
        other Federal agencies, and shall coordinate with other Federal 
        agencies, as appropriate.
            ``(2) Programs under this subsection may include, but are 
        not limited to--
                    ``(A) one or more centers to provide training and 
                technical assistance for teachers, school 
                administrators and staff, and others on the 
                identification and implementation of effective 
                strategies to promote safe, orderly, and drug-free 
                learning environments;
                    ``(B) programs to train teachers in innovative 
                techniques and strategies of effective drug and 
                violence prevention;
                    ``(C) research and demonstration projects to test 
                innovative approaches to drug and violence prevention;
                    ``(D) evaluations of the effectiveness of programs 
                funded under this title, or other programs designed to 
                create safe, disciplined, and drug-free environments;
                    ``(E) direct services and technical assistance to 
                schools and school systems, including those afflicted 
                with especially severe drug and violence problems;
                    ``(F) developing and disseminating drug and 
                violence prevention materials and information in print, 
                audiovisual, or electronic format, including 
                information about effective research-based programs, 
                policies, practices, strategies, and curriculum and 
                other relevant materials to support drug and violence 
                prevention education;
                    ``(G) recruiting, hiring, and training program 
                coordinators to assist local educational agencies in 
                implementing high-quality, effective, research-based 
                drug and violence prevention programs;
                    ``(H) the development and provision of education 
                and training programs, curricula, instructional 
                materials, and professional training for preventing and 
                reducing the incidence of crimes or conflicts motivated 
                by bullying, hate, prejudice, intolerance, or sexual 
                harassment and abuse;
                    ``(I) programs for youth who are out of the 
                education mainstream, including school dropouts, 
                students who have been suspended or expelled from their 
                regular education program, and runaway or homeless 
                children and youth;
                    ``(J) programs implemented in conjunction with 
                other Federal agencies that support local educational 
                agencies and communities in developing and implementing 
                comprehensive programs that create safe, disciplined, 
                and drug-free learning environments and promote healthy 
                childhood development;
                    ``(K) services and activities that reduce the need 
                for suspension and expulsion in maintaining classroom 
                order and discipline;
                    ``(L) services and activities to prevent and reduce 
                truancy;
                    ``(M) services and activities by an organization 
                that uses an effective life management skills 
                curriculum specifically designed to target at-risk and 
                disenfranchised youth who are confronted with multiple 
                challenging problems;
                    ``(N) programs to provide counseling services to 
                troubled youth, including support for the recruitment 
                and hiring of counselors and the operation of telephone 
                help lines; and
                    ``(O) other activities that meet emerging or unmet 
                national needs consistent with the purposes of this 
                title.
    ``(c) Peer Review.--The Secretary shall use a peer review process 
in reviewing applications for funds under this section.

``SEC. 4122. HATE CRIME PREVENTION.

    ``(a) Grant Authorization.--From funds reserved to carry out this 
section under section 4121(a)(2) the Secretary may make grants, on a 
competitive basis, to local educational agencies or local educational 
agencies in conjunction with community-based organizations for the 
purpose of providing assistance to localities most directly affected by 
hate crimes.
    ``(b) Use of Funds.--
            ``(1) Program development.--Grants under this section may 
        be used to improve elementary and secondary educational 
        efforts, including--
                    ``(A) development of education and training 
                programs designed to prevent and to reduce the 
                incidence of crimes and conflicts motivated by hate;
                    ``(B) development of curricula for the purpose of 
                improving conflict or dispute resolution skills of 
                students, teachers, and administrators;
                    ``(C) development and acquisition of equipment and 
                instructional materials to meet the needs of, or 
otherwise be part of, hate crime or conflict programs; and
                    ``(D) professional training and development for 
                teachers and administrators on the causes, effects, and 
                resolutions of hate crimes or hate-based conflicts.
            ``(2) In general.--In order to be eligible to receive a 
        grant under this section for any fiscal year, a local 
        educational agency, or a local educational agency in 
        conjunction with a community-based organization, shall submit 
        an application to the Secretary in such form, at such time, and 
        containing such information as the Secretary may reasonably 
        require.
            ``(3) Requirements.--Each application under paragraph (2) 
        shall include--
                    ``(A) a request for funds to be used consistent 
                with the purposes described in this section;
                    ``(B) a description of the schools and communities 
                to be served by the grants; and
                    ``(C) or assurance that Federal funds received 
                under this section shall be used to supplement, not 
                supplant, non-Federal funds.
            ``(4) Comprehensive plan.--Each application shall also 
        include a comprehensive plan that contains--
                    ``(A) a description of the hate crime or conflict 
                problems within the schools or the community described 
                in paragraph (3)(B);
                    ``(B) a description of the program to be developed 
                or augmented by such Federal and non-Federal matching 
                funds (which may be provided in cash, or in-kind);
                    ``(C) an assurance that such program or activity 
                shall be administered by or under the supervision of 
                the applicant;
                    ``(D) procedures for proper and efficient 
                administration of such program; and
                    ``(E) procedures for fiscal control and fund 
                accounting as may be necessary to ensure prudent use, 
                proper disbursement, and accurate accounting of funds 
                received under this section.
    ``(c) Award of Grants.--
            ``(1) Selection of recipients.--The Secretary shall 
        consider the incidence of crimes and conflicts motivated by 
        bias in the schools and communities described in subsection 
        (b)(3)(B) in awarding grants under this section.
            ``(2) Geographic distribution.--The Secretary shall 
        attempt, to the extent practicable, to achieve an equitable 
        geographic distribution of grant awards.
            ``(3) Dissemination of information.--The Secretary shall 
        make available information regarding successful research based 
        hate crime prevention programs, including programs established 
        or expanded with grants under this section to grantees under 
        this section.
    ``(d) Reports.--The Secretary shall submit to the Committee on 
Education and the Workforce in the House of Representatives and the 
Committee on Health, Education, Labor, and Pensions in the Senate a 
report every 2 years which shall contain a detailed statement regarding 
grants and awards, activities of grant recipients, and an evaluation of 
programs established under this section.

                    ``Subpart 3--General Provisions

``SEC. 4131. DEFINITIONS.

    ``For the purposes of this part:
            ``(1) Drug and violence prevention.--The term drug and 
        violence prevention means--
                    ``(A) with respect to drugs, prevention, early 
                intervention, rehabilitation, referral, or education 
                related to the illegal use of alcohol and the use of 
                controlled, illegal, addictive, or harmful substances, 
                including inhalants and anabolic steroids;
                    ``(B) prevention, early intervention, smoking 
                cessation activities, or education, related to the use 
                of tobacco by children and youth eligible for services 
                under this title; and
                    ``(C) with respect to violence, the promotion of 
                school safety, such that students and school personnel 
                are free from violent and disruptive acts, including 
                sexual harassment and abuse, and victimization 
                associated with prejudice and intolerance, on school 
                premises, going to and from school, and at school-
                sponsored activities, through the creation and 
                maintenance of a school environment that is free of 
                weapons and fosters individual responsibility and 
                respect for the rights of others.
            ``(2) Hate crime.--The term `hate crime' means a crime as 
        described in section 1(b) of the Hate Crime Statistics Act of 
        1990.
            ``(3) Nonprofit.--The term `nonprofit', as applied to a 
        school, agency, organization, or institution means a school, 
        agency, organization, or institution owned and operated by one 
        or more nonprofit corporations or associations, no part of the 
        net earnings of which inures, or may lawfully inure, to the 
        benefit of any private shareholder or individual.
            ``(4) School-aged population.--The term `school-aged 
        population' means the population aged 5 through 17, as 
        determined by the Secretary on the basis of the most recent 
        satisfactory data available from the Department of Commerce.
            ``(5) School personnel.--The term `school personnel' 
        includes teachers, administrators, guidance counselors, social 
        workers, psychologists, nurses, librarians, and other support 
        staff who are employed by a school or who perform services for 
        the school on a contractual basis.

``SEC. 4132. MATERIALS.

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

``SEC. 4133. PROHIBITED USES OF FUNDS.

    ``No funds under this part may be used for--
            ``(1) construction (except for minor remodeling needed to 
        accomplish the purposes of this part); and
            ``(2) medical services, drug treatment or rehabilitation, 
        except for pupil services or referral to treatment for students 
        who are victims of, or witnesses to, crime or who use alcohol, 
        tobacco, or drugs.

                    ``PART B--ALTERNATIVE EDUCATION

``SEC. 4201. PURPOSE.

    ``The purpose of this part is to assist local educational agencies 
to implement, establish, develop, or improve--
            ``(1) sound and equitable policies that ensure a safe, 
        orderly, and drug-free learning environment for all children, 
        while reducing the need to suspend or expel students and the 
        number of such suspensions and expulsions; and
            ``(2) educational supports, services, and programs, using 
        trained and qualified staff, for children aged 5 through 21 who 
        have been suspended or expelled so such children make 
        continuing progress toward meeting the State's challenging 
        academic standards.

``SEC. 4202. RESERVATION AND ALLOTMENTS.

    ``(a) Reservation.--From the amount made available under section 
4004(3) to carry out this part for each fiscal year, the Secretary--
            ``(1) shall reserve 0.5 percent of such amount for grants 
        to Guam, American Samoa, the United States Virgin Islands, the 
        Commonwealth of the Northern Mariana Islands, the Republic of 
        Palau, the Marshall Islands, and the Federated States of 
        Micronesia;
            ``(2) shall reserve 1 percent of such amount for the 
        Secretary of the Interior to carry out programs under this part 
        for Indian children; and
            ``(3) may reserve not more than the lesser of 5 percent or 
        $5,000,000 for evaluation and national activities under section 
        4212.
    ``(b) State Educational Agency Allotments.--
            ``(1) In general.--Except as provided in paragraph (2), and 
        after making the reservations in subsection (a), the Secretary 
        shall, for each fiscal year, allot among the States the 
        remainder according to the ratio between the amount each State 
        received under part A of title I for the preceding year and the 
        sum of such amounts received by all the States for such year.
            ``(2) Minimum.--For any fiscal year, the Secretary shall 
        not allot to a State an amount under this subsection that is 
        less than one-quarter of 1 percent of the total amount allotted 
        to all the States under this subsection.
            ``(3) Reallotment.--The Secretary may reallot any amount of 
        any allotment to a State if the Secretary determines that the 
        State will be unable to use such amount within two years of 
        such allotment. Such reallotments shall be made on the same 
        basis as allotments are made under paragraph (1).
    ``(c) Within-State Distribution of Funds.--Each State educational 
agency having an approved application pursuant to section 4203 and 
receiving an allotment under subsection (b), shall--
            ``(1) allot not less than 95 percent of such allocation to 
        local educational agencies pursuant to section 4207(a) or 
        4207(b); and
            ``(2) reserve not more than 5 percent for State level 
        activities and evaluation, of which not more than 40 percent 
        may be used for administration.

``SEC. 4203. STATE EDUCATIONAL AGENCY APPLICATIONS.

    ``Each State educational agency seeking a grant under this part 
shall submit an application in such form, and containing such 
information, as the Secretary may reasonably require. At a minimum, the 
application shall include--
            ``(1) a description of the competitive process the State 
        educational agency will use to award grants to local 
        educational agencies if the total amount appropriated under 
        this part is less than $350,000,000 in any given fiscal year;
            ``(2) a description of the performance indicators the State 
        educational agency will establish, consistent with section 
        4206, that will be used to evaluate local educational agency 
        programs funded under this part;
            ``(3) an assurance that State educational agency programs 
        funded under this part shall be based on the most effective 
        research;
            ``(4) a description of the research-base of programs funded 
        under this part;
            ``(5) a description of the professional development 
        necessary for teachers, other educators, and pupil services 
        personnel to implement alternative education supports, 
        services, and programs based on the most effective research;
            ``(6) a description of how the State will ensure a 
        reduction in the number of suspensions and expulsions, 
        including reductions among groups of minority, low-income, and 
        disabled children;
            ``(7) a description of the programs and activities the 
        State will carry out under section 4205;
            ``(8) an assurance that the State educational agency will 
        make awards to local educational agencies under section 4207(a) 
        based on the quality of their programs and their need for 
        assistance under this part;
            ``(9) a description of how the State will ensure the 
        implementation of disciplinary policies that are fair and 
        equitable;
            ``(10) a description of how the State will ensure that 
        supports, services, and programs funded under this part will 
        enable children to meet challenging State academic standards;
            ``(11) a description of how the State will ensure that 
        programs funded under this part include adequate support 
        services for students and their families, including counseling, 
        and will coordinate with and use services available through 
        juvenile justice, mental health, and social services agencies;
            ``(12) an assurance that the State and local educational 
        agencies which receive funds under this part will use such 
        funds to provide educational services to children who have been 
        suspended or expelled from school; and
            ``(13) a description of how the State will ensure the 
        programs funded under this part provide adequate support for 
        students to return to a regular education setting, if 
        appropriate.

``SEC. 4204. STATE APPLICATION APPROVAL.

    ``The Secretary shall review the application of a State educational 
agency for assistance under this part and shall approve the 
application, unless the Secretary makes a determination in writing that 
such application does not meet the specific requirements of this part 
or is of insufficient quality to meet the purposes of this part.

``SEC. 4205. STATE EDUCATIONAL AGENCY ACTIVITIES.

    ``(a) Required Uses of Funds.--A State educational agency shall use 
funds made available under section 4202(c)(2) for the following 
activities:
            ``(1) Identification.--Identification and dissemination of 
        effective supports, services, and programs that are consistent 
        with the purposes of this part, based on the most effective 
        research, to local educational agencies within the State.
            ``(2) Assistance.--Technical assistance designed to improve 
        the performance of supports, services, and programs funded 
        under this part.
            ``(3) Evaluation.--Evaluation of programs funded under this 
        part, and dissemination of the findings of the evaluations.
    ``(b) Permissive Uses of Funds.--A State educational agency may use 
funds made available under section 4202(c)(2) for the following 
activities:
            ``(1) Development.--Development of effective supports, 
        services, and programs consistent with the purposes of this 
        part.
            ``(2) Professional development.--Professional development 
        designed to provide teachers, pupil services personnel, and 
        other related instructional personnel with skills necessary to 
        integrate behavior intervention techniques and methodology into 
        the academic curriculum used by the State and local educational 
        agencies to maintain effective discipline and an environment 
        conducive to learning that reduces the need to suspend or expel 
        students.
            ``(3) Other activities.--Any other activities consistent 
        with the purposes of this part.

``SEC. 4206. STATE PERFORMANCE MEASURES.

    ``Each State educational agency shall establish performance 
indicators and acceptable goals of progress to evaluate the 
effectiveness of programs funded under this part. Such performance 
indicators shall include, at a minimum:
            ``(1) reduction in the number of incidents of disruptive 
        and violent behavior;
            ``(2) reduction in the number of suspensions and 
        expulsions;
            ``(3) reduction in the total amount of time students are 
        out of school as a result of being suspended or expelled;
            ``(4) attainment of challenging State academic standards by 
        students in programs funded under this part;
            ``(5) reduction in dropout rate; and
            ``(6) an increase in the number of students returning 
        successfully to a regular education program, as appropriate.

``SEC. 4207. LOCAL EDUCATIONAL AGENCY DISTRIBUTION OF FUNDS.

    ``(a) Competitive Grants.--In any fiscal year in which the total 
amount provided under section 4004(3) is less than $350,000,000, a 
State educational agency shall distribute funds under section 
4202(c)(1) on a competitive basis to local educational agencies that 
have an approved application under section 4208 and can demonstrate a 
significant number of incidents of children aged 5 through 21 who have 
been suspended or expelled from public school. Such competitive grant 
process shall--
            ``(1) give priority to local educational agencies in which 
        more than 30 percent of the children are from families with 
        incomes below the poverty line;
            ``(2) ensure that each grant shall be of sufficient size 
        and scope so as to be effective;
            ``(3) ensure, to the extent practicable, distribution of 
        grants on an equitable geographic basis, including selecting 
        agencies that serve urban, suburban, and rural populations; and
            ``(4) utilize a peer review process to approve 
        applications.
    ``(b) Formula Grants.--
            ``(1) In general.--In any fiscal year in which the total 
        amount provided under section 4004(3) equals or exceeds 
        $350,000,000, the State educational agency shall distribute 
        funds under section 4202(c)(1) on the following basis:
                    ``(A) 80 percent of such amount shall be allocated 
                to such local educational agencies in proportion to the 
                number of children, aged 5 through 17, who reside in 
                the school district served by the local educational 
                agency from families with incomes below the poverty 
                line applicable to a family of the size involved for 
                the most recent fiscal year for which satisfactory data 
                are 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.
                    ``(B) 20 percent of such amount to local 
                educational agencies, based on the relative enrollments 
                in public and private nonprofit elementary and 
                secondary schools within the boundaries of such 
                agencies.
            ``(2) Reallocation.--If a local educational agency chooses 
        not to apply to receive the amount allocated to such agency 
        under paragraph (1), or if such agency's application is 
        disapproved by the State educational agency pursuant to section 
        4209, the State educational agency shall reallocate such amount 
        to other local educational agencies on the same basis as 
        allocations are made under paragraph (1).
    ``(c) Federal Share.--The Federal share of programs funded under 
this part shall be--
            ``(1) 75 percent for local educational agencies in which 30 
        or more percent of the children who reside in the school 
        district served by the local educational agency are from 
        families with incomes below the poverty line; and
            ``(2) 35 percent for local educational agencies in which 
        less than 30 percent of the children who reside in the school 
        district served by the local educational agency are from 
        families with incomes below the poverty line.
    ``(d) Non-Federal Share.--Local educational agencies may satisfy 
the non-Federal share funding requirements of this section with in-kind 
contributions and may use Federal funds, other than those provided 
under this part, that may be used to carry out the purposes of this 
part.

``SEC. 4208. LOCAL APPLICATION.

    ``In order to be eligible to receive a grant under section 4207, 
for any fiscal year, a local educational agency shall submit an 
application to the State educational agency, at such time, and 
containing such information as the State educational agency shall 
require. Such application shall, at a minimum, include--
            ``(1) an assurance that programs shall serve children aged 
        5 through 21 who have been suspended or expelled from another 
        public school within the local educational agency;
            ``(2) a description of how the local educational agency 
        will provide, in a safe, orderly, and drug-free learning 
        environment with trained and qualified staff, educational 
        supports, services, and programs for students who have been 
        suspended or expelled so such students are able to meet the 
        State's challenging academic standards;
            ``(3) a description of the plan of the local educational 
        agency for reducing the number of suspensions and expulsions 
        and reducing the total amount of time students are out of a 
        regular education setting as a result of being suspended or 
        expelled;
            ``(4) a plan for training teachers, pupil services 
        personnel, and other appropriate school staff on effective 
        strategies for dealing with disruptive students;
            ``(5) a description of how the local educational agency 
        will involve parents in the education of children who have been 
        suspended or expelled, to the extent possible;
            ``(6) an assurance that local educational agencies will 
        develop annually increasing quantifiable program performance 
        goals, consistent with the State's performance indicators under 
        section 4206;
            ``(7) information demonstrating how the applicant will 
        continue the programs and activities developed under this part 
        after completion of the grant;
            ``(8) an assurance that the program will provide sufficient 
        support services for children and their families, including 
        counseling, and will coordinate with and utilize services 
        provided through juvenile justice, social service, and mental 
        health agencies;
            ``(9) an assurance that the program will assist 
        participating students in making the transition back to a 
        regular education setting, as appropriate; and
            ``(10) provide an assurance that such program will place an 
        emphasis on personal, academic, social, and workplace skills 
        and behavior modification, as appropriate.

``SEC. 4209. LOCAL APPLICATION APPROVAL.

    ``The State educational agency shall review the application of a 
local educational agency for assistance under this part. For the 
purposes of grants awarded under section 4207(b), such application 
shall be deemed approved unless the State makes a determination in 
writing that such application does not meet the specific requirements 
of this part or is of insufficient quality to meet the purposes of this 
part.

``SEC. 4210. LOCAL EDUCATIONAL AGENCY USES OF FUNDS.

    ``Each local educational agency, with an approved application under 
section 4209, shall use funds provided under section 4207 for one or 
more of the following activities, which shall be based on the most 
effective research:
            ``(1) The development, establishment, or improvement of 
        alternative schools, either established within a school or 
        separate and apart from an existing school, that are designed--
                    ``(A) to reduce disruptive behavior;
                    ``(B) to reduce the need for repeat suspensions and 
                expulsions; and
                    ``(C) to enable students to meet challenging State 
                academic standards.
            ``(2) The development, establishment, or improvement of 
        alternative supports, services, programs, and strategies for 
        students served by programs funded under this part.
            ``(3) Professional development for teachers, 
        administrators, pupil services personnel, and other school 
        staff on the most effective ways of preventing students from 
        disrupting class, and for dealing with those students who 
        disrupt class.
            ``(4) Mentoring, tutoring, and other services for students.
            ``(5) Counseling and mental health services, such as mental 
        health assessment and counseling, counseling on transitioning 
        to work or other educational options, and family counseling.
            ``(6) Programs in such areas as conflict resolution, peer 
        mediation, character education, social skills building, 
        alcohol, drug, and violence prevention, and behavior 
        interventions.
            ``(7) Programs providing sufficient support services for 
        children and their families, including counseling, and 
        coordination with and utilization of services provided through 
        juvenile justice, social service, and mental health agencies.
            ``(8) Activities to assist students in making the 
        transition back to regular school programs, as appropriate.
            ``(9) Programs to assist students to meet challenging 
        academic standards.
            ``(10) Other programs and activities consistent with the 
        purposes of this part.

``SEC. 4211. PROGRAM EVALUATION.

    ``(a) In General.--(1) Each State educational agency receiving 
funds under this part shall evaluate the effectiveness of programs and 
activities carried out under this part in reducing the need to suspend 
or expel students and in helping students who have been suspended or 
expelled to meet the State's challenging academic standards.
    ``(2) In evaluating local programs, the State educational agency 
shall, as appropriate, review performance data based on the attainment 
of the goals established by local educational agencies under section 
4208(6), disaggregated, as appropriate, on the basis of gender, race, 
ethnicity, migrant status, limited English proficiency status, 
disability, primary versus secondary education, and economic status.
    ``(b) Evaluation Results, Corrective Action, and Termination of 
Funds.--
            ``(1) Results.--Each State educational agency shall submit 
        the results of its evaluation to the Secretary in an annual 
        report. The Secretary shall submit a summary of the annual 
        reports to both the Committee on Education and the Workforce of 
        the House of Representatives and the Health, Education, Labor, 
        and Pensions Committee of the Senate.
            ``(2) Distribution.--Each State educational agency shall 
        distribute the results of the evaluation of individual programs 
        to each evaluated program.
            ``(3) Insufficient progress.--If a State educational agency 
        determines that a local educational agency's program under this 
part did not make sufficient progress toward the performance indicators 
established by the State educational agency based on the goals 
described in section 4208(6), the State educational agency shall 
provide technical assistance to such program. After two consecutive 
years of failure by a program to make sufficient progress toward the 
levels of performance established by the State educational agency, the 
State educational agency shall take such action as may be necessary, 
including the withdrawal of funds, in whole or in part, from such 
program.

``SEC. 4212. NATIONAL ACTIVITIES AND EVALUATION.

    ``(a) Evaluation by the Secretary.--The Secretary shall evaluate a 
representative sample of the programs funded under this part, and shall 
report the findings of the evaluation to the Committee on Education and 
the Workforce of the House of Representatives and the Committee on 
Health, Education, Labor, and Pensions of the Senate not later than 3 
years after the first grants are made under this part.
    ``(b) Research.--The Secretary shall conduct research, directly or 
through grants or contracts, to develop and identify proven alternative 
education practices. The Secretary shall disseminate such alternative 
education practices to State educational agencies and local educational 
agencies receiving funds under this Act.
    ``(c) Other National Activities.--The Secretary may directly, or 
through grants or contracts, carry out programs and activities 
consistent with the purposes of this part such as, collection of data, 
dissemination of information, and development of model programs and 
activities.

``SEC. 4213. SPECIAL RULES.

    ``(a) Construction.--Nothing in this part shall be construed to 
affect the requirements of the Individuals with Disabilities Education 
Act (20 U.S.C. 1400 et seq.) or the Gun-Free Schools Act (20 U.S.C. 
8921 et seq.).
    ``(b) Supplement.--Funds made available under this part shall be 
used to supplement, and shall not supplant, non-Federal funds expended 
to carry out programs and activities authorized by this part.

                 ``PART C--RESOURCE STAFF FOR STUDENTS

``SEC. 4311. FINDINGS.

    ``Congress finds the following:
            ``(1) Although 7,500,000 children under the age of 18 
        require mental health services, fewer than 1 in 5 of these 
        children receive the services.
            ``(2) Across the United States, counseling professionals 
        have an extremely busy caseload and often students do not get 
        the help they need. The current national average ratio of 
        students to counselors in elementary and secondary schools is 
        513:1.
            ``(3) Schools in the United States need more mental health 
        professionals, and the funds needed to hire staff to 
        specifically serve students.
            ``(4) The maximum recommended ratio of students-to-
        counselors is 250:1.
            ``(5) Existing counselors are severely taxed to perform 
        duties that are largely administrative in nature, such as 
        scheduling. They are burdened with many demands regarding 
        placement in colleges, testing, career guidance, and the like.
            ``(6) Student populations are expected to grow 
        significantly over the next few years. School-based services 
        for students will be in great demand. With expected large scale 
        retirements, more than 100,000 new dedicated resource staff for 
        students will be needed to increase student-to-staff service 
        availability.
            ``(7) The Federal support for reducing the student-to-staff 
        ratio would pay for itself, through reduced violence and 
        substance abuse, and through improvements in students' academic 
        achievement.

``SEC. 4312. PURPOSE.

    ``The purpose of this part is to assist States and local 
educational agencies to recruit, train, and hire 100,000 school-based 
resource staff to specifically work with students--
            ``(1) to reduce the student-to-counseling ratios 
        nationally, in grades 6-12, to an average of 1 such staff for 
        every 250 students as recommended in a report by the Institute 
        of Medicine of the National Academy of Sciences relating to 
        schools and health, issued in 1997;
            ``(2) to help address the mental, emotional, and 
        developmental needs of public school students; and
            ``(3) to support other school staff and teachers in 
        reaching students early before problems arise, conducting 
        behavioral interventions to improve school discipline, and 
        developing the awareness and skills to identify early warning 
        signs of violence and the need for mental health services.

``SEC. 4313. STUDENT RESOURCE STAFF PROGRAM.

    ``(a) In General.--From funds provided under section 4004(4), the 
Secretary shall award grants under this part to establish or expand the 
number of resource staff available for students' needs.
            ``(1) Distribution.--In awarding grants under this part, 
        the Secretary shall allocate funds proportionately based on the 
        population that is less than 18 years of age in each local 
        educational agency.
            ``(2) Duration.--A grant under this section shall be 
        awarded for a period not to exceed 3 years.
    ``(b) Applications.--
            ``(1) In general.--Each local educational agency desiring a 
        grant under this section shall submit an application to the 
        Secretary at such time, in such manner, and accompanied by such 
        information as the Secretary may reasonably require.
            ``(2) Contents.--Each application for a grant under this 
        section shall--
                    ``(A) describe the secondary public school 
                population to be targeted by the program, the 
                particular personal, social, emotional, education, and 
                career development needs of such population, and the 
                current school counseling resources available for 
                meeting such needs;
                    ``(B) describe the activities, services, and 
                training to be provided by the program and the specific 
                approaches to be used to meet the needs described in 
                subparagraph (A);
                    ``(C) describe the methods to be used to evaluate 
                the outcomes and effectiveness of the program; and
                    ``(D) document that the applicant has the personnel 
                qualified to develop, implement, and administer the 
                program.
    ``(c) Use of funds.--Funds under this section shall be used to 
initiate or expand student resource staff programs that carry out the 
purpose under section.
    ``(d) Definitions.--For the purposes of this part the term 
`resource staff' means an individual who has documented competence and 
training in mental health to be able to provide services to children 
and adolescents in a school setting and who--
            ``(1) possesses State licensure or certification in mental 
        health granted by an independent professional regulatory 
        authority;
            ``(2) in the absence of such State licensure or 
        certification, possesses national certification in mental 
        health or in a related specialty granted by an independent 
        professional organization;
            ``(3) holds at least a master's degree in school counseling 
        from a program accredited by the Council for Accreditation of 
        Counseling and Related Educational Programs or an equivalent 
        degree;
            ``(4) possesses a minimum of 60 graduate semester hours in 
        school psychology from an institution of higher education and 
        has completed 1,200 clock hours in a supervised school 
        psychology internship, of which 600 hours shall be in the 
        school setting, and possesses State licensure or certification 
        in school psychology in the State in which the individual 
        works; or
            ``(5) holds a master's degree in social work and is 
        licensed or certified by the State in which services are to be 
        provided or holds a school social work specialist credential.

                     ``PART D--TECHNICAL ASSISTANCE

``SEC. 4411. COMPREHENSIVE PREVENTION TECHNICAL ASSISTANCE GRANTS.

    ``(a) Program Authorized.--The Secretary is authorized to provide 
grants to State educational agencies that meet the requirements of this 
part to implement prevention programs that meet a high scientific 
standard of program effectiveness.
    ``(b) Contents of State Plan.--To be eligible to receive a grant 
under this part, a State educational agency shall submit an 
application, to the Secretary at such time and including such 
information as the Secretary may reasonably require, including a State 
plan that describes--
            ``(1) the process and selection criteria by which the State 
        educational agency will make competitive grants to eligible 
        local educational agencies;
            ``(2) how the State educational agency will ensure that 
        only high quality, well-defined, and well-documented 
        comprehensive prevention programs are funded;
            ``(3) how the State educational agency will disseminate 
        materials developed or collected by the Secretary about 
        research-based comprehensive prevention models that are proven 
        to be effective and will provide technical assistance to assist 
        local educational agencies in evaluating, selecting, 
        developing, and implementing comprehensive prevention programs;
            ``(4) how the State educational agency will evaluate the 
        implementation of comprehensive prevention programs and measure 
        the results achieved in preventing violence, criminal and 
        delinquent behavior, substance abuse, and other problem 
        behaviors and improving student academic performance;
            ``(5) how the State educational agency will ensure that 
        local programs meet the requirements of section 4214(c); and
            ``(6) provide an assurance that funds provided under this 
        part shall supplement, and not supplant, other Federal, State, 
        and local funds that would otherwise be available for the 
        purposes described under this part.

``SEC. 4412. RESERVATIONS AND ALLOCATIONS.

    ``(a) Reservations.--From the funds made available under section 
4004(5) to carry out this part for each fiscal year, the Secretary 
shall--
            ``(1) reserve funds in accordance with paragraphs (1), (2), 
        and (4) of section 4111(a); and
            ``(2) except as provided in subsection (b), allocate the 
        remainder of funds among the States in accordance with section 
        4111(b)(1).
    ``(b) Reallocation of Funds to States.--If a State educational 
agency does not develop a plan that meets the requirements of section 
4411(b), the Secretary shall not make an allocation to the State under 
subsection (a)(2) and shall allocate such funds in accordance with 
section 4111(b)(1) to other States that have developed such plans. 
Funds allocated to a State under this subsection may be used only to 
implement programs under this subpart.

``SEC. 4413. DISTRIBUTION OF FUNDS.

    ``(a) Funds to Local Educational Agencies.--
            ``(1) In general.--Each State educational agency that 
        receives an allocation under this part shall use such funds to 
        make competitive grants to local educational agencies.
            ``(2) Awards.--In awarding competitive grants under this 
        part, a State educational agency shall--
                    ``(A) give the highest priority to local 
                educational agencies with demonstrated need in 
                accordance with the criteria described in section 
                4113(d)(2)(C)(ii);
                    ``(B) make grant awards that are of sufficient size 
                and scope to support the initial startup costs for a 
                comprehensive prevention plan that meets the 
                requirements of this part; and
                    ``(C) take into account the equitable distribution 
                of awards to different geographic regions within the 
                State, including urban and rural areas, and to schools 
                serving elementary and secondary students.
    ``(b) Reservation.--A State educational agency may use not more 
than 5 percent of the funds made available to it under this section for 
administrative, evaluation, and technical assistance expenses, 
including expenses necessary to inform local educational agencies about 
research-based comprehensive prevention approaches that have proven to 
be effective.

``SEC. 4414. LOCAL AWARDS.

    ``(a) In General.--To be eligible to receive a subgrant under this 
subpart for any fiscal year, a local educational agency shall submit, 
at such time and including such information, as the State educational 
agency requires, an application to the State educational agency for 
approval.
    ``(b) Plan.--Each local educational agency shall submit a plan to 
the State educational agency demonstrating how it will meet the 
requirements of subsection (c).
    ``(c) Use of Funds.--A grant awarded to a local educational agency 
under this part shall be used only for the purpose of identifying and 
implementing comprehensive prevention programs that--
            ``(1) employ strategies or approaches that are based on 
        reliable research and that show effectiveness in preventing 
        violence, criminal and delinquent behavior, substance abuse, 
        and other problem behaviors and improving student academic 
        performance;
            ``(2) comprehensively address the mental, emotional, 
        social, and physical health of children and adolescents;
            ``(3) employ developmentally appropriate activities and 
        interventions;
            ``(4) assist children and adolescents in improving 
        cognitive, affective, and behavioral skills;
            ``(5) use methods that ensure the active engagement of the 
        children and adolescents who participate and that facilitate 
        better communication between children and adults about problem 
        situations;
            ``(6) provide for the meaningful involvement of parents, 
        educators, health and mental health professionals, and the 
        local community in planning and implementation;
            ``(7) provide high-quality and continuous staff 
        professional development and training;
            ``(8) have measurable outcome goals and a clear evaluation 
        plan, including annual reports to the State and the Secretary;
            ``(9) use high-quality external technical support and 
        assistance from individuals or entities with experience and 
        expertise in developing, implementing, and evaluating 
        comprehensive prevention approaches; and
            ``(10) identify how other resources (Federal, State, local, 
        and private) available to the State will be used to coordinate 
        services to support and sustain the comprehensive prevention 
        effort.

             ``PART E--RELATED PROVISIONS; GUN-FREE SCHOOLS

``SEC. 4511. GUN-FREE SCHOOLS.

    ``(a) Short Title.--This part may be cited as the `Gun-Free Schools 
Act'.
    ``(b) Requirements.--
            ``(1) Each State receiving Federal funds under the 
        Elementary and Secondary Education Act of 1965 shall have in 
        effect a State law requiring local educational agencies to 
        expel from school, for a period of not less than 1 year, a 
        student who is determined to have possessed a firearm at school 
        under the jurisdiction of a local educational agency in that 
        State, except that such State law shall allow the chief 
        administering officer of that local educational agency to 
        modify the expulsion requirement for a student on a case-by-
        case basis.
            ``(2) For the purpose of this section, the term `firearm' 
        has the same meaning given that term in section 921 of title 
        18, United States Code (which includes bombs).
    ``(c) Special Rule.--This section shall be construed in a manner 
consistent with the Individuals with Disabilities Education Act.
    ``(d) Report to State.--Each local educational agency requesting 
assistance from the State educational agency under this Act shall 
provide to the State in its application--
            ``(1) an assurance that such local educational agency is in 
        compliance with the State law required by subsection (b);
            ``(2) a description of the circumstances surrounding any 
        expulsions imposed under the State law required by subsection 
        (b), including--
                    ``(A) the name of the school concerned;
                    ``(B) the number of students expelled from such 
                school (disaggregated by gender, race, ethnicity, and 
                educational level); and
                    ``(C) the type of weapons concerned; and
            ``(3) the number of--
                    ``(A) students referred to the criminal justice or 
                juvenile justice system as required by section 
                4512(a)(1); and
                    ``(B) instances in which the chief administering 
                officer of a local educational agency modified the 
                expulsion requirement described in subsection (b)(1) on 
                a case-by-case basis.
    ``(e) Reporting.--Each State shall report the information described 
in subsection (d) to the Secretary on an annual basis.

``SEC. 4512. REQUIREMENTS.

    ``(a) Required Policies.--No funds shall be made available under 
this Act to any local educational agency unless that agency has a 
policy ensuring--
            ``(1) that any student who possesses a firearm at school 
        served by such agency is referred to the criminal justice or 
        juvenile justice system;
            ``(2) that a student described in paragraph (1) is referred 
        to a mental health professional for assessment as to whether he 
        or she poses an imminent threat of harm to himself, herself, or 
        others and needs appropriate mental health services before 
        readmission to school; and
            ``(3) that a student under paragraph (1) who has been 
        determined by a mental health professional to pose an imminent 
        threat of harm to himself, herself, or others receive 
        appropriate mental health services before being permitted to 
        return to school.
    ``(b) Special Rule.--This section shall be construed in a manner 
consistent with the Individuals with Disabilities Education Act.
    ``(c) Definitions.--For the purposes of this section, the terms 
`firearm' and `school' have the same meaning given those terms in 
section 921(a) of title 18, United States Code.

``SEC. 4513. POLICIES.

    ``(a) Required Policy.--Each State educational agency and local 
educational agency that receives funds under this title shall have a 
policy that prohibits cigarette vending machines, and the illegal 
possession or use of drugs and alcohol, in any form, at any time, and 
by any person, in school buildings, on school grounds, or at any 
school-sponsored event.
    ``(b) Assurance.--Each local educational agency requesting 
assistance under this title from the State educational agency shall 
include in its application an assurance that it is in compliance with 
the requirements of this section.
    ``(c) State Reporting.--Each State educational agency shall report 
to the Secretary on an annual basis if any local educational agency is 
not in compliance with the requirements of subsection (a).

``SEC. 4514. SUPPLANTING PROHIBITED.

    ``Funds under this title shall be used to increase the level of 
State, local, and other non-Federal funds that would, in the absence of 
funds under this title, be made available for programs and activities 
authorized under this title, and in no case to supplant such State, 
local, and other non-Federal funds.''.

TITLE V--MAGNET SCHOOLS ASSISTANCE, PUBLIC SCHOOL CHOICE, AND NATIONAL 
                               PRIORITIES

SEC. 501. MAGNET SCHOOLS ASSISTANCE.

    (a) Heading.--The heading for title V is amended to read as 
follows:

   ``TITLE V--INNOVATIVE PUBLIC SCHOOL CHOICE AND NATIONAL PRIORITIES

    (b) Magnet School Assistance.--Part A of title V (20 U.S.C. 7201 et 
seq.) is amended to read as follows:

                   ``PART A--MAGNET SCHOOL ASSISTANCE

``SEC. 5101. FINDINGS.

    ``Congress finds the following:
            ``(1) Magnet schools are a significant part of our Nation's 
        effort to achieve voluntary desegregation in our Nation's 
        schools.
            ``(2) The use of magnet schools has increased dramatically 
        since the date of the enactment of the Magnet Schools 
        Assistance program, with approximately 2,000,000 students 
        nationwide now attending such schools, of which more than 65 
        percent of the students are nonwhite.
            ``(3) Magnet schools offer a wide range of distinctive 
        programs that have served as models for school improvement 
        efforts.
            ``(4) In administering the Magnet Schools Assistance 
        program, the Federal Government has learned that--
                    ``(A) where magnet programs are implemented for 
                only a portion of a school's student body, special 
                efforts must be made to discourage the isolation of--
                            ``(i) magnet school students from other 
                        students in the school; and
                            ``(ii) students by racial characteristics;
                    ``(B) local educational agencies can maximize their 
                effectiveness in achieving the purposes of the Magnet 
                Schools Assistance program if such agencies have more 
                flexibility in the administration of such program in 
                order to serve students attending a school who are not 
                enrolled in the magnet school program;
                    ``(C) local educational agencies must be creative 
                in designing magnet schools for students at all 
                academic levels, so that school districts do not select 
                only the highest achieving students to attend the 
                magnet schools;
                    ``(D) consistent with desegregation guidelines, 
                local educational agencies must seek to enable 
                participation in magnet school programs by students who 
                reside in the neighborhoods where the programs operate; 
                and
                    ``(E) in order to ensure that magnet schools are 
                sustained after Federal funding ends, the Federal 
                Government must assist school districts to improve 
                their capacity to continue to operate magnet schools at 
                a high level of performance.
            ``(5) It is in the national interest to--
                    ``(A) continue the Federal Government's support of 
                school districts implementing court-ordered 
                desegregation plans and school districts voluntarily 
                seeking to foster meaningful interaction among students 
                of different racial and ethnic backgrounds, beginning 
                at the earliest stage of such students' education;
                    ``(B) ensure that all students have equitable 
                access to quality education that will prepare such 
                students to function well in a technologically oriented 
                society and a highly competitive economy;
                    ``(C) maximize the ability of local educational 
                agencies to plan, develop, implement and continue 
                effective and innovative magnet schools that contribute 
                to State and local systemic reform;
                    ``(D) ensure that grant recipients provide adequate 
                data which demonstrates an ability to improve student 
                achievement; and
                    ``(E) desegregate and diversify those schools in 
                our Nation that are racially, economically, 
                linguistically, or ethnically segregated.
            ``(6) Such segregation exists between minority and 
        nonminority students as well as among students of different 
        minority groups.

``SEC. 5102. STATEMENT OF PURPOSE.

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

``SEC. 5103. PROGRAM AUTHORIZED.

    ``The Secretary, in accordance with this part, is authorized to 
make grants to eligible local educational agencies, and consortia of 
such agencies where appropriate, to carry out the purpose of this part 
for magnet schools that are--
            ``(1) part of an approved desegregation plan; and
            ``(2) designed to bring students from different social, 
        economic, ethnic, and racial backgrounds together.

``SEC. 5104. DEFINITION.

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

``SEC. 5105. ELIGIBILITY.

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

``SEC. 5106. APPLICATIONS AND REQUIREMENTS.

    ``(a) Applications.--An eligible local educational agency or 
consortium of such agencies desiring to receive assistance under this 
part shall submit an application to the Secretary at such time, in such 
manner, and containing such information and assurances as the Secretary 
may reasonably require.
    ``(b) Information and Assurances.--Each such application shall 
include--
            ``(1) a description of--
                    ``(A) how assistance made available under this part 
                will be used to promote desegregation, including how 
                the proposed magnet school project will increase 
                interaction among students of different social, 
                economic, ethnic, and racial backgrounds;
                    ``(B) the manner and extent to which the magnet 
                school project will increase student achievement in the 
                instructional area or areas offered by the school;
                    ``(C) how an applicant will continue the magnet 
                school project after assistance under this part is no 
                longer available, including, if applicable, an 
                explanation of why magnet schools established or 
                supported by the applicant with funds under this part 
                cannot be continued without the use of funds under this 
                part;
                    ``(D) how funds under this part will be used to 
                improve student academic performance for all students 
                attending the magnet schools; and
                    ``(E) the criteria to be used in selecting students 
                to attend the proposed magnet school projects; and
            ``(2) assurances that the applicant will--
                    ``(A) use funds under this part for the purposes 
                specified in section 5102;
                    ``(B) employ fully qualified teachers (as defined 
                in section 1119) in the courses of instruction assisted 
                under this part;
                    ``(C) not engage in discrimination based on race, 
                religion, color, national origin, sex, or disability 
                in--
                            ``(i) the hiring, promotion, or assignment 
                        of employees of the agency or other personnel 
                        for whom the agency has any administrative 
                        responsibility;
                            ``(ii) the assignment of students to 
                        schools, or to courses of instruction within 
                        the school, of such agency, except to carry out 
                        the approved plan; and
                            ``(iii) designing or operating 
                        extracurricular activities for students;
                    ``(D) carry out a high-quality education program 
                that will encourage greater parental decisionmaking and 
                involvement; and
                    ``(E) give students residing in the local 
                attendance area of the proposed magnet school projects 
                equitable consideration for placement in those 
                projects.

``SEC. 5107. PRIORITY.

    ``In approving applications under this part, the Secretary shall 
give priority to applicants that--
            ``(1) demonstrate the greatest need for assistance, based 
        on the expense or difficulty of effectively carrying out an 
        approved desegregation plan and the projects for which 
        assistance is sought;
            ``(2) propose to carry out new magnet school projects, or 
        significantly revise existing magnet school projects; and
            ``(3) propose to select students to attend magnet school 
        projects by methods such as lottery, rather than through 
        academic examination.

``SEC. 5108. USE OF FUNDS.

    ``(a) In General.--Grant funds made available under this part may 
be used by an eligible local educational agency or consortium of such 
agencies--
            ``(1) for planning and promotional activities directly 
        related to the development, expansion, continuation, or 
        enhancement of academic programs and services offered at magnet 
        schools;
            ``(2) for the acquisition of books, materials, and 
        equipment, including computers and the maintenance and 
        operation thereof, necessary for the conduct of programs in 
        magnet schools;
            ``(3) for the payment, or subsidization of the 
        compensation, of elementary and secondary school teachers who 
        are fully qualified, and instructional staff where applicable, 
        who are necessary for the conduct of programs in magnet 
        schools;
            ``(4) with respect to a magnet school program offered to 
        less than the entire student population of a school, for 
        instructional activities that--
                    ``(A) are designed to make available the special 
                curriculum that is offered by the magnet school project 
                to students who are enrolled in the school but who are 
                not enrolled in the magnet school program; and
                    ``(B) further the purposes of this part; and
            ``(5) for activities, which may include professional 
        development, that will build the recipient's capacity to 
        operate magnet school programs once the grant period has ended.
    ``(b) Special Rule.--Grant funds under this part may be used in 
accordance with paragraphs (2) and (3) of subsection (a) only if the 
activities described in such paragraphs are directly related to 
improving the students' academic performance based on the State's 
challenging content standards and challenging student performance 
standards or directly related to improving the students' reading skills 
or knowledge of mathematics, science, history, geography, English, 
foreign languages, art, or music, or to improving vocational and 
technical skills.

``SEC. 5109. PROHIBITIONS.

    ``(a) Transportation.--Grants under this part may not be used for 
transportation or any activity that does not augment academic 
improvement.
    ``(b) Planning.--A local educational agency shall not expend funds 
under this part after the third year that such agency receives funds 
under this part for such project.

``SEC. 5110. LIMITATIONS.

    ``(a) Duration of Awards.--A grant under this part shall be awarded 
for a period that shall not exceed 3 fiscal years.
    ``(b) Limitation on Planning Funds.--A local educational agency may 
expend for planning not more than 50 percent of the funds received 
under this part for the first year of the project, 15 percent of such 
funds for the second such year, and 10 percent of such funds for the 
third such year.
    ``(c) Amount.--No local educational agency or consortium awarded a 
grant under this part shall receive more than $4,000,000 under this 
part in any 1 fiscal year.
    ``(d) Timing.--To the extent practicable, the Secretary shall award 
grants for any fiscal year under this part not later than July 1 of the 
applicable fiscal year.

``SEC. 5111. EVALUATIONS.

    ``(a) Reservation.--The Secretary may reserve not more than 2 
percent of the funds appropriated under section 5112(a) for any fiscal 
year to carry out evaluations, technical assistance, and dissemination 
projects with respect to magnet school projects and programs assisted 
under this part.
    ``(b) Contents.--Each evaluation described in subsection (a), at a 
minimum, shall address--
            ``(1) how and the extent to which magnet school programs 
        lead to educational quality and improvement;
            ``(2) the extent to which magnet school programs enhance 
        student access to quality education;
            ``(3) the extent to which magnet school programs lead to 
        the elimination, reduction, or prevention of minority group 
        isolation in elementary and secondary schools with substantial 
        proportions of minority students; and
            ``(4) the extent to which magnet school programs differ 
        from other school programs in terms of the organizational 
        characteristics and resource allocations of such magnet school 
        programs.

``SEC. 5112. AUTHORIZATION OF APPROPRIATIONS; RESERVATION.

    ``(a) Authorization.--For the purpose of carrying out this part, 
there are authorized to be appropriated $150,000,000 for fiscal year 
2002 and such sums as may be necessary for each of fiscal years 2004 
through 2006.
    ``(b) Availability of Funds for Grants to Agencies Not Previously 
Assisted.--In any fiscal year for which the amount appropriated 
pursuant to subsection (a) exceeds $75,000,000, the Secretary shall 
give priority to using such amounts in excess of $75,000,000 to award 
grants to local educational agencies or consortia of such agencies that 
did not receive a grant under this part in the preceding fiscal year.

``SEC. 5113. INNOVATIVE PROGRAMS.

    ``(a) In General.--From amounts reserved under subsection (d) for 
each fiscal year, the Secretary shall award grants to local educational 
agencies or consortia of such agencies described in section 5105 to 
enable such agencies or consortia to conduct innovative programs that--
            ``(1) involve innovative strategies other than magnet 
        schools, such as neighborhood or community model schools, to 
        support desegregation of schools and to reduce achievement 
        gaps;
            ``(2) assist in achieving systemic reforms and providing 
        all students the opportunity to meet challenging State and 
        local content standards and challenging State and local student 
        performance standards; and
            ``(3) include innovative educational methods and practices 
        that--
                    ``(A) are organized around a special emphasis, 
                theme, or concept; and
                    ``(B) involve extensive parent and community 
                involvement.
    ``(b) Applicability.--Sections 5103, 5106, 5107, and 5108 shall not 
apply to grants awarded under subsection (a).
    ``(c) Applications.--Each local educational agency or consortium of 
such agencies desiring a grant under this section shall submit an 
application to the Secretary at such time, in such manner, and 
containing such information and assurances as the Secretary may 
reasonably require.
    ``(d) Innovative Programs.--The Secretary shall reserve not more 
than 5 percent of the funds appropriated under section 5112(a) for each 
fiscal year to award grants under this section.''.

SEC. 502. WOMEN'S EDUCATIONAL EQUITY.

    Part B of title V is amended--
            (1) by redesignating sections 5201 through 5208 as sections 
        5151 through 5158, respectively; and
            (2) section 5158 (as so redesignated) is amended to read as 
        follows:

``SEC. 5158. AUTHORIZATION OF APPROPRIATIONS.

    ``For the purpose of carrying out this part, there are authorized 
to be appropriated $5,000,000 for fiscal year 2002 and such sums as may 
be necessary for each of the 4 succeeding fiscal years, of which not 
less than two-thirds of the amount appropriated under this section for 
each fiscal year shall be available to carry out the activities 
described in section 5153(b)(1).''.

SEC. 503. FUND FOR THE IMPROVEMENT OF EDUCATION.

    Part A of title X is redesignated as part C of title V and is 
amended to read as follows:

            ``PART C--FUND FOR THE IMPROVEMENT OF EDUCATION

``SEC. 5201. FUND FOR THE IMPROVEMENT OF EDUCATION.

    ``(a) Fund Authorized.--From funds appropriated under subsection 
(e), the Secretary is authorized to support nationally significant 
programs and projects to improve the quality of elementary and 
secondary education, assist all students to meet challenging State 
content standards and challenging State student performance standards. 
The Secretary is authorized to carry out such programs and projects 
directly or through grants to, or contracts with, State and local 
educational agencies, institutions of higher education, and other 
public and private agencies, organizations, and institutions.
    ``(b) Uses of Funds.--Funds under this section may be used for--
            ``(1) activities that will promote systemic education 
        reform at the State and local levels, such as--
                    ``(A) research and development related to 
                challenging State content and challenging State student 
                performance standards;
                    ``(B) the development and evaluation of model 
                strategies for--
                            ``(i) assessment of student learning;
                            ``(ii) professional development for 
                        teachers and administrators;
                            ``(iii) parent and community involvement; 
                        and
                            ``(iv) other aspects of systemic reform;
                    ``(C) developing and evaluating strategies for 
                eliminating ability-grouping practices, and developing 
                policies and programs that place all students on a 
                college-preparatory path of study, particularly in 
                academic fields such as mathematics, science, English, 
                and social studies, including comprehensive inservice 
                programs for teachers and pupil services personnel and 
                academic enrichment programs that supplement regular 
                courses for students;
                    ``(D) developing and evaluating programs that 
                directly involve parents and family members in the 
                academic progress of their children;
                    ``(E) developing and evaluating strategies for 
                integrating instruction and assessment such that 
                teachers and administrators can focus on what students 
                should know and be able to do at particular grade 
                levels, which instruction shall promote the synthesis 
                of knowledge, encouraging the development of problem-
                solving skills drawing on a vast range of disciplines, 
                and promoting the development of higher order thinking 
                by all students; and
                    ``(F) developing and evaluating strategies for 
                supporting professional development for teachers across 
                all disciplines that is consistent with the 
                requirements of title II and for pupil services 
                personnel, guidance counselors, and administrators, 
                including inservice training that improves the skills 
                of pupil services personnel, counselors and 
                administrators for working with students from diverse 
                populations;
            ``(2) demonstrations at the State and local levels that are 
        designed to yield nationally significant results, including 
        approaches to public school choice and school-based 
        decisionmaking;
            ``(3) activities to promote and evaluate counseling and 
        mentoring for students, including intergenerational mentoring;
            ``(4) activities to promote and evaluate coordinated pupil 
        services programs;
            ``(5) activities to promote comprehensive health education;
            ``(6) activities to promote environmental education;
            ``(7) activities to promote consumer, economic, and 
        personal finance education, such as saving, investing, and 
        entrepreneurial education;
            ``(8) activities to promote programs to assist students to 
        demonstrate competence in foreign languages;
            ``(9) studies and evaluation of various education reform 
        strategies and innovations being pursued by the Federal 
        Government, States, and local educational agencies;
            ``(10) senior mentoring of at-risk children;
            ``(11) the identification and recognition of exemplary 
        schools and programs, such as Blue Ribbon Schools;
            ``(12) programs designed to promote gender equity in 
        education by evaluating and eliminating gender bias in 
        instruction and educational materials, identifying, and 
        analyzing gender inequities in educational practices, and 
        implementing and evaluating educational policies and practices 
        designed to achieve gender equity;
            ``(13) programs designed to reduce excessive student 
        mobility, retain students who move within a school district at 
        the same school, educate parents about the effect of mobility 
        on a child's education and encourage parents to participate in 
        school activities;
            ``(14) experiential-based learning, such as service-
        learning;
            ``(15) the development and expansion of public-private 
        partnership programs which extend the learning experience, via 
        computers, beyond the classroom environment into student homes 
        through such programs as the Buddy System Computer Project;
            ``(16) activities to promote child abuse education and 
        prevention programs;
            ``(17) activities to raise standards and expectations for 
        academic achievement among all students, especially 
        disadvantaged students traditionally underserved in schools;
            ``(18) activities to provide the academic support, 
        enrichment and motivation to enable all students to reach such 
        standards;
            ``(19) demonstrations relating to the planning and 
        evaluations of the effectiveness of projects under which local 
        educational agencies or schools contract with private 
        management organizations to reform a school or schools;
            ``(20) demonstration programs providing prenatal and 
        counseling to pregnant students with such education and 
        counseling emphasizing the importance of prenatal care, the 
        value of sound diet and nutrition habits, and the harmful 
        effects of smoking, alcohol, and substance abuse on fetal 
        development;
            ``(21) the development, implementation, and evaluation of 
        programs that are designed to foster student community service, 
        encourage responsible citizenship and improve academic 
learning, and give students the opportunity to apply what they learn in 
the classroom to meet actual community needs;
            ``(22) activities to assist all students to meet 
        challenging State standards;
            ``(23) grants to establish cultural education centers;
            ``(24) grants to museums to operate Indian education 
        programs in public schools;
            ``(25) programs or activities designed to improve academic 
        achievement through innovative partnerships between local 
        educational agencies and teachers unions;
            ``(26) programs to hire and support school nurses;
            ``(27) programs under sections 5202, 5203, and 5204; and
            ``(28) other programs and projects that meet the purposes 
        of this section.
    ``(c) Awards.--
            ``(1) In general.--The Secretary may--
                    ``(A) make awards under this section on the basis 
                of competitions announced by the Secretary; and
                    ``(B) support meritorious unsolicited proposals.
            ``(2) Goals.--An applicant for an award under this section, 
        shall--
                    ``(A) establish clear goals and objectives for its 
                project under this part; and
                    ``(B) describe the activities it will carry out in 
                order to meet the goals and objectives of its project.
            ``(3) Secretarial discretion.--The Secretary may--
                    ``(A) require recipients of awards under this 
                section to provide matching funds from non-Federal 
                sources; and
                    ``(B) limit competitions to particular types of 
                entities, such as State or local educational agencies.
            ``(4) Peer review.--The Secretary shall use a peer review 
        process in reviewing applications for assistance under this 
        section and may use funds appropriated under subsection (e) for 
        the cost of such peer review.
    ``(d) Evaluation and Program Development.--
            ``(1) In general.--Each recipient of a grant under this 
        section shall submit to the Secretary a comprehensive 
        evaluation of the effects of its program assisted under this 
        part, including its impact on students, teachers, 
        administrators, parents and others--
                    ``(A) at the mid-point of the program; and
                    ``(B) not later than 1 year after the completion of 
                the program.
            ``(2) Effectiveness.--Evaluations under this subsection 
        shall focus on the effectiveness of the program in achieving 
        its goals and objectives.
    ``(e) Authorization.--For the purpose of carrying out this section, 
there are authorized to be appropriated such sums as may be necessary 
for fiscal year 2002 and each of the 4 succeeding fiscal years.

``SEC. 5202. STATE AND LOCAL CHARACTER EDUCATION PROGRAM.

    ``(a) Program Authorized.--
            ``(1) The Secretary may make grants to State educational 
        agencies, local educational agencies, or consortia of such 
        agencies for the design and implementation of character 
        education programs.
            ``(2) Each grant under this section shall be awarded for a 
        period not to exceed 5 years, of which the recipient shall use 
        not more than 1 year for planning and program design.
    ``(b) Applications.--
            ``(1) Each applicant desiring a grant under this section 
        shall submit an application to the Secretary at such time and 
        in such manner as the Secretary may require.
            ``(2) Each application under this section shall include--
                    ``(A) a description of any partnerships and other 
                collaborative efforts between the applicant and other 
                educational agencies;
                    ``(B) a description of the programs goals and 
                objectives;
                    ``(C) a description of the activities the applicant 
                will carry out, and how these activities are designed 
                to meet the programs goals and objectives under 
                subparagraph (B), including--
                            ``(i) how parents, students, and other 
                        members of the community, including members of 
                        private and nonprofit organizations, will be 
                        involved in the design and implementation of 
                        the program;
                            ``(ii) the curriculum and instructional 
                        practices that will be used or developed; and
                            ``(iii) the methods of teacher training and 
                        parent education that will be used or 
                        developed;
                    ``(D) a description of how the program will be 
                linked to other efforts to improve educational 
                outcomes, including--
                            ``(i) broader educational reforms that are 
                        being instituted by the applicant or its 
                        partners; and
                            ``(ii) applicable State and local standards 
                        for student performance;
                            ``(E) a description of how the applicant 
                        will evaluate the progress of its program in 
                        meeting the goals and objectives under 
                        subparagraph (B), including the performance 
                        indicators that will be used to measure 
                        progress; and
                    ``(F) such other information as the Secretary may 
                require.
    ``(c) Diversity of Projects.--The Secretary shall make awards under 
this section that, to the extent practicable, support programs that 
serve different geographic areas of the Nation, including urban, 
suburban, and rural areas.

``SEC. 5203. CHARACTER EDUCATION RESEARCH, DISSEMINATION, AND 
              EVALUATION.

    ``(a) Program Authorized.--The Secretary may make grants, or enter 
into contracts or cooperative agreements with, State educational 
agencies, local educational agencies, institutions of higher education, 
tribal organizations, and other public or private agencies or 
organizations to carry out research, development, dissemination, 
technical assistance, and evaluation activities that support or inform 
character education programs under section 5202.
    ``(b) Use of Funds.--Consistent with subsection (a), funds under 
this section may be used--
            ``(1) to conduct research and development activities that 
        focus on such matters as--
                    ``(A) the effectiveness of instructional models;
                    ``(B) materials and curricula that can be used by 
                programs in character education;
                    ``(C) models of professional development in 
                character education; and
                    ``(D) the development of outcome measures for 
                character education programs;
            ``(2) to provide technical assistance to the agencies 
        receiving awards under section 5202, particularly on matters of 
        program evaluation;
            ``(3) to conduct a national evaluation of programs under 
        section 5202; and
            ``(4) to compile and disseminate, through various 
        approaches, such as a national clearinghouse--
                    ``(A) information on model character education 
                programs;
                    ``(B) character education materials and curricula;
                    ``(C) research findings in the area of character 
                education and character development; and
                    ``(D) any other information that will be useful to 
                character education program participants and other 
                educators and administrators, nationwide.
    ``(c) Authorization of Appropriations.--There are authorized to be 
appropriated, $50,000,000 for fiscal year 2002 and such sums as may be 
necessary for the 4 subsequent fiscal years to carry out sections 5202 
and 5203.

``SEC. 5204. SMALLER LEARNING COMMUNITIES.

    ``(a) In General.--Each local educational agency desiring a grant 
under this section shall submit an application to the Secretary at such 
time, in such manner, and accompanied by such information as the 
Secretary may require. Each such application shall describe--
            ``(1) strategies and methods the applicant will use to 
        create the smaller learning community or communities;
            ``(2) curriculum and instructional practices, including any 
        particular themes or emphases, to be used in the learning 
        environment;
            ``(3) the extent of involvement of teachers and other 
        school personnel in investigating, designing, implementing and 
        sustaining the smaller learning community or communities;
            ``(4) the process to be used for involving students, 
        parents and other stakeholders in the development and 
        implementation of the smaller learning community or 
        communities;
            ``(5) any cooperation or collaboration among community 
        agencies, organizations, businesses, and others to develop or 
        implement a plan to create the smaller learning community or 
        communities;
            ``(6) the training and professional development activities 
        that will be offered to teachers and others involved in the 
        activities assisted under this part;
            ``(7) the goals and objectives of the activities assisted 
        under this part, including a description of how such activities 
        will better enable all students to reach challenging State 
        content standards and State student performance standards;
            ``(8) the methods by which the applicant will assess 
        progress in meeting such goals and objectives;
            ``(9) if the smaller learning community or communities 
        exist as a school-within-a-school, the relationship, including 
        governance and administration, of the smaller learning 
        community to the rest of the school;
            ``(10) a description of the administrative and managerial 
        relationship between the local educational agency and the 
        smaller learning community or communities, including how such 
        agency will demonstrate a commitment to the continuity of the 
        smaller learning community or communities, including the 
        continuity of student and teacher assignment to a particular 
        learning community;
            ``(11) how the applicant will coordinate or use funds 
        provided under this part with other funds provided under this 
        Act or other Federal laws;
            ``(12) grade levels or ages of students who will 
        participate in the smaller learning community or communities; 
        and
            ``(13) the method of placing students in the smaller 
        learning community or communities, such that students are not 
        placed according to ability, performance or any other measure, 
        so that students are placed at random or by their own choice, 
        not pursuant to testing or other judgments.
    ``(b) Authorized Activities.--Funds made available under this 
section may be used--
            ``(1) to study the feasibility of creating the smaller 
        learning community or communities as well as effective and 
        innovative organizational and instructional strategies that 
        will be used in the smaller learning community or communities;
            ``(2) to research, develop and implement strategies for 
        creating the smaller learning community or communities, as well 
        as effective and innovative changes in curriculum and 
        instruction, geared to high State content standards and State 
        student performance standards;
            ``(3) to design and construct improvements which improve 
        the learning environment, including appropriate use of 
        daylighting, advanced energy conservation technologies, and 
        renewable energy;
            ``(4) to provide professional development for school staff 
        in innovative teaching methods that challenge and engage 
        students to be used in the smaller learning community or 
        communities; and
            ``(5) to develop and implement strategies to include 
        parents, business representatives, local institutions of higher 
        education, community-based organizations, and other community 
        members in the smaller learning communities, as facilitators of 
        activities that enable teachers to participate in professional 
        development activities, as well as to provide links between 
        students and their community.
    ``(c) Secretary's Activities.--The Secretary may reserve up to 5 
percent of the funding provided under subsection (d) for evaluation, 
technical assistance, and school networking.
    ``(d) Authorization of Appropriations.--There are authorized to be 
appropriated $200,000,000 for fiscal year 2002 and such sums as may be 
necessary for the 4 succeeding fiscal years to carry out this 
section.''.

SEC. 504. AMENDMENT TO ESEA RELATING TO GIFTED AND TALENTED CHILDREN.

    Part B of title X is redesignated as part D of title V and is 
amended to read as follows:

                 ``PART D--GIFTED AND TALENTED CHILDREN

``SEC. 5251. SHORT TITLE.

    ``This part may be cited as the `Jacob K. Javits Gifted and 
Talented Students Education Act of 2001'.

``SEC. 5252. FINDINGS.

    ``The Congress finds the following:
            ``(1) Due to the wide dispersal of students who are gifted 
        and talented and the national interest in a well-educated 
        populace, the Federal Government can most effectively and 
        appropriately conduct scientifically based research and 
        development to provide an infrastructure and to ensure that 
        there is a national capacity to educate students who are gifted 
        and talented to meet the needs of the 21st century.
            ``(2) State and local educational agencies often lack the 
        specialized resources and trained personnel to consistently 
        plan and implement effective programs for the identification of 
        gifted and talented students and for the provision of 
        educational services and programs appropriate for their needs.
            ``(3) Because gifted and talented students generally are 
        more advanced academically, are able to learn more quickly, and 
        study in more depth and complexity than others their age, their 
        educational needs require opportunities and experiences that 
        are different from those generally available in regular 
        education programs.
            ``(4) Typical elementary school students who are 
        academically gifted and talented already have mastered 35 to 50 
        percent of the school year's content in several subject areas 
        before the year begins. Without an advanced and challenging 
        curriculum, they often lose their motivation and develop poor 
        study habits that are difficult to break.

``SEC. 5253. CONDITIONS ON EFFECTIVENESS OF SUBPARTS 1 AND 2.

    ``(a) Subpart 1.--Subpart 1 shall be in effect only for a fiscal 
year for which subpart 2 is not in effect.
    ``(b) Subpart 2.--
            ``(1) In general.--Subpart 2 shall be in effect only for--
                    ``(A) the first fiscal year for which the amount 
                appropriated to carry out this part equals or exceeds 
                $50,000,000; and
                    ``(B) all succeeding fiscal years.
            ``(2) Continuation of awards.--Notwithstanding any other 
        provision of this part, a State receiving a grant under subpart 
        2--
                    ``(A) shall give special consideration to a request 
                for the continuation of an award within the State, made 
                by any public or private agency, institution, or 
                organization that was awarded a grant or contract under 
                subpart 1 for a fiscal year for which such subpart was 
                in effect; and
                    ``(B) may use funds received under such grant for 
                the purpose of permitting the agency, institution, or 
                organization to continue to receive funds in accordance 
                with the terms of such award until the date on which 
                the award period terminates under such terms.

                ``Subpart 1--Discretionary Grant Program

``SEC. 5261. PURPOSE.

    ``The purpose of this subpart is to initiate a coordinated program 
of scientifically based research, demonstration projects, innovative 
strategies, and similar activities designed to build a nationwide 
capability in elementary and secondary schools to meet the special 
educational needs of gifted and talented students.

``SEC. 5262. GRANTS TO MEET EDUCATIONAL NEEDS OF GIFTED AND TALENTED 
              STUDENTS.

    ``(a) Establishment of Program.--
            ``(1) In general.--Subject to section 5253, from the sums 
        available to carry out this subpart in any fiscal year, the 
        Secretary (after consultation with experts in the field of the 
        education of gifted and talented students) shall make grants 
        to, or enter into contracts with, State educational agencies, 
        local educational agencies, institutions of higher education, 
        other public agencies, and other private agencies and 
        organizations (including Indian tribes and Indian organizations 
        (as such terms are defined in section 4 of the Indian Self-
        Determination and Education Assistance Act (25 U.S.C. 450b)) 
        and Native Hawaiian organizations) to assist such agencies, 
        institutions, and organizations in carrying out programs or 
        projects authorized by this subpart that are designed to meet 
        the educational needs of gifted and talented students, 
        including the training of personnel in the education of gifted 
        and talented students and in the use, where appropriate, of 
        gifted and talented services, materials, and methods for all 
        students.
            ``(2) Application.--Each entity desiring assistance under 
        this subpart shall submit an application to the Secretary at 
        such time, in such manner, and containing such information as 
        the Secretary may reasonably require. Each such application 
        shall describe how--
                    ``(A) the proposed gifted and talented services, 
                materials, and methods can be adapted, if appropriate, 
                for use by all students; and
                    ``(B) the proposed programs can be evaluated.
    ``(b) Uses of Funds.--Programs and projects assisted under this 
subpart may include the following:
            ``(1) Carrying out--
                    ``(A) scientifically based research on methods and 
                techniques for identifying and teaching gifted and 
                talented students, and for using gifted and talented 
                programs and methods to serve all students; and
                    ``(B) program evaluations, surveys, and the 
                collection, analysis, and development of information 
                needed to accomplish the purpose of this subpart.
            ``(2) Professional development (including fellowships) for 
        personnel (including leadership personnel) involved in the 
        education of gifted and talented students.
            ``(3) Establishment and operation of model projects and 
        exemplary programs for serving gifted and talented students, 
        including innovative methods for identifying and educating 
        students who may not be served by traditional gifted and 
        talented programs, including summer programs, mentoring 
        programs, service learning programs, and cooperative programs 
        involving business, industry, and education.
            ``(4) Implementing innovative strategies, such as 
        cooperative learning, peer tutoring and service learning.
            ``(5) Programs of technical assistance and information 
        dissemination, including assistance and information with 
        respect to how gifted and talented programs and methods, where 
        appropriate, may be adapted for use by all students.
    ``(c) Coordination.--Scientifically based research activities 
supported under this subpart--
            ``(1) shall be carried out in consultation with the Office 
        of Educational Research and Improvement to ensure that such 
        activities are coordinated with and enhance the research and 
        development activities supported by such Office; and
            ``(2) may include collaborative scientifically based 
        research activities which are jointly funded and carried out 
        with such Office.

``SEC. 5263. PROGRAM PRIORITIES.

    ``(a) General Priority.--In the administration of this subpart, the 
Secretary shall give highest priority to programs and projects designed 
to develop new information that--
            ``(1) improves the capability of schools to plan, conduct, 
        and improve programs to identify and serve gifted and talented 
        students; and
            ``(2) assists schools in the identification of, and 
        provision of services to, gifted and talented students who may 
        not be identified and served through traditional assessment 
        methods (including economically disadvantaged individuals, 
        individuals of limited English proficiency, and individuals 
        with disabilities).
    ``(b) Service Priority.--In approving applications for assistance 
under section 5262(a)(2), the Secretary shall ensure that in each 
fiscal year at least one-half of the applications approved under such 
section address the priority described in subsection (a)(2).
    ``(c) Subgrants to Local Educational Agencies for Authorized 
Activities.--
            ``(1) In general.--For fiscal year 2002 and succeeding 
        fiscal years, the Secretary shall ensure that a percentage of 
        the excess amount described in paragraph (2) is used to 
        increase (in proportion to any increases in such excess 
        amounts) the number and size of the grants under this subpart 
        to State educational agencies to begin implementing activities 
        described in section 5272(b) through competitive subgrants to 
        local educational agencies.
            ``(2) Excess amount.--For purposes of paragraph (1), the 
        excess amount described in this paragraph is, for fiscal year 
        2002 and succeeding fiscal years, the amount (if any) by which 
        the funds appropriated to carry out this subpart for the year 
        exceed such funds for fiscal year 2001.

``SEC. 5264. GENERAL PROVISIONS FOR SUBPART.

    ``(a) Review, Dissemination, and Evaluation.--The Secretary--
            ``(1) shall use a peer review process in reviewing 
        applications under this subpart;
            ``(2) shall ensure that information on the activities and 
        results of programs and projects funded under this subpart is 
        disseminated to appropriate State and local educational 
        agencies and other appropriate organizations, including 
        nonprofit private organizations; and
            ``(3) shall evaluate the effectiveness of programs under 
        this subpart in accordance with section 11501, both in terms of 
        the impact on students traditionally served in separate gifted 
        and talented programs and on other students, and submit the 
        results of such evaluation to the Congress not later than 2 
        years after the date of the enactment of the Excellence and 
        Accountability in Education Act.
    ``(b) Program Operations.--The Secretary shall ensure that the 
programs under this subpart are administered within the Department by a 
person who has recognized professional qualifications and experience in 
the field of the education of gifted and talented students and who--
    ``(1) shall administer and coordinate the programs authorized under 
this subpart;
            ``(2) shall serve as a focal point of national leadership 
        and information on the educational needs of gifted and talented 
        students and the availability of educational services and 
        programs designed to meet such needs; and
            ``(3) shall assist the Assistant Secretary of the Office of 
        Educational Research and Improvement in identifying research 
        priorities which reflect the needs of gifted and talented 
        students.

                   ``Subpart 2--Formula Grant Program

``SEC. 5271. PURPOSE.

    ``The purpose of this subpart is to provide grants to States to 
support programs, teacher preparation, and other services designed to 
meet the needs of the Nation's gifted and talented students in 
elementary and secondary schools.

``SEC. 5272. ESTABLISHMENT OF PROGRAM; USE OF FUNDS.

    ``(a) In General.--In the case of each State that in accordance 
with section 5274 submits to the Secretary an application for a fiscal 
year, subject to section 5253, the Secretary shall make a grant for the 
year to the State for the uses specified in subsection (b). The grant 
shall consist of the allotment determined for the State under section 
5273.
    ``(b) Authorized Activities.--Each State receiving a grant under 
this subpart shall use the funds provided under the grant to assist 
local educational agencies to develop or expand gifted and talented 
education programs through one or more of the following activities:
            ``(1) Development and implementation of programs to address 
        State and local needs for in-service training programs for 
        general educators, specialists in gifted and talented 
        education, administrators, or other personnel at the elementary 
        and secondary levels.
            ``(2) Making materials and services available through State 
        regional educational service centers, institutions of higher 
        education, or other entities.
            ``(3) Supporting innovative approaches and curricula used 
        by local educational agencies (or consortia of such agencies) 
        or schools or (consortia of schools).
            ``(4) Providing funds for challenging, high-level course 
        work, disseminated through new and emerging technologies 
        (including distance learning), for individual students or 
        groups of students in schools and local educational agencies 
        that do not have the resources otherwise to provide such course 
        work.
    ``(c) Competitive Process.--A State receiving a grant under this 
subpart shall distribute at least 95 percent of the amount of the grant 
to local educational agencies through a competitive process that 
results in an equitable distribution by geographic area within the 
State.
    ``(d) Limitations on Use of Funds.--
            ``(1) Course work provided through emerging technologies.--
        Activities under subsection (b)(4) may include development of 
        curriculum packages, compensation of distance-learning 
        educators, or other relevant activities, but funds provided 
        under this subpart may not be used for the purchase or 
        upgrading of technological hardware.
            ``(2) Administrative costs.--A State receiving a grant 
        under this subpart may use not more than 5 percent of the 
        amount of the grant for State administrative costs.

``SEC. 5273. ALLOTMENTS TO STATES.

    ``(a) Reservation of Funds.--From the amount made available to 
carry out this subpart for any fiscal year, the Secretary shall reserve 
one-half of 1 percent for the Secretary of the Interior for programs 
under this subpart for teachers, other staff, and administrators in 
schools operated or funded by the Bureau of Indian Affairs.
    ``(b) State Allotments.--
            ``(1) In general.--Except as provided in paragraph (2), the 
        Secretary shall allot the total amount made available to carry 
        out this subpart for any fiscal year and not reserved under 
        subsection (a) to the 50 States, the District of Columbia, and 
        the Commonwealth of Puerto Rico on the basis of their relative 
        populations of individuals aged 5 through 17, as determined by 
        the Secretary on the basis of the most recent satisfactory 
        data.
            ``(2) Minimum grant amount.--No State receiving an 
        allotment under paragraph (1) may receive less than \1/4\ of 1 
        percent of the total amount allotted under such paragraph.
    ``(c) Reallotment.--If any State does not apply for an allotment 
under this section for any fiscal year, the Secretary shall reallot 
such amount to the remaining States in accordance with this section.

``SEC. 5274. APPLICATION.

    ``(a) In General.--To be eligible to receive a grant under this 
subpart, a State shall submit an application to the Secretary at such 
time, in such manner, and containing such information as the Secretary 
may reasonably require.
    ``(b) Contents.--Each application under this section shall include 
assurances that--
            ``(1) funds received under this subpart will be used to 
        support gifted and talented students in public schools and 
        public charter schools, including students from all economic, 
        ethnic, and racial backgrounds, students of limited English 
        proficiency, students with disabilities, and highly gifted 
        students;
            ``(2) not less than 95 percent of the amount of the funds 
        provided under the grant shall be used for the purpose of 
        making, in accordance with this subpart and on a competitive 
        basis, subgrants to local educational agencies;
            ``(3) funds received under this subpart shall be used only 
        to supplement, but not supplant, the amount of State and local 
        funds expended for specialized education and related services 
        provided for the education of gifted and talented students; and
            ``(4) the State shall develop procedures to evaluate 
        program effectiveness.
    ``(c) Approval.--To the extent funds are made available for this 
subpart, the Secretary shall approve an application of a State if such 
application meets the requirements of this section.

``SEC. 5275. ANNUAL REPORTING.

    ``Beginning 1 year after the date of the enactment of the 
Excellence and Accountability in Education Act, a State receiving a 
grant under this subpart shall submit an annual report to the Secretary 
that describes the number of students served and the activities 
supported with funds provided under this subpart. The report shall 
include a description of the measures taken to comply with paragraphs 
(1) and (4) of section 5274(b). To the extent practicable and otherwise 
authorized by law, this report shall be submitted as part of any 
consolidated State performance report for State formula grant programs 
under this Act.

   ``Subpart 3--National Center for Research and Development in the 
          Education of Gifted and Talented Children and Youth

``SEC. 5281. CENTER FOR RESEARCH AND DEVELOPMENT.

    ``(a) In General.--The Secretary (after consultation with experts 
in the field of the education of gifted and talented students) shall 
establish a National Center for Research and Development in the 
Education of Gifted and Talented Children and Youth through grants to 
or contracts with one or more institutions of higher education or State 
educational agencies, or a combination or consortium of such 
institutions and agencies and other public or private agencies and 
organizations, for the purpose of carrying out activities described in 
section 5273(b)(1).
    ``(b) Director.--Such National Center shall have a Director. The 
Secretary may authorize the Director to carry out such functions of the 
National Center as may be agreed upon through arrangements with 
institutions of higher education, State or local educational agencies, 
or other public or private agencies and organizations.
    ``(c) Coordination.--Scientifically based research activities 
supported under this subpart--
            ``(1) shall be carried out in consultation with the Office 
        of Educational Research and Improvement to ensure that such 
        activities are coordinated with and enhance the research and 
        development activities supported by such Office; and
            ``(2) may include collaborative scientifically based 
        research activities which are jointly funded and carried out 
        with such Office.

                    ``Subpart 4--General Provisions

``SEC. 5291. CONSTRUCTION.

    ``Nothing in this part shall be construed to prohibit a recipient 
of funds under this part from serving gifted and talented students 
simultaneously with students with similar educational needs, in the 
same educational settings where appropriate.

``SEC. 5292. PARTICIPATION OF PRIVATE SCHOOL CHILDREN AND TEACHERS.

    ``In making grants and entering into contracts under this part, the 
Secretary shall ensure, where appropriate, that provision is made for 
the equitable participation of students and teachers in private 
nonprofit elementary and secondary schools, including the participation 
of teachers and other personnel in professional development programs 
serving such children.

``SEC. 5293. AUTHORIZATION OF APPROPRIATIONS.

    ``(a) Subpart 1 or 2.--Subject to section 5253, there are 
authorized to be appropriated $20,000,000 to carry out subpart 1 or 2 
for fiscal year 2002 and such sums as may be necessary for each of 
fiscal years 2003 through 2006.
    ``(b) Subpart 3.--There are authorized to be appropriated to carry 
out subpart 3 for fiscal year 2002 $1,950,000 and such sums as may be 
necessary for each of fiscal years 2002 through 2006.''.

SEC. 505. CHARTER SCHOOLS.

    (a) Redesignations.--Part F of title X is redesignated as part E of 
title V and sections 10301 through 10311 are redesignated as sections 
5301 through 5311, respectively.
    (b) Authorization of Appropriations.--Section 5311 (as so 
redesignated) to read as follows:

``SEC. 5311. AUTHORIZATION OF APPROPRIATIONS.

    ``For the purpose of carrying out this part, there are authorized 
to be appropriated $250,000,000 for fiscal year 2002 and such sums as 
may be necessary for each of the 4 succeeding fiscal years.''.

SEC. 506. ARTS IN EDUCATION.

    (a) Redesignations.--Part D of title X is repealed, except for 
subpart 1. Subpart 1 of part D of title X is redesignated as part F of 
title V and section 10401 is redesignated as section 5351.
    (b) Authorization of Appropriations.--Subsection (f) of section 
5351 (as so redesignated) is amended to read as follows:
    ``(f) Authorization of Appropriations.--For the purpose of carrying 
out this part, there are authorized to be appropriated $35,000,000 for 
fiscal year 2002 and such sums as may be necessary for each of the 4 
succeeding fiscal years.
    (c) Subpart References.--Section 5351 (as so redesignated) is 
amended by striking ``this subpart'' each place it appears and 
inserting ``this part''.

SEC. 507. INEXPENSIVE BOOK DISTRIBUTION PROGRAM.

    (a) Redesignation.--Part E of title X is redesignated as part G of 
title V and section 10501 is redesignated as section 5401.
    (b) Authorization of Appropriations.--Subsection (e) of section 
5401 (as so redesignated) is amended to read as follows:
    ``(e) Authorization of Appropriations.--For the purpose of carrying 
out this part, there are authorized to be appropriated $28,000,000 for 
fiscal year 2002 and such sums as may be necessary for each of the 4 
succeeding fiscal years.''.

SEC. 508. CIVIC EDUCATION.

    Part F of title X is redesignated as part H of title V and is 
amended to read as follows:

                       ``PART H--CIVIC EDUCATION

``SEC. 5451. SHORT TITLE.

    ``This part may be cited as the `Education for Democracy Act'.

``SEC. 5452. FINDINGS.

    ``The Congress finds that--
            ``(1) college freshmen surveyed in 1999 by the Higher 
        Education Research Institute at the University of California at 
        Los Angeles demonstrated higher levels of disengagement, both 
        academically and politically, than any previous entering class 
        of students;
            ``(2) college freshmen in 1999 demonstrated the lowest 
        levels of political interest in the 20-year history of surveys 
        conducted by the Higher Education Research Institute at the 
        University of California at Los Angeles;
            ``(3) United States secondary school students expressed 
        relatively low levels of interest in politics and economics in 
        a 1999 Harris survey;
            ``(4) the 32d Annual Phi Delta Kappa/Gallup Poll of 2000 
        indicated that preparing students to become responsible 
        citizens was the most important purpose of public schools;
            ``(5) Americans surveyed by the Organization of Economic 
        Cooperation and Development indicated that only 59 percent had 
        confidence that schools have a major effect on the development 
        of good citizenship;
            ``(6) teachers too often do not have sufficient expertise 
        in the subjects that they teach, and half of all secondary 
school history students in America are being taught by teachers with 
neither a major nor a minor in history;
            ``(7) secondary school students correctly answered less 
        than half of the questions on a national test of economic 
        knowledge in a 1999 Harris survey;
            ``(8) the 1998 National Assessment of Educational Progress 
        indicated that students have only superficial knowledge of, and 
        lacked a depth of understanding regarding, civics;
            ``(9) civic and economic education are important not only 
        to developing citizenship competencies in the United States but 
        also are critical to supporting political stability and 
        economic health in other democracies, particularly emerging 
        democratic market economies;
            ``(10) more than three quarters of Americans surveyed by 
        the National Constitution Center in 1997 admitted that they 
        knew only some or very little about the Constitution of the 
        United States; and
            ``(11) the Constitution of the United States is too often 
        viewed within the context of history and not as a living 
        document that shapes current events.

``SEC. 5453. PURPOSE.

    ``It is the purpose of this part--
            ``(1) to improve the quality of civics and government 
        education by educating students about the history and 
        principles of the Constitution of the United States, including 
        the Bill of Rights;
            ``(2) to foster civic competence and responsibility; and
            ``(3) to improve the quality of civic education and 
        economic education through cooperative civic education and 
        economic education exchange programs with emerging democracies.

``SEC. 5454. GENERAL AUTHORITY.

    ``(a) Grants and Contracts.--
            ``(1) In general.--The Secretary is authorized to award 
        grants to or enter into contracts with--
                    ``(A) the Center for Civic Education to carry out 
                civic education activities under sections 5455 and 
                5456; and
                    ``(B) the National Council on Economic Education to 
                carry out economic education activities under section 
                5456.
            ``(2) Consultation.--The Secretary shall award the grants 
        and contracts under section 5456 in consultation with the 
        Secretary of State.
    ``(b) Distribution.--The Secretary shall use not more than 50 
percent of the amount appropriated under section 5457(b) for each 
fiscal year to carry out economic education activities under section 
5456.

``SEC. 5455. WE THE PEOPLE PROGRAM.

    ``(a) The Citizen and the Constitution.--
            ``(1) In general.--The Center for Civic Education shall use 
        funds awarded under section 5454(a)(1)(A) to carry out The 
        Citizen and the Constitution program in accordance with this 
        subsection.
            ``(2) Educational activities.--The Citizen and the 
        Constitution program--
                    ``(A) shall continue and expand the educational 
                activities of the `We the People . . . The Citizen and 
                the Constitution' program administered by the Center 
                for Civic Education;
                    ``(B) shall enhance student attainment of 
                challenging content standards in civics and government; 
                and
                    ``(C) may provide--
                            ``(i) a course of instruction on the basic 
                        principles of our Nation's constitutional 
                        democracy and the history of the Constitution 
                        of the United States and the Bill of Rights;
                            ``(ii) at the request of a participating 
                        school, school and community simulated 
                        congressional hearings following the course of 
                        study;
                            ``(iii) an annual national competition of 
                        simulated congressional hearings for secondary 
                        school students who wish to participate in such 
                        a program;
                            ``(iv) advanced training of teachers about 
                        the Constitution of the United States and the 
                        political system the United States created;
                            ``(v) materials and methods of instruction, 
                        including teacher training, that utilize the 
                        latest advancements in educational technology; 
                        and
                            ``(vi) civic education materials and 
                        services to address specific problems such as 
                        the prevention of school violence and the abuse 
                        of drugs and alcohol.
            ``(3) Availability of program.--The education program 
        authorized under this subsection shall be made available to 
        public and private elementary schools and secondary schools, 
        including Bureau funded schools, in the 435 congressional 
        districts, and in the District of Columbia, the Commonwealth of 
        Puerto Rico, the United States Virgin Islands, Guam, American 
        Samoa, and the Commonwealth of the Northern Mariana Islands.
    ``(b) Project Citizen.--
            ``(1) In general.--The Center for Civic Education shall use 
        funds awarded under section 5454(a)(1)(A) to carry out The 
        Project Citizen program in accordance with this subsection.
            ``(2) Educational activities.--The Project Citizen 
        program--
                    ``(A) shall continue and expand the educational 
                activities of the `We the People . . . Project Citizen' 
                program administered by the Center for Civic Education;
                    ``(B) shall enhance student attainment of 
                challenging content standards in civics and government; 
                and
                    ``(C) may provide--
                            ``(i) a course of instruction at the middle 
                        school level on the roles of State and local 
                        governments in the Federal system established 
                        by the Constitution of the United States;
                            ``(ii) optional school and community 
                        simulated State legislative hearings;
                            ``(iii) an annual national showcase or 
                        competition;
                            ``(iv) advanced training of teachers on the 
                        roles of State and local governments in the 
                        Federal system established by the Constitution 
                        of the United States;
                            ``(v) materials and methods of instruction, 
                        including teacher training, that utilize the 
                        latest advancements in educational technology; 
                        and
                            ``(vi) civic education materials and 
                        services to address specific problems such as 
                        the prevention of school violence and the abuse 
                        of drugs and alcohol.
            ``(3) Availability of program.--The education program 
        authorized under this subsection shall be made available to 
        public and private middle schools, including Bureau funded 
        schools, in the 50 States of the United States, the District of 
        Columbia, the Commonwealth of Puerto Rico, the United States 
        Virgin Islands, Guam, American Samoa, and the Commonwealth of 
        the Northern Mariana Islands.
    ``(c) Definition of Bureau Funded School.--In this section the term 
`Bureau funded school' has the meaning given the term in section 1146 
of the Education Amendments of 1978.

``SEC. 5456. COOPERATIVE CIVIC EDUCATION AND ECONOMIC EDUCATION 
              EXCHANGE PROGRAMS.

    ``(a) Cooperative Education Exchange Programs.--The Center for 
Civic Education and the National Council on Economic Education shall 
use funds awarded under section 5454(a)(1) to carry out Cooperative 
Education Exchange programs in accordance with this section.
    ``(b) Purpose.--The purpose of the Cooperative Education Exchange 
programs provided under this section shall be to--
            ``(1) make available to educators from eligible countries 
        exemplary curriculum and teacher training programs in civics 
        and government education, and economics education, developed in 
        the United States;
            ``(2) assist eligible countries in the adaptation, 
        implementation, and institutionalization of such programs;
            ``(3) create and implement civics and government education, 
        and economic education, programs for students that draw upon 
        the experiences of the participating eligible countries;
            ``(4) provide a means for the exchange of ideas and 
        experiences in civics and government education, and economic 
        education, among political, educational, governmental, and 
        private sector leaders of participating eligible countries; and
            ``(5) provide support for--
                    ``(A) research and evaluation to determine the 
                effects of educational programs on students' 
                development of the knowledge, skills, and traits of 
character essential for the preservation and improvement of 
constitutional democracy; and
                    ``(B) effective participation in and the 
                preservation and improvement of an efficient market 
                economy.
    ``(c) Avoidance of Duplication.--The Secretary shall consult with 
the Secretary of State to ensure that--
            ``(1) activities under this section are not duplicative of 
        other efforts in the eligible countries; and
            ``(2) partner institutions in the eligible countries are 
        creditable.
    ``(d) Activities.--The Cooperative Education Exchange programs 
shall--
            ``(1) provide eligible countries with--
                    ``(A) seminars on the basic principles of United 
                States constitutional democracy and economics, 
                including seminars on the major governmental and 
                economic institutions and systems in the United States, 
                and visits to such institutions;
                    ``(B) visits to school systems, institutions of 
                higher education, and nonprofit organizations 
                conducting exemplary programs in civics and government 
                education, and economic education, in the United 
                States;
                    ``(C) translations and adaptations regarding United 
                States civic and government education, and economic 
                education, curricular programs for students and 
                teachers, and in the case of training programs for 
                teachers translations and adaptations into forms useful 
                in schools in eligible countries, and joint research 
                projects in such areas;
                    ``(D) research and evaluation assistance to 
                determine--
                            ``(i) the effects of the Cooperative 
                        Education Exchange programs on students' 
                        development of the knowledge, skills, and 
                        traits of character essential for the 
                        preservation and improvement of constitutional 
                        democracy; and
                            ``(ii) effective participation in and the 
                        preservation and improvement of an efficient 
                        market economy;
            ``(2) provide United States participants with--
                    ``(A) seminars on the histories, economies, and 
                systems of government of eligible countries;
                    ``(B) visits to school systems, institutions of 
                higher education, and organizations conducting 
                exemplary programs in civics and government education, 
                and economic education, located in eligible countries;
                    ``(C) assistance from educators and scholars in 
                eligible countries in the development of curricular 
                materials on the history, government, and economy of 
                such countries that are useful in United States 
                classrooms;
                    ``(D) opportunities to provide onsite 
                demonstrations of United States curricula and pedagogy 
                for educational leaders in eligible countries; and
                    ``(E) research and evaluation assistance to 
                determine--
                            ``(i) the effects of the Cooperative 
                        Education Exchange programs on students' 
                        development of the knowledge, skills, and 
                        traits of character essential for the 
                        preservation and improvement of constitutional 
                        democracy; and
                            ``(ii) effective participation in and 
                        improvement of an efficient market economy; and
            ``(3) assist participants from eligible countries and the 
        United States to participate conferences on civics and 
        government education, and economic education, for educational 
        leaders, teacher trainers, scholars in related disciplines, and 
        educational policymakers.
    ``(e) Participants.--The primary participants in the Cooperative 
Education Exchange programs assisted under this section shall be 
educational leaders in the areas of civics and government education, 
and economic education, including teachers, curriculum and teacher 
training specialists, scholars in relevant disciplines, and educational 
policymakers, and government and private sector leaders from the United 
States and eligible countries.
    ``(f) Definition.--For the purpose of this section, the term 
`eligible country' means a Central European country, an Eastern 
European country, Lithuania, Latvia, Estonia, the independent states of 
the former Soviet Union as defined in section 3 of the FREEDOM Support 
Act (22 U.S.C. 5801), and may include the Republic of Ireland, the 
province of Northern Ireland in the United Kingdom, and any developing 
country, as defined in section 209(d) of the Education for the Deaf 
Act, that has a democratic form of government as determined by the 
Secretary in consultation with the Secretary of State.

``SEC. 5457. AUTHORIZATION OF APPROPRIATIONS.

    ``(a) Section 5455.--There are authorized to be appropriated to 
carry out section 5455, $15,000,000 for fiscal year 2002 and such sums 
as may be necessary for each of the fiscal years 2003 through 2006.
    ``(b) Section 5456.--There are authorized to be appropriated to 
carry out section 5456, $12,000,000 for fiscal year 2002 and such sums 
as may be necessary for each of the fiscal years 2003 through 2006.''.

SEC. 509. ALLEN J. ELLENDER FELLOWSHIP PROGRAM.

    (a) Redesignations.--Part G of title X is redesignated as part I of 
title V. Section 10701 is redesignated as section 5501. Sections 10711 
and 10712 are redesignated as section 5511 and 5512, respectively. 
Sections 10721 and 10722 are redesignated as sections 5521 and 5522, 
respectively. Sections 10731 and 10732 are redesignated as section 5531 
and 5532, respectively. Sections 10741 and 10742 are redesignated as 
sections 5541 and 5542, respectively.
    (b) Authorization of Appropriations.--Section 5542 (as so 
redesignated) is amended to read as follows:

``SEC. 5542. AUTHORIZATION OF APPROPRIATIONS.

    ``(a) In General.--There are authorized to be appropriated to carry 
out the provisions of subparts 1, 2, and 3 of this part $4,400,000 for 
fiscal year 2002 and such sums as may be necessary of each of the 4 
succeeding fiscal years.
    ``(b) Special Rule.--Of the funds appropriated pursuant to 
subsection (a), not more than 30 percent may be used for teachers 
associated with students participating in the programs described in 
section 5511(a).''.

SEC. 510. 21ST CENTURY COMMUNITY LEARNING CENTERS.

    Part I of title X is redesignated as part J of title V and amended 
to read as follows:

           ``PART J--21ST CENTURY COMMUNITY LEARNING CENTERS

``SEC. 5551. SHORT TITLE.

    ``This part may be cited as the `21st Century Community Learning 
Centers Act'.

``SEC. 5552. FINDINGS.

    The Congress finds that--
            ``(1) a local public school often serves as a center for 
        the delivery of education and human resources for all members 
        of a community;
            ``(2) evaluations show that collaboration between public 
        schools (particularly in inner and small cities and rural and 
        disadvantaged suburban communities) and other public and 
        nonprofit agencies and organizations, local businesses, 
        educational entities, recreational, cultural, and other 
        community and human service entities helps to meet the needs 
        of, and expands the opportunities available to, all residents 
        of the communities served by such schools;
            ``(3) participation in high-quality programs can result in 
        better grades and conduct in school, and is particularly 
        beneficial for children living in high-risk environments. In 
        particular, children who participate in high-quality after 
        school program spend more time in academic and enrichment 
        activities; watch less television; have significantly lower 
        incidences of drug use and unwanted teenage pregnancies; and 
        communicate better with adults and their peers.
            ``(4) by using school facilities, equipment, and resources, 
        communities can promote a more efficient use of public 
        education facilities, especially in rural and inner city areas 
        where limited financial resources have enhanced the necessity 
        for local public schools to become social service centers;
            ``(5) the high technology, global economy of the 21st 
        century will require lifelong learning to keep America's 
        workforce competitive and successful, and local public schools 
        should provide centers for lifelong learning and educational 
        opportunities for individuals of all ages; and
            ``(6) 21st Century Community Learning Centers enable the 
        entire community to develop an education strategy that 
        addresses the educational needs of all members of local 
        communities.

``SEC. 5553. PROGRAM AUTHORIZATION.

    ``(a) Program Authority.--The Secretary is authorized, in 
accordance with the provisions of this part, to award grants to State 
educational agencies to enable its schools or a consortia of its 
schools to plan, implement, or to expand projects that benefit the 
educational, health, social service, cultural, and recreational needs 
of inner and small cities and rural and disadvantaged suburban 
communities with a substantial need for expanded learning opportunities 
because--
            ``(1) they lack resources to establish or expand after-
        school centers that benefit the educational, health, social 
        service, cultural, and recreational needs of the community; or
            ``(2) they have other needs consistent with the purposes of 
        this part.
    ``(b) Reservation.--From the funds appropriated under section 5663 
to carry out this part for each fiscal year, the Secretary--
            ``(1) shall reserve an amount necessary to make 
        continuation grants to existing grantees under part I of title 
        X, as it existed on the day before the date of the enactment of 
        the Excellence and Accountability in Education Act.
            ``(2) shall reserve the lesser of 0.5 percent or $3,000,000 
        of such amount for grants under this part to Guam, American 
        Samoa, the Virgin Islands, the Commonwealth of the Northern 
        Mariana Islands, the Republic of Palau, the Marshall Islands, 
        and the Federated States of Micronesia;
            ``(3) shall reserve 0.5 percent of such amount for the 
        Bureau of Indian Affairs of the Department of Interior to carry 
        out programs under this part for Indian children; and
            ``(4) shall reserve the lesser of 2.5 percent or 
        $20,000,000 for evaluation and national activities under 
        section 5660.
    ``(c) State Educational Agency Allotments.--
            ``(1) In general.--Except as provided in paragraph (2), and 
        after making the reservations in subsection (b), the Secretary 
        shall, for each fiscal year, allocate among the States the 
        remainder according to the ratio between the amount each State 
        received under part A of title I for the preceding year and the 
        sum of such amounts received by all the States.
            ``(2) Minimum.--For any fiscal year, no State (including 
        for the purposes of this part, the Bureau of Indian Affairs) 
        shall be allotted under this subsection an amount that is less 
        than 0.5 percent of the total amount allotted to all the States 
        under this subsection.
            ``(3) Reallotment.--The Secretary may reallot any amount of 
        any allotment to a State if the Secretary determines that the 
        State will be unable to use such amount within 2 years of such 
        allotment. Such reallotments shall be made on the same basis as 
        allotments are made under paragraph (1).
    ``(d) Within State Distribution of Funds.--Each State educational 
agency having an approved application pursuant to section 5554 and 
receiving an allocation under subsection (c), shall--
            ``(1) use not less than 95 percent of the funds made 
        available to it under subsection (c) to award grants, on a 
        competitive basis, to local educational agencies, or consortia 
        of local educational agencies, acting on behalf of public 
        elementary or secondary schools; and
            ``(2) use up to 5 percent for State level activities and 
        evaluation, of which 40 percent may be used for administration.

``SEC. 5554. STATE EDUCATIONAL AGENCY APPLICATIONS.

    ``(a) In General.--Each State educational agency seeking a grant 
under this subpart shall submit an application in such form, and 
containing such information, as the Secretary may reasonably require. 
At a minimum, the application shall--
            ``(1) designate the State educational agency as the agency 
        responsible for the administration and supervision of programs 
        assisted under this part;
            ``(2) describe the competitive procedures and criteria the 
        State will use to ensure that grants under this part will 
        support high-quality programs in communities with a substantial 
        need for expanding learning opportunities, with a priority for 
        those that--
                    ``(A) have a high proportion of high-poverty 
                students; and
                    ``(B) lack resources to establish or expand after-
                school centers that benefit the educational health, 
                social service, cultural, and recreational needs of the 
                community.
            ``(3) describe the steps the State will take to ensure that 
        programs implement effective strategies, including providing 
        ongoing technical assistance and training, evaluation, 
        dissemination of promising practices, and monitoring;
            ``(4) contain an assurance that the State educational 
        agency shall provide for the annual submission of data 
        regarding the uses of funds under this part, including the 
        activities provided and populations served under this part, and 
        such other information as the Secretary may require;
            ``(5) contain an assurance that the State educational 
        agency shall comply with the requirements of this part;
            ``(6) contain a description of how the State will 
        coordinate Federal, State, and local programs in order to use 
        most effectively the resources available to support the 
        project;
            ``(7) provide that the State educational agency will keep 
        such records and provide such information to the Secretary as 
        may be required for fiscal audit and program evaluation 
        (consistent with all State educational agency fiscal audit and 
        program evaluation responsibilities required under this Act);
            ``(8) describe how the State will evaluate the 
        effectiveness of programs and activities carried out with funds 
        under this part; and
            ``(9) provide for timely public notice and public 
        dissemination of the data submitted under this part.
    ``(b) Approval.--The Secretary shall approve a State application 
under this section if the Secretary determines that it satisfies the 
requirements, and holds reasonable promise for accomplishing the 
purposes of this part.

``SEC. 5555. STATE EDUCATIONAL AGENCY ACTIVITIES.

    ``Each State, having an approved application under section 5554 may 
use funds allocated under section 5553(d)(2) for one or more of the 
following activities:
            ``(1) establishment and implementation of a peer review 
        process for grant applications;
            ``(2) supervision of the awarding of funds to local 
        educational agencies on behalf of public elementary schools, 
        secondary schools or consortia thereof;
            ``(3) planning, supervision, and processing of funds made 
        available under this section;
            ``(4) monitoring and evaluation of programs and activities 
        assisted under this part; and
            ``(5) providing technical assistance under this part.

``SEC. 5556. STATE PERFORMANCE INDICATORS.

    Each State educational agency shall establish performance 
indicators and acceptable goals of progress to evaluate the 
effectiveness of programs funded under this part.

``SEC. 5557. LOCAL COMPETITIVE GRANTS

    ``(a) Competitive Grants.--The State educational agency shall 
distribute funds provided under section 5553(d)(1) on a competitive 
basis to local educational agencies, consortia of local educational 
agencies, acting on behalf of a public elementary or secondary schools 
to enable such schools to plan, implement, or expand community learning 
centers that address the educational, health, social service, cultural, 
and recreational needs of the local community.
    ``(b) Extended Learning Time.--In order to receive a grant under 
this part, a local educational agency shall provide significant 
expanded learning opportunities, such as before and after school, for 
children and youth in the community that:
            ``(1) are designed to help students in the school and 
        community achieve to challenging state content and performance 
        standards;
            ``(2) provide academic instruction by trained and qualified 
        teachers;
            ``(3) utilize research-based practices, to the extent 
        available and feasible, that show success in raising student 
        achievement and increasing literacy skills;
            ``(4) include a parent and family involvement component;
            ``(5) include professional development that is aligned to 
        the extended learning curriculum;
            ``(6) indicate how the school will provide a continuity of 
        extended learning curriculum over multiple years; and
            ``(7) include ongoing evaluation to assess the 
        effectiveness of the program.
    ``(c) Equitable Distribution.--In awarding grants under this part, 
the State educational agency shall ensure that both urban and rural 
areas of the State are served.
    ``(d) Grant Period.--A State educational agency shall award grants 
under this part for a period not to exceed 5 years.
    ``(e) Amount.--A State educational agency shall not award a grant 
under this part in any fiscal year in an amount less than $75,000.

``SEC. 5558. LOCAL APPLICATION.

    ``(a) Application.--To be eligible to receive a grant under this 
part, a local educational agency, or a consortia of local educational 
agencies, on behalf of public elementary or secondary schools, 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 reasonably require.
    ``(b) Contents.--Each such application shall include--
            ``(1) a comprehensive local plan that enables the school or 
        consortium to serve as a center for the delivery of education 
        and human resources for members of a community;
            ``(2) an evaluation of the needs, available resources, and 
        goals and objectives for the proposed project in order to 
        determine which activities will be undertaken to address such 
        needs;
            ``(3) a description of the proposed project, including--
                    ``(A) a description of the mechanism that will be 
                used to disseminate information in a manner that is 
                understandable and accessible to the community;
                    ``(B) a description of how the applicant will 
                coordinate Federal, State, and local programs in order 
                to use most effectively the resources available to 
                support the project;
                    ``(C) a description of the collaborative efforts to 
                be undertaken with community-based organizations, 
                related public agencies, businesses, or other 
                appropriate organizations in order to promote community 
                involvement in the planning and implementation of 
                services provided under this part;
                    ``(D) a description of how the community learning 
                center will serve as a delivery center for existing and 
                new services, especially for interactive 
                telecommunication used for education and professional 
                training; and
                    ``(E) an assurance that the school or consortium 
                will establish a facility utilization policy that 
                specifically states--
                            ``(i) the rules and regulations applicable 
                        to building and equipment use; and
                            ``(ii) supervision guidelines;
            ``(4) information demonstrating that the school or 
        consortium will provide at least 50 percent of the cost of the 
        project from other sources, which may include other Federal 
        funds and may be provided in cash or in-kind, fairly evaluate;
            ``(5) an assurance that the school or consortium will, each 
        year of the project, expend, from non-Federal sources, at least 
        as much for the services under this part as it expended for the 
        preceding year; and
            ``(6) information demonstrating how the school or 
        consortium will continue the project after completion of the 
        grant.

``SEC. 5559. USE OF FUNDS.

    Grants awarded under section 5557, either directly or through 
contracts with community-based organizations with demonstrated ability 
to provide high-quality programming, shall be used to establish or 
expand community learning centers that provide activities that offer 
significant expanded learning opportunities, such as before and after 
school, for children and youth in the community. A grantee shall use at 
least a portion of its grant under section 5557 to implement or expand 
after school learning opportunities, and shall use the remainder of its 
grant to carry out not less than 3 of the following activities:
            ``(1) Literacy education programs.
            ``(2) Senior citizen programs.
            ``(3) Children's day care services.
            ``(4) Integrated education, health, social service, 
        recreational, or cultural programs.
            ``(5) Summer and weekend school programs in conjunction 
        with recreation programs.
            ``(6) Nutrition and health programs.
            ``(7) Expanded library service hours to serve community 
        needs.
            ``(8) Telecommunications and technology education programs 
        for individuals of all ages.
            ``(9) Parenting skills education programs.
            ``(10) Support and training for child day care providers.
            ``(11) Employment counseling, training, and placement.
            ``(12) Services for individuals who leave school before 
        graduating from secondary school, regardless of the age of such 
        individual.
            ``(13) Services for individuals with disabilities.
            ``(14) Mentoring of at-risk children, including mentoring 
        by senior citizens.

``SEC. 5560. NATIONAL ACTIVITIES.

    ``The Secretary shall use funds reserved under section 5553(b)(4) 
for technical assistance, evaluation, dissemination of information, 
activities to encourage the spread and adoption of successful extended 
learning opportunities programs, and other national activities that 
support programs under this part.

``SEC. 5561. COMMUNITY LEARNING CENTER DEFINED.

    ``For the purpose of this part, the term `community learning 
center' means an entity within a public elementary or secondary school 
building that--
            ``(1) provides expanded learning opportunities, and 
        educational, recreational, health, and social service programs 
        for residents of all ages within a local community in a safe 
        and drug-free environment;
            ``(2) is operated by a local educational agency in 
        conjunction with local governmental agencies, businesses, 
        vocational education programs, institutions of higher 
        education, community colleges, and cultural, recreational, and 
        other community and human service entities; and
            ``(3) includes expanded learning opportunities such as 
        before- and after-school.

``SEC. 5562. SUPPLEMENT.

    ``Funds made available under this part shall be used to supplement 
and not supplant other Federal, State, and local funds expended to 
carry out activities relating to expanded learning opportunities.

``SEC. 5563. AUTHORIZATION OF APPROPRIATIONS.

    ``There are authorized to be appropriated $964,000,000 for fiscal 
year 2002, $1,100,000,000 for fiscal year 2003, $1,253,000,000 for 
fiscal year 2004, $1,416,000,000 for fiscal year 2005, and 
$1,615,000,000 for fiscal year 2006, to carry out this part.''.

SEC. 511. RURAL EDUCATION ACHIEVEMENT PROGRAM.

    (a) Redesignations.--Part J of title X is repealed, except for 
subpart 2. Subpart 2 of part J is redesignated as part K of title V. 
Sections 10971 through 10978 are redesignated as sections 5601 through 
5608, respectively.
    (b) Subpart References.--Part K of title V (as so redesignated) is 
amended by striking ``this subpart'' each place it appears and 
inserting ``this part''.
    (c) Authorization of Appropriations.--Section 5603 (as so 
redesignated) is amended by striking ``2001.'' and inserting ``2002 and 
such sums as may be necessary for the 4 succeeding fiscal years.''.

SEC. 512. PHYSICAL EDUCATION FOR PROGRESS.

    (a) Redesignations.--Part L of title X is redesignated as part L of 
title V. Sections 10999A through 10999L are redesignated as sections 
5651 through 5662, respectively.
    (b) Authorization of Appropriations.--Section 5662 (as so 
redesignated) is amended by striking ``2005'' and inserting ``2006''.

SEC. 513. COORDINATED SERVICES.

    Title XI is redesignated as part M of title V and amended to read 
as follows:

                     ``PART M--COORDINATED SERVICES

``SEC. 5701. FINDINGS AND PURPOSE.

    ``(a) Findings.--The Congress finds the following:
            ``(1) Access to health and social service programs in a 
        school-based or school-linked community service center may make 
        it easier for families to address the basic physical and 
        emotional needs of children and parents.
            ``(2) Parents, school personnel, and service providers 
        should have access to services and activities to improve the 
        education, health, mental health, safety and economic well-
        being of children and their families.
            ``(3) School personnel, health care providers, mental 
        health care providers, child care providers, juvenile justice 
        workers and other family service providers could be of greater 
        assistance to children and their families if they had access to 
        a single school-based or school-linked community service 
        center.
            ``(4) Coordinating health and social services with 
        education will help ensure that children come to school ready 
        to learn.
    ``(b) Purpose.--The purpose of this part is to encourage eligible 
partnerships to establish or expand child opportunity zone family 
centers in or near public elementary and secondary schools in order to 
provide students and their families better access to coordinated 
services which improve their education, health, mental health, safety, 
and economic well-being.

           ``Subpart 1--Local Educational Agency Reservation

``SEC. 5711. COORDINATED SERVICES.

    ``(a) Program Authorized.--Notwithstanding any other provision of 
this Act, a local educational agency, school, or consortium of schools 
may use not more than 5 percent of the funds received under this Act 
for the development, or the implementation or expansion, of a 
coordinated service project under this section.
    ``(b) Application.--Each local educational agency desiring to use 
funds described in subsection (a) to carry out this section shall 
submit an application to the Secretary at such time, in such manner and 
accompanied by such information as the Secretary may reasonably 
require.
    ``(c) Uses of Funds.--Funds described in subsection (a) may be used 
to plan, implement, or expand activities which include--
            ``(1) hiring a services coordinator;
            ``(2) making minor renovations to existing buildings;
            ``(3) purchasing basic operating equipment;
            ``(4) improving communications and information-sharing 
        among entities participating in the coordinated services 
        project; or
            ``(5) providing training to teachers and appropriate 
        personnel concerning such teacher's and personnel's role in a 
        coordinated services project.

              ``Subpart 2--Local Educational Agency Grants

``SEC. 5721. GRANTS AUTHORIZED.

    ``(a) In General.--The Secretary may award, on a competitive basis, 
grants to eligible partnerships to pay for the Federal share of the 
cost of establishing and expanding child opportunity zone family 
centers.
    ``(b) Duration.--The Secretary shall award grants under this 
section for periods of 5 years.

``SEC. 5722. REQUIRED ACTIVITIES.

    ``Each eligible partnership receiving a grant under this subpart 
shall use the grant funds--
            ``(1) in accordance with the needs assessment described in 
        section 5723(b)(1), to provide or link children and their 
        families with information, support, activities, or services in 
        core areas consisting of--
                    ``(A) education, such as child care and education 
                programs for children below the age of compulsory 
                school attendance, before- and after-school care, and 
                school age enrichment and education support programs;
                    ``(B) health, such as primary care (including 
                prenatal care, well child care, and mental health 
                care), preventative health and safety programs, 
                outreach and referral, screening and health promotion, 
                and enrollment in health insurance programs; and
                    ``(C) family support, such as adult education and 
                literacy programs, welfare-to-work-programs, job 
                training, parenting skills programs, assistance that 
                supports healthy child development, and access to basic 
                needs, including food and housing;
            ``(2) to provide intensive, high-quality, research-based 
        instructional programs that--
                    ``(A) provide violence prevention education for 
                families and developmentally appropriate instructional 
                services to children (including children below the age 
                of compulsory school attendance), such as education and 
                services on nonviolent conflict resolution, pro social 
                skills and behaviors, and other skills necessary for 
                effectively relating to others without violence; and
                    ``(B) provide effective strategies for nurturing 
                and supporting the emotional, social, and cognitive 
                growth of children; and
            ``(3) to provide training, information, and support to 
        families to enable the families to participate effectively in 
        their children's education, and to help their children meet 
        challenging standards, including assisting families to--
                    ``(A) understand the accountability systems, 
                including content standards, performance standards, and 
                local assessments, in place for the State involved, the 
                participating local educational agency, and the 
                participating elementary school or secondary school;
                    ``(B) understand their children's educational 
                needs, their children's educational performance in 
                comparison to State and local standards, and the steps 
                the school is taking to address the children's needs 
                and to help the children meet the standards; and
                    ``(C) communicate effectively with personnel 
                responsible for providing educational services to the 
                families' children, and to participate in the 
                development, amendment, review, and implementation of 
                school-parent compacts, parent involvement policies, 
                and school plans.

``SEC. 5723. APPLICATIONS.

    ``(a) In General.--Each eligible partnership desiring a grant under 
this subpart shall submit an application to the Secretary at such time, 
in such manner, and containing such information as the Secretary may 
require.
    ``(b) Contents.--Each application submitted pursuant to subsection 
(a) shall--
            ``(1) include a needs assessment, including a description 
        of how the partnership will ensure that the activities to be 
        assisted under this part will be tailored to meet the specific 
        needs of the children and families to be served;
            ``(2) describe arrangements that have been formalized 
        between the participating elementary school or secondary 
        school, and other partnership members;
            ``(3) describe how the partnership will effectively 
        coordinate and utilize Federal, State, and local educational 
        agency sources of funding, including funding provided under 
        part J of title V and under the Safe Schools/Healthy Students 
        Initiative (jointly funded by the Departments of Education, 
        Justice, and Health and Human Services), that provide 
        assistance to families and their children in the areas of job 
        training, housing, justice, health, mental health, child care, 
        and social and human services;
            ``(4) describe the partnership's plan to--
                    ``(A) develop and carry out the activities assisted 
                under this subpart with extensive participation of 
                parents, administrators, teachers, pupil services 
                personnel, social and human service agencies, and 
                community organizations and leaders; and
                    ``(B) connect and integrate the activities assisted 
                under this subpart with the education reform efforts of 
                the participating elementary school or secondary 
                school, and the participating local educational agency;
            ``(5) describe the partnership's strategy for providing 
        information and assistance in a language and form that families 
        can understand, including how the partnership will ensure that 
families of students with limited English proficiency, or families of 
students with disabilities, are effectively involved, informed, and 
assisted;
            ``(6) describe how the partnership will collect and analyze 
        data, and will utilize specific performance measures and 
        indicators to--
                    ``(A) determine the impact of activities assisted 
                under this subpart as described in section 5726(a); and
                    ``(B) improve the activities assisted under this 
                subpart; and
            ``(7) describe how the partnership will protect the privacy 
        of families and their children participating in the activities 
        assisted under this subpart.

``SEC. 5724. FEDERAL SHARE.

    ``The Federal share of the cost of establishing and expanding child 
opportunity zone family centers--
            ``(1) for the first year for which an eligible partnership 
        receives assistance under this subpart shall not exceed 90 
        percent;
            ``(2) for the second such year, shall not exceed 80 
        percent;
            ``(3) for the third such year, shall not exceed 70 percent;
            ``(4) for the fourth such year, shall not exceed 60 
        percent; and
            ``(5) for the fifth such year, shall not exceed 50 percent.

``SEC. 5725. CONTINUATION OF FUNDING.

    ``Each eligible partnership that receives a grant under this 
subpart shall, after the third year for which the partnership receives 
funds through the grant, be eligible to continue to receive the funds 
if the Secretary determines that the partnership has made significant 
progress in meeting the performance measures used for the partnership's 
local evaluation under section 5726(a)(4).

``SEC. 5726. EVALUATIONS AND REPORTS.

    ``(a) Local Evaluations.--Each partnership receiving funds under 
this subpart shall conduct annual evaluations and submit to the 
Secretary reports containing the results of the evaluations. The 
reports shall include--
            ``(1) information on the partnership's activities that are 
        assisted under this subpart;
            ``(2) information on the number of families and children 
        served by the partnership's activities that are assisted under 
        this subpart;
            ``(3) information on the partnership's effectiveness in 
        reaching and meeting the needs of families and children served 
        under this subpart, including underserved families, families of 
        students with limited English proficiency, and families of 
        students with disabilities; and
            ``(4) the results of a partnership's performance assessment 
        of the partnership, including performance measures 
        demonstrating--
                    ``(A) improvements in student achievement, school 
                readiness, family participation in schools, and access 
                to health care, mental health care, child care, and 
                family support services, resulting from activities 
                assisted under this subpart; and
                    ``(B) reductions in violence-related problems and 
                risk taking behavior among youth, and reductions in 
                truancy, suspension, and dropout rates, resulting from 
                activities assisted under this subpart.
    ``(b) National Evaluations.--
            ``(1) In general.--The Secretary shall reserve not more 
        than 3 percent of the amount appropriated under this subpart to 
        carry out a national evaluation of the activities assisted 
        under this part. Such evaluation shall be completed not later 
        than 3 years after the date of the enactment of the Excellence 
        and Accountability in Education Act, and every year thereafter.
            ``(2) Scope of evaluation.--In conducting the national 
        evaluation, the Secretary shall evaluate the effectiveness and 
        impact of the activities, and identify model activities, 
        assisted under this subpart.
            ``(3) Annual reports.--The Secretary shall submit an annual 
        report to Congress, regarding each national evaluation 
        conducted under paragraph (1), that contains the information 
        described in the national evaluation.
    ``(c) Model Activities.--The Secretary shall broadly disseminate 
information on model activities developed under this part.

``SEC. 5727. DEFINITIONS.

    ``For the purposes of this subpart--
            ``(1) the term `coordinated services project' means a 
        comprehensive approach to meeting the educational, health, 
        social service, and other needs of children and their families, 
        including foster children and their foster families, through a 
        communitywide partnership that links public and private 
        agencies providing such services or access to such services 
        through a coordination site at or near a school; and
            ``(2) Child opportunity zone family center.--The term 
        `child opportunity zone family center' means a school-based or 
        school-linked community service center that provides and links 
        children and their families with comprehensive information, 
        support, services, and activities to improve the education, 
        health, mental health, safety, and economic well-being of the 
        children and their families.
            ``(3) Eligible partnership.--The term `eligible 
        partnership' means a partnership--
                    ``(A) that contains--
                            ``(i) at least 1 elementary school or 
                        secondary school that--
                                    ``(I) receives assistance under 
                                title I and for which a measure of 
                                poverty determination is made under 
                                section 1113(a)(5) with respect to a 
                                minimum of 40 percent of the children 
                                in the school; and
                                    ``(II) demonstrates parent 
                                involvement and parent support for the 
                                partnership's activities;
                            ``(ii) a local educational agency;
                            ``(iii) a public agency, other than a local 
                        educational agency, including a local or State 
department of health and social services; and
                            ``(iv) a nonprofit community-based 
                        organization, including a community mental 
                        health services organization or a family health 
                        center that provides mental health services; 
                        and
                    ``(B) that may contain--
                            ``(i) an institution of higher education; 
                        and
                            ``(ii) other public or private nonprofit 
                        entities.

``SEC. 5728. AUTHORIZATION OF APPROPRIATIONS.

    ``There are authorized to be appropriated to carry out this subpart 
$50,000,000 for fiscal year 2002, and such sums as may be necessary for 
each of the fiscal years 2003 through 2006.

SEC. 514. DROPOUT PREVENTION.

    Title V is amended by adding at the end the following:

        ``PART N--ASSISTANCE TO ADDRESS SCHOOL DROPOUT PROBLEMS

               ``Subpart 1--Coordinated National Strategy

``SEC. 5751. NATIONAL ACTIVITIES.

    ``(a) National Priority.--It shall be a national priority, for the 
5-year period beginning on the date of the enactment of the Excellence 
and Accountability in Education Act, to lower the school dropout rate, 
and increase school completion, for middle school and secondary school 
students in accordance with Federal law. As part of this priority, all 
Federal agencies that carry out activities that serve students at risk 
of dropping out of school or that are intended to help address the 
school dropout problem shall make school dropout prevention a top 
priority in the agencies' funding priorities during the 5-year period.
    ``(b) Enhanced Data Collection.--The Secretary shall collect 
systematic data on the participation of different racial and ethnic 
groups (including migrant and limited English proficient students) in 
all Federal programs.

``SEC. 5752. NATIONAL SCHOOL DROPOUT PREVENTION STRATEGY.

    ``(a) Plan.--The Director shall develop, implement, and monitor an 
interagency plan (in this section referred to as the `plan') to assess 
the coordination, use of resources, and availability of funding under 
Federal law that can be used to address school dropout prevention, or 
middle school or secondary school reentry. The plan shall be completed 
and transmitted to the Secretary and Congress not later than 180 days 
after the first Director is appointed.
    ``(b) Coordination.--The plan shall address inter- and intra-agency 
program coordination issues at the Federal level with respect to school 
dropout prevention and middle school and secondary school reentry, 
assess the targeting of existing Federal services to students who are 
most at risk of dropping out of school, and the cost-effectiveness of 
various programs and approaches used to address school dropout 
prevention.
    ``(c) Available Resources.--The plan shall also describe the ways 
in which State and local agencies can implement effective school 
dropout prevention programs using funds from a variety of Federal 
programs, including the programs under title I.
    ``(d) Scope.--The plan will address all Federal programs with 
school dropout prevention or school reentry elements or objectives, 
programs under title I, part B of title IV of the Job Training 
Partnership Act, subtitle C of title I of the Workforce Investment Act 
of 1998, and other programs.

``SEC. 5753. NATIONAL CLEARINGHOUSE.

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

``SEC. 5754. NATIONAL RECOGNITION PROGRAM.

    ``(a) In General.--The Director shall carry out a national 
recognition program that recognizes schools that have made 
extraordinary progress in lowering school dropout rates under which a 
public middle school or secondary school from each State will be 
recognized. The Director shall use uniform national guidelines that are 
developed by the Director for the recognition program and shall 
recognize schools from nominations submitted by State educational 
agencies.
    ``(b) Eligible Schools.--The Director may recognize any public 
middle school or secondary school (including a charter school) that has 
implemented comprehensive reforms regarding the lowering of school 
dropout rates for all students at that school.
    ``(c) Support.--The Director may make monetary awards to schools 
recognized under this section, in amounts determined by the Director. 
Amounts received under this section shall be used for dissemination 
activities within the school district or nationally.

       ``Subpart 2--National School Dropout Prevention Initiative

``SEC. 5761. FINDINGS.

    ``The Congress finds that, in order to lower dropout rates and 
raise academic achievement levels, improved and redesigned schools 
must--
            ``(1) challenge all children to attain their highest 
        academic potential; and
            ``(2) ensure that all students have substantial and ongoing 
        opportunities to--
                    ``(A) achieve high levels of academic and technical 
                skills;
                    ``(B) prepare for college and careers;
                    ``(C) learn by doing;
                    ``(D) work with teachers in small schools within 
                schools;
                    ``(E) receive ongoing support from adult mentors;
                    ``(F) access a wide variety of information about 
                careers and postsecondary education and training;
                    ``(G) use technology to enhance and motivate 
                learning; and
                    ``(H) benefit from strong links among middle 
                schools, secondary schools, and postsecondary 
                institutions.

``SEC. 5762. PROGRAM AUTHORIZED.

    ``(a) Allotments to States.--
            ``(1) In general.--From the sum made available under 
        section 5772(b) for a fiscal year the Secretary shall make an 
        allotment to each State in an amount that bears the same 
        relation to the sum as the amount the State received under 
        title I for the preceding fiscal year bears to the amount 
        received by all States under such title for the preceding 
        fiscal year.
            ``(2) Definition of state.--In this subpart, the term 
        `State' means each of the several States of the United States, 
        the District of Columbia, the Commonwealth of Puerto Rico, the 
        United States Virgin Islands, Guam, American Samoa, the 
        Commonwealth of the Northern Mariana Islands, the Republic of 
        the Marshall Islands, the Federated States of Micronesia, and 
        the Republic of Palau.
    ``(b) Grants.--From amounts made available to a State under 
subsection (a), the State educational agency may award grants to public 
middle schools or secondary schools, that have school dropout rates 
which are in the highest \1/3\ of all school dropout rates in the 
State, to enable the schools to pay only the startup and implementation 
costs of effective, sustainable, coordinated, and whole school dropout 
prevention programs that involve activities such as--
            ``(1) professional development;
            ``(2) obtaining curricular materials;
            ``(3) release time for professional staff;
            ``(4) planning and research;
            ``(5) remedial education;
            ``(6) reduction in pupil-to-teacher ratios;
            ``(7) efforts to meet State student achievement standards; 
        and
            ``(8) counseling for at-risk students.
    ``(c) Intent of Congress.--It is the intent of Congress that the 
activities started or implemented under subsection (a) shall be 
continued with funding provided under part A of title I.
    ``(d) Amount.--
            ``(1) In general.--Subject to subsection (d) and except as 
        provided in paragraph (2), a grant under this subpart shall be 
        awarded--
                    ``(A) in the first year that a school receives a 
                grant payment under this subpart, in an amount that is 
                not less than $50,000 and not more than $100,000, based 
                on factors such as--
                            ``(i) school size;
                            ``(ii) costs of the model being 
                        implemented; and
                            ``(iii) local cost factors such as poverty 
                        rates;
                    ``(B) in the second such year, in an amount that is 
                not less than 75 percent of the amount the school 
                received under this subpart in the first such year;
                    ``(C) in the third year, in an amount that is not 
                less than 50 percent of the amount the school received 
                under this subpart in the first such year; and
                    ``(D) in each succeeding year in an amount that is 
                not less than 30 percent of the amount the school 
                received under this subpart in the first such year.
            ``(2) Increases.--The Director shall increase the amount 
        awarded to a school under this subpart by 10 percent if the 
        school creates smaller learning communities within the school 
        and the creation is certified by the State educational agency.
    ``(e) Duration.--A grant under this subpart shall be awarded for a 
period of 3 years, and may be continued for a period of 2 additional 
years if the State educational agency determines, based on the annual 
reports described in section 5768(a), that significant progress has 
been made in lowering the school dropout rate for students 
participating in the program assisted under this subpart compared to 
students at similar schools who are not participating in the program.

``SEC. 5763. STRATEGIES AND ALLOWABLE MODELS.

    ``(a) Strategies.--Each school receiving a grant under this subpart 
shall implement research-based, sustainable, and widely replicated, 
strategies for school dropout prevention and reentry that address the 
needs of an entire school population rather than a subset of students. 
The strategies may include--
            ``(1) specific strategies for targeted purposes; and
            ``(2) approaches such as breaking larger schools down into 
        smaller learning communities and other comprehensive reform 
        approaches, creating alternative school programs, developing 
        clear linkages to career skills and employment, and addressing 
        specific gatekeeper hurdles that often limit student retention 
        and academic success.
    ``(b) Allowable Models.--The Director shall annually establish and 
publish in the Federal Register the principles, criteria, models, and 
other parameters regarding the types of effective, proven program 
models that are allowed to be used under this subpart, based on 
existing research.
    ``(c) Capacity Building.--
            ``(1) In general.--The Director, through a contract with a 
        non-Federal entity, shall conduct a capacity building and 
        design initiative in order to increase the types of proven 
        strategies for dropout prevention on a schoolwide level.
            ``(2) Number and duration.--
                    ``(A) Number.--The Director shall award not more 
                than 5 contracts under this subsection.
                    ``(B) Duration.--The Director shall award a 
                contract under this section for a period of not more 
                than 5 years.
    ``(d) Support for Existing Reform Networks.--
            ``(1) In general.--The Director shall provide appropriate 
        support to eligible entities to enable the eligible entities to 
        provide training, materials, development, and staff assistance 
        to schools assisted under this subpart.
            ``(2) Definition of eligible entity.--The term `eligible 
        entity' means an entity that, prior to the date of the 
        enactment of the Excellence and Accountability in Education 
        Act--
                    ``(A) provided training, technical assistance, and 
                materials to 100 or more elementary schools or 
                secondary schools; and
                    ``(B) developed and published a specific 
                educational program or design for use by the schools.

``SEC. 5764. SELECTION OF SCHOOLS.

    ``(a) School Application.--
            ``(1) In general.--Each school desiring a grant under this 
        subpart 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.
            ``(2) Contents.--Each application submitted under paragraph 
        (1) shall--
                    ``(A) contain a certification from the local 
                educational agency serving the school that--
                            ``(i) the school has the highest number or 
                        rates of school dropouts in the age group 
                        served by the local educational agency;
                            ``(ii) the local educational agency is 
                        committed to providing ongoing operational 
                        support, for the school's comprehensive reform 
                        plan to address the problem of school dropouts, 
                        for a period of 5 years; and
                            ``(iii) the local educational agency will 
                        support the plan, including--
                                    ``(I) release time for teacher 
                                training;
                                    ``(II) efforts to coordinate 
                                activities for feeder schools; and
                                    ``(III) encouraging other schools 
                                served by the local educational agency 
                                to participate in the plan;
                    ``(B) demonstrate that the faculty and 
                administration of the school have agreed to apply for 
                assistance under this subpart, and provide evidence of 
                the school's willingness and ability to use the funds 
                under this subpart, including providing an assurance of 
                the support of 80 percent or more of the professional 
                staff at the school;
                    ``(C) describe the instructional strategies to be 
                implemented, how the strategies will serve all 
                students, and the effectiveness of the strategies;
                    ``(D) describe a budget and timeline for 
                implementing the strategies;
                    ``(E) contain evidence of interaction with an 
                eligible entity described in section 5763(d)(2);
                    ``(F) contain evidence of coordination with 
                existing resources;
                    ``(G) provide an assurance that funds provided 
                under this subpart will supplement and not supplant 
                other Federal, State, and local funds;
                    ``(H) describe how the activities to be assisted 
                conform with an allowable model described in section 
                5763(b); and
                    ``(I) demonstrate that the school and local 
                educational agency have agreed to conduct a schoolwide 
                program under 1114.
    ``(b) State Agency Review and Award.--The State educational agency 
shall review applications and award grants to schools under subsection 
(a) according to a review by a panel of experts on school dropout 
prevention.
    ``(c) Criteria.--The Director shall establish clear and specific 
selection criteria for awarding grants to schools under this subpart. 
Such criteria shall be based on school dropout rates and other relevant 
factors for State educational agencies to use in determining the number 
of grants to award and the type of schools to be awarded grants.
    ``(d) Eligibility.--A school is eligible to receive a grant under 
this subpart if the school is--
            ``(1) a public school (including a public alternative 
        school)--
                    ``(A) that is eligible to receive assistance under 
                part A of title I, including a comprehensive secondary 
                school, a vocational or technical secondary school, and 
                a charter school; and
                    ``(B)(i) that serves students 50 percent or more of 
                whom are low-income individuals; or
                    ``(ii) with respect to which the feeder schools 
                that provide the majority of the incoming students to 
                the school serve students 50 percent or more of whom 
                are low-income individuals; or
            ``(2) participating in a schoolwide program under section 
        1114 during the grant period.
    ``(e) Community-Based Organizations.--A school that receives a 
grant under this subpart may use the grant funds to secure necessary 
services from a community-based organization, including private sector 
entities, if--
            ``(1) the school approves the use;
            ``(2) the funds are used to provide school dropout 
        prevention and reentry activities related to schoolwide 
        efforts; and
            ``(3) the community-based organization has demonstrated the 
        organization's ability to provide effective services as 
        described in section 107(a) of the Job Training Partnership 
        Act, or section 122 of the Workforce Investment Act of 1998.
    ``(f) Coordination.--Each school that receives a grant under this 
subpart shall coordinate the activities assisted under this subpart 
with other Federal programs, such as programs assisted under chapter 1 
of subpart 2 of part A of title IV of the Higher Education Act of 1965.

``SEC. 5765. DISSEMINATION ACTIVITIES.

    ``Each school that receives a grant under this subpart shall 
provide information and technical assistance to other schools within 
the school district, including presentations, document-sharing, and 
joint staff development.

``SEC. 5766. PROGRESS INCENTIVES.

    ``Notwithstanding any other provision of law, each local 
educational agency that receives funds under title I shall use such 
funding to provide assistance to schools served by the agency that have 
not made progress toward lowering school dropout rates after receiving 
assistance under this subpart for 2 fiscal years.

``SEC. 5767. SCHOOL DROPOUT RATE CALCULATION.

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

``SEC. 5768. REPORTING AND ACCOUNTABILITY.

    ``(a) Reporting.--In order to receive funding under this subpart 
for a fiscal year after the first fiscal year a school receives funding 
under this subpart, the school shall provide, on an annual basis, to 
the Director a report regarding the status of the implementation of 
activities funded under this subpart, the disaggregated outcome data 
for students at schools assisted under this subpart such as dropout 
rates, and certification of progress from the eligible entity whose 
strategies the school is implementing.
    ``(b) Accountability.--On the basis of the reports submitted under 
subsection (a), the Director shall evaluate the effect of the 
activities assisted under this subpart on school dropout prevention 
compared to a control group.

``SEC. 5769. PROHIBITION ON TRACKING.

    ``(a) In General.--A school shall be ineligible to receive funding 
under this subpart for a fiscal year, if the school--
            ``(1) has in place a general education track;
            ``(2) provides courses with significantly different 
        material and requirements to students at the same grade level; 
        or
            ``(3) fails to encourage all students to take a core 
        curriculum of courses.
    ``(b) Regulations.--The Secretary shall promulgate regulations 
implementing subsection (a).

       ``Subpart 3--Definitions; Authorization of Appropriations

``SEC. 5771. DEFINITIONS.

    ``In this Act:
            ``(1) Director.--The term `Director' means the Director of 
        the Office of Dropout Prevention and Program Completion 
        established under section 220 of the General Education 
        Provisions Act.
            ``(2) Low-income.--The term `low-income', used with respect 
        to an individual, means an individual determined to be low-
        income in accordance with measures described in section 
        1113(a)(5).
            ``(3) School dropout.--The term `school dropout' has the 
        meaning given the term in section 4(17) of the School-to-Work 
        Opportunities Act of 1994.

``SEC. 5772. AUTHORIZATION OF APPROPRIATIONS.

    ``(a) Subpart 1.--There are authorized to be appropriated to carry 
out subpart 1, $5,000,000 for fiscal year 2002 and such sums as may be 
necessary for each of the 4 succeeding fiscal years.
    ``(b) Subpart 2.--There are authorized to be appropriated to carry 
out subpart 2, $145,000,000 for fiscal year 2002 and such sums as may 
be necessary for each of the 4 succeeding fiscal years, of which--
            ``(1) $125,000,000 shall be available to carry out section 
        5322; and
            ``(2) $20,000,000 shall be available to carry out section 
        5323.''.

SEC. 515. OFFICE OF DROPOUT PREVENTION AND PROGRAM COMPLETION.

    Title II of the Department of Education Organization Act (20 U.S.C. 
3411) is amended--
            (1) by redesignating section 216 (as added by Public Law 
        103-227) as section 218; and
            (2) by adding at the end the following:

         ``office of dropout prevention and program completion

    ``Sec. 220. (a) Establishment.--There shall be in the Department of 
Education an Office of Dropout Prevention and Program Completion 
(hereafter in this section referred to as the `Office'), to be 
administered by the Director of the Office of Dropout Prevention and 
Program Completion. The Director of the Office shall report directly to 
the Secretary and shall perform such additional functions as the 
Secretary may prescribe.
    ``(b) Duties.--The Director of the Office of Dropout Prevention and 
Program Completion (hereafter in this section referred to as the 
`Director'), through the Office, shall--
            ``(1) help coordinate Federal, State, and local efforts to 
        lower school dropout rates and increase program completion by 
        middle school, secondary school, and college students;
            ``(2) recommend Federal policies, objectives, and 
        priorities to lower school dropout rates and increase program 
        completion;
            ``(3) oversee the implementation of subpart 2 of part C of 
        title V of the Elementary and Secondary Education Act of 1965;
            ``(4) develop and implement the National School Dropout 
        Prevention Strategy under section 5752 of the Elementary and 
        Secondary Education Act of 1965;
            ``(5) annually prepare and submit to Congress and the 
        Secretary a national report describing efforts and recommended 
        actions regarding school dropout prevention and program 
        completion;
            ``(6) recommend action to the Secretary and the President, 
        as appropriate, regarding school dropout prevention and program 
        completion; and
            ``(7) consult with and assist State and local governments 
        regarding school dropout prevention and program completion.
    ``(c) Scope of Duties.--The scope of the Director's duties under 
subsection (b) shall include examination of all Federal and non-Federal 
efforts related to--
            ``(1) promoting program completion for children attending 
        middle school or secondary school;
            ``(2) programs to obtain a secondary school diploma or its 
        recognized equivalent (including general equivalency diploma 
        (GED) programs), or college degree programs; and
            ``(3) reentry programs for individuals aged 12 to 24 who 
        are out of school.
    ``(d) Detailing.--In carrying out the Director's duties under this 
section, the Director may request the head of any Federal department or 
agency to detail personnel who are engaged in school dropout prevention 
activities to another Federal department or agency in order to 
implement the National School Dropout Prevention Strategy.''.

SEC. 516. IMPACT AID AMENDMENTS.

    (a) Payments for Federal Acquisition of Real Property.--Section 
8014(a) (20 U.S.C. 7714(a)) is amended--
            (1) by striking ``$32,000,000 for fiscal year 2000'' and 
        inserting ``$50,000,000 for fiscal year 2002''; and
            (2) by striking ``three'' and inserting ``four''.
    (b) Basic Payments.--Section 8014(b) (20 U.S.C. 7714(b)) is 
amended--
            (1) by striking ``$809,400,000 for fiscal year 2000'' and 
        inserting ``$1,000,000,000 for fiscal year 2002''; and
            (2) by striking ``three'' and inserting ``four''.
    (c) Payments for Children With Disabilities.--Section 8014(c) (20 
U.S.C. 7714(c)) is amended--
            (1) by striking ``$50,000,000 for fiscal year 2000'' and 
        inserting ``$70,000,000 for fiscal year 2002''; and
            (2) by striking ``three'' and inserting ``four''.
    (d) Construction.--Section 8014(e) (20 U.S.C. 7714(e)) is amended--
            (1) by striking ``$10,052,000 for fiscal year 2000'' and 
        inserting ``$35,000,000 for fiscal year 2002''; and
            (2) by striking ``three'' and inserting ``four''.
    (e) Facilities Maintenance.--Section 8014(f) (20 U.S.C. 7714(f)) is 
amended--
            (1) by striking ``$5,000,000 for fiscal year 2000'' and 
        inserting ``$12,000,000 for fiscal year 2002''; and
            (2) by striking ``three'' and inserting ``four''.
    (f) Additional Assistance for Certain Local Educational Agencies 
Impacted by Federal Property Acquisition.--Section 8014(g) (20 U.S.C. 
7714(g)) is amended--
            (1) in the heading, by striking ``Federal Property Local 
        Educational Agencies'' and inserting ``Local Educational 
        Agencies Impacted by Federal Property Acquisition''; and
            (2) by striking ``2000'' and inserting ``2002''.

              TITLE VI--INNOVATIVE EDUCATIONAL STRATEGIES

SEC. 601. INNOVATIVE EDUCATIONAL STRATEGIES.

    (a) Amendment to Heading.--The heading of title VI is amended to 
read as follows:

    ``TITLE VI--INNOVATIVE EDUCATION PROGRAM STRATEGIES AND SCHOOL 
                              CAPACITY''.

    (b) Strategies.--Part A of title VI is amended by adding at the end 
the following:

``SEC. 6103. ANNUAL PERFORMANCE REPORTING.

    ``(a) Annual Report to State Educational Agency.--A local 
educational agency that receive funds under this title shall report 
annually to the State educational agency on--
            ``(1) the specific purposes for which the funds were used;
            ``(2) the measurable impact such funds had on student 
        achievement and enabling children to achieve challenging State 
        academic standards; and
            ``(3) the extent to which the local educational agency met 
        the goals established by the State educational agency for 
        annual progress on improving student academic achievement and 
        student performance.
    ``(b) Annual Report to Public.--A local educational agency 
receiving funds under this title shall annually report to the public 
information on the agency's annual progress in meeting the goals 
established by the State, and the specific purposes for which funds 
under this title were used.
    ``(c) Limitation on Funds.--A local educational agency shall not 
receive funds under this title unless it complies with the requirements 
of this section.''.
    (b) State Applications.--Paragraph (2) of section 6202(a) is 
amended to read as follows:
            ``(2)(A) annually provides the submission of data on the 
        use of funds, the types of services furnished, and the extent 
        that special populations and economically disadvantaged 
        students were served relative to the overall student population 
        for each local educational agency; and
            ``(B) beginning in 2003 provides for a rigorous, 
        independent evaluation of this title's effectiveness in each 
        local educational agency in the State in improving student 
        academic achievement and student performance, consistent with 
        the goals specified in paragraph (8).''.
    (c) Goals.--Section 6202(a) is amended--
            (1) by striking ``and'' at the end of paragraph (6);
            (2) by striking the period at the end of paragraph (7) and 
        inserting ``; and''; and
            (3) by adding at the end the following:
            ``(8) provides an assurance that the State educational 
        agency will establish specific measurable goals for the annual 
        progress of local educational agencies and schools within the 
        State with respect to improving student academic achievement 
        and student performance.''.
    (d) Definitions and Data Elements.--Part D of title VI is amended 
by adding at the end the following:

``SEC. 6404. DEFINITIONS AND DATA ELEMENTS.

    ``The Secretary shall establish, in consultation with the States, 
common definitions and data elements to ensure that data required to be 
provided under this title are comparable across States and the data can 
be used by the Department for compliance with the Government 
Performance and Results Act.''.
    (e) Authorization.--Section 6002 (20 U.S.C. 7302) is amended to 
read as follows:

``SEC. 6002. AUTHORIZATION.

    ``To carry out the purposes of this title, there are authorized to 
be appropriated $450,000,000 for fiscal year 2002 and such sums as may 
be necessary for the 4 succeeding fiscal years.''.

SEC. 602. SCHOOL CONSTRUCTION AND RENOVATION GRANTS.

    Title VI is amended by adding at the end the following:

          ``PART E--SCHOOL CONSTRUCTION AND RENOVATION GRANTS

``SEC. 6501. SCHOOL CONSTRUCTION AND RENOVATION GRANTS.

    ``(a) Grants.--
            ``(1) Allocation of funds.--From the amount provided under 
        section 6502, the Secretary shall reserve--
                    ``(A) 6.25 percent of such amount for grants to 
                impacted local educational agencies (as defined in 
                paragraph (3)) for school repair, renovation, and 
                construction;
                    ``(B) \1/4\ of 1 percent of such amount for grants 
                to outlying areas for school repair and renovation in 
                high-need schools and communities, allocated on such 
                basis, and subject to such terms and conditions, as the 
                Secretary determines appropriate;
                    ``(C) $25,000,000 for grants to public entities, 
                private nonprofit entities, and consortia of such 
                entities, for use in accordance with subpart 2 of part 
                E of title V; and
                    ``(D) the remainder for grants to State educational 
                agencies in proportion to the amount each State 
                received under part A of title I, except that no State 
                shall receive less than 0.5 percent of the amount 
                allocated under this subparagraph.
            ``(2) Determination of grant amount.--
                    ``(A) Determination of weighted student units.--For 
                purposes of computing the grant amounts under paragraph 
                (1)(A), the Secretary shall determine the results 
                obtained by the computation made under section 8003 
                with respect to children described in subsection 
                (a)(1)(C) of such section and computed under subsection 
                (a)(2)(B) of such section for the appropriate fiscal 
                year--
                            ``(i) for each impacted local educational 
                        agency that receives funds under this section; 
                        and
                            ``(ii) for all such agencies together.
                    ``(B) Computation of payment.--The Secretary shall 
                calculate the amount of a grant to an impacted local 
                educational agency by--
                            ``(i) dividing the amount described in 
                        paragraph (1)(A) by the results of the 
                        computation described in subparagraph (A)(ii); 
                        and
                            ``(ii) multiplying the number derived under 
                        clause (i) by the results of the computation 
                        described in subparagraph (A)(i) for such 
                        agency.
            ``(3) Definition.--For purposes of this section, the term 
        `impacted local educational agency' means--
                    ``(A) a local educational agency that receives a 
                basic support payment under section 8003(b) for such 
                fiscal year; and
                    ``(B) with respect to which the number of children 
                determined under section 8003(a)(1)(C) for the 
                preceding school year constitutes at least 50 percent 
                of the total student enrollment in the schools of the 
                agency during such school year.
    ``(b) Within-State Allocations.--
            ``(1) Administrative costs.--
                    ``(A) State educational agency administration.--
                Except as provided in subparagraph (B), each State 
                educational agency may reserve not more than 1 percent 
                of its allocation under subsection (a)(1)(D) for the 
                purpose of administering the distribution of grants 
                under this subsection.
                    ``(B) State entity administration.--If the State 
                educational agency transfers funds to a State entity 
                described in paragraph (2)(A), the agency shall 
                transfer to such entity 0.75 of the amount reserved 
                under this paragraph for the purpose of administering 
                the distribution of grants under this subsection.
            ``(2) Reservation for competitive school construction, 
        repair, and renovation grants to local educational agencies.--
                    ``(A) In general.--Subject to the reservation under 
                paragraph (1), of the funds allocated to a State 
                educational agency under subsection (a)(1)(D), the 
                State educational agency shall distribute no less than 
                99 percent of such funds to local educational agencies 
                or, if such State educational agency is not responsible 
                for the financing of education facilities, the agency 
                shall transfer such funds to the State entity 
responsible for the financing of education facilities (referred to in 
this section as the `State entity') for distribution by such entity to 
local educational agencies in accordance with this paragraph, to be 
used, consistent with subsection (c), for school construction, repair, 
and renovation.
                    ``(B) Competitive grants to local educational 
                agencies.--
                            ``(i) In general.--The State educational 
                        agency or State entity shall carry out a 
                        program of competitive grants to local 
                        educational agencies for the purpose described 
                        in subparagraph (A). Of the total amount 
                        available for distribution to such agencies 
                        under this paragraph, the State educational 
                        agency or State entity, shall, in carrying out 
                        the competition--
                                    ``(I) award to high poverty local 
                                educational agencies described in 
                                clause (ii), in the aggregate, at least 
                                an amount which bears the same 
                                relationship to such total amount as 
                                the aggregate amount such local 
                                educational agencies received under 
                                part A of title I for the current 
                                fiscal year bears to the aggregate 
                                amount received for such fiscal year 
                                under such part by all local 
                                educational agencies in the State;
                                    ``(II) award to rural local 
                                educational agencies in the State, in 
                                the aggregate, at least an amount which 
                                bears the same relationship to such 
                                total amount as the aggregate amount 
                                such rural local educational agencies 
                                received under part A of title I for 
                                the current fiscal year bears to the 
                                aggregate amount received for such 
                                fiscal year under such part by all 
                                local educational agencies in the 
                                State; and
                                    ``(III) award the remaining funds 
                                to local educational agencies not 
                                receiving an award under subclause (I) 
                                or (II), including high poverty and 
                                rural local educational agencies that 
                                did not receive such an award.
                            ``(ii) High poverty local educational 
                        agencies.--A local educational agency is 
                        described in this clause if--
                                    ``(I) the percentage described in 
                                subparagraph (C)(i) with respect to the 
                                agency is 30 percent or greater; or
                                    ``(II) the number of children 
                                described in such subparagraph with 
                                respect to the agency is at least 
                                10,000.
                    ``(C) Criteria for awarding grants.--In awarding 
                competitive grants under this paragraph, a State 
                educational agency or State entity shall--
                            ``(i) take into account--
                                    ``(I) the percentage of poor 
                                children 5 to 17 years of age, 
                                inclusive, in a local educational 
                                agency;
                                    ``(II) the need of a local 
                                educational agency for school 
                                construction, repair, and renovation, 
                                as demonstrated by the condition of its 
                                public school facilities;
                                    ``(III) the fiscal capacity of a 
                                local educational agency to meet its 
                                needs for construction, repair, and 
                                renovation of public school facilities 
                                without assistance under this section, 
                                including its ability to raise funds 
                                through the use of local bonding 
                                capacity and otherwise;
                                    ``(IV) in the case of a local 
                                educational agency that proposes to 
                                fund a construction, repair, or 
                                renovation project for a charter school 
                                or schools, the extent to which the 
                                school or schools have access to 
                                funding for the project through the 
                                financing methods available to other 
                                public schools or local educational 
                                agencies in the State; and
                                    ``(V) the likelihood that the local 
                                educational agency will maintain, in 
                                good condition, any facility whose 
                                construction, repair, or renovation is 
                                assisted under this section; and
                            ``(ii) give priority, consistent with 
                        subparagraph (B)(i), to local educational 
                        agencies which provide an assurance that such 
                        grant will be used to repair or renovate 
                        schools identified as in need of improvement 
                        under section 1116(b).
                    ``(D) Possible matching requirement.--
                            ``(i) In general.--A State educational 
                        agency or State entity may require local 
                        educational agencies to match funds awarded 
                        under this subsection.
                            ``(ii) Match amount.--The amount of a match 
                        described in clause (i) may be established by 
                        using a sliding scale that takes into account 
                        the relative poverty of the population served 
                        by the local educational agency.
    ``(c) Rules Applicable to School Construction, Repair, and 
Renovation.--With respect to funds made available under this section 
that are used for school construction, repair, and renovation, the 
following rules shall apply:
            ``(1) Permissible uses of funds.--School construction, 
        repair, and renovation shall be limited to one or more of the 
        following:
                    ``(A) Emergency repairs or renovations to public 
                school facilities only to ensure the health and safety 
                of students and staff, including--
                            ``(i) repairing, replacing, or installing 
                        roofs, electrical wiring, plumbing systems, or 
                        sewage systems;
                            ``(ii) repairing, replacing, or installing 
                        heating, ventilation, or air conditioning 
                        systems (including insulation); and
                            ``(iii) bringing public schools into 
                        compliance with fire and safety codes.
                    ``(B) School facilities modifications necessary to 
                render public school facilities accessible in order to 
                comply with the Americans with Disabilities Act of 1990 
                (42 U.S.C. 12101 et seq.).
                    ``(C) School facilities modifications necessary to 
                render public school facilities accessible in order to 
                comply with section 504 of the Rehabilitation Act of 
                1973 (29 U.S.C. 794).
                    ``(D) Asbestos abatement or removal from public 
                school facilities.
                    ``(E) Renovation, repair, and acquisition needs 
                related to the building infrastructure of a charter 
                school.
                    ``(F) Construction of new public school facilities.
            ``(2) Impermissible uses of funds.--No funds received under 
        this section may be used for--
                    ``(A) payment of maintenance costs in connection 
                with any projects constructed in whole or part with 
                Federal funds provided under this section; or
                    ``(B) stadiums or other facilities primarily used 
                for athletic contests or exhibitions or other events 
                for which admission is charged to the general public.
            ``(3) Charter schools.--A public charter school that 
        constitutes a local educational agency under State law shall be 
        eligible for assistance under the same terms and conditions as 
        any other local educational agency.
            ``(4) Supplement, not supplant.--Excluding the uses 
        described in subparagraphs (B) and (C) of paragraph (1), a 
        local educational agency shall use Federal funds subject to 
        this subsection only to supplement the amount of funds that 
        would, in the absence of such Federal funds, be made available 
        from non-Federal sources for school repair and renovation.
    ``(d) Special Rule.--Each local educational agency that receives 
funds under this section shall ensure that, if it carries out 
construction, repair, or renovation through a contract, any such 
contract process ensures the maximum number of qualified bidders, 
including small, minority, and women-owned businesses, through full and 
open competition.
    ``(e) Public Comment.--Each local educational agency receiving 
funds under paragraph (2) of subsection (b)--
            ``(1) shall provide parents, educators, and all other 
        interested members of the community the opportunity to consult 
        on the use of funds received under such paragraph;
            ``(2) shall provide the public with adequate and efficient 
        notice of the opportunity described in paragraph (1) in a 
        widely read and distributed medium; and
            ``(3) shall provide the opportunity described in paragraph 
        (1) in accordance with any applicable State and local law 
        specifying how the comments may be received and how the 
        comments may be reviewed by any member of the public.
    ``(f) Reporting.--
            ``(1) Local reporting.--Each local educational agency 
        receiving funds under subsection (a)(1)(D) shall submit a 
        report to the State educational agency, at such time as the 
        State educational agency may require, describing the use of 
        such funds for school construction, repair, and renovation.
            ``(2) State reporting.--Each State educational agency shall 
        submit to the Secretary of Education, not later than December 
        31, 2002, a report on the use of funds received under 
        subsection (a)(1)(D) by local educational agencies for school 
        construction, repair, and renovation.
            ``(3) Additional reports.--Each entity receiving funds 
        allocated under subsection (a)(1) (A) of (B) shall submit to 
        the Secretary, not later than December 31, 2002, a report on 
        its uses of funds under this section, in such form and 
        containing such information as the Secretary may require.
    ``(g) Reallocation.--If a State educational agency does not apply 
for an allocation of funds under subsection (a)(1)(D) for fiscal year 
2001, or does not use its entire allocation for such fiscal year, the 
Secretary may reallocate the amount of the State educational agency's 
allocation (or the remainder thereof, as the case may be) to the 
remaining State educational agencies in accordance with subsection 
(a)(1)(D).
    ``(h) Participation of Private Schools.--
            ``(1) In general.--Section 6402 shall apply to subsection 
        (b)(2) in the same manner as it applies to activities under 
        this part, except that--
                    ``(A) such section shall not apply with respect to 
                the title to any real property renovated or repaired 
                with assistance provided under this section;
                    ``(B) the term `services' as used in section 6402 
                with respect to funds under this section shall be 
                provided only to private, nonprofit elementary or 
                secondary schools with a rate of child poverty of at 
                least 40 percent and may include for purposes of 
                subsection (b)(2) only--
                            ``(i) modifications of school facilities 
                        necessary to meet the standards applicable to 
                        public schools under the Americans with 
                        Disabilities Act of 1990 (42 U.S.C. 12101 et 
                        seq.);
                            ``(ii) modifications of school facilities 
                        necessary to meet the standards applicable to 
                        public schools under section 504 of the 
                        Rehabilitation Act of 1973 (29 U.S.C. 794); and
                            ``(iii) asbestos abatement or removal from 
                        school facilities; and
                    ``(C) notwithstanding the requirements of section 
                6402(b), expenditures for services provided using funds 
                made available under subsection (b)(2) shall be 
                considered equal for purposes of such section if the 
                per-pupil expenditures for services described in 
                subparagraph (B) for students enrolled in private 
                nonprofit elementary and secondary schools that have 
                child poverty rates of at least 40 percent are 
                consistent with the per-pupil expenditures under this 
                section for children enrolled in the public schools in 
                the school district of the local educational agency 
                receiving funds under this section.
            ``(2) Remaining funds.--If the expenditure for services 
        described in paragraph (1)(B) is less than the amount 
        calculated under paragraph (1)(C) because of insufficient need 
        for such services, the remainder shall be available to the 
        local educational agency for renovation and repair of public 
        school facilities.
            ``(3) Application.--If any provision of this section, or 
        the application thereof, to any person or circumstances is 
        judicially determined to be invalid, the provisions of the 
        remainder of the section and the application to other persons 
        or circumstances shall not be affected thereby.
    ``(i) Definitions.--For purposes of this section:
            ``(1) Poor children and child poverty.--The terms `poor 
        children' and `child poverty' refer to children 5 to 17 years 
        of age, inclusive, who 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 (42 U.S.C. 9902(2)) applicable 
        to a family of the size involved for the most recent fiscal 
        year for which data satisfactory to the Secretary are 
        available.
            ``(2) Rural local educational agency.--The term `rural 
        local educational agency' means a local educational agency that 
        the State determines is located in a rural area using objective 
        data and a commonly employed definition of the term `rural'.

``SEC. 6502. AUTHORIZATION OF APPROPRIATIONS.

    ``For the purpose of carrying out this part, there are authorized 
to be appropriated $2,256,000,000 for fiscal year 2002, $3,414,000,000 
for fiscal year 2003, $4,619,000,000 for fiscal year 2004, 
$5,874,000,000 for fiscal year 2005, and $7,179,000,000 for fiscal year 
2006.''.

    TITLE VII--EDUCATION OF LIMITED ENGLISH PROFICIENT CHILDREN AND 
                     EMERGENCY IMMIGRANT EDUCATION

SEC. 701. PROGRAMS AUTHORIZED.

    Title VII (20 U.S.C. 7401 et seq.) is amended to read as follows:

   ``TITLE VII--EDUCATION OF LIMITED ENGLISH PROFICIENT CHILDREN AND 
                     EMERGENCY IMMIGRANT EDUCATION

    ``PART A--INSTRUCTIONAL PROGRAMS FOR LIMITED ENGLISH PROFICIENT 
                                STUDENTS

``SEC. 7101. SHORT TITLE.

    ``This part may be cited as the `Bilingual Instruction and Academic 
Achievement Act'.

``SEC. 7102. FINDINGS AND PURPOSES.

    ``(a) Findings.--The Congress finds that--
            ``(1) since 1979, the number of limited English proficient 
        children attending school in the United States has more than 
        doubled to greater than 4,000,000, and demographic trends 
        indicate the population of limited English proficient children 
        will continue to increase;
            ``(2) limited English proficient children must overcome a 
        number of challenges in receiving an education in order to 
        enable such children to participate fully in American society, 
        including--
                    ``(A) segregated education programs;
                    ``(B) disproportionate and improper placement in 
                special education and other special programs due to the 
                use of inappropriate evaluation procedures;
                    ``(C) the limited English proficiency of their own 
                parents, which hinders the parents' ability to fully 
                participate in the education of their children; and
                    ``(D) a need for additional teachers and other 
                staff who are professionally trained and qualified to 
                serve such children;
            ``(3) States and local educational agencies need assistance 
        in developing the capacity to provide programs of instruction 
        that offer and provide an equal educational opportunity to 
        children who need special assistance because English is not 
        their dominant language;
            ``(4) as the world becomes increasingly interdependent and 
        as international communication becomes a daily occurrence in 
        government, business, commerce, and family life, language 
        skills constitute an important national resource which deserves 
        protection and development;
            ``(5) Native Americans and Native American languages (as 
        such terms are defined in section 103 of the Native American 
        Languages Act), including native residents of the outlying 
        areas, have a unique status under Federal law that requires 
        special policies within the broad purposes of this Act to serve 
        the education needs of language minority students in the United 
        States;
            ``(6) the Federal Government, as exemplified by title VI of 
        the Civil Rights Act of 1964 and section 204(f) of the Equal 
        Education Opportunities Act of 1974, has a special and 
        continuing obligation to ensure that States and local 
        educational agencies take appropriate action to provide equal 
        educational opportunities to children of limited English 
        proficiency; and
            ``(7) research, evaluation, and data collection 
        capabilities in the field of instruction for limited English 
        proficient children need to be strengthened so that educators 
        and other staff teaching limited English proficient children in 
        the classroom can better identify and promote programs, program 
        implementation strategies, and instructional practices that 
        result in the effective education of limited English proficient 
        children.
    ``(b) Purposes.--The purposes of this part are--
            ``(1) to help ensure that children who are limited English 
        proficient are provided appropriate instruction that ensures 
        they can demonstrate English proficiency, develop high levels 
        of academic attainment in English, and meet the same 
        challenging State content standards and challenging State 
        student performance standards expected of all children; and
            ``(2) to develop high quality instructional programs 
        designed to assist local educational agencies in teaching 
        limited English proficient children.

``SEC. 7103. PARENTAL NOTIFICATION AND CONSENT FOR ENGLISH LANGUAGE 
              INSTRUCTION.

    ``(a) Notification.--If a local educational agency receives funds 
under this part, the agency shall inform a parent or the parents of a 
child being assisted under this part of--
            ``(1) the reasons for the identification of the child as 
        being in need of academic and language instruction;
            ``(2) the child's level of English proficiency, how such 
        level was assessed, and the status of the child's academic 
        achievement;
            ``(3) how the instruction program will specifically help 
        the child acquire English and meet age-appropriate standards 
        for grade promotion and graduation;
            ``(4) what the specific exit requirements are for the 
        program;
            ``(5) what programs are available to meet the student's 
        educational strengths and needs and how the programs differ in 
        content and instructional goals, and in the case of a student 
        with a disability, how the program meets the objectives of the 
        student's individualized education program; and
            ``(6) the expected rate of graduation from high school for 
        the program if funds under this part are used for children in 
        secondary schools.
    ``(b) Parental Rights.--A parent or the parents of a child 
participating in an instruction program for limited English proficient 
children assisted under this part shall--
            ``(1) be afforded an opportunity to select among methods of 
        instruction, if more than one method is offered in the program; 
        and
            ``(2) have the right to have their child immediately 
        removed from the program upon their request.
    ``(c) Receipt of Information.--A parent or the parents of a child 
identified for participation in an English language instruction program 
for limited English proficient children assisted under this part shall 
receive, in a manner and form understandable to the parent or parents, 
the information required by this subsection. At a minimum, the parent 
or parents shall receive--
            ``(1) timely information about English language instruction 
        programs for limited English proficient children assisted under 
        this part;
            ``(2) if a parent of a participating child so desires, 
        notice of opportunities for regular meetings for the purpose of 
        formulating and responding to recommendations from such 
        parents; and
            ``(3) procedural information for removing a child from a 
        program for limited English proficient children.
    ``(d) Basis for Admission or Exclusion.--Students shall not be 
admitted to or excluded from any federally assisted education program 
on the basis of a surname or language-minority status.
    ``(e) Civil Rights Protection.--A local educational agency shall 
not be relieved of any of its obligations under title VI of the Civil 
Rights Act of 1964 because parents choose not to enroll their children 
in a specialized instructional program to help their child learn 
English.

``SEC. 7104. AUTHORIZATIONS OF APPROPRIATIONS.

    ``(a) Subpart 1.--For the purpose of carrying out subpart 1 there 
are authorized to be appropriated $500,000,000 for fiscal year 2002 and 
such sums as may be necessary for the 4 succeeding fiscal years.
    ``(b) Subpart 2.--For the purpose of carrying out subpart 2, there 
are authorized to be appropriated $60,000,000 for fiscal year 2002 and 
such sums as may be necessary for the 4 succeeding fiscal years.
    ``(c) Subpart 3.--For the purpose of carrying out subpart 4, there 
are authorized to be appropriated $16,000,000 for fiscal year 2002 and 
such sums as may be necessary for the 4 succeeding fiscal years.

                  ``Subpart 1--Instructional Programs

``SEC. 7111. FINANCIAL ASSISTANCE FOR PROGRAMS FOR LIMITED ENGLISH 
              PROFICIENT CHILDREN.

    ``The purpose of this subpart is to assist local educational 
agencies, institutions of higher education, and community-based 
organizations, through the grants authorized under section 7112, to--
            ``(1) develop and enhance their capacity to provide high-
        quality instruction through language instruction and programs 
        which assist limited English proficient children in achieving 
        the same high levels of academic achievement as other children; 
        and
            ``(2) help such children--
                    ``(A) develop proficiency in English; and
                    ``(B) meet the same challenging State content 
                standards and challenging State student performance 
                standards expected for all children as required by 
                section 1111(b).

``SEC. 7112. FINANCIAL ASSISTANCE FOR INSTRUCTIONAL SERVICES.

    ``(a) Program Authorized.--
            ``(1) In general.--The Secretary is authorized to award 
        grants to eligible entities having applications approved under 
        section 7114 to enable such entities to carry out activities 
        described in subsection (b).
            ``(2) Length of grant.--Each grant under this section shall 
        be awarded for a period of 3 to 5 years, as determined by the 
        Secretary, based on the type of grant for which the eligible 
        entity applies.
    ``(b) Authorized Activities.--Grants awarded under this section 
shall be used to improve the education of limited English proficient 
children and their families, through the acquisition of English and the 
attainment of challenging State academic content standards and 
challenging State performance standards using scientifically-based 
research approaches and methodologies, by--
            ``(1) developing and implementing new language and academic 
        content instructional programs for children who are limited 
        English proficient, including programs of early childhood 
        education and kindergarten through 12th grade education, that 
        are aligned with the State's challenging academic, content, and 
        performance standards;
            ``(2) carrying out highly focused, innovative, locally 
        designed projects to expand or enhance existing English 
        language and academic content instruction programs for limited 
        English proficient children;
            ``(3) implementing, within an individual school, schoolwide 
        programs for restructuring, reforming, and upgrading all 
        relevant programs and operations relating to English language 
        and academic content instruction for limited English proficient 
        students; or
            ``(4) implementing, within the entire jurisdiction of a 
        local educational agency, agency-wide programs for 
        restructuring, reforming, and upgrading all relevant programs 
        and operations relating to language and academic content 
        instruction for limited English proficient students.
    ``(c) Uses of Funds.--Grants under this section may be used--
            ``(1) to upgrade program objectives and effective 
        instructional strategies;
            ``(2) to improve the instruction program for limited 
        English proficient students by identifying, acquiring, and 
        upgrading curricula, instructional materials, educational 
        software, and assessment procedures;
            ``(3) to provide--
                    ``(A) tutorials and academic or vocational 
                education for limited English proficient children; and
                    ``(B) intensified instruction;
            ``(4) to develop and implement comprehensive preschool or 
        elementary or secondary school language instructional programs 
        that are coordinated with other relevant programs and services;
            ``(5) to provide professional development to classroom 
        teachers, administrators, and other school or community-based 
        organizational personnel to improve the instruction and 
        assessment of children who are limited English proficient 
        children;
            ``(6) to improve the English language proficiency and 
        academic performance of limited English proficient children;
            ``(7) to improve the instruction of limited English 
        proficient children by providing for the acquisition or 
        development of education technology or instructional materials, 
        access to and participation in electronic networks for 
        materials, training and communications, and incorporation of 
        such resources in curricula and programs, such as those funded 
        under this subpart;
            ``(8) to develop tutoring programs for limited English 
        proficient children that provide early intervention and 
        intensive instruction in order to improve academic achievement, 
        to increase graduation rates among limited English proficient 
        children, and to increase English proficiency among such 
        children;
            ``(9) to develop accountability systems to monitor the 
        academic progress and English proficiency of limited proficient 
        students and formerly limited English proficient students;
            ``(10) to provide family literacy services and parent 
        outreach and training activities to limited English proficient 
        children and their families to improve their English language 
        skills and assist parents in helping their children to improve 
        their academic performance; and
            ``(11) to undertake other activities that are consistent 
        with the purposes of this subpart.
    ``(d) Special Rule.--A grant recipient, before carrying out a 
program assisted under this section, shall plan, train personnel, 
develop curricula, and acquire or develop materials.
    ``(e) Eligible Entities.--For the purpose of this section, the term 
`eligible entity' means--
            ``(1) one or more local educational agencies; or
            ``(2) one or more local educational agencies in 
        collaboration with an institution of higher education, 
        community-based organization, or local or State educational 
        agency.

``SEC. 7113. NATIVE AMERICAN AND ALASKA NATIVE CHILDREN IN SCHOOL.

    ``(a) Eligible Entities.--For the purpose of carrying out programs 
under this subpart for individuals served by elementary, secondary, and 
postsecondary schools operated predominately for Native American or 
Alaska Native children, an Indian tribe, a tribally sanctioned 
educational authority, a Native Hawaiian or Native American Pacific 
Islander native language education organization, or an elementary or 
secondary school that is operated or funded by the Bureau of Indian 
Affairs shall be considered to be a local educational agency as such 
term is used in this subpart, subject to the following qualifications:
            ``(1) Indian tribe.--The term `Indian tribe' means any 
        Indian tribe, band, nation, or other organized group or 
        community, including any Alaska Native village or regional or 
        village corporation as defined in or established pursuant to 
        the Alaska Native Claims Settlement Act (43 U.S.C. 1601 et 
        seq.), that is recognized for the special programs and services 
        provided by the United States to Indians because of their 
        status as Indians.
            ``(2) Tribally sanctioned educational authority.--The term 
        `tribally sanctioned educational authority' means--
                    ``(A) any department or division of education 
                operating within the administrative structure of the 
                duly constituted governing body of an Indian tribe; and
                    ``(B) any nonprofit institution or organization 
                that is--
                            ``(i) chartered by the governing body of an 
                        Indian tribe to operate any such school or 
                        otherwise to oversee the delivery of 
                        educational services to members of that tribe; 
                        and
                            ``(ii) approved by the Secretary for the 
                        purpose of this section.
    ``(b) Eligible Entity Application.--Notwithstanding any other 
provision of this subpart, each eligible entity described in subsection 
(a) shall submit any application for assistance under this subpart 
directly to the Secretary along with timely comments on the need for 
the proposed program.

``SEC. 7114. APPLICATIONS.

    ``(a) In General.--
            ``(1) Secretary.--To receive a grant under this subpart, an 
        eligible entity shall submit an application to the Secretary at 
        such time, in such form, and containing such information as the 
        Secretary may require.
            ``(2) State educational agency.--An eligible entity, with 
        the exception of schools funded by the Bureau of Indian 
        Affairs, shall submit a copy of its application under this 
        section to the State educational agency.
    ``(b) Required Documentation.--Such application shall include 
documentation that the applicant has the qualified personnel required 
to develop, administer, and implement the proposed program.
    ``(c) Contents.--
            ``(1) In general.--An application for a grant under this 
        subpart shall contain the following:
                    ``(A) A description of the need for the proposed 
                program, and a comprehensive description of the 
                characteristics relevant to the children being served.
                    ``(B) An assurance that, if the applicant includes 
                one or more local educational agencies, each such 
                agency is complying with section 7103(b) prior to, and 
                throughout, each school year.
                    ``(C) A description of the program to be 
                implemented and how such program's design--
                            ``(i) relates to the English language and 
                        academic needs of the children of limited 
                        English proficiency to be served;
                            ``(ii) is coordinated with other programs 
                        under this Act and other Acts, as appropriate, 
                        in accordance with section 10206;
                            ``(iii) involves the parents of the 
                        children of limited English proficiency to be 
                        served;
                            ``(iv) ensures accountability in achieving 
                        high academic standards; and
                            ``(v) promotes coordination of services for 
                        the children of limited English proficiency to 
                        be served and their families.
                    ``(D) A description, if appropriate, of the 
                applicant's collaborative activities with institutions 
                of higher education, community-based organizations, 
                local or State educational agencies, private schools, 
                nonprofit organizations, or businesses in carrying out 
                the proposed program.
                    ``(E) An assurance that the applicant will not 
                reduce the level of State and local funds that the 
                applicant expends for programs for limited English 
                proficient children if the applicant receives an award 
                under this subpart.
                    ``(F) An assurance that the applicant will employ 
                teachers in the proposed program who are proficient in 
                English, including written and oral communication 
                skills, and another language, if appropriate.
                    ``(G) A budget for grant funds.
                    ``(H) A description of how the applicant annually 
                will assess the English proficiency of all children 
                with limited English proficiency participating in 
                programs funded under this subpart.
                    ``(I) Data on the number of limited English 
                proficient students that will be served.
                    ``(J) The characteristics of the students to be 
                served, including--
                            ``(i) the proficiency of such students in 
                        English; and
                            ``(ii) achievement data, in the aggregate, 
                        of such students in core academic subjects.
            ``(2) Additional information.--Each applicant for a grant 
        under section 7112 who intends to use the grant for a purpose 
        described in paragraph (3) or (4) of subsection (b) of such 
        section--
                    ``(A) shall describe--
                            ``(i) how services provided under this 
                        subpart are supplementary to existing services;
                            ``(ii) how funds received under this 
                        subpart will be integrated, as appropriate, 
                        with all other Federal, State, local, and 
                        private resources that may be used to serve 
                        children of limited English proficiency;
                            ``(iii) specific achievement and school 
                        retention goals for the children to be served 
                        by the proposed program and how progress toward 
                        achieving such goals will be measured; and
                            ``(iv) current family literacy programs if 
                        applicable; and
                    ``(B) shall provide assurances that the program 
                funded will be integrated with the overall educational 
                program.
    ``(d) Approval of Applications.--An application for a grant under 
this subpart may be approved only if the Secretary determines that--
            ``(1) the program will use qualified personnel, including 
        personnel who are proficient in English and other languages 
        used in instruction, if appropriate;
            ``(2) in designing the program for which application is 
        made, the needs of children in nonprofit private elementary and 
        secondary schools have been taken into account through 
        consultation with appropriate private school officials and, 
        consistent with the number of such children enrolled in such 
        schools in the area to be served whose educational needs are of 
        the type and whose language and grade levels are of a similar 
        type to those which the program is intended to address, after 
        consultation with appropriate private school officials, 
        provision has been made for the participation of such children 
        on a basis comparable to that provided for public school 
        children;
            ``(3) student evaluation and assessment procedures in the 
        program are valid, reliable, and fair for limited English 
        proficient students, and that limited English proficient 
        students who are disabled are identified and served in 
        accordance with the requirements of the Individuals with 
        Disabilities Education Act;
            ``(4) Federal funds made available for the project or 
        activity will be used so as to supplement the level of State 
        and local funds that, in the absence of such Federal funds, 
        would have been expended for special programs for limited 
        English proficient children and in no case to supplant such 
        State and local funds, except that nothing in this paragraph 
        shall be construed to preclude a local educational agency from 
        using funds under this title for activities carried out under 
        an order of a court of the United States or of any State 
        respecting services to be provided such children, or to carry 
        out a plan approved by the Secretary as adequate under title VI 
        of the Civil Rights Act of 1964 with respect to services to be 
        provided such children; and
            ``(5) the assistance provided under the application will 
        contribute toward building the capacity of the applicant to 
        provide a program on a regular basis, similar to that proposed 
        for assistance, which will be of sufficient size, scope, and 
        quality to promise significant improvement in the education of 
        students of limited English proficiency, and that the applicant 
        will have the resources and commitment to continue the program 
        when assistance under this subpart is reduced or no longer 
        available.
    ``(e) Consideration.--In approving applications under this subpart, 
the Secretary shall give consideration to the degree to which the 
program for which assistance is sought involves the collaborative 
efforts of institutions of higher education, community-based 
organizations, the appropriate local and State educational agency, or 
businesses.

``SEC. 7115. INTENSIFIED INSTRUCTION.

    ``In carrying out this subpart, each grant recipient may intensify 
instruction for limited English proficient students by--
            ``(1) expanding the educational calendar of the school in 
        which such student is enrolled to include programs before and 
        after school and during the summer months;
            ``(2) applying technology to the course of instruction; and
            ``(3) providing intensified instruction through 
        supplementary instruction or activities, including 
        educationally enriching extracurricular activities, during 
        times when school is not routinely in session.

``SEC. 7116. CAPACITY BUILDING.

    ``Each recipient of a grant under this subpart shall use the grant 
in ways that will build such recipient's capacity to continue to offer 
high-quality language instruction and programs which assist limited 
English proficient children in achieving the same high levels of 
academic achievement as other children, once Federal assistance is 
reduced or eliminated.

``SEC. 7117. SUBGRANTS.

    ``A local educational agency that receives a grant under this 
subpart may, with the approval of the Secretary, make a subgrant to, or 
enter into a contract with, an institution of higher education, a 
nonprofit organization, or a consortium of such entities to carry out 
an approved program, including a program to serve out-of-school youth.

``SEC. 7118. SPECIAL CONSIDERATION.

    ``The Secretary shall give special consideration to applications 
under this subpart that describe a program that--
            ``(1) enrolls a large percentage or large number of limited 
        English proficient students;
            ``(2) takes into account significant increases in limited 
        English proficient children, including such children in areas 
        with low concentrations of such children; and
            ``(3) ensures that activities assisted under this subpart 
        address the needs of school systems of all sizes and geographic 
        areas, including rural and urban schools.

``SEC. 7119. COORDINATION WITH OTHER PROGRAMS.

    ``In order to secure the most flexible and efficient use of Federal 
funds, any State receiving funds under this subpart shall coordinate 
its program with other programs under this Act and other Acts, as 
appropriate, in accordance with section 10206.

``SEC. 7120. NOTIFICATION.

    ``The State educational agency, and when applicable, the State 
board for postsecondary education, shall be notified within three 
working days of the date an award under this subpart is made to an 
eligible entity within the State.

``SEC. 7121. STATE GRANT PROGRAM.

    ``(a) State Grant Program.--The Secretary is authorized to make an 
award to a State educational agency that demonstrates, to the 
satisfaction of the Secretary, that such agency, through such agency's 
own programs and other Federal education programs, effectively provides 
for the education of children of limited English proficiency within the 
State.
    ``(b) Payments.--The amount paid to a State educational agency 
under subsection (a) shall not exceed 5 percent of the total amount 
awarded to local educational agencies within the State under subpart 1 
for the previous fiscal year, except that in no case shall the amount 
paid by the Secretary to any State educational agency under this 
subsection for any fiscal year be less than $100,000.
    ``(c) Use of Funds.--
            ``(1) In general.--A State educational agency shall use 
        funds awarded under this section for programs authorized by 
        this section--
                    ``(A) to assist local educational agencies in the 
                State with program design, capacity building, 
                assessment of student performance, and program 
                evaluation; and
                    ``(B) to collect data on the State's limited 
                English proficient populations and the educational 
                programs and services available to such populations.
            ``(2) Training.--The State educational agency may also use 
        funds provided under this section for the training of State 
        educational agency personnel in educational issues affecting 
        limited English proficient children.
            ``(3) Special rule.--Recipients of funds under this section 
        shall not restrict the provision of services under this section 
        to federally funded programs.
    ``(d) Applications.--A State educational agency desiring to receive 
funds under this section shall submit an application to the Secretary 
in such form, at such time, and containing such information and 
assurances as the Secretary may require.
    ``(e) Supplement Not Supplant.--Funds made available under this 
section for any fiscal year shall be used by the State educational 
agency to supplement and, to the extent practical, to increase to the 
level of funds that would, in the absence of such funds, be made 
available by the State for the purposes described in this section, and 
in no case to supplant such funds.
    ``(f) Report to the Secretary.--State educational agencies 
receiving awards under this section shall provide for the annual 
submission of a summary report to the Secretary describing such State's 
use of such funds.

                 ``Subpart 2--Professional Development

``SEC. 7131. PURPOSE.

    ``The purpose of this subpart is to assist in preparing educators 
to improve educational services for limited English proficient children 
by supporting professional development programs primarily aimed at 
improving and developing the skills of instructional staff in 
elementary and secondary schools and on assisting limited English 
proficient children to attain English proficiency and meet challenging 
State academic content standards and challenging State performance 
standards.

``SEC. 7132. PROFESSIONAL DEVELOPMENT AND FELLOWSHIPS.

    ``(a) Program Authorized.--
            ``(1) In general.--The Secretary is authorized to award 
        grants, as appropriate, to local educational agencies, 
        institutions of higher education, State educational agencies, 
        public and private organizations in consortium with a local 
        educational agency, or a consortium of such agencies or 
        institutions, except that any such consortium shall include a 
        local educational agency.
            ``(2) Grant purpose.--Grants awarded under this section 
        shall be used for one or more of the following purposes:
                    ``(A) To develop and provide ongoing in-service 
                professional development, including professional 
                development necessary to receive certification as a 
                teacher of limited English proficient children, for 
                teachers of limited English proficient children, school 
                administrators and, if appropriate, pupil services 
                personnel, and other educational personnel who are 
                involved in, or preparing to be involved in, the 
                provision of educational services to limited English 
                proficient children.
                    ``(B) To provide for the incorporation of courses 
                and curricula on appropriate and effective 
                instructional and assessment methodologies, strategies, 
                and resources specific to limited English proficient 
                students into in-service professional development 
                programs for teachers, administrators and, if 
                appropriate, pupil services personnel, and other 
                educational personnel in order to prepare such 
                individuals to provide effective services to limited 
                English proficient students.
                    ``(C) To upgrade the qualifications and skills of 
                teachers to ensure that they are fully qualified (as 
                defined by section 1610) and meet high professional 
                standards, including certification and licensure as a 
                teacher of limited English proficient students.
                    ``(D) To upgrade the qualifications and skills of 
                paraprofessionals to ensure they meet the requirements 
                under section 1119 and meet high professional standards 
                to assist, as appropriate, teachers who instruct 
                limited English proficient students.
                    ``(E) To train secondary school students as 
                teachers of limited English proficient children and to 
                train, as appropriate, other education personnel to 
                serve limited English proficient students.
                    ``(F) To award fellowships for--
                            ``(i) study in such areas as teacher 
                        training, program administration, research and 
                        evaluation, and curriculum development, at the 
                        master's, doctoral, or post-doctoral degree 
                        level, related to instruction of children and 
                        youth of limited English proficiency; and
                            ``(ii) the support of dissertation research 
                        related to such study.
                    ``(G) To recruit elementary and secondary school 
                teachers of limited English proficient children.
    ``(b) Duration and Limitation.--
            ``(1) Grant period.--Each grant under this section shall be 
        awarded for a period of not more than 5 years.
            ``(2) Limitation.--Not more than 15 percent of the amount 
        of the grant may be expended for the purposes described in 
subparagraphs (F) and (G) of subsection (a)(2).
    ``(c) Professional Development Requirements.--
            ``(1) Activities.--A recipient of a grant under this 
        section may use the grant funds for the following professional 
        development activities:
                    ``(A) Designing and implementing of induction 
                programs for new teachers, including mentoring and 
                coaching by trained teachers, team teaching with 
                experienced teachers, compensation for, and 
                availability of, time for observation of, and 
                consultation with, experienced teachers, and 
                compensation for, and availability of, additional time 
                for course preparation.
                    ``(B) Implementing collaborative efforts among 
                teachers to improve instruction in reading and other 
                core academic areas for students with limited English 
                proficiency, including programs that facilitate teacher 
                observation and analysis of fellow teachers' classroom 
                practice.
                    ``(C) Supporting long-term collaboration among 
                teachers and outside experts to improve instruction of 
                limited English proficient students.
                    ``(D) Coordinating project activities with other 
                programs, such as those under the Head Start Act, and 
                titles I and II of this Act, and titles II and V of the 
                Higher Education Act of 1965.
                    ``(E) Developing curricular materials and 
                assessments for teachers that are aligned with State 
                and local standards and the needs of the limited 
                English proficient students to be served.
                    ``(F) Instructing teachers and, where appropriate, 
                other personnel working with limited English children 
                on how--
                            ``(i) to utilize test results to improve 
                        instruction for limited English proficient 
                        children so the children can meet the same 
                        challenging State content standards and 
                        challenging State performance standards as 
                        other students; and
                            ``(ii) to help parents understand the 
                        results of such assessments.
                    ``(G) Contracting with institutions of higher 
                education to allow them to provide in-service training 
                to teachers, and, where appropriate, other personnel 
                working with limited English proficient children to 
                improve the quality of professional development 
                programs for limited English proficient students.
                    ``(H) Such other activities as are consistent with 
                the purpose of this section.
            ``(2) Additional requirements for professional development 
        funds.--Uses of funds received under this section for 
        professional development--
                    ``(A) shall advance teacher understanding of 
                effective instructional strategies based on 
                scientifically based research for improving student 
                achievement;
                    ``(B) shall be of sufficient intensity and duration 
                (not to include 1-day or short-term workshops and 
                conferences) to have a positive and lasting impact on 
                teachers' performance in the classroom;
                    ``(C) shall be developed with extensive 
                participation of teachers, principals, parents, and 
                administrators of schools to be served under subparts 1 
                and 2 of part A; and
                    ``(D) as a whole, shall be regularly evaluated for 
                their impact on increased teacher effectiveness and 
                improved student achievement, with the findings of such 
                evaluations used to improve the quality of professional 
                development.
    ``(d) Fellowship Requirements.--
            ``(1) In general.--Any person receiving a fellowship under 
        subsection (a)(2)(F) shall agree--
                    ``(A) to work as a teacher of limited English 
                proficient children, or in a program or an activity 
                funded under this part, for a period of time equivalent 
                to the period of time during which the person receives 
                such fellowship; or
                    ``(B) to repay the amount received pursuant to the 
                fellowship award.
            ``(2) Regulations.--The Secretary shall establish in 
        regulations such terms and conditions for agreements under 
        paragraph (1) as the Secretary deems reasonable and necessary 
        and may waive the requirement of such paragraph in 
        extraordinary circumstances.
            ``(3) Priority.--In awarding fellowships under this 
        section, the Secretary shall give priority to fellowship 
        applicants applying for study or dissertation research at 
        institutions of higher education that have demonstrated a high 
        level of success in placing fellowship recipients into 
        employment in elementary and secondary schools.
            ``(4) Information.--The Secretary shall include information 
        on the operation and the number of fellowships awarded under 
        this section in the evaluation required under section 7303.

``SEC. 7133. APPLICATION.

    ``(a) In General.--
            ``(1) Submission to secretary.--In order to receive a grant 
        under section 7132, an agency, institution, organization, or 
        consortium described in subsection (a)(1) of such section shall 
        submit an application to the Secretary at such time, in such 
        form, and containing such information as the Secretary may 
        require.
            ``(2) Contents.--Each such application shall include--
                    ``(A) a description of the proposed professional 
                development or graduate fellowship programs to be 
                implemented with the grant;
                    ``(B) a description of the scientific research on 
                which the program or programs are based; and
                    ``(C) an assurance that funds will be used to 
                supplement and not supplant other professional 
                development activities that affect the teaching and 
learning in elementary and secondary schools, as appropriate.
    ``(b) Approval.--The Secretary shall only approve an application 
under this section if it meets the requirements of this section and is 
of sufficient quality to meet the purposes of this subpart.
    ``(c) Special Rules.--
            ``(1) Outreach and technical assistance.--The Secretary 
        shall provide for outreach and technical assistance to 
        institutions of higher education eligible for assistance under 
        titles III and V of the Higher Education Act of 1965 and 
        institutions of higher education that are operated or funded by 
        the Bureau of Indian Affairs to facilitate the participation of 
        such institutions under this subpart.
            ``(2) Distribution.--In making awards under this subpart, 
        the Secretary shall ensure adequate representation of Hispanic-
        serving institutions (as defined in section 502 of the Higher 
        Education Act of 1965) that demonstrate competence and 
        experience in the programs and activities authorized under this 
        subpart and are otherwise qualified.

``SEC. 7134. PROGRAM EVALUATIONS.

    ``Each recipient of funds under this subpart shall provide the 
Secretary with an evaluation of the program assisted under this subpart 
every 2 years. Such evaluation shall include data on--
            ``(1) post-program placement of persons trained in a 
        program assisted under this subpart;
            ``(2) how such training relates to the employment of 
        persons served by the program;
            ``(3) program completion; and
            ``(4) such other information as the Secretary may require.

``SEC. 7135. USE OF FUNDS FOR SECOND LANGUAGE COMPETENCE.

    ``Funds received under this subpart may be used to develop any 
program participant's competence in a second language for use in 
instructional programs.

          ``Subpart 3--Research, Evaluation, and Dissemination

``SEC. 7141. AUTHORITY.

    ``The Secretary shall conduct and coordinate, through the Office of 
Educational Research and Improvement and in coordination with the 
Office of Educational Services for Limited English Proficient Children, 
research for the purpose of improving language and academic content 
instruction for children who are limited English proficient. Activities 
under this section shall be limited to research to identify successful 
models for teaching limited English proficient children English, 
research to identify successful models for assisting such children to 
meet challenging State content and student performance standards, and 
distribution of research results to States for dissemination to schools 
with populations of students who are limited English proficient. 
Research conducted under this section may not focus solely on any one 
method of instruction.

``SEC. 7142. NATIONAL CLEARINGHOUSE FOR BILINGUAL EDUCATION.

    ``(a) Establishment.--The Secretary shall establish and support the 
operation of a National Clearinghouse for Bilingual Education, which 
shall collect, analyze, synthesize, and disseminate information about 
bilingual education and related programs.
    ``(b) Functions.--The National Clearinghouse for Bilingual 
Education shall--
            ``(1) be administered as an adjunct clearinghouse of the 
        Educational Resources Information Center Clearinghouses system 
        of clearinghouses supported by the Office of Educational 
        Research and Improvement;
            ``(2) coordinate its activities with Federal data and 
        information clearinghouses and dissemination networks and 
        systems;
            ``(3) develop a database management and monitoring system 
        for improving the operation and effectiveness of federally 
        funded bilingual education programs; and
            ``(4) develop, maintain, and disseminate a listing by 
        geographical area of education professionals, parents, 
        teachers, administrators, community members, and others who are 
        native speakers of languages other than English for use as a 
        resource by local educational agencies and schools in the 
        development and implementation of bilingual education programs.

            ``PART B--EMERGENCY IMMIGRANT EDUCATION PROGRAM

``SEC. 7201. FINDINGS AND PURPOSE.

    ``(a) Findings.--The Congress finds that--
            ``(1) the education of our Nation's children and youth is 
        one of the most sacred government responsibilities;
            ``(2) local educational agencies have struggled to fund 
        adequately education services; and
            ``(3) immigration policy is solely a responsibility of the 
        Federal Government.
    ``(b) Purpose.--The purpose of this part is to assist eligible 
local educational agencies that experience unexpectedly large increases 
in their student population due to immigration--
            ``(1) to provide high-quality instruction to immigrant 
        children and youth; and
            ``(2) to help such children and youth--
                    ``(A) with their transition into American society; 
                and
                    ``(B) meet the same challenging State performance 
                standards expected of all children and youth.

``SEC. 7202. STATE ADMINISTRATIVE COSTS.

    ``For any fiscal year, a State educational agency may reserve not 
more than 1.5 percent of the amount allocated to such agency under 
section 7204 to pay the costs of performing such agency's 
administrative functions under this part.

``SEC. 7203. WITHHOLDING.

    ``Whenever the Secretary, after providing reasonable notice and 
opportunity for a hearing to any State educational agency, finds that 
there is a failure to meet the requirement of any provision of this 
part, the Secretary shall notify that agency that further payments will 
not be made to the agency under this part, or in the discretion of the 
Secretary, that the State educational agency shall not make further 
payments under this part to specified local educational agencies whose 
actions cause or are involved in such failure until the Secretary is 
satisfied that there is no longer any such failure to comply. Until the 
Secretary is so satisfied, no further payments shall be made to the 
State educational agency under this part, or payments by the State 
educational agency under this part shall be limited to local 
educational agencies whose actions did not cause or were not involved 
in the failure, as the case may be.

``SEC. 7204. STATE ALLOCATIONS.

    ``(a) Payments.--The Secretary shall, in accordance with the 
provisions of this section, make payments to State educational agencies 
for each of the fiscal years 2002 through 2006 for the purpose set 
forth in section 7201(b).
    ``(b) Allocations.--
            ``(1) In general.--Except as provided in subsections (c) 
        and (d), of the amount appropriated for each fiscal year for 
        this part, each State participating in the program assisted 
        under this part shall receive an allocation equal to the 
        proportion of such State's number of immigrant children and 
        youth who are enrolled in public elementary or secondary 
        schools under the jurisdiction of each local educational agency 
        described in paragraph (2) within such State, and in nonpublic 
        elementary or secondary schools within the district served by 
        each such local educational agency, relative to the total 
        number of immigrant children and youth so enrolled in all the 
        States participating in the program assisted under this part.
            ``(2) Eligible local educational agencies.--The local 
        educational agencies referred to in paragraph (1) are those 
        local educational agencies in which the sum of the number of 
        immigrant children and youth who are enrolled in public 
        elementary or secondary schools under the jurisdiction of such 
        agencies, and in nonpublic elementary or secondary schools 
        within the districts served by such agencies, during the fiscal 
        year for which the payments are to be made under this part, is 
        equal to--
                    ``(A) at least 500; or
                    ``(B) at least 3 percent of the total number of 
                students enrolled in such public or nonpublic schools 
                during such fiscal year,
        whichever number is less.
    ``(c) Determinations of Number of Children and Youth.--
            ``(1) In general.--Determinations by the Secretary under 
        this section for any period with respect to the number of 
        immigrant children and youth shall be made on the basis of data 
        or estimates provided to the Secretary by each State 
        educational agency in accordance with criteria established by 
        the Secretary, unless the Secretary determines, after notice 
        and opportunity for a hearing to the affected State educational 
        agency, that such data or estimates are clearly erroneous.
            ``(2) Special rule.--No such determination with respect to 
        the number of immigrant children and youth shall operate 
        because of an underestimate or overestimate to deprive any 
        State educational agency of the allocation under this section 
        that such State would otherwise have received had such 
        determination been made on the basis of accurate data.
    ``(d) Reallocation.--Whenever the Secretary determines that any 
amount of a payment made to a State under this part for a fiscal year 
will not be used by such State for carrying out the purpose for which 
the payment was made, the Secretary shall make such amount available 
for carrying out such purpose to one or more other States to the extent 
the Secretary determines that such other States will be able to use 
such additional amount for carrying out such purpose. Any amount made 
available to a State from any appropriation for a fiscal year in 
accordance with the preceding sentence shall, for purposes of this 
part, be regarded as part of such State's payment (as determined under 
subsection (b)) for such year, but shall remain available until the end 
of the succeeding fiscal year.
    ``(e) Reservation of Funds.--
            ``(1) In general.--Notwithstanding any other provision of 
        this part, if the amount appropriated to carry out this part 
        exceeds $50,000,000 for a fiscal year, a State educational 
        agency may reserve not more than 20 percent of such agency's 
        payment under this part for such year to award grants, on a 
        competitive basis, to local educational agencies within the 
        State as follows:
                    ``(A) At least one-half of such grants shall be 
                made available to eligible local educational agencies 
                (as described in subsection (b)(2)) within the State 
                with the highest numbers and percentages of immigrant 
                children and youth.
                    ``(B) Funds reserved under this paragraph and not 
                made available under subparagraph (A) may be 
                distributed to local educational agencies within the 
                State experiencing a sudden influx of immigrant 
                children and youth which are otherwise not eligible for 
                assistance under this part.
            ``(2) Use of grant funds.--Each local educational agency 
        receiving a grant under paragraph (1) shall use such grant 
        funds to carry out the activities described in section 7207.
            ``(3) Information.--Local educational agencies with the 
        highest number of immigrant children and youth receiving funds 
        under paragraph (1) may make information available on serving 
        immigrant children and youth to local educational agencies in 
        the State with sparse numbers of such children.

``SEC. 7205. STATE APPLICATIONS.

    ``(a) Submission.--No State educational agency shall receive any 
payment under this part for any fiscal year unless such agency submits 
an application to the Secretary at such time, in such manner, and 
containing or accompanied by such information, as the Secretary may 
reasonably require. Each such application shall--
            ``(1) provide that the educational programs, services, and 
        activities for which payments under this part are made will be 
        administered by or under the supervision of the agency;
            ``(2) provide assurances that payments under this part will 
        be used for purposes set forth in sections 7201(b) and 7207, 
        including a description of how local educational agencies 
        receiving funds under this part will use such funds to meet 
such purposes and will coordinate with other programs assisted under 
this Act and other Acts as appropriate;
            ``(3) provide an assurance that local educational agencies 
        receiving funds under this part will coordinate the use of such 
        funds with programs assisted under part A or title I;
            ``(4) provide assurances that such payments, with the 
        exception of payments reserved under section 7204(e), will be 
        distributed among local educational agencies within that State 
        on the basis of the number of immigrant children and youth 
        counted with respect to each such local educational agency 
        under section 7204(b)(1);
            ``(5) provide assurances that the State educational agency 
        will not finally disapprove in whole or in part any application 
        for funds received under this part without first affording the 
        local educational agency submitting an application for such 
        funds reasonable notice and opportunity for a hearing;
            ``(6) provide for making such reports as the Secretary may 
        reasonably require to perform the Secretary's functions under 
        this part;
            ``(7) provide assurances--
                    ``(A) that to the extent consistent with the number 
                of immigrant children and youth enrolled in the 
                nonpublic elementary or secondary schools within the 
                district served by a local educational agency, such 
                agency, after consultation with appropriate officials 
                of such schools, shall provide for the benefit of such 
                children and youth secular, neutral, and nonideological 
                services, materials, and equipment necessary for the 
                education of such children and youth;
                    ``(B) that the control of funds provided under this 
                part to any materials, equipment, and property 
                repaired, remodeled, or constructed with those funds 
                shall be in a public agency for the uses and purposes 
                provided in this part, and a public agency shall 
                administer such funds and property; and
                    ``(C) that the provision of services pursuant to 
                this paragraph shall be provided by employees of a 
                public agency or through contract by such public agency 
                with a person, association, agency, or corporation who 
                or which, in the provision of such services, is 
                independent of such nonpublic elementary or secondary 
                school and of any religious organization, and such 
                employment or contract shall be under the control and 
                supervision of such public agency, and the funds 
                provided under this paragraph shall not be commingled 
                with State or local funds;
            ``(8) provide that funds reserved under section 7204(e) be 
        awarded on a competitive basis based on merit and need in 
        accordance with such subsection; and
            ``(9) provide an assurance that State and local educational 
        agencies receiving funds under this part will comply with the 
        requirements of section 1120(b).
    ``(b) Application Review.--
            ``(1) In general.--The Secretary shall review all 
        applications submitted pursuant to this section by State 
        educational agencies.
            ``(2) Approval.--The Secretary shall approve any 
        application submitted by a State educational agency that meets 
        the requirements of this section.
            ``(3) Disapproval.--The Secretary shall disapprove any 
        application submitted by a State educational agency which does 
        not meet the requirements of this section, but shall not 
        finally disapprove an application except after providing 
        reasonable notice, technical assistance, and an opportunity for 
        a hearing to the State.

``SEC. 7206. ADMINISTRATIVE PROVISIONS.

    ``(a) Notification of Amount.--The Secretary, not later than June 1 
of each year, shall notify each State educational agency that has an 
application approved under section 7205 of the amount of such agency's 
allocation under section 7204 for the succeeding year.
    ``(b) Services to Children Enrolled in Nonpublic Schools.--If by 
reason of any provision of law a local educational agency is prohibited 
from providing educational services for children enrolled in elementary 
and secondary nonpublic schools, as required by section 7205(a)(7), or 
if the Secretary determines that a local educational agency has 
substantially failed or is unwilling to provide for the participation 
on an equitable basis of children enrolled in such schools, the 
Secretary may waive such requirement and shall arrange for the 
provision of services, subject to the requirements of this part, to 
such children. Such waivers shall be subject to consultation, 
withholding, notice, and judicial review requirements in accordance 
with the provisions of title I.

``SEC. 7207. USES OF FUNDS.

    ``(a) Use of Funds.--Funds awarded under this part shall be used to 
pay for enhanced instructional opportunities for immigrant children and 
youth, which may include--
            ``(1) family literacy, parent outreach, and training 
        activities designed to assist parents to become active 
        participants in the education of their children;
            ``(2) salaries of personnel, including teacher aides who 
        have been specifically trained, or are being trained, to 
        provide services to immigrant children and youth;
            ``(3) tutorials, mentoring, and academic or career 
        counseling for immigrant children and youth;
            ``(4) identification and acquisition of curricular 
        materials, educational software, and technologies to be used in 
        the program;
            ``(5) basic instructional services which are directly 
        attributable to the presence in the school district of 
        immigrant children, including the costs of providing additional 
        classroom supplies, overhead costs, costs of construction, 
        acquisition or rental of space, costs of transportation, or 
        such other costs as are directly attributable to such 
        additional basic instructional services; and
            ``(6) such other activities, related to the purposes of 
        this part, as the Secretary may authorize.
    ``(b) Consortia.--A local educational agency that receives a grant 
under this part may collaborate or form a consortium with one or more 
local educational agencies, institutions of higher education, and 
nonprofit organizations to carry out the program described in an 
application approved under this part.
    ``(c) Subgrants.--A local educational agency that receives a grant 
under this part may, with the approval of the Secretary, make a 
subgrant to, or enter into a contract with, an institution of higher 
education, a nonprofit organization, or a consortium of such entities 
to carry out a program described in an application approved under this 
part, including a program to serve out-of-school youth.
    ``(d) Construction.--Nothing in this part shall be construed to 
prohibit a local educational agency from serving immigrant children 
simultaneously with students with similar educational needs, in the 
same educational settings where appropriate.

``SEC. 7208. REPORTS.

    ``(a) Biennial Report.--Each State educational agency receiving 
funds under this part shall submit, once every 2 years, a report to the 
Secretary concerning the expenditure of funds by local educational 
agencies under this part. Each local educational agency receiving funds 
under this part shall submit to the State educational agency such 
information as may be necessary for such report.
    ``(b) Report to Congress.--The Secretary shall submit, once every 2 
years, a report to the appropriate committees of the Congress 
concerning programs assisted under this part in accordance with section 
10501.

``SEC. 7209. AUTHORIZATION OF APPROPRIATIONS.

    ``For the purpose of carrying out this part, there are authorized 
to be appropriated $200,000,000 for fiscal year 2002 and such sums as 
may be necessary for each of the 4 succeeding fiscal years.

                      ``PART C--GENERAL PROVISIONS

``SEC. 7301. DEFINITIONS.

    ``For purposes of this title:
            ``(1) Children and youth.--The term `children and youth' 
        means individuals aged 3 through 21.
            ``(2) Community-based organization.--The term `community-
        based organization' means a private nonprofit organization of 
        demonstrated effectiveness or Indian tribe or tribally 
        sanctioned educational authority which is representative of a 
        community or significant segments of a community and which 
        provides educational or related services to individuals in the 
        community. Such term includes a Native Hawaiian or Native 
        American Pacific Islander native language educational 
        organization.
            ``(3) Immigrant children and youth.--The term `immigrant 
        children and youth' means individuals who--
                    ``(A) are aged 3 through 21;
                    ``(B) were not born in any State; and
                    ``(C) have not been attending one or more schools 
                in any one or more States for more than three full 
                academic years.
            ``(4) Limited english proficient.--The term `limited 
        English proficient', when used with reference to an individual, 
        means an individual--
                    ``(A) aged 3 through 21;
                    ``(B) who--
                            ``(i) was not born in the United States;
                            ``(ii) comes from an environment where a 
                        language other than English is dominant and who 
                        normally uses a language other than English;
                            ``(iii) is a Native American or Alaska 
                        Native or who is a native resident of the 
                        outlying areas and who normally uses a language 
                        other than English; or
                            ``(iv) is migratory and whose native 
                        language is other than English and who normally 
                        uses a language other than English; and
                    ``(C) who has sufficient difficulty speaking, 
                reading, writing, or understanding the English language 
                that the difficulty may deny the individual the 
                opportunity--
                            ``(i) to learn successfully in a classroom 
                        where the language of instruction is English; 
                        or
                            ``(ii) to participate fully in society.
            ``(5) Native american and native american language.--The 
        terms `Native American' and `Native American language' shall 
        have the same meaning given such terms in section 103 of the 
        Native American Languages Act of 1990.
            ``(6) Native hawaiian or native american pacific islander 
        native language educational organization.--The term `Native 
        Hawaiian or Native American Pacific Islander native language 
        educational organization' means a nonprofit organization with a 
        majority of its governing board and employees consisting of 
        fluent speakers of the traditional Native American languages 
        used in their educational programs and with not less than 5 
        years successful experience in providing educational services 
        in traditional Native American languages.
            ``(7) Native language.--The term `native language', when 
        used with reference to an individual who is limited English 
        proficient, means the language normally used by such 
        individual.
            ``(8) Outlying area.--The term `outlying area' means any of 
        the following:
                    ``(A) The Virgin Islands of the United States.
                    ``(B) Guam.
                    ``(C) American Samoa.
                    ``(D) The Commonwealth of the Northern Mariana 
                Islands.
            ``(9) Paraprofessional.--The term `paraprofessional' means 
        an individual who is employed in preschool, elementary or 
        secondary school under the supervision of a certified or 
        licensed teacher, including individuals employed in educational 
        programs serving limited English proficient children, special 
        education and migrant education.
            ``(10) State.--The term `State' means any of the several 
        States, the District of Columbia, the Commonwealth of Puerto 
        Rico, or any outlying area.
            ``(11) Tribally sanctioned educational authority.--The term 
        `tribally sanctioned educational authority' means--
                    ``(A) any department or division of education 
                operating within the administrative structure of the 
                duly constituted governing body of an Indian tribe; and
                    ``(B) any nonprofit institution or organization 
                that is--
                            ``(i) chartered by the governing body of an 
                        Indian tribe to operate a school described in 
                        section 7113(a) or otherwise to oversee the 
                        delivery of educational services to members of 
                        the tribe; and
                            ``(ii) approved by the Secretary for the 
                        purpose of carrying out programs under subpart 
                        1 of part A for individuals served by a school 
                        described in section 7113(a).

``SEC. 7302. CONSTRUCTION.

    ``Nothing in part A shall be construed--
            ``(1) to prohibit a local educational agency from serving 
        limited English proficient children and youth simultaneously 
        with students with similar educational needs, in the same 
        educational settings where appropriate;
            ``(2) as requiring a State or a local educational agency to 
        establish, continue, or eliminate a program of native language 
        instruction; and
            ``(3) to limit the preservation or use of Native American 
        languages as defined in the Native American Languages Act or 
        Alaska Native languages.

``SEC. 7303. EVALUATION.

    ``(a) In General.--Each eligible entity that receives a subgrant 
from a State or a grant from the Secretary under subpart 1 of part A 
shall provide the Secretary, at the conclusion of every second fiscal 
year during which the subgrant or grant is received, with an 
evaluation, in a form prescribed by the State or the Secretary, of--
            ``(1) the programs and activities conducted by the entity 
        with funds received under such subpart during the two 
        immediately preceding fiscal years;
            ``(2) the progress made by students in learning the English 
        language and meeting challenging State content standards and 
        challenging State student performance standards;
            ``(3) the number and percentage of students in the programs 
        and activities attaining English language proficiency by the 
        end of each school year, as determined by a valid and reliable 
        assessment of English proficiency; and
            ``(4) the progress made by students in meeting challenging 
        State content and challenging State performance standards for 
        each of the 2 years after such students are no longer receiving 
        services under this part.
    ``(b) Use of Evaluation.--An evaluation provided by an eligible 
entity under subsection (a) shall be used by the entity and the 
Secretary--
            ``(1) for improvement of programs and activities;
            ``(2) to determine the effectiveness of programs and 
        activities in assisting children who are limited English 
        proficient to attain English proficiency (as measured 
        consistent with subsection (d)) and meet challenging State 
        content standards and challenging State student performance 
        standards; and
            ``(3) in determining whether or not to continue funding for 
        specific programs or projects.
    ``(c) Evaluation Components.--An evaluation provided by an eligible 
entity under subsection (a) shall include--
            ``(1) an evaluation of whether students enrolling in a 
        program or activity conducted by the entity with funds received 
        under subpart 1 of part A have progressed in attaining English 
        proficiency and are meeting challenging State content standards 
        and challenging State student performance standards; and
            ``(2) such other information as the State or the Secretary 
        may require.
    ``(d) Evaluation Measures.--In prescribing the form of an 
evaluation provided by an entity under subsection (a), a State or the 
Secretary shall approve evaluation measures, as applicable, for use 
under subsection (c) that are designed to assess--
            ``(1) oral language proficiency in kindergarten;
            ``(2) oral language proficiency, including speaking and 
        listening skills, in first grade;
            ``(3) both oral language proficiency, including speaking 
        and listening skills, and reading and writing proficiency in 
        grades 2 and higher; and
            ``(4) attainment of challenging State performance 
        standards.

``SEC. 7304. LIMITATION ON FEDERAL REGULATIONS.

    ``The Secretary shall issue regulations under this title only to 
the extent that such regulations are necessary to ensure compliance 
with the specific requirements of this title.

``SEC. 7305. CIVIL RIGHTS.

    ``Nothing in this title shall be construed in a manner inconsistent 
with any Federal law guaranteeing a civil right.

``SEC. 7306. REPORT.

    ``The Secretary shall prepare, and submit to the Committee on 
Education and the Workforce of the House of Representatives and the 
Committee on Health, Education, Labor, and Pensions of the Senate, a 
report on--
            ``(1) the activities carried out part A and the 
        effectiveness of such activities in increasing the English 
        proficiency of limited English proficient children and helping 
        them to meet challenging State content standards and 
        challenging State performance standards;
            ``(2) the types of instructional programs used under 
        subpart 1 of part A to teach limited English proficient 
        children;
            ``(3) the number of programs, if any, which were terminated 
        from the program because they were not able to reach program 
        goals; and
            ``(4) other information gathered as part of the evaluation 
        conducted under section 7303.

``SEC. 7307. PROGRAMS FOR NATIVE AMERICANS AND PUERTO RICO.

    ``Programs authorized under subparts 1 and 2 of part A that serve 
Native American children, Native Pacific Island children, and children 
in the Commonwealth of Puerto Rico, notwithstanding any other provision 
of part A may include programs of instruction, teacher training, 
curriculum development, evaluation, and testing designed for Native 
American children learning and studying Native American languages and 
children of limited Spanish proficiency, except that a primary outcome 
of programs serving such children shall be increased English 
proficiency among such children.''.

    TITLE VIII--INDIAN, NATIVE HAWAIIAN, AND ALASKA NATIVE EDUCATION

SEC. 801. AMENDMENTS.

    Part A of title IX (20 U.S.C. 7801 et seq.) is amended--
            (1) in section 9125(e), by striking ``1995 through 1999'' 
        and inserting ``2002 through 2006''; and
            (2) in section 9162--
                    (A) by striking ``1995'' each place it appears and 
                inserting ``2002''; and
                    (B) by striking ``$61,300,000'', ``$26,000,000'', 
                and ``$3,775,000'' and inserting ``$250,000,000'', 
                $30,000,000'', and ``$8,000,000'', respectively.

SEC. 802. NATIVE HAWAIIAN EDUCATION.

    Sections 9204(j), 9205(c), 9206(e), 9208(c), 9209(d), and 9210(d) 
are each amended by striking ``1995'' and inserting ``2002''.

SEC. 803. ALASKA NATIVE EDUCATION.

    Part C of title IX (20 U.S.C. 7931 et seq.) is amended--
            (1) by repealing sections 9304 through 9306 and inserting 
        the following:

``SEC. 9304. PROGRAM AUTHORIZED.

    ``(a) General Authority.--
            ``(1) Program authorized.--The Secretary is authorized to 
        make grants to, or enter into contracts with, Alaska Native 
        organizations, educational entities with experience in 
        developing or operating Alaska Native programs or programs of 
        instruction conducted in Alaska Native languages, and consortia 
        of such organizations and entities to carry out programs that 
        meet the purpose of this part.
            ``(2) Permissible activities.--Programs under this part may 
        include--
                    ``(A) the development and implementation of plans, 
                methods, and strategies to improve the education of 
                Alaska Natives;
                    ``(B) the development of curricula and educational 
                programs that address the educational needs of Alaska 
                Native students, including--
                            ``(i) curriculum materials that reflect the 
                        cultural diversity or the contributions of 
                        Alaska Natives;
                            ``(ii) instructional programs that make use 
                        of Native Alaskan languages; and
                            ``(iii) networks that introduce successful 
                        programs, materials, and techniques to urban 
                        and rural schools;
                    ``(C) professional development activities for 
                educators, including--
                            ``(i) programs to prepare teachers to 
                        address the cultural diversity and unique needs 
                        of Alaska Native students;
                            ``(ii) in-service programs to improve the 
                        ability of teachers to meet the unique needs of 
                        Alaska Native students; and
                            ``(iii) recruiting and preparing teachers 
                        who are Alaska Natives, reside in communities 
                        with high concentrations of Alaska Native 
                        students, or are likely to succeed as teachers 
                        in isolated, rural communities and engage in 
                        cross-cultural instruction;
                    ``(D) the development and operation of home 
                instruction programs for Alaska Native preschool 
                children, the purpose of which is to ensure the active 
                involvement of parents in their children's education 
                from the earliest ages;
                    ``(E) family Literacy Services;
                    ``(F) the development and operation of student 
                enrichment programs in science and mathematics that--
                            ``(i) are designed to prepare Alaska Native 
                        students from rural areas, who are preparing to 
                        enter high school, to excel in science and 
                        math; and
                            ``(ii) provide appropriate support services 
                        to the families of such students that are 
                        needed to enable such students to benefit from 
                        the program;
                    ``(G) research and data collection activities to 
                determine the educational status and needs of Alaska 
                Native children and adults;
                    ``(H) other research and evaluation activities 
                related to programs under this part; and
                    ``(I) other activities, consistent with the 
                purposes of this part, to meet the educational needs of 
                Alaska Native children and adults.
            ``(3) Home instruction programs.--Home instruction programs 
        for Alaska Native preschool children under paragraph (2)(D) may 
        include--
                    ``(A) programs for parents and their infants, from 
                prenatal through age 3;
                    ``(B) preschool programs; and
                    ``(C) training, education, and support for parents 
                in such areas as reading readiness, observation, story-
                telling, and critical thinking.
    ``(b) Limitation on Administrative Costs.--Not more than 5 percent 
of funds provided to a grantee under this section for any fiscal year 
may be used for administrative purposes.
    ``(c) Authorization of Appropriations.--There are authorized to be 
appropriated $20,000,000 for fiscal year 2002, and such sums as may be 
necessary for each of the fiscal years 2003 through 2006 to carry out 
this part.'';
            (2) in section 9307--
                    (A) by amending subsection (b) to read as follows:
    ``(b) Applications.--State and local educational agencies may apply 
for an award under this part only as part of a consortium involving an 
Alaska Native organization. This consortium may include other eligible 
applicants.'';
                    (B) by amending subsection (d) to read as follows:
    ``(d) Local Educational Agency Coordination.--Each applicant for an 
award under this part shall inform each local educational agency 
serving students who would participate in the project about its 
application.''; and
                    (C) by striking subsection (e); and
            (3) by redesignating sections 9307 and 9308 as sections 
        9305 and 9306, respectively.

                      TITLE IX--GENERAL PROVISIONS

SEC. 901. GENERAL PROVISIONS.

    Title XIV is redesignated as title X and is amended to read as 
follows:

                     ``TITLE X--GENERAL PROVISIONS

                         ``PART A--DEFINITIONS

``SEC. 10001. DEFINITIONS.

    ``Except as otherwise provided, for the purposes of this Act, the 
following terms have the following meanings:
            ``(1) Average daily attendance.--
                    ``(A) Except as provided otherwise by State law or 
                this paragraph, the term `average daily attendance' 
                means--
                            ``(i) the aggregate number of days of 
                        attendance of all students during a school 
                        year; divided by
                            ``(ii) the number of days school is in 
                        session during such school year.
                    ``(B) The Secretary shall permit the conversion of 
                average daily membership (or other similar data) to 
                average daily attendance for local educational agencies 
                in States that provide State aid to local educational 
                agencies on the basis of average daily membership or 
                such other data.
                    ``(C) If the local educational agency in which a 
                child resides makes a tuition or other payment for the 
                free public education of the child in a school located 
                in another school district, the Secretary shall, for 
                purposes of this Act--
                            ``(i) consider the child to be in 
                        attendance at a school of the agency making 
                        such payment; and
                            ``(ii) not consider the child to be in 
                        attendance at a school of the agency receiving 
                        such payment.
                    ``(D) If a local educational agency makes a tuition 
                payment to a private school or to a public school of 
                another local educational agency for a child with 
                disabilities, as defined in section 602(a)(1) of the 
                Individuals with Disabilities Education Act, the 
                Secretary shall, for the purposes of this Act, consider 
                such child to be in attendance at a school of the 
                agency making such payment.
            ``(2) Average per-pupil expenditure.--The term `average 
        per-pupil expenditure' means, in the case of a State or of the 
        United States--
                    ``(A) without regard to the source of funds--
                            ``(i) the aggregate current expenditures, 
                        during the third fiscal year preceding the 
                        fiscal year for which the determination is made 
                        (or, if satisfactory data for that year are not 
                        available, during the most recent preceding 
                        fiscal year for which satisfactory data are 
                        available) of all local educational agencies in 
                        the State or, in the case of the United States 
                        for all States (which, for the purpose of this 
                        paragraph, means the 50 States and the District 
                        of Columbia); plus
                            ``(ii) any direct current expenditures by 
                        the State for the operation of such agencies; 
                        divided by
                    ``(B) the aggregate number of children in average 
                daily attendance to whom such agencies provided free 
                public education during such preceding year.
            ``(3) Child.--The term `child' means any person within the 
        age limits for which the State provides free public education.
            ``(4) Community-based organization.--The term `community-
        based organization' means a public or private nonprofit 
        organization of demonstrated effectiveness that--
                    ``(A) is representative of a community or 
                significant segments of a community; and
                    ``(B) provides educational or related services to 
                individuals in the community.
            ``(5) Consolidated local application.--The term 
        `consolidated local application' means an application submitted 
        by a local educational agency pursuant to section 10404.
            ``(6) Consolidated local plan.--The term `consolidated 
        local plan' means a plan submitted by a local educational 
        agency pursuant to section 10404.
            ``(7) Consolidated state application.--The term 
        `consolidated State application' means an application submitted 
        by a State educational agency pursuant to section 10402.
            ``(8) Consolidated state plan.--The term `consolidated 
        State plan' means a plan submitted by a State educational 
        agency pursuant to section 10402.
            ``(9) Core academic subjects.--The term `core academic 
        subjects' means--
                    ``(A) mathematics;
                    ``(B) science;
                    ``(C) reading (or language arts) and English;
                    ``(D) social studies (history, civics/government, 
                geography, and economics);
                    ``(E) foreign languages; and
                    ``(F) fine arts (music, dance, drama, and the 
                visual arts).
            ``(10) County.--The term `county' means 1 of the divisions 
        of a State used by the Secretary of Commerce in compiling and 
        reporting data regarding counties.
            ``(11) Covered program.--The term `covered program' means 
        each of the programs authorized by--
                    ``(A) part A of title I;
                    ``(B) part C of title I;
                    ``(C) title II (other than section 2103 and part 
                D);
                    ``(D) subpart 2 of part B of title III;
                    ``(E) part A of title IV (other than section 4114);
                    ``(F) title VI; and
                    ``(G) Comprehensive School Reform.
            ``(12) Current expenditures.--The term `current 
        expenditures' means expenditures for free public education--
                    ``(A) including expenditures for administration, 
                instruction, attendance and health services, pupil 
                transportation services, operation and maintenance of 
                plant, fixed charges, and net expenditures to cover 
                deficits for food services and student body activities; 
                but
                    ``(B) not including expenditures for community 
                services, capital outlay, and debt service, or any 
                expenditures made from funds received under title I and 
                title VI.
            ``(13) Department.--The term `Department' means the 
        Department of Education.
            ``(14) Educational service agency.--The term `educational 
        service agency' means a regional public multiservice agency 
        authorized by State statute to develop, manage, and provide 
        services or programs to local educational agencies.
            ``(15) Elementary school.--The term `elementary school' 
        means a nonprofit institutional day or residential school, 
        including a public elementary charter school, that provides 
        elementary education, as determined under State law.
            ``(16) Free public education.--The term `free public 
        education' means education that is provided--
                    ``(A) at public expense, under public supervision 
                and direction, and without tuition charge; and
                    ``(B) as elementary or secondary school education 
                as determined under applicable State law, except that 
                such term does not include any education provided 
                beyond grade 12.
            ``(17) Fully qualified.--The term `fully qualified'--
                    ``(A) when used with respect to an elementary or 
                secondary school teacher, means that the teacher has 
                obtained certification or passed the State licensing 
                exam and holds a license; and
                    ``(B) when used with respect to--
                            ``(i) an elementary school teacher, means 
                        that the teacher holds a bachelor's degree and 
                        demonstrates general knowledge, teaching skill, 
                        and subject matter knowledge required to teach 
                        at the elementary school level in the core 
                        academic subjects; or
                            ``(ii) a middle or secondary school 
                        teacher, means that the teacher holds a 
                        bachelor's degree and demonstrates a high level 
                        of competency in all subject areas in which he 
                        or she teaches through--
                                    ``(I) a high level of performance 
                                on a rigorous academic subject area 
                                test; or
                                    ``(II) completion of an academic 
                                major in each of the subject areas in 
                                which he or she provides instruction.
            ``(18) Gifted and talented.--The term `gifted and 
        talented', when used with respect to students, children or 
        youth, means students, children or youth who give evidence of 
        high performance capability in areas such as intellectual, 
        creative, artistic, or leadership capacity, or in specific 
        academic fields, and who require services or activities not 
        ordinarily provided by the school in order to fully develop 
        such capabilities.
            ``(19) Institution of higher education.--The term 
        `institution of higher education' has the meaning given that 
        term in section 101 of the Higher Education Act of 1965.
            ``(20) Local educational agency.--
                    ``(A) The term `local educational agency' means a 
                public board of education or other public authority 
                legally constituted within a State for either 
                administrative control or direction of, or to perform a 
                service function for, public elementary or secondary 
                schools in a city, county, township, school district, 
                or other political subdivision of a State, or for such 
                combination of local educational agencies or counties 
                as are recognized in a State as an administrative 
                agency for its public elementary or secondary schools.
                    ``(B) The term includes any other public 
                institution or agency having administrative control and 
                direction of a public elementary or secondary school.
                    ``(C) The term includes an elementary or secondary 
                school funded by the Bureau of Indian Affairs but only 
                to the extent that such inclusion makes such school 
                eligible for programs for which specific eligibility is 
                not provided to such school in another provision of law 
                and such school does not have a student population that 
                is smaller than the student population of the local 
                educational agency receiving assistance under this Act 
with the smallest student population, except that such school shall not 
be subject to the jurisdiction of any State educational agency other 
than the Bureau of Indian Affairs.
            ``(21) Mentoring.--The term `mentoring' means a program in 
        which an adult works with a child or youth on a 1-to-1 basis, 
        establishing a supportive relationship, providing academic 
        assistance, and introducing the child or youth to new 
        experiences that enhance the child or youths ability to excel 
        in school and become a responsible citizen.
            ``(22) Other staff.--The term `other staff' means pupil 
        services personnel, librarians, career guidance and counseling 
        personnel, education aides, and other instructional and 
        administrative personnel.
            ``(23) Outlying area.--The term `outlying area' means the 
        Virgin Islands, Guam, American Samoa, the Commonwealth of the 
        Northern Mariana Islands, and for the purpose of section 1121 
        and any other discretionary grant program under this Act, the 
        Republic of the Marshall Islands, the Federated States of 
        Micronesia, and the Republic of Palau.
            ``(24) Parent.--The term `parent' includes a legal guardian 
        or other person standing in loco parentis.
            ``(25) Poverty line.--The term `poverty line' is defined as 
        such term is defined by the Office of Management and Budget and 
        revised annually in accordance with section 672(2) of the 
        Community Services Block Grant Act (42 U.S.C. 9902(2)).
            ``(26) Professional development.--The term `professional 
        development' means sustained and intensive activities that 
        improve teachers' content knowledge and teaching skills and 
        that--
                    ``(A) enhance the ability of teachers to help all 
                students, including females, minorities, children with 
                disabilities, children with limited English proficiency 
                and economically disadvantaged children, reach high 
                State and local content and student performance 
                standards;
                    ``(B) advance teacher understanding of one or more 
                of the core academic subject areas and effective 
                instructional strategies for improving student 
                achievement in those areas, including technology;
                    ``(C) are directly related to the subject area in 
                which the teacher provides instruction;
                    ``(D) are of sufficient duration to have a positive 
                and lasting impact on classroom instruction;
                    ``(E) are an integral part of broader school and 
                district-wide plans for raising student achievement to 
                State and local standards;
                    ``(F) are aligned with State content and student 
                performance standards;
                    ``(G) are based on the best available research on 
                teaching and learning;
                    ``(H) include professional development activities 
                that involve collaborative groups of teachers and 
                administrators from the same school or district and, to 
                the greatest extent possible, include follow-up and 
                school-based support such as coaching or study groups; 
                and
                    ``(I) as a whole, are regularly evaluated for their 
                impact on increased teacher effectiveness and improved 
                student achievement, with the findings of such 
                evaluations used to improve the quality of professional 
                development.
            ``(27) Public telecommunication entity.--The term `public 
        telecommunication entity' has the same meaning given to such 
        term in section 397(12) of the Communications Act of 1934.
            ``(28) Pupil services personnel; pupil services.--
                    ``(A) The term `pupil services personnel' means 
                school counselors, school social workers, school 
                psychologists, and other qualified professional 
                personnel involved in providing assessment, diagnosis, 
                counseling, educational, therapeutic, and other 
                necessary services (including related services as such 
                term is defined in section 602(a)(17) of the 
                Individuals with Disabilities Education Act) as part of 
                a comprehensive program to meet student needs.
                    ``(B) The term `pupil services' means the services 
                provided by pupil services personnel.
            ``(29) Scientifically based research.--The term 
        `scientifically based research'--
                    ``(A) means the application of rigorous, 
                systematic, and objective procedures in the development 
                of comprehensive school reform models; and
                    ``(B) shall include research that--
                            ``(i) employs systematic, empirical methods 
                        that draw on observation or experiment;
                            ``(ii) involves rigorous data analyses that 
                        are adequate to test the stated hypotheses and 
                        justify the general conclusions drawn;
                            ``(iii) relies on measurements or 
                        observational methods that provide valid data 
                        across evaluators and observers and across 
                        multiple measurements and observations; and
                            ``(iv) has been accepted by a peer-reviewed 
                        journal or approved by a panel of independent 
                        experts through a comparably rigorous, 
                        objective, and scientific review.
            ``(30) Secondary school.--The term `secondary school' means 
        a nonprofit institutional day or residential school, including 
        a public secondary charter school, that provides secondary 
        education, as determined under State law, except that such term 
        does not include any education beyond grade 12.
            ``(31) Secretary.--The term `Secretary' means the Secretary 
        of Education.
            ``(32) State.--The term `State' means each of the 50 
        States, the District of Columbia, the Commonwealth of Puerto 
        Rico, and each of the outlying areas.
            ``(33) State educational agency.--The term `State 
        educational agency' means the agency primarily responsible for 
        the State supervision of public elementary and secondary 
        schools.
            ``(34) Technology.--The term `technology' means the latest 
        state-of-the-art technology products and services, such as 
        closed circuit television systems, educational television or 
        radio programs and services, cable television, satellite, 
        copper fiber optic transmission, computer hardware and 
        software, video and audio laser and CDROM disks, video and 
        audio tapes, including interactive forms of such products and 
        services, or other technologies.

``SEC. 10002. APPLICABILITY OF THIS TITLE.

    ``Parts B, C, D, E, and F of this title do not apply to title VIII 
of this Act.

``SEC. 10003. APPLICABILITY TO BUREAU OF INDIAN AFFAIRS OPERATED 
              SCHOOLS.

    ``For purposes of any competitive program under this Act, a 
consortia of schools operated by the Bureau of Indian Affairs, a school 
operated under a contract or grant with the Bureau of Indian Affairs in 
consortia with another contract or grant school or tribal or community 
organization, or a Bureau of Indian Affairs school in consortia with an 
institution of higher education, a contract or grant school and tribal 
or community organization shall be given the same consideration as a 
local educational agency.

   ``PART B--FLEXIBILITY IN THE USE OF ADMINISTRATIVE AND OTHER FUNDS

``SEC. 10101. CONSOLIDATION OF STATE ADMINISTRATIVE FUNDS FOR 
              ELEMENTARY AND SECONDARY EDUCATION PROGRAMS.

    ``(a) Consolidation of Administrative Funds.--
            ``(1) In general.--A State educational agency may 
        consolidate the amounts specifically made available to such 
        agency for State administration under one or more of the 
        programs specified under paragraph (2) if such State 
        educational agency can demonstrate that the majority of such 
        agency's resources come from non-Federal sources.
            ``(2) Applicability.--This section applies to--
                    ``(A) programs under title I and those programs 
                described in subparagraphs (C), (D), (E), (F), and (G) 
                of section 10101(10);
                    ``(B) the Carl D. Perkins Vocational and Technical 
                Education Act of 1998; and
                    ``(C) such other programs as the Secretary may 
                designate.
    ``(b) Use of Funds.--
            ``(1) In general.--A State educational agency shall use the 
        amount available under this section for the administration of 
        the programs included in the consolidation under subsection 
        (a).
            ``(2) Additional uses.--A State educational agency may also 
        use the funds available under this section for administrative 
        activities designed to enhance the effective and coordinated 
        use of funds under the programs included in the consolidation 
        under subsection (a), such as--
                    ``(A) State-level activities designed to carry out 
                this title, including part B;
                    ``(B) the coordination of those programs with other 
                Federal and non-Federal programs;
                    ``(C) the establishment and operation of peer-
                review mechanisms under this Act;
                    ``(D) collaborative activities with other State 
                educational agencies to improve administration under 
                this Act;
                    ``(E) the dissemination of information regarding 
                model programs and practices;
                    ``(F) technical assistance under the programs 
                specified in subsection (a)(2);
                    ``(G) training personnel engaged in audit and other 
                monitoring activities; and
                    ``(H) implementation of the Cooperative Audit 
                Resolution and Oversight Initiative.
    ``(c) Records.--A State educational agency that consolidates 
administrative funds under this section shall not be required to keep 
separate records, by individual program, to account for costs relating 
to the administration of programs included in the consolidation under 
subsection (a).
    ``(d) Review.--To determine the effectiveness of State 
administration under this section, the Secretary may periodically 
review the performance of State educational agencies in using 
consolidated administrative funds under this section and take such 
steps as the Secretary finds appropriate to ensure the effectiveness of 
such administration.
    ``(e) Unused Administrative Funds.--If a State educational agency 
does not use all of the funds available to such agency under this 
section for administration, such agency may use such funds during the 
applicable period of availability as funds available under one or more 
programs included in the consolidation under subsection (a).

``SEC. 10102. SINGLE LOCAL EDUCATIONAL AGENCY STATES.

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

``SEC. 10103. CONSOLIDATION OF FUNDS FOR LOCAL ADMINISTRATION.

    ``(a) General Authority.--In accordance with regulations of the 
Secretary, a local educational agency, with the approval of its State 
educational agency, may consolidate and use for the administration of 
one or more covered programs for any fiscal year not more than the 
percentage, established in each covered program, of the total amount 
available to the local educational agency under such covered programs.
    ``(b) State Procedures.--Each State educational agency shall, in 
collaboration with local educational agencies in the State, implement 
procedures for responding to requests from local educational agencies 
to consolidate administrative funds under subsection (a) and for 
establishing limitations on the amount of funds under covered programs 
that may be used for administration on a consolidated basis.
    ``(c) Conditions.--A local educational agency that consolidates 
administrative funds under this section for any fiscal year shall not 
use any other funds under the programs included in the consolidation 
for administration for that fiscal year.
    ``(d) Uses of Administrative Funds.--A local educational agency 
that consolidates administrative funds under this section may use such 
consolidated funds for the administration of covered programs and for 
the uses described in section 10201(b)(2).
    ``(e) Records.--A local educational agency that consolidates 
administrative funds under this section shall not be required to keep 
separate records, by individual covered program, to account for costs 
relating to the administration of covered programs included in the 
consolidation.

``SEC. 10104. CONSOLIDATED SET-ASIDE FOR DEPARTMENT OF THE INTERIOR 
              FUNDS.

    ``(a) General Authority.--
            ``(1) Transfer.--The Secretary shall transfer to the 
        Department of the Interior, as a consolidated amount for 
        covered programs, the Indian education programs under part A of 
        title IX of this Act, and the education for homeless children 
        and youth program under subtitle B of title VII of the Stewart 
        B. McKinney Homeless Assistance Act, the amounts allotted to 
        the Department of the Interior under those programs.
            ``(2) Agreement.--
                    ``(A) The Secretary and the Secretary of the 
                Interior shall enter into an agreement, consistent with 
                the requirements of the programs specified in paragraph 
                (1), for the distribution and use of those program 
                funds under terms that the Secretary determines best 
                meet the purposes of those programs.
                    ``(B) The agreement shall--
                            ``(i) set forth the plans of the Secretary 
                        of the Interior for the use of the amount 
                        transferred and performance measures to assess 
                        program effectiveness, including measurable 
                        goals and objectives; and
                            ``(ii) be developed in consultation with 
                        Indian tribes.
    ``(b) Administration.--The Department of the Interior may use not 
more than 1.5 percent of the funds consolidated under this section for 
such departments costs related to the administration of the funds 
transferred under this section.

``SEC. 10105. MOST EFFECTIVE USE OF UNNEEDED PROGRAM FUNDS.

    ``With the approval of its State educational agency, a local 
educational agency that determines for any fiscal year that funds under 
a covered program (other than title I) would be more effective in 
helping all its students achieve the State's challenging standards if 
used under another covered program, may use those funds, not to exceed 
5 percent of the local educational agency's total allotment for that 
fiscal year, to carry out programs and activities under that other 
covered program.

``PART C--COORDINATION OF PROGRAMS; CONSOLIDATED STATE AND LOCAL PLANS 
                            AND APPLICATIONS

``SEC. 10201. PURPOSE.

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

``SEC. 10202. OPTIONAL CONSOLIDATED STATE PLANS AND APPLICATIONS.

    ``(a) In General.--
            ``(1) Purpose and authority.--In order to promote 
        continuing, standards-based education reform, encourage the 
        integration and coordination of resources, and simplify 
        application requirements and reduce burden for State 
        educational agencies under this Act, the Secretary, in 
        accordance with subsection (b), shall establish procedures and 
        criteria under which a State educational agency may submit a 
        consolidated State plan meeting the requirements of this 
        section for any or all of--
                    ``(A) the covered programs in which the State 
                participates; and
                    ``(B) the additional programs described in 
                paragraph (2).
            ``(2) Additional programs.--A State educational agency may 
        also include in its consolidated State plan--
                    ``(A) the Even Start program under part B of title 
                I;
                    ``(B) the State Agency Programs for Children and 
                Youth Who Are Neglected or Delinquent under part D of 
                title I;
                    ``(C) programs under part A of title II of the Carl 
                D. Perkins Vocational and Technical Education Act of 
                1998; and
                    ``(D) such other programs as the Secretary may 
                designate.
            ``(3) State development and submission.--
                    ``(A) A State educational agency desiring to 
                receive a grant under 2 or more of the programs to 
                which this section applies may submit a consolidated 
                State plan for those programs that satisfies the 
                procedures and criteria established under this section.
                    ``(B) A State educational agency that submits a 
                consolidated State plan shall not be required to submit 
                separate State plans or applications for the programs 
                included in the consolidated State plan.
                    ``(C) A State educational agency that submits a 
                consolidated State plan shall comply with all the 
                requirements applicable to the programs in the 
                consolidated State plan as if it had submitted separate 
                State plans.
            ``(4) Consolidated state plans.--A State educational agency 
        that desires to receive funds under a program to which this 
        section applies for fiscal year 2002 and the succeeding 4 
        fiscal years shall submit to the Secretary a new consolidated 
        plan that meets the requirements of this section within the 
        time specified by the Secretary.
    ``(b) Plan Contents.--
            ``(1) Collaborative process.--
                    ``(A) In establishing criteria and procedures under 
                this section, the Secretary shall collaborate with 
                State educational agencies and, as appropriate, with 
other State agencies, local educational agencies, public and private 
nonprofit agencies, organizations, and institutions, private schools, 
and representatives of parents, students, and teachers.
                    ``(B)(i) Through the collaborative process 
                described in subparagraph (A), the Secretary shall 
                establish, for each program under the Act to which this 
                section applies, the descriptions and information that 
                must be included in a consolidated State plan.
                    ``(ii) In carrying out clause (i), the Secretary 
                shall ensure that a consolidated State plan contains, 
                for each program included in the plan, the descriptions 
                and information needed to ensure proper and effective 
                administration of that program in accordance with its 
                purposes.
            ``(2) Integration and coordination of resources.--In its 
        consolidated plan under this section, a State educational 
        agency shall describe how--
                    ``(A) funds under the programs included in the plan 
                will be integrated as appropriate to best serve the 
                students and teachers intended to benefit from those 
                programs; and
                    ``(B) those programs will be coordinated at the 
                State, school district, and school levels with other 
                covered programs not included in the plan.
    ``(c) Peer Review and Secretarial Approval.--
            ``(1) The Secretary shall--
                    ``(A) establish a peer-review process to assist in 
                the review, and provide recommendations for the 
                revision, of consolidated State plans under this 
                section; and
                    ``(B) appoint individuals to the peer-review 
                process who--
                            ``(i) are knowledgeable about the programs, 
                        and the populations they serve, included in the 
                        plans;
                            ``(ii) to the extent practicable are 
                        representative of State educational agencies, 
                        local educational agencies, teachers, and 
                        parents of students served under those 
                        programs; and
                            ``(iii) have expertise on educational 
                        standards, assessments, and accountability.
            ``(2)(A) Following such peer review, the Secretary shall 
        approve a consolidated State plan if the Secretary determines 
        that the plan meets the requirements of this section.
            ``(B) The Secretary may accompany such approval with one or 
        more conditions that the State educational agency shall meet.
            ``(3) If the Secretary determines that the plan does not 
        meet the requirements of this section, the Secretary shall 
        notify the State of that determination and the reasons for it.
            ``(4) The Secretary shall not finally disapprove a 
        consolidated State plan before--
                    ``(A) offering the State an opportunity to revise 
                its plan;
                    ``(B) providing technical assistance to assist the 
                State to meet the requirements; and
                    ``(C) providing a hearing.
    ``(d) Revision and Amendment.--A State educational agency shall 
periodically review its consolidated State plan to ensure that it 
accurately reflects its strategies and activities under the programs 
covered by the plan. If the State educational agency makes significant 
changes to its strategies and activities, it shall submit an amendment 
to its plan to the Secretary for approval in accordance with this 
section.

``SEC. 10203. GENERAL APPLICABILITY OF STATE EDUCATIONAL AGENCY 
              ASSURANCES.

    ``(a) Assurances.--A State educational agency that submits a 
consolidated State plan or consolidated State application under this 
Act, whether separately or under section 10302, shall have on file with 
the Secretary a single set of assurances, applicable to each program 
for which such plan or application is submitted, that provides that--
            ``(1) each such program will be administered in accordance 
        with all applicable statutes, regulations, program plans, and 
        applications;
            ``(2)(A) the control of funds provided under each such 
        program and title to property acquired with program funds will 
        be in a public agency, in a nonprofit private agency, 
        institution, or organization, or in an Indian tribe if the law 
        authorizing the program provides for assistance to such 
        entities; and
            ``(B) the public agency, nonprofit private agency, 
        institution, or organization, or Indian tribe will administer 
        such funds and property to the extent required by the 
        authorizing law;
            ``(3) the State will adopt and use proper methods of 
        administering each such program, including--
                    ``(A) the enforcement of any obligations imposed by 
                law on agencies, institutions, organizations, and other 
                recipients responsible for carrying out each program;
                    ``(B) the correction of deficiencies in program 
                operations that are identified through audits, 
                monitoring, or evaluation; and
                    ``(C) the adoption of written procedures for the 
                receipt and resolution of complaints alleging 
                violations of law in the administration of such 
                programs;
            ``(4) the State will monitor performance by local 
        educational agencies to ensure compliance with the requirements 
        of this Act and--
                    ``(A) maintain proper documentation of monitoring 
                activities;
                    ``(B) provide technical assistance when appropriate 
                and undertake enforcement activities when needed; and
                    ``(C) systematically analyze the results of audits 
                and other monitoring activities to identify trends in 
                funding and to develop strategies to correct problems;
            ``(5) the data used by the State to measure its performance 
        (and that of its local educational agencies) under this Act are 
        complete, reliable, accurate, or if not, that the State will 
        take such steps as are necessary to make those data complete, 
reliable, and accurate.
            ``(6) the State will cooperate in carrying out any 
        evaluation of each such program conducted by or for the 
        Secretary or other Federal officials;
            ``(7) the State will use such fiscal control and fund 
        accounting procedures as will ensure proper disbursement of, 
        and accounting for, Federal funds paid to the State under each 
        such program;
            ``(8) the State will--
                    ``(A) make reports to the Secretary as may be 
                necessary to enable the Secretary to perform the 
                Secretary's duties under each such program; and
                    ``(B) maintain such records, provide such 
                information to the Secretary, and afford access to the 
                records as the Secretary may find necessary to carry 
                out the Secretary's duties; and
            ``(9) before the plan or application was submitted to the 
        Secretary, the State has afforded a reasonable opportunity for 
        public comment on the plan or application and has considered 
        such comment.
    ``(b) GEPA Provision.--Section 441 of the General Education 
Provisions Act shall not apply to programs under this Act.

``SEC. 10204. CONSOLIDATED LOCAL PLANS OR APPLICATIONS.

    ``(a) General Authority.--A local educational agency receiving 
funds under more than 1 covered program may submit plans or 
applications to the State educational agency under such programs on a 
consolidated basis.
    ``(b) Required Consolidated Plans or Applications.--A State 
educational agency that has submitted and had approved a consolidated 
State plan or application under section 10302 may require local 
educational agencies in the State receiving funds under more than 1 
program included in the consolidated State plan or consolidated State 
application to submit consolidated local plans or applications under 
such programs.
    ``(c) Collaboration.--A State educational agency shall collaborate 
with local educational agencies in the State in establishing procedures 
for the submission of the consolidated State plans or consolidated 
State applications under this section.
    ``(d) Necessary Materials.--The State educational agency shall 
require only descriptions, information, assurances, and other material 
that are absolutely necessary for the consideration of the local 
educational agency plan or application.

``SEC. 10205. OTHER GENERAL ASSURANCES.

    ``(a) Assurances.--Any applicant other than a State educational 
agency that submits a plan or application under this Act shall have on 
file with the State educational agency a single set of assurances, 
applicable to each program for which a plan or application is 
submitted, that provides that--
            ``(1) each such program will be administered in accordance 
        with all applicable statutes, regulations, program plans, and 
        applications;
            ``(2)(A) the control of funds provided under each such 
        program and title to property acquired with program funds will 
        be in a public agency or in a nonprofit private agency, 
        institution, organization, or Indian tribe, if the law 
        authorizing the program provides for assistance to such 
        entities; and
            ``(B) the public agency, nonprofit private agency, 
        institution, or organization, or Indian tribe will administer 
        such funds and property to the extent required by the 
        authorizing statutes;
            ``(3) the applicant will adopt and use proper methods of 
        administering each such program, including--
                    ``(A) the enforcement of any obligations imposed by 
                law on agencies, institutions, organizations, and other 
                recipients responsible for carrying out each program; 
                and
                    ``(B) the correction of deficiencies in program 
                operations that are identified through audits, 
                monitoring, or evaluation;
            ``(4) the applicant will cooperate in carrying out any 
        evaluation of each such program conducted by or for the State 
        educational agency, the Secretary or other Federal officials;
            ``(5) the applicant will use such fiscal control and fund 
        accounting procedures as will ensure proper disbursement of, 
        and accounting for, Federal funds paid to such applicant under 
        each such program;
            ``(6) the applicant will--
                    ``(A) make reports to the State educational agency 
                and the Secretary as may be necessary to enable such 
                agency and the Secretary to perform their duties under 
                each such program; and
                    ``(B) maintain such records, provide such 
                information, and afford access to the records as the 
                State educational agency or the Secretary may find 
                necessary to carry out the State educational agency's 
                or the Secretary's duties; and
            ``(7) before the application was submitted, the applicant 
        afforded a reasonable opportunity for public comment on the 
        application and has considered such comment.
    ``(b) GEPA Provision.--Section 442 of the General Education 
Provisions Act does not apply to programs under this Act.

                           ``PART D--WAIVERS

``SEC. 10301. WAIVERS OF STATUTORY AND REGULATORY REQUIREMENTS.

    ``(a) In General.--Except as provided in subsection (c), the 
Secretary may waive any statutory or regulatory requirement of this Act 
for a State educational agency, local educational agency, Indian tribe, 
or school through a local educational agency, that--
            ``(1) receives funds under a program authorized by this 
        Act; and
            ``(2) requests a waiver under subsection (b).
    ``(b) Request for Waiver.--
            ``(1) In general.--A State educational agency, local 
        educational agency, or Indian tribe which desires a waiver 
        shall submit a waiver request to the Secretary that--
                    ``(A) identifies the Federal programs affected by 
                such requested waiver;
                    ``(B) describes which Federal requirements are to 
                be waived and how the waiving of such requirements 
                will--
                            ``(i) increase the quality of instruction 
                        for students; or
                            ``(ii) improve the academic performance of 
                        students;
                    ``(C) if applicable, describes which similar State 
                and local requirements will be waived and how the 
                waiving of such requirements will assist the local 
                educational agencies, Indian tribes or schools, as 
                appropriate, to achieve the objectives described in 
                clauses (i) and (ii) of subparagraph (B);
                    ``(D) describes specific, measurable educational 
                improvement goals and expected outcomes for all 
                affected students;
                    ``(E) describes the methods to be used to measure 
                progress in meeting such goals and outcomes; and
                    ``(F) describes how schools will continue to 
                provide assistance to the same populations served by 
                programs for which waivers are requested.
            ``(2) Additional information.--Such requests--
                    ``(A) may provide for waivers of requirements 
                applicable to State educational agencies, local 
                educational agencies, Indian tribes, and schools; and
                    ``(B) shall be developed and submitted--
                            ``(i)(I) by local educational agencies (on 
                        behalf of such agencies and schools) to State 
                        educational agencies; and
                            ``(II) by State educational agencies (on 
                        behalf of, and based upon the requests of, 
                        local educational agencies) to the Secretary; 
                        or
                            ``(ii) by Indian tribes (on behalf of 
                        schools operated by such tribes) to the 
                        Secretary.
            ``(3) General requirements.--
                    ``(A) In the case of a waiver request submitted by 
                a State educational agency acting in its own behalf, 
                the State educational agency shall--
                            ``(i) provide all interested local 
                        educational agencies in the State with notice 
                        and a reasonable opportunity to comment on the 
                        request;
                            ``(ii) submit the comments to the 
                        Secretary; and
                            ``(iii) provide notice and information to 
                        the public regarding the waiver request in the 
                        manner that the applying agency customarily 
                        provides similar notices and information to the 
                        public.
                    ``(B) In the case of a waiver request submitted by 
                a local educational agency that receives funds under 
                this Act--
                            ``(i) such request shall be reviewed by the 
                        State educational agency and be accompanied by 
                        the comments, if any, of such State educational 
                        agency; and
                            ``(ii) notice and information regarding the 
                        waiver request shall be provided to the public 
                        by the agency requesting the waiver in the 
                        manner that such agency customarily provides 
                        similar notices and information to the public.
    ``(c) Restrictions.--The Secretary shall not waive under this 
section any statutory or regulatory requirements relating to--
            ``(1) the allocation or distribution of funds to States, 
        local educational agencies, or other recipients of funds under 
        this Act;
            ``(2) maintenance of effort;
            ``(3) comparability of services;
            ``(4) use of Federal funds to supplement, not supplant, 
        non-Federal funds;
            ``(5) equitable participation of private school students 
        and teachers;
            ``(6) parental participation and involvement;
            ``(7) applicable civil rights requirements;
            ``(8) the requirement for a charter school under part C of 
        title X; or
            ``(9) the prohibitions regarding--
                    ``(A) State aid in section 10502; or
                    ``(B) use of funds for religious worship or 
                instruction in section 10507.
    ``(d) Duration and Extension of Waiver.--
            ``(1) In general.--Except as provided in paragraph (2), the 
        duration of a waiver approved by the Secretary under this 
        section may be for a period not to exceed 3 years.
            ``(2) Extension.--The Secretary may extend the period 
        described in paragraph (1) if the Secretary determines that--
                    ``(A) the waiver has been effective in enabling the 
                State or affected recipients to carry out the 
                activities for which the waiver was requested and the 
                waiver has contributed to improved student performance; 
                and
                    ``(B) such extension is in the public interest.
    ``(e) Reports.--
            ``(1) Local waiver.--A local educational agency that 
        receives a waiver under this section shall at the end of the 
        second year for which a waiver is received under this section, 
        and each subsequent year, submit a report to the State 
        educational agency that--
                    ``(A) describes the uses of such waiver by such 
                agency or by schools;
                    ``(B) describes how schools continued to provide 
                assistance to the same populations served by the 
programs for which waivers are requested; and
                    ``(C) evaluates the progress of such agency and of 
                schools in improving the quality of instruction or the 
                academic performance of students.
            ``(2) State waiver.--A State educational agency that 
        receives reports required under paragraph (1) shall annually 
        submit a report to the Secretary that is based on such reports 
        and contains such information as the Secretary may require.
            ``(3) Indian tribe waiver.--An Indian tribe that receives a 
        waiver under this section shall annually submit a report to the 
        Secretary that--
                    ``(A) describes the uses of such waiver by schools 
                operated by such tribe; and
                    ``(B) evaluates the progress of such schools in 
                improving the quality of instruction or the academic 
                performance of students.
            ``(4) Report to congress.--Beginning in fiscal year 1997 
        and each subsequent year, the Secretary shall submit to the 
        Committee on Education and the Workforce of the House of 
        Representatives and the Committee on Health, Education, Labor 
        and Pensions of the Senate an annual report--
                    ``(A) summarizing the uses of waivers by State 
                educational agencies, local educational agencies, 
                Indian tribes, and schools; and
                    ``(B) describing whether such waivers--
                            ``(i) increased the quality of instruction 
                        to students; or
                            ``(ii) improved the academic performance of 
                        students.
    ``(f) Termination of Waivers.--The Secretary shall terminate a 
waiver under this section if the Secretary determines that the 
performance of the State or other recipient affected by the waiver has 
been inadequate to justify a continuation of the waiver or if the 
waiver is no longer necessary to achieve its original purposes.
    ``(g) Publication.--A notice of the Secretary's decision to grant 
each waiver under subsection (a) shall be published in the Federal 
Register and the Secretary shall provide for the dissemination of such 
notice to State educational agencies, interested parties, including 
educators, parents, students, advocacy and civil rights organizations, 
and the public.

                      ``PART E--UNIFORM PROVISIONS

``SEC. 10401. MAINTENANCE OF EFFORT.

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

``SEC. 10402. PROHIBITION REGARDING STATE AID.

    ``A State shall not take into consideration payments under this Act 
(other than under title VIII) in determining the eligibility of any 
local educational agency in such State for State aid, or the amount of 
State aid, with respect to free public education of children.

``SEC. 10403. PARTICIPATION BY PRIVATE SCHOOL CHILDREN AND TEACHERS.

    ``(a) Private School Participation.--
            ``(1) In general.--Except as otherwise provided in this 
        Act, to the extent consistent with the number of eligible 
        children in a State educational agency, local educational 
        agency, or educational service agency or consortium of such 
        agencies receiving financial assistance under a program 
        specified in subsection (b), who are enrolled in private 
        elementary and secondary schools in such agency or consortium, 
        such agency or consortium shall, after timely and meaningful 
        consultation with appropriate private school officials, provide 
        such children and their teachers or other educational 
        personnel, on an equitable basis, special educational services 
        or other benefits under such program.
            ``(2) Secular, neutral, and nonideological services or 
        benefits.--Educational services or other benefits, including 
        materials and equipment, provided under this section, shall be 
        secular, neutral, and nonideological.
            ``(3) Special rule.--Educational services and other 
        benefits provided under this section for such private school 
        children, teachers, and other educational personnel shall be 
        equitable in comparison to services and other benefits for 
        public school children, teachers, and other educational 
        personnel participating in such program.
            ``(4) Expenditures.--Expenditures for educational services 
        and other benefits provided under this section to eligible 
        private school children, their teachers, and other educational 
        personnel serving such children shall be equal, taking into 
        account the number and educational needs of the children to be 
        served, to the expenditures for participating public school 
        children.
            ``(5) Provision of services.--Such agency or consortium 
        described in subsection (a)(1) may provide such services 
        directly or through contracts with public and private agencies, 
        organizations, and institutions.
    ``(b) Applicability.--
            ``(1) In general.--This section applies to programs under--
                    ``(A) part C of title I (migrant education);
                    ``(B) title II;
                    ``(C) title VII;
                    ``(D) title III; and
                    ``(E) part A of title IV (other than section 4114).
            ``(2) Definition.--For the purposes of this section, the 
        term eligible children means children eligible for services 
        under a program described in paragraph (1).
    ``(c) Consultation.--
            ``(1) In general.--To ensure timely and meaningful 
        consultation, a State educational agency, local educational 
        agency, educational service agency or consortium of such 
        agencies shall consult with appropriate private school 
        officials during the design and development of the programs 
        under this Act, on issues such as--
                    ``(A) how the childrens' needs will be identified;
                    ``(B) what services will be offered;
                    ``(C) how and where the services will be provided; 
                and
                    ``(D) how the services will be assessed.
            ``(2) Timing.--Such consultation shall occur before the 
        agency or consortium makes any decision that affects the 
        opportunities of eligible private school children, teachers, 
        and other educational personnel to participate in programs 
        under this Act.
            ``(3) Discussion required.--Such consultation shall include 
        a discussion of service delivery mechanisms that the agency or 
        consortium could use to provide equitable services to eligible 
        private school children, teachers, administrators, and other 
        staff.
    ``(d) Public Control of Funds.--
            ``(1) In general.--The control of funds used to provide 
        services under this section, and title to materials, equipment, 
        and property purchased with such funds, shall be in a public 
        agency for the uses and purposes provided in this Act, and a 
        public agency shall administer such funds and property.
            ``(2) Provision of services.--
                    ``(A) The provision of services under this section 
                shall be provided--
                            ``(i) by employees of a public agency; or
                            ``(ii) through contract by such public 
                        agency with an individual, association, agency, 
                        or organization.
                    ``(B) In the provision of such services, such 
                employee, person, association, agency, or organization 
                shall be independent of such private school and of any 
                religious organization, and such employment or contract 
                shall be under the control and supervision of such 
                public agency.
                    ``(C) Funds used to provide services under this 
                section shall not be commingled with non-Federal funds.

``SEC. 10404. STANDARDS FOR BY-PASS.

    ``If, by reason of any provision of law, a State educational 
agency, local educational agency, educational service agency or 
consortium of such agencies is prohibited from providing for the 
participation in programs of children enrolled in, or teachers or other 
educational personnel from, private elementary and secondary schools, 
on an equitable basis, or if the Secretary determines that such agency 
or consortium has substantially failed or is unwilling to provide for 
such participation, as required by section 10503, the Secretary shall--
            ``(1) waive the requirements of that section for such 
        agency or consortium; and
            ``(2) arrange for the provision of equitable services to 
        such children, teachers, or other educational personnel through 
        arrangements that shall be subject to the requirements of this 
        section and of sections 10503, 10505, and 10506.

``SEC. 10405. COMPLAINT PROCESS FOR PARTICIPATION OF PRIVATE SCHOOL 
              CHILDREN.

    ``(a) Procedures for Complaints.--The Secretary shall develop and 
implement written procedures for receiving, investigating, and 
resolving complaints from parents, teachers, or other individuals and 
organizations concerning violations of section 10503 by a State 
educational agency, local educational agency, educational service 
agency, or consortium of such agencies. Such individual or organization 
shall submit such complaint to the State educational agency for a 
written resolution by the State educational agency within a reasonable 
period of time.
    ``(b) Appeals to the Secretary.--Such resolution may be appealed by 
an interested party to the Secretary not later than 30 days after the 
State educational agency resolves the complaint or fails to resolve the 
complaint within a reasonable period of time. Such appeal shall be 
accompanied by a copy of the State educational agency's resolution, and 
a complete statement of the reasons supporting the appeal. The 
Secretary shall investigate and resolve each such appeal not later than 
120 days after receipt of the appeal.

``SEC. 10406. BY-PASS DETERMINATION PROCESS.

    ``(a) Review.--
            ``(1) In general.--
                    ``(A) The Secretary shall not take any final action 
                under section 10504 until the State educational agency, 
                local educational agency, educational service agency, 
                or consortium of such agencies affected by such action 
                has had an opportunity, for not less than 45 days after 
                receiving written notice thereof, to submit written 
                objections and to appear before the Secretary to show 
                cause why that action should not be taken.
                    ``(B) Pending final resolution of any investigation 
                or complaint that could result in a determination under 
                this section, the Secretary may withhold from the 
                allocation of the affected State or local educational 
                agency the amount estimated by the Secretary to be 
                necessary to pay the cost of those services.
            ``(2) Petition for review.--
                    ``(A) If such affected agency or consortium is 
                dissatisfied with the Secretary's final action after a 
                proceeding under paragraph (1), such agency or 
                consortium may, not later than 60 days after notice of 
                such action, file with the United States court of 
                appeals for the circuit in which such State is located 
                a petition for review of that action.
                    ``(B) A copy of the petition shall be forthwith 
                transmitted by the clerk of the court to the Secretary.
                    ``(C) The Secretary upon receipt of the copy of the 
                petition shall file in the court the record of the 
                proceedings on which the Secretary based this action, 
                as provided in section 2112 of title 28, United States 
                Code.
            ``(3) Findings of fact.--
                    ``(A) The findings of fact by the Secretary, if 
                supported by substantial evidence, shall be conclusive, 
                but the court, for good cause shown, may remand the 
                case to the Secretary to take further evidence and the 
                Secretary may then make new or modified findings of 
                fact and may modify the Secretary's previous action, 
                and shall file in the court the record of the further 
                proceedings.
                    ``(B) Such new or modified findings of fact shall 
                likewise be conclusive if supported by substantial 
                evidence.
            ``(4) Jurisdiction.--
                    ``(A) Upon the filing of such petition, the court 
                shall have jurisdiction to affirm the action of the 
                Secretary or to set such action aside, in whole or in 
                part.
                    ``(B) The judgment of the court shall be subject to 
                review by the Supreme Court of the United States upon 
                certiorari or certification as provided in section 1254 
                of title 28, United States Code.
    ``(b) Determination.--Any determination by the Secretary under this 
section shall continue in effect until the Secretary determines, in 
consultation with such agency or consortium and representatives of the 
affected private school children, teachers, or other educational 
personnel that there will no longer be any failure or inability on the 
part of such agency or consortium to meet the applicable requirements 
of section 10503 or any other provision of this Act.
    ``(c) Payment From State Allotment.--When the Secretary arranges 
for services pursuant to this section, the Secretary shall, after 
consultation with the appropriate public and private school officials, 
pay the cost of such services, including the administrative costs of 
arranging for those services, from the appropriate allocation or 
allocations under this Act.
    ``(d) Prior Determination.--Any by-pass determination by the 
Secretary under this Act as in effect on the day preceding the date of 
the enactment of the Excellence and Accountability in Education Act 
shall remain in effect to the extent the Secretary determines that such 
determination is consistent with the purpose of this section.

``SEC. 10407. PROHIBITION AGAINST FUNDS FOR RELIGIOUS WORSHIP OR 
              INSTRUCTION AND VOUCHERIZED ASSISTANCE.

    ``(a) Nothing contained in this Act shall be construed to authorize 
the making of any payment under this Act for religious worship or 
instruction.
    ``(b) Notwithstanding any other provision of this Act, no services 
under this Act may be provided through voucher or certificate.

``SEC. 10408. APPLICABILITY TO HOME SCHOOLS.

    ``Nothing in this Act shall be construed to affect home schools.

``SEC. 10409. GENERAL PROVISION REGARDING NONRECIPIENT NONPUBLIC 
              SCHOOLS.

    ``Nothing in this Act shall be construed to permit, allow, 
encourage, or authorize any Federal control over any aspect of any 
private, religious, or home school, whether or not a home school is 
treated as a private school or home school under State law. This 
section shall not be construed to bar private, religious, or home 
schools from participation in programs or services under this Act.

``SEC. 10410. SCHOOL PRAYER.

    ``Any State or local educational agency that is adjudged by a 
Federal court of competent jurisdiction to have willfully violated a 
Federal court order mandating that such local educational agency remedy 
a violation of the constitutional right of any student with respect to 
prayer in public schools, in addition to any other judicial remedies, 
shall be ineligible to receive Federal funds under this Act until such 
time as the local educational agency complies with such order. Funds 
that are withheld under this section shall not be reimbursed for the 
period during which the local educational agency was in willful 
noncompliance.

``SEC. 10411. GENERAL PROHIBITIONS.

    ``(a) Prohibition.--None of the funds authorized under this Act 
shall be used--
            ``(1) to develop or distribute materials, or operate 
        programs or courses of instruction directed at youth that are 
        designed to promote or encourage, sexual activity;
            ``(2) to distribute or to aid in the distribution by any 
        organization of legally obscene materials to minors on school 
        grounds;
            ``(3) to purchase unsafe needles;
            ``(4) to provide sex education or HIV prevention education 
        in schools unless such instruction is age appropriate and 
        includes the health benefits of abstinence; or
            ``(5) to operate a program of condom distribution in 
        schools.
    ``(b) Local Control.--Nothing in this section shall be construed 
to--
            ``(1) authorize an officer or employee of the Federal 
        Government to mandate, direct, review, or control a State, 
        local educational agency, or school's instructional content, 
        curriculum, and related activities;
            ``(2) limit the application of the General Education 
        Provisions Act;
            ``(3) require the distribution of scientifically or 
        medically false or inaccurate materials or to prohibit the 
        distribution of scientifically or medically true or accurate 
        materials; or
            ``(4) create any legally enforceable right.

``SEC. 10412. PROHIBITION ON FEDERAL MANDATES, DIRECTION, AND CONTROL.

    ``Nothing in this Act shall be construed to authorize an officer or 
employee of the Federal Government to mandate, direct, or control a 
State, local educational agency, or schools curriculum, program of 
instruction, or allocation of State or local resources, or mandate a 
State or any subdivision thereof to spend any funds or incur any costs 
not paid for under this Act.

``SEC. 10413. REPORT.

    ``The Secretary shall report to the Congress not later than 180 
days after the date of the enactment of the Excellence and 
Accountability in Education Act regarding how the Secretary shall 
ensure that audits conducted by Department employees of activities 
assisted under this Act comply with changes to this Act made by the 
Excellence and Accountability in Education Act, particularly with 
respect to permitting children with similar educational needs to be 
served in the same educational settings, where appropriate.

``SEC. 10414. REQUIRED PARTICIPATION PROHIBITED.

    ``Notwithstanding any other provision of law, no State shall be 
required to participate in any program under the Goals 2000: Educate 
America Act, or to have content standards or student performance 
standards approved or certified under such Act, in order to receive 
assistance under this Act.

``SEC. 10415. PRIVACY FOR STUDENTS.

    ``(a) In General.--No State educational agency or local educational 
agency that receives funds under this Act may enter into an agreement, 
or allow a school under its supervision to enter into an agreement, 
with any person or entity that allows such person or entity to monitor, 
gather, or obtain information used to advertise, sell, or develop a 
product from any student under 18 years of age unless such agreement 
requires the written permission of the parent of such student prior to 
monitoring, gathering, or obtaining such information.
    ``(b) Nature of Information Collected.--Before a school, local 
educational agency, or State educational agency, as the case may be, 
enters into an agreement to allow a person or entity to monitor, 
gather, or obtain information used to advertise, sell, or develop a 
product from any student under 18 years, the school, agency, or State 
shall ascertain the nature of the information to be collected, how the 
information will be used, if the information will be sold, distributed, 
or transferred to any person or entity, and the amount of class time, 
if any, that will be consumed by such activity.
    ``(c) Consent Form.--The written permission required by subsection 
(a) shall clearly disclose to the parent the nature of the agreement 
between a school, local educational agency, or State educational 
agency, as the case may be, and the person or entity, including--
            ``(1) the dollar amount of any consideration paid under the 
        agreement;
            ``(2) the nature of the information to be gathered;
            ``(3) how the information will be used;
            ``(4) whether the information will be sold, distributed, or 
        transferred to any other entity; and
            ``(5) the amount of class time, if any, that will be 
        consumed by such activity.
    ``(d) Exceptions.--This section shall not apply to--
            ``(1) the recruitment activities of any institution of 
        higher education, as such term is defined in section 102 of the 
        Higher Education Act of 1965;
            ``(2) the development and administration of tests and 
        assessments used by elementary and secondary schools to provide 
        cognitive, evaluative, diagnostic, aptitude, or achievement 
        information about students (or for normalizing data), and the 
        subsequent analysis and public release of aggregate data, if--
                    ``(A) the information is not used to sell, 
                advertise, or develop another product; and
                    ``(B) the tests are conducted in accordance with 
                applicable Federal, State, and local policies;
            ``(3) the development and administration of educational 
        curriculum and instructional materials used by elementary and 
        secondary schools to teach core academic subjects, if--
                    ``(A) the information is not used to sell, 
                advertise, or develop another product; and
                    ``(B) the curriculum and instructional materials 
                are used in accordance with applicable Federal, State, 
                and local policies; or
            ``(4) contact information collected from a student that is 
        used only to respond directly to a specific request from the 
        student for a transaction, if the information--
                    ``(A) is not used for any purpose other than as 
                required in order to effect the transaction with the 
                student; and
                    ``(B) is not used to recontact the student in order 
                to advertise, sell, or develop any other product or 
                service to the student.

                         ``PART F--EVALUATIONS

``SEC. 10501. EVALUATIONS.

    ``(a) Evaluations.--
            ``(1) In general.--Except as provided in paragraph (2), the 
        Secretary is authorized to reserve not more than 0.50 percent 
        of the amount appropriated to carry out each program authorized 
        under this Act--
                    ``(A) to carry out comprehensive evaluations of 
                categorical programs and demonstration projects, and 
                studies of program effectiveness, under this Act, and 
                the administrative impact of such programs on schools 
                and local educational agencies in accordance with 
                subsection (b);
                    ``(B) to evaluate the aggregate short- and long-
                term effects and cost efficiencies across Federal 
                programs under this Act and related Federal preschool, 
                elementary and secondary programs under other Federal 
                law; and
                    ``(C) to strengthen the usefulness of grant 
                recipient evaluations for continuous program progress 
through improving the quality, timeliness, efficiency, and utilization 
of program information on program performance.
            ``(2) Special rule.--
                    ``(A) Paragraph (1) shall not apply to any program 
                under title I.
                    ``(B) If funds are made available under any program 
                assisted under this Act (other than a program under 
                title I) for evaluation activities, then the Secretary 
                shall reserve no additional funds pursuant to the 
                authority in subsection (a)(1) to evaluate such 
                program, but shall coordinate the evaluation of such 
                program with the national evaluation described in 
                subsection (b).
    ``(b) National Evaluation.--The Secretary shall use funds reserved 
under subsection (a) to conduct independent studies of programs under 
this Act and the effectiveness of those programs in achieving their 
purposes, to determine whether those programs (or the administration of 
those programs) are--
            ``(1) contributing to improved student academic 
        performance;
            ``(2) supporting the development of challenging standards 
        and aligned assessments that guide other elements of school 
        reform, including teacher certification, curriculum frameworks, 
        instruction, and professional development;
            ``(3) assisting efforts in schools and classrooms to 
        improve teaching and the climate for learning, particularly in 
        high-poverty schools, including efforts related to technology, 
        professional development, school violence and drug prevention, 
        and public school choice;
            ``(4) promoting flexibility with accountability;
            ``(5) supporting efforts to strengthen family and community 
        involvement in education;
            ``(6) targeting their resources effectively;
            ``(7) contributing to reform efforts and continuous 
        improvement; and
            ``(8) achieving other goals consistent with the purposes of 
        this Act.
    ``(c) Independent Panel.--The Secretary shall establish an 
independent panel to review studies under subsection (b) to advise the 
Secretary on their progress, and to comment, if the panel chooses, on 
the final report described in subsection (d).
    ``(d) Reports.--The Secretary shall submit an interim report on the 
evaluation described in subsection (b) not later than 3 years after the 
date of the enactment of the Excellence and Accountability in Education 
Act and a final report not later than 4 years after such date to the 
Committee on Education and the Workforce of the House of 
Representatives and to the Committee on Health, Education, Labor, and 
Pensions of the Senate.
    ``(e) Partnerships to Strengthen Performance Information for 
Improvement.--The Secretary may provide technical assistance to 
recipients of assistance under this Act in order to strengthen the 
collection and assessment of information relating to program 
performance and quality assurance at the State and local levels. Such 
technical assistance shall be designed to promote the development, 
measurement, use, and reporting of data on valid, reliable, timely, and 
consistent performance indicators, within and across programs, and may 
include one-time grants, from funds reserved under subsection (a), to 
recipients to develop their data systems with the goal of helping 
recipients make continuous program improvement.

``SEC. 10502. PERFORMANCE MEASURES.

    ``(a) In General.--The Secretary is authorized to establish 
performance indicators, benchmarks, and targets for each program under 
this Act and subtitle B of title VII of the Stewart B. McKinney 
Homeless Assistance Act, to assist in measuring program performance. 
Indicators, benchmarks, and targets under this section shall be 
consistent with the Government Performance and Results Act of 1993 (and 
strategic plans adopted by the Secretary under that Act).
    ``(b) Collaboration.--The Secretary shall collaborate with State 
educational agencies, local educational agencies, and other recipients 
under this Act in establishing performance indicators, benchmarks, and 
targets under this section.
    ``(c) Plans and Applications.--The Secretary may require any 
applicant for funds under this Act or subtitle B of title VII of the 
Stewart B. McKinney Homeless Assistance Act to--
            ``(1) include in its plan or application information 
        relating to how it will use performance indicators, benchmarks, 
        and targets under this section to improve its program 
        performance; and
            ``(2) report data relating to such performance indicators, 
        benchmarks, and targets to the Secretary.

                      ``PART G--SENSE OF CONGRESS

``SEC. 10601. SENSE OF CONGRESS; REQUIREMENT REGARDING NOTICE.

    ``(a) Purchase of American-Made Equipment and Products.--In the 
case of any equipment or products that may be authorized to be 
purchased with financial assistance provided under this Act, it is the 
sense of the Congress that entities receiving such assistance should, 
in expending the assistance, purchase only American-made equipment and 
products.
    ``(b) Notice to Recipients of Assistance.--In providing financial 
assistance under this Act, the head of each Federal agency shall 
provide to each recipient of the assistance a notice describing the 
statement made in subsection (a) by the Congress.

                      ``PART H--DROPOUT PREVENTION

``SEC. 10701. DROPOUT PREVENTION.

    ``In order to receive any assistance under this Act, a State 
educational agency shall comply with the following provisions regarding 
school dropouts:
            ``(1) Uniform data collection.--Within 1 year after the 
        date of the enactment of the Excellence and Accountability in 
        Education Act, a State educational agency shall report to the 
        Secretary and statewide, all school district and school data 
        regarding school dropout rates in the State, and demographic 
        breakdowns, according to procedures that conform with the 
        National Center for Education Statistics' Common Core of Data.
            ``(2) Attendance-neutral funding policies.--Within 2 years 
        after the date of the enactment of the Excellence and 
        Accountability in Education Act, a State educational agency 
        shall develop and implement education funding formula policies 
        for public schools that provide appropriate incentives to 
        retain students in school throughout the school year, such as--
                    ``(A) a student count methodology that does not 
                determine annual budgets based on attendance on a 
                single day early in the academic year; and
                    ``(B) specific incentives for retaining enrolled 
                students throughout each year.
            ``(3) Suspension and expulsion policies.--Within 2 years 
        after the date of the enactment of the Excellence and 
        Accountability in Education Act, a State educational agency 
        shall develop uniform, long-term suspension and expulsion 
        policies for serious infractions resulting in more than 10 days 
        of exclusion from school per academic year so that similar 
        violations result in similar penalties.''.

                    TITLE X--REPEALS; EFFECTIVE DATE

SEC. 1001. REPEALS; EFFECTIVE DATE.

    (a) Repeal of School Facilities Infrastructure Improvement Act and 
Support and Assistance Programs To Improve Education.--Title XII and 
XIII are repealed.
    (b) Effective Date.--This Act and the amendments made by this Act 
shall take effect on October 1, 2001, or the date of the enactment of 
this Act, whichever occurs later.

                   TITLE XI--AMENDMENTS TO OTHER ACTS

SEC. 1101. AMENDMENTS TO EDUCATION AMENDMENTS OF 1978.

    Part B of title XI of the Education Amendments of 1978 (25 U.S.C. 
2001 et seq.) is amended--
            (1) in section 1121--
                    (A) by inserting ``accreditation and'' before 
                ``standards'' in the heading;
                    (B) by striking subsections (a) through (g) of 
                section 1121 and inserting the following:
    ``(a) Purpose; Declarations of Purposes.--
            ``(1) Purpose.--The purpose of the standards implemented 
        under this section shall be to afford Indian students being 
        served by a school funded by the Bureau of Indian Affairs the 
        same opportunities as all other students in the United States 
        to achieve the same challenging State performance standards 
        expected of all students.
            ``(2) Declarations of purposes.--Local school boards for 
        schools operated by the Bureau of Indian Affairs, in 
        cooperation and consultation with their tribal governing bodies 
        and their communities, are encouraged to adopt declarations of 
        purposes of education for their communities taking into account 
        the implications of such purposes on education in their 
        communities and for their schools. In adopting such 
        declarations of purpose, the school boards shall consider the 
        effect those declarations may have on the motivation of 
        students and faculties. Such declarations shall represent the 
        aspirations of the community for the kinds of people the 
        community would like its children to become, and shall include 
        assurances that all learners will become accomplished in things 
        and ways important to them and respected by their parents and 
        communities, shaping worthwhile and satisfying lives for 
        themselves, exemplifying the best values of the community and 
        humankind, and becoming increasingly effective in shaping the 
        character and quality of the world all learners share. These 
        declarations of purpose shall influence the standards for 
        accreditation to be accepted by the schools.
    ``(b) Studies and Surveys Relating to Standards.--Not later than 1 
year after the date of the enactment of the Excellence and 
Accountability in Education Act, the Secretary, in consultation with 
the Secretary of Education, consortia of education organizations, and 
Indian organizations and tribes, and making the fullest use possible of 
other existing studies, surveys, and plans, shall carry out by contract 
with an Indian organization, studies and surveys to establish and 
revise standards for the basic education of Indian children attending 
Bureau funded schools. Such studies and surveys shall take into account 
factors such as academic needs, local cultural differences, type and 
level of language skills, geographic isolation, and appropriate 
teacher-student ratios for such children, and shall be directed toward 
the attainment of equal educational opportunity for such children.
    ``(c) Revision of Minimum Academic Standards.--
            ``(1) In general.--Not later than 2 years after the date of 
        the enactment of the Excellence and Accountability in Education 
        Act, the Secretary shall--
                    ``(A) propose revisions to the minimum academic 
                standards published in the Federal Register on 
                September 9, 1995 (50 Fed. Reg. 174) for the basic 
education of Indian children attending Bureau funded schools in 
accordance with the purpose described in subsection (a) and the 
findings of the studies and surveys conducted under subsection (b);
                    ``(B) publish such proposed revisions to such 
                standards in the Federal Register for the purpose of 
                receiving comments from the tribes, tribal school 
                boards, Bureau funded schools, and other interested 
                parties; and
                    ``(C) consistent with the provisions of this 
                section and section 1131, take such actions as are 
                necessary to coordinate standards implemented under 
                this section with the Comprehensive School Reform Plan 
                developed by the Bureau and--
                            ``(i) with the standards of the improvement 
                        plans for the States in which any school 
                        operated by the Bureau of Indian Affairs is 
                        located; or
                            ``(ii) in the case where schools operated 
                        by the Bureau are within the boundaries of 
                        reservation land of 1 tribe but within the 
                        boundaries of more than 1 State, with the 
                        standards of the State improvement plan of 1 
                        such State selected by the tribe.
            ``(2) Further revisions.--Not later than 180 days after the 
        close of the comment period, the Secretary shall establish 
        final standards, distribute such standards to all tribes and 
        publish such final standards in the Federal Register. The 
        Secretary shall revise such standards periodically as 
        necessary. Prior to any revision of such final standards, the 
        Secretary shall distribute such proposed revision to all the 
        tribes, and publish such proposed revision in the Federal 
        Register, for the purpose of receiving comments from the tribes 
        and other interested parties.
            ``(3) Applicability of standards.--Except as provided in 
        subsection (e), the final standards published under paragraph 
        (2) shall apply to all Bureau funded schools not accredited 
        under subsection (f), and may also serve as a model for 
        educational programs for Indian children in public schools.
            ``(4) Considerations when establishing and revising 
        standards.--In establishing and revising such standards, the 
        Secretary shall take into account the unique needs of Indian 
        students and support and reinforcement of the specific cultural 
        heritage of each tribe.
    ``(d) Alternative or Modified Standards.--The Secretary shall 
provide alternative or modified standards in lieu of the standards 
established under subsection (c), where necessary, so that the programs 
of each school are in compliance with the minimum accreditation 
standards required for schools in the State or region where the school 
is located.
    ``(e) Waiver of Standards; Alternative Standards.--A tribal 
governing body, or the local school board so designated by the tribal 
governing body, shall have the local authority to waive, in part or in 
whole, the standards established under subsection (c) and (d) if such 
standards are deemed by such body to be inappropriate. The tribal 
governing body or designated school board shall, not later than 60 days 
after a waiver under this subsection, submit to the Secretary a 
proposal for alternative standards that take into account the specific 
needs of the tribe's children. Such alternative standards shall be 
established by the Secretary unless specifically rejected by the 
Secretary for good cause and in writing to the affected tribes or local 
school board, which rejection shall be final and not subject to review.
    ``(f) Accreditation and Implementation of Standards.--
            ``(1) Deadline for meeting standards.--Not later the second 
        academic year after publication of the standards, to the extent 
        necessary funding is provided, all Bureau funded schools shall 
        meet the standards established under subsections (c) and (d) or 
        shall be accredited--
                    ``(A) by a tribal accrediting body, if the 
                accreditation standards of the tribal accrediting body 
                have been accepted by formal action of the tribal 
                governing body and are equal to or exceed the 
                accreditation standards of the State or region in which 
                the school is located;
                    ``(B) by a regional accreditation agency; or
                    ``(C) by State accreditation standards for the 
                State in which it is located.
            ``(2) Determination of standards to be applied.--The 
        accreditation type or standards applied for each school shall 
        be determined by the school board of the school, in 
        consultation with the Administrator of the school, provided 
        that in the case where the School Board and the Administrator 
        fail to agree on the type of accreditation and standards to 
        apply, the decision of the school board with the approval of 
        the tribal governing body shall be final.
            ``(3) Assistance to school boards.--The Secretary, through 
        contracts and grants, shall assist school boards of contract or 
        grant schools in implementation of the standards established 
        under subsections (c) and (d), if the school boards request 
        that such standards, in part or in whole, be implemented.
            ``(4) Fiscal control and fund accounting standards.--The 
        Bureau shall, either directly or through contract with an 
        Indian organization, establish a consistent system of reporting 
        standards for fiscal control and fund accounting for all 
        contract and grant schools. Such standards shall provide data 
        comparable to those used by Bureau operated schools.
    ``(g) Annual Plan for Meeting of Standards.--Except as provided in 
subsections (e) and (f), the Secretary shall begin to implement the 
standards established under this section immediately upon the date of 
their establishment. On an annual basis, the Secretary shall submit to 
the appropriate committees of Congress, all Bureau funded schools, and 
the tribal governing bodies of such schools a detailed plan to bring 
all Bureau schools and contract or grant schools up to the level 
required by the applicable standards established under this 
section. Such plan shall include detailed information on the status of 
each school's educational program in relation to the applicable 
standards established under this section, specific cost estimates for 
meeting such standards at each school and specific timelines for 
bringing each school up to the level required by such standards.''; and
                    (C) by adding at the end the following:
    ``(m) Statutory Construction.--Nothing in this section shall be 
read so as to preclude the expansion of grades and related facilities 
at a Bureau funded school where such expansion and the maintenance of 
such expansion is occasioned or paid for with non-Bureau funds.
    ``(n) General Use of Funds.--Funds received by Bureau funded 
schools from the Bureau of Indian Affairs and under any program from 
the Department of Education or any other Federal agency for the purpose 
of providing education or related services may be used for schoolwide 
projects to improve the educational program for all Indian students.
    ``(o) Study on Adequacy of Funds and Formulas.--The Comptroller 
General of the United States shall conduct a study, in consultation 
with Indian tribes and local school boards, to determine the adequacy 
of funding, and formulas used by the Bureau to determine funding, for 
programs operated by Bureau funded schools, taking into account unique 
circumstances applicable to Bureau funded schools, as well as 
expenditures for comparable purposes in public schools nationally. Upon 
completion of the study, the Secretary of the Interior shall take such 
action as necessary to ensure distribution of the findings of the study 
to all affected Indian tribes, local school boards, and associations of 
local school boards.'';
            (2) by striking section 1122 and inserting the following:

``SEC. 1122. NATIONAL CRITERIA FOR HOME LIVING SITUATIONS.

    ``(a) In General.--The Secretary, in consultation with the 
Secretary of Education, Indian organizations and tribes, and Bureau 
funded schools, shall revise the national standards for home-living 
(dormitory) situations to include such factors as heating, lighting, 
cooling, adult-child ratios, needs for counselors (including special 
needs related to off-reservation home-living (dormitory) situations), 
therapeutic programs, space, and privacy. Such standards shall be 
implemented in Bureau operated schools, and shall serve as minimum 
standards for contract or grant schools.
    ``(b) Implementation.--The Secretary shall implement the revised 
standards established under this section immediately upon their 
completion.
    ``(c) Plan.--At the time of each annual budget submission for 
Bureau educational services is presented, the Secretary shall submit to 
the appropriate committees of Congress, the tribes, and the affected 
schools, and publish in the Federal Register, a detailed plan to bring 
all Bureau funded schools that provide home-living (dormitory) 
situations up to the standards established under this section. Such 
plan shall include a statement of the relative needs of each Bureau 
funded home-living (dormitory) school, projected future needs of each 
Bureau funded home-living (dormitory) school, detailed information on 
the status of each school in relation to the standards established 
under this section, specific cost estimates for meeting each standard 
for each such school, aggregate cost estimates for bringing all such 
schools into compliance with the criteria established under this 
section, and specific timelines for bringing each school into 
compliance with such standards.
    ``(d) Waiver.--The criteria established under this section may be 
waived in the same manner as the standards provided under section 
1121(e) may be waived.
    ``(e) Closure for Failure To Meet Standards Prohibited.--No school 
in operation on or before January 1, 1987 (regardless of compliance or 
noncompliance with the criteria established under this section), may be 
closed, transferred to another authority, consolidated, or have its 
program substantially curtailed for failure to meet the criteria.'';
            (3) by striking sections 1124 and 1125 and inserting the 
        following:

``SEC. 1124. SCHOOL BOUNDARIES.

    ``(a) Establishment by Secretary.--The Secretary shall establish, 
by regulation, separate geographical attendance areas for each Bureau 
funded school.
    ``(b) Establishment by Tribal Body.----In any case where there is 
more than 1 Bureau funded school located on an Indian reservation, at 
the direction of the tribal governing body, the relevant school boards 
of the Bureau funded schools on the reservation may, by mutual consent, 
establish the relevant attendance areas for such schools, subject to 
the approval of the tribal governing body. Any such boundaries so 
established shall be accepted by the Secretary.
    ``(c) Boundary Revisions.--
            ``(1) In general.--On or after the date of the enactment of 
        the Excellence and Accountability in Education Act, no 
        geographical attendance area shall be revised or established 
        with respect to any Bureau funded school unless the tribal 
        governing body or the local school board concerned (if so 
        designated by the tribal governing body) has been afforded--
                    ``(A) at least 180 days notice of the intention of 
                the Bureau to revise or establish such attendance area; 
                and
                    ``(B) the opportunity to propose alternative 
                boundaries.
        Any tribe may petition the Secretary for revision of existing 
        attendance area boundaries. The Secretary shall accept such 
        proposed alternative or revised boundaries unless the Secretary 
        finds, after consultation with the affected tribe or tribes, 
        that such revised boundaries do not reflect the needs of the 
        Indian students to be served or do not provide adequate 
        stability to all of the affected programs. The Secretary shall 
        cause such revisions to be published in the Federal Register.
            ``(2) Tribal resolution determination.--Nothing in this 
        section shall be interpreted as denying a tribal governing body 
        the authority, on a continuing basis, to adopt a tribal 
        resolution allowing parents the choice of the Bureau funded 
        school their children may attend, regardless of the attendance 
        boundaries established under this section.
    ``(d) Funding Restrictions.--The Secretary shall not deny funding 
to a Bureau funded school for any eligible Indian student attending the 
school solely because that student's home or domicile is outside of the 
geographical attendance area established for that school under this 
section. No funding shall be made available without tribal 
authorization to enable a school to provide transportation for any 
student to or from the school and a location outside the approved 
attendance area of the school.
    ``(e) Reservation as Boundary.--In any case where there is only 1 
Bureau funded program located on an Indian reservation, the attendance 
area for the program shall be the boundaries (established by treaty, 
agreement, legislation, court decisions, or executive decisions and as 
accepted by the tribe) of the reservation served, and those students 
residing near the reservation shall also receive services from such 
program.
    ``(f) Off-Reservation Home-Living (Dormitory) Schools.--
Notwithstanding any geographical attendance areas, attendance at off-
reservation home-living (dormitory) schools shall include students 
requiring special emphasis programs to be implemented at each off-
reservation home-living (dormitory) school. Such attendance shall be 
coordinated between education line officers, the family, and the 
referring and receiving programs.

``SEC. 1125. FACILITIES CONSTRUCTION.

    ``(a) Compliance With Health and Safety Standards.--The Secretary 
shall immediately begin to bring all schools, dormitories, and other 
Indian education-related facilities operated by the Bureau or under 
contract or grant with the Bureau into compliance with all applicable 
tribal, Federal, or State health and safety standards, whichever 
provides greater protection (except that the tribal standards to be 
applied shall be no greater than any otherwise applicable Federal or 
State standards), with section 504 of the Rehabilitation Act of 1973, 
and with the Americans with Disabilities Act of 1990. Nothing in this 
section shall require termination of the operations of any facility 
which does not comply with such provisions and which is in use on the 
date of the enactment of the Excellence and Accountability in Education 
Act.
    ``(b) Compliance Plan.--At the time that the annual budget request 
for Bureau educational services is presented, the Secretary shall 
submit to the appropriate committees of Congress a detailed plan to 
bring all facilities covered under subsection (a) of this section into 
compliance with the standards referred to in subsection (a). Such plan 
shall include detailed information on the status of each facility's 
compliance with such standards, specific cost estimates for meeting 
such standards at each school, and specific timelines for bringing each 
school into compliance with such standards.
    ``(c) Construction Priorities.--
            ``(1) System to establish priorities.--On an annual basis 
        the Secretary shall submit to the appropriate committees of 
        Congress and cause to be published in the Federal Register, the 
        system used to establish priorities for replacement and 
        construction projects for Bureau funded schools and home-living 
        schools, including boarding schools and dormitories. At the 
        time any budget request for education is presented, the 
        Secretary shall publish in the Federal Register and submit with 
        the budget request the current list of all Bureau funded school 
        construction priorities.
            ``(2) Long-term construction and replacement list.--In 
        addition to the plan submitted under subsection (b), the 
        Secretary shall--
                    ``(A) not later than 18 months after the date of 
                the enactment of the Excellence and Accountability in 
                Education Act, establish a long-term construction and 
                replacement list for all Bureau funded schools;
                    ``(B) using the list prepared under subparagraph 
                (A), propose a list for the orderly replacement of all 
                Bureau funded education-related facilities over a 
                period of 40 years to enable planning and scheduling of 
                budget requests;
                    ``(C) cause the list prepared under subsection (B) 
                to be published in the Federal Register and allow a 
                period of not less than 120 days for public comment;
                    ``(D) make such revisions to the list prepared 
                under subparagraph (B) as are appropriate based on the 
                comments received; and
                    ``(E) cause the final list to be published in the 
                Federal Register.
            ``(3) Effect on other list.--Nothing in this section shall 
        be construed as interfering with or changing in any way the 
        construction priority list as it exists on the date of the 
        enactment of the Excellence and Accountability in Education 
        Act.
    ``(d) Hazardous Condition at Bureau School.--
            ``(1) Closure or consolidation.--A Bureau funded school may 
        be closed or consolidated, and the programs of a Bureau funded 
        school may be substantially curtailed by reason of plant 
        conditions that constitute an immediate hazard to health and 
        safety only if a health and safety officer of the Bureau 
        determines that such conditions exist at the Bureau funded 
        school.
            ``(2) Inspection.--(A) After making a determination 
        described in paragraph (1), the Bureau health and safety 
        officer shall conduct an inspection of the condition of such 
        plant accompanied by an appropriate tribal, county, municipal, 
        or State health and safety officer in order to determine 
        whether conditions at such plant constitute an immediate hazard 
        to health and safety. Such inspection shall be completed by not 
        later than the date that is 30 days after the date on which the 
        action described in paragraph (1) is taken. No further negative 
        action may be taken unless the findings are concurred in by the 
        second, non-Bureau of Indian Affairs inspector.
            ``(B) If the health and safety officer conducting the 
        inspection of a plant required under subparagraph (A) 
        determines that conditions at the plant do not constitute an 
        immediate hazard to health and safety, any consolidation or 
        curtailment that was made under paragraph (1) shall immediately 
        cease and any school closed by reason of conditions at the 
        plant shall be reopened immediately.
            ``(C) If a Bureau funded school is temporarily closed or 
        consolidated or the programs of a Bureau funded school are 
        substantially curtailed under this subsection and the Secretary 
        determines that the closure, consolidation, or curtailment will 
        exceed 1 year, the Secretary shall submit to the Congress, by 
        not later than 180 days after the date on which the closure, 
        consolidation, or curtailment was initiated, a report which 
        sets forth the reasons for such temporary actions, the actions 
        the Secretary is taking to eliminate the conditions that 
        constitute the hazard, and an estimated date by which such 
        actions will be concluded.
    ``(e) Funding Requirement.--
            ``(1) Distribution of funds.--Beginning with the fiscal 
        year following the year of the date of the enactment of the 
        Excellence and Accountability in Education Act, all funds 
        appropriated for the operations and maintenance of Bureau 
        funded schools shall be distributed by formula to the schools. 
        No funds from this account may be retained or segregated by the 
        Bureau to pay for administrative or other costs of any 
        facilities branch or office, at any level of the Bureau.
            ``(2) Requirements for certain uses.--No funds shall be 
        withheld from the distribution to the budget of any school 
        operated under contract or grant by the Bureau for maintenance 
        or any other facilities or road related purpose, unless such 
        school has consented, as a modification to the contract or in 
        writing for grants schools, to the withholding of such funds, 
        including the amount thereof, the purpose for which the funds 
        will be used, and the timeline for the services to be provided. 
        The school may, at the end of any fiscal year, cancel an 
        agreement under this paragraph upon giving the Bureau 30 days 
        notice of its intent to do so.
    ``(f) No Reduction in Federal Funding.--Nothing in this section 
shall be construed to diminish any Federal funding due to the receipt 
by the school of funding for facilities improvement or construction 
from a State or any other source.'';
            (4) in section 1143(f), by striking ``$10,000,000'' and all 
        that follows through the period and inserting ``$12,000,000 for 
        fiscal year 2002 and such sums as may be necessary for each of 
        the 4 succeeding fiscal years.''; and
            (5) in section 1144(e), by striking ``$2,000,000' and all 
        that follows through the period and inserting ``$2,000,000 for 
        fiscal year 2002 and such sums as may be necessary for each of 
        the 4 succeeding fiscal years.''.

SEC. 1102. AMENDMENTS TO TRIBALLY CONTROLLED SCHOOLS ACT OF 1988.

    The Tribally Controlled Schools Act of 1988 (Public Law 100-297; 25 
U.S.C. 2501 et seq.) is amended--
            (1) by redesignating section 5212 as section 5213; and
            (2) by inserting after section 5211 the following:

``SEC. 5212. THE TRIBALLY CONTROLLED GRANT SCHOOL ENDOWMENT PROGRAM.

    ``(a) In General.--
            ``(1) Each school receiving grants under this part may 
        establish, at a Federally insured banking and savings 
        institution, a trust fund for the purposes of this section.
            ``(2) The school may provide--
                    ``(A) for the deposit into the trust fund, only 
                funds from non-Federal sources, except that the 
                interest on funds received from grants under this part 
                may be used for this purpose;
                    ``(B) for the deposit in the account of any 
                earnings on funds deposited in the account; and
                    ``(C) for the sole use of the school any noncash, 
                in-kind contributions of real or personal property, 
                such property may at any time be converted to cash.
    ``(b) Interest.--Interest from the fund established under 
subsection (a) may periodically be withdrawn and used, at the 
discretion of the school, to defray any expenses associated with the 
operation of the school.''.

SEC. 1103. AMENDMENTS TO STEWART B. MCKINNEY HOMELESS ASSISTANCE ACT.

    Subtitle B of title VII of the Stewart B. McKinney Homeless Act (42 
U.S.C. 11431 et seq.) is amended--
            (1) in section 722(e), by adding at the end the following:
            ``(3) Prohibition on segregating homeless students.--In 
        providing a free, public education to a homeless child or 
        youth, no State receiving funds under this subtitle shall 
        segregate such child or youth, either in a separate school, or 
        in a separate program within a school, based solely on such 
        child or youth's status as homeless.'';
            (2) by striking section 722(g)(1)(H) and inserting the 
        following:
                    ``(H) contain assurances that State and local 
                educational agencies shall--
                            ``(i) adopt policies and practices to 
                        ensure that homeless children and youth are not 
                        segregated solely on the basis of their status 
                        as homeless; and
                            ``(ii) designate an appropriate staff 
                        person, who may also be a coordinator for other 
                        Federal programs, as a liaison for homeless 
                        children and youth.'';
            (3) in section 722(g)(3)(A)(i)--
                    (A) by redesignating subclause (II) as subclause 
                (III); and
                    (B) by striking subclause (I) and inserting the 
                following:
                                    ``(I) for the duration of their 
                                homelessness;
                                    ``(II) if the child becomes 
                                permanently housed, for the remainder 
                                of the academic year; or'';
            (4) by striking section 722(g)(3)(C) and inserting the 
        following:
                    ``(C) Enrollment.--(i) A school that a homeless 
                child seeks to enroll in shall, in accordance with this 
                paragraph, immediately enroll the homeless child or 
                youth even if the child or youth is unable to produce 
                records normally required for enrollment, such as 
previous academic records, proof of residency, or other documentation.
                    ``(ii) The enrolling school shall immediately 
                contact the school last attended by the child or youth 
                to obtain relevant academic and other records.
                    ``(iii) If the child or youth needs to obtain 
                immunizations or immunization records, the enrolling 
                school shall immediately refer the parent or guardian 
                of the child or youth to the liaison who shall assist 
                in obtaining necessary immunizations or immunization 
                records in accordance with subparagraph (E).
                    ``(D) Records.--Any record ordinarily kept by the 
                school, including immunization records, academic 
                records, birth certificates, guardianship records, and 
                evaluations for special services or programs, of each 
                homeless child or youth shall be maintained--
                            ``(i) so that the records are available, in 
                        a timely fashion, when a child or youth enters 
                        a new school district; and
                            ``(ii) in a manner consistent with section 
                        444 of the General Education Provisions Act.
                    ``(E) Enrollment disputes.--If there is a dispute 
                over school selection or enrollment--
                            ``(i) the child or youth shall be 
                        immediately admitted to the school in which 
                        enrollment is sought, pending resolution of the 
                        dispute;
                            ``(ii) the parent or guardian shall be 
                        provided with a written explanation of the 
                        school's decision regarding enrollment, 
                        including the right to appeal the decision; and
                            ``(iii) the parent or guardian shall be 
                        referred to the liaison, who shall carry out 
                        the dispute resolution process as described in 
                        paragraph (6)(D) as expeditiously as possible, 
                        after receiving notice of the dispute.
                    ``(F) Placement choice.--The choice regarding 
                placement shall be made regardless of whether the child 
                or youth lives with the homeless parents or has been 
                temporarily placed elsewhere by the parents.
                    ``(G) Definition.--For the purposes of this 
                paragraph, the term `school of origin' means the school 
                that the child or youth attended when permanently 
                housed, or the school in which the child or youth was 
                last enrolled.
                    ``(H) Contact information.--Nothing in this 
                subtitle shall prohibit a local educational agency from 
                requiring a parent or guardian of a homeless child to 
                submit contact information required by the local 
                educational agency of a parent or guardian of a 
                nonhomeless child.'';
            (5) by striking section 722(g)(7) and inserting the 
        following:
            ``(7) Liaison.--
                    ``(A) Duties.--Each local liaison for homeless 
                children and youth, designated pursuant to subsection 
                (g)(1)(H)(ii), shall ensure that--
                            ``(i) homeless children and youth enroll 
                        in, and have an equal opportunity to succeed 
                        in, schools of that agency;
                            ``(ii) homeless families, children, and 
                        youth receive educational services for which 
                        such families, children, and youth are 
                        eligible, including Head Start and Even Start 
                        programs and preschool programs administered by 
                        the local educational agency, and referrals to 
                        health care services, dental services, mental 
                        health services, and other appropriate 
                        services;
                            ``(iii) the parents or guardians of 
                        homeless children and youth are informed of the 
                        education and related opportunities available 
                        to their children and are provided with 
                        meaningful opportunities to participate in the 
                        education of their children; and
                            ``(iv) public notice of the educational 
                        rights of homeless children and youth is 
                        disseminated where such children and youth 
                        receive services under this Act (such as family 
                        shelters and soup kitchens).
                    ``(B) Notice.--State coordinators and local 
                educational agencies shall inform school personnel, 
                service providers, and advocates working with homeless 
                families of the duties of the liaisons.
                    ``(C) Local and state coordination.--Local 
                educational agency liaisons for homeless children and 
                youth shall, as a part of their duties, coordinate and 
                collaborate with State coordinators and community and 
                school personnel responsible for the provision of 
                education and related services to homeless children and 
                youth.
                    ``(D) Dispute resolution.--Unless another 
                individual is designated by State law, the local 
                educational agency liaisons for homeless children and 
                youth shall provide resource information and assist in 
                resolving disputes under this subtitle, should they 
                arise.''; and
            (6) by striking section 726 and inserting the following:

``SEC. 726. AUTHORIZATION OF APPROPRIATIONS.

    ``For the purpose of carrying out this subtitle, there are 
authorized to be appropriated $50,000,000 for fiscal year 2002 and such 
sums as may be necessary for each of the fiscal years 2003 through 
2006.''.
                                 <all>