[Congressional Bills 108th Congress]
[From the U.S. Government Publishing Office]
[H.R. 1350 Public Print (PP)]
May 21, 2004
Ordered to be printed as passed
In the Senate of the United States,
May 13, 2004.
Resolved, That the bill from the House of Representatives (H.R.
1350) entitled ``An Act to reauthorize the Individuals with
Disabilities Education Act, and for other purposes.'', do pass with the
following
AMENDMENT:
Strike out all after the enacting clause and insert:
SECTION 1. SHORT TITLE.
This Act may be cited as the ``Individuals with Disabilities
Education Improvement Act of 2004''.
SEC. 2. ORGANIZATION OF THE ACT.
This Act is organized into the following titles:
TITLE I--AMENDMENTS TO THE INDIVIDUALS WITH DISABILITIES EDUCATION ACT
TITLE II--AMENDMENTS TO THE REHABILITATION ACT OF 1973
TITLE III--NATIONAL CENTER FOR SPECIAL EDUCATION RESEARCH
TITLE IV--COMMISSION ON UNIVERSAL DESIGN AND THE ACCESSIBILITY OF
CURRICULUM AND INSTRUCTIONAL MATERIALS
TITLE V--MISCELLANEOUS
TITLE I--AMENDMENTS TO THE INDIVIDUALS WITH DISABILITIES EDUCATION ACT
SEC. 101. AMENDMENTS TO THE INDIVIDUALS WITH DISABILITIES EDUCATION
ACT.
Parts A through D of the Individuals with Disabilities Education
Act (20 U.S.C. 1400 et seq.) are amended to read as follows:
``PART A--GENERAL PROVISIONS
``SEC. 601. SHORT TITLE; TABLE OF CONTENTS; FINDINGS; PURPOSES.
``(a) Short Title.--This Act may be cited as the `Individuals with
Disabilities Education Act'.
``(b) Table of Contents.--The table of contents for this Act is as
follows:
``Part A--General Provisions
``Sec. 601. Short title; table of contents; findings; purposes.
``Sec. 602. Definitions.
``Sec. 603. Office of Special Education Programs.
``Sec. 604. Abrogation of State sovereign immunity.
``Sec. 605. Acquisition of equipment; construction or
alteration of facilities.
``Sec. 606. Employment of individuals with disabilities.
``Sec. 607. Requirements for prescribing regulations.
``Sec. 608. State administration.
``Sec. 609. Paperwork reduction.
``Sec. 610. Freely associated States.
``Part B--Assistance for Education of All Children With Disabilities
``Sec. 611. Authorization; allotment; use of funds;
authorization of appropriations.
``Sec. 612. State eligibility.
``Sec. 613. Local educational agency eligibility.
``Sec. 614. Evaluations, eligibility determinations,
individualized education programs, and
educational placements.
``Sec. 615. Procedural safeguards.
``Sec. 616. Monitoring, technical assistance, and enforcement.
``Sec. 617. Administration.
``Sec. 618. Program information.
``Sec. 619. Preschool grants.
``Part C--Infants and Toddlers With Disabilities
``Sec. 631. Findings and policy.
``Sec. 632. Definitions.
``Sec. 633. General authority.
``Sec. 634. Eligibility.
``Sec. 635. Requirements for statewide system.
``Sec. 636. Individualized family service plan.
``Sec. 637. State application and assurances.
``Sec. 638. Uses of funds.
``Sec. 639. Procedural safeguards.
``Sec. 640. Payor of last resort.
``Sec. 641. State Interagency Coordinating Council.
``Sec. 642. Federal administration.
``Sec. 643. Allocation of funds.
``Sec. 644. Authorization of appropriations.
``Part D--National Activities To Improve Education of Children With
Disabilities
``Sec. 650. Findings.
``Subpart 1--State Personnel Preparation and Professional Development
Grants
``Sec. 651. Purpose; definition; program authority.
``Sec. 652. Eligibility and collaborative process.
``Sec. 653. Applications.
``Sec. 654. Use of funds.
``Sec. 655. Authorization of appropriations.
``Subpart 2--Scientifically Based Research, Technical Assistance, Model
Demonstration Projects, and Dissemination of Information
``Sec. 660. Purpose.
``Sec. 661. Administrative provisions.
``Sec. 662. Research coordination to improve results for
children with disabilities.
``Sec. 663. Technical assistance, demonstration projects,
dissemination of information, and
implementation of scientifically based
research.
``Sec. 664. Personnel development to improve services and
results for children with disabilities.
``Sec. 665. Studies and evaluations.
``Subpart 3--Supports To Improve Results for Children With Disabilities
``Sec. 670. Purposes.
``Sec. 671. Parent training and information centers.
``Sec. 672. Community parent resource centers.
``Sec. 673. Technical assistance for parent training and
information centers.
``Sec. 674. Technology development, demonstration, and
utilization; and media services.
``Sec. 675. Accessibility of instructional materials.
``Sec. 676. Authorization of appropriations.
``Subpart 4--Interim Alternative Educational Settings, Behavioral
Supports, and Whole School Interventions
``Sec. 681. Purpose.
``Sec. 682. Definition of eligible entity.
``Sec. 683. Program authorized.
``Sec. 684. Program evaluations.
``Sec. 685. Authorization of appropriations.
``(c) Findings.--Congress finds the following:
``(1) Disability is a natural part of the human experience
and in no way diminishes the right of individuals to
participate in or contribute to society. Improving educational
results for children with disabilities is an essential element
of our national policy of ensuring equality of opportunity,
full participation, independent living, and economic self-
sufficiency for individuals with disabilities.
``(2) Before the date of the enactment of the Education for
All Handicapped Children Act of 1975 (Public Law 94-142), the
educational needs of millions of children with disabilities
were not being fully met because--
``(A) the children did not receive appropriate
educational services;
``(B) the children were excluded entirely from the
public school system and from being educated with their
peers;
``(C) undiagnosed disabilities prevented the
children from having a successful educational
experience; or
``(D) a lack of adequate resources within the
public school system forced families to find services
outside the public school system.
``(3) Since the enactment and implementation of the
Education for All Handicapped Children Act of 1975, this Act
has been successful in ensuring children with disabilities and
the families of such children access to a free appropriate
public education and in improving educational results for
children with disabilities.
``(4) However, the implementation of this Act has been
impeded by low expectations, and an insufficient focus on
applying replicable research on proven methods of teaching and
learning for children with disabilities.
``(5) Over 25 years of research and experience has
demonstrated that the education of children with disabilities
can be made more effective by--
``(A) having high expectations for such children
and ensuring their access to the general education
curriculum in the regular classroom to the maximum
extent possible in order to--
``(i) meet developmental goals and, to the
maximum extent possible, the challenging
expectations that have been established for all
children; and
``(ii) be prepared to lead productive and
independent adult lives, to the maximum extent
possible;
``(B) strengthening the role and responsibility of
parents and ensuring that families of such children
have meaningful opportunities to participate in the
education of their children at school and at home;
``(C) coordinating this Act with other local,
educational service agency, State, and Federal school
improvement efforts, including improvement efforts
under the Elementary and Secondary Education Act of
1965, in order to ensure that such children benefit
from such efforts and that special education can become
a service for such children rather than a place where
they are sent;
``(D) providing appropriate special education and
related services, and aids and supports in the regular
classroom, to such children, whenever appropriate;
``(E) supporting high-quality, intensive preservice
preparation and professional development for all
personnel who work with children with disabilities in
order to ensure that such personnel have the skills and
knowledge necessary to improve the academic achievement
and functional performance of children with
disabilities, including the use of scientifically based
instructional practices, to the maximum extent
possible;
``(F) providing incentives for whole-school
approaches, scientifically based early reading
programs, positive behavioral interventions and
supports, and prereferral interventions to reduce the
need to label children as disabled in order to address
their learning and behavioral needs;
``(G) focusing resources on teaching and learning
while reducing paperwork and requirements that do not
assist in improving educational results; and
``(H) supporting the development and use of
technology, including assistive technology devices and
assistive technology services, to maximize
accessibility for children with disabilities.
``(6) While States, local educational agencies, and
educational service agencies are primarily responsible for
providing an education for all children with disabilities, it
is in the national interest that the Federal Government have a
supporting role in assisting State and local efforts to educate
children with disabilities in order to improve results for such
children and to ensure equal protection of the law.
``(7) A more equitable allocation of resources is essential
for the Federal Government to meet its responsibility to
provide an equal educational opportunity for all individuals.
``(8) Parents and schools should be given expanded
opportunities to resolve their disagreements in positive and
constructive ways.
``(9) Teachers, schools, local educational agencies, and
States should be relieved of irrelevant and unnecessary
paperwork burdens that do not lead to improved educational
outcomes.
``(10)(A) The Federal Government must be responsive to the
growing needs of an increasingly more diverse society.
``(B) America's ethnic profile is rapidly changing. In the
year 2000, 1 of every 3 persons in the United States was a
member of a minority group or was limited English proficient.
``(C) Minority children comprise an increasing percentage
of public school students.
``(D) With such changing demographics, recruitment efforts
for special education personnel should focus on increasing the
participation of minorities in the teaching profession.
``(11)(A) The limited English proficient population is the
fastest growing in our Nation, and the growth is occurring in
many parts of our Nation.
``(B) Studies have documented apparent discrepancies in the
levels of referral and placement of limited English proficient
children in special education.
``(C) This poses a special challenge for special education
in the referral of, assessment of, and services for, our
Nation's students from non-English language backgrounds.
``(12)(A) Greater efforts are needed to prevent the
intensification of problems connected with mislabeling and high
dropout rates among minority children with disabilities.
``(B) More minority children continue to be served in
special education than would be expected from the percentage of
minority students in the general school population.
``(C) African-American children are identified as having
mental retardation and emotional disturbance at rates greater
than their white counterparts.
``(D) In the 1998-1999 school year, African-American
children represented just 14.8 percent of the population aged 6
through 21, but comprised 20.2 percent of all children with
disabilities.
``(E) Studies have found that schools with predominately
Caucasian students and teachers have placed disproportionately
high numbers of their minority students into special education.
``(13)(A) As the number of minority students in special
education increases, the number of minority teachers and
related services personnel produced in colleges and
universities continues to decrease.
``(B) The opportunity for minority individuals,
organizations, and Historically Black Colleges and Universities
to participate fully in awards for grants and contracts, boards
of organizations receiving funds under this Act, and peer
review panels, and in the training of professionals in the area
of special education is essential if we are to obtain greater
success in the education of minority children with
disabilities.
``(14) As the graduation rates for children with
disabilities continue to climb, providing effective transition
services to promote successful post-school employment or
education is an important measure of accountability for
children with disabilities.
``(d) Purposes.--The purposes of this title are--
``(1)(A) to ensure that all children with disabilities have
available to them a free appropriate public education that
emphasizes special education and related services designed to
meet their unique needs and prepare them for employment,
further education, and independent living;
``(B) to ensure that the rights of children with
disabilities and parents of such children are protected; and
``(C) to assist States, localities, educational service
agencies, and Federal agencies to provide for the education of
all children with disabilities;
``(2) to assist States in the implementation of a
Statewide, coordinated, multidisciplinary, interagency system
of early intervention services for infants and toddlers with
disabilities and their families;
``(3) to ensure that educators and parents have the
necessary tools to improve educational results for children
with disabilities by supporting systemic-change activities;
coordinated research and personnel preparation; coordinated
technical assistance, dissemination, and support; and
technology development and media services; and
``(4) to assess, and ensure the effectiveness of, efforts
to educate children with disabilities.
``SEC. 602. DEFINITIONS.
``Except as otherwise provided, as used in this Act:
``(1) Assistive technology device.--The term `assistive
technology device' means any item, piece of equipment, or
product system, whether acquired commercially off the shelf,
modified, or customized, that is used to increase, maintain, or
improve functional capabilities of a child with a disability.
The term does not include a medical device that is surgically
implanted, or the repalcement of such device.
``(2) Assistive technology service.--The term `assistive
technology service' means any service that directly assists a
child with a disability in the selection, acquisition, or use
of an assistive technology device. Such term includes--
``(A) the evaluation of the needs of such child,
including a functional evaluation of the child in the
child's customary environment;
``(B) purchasing, leasing, or otherwise providing
for the acquisition of assistive technology devices by
such child;
``(C) selecting, designing, fitting, customizing,
adapting, applying, maintaining, repairing, or
replacing of assistive technology devices;
``(D) coordinating and using other therapies,
interventions, or services with assistive technology
devices, such as those associated with existing
education and rehabilitation plans and programs;
``(E) training or technical assistance for such
child, or, where appropriate, the family of such child;
and
``(F) training or technical assistance for
professionals (including individuals providing
education and rehabilitation services), employers, or
other individuals who provide services to, employ, or
are otherwise substantially involved in the major life
functions of such child.
``(3) Child with a disability.--
``(A) In general.--The term `child with a
disability' means a child--
``(i) with mental retardation, hearing
impairments (including deafness), speech or
language impairments, visual impairments
(including blindness), serious emotional
disturbance (hereinafter referred to as
`emotional disturbance'), orthopedic
impairments, autism, traumatic brain injury,
other health impairments, or specific learning
disabilities; and
``(ii) who, by reason thereof, needs
special education and related services.
``(B) Child aged 3 through 9.--The term `child with
a disability' for a child aged 3 through 9 (or any
subset of that age range, including ages 3 through 5),
may, at the discretion of the State and the local
educational agency, include a child--
``(i) experiencing developmental delays, as
defined by the State and as measured by
appropriate diagnostic instruments and
procedures, in 1 or more of the following
areas: physical development, cognitive
development, communication development, social
or emotional development, or adaptive
development; and
``(ii) who, by reason thereof, needs
special education and related services.
``(4) Core academic subject.--The term `core academic
subject' has the meaning given the term in section 9101(11) of
the Elementary and Secondary Education Act of 1965.
``(5) Educational service agency.--The term `educational
service agency'--
``(A) means a regional public multiservice agency--
``(i) authorized by State law to develop,
manage, and provide services or programs to
local educational agencies; and
``(ii) recognized as an administrative
agency for purposes of the provision of special
education and related services provided within
public elementary schools and secondary schools
of the State; and
``(B) includes any other public institution or
agency having administrative control and direction over
a public elementary school or secondary school.
``(6) Elementary school.--The term `elementary school'
means a nonprofit institutional day or residential school that
provides elementary education, as determined under State law.
``(7) Equipment.--The term `equipment' includes--
``(A) machinery, utilities, and built-in equipment,
and any necessary enclosures or structures to house
such machinery, utilities, or equipment; and
``(B) all other items necessary for the functioning
of a particular facility as a facility for the
provision of educational services, including items such
as instructional equipment and necessary furniture;
printed, published, and audio-visual instructional
materials; telecommunications, sensory, and other
technological aids and devices; and books, periodicals,
documents, and other related materials.
``(8) Excess costs.--The term `excess costs' means those
costs that are in excess of the average annual per-student
expenditure in a local educational agency during the preceding
school year for an elementary school or secondary school
student, as may be appropriate, and which shall be computed
after deducting--
``(A) amounts received--
``(i) under part B of this title;
``(ii) under part A of title I of the
Elementary and Secondary Education Act of 1965;
and
``(iii) under parts A and B of title III of
that Act; and
``(B) any State or local funds expended for
programs that would qualify for assistance under any of
those parts.
``(9) Free appropriate public education.--The term `free
appropriate public education' means special education and
related services that--
``(A) have been provided at public expense, under
public supervision and direction, and without charge;
``(B) meet the standards of the State educational
agency;
``(C) include an appropriate preschool, elementary
school, or secondary school education in the State
involved; and
``(D) are provided in conformity with the
individualized education program required under section
614(d).
``(10) Highly qualified.--The term `highly qualified' means
the following:
``(A) All special education teachers.--When used
with respect to any public elementary school or
secondary school special education teacher teaching in
a State, means that the teacher holds at least a
bachelor's degree and that--
``(i) the teacher has obtained full State
certification as a special education teacher
through a State-approved special education
teacher preparation program (including
certification obtained through alternative
routes to certification) or other comparably
rigorous methods, or passed the State teacher
special education licensing examination, and
holds a license to teach in the State as a
special education teacher, except that when
used with respect to any teacher teaching in a
public charter school, the term means that the
teacher meets the requirements set forth in the
State's public charter school law;
``(ii) the teacher has not had
certification or licensure requirements waived
on an emergency, temporary, or provisional
basis; and
``(iii) the teacher demonstrates knowledge
of special education and the teaching skills
necessary to teach children with disabilities.
``(B) New elementary school special education
teachers.--When used with respect to a special
education elementary school teacher who is new to the
profession, means that the teacher demonstrated, by
passing a rigorous State test, subject knowledge and
teaching skills in reading, writing, mathematics, and
other areas of the basic elementary school curriculum
(which may consist of passing a State-required
certification or licensing test or tests in reading,
writing, mathematics, and other areas of the basic
elementary school curriculum).
``(C) New middle school and secondary school
special education teachers.--When used with respect to
a special education middle school or secondary school
teacher who is new to the profession, means that the
teacher has demonstrated a high level of competency in
each of the academic subjects in which the teacher
teaches by--
``(i) passing a rigorous State academic
subject test in each of the academic subjects
in which the teacher teaches (which may consist
of a passing level of performance on a State-
required certification or licensing test or
tests in each of the academic subjects in which
the teacher teaches); or
``(ii) successful completion, in each of
the academic subjects in which the teacher
teaches, of an academic major, graduate degree,
coursework equivalent to an undergraduate
academic major, or advanced certification or
credentialing.
``(D) Veteran special education teachers.--When
used with respect to an elementary school, middle
school, or secondary school special education teacher
who is not new to the profession, means that the
teacher has--
``(i) met the applicable standard in
subparagraph (B) or (C), which includes an
option for a test; or
``(ii) has demonstrated competence in all
the academic subjects in which the teacher
teaches based on a high objective uniform State
standard of evaluation for special education
teachers that--
``(I) is set by the State for both
grade-appropriate academic subject
matter knowledge and special education
teaching skills;
``(II) is aligned with challenging
State academic content and student
academic achievement standards and
developed in consultation with special
education teachers, core content
specialists, teachers, principals, and
school administrators;
``(III) provides objective,
coherent information about the
teachers' attainment of knowledge of
core content knowledge in the academic
subjects in which a teacher teaches;
``(IV) is applied uniformly to all
special education teachers who teach in
the same academic subject and the same
grade level throughout the State;
``(V) takes into consideration, but
is not based primarily on, the time the
teacher has been teaching in the
academic subject;
``(VI) is made available to the
public on request; and
``(VII) may involve multiple
objective measures of teacher
competency.
``(E) Teachers providing consultative services.--
``(i) In general.--Notwithstanding
subparagraphs (B) through (D), when used with
respect to a special education teacher who
provides only consultative services to a highly
qualified regular education teacher (as the
term highly qualified is defined in section
9101(23) of the Elementary and Secondary
Education Act of 1965), means that the teacher
meets the requirements of subparagraph (A).
``(ii) Consultative services.--As used in
clause (i), the term `consultative services'
means services that adjust the learning
environment, modify instructional methods,
adapt curricula, use positive behavior supports
and interventions, and select and implement
appropriate accommodations to meet the needs of
individual children.
``(F) Exception.--Notwithstanding subparagraphs (B)
through (D), when used with respect to a special
education teacher who teaches more than 1 subject,
primarily to middle school and secondary school-aged
children with significant cognitive disabilities, means
that the teacher has demonstrated subject knowledge and
teaching skills in reading, mathematics, and other
areas of the basic elementary school curriculum by--
``(i) passing a rigorous State test (which
may consist of passing a State-required
certification or licensing test or tests in
those areas); or
``(ii) demonstrating competency in all the
academic subjects in which the teacher teaches,
based on a high objective uniform State
standard as described in subparagraph (D)(ii).
``(11) Indian.--The term `Indian' means an individual who
is a member of an Indian tribe.
``(12) Indian tribe.--The term `Indian tribe' means any
Federal or State Indian tribe, band, rancheria, pueblo, colony,
or community, including any Alaska Native village or regional
village corporation (as defined in or established under the
Alaska Native Claims Settlement Act).
``(13) Individualized education program.--The term
`individualized education program' or `IEP' means a written
statement for each child with a disability that is developed,
reviewed, and revised in accordance with section 614(d).
``(14) Individualized family service plan.--The term
`individualized family service plan' has the meaning given such
term in section 636.
``(15) Infant or toddler with a disability.--The term
`infant or toddler with a disability' has the meaning given
such term in section 632.
``(16) Institution of higher education.--The term
`institution of higher education'--
``(A) has the meaning given such term in section
101 (a) and (b) of the Higher Education Act of 1965;
and
``(B) also includes any community college receiving
funding from the Secretary of the Interior under the
Tribally Controlled College or University Assistance
Act of 1978.
``(17) Limited english proficient.--The term `limited
English proficient' has the meaning given the term in section
9101(25) of the Elementary and Secondary Education Act of 1965.
``(18) 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 schools or
secondary schools in a city, county, township, school
district, or other political subdivision of a State, or
for such combination of school districts or counties as
are recognized in a State as an administrative agency
for its public elementary schools or secondary schools.
``(B) The term includes--
``(i) an educational service agency, as
defined in paragraph (5); and
``(ii) any other public institution or
agency having administrative control and
direction of a public elementary school or
secondary school.
``(C) The term includes an elementary school or
secondary school funded by the Bureau of Indian
Affairs, but only to the extent that such inclusion
makes the school eligible for programs for which
specific eligibility is not provided to the school in
another provision of law and the 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 the school shall not be subject
to the jurisdiction of any State educational agency
other than the Bureau of Indian Affairs.
``(19) Native language.--The term `native language', when
used with respect to an individual of limited English
proficiency, means the language normally used by the
individual, or in the case of a child, the language normally
used by the parents of the child.
``(20) Nonprofit.--The term `nonprofit', as applied to a
school, agency, organization, or institution, means a school,
agency, organization, or institution owned and operated by 1 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.
``(21) Outlying area.--The term `outlying area' means the
United States Virgin Islands, Guam, American Samoa, and the
Commonwealth of the Northern Mariana Islands.
``(22) Parent.--
``(A) In general.--The term `parent'--
``(i) means--
``(I) a natural or adoptive parent
of a child;
``(II) a guardian (but not the
State if the child is a ward of the
State);
``(III) an individual acting in the
place of a natural or adoptive parent,
including a grandparent, stepparent, or
other relative with whom the child
lives or an individual who is legally
responsible for the child's welfare; or
``(IV) except as used in sections
615(b)(2) and 639(a)(5), an individual
assigned under either of those sections
to be a surrogate parent; and
``(ii) in the case of a homeless child who
is not in the physical custody of a parent or
guardian, includes a related or unrelated adult
with whom the child is living or other adult
jointly designated by the child and the local
educational agency liaison for homeless
children and youths (designated pursuant to
section 722(g)(1)(J)(ii) of the McKinney-Vento
Homeless Assistance Act), in addition to other
individuals permitted by law.
``(B) Foster parent.--Unless State law prohibits a
foster parent from acting as a parent, the term
`parent' includes a foster parent if--
``(i) the natural or adoptive parents'
authority to make educational decisions on the
child's behalf has been extinguished under
State law; and
``(ii) the foster parent--
``(I) has an ongoing, long-term
parental relationship with the child;
``(II) is willing to make the
educational decisions required of
parents under this Act; and
``(III) has no interest that would
conflict with the interests of the
child.
``(23) Parent organization.--The term `parent organization'
has the meaning given such term in section 671(g).
``(24) Parent training and information center.--The term
`parent training and information center' means a center
assisted under section 671 or 672.
``(25) Related services.--The term `related services' means
transportation, and such developmental, corrective, and other
supportive services (including speech-language pathology and
audiology services, interpreting services, psychological
services, physical and occupational therapy, recreation,
including therapeutic recreation, social work services, school
health services, counseling services, including rehabilitation
counseling, orientation and mobility services, travel training
instruction, and medical services, except that such medical
services shall be for diagnostic and evaluation purposes only)
as may be required to assist a child with a disability to
benefit from special education, and includes the early
identification and assessment of disabling conditions in
children. The term does not include a medical device that is
surgically implanted, or the replacement of such device.
``(26) Secondary school.--The term `secondary school' means
a nonprofit institutional day or residential school that
provides secondary education, as determined under State law,
except that it does not include any education beyond grade 12.
``(27) Secretary.--The term `Secretary' means the Secretary
of Education.
``(28) Special education.--The term `special education'
means specially designed instruction, at no cost to parents, to
meet the unique needs of a child with a disability, including--
``(A) instruction conducted in the classroom, in
the home, in hospitals and institutions, and in other
settings; and
``(B) instruction in physical education.
``(29) Specific learning disability.--
``(A) In general.--The term `specific learning
disability' means a disorder in 1 or more of the basic
psychological processes involved in understanding or in
using language, spoken or written, which disorder may
manifest itself in the imperfect ability to listen,
think, speak, read, write, spell, or do mathematical
calculations.
``(B) Disorders included.--Such term includes such
conditions as perceptual disabilities, brain injury,
minimal brain dysfunction, dyslexia, and developmental
aphasia.
``(C) Disorders not included.--Such term does not
include a learning problem that is primarily the result
of visual, hearing, or motor disabilities, of mental
retardation, of emotional disturbance, or of
environmental, cultural, or economic disadvantage.
``(30) 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.
``(31) State educational agency.--The term `State
educational agency' means the State board of education or other
agency or officer primarily responsible for the State
supervision of public elementary schools and secondary schools,
or, if there is no such officer or agency, an officer or agency
designated by the Governor or by State law.
``(32) Supplementary aids and services.--The term
`supplementary aids and services' means aids, services, and
other supports that are provided in regular education classes
or other education-related settings to enable children with
disabilities to be educated with nondisabled children to the
maximum extent appropriate in accordance with section
612(a)(5).
``(33) Transition services.--The term `transition services'
means a coordinated set of activities for a child with a
disability (as defined in paragraph (3)(A)) that--
``(A) is designed to be within a results-oriented
process, that is focused on improving the academic and
functional achievement of the child with a disability
to facilitate the child's movement from school to post-
school activities, including post-secondary education,
vocational training, integrated employment (including
supported employment), continuing and adult education,
adult services, independent living, or community
participation;
``(B) is based on the individual child's needs,
taking into account the child's strengths, preferences,
and interests; and
``(C) includes instruction, related services,
community experiences, the development of employment
and other post-school adult living objectives, and,
when appropriate, acquisition of daily living skills
and functional vocational evaluation.
``(34) Child with a disability in a military family.--The
term `child with a disability in a military family' means a
child with a disability who has a parent who is a member of the
Armed Forces, including a member of the National Guard or
Reserves.
``(35) Homeless children.--The term `homeless children' has
the meaning given the term `homeless children and youths' in
section 725 of the McKinney-Vento Homeless Assistance Act.
``(36) Ward of the state.--The term `ward of the State'
means a child who, as defined by the State where the child
resides, is a foster child, a ward of the State or is in the
custody of a public child welfare agency.
``SEC. 603. OFFICE OF SPECIAL EDUCATION PROGRAMS.
``(a) Establishment.--There shall be, within the Office of Special
Education and Rehabilitative Services in the Department of Education,
an Office of Special Education Programs, which shall be the principal
agency in such Department for administering and carrying out this Act
and other programs and activities concerning the education of children
with disabilities.
``(b) Director.--The Office established under subsection (a) shall
be headed by a Director who shall be selected by the Secretary and
shall report directly to the Assistant Secretary for Special Education
and Rehabilitative Services.
``(c) Voluntary and Uncompensated Services.--Notwithstanding
section 1342 of title 31, United States Code, the Secretary is
authorized to accept voluntary and uncompensated services in
furtherance of the purposes of this Act.
``SEC. 604. ABROGATION OF STATE SOVEREIGN IMMUNITY.
``(a) In General.--A State shall not be immune under the 11th
amendment to the Constitution of the United States from suit in Federal
court for a violation of this Act.
``(b) Remedies.--In a suit against a State for a violation of this
Act, remedies (including remedies both at law and in equity) are
available for such a violation to the same extent as those remedies are
available for such a violation in the suit against any public entity
other than a State.
``(c) Effective Date.--Subsections (a) and (b) apply with respect
to violations that occur in whole or part after the date of enactment
of the Education of the Handicapped Act Amendments of 1990.
``SEC. 605. ACQUISITION OF EQUIPMENT; CONSTRUCTION OR ALTERATION OF
FACILITIES.
``(a) In General.--If the Secretary determines that a program
authorized under this Act will be improved by permitting program funds
to be used to acquire appropriate equipment, or to construct new
facilities or alter existing facilities, the Secretary is authorized to
allow the use of those funds for those purposes.
``(b) Compliance With Certain Regulations.--Any construction of new
facilities or alteration of existing facilities under subsection (a)
shall comply with the requirements of--
``(1) appendix A of part 36 of title 28, Code of Federal
Regulations (commonly known as the `Americans with Disabilities
Accessibility Guidelines for Buildings and Facilities'); or
``(2) appendix A of subpart 101-19.6 of title 41, Code of
Federal Regulations (commonly known as the `Uniform Federal
Accessibility Standards').
``SEC. 606. EMPLOYMENT OF INDIVIDUALS WITH DISABILITIES.
``The Secretary shall ensure that each recipient of assistance
under this Act makes positive efforts to employ and advance in
employment qualified individuals with disabilities in programs assisted
under this Act.
``SEC. 607. REQUIREMENTS FOR PRESCRIBING REGULATIONS.
``(a) In General.--In carrying out the provisions of this Act, the
Secretary shall issue regulations under this Act only to the extent
that such regulations are necessary to ensure that there is compliance
with the specific requirements of this Act.
``(b) Protections Provided to Children.--The Secretary may not
implement, or publish in final form, any regulation prescribed pursuant
to this Act that--
``(1) violates or contradicts any provision of this Act;
and
``(2) procedurally or substantively lessens the protections
provided to children with disabilities under this Act, as
embodied in regulations in effect on July 20, 1983
(particularly as such protections related to parental consent
to initial evaluation or initial placement in special
education, least restrictive environment, related services,
timelines, attendance of evaluation personnel at individualized
education program meetings, or qualifications of personnel),
except to the extent that such regulation reflects the clear
and unequivocal intent of the Congress in legislation.
``(c) Public Comment Period.--The Secretary shall provide a public
comment period of not more than 90 days on any regulation proposed
under part B or part C of this Act on which an opportunity for public
comment is otherwise required by law.
``(d) Policy Letters and Statements.--The Secretary may not issue
policy letters or other statements (including letters or statements
regarding issues of national significance) that--
``(1) violate or contradict any provision of this Act; or
``(2) establish a rule that is required for compliance
with, and eligibility under, this Act without following the
requirements of section 553 of title 5, United States Code.
``(e) Explanation and Assurances.--Any written response by the
Secretary under subsection (d) regarding a policy, question, or
interpretation under part B of this Act shall include an explanation in
the written response that--
``(1) such response is provided as informal guidance and is
not legally binding;
``(2) when required, such response is issued in compliance
with the requirements of section 553 of title 5, United States
Code; and
``(3) such response represents the interpretation by the
Department of Education of the applicable statutory or
regulatory requirements in the context of the specific facts
presented.
``(f) Correspondence From Department of Education Describing
Interpretations of This Act.--
``(1) In general.--The Secretary shall, on a quarterly
basis, publish in the Federal Register, and widely disseminate
to interested entities through various additional forms of
communication, a list of correspondence from the Department of
Education received by individuals during the previous quarter
that describes the interpretations of the Department of
Education of this Act or the regulations implemented pursuant
to this Act.
``(2) Additional information.--For each item of
correspondence published in a list under paragraph (1), the
Secretary shall--
``(A) identify the topic addressed by the
correspondence and shall include such other summary
information as the Secretary determines to be
appropriate; and
``(B) ensure that all such correspondence is
issued, where applicable, in compliance with the
requirements of section 553 of title 5, United States
Code.
``SEC. 608. STATE ADMINISTRATION.
``(a) Rulemaking.--Each State that receives funds under this Act
shall--
``(1) ensure that any State rules, regulations, and
policies relating to this Act conform to the purposes of this
Act; and
``(2) identify in writing to its local educational agencies
and the Secretary any such rule, regulation, or policy as a
State-imposed requirement that is not required by this Act and
Federal regulations.
``(b) Support and Facilitation.--State rules, regulations, and
policies under this Act shall support and facilitate local educational
agency and school-level systemic reform designed to enable children
with disabilities to meet the challenging State student academic
achievement standards.
``SEC. 609. PAPERWORK REDUCTION.
``(a) Report to Congress.--The Comptroller General shall conduct a
review of Federal, State, and local requirements relating to the
education of children with disabilities to determine which requirements
result in excessive paperwork completion burdens for teachers, related
services providers, and school administrators, and shall report to
Congress not later than 18 months after the date of enactment of the
Individuals with Disabilities Education Improvement Act of 2003
regarding such review along with strategic proposals for reducing the
paperwork burdens on teachers.
``(b) Paperwork Reduction Demonstration.--
``(1) Pilot program.--
``(A) Purpose.--The purpose of this subsection is
to provide an opportunity for States to identify ways
to reduce paperwork burdens and other administrative
duties that are directly associated with the
requirements of this Act, in order to increase the time
and resources available for instruction and other
activities aimed at improving educational and
functional results for children with disabilities.
``(B) Authorization.--
``(i) In general.--In order to carry out
the purpose of this subsection, the Secretary
is authorized to grant waivers of statutory
requirements of, or regulatory requirements
relating to, this part for a period of time not
to exceed 4 years with respect to not more than
15 States based on proposals submitted by
States to reduce excessive paperwork and
noninstructional time burdens that do not
assist in improving educational and functional
results for children with disabilities.
``(ii) Exception.--The Secretary shall not
waive any statutory requirements of, or
regulatory requirements relating to, applicable
civil rights requirements.
``(iii) Rule of construction.--Nothing in
this subsection shall be construed to--
``(I) affect the right of a child
with a disability to receive a free
appropriate public education under this
part; and
``(II) permit a State or local
educational agency to waive procedural
safeguards under section 615.
``(C) Proposal.--
``(i) In general.--A State desiring to
participate in the program under this
subsection shall submit a proposal to the
Secretary at such time and in such manner as
the Secretary may reasonably require.
``(ii) Content.--The proposal shall
include--
``(I) a list of any statutory
requirements of, or regulatory
requirements relating to, this part
that the State desires the Secretary to
waive or change, in whole or in part;
and
``(II) a list of any State
requirements that the State proposes to
waive or change, in whole or in part,
to carry out a waiver granted to the
State by the Secretary.
``(D) Termination of waiver.--The Secretary shall
terminate a State's waiver under this subsection if the
Secretary determines that the State--
``(i) has failed to make satisfactory
progress in meeting the indicators described in
section 616; or
``(ii) has failed to appropriately
implement its waiver.
``(2) Report.--Beginning 2 years after the date of
enactment of the Individuals with Disabilities Education
Improvement Act of 2003, the Secretary shall include in the
annual report to Congress submitted pursuant to section 426 of
the Department of Education Organization Act information
related to the effectiveness of waivers granted under paragraph
(1), including any specific recommendations for broader
implementation of such waivers, in--
``(A) reducing--
``(i) the paperwork burden on teachers,
principals, administrators, and related service
providers; and
``(ii) noninstructional time spent by
teachers in complying with this part;
``(B) enhancing longer-term educational planning;
``(C) improving positive outcomes for children with
disabilities;
``(D) promoting collaboration between IEP Team
members; and
``(E) ensuring satisfaction of family members.
``SEC. 610. FREELY ASSOCIATED STATES.
``The Republic of the Marshall Islands, the Federated States of
Micronesia, and the Republic of Palau shall continue to be eligible for
competitive grants administered by the Secretary under this Act to the
extent that such grants continue to be available to States and local
educational agencies under this Act.
``PART B--ASSISTANCE FOR EDUCATION OF ALL CHILDREN WITH DISABILITIES
``SEC. 611. AUTHORIZATION; ALLOTMENT; USE OF FUNDS; AUTHORIZATION OF
APPROPRIATIONS.
``(a) Grants to States.--
``(1) Purpose of grants.--The Secretary shall make grants
to States and the outlying areas, and provide funds to the
Secretary of the Interior, to assist them to provide special
education and related services to children with disabilities in
accordance with this part.
``(2) Maximum amount.--The maximum amount available for
awarding grants under this section for any fiscal year is--
``(A) the total number of children with
disabilities in the 2002-2003 school year in the States
who received special education and related services and
who were--
``(i) aged 3 through 5, if the State was
eligible for a grant under section 619; and
``(ii) aged 6 through 21; multiplied by
``(B) 40 percent of the average per-pupil
expenditure in public elementary schools and secondary
schools in the United States; adjusted by;
``(C) the rate of change in the sum of--
``(i) 85 percent of the change in the
nationwide total of the population described in
subsection (d)(3)(A)(i)(II); and
``(ii) 15 percent of the change in the
nationwide total of the population described in
subsection (d)(3)(A)(i)(III).
``(b) Outlying Areas and Freely Associated States.--
``(1) Funds reserved.--From the amount appropriated for any
fiscal year under subsection (i), the Secretary shall reserve
not more than 1 percent, which shall be used--
``(A) to provide assistance to the outlying areas
in accordance with their respective populations of
individuals aged 3 through 21; and
``(B) to provide each freely associated State a
grant in the amount that such freely associated State
received for fiscal year 2003 under this part, but only
if the freely associated State meets the applicable
requirements of this part, as well as the requirements
of section 611(b)(2)(C) as such section was in effect
on the day before the date of enactment of the
Individuals with Disabilities Education Improvement Act
of 2004.
``(2) Special rule.--The provisions of Public Law 95-134,
permitting the consolidation of grants by the outlying areas,
shall not apply to funds provided to the outlying areas or the
freely associated States under this section.
``(3) Definition.--As used in this subsection, the term
`freely associated States' means the Republic of the Marshall
Islands, the Federated States of Micronesia, and the Republic
of Palau.
``(c) Secretary of the Interior.--From the amount appropriated for
any fiscal year under subsection (i), the Secretary shall reserve 1.226
percent to provide assistance to the Secretary of the Interior in
accordance with subsection (i).
``(d) Allocations to States.--
``(1) In general.--After reserving funds for studies and
evaluations under section 665, and for payments to the outlying
areas, the freely associated States, and the Secretary of the
Interior under subsections (b) and (c) for a fiscal year, the
Secretary shall allocate the remaining amount among the States
in accordance with this subsection.
``(2) Special rule for use of fiscal year 1999 amount.--If
a State received any funds under this section for fiscal year
1999 on the basis of children aged 3 through 5, but does not
make a free appropriate public education available to all
children with disabilities aged 3 through 5 in the State in any
subsequent fiscal year, the Secretary shall compute the State's
amount for fiscal year 1999, solely for the purpose of
calculating the State's allocation in that subsequent year
under paragraph (3) or (4), by subtracting the amount allocated
to the State for fiscal year 1999 on the basis of those
children.
``(3) Increase in funds.--If the amount available for
allocations to States under paragraph (1) for a fiscal year is
equal to or greater than the amount allocated to the States
under this paragraph for the preceding fiscal year, those
allocations shall be calculated as follows:
``(A) Allocation of increase.--
``(i) In general.--Except as provided in
subparagraph (B), the Secretary shall allocate
for the fiscal year--
``(I) to each State the amount the
State received under this section for
fiscal year 1999;
``(II) 85 percent of any remaining
funds to States on the basis of the
States' relative populations of
children aged 3 through 21 who are of
the same age as children with
disabilities for whom the State ensures
the availability of a free appropriate
public education under this part; and
``(III) 15 percent of those
remaining funds to States on the basis
of the States' relative populations of
children described in subclause (II)
who are living in poverty.
``(ii) Data.--For the purpose of making
grants under this paragraph, the Secretary
shall use the most recent population data,
including data on children living in poverty,
that are available and satisfactory to the
Secretary.
``(B) Limitations.--Notwithstanding subparagraph
(A), allocations under this paragraph shall be subject
to the following:
``(i) Preceding year allocation.--No
State's allocation shall be less than its
allocation under this section for the preceding
fiscal year.
``(ii) Minimum.--No State's allocation
shall be less than the greatest of--
``(I) the sum of--
``(aa) the amount the State
received under this section for
fiscal year 1999; and
``(bb) \1/3\ of 1 percent
of the amount by which the
amount appropriated under
subsection (i) for the fiscal
year exceeds the amount
appropriated for this section
for fiscal year 1999;
``(II) the sum of--
``(aa) the amount the State
received under this section for
the preceding fiscal year; and
``(bb) that amount
multiplied by the percentage by
which the increase in the funds
appropriated for this section
from the preceding fiscal year
exceeds 1.5 percent; or
``(III) the sum of--
``(aa) the amount the State
received under this section for
the preceding fiscal year; and
``(bb) that amount
multiplied by 90 percent of the
percentage increase in the
amount appropriated for this
section from the preceding
fiscal year.
``(iii) Maximum.--Notwithstanding clause
(ii), no State's allocation under this
paragraph shall exceed the sum of--
``(I) the amount the State received
under this section for the preceding
fiscal year; and
``(II) that amount multiplied by
the sum of 1.5 percent and the
percentage increase in the amount
appropriated under this section from
the preceding fiscal year.
``(C) Ratable reduction.--If the amount available
for allocations under this paragraph is insufficient to
pay those allocations in full, those allocations shall
be ratably reduced, subject to subparagraph (B)(i).
``(4) Decrease in funds.--If the amount available for
allocations to States under paragraph (1) for a fiscal year is
less than the amount allocated to the States under this section
for the preceding fiscal year, those allocations shall be
calculated as follows:
``(A) Amounts greater than fiscal year 1999
allocations.--If the amount available for allocations
is greater than the amount allocated to the States for
fiscal year 1999, each State shall be allocated the sum
of--
``(i) the amount the State received under
this section for fiscal year 1999; and
``(ii) an amount that bears the same
relation to any remaining funds as the increase
the State received under this section for the
preceding fiscal year over fiscal year 1999
bears to the total of all such increases for
all States.
``(B) Amounts equal to or less than fiscal year
1999 allocations.--
``(i) In general.--If the amount available
for allocations under this paragraph is equal
to or less than the amount allocated to the
States for fiscal year 1999, each State shall
be allocated the amount the State received for
fiscal year 1999.
``(ii) Ratable reduction.--If the amount
available for allocations under this paragraph
is insufficient to make the allocations
described in clause (i), those allocations
shall be ratably reduced.
``(e) State-Level Activities.--
``(1) State administration.--
``(A) In general.--For the purpose of administering
this part, including paragraph (3), section 619, and
the coordination of activities under this part with,
and providing technical assistance to, other programs
that provide services to children with disabilities--
``(i) each State may reserve not more than
the maximum amount the State was eligible to
reserve for State administration for fiscal
year 2003 or $800,000 (adjusted by the
cumulative rate of inflation since fiscal year
2003 as measured by the percentage increase, if
any, in the Consumer Price Index For All Urban
Consumers, published by the Bureau of Labor
Statistics of the Department of Labor),
whichever is greater; and
``(ii) each outlying area may reserve not
more than 5 percent of the amount the outlying
area receives under subsection (b) for any
fiscal year or $35,000, whichever is greater.
``(B) Part c.--Funds reserved under subparagraph
(A) may be used for the administration of part C, if
the State educational agency is the lead agency for the
State under that part.
``(C) Certification.--Prior to expenditure of funds
under this paragraph, the State shall certify to the
Secretary that the arrangements to establish
responsibility for services pursuant to section
612(a)(12)(A) are current as of the date of submission
of the certification.
``(2) Other state-level activities.--
``(A) State-level activities.--
``(i) In general.--For the purpose of
carrying out State-level activities, each State
may reserve for each of the fiscal years 2004
and 2005, not more than 10 percent of the
amount that remains after subtracting the
amount reserved under paragraph (1) from the
amount of the State's allocation under
subsection (d) for fiscal years 2004 and 2005,
respectively. For fiscal years 2006, 2007,
2008, and 2009, the State may reserve the
maximum amount the State was eligible to
reserve under the preceding sentence for fiscal
year 2005 (adjusted by the cumulative rate of
inflation since fiscal year 2005 as measured by
the percentage increase, if any, in the
Consumer Price Index for All Urban Consumers,
published by the Bureau of Labor Statistics of
the Department of Labor).
``(ii) Small state adjustment.--
Notwithstanding clause (i), in the case of a
State for which the maximum amount reserved for
State administration under paragraph (1) is not
greater than $800,000 (as adjusted pursuant to
paragraph (1)(A)(i)), the State may reserve for
the purpose of carrying out State-level
activities for each of the fiscal years 2004
and 2005, not more than 12 percent of the
amount that remains after subtracting the
amount reserved under paragraph (1) from the
amount of the State's allocation under
subsection (d) for fiscal years 2004 and 2005,
respectively. For each of the fiscal years
2006, 2007, 2008, and 2009, each such State may
reserve for such purpose the maximum amount the
State was eligible to reserve under the
preceding sentence for fiscal year 2005
(adjusted by the cumulative rate of inflation
since fiscal year 2005 as measured by the
percentage increase, if any, in the Consumer
Price Index For All Urban Consumers, published
by the Bureau of Labor Statistics of the
Department of Labor).
``(B) Required activities.--Funds reserved under
subparagraph (A) shall be used to carry out the
following activities:
``(i) For monitoring, enforcement and
complaint investigation.
``(ii) To establish and implement the
mediation, processes required by section
615(e)(1), including providing for the costs of
mediators and support personnel;
``(iii) To support the State protection and
advocacy system to advise and assist parents in
the areas of--
``(I) dispute resolution and due
process;
``(II) voluntary mediation; and
``(III) the opportunity to resolve
complaints.
``(C) Authorized activities.--Funds reserved under
subparagraph (A) may be used to carry out the following
activities:
``(i) For support and direct services,
including technical assistance, personnel
preparation, and professional development and
training.
``(ii) To support paperwork reduction
activities, including expanding the use of
technology in the IEP process.
``(iii) To assist local educational
agencies in providing positive behavioral
interventions and supports and mental health
services for children with disabilities.
``(iv) To improve the use of technology in
the classroom by children with disabilities to
enhance learning.
``(v) To support the development and use of
technology, including universally designed
technologies and assistive technology devices,
to maximize accessibility to the general
curriculum for children with disabilities.
``(vi) Development and implementation of
transition programs, including coordination of
services with agencies involved in supporting
the transition of students with disabilities to
post-secondary activities.
``(vii) To assist local educational
agencies in meeting personnel shortages.
``(viii) To support capacity building
activities and improve the delivery of services
by local educational agencies to improve
results for children with disabilities.
``(ix) Alternative programming for children
who have been expelled from school, and
services for children in correctional
facilities, children enrolled in State-operated
or State-supported schools, and children in
charter schools.
``(x) To support the development and
provision of appropriate accommodations for
children with disabilities, or the development
and provision of alternate assessments that are
valid and reliable for assessing the
performance of children with disabilities, in
accordance with sections 1111(b) and 6111 of
the Elementary and Secondary Education Act of
1965.
``(3) Local educational agency risk pool.--
``(A) In general.--For the purpose of assisting
local educational agencies (and charter schools that
are local educational agencies) in addressing the needs
of high-need children and the unanticipated enrollment
of other children eligible for services under this
part, each State shall reserve for each of the fiscal
years 2004 through 2009, 2 percent of the amount that
remains after subtracting the amount reserved under
paragraph (1) from the amount of the State's allocation
under subsection (d) for each of the fiscal years 2004
through 2009, respectively, to--
``(i) establish a high-cost fund; and
``(ii) make disbursements from the high-
cost fund to local educational agencies in
accordance with this paragraph.
``(B) Required disbursements from the fund.--
``(i) In general.--Each State educational
agency shall make disbursements from the fund
established under subparagraph (A) to local
educational agencies to pay the percentage,
described in subparagraph (D), of the costs of
providing a free appropriate public education
to high-need children.
``(ii) Special rule.--If funds reserved for
a fiscal year under subparagraph (A) are
insufficient to pay the percentage described in
subparagraph (D) to assist all the local
educational agencies having applications
approved under subparagraph (C), then the State
educational agency shall ratably reduce the
amount paid to each local educational agency
that receives a disbursement for that fiscal
year.
``(C) Application.--A local educational agency that
desires a disbursement under this subsection shall
submit an application to the State educational agency
at such time, in such manner, and containing such
information as the State educational agency may
require. Such application shall include assurances that
funds provided under this paragraph shall not be used
to pay costs that otherwise would be reimbursable as
medical assistance for a child with a disability under
the State medicaid program under title XIX of the
Social Security Act.
``(D) Disbursements.--
``(i) In general.--A State educational
agency shall make a disbursement to a local
educational agency that submits an application
under subparagraph (C) in an amount that is
equal to 75 percent of the costs that are in
excess of 4 times the average per-pupil
expenditure in the United States or in the
State where the child resides (whichever
average per-pupil expenditure is lower)
associated with educating each high need child
served by such local educational agency in a
fiscal year for whom such agency desires a
disbursement.
``(ii) Appropriate costs.--The costs
associated with educating a high need child
under clause (i) are only those costs
associated with providing direct special
education and related services to such child
that are identified in such child's
appropriately developed IEP.
``(E) Legal fees.--The disbursements under
subparagraph (D) shall not support legal fees, court
costs, or other costs associated with a cause of action
brought on behalf of such child to ensure a free
appropriate public education for such child.
``(F) Permissible disbursements from remaining
funds.--A State educational agency may make
disbursements to local educational agencies from any
funds that are remaining in the high cost fund after
making the required disbursements under subparagraph
(D) for a fiscal year for the following purposes:
``(i) To pay the costs associated with
serving children with disabilities who moved
into the areas served by such local agencies
after the budget for the following school year
had been finalized to assist the local
educational agencies in providing a free
appropriate public education for such children
in such year.
``(ii) To compensate local educational
agencies for extraordinary costs, as determined
by the State, of any children eligible for
services under this part due to--
``(I) unexpected enrollment or
placement of children eligible for
services under this part; or
``(II) a significant underestimate
of the average cost of providing
services to children eligible for
services under this part.
``(G) Remaining funds.--Funds reserved under
subparagraph (A) in any fiscal year but not expended in
that fiscal year pursuant to subparagraph (D) or
subparagraph (F) shall--
``(i) be allocated to local educational
agencies pursuant to subparagraphs (D) or (F)
for the next fiscal year; or
``(ii) be allocated to local educational
agencies in the same manner as funds are
allocated to local educational agencies under
subsection (f).
``(H) Assurance of a free appropriate public
education.--Nothing in this section shall be
construed--
``(i) to limit or condition the right of a
child with a disability who is assisted under
this part to receive a free appropriate public
education pursuant to section 612(a)(1) in a
least restrictive environment pursuant to
section 612(a)(5); or
``(ii) to authorize a State educational
agency or local educational agency to indicate
a limit on what is expected to be spent on the
education of a child with a disability.
``(I) Medicaid services not affected.--
Disbursements provided under this subsection shall not
be used to pay costs that otherwise would be
reimbursable as medical assistance for a child with a
disability under the State medicaid program under title
XIX of the Social Security Act.
``(J) Definitions.--In this paragraph:
``(i) Average per-pupil expenditure.--The
term `average per-pupil expenditure' has the
meaning given the term in section 9101 of the
Elementary and Secondary Education Act of 1965.
``(ii) High-need child.--The term `high-
need', when used with respect to a child with a
disability, means a child with a disability for
whom a free appropriate public education in a
fiscal year costs more than 4 times the average
per-pupil expenditure for such fiscal year.
``(K) Special rule for risk pool and high-need
assistance programs in effect as of january 1, 2003.--
Notwithstanding the provisions of subparagraphs (A)
through (J), a State may use funds reserved pursuant to
this paragraph for administering and implementing a
placement-neutral cost-sharing and reimbursement
program of high-need, low-incidence, emergency,
catastrophic, or extraordinary aid to local educational
agencies that provides services to students eligible
under this part based on eligibility criteria for such
programs that were operative on January 1, 2003.
``(4) Inapplicability of certain prohibitions.--A State may
use funds the State reserves under paragraphs (1), (2), and (3)
without regard to--
``(A) the prohibition on commingling of funds in
section 612(a)(17)(B); and
``(B) the prohibition on supplanting other funds in
section 612(a)(17)(C).
``(5) Report on use of funds.--As part of the information
required to be submitted to the Secretary under section 612,
each State shall annually describe how amounts under this
section--
``(A) will be used to meet the requirements of this
Act; and
``(B) will be allocated among the activities
described in this section to meet State priorities
based on input from local educational agencies.
``(6) Flexibility in using funds for part c.--Any State
eligible to receive a grant under section 619 may use funds
made available under paragraph (1)(A), subsection (f)(3), or
section 619(f)(5) to develop and implement a State policy
jointly with the lead agency under part C and the State
educational agency to provide early intervention services
(which shall include an educational component that promotes
school readiness and incorporates pre-literacy, language, and
numeracy skills) in accordance with part C to children with
disabilities who are eligible for services under section 619
and who previously received services under part C until such
children enter, or are eligible under State law to enter,
kindergarten.
``(f) Subgrants to Local Educational Agencies.--
``(1) Subgrants required.--Each State that receives a grant
under this section for any fiscal year shall distribute any
funds the State does not reserve under subsection (e) to local
educational agencies (including public charter schools that
operate as local educational agencies) in the State that have
established their eligibility under section 613 for use in
accordance with this part.
``(2) Procedure for allocations to local educational
agencies.--
``(A) Procedure.--For each fiscal year for which
funds are allocated to States under subsection (d),
each State shall allocate funds under paragraph (1) as
follows:
``(i) Base payments.--The State shall first
award each local educational agency described
in paragraph (1) the amount the local
educational agency would have received under
this section for fiscal year 1999, if the State
had distributed 75 percent of its grant for
that year under section 611(d) as section
611(d) was then in effect.
``(ii) Allocation of remaining funds.--
After making allocations under clause (i), the
State shall--
``(I) allocate 85 percent of any
remaining funds to those local
educational agencies on the basis of
the relative numbers of children
enrolled in public and private
elementary schools and secondary
schools within the local educational
agency's jurisdiction; and
``(II) allocate 15 percent of those
remaining funds to those local
educational agencies in accordance with
their relative numbers of children
living in poverty, as determined by the
State educational agency.
``(3) Reallocation of funds.--If a State educational agency
determines that a local educational agency is adequately
providing a free appropriate public education to all children
with disabilities residing in the area served by that local
educational agency with State and local funds, the State
educational agency may reallocate any portion of the funds
under this part that are not needed by that local educational
agency to provide a free appropriate public education to other
local educational agencies in the State that are not adequately
providing special education and related services to all
children with disabilities residing in the areas served by
those other local educational agencies.
``(g) Definitions.--For the purpose of this section--
``(1) the term `average per-pupil expenditure in public
elementary schools and secondary schools in the United States'
means--
``(A) without regard to the source of funds--
``(i) the aggregate current expenditures,
during the second 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 50 States and the District of Columbia;
plus
``(ii) any direct expenditures by the State
for the operation of those local educational
agencies; divided by
``(B) the aggregate number of children in average
daily attendance to whom those local educational
agencies provided free public education during that
preceding year; and
``(2) the term `State' means each of the 50 States, the
District of Columbia, and the Commonwealth of Puerto Rico.
``(h) Use of Amounts by Secretary of the Interior.--
``(1) Provision of amounts for assistance.--
``(A) In general.--The Secretary of Education shall
provide amounts to the Secretary of the Interior to
meet the need for assistance for the education of
children with disabilities on reservations aged 5
through 21 who are enrolled in elementary schools and
secondary schools for Indian children operated or
funded by the Secretary of the Interior. The amount of
such payment for any fiscal year shall be equal to 80
percent of the amount allotted under subsection (c) for
that fiscal year.
``(B) Calculation of number of children.--In the
case of Indian students aged 3 through 5 who are
enrolled in programs affiliated with the Bureau of
Indian Affairs (hereafter in this subsection referred
to as `BIA') schools, and that are required by the
States in which such schools are located to attain or
maintain State accreditation, and which schools had
such accreditation prior to the date of enactment of
the Individuals with Disabilities Education Act
Amendments of 1991, the school shall be allowed to
count those children for the purpose of distribution of
the funds provided under this paragraph to the
Secretary of the Interior. The Secretary of the
Interior shall be responsible for meeting all of the
requirements of this part for these children, in
accordance with paragraph (2).
``(C) Additional requirement.--With respect to all
other children aged 3 through 21 on reservations, the
State educational agency shall be responsible for
ensuring that all of the requirements of this part are
implemented.
``(2) Submission of information.--The Secretary of
Education may provide the Secretary of the Interior amounts
under paragraph (1) for a fiscal year only if the Secretary of
the Interior submits to the Secretary of Education information
that--
``(A) demonstrates that the Department of the
Interior meets the appropriate requirements, as
determined by the Secretary of Education, of sections
612 (including monitoring and evaluation activities)
and 613;
``(B) includes a description of how the Secretary
of the Interior will coordinate the provision of
services under this part with local educational
agencies, tribes and tribal organizations, and other
private and Federal service providers;
``(C) includes an assurance that there are public
hearings, adequate notice of such hearings, and an
opportunity for comment afforded to members of tribes,
tribal governing bodies, and affected local school
boards before the adoption of the policies, programs,
and procedures described in subparagraph (A);
``(D) includes an assurance that the Secretary of
the Interior will provide such information as the
Secretary of Education may require to comply with
section 618;
``(E) includes an assurance that the Secretary of
the Interior and the Secretary of Health and Human
Services have entered into a memorandum of agreement,
to be provided to the Secretary of Education, for the
coordination of services, resources, and personnel
between their respective Federal, State, and local
offices and with State and local educational agencies
and other entities to facilitate the provision of
services to Indian children with disabilities residing
on or near reservations (such agreement shall provide
for the apportionment of responsibilities and costs
including, but not limited to, child find, evaluation,
diagnosis, remediation or therapeutic measures, and
(where appropriate) equipment and medical or personal
supplies as needed for a child to remain in school or a
program); and
``(F) includes an assurance that the Department of
the Interior will cooperate with the Department of
Education in its exercise of monitoring and oversight
of this application, and any agreements entered into
between the Secretary of the Interior and other
entities under this part, and will fulfill its duties
under this part.
``(3) Applicability.--Section 616(a) shall apply to the
information described in this paragraph.
``(4) Payments for education and services for indian
children with disabilities aged 3 through 5.--
``(A) In general.--With funds appropriated under
subsection (i), the Secretary of Education shall make
payments to the Secretary of the Interior to be
distributed to tribes or tribal organizations (as
defined under section 4 of the Indian Self-
Determination and Education Assistance Act) or
consortia of the above to provide for the coordination
of assistance for special education and related
services for children with disabilities aged 3 through
5 on reservations served by elementary schools and
secondary schools for Indian children operated or
funded by the Department of the Interior. The amount of
such payments under subparagraph (B) for any fiscal
year shall be equal to 20 percent of the amount
allotted under subsection (c).
``(B) Distribution of funds.--The Secretary of the
Interior shall distribute the total amount of the
payment under subparagraph (A) by allocating to each
tribe or tribal organization an amount based on the
number of children with disabilities ages 3 through 5
residing on reservations as reported annually, divided
by the total of those children served by all tribes or
tribal organizations.
``(C) Submission of information.--To receive a
payment under this paragraph, the tribe or tribal
organization shall submit such figures to the Secretary
of the Interior as required to determine the amounts to
be allocated under subparagraph (B). This information
shall be compiled and submitted to the Secretary of
Education.
``(D) Use of funds.--The funds received by a tribe
or tribal organization shall be used to assist in child
find, screening, and other procedures for the early
identification of children aged 3 through 5, parent
training, and the provision of direct services. These
activities may be carried out directly or through
contracts or cooperative agreements with the BIA, local
educational agencies, and other public or private
nonprofit organizations. The tribe or tribal
organization is encouraged to involve Indian parents in
the development and implementation of these activities.
The above entities shall, as appropriate, make
referrals to local, State, or Federal entities for the
provision of services or further diagnosis.
``(E) Biennial report.--To be eligible to receive a
grant pursuant to subparagraph (A), the tribe or tribal
organization shall provide to the Secretary of the
Interior a biennial report of activities undertaken
under this paragraph, including the number of contracts
and cooperative agreements entered into, the number of
children contacted and receiving services for each
year, and the estimated number of children needing
services during the 2 years following the year in which
the report is made. The Secretary of the Interior shall
include a summary of this information on a biennial
basis in the report to the Secretary of Education
required under this subsection. The Secretary of
Education may require any additional information from
the Secretary of the Interior.
``(F) Prohibitions.--None of the funds allocated
under this paragraph may be used by the Secretary of
the Interior for administrative purposes, including
child count and the provision of technical assistance.
``(5) Plan for coordination of services.--The Secretary of
the Interior shall develop and implement a plan for the
coordination of services for all Indian children with
disabilities residing on reservations covered under this Act.
Such plan shall provide for the coordination of services
benefiting these children from whatever source, including
tribes, the Indian Health Service, other BIA divisions, and
other Federal agencies. In developing the plan, the Secretary
of the Interior shall consult with all interested and involved
parties. The plan shall be based on the needs of the children
and the system best suited for meeting those needs, and may
involve the establishment of cooperative agreements between the
BIA, other Federal agencies, and other entities. The plan shall
also be distributed upon request to States, State and local
educational agencies, and other agencies providing services to
infants, toddlers, and children with disabilities, to tribes,
and to other interested parties.
``(6) Establishment of advisory board.--To meet the
requirements of section 612(a)(20), the Secretary of the
Interior shall establish, under the BIA, an advisory board
composed of individuals involved in or concerned with the
education and provision of services to Indian infants,
toddlers, children, and youth with disabilities, including
Indians with disabilities, Indian parents or guardians of such
children, teachers, service providers, State and local
educational officials, representatives of tribes or tribal
organizations, representatives from State Interagency
Coordinating Councils under section 641 in States having
reservations, and other members representing the various
divisions and entities of the BIA. The chairperson shall be
selected by the Secretary of the Interior. The advisory board
shall--
``(A) assist in the coordination of services within
the BIA and with other local, State, and Federal
agencies in the provision of education for infants,
toddlers, and children with disabilities;
``(B) advise and assist the Secretary of the
Interior in the performance of the Secretary's
responsibilities described in this subsection;
``(C) develop and recommend policies concerning
effective inter- and intra-agency collaboration,
including modifications to regulations, and the
elimination of barriers to inter- and intra-agency
programs and activities;
``(D) provide assistance and disseminate
information on best practices, effective program
coordination strategies, and recommendations for
improved educational programming for Indian infants,
toddlers, and children with disabilities; and
``(E) provide assistance in the preparation of
information required under paragraph (2)(D).
``(7) Annual reports.--
``(A) In general.--The advisory board established
under paragraph (6) shall prepare and submit to the
Secretary of the Interior and to Congress an annual
report containing a description of the activities of
the advisory board for the preceding year.
``(B) Availability.--The Secretary of the Interior
shall make available to the Secretary of Education the
report described in subparagraph (A).
``(i) Authorization of Appropriations.--For the purpose of carrying
out this part, other than section 619, there are authorized to be
appropriated--
``(1) $12,358,376,571 for fiscal year 2005;
``(2) $14,648,647,143 for fiscal year 2006;
``(3) $16,938,917,714 for fiscal year 2007;
``(4) $19,229,188,286 for fiscal year 2008;
``(5) $21,519,458,857 for fiscal year 2009;
``(6) $23,809,729,429 for fiscal year 2010;
``(7) $26,100,000,000 for fiscal year 2011; and
``(8) such sums as may be necessary for fiscal year 2012
and each succeeding fiscal year.
``SEC. 612. STATE ELIGIBILITY.
``(a) In General.--A State is eligible for assistance under this
part for a fiscal year if the State submits a plan that provides
assurances to the Secretary that the State has in effect policies and
procedures to ensure that the State meets each of the following
conditions:
``(1) Free appropriate public education.--
``(A) In general.--A free appropriate public
education is available to all children with
disabilities residing in the State between the ages of
3 and 21, inclusive, including children with
disabilities who have been suspended or expelled from
school.
``(B) Limitation.--The obligation to make a free
appropriate public education available to all children
with disabilities does not apply with respect to
children--
``(i) aged 3 through 5 and 18 through 21 in
a State to the extent that its application to
those children would be inconsistent with State
law or practice, or the order of any court,
respecting the provision of public education to
children in those age ranges; and
``(ii) aged 18 through 21 to the extent
that State law does not require that special
education and related services under this part
be provided to children with disabilities who,
in the educational placement prior to their
incarceration in an adult correctional
facility--
``(I) were not actually identified
as being a child with a disability
under section 602(3); or
``(II) did not have an
individualized education program under
this part.
``(C) State flexibility.--A State that provides
early intervention services in accordance with part C
to a child who is eligible for services under section
619, is not required to provide such child with a free
appropriate public education.
``(2) Full educational opportunity goal.--The State has
established a goal of providing full educational opportunity to
all children with disabilities and a detailed timetable for
accomplishing that goal.
``(3) Child find.--
``(A) In general.--All children with disabilities
residing in the State, including children with
disabilities who are homeless children or are wards of
the State and children with disabilities attending
private schools, regardless of the severity of their
disabilities, and who are in need of special education
and related services, are identified, located, and
evaluated and a practical method is developed and
implemented to determine which children with
disabilities are currently receiving needed special
education and related services.
``(B) Construction.--Nothing in this Act requires
that children be classified by their disability so long
as each child who has a disability listed in section
602 and who, by reason of that disability, needs
special education and related services is regarded as a
child with a disability under this part.
``(4) Individualized education program.--An individualized
education program, or an individualized family service plan
that meets the requirements of section 636(d), is developed,
reviewed, and revised for each child with a disability in
accordance with section 614(d).
``(5) Least restrictive environment.--
``(A) In general.--To the maximum extent
appropriate, children with disabilities, including
children in public or private institutions or other
care facilities, are educated with children who are not
disabled, and special classes, separate schooling, or
other removal of children with disabilities from the
regular educational environment occurs only when the
nature or severity of the disability of a child is such
that education in regular classes with the use of
supplementary aids and services cannot be achieved
satisfactorily.
``(B) Additional requirement.--
``(i) In general.--A State funding
mechanism shall not result in placements that
violate the requirements of subparagraph (A),
and a State shall not use a funding mechanism
by which the State distributes funds on the
basis of the type of setting in which a child
is served that will result in the failure to
provide a child with a disability a free
appropriate public education according to the
unique needs of the child as described in the
child's IEP.
``(ii) Assurance.--If the State does not
have policies and procedures to ensure
compliance with clause (i), the State shall
provide the Secretary an assurance that the
State will revise the funding mechanism as soon
as feasible to ensure that such mechanism does
not result in such placements.
``(6) Procedural safeguards.--
``(A) In general.--Children with disabilities and
their parents are afforded the procedural safeguards
required by section 615.
``(B) Additional procedural safeguards.--Procedures
to ensure that testing and evaluation materials and
procedures utilized for the purposes of evaluation and
placement of children with disabilities will be
selected and administered so as not to be racially or
culturally discriminatory. Such materials or procedures
shall be provided and administered in the child's
native language or mode of communication, unless it
clearly is not feasible to do so, and no single
procedure shall be the sole criterion for determining
an appropriate educational program for a child.
``(7) Evaluation.--Children with disabilities are evaluated
in accordance with subsections (a) and (b) of section 614.
``(8) Confidentiality.--Agencies in the State comply with
section 617(c) (relating to the confidentiality of records and
information).
``(9) Transition from part c to preschool programs.--
Children participating in early-intervention programs assisted
under part C, and who will participate in preschool programs
assisted under this part, experience a smooth and effective
transition to those preschool programs in a manner consistent
with section 637(a)(8). By the third birthday of such a child,
an individualized education program or, if consistent with
sections 614(d)(2)(B) and 636(d), an individualized family
service plan, has been developed and is being implemented for
the child. The local educational agency will participate in
transition planning conferences arranged by the designated lead
agency under section 635(a)(10).
``(10) Children in private schools.--
``(A) Children enrolled in private schools by their
parents.--
``(i) In general.--To the extent consistent
with the number and location of children with
disabilities in the State who are enrolled by
their parents in private elementary schools and
secondary schools in the school district served
by a local educational agency, provision is
made for the participation of those children in
the program assisted or carried out under this
part by providing for such children special
education and related services in accordance
with the following requirements, unless the
Secretary has arranged for services to those
children under subsection (f):
``(I) Amounts to be expended for
the provision of those services
(including direct services to
parentally placed children) by the
local educational agency shall be equal
to a proportionate amount of Federal
funds made available under this part.
``(II) Such services may be
provided to children with disabilities
on the premises of private, including
religious, schools, to the extent
consistent with law.
``(III) Each local educational
agency shall maintain in its records
and provide to the State educational
agency the number of children evaluated
under this paragraph, the number of
children determined to be children with
disabilities, and the number of
children served under this subsection.
``(ii) Child-find requirement.--
``(I) In general.--The requirements
of paragraph (3) of this subsection
(relating to child find) shall apply
with respect to children with
disabilities in the State who are
enrolled in private, including
religious, elementary schools and
secondary schools. Such child find
process shall be conducted in a
comparable time period as for other
students attending public schools in
the local educational agency.
``(II) Equitable participation.--
The child find process shall be
designed to ensure the equitable
participation of parentally placed
private school children and an accurate
count of such children.
``(III) Activities.--In carrying
out this clause, the local educational
agency, or where applicable, the State
educational agency, shall undertake
activities similar to those activities
undertaken for its public school
children.
``(IV) Cost.--The cost of carrying
out this clause, including individual
evaluations, may not be considered in
determining whether a local education
agency has met its obligations under
clause (i).
``(iii) Consultation.--To ensure timely and
meaningful consultation, a local educational
agency, or where appropriate, a State
educational agency, shall consult with
representatives of children with disabilities
who are parentally placed in private schools,
during the design and development of special
education and related services for these
children, including consultation regarding--
``(I) the child find process and
how parentally placed private school
children suspected of having a
disability can participate equitably,
including how parents, teachers, and
private school officials will be
informed of the process;
``(II) the determination of the
proportionate share of Federal funds
available to serve parentally placed
private school children with
disabilities under this paragraph,
including the determination of how the
proportionate share of those funds were
calculated;
``(III) the consultation process
among the school district, private
school officials, and parents of
parentally placed private school
children with disabilities, including
how such process will operate
throughout the school year to ensure
that parentally placed children with
disabilities identified through the
child find process can meaningfully
participate in special education and
related services;
``(IV) how, where, and by whom
special education and related services
will be provided for parentally placed
private school children, including a
discussion of alternate service
delivery mechanisms, how such services
will be apportioned if funds are
insufficient to serve all children, and
how and when these decisions will be
made; and
``(V) how, 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 to the private school
officials a written explanation of the
reasons why the local educational
agency chose not to provide services
through a contract.
``(iv) Written affirmation.--When timely
and meaningful consultation as required by this
section has occurred, the local educational
agency shall obtain a written affirmation
signed by the representatives of participating
private schools, and if such officials do not
provide such affirmation within a reasonable
period of time, the local educational agency
shall forward the documentation of the
consultation process to the State educational
agency.
``(v) Compliance.--
``(I) In general.--A private school
official shall have the right to
complain to the State educational
agency that the local educational
agency did not engage in consultation
that was meaningful and timely, or did
not give due consideration to the views
of the private school official.
``(II) Procedure.--If the private
school official wishes to complain, the
official shall provide the basis of the
noncompliance with this section by the
local educational agency to the State
educational agency, and the local
educational agency shall forward the
appropriate documentation to the State
educational agency. If the private
school official is dissatisfied with
the decision of the State educational
agency, such official may complain to
the Secretary by providing the basis of
the noncompliance with this section by
the local educational agency to the
Secretary, and the State educational
agency shall forward the appropriate
documentation to the Secretary.
``(vi) Provision of equitable services.--
``(I) Direct services.--To the
extent practicable, the local
educational agency shall provide direct
services to children with disabilities
parentally placed in private schools.
``(II) Directly or through
contracts.--A public agency may provide
special education and related services
directly or through contracts with
public and private agencies,
organizations, and institutions.
``(III) Secular, neutral,
nonideological.--Special education and
related services provided to children
with disabilities attending private
schools, including materials and
equipment, shall be secular, neutral,
and nonideological.
``(vii) Public control of funds.--The
control of funds used to provide special
education and related services under this
section, and title to materials, equipment, and
property purchased with those funds, shall be
in a public agency for the uses and purposes
provided in this Act, and a public agency shall
administer the funds and property.
``(B) Children placed in, or referred to, private
schools by public agencies.--
``(i) In general.--Children with
disabilities in private schools and facilities
are provided special education and related
services, in accordance with an individualized
education program, at no cost to their parents,
if such children are placed in, or referred to,
such schools or facilities by the State or
appropriate local educational agency as the
means of carrying out the requirements of this
part or any other applicable law requiring the
provision of special education and related
services to all children with disabilities
within such State.
``(ii) Standards.--In all cases described
in clause (i), the State educational agency
shall determine whether such schools and
facilities meet standards that apply to State
and local educational agencies and that
children so served have all the rights the
children would have if served by such agencies.
``(C) Payment for education of children enrolled in
private schools without consent of or referral by the
public agency.--
``(i) In general.--Subject to subparagraph
(A), this part does not require a local
educational agency to pay for the cost of
education, including special education and
related services, of a child with a disability
at a private school or facility if that agency
made a free appropriate public education
available to the child and the parents elected
to place the child in such private school or
facility.
``(ii) Reimbursement for private school
placement.--If the parents of a child with a
disability, who previously received special
education and related services under the
authority of a public agency, enroll the child
in a private elementary school or secondary
school without the consent of or referral by
the public agency, a court or a hearing officer
may require the agency to reimburse the parents
for the cost of that enrollment if the court or
hearing officer finds that the agency had not
made a free appropriate public education
available to the child in a timely manner prior
to that enrollment.
``(iii) Limitation on reimbursement.--The
cost of reimbursement described in clause (ii)
may be reduced or denied--
``(I) if--
``(aa) at the most recent
IEP meeting that the parents
attended prior to removal of
the child from the public
school, the parents did not
inform the IEP Team that they
were rejecting the placement
proposed by the public agency
to provide a free appropriate
public education to their
child, including stating their
concerns and their intent to
enroll their child in a private
school at public expense; or
``(bb) 10 business days
(including any holidays that
occur on a business day) prior
to the removal of the child
from the public school, the
parents did not give written
notice to the public agency of
the information described in
division (aa);
``(II) if, prior to the parents'
removal of the child from the public
school, the public agency informed the
parents, through the notice
requirements described in section
615(b)(3), of its intent to evaluate
the child (including a statement of the
purpose of the evaluation that was
appropriate and reasonable), but the
parents did not make the child
available for such evaluation; or
``(III) upon a judicial finding of
unreasonableness with respect to
actions taken by the parents.
``(iv) Exception.--Notwithstanding the
notice requirement in clause (iii)(I), the cost
of reimbursement--
``(I) shall not be reduced or
denied for failure to provide such
notice if--
``(aa) the school prevented
the parent from providing such
notice; or
``(bb) the parents had not
received notice, pursuant to
section 615, of the notice
requirement in clause (iii)(I);
and
``(II) may, in the discretion of a
court or a hearing officer, not be
reduced or denied for failure to
provide such notice if--
``(aa) the parent is
illiterate and cannot write in
English; or
``(bb) compliance with
clause (iii)(I) would likely
have resulted in physical or
serious emotional harm to the
child.
``(11) State educational agency responsible for general
supervision.--
``(A) In general.--The State educational agency is
responsible for ensuring that--
``(i) the requirements of this part are
met; and
``(ii) all educational programs for
children with disabilities in the State,
including all such programs administered by any
other State or local agency--
``(I) are under the general
supervision of individuals in the State
who are responsible for educational
programs for children with
disabilities; and
``(II) meet the educational
standards of the State educational
agency.
``(B) Limitation.--Subparagraph (A) shall not limit
the responsibility of agencies in the State other than
the State educational agency to provide, or pay for
some or all of the costs of, a free appropriate public
education for any child with a disability in the State.
``(C) Exception.--Notwithstanding subparagraphs (A)
and (B), the Governor (or another individual pursuant
to State law), consistent with State law, may assign to
any public agency in the State the responsibility of
ensuring that the requirements of this part are met
with respect to children with disabilities who are
convicted as adults under State law and incarcerated in
adult prisons.
``(12) Obligations related to and methods of ensuring
services.--
``(A) Establishing responsibility for services.--
The Chief Executive Officer of a State or designee of
the officer shall ensure that an interagency agreement
or other mechanism for interagency coordination is in
effect between each public agency described in
subparagraph (B) and the State educational agency, in
order to ensure that all services described in
subparagraph (B)(i) that are needed to ensure a free
appropriate public education are provided, including
the provision of such services during the pendency of
any dispute under clause (iii). Such agreement or
mechanism shall include the following:
``(i) Agency financial responsibility.--An
identification of, or a method for defining,
the financial responsibility of each agency for
providing services described in subparagraph
(B)(i) to ensure a free appropriate public
education to children with disabilities,
provided that the financial responsibility of
each public agency described in subparagraph
(B), including the State Medicaid agency and
other public insurers of children with
disabilities, shall precede the financial
responsibility of the local educational agency
(or the State agency responsible for developing
the child's IEP).
``(ii) Conditions and terms of
reimbursement.--The conditions, terms, and
procedures under which a local educational
agency shall be reimbursed by other agencies.
``(iii) Interagency disputes.--Procedures
for resolving interagency disputes (including
procedures under which local educational
agencies may initiate proceedings) under the
agreement or other mechanism to secure
reimbursement from other agencies or otherwise
implement the provisions of the agreement or
mechanism.
``(iv) Coordination of services
procedures.--Policies and procedures for
agencies to determine and identify the
interagency coordination responsibilities of
each agency to promote the coordination and
timely and appropriate delivery of services
described in subparagraph (B)(i).
``(B) Obligation of public agency.--
``(i) In general.--If any public agency
other than an educational agency is otherwise
obligated under Federal or State law, or
assigned responsibility under State policy
pursuant to subparagraph (A), to provide or pay
for any services that are also considered
special education or related services (such as,
but not limited to, services described in
section 602(1) relating to assistive technology
devices, 602(2) relating to assistive
technology services, 602(25) relating to
related services, 602(32) relating to
supplementary aids and services, and 602(33)
relating to transition services) that are
necessary for ensuring a free appropriate
public education to children with disabilities
within the State, such public agency shall
fulfill that obligation or responsibility,
either directly or through contract or other
arrangement pursuant to subparagraph (A) or an
agreement pursuant to subparagraph (C).
``(ii) Reimbursement for services by public
agency.--If a public agency other than an
educational agency fails to provide or pay for
the special education and related services
described in clause (i), the local educational
agency (or State agency responsible for
developing the child's IEP) shall provide or
pay for such services to the child. Such local
educational agency or State agency is
authorized to claim reimbursement for the
services from the public agency that failed to
provide or pay for such services and such
public agency shall reimburse the local
educational agency or State agency pursuant to
the terms of the interagency agreement or other
mechanism described in subparagraph (A)(i)
according to the procedures established in such
agreement pursuant to subparagraph (A)(ii).
``(C) Special rule.--The requirements of
subparagraph (A) may be met through--
``(i) State statute or regulation;
``(ii) signed agreements between respective
agency officials that clearly identify the
responsibilities of each agency relating to the
provision of services; or
``(iii) other appropriate written methods
as determined by the Chief Executive Officer of
the State or designee of the officer and
approved by the Secretary.
``(13) Procedural requirements relating to local
educational agency eligibility.--The State educational agency
will not make a final determination that a local educational
agency is not eligible for assistance under this part without
first affording that agency reasonable notice and an
opportunity for a hearing.
``(14) Personnel standards.--
``(A) In general.--The State educational agency has
established and maintains standards to ensure that
personnel necessary to carry out this part are
appropriately and adequately prepared and trained,
including that those personnel have the content
knowledge and skills to serve children with
disabilities.
``(B) Related services personnel and
paraprofessionals.--The standards under subparagraph
(A) include standards for related services personnel
and paraprofessionals that--
``(i) are consistent with any State-
approved or State-recognized certification,
licensing, registration, or other comparable
requirements that apply to the professional
discipline in which those personnel are
providing special education or related
services;
``(ii) ensure that related services
personnel who deliver services in their
discipline or profession meet the requirements
of clause (i) and have not had certification or
licensure requirements waived on an emergency,
temporary, or provisional basis; and
``(iii) allow paraprofessionals and
assistants who are appropriately trained and
supervised, in accordance with State law,
regulation, or written policy, in meeting the
requirements of this part to be used to assist
in the provision of special education and
related services under this part to children
with disabilities.
``(C) Standards for special education teachers.--
``(i) In general.--The standards described
in subparagraph (A) shall ensure that each
person employed as a special education teacher
in the State who teaches in an elementary,
middle, or secondary school is highly qualified
not later than the end of the 2006-2007 school
year.
``(ii) Compliance.--Notwithstanding
paragraphs (2) and (3) of section 1119(a) of
the Elementary and Secondary Education Act of
1965, for purposes of determining compliance
with such paragraphs--
``(I) the Secretary, the State
educational agency, and local
educational agencies shall apply the
definition of highly qualified in
section 602(10) to special education
teachers; and
``(II) the State shall ensure that
all special education teachers teaching
in core academic subjects within the
State are highly qualified (as defined
in section 602(10)) not later than the
end of the 2006-2007 school year.
``(iii) Parents' right to know.--In
carrying out section 1111(h)(6) of the
Elementary and Secondary Education Act of 1965
with respect to special education teachers, a
local educational agency shall--
``(I) include in a response to a
request under such section any
additional information needed to
demonstrate that the teacher meets the
applicable requirements of section
602(10) relating to certification or
licensure as a special education
teacher; and
``(II) apply the definition of
highly qualified in section 602(10) in
carrying out section 1111(h)(6)(B)(ii).
``(D) Policy.--In implementing this section, a
State shall adopt a policy that includes a requirement
that local educational agencies in the State take
measurable steps to recruit, hire, train, and retain
highly qualified personnel to provide special education
and related services under this part to children with
disabilities.
``(E) Rule of construction.--Notwithstanding any
other individual right of action that a parent or
student may maintain under this part, nothing in this
subsection shall be construed to create a right of
action on behalf of an individual student for the
failure of a particular State educational agency or
local educational agency staff person to be highly
qualified, or to prevent a parent from filing a
complaint about staff qualifications with the State
educational agency as provided for under this part.
``(15) Performance goals and indicators.--The State--
``(A) has established goals for the performance of
children with disabilities in the State that--
``(i) promote the purposes of this Act, as
stated in section 601(d);
``(ii) are the same as the State's
definition of adequate yearly progress,
including the State's objectives for progress
by children with disabilities, under section
1111(b)(2)(C) of the Elementary and Secondary
Education Act of 1965;
``(iii) address graduation rates and drop
out rates, as well as such other factors as the
State may determine; and
``(iv) are consistent, to the extent
appropriate, with any other goals and standards
for children established by the State;
``(B) has established performance indicators the
State will use to assess progress toward achieving the
goals described in subparagraph (A), including
measurable annual objectives for progress by children
with disabilities under section
1111(b)(2)(C)(v)(II)(cc) of the Elementary and
Secondary Education Act of 1965; and
``(C) will annually report to the Secretary and the
public on the progress of the State, and of children
with disabilities in the State, toward meeting the
goals established under subparagraph (A).
``(16) Participation in assessments.--
``(A) In general.-- All children with disabilities
are included in all general State and districtwide
assessment programs and accountability systems,
including assessments and accountability systems
described under section 1111 of the Elementary and
Secondary Education Act of 1965, with appropriate
accommodations, alternate assessments where necessary,
and as indicated in their respective individualized
education programs.
``(B) Accommodation guidelines.--The State (or, in
the case of a districtwide assessment, the local
educational agency) has developed guidelines for the
provision of appropriate accommodations.
``(C) Alternate assessments.--
``(i) In general.--The State (or, in the
case of a districtwide assessment, the local
educational agency) has developed and
implemented guidelines for the participation of
children with disabilities in alternate
assessments for those children who cannot
participate in regular assessments under
subparagraph (B) as indicated in their
respective individualized education programs.
``(ii) Requirements for alternate
assessments.--The guidelines under clause (i)
shall provide for alternate assessments that--
``(I) are aligned with the State's
challenging academic content and
academic achievement standards; and
``(II) if the State has adopted
alternate academic achievement
standards permitted under section
1111(b)(1) of the Elementary and
Secondary Education Act of 1965,
measure the achievement of children
with disabilities against those
standards.
``(iii) Conduct of alternative
assessments.--The State conducts the alternate
assessments described in this subparagraph.
``(D) Reports.--The State educational agency (or,
in the case of a districtwide assessment, the local
educational agency) makes available to the public, and
reports to the public with the same frequency and in
the same detail as it reports on the assessment of
nondisabled children, the following:
``(i) The number of children with
disabilities participating in regular
assessments, and the number of those children
who were provided accommodations in order to
participate in those assessments.
``(ii) The number of children with
disabilities participating in alternate
assessments described in subparagraph
(C)(ii)(I).
``(iii) The number of children with
disabilities participating in alternate
assessments described in subparagraph
(C)(ii)(II).
``(iv) The performance of children with
disabilities on regular assessments and on
alternate assessments (if the number of
children with disabilities participating in
those assessments is sufficient to yield
statistically reliable information and
reporting that information will not reveal
personally identifiable information about an
individual student), compared with the
achievement of all children, including children
with disabilities, on those assessments.
``(E) Universal design.--The State educational
agency (or, in the case of a districtwide assessment,
the local educational agency) shall, to the extent
feasible, use universal design principles in developing
and administering any assessments under this paragraph.
``(17) Supplementation of state, local, and other federal
funds.--
``(A) Expenditures.--Funds paid to a State under
this part will be expended in accordance with all the
provisions of this part.
``(B) Prohibition against commingling.--Funds paid
to a State under this part will not be commingled with
State funds.
``(C) Prohibition against supplantation and
conditions for waiver by secretary.--Except as provided
in section 613, funds paid to a State under this part
will be used to supplement the level of Federal, State,
and local funds (including funds that are not under the
direct control of State or local educational agencies)
expended for special education and related services
provided to children with disabilities under this part
and in no case to supplant such Federal, State, and
local funds, except that, where the State provides
clear and convincing evidence that all children with
disabilities have available to them a free appropriate
public education, the Secretary may waive, in whole or
in part, the requirements of this subparagraph if the
Secretary concurs with the evidence provided by the
State.
``(18) Maintenance of state financial support.--
``(A) In general.--The State does not reduce the
amount of State financial support for special education
and related services for children with disabilities, or
otherwise made available because of the excess costs of
educating those children, below the amount of that
support for the preceding fiscal year.
``(B) Reduction of funds for failure to maintain
support.--The Secretary shall reduce the allocation of
funds under section 611 for any fiscal year following
the fiscal year in which the State fails to comply with
the requirement of subparagraph (A) by the same amount
by which the State fails to meet the requirement.
``(C) Waivers for exceptional or uncontrollable
circumstances.--The Secretary may waive the requirement
of subparagraph (A) for a State, for 1 fiscal year at a
time, if the Secretary determines that--
``(i) granting a waiver would be equitable
due to exceptional or uncontrollable
circumstances such as a natural disaster or a
precipitous and unforeseen decline in the
financial resources of the State; or
``(ii) the State meets the standard in
paragraph (17)(C) for a waiver of the
requirement to supplement, and not to supplant,
funds received under this part.
``(D) Subsequent years.--If, for any year, a State
fails to meet the requirement of subparagraph (A),
including any year for which the State is granted a
waiver under subparagraph (C), the financial support
required of the State in future years under
subparagraph (A) shall be the amount that would have
been required in the absence of that failure and not
the reduced level of the State's support.
``(19) Public participation.--Prior to the adoption of any
policies and procedures needed to comply with this section
(including any amendments to such policies and procedures), the
State ensures that there are public hearings, adequate notice
of the hearings, and an opportunity for comment available to
the general public, including individuals with disabilities and
parents of children with disabilities.
``(20) State advisory panel.--
``(A) In general.--The State has established and
maintains an advisory panel for the purpose of
providing policy guidance with respect to special
education and related services for children with
disabilities in the State.
``(B) Membership.--Such advisory panel shall
consist of members appointed by the Governor, or any
other official authorized under State law to make such
appointments, that is representative of the State
population and that is composed of individuals involved
in, or concerned with, the education of children with
disabilities, including--
``(i) parents of children with disabilities
ages birth through 26, including not less than
1 foster parent of a child with disabilities
who is a ward of the State, not less than 1
grandparent or other relative who is acting in
the place of a natural or adoptive parent, and
not less than 1 representative of children with
disabilities in military families;
``(ii) individuals with disabilities;
``(iii) teachers;
``(iv) representatives of institutions of
higher education that prepare special education
and related services personnel;
``(v) State and local education officials,
including officials who carry out activities
under subtitle B of title VII of the McKinney-
Vento Homeless Assistance Act;
``(vi) administrators of programs for
children with disabilities;
``(vii) representatives of other State
agencies involved in the financing or delivery
of related services to children with
disabilities;
``(viii) representatives of private schools
and public charter schools;
``(ix) at least 1 representative of a
vocational, community, or business organization
concerned with the provision of transition
services to children with disabilities; and
``(x) representatives from the State
juvenile and adult corrections agencies.
``(xi) representatives from the State child
welfare agency; and
``(xii) a representative of wards of the
State who are in foster care, such as an
attorney for children in foster care, a
guardian ad litem, a court appointed special
advocate, or a judge.
``(C) Special rule.--A majority of the members of
the panel shall be individuals with disabilities ages
birth through 26 or parents of such individuals.
``(D) Duties.--The advisory panel shall--
``(i) advise the State educational agency
of unmet needs within the State in the
education of children with disabilities;
``(ii) comment publicly on any rules or
regulations proposed by the State regarding the
education of children with disabilities;
``(iii) advise the State educational agency
in developing evaluations and reporting on data
to the Secretary under section 618;
``(iv) advise the State educational agency
in developing corrective action plans to
address findings identified in Federal
monitoring reports under this part; and
``(v) advise the State educational agency
in developing and implementing policies
relating to the coordination of services for
children with disabilities.
``(21) Suspension and expulsion rates.--
``(A) In general.--The State educational agency
examines data to determine if significant discrepancies
are occurring in the rate of long-term suspensions and
expulsions of children with disabilities--
``(i) among local educational agencies in
the State; or
``(ii) compared to such rates for
nondisabled children within such agencies.
``(B) Review and revision of policies.--If such
discrepancies are occurring, the State educational
agency reviews and, if appropriate, revises (or
requires the affected State or local educational agency
to revise) its policies, procedures, and practices
relating to the development and implementation of IEPs,
the use of behavioral interventions, and procedural
safeguards, to ensure that such policies, procedures,
and practices comply with this Act.
``(22) Access to instructional materials.--
``(A) In general.--The State adopts the national
Instructional Materials Accessibility Standard
described in section 675(a) for the purposes of
providing instructional materials to blind persons or
other persons with print disabilities in a timely
manner after the publication of the standard in the
Federal Register.
``(B) Preparation and delivery of files.--Not later
than 2 years after the date of enactment of the
Individuals with Disabilities Education Improvement Act
of 2004, a State educational agency, as part of any
print instructional materials adoption process,
procurement contract, or other practice or instrument
used for purchase of print instructional materials,
enters into a written contract with the publisher of
the print instructional materials to--
``(i) prepare, and on or before delivery of
the print instructional materials, provide to
the National Instructional Materials Access
Center, established pursuant to section 675(b),
electronic files containing the contents of the
print instructional materials using the
Instructional Materials Accessibility Standard;
or
``(ii) purchase instructional materials
from a publisher that are produced in or may be
rendered in the specialized formats described
in section 675(a)(4)(C).
``(C) Assistive technology.--In carrying out
subparagraph (B), the State educational agency, to the
maximum extent possible, shall work collaboratively
with the State agency responsible for assistive
technology programs.
``(b) State Educational Agency as Provider of Free Appropriate
Public Education or Direct Services.--If the State educational agency
provides free appropriate public education to children with
disabilities, or provides direct services to such children, such
agency--
``(1) shall comply with any additional requirements of
section 613(a), as if such agency were a local educational
agency; and
``(2) may use amounts that are otherwise available to such
agency under this part to serve those children without regard
to section 613(a)(2)(A)(i) (relating to excess costs).
``(c) Exception for Prior State Plans.--
``(1) In general.--If a State has on file with the
Secretary policies and procedures that demonstrate that such
State meets any requirement of subsection (a), including any
policies and procedures filed under this part as in effect
before the effective date of the Individuals with Disabilities
Education Improvement Act of 2004, the Secretary shall consider
such State to have met such requirement for purposes of
receiving a grant under this part.
``(2) Modifications made by state.--Subject to paragraph
(3), an application submitted by a State in accordance with
this section shall remain in effect until the State submits to
the Secretary such modifications as the State determines
necessary. This section shall apply to a modification to an
application to the same extent and in the same manner as this
section applies to the original plan.
``(3) Modifications required by the secretary.--If, after
the effective date of the Individuals with Disabilities
Education Improvement Act of 2004, the provisions of this Act
are amended (or the regulations developed to carry out this Act
are amended), there is a new interpretation of this Act by a
Federal court or a State's highest court, or there is an
official finding of noncompliance with Federal law or
regulations, then the Secretary may require a State to modify
its application only to the extent necessary to ensure the
State's compliance with this part.
``(d) Approval by the Secretary.--
``(1) In general.--If the Secretary determines that a State
is eligible to receive a grant under this part, the Secretary
shall notify the State of that determination.
``(2) Notice and hearing.--The Secretary shall not make a
final determination that a State is not eligible to receive a
grant under this part until after providing the State--
``(A) with reasonable notice; and
``(B) with an opportunity for a hearing.
``(e) Assistance Under Other Federal Programs.--Nothing in this
title permits a State to reduce medical and other assistance available,
or to alter eligibility, under titles V and XIX of the Social Security
Act with respect to the provision of a free appropriate public
education for children with disabilities in the State.
``(f) By-Pass for Children in Private Schools.--
``(1) In general.--If, on the date of enactment of the
Education of the Handicapped Act Amendments of 1983, a State
educational agency was prohibited by law from providing for the
equitable participation in special programs of children with
disabilities enrolled in private elementary schools and
secondary schools as required by subsection (a)(10)(A), or if
the Secretary determines that a State educational agency, local
educational agency, or other entity has substantially failed or
is unwilling to provide for such equitable participation, then
the Secretary shall, notwithstanding such provision of law,
arrange for the provision of services to such children through
arrangements which shall be subject to the requirements of such
subsection.
``(2) Payments.--
``(A) Determination of amounts.--If the Secretary
arranges for services pursuant to this subsection, the
Secretary, after consultation with the appropriate
public and private school officials, shall pay to the
provider of such services for a fiscal year an amount
per child that does not exceed the amount determined by
dividing--
``(i) the total amount received by the
State under this part for such fiscal year; by
``(ii) the number of children with
disabilities served in the prior year, as
reported to the Secretary by the State under
section 618.
``(B) Withholding of certain amounts.--Pending
final resolution of any investigation or complaint that
may result in a determination under this subsection,
the Secretary may withhold from the allocation of the
affected State educational agency the amount the
Secretary estimates will be necessary to pay the cost
of services described in subparagraph (A).
``(C) Period of payments.--The period under which
payments are made under subparagraph (A) shall continue
until the Secretary determines that there will no
longer be any failure or inability on the part of the
State educational agency to meet the requirements of
subsection (a)(10)(A).
``(3) Notice and hearing.--
``(A) In general.--The Secretary shall not take any
final action under this subsection until the State
educational agency affected by such action has had an
opportunity, for at least 45 days after receiving
written notice thereof, to submit written objections
and to appear before the Secretary or the Secretary's
designee to show cause why such action should not be
taken.
``(B) Review of action.--If a State educational
agency is dissatisfied with the Secretary's final
action after a proceeding under subparagraph (A), such
agency 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. A copy of the
petition shall be forthwith transmitted by the clerk of
the court to the Secretary. The Secretary thereupon
shall file in the court the record of the proceedings
on which the Secretary based the Secretary's action, as
provided in section 2112 of title 28, United States
Code.
``(C) Review of findings of fact.--The findings of
fact by the Secretary, if supported by substantial
evidence, shall be conclusive, but the court, for good
cause shown, may remand the case to the Secretary to
take further evidence, and the Secretary may thereupon
make new or modified findings of fact and may modify
the Secretary's previous action, and shall file in the
court the record of the further proceedings. Such new
or modified findings of fact shall likewise be
conclusive if supported by substantial evidence.
``(D) Jurisdiction of court of appeals; review by
united states supreme court.--Upon the filing of a
petition under subparagraph (B), the United States
court of appeals shall have jurisdiction to affirm the
action of the Secretary or to set it aside, in whole or
in part. The judgment of the court shall be subject to
review by the Supreme Court of the United States upon
certiorari or certification as provided in section 1254
of title 28, United States Code.
``SEC. 613. LOCAL EDUCATIONAL AGENCY ELIGIBILITY.
``(a) In General.--A local educational agency is eligible for
assistance under this part for a fiscal year if such agency submits a
plan that provides assurances to the State educational agency that the
local educational agency meets each of the following conditions:
``(1) Consistency with state policies.--The local
educational agency, in providing for the education of children
with disabilities within its jurisdiction, has in effect
policies, procedures, and programs that are consistent with the
State policies and procedures established under section 612.
``(2) Use of amounts.--
``(A) In general.--Amounts provided to the local
educational agency under this part shall be expended in
accordance with the applicable provisions of this part
and--
``(i) shall be used only to pay the excess
costs of providing special education and
related services to children with disabilities;
``(ii) shall be used to supplement State,
local, and other Federal funds and not to
supplant such funds; and
``(iii) shall not be used, except as
provided in subparagraphs (B) and (C), to
reduce the level of expenditures for the
education of children with disabilities made by
the local educational agency from local funds
below the level of those expenditures for the
preceding fiscal year.
``(B) Exception.--Notwithstanding the restriction
in subparagraph (A)(iii), a local educational agency
may reduce the level of expenditures where such
reduction is attributable to--
``(i) the voluntary departure, by
retirement or otherwise, or departure for just
cause, of special education personnel;
``(ii) a decrease in the enrollment of
children with disabilities;
``(iii) the termination of the obligation
of the agency, consistent with this part, to
provide a program of special education to a
particular child with a disability that is an
exceptionally costly program, as determined by
the State educational agency, because the
child--
``(I) has left the jurisdiction of
the agency;
``(II) has reached the age at which
the obligation of the agency to provide
a free appropriate public education to
the child has terminated; or
``(III) no longer needs such
program of special education; or
``(iv) the termination of costly
expenditures for long-term purchases, such as
the acquisition of equipment or the
construction of school facilities.
``(C) Treatment of federal funds in certain fiscal
years.--
``(i) 8 percent rule.--Notwithstanding
clauses (ii) and (iii) of subparagraph (A), a
local educational agency may treat as local
funds, for the purposes of such clauses, not
more than 8 percent of the amount of funds the
local educational agency receives under this
part.
``(ii) 40 percent rule.--Notwithstanding
clauses (ii) and (iii) of subparagraph (A), for
any fiscal year for which States are allocated
the maximum amount of grants pursuant to
section 611(a)(2), a local educational agency
may treat as local funds, for the purposes of
such clauses, not more than 40 percent of the
amount of funds the local educational agency
receives under this part, subject to clause
(iv).
``(iii) Early intervening services.--
``(I) 8 percent rule.--If a local
educational agency exercises authority
pursuant to clause (i), the 8 percent
funds shall be counted toward the
percentage and amount of funds that may
be used to provide early intervening
educational services pursuant to
subsection (f).
``(II) 40 percent rule.--If a local
educational agency exercises authority
pursuant to clause (ii), the local
educational agency shall use an amount
of the 40 percent funds from clause
(ii) that represents 15 percent of the
total amount of funds the local
educational agency receives under this
part, to provide early intervening
educational services pursuant to
subsection (f).
``(iv) Special rule.--Funds treated as
local funds pursuant to clause (i) or (ii) may
be considered non-Federal or local funds for
the purposes of--
``(I) clauses (ii) and (iii) of
subparagraph (A); and
``(II) the provision of the local
share of costs for title XIX of the
Social Security Act.
``(v) Report.--For each fiscal year in
which a local educational agency exercises its
authority pursuant to this subparagraph and
treats Federal funds as local funds, the local
educational agency shall report to the State
educational agency the amount of funds so
treated and the activities that were funded
with such funds.
``(D) Schoolwide programs under title i of the
esea.--Notwithstanding subparagraph (A) or any other
provision of this part, a local educational agency may
use funds received under this part for any fiscal year
to carry out a schoolwide program under section 1114 of
the Elementary and Secondary Education Act of 1965,
except that the amount so used in any such program
shall not exceed--
``(i) the number of children with
disabilities participating in the schoolwide
program; multiplied by
``(ii)(I) the amount received by the local
educational agency under this part for that
fiscal year; divided by
``(II) the number of children with
disabilities in the jurisdiction of that
agency.
``(3) Personnel development.--The local educational agency
shall ensure that all personnel necessary to carry out this
part are appropriately and adequately prepared, consistent with
the requirements of section 612(a)(14) of this Act and section
2122 of the Elementary and Secondary Education Act of 1965.
``(4) Permissive use of funds.--
``(A) Uses.--Notwithstanding paragraph (2)(A) or
section 612(a)(17)(B) (relating to commingled funds),
funds provided to the local educational agency under
this part may be used for the following activities:
``(i) Services and aids that also benefit
nondisabled children.--For the costs of special
education and related services, and
supplementary aids and services, provided in a
regular class or other education-related
setting to a child with a disability in
accordance with the individualized education
program of the child, even if 1 or more
nondisabled children benefit from such
services.
``(ii) Early intervening services.--To
develop and implement coordinated, early
intervening educational services in accordance
with subsection (f).
``(B) Administrative case management.--A local
educational agency may use funds received under this
part to purchase appropriate technology for
recordkeeping, data collection, and related case
management activities of teachers and related services
personnel providing services described in the
individualized education program of children with
disabilities, that is needed for the implementation of
such case management activities.
``(5) Treatment of charter schools and their students.--In
carrying out this part with respect to charter schools that are
public schools of the local educational agency, the local
educational agency--
``(A) serves children with disabilities attending
those charter schools in the same manner as the local
educational agency serves children with disabilities in
its other schools, including providing supplementary
and related services on site at the charter school to
the same extent to which the local educational agency
has a policy or practice of providing such services on
the site to its other public schools; and
``(B) provides funds under this part to those
charter schools on the same basis, including
proportional distribution based on relative enrollment
of children with disabilities, and at the same time, as
the local educational agency distributes State, local,
or a combination of State and local, funds to those
charter schools under the State's charter school law.
``(6) Purchase of instructional materials.--Not later than
2 years after the date of enactment of the Individuals with
Disabilities Education Improvement Act of 2004, a local
educational agency, when purchasing print instructional
materials, acquires these instructional materials in the same
manner as a State educational agency described in section
612(a)(22).
``(7) Information for state educational agency.--The local
educational agency shall provide the State educational agency
with information necessary to enable the State educational
agency to carry out its duties under this part, including, with
respect to paragraphs (15) and (16) of section 612(a),
information relating to the performance of children with
disabilities participating in programs carried out under this
part.
``(8) Public information.--The local educational agency
shall make available to parents of children with disabilities
and to the general public all documents relating to the
eligibility of such agency under this part.
``(9) Records regarding migratory children with
disabilities.--The local educational agency shall cooperate in
the Secretary's efforts under section 1308 of the Elementary
and Secondary Education Act of 1965 (20 U.S.C. 6398) to ensure
the linkage of records pertaining to migratory children with a
disability for the purpose of electronically exchanging, among
the States, health and educational information regarding such
children.
``(b) Exception for Prior Local Plans.--
``(1) In general.--If a local educational agency or State
agency has on file with the State educational agency policies
and procedures that demonstrate that such local educational
agency, or such State agency, as the case may be, meets any
requirement of subsection (a), including any policies and
procedures filed under this part as in effect before the
effective date of the Individuals with Disabilities Education
Improvement Act of 2004, the State educational agency shall
consider such local educational agency or State agency, as the
case may be, to have met such requirement for purposes of
receiving assistance under this part.
``(2) Modification made by local educational agency.--
Subject to paragraph (3), an application submitted by a local
educational agency in accordance with this section shall remain
in effect until the local educational agency submits to the
State educational agency such modifications as the local
educational agency determines necessary.
``(3) Modifications required by state educational agency.--
If, after the effective date of the Individuals with
Disabilities Education Improvement Act of 2004, the provisions
of this Act are amended (or the regulations developed to carry
out this Act are amended), there is a new interpretation of
this Act by Federal or State courts, or there is an official
finding of noncompliance with Federal or State law or
regulations, then the State educational agency may require a
local educational agency to modify its application only to the
extent necessary to ensure the local educational agency's
compliance with this part or State law.
``(c) Notification of Local Educational Agency or State Agency in
Case of Ineligibility.--If the State educational agency determines that
a local educational agency or State agency is not eligible under this
section, then the State educational agency shall notify the local
educational agency or State agency, as the case may be, of that
determination and shall provide such local educational agency or State
agency with reasonable notice and an opportunity for a hearing.
``(d) Local Educational Agency Compliance.--
``(1) In general.--If the State educational agency, after
reasonable notice and an opportunity for a hearing, finds that
a local educational agency or State agency that has been
determined to be eligible under this section is failing to
comply with any requirement described in subsection (a), the
State educational agency shall reduce or shall not provide any
further payments to the local educational agency or State
agency until the State educational agency is satisfied that the
local educational agency or State agency, as the case may be,
is complying with that requirement.
``(2) Additional requirement.--Any State agency or local
educational agency in receipt of a notice described in
paragraph (1) shall, by means of public notice, take such
measures as may be necessary to bring the pendency of an action
pursuant to this subsection to the attention of the public
within the jurisdiction of such agency.
``(3) Consideration.--In carrying out its responsibilities
under paragraph (1), the State educational agency shall
consider any decision made in a hearing held under section 615
that is adverse to the local educational agency or State agency
involved in that decision.
``(e) Joint Establishment of Eligibility.--
``(1) Joint establishment.--
``(A) In general.--A State educational agency may
require a local educational agency to establish its
eligibility jointly with another local educational
agency if the State educational agency determines that
the local educational agency will be ineligible under
this section because the local educational agency will
not be able to establish and maintain programs of
sufficient size and scope to effectively meet the needs
of children with disabilities.
``(B) Charter school exception.--A State
educational agency may not require a charter school
that is a local educational agency to jointly establish
its eligibility under subparagraph (A) unless the
charter school is explicitly permitted to do so under
the State's charter school law.
``(2) Amount of payments.--If a State educational agency
requires the joint establishment of eligibility under paragraph
(1), the total amount of funds made available to the affected
local educational agencies shall be equal to the sum of the
payments that each such local educational agency would have
received under section 611(f) if such agencies were eligible
for such payments.
``(3) Requirements.--Local educational agencies that
establish joint eligibility under this subsection shall--
``(A) adopt policies and procedures that are
consistent with the State's policies and procedures
under section 612(a); and
``(B) be jointly responsible for implementing
programs that receive assistance under this part.
``(4) Requirements for educational service agencies.--
``(A) In general.--If an educational service agency
is required by State law to carry out programs under
this part, the joint responsibilities given to local
educational agencies under this subsection shall--
``(i) not apply to the administration and
disbursement of any payments received by that
educational service agency; and
``(ii) be carried out only by that
educational service agency.
``(B) Additional requirement.--Notwithstanding any
other provision of this subsection, an educational
service agency shall provide for the education of
children with disabilities in the least restrictive
environment, as required by section 612(a)(5).
``(f) Early Intervening Services.--
``(1) In general.--A local educational agency may not use
more than 15 percent of the amount such agency receives under
this part for any fiscal year, less any amount treated as local
funds pursuant to subsection (a)(2)(C), if any, in combination
with other amounts (which may include amounts other than
education funds), to develop and implement coordinated, early
intervening services, which may include interagency financing
structures, for students in kindergarten through grade 12 (with
a particular emphasis on students in kindergarten through grade
3) who do not meet the definition of a child with a disability
under section 602(3) but who need additional academic and
behavioral support to succeed in a general education
environment.
``(2) Activities.--In implementing coordinated, early
intervening services under this subsection, a local educational
agency may carry out activities that include--
``(A) professional development (which may be
provided by entities other than local educational
agencies) for teachers and other school staff to enable
such personnel to deliver scientifically based academic
and behavioral interventions, including scientifically
based literacy instruction, and, where appropriate,
instruction on the use of adaptive and instructional
software;
``(B) providing educational and behavioral
evaluations, services, and supports, including
scientifically based literacy instruction; and
``(C) developing and implementing interagency
financing structures for the provision of such services
and supports.
``(3) Construction.--Nothing in this subsection shall be
construed to either limit or create a right to a free
appropriate public education under this part.
``(4) Reporting.--Each local educational agency that
develops and maintains coordinated, early intervening services
with funds made available for this subsection, shall annually
report to the State educational agency on--
``(A) the number of children served under this
subsection; and
``(B) the number of children served under this
subsection who are subsequently referred to special
education.
``(5) Coordination with certain projects under elementary
and secondary education act of 1965.--Funds made available to
carry out this subsection may be used to carry out coordinated,
early intervening services aligned with activities funded by,
and carried out under, the Elementary and Secondary Education
Act of 1965 if such funds are used to supplement, and not
supplant, funds made available under the Elementary and
Secondary Education Act of 1965 for the activities and services
assisted under this subsection.
``(6) Report to congress.--Not later than 1 year after the
date of enactment of the Individuals with Disabilities
Education Improvement Act of 2004, the Comptroller General
shall conduct a study on the types of services provided to
children served under this subsection, and shall submit a
report to Congress regarding the study.
``(g) Direct Services by the State Educational Agency.--
``(1) In general.--A State educational agency shall use the
payments that would otherwise have been available to a local
educational agency or to a State agency to provide special
education and related services directly to children with
disabilities residing in the area served by that local
educational agency, or for whom that State agency is
responsible, if the State educational agency determines that
the local educational agency or State agency, as the case may
be--
``(A) has not provided the information needed to
establish the eligibility of such agency under this
section;
``(B) is unable to establish and maintain programs
of free appropriate public education that meet the
requirements of subsection (a);
``(C) is unable or unwilling to be consolidated
with 1 or more local educational agencies in order to
establish and maintain such programs; or
``(D) has 1 or more children with disabilities who
can best be served by a regional or State program or
service delivery system designed to meet the needs of
such children.
``(2) Manner and location of education and services.--The
State educational agency may provide special education and
related services under paragraph (1) in such manner and at such
locations (including regional or State centers) as the State
agency considers appropriate. Such education and services shall
be provided in accordance with this part.
``(h) State Agency Eligibility.--Any State agency that desires to
receive a subgrant for any fiscal year under section 611(f) shall
demonstrate to the satisfaction of the State educational agency that--
``(1) all children with disabilities who are participating
in programs and projects funded under this part receive a free
appropriate public education, and that those children and their
parents are provided all the rights and procedural safeguards
described in this part; and
``(2) the agency meets such other conditions of this
section as the Secretary determines to be appropriate.
``(i) Disciplinary Information.--The State may require that a local
educational agency include in the records of a child with a disability
a statement of any current or previous disciplinary action that has
been taken against the child and transmit such statement to the same
extent that such disciplinary information is included in, and
transmitted with, the student records of nondisabled children. The
statement may include a description of any behavior engaged in by the
child that required disciplinary action, a description of the
disciplinary action taken, and any other information that is relevant
to the safety of the child and other individuals involved with the
child. If the State adopts such a policy, and the child transfers from
1 school to another, the transmission of any of the child's records
shall include both the child's current individualized education program
and any such statement of current or previous disciplinary action that
has been taken against the child.
``(j) State Agency Flexibility.--
``(1) Treatment of federal funds in certain fiscal years.--
If a State educational agency pays or reimburses local
educational agencies within the State for not less than 80
percent of the non-Federal share of the costs of special
education and related services, or the State is the sole
provider of free appropriate public education or direct
services pursuant to section 612(b), then the State educational
agency, notwithstanding sections 612(a) (17) and (18) and
612(b), may treat funds allocated pursuant to section 611 as
general funds available to support the educational purposes
described in paragraph (2) (A) and (B).
``(2) Conditions.--A State educational agency may use funds
in accordance with paragraph (1) subject to the following
conditions:
``(A) 8 percent rule.--A State educational agency
may treat not more than 8 percent of the funds the
State educational agency receives under this part as
general funds to support any educational purpose
described in the Elementary and Secondary Education Act
of 1965, needs-based student or teacher higher
education programs, or the non-Federal share of costs
of title XIX of the Social Security Act.
``(B) 40 percent rule.--For any fiscal year for
which States are allocated the maximum amount of grants
pursuant to section 611(a)(2), a State educational
agency may treat not more than 40 percent of the amount
of funds the State educational agency receives under
this part as general funds to support any educational
purpose described in the Elementary and Secondary
Education Act of 1965, needs-based student or teacher
higher education programs, or the non-Federal share of
costs of title XIX of the Social Security Act, subject
to subparagraph (C).
``(C) Requirement.--A State educational agency may
exercise its authority pursuant to subparagraph (B)
only if the State educational agency uses an amount of
the 40 percent funds from subparagraph (B) that
represents 15 percent of the total amount of funds the
State educational agency receives under this part, to
provide, or to pay or reimburse local educational
agencies for providing, early intervening services
pursuant to subsection (f).
``(2) Prohibition.--Notwithstanding subsection (a), if the
Secretary determines that a State educational agency is unable
to establish, maintain, or oversee programs of free appropriate
public education that meet the requirements of this part, then
the Secretary shall prohibit the State educational agency from
treating funds allocated under this part as general funds
pursuant to paragraph (1).
``(3) Report.--For each fiscal year for which a State
educational agency exercises its authority pursuant to
paragraph (1) and treats Federal funds as general funds, the
State educational agency shall report to the Secretary the
amount of funds so treated and the activities that were funded
with such funds.
``SEC. 614. EVALUATIONS, ELIGIBILITY DETERMINATIONS, INDIVIDUALIZED
EDUCATION PROGRAMS, AND EDUCATIONAL PLACEMENTS.
``(a) Evaluations and Reevaluations.--
``(1) Initial evaluations.--
``(A) In general.--A State educational agency,
other State agency, or local educational agency shall
conduct a full and individual initial evaluation in
accordance with this paragraph and subsection (b),
before the initial provision of special education and
related services to a child with a disability under
this part.
``(B) Request for initial evaluation.--Consistent
with subparagraph (D), either a parent of a child, or a
State educational agency, other State agency, or local
educational agency may initiate a request for an
initial evaluation to determine if the child is a child
with a disability.
``(C) Procedures.--Such initial evaluation shall
consist of procedures--
``(i) to determine whether a child is a
child with a disability (as defined in section
602(3)) within 60 days of receiving parental
consent for the evaluation, or, if the State
has established a timeframe within which the
evaluation must be conducted, within such
timeframe; and
``(ii) to determine the educational needs
of such child.
``(D) Parental consent.--
``(i) In general.--The agency proposing to
conduct an initial evaluation to determine if
the child qualifies as a child with a
disability as defined in section 602(3) (A) or
(B) shall obtain an informed consent from the
parent of such child before the evaluation is
conducted. Parental consent for evaluation
shall not be construed as consent for placement
for receipt of special education and related
services.
``(ii) Refusal.--If the parents of such
child refuse consent for the evaluation, the
agency may continue to pursue an evaluation by
utilizing the mediation and due process
procedures under section 615, except to the
extent inconsistent with State law relating to
parental consent.
``(iii) Refusal or failure to consent.--If
the parent of a child does not provide informed
consent to the receipt of special education and
related services, or the parent fails to
respond to a request to provide the consent,
the local educational agency shall not be
considered to be in violation of the
requirement to make available a free
appropriate public education to the child for
the failure to provide the special education
and related services for which the local
educational agency requests such informed
consent.
``(iv) Exception for wards of the state.--
The agency shall not be required to obtain an
informed consent from the parents of a child
for an initial evaluation to determine whether
the child is a child with a disability if such
child is a ward of the State and is not
residing with the child's parent and consent
has been given by an individual who has
appropriate knowledge of the child's
educational needs, including the judge
appointed to the child's case or the child's
attorney, guardian ad litem, or court appointed
special advocate.
``(2) Reevaluations.--
``(A) In general.--A local educational agency shall
ensure that a reevaluation of each child with a
disability is conducted in accordance with subsections
(b) and (c)--
``(i) if the local educational agency
determines that the educational or related
services needs, including improved academic
achievement and functional performance, of the
child warrant a reevaluation; or
``(ii) if the child's parents or teacher
requests a reevaluation.
``(B) Limitation.--A reevaluation conducted under
subparagraph (A) shall occur--
``(i) not more than once a year, unless the
parent and the local educational agency agree
otherwise; and
``(ii) at least once every 3 years, unless
the parent and the local educational agency
agree that a reevaluation is unnecessary.
``(b) Evaluation Procedures.--
``(1) Notice.--The local educational agency shall provide
notice to the parents of a child with a disability, in
accordance with subsections (b)(3), (b)(4), and (c) of section
615, that describes any evaluation procedures such agency
proposes to conduct.
``(2) Conduct of evaluation.--In conducting the evaluation,
the local educational agency shall--
``(A) use a variety of assessment tools and
strategies to gather relevant functional,
developmental, and academic information, including
information provided by the parent, that may assist in
determining--
``(i) whether the child is a child with a
disability; and
``(ii) the content of the child's
individualized education program, including
information related to enabling the child to be
involved in and progress in the general
curriculum, or for preschool children, to
participate in appropriate activities;
``(B) not use any single procedure, measure, or
assessment as the sole criterion for determining
whether a child is a child with a disability or
determining an appropriate educational program for the
child; and
``(C) use technically sound instruments that may
assess the relative contribution of cognitive and
behavioral factors, in addition to physical or
developmental factors.
``(3) Additional requirements.--Each local educational
agency shall ensure that--
``(A) tests and other evaluation materials used to
assess a child under this section--
``(i) are selected and administered so as
not to be discriminatory on a racial or
cultural basis;
``(ii) are provided and administered in the
language and form most likely to yield accurate
information on what the child knows and can do
academically, developmentally, and
functionally, unless it is not feasible to so
provide or administer;''.
``(iii) are used for purposes for which the
assessments or measures are valid and reliable;
``(iv) are administered by trained and
knowledgeable personnel; and
``(v) are administered in accordance with
any instructions provided by the producer of
such tests;
``(B) the child is assessed in all areas of
suspected disability; and
``(C) assessment tools and strategies that provide
relevant information that directly assists persons in
determining the educational needs of the child are
provided.
``(D) assessments of children with disabilities,
including homeless children with disabilities, children
with disabilities who are wards of the State, and
children with disabilities in military families, who
transfer from 1 school district to another school
district in the same academic year, are--
``(i) coordinated with such children's
prior and subsequent schools as necessary to
ensure timely completion of full evaluations;
and
``(ii) completed within time limits--
``(I) established for all students
by Federal law or State plans; and
``(II) that computes the
commencement of time from the date on
which such children are first referred
for assessments in any local
educational agency.
``(4) Determination of eligibility.--Upon completion of
administration of tests and other evaluation materials--
``(A) the determination of whether the child is a
child with a disability as defined in section 602(3)
shall be made by a team of qualified professionals and
the parent of the child in accordance with paragraph
(5); and
``(B) a copy of the evaluation report and the
documentation of determination of eligibility shall be
given to the parent.
``(5) Special rule for eligibility determination.--In
making a determination of eligibility under paragraph (4)(A), a
child shall not be determined to be a child with a disability
if the determinant factor for such determination is--
``(A) lack of scientifically based instruction in
reading;
``(B) lack of instruction in mathematics; or
``(C) limited English proficiency.
``(6) Specific learning disabilities.--
``(A) In general.--Notwithstanding section 607(b),
when determining whether a child has a specific
learning disability as defined in section 602(29), a
local educational agency shall not be required to take
into consideration whether a child has a severe
discrepancy between achievement and intellectual
ability in oral expression, listening comprehension,
written expression, basic reading skill, reading
comprehension, mathematical calculation, or
mathematical reasoning.
``(B) Additional authority.--In determining whether
a child has a specific learning disability, a local
educational agency may use a process that determines if
the child responds to scientific, research-based
intervention as a part of the evaluation procedures
described in paragraphs (2) and (3).
``(c) Additional Requirements for Evaluation and Reevaluations.--
``(1) Review of existing evaluation data.--As part of an
initial evaluation (if appropriate) and as part of any
reevaluation under this section, the IEP Team described in
subsection (d)(1)(B) and other qualified professionals, as
appropriate, shall--
``(A) review existing evaluation data on the child,
including evaluations and information provided by the
parents of the child, current classroom-based
assessments, and observations, and teacher and related
services providers observations; and
``(B) on the basis of that review, and input from
the child's parents, identify what additional data, if
any, are needed to determine--
``(i) whether the child has a particular
category of disability, as described in section
602(3), or, in case of a reevaluation of a
child, whether the child continues to have such
a disability;
``(ii) the present levels of performance
and educational needs of the child;
``(iii) whether the child needs special
education and related services, or in the case
of a reevaluation of a child, whether the child
continues to need special education and related
services; and
``(iv) whether any additions or
modifications to the special education and
related services are needed to enable the child
to meet the measurable annual goals set out in
the individualized education program of the
child and to participate, as appropriate, in
the general curriculum.
``(2) Source of data.--The local educational agency shall
administer such tests and other evaluation materials and
procedures as may be needed to produce the data identified by
the IEP Team under paragraph (1)(B).
``(3) Parental consent.--Each local educational agency
shall obtain informed parental consent, in accordance with
subsection (a)(1)(D), prior to conducting any reevaluation of a
child with a disability, except that such informed parental
consent need not be obtained if the local educational agency
can demonstrate that the local educational agency had taken
reasonable measures to obtain such consent and the child's
parent has failed to respond.
``(4) Requirements if additional data are not needed.--If
the IEP Team and other qualified professionals, as appropriate,
determine that no additional data are needed to determine
whether the child is or continues to be a child with a
disability, the local educational agency--
``(A) shall notify the child's parents of--
``(i) that determination and the reasons
for the determination; and
``(ii) the right of such parents to request
an assessment to determine whether the child is
or continues to be a child with a disability;
and
``(B) shall not be required to conduct such an
assessment unless requested by the child's parents.
``(5) Evaluations before change in eligibility.--
``(A) In general.--Except as provided in
subparagraph (B), a local educational agency shall
evaluate a child with a disability in accordance with
this section before determining that the child is no
longer a child with a disability.
``(B) Exception.--
``(i) In general.--The evaluation described
in subparagraph (A) shall not be required
before the termination of a child's eligibility
under this part due to graduation from
secondary school with a regular diploma, or to
exceeding the age eligibility for a free
appropriate public education under State law.
``(ii) Summary of performance.--For a child
whose eligibility under this part terminates
under circumstances described in clause (i), a
local educational agency shall provide the
child with a summary of the child's academic
achievement and functional performance, which
shall include recommendations on how to assist
the child in meeting the child's postsecondary
goals.
``(d) Individualized Education Programs.--
``(1) Definitions.--As used in this title:
``(A) Individualized education program.--
``(i) In general.--The term `individualized
education program' or `IEP' means a written
statement for each child with a disability that
is developed, reviewed, and revised in
accordance with this section and that
includes--
``(I) a statement of the child's
present levels of academic achievement
and functional performance, including--
``(aa) how the child's
disability affects the child's
involvement and progress in the
general curriculum; or
``(bb) for preschool
children, as appropriate, how
the disability affects the
child's participation in
appropriate activities;
``(II) a statement of measurable
annual goals, including academic and
functional goals, designed to--
``(aa) meet the child's
needs that result from the
child's disability to enable
the child to be involved in and
make progress in the general
curriculum; and
``(bb) meet each of the
child's other educational needs
that result from the child's
disability;
``(III) a description of how the
child's progress toward meeting the
annual goals described in subclause
(II) will be measured and when periodic
reports on the progress the child is
making toward meeting the annual goals
(such as through the use of quarterly
or other periodic reports, concurrent
with the issuance of report cards) will
be provided;
``(IV) a statement of the special
education and related services, and
supplementary aids and services, to be
provided to the child, or on behalf of
the child, and a statement of the
program modifications or supports for
school personnel that will be provided
for the child--
``(aa) to advance
appropriately toward attaining
the annual goals;
``(bb) to be involved in
and make progress in the
general curriculum in
accordance with subclause (I)
and to participate in
extracurricular and other
nonacademic activities; and
``(cc) to be educated and
participate with other children
with disabilities and
nondisabled children in the
activities described in this
paragraph;
``(V) an explanation of the extent,
if any, to which the child will not
participate with nondisabled children
in the regular class and in the
activities described in subclause
(IV)(cc);
``(VI)(aa) a statement of any
individual appropriate accommodations
that are necessary to measure the
academic achievement and functional
performance of the child on State and
districtwide assessments consistent
with section 612(a)(16)(A); and
``(bb) if the IEP Team determines
that the child shall take an alternate
assessment on a particular State or
districtwide assessment of student
achievement, a statement of why--
``(AA) the child cannot
participate in the regular
assessment; and
``(BB) the particular
alternate assessment selected
is appropriate for the child;
``(VII) the projected date for the
beginning of the services and
modifications described in subclause
(IV), and the anticipated frequency,
location, and duration of those
services and modifications; and
``(VIII) beginning not later than
the first IEP to be in effect when the
child is 14, and updated annually
thereafter--
``(aa) appropriate
measurable postsecondary goals
based upon age appropriate
transition assessments related
to training, education,
employment, and, where
appropriate, independent living
skills;
``(bb) the transition
services (including courses of
study) needed by the child to
reach those goals, including
services to be provided by
other agencies when needed; and
``(cc) beginning at least 1
year before the child reaches
the age of majority under State
law, a statement that the child
has been informed of the
child's rights under this
title, if any, that will
transfer to the child on
reaching the age of majority
under section 615(m).
``(ii) Rule of construction.--Nothing in
this section shall be construed to require--
``(I) that additional information
be included in a child's IEP beyond
what is explicitly required in this
section; and
``(II) the IEP Team to include
information under 1 component of a
child's IEP that is already contained
under another component of such IEP.
``(B) Individualized education program team.--The
term `individualized education program team' or `IEP
Team' means a group of individuals composed of--
``(i) the parents of a child with a
disability;
``(ii) at least 1 regular education teacher
of such child (if the child is, or may be,
participating in the regular education
environment);
``(iii) at least 1 special education
teacher, or where appropriate, at least 1
special education provider of such child;
``(iv) a representative of the local
educational agency who--
``(I) is qualified to provide, or
supervise the provision of, specially
designed instruction to meet the unique
needs of children with disabilities;
``(II) is knowledgeable about the
general curriculum; and
``(III) is knowledgeable about the
availability of resources of the local
educational agency;
``(v) an individual who can interpret the
instructional implications of evaluation
results, who may be a member of the team
described in clauses (ii) through (vi);
``(vi) at the discretion of the parent or
the agency, other individuals who have
knowledge or special expertise regarding the
child, including related services personnel as
appropriate; and
``(vii) whenever appropriate, the child
with a disability.
``(viii) if the child is a ward of the
State, another individual with appropriate
knowledge of the child's educational needs,
such as a foster parent, a relative with whom
the child lives who acts as a parent to the
child, an attorney for the child, a guardian ad
litem, a court appointed special advocate, a
judge, or an education surrogate.
``(C) IEP team attendance.--
``(i) Attendance not necessary.--A member
of the IEP Team shall not be required to attend
an IEP meeting, in whole or in part, if that
member, the parent of a child with a
disability, and the local educational agency
agree that the attendance of such member is not
necessary because no modification to the
member's area of the curriculum or related
services is being modified or discussed in the
meeting.
``(ii) Excusal.--A member of the IEP Team
may be excused from attending an IEP meeting,
in whole or in part, when the meeting involves
a modification to or discussion of the member's
area of the curriculum or related services,
if--
``(I) that member, the parent, and
the local educational agency consent to
the excusal; and
``(II) the member submits input
into the development of the IEP prior
to the meeting.
``(iii) Written agreement and consent
required.--A parent's agreement under clause
(i) and consent under clause (ii) shall be in
writing.
``(2) Requirement that program be in effect.--
``(A) In general.--At the beginning of each school
year, each local educational agency, State educational
agency, or other State agency, as the case may be,
shall have in effect, for each child with a disability
in its jurisdiction, an individualized education
program, as defined in paragraph (1)(A).
``(B) Program for child aged 3 through 5.--In the
case of a child with a disability aged 3 through 5 (or,
at the discretion of the State educational agency, a 2-
year-old child with a disability who will turn age 3
during the school year), an individualized family
service plan that contains the material described in
section 636, and that is developed in accordance with
this section, may serve as the IEP of the child if
using that plan as the IEP is--
``(i) consistent with State policy; and
``(ii) agreed to by the agency and the
child's parents.
``(C) Program for children who transfer school
districts.--
``(i) In general.--In the case of a child
with a disability, including a homeless child
with a disability, a child with a disability
who is a ward of the State, or a child with a
disability in a military family, who transfers
school districts within the same academic year,
who enrolls in a new school and who had an IEP
that was in effect in the same or another
State, the local educational agency, State
educational agency, or other State agency, as
the case may be, shall immediately provide such
child with a free appropriate public education,
including comparable services identified in the
previously held IEP and in consultation with
the parents until such time as the local
educational agency, State educational agency,
or other State agency, as the case may be,
adopts the previously held IEP or develops,
adopts, and implements a new IEP that is
consistent with Federal and State law.
``(ii) Transmittal of records.--To
facilitate the transition for a child described
in clause (i), the new school in which the
child enrolls shall immediately request the
child's records from the previous schools in
which the child was enrolled and the previous
schools in which the child was enrolled shall
immediately transmit to the new school, upon
such request, the IEP and supporting documents
and any other records relating to the provision
of special education or related services to the
child.
``(3) Development of iep.--
``(A) In general.--In developing each child's IEP,
the IEP Team, subject to subparagraph (C), shall
consider--
``(i) the strengths of the child;
``(ii) the concerns of the parents for
enhancing the education of their child;
``(iii) the results of the initial
evaluation or most recent evaluation of the
child; and
``(iv) the academic, developmental, and
functional needs of the child.
``(B) Consideration of special factors.--The IEP
Team shall--
``(i) in the case of a child whose behavior
impedes the child's learning or that of others,
provide for positive behavioral interventions
and supports, and other strategies to address
that behavior;
``(ii) in the case of a child with limited
English proficiency, consider the language
needs of the child as such needs relate to the
child's IEP;
``(iii) in the case of a child who is blind
or visually impaired--
``(I) provide for instruction in
Braille and the use of Braille unless
the IEP Team determines, after an
evaluation of the child's reading and
writing skills, needs, and appropriate
reading and writing media (including an
evaluation of the child's future needs
for instruction in Braille or the use
of Braille), that instruction in
Braille or the use of Braille is not
appropriate for the child; and
``(II) consider, when appropriate,
instructional services related to
functional performance skills,
orientation and mobility, and skills in
the use of assistive technology
devices, including low vision devices;
``(iv) consider the communication needs of
the child, and in the case of a child who is
deaf or hard of hearing, consider the child's
language and communication needs, opportunities
for direct communications with peers and
professional personnel in the child's language
and communication mode, academic level, and
full range of needs, including opportunities
for direct instruction in the child's language
and communication mode; and
``(v) consider whether the child requires
assistive technology devices and services.
``(C) Requirement with respect to regular education
teacher.--A regular education teacher of the child, as
a member of the IEP Team shall, to the extent
appropriate, participate in the development of the IEP
of the child, including the determination of
appropriate positive behavioral interventions and
supports, and other strategies, and the determination
of supplementary aids and services, program
modifications, and support for school personnel
consistent with paragraph (1)(A)(i)(IV).
``(D) Agreement.--In making changes to a child's
IEP after the annual IEP meeting for a school year, the
parent of a child with a disability and the local
educational agency may agree not to convene an IEP
meeting for the purposes of making such changes, and
instead may develop a written document to amend or
modify the child's current IEP.
``(E) Consolidation of iep team meetings.--To the
extent possible, the local educational agency shall
encourage the consolidation of reevaluations of a child
with IEP Team meetings for the child.
``(4) Review and revision of iep.--
``(A) In general.--The local educational agency
shall ensure that, subject to subparagraph (B), the IEP
Team--
``(i) reviews the child's IEP periodically,
but not less than annually, to determine
whether the annual goals for the child are
being achieved; and
``(ii) revise the IEP as appropriate to
address--
``(I) any lack of expected progress
toward the annual goals and in the
general curriculum, where appropriate;
``(II) the results of any
reevaluation conducted under this
section;
``(III) information about the child
provided to, or by, the parents, as
described in subsection (c)(1)(B);
``(IV) the child's anticipated
needs; or
``(V) other matters.
``(B) Requirement with respect to regular education
teacher.--A regular education teacher of the child, as
a member of the IEP Team, shall, consistent with
paragraph (1)(C), participate in the review and
revision of the IEP of the child.
``(5) Three-year iep.--
``(A) Development of 3-year iep.--The local
educational agency may offer a child with a disability
who has reached the age of 18, the option of developing
a comprehensive 3-year IEP. With the consent of the
parent, when appropriate, the IEP Team shall develop an
IEP, as described in paragraphs (1) and (3), that is
designed to serve the child for the final 3-year
transition period, which includes a statement of--
``(i) measurable goals that will enable the
child to be involved in and make progress in
the general education curriculum and that will
meet the child's transitional and postsecondary
needs that result from the child's disability;
and
``(ii) measurable annual goals for
measuring progress toward meeting the
postsecondary goals described in clause (i).
``(B) Review and revision of 3-year iep.--
``(i) Requirement.--Each year the local
educational agency shall ensure that the IEP
Team--
``(I) provides an annual review of
the child's IEP to determine the
child's current levels of progress and
determine whether the annual goals for
the child are being achieved; and
``(II) revises the IEP, as
appropriate, to enable the child to
continue to meet the measurable
transition goals set out in the IEP.
``(ii) Comprehensive review.--If the review
under clause (i) determines that the child is
not making sufficient progress toward the goals
described in subparagraph (A), the local
educational agency shall ensure that the IEP
Team provides a review, within 30 calendar
days, of the IEP under paragraph (4).
``(iii) Preference.--At the request of the
child, or when appropriate, the parent, the IEP
Team shall conduct a review of the child's 3-
year IEP under paragraph (4) rather than an
annual review under subparagraph (B)(i).
``(6) Failure to meet transition objectives.--If a
participating agency, other than the local educational agency,
fails to provide the transition services described in the IEP
in accordance with paragraph (1)(A)(i)(VIII), the local
educational agency shall reconvene the IEP Team to identify
alternative strategies to meet the transition objectives for
the child set out in that program.
``(7) Children with disabilities in adult prisons.--
``(A) In general.--The following requirements shall
not apply to children with disabilities who are
convicted as adults under State law and incarcerated in
adult prisons:
``(i) The requirements contained in section
612(a)(16) and paragraph (1)(A)(i)(V) (relating
to participation of children with disabilities
in general assessments).
``(ii) The requirements of items (aa) and
(bb) of paragraph (1)(A)(i)(VIII) (relating to
transition planning and transition services),
do not apply with respect to such children
whose eligibility under this part will end,
because of their age, before they will be
released from prison.
``(B) Additional requirement.--If a child with a
disability is convicted as an adult under State law and
incarcerated in an adult prison, the child's IEP Team
may modify the child's IEP or placement notwithstanding
the requirements of sections 612(a)(5)(A) and
614(d)(1)(A) if the State has demonstrated a bona fide
security or compelling penological interest that cannot
otherwise be accommodated.
``(e) Educational Placements.--Each local educational agency or
State educational agency shall ensure that the parents of each child
with a disability are members of any group that makes decisions on the
educational placement of their child. Decisions regarding the
educational placement of a child with a disability who is a homeless
child shall comply with the requirements described under section
722(g)(3) of the McKinney-Vento Homeless Assistance Act.
``(f) Alternative Means of Meeting Participation.--When conducting
IEP Team meetings and placement meetings pursuant to this section, the
parent of a child with a disability and a local educational agency may
agree to use alternative means of meeting participation, such as video
conferences and conference calls.
``SEC. 615. PROCEDURAL SAFEGUARDS.
``(a) Establishment of Procedures.--Any State educational agency,
State agency, or local educational agency that receives assistance
under this part shall establish and maintain procedures in accordance
with this section to ensure that children with disabilities, including
children with disabilities who are wards of the State, and their
parents are guaranteed procedural safeguards with respect to the
provision of free appropriate public education by such agencies.
``(b) Types of Procedures.--The procedures required by this section
shall include--
``(1) an opportunity for the parents of a child with a
disability to examine all records relating to such child and to
participate in meetings with respect to the identification,
evaluation, and educational placement of the child, and the
provision of a free appropriate public education to such child,
and to obtain an independent educational evaluation of the
child;
``(2) procedures to protect the rights of the child
whenever the parents of the child are not known, the agency
cannot, after reasonable efforts, locate the parents, the child
is a ward of the State, or the child is a homeless child who is
not in the physical custody of a parent or guardian including
the assignment of an individual (who shall not be an employee
of the State educational agency, the local educational agency,
or any other agency that is involved in the education or care
of the child) to act as a surrogate for the parents in
accordance with subsection (o);
``(3) written prior notice to the parents of the child, in
accordance with subsection (c)(1), whenever the local
educational agency--
``(A) proposes to initiate or change; or
``(B) refuses to initiate or change,
the identification, evaluation, or educational placement of the
child, or the provision of a free appropriate public education
to the child;
``(4) procedures designed to ensure that the notice
required by paragraph (3) is in the native language of the
parents, unless it clearly is not feasible to do so;
``(5) an opportunity for mediation in accordance with
subsection (e);
``(6) an opportunity for either party to present complaints
with respect to any matter relating to the identification,
evaluation, or educational placement of the child, or the
provision of a free appropriate public education to such child;
``(7)(A) procedures that require either party, or the
attorney representing a party, to provide due process complaint
notice in accordance with subsection (c)(2) (which shall remain
confidential)--
``(i) to the other party, in the complaint filed
under paragraph (6), and forward a copy of such notice
to the State educational agency; and
``(ii) that shall include--
``(I) the name of the child, the address of
the residence of the child (or available
contact information in the case of a homeless
child), and the name of the school the child is
attending;
``(II) in the case of a homeless child or
youth (within the meaning of section 725(2) of
the McKinney-Vento Homeless Assistance Act (42
U.S.C. 11434a(2)), available contact
information for the child and the name of the
school the child is attending;
``(III) a description of the nature of the
problem of the child relating to such proposed
initiation or change, including facts relating
to such problem; and
``(IV) a proposed resolution of the problem
to the extent known and available to the party
at the time; and
``(B) a requirement that a party may not have a due process
hearing until the party, or the attorney representing the
party, files a notice that meets the requirements of
subparagraph (A)(ii);
``(8) a requirement that the local educational agency shall
send a prior written notice pursuant to subsection (c)(1) in
response to a parent's due process complaint notice under
paragraph (7) if the local educational agency has not sent such
a prior written notice to the parent regarding the subject
matter contained in the parent's due process complaint notice;
and
``(9) procedures that require the State educational agency
to develop a model form to assist parents in filing a complaint
and due process complaint notice in accordance with paragraphs
(6) and (7), respectively.
``(10) procedures to protect the rights of the child
whenever the child is a ward of the State, including procedures
that preserve the rights of the natural or adoptive parent to
make the decisions required of parents under this Act (unless
such rights have been extinguished under State law) but that
permit a child who is represented in juvenile court by an
attorney, guardian ad litem, or another individual, to have
such attorney, guardian ad litem, or other individual present
in any meetings, mediation proceedings, or hearings provided
under this Act.
``(c) Notification Requirements.--
``(1) Content of prior written notice.--The prior written
notice of the local educational agency required by subsection
(b)(3) shall include--
``(A) a description of the action proposed or
refused by the agency;
``(B) an explanation of why the agency proposes or
refuses to take the action;
``(C) a description of any other options that the
agency considered and the reasons why those options
were rejected;
``(D) a description of each evaluation procedure,
test, record, or report the agency used as a basis for
the proposed or refused action;
``(E) a description of any other factors that are
relevant to the agency's proposal or refusal;
``(F) a statement that the parents of a child with
a disability have protection under the procedural
safeguards of this part and, if this notice is not an
initial referral for evaluation, the means by which a
copy of a description of the procedural safeguards can
be obtained; and
``(G) sources for parents to contact to obtain
assistance in understanding the provisions of this
part.
``(2) Due process complaint notice.--
``(A) In general.--The due process complaint notice
required under subsection (b)(7)(A) shall be deemed to
be sufficient unless the party receiving the notice
notifies the hearing officer and the other party in
writing that the receiving party believes the notice
has not met the requirements of that subsection.
``(B) Timing.--The party sending a hearing officer
notification under subparagraph (A) shall send the
notification within 20 days of receiving the complaint.
``(C) Determination.--Within 5 days of receipt of
the notification provided under subparagraph (B), the
hearing officer shall make a determination on the face
of the notice of whether the notification meets the
requirements of subsection (b)(7)(A), and shall
immediately notify both parties in writing of such
determination.
``(D) Parent's amended notice of complaint.--
``(i) In general.--A parent may amend the
parent's due process complaint notice only if--
``(I) the public agency consents in
writing to such amendment and is given
the opportunity to resolve the
complaint through a meeting held
pursuant to subsection (f)(1)(B); or
``(II) the hearing officer grants
permission, but may do so only before a
due process hearing occurs.
``(ii) Applicable timeline.--The applicable
timeline for a due process hearing under this
part shall recommence at the time the party
files an amended notice.
``(d) Procedural Safeguards Notice.--
``(1) In general.--A copy of the procedural safeguards
available to the parents of a child with a disability shall be
given to the parents only 1 time a year, except that a copy
also shall be given to the parents--
``(A) upon initial referral or parental request for
evaluation;
``(B) upon registration of a complaint under
subsection (b)(6); and
``(C) upon request by a parent.
``(2) Contents.--The procedural safeguards notice shall
include a full explanation of the procedural safeguards,
written in the native language of the parents, unless it
clearly is not feasible to do so, and written in an easily
understandable manner, available under this section and under
regulations promulgated by the Secretary relating to--
``(A) independent educational evaluation;
``(B) prior written notice;
``(C) parental consent;
``(D) access to educational records;
``(E) the opportunity to present and resolve
complaints, including--
``(i) the time period in which to make a
complaint;
``(ii) the opportunity for the agency to
resolve the complaint; and
``(iii) the availability of mediation;
``(F) the child's placement during pendency of due
process proceedings;
``(G) procedures for students who are subject to
placement in an interim alternative educational
setting;
``(H) requirements for unilateral placement by
parents of children in private schools at public
expense;
``(I) due process hearings, including requirements
for disclosure of evaluation results and
recommendations;
``(J) State-level appeals (if applicable in that
State);
``(K) civil actions, including the time period in
which to file such actions; and
``(L) attorney's fees.
``(e) Mediation.--
``(1) In general.--Any State educational agency or local
educational agency that receives assistance under this part
shall ensure that procedures are established and implemented to
allow parties to disputes involving any matter, including
matters arising prior to the filing of a complaint pursuant to
subsection (b)(6), to resolve such disputes through a mediation
process.
``(2) Requirements.--Such procedures shall meet the
following requirements:
``(A) The procedures shall ensure that the
mediation process--
``(i) is voluntary on the part of the
parties;
``(ii) is not used to deny or delay a
parent's right to a due process hearing under
subsection (f), or to deny any other rights
afforded under this part; and
``(iii) is conducted by a qualified and
impartial mediator who is trained in effective
mediation techniques.
``(B) Opportunity to meet with a disinterested
party.--A local educational agency or a State agency
may establish procedures to offer to parents and
schools who choose not to use the mediation process, an
opportunity to meet, at a time and location convenient
to the parents, with a disinterested party who is under
contract with--
``(i) a parent training and information
center or community parent resource center in
the State established under section 671 or 672;
or
``(ii) an appropriate alternative dispute
resolution entity,
to encourage the use, and explain the benefits, of the
mediation process to the parents.
``(C) List of qualified mediators.--The State shall
maintain a list of individuals who are qualified
mediators and knowledgeable in laws and regulations
relating to the provision of special education and
related services.
``(D) Costs.--The State shall bear the cost of the
mediation process, including the costs of meetings
described in subparagraph (B).
``(E) Scheduling and location.--Each session in the
mediation process shall be scheduled in a timely manner
and shall be held in a location that is convenient to
the parties to the dispute.
``(F) Written mediation agreement.--An agreement
reached by the parties to the dispute in the mediation
process shall be set forth in a written mediation
agreement that is enforceable in any State court of
competent jurisdiction or in a district court of the
United States.
``(G) Mediation discussions.--Discussions that
occur during the mediation process shall be
confidential and may not be used as evidence in any
subsequent due process hearings or civil proceedings,
and the parties to the mediation process may be
required to sign a confidentiality pledge prior to the
commencement of such process.
``(f) Impartial Due Process Hearing.--
``(1) In general.--
``(A) Hearing.--Whenever a complaint has been
received under subsection (b)(6) or (k), the parents or
the local educational agency involved in such complaint
shall have an opportunity for an impartial due process
hearing, which shall be conducted by the State
educational agency or by the local educational agency,
as determined by State law or by the State educational
agency.
``(B) Opportunity to resolve complaint.--
``(i) Preliminary meeting.--Prior to the
opportunity for an impartial due process
hearing under subparagraph (A), the local
educational agency shall convene a meeting with
the parents and the IEP Team--
``(I) within 15 days of receiving
notice of the parents' complaint;
``(II) which shall include a
representative of the public agency who
has decisionmaking authority on behalf
of such agency;
``(III) which may not include an
attorney of the local educational
agency unless the parent is accompanied
by an attorney; and
``(IV) where the parents of the
child discuss their complaint, and the
specific issues that form the basis of
the complaint, and the local
educational agency is provided the
opportunity to resolve the complaint,
unless the parents and the local educational
agency agree in writing to waive such meeting,
or agree to use the mediation process described
in subsection (e).
``(ii) Hearing.--If the local educational
agency has not resolved the complaint to the
satisfaction of the parents within 15 days of
the receipt of the complaint, the due process
hearing may occur, and all of the applicable
timelines for a due process hearing under this
part shall commence.
``(iii) Written settlement agreement.--In
the case that an agreement is reached to
resolve the complaint at such meeting, the
agreement shall be set forth in a written
settlement agreement that is--
``(I) signed by both the parent and
a representative of the public agency
who has decisionmaking authority on
behalf of such agency; and
``(II) enforceable in any State
court of competent jurisdiction or in a
district court of the United States.
``(2) Disclosure of evaluations and recommendations.--
``(A) In general.--Not less than 5 business days
prior to a hearing conducted pursuant to paragraph (1),
each party shall disclose to all other parties all
evaluations completed by that date, and recommendations
based on the offering party's evaluations, that the
party intends to use at the hearing.
``(B) Failure to disclose.--A hearing officer may
bar any party that fails to comply with subparagraph
(A) from introducing the relevant evaluation or
recommendation at the hearing without the consent of
the other party.
``(3) Limitations on hearing.--
``(A) Person conducting hearing.--A hearing officer
conducting a hearing pursuant to paragraph (1)(A)
shall, at a minimum--
``(i) not be--
``(I) an employee of the State
educational agency or the local
educational agency involved in the
education or care of the child; or
``(II) a person having a personal
or professional interest that conflicts
with the person's objectivity in the
hearing;
``(ii) possess a fundamental understanding
of this Act, Federal and State regulations
pertaining to this Act, and interpretations of
this Act by State and Federal courts;
``(iii) possess the knowledge and ability
to conduct hearings in accordance with
appropriate, standard legal practice; and
``(iv) possess the knowledge and ability to
render and write decisions in accordance with
appropriate, standard legal practice.
``(B) Subject matter of hearing.--The party
requesting the due process hearing shall not be allowed
to raise issues at the due process hearing that were
not raised in the notice filed under subsection (b)(7),
unless the other party agrees otherwise.
``(C) Rule of construction.--Nothing in this
section shall be construed to preclude a parent from
filing a separate due process complaint on an issue
separate from a due process complaint already filed.
``(D) Timeline for requesting hearing.--A parent or
public agency shall request an impartial due process
hearing within 2 years of the date the parent or public
agency knew or should have known about the alleged
action that forms the basis of the complaint, or, if
the State has an explicit time limitation for
requesting such a hearing under this part, in such time
as the State law allows.
``(E) Exception to the timeline.--The timeline
described in subparagraph (D) shall not apply if the
parent was prevented from requesting the hearing due
to--
``(i) failure of the local educational
agency to provide prior written or procedural
safeguards notices;
``(ii) false representations that the local
educational agency was attempting to resolve
the problem forming the basis of the complaint;
or
``(iii) the local educational agency's
withholding of information from parents.
``(F) Decision of hearing officer.--
``(i) In general.--Subject to clause (ii),
a decision made by a hearing officer shall be
made on substantive grounds based on a
determination of whether the child received a
free appropriate public education.
``(ii) Procedural issues.--In matters
alleging a procedural violation, a hearing
officer may find that a child did not receive a
free appropriate public education only if the
procedural inadequacies--
``(I) compromised the child's right
to an appropriate public education;
``(II) seriously hampered the
parents' opportunity to participate in
the process; or
``(III) caused a deprivation of
educational benefits.
``(iii) Rule of construction.--Nothing in
this paragraph shall be construed to preclude a
hearing officer from ordering a local
educational agency to comply with procedural
requirements under this section.
``(G) Rule of construction.--Nothing in this
section shall be construed to affect the right of a
parent to file a complaint with the State educational
agency.
``(g) Appeal.--If the hearing required by subsection (f) is
conducted by a local educational agency, any party aggrieved by the
findings and decision rendered in such a hearing may appeal such
findings and decision to the State educational agency. Such State
educational agency shall conduct an impartial review of such decision.
The officer conducting such review shall make an independent decision
upon completion of such review.
``(h) Safeguards.--Any party to a hearing conducted pursuant to
subsection (f) or (k), or an appeal conducted pursuant to subsection
(g), shall be accorded--
``(1) the right to be accompanied and advised by counsel
and by individuals with special knowledge or training with
respect to the problems of children with disabilities;
``(2) the right to present evidence and confront, cross-
examine, and compel the attendance of witnesses;
``(3) the right to a written, or, at the option of the
parents, electronic verbatim record of such hearing; and
``(4) the right to a written, or, at the option of the
parents, electronic findings of fact and decisions, which
findings and decisions--
``(A) shall be made available to the public
consistent with the requirements of section 617(b)
(relating to the confidentiality of data, information,
and records); and
``(B) shall be transmitted to the advisory panel
established pursuant to section 612(a)(20).
``(i) Administrative Procedures.--
``(1) In general.--
``(A) Decision made in hearing.--A decision made in
a hearing conducted pursuant to subsection (f) or (k)
shall be final, except that any party involved in such
hearing may appeal such decision under the provisions
of subsection (g) and paragraph (2).
``(B) Decision made at appeal.--A decision made
under subsection (g) shall be final, except that any
party may bring an action under paragraph (2).
``(2) Right to bring civil action.--
``(A) In general.--Any party aggrieved by the
findings and decision made under subsection (f) or (k)
who does not have the right to an appeal under
subsection (g), and any party aggrieved by the findings
and decision under this subsection, shall have the
right to bring a civil action with respect to the
complaint presented pursuant to this section, which
action may be brought in any State court of competent
jurisdiction or in a district court of the United
States, without regard to the amount in controversy.
``(B) Limitation.--The party bringing the action
shall have 90 days from the date of the decision of the
hearing officer to bring such an action, or, if the
State has an explicit time limitation for bringing such
action under this part, in such time as the State law
allows.
``(C) Additional requirements.--In any action
brought under this paragraph, the court--
``(i) shall receive the records of the
administrative proceedings;
``(ii) shall hear additional evidence at
the request of a party; and
``(iii) basing its decision on the
preponderance of the evidence, shall grant such
relief as the court determines is appropriate.
``(3) Jurisdiction of district courts; attorneys' fees.--
``(A) In general.--The district courts of the
United States shall have jurisdiction of actions
brought under this section without regard to the amount
in controversy.
``(B) Award of attorneys' fees.--
``(i) In general.--In any action or
proceeding brought under this section, the
court, in its discretion, may award reasonable
attorneys' fees as part of the costs--
``(I) to a prevailing party who is
the parent of a child with a
disability;
``(II) to a prevailing party who is
a State educational agency or local
educational agency against the attorney
of a parent who files a complaint or
subsequent cause of action that is
frivolous, unreasonable, or without
foundation, or against the attorney of
a parent who continued to litigate
after the litigation clearly became
frivolous, unreasonable, or without
foundation; or
``(III) to a State educational
agency or local educational agency
against the attorney of a parent, or
against the parent, if the parent's
complaint or subsequent cause of action
was presented for any improper purpose,
such as to harass or to cause
unnecessary delay or needless increase
in the cost of litigation.
``(ii) Rule of construction.--Nothing in
this subparagraph shall be construed to affect
section 432 of the District of Columbia
Appropriations Act, 2004.
``(C) Determination of amount of attorneys' fees.--
Fees awarded under this paragraph shall be based on
rates prevailing in the community in which the action
or proceeding arose for the kind and quality of
services furnished. No bonus or multiplier may be used
in calculating the fees awarded under this subsection.
``(D) Prohibition of attorneys' fees and related
costs for certain services.--
``(i) In general.--Attorneys' fees may not
be awarded and related costs may not be
reimbursed in any action or proceeding under
this section for services performed subsequent
to the time of a written offer of settlement to
a parent if--
``(I) the offer is made within the
time prescribed by Rule 68 of the
Federal Rules of Civil Procedure or, in
the case of an administrative
proceeding, at any time more than 10
days before the proceeding begins;
``(II) the offer is not accepted
within 10 days; and
``(III) the court or administrative
hearing officer finds that the relief
finally obtained by the parents is not
more favorable to the parents than the
offer of settlement.
``(ii) IEP team meetings.--Attorneys' fees
may not be awarded relating to any meeting of
the IEP Team unless such meeting is convened as
a result of an administrative proceeding or
judicial action, or, at the discretion of the
State, for a mediation described in subsection
(e).
``(iii) Opportunity to resolve
complaints.--A meeting conducted pursuant to
subsection (f)(1)(B)(i) shall not be
considered--
``(I) a meeting convened as a
result of an administrative hearing or
judicial action; or
``(II) an administrative hearing or
judicial action for purposes of this
paragraph.
``(E) Exception to prohibition on attorneys' fees
and related costs.--Notwithstanding subparagraph (D),
an award of attorneys' fees and related costs may be
made to a parent who is the prevailing party and who
was substantially justified in rejecting the settlement
offer.
``(F) Reduction in amount of attorneys' fees.--
Except as provided in subparagraph (G), whenever the
court finds that--
``(i) the parent, or the parent's attorney,
during the course of the action or proceeding,
unreasonably protracted the final resolution of
the controversy;
``(ii) the amount of the attorneys' fees
otherwise authorized to be awarded unreasonably
exceeds the hourly rate prevailing in the
community for similar services by attorneys of
reasonably comparable skill, reputation, and
experience;
``(iii) the time spent and legal services
furnished were excessive considering the nature
of the action or proceeding; or
``(iv) the attorney representing the parent
did not provide to the local educational agency
the appropriate information in the notice of
the complaint described in subsection
(b)(7)(A),
the court shall reduce, accordingly, the amount of the
attorneys' fees awarded under this section.
``(G) Exception to reduction in amount of
attorneys' fees.--The provisions of subparagraph (F)
shall not apply in any action or proceeding if the
court finds that the State or local educational agency
unreasonably protracted the final resolution of the
action or proceeding or there was a violation of this
section.
``(4) Parents representing their children in court.--
Subject to subsection (m), and notwithstanding any other
provision of Federal law regarding attorney representation
(including the Federal Rules of Civil Procedure), a parent of a
child with a disability may represent the child in any action
under this part in Federal or State court, without the
assistance of an attorney.
``(j) Maintenance of Current Educational Placement.--Except as
provided in subsection (k)(4), during the pendency of any proceedings
conducted pursuant to this section, unless the State or local
educational agency and the parents otherwise agree, the child shall
remain in the then-current educational placement of such child, or, if
applying for initial admission to a public school, shall, with the
consent of the parents, be placed in the public school program until
all such proceedings have been completed.
``(k) Placement in Alternative Educational Setting.--
``(1) Authority of school personnel.--
``(A) In general.--School personnel under this
section may order a change in the placement of a child
with a disability who violates a code of student
conduct to an appropriate interim alternative
educational setting, another setting, or suspension,
for not more than 10 school days (to the extent such
alternatives are applied to children without
disabilities).
``(B) Additional authority.--If school personnel
seek to order a change in placement that would exceed
10 school days and the behavior that gave rise to the
violation of the school code is determined not to be a
manifestation of the child's disability pursuant to
subparagraph (C), the relevant disciplinary procedures
applicable to children without disabilities may be
applied to the child in the same manner in which the
procedures would be applied to children without
disabilities, except as provided in section 612(a)(1).
``(C) Manifestation determination.--
``(i) In general.--Except as provided in
subparagraphs (A) and (D), within 10 school
days of any decision to change the placement of
a child with a disability because of a
violation of a code of student conduct, the IEP
Team shall review all relevant information in
the student's file, any information provided by
the parents, and teacher observations, to
determine--
``(I) if the conduct in question
was the result of the child's
disability; or
``(II) if the conduct in question
resulted from the failure to implement
the IEP or to implement behavioral
interventions as required by section
614(d)(3)(B)(i).
``(ii) Manifestation.--If the IEP Team
determines that either subclause (I) or (II) of
clause (i) is applicable for the child, the
conduct shall be determined to be a
manifestation of the child's disability.
``(D) Special circumstances.--In cases where a
child--
``(i) carries or possesses a weapon to or
at school, on school premises, or to or at a
school function under the jurisdiction of a
State or local educational agency; or
``(ii) knowingly possesses or uses illegal
drugs, or sells or solicits the sale of a
controlled substance, while at school or a
school function under the jurisdiction of a
State or local educational agency; or
``(iii) has committed serious bodily injury
upon another person while at school or at a
school function under the jurisdiction of a
State or local educational agency,
school personnel may remove a student to an interim
alternative educational setting for not more than 45
school days, without regard to whether the behavior is
determined to be a manifestation of the child's
disability.
``(E) Notification.--Not later than the date on
which the decision to take disciplinary action is made,
the local educational agency shall notify the parents
of that decision, and of all procedural safeguards
accorded under this section.
``(F) Services.--A child with a disability who is
removed from the child's current placement under
subparagraph (B) or (D) shall--
``(i) continue to receive educational
services pursuant to section 612(a)(1), so as
to enable the child to continue to participate
in the general education curriculum, although
in another setting, and to progress toward
meeting the goals set out in the child's IEP;
and
``(ii) receive behavioral intervention
services as described in section
614(d)(3)(B)(i), and a functional behavioral
assessment (but only if the local educational
agency did not conduct such an assessment
before the violation occurred), designed to
address the behavior violation so that the
violation does not recur.
``(2) Determination of setting.--The alternative
educational setting shall be determined by the IEP Team.
``(3) Appeal.--
``(A) In general.--The parent of a child with a
disability who disagrees with any decision regarding
disciplinary action, placement, or the manifestation
determination under this subsection, or a local
educational agency that believes that maintaining the
current placement of the child is substantially likely
to result in injury to the child or to others, may
request a hearing.
``(B) Authority of hearing officer.--
``(i) In general.--If a parent of a child
with a disability disagrees with a decision as
described in subparagraph (A), the hearing
officer may determine whether the decision
regarding such action was appropriate.
``(ii) Change of placement order.--A
hearing officer under this section may order a
change in placement of a child with a
disability to an appropriate interim
alternative educational setting for not more
than 45 school days if the hearing officer
determines that maintaining the current
placement of such child is substantially likely
to result in injury to the child or to others.
``(4) Placement during appeals.--When a parent requests a
hearing regarding a disciplinary procedure described in
paragraph (1)(B) or challenges the interim alternative
educational setting or manifestation determination--
``(A) the child shall remain in the interim
alternative educational setting pending the decision of
the hearing officer or until the expiration of the time
period provided for in paragraph (1)(B), whichever
occurs first, unless the parent and the State or local
educational agency agree otherwise; and
``(B) the State or local educational agency shall
arrange for an expedited hearing, which shall occur
within 20 school days of the date the hearing is
requested.
``(5) Protections for children not yet eligible for special
education and related services.--
``(A) In general.--A child who has not been
determined to be eligible for special education and
related services under this part and who has engaged in
behavior that violates a code of student conduct, may
assert any of the protections provided for in this part
if the local educational agency had knowledge (as
determined in accordance with this paragraph) that the
child was a child with a disability before the behavior
that precipitated the disciplinary action occurred.
``(B) Basis of knowledge.--A local educational
agency shall be deemed to have knowledge that a child
is a child with a disability if, before the behavior
that precipitated the disciplinary action occurred--
``(i) the parent of the child has expressed
concern in writing (unless the parent is
illiterate or has a disability that prevents
compliance with the requirements contained in
this clause) to personnel of the appropriate
educational agency that the child is in need of
special education and related services;
``(ii) the parent of the child has
requested an evaluation of the child pursuant
to section 614;
``(iii) the teacher of the child, or other
personnel of the local educational agency, has
expressed concern about a pattern of behavior
demonstrated by the child, to the director of
special education of such agency or to other
administrative personnel of the agency; or
``(iv) the child has engaged in a pattern
of behavior that should have alerted personnel
of the local educational agency that the child
may be in need of special education and related
services.
``(C) Exception.--A local educational agency shall
not be deemed to have knowledge that the child has a
disability if the parent of the child has not agreed to
allow an evaluation of the child pursuant to section
614.
``(D) Conditions that apply if no basis of
knowledge.--
``(i) In general.--If a local educational
agency does not have knowledge that a child is
a child with a disability (in accordance with
subparagraph (B) or (C)) prior to taking
disciplinary measures against the child, the
child may be subjected to disciplinary measures
applied to children without disabilities who
engaged in comparable behaviors consistent with
clause (ii).
``(ii) Limitations.--If a request is made
for an evaluation of a child during the time
period in which the child is subjected to
disciplinary measures under paragraph (1), the
evaluation shall be conducted in an expedited
manner. If the child is determined to be a
child with a disability, taking into
consideration information from the evaluation
conducted by the agency and information
provided by the parents, the agency shall
provide special education and related services
in accordance with this part, except that,
pending the results of the evaluation, the
child shall remain in the educational placement
determined by school authorities.
``(6) Referral to and action by law enforcement and
judicial authorities.--
``(A) Construction.--Nothing in this part shall be
construed to prohibit an agency from reporting a crime
committed by a child with a disability to appropriate
authorities or to prevent State law enforcement and
judicial authorities from exercising their
responsibilities with regard to the application of
Federal and State law to crimes committed by a child
with a disability.
``(B) Transmittal of records.--An agency reporting
a crime committed by a child with a disability shall
ensure that copies of the special education and
disciplinary records of the child are transmitted for
consideration by the appropriate authorities to whom
the agency reports the crime.
``(7) Definitions.--For purposes of this subsection, the
following definitions apply:
``(A) Controlled substance.--The term `controlled
substance' means a drug or other substance identified
under schedule I, II, III, IV, or V in section 202(c)
of the Controlled Substances Act (21 U.S.C. 812(c)).
``(B) Illegal drug.--The term `illegal drug' means
a controlled substance but does not include a
controlled substance that is legally possessed or used
under the supervision of a licensed health-care
professional or that is legally possessed or used under
any other authority under that Act or under any other
provision of Federal law.
``(C) Weapon.--The term `weapon' has the meaning
given the term `dangerous weapon' under section
930(g)(2) of title 18, United States Code.
``(D) Serious bodily injury.--The term `serious
bodily injury' has the meaning given the term `serious
bodily injury' under paragraph (3) of subsection (h) of
section 1365 of title 18, United States Code.
``(l) Rule of Construction.--Nothing in this title shall be
construed to restrict or limit the rights, procedures, and remedies
available under the Constitution, the Americans with Disabilities Act
of 1990, title V of the Rehabilitation Act of 1973, or other Federal
laws protecting the rights of children with disabilities, or under
subtitle B of title VII of the McKinney-Vento Homeless Assistance Act
or parts B and E of title IV of the Social Security Act, except that
before the filing of a civil action under such laws seeking relief that
is also available under this part, the procedures under subsections (f)
and (g) shall be exhausted to the same extent as would be required had
the action been brought under this part.
``(m) Transfer of Parental Rights at Age of Majority.--
``(1) In general.--A State that receives amounts from a
grant under this part may provide that, when a child with a
disability reaches the age of majority under State law (except
for a child with a disability who has been determined to be
incompetent under State law)--
``(A) the public agency shall provide any notice
required by this section to both the individual and the
parents;
``(B) all other rights accorded to parents under
this part transfer to the child;
``(C) the agency shall notify the individual and
the parents of the transfer of rights; and
``(D) all rights accorded to parents under this
part transfer to children who are incarcerated in an
adult or juvenile Federal, State, or local correctional
institution.
``(2) Special rule.--If, under State law, a child with a
disability who has reached the age of majority under State law,
who has not been determined to be incompetent, but who is
determined not to have the ability to provide informed consent
with respect to the educational program of the child, the State
shall establish procedures for appointing the parent of the
child, or if the parent is not available, another appropriate
individual, to represent the educational interests of the child
throughout the period of eligibility of the child under this
part.
``(n) E-Mail.--A parent of a child with a disability may elect to
receive notices required under this section by e-mail communication, if
the public agency makes such option available.
``(o) Surrogate Parent.--
``(1) Assignment.--The assignment of a surrogate under
subsection (b)(2) shall take place not more than 30 days after
either of the following takes place:
``(A) The child is referred to the local
educational agency for an initial evaluation to
determine if the child is a child with a disability.
``(B) There is a determination made by the agency
that the child needs a surrogate parent because the
child's parent cannot be identified, the child becomes
a ward of the State, or, despite reasonable efforts to
do so, the agency cannot discover the whereabouts of
the parent of the child.
``(2) Requirements of surrogate.--An individual may not be
assigned to act as a surrogate for the parents under subsection
(b)(2) unless the individual--
``(A) signs a written form agreeing to make the
educational decisions required of parents under this
Act;
``(B)(i) has the knowledge and skills necessary to
ensure adequate representation of the child; or
``(ii) agrees to be trained as an educational
surrogate; and
``(C) has no interests that would conflict with the
interests of the child.
``(3) Foster parent as surrogate.--A foster parent of a
child may be assigned to act as a surrogate for the parents of
such child under subsection (b)(2) if the foster parent--
``(A) has an ongoing, long-term parental
relationship with the child;
``(B) agrees to make the educational decisions
required of parents under this Act;
``(C) agrees to be trained as an educational
surrogate; and
``(D) has no interest that would conflict with the
interests of the child.
``SEC. 616. MONITORING, TECHNICAL ASSISTANCE, AND ENFORCEMENT.
``(a) Federal and State Monitoring.--
``(1) In general.--The Secretary shall--
``(A) monitor implementation of this Act through--
``(i) oversight of the States' exercise of
general supervision, as required in section
612(a)(11); and
``(ii) the system of indicators, described
in subsection (b)(2); and
``(B) enforce this Act in accordance with
subsection (c); and
``(C) require States to monitor implementation of
this Act by local educational agencies and enforce this
Act in accordance with paragraph (3) of this subsection
and subsection (c).
``(2) Focused monitoring.--The primary focus of Federal and
State monitoring activities described in paragraph (1) shall be
on improving educational results and functional outcomes for
all children with disabilities, while ensuring compliance with
program requirements, with a particular emphasis on those
requirements that are most closely related to improving
educational results for children with disabilities.
``(3) Monitoring priorities.--The Secretary shall monitor,
and shall require States to monitor, the following priority
areas:
``(A) Provision of a free appropriate public
education in the least restrictive environment.
``(B) Provision of transition services, as defined
in section 602(33).
``(C) State exercise of general supervisory
authority, including the effective use of complaint
resolution and mediation.
``(D) Overrepresentation of racial and ethnic
groups in special education and related services, to
the extent the overrepresentation is the result of
inappropriate policies, procedures, and practices.
``(4) Permissive areas of review.--The Secretary may
examine other relevant information and data, including data
provided by States under section 618, and data from the State's
compliance plan under subsection (b)(2)(C).
``(b) Indicators.--
``(1) System.--The Secretary shall implement and administer
a system of required indicators as described in paragraph (2)
that measures the progress of States in improving their
performance under this Act.
``(2) Indicators.--
``(A) In general.--Using the performance indicators
established by States under section 612(a)(15), the
Secretary shall review--
``(i) the performance of children with
disabilities in the State on assessments,
including alternate assessments, dropout rates,
and graduation rates, which for purposes of
this paragraph means the number and percentage
of students with disabilities who graduate with
a regular diploma within the number of years
specified in a student's IEP; and
``(ii) the performance of children with
disabilities in the State on assessments,
including alternate assessments, dropout rates,
and graduation rates, as compared to the
performance and rates for all children.
``(B) Secretary's assessment.--Based on that review
and a review of the State's compliance plan under
subparagraph (C), the Secretary shall assess the
State's progress in improving educational results for
children with disabilities.
``(C) State compliance plan.--Not later than 1 year
after the date of the enactment of the Individuals with
Disabilities Education Improvement Act of 2004, each
State shall have in place a compliance plan developed
in collaboration with the Secretary. Each State's
compliance plan shall--
``(i) include benchmarks to measure
continuous progress on the priority areas
described in subsection (a)(3);
``(ii) describe strategies the State will
use to achieve the benchmarks; and
``(iii) be approved by the Secretary.
``(D) Public reporting and privacy.--
``(i) In general.--After the Secretary
approves a State's compliance plan under
subparagraph (C), the State shall use the
benchmarks in the plan and the indicators
described in this subsection to analyze the
progress of each local educational agency in
the State on those benchmarks and indicators.
``(ii) Report.--The State shall report
annually to the public on each local
educational agency's progress under clause (i),
except where doing so would result in the
disclosure of personally identifiable
information about individual children or where
the available data is insufficient to yield
statistically reliable information.
``(3) Data collection and analysis.--The Secretary shall--
``(A) review the data collection and analysis
capacity of States to ensure that data and information
determined necessary for implementation of this
subsection is collected, analyzed, and accurately
reported to the Secretary; and
``(B) provide technical assistance to improve the
capacity of States to meet these data collection
requirements.
``(c) Compliance and Enforcement.--
``(1) In general.--The Secretary shall examine relevant
State information and data annually, to determine whether the
State is making satisfactory progress toward improving
educational results for children with disabilities using the
indicators described in subsection (b)(2)(A) and the benchmarks
established in the State compliance plan under subsection
(b)(2)(C), and is in compliance with the provisions of this
Act.
``(2) Lack of satisfactory progress by a state.--
``(A) In general.--If after examining data, as
provided in subsection (b)(2) (A) and (C), the
Secretary determines that a State failed to make
satisfactory progress in meeting the indicators
described in subsection (b)(2)(A) or has failed to meet
the benchmarks described in subsection (b)(2)(C) for 2
consecutive years after the State has developed its
compliance plan, the Secretary shall notify the State
that the State has failed to make satisfactory
progress, and shall take 1 or more of the following
actions:
``(i) Direct the use of State level funds
for technical assistance, services, or other
expenditures to ensure that the State resolves
the area or areas of unsatisfactory progress.
``(ii) Withhold not less than 20, but not
more than 50, percent of the State's funds for
State administration and activities for the
fiscal year under section 611(e), after
providing the State the opportunity to show
cause why the withholding should not occur,
until the Secretary determines that sufficient
progress has been made in improving educational
results for children with disabilities.
``(B) Additional secretarial action.--If, at the
end of the 5th year after the Secretary has approved
the compliance plan that the State has developed under
subsection (b)(2)(C), the Secretary determines that a
State failed to meet the benchmarks in the State
compliance plan and make satisfactory progress in
improving educational results for children with
disabilities pursuant to the indicators described in
subsection (b)(2)(A), the Secretary shall take 1 or
more of the following actions:
``(i) Seek to recover funds under section
452 of the General Education Provisions Act.
``(ii) After providing reasonable notice
and an opportunity for a hearing to the State
educational agency involved, withhold, in whole
or in part, any further payments to the State
under this part pursuant to subsection (c)(5).
``(iii) After providing reasonable notice
and an opportunity for a hearing to the State
educational agency involved, refer the matter
for appropriate enforcement action, which may
include referral to the Department of Justice.
``(iv) Pending the outcome of any hearing
to withhold payments under clause (ii), the
Secretary may suspend payments to a recipient,
suspend the authority of the recipient to
obligate Federal funds, or both, after such
recipient has been given reasonable notice and
an opportunity to show cause why future
payments or authority to obligate Federal funds
should not be suspended.
``(C) Substantial noncompliance.--Notwithstanding
subparagraph (B), at any time that the Secretary
determines that a State is not in substantial
compliance with any provision of this part or that
there is a substantial failure to comply with any
condition of a local agency's or State agency's
eligibility under this part, the Secretary shall take 1
or more of the following actions:
``(i) Request that the State prepare a
corrective action plan or improvement plan if
the Secretary determines that the State should
be able to correct the problem within 1 year.
``(ii) Identify the State as a high-risk
grantee and impose special conditions on the
State's grant under this part.
``(iii) Require the State to enter into a
compliance agreement under section 457 of the
General Education Provisions Act, if the
Secretary has reason to believe that the State
cannot correct the problem within 1 year.
``(iv) Recovery of funds under section 452
of the General Education Provisions Act.
``(v) After providing reasonable notice and
an opportunity for a hearing to the State
educational agency involved, withhold, in whole
or in part, any further payments to the State
under this part.
``(vi) After providing reasonable notice
and an opportunity for a hearing to the State
educational agency involved, refer the matter
for appropriate enforcement action, which may
include referral to the Department of Justice.
``(vii) Pending the outcome of any hearing
to withhold payments under clause (v), the
Secretary may suspend payments to a recipient,
suspend the authority of the recipient to
obligate Federal funds, or both, after such
recipient has been given reasonable notice and
an opportunity to show cause why future
payments or authority to obligate Federal funds
should not be suspended.
``(3) Egregious noncompliance.--At any time that the
Secretary determines that a State is in egregious noncompliance
or is willfully disregarding the provisions of this Act, the
Secretary shall take such additional enforcement actions as the
Secretary determines to be appropriate from among those actions
specified in paragraph (2)(C), and, additionally, may impose 1
or more of the following sanctions upon that State:
``(A) Institute a cease and desist action under
section 456 of the General Education Provisions Act.
``(B) Refer the case to the Office of the Inspector
General.
``(4) Report to congress.--The Secretary shall report to
Congress within 30 days of taking enforcement action pursuant
to paragraph (2) (B) or (C), or (3), on the specific action
taken and the reasons why enforcement action was taken.
``(5) Nature of withholding.--If the Secretary withholds
further payments under paragraphs (2)(B)(ii) and (2)(C)(v), the
Secretary may determine that such withholding will be limited
to programs or projects, or portions thereof, affected by the
failure, or that the State educational agency shall not make
further payments under this part to specified local educational
agencies or State agencies affected by the failure. Until the
Secretary is satisfied that there is no longer any failure to
make satisfactory progress as specified in paragraph (2)(B), or
to comply with the provisions of this part, as specified in
paragraph (2)(C), payments to the State under this part shall
be withheld in whole or in part, or payments by the State
educational agency under this part shall be limited to local
educational agencies and State agencies whose actions did not
cause or were not involved in the failure, as the case may be.
Any State educational agency, State agency, or local
educational agency that has received notice under paragraph
(2)(B) or (2)(C) shall, by means of a public notice, take such
measures as may be necessary to bring the pendency of an action
pursuant to this subsection to the attention of the public
within the jurisdiction of such agency.
``(6) Judicial review.--
``(A) In general.--If any State is dissatisfied
with the Secretary's final action with respect to the
eligibility of the State under section 612, such State
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. A copy of the
petition shall be forthwith transmitted by the clerk of
the court to the Secretary. The Secretary thereupon
shall file in the court the record of the proceedings
upon which the Secretary's action was based, as
provided in section 2112 of title 28, United States
Code.
``(B) Jurisdiction; review by united states supreme
court.--Upon the filing of such petition, the court
shall have jurisdiction to affirm the action of the
Secretary or to set it aside, in whole or in part. 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.
``(C) Standard of review.--The findings of fact by
the Secretary, if supported by substantial evidence,
shall be conclusive, but the court, for good cause
shown, may remand the case to the Secretary to take
further evidence, and the Secretary may thereupon make
new or modified findings of fact and may modify the
Secretary's previous action, and shall file in the
court the record of the further proceedings. Such new
or modified findings of fact shall likewise be
conclusive if supported by substantial evidence.
``(d) Divided State Agency Responsibility.--For purposes of this
section, where responsibility for ensuring that the requirements of
this part are met with respect to children with disabilities who are
convicted as adults under State law and incarcerated in adult prisons
is assigned to a public agency other than the State educational agency
pursuant to section 612(a)(11)(C), the Secretary, in instances where
the Secretary finds that the failure to comply substantially with the
provisions of this part are related to a failure by the public agency,
shall take appropriate corrective action to ensure compliance with this
part, except that--
``(1) any reduction or withholding of payments to the State
shall be proportionate to the total funds allotted under
section 611 to the State as the number of eligible children
with disabilities in adult prisons under the supervision of the
other public agency is proportionate to the number of eligible
individuals with disabilities in the State under the
supervision of the State educational agency; and
``(2) any withholding of funds under paragraph (1) shall be
limited to the specific agency responsible for the failure to
comply with this part.
``(e) State and Local Monitoring.--
``(1) In general.--The State educational agency shall
monitor and enforce implementation of this Act, implement a
system of monitoring the benchmarks in the State's compliance
plan under subsection (b)(2)(C), and require local educational
agencies to monitor and enforce implementation of this Act.
``(2) Additional enforcement options.--If a State
educational agency determines that a local educational agency
is not meeting the requirements of this part, including the
benchmarks in the State's compliance plan, the State
educational agency shall prohibit the local educational agency
from treating funds received under this part as local funds
under section 613(a)(2)(C) for any fiscal year.
``SEC. 617. ADMINISTRATION.
``(a) Responsibilities of Secretary.--The Secretary shall--
``(1) cooperate with, and (directly or by grant or
contract) furnish technical assistance necessary to, a State in
matters relating to--
``(A) the education of children with disabilities;
and
``(B) carrying out this part; and
``(2) provide short-term training programs and institutes.
``(b) Confidentiality.--The Secretary shall take appropriate
action, in accordance with section 444 of the General Education
Provisions Act (20 U.S.C. 1232g), to assure the protection of the
confidentiality of any personally identifiable data, information, and
records collected or maintained by the Secretary and by State and local
educational agencies pursuant to this part.
``(c) Personnel.--The Secretary is authorized to hire qualified
personnel necessary to carry out the Secretary's duties under
subsection (a) and under sections 618, 661, and 664, without regard to
the provisions of title 5, United States Code, relating to appointments
in the competitive service and without regard to chapter 51 and
subchapter III of chapter 53 of such title relating to classification
and general schedule pay rates, except that not more than 20 such
personnel shall be employed at any 1 time.
``(d) Model Forms.--Not later than the date that the Secretary
publishes final regulations under this Act, to implement amendments
made by the Individuals with Disabilities Education Improvement Act of
2004, the Secretary shall publish and disseminate widely to States,
local educational agencies, and parent and community training and
information centers--
``(1) a model IEP form;
``(2) a model individualized family service plan (IFSP)
form;
``(3) a model form of the notice of procedural safeguards
described in section 615(d); and
``(4) a model form of the prior written notice described in
section 615 (b)(3) and (c)(1) that is consistent with the
requirements of this part and is sufficient to meet such
requirements.
``SEC. 618. PROGRAM INFORMATION.
``(a) In General.--Each State that receives assistance under this
part, and the Secretary of the Interior, shall provide data each year
to the Secretary of Education and the public on--
``(1)(A) the number and percentage of children with
disabilities, by race, ethnicity, limited English proficiency
status, gender, and disability category, who are receiving a
free appropriate public education;
``(B) the number and percentage of children with
disabilities, by race, gender, and ethnicity, who are receiving
early intervention services;
``(C) the number and percentage of children with
disabilities, by race, ethnicity, limited English proficiency
status, gender, and disability category, who are participating
in regular education;
``(D) the number and percentage of children with
disabilities, by race, ethnicity, limited English proficiency
status, gender, and disability category, who are in separate
classes, separate schools or facilities, or public or private
residential facilities;
``(E) the number and percentage of children with
disabilities, by race, ethnicity, limited English proficiency
status, gender, and disability category, who, for each year of
age from age 14 through 21, stopped receiving special education
and related services because of program completion (including
graduation with a regular secondary school diploma), or other
reasons, and the reasons why those children stopped receiving
special education and related services;
``(F) the number and percentage of children with
disabilities, by race, gender, and ethnicity, who, from birth
through age 2, stopped receiving early intervention services
because of program completion or for other reasons;
``(G)(i) the number and percentage of children with
disabilities, by race, ethnicity, limited English proficiency
status, gender, and disability category, who are removed to an
interim alternative educational setting under section
615(k)(1);
``(ii) the acts or items precipitating those removals; and
``(iii) the number of children with disabilities who are
subject to long-term suspensions or expulsions;
``(H) the incidence and duration of disciplinary actions by
race, ethnicity, limited English proficiency status, gender,
and disability category, of children with disabilities,
including suspensions of 1 day or more;
``(I) the number and percentage of children with
disabilities who are removed to alternative educational
settings or expelled as compared to children without
disabilities who are removed to alternative educational
settings or expelled;
``(J) the number of due process complaints filed under
section 615 and the number of hearings conducted;
``(K) the number of hearings requested under section 615(k)
and the number of changes in placements ordered as a result of
those hearings;
``(L) the number of hearings requested under section
615(k)(3)(B)(ii) and the number of changes in placements
ordered as a result of those hearings; and
``(M) the number of mediations held and the number of
settlement agreements reached through such mediations;
``(2) the number and percentage of infants and toddlers, by
race, and ethnicity, who are at risk of having substantial
developmental delays (as defined in section 632), and who are
receiving early intervention services under part C; and
``(3) any other information that may be required by the
Secretary.
``(b) Data Reporting.--The data described in subsection (a) shall
be reported by each State at the school district and State level in a
manner that does not result in the disclosure of data identifiable to
individual children.
``(c) Technical Assistance.--The Secretary may provide technical
assistance to States to ensure compliance with the data collection and
reporting requirements under this Act.
``(d) Disproportionality.--
``(1) In general.--Each State that receives assistance
under this part, and the Secretary of the Interior, shall
provide for the collection and examination of data to determine
if significant disproportionality based on race is occurring in
the State with respect to--
``(A) the identification of children as children
with disabilities, including the identification of
children as children with disabilities in accordance
with a particular impairment described in section
602(3);
``(B) the placement in particular educational
settings of such children; and
``(C) the incidence, duration, and type of
disciplinary actions, including suspensions and
expulsions.
``(2) Review and revision of policies, practices, and
procedures.--In the case of a determination of significant
disproportionality with respect to the identification of
children as children with disabilities, or the placement in
particular educational settings of such children, in accordance
with paragraph (1), the State or the Secretary of the Interior,
as the case may be, shall provide for the review and, if
appropriate, revision of the policies, procedures, and
practices used in such identification or placement to ensure
that such policies, procedures, and practices comply with the
requirements of this Act.
``SEC. 619. PRESCHOOL GRANTS.
``(a) In General.--The Secretary shall provide grants under this
section to assist States to provide special education and related
services, in accordance with this part--
``(1) to children with disabilities aged 3 through 5,
inclusive; and
``(2) at the State's discretion, to 2-year-old children
with disabilities who will turn 3 during the school year.
``(b) Eligibility.--A State shall be eligible for a grant under
this section if such State--
``(1) is eligible under section 612 to receive a grant
under this part; and
``(2) makes a free appropriate public education available
to all children with disabilities, aged 3 through 5, residing
in the State.
``(c) Allocations to States.--
``(1) In general.--The Secretary shall allocate the amount
made available to carry out this section for a fiscal year
among the States in accordance with paragraph (2) or (3), as
the case may be.
``(2) Increase in funds.--If the amount available for
allocations to States under paragraph (1) is equal to or
greater than the amount allocated to the States under this
section for the preceding fiscal year, those allocations shall
be calculated as follows:
``(A) Allocation.--
``(i) In general.--Except as provided in
subparagraph (B), the Secretary shall--
``(I) allocate to each State the
amount the State received under this
section for fiscal year 1997;
``(II) allocate 85 percent of any
remaining funds to States on the basis
of the States' relative populations of
children aged 3 through 5; and
``(III) allocate 15 percent of
those remaining funds to States on the
basis of the States' relative
populations of all children aged 3
through 5 who are living in poverty.
``(ii) Data.--For the purpose of making
grants under this paragraph, the Secretary
shall use the most recent population data,
including data on children living in poverty,
that are available and satisfactory to the
Secretary.
``(B) Limitations.--Notwithstanding subparagraph
(A), allocations under this paragraph shall be subject
to the following:
``(i) Preceding years.--No State's
allocation shall be less than its allocation
under this section for the preceding fiscal
year.
``(ii) Minimum.--No State's allocation
shall be less than the greatest of--
``(I) the sum of--
``(aa) the amount the State
received under this section for
fiscal year 1997; and
``(bb) \1/3\ of 1 percent
of the amount by which the
amount appropriated under
subsection (j) for the fiscal
year exceeds the amount
appropriated for this section
for fiscal year 1997;
``(II) the sum of--
``(aa) the amount the State
received under this section for
the preceding fiscal year; and
``(bb) that amount
multiplied by the percentage by
which the increase in the funds
appropriated under this section
from the preceding fiscal year
exceeds 1.5 percent; or
``(III) the sum of--
``(aa) the amount the State
received under this section for
the preceding fiscal year; and
``(bb) that amount
multiplied by 90 percent of the
percentage increase in the
amount appropriated under this
section from the preceding
fiscal year.
``(iii) Maximum.--Notwithstanding clause
(ii), no State's allocation under this
paragraph shall exceed the sum of--
``(I) the amount the State received
under this section for the preceding
fiscal year; and
``(II) that amount multiplied by
the sum of 1.5 percent and the
percentage increase in the amount
appropriated under this section from
the preceding fiscal year.
``(C) Ratable reductions.--If the amount available
for allocations under this paragraph is insufficient to
pay those allocations in full, those allocations shall
be ratably reduced, subject to subparagraph (B)(i).
``(3) Decrease in funds.--If the amount available for
allocations to States under paragraph (1) is less than the
amount allocated to the States under this section for the
preceding fiscal year, those allocations shall be calculated as
follows:
``(A) Allocations.--If the amount available for
allocations is greater than the amount allocated to the
States for fiscal year 1997, each State shall be
allocated the sum of--
``(i) the amount the State received under
this section for fiscal year 1997; and
``(ii) an amount that bears the same
relation to any remaining funds as the increase
the State received under this section for the
preceding fiscal year over fiscal year 1997
bears to the total of all such increases for
all States.
``(B) If the amount available for allocations under
this paragraph is equal to or less than the amount
allocated under this section to the States for fiscal
year 1997, each State shall be allocated the amount the
State received for that year, ratably reduced, if
necessary.
``(d) Reservation for State Activities.--
``(1) In general.--Each State may reserve not more than the
amount described in paragraph (2) for administration and other
State-level activities in accordance with subsections (e) and
(f).
``(2) Amount described.--For each fiscal year, the
Secretary shall determine and report to the State educational
agency an amount that is 25 percent of the amount the State
received under this section for fiscal year 1997, cumulatively
adjusted by the Secretary for each succeeding fiscal year by
the lesser of--
``(A) the percentage increase, if any, from the
preceding fiscal year in the State's allocation under
this section; or
``(B) the percentage increase, if any, from the
preceding fiscal year in the Consumer Price Index For
All Urban Consumers published by the Bureau of Labor
Statistics of the Department of Labor.
``(e) State Administration.--
``(1) In general.--For the purpose of administering this
section (including the coordination of activities under this
part with, and providing technical assistance to, other
programs that provide services to children with disabilities) a
State may use not more than 20 percent of the maximum amount
the State may reserve under subsection (d) for any fiscal year.
``(2) Administration of part c.--Funds described in
paragraph (1) may also be used for the administration of part C
of this Act, if the State educational agency is the lead agency
for the State under that part.
``(f) Other State-Level Activities.--Each State shall use any funds
the State reserves under subsection (d) and does not use for
administration under subsection (e)--
``(1) for support services (including establishing and
implementing the mediation process required by section 615(e)),
which may benefit children with disabilities younger than 3 or
older than 5 as long as those services also benefit children
with disabilities aged 3 through 5;
``(2) for direct services for children eligible for
services under this section;
``(3) for activities at the State and local levels to meet
the performance goals established by the State under section
612(a)(15);
``(4) to supplement other funds used to develop and
implement a statewide coordinated services system designed to
improve results for children and families, including children
with disabilities and their families, but not more than 1
percent of the amount received by the State under this section
for a fiscal year; or
``(5) to provide early intervention services (which shall
include an educational component that promotes school readiness
and incorporates pre-literacy, language, and numeracy skills)
in accordance with part C to children with disabilities who are
eligible for services under this section and who previously
received services under part C until such children enter, or
are eligible under State law to enter, kindergarten.
``(g) Subgrants to Local Educational Agencies.--
``(1) Subgrants required.--Each State that receives a grant
under this section for any fiscal year shall distribute all of
the grant funds that the State does not reserve under
subsection (d) to local educational agencies in the State that
have established their eligibility under section 613, as
follows:
``(A) Base payments.--The State shall first award
each local educational agency described in paragraph
(1) the amount that agency would have received under
this section for fiscal year 1997 if the State had
distributed 75 percent of its grant for that year under
section 619(c)(3), as such section was then in effect.
``(B) Allocation of remaining funds.--After making
allocations under subparagraph (A), the State shall--
``(i) allocate 85 percent of any remaining
funds to those local educational agencies on
the basis of the relative numbers of children
enrolled in public and private elementary
schools and secondary schools within the local
educational agency's jurisdiction; and
``(ii) allocate 15 percent of those
remaining funds to those local educational
agencies in accordance with their relative
numbers of children living in poverty, as
determined by the State educational agency.
``(2) Reallocation of funds.--If a State educational agency
determines that a local educational agency is adequately
providing a free appropriate public education to all children
with disabilities aged 3 through 5 residing in the area served
by that agency with State and local funds, the State
educational agency may reallocate any portion of the funds
under this section that are not needed by that local
educational agency to provide a free appropriate public
education to other local educational agencies in the State that
are not adequately providing special education and related
services to all children with disabilities aged 3 through 5
residing in the areas the other local educational agencies
serve.
``(h) Part C Inapplicable.--Part C of this Act does not apply to
any child with a disability receiving a free appropriate public
education, in accordance with this part, with funds received under this
section.
``(i) Definition.--For the purpose of this section, the term
`State' means each of the 50 States, the District of Columbia, and the
Commonwealth of Puerto Rico.
``(j) Authorization of Appropriations.--For the purpose of carrying
out this section, there are authorized to be appropriated such sums as
may be necessary.
``PART C--INFANTS AND TODDLERS WITH DISABILITIES
``SEC. 631. FINDINGS AND POLICY.
``(a) Findings.--Congress finds that there is an urgent and
substantial need--
``(1) to enhance the development of infants and toddlers
with disabilities, to minimize their potential for
developmental delay, and to recognize the significant brain
development which occurs during a child's first 3 years of
life;
``(2) to reduce the educational costs to our society,
including our Nation's schools, by minimizing the need for
special education and related services after infants and
toddlers with disabilities reach school age;
``(3) to maximize the potential for individuals with
disabilities to live independently in society;
``(4) to enhance the capacity of families to meet the
special needs of their infants and toddlers with disabilities;
and
``(5) to enhance the capacity of State and local agencies
and service providers to identify, evaluate, and meet the needs
of all children, particularly minority, low-income, inner city,
and rural children, and infants and toddlers in foster care.
``(b) Policy.--It is the policy of the United States to provide
financial assistance to States--
``(1) to develop and implement a statewide, comprehensive,
coordinated, multidisciplinary, interagency system that
provides early intervention services for infants and toddlers
with disabilities and their families;
``(2) to facilitate the coordination of payment for early
intervention services from Federal, State, local, and private
sources (including public and private insurance coverage);
``(3) to enhance State capacity to provide high quality
early intervention services and expand and improve existing
early intervention services being provided to infants and
toddlers with disabilities and their families; and
``(4) to encourage States to expand opportunities for
children under 3 years of age who would be at risk of having
substantial developmental delay if they did not receive early
intervention services.
``SEC. 632. DEFINITIONS.
``As used in this part:
``(1) At-risk infant or toddler.--The term `at-risk infant
or toddler' means an individual under 3 years of age who would
be at risk of experiencing a substantial developmental delay if
early intervention services were not provided to the
individual.
``(2) Council.--The term `council' means a State
interagency coordinating council established under section 641.
``(3) Developmental delay.--The term `developmental delay',
when used with respect to an individual residing in a State,
has the meaning given such term by the State under section
635(a)(1).
``(4) Early intervention services.--The term `early
intervention services' means developmental services that--
``(A) are provided under public supervision;
``(B) are provided at no cost except where Federal
or State law provides for a system of payments by
families, including a schedule of sliding fees;
``(C) are designed to meet the developmental needs
of an infant or toddler with a disability in any 1 or
more of the following areas:
``(i) physical development;
``(ii) cognitive development;
``(iii) communication development;
``(iv) social or emotional development; or
``(v) adaptive development;
``(D) meet the standards of the State in which the
services are provided, including the requirements of
this part;
``(E) include--
``(i) family training, counseling, and home
visits;
``(ii) special instruction;
``(iii) speech-language pathology and
audiology services, and sign language and cued
language services;
``(iv) occupational therapy;
``(v) physical therapy;
``(vi) psychological services;
``(vii) service coordination services;
``(viii) medical services only for
diagnostic or evaluation purposes;
``(ix) early identification, screening, and
assessment services;
``(x) health services necessary to enable
the infant or toddler to benefit from the other
early intervention services;
``(xi) social work services;
``(xii) vision services;
``(xiii) assistive technology devices and
assistive technology services; and
``(xiv) transportation and related costs
that are necessary to enable an infant or
toddler and the infant's or toddler's family to
receive another service described in this
paragraph;
``(F) are provided by qualified personnel,
including--
``(i) special educators;
``(ii) speech-language pathologists and
audiologists;
``(iii) teachers of the deaf;
``(iv) occupational therapists;
``(v) physical therapists;
``(vi) psychologists;
``(vii) social workers;
``(viii) nurses;
``(ix) nutritionists;
``(x) family therapists;
``(xi) orientation and mobility
specialists;
``(xii) vision specialists, including
opthamologists and optometrists; and
``(xiii) pediatricians and other
physicians;
``(G) to the maximum extent appropriate, are
provided in natural environments, including the home,
and community settings in which children without
disabilities participate; and
``(H) are provided in conformity with an
individualized family service plan adopted in
accordance with section 636.
``(5) Infant or toddler with a disability.--The term
`infant or toddler with a disability'--
``(A) means an individual under 3 years of age who
needs early intervention services because the
individual--
``(i) is experiencing developmental delays,
as measured by appropriate diagnostic
instruments and procedures in 1 or more of the
areas of cognitive development, physical
development, communication development, social
or emotional development, and adaptive
development; or
``(ii) has a diagnosed physical or mental
condition which has a high probability of
resulting in developmental delay; and
``(B) may also include, at a State's discretion--
``(i) at-risk infants and toddlers; and
``(ii) children with disabilities who are
eligible for services under section 619 and who
previously received services under this part
until such children enter, or are eligible
under State law to enter, kindergarten.
``SEC. 633. GENERAL AUTHORITY.
``The Secretary shall, in accordance with this part, make grants to
States (from their allotments under section 643) to assist each State
to maintain and implement a statewide, comprehensive, coordinated,
multidisciplinary, interagency system to provide early intervention
services for infants and toddlers with disabilities and their families.
``SEC. 634. ELIGIBILITY.
``In order to be eligible for a grant under section 633, a State
shall demonstrate to the Secretary that the State--
``(1) has adopted a policy that appropriate early
intervention services are available to all infants and toddlers
with disabilities in the State and their families, including
Indian infants and toddlers with disabilities and their
families residing on a reservation geographically located in
the State, infants or toddlers with disabilities who are
homeless children, infants or toddlers with disabilities who
are wards of the State, and infants or toddlers with
disabilities who have a parent who is a member of the Armed
Forces, including a member of the National Guard or Reserves;
and
``(2) has in effect a statewide system that meets the
requirements of section 635.
``SEC. 635. REQUIREMENTS FOR STATEWIDE SYSTEM.
``(a) In General.--A statewide system described in section 633
shall include, at a minimum, the following components:
``(1) A definition of the term `developmental delay' that--
``(A) will be used by the State in carrying out
programs under this part; and
``(B) covers, at a minimum, all infants and
toddlers with--
``(i) a developmental delay of 35 percent
or more in 1 of the developmental areas
described in section 632(5)(A)(i); or
``(ii) a developmental delay of 25 percent
or more in 2 or more of the developmental areas
described in section 632(5)(A)(i).
``(2) A State policy that is in effect and that ensures
that appropriate early intervention services are available to
all infants and toddlers with disabilities and their families,
including Indian infants and toddlers and their families
residing on a reservation geographically located in the State.
``(3) A timely, comprehensive, multidisciplinary evaluation
of the functioning of each infant or toddler with a disability
in the State, and a family-directed identification of the needs
of each family of such an infant or toddler, to appropriately
assist in the development of the infant or toddler.
``(4) For each infant or toddler with a disability in the
State, an individualized family service plan in accordance with
section 636, including service coordination services in
accordance with such service plan.
``(5) A comprehensive child find system, consistent with
part B, including a system for making referrals to service
providers that includes timelines and provides for
participation by primary referral sources.
``(6) A public awareness program focusing on early
identification of infants and toddlers with disabilities,
including the preparation and dissemination by the lead agency
designated or established under paragraph (10) to all primary
referral sources, especially hospitals, physicians, homeless
family shelters, medicaid and State child health insurance
program enrollment offices, health and mental health clinics,
public schools in low-income areas serving low-income children,
staff in State and local child welfare agencies, judges, and
base commanders or their designees, of information for parents
on the availability of early intervention services, and
procedures for determining the extent to which such sources
disseminate such information to parents of infants and
toddlers.
``(7) A central directory that includes information on
early intervention services, resources, and experts available
in the State and research and demonstration projects being
conducted in the State.
``(8) A comprehensive system of personnel development,
including the training of paraprofessionals and the training of
primary referral sources with respect to the basic components
of early intervention services available in the State, which
comprehensive system may include--
``(A) implementing innovative strategies and
activities for the recruitment and retention of early
education service providers;
``(B) promoting the preparation of early
intervention providers who are fully and appropriately
qualified to provide early intervention services under
this part;
``(C) training personnel to work in rural and
inner-city areas; and
``(D) training personnel to coordinate transition
services for infants and toddlers served under this
part from an early intervention program under this part
to preschool or other appropriate services.
``(9) Policies and procedures relating to the establishment
and maintenance of standards to ensure that personnel necessary
to carry out this part are appropriately and adequately
prepared and trained, including the establishment and
maintenance of standards which are consistent with any State-
approved or recognized certification, licensing, registration,
or other comparable requirements which apply to the area in
which such personnel are providing early intervention services,
except that nothing in this part (including this paragraph)
shall be construed to prohibit the use of paraprofessionals and
assistants who are appropriately trained and supervised in
accordance with State law, regulation, or written policy, to
assist in the provision of early intervention services under
this part to infants and toddlers with disabilities.
``(10) A single line of responsibility in a lead agency
designated or established by the Governor for carrying out--
``(A) the general administration and supervision of
programs and activities receiving assistance under
section 633, and the monitoring of programs and
activities used by the State to carry out this part,
whether or not such programs or activities are
receiving assistance made available under section 633,
to ensure that the State complies with this part;
``(B) the identification and coordination of all
available resources within the State from Federal,
State, local, and private sources;
``(C) the assignment of financial responsibility in
accordance with section 637(a)(2) to the appropriate
agencies;
``(D) the development of procedures to ensure that
services are provided to infants and toddlers with
disabilities and their families under this part in a
timely manner pending the resolution of any disputes
among public agencies or service providers;
``(E) the resolution of intra- and interagency
disputes; and
``(F) the entry into formal interagency agreements
that define the financial responsibility of each agency
for paying for early intervention services (consistent
with State law) and procedures for resolving disputes
and that include all additional components necessary to
ensure meaningful cooperation and coordination.
``(11) A policy pertaining to the contracting or making of
other arrangements with service providers to provide early
intervention services in the State, consistent with the
provisions of this part, including the contents of the
application used and the conditions of the contract or other
arrangements.
``(12) A procedure for securing timely reimbursements of
funds used under this part in accordance with section 640(a).
``(13) Procedural safeguards with respect to programs under
this part, as required by section 639.
``(14) A system for compiling data requested by the
Secretary under section 618 that relates to this part.
``(15) A State interagency coordinating council that meets
the requirements of section 641.
``(16) Policies and procedures to ensure that, consistent
with section 636(d)(5) to the maximum extent appropriate, early
intervention services are provided in natural environments
unless a specific outcome cannot be met satisfactorily for the
infant or toddler in a natural environment.
``(17) A procedure to ensure that early intervention
services and evaluations are available to infants or toddlers
with disabilities who are--
``(A) homeless children; and
``(B) wards of the State or in foster care, or
both.
``(b) Flexibility To Serve Children 3 Years of Age to Under 6 Years
of Age.--
``(1) In general.--A statewide system described in section
633 may include a State policy, developed and implemented
jointly by the lead agency and the State educational agency,
under which parents of children with disabilities who are
eligible for services under section 619 and previously received
services under this part, may choose the continuation of early
intervention services (which shall include an educational
component that promotes school readiness and incorporates
preliteracy, language, and numeracy skills) for such children
under this part until such children enter, or are eligible
under State law to enter, kindergarten.
``(2) Requirements.--If a statewide system includes a State
policy described in paragraph (1), the statewide system shall
ensure--
``(A) that parents of infants or toddlers with
disabilities (as defined in section 632(5)(A)) provide
informed written consent to the State, before such
infants and toddlers reach 3 years of age, as to
whether such parents intend to choose the continuation
of early intervention services pursuant to this
subsection for such infants or toddlers;
``(B) that the State policy will not affect the
right of any child served pursuant to this subsection
to instead receive a free appropriate public education
under part B;
``(C) that parents of children served pursuant to
this subsection are provided with annual notice--
``(i) of such parents' right to elect
services pursuant to this subsection or under
part B; and
``(ii) fully explaining the differences
between receiving services pursuant to this
subsection and receiving services under part B,
including--
``(I) the types of services
available under both provisions;
``(II) applicable procedural
safeguards under both provisions,
including due-process protections and
mediation or other dispute resolution
options; and
``(III) the possible costs, if any
(including any fees to be charged to
families as described in section
632(4)(B)) to parents under both
provisions;
``(D) that the conference under section
637(a)(9)(A)(ii)(II), the review under section
637(a)(9)(B), and the establishment of a transition
plan under section 637(a)(9)(C) occur not less than 90
days (and at the discretion of the parties to the
conference, not more than 9 months) before each of the
following:
``(i) the time the child will first be
eligible for services under part B, including
under section 619; and
``(ii) if the child is receiving services
in accordance with this subsection, the time
the child will no longer receive those
services;
``(E) the continuance of all early intervention
services outlined in the child's individualized family
service plan under section 636 while any eligibility
determination is being made for services under this
subsection;
``(F) that services provided pursuant to this
subsection include an educational component that
promotes school readiness and incorporates preliteracy,
language, and numeracy skills and are provided in
accordance with an individualized family service plan
under section 636; and
``(G) the referral for evaluation for early
intervention services of a child below the age of 3 who
experiences a substantiated case of exposure to
violence or trauma.
``(3) Reporting requirement.--If a statewide system
includes a State policy described in paragraph (1), the State
shall submit to the Secretary, in the State's report under
section 637(b)(4)(A), a report on--
``(A) the percentage of children with disabilities
who are eligible for services under section 619 but
whose parents choose for such children to continue to
receive early intervention services under this part;
and
``(B) the number of children who are eligible for
services under section 619 who instead continue to
receive early intervention services under this part.
``(4) Rule of construction.--Nothing in this subsection
shall be construed to require a provider of services under this
part to provide a child served under this part with a free
appropriate public education.
``(5) Available funds.--If a statewide system includes a
State policy described in paragraph (1), the policy shall
describe the funds (including an identification as Federal,
State, or local funds) that will be used to ensure that the
option described in paragraph (1) is available to eligible
children and families who provide the consent described in
paragraph (2)(A), including fees to be charged to families as
described in section 632(4)(B).
``(c) Construction.--Nothing in subsection (a)(5) shall be
construed to alter the responsibility of a State under title XIX of the
Social Security Act with respect to early and periodic screening,
diagnostic, and treatment services (as defined in section 1905(r) of
such Act).
``SEC. 636. INDIVIDUALIZED FAMILY SERVICE PLAN.
``(a) Assessment and Program Development.--A statewide system
described in section 633 shall provide, at a minimum, for each infant
or toddler with a disability, and the infant's or toddler's family, to
receive--
``(1) a multidisciplinary assessment of the unique
strengths and needs of the infant or toddler and the
identification of services appropriate to meet such needs;
``(2) a family-directed assessment of the resources,
priorities, and concerns of the family and the identification
of the supports and services necessary to enhance the family's
capacity to meet the developmental needs of the infant or
toddler; and
``(3) a written individualized family service plan
developed by a multidisciplinary team, including the parents,
as required by subsection (e), including a description of the
appropriate transition services for the child.
``(b) Periodic Review.--The individualized family service plan
shall be evaluated once a year and the family shall be provided a
review of the plan at 6-month intervals (or more often where
appropriate based on infant or toddler and family needs).
``(c) Promptness After Assessment.--The individualized family
service plan shall be developed within a reasonable time after the
assessment required by subsection (a)(1) is completed. With the
parents' consent, early intervention services may commence prior to the
completion of the assessment.
``(d) Content of Plan.--The individualized family service plan
shall be in writing and contain--
``(1) a statement of the infant's or toddler's present
levels of physical development, cognitive development,
communication development, social or emotional development, and
adaptive development, based on objective criteria;
``(2) a statement of the family's resources, priorities,
and concerns relating to enhancing the development of the
family's infant or toddler with a disability;
``(3) a statement of the measurable outcomes expected to be
achieved for the infant or toddler and the family, including,
as appropriate, preliteracy and language skills, and the
criteria, procedures, and timelines used to determine the
degree to which progress toward achieving the outcomes is being
made and whether modifications or revisions of the outcomes or
services are necessary;
``(4) a statement of specific early intervention services
necessary to meet the unique needs of the infant or toddler and
the family, including the frequency, intensity, and method of
delivering services;
``(5) a statement of the natural environments in which
early intervention services will appropriately be provided,
including a justification of the extent, if any, to which the
services will not be provided in a natural environment;
``(6) the projected dates for initiation of services and
the anticipated length, duration, and frequency of the
services;
``(7) the identification of the service coordinator from
the profession most immediately relevant to the infant's or
toddler's or family's needs (or who is otherwise qualified to
carry out all applicable responsibilities under this part) who
will be responsible for the implementation of the plan and
coordination with other agencies and persons, including
transition services; and
``(8) the steps to be taken to support the transition of
the toddler with a disability to preschool or other appropriate
services.
``(e) Parental Consent.--The contents of the individualized family
service plan shall be fully explained to the parents and informed
written consent from the parents shall be obtained prior to the
provision of early intervention services described in such plan. If the
parents do not provide consent with respect to a particular early
intervention service, then only the early intervention services to
which consent is obtained shall be provided.
``SEC. 637. STATE APPLICATION AND ASSURANCES.
``(a) Application.--A State desiring to receive a grant under
section 633 shall submit an application to the Secretary at such time
and in such manner as the Secretary may reasonably require. The
application shall contain--
``(1) a designation of the lead agency in the State that
will be responsible for the administration of funds provided
under section 633;
``(2) a certification to the Secretary that the
arrangements to establish financial responsibility for services
provided under this part pursuant to section 640(b) are current
as of the date of submission of the certification;
``(3) information demonstrating eligibility of the State
under section 634, including--
``(A) information demonstrating to the Secretary's
satisfaction that the State has in effect the statewide
system required by section 633; and
``(B) a description of services to be provided to
infants and toddlers with disabilities and their
families through the system;
``(4) if the State provides services to at-risk infants and
toddlers through the system, a description of such services;
``(5) a description of the uses for which funds will be
expended in accordance with this part;
``(6) a description of the State policies and procedures
that require the referral for evaluation for early intervention
services of a child under the age of 3 who--
``(A) is involved in a substantiated case of child
abuse or neglect; or
``(B) is identified as affected by illegal
substance abuse, or withdrawal symptoms resulting from
prenatal drug exposure;
``(7) a description of the procedure used to ensure that
resources are made available under this part for all geographic
areas within the State;
``(8) a description of State policies and procedures that
ensure that, prior to the adoption by the State of any other
policy or procedure necessary to meet the requirements of this
part, there are public hearings, adequate notice of the
hearings, and an opportunity for comment available to the
general public, including individuals with disabilities and
parents of infants and toddlers with disabilities;
``(9) a description of the policies and procedures to be
used--
``(A) to ensure a smooth transition for toddlers
receiving early intervention services under this part
(and children receiving those services under section
635(b)) to preschool, other appropriate services, or
exiting the program, including a description of how--
``(i) the families of such toddlers and
children will be included in the transition
plans required by subparagraph (C); and
``(ii) the lead agency designated or
established under section 635(a)(10) will--
``(I) notify the local educational
agency for the area in which such a
child resides that the child will
shortly reach the age of eligibility
for preschool services under part B, as
determined in accordance with State
law;
``(II) in the case of a child who
may be eligible for such preschool
services, with the approval of the
family of the child, convene a
conference among the lead agency, the
family, and the local educational
agency at least 90 days (and at the
discretion of all such parties, not
more than 9 months) before the child is
eligible for the preschool services, to
discuss any such services that the
child may receive; and
``(III) in the case of a child who
may not be eligible for such preschool
services, with the approval of the
family, make reasonable efforts to
convene a conference among the lead
agency, the family, and providers of
other appropriate services for children
who are not eligible for preschool
services under part B, to discuss the
appropriate services that the child may
receive;
``(B) to review the child's program options for the
period from the child's third birthday through the
remainder of the school year; and
``(C) to establish a transition plan, including, as
appropriate, steps to exit from the program; and
``(10) such other information and assurances as the
Secretary may reasonably require.
``(11) a description of policies and procedures to ensure
that infants or toddlers with disabilities who are homeless
children and their families and infants or toddlers with
disabilities who are wards of the State have access to
multidisciplinary evaluations and early intervention services.
``(b) Assurances.--The application described in subsection (a)--
``(1) shall provide satisfactory assurance that Federal
funds made available under section 643 to the State will be
expended in accordance with this part;
``(2) shall contain an assurance that the State will comply
with the requirements of section 640;
``(3) shall provide satisfactory assurance that the control
of funds provided under section 643, and title to property
derived from those funds, will be in a public agency for the
uses and purposes provided in this part and that a public
agency will administer such funds and property;
``(4) shall provide for--
``(A) making such reports in such form and
containing such information as the Secretary may
require to carry out the Secretary's functions under
this part; and
``(B) keeping such reports and affording such
access to the reports as the Secretary may find
necessary to ensure the correctness and verification of
the reports and proper disbursement of Federal funds
under this part;
``(5) provide satisfactory assurance that Federal funds
made available under section 643 to the State--
``(A) will not be commingled with State funds; and
``(B) will be used so as to supplement the level of
State and local funds expended for infants and toddlers
with disabilities and their families and in no case to
supplant those State and local funds;
``(6) shall provide satisfactory assurance that such fiscal
control and fund accounting procedures will be adopted as may
be necessary to ensure proper disbursement of, and accounting
for, Federal funds paid under section 643 to the State;
``(7) shall provide satisfactory assurance that policies
and procedures have been adopted to ensure meaningful
involvement of underserved groups, including minority, low-
income, homeless, and rural families and children with
disabilities who are wards of the State, in the planning and
implementation of all the requirements of this part; and
``(8) shall contain such other information and assurances
as the Secretary may reasonably require by regulation.
``(c) Standard for Disapproval of Application.--The Secretary may
not disapprove such an application unless the Secretary determines,
after notice and opportunity for a hearing, that the application fails
to comply with the requirements of this section.
``(d) Subsequent State Application.--If a State has on file with
the Secretary a policy, procedure, or assurance that demonstrates that
the State meets a requirement of this section, including any policy or
procedure filed under part C, as in effect before the date of enactment
of the Individuals with Disabilities Education Improvement Act of 2004,
the Secretary shall consider the State to have met the requirement for
purposes of receiving a grant under this part.
``(e) Modification of Application.--An application submitted by a
State in accordance with this section shall remain in effect until the
State submits to the Secretary such modifications as the State
determines necessary. This section shall apply to a modification of an
application to the same extent and in the same manner as this section
applies to the original application.
``(f) Modifications Required by the Secretary.--The Secretary may
require a State to modify its application under this section, but only
to the extent necessary to ensure the State's compliance with this
part, if--
``(1) an amendment is made to this Act, or a Federal
regulation issued under this Act;
``(2) a new interpretation of this Act is made by a Federal
court or the State's highest court; or
``(3) an official finding of noncompliance with Federal law
or regulations is made with respect to the State.
``SEC. 638. USES OF FUNDS.
``In addition to using funds provided under section 633 to maintain
and implement the statewide system required by such section, a State
may use such funds--
``(1) for direct early intervention services for infants
and toddlers with disabilities, and their families, under this
part that are not otherwise funded through other public or
private sources;
``(2) to expand and improve on services for infants and
toddlers and their families under this part that are otherwise
available;
``(3) to provide a free appropriate public education, in
accordance with part B, to children with disabilities from
their third birthday to the beginning of the following school
year;
``(4) with the written consent of the parents, to continue
to provide early intervention services under this part to
children with disabilities from their 3rd birthday to the
beginning of the following school year, in lieu of a free
appropriate public education provided in accordance with part
B; and
``(5) in any State that does not provide services for at-
risk infants and toddlers under section 637(a)(4), to
strengthen the statewide system by initiating, expanding, or
improving collaborative efforts related to at-risk infants and
toddlers, including establishing linkages with appropriate
public or private community-based organizations, services, and
personnel for the purposes of--
``(A) identifying and evaluating at-risk infants
and toddlers;
``(B) making referrals of the infants and toddlers
identified and evaluated under subparagraph (A); and
``(C) conducting periodic follow-up on each such
referral to determine if the status of the infant or
toddler involved has changed with respect to the
eligibility of the infant or toddler for services under
this part.
``SEC. 639. PROCEDURAL SAFEGUARDS.
``(a) Minimum Procedures.--The procedural safeguards required to be
included in a statewide system under section 635(a)(13) shall provide,
at a minimum, the following:
``(1) The timely administrative resolution of complaints by
parents. Any party aggrieved by the findings and decision
regarding an administrative complaint shall have the right to
bring a civil action with respect to the complaint in any State
court of competent jurisdiction or in a district court of the
United States without regard to the amount in controversy. In
any action brought under this paragraph, the court shall
receive the records of the administrative proceedings, shall
hear additional evidence at the request of a party, and, basing
its decision on the preponderance of the evidence, shall grant
such relief as the court determines is appropriate.
``(2) The right to confidentiality of personally
identifiable information, including the right of parents to
written notice of and written consent to the exchange of such
information among agencies consistent with Federal and State
law.
``(3) The right of the parents to determine whether they,
their infant or toddler, or other family members will accept or
decline any early intervention service under this part in
accordance with State law without jeopardizing other early
intervention services under this part.
``(4) The opportunity for parents to examine records
relating to assessment, screening, eligibility determinations,
and the development and implementation of the individualized
family service plan.
``(5) Procedures to protect the rights of the infant or
toddler whenever the parents of the infant or toddler are not
known or cannot be found or the infant or toddler is a ward of
the State, including the assignment of an individual (who shall
not be an employee of the State lead agency, or other State
agency, and who shall not be any person, or any employee of a
person, providing early intervention services to the infant or
toddler or any family member of the infant or toddler) to act
as a surrogate for the parents.
``(6) Written prior notice to the parents of the infant or
toddler with a disability whenever the State agency or service
provider proposes to initiate or change, or refuses to initiate
or change, the identification, evaluation, or placement of the
infant or toddler with a disability, or the provision of
appropriate early intervention services to the infant or
toddler.
``(7) Procedures designed to ensure that the notice
required by paragraph (6) fully informs the parents, in the
parents' native language, unless it clearly is not feasible to
do so, of all procedures available pursuant to this section.
``(8) The right of parents to use mediation in accordance
with section 615, except that--
``(A) any reference in the section to a State
educational agency shall be considered to be a
reference to a State's lead agency established or
designated under section 635(a)(10);
``(B) any reference in the section to a local
educational agency shall be considered to be a
reference to a local service provider or the State's
lead agency under this part, as the case may be; and
``(C) any reference in the section to the provision
of free appropriate public education to children with
disabilities shall be considered to be a reference to
the provision of appropriate early intervention
services to infants and toddlers with disabilities.
``(b) Services During Pendency of Proceedings.--During the pendency
of any proceeding or action involving a complaint by the parents of an
infant or toddler with a disability, unless the State agency and the
parents otherwise agree, the infant or toddler shall continue to
receive the appropriate early intervention services currently being
provided or, if applying for initial services, shall receive the
services not in dispute.
``SEC. 640. PAYOR OF LAST RESORT.
``(a) Nonsubstitution.--Funds provided under section 643 may not be
used to satisfy a financial commitment for services that would have
been paid for from another public or private source, including any
medical program administered by the Secretary of Defense, but for the
enactment of this part, except that whenever considered necessary to
prevent a delay in the receipt of appropriate early intervention
services by an infant, toddler, or family in a timely fashion, funds
provided under section 643 may be used to pay the provider of services
pending reimbursement from the agency that has ultimate responsibility
for the payment.
``(b) Obligations Related to and Methods of Ensuring Services.--
``(1) Establishing financial responsibility for services.--
``(A) In general.--The Chief Executive Officer of a
State or designee of the officer shall ensure that an
interagency agreement or other mechanism for
interagency coordination is in effect between each
public agency and the State educational agency, in
order to ensure--
``(i) the provision of, and financial
responsibility for, services provided under
this part; and
``(ii) such services are consistent with
the requirements of section 635 and the State's
application pursuant to section 637, including
the provision of such services during the
pendency of any dispute.
``(B) Consistency between agreements or mechanisms
under parts b and d.--The Chief Executive Officer of a
State or designee of the officer shall ensure that the
terms and conditions of such agreement or mechanism are
consistent with the terms and conditions of the State's
agreement or mechanism under section 612(a)(12).
``(2) Reimbursement for services by public agency.--
``(A) In general.--If a public agency other than an
educational agency fails to provide or pay for the
services pursuant to an agreement required under
paragraph (1) the local educational agency or State
agency (as determined by the Chief Executive Officer or
designee) shall provide or pay for the provision of
such services to the child.
``(B) Reimbursement.--Such local educational agency
or State agency is authorized to claim reimbursement
for the services from the public agency that failed to
provide or pay for such services and such public agency
shall reimburse the local educational agency or State
agency pursuant to the terms of the interagency
agreement or other mechanism required under paragraph
(1).
``(3) Special rule.--The requirements of paragraph (1) may
be met through--
``(A) State statute or regulation;
``(B) signed agreements between respective agency
officials that clearly identify the responsibilities of
each agency relating to the provision of services; or
``(C) other appropriate written methods as
determined by the Chief Executive Officer of the State
or designee of the officer and approved by the
Secretary through the review and approval of the
State's application pursuant to section 637.
``(c) Reduction of Other Benefits.--Nothing in this part shall be
construed to permit the State to reduce medical or other assistance
available or to alter eligibility under title V of the Social Security
Act (relating to maternal and child health) or title XIX of the Social
Security Act (relating to Medicaid for infants or toddlers with
disabilities) within the State.
``SEC. 641. STATE INTERAGENCY COORDINATING COUNCIL.
``(a) Establishment.--
``(1) In general.--A State that desires to receive
financial assistance under this part shall establish a State
interagency coordinating council.
``(2) Appointment.--The council shall be appointed by the
Governor. In making appointments to the council, the Governor
shall ensure that the membership of the council reasonably
represents the population of the State.
``(3) Chairperson.--The Governor shall designate a member
of the council to serve as the chairperson of the council, or
shall require the council to so designate such a member. Any
member of the council who is a representative of the lead
agency designated under section 635(a)(10) may not serve as the
chairperson of the council.
``(b) Composition.--
``(1) In general.--The council shall be composed as
follows:
``(A) Parents.--At least 20 percent of the members
shall be parents of infants or toddlers with
disabilities or children with disabilities aged 12 or
younger, with knowledge of, or experience with,
programs for infants and toddlers with disabilities. At
least 1 such member shall be a parent of an infant or
toddler with a disability or a child with a disability
aged 6 or younger, not less than one other member shall
be a foster parent of a child with a disability, not
less than one other member shall be a grandparent or
other relative acting in the place of a natural or
adoptive parent of a child with a disability, and not
less than 1 other member shall be a representative of
children with disabilities in military families.
``(B) Service providers.--At least 20 percent of
the members shall be public or private providers of
early intervention services.
``(C) State legislature.--At least 1 member shall
be from the State legislature.
``(D) Personnel preparation.--At least 1 member
shall be involved in personnel preparation.
``(E) Agency for early intervention services.--At
least 1 member shall be from each of the State agencies
involved in the provision of, or payment for, early
intervention services to infants and toddlers with
disabilities and their families and shall have
sufficient authority to engage in policy planning and
implementation on behalf of such agencies.
``(F) Agency for preschool services.--At least 1
member shall be from the State educational agency
responsible for preschool services to children with
disabilities and shall have sufficient authority to
engage in policy planning and implementation on behalf
of such agency.
``(G) State medicaid agency.--At least 1 member
shall be from the agency responsible for the State
medicaid program.
``(H) Head start agency.--At least 1 representative
from a Head Start agency or program in the State.
``(I) Child care agency.--At least 1 representative
from a State agency responsible for child care.
``(J) Agency for health insurance.--At least 1
member shall be from the agency responsible for the
State regulation of health insurance.
``(K) Office of the coordinator of education of
homeless children and youth.--Not less than 1
representative designated by the Office of Coordinator
for Education of Homeless Children and Youths.
``(L) State child welfare agency.--Not less than 1
representative from the State child welfare agency
responsible for foster care.
``(M) Representative of foster children.--Not less
than 1 individual who represents the interests of
children in foster care and understands such children's
education needs, such as an attorney for children in
foster care, a guardian ad litem, a court appointed
special advocate, a judge, or an education surrogate
for children in foster care.
``(2) Other members.--The council may include other members
selected by the Governor, including a representative from the
Bureau of Indian Affairs, or where there is no BIA-operated or
BIA-funded school, from the Indian Health Service or the tribe
or tribal council.
``(c) Meetings.--The council shall meet at least quarterly and in
such places as the council determines necessary. The meetings shall be
publicly announced, and, to the extent appropriate, open and accessible
to the general public.
``(d) Management Authority.--Subject to the approval of the
Governor, the council may prepare and approve a budget using funds
under this part to conduct hearings and forums, to reimburse members of
the council for reasonable and necessary expenses for attending council
meetings and performing council duties (including child care for parent
representatives), to pay compensation to a member of the council if the
member is not employed or must forfeit wages from other employment when
performing official council business, to hire staff, and to obtain the
services of such professional, technical, and clerical personnel as may
be necessary to carry out its functions under this part.
``(e) Functions of Council.--
``(1) Duties.--The council shall--
``(A) advise and assist the lead agency designated
or established under section 635(a)(10) in the
performance of the responsibilities set forth in such
section, particularly the identification of the sources
of fiscal and other support for services for early
intervention programs, assignment of financial
responsibility to the appropriate agency, and the
promotion of the interagency agreements;
``(B) advise and assist the lead agency in the
preparation of applications and amendments thereto;
``(C) advise and assist the State educational
agency regarding the transition of toddlers with
disabilities to preschool and other appropriate
services; and
``(D) prepare and submit an annual report to the
Governor and to the Secretary on the status of early
intervention programs for infants and toddlers with
disabilities and their families operated within the
State.
``(2) Authorized activity.--The council may advise and
assist the lead agency and the State educational agency
regarding the provision of appropriate services for children
from birth through age 5. The council may advise appropriate
agencies in the State with respect to the integration of
services for infants and toddlers with disabilities and at-risk
infants and toddlers and their families, regardless of whether
at-risk infants and toddlers are eligible for early
intervention services in the State.
``(f) Conflict of Interest.--No member of the council shall cast a
vote on any matter that is likely to provide a direct financial benefit
to that member or otherwise give the appearance of a conflict of
interest under State law.
``SEC. 642. FEDERAL ADMINISTRATION.
``Sections 616, 617, and 618 shall, to the extent not inconsistent
with this part, apply to the program authorized by this part, except
that--
``(1) any reference in such sections to a State educational
agency shall be considered to be a reference to a State's lead
agency established or designated under section 635(a)(10);
``(2) any reference in such sections to a local educational
agency, educational service agency, or a State agency shall be
considered to be a reference to an early intervention service
provider under this part; and
``(3) any reference to the education of children with
disabilities or the education of all children with disabilities
shall be considered to be a reference to the provision of
appropriate early intervention services to infants and toddlers
with disabilities.
``SEC. 643. ALLOCATION OF FUNDS.
``(a) Reservation of Funds for Outlying Areas.--
``(1) In general.--From the sums appropriated to carry out
this part for any fiscal year, the Secretary may reserve not
more than 1 percent for payments to Guam, American Samoa, the
United States Virgin Islands, and the Commonwealth of the
Northern Mariana Islands in accordance with their respective
needs.
``(2) Consolidation of funds.--The provisions of Public Law
95-134, permitting the consolidation of grants to the outlying
areas, shall not apply to funds those areas receive under this
part.
``(b) Payments to Indians.--
``(1) In general.--The Secretary shall, subject to this
subsection, make payments to the Secretary of the Interior to
be distributed to tribes, tribal organizations (as defined
under section 4 of the Indian Self-Determination and Education
Assistance Act), or consortia of the above entities for the
coordination of assistance in the provision of early
intervention services by the States to infants and toddlers
with disabilities and their families on reservations served by
elementary schools and secondary schools for Indian children
operated or funded by the Department of the Interior. The
amount of such payment for any fiscal year shall be 1.25
percent of the aggregate of the amount available to all States
under this part for such fiscal year.
``(2) Allocation.--For each fiscal year, the Secretary of
the Interior shall distribute the entire payment received under
paragraph (1) by providing to each tribe, tribal organization,
or consortium an amount based on the number of infants and
toddlers residing on the reservation, as determined annually,
divided by the total of such children served by all tribes,
tribal organizations, or consortia.
``(3) Information.--To receive a payment under this
subsection, the tribe, tribal organization, or consortium shall
submit such information to the Secretary of the Interior as is
needed to determine the amounts to be distributed under
paragraph (2).
``(4) Use of funds.--The funds received by a tribe, tribal
organization, or consortium shall be used to assist States in
child find, screening, and other procedures for the early
identification of Indian children under 3 years of age and for
parent training. Such funds may also be used to provide early
intervention services in accordance with this part. Such
activities may be carried out directly or through contracts or
cooperative agreements with the BIA, local educational
agencies, and other public or private nonprofit organizations.
The tribe, tribal organization, or consortium is encouraged to
involve Indian parents in the development and implementation of
these activities. The above entities shall, as appropriate,
make referrals to local, State, or Federal entities for the
provision of services or further diagnosis.
``(5) Reports.--To be eligible to receive a grant under
paragraph (2), a tribe, tribal organization, or consortium
shall make a biennial report to the Secretary of the Interior
of activities undertaken under this subsection, including the
number of contracts and cooperative agreements entered into,
the number of children contacted and receiving services for
each year, and the estimated number of children needing
services during the 2 years following the year in which the
report is made. The Secretary of the Interior shall include a
summary of this information on a biennial basis to the
Secretary of Education along with such other information as
required under section 611(h)(3)(E). The Secretary of Education
may require any additional information from the Secretary of
the Interior.
``(6) Prohibited uses of funds.--None of the funds under
this subsection may be used by the Secretary of the Interior
for administrative purposes, including child count, and the
provision of technical assistance.
``(c) State Allotments.--
``(1) In general.--Except as provided in paragraphs (2) and
(3), from the funds remaining for each fiscal year after the
reservation and payments under subsections (a), (b), and (e),
the Secretary shall first allot to each State an amount that
bears the same ratio to the amount of such remainder as the
number of infants and toddlers in the State bears to the number
of infants and toddlers in all States.
``(2) Minimum allotments.--Except as provided in paragraph
(3), no State shall receive an amount under this section for
any fiscal year that is less than the greater of--
``(A) \1/2\ of 1 percent of the remaining amount
described in paragraph (1); or
``(B) $500,000.
``(3) Ratable reduction.--
``(A) 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 this subsection for such year, the
Secretary shall ratably reduce the allotments to such
States for such year.
``(B) Additional funds.--If additional funds become
available for making payments under this subsection for
a fiscal year, allotments that were reduced under
subparagraph (A) shall be increased on the same basis
the allotments were reduced.
``(4) Definitions.--For the purpose of this subsection--
``(A) the terms `infants' and `toddlers' mean
children under 3 years of age; and
``(B) the term `State' means each of the 50 States,
the District of Columbia, and the Commonwealth of
Puerto Rico.
``(d) Reallotment of Funds.--If a State elects not to receive its
allotment under subsection (c), the Secretary shall reallot, among the
remaining States, amounts from such State in accordance with such
subsection.
``(e) Reservation for State Bonus Grants.--The Secretary shall
reserve 10 percent of the amount by which the amount appropriated under
section 644 for any fiscal year exceeds $434,159,000 to make allotments
to States that are carrying out the policy described in section 635(b),
in accordance with the formula described in subsection (c)(1) without
regard to subsections (c) (2) and (3).
``SEC. 644. AUTHORIZATION OF APPROPRIATIONS.
``For the purpose of carrying out this part, there are authorized
to be appropriated such sums as may be necessary for each of the fiscal
years 2004 through 2009.
``PART D--NATIONAL ACTIVITIES TO IMPROVE EDUCATION OF CHILDREN WITH
DISABILITIES
``SEC. 650. FINDINGS.
``Congress finds the following:
``(1) The Federal Government has an ongoing obligation to
support activities that contribute to positive results for
children with disabilities, enabling them to lead productive
and independent adult lives.
``(2) Systemic change benefiting all students, including
children with disabilities, requires the involvement of States,
local educational agencies, parents, individuals with
disabilities and their families, teachers and other service
providers, and other interested individuals and organizations
to develop and implement comprehensive strategies that improve
educational results for children with disabilities.
``(3) State educational agencies, in partnership with local
educational agencies, parents of children with disabilities,
and other individuals and organizations, are in the best
position to improve education for children with disabilities
and to address their special needs.
``(4) An effective educational system serving students with
disabilities should--
``(A) maintain high academic achievement standards
and clear performance goals for children with
disabilities, consistent with the standards and
expectations for all students in the educational
system, and provide for appropriate and effective
strategies and methods to ensure that all children with
disabilities have the opportunity to achieve those
standards and goals;
``(B) clearly define, in objective, measurable
terms, the school and post-school results that children
with disabilities are expected to achieve; and
``(C) promote transition services and coordinate
State and local education, social, health, mental
health, and other services, in addressing the full
range of student needs, particularly the needs of
children with disabilities who need significant levels
of support to participate and learn in school and the
community.
``(5) The availability of an adequate number of qualified
personnel is critical to serve effectively children with
disabilities, to assume leadership positions in administration
and direct services, to provide teacher training, and to
conduct high quality research to improve special education.
``(6) High quality, comprehensive professional development
programs are essential to ensure that the persons responsible
for the education or transition of children with disabilities
possess the skills and knowledge necessary to address the
educational and related needs of those children.
``(7) Models of professional development should be
scientifically based and reflect successful practices,
including strategies for recruiting, preparing, and retaining
personnel.
``(8) Continued support is essential for the development
and maintenance of a coordinated and high quality program of
research to inform successful teaching practices and model
curricula for educating children with disabilities.
``(9) A comprehensive research agenda should be established
and pursued to promote the highest quality and rigor in special
education research, and to address the full range of issues
facing children with disabilities, parents of children with
disabilities, school personnel, and others.
``(10) Training, technical assistance, support, and
dissemination activities are necessary to ensure that parts B
and C are fully implemented and achieve high quality early
intervention, educational, and transitional results for
children with disabilities and their families.
``(11) Parents, teachers, administrators, and related
services personnel need technical assistance and information in
a timely, coordinated, and accessible manner in order to
improve early intervention, educational, and transitional
services and results at the State and local levels for children
with disabilities and their families.
``(12) Parent training and information activities assist
parents of a child with a disability in dealing with the
multiple pressures of parenting such a child and are of
particular importance in--
``(A) playing a vital role in creating and
preserving constructive relationships between parents
of children with disabilities and schools by
facilitating open communication between the parents and
schools; encouraging dispute resolution at the earliest
possible point in time; and discouraging the escalation
of an adversarial process between the parents and
schools;
``(B) ensuring the involvement of parents in
planning and decisionmaking with respect to early
intervention, educational, and transitional services;
``(C) achieving high quality early intervention,
educational, and transitional results for children with
disabilities;
``(D) providing such parents information on their
rights, protections, and responsibilities under this
Act to ensure improved early intervention, educational,
and transitional results for children with
disabilities;
``(E) assisting such parents in the development of
skills to participate effectively in the education and
development of their children and in the transitions
described in section 673(b)(6);
``(F) supporting the roles of such parents as
participants within partnerships seeking to improve
early intervention, educational, and transitional
services and results for children with disabilities and
their families; and
``(G) supporting such parents who may have limited
access to services and supports, due to economic,
cultural, or linguistic barriers.
``(13) Support is needed to improve technological resources
and integrate technology, including universally designed
technologies, into the lives of children with disabilities,
parents of children with disabilities, school personnel, and
others through curricula, services, and assistive technologies.
``Subpart 1--State Personnel Preparation and Professional Development
Grants
``SEC. 651. PURPOSE; DEFINITION; PROGRAM AUTHORITY.
``(a) Purpose.--The purpose of this subpart is to assist State
educational agencies in reforming and improving their systems for
personnel preparation and professional development in early
intervention, educational, and transition services in order to improve
results for children with disabilities.
``(b) Definition.--In this subpart, the term `personnel' means
special education teachers, regular education teachers, principals,
administrators, related services personnel, paraprofessionals, and
early intervention personnel serving infants, toddlers, preschoolers,
or children with disabilities, except where a particular category of
personnel, such as related services personnel, is identified.
``(c) Competitive Grants.--
``(1) In general.--Except as provided in subsection (d),
for any fiscal year for which the amount appropriated under
section 655, that remains after the Secretary reserves funds
under subsection (e) for the fiscal year, is less than
$100,000,000, the Secretary shall award grants, on a
competitive basis, to State educational agencies to carry out
the activities described in the State plan submitted under
section 653.
``(2) Priority.--In awarding grants under paragraph (1),
the Secretary may give priority to State educational agencies
that--
``(A) are in States with the greatest personnel
shortages; or
``(B) demonstrate the greatest difficulty meeting
the requirements of section 612(a)(14).
``(3) Minimum.--The Secretary shall make a grant to each
State educational agency selected under paragraph (1) in an
amount for each fiscal year that is--
``(A) not less than $500,000, nor more than
$4,000,000, in the case of the 50 States, the District
of Columbia, and the Commonwealth of Puerto Rico; and
``(B) not less than $80,000 in the case of an
outlying area.
``(4) Increases.--The Secretary may increase the amounts
under in paragraph (3) to account for inflation.
``(5) Factors.--The Secretary shall set the amount of each
grant under paragraph (1) after considering--
``(A) the amount of funds available for making the
grants;
``(B) the relative population of the State or
outlying area;
``(C) the types of activities proposed by the State
or outlying area;
``(D) the alignment of proposed activities with
section 612(a)(14);
``(E) the alignment of proposed activities with the
State plans and applications submitted under sections
1111 and 2112, respectively, of the Elementary and
Secondary Education Act of 1965; and
``(F) the use, as appropriate, of scientifically
based activities.
``(d) Formula Grants.--
``(1) In general.--Except as provided in paragraphs (2) and
(3), for the first fiscal year for which the amount
appropriated under section 655, that remains after the
Secretary reserves funds under subsection (e) for the fiscal
year, is equal to or greater than $100,000,000, and for each
fiscal year thereafter, the Secretary shall allot to each State
educational agency, whose application meets the requirements of
this subpart, an amount that bears the same relation to the
amount appropriated as the amount the State received under
section 611(d) for that fiscal year bears to the amount of
funds received by all States (whose applications meet the
requirements of this subpart) under section 611(d) for that
fiscal year.
``(2) Minimum allotments for states that received
competitive grants.--
``(A) In general.--The amount allotted under this
subsection to any State that received a competitive
multi-year grant under subsection (c) for which the
grant period has not expired shall be at least the
amount specified for that fiscal year in the State's
grant award document under that subsection.
``(B) Special rule.--Each such State shall use the
minimum amount described in subparagraph (A) for the
activities described in its competitive grant award
document for that year, unless the Secretary approves a
request from the State to spend the funds on other
activities.
``(3) Minimum allotment.--The amount of any State
educational agency's allotment under this subsection for any
fiscal year shall not be less than--
``(A) the greater of $500,000 or \1/2\ of 1 percent
of the total amount available under this subsection for
that year, in the case of each of the 50 States, the
District of Columbia, and the Commonwealth of Puerto
Rico; and
``(B) $80,000, in the case of an outlying area.
``(e) Continuation Awards.--
``(1) In general.--Notwithstanding any other provision of
this subpart, from funds appropriated under section 655 for
each fiscal year, the Secretary shall reserve the amount that
is necessary to make a continuation award to any State (at the
request of the State) that received a multi-year award under
this part (as this part was in effect on the day before the
date of enactment of the Individuals with Disabilities
Education Improvement Act of 2004), to enable the State to
carry out activities in accordance with the terms of the multi-
year award.
``(2) Prohibition.--A State that receives a continuation
award under paragraph (1) for any fiscal year may not receive
any other award under this subpart for that fiscal year.
``SEC. 652. ELIGIBILITY AND COLLABORATIVE PROCESS.
``(a) Eligible Applicants.--A State educational agency may apply
for a grant under this subpart for a grant period of not less than 1
year and not more than 5 years.
``(b) Partners.--
``(1) In general.--In order to be considered for a grant
under this subpart, a State educational agency shall establish
a partnership with local educational agencies and other State
agencies involved in, or concerned with, the education of
children with disabilities, including institutions of higher
education and the State agencies responsible for administering
part C, child care, and vocational rehabilitation programs.
``(2) Other partners.--In order to be considered for a
grant under this subpart, a State educational agency shall work
in partnership with other persons and organizations involved
in, and concerned with, the education of children with
disabilities, which may include--
``(A) the Governor;
``(B) parents of children with disabilities ages
birth through 26;
``(C) parents of nondisabled children ages birth
through 26;
``(D) individuals with disabilities;
``(E) parent training and information centers or
community parent resource centers funded under sections
671 and 672, respectively;
``(F) community based and other nonprofit
organizations involved in the education and employment
of individuals with disabilities;
``(G) personnel as defined in section 651(b);
``(H) the State advisory panel established under
part B;
``(I) the State interagency coordinating council
established under part C;
``(J) individuals knowledgeable about vocational
education;
``(K) the State agency for higher education;
``(L) public agencies with jurisdiction in the
areas of health, mental health, social services, and
juvenile justice;
``(M) other providers of professional development
that work with infants, toddlers, preschoolers, and
children with disabilities; and
``(N) other individuals.
``(3) Required partner.--If State law assigns
responsibility for teacher preparation and certification to an
individual, entity, or agency other than the State educational
agency, the State educational agency shall--
``(A) include that individual, entity, or agency as
a partner in the partnership under this subsection; and
``(B) ensure that any activities the State will
carry out under this subpart that are within that
partner's jurisdiction (which may include activities
described in section 654(b)) are carried out by that
partner.
``SEC. 653. APPLICATIONS.
``(a) In General.--
``(1) Submission.--A State educational agency that desires
to receive a grant under this subpart shall submit to the
Secretary an application at such time, in such manner, and
including such information as the Secretary may require.
``(2) State plan.--The application shall include a plan
that identifies and addresses the State and local needs for the
personnel preparation and professional development of
personnel, as well as individuals who provide direct
supplementary aids and services to children with disabilities,
and that--
``(A) is designed to enable the State to meet the
requirements of section 612(a)(14) and section 635(a)
(8) and (9);
``(B) is based on an assessment of State and local
needs that identifies critical aspects and areas in
need of improvement related to the preparation, ongoing
training, and professional development of personnel
that serve infants, toddlers, preschoolers, and
children with disabilities within the State,
including--
``(i) current and anticipated personnel
vacancies and shortages; and
``(ii) the number of preservice programs;
and
``(C) is integrated and aligned, to the maximum
extent possible, with State plans and activities under
the Elementary and Secondary Education Act of 1965, the
Rehabilitation Act of 1973, and the Higher Education
Act of 1965.
``(3) Requirement.--The State application shall contain an
assurance that the State educational agency will carry out each
of the strategies described in subsection (b)(4).
``(b) Elements of State Personnel Preparation and Professional
Development Plan.--Each professional development plan under subsection
(a)(2) shall--
``(1) describe a partnership agreement that is in effect
for the period of the grant, which agreement shall specify--
``(A) the nature and extent of the partnership
described in section 652(b) and the respective roles of
each member of the partnership, including the partner
described in section 652(b)(3) if applicable; and
``(B) how the State will work with other persons
and organizations involved in, and concerned with, the
education of children with disabilities, including the
respective roles of each of the persons and
organizations;
``(2) describe how the strategies and activities described
in paragraph (4) will be coordinated with other public
resources (including part B and part C funds retained for use
at the State level for personnel and professional development
purposes) and private resources;
``(3) describe how the State will align its professional
development plan under this subpart with the plan and
application submitted under sections 1111 and 2112,
respectively, of the Elementary and Secondary Education Act of
1965;
``(4) describe what strategies the State will use to
address the professional development and personnel needs
identified under subsection (a)(2) and how those strategies
will be implemented, including--
``(A) a description of the preservice and inservice
programs and activities to be supported under this
subpart that will provide personnel with the knowledge
and skills to meet the needs of, and improve the
performance and achievement of, infants, toddlers,
preschoolers, and children with disabilities; and
``(B) how such strategies shall be integrated, to
the maximum extent possible, with other activities
supported by grants funded under this part, including
those under section 664;
``(5) provide an assurance that the State will provide
technical assistance to local educational agencies to improve
the quality of professional development available to meet the
needs of personnel who serve children with disabilities;
``(6) provide an assurance that the State will provide
technical assistance to entities that provide services to
infants and toddlers with disabilities to improve the quality
of professional development available to meet the needs of
personnel serving such children;
``(7) describe how the State will recruit and retain highly
qualified teachers and other qualified personnel in geographic
areas of greatest need;
``(8) describe the steps the State will take to ensure that
poor and minority children are not taught at higher rates by
teachers who are not highly qualified; and
``(9) describe how the State will assess, on a regular
basis, the extent to which the strategies implemented under
this subpart have been effective in meeting the performance
goals described in section 612(a)(15).
``(c) Peer Review.--
``(1) In general.--The Secretary shall use a panel of
experts who are competent, by virtue of their training,
expertise, or experience, to evaluate applications for grants
under section 651(c)(1).
``(2) Composition of panel.--A majority of a panel
described in paragraph (1) shall be composed of individuals who
are not employees of the Federal Government.
``(3) Payment of fees and expenses of certain members.--The
Secretary may use available funds appropriated to carry out
this subpart to pay the expenses and fees of panel members who
are not employees of the Federal Government.
``(d) Reporting Procedures.--Each State educational agency that
receives a grant under this subpart shall submit annual performance
reports to the Secretary. The reports shall describe the progress of
the State in implementing its plan and analyze the effectiveness of the
State's activities under this subpart.
``SEC. 654. USE OF FUNDS.
``(a) Professional Development Activities.--A State educational
agency that receives a grant under this subpart shall use the grant
funds to support activities in accordance with the State's plan
described in section 653, including 1 or more of the following:
``(1) Carrying out programs that provide support to both
special education and regular education teachers of children
with disabilities and principals, such as programs that--
``(A) provide teacher mentoring, team teaching,
reduced class schedules and case loads, and intensive
professional development;
``(B) use standards or assessments for guiding
beginning teachers that are consistent with challenging
State student academic achievement and functional
standards and with the requirements for professional
development as defined in section 9101(34) of the
Elementary and Secondary Education Act of 1965; and
``(C) encourage collaborative and consultative
models of providing early intervention, special
education, and related services.
``(2) Encouraging and supporting the training of special
education and regular education teachers and administrators to
effectively use and integrate technology--
``(A) into curricula and instruction, including
training to improve the ability to collect, manage, and
analyze data to improve teaching, decisionmaking,
school improvement efforts, and accountability;
``(B) to enhance learning by children with
disabilities; and
``(C) to effectively communicate with parents.
``(3) Providing professional development activities that--
``(A) improve the knowledge of special education
and regular education teachers concerning--
``(i) the academic and developmental or
functional needs of students with disabilities;
or
``(ii) effective instructional strategies,
methods, and skills, and the use of State
academic content standards and student academic
achievement and functional standards, and State
assessments, to improve teaching practices and
student academic achievement;
``(B) improve the knowledge of special education
and regular education teachers and principals and, in
appropriate cases, paraprofessionals, concerning
effective instructional practices and that--
``(i) provide training in how to teach and
address the needs of children with different
learning styles and children with limited
English proficiency;
``(ii) involve collaborative groups of
teachers, administrators, and, in appropriate
cases, related services personnel;
``(iii) provide training in methods of--
``(I) positive behavioral
interventions and supports to improve
student behavior in the classroom;
``(II) scientifically based reading
instruction, including early literacy
instruction;
``(III) early and appropriate
interventions to identify and help
children with disabilities;
``(IV) effective instruction for
children with low incidence
disabilities;
``(V) successful transitioning to
postsecondary opportunities; and
``(VI) using classroom-based
techniques to assist children prior to
referral for special education;
``(iv) provide training to enable personnel
to work with and involve parents in their
child's education, including parents of low
income and limited English proficient children
with disabilities;
``(v) provide training for special
education personnel and regular education
personnel in planning, developing, and
implementing effective and appropriate IEPs;
and
``(vi) provide training to meet the needs
of students with significant health, mobility,
or behavioral needs prior to serving such
students;
``(C) train administrators, principals, and other
relevant school personnel in conducting effective IEP
meetings; and
``(D) Train early intervention, preschool, and
related services providers, and other relevant school
personnel, in conducting effective individualized
family service plan (IFSP) meetings.
``(4) Developing and implementing initiatives to promote
the recruitment and retention of highly qualified special
education teachers, particularly initiatives that have been
proven effective in recruitment and retaining highly qualified
teachers, including programs that provide--
``(A) teacher mentoring from exemplary special
education teachers, principals, or superintendents;
``(B) induction and support for special education
teachers during their first 3 years of employment as
teachers; or
``(C) incentives, including financial incentives,
to retain special education teachers who have a record
of success in helping students with disabilities.
``(5) Carrying out programs and activities that are
designed to improve the quality of personnel who serve children
with disabilities, such as--
``(A) innovative professional development programs
(which may be provided through partnerships that
include institutions of higher education), including
programs that train teachers and principals to
integrate technology into curricula and instruction to
improve teaching, learning, and technology literacy,
which professional development shall be consistent with
the definition of professional development in section
9101(34) of the Elementary and Secondary Education Act
of 1965; and
``(B) the development and use of proven, cost
effective strategies for the implementation of
professional development activities, such as through
the use of technology and distance learning.
``(6) Carrying out programs and activities that are
designed to improve the quality of early intervention
personnel, including paraprofessionals and primary referral
sources, such as--
``(A) professional development programs to improve
the delivery of early intervention services;
``(B) initiatives to promote the recruitment and
retention of early intervention personnel; and
``(C) interagency activities to ensure that
personnel are adequately prepared and trained.
``(b) Other Activities.--A State educational agency that receives a
grant under this subpart shall use the grant funds to support
activities in accordance with the State's plan described in section
653, including 1 or more of the following:
``(1) Reforming special education and regular education
teacher certification (including recertification) or licensing
requirements to ensure that--
``(A) special education and regular education
teachers have--
``(i) the training and information
necessary to address the full range of needs of
children with disabilities across disability
categories; and
``(ii) the necessary subject matter
knowledge and teaching skills in the academic
subjects that they teach;
``(B) special education and regular education
teacher certification (including recertification) or
licensing requirements are aligned with challenging
State academic content standards; and
``(C) special education and regular education
teachers have the subject matter knowledge and teaching
skills, including technology literacy, necessary to
help students with disabilities meet challenging State
student academic achievement and functional standards.
``(2) Programs that establish, expand, or improve
alternative routes for State certification of special education
teachers for highly qualified individuals with a baccalaureate
or master's degree, including mid-career professionals from
other occupations, paraprofessionals, and recent college or
university graduates with records of academic distinction who
demonstrate the potential to become highly effective special
education teachers.
``(3) Teacher advancement initiatives for special education
teachers that promote professional growth and emphasize
multiple career paths (such as paths to becoming a career
teacher, mentor teacher, or exemplary teacher) and pay
differentiation.
``(4) Developing and implementing mechanisms to assist
local educational agencies and schools in effectively
recruiting and retaining highly qualified special education
teachers.
``(5) Reforming tenure systems, implementing teacher
testing for subject matter knowledge, and implementing teacher
testing for State certification or licensing, consistent with
title II of the Higher Education Act of 1965.
``(6) Funding projects to promote reciprocity of teacher
certification or licensing between or among States for special
education teachers, except that no reciprocity agreement
developed under this paragraph or developed using funds
provided under this subpart may lead to the weakening of any
State teaching certification or licensing requirement.
``(7) Developing or assisting local educational agencies to
serve children with disabilities through the development and
use of proven, innovative strategies to deliver intensive
professional development programs that are both cost effective
and easily accessible, such as strategies that involve delivery
through the use of technology, peer networks, and distance
learning.
``(8) Developing, or assisting local educational agencies
in developing, merit based performance systems, and strategies
that provide differential and bonus pay for special education
teachers.
``(9) Supporting activities that ensure that teachers are
able to use challenging State academic content standards and
student academic and functional achievement standards, and
State assessments for all children with disabilities, to
improve instructional practices and improve the academic
achievement of children with disabilities.
``(10) When applicable, coordinating with, and expanding
centers established under, section 2113(c)(18) of the
Elementary and Secondary Education Act of 1965 to benefit
special education teachers.
``(c) Contracts and Subgrants.--Each such State educational
agency--
``(1) shall award contracts or subgrants to local
educational agencies, institutions of higher education, parent
training and information centers, or community parent resource
centers, as appropriate, to carry out its State plan under this
subpart; and
``(2) may award contracts and subgrants to other public and
private entities, including the lead agency under part C, to
carry out such plan.
``(d) Use of Funds for Professional Development.--A State
educational agency that receives a grant under this subpart shall use--
``(1) not less than 75 percent of the funds the State
educational agency receives under the grant for any fiscal year
for activities under subsection (a); and
``(2) not more than 25 percent of the funds the State
educational agency receives under the grant for any fiscal year
for activities under subsection (b).
``(e) Grants to Outlying Areas.--Public Law 95-134, permitting the
consolidation of grants to the outlying areas, shall not apply to funds
received under this subpart.
``SEC. 655. AUTHORIZATION OF APPROPRIATIONS.
``There are authorized to be appropriated to carry out this subpart
such sums as may be necessary for each of the fiscal years 2004 through
2009.
``Subpart 2--Scientifically Based Research, Technical Assistance, Model
Demonstration Projects, and Dissemination of Information
``SEC. 660. PURPOSE.
``The purpose of this subpart is--
``(1) to provide Federal funding for scientifically based
research, technical assistance, model demonstration projects,
and information dissemination to improve early intervention,
educational, and transitional results for children with
disabilities; and
``(2) to assist State educational agencies and local
educational agencies in improving their education systems.
``SEC. 661. ADMINISTRATIVE PROVISIONS.
``(a) Comprehensive Plan.--
``(1) In general.--After receiving input from interested
individuals with relevant expertise, the Secretary shall
develop and implement a comprehensive plan for activities
carried out under this subpart (other than activities assisted
under section 665 and subpart 3) in order to enhance the
provision of early intervention, educational, related and
transitional services to children with disabilities under parts
B and C. The plan shall be coordinated with the plan developed
pursuant to section 177(c) of the Education Sciences Reform Act
of 2002 and shall include mechanisms to address early
intervention, educational, related service and transitional
needs identified by State educational agencies in applications
submitted for State Personnel and Professional Development
grants under subpart 1 and for grants under this subpart.
``(2) Public comment.--The Secretary shall provide a public
comment period of at least 60 days on the plan.
``(3) Distribution of funds.--In implementing the plan, the
Secretary shall, to the extent appropriate, ensure that funds
are awarded to recipients under this subpart, subpart 3, and
subpart 4 to carry out activities that benefit, directly or
indirectly, children with the full range of disabilities and of
all ages.
``(4) Reports to congress.--The Secretary shall annually
report to Congress on the Secretary's activities under this
subpart, subpart 3, and subpart 4, including an initial report
not later than 12 months after the date of enactment of the
Individuals with Disabilities Education Improvement Act of
2004.
``(b) Eligible Applicants.--
``(1) In general.--Except as otherwise provided in this
subpart, the following entities are eligible to apply for a
grant, contract, or cooperative agreement under this subpart:
``(A) A State educational agency.
``(B) A local educational agency.
``(C) A public charter school that is a local
educational agency under State law.
``(D) An institution of higher education.
``(E) Any other public agency.
``(F) A private nonprofit organization.
``(G) An outlying area.
``(H) An Indian tribe or a tribal organization (as
defined under section 4 of the Indian Self-
Determination and Education Assistance Act).
``(I) A for-profit organization.
``(2) Special rule.--The Secretary may limit the entities
eligible for an award of a grant, contract, or cooperative
agreement to 1 or more categories of eligible entities
described in paragraph (1).
``(c) Special Populations.--
``(1) Application requirement.--In making an award of a
grant, contract, or cooperative agreement under this subpart,
subpart 3, and subpart 4, the Secretary shall, as appropriate,
require an applicant to meet the criteria set forth by the
Secretary under this subpart and demonstrate how the applicant
will address the needs of children with disabilities from
minority backgrounds.
``(2) Outreach and technical assistance.--Notwithstanding
any other provision of this Act, the Secretary shall reserve at
least 1 percent of the total amount of funds made available to
carry out this subpart, subpart 3, or subpart 4 for 1 or both
of the following activities:
``(A) To provide outreach and technical assistance
to Historically Black Colleges and Universities, and to
institutions of higher education with minority
enrollments of at least 25 percent, to promote the
participation of such colleges, universities, and
institutions in activities under this subpart.
``(B) To enable Historically Black Colleges and
Universities, and the institutions described in
subparagraph (A), to assist other colleges,
universities, institutions, and agencies in improving
educational and transitional results for children with
disabilities.
``(d) Priorities.--The Secretary, in making an award of a grant,
contract, or cooperative agreement under this subpart, subpart 3, or
subpart 4, may, without regard to the rulemaking procedures under
section 553(a) of title 5, United States Code, limit competitions to,
or otherwise give priority to--
``(1) projects that address 1 or more--
``(A) age ranges;
``(B) disabilities;
``(C) school grades;
``(D) types of educational placements or early
intervention environments;
``(E) types of services;
``(F) content areas, such as reading; or
``(G) effective strategies for helping children
with disabilities learn appropriate behavior in the
school and other community based educational settings;
``(2) projects that address the needs of children based on
the severity or incidence of their disability;
``(3) projects that address the needs of--
``(A) low achieving students;
``(B) underserved populations;
``(C) children from low income families;
``(D) limited English proficient children;
``(E) unserved and underserved areas;
``(F) rural or urban areas;
``(G) children whose behavior interferes with their
learning and socialization;
``(H) children with reading difficulties;
``(I) children in charter schools; or
``(J) children who are gifted and talented;
``(K) children with disabilities served by local
educational agencies that receive payments under title
VIII of the Elementary and Secondary Education Act of
1965;
``(L) children with disabilities who are homeless
children or children with disabilities who are wards of
the State;
``(4) projects to reduce inappropriate identification of
children as children with disabilities, particularly among
minority children;
``(5) projects that are carried out in particular areas of
the country, to ensure broad geographic coverage;
``(6) projects that promote the development and use of
universally designed technologies, assistive technology
devices, and assistive technology services to maximize children
with disabilities' access to and participation in the general
education curriculum;
``(7) any activity that is authorized in this subpart or
subpart 3; and
``(8) projects that provide training in educational
advocacy to individuals with responsibility for the needs of
wards of the State, including foster parents, grandparents and
other relatives acting in the place of a natural or adoptive
parent, attorneys for children in foster care, guardians ad
litem, court appointed special advocates, judges, education
surrogates, and children's caseworkers.
``(e) Applicant and Recipient Responsibilities.--
``(1) Development and assessment of projects.--The
Secretary shall require that an applicant for, and a recipient
of, a grant, contract, or cooperative agreement for a project
under this subpart, subpart 3, or subpart 4--
``(A) involve individuals with disabilities or
parents of individuals with disabilities ages birth
through 26 in planning, implementing, and evaluating
the project; and
``(B) where appropriate, determine whether the
project has any potential for replication and adoption
by other entities.
``(2) Additional responsibilities.--The Secretary may
require a recipient of a grant, contract, or cooperative
agreement under this subpart, subpart 3, or subpart 4 to--
``(A) share in the cost of the project;
``(B) prepare any findings and products from the
project in formats that are useful for specific
audiences, including parents, administrators, teachers,
early intervention personnel, related services
personnel, and individuals with disabilities;
``(C) disseminate such findings and products; and
``(D) collaborate with other such recipients in
carrying out subparagraphs (B) and (C).
``(f) Application Management.--
``(1) Standing panel.--
``(A) In general.--The Secretary shall establish
and use a standing panel of experts who are competent,
by virtue of their training, expertise, or experience,
to evaluate applications under this subpart (other than
applications for assistance under section 665), subpart
3, and subpart 4 that, individually, request more than
$75,000 per year in Federal financial assistance.
``(B) Membership.--The standing panel shall
include, at a minimum--
``(i) individuals who are representatives
of institutions of higher education that plan,
develop, and carry out high quality programs of
personnel preparation;
``(ii) individuals who design and carry out
scientifically based research targeted to the
improvement of special education programs and
services;
``(iii) individuals who have recognized
experience and knowledge necessary to integrate
and apply scientifically based research
findings to improve educational and
transitional results for children with
disabilities;
``(iv) individuals who administer programs
at the State or local level in which children
with disabilities participate;
``(v) individuals who prepare parents of
children with disabilities to participate in
making decisions about the education of their
children;
``(vi) individuals who establish policies
that affect the delivery of services to
children with disabilities;
``(vii) parents of children with
disabilities ages birth through 26 who are
benefiting, or have benefited, from coordinated
research, personnel preparation, and technical
assistance; and
``(viii) individuals with disabilities.
``(C) Term.--Unless approved by the Secretary due
to extenuating circumstances related to shortages of
experts in a particular area of expertise or for a
specific competition, no individual shall serve on the
standing panel for more than 3 consecutive years.
``(2) Peer review panels for particular competitions.--
``(A) Composition.--The Secretary shall ensure that
each sub panel selected from the standing panel that
reviews applications under this subpart (other than
section 665), subpart 3, and subpart 4 includes--
``(i) individuals with knowledge and
expertise on the issues addressed by the
activities authorized by the relevant subpart;
and
``(ii) to the extent practicable, parents
of children with disabilities ages birth
through 26, individuals with disabilities, and
persons from diverse backgrounds.
``(B) Federal employment limitation.--A majority of
the individuals on each sub panel that reviews an
application under this subpart (other than an
application under section 665), subpart 3, and subpart
4 shall be individuals who are not employees of the
Federal Government.
``(3) Use of discretionary funds for administrative
purposes.--
``(A) Expenses and fees of non-federal panel
members.--The Secretary may use funds made available
under this subpart, subpart 3, and subpart 4 to pay the
expenses and fees of the panel members who are not
officers or employees of the Federal Government.
``(B) Administrative support.--The Secretary may
use not more than 1 percent of the funds made available
to carry out this subpart, subpart 3, or subpart 4 to
pay non-Federal entities for administrative support
related to management of applications submitted under
this subpart.
``(4) Availability of certain products.--The Secretary
shall ensure that recipients of grants, cooperative agreements,
or contracts under this subpart, subpart 3, and subpart 4 make
available in formats that are accessible to individuals with
disabilities any products developed under such grants,
cooperative agreements, or contracts that the recipient is
making available to the public.
``(g) Program Evaluation.--The Secretary may use funds made
available to carry out this subpart, subpart 3, and subpart 4 to
evaluate activities carried out under this subpart.
``(h) Minimum Funding Required.--
``(1) In general.--Subject to paragraph (2), the Secretary
shall ensure that, for each fiscal year, at least the following
amounts are provided under this subpart and subpart 3 to
address the following needs:
``(A) $12,832,000 to address the educational,
related services, transitional, and early intervention
needs of children with deaf-blindness.
``(B) $4,000,000 to address the postsecondary,
vocational, technical, continuing, and adult education
needs of individuals with deafness.
``(C) $4,000,000 to address the educational,
related services, and transitional needs of children
with an emotional disturbance and those who are at risk
of developing an emotional disturbance.
``(2) Ratable reduction.--If the total amount appropriated
to carry out this subpart, subpart 3, and part E of the
Education Sciences Reform Act of 2002 for any fiscal year is
less than $130,000,000, the amounts listed in paragraph (1)
shall be ratably reduced.
``(i) Eligibility for Financial Assistance.--No State or local
educational agency, or other public institution or agency, may receive
a grant or enter into a contract or cooperative agreement under this
subpart that relates exclusively to programs, projects, and activities
pertaining to children aged 3 through 5, inclusive, unless the State is
eligible to receive a grant under section 619(b).
``SEC. 662. RESEARCH COORDINATION TO IMPROVE RESULTS FOR CHILDREN WITH
DISABILITIES.
``The Secretary shall coordinate research carried out under this
subpart with research carried out under part E of the Education
Sciences Reform Act of 2002.
``SEC. 663. TECHNICAL ASSISTANCE, DEMONSTRATION PROJECTS, DISSEMINATION
OF INFORMATION, AND IMPLEMENTATION OF SCIENTIFICALLY
BASED RESEARCH.
``(a) In General.--From amounts made available under section 675,
the Secretary, on a competitive basis, shall award grants to, or enter
into contracts or cooperative agreements with, eligible entities to
provide technical assistance, carry out model demonstration projects,
disseminate useful information, and implement activities that are
supported by scientifically based research.
``(b) Required Activities.--The Secretary shall support activities
to improve services provided under this Act, including the practices of
professionals and others involved in providing such services to
children with disabilities, that promote academic achievement and
functional performance to improve educational results and functional
outcomes for children with disabilities through--
``(1) implementing effective strategies that are conducive
to learning and for addressing inappropriate behavior of
students with disabilities in schools, including strategies to
prevent children with emotional and behavioral problems from
developing emotional disturbances that require the provision of
special education and related services;
``(2) improving the alignment, compatibility, and
development of valid and reliable assessment methods, including
alternate assessment methods and evaluation methods, for
assessing adequately yearly progress as described in section
1111(b)(2) of the Elementary and Secondary Education Act of
1965;
``(3) providing information to both regular education
teachers and special education teachers to address the
different learning styles and disabilities of students;
``(4) disseminating information on innovative, effective,
and efficient curricula, materials (including those that are
universally designed), instructional approaches, and strategies
that--
``(A) support effective transitions between
educational settings or from school to post-school
settings;
``(B) support effective inclusion of students with
disabilities in general education settings, especially
students with low-incidence disabilities; and
``(C) improve educational and transitional results
at all levels of the educational system in which the
activities are carried out and, in particular, that
improve the progress of children with disabilities, as
measured by assessments within the general education
curriculum involved; and
``(5) demonstrating and applying scientifically-based
findings to facilitate systematic changes related to the
provision of services to children with disabilities.
``(c) Authorized Activities.--Activities that may be carried out
under this section include activities to improve services provided
under this Act, including the practices of professionals and others
involved in providing such services to children with disabilities, that
promote increased academic achievement and enhanced functional outcomes
for children with disabilities through--
``(1) supporting and promoting the coordination of early
intervention, education, and transitional services for children
with disabilities with services provided by health,
rehabilitation, and social service agencies;
``(2) promoting improved alignment and compatibility of
general and special education reforms concerned with curriculum
and instructional reform, and evaluating of such reforms;
``(3) enabling professionals, parents of children with
disabilities, and other persons, to learn about, and implement,
the findings of scientifically based research and effective
practices relating to the provision of services to children
with disabilities;
``(4) disseminating information relating to successful
approaches to overcoming systemic barriers to the effective and
efficient delivery of early intervention, educational, and
transitional services, to personnel who provide services to
children with disabilities;
``(5) assisting States and local educational agencies with
the process of planning systemic changes that will promote
improved early intervention, educational, and transitional
results for children with disabilities;
``(6) promoting change through a multi-State or regional
framework that benefits States, local educational agencies, and
other participants in partnerships that are in the process of
achieving systemic change;
``(7) focusing on the needs and issues that are specific to
a population of children with disabilities, such as providing
single-State and multi-State technical assistance and in-
service training--
``(A) to schools and agencies serving deaf-blind
children and their families;
``(B) to programs and agencies serving other groups
of children with low-incidence disabilities and their
families;
``(C) to address the postsecondary education needs
of individuals who are deaf or hard-of-hearing; and
``(D) to schools and personnel providing special
education and related services for children with autism
spectrum disorders;
``(8) demonstrating models of personnel preparation to
ensure appropriate placements and services for all students
with disabilities and to reduce disproportionality in
eligibility, placement, and disciplinary actions for minority
and limited English proficient children: and
``(9) disseminating information on how to reduce racial and
ethnic disproportionalities.
``(d) Balance Among Disabilities and Age Ranges.--In carrying out
this section, the Secretary shall ensure that there is an appropriate
balance across all age ranges and disabilities.
``(e) Linking States to Information Sources.--In carrying out this
section, the Secretary may support projects that link States to
technical assistance resources, including special education and general
education resources, and may make research and related products
available through libraries, electronic networks, parent training
projects, and other information sources.
``(f) Applications.--
``(1) In general.--An eligible entity that desires to
receive a grant, or to enter into a contract or cooperative
agreement, under this section shall submit an application to
the Secretary at such time, in such manner, and containing such
information as the Secretary may require.
``(2) Contents.--The Secretary may, as appropriate, require
eligible entities to demonstrate that the projects described in
their applications are supported by scientifically based
research that has been carried out in conjunction with the
standards for the conduct and evaluation of all research and
development established by the National Center for Education
Research under sections 133 and 134 of the Education Sciences
Reform Act of 2002.
``(3) Priority.--As appropriate, the Secretary shall give
priority to applications that propose to serve teachers and
school personnel directly in the school environment or that
strengthen State and local agency capacity to improve
instructional practices of personnel to improve educational
results for children with disabilities in the school
environment.
``SEC. 664. PERSONNEL DEVELOPMENT TO IMPROVE SERVICES AND RESULTS FOR
CHILDREN WITH DISABILITIES.
``(a) In General.--The Secretary, on a competitive basis, shall
award grants to, or enter into contracts or cooperative agreements
with, eligible entities for 1 or more of the following:
``(1) To help address the needs identified in the State
plan described in section 653(a)(2) for highly qualified
personnel, as defined in section 651(b), to work with infants,
toddlers, or children with disabilities, consistent with the
standards described in section 612(a)(14).
``(2) To ensure that those personnel have the necessary
skills and knowledge, derived from practices that have been
determined, through scientifically based research, to be
successful in serving those children.
``(3) To encourage increased focus on academics and core
content areas in special education personnel preparation
programs.
``(4) To ensure that regular education teachers have the
necessary skills and knowledge to provide instruction to
students with disabilities in the regular education classroom.
``(5) To ensure that all special education teachers are
highly qualified.
``(6) To ensure that preservice and in-service personnel
preparation programs include training in--
``(A) the use of new technologies;
``(B) the area of early intervention, educational,
and transition services;
``(C) effectively involving parents; and
``(D) positive behavioral supports.
``(7) To provide high-quality professional development for
principals, superintendents, and other administrators,
including training in--
``(A) instructional leadership;
``(B) behavioral supports in the school and
classroom;
``(C) paperwork reduction;
``(D) promoting improved collaboration between
special education and general education teachers;
``(E) assessment and accountability;
``(F) ensuring effective learning environments; and
``(G) fostering positive relationships with
parents.
``(b) Personnel Development; Authorized Activities.--
``(1) In general.--In carrying out this section, the
Secretary shall support activities to prepare personnel,
including activities for the preparation of personnel who will
serve children with high-incidence and low-incidence
disabilities, consistent with the objectives described in
subsection (a).
``(2) Authorized activities.--Activities that may be
carried out under this subsection include the following:
``(A) Supporting collaborative personnel
preparation activities undertaken by institutions of
higher education, local educational agencies, and other
local entities--
``(i) to improve and reform their existing
programs, to support effective existing
programs, to support the development of new
programs, and to prepare teachers, principals,
administrators, and related services
personnel--
``(I) to meet the diverse needs of
children with disabilities for early
intervention, educational, and
transitional services; and
``(II) to work collaboratively in
regular classroom settings; and
``(ii) to incorporate best practices and
scientifically based research about preparing
personnel--
``(I) so the personnel will have
the knowledge and skills to improve
educational results for children with
disabilities; and
``(II) to implement effective
teaching strategies and interventions
to prevent the misidentification,
overidentification, or
underidentification of children as
having a disability, especially
minority and limited English proficient
children.
``(B) Developing, evaluating, and disseminating
innovative models for the recruitment, induction,
retention, and assessment of highly qualified teachers
to reduce teachers shortages.
``(C) Providing continuous personnel preparation,
training, and professional development designed to
provide support and ensure retention of teachers and
personnel who teach and provide related services to
children with disabilities.
``(D) Developing and improving programs for
paraprofessionals to become special education teachers,
related services personnel, and early intervention
personnel, including interdisciplinary training to
enable the paraprofessionals to improve early
intervention, educational, and transitional results for
children with disabilities.
``(E) Demonstrating models for the preparation of,
and interdisciplinary training of, early intervention,
special education, and general education personnel, to
enable the personnel to acquire the collaboration
skills necessary to work within teams and to improve
results for children with disabilities, particularly
within the general education curriculum.
``(F) Promoting effective parental involvement
practices to enable the personnel to work with parents
and involve parents in the education of such parents'
children.
``(G) Promoting the transferability, across State
and local jurisdictions, of licensure and certification
of teachers, principals, and administrators working
with such children.
``(H) Developing and disseminating models that
prepare teachers with strategies, including positive
behavioral interventions, for addressing the conduct of
children with disabilities that impedes their learning
and that of others in the classroom.
``(I) Developing and improving programs to enhance
the ability of early childhood providers, general
education teachers, principals, school administrators,
related services personnel, and school board members to
improve results for children with disabilities.
``(J) Supporting institutions of higher education
with minority enrollments of at least 25 percent for
the purpose of preparing personnel to work with
children with disabilities.
``(K) Preparing personnel to work in high need
elementary schools and secondary schools, including
urban schools, rural schools, and schools operated by
an entity described in section 7113(d)(1)(A)(ii) of the
Elementary and Secondary Education Act of 1965, and
schools that serve high numbers or percentages of
limited English proficient children.
``(L) Developing, evaluating, and disseminating
innovative models for the recruitment, induction,
retention, and assessment of new, highly qualified
teachers, especially from groups that are
underrepresented in the teaching profession, including
individuals with disabilities.
``(M) Developing and improving programs to train
special education teachers to develop an expertise in
autism spectrum disorders.
``(c) Low Incidence Disabilities; Authorized Activities.--
``(1) In general.--In carrying out this section, the
Secretary shall support activities, consistent with the
objectives described in subsection (a), that benefit children
with low incidence disabilities.
``(2) Authorized activities.--Activities that may be
carried out under this subsection include activities such as
the following:
``(A) Preparing persons who--
``(i) have prior training in educational
and other related service fields; and
``(ii) are studying to obtain degrees,
certificates, or licensure that will enable the
persons to assist children with low incidence
disabilities to achieve the objectives set out
in their individualized education programs
described in section 614(d), or to assist
infants and toddlers with low incidence
disabilities to achieve the outcomes described
in their individualized family service plans
described in section 636.
``(B) Providing personnel from various disciplines
with interdisciplinary training that will contribute to
improvement in early intervention, educational, and
transitional results for children with low incidence
disabilities.
``(C) Preparing personnel in the innovative uses
and application of technology, including universally
designed technologies, assistive technology devices,
and assistive technology services--
``(i) to enhance learning by children with
low incidence disabilities through early
intervention, educational, and transitional
services; and
``(ii) to improve communication with
parents.
``(D) Preparing personnel who provide services to
visually impaired or blind children to teach and use
Braille in the provision of services to such children.
``(E) Preparing personnel to be qualified
educational interpreters, to assist children with low
incidence disabilities, particularly deaf and hard of
hearing children in school and school related
activities, and deaf and hard of hearing infants and
toddlers and preschool children in early intervention
and preschool programs.
``(F) Preparing personnel who provide services to
children with significant cognitive disabilities and
children with multiple disabilities.
``(3) Definition.--As used in this section, the term `low
incidence disability' means--
``(A) a visual or hearing impairment, or
simultaneous visual and hearing impairments;
``(B) a significant cognitive impairment; or
``(C) any impairment for which a small number of
personnel with highly specialized skills and knowledge
are needed in order for children with that impairment
to receive early intervention services or a free
appropriate public education.
``(4) Selection of recipients.--In selecting recipients
under this subsection, the Secretary may give preference to
eligible entities submitting applications that include 1 or
more of the following:
``(A) A proposal to prepare personnel in more than
1 low incidence disability, such as deafness and
blindness.
``(B) A demonstration of an effective collaboration
with an eligible entity and a local educational agency
that promotes recruitment and subsequent retention of
highly qualified personnel to serve children with
disabilities.
``(5) Preparation in use of braille.--The Secretary shall
ensure that all recipients of assistance under this subsection
who will use that assistance to prepare personnel to provide
services to visually impaired or blind children that can
appropriately be provided in Braille will prepare those
individuals to provide those services in Braille.
``(d) Leadership Preparation; Authorized Activities.--
``(1) In general.--In carrying out this section, the
Secretary shall support leadership preparation activities that
are consistent with the objectives described in subsection (a).
``(2) Authorized activities.--Activities that may be
carried out under this subsection include activities such as
the following:
``(A) Preparing personnel at the graduate,
doctoral, and postdoctoral levels of training to
administer, enhance, or provide services to improve
results for children with disabilities.
``(B) Providing interdisciplinary training for
various types of leadership personnel, including
teacher preparation faculty, administrators,
researchers, supervisors, principals, related services
personnel, and other persons whose work affects early
intervention, educational, and transitional services
for children with disabilities.
``(e) Enhanced Support and Training for Beginning Special
Educators; Authorized Activities.--
``(1) In general.--In carrying out this section, the
Secretary shall support personnel preparation activities that
are consistent with the objectives described in subsection (a).
``(2) Authorized activities.--Activities that may be
carried out under this subsection include--
``(A) enhancing and restructuring an existing
program or developing a preservice teacher education
program, to prepare special education teachers, at
colleges or departments of education within the
institution of higher education, by incorporating an
additional 5th year clinical learning opportunity,
field experience, or supervised practicum into a
program of preparation and coursework for special
education teachers; or
``(B) Creating or supporting professional
development schools that provide--
``(i) high quality mentoring and induction
opportunities with ongoing support for
beginning special education teachers; or
``(ii) inservice professional development
to veteran special education teachers through
the ongoing exchange of information and
instructional strategies.
``(3) Eligible partnerships.--Eligible recipients of
assistance under this subsection are partnerships--
``(A) that shall consist of--
``(i) 1 or more institutions of higher
education with special education personnel
preparation programs; and
``(ii) 1 or more local educational
agencies; and
``(iii) in the case of activities assisted
under paragraph (2)(B), an elementary school or
secondary school; and
``(B) that may include other entities eligible for
assistance under this part, such as a State educational
agency.
``(4) Priority.--In awarding grants or entering into
contracts or cooperative agreements under this subsection, the
Secretary shall give priority to partnerships that include
local educational agencies that serve--
``(A) high numbers or percentages of low-income
students; or
``(B) schools that have failed to make adequate
yearly progress toward enabling children with
disabilities to meet academic achievement standards.
``(f) Training To Support General Educators; Authorized
Activities.--
``(1) In general.--In carrying out this section, the
Secretary shall support personnel preparation activities that
are consistent with the objectives described in subsection (a).
``(2) Authorized activities.--Activities that may be
carried out under this subsection include--
``(A) high quality professional development for
general educators that develops the knowledge and
skills, and enhances the ability, of general educators
to--
``(i) use classroom-based techniques to
identify students who may be eligible for
special education services, and deliver
instruction in a way that meets the
individualized needs of children with
disabilities through appropriate supports,
accommodations, and curriculum modifications;
``(ii) use classroom-based techniques, such
as scientifically based reading instruction;
``(iii) work collaboratively with special
education teachers and related services
personnel;
``(iv) implement strategies, such as
positive behavioral interventions--
``(I) to address the behavior of
children with disabilities that impedes
the learning of such children and
others; or
``(II) to prevent children from
being misidentified as children with
disabilities;
``(v) prepare children with disabilities to
participate in statewide assessments (with or
without accommodations) and alternate
assessments, as appropriate;
``(vi) develop effective practices for
ensuring that all children with disabilities
are a part of all accountability systems under
the Elementary and Secondary Education Act of
1965;
``(vii) work with and involve parents of
children with disabilities in their child's
education;
``(viii) understand how to effectively
construct IEPs, participate in IEP meetings,
and implement IEPs; and
``(ix) in the case of principals and
superintendents, be instructional leaders and
promote improved collaboration between general
educators, special education teachers, and
related services personnel; and
``(B) release and planning time for the activities
described in this subsection.
``(3) Eligible partnerships.--Eligible recipients of
assistance under this subsection are partnerships--
``(A) that consist of--
``(i) 1 or more institutions of higher
education with special education personnel
preparation programs; and
``(ii) 1 or more local educational
agencies; and
``(B) that may include other entities eligible for
assistance under this part, such as a State educational
agency.
``(g) Applications.--
``(1) In general.--Any eligible entity that desires to
receive a grant, or enter into a contract or cooperative
agreement, under this section shall submit an application to
the Secretary at such time, in such manner, and containing such
information as the Secretary may require.
``(2) Identified state needs.--
``(A) Requirement to address identified needs.--Any
application under subsection (b), (c), (d), (e), or (f)
shall include information demonstrating to the
satisfaction of the Secretary that the activities
described in the application will address needs
identified by the State or States the applicant
proposes to serve, consistent with the needs identified
in the State plan described in section 653(a)(2).
``(B) Cooperation with state educational
agencies.--Any applicant that is not a local
educational agency or a State educational agency shall
include in the application information demonstrating to
the satisfaction of the Secretary that the applicant
and 1 or more State educational agencies or local
educational agencies have engaged in a cooperative
effort to carry out and monitor the project to be
assisted.
``(3) Acceptance by states of personnel preparation
requirements.--The Secretary may require applicants to provide
assurances from 1 or more States that such States intend to
accept successful completion of the proposed personnel
preparation program as meeting State personnel standards for
serving children with disabilities or serving infants and
toddlers with disabilities.
``(h) Selection of Recipients.--
``(1) Impact of project.--In selecting award recipients
under this section, the Secretary shall consider the impact of
the proposed project described in the application in meeting
the need for personnel identified by the States.
``(2) Requirement for applicants to meet state and
professional standards.--The Secretary shall make grants and
enter into contracts and cooperative agreements under this
section only to eligible applicants that meet State and
professionally recognized standards for the preparation of
special education and related services personnel, if the
purpose of the project is to assist personnel in obtaining
degrees.
``(3) Preferences.--In selecting recipients under this
section, the Secretary may give preference to institutions of
higher education that are--
``(A) educating regular education personnel to meet
the needs of children with disabilities in integrated
settings;
``(B) educating special education personnel to work
in collaboration with regular educators in integrated
settings; and
``(C) successfully recruiting and preparing
individuals with disabilities and individuals from
groups that are underrepresented in the profession for
which the institution of higher education is preparing
individuals.
``(i) Service Obligation.--Each application for funds under
subsections (b), (c), (d), and (e) shall include an assurance that the
applicant will ensure that individuals who receive assistance under the
proposed project will subsequently provide special education and
related services to children with disabilities for a period of 1 year
for every year for which assistance was received, or repay all or part
of the cost of that assistance, in accordance with regulations issued
by the Secretary.
``(j) Scholarships.--The Secretary may include funds for
scholarships, with necessary stipends and allowances, in awards under
subsections (b), (c), (d), and (e).
``(k) Authorization of Appropriations.--There are authorized to be
appropriated to carry out this section such sums as may be necessary
for each of the fiscal years 2004 through 2009.
``SEC. 665. STUDIES AND EVALUATIONS.
``(a) Studies and Evaluations.--
``(1) Delegation.--The Secretary shall delegate to the
Director of the Institute for Education Sciences responsibility
to carry out this section, other than subsections (d) and (f).
``(2) Assessment.--The Secretary shall, directly or through
grants, contracts, or cooperative agreements awarded on a
competitive basis, assess the progress in the implementation of
this Act, including the effectiveness of State and local
efforts to provide--
``(A) a free appropriate public education to
children with disabilities; and
``(B) early intervention services to infants and
toddlers with disabilities, and infants and toddlers
who would be at risk of having substantial
developmental delays if early intervention services
were not provided to them.
``(b) National Assessment.--
``(1) In general.--The Secretary shall carry out a national
assessment of activities carried out with Federal funds under
this Act in order--
``(A) to determine the effectiveness of this Act in
achieving its purposes;
``(B) to provide timely information to the
President, Congress, the States, local educational
agencies, and the public on how to implement this Act
more effectively; and
``(C) to provide the President and Congress with
information that will be useful in developing
legislation to achieve the purposes of this Act more
effectively.
``(2) Consultation.--The Secretary shall plan, review, and
conduct the national assessment under this subsection in
consultation with researchers, State practitioners, local
practitioners, parents of children with disabilities, and other
appropriate individuals.
``(3) Scope of assessment.--The national assessment shall
assess the--
``(A) implementation of programs assisted under
this Act and the impact of those programs on addressing
the developmental, educational, and transitional needs
of, and improving the academic achievement and
functional outcomes of, children with disabilities to
enable the children to reach challenging developmental
goals and challenging State academic content standards
based on State academic assessments, including
alternate assessments;
``(B) types of programs and services that have
demonstrated the greatest likelihood of helping
students reach the challenging State academic content
standards and developmental goals;
``(C) implementation of the personnel preparation
and professional development activities assisted under
this Act and the impact on instruction, student
academic achievement, and teacher qualifications to
enhance the ability of special education teachers and
regular education teachers to improve results for
children with disabilities; and
``(D) effectiveness of schools, local educational
agencies, States, and other recipients of assistance
under this Act, in achieving the purposes of this Act
in--
``(i) improving the academic achievement of
children with disabilities and their
performance on regular statewide assessments,
and the performance of children with
disabilities on alternate assessments;
``(ii) improving the participation rate of
children with disabilities in the general
education curriculum;
``(iii) improving the transitions of
children with disabilities at natural
transition points;
``(iv) placing and serving children with
disabilities, including minority children, in
the least restrictive environment appropriate;
``(v) preventing children with
disabilities, especially children with
emotional disturbances and specific learning
disabilities, from dropping out of school;
``(vi) addressing the reading and literacy
needs of children with disabilities;
``(vii) coordinating services provided
under this Act with each other, with other
educational and pupil services (including
preschool services), and with health and social
services funded from other sources;
``(viii) improving the participation of
parents of children with disabilities in the
education of their children;
``(ix) resolving disagreements between
education personnel and parents through
alternative dispute resolution activities
including mediation; and
``(x) reducing the misidentification of
children, especially minority and limited
English proficient children.
``(4) Interim and final reports.--The Secretary shall
submit to the President and Congress--
``(A) an interim report that summarizes the
preliminary findings of the national assessment not
later than 3 years after the date of enactment of the
Individuals with Disabilities Education Improvement Act
of 2004; and
``(B) a final report of the findings of the
assessment not later than 5 years after the date of
enactment of the Individuals with Disabilities
Education Improvement Act of 2004.
``(c) Study on Ensuring Accountability for Students Who Are Held to
Alternative Achivement Standards.--The Secretary shall carry out a
national study or studies to examine--
``(1) the criteria that States use to determine--
``(A) eligibility for alternate assessments; and
``(B) the number and type of children who take
those assessments and are held accountable to alternate
achievement standards;
``(2) the validity and reliability of alternate assessment
instruments and procedures;
``(3) the alignment of alternate assessments and
alternative achievement standards to State academic content
standards in reading, mathematics, and science; and
``(4) the use and effectiveness of alternate assessments in
appropriately measuring student progress and outcomes specific
to individualized instructional need.
``(d) Annual Report.--The Secretary shall provide an annual report
to Congress that--
``(1) summarizes the research conducted under section 662;
``(2) analyzes and summarizes the data reported by the
States and the Secretary of the Interior under section 618;
``(3) summarizes the studies and evaluations conducted
under this section and the timeline for their completion;
``(4) describes the extent and progress of the national
assessment; and
``(5) describes the findings and determinations resulting
from reviews of State implementation of this Act.
``(e) Authorized Activities.--In carrying out this section, the
Secretary may support objective studies, evaluations, and assessments,
including studies that--
``(1) analyze measurable impact, outcomes, and results
achieved by State educational agencies and local educational
agencies through their activities to reform policies,
procedures, and practices designed to improve educational and
transitional services and results for children with
disabilities;
``(2) analyze State and local needs for professional
development, parent training, and other appropriate activities
that can reduce the need for disciplinary actions involving
children with disabilities;
``(3) assess educational and transitional services and
results for children with disabilities from minority
backgrounds, including--
``(A) data on--
``(i) the number of minority children who
are referred for special education evaluation;
``(ii) the number of minority children who
are receiving special education and related
services and their educational or other service
placement;
``(iii) the number of minority children who
graduated from secondary programs with a
regular diploma in the standard number of
years; and
``(iv) the number of minority children who
drop out of the educational system; and
``(B) the performance of children with disabilities
from minority backgrounds on State assessments and
other performance indicators established for all
students;
``(4) measure educational and transitional services and
results of children with disabilities served under this Act,
including longitudinal studies that--
``(A) examine educational and transitional services
and results for children with disabilities who are 3
through 17 years of age and are receiving special
education and related services under this Act, using a
national, representative sample of distinct age cohorts
and disability categories; and
``(B) examine educational results, transition
services, postsecondary placement, and employment
status of individuals with disabilities, 18 through 21
years of age, who are receiving or have received
special education and related services under this Act;
and
``(5) identify and report on the placement of children with
disabilities by disability category.
``(f) Study.--The Secretary shall study, and report to Congress
regarding, the extent to which States adopt policies described in
section 635(b)(1) and on the effects of those policies.
``(g) Reservation for Studies and Evaluations.--
``(1) In general.--Except as provided in paragraph (2) and
notwithstanding any other provision of this Act, the Secretary
may reserve not more than \1/2\ of 1 percent of the amount
appropriated under parts B and C for each fiscal year to carry
out this section, of which not more than $3,000,000 shall be
available to carry out subsection (c).
``(2) Maximum amount.--The maximum amount the Secretary may
reserve under paragraph (1) for any fiscal year is $40,000,000,
increased by the cumulative rate of inflation since fiscal year
2003.
``Subpart 3--Supports To Improve Results for Children With Disabilities
``SEC. 670. PURPOSES.
``The purposes of this subpart are to ensure that--
``(1) children with disabilities and their parents receive
training and information on their rights, responsibilities, and
protections under this Act, in order to develop the skills
necessary to cooperatively and effectively participate in
planning and decision making relating to early intervention,
educational, and transitional services;
``(2) parents, teachers, administrators, early intervention
personnel, related services personnel, and transition personnel
receive coordinated and accessible technical assistance and
information to assist them in improving early intervention,
educational, and transitional services and results for children
with disabilities and their families; and
``(3) appropriate technology and media are researched,
developed, and demonstrated, to improve and implement early
intervention, educational, and transitional services and
results for children with disabilities and their families.
``SEC. 671. PARENT TRAINING AND INFORMATION CENTERS.
``(a) Program Authorized.--The Secretary may award grants to, and
enter into contracts and cooperative agreements with, parent
organizations to support parent training and information centers to
carry out activities under this section.
``(b) Required Activities.--Each parent training and information
center that receives assistance under this section shall--
``(1) provide training and information that meets the needs
of parents of children with disabilities living in the area
served by the center, particularly underserved parents and
parents of children who may be inappropriately identified, to
enable their children with disabilities to--
``(A) meet developmental and functional goals, and
challenging academic achievement goals that have been
established for all children; and
``(B) be prepared to lead productive independent
adult lives, to the maximum extent possible;
``(2) serve the parents of infants, toddlers, and children
with the full range of disabilities described in section
602(3);
``(3) assist parents to--
``(A) better understand the nature of their
children's disabilities and their educational,
developmental, and transitional needs;
``(B) communicate effectively and work
collaboratively with personnel responsible for
providing special education, early intervention
services, transition services, and related services;
``(C) participate in decisionmaking processes and
the development of individualized education programs
under part B and individualized family service plans
under part C;
``(D) obtain appropriate information about the
range, type, and quality of options, programs,
services, technologies, and research based practices
and interventions, and resources available to assist
children with disabilities and their families in school
and at home;
``(E) understand the provisions of this Act for the
education of, and the provision of early intervention
services to, children with disabilities; and
``(F) participate in school reform activities;
``(4) in States where the State elects to contract with the
parent training and information center, contract with State
educational agencies to provide, consistent with subparagraphs
(B) and (D) of section 615(e)(2), individuals who meet with
parents to explain the mediation process to the parents;
``(5) assist parents in resolving disputes in the most
expeditious and effective way possible, including encouraging
the use, and explaining the benefits, of alternative methods of
dispute resolution, such as the mediation process described in
section 615(e);
``(6) assist parents and students with disabilities to
understand their rights and responsibilities under this Act,
including those under section 615(m) on the student's reaching
the age of majority;
``(7) assist parents to understand the availability of, and
how to effectively use, procedural safeguards under this Act;
``(8) assist parents in understanding, preparing for, and
participating in, the process described in section
615(f)(1)(B);
``(9) establish cooperative partnerships with community
parent resource centers funded under section 672;
``(10) network with appropriate clearinghouses, including
organizations conducting national dissemination activities
under section 663, and with other national, State, and local
organizations and agencies, such as protection and advocacy
agencies, that serve parents and families of children with the
full range of disabilities described in section 602(3); and
``(11) annually report to the Secretary on--
``(A) the number and demographics of parents to
whom the center provided information and training in
the most recently concluded fiscal year;
``(B) the effectiveness of strategies used to reach
and serve parents, including underserved parents of
children with disabilities; and
``(C) the number of parents served who have
resolved disputes through alternative methods of
dispute resolution.
``(c) Optional Activities.--A parent training and information
center that receives assistance under this section may provide
information to teachers and other professionals to assist the teachers
and professionals in improving results for children with disabilities.
``(d) Application Requirements.--Each application for assistance
under this section shall identify with specificity the special efforts
that the parent organization will undertake--
``(1) to ensure that the needs for training and information
of underserved parents of children with disabilities in the
area to be served are effectively met; and
``(2) to work with community based organizations.
``(e) Distribution of Funds.--
``(1) In general.--The Secretary shall--
``(A) make at least 1 award to a parent
organization in each State for a parent training and
information center which is designated as the statewide
parent training and information center; or
``(B) in the case of a large State, make awards to
multiple parent training and information centers, but
only if the centers demonstrate that coordinated
services and supports will occur among the multiple
centers.
``(2) Selection requirement.--The Secretary shall select
among applications submitted by parent organizations in a State
in a manner that ensures the most effective assistance to
parents, including parents in urban and rural areas, in the
State.
``(f) Quarterly Review.--
``(1) Meetings.--The board of directors of each parent
organization that receives an award under this section shall
meet at least once in each calendar quarter to review the
activities for which the award was made.
``(2) Continuation award.--When an organization requests a
continuation award under this section, the board of directors
shall submit to the Secretary a written review of the parent
training and information program conducted by the organization
during the preceding fiscal year.
``(g) Definition of Parent Organization.--As used in this section,
the term `parent organization' means a private nonprofit organization
(other than an institution of higher education) that--
``(1) has a board of directors--
``(A) the majority of whom are parents of children
with disabilities ages birth through 26;
``(B) that includes--
``(i) individuals working in the fields of
special education, related services, and early
intervention; and
``(ii) individuals with disabilities;
``(C) the parent and professional members of which
are broadly representative of the population to be
served; and
``(2) has as its mission serving families of children and
youth with disabilities who--
``(A) are ages birth through 26; and
``(B) have the full range of disabilities described
in section 602(3).
``SEC. 672. COMMUNITY PARENT RESOURCE CENTERS.
``(a) In General.--The Secretary may award grants to, and enter
into contracts and cooperative agreements with, local parent
organizations to support parent training and information centers that
will help ensure that underserved parents of children with
disabilities, including low income parents, parents of children with
limited English proficiency, and parents with disabilities, have the
training and information the parents need to enable the parents to
participate effectively in helping their children with disabilities--
``(1) to meet developmental and functional goals, and
challenging academic achievement goals that have been
established for all children; and
``(2) to be prepared to lead productive independent adult
lives, to the maximum extent possible.
``(b) Required Activities.--Each community parent resource center
assisted under this section shall--
``(1) provide training and information that meets the
training and information needs of parents of children with
disabilities proposed to be served by the grant, contract, or
cooperative agreement;
``(2) carry out the activities required of parent training
and information centers under paragraphs (2) through (9) of
section 671(b);
``(3) establish cooperative partnerships with the parent
training and information centers funded under section 671; and
``(4) be designed to meet the specific needs of families
who experience significant isolation from available sources of
information and support.
``(c) Definition.--As used in this section, the term `local parent
organization' means a parent organization, as defined in section
671(g), that--
``(1) has a board of directors the majority of whom are
parents of children with disabilities ages birth through 26
from the community to be served; and
``(2) has as its mission serving parents of children with
disabilities who--
``(A) are ages birth through 26; and
``(B) have the full range of disabilities described
in section 602(3).
``SEC. 673. TECHNICAL ASSISTANCE FOR PARENT TRAINING AND INFORMATION
CENTERS.
``(a) In General.--The Secretary may make an award to 1 parent
organization (as defined in section 671(g)) that receives assistance
under section 671 to enable the parent organization to provide
technical assistance for developing, assisting, and coordinating parent
training and information programs carried out by parent training and
information centers receiving assistance under sections 671 and 672.
``(b) Authorized Activities.--The Secretary may provide technical
assistance to a parent training and information center under this
section in areas such as--
``(1) effective national coordination of parent training
efforts, which includes encouraging collaborative efforts among
award recipients under sections 671 and 672;
``(2) dissemination of information, scientifically based
research, and research based practices and interventions;
``(3) promotion of the use of technology, including
universally designed technologies, assistive technology
devices, and assistive technology services;
``(4) reaching underserved populations;
``(5) including children with disabilities in general
education programs;
``(6) facilitation of transitions from--
``(A) early intervention services to preschool;
``(B) preschool to elementary school;
``(C) elementary school to secondary school; and
``(D) secondary school to postsecondary
environments; and
``(7) promotion of alternative methods of dispute
resolution, including mediation.
``(c) Regional Parent Centers.--The recipient of the award
described in section 673(a) shall establish no fewer than 4 regional
centers from the parent training and information centers and community
parent resource centers receiving assistance under sections 671 and 672
for the purpose of carrying out the authorized activities described in
subsection (b). These regional centers shall be selected on the basis
of the center's--
``(1) willingness to be a regional parent center;
``(2) demonstrated expertise in the delivery of required
parent training and information center activities described in
section 671(b);
``(3) demonstrated capacity to deliver the authorized
activities described in subsection (b);
``(4) history of collaboration with other parent training
and information centers, community parent resource centers,
regional resource centers, clearinghouses, and other projects;
and
``(5) geographic location.
``(d) Collaboration With the Resource Centers.--The recipient of
the award described in subsection (a), in conjunction with the regional
parent centers described in subsection (c), shall develop collaborative
agreements with the geographically appropriate Regional Resource Center
to further parent and professional collaboration.
``SEC. 674. TECHNOLOGY DEVELOPMENT, DEMONSTRATION, AND UTILIZATION; AND
MEDIA SERVICES.
``(a) In General.--The Secretary, on a competitive basis, shall
award grants to, and enter into contracts and cooperative agreements
with, eligible entities to support activities described in subsections
(b) and (c).
``(b) Technology Development, Demonstration, and Use.--
``(1) In general.--In carrying out this section, the
Secretary shall support activities to promote the development,
demonstration, and use of technology.
``(2) Authorized activities.--The following activities may
be carried out under this subsection:
``(A) Conducting research on and promoting the
demonstration and use of innovative, emerging, and
universally designed technologies for children with
disabilities, by improving the transfer of technology
from research and development to practice.
``(B) Supporting research, development, and
dissemination of technology with universal design
features, so that the technology is accessible to the
broadest range of individuals with disabilities without
further modification or adaptation.
``(C) Demonstrating the use of systems to provide
parents and teachers with information and training
concerning early diagnosis of, intervention for, and
effective teaching strategies for, young children with
reading disabilities.
``(D) Supporting the use of Internet-based
communications for students with cognitive disabilities
in order to maximize their academic and functional
skills.
``(c) Educational Media Services; Optional Activities.--
``(1) In general.--In carrying out this section, the
Secretary shall support--
``(A) educational media activities that are
designed to be of educational value in the classroom
setting to children with disabilities;
``(B) providing video description, open captioning,
or closed captioning, that is appropriate for use in
the classroom setting, of--
``(i) television programs;
``(ii) videos;
``(iii) other materials, including programs
and materials associated with new and emerging
technologies, such as CDs, DVDs, video
streaming, and other forms of multimedia; or
``(iv) news (but only until September 30,
2006);
``(C) distributing materials described in
subparagraphs (A) and (B) through such mechanisms as a
loan service; and
``(D) providing free educational materials,
including textbooks, in accessible media for visually
impaired and print disabled students in elementary
schools and secondary schools.
``(2) Limitation.--The video description, open captioning,
or closed captioning described in paragraph (1)(B) shall only
be provided when the description or captioning has not been
previously provided by the producer or distributor, or has not
been fully funded by other sources.
``(d) Applications.--Any eligible entity that wishes to receive a
grant, or enter into a contract or cooperative agreement, under this
section shall submit an application to the Secretary at such time, in
such manner, and containing such information as the Secretary may
require.
``(e) Authorization of Appropriations.--There are authorized to be
appropriated to carry out this section such sums as may be necessary
for each of the fiscal years 2004 through 2009.
``SEC. 675. ACCESSIBILITY OF INSTRUCTIONAL MATERIALS.
``(a) Instructional Materials Accessibility Standard.--
``(1) Accessibility standard.--Not later than 180 days
after the date of enactment of the Individuals with
Disabilities Education Improvement Act of 2004, the Secretary
shall, by rulemaking, promulgate an Instructional Materials
Accessibility Standard which shall constitute the technical
standards to be used by publishers for the preparation of
electronic files for States under section 612(a)(22).
``(2) Relationship to other laws.--For purposes of this
section:
``(A) Authorized entity.--Notwithstanding the
provisions of section 106 of title 17, United States
Code, it is not an infringement of copyright for an
authorized entity to reproduce or to distribute copies
of the electronic files described in section
612(a)(22)(B), containing the contents of the print
instructional materials using the Instructional
Materials Accessibility Standard, if such copies are
used solely for reproduction or distribution of the
contents of such print instructional materials in
specialized formats designed exclusively for use by the
blind or other persons with print disabilities.
``(B) Publisher.--Notwithstanding the provisions of
section of 106 of title 17, United States Code, it is
not an infringement of copyright for a publisher to
create and distribute copies of the electronic files
described in section 612(a)(22)(B), containing the
contents of the print instructional materials using the
Instructional Material Accessibility Standard, if such
copies are used solely for reproduction or distribution
of the contents of such print instructional materials
in specialized formats designed exclusively for use by
the blind or other persons with print disabilities.
``(C) Copies.--Copies of the electronic files
containing the contents of the print instructional
materials using the Instructional Materials
Accessibility Standard shall be made in compliance with
the provisions of section 121(b) of title 17, United
States Code, regarding the reproduction and
distribution of copyrighted print instructional
materials in specialized formats.
``(3) Definitions.--In this section:
``(A) Instructional materials accessibility
standard.--The term `Instructional Materials
Accessibility Standard' means the technical standards
described in paragraph (2), to be used in the
preparation of electronic files suitable and used
solely for efficient conversion into specialized
formats.
``(B) Blind or other persons with print
disabilities.--The term `blind or other persons with
print disabilities' means children served under this
Act and who may qualify in accordance with the Act
entitled ``An Act to provide books for the adult
blind'', approved March 3, 1931 (2 U.S.C. 135a; 46
Stat. 1487) to receive books and other publications
produced in specialized formats.
``(C) Specialized formats.--The term `specialized
formats' has the meaning given the term in section
121(c)(3) of title 17, United States Code, and for the
purposes of this section, includes synthesized speech,
digital audio, and large print.
``(D) Print instructional materials.--The term
`print instructional materials' means printed textbooks
and related printed core materials that are written and
published primarily for use in elementary school and
secondary school instruction and are required by a
State educational agency or local educational agency
for use by pupils in the classroom.
``(E) Authorized entity.--The term `authorized
entity' has the meaning given the term in section
121(c)(1) of title 17, United States Code.
``(4) Applicability.--This section shall apply to print
instructional materials published and copyrighted after the
date on which the final rule establishing the Instructional
Materials Accessibility Standard is published in the Federal
Register.
``(b) National Instructional Materials Access Center.--
``(1) Establishment.--Not later than 2 years after the date
of enactment of the Individuals with Disabilities Education
Improvement Act of 2004, the Secretary shall establish a
center, to be known as the National Instructional Materials
Access Center, which shall coordinate the acquisition and
distribution of print instructional materials prepared in the
Instructional Materials Accessibility Standard described in
subsection (a)(2).
``(2) Responsibilities.--The duties of the National
Instructional Materials Access Center are the following:
``(A) To receive and maintain a catalog of print
instructional materials made available under section
612(a)(22) and section 613(a)(6).
``(B) To provide authorized entities with access to
such print instructional materials, free of charge, in
accordance with such terms and procedures as the
National Instructional Materials Access Center may
prescribe.
``(C) To develop, adopt, and publish procedures to
protect against copyright infringement and otherwise to
administratively assure compliance with title 17,
United States Code, with respect to the print
instructional materials provided under section
612(a)(22) and section 613(a)(6).
``(3) Contract authorized.--To assist in carrying out
paragraph (1), the Secretary shall award, on a competitive
basis, a contract renewable on a biennial basis with a
nonprofit organization, or with a consortium of such
organizations, determined by the Secretary to be best qualified
to carry out the responsibilities described in paragraph (2).
The contractor shall report directly to the Assistant Secretary
for Special Education and Rehabilitative Services.
``(4) Authorization of appropriations.--There are
authorized to be appropriated to carry out this subsection such
sums as may be necessary.
``SEC. 676. AUTHORIZATION OF APPROPRIATIONS.
``There are authorized to be appropriated to carry out sections
671, 672, 673, and 663 such sums as may be necessary for each of the
fiscal years 2004 through 2009.
``Subpart 4--Interim Alternative Educational Settings, Behavioral
Supports, and Whole School Interventions
``SEC. 681. PURPOSE.
``The purpose of this subpart is to authorize resources to foster a
safe learning environment that supports academic achievement for all
students by improving the quality of interim alternative educational
settings, providing more behavioral supports in schools, and supporting
whole school interventions.
``SEC. 682. DEFINITION OF ELIGIBLE ENTITY.
``In this subpart, the term `eligible entity' means--
``(1) a local educational agency; or
``(2) a consortium consisting of a local educational agency
and 1 or more of the following entities:
``(A) another local educational agency;
``(B) a community-based organization with a
demonstrated record of effectiveness in helping
children with disabilities who have behavioral
challenges succeed;
``(C) an institution of higher education;
``(D) a mental health provider; or
``(E) an educational service agency.
``SEC. 683. PROGRAM AUTHORIZED.
``The Secretary is authorized to award grants, on a competitive
basis, to eligible entities to enable the eligible entities--
``(1) to establish or expand behavioral supports and whole
school behavioral interventions by providing for effective,
research-based practices, including--
``(A) comprehensive, early screening efforts for
students at risk for emotional and behavioral
difficulties;
``(B) training for school staff on early
identification, prereferral, and referral procedures;
``(C) training for administrators, teachers,
related services personnel, behavioral specialists, and
other school staff in whole school positive behavioral
interventions and supports, behavioral intervention
planning, and classroom and student management
techniques;
``(D) joint training for administrators, parents,
teachers, related services personnel, behavioral
specialists, and other school staff on effective
strategies for positive behavioral interventions and
behavior management strategies that focus on the
prevention of behavior problems;
``(E) developing or implementing specific
curricula, programs, or interventions aimed at
addressing behavioral problems;
``(F) stronger linkages between school-based
services and community-based resources, such as
community mental health and primary care providers; or
``(G) using behavioral specialists, related
services personnel, and other staff necessary to
implement behavioral supports; or
``(2) to improve interim alternative educational settings
by--
``(A) improving the training of administrators,
teachers, related services personnel, behavioral
specialists, and other school staff (including ongoing
mentoring of new teachers);
``(B) attracting and retaining a high quality,
diverse staff;
``(C) providing for on-site counseling services;
``(D) using research-based interventions,
curriculum, and practices;
``(E) allowing students to use instructional
technology that provides individualized instruction;
``(F) ensuring that the services are fully
consistent with the goals of the individual student's
IEP;
``(G) promoting effective case management and
collaboration among parents, teachers, physicians,
related services personnel, behavioral specialists,
principals, administrators, and other school staff;
``(H) promoting interagency coordination and
coordinated service delivery among schools, juvenile
courts, child welfare agencies, community mental health
providers, primary care providers, public recreation
agencies, and community-based organizations; or
``(I) providing for behavioral specialists to help
students transitioning from interim alternative
educational settings reintegrate into their regular
classrooms.
``SEC. 684. PROGRAM EVALUATIONS.
``(a) Report and Evaluation.--Each eligible entity receiving a
grant under this subpart shall prepare and submit annually to the
Secretary a report on the outcomes of the activities assisted under the
grant.
``(b) Best Practices on Website.--The Secretary shall make
available on the Department's website information for parents,
teachers, and school administrators on best practices for interim
alternative educational settings, behavior supports, and whole school
intervention.
``SEC. 685. AUTHORIZATION OF APPROPRIATIONS.
``There are authorized to be appropriated to carry out this subpart
$50,000,000 for fiscal year 2004 and such sums as may be necessary for
each of the 5 succeeding fiscal years.''.
TITLE II--AMENDMENTS TO THE REHABILITATION ACT OF 1973
SEC. 201. FINDINGS.
Section 2(a) of the Rehabilitation Act of 1973 (29 U.S.C. 701(a))
is amended--
(1) in paragraph (5), by striking ``and'' at the end;
(2) in paragraph (6), by striking the period and inserting
``; and''; and
(3) by adding at the end the following:
``(7) there is a substantial need to improve and expand
services for students with disabilities under this Act.''.
SEC. 202. DEFINITIONS.
Section 7 of the Rehabilitation Act of 1973 (29 U.S.C. 705) is
amended--
(1) by redesignating paragraphs (35) through (39) as
paragraphs (36), (37), (38), (40), and (41), respectively;
(2) in subparagraph (A)(ii) of paragraph (36) (as
redesignated in paragraph (1)), by striking ``paragraph
(36)(C)'' and inserting ``paragraph (37)(C)'';
(3) by inserting after paragraph (34) the following:
``(35)(A) The term `student with a disability' means an
individual with a disability who--
``(i) is not younger than 14 and not older than 21;
``(ii) has been determined to be eligible under
section 102(a) for assistance under this title; and
``(iii)(I) is eligible for, and is receiving,
special education under part B of the Individuals with
Disabilities Education Act (20 U.S.C. 1411 et seq.); or
``(II) is an individual with a disability, for
purposes of section 504.
``(B) The term `students with disabilities' means more than
1 student with a disability.''; and
(4) by inserting after paragraph (38) the following:
``(39) The term `transition services expansion year'
means--
``(A) the first fiscal year for which the amount
appropriated under section 100(b) exceeds the amount
appropriated under section 100(b) for fiscal year 2004
by not less than $100,000,000; and
``(B) each fiscal year subsequent to that first
fiscal year.''.
SEC. 203. STATE PLAN.
(a) Assessment and Strategies.--Section 101(a)(15) of the
Rehabilitation Act of 1973 (29 U.S.C. 721(a)(15)) is amended--
(1) in subparagraph (A)(i)--
(A) in subclause (II), by striking ``and'' at the
end;
(B) in subclause (III), by adding ``and'' at the
end; and
(C) by adding at the end the following:
``(IV) in a transition services
expansion year, students with
disabilities, including their need for
transition services;''; and
(2) in subparagraph (D)--
(A) by redesignating clauses (iii), (iv), and (v)
as clauses (iv), (v), and (vi), respectively; and
(B) by inserting after clause (ii) the following:
``(iii) in a transition services expansion
year, the methods to be used to improve and
expand vocational rehabilitation services for
students with disabilities, including the
coordination of services designed to facilitate
the transition of such students from the
receipt of educational services in school to
the receipt of vocational rehabilitation
services under this title or to postsecondary
education or employment;''.
(b) Services for Students With Disabilities.--Section 101(a) of the
Rehabilitation Act of 1973 (29 U.S.C. 721(a)) is amended by adding at
the end the following:
``(25) Services for students with disabilities.--The State
plan for a transition services expansion year shall provide an
assurance satisfactory to the Secretary that the State--
``(A) has developed and implemented strategies to
address the needs identified in the assessment
described in paragraph (15), and achieve the goals and
priorities identified by the State, to improve and
expand vocational rehabilitation services for students
with disabilities on a statewide basis in accordance
with paragraph (15); and
``(B) from funds reserved under section 110A, shall
carry out programs or activities designed to improve
and expand vocational rehabilitation services for
students with disabilities that--
``(i) facilitate the transition of the
students with disabilities from the receipt of
educational services in school, to the receipt
of vocational rehabilitation services under
this title, including, at a minimum, those
services specified in the interagency agreement
required in paragraph (11)(D);
``(ii) improve the achievement of post-
school goals of students with disabilities,
including improving the achievement through
participation (as appropriate when vocational
goals are discussed) in meetings regarding
individualized education programs developed
under section 614 of the Individuals with
Disabilities Education Act (20 U.S.C. 1414);
``(iii) provide vocational guidance, career
exploration services, and job search skills and
strategies and technical assistance to students
with disabilities;
``(iv) support the provision of training
and technical assistance to State and local
educational agency and designated State agency
personnel responsible for the planning and
provision of services to students with
disabilities; and
``(v) support outreach activities to
students with disabilities who are eligible
for, and need, services under this title.''.
SEC. 204. SCOPE OF SERVICES.
Section 103 of the Rehabilitation Act of 1973 (29 U.S.C. 723) is
amended--
(1) in subsection (a), by striking paragraph (15) and
inserting the following:
``(15) transition services for students with disabilities,
that facilitate the achievement of the employment outcome
identified in the individualized plan for employment,
including, in a transition services expansion year, services
described in clauses (i) through (iii) of section
101(a)(25)(B);''; and
(2) in subsection (b), by striking paragraph (6) and
inserting the following:
``(6)(A)(i) Consultation and technical assistance services
to assist State and local educational agencies in planning for
the transition of students with disabilities from school to
post-school activities, including employment.
``(ii) In a transition services expansion year, training
and technical assistance described in section
101(a)(25)(B)(iv).
``(B) In a transition services expansion year, services for
groups of individuals with disabilities who meet the
requirements of clauses (i) and (iii) of section 7(35)(A),
including services described in clauses (i), (ii), (iii), and
(v) of section 101(a)(25)(B), to assist in the transition from
school to post-school activities.''.
SEC. 205. STANDARDS AND INDICATORS.
Section 106(a) of the Rehabilitation Act of 1973 (29 U.S.C. 726(a))
is amended by striking paragraph (1)(C) and all that follows through
paragraph (2) and inserting the following:
``(2) Measures.--The standards and indicators shall include
outcome and related measures of program performance that--
``(A) facilitate the accomplishment of the purpose
and policy of this title;
``(B) to the maximum extent practicable, are
consistent with the core indicators of performance, and
corresponding State adjusted levels of performance,
established under section 136(b) of the Workforce
Investment Act of 1998 (29 U.S.C. 2871(b)); and
``(C) include measures of the program's performance
with respect to the transition to post-school
vocational activities, and achievement of the post-
school vocational goals, of students with disabilities
served under the program.''.
SEC. 206. RESERVATION FOR EXPANDED TRANSITION SERVICES.
The Rehabilitation Act of 1973 is amended by inserting after
section 110 (29 U.S.C. 730) the following:
``SEC. 110A. RESERVATION FOR EXPANDED TRANSITION SERVICES.
``(a) Reservation.--From the State allotment under section 110 in a
transition services expansion year, each State shall reserve an amount
calculated by the Commissioner under subsection (b) to carry out
programs and activities under sections 101(a)(25)(B) and 103(b)(6).
``(b) Calculation.--The Commissioner shall calculate the amount to
be reserved for such programs and activities for a fiscal year by each
State by multiplying $50,000,000 by the percentage determined by
dividing--
``(1) the amount allotted to that State under section 110
for the prior fiscal year; by
``(2) the total amount allotted to all States under section
110 for that prior fiscal year.''.
SEC. 207. CONFORMING AMENDMENT.
Section 1(b) of the Rehabilitation Act of 1973 is amended by
inserting after the item relating to section 110 the following:
``Sec. 110A. Reservation for expanded transition services.''.
TITLE III--NATIONAL CENTER FOR SPECIAL EDUCATION RESEARCH
SEC. 301. NATIONAL CENTER FOR SPECIAL EDUCATION RESEARCH.
(a) Amendment.--The Education Sciences Reform Act of 2002 (20
U.S.C. 9501 et seq.) is amended--
(1) by redesignating part E as part F; and
(2) by inserting after part D the following:
``PART E--NATIONAL CENTER FOR SPECIAL EDUCATION RESEARCH
``SEC. 175. ESTABLISHMENT.
``(a) Establishment.--There is established in the Institute a
National Center for Special Education Research.
``(b) Mission.--The mission of the National Center for Special
Education Research (in this part referred to as the `Special Education
Research Center') is--
``(1) to sponsor research to expand knowledge and
understanding of the needs of infants, toddlers, and children
with disabilities in order to improve the developmental,
educational, and transitional results of such individuals;
``(2) to sponsor research to improve services provided
under, and support the implementation of, the Individuals with
Disabilities Education Act; and
``(3) to evaluate the implementation and effectiveness of
the Individuals with Disabilities Education Act in coordination
with the National Center for Education Evaluation and Regional
Assistance.
``(c) Applicability of Education Sciences Reform Act of 2002.--
Parts A and F, and the standards for peer review of applications and
for the conduct and evaluation of research under sections 133(a) and
134, respectively, shall apply to the Secretary, the Director, and the
Commissioner in carrying out this part.
``SEC. 176. COMMISSIONER FOR SPECIAL EDUCATION RESEARCH.
``The Special Education Research Center shall be headed by a
Commissioner for Special Education Research (in this part referred to
as `the Special Education Research Commissioner') who shall have
substantial knowledge of the Special Education Research Center's
activities, including a high level of expertise in the fields of
research, research management, and the education of children with
disabilities.
``SEC. 177. DUTIES.
``(a) General Duties.--The Special Education Research Center shall
carry out research activities under this part consistent with the
mission described in section 175(b), such as activities that--
``(1) improve services provided under the Individuals with
Disabilities Education Act in order to improve--
``(A) academic achievement, functional outcomes,
and educational results for children with disabilities;
and
``(B) developmental outcomes for infants and
toddlers;
``(2) identify scientifically based educational practices
that support learning and improve academic achievement,
functional outcomes, and educational results for all students
with disabilities;
``(3) examine the special needs of preschool aged children,
infants, and toddlers with disabilities, including factors that
may result in developmental delays;
``(4) identify scientifically based related services and
interventions that promote participation and progress in the
general education curriculum and general education settings;
``(5) improve the alignment, compatibility, and development
of valid and reliable assessments, including alternate
assessments, as required by section 1111(b) of the Elementary
and Secondary Education Act of 1965;
``(6) examine State content standards and alternate
assessments for students with significant cognitive impairment
in terms of academic achievement, individualized instructional
need, appropriate education settings, and improved post-school
results;
``(7) examine the educational, developmental, and
transitional needs of children with high incidence and low
incidence disabilities;
``(8) examine the extent to which overidentification and
underidentification of children with disabilities occurs, and
the causes thereof;
``(9) improve reading and literacy skills of children with
disabilities;
``(10) examine and improve secondary and postsecondary
education and transitional outcomes and results for children
with disabilities;
``(11) examine methods of early intervention for children
with disabilities, including children with multiple or complex
developmental delays;
``(12) examine and incorporate universal design concepts in
the development of standards, assessments, curricula, and
instructional methods as a method to improve educational and
transitional results for children with disabilities;
``(13) improve the preparation of personnel, including
early intervention personnel, who provide educational and
related services to children with disabilities to increase the
academic achievement and functional performance of students
with disabilities;
``(14) examine the excess costs of educating a child with a
disability and expenses associated with high cost special
education and related services;
``(15) help parents improve educational results for their
children, particularly related to transition issues; and
``(16) address the unique needs of children with
significant cognitive disabilities.
``(b) Standards.--The Commissioner of Special Education Research
shall ensure that activities assisted under this section--
``(1) conform to high standards of quality, integrity,
accuracy, validity, and reliability;
``(2) are carried out in conjunction with the standards for
the conduct and evaluation of all research and development
established by the National Center for Education Research; and
``(3) are objective, secular, neutral, and nonideological,
and are free of partisan political influence, and racial,
cultural, gender, regional, or disability bias.
``(c) Plan.--The Commissioner of Special Education Research shall
propose to the Director a research plan, developed in collaboration
with the Assistant Secretary for Special Education and Rehabilitative
Services, that--
``(1) is consistent with the priorities and mission of the
Institute and the mission of the Special Education Research
Center;
``(2) is carried out, updated, and modified, as
appropriate;
``(3) is consistent with the purpose of the Individuals
with Disabilities Education Act;
``(4) contains an appropriate balance across all age ranges
and types of children with disabilities;
``(5) provides for research that is objective and uses
measurable indicators to assess its progress and results;
``(6) is coordinated with the comprehensive plan developed
under section 661 of the Individuals with Disabilities
Education Act; and
``(7) provides that the research conducted under part D of
the Individuals with Disabilities Education Act is relevant to
special education practice and policy.
``(d) Grants, Contracts, and Cooperative Agreements.--In carrying
out the duties under this section, the Director may award grants to, or
enter into contracts or cooperative agreements with, eligible entities.
``(e) Applications.--An eligible entity that wishes to receive a
grant, or enter into a contract or cooperative agreement, under this
part shall submit an application to the Director at such time, in such
manner, and containing such information as the Director may require.
``(f) Dissemination.--The Special Education Research Center shall--
``(1) synthesize and disseminate, through the National
Center for Education Evaluation and Regional Assistance, the
findings and results of special education research conducted or
supported by the Special Education Research Center; and
``(2) assist the Director in the preparation of a biennial
report, as described in section 119.
``(g) Authorization of Appropriations.--There are authorized to be
appropriated to carry out this part such sums as may be necessary for
each of fiscal years 2004 through 2009.''.
(b) Conforming Amendments.--
(1) Education sciences reform act of 2002.--The Education
Sciences Reform Act of 2002 (20 U.S.C. 9501 et seq.) is
amended--
(A) in section 111(b)(1)(A) (20 U.S.C.
9511(b)(1)(A)), by inserting ``and special education''
after ``early childhood education''.
(B) in section 111(c)(3) (20 U.S.C. 9511(c)(3))--
(i) in subparagraph (B), by striking
``and'' after the semicolon;
(ii) in subparagraph (C), by striking the
period and inserting ``; and''; and
(iii) by adding at the end the following:
``(D) the National Center for Special Education
Research (as described in part E).'';
(C) in section 115(a) (20 U.S.C. 9515(a)), by
striking ``including those'' and all that follows
through ``such as'' and inserting ``including those
associated with the goals and requirements of the
Elementary and Secondary Education Act of 1965 (20
U.S.C. 6301 et seq.), the Individuals with Disabilities
Education Act (20 U.S.C. 1400 et seq.), and the Higher
Education Act of 1965 (20 U.S.C. 1001 et seq.), such
as''; and
(D) in section 116(c)(4)(A)(ii) (20 U.S.C.
9516(c)(4)(A)(ii) is amended by inserting ``special
education experts,'' after ``early childhood
experts,''.
(2) Elementary and secondary education act of 1965.--
Section 1117(a)(3) of the Elementary and Secondary Education
Act of 1965 (20 U.S.C. 6317(a)(3)) is amended by striking
``part E'' and inserting ``part D''.
(c) Transition Provisions.--
(1) Orderly transition.--Notwithstanding any other
provision of law, the Secretary of Education shall take such
steps as are necessary to provide for the orderly transition
to, and implementation of, part E of the Education Science
Reform Act of 2002, as enacted by subsection (a), from research
activities carried out under section 672 of the Individuals
with Disabilities Education Act (as such section was in effect
on the day before the date of enactment of this Act).
(2) Continuation of awards.--The Secretary of Education
shall continue research awards made under section 672 of the
Individuals with Disabilities Education Act (as such section
was in effect on the day before the date of enactment of this
Act) that are in effect on the day before the date of enactment
of this Act in accordance with the terms of those awards.
(d) Effective Dates.--Notwithstanding any other provision of law--
(1) the amendments made by subsections (a) and (b) of this
section shall take effect on October 1, 2004; and
(2) section 672 of the Individuals with Disabilities
Education Act (as such section was in effect on the day before
the date of enactment of this Act) shall remain in effect
through September 30, 2004.
SEC. 302. NATIONAL BOARD FOR EDUCATION SCIENCES.
Section 116(c)(9) of the Education Sciences Reform Act of 2002 (20
U.S.C. 9516(c)(9)) is amended by striking the third sentence and
inserting the following: ``Meetings of the Board are subject to section
552b of title 5, United States Code (commonly referred to as the
Government in the Sunshine Act).''.
SEC. 303. REGIONAL ADVISORY COMMITTEES.
Section 206(d)(3) of the Education Sciences Reform Act of 2002 (20
U.S.C. 9605(d)(3)) is amended by striking ``Academy'' and inserting
``Institute''.
TITLE IV--COMMISSION ON UNIVERSAL DESIGN AND THE ACCESSIBILITY OF
CURRICULUM AND INSTRUCTIONAL MATERIALS
SEC. 401. COMMISSION ON UNIVERSAL DESIGN AND THE ACCESSIBILITY OF
CURRICULUM AND INSTRUCTIONAL MATERIALS.
(a) Establishment and Purpose.--
(1) Establishment.--There is established a Commission
(hereafter in this section referred to as the ``Commission'')
to study, evaluate, and make appropriate recommendations to the
Congress and to the Secretary on universal design and
accessibility of curriculum and instructional materials for use
by all children, with a particular focus on children with
disabilities, in elementary schools and secondary schools.
(2) Purpose.--The purpose of the Commission is--
(A) to survey the issues related to improving
access to curriculum and instructional materials for
children with disabilities, with and without assistive
technologies;
(B) to study the benefits, current or potential
costs, and challenges of developing and implementing a
standard definition of the term universal design as a
means to achieve accessibility of curriculum and
instructional materials, and as the Commission
determines necessary, to recommend a definition for the
term universal design, or other terms, taking into
consideration educational objectives, investment of
resources, state of technology, and effect on
development of curriculum and instructional materials;
(C) to examine issues related to the need for and
current availability and accessibility of curriculum
and instructional materials for use in elementary
schools and secondary schools by children with
disabilities, gaps in or conflicts among relevant
technical standards, educational quality, availability
of instructional materials, technical standards,
intellectual property rights, and the economic and
technical feasibility of implementing any recommended
definitions; and
(D) to provide the Congress and the Secretary, not
later than 24 months after the date of enactment of
this Act, the report described in subsection (d).
(b) Membership.--
(1) Composition.--The Commission shall be composed of 21
members, of which--
(A) 3 members shall be appointed by the Majority
Leader of the Senate;
(B) 2 members shall be appointed by the Minority
Leader of the Senate;
(C) 3 members shall be appointed by the Speaker of
the House of Representatives;
(D) 2 members shall be appointed by the Minority
Leader of the House;
(E) 8 members shall be appointed by the Secretary
including representatives of States, local educational
agencies, publishers of instructional material,
individuals with disabilities, technical standard
setting bodies, and authorized entities as defined in
section 121(c)(1) of title 17, United States Code; and
(F) 3 members shall be appointed by the Registrar
of Copyrights.
(2) Expertise of commissioners.--All members of the
Commission shall be individuals who have been appointed on the
basis of technical qualifications, professional expertise, and
demonstrated knowledge and shall include at least 4
representatives of each of the following:
(A) publishers of instructional materials,
including of textbooks, software, and other print,
electronic, or digital curricular materials;
(B) elementary and secondary education, including
teachers, special educators, and State and local
education officials or administrators;
(C) researchers in the fields of disabilities,
technology, and accessible media;
(D) experts in intellectual property rights; and
(E) advocates of children with disabilities,
including parents of blind, visually impaired, deaf,
hearing impaired, physically challenged, cognitively
impaired, or learning disabled, or representatives of
organizations that advocate for such children.
(3) Date.--The appointment of the members of the Commission
shall be made not later than 60 days after the date of
enactment of this Act.
(4) Period of appointment and vacancies.--Members shall be
appointed for the life of the Commission. Any vacancy in the
Commission shall not affect its powers, but shall be filled in
the same manner as the original appointment.
(5) Initial meeting.--Not later than 45 days after the date
on which all members of the Commission have been appointed, the
Commission shall hold the Commission's first meeting.
(6) Meetings.--The Commission shall meet at the call of the
Chairperson.
(7) Quorum.--A majority of the members of the Commission
shall constitute a quorum, but a lesser number of members may
hold hearings.
(8) Chairperson and vice chairperson.--The Commission shall
select a chairperson and vice chairperson from among the
members of the Commission.
(c) Duties of the Commission.--The Commission shall study and make
recommendations to Congress and the Secretary regarding--
(1) the purposes of the Commission described in subsection
(a)(2);
(2) priority topics for additional research;
(3) the availability and accessibility of curricula and
instructional materials, including print, software, CD-ROM,
video, and Internet, for use in elementary schools and
secondary schools by children with disabilities, including--
(A) the numbers of affected children with
disabilities, by grade, age, and type of disability;
(B) the technical and other means by which such
materials are made accessible, such as assistive
technologies, electronic versions, large print, closed
captioning, video description, and Braille, and any
conflicts between relevant technical standards by which
instructional materials are made accessible;
(C) the steps taken by State and local educational
agencies to support accessibility, including through
State adoption and procurement policies, the
acquisition and integration of assistive technology,
and any State and local requirements or standards;
(D) timeliness of receipt of such materials by
children with disabilities; and
(E) continued barriers to access to such materials;
and
(4) the potential and likely effects of providing
accessible or universally designed materials for all students
in elementary schools and secondary schools, with a particular
focus on children with disabilities, including--
(A) an analysis of the current and potential costs
to develop and provide accessible instructional
materials, with and without specialized formats, to
publishers, States, local educational agencies,
schools, and others, broken down by--
(i) type of disability, including physical,
sensory, and cognitive disability;
(ii) type of instructional materials,
including by grade and by basal and
supplemental materials; and
(iii) type of media, including print,
electronic, software, web-based, audio, and
video; and
(B) an analysis of the effects of any recommended
definitions regarding--
(i) the availability and quality of
instructional materials for nondisabled
students, and innovation in the development and
delivery of these materials;
(ii) State learning content standards that
are media-, skill-, or pedagogically-based and
may therefore be compromised;
(iii) prices of instructional materials and
the impact of the definitions on State and
local budgets; and
(iv) intellectual property rights in
connection with the development, distribution,
and use of curriculum and instructional
materials.
(d) Public Hearings.--As part of the study conducted under this
subsection, the Commission shall hold public hearings, including
through the use of the Internet or other technologies, for the purposes
referred to in subsection (a).
(e) Report.--
(1) Interim report.--Not later than 12 months after the
establishment of the Commission, the Commission shall provide
to the Secretary and Congress an interim report on the
Commission's activities during the Commission's first year and
any preliminary findings.
(2) Final report.--Not later than 24 months after the
establishment of the Commission, the Commission shall submit a
report to the Secretary and Congress that shall contain--
(A) recommendations determined necessary regarding
definitions of the terms described in subsection
(a)(2)(B);
(B) recommendations for additional research; and
(C) a detailed statement of the findings and
conclusions of the Commission resulting from the study
of the issues identified in subsection (a)(2)(C).
(f) Powers of the Commission.--
(1) Authority of commission.--The Commission may hold such
hearings, convene and act at such times and places, take such
testimony, and receive such evidence, as the Commission
considers necessary to carry out the responsibilities of the
Commission.
(2) Use of mail.--The Commission may use the United States
mails in the same manner and under the same conditions as other
departments and agencies of the Federal Government.
(3) Gifts.--The Commission may accept, use, and dispose of
gifts or donations of services or property.
(4) Compensation.--Except as provided in paragraph (5),
each member of the Commission who is not an officer or employee
of the Federal Government shall serve without compensation. All
members of the Commission who are officers or employees of the
United States shall serve without compensation in addition to
that received for their services as officers or employees of
the United States.
(5) Per diem.--The members of the Commission shall be
allowed travel expenses, including per diem in lieu of
subsistence, at rates authorized for employees of agencies
under subchapter I of chapter 57 of title 5, United States
Code, while away from their homes or regular places of business
in the performance of services for the Commission.
(6) Employment and compensation of employees.--Except as
otherwise provided in this section and consistent with section
3161 of title 5, United States Code, the Chairperson may
appoint, fix the compensation of, and terminate an executive
director and such additional employees as may be necessary to
enable the Commission to perform the Commission's duties.
(7) Detailing of federal employees.--Any Federal Government
employee may be detailed to the Commission without
reimbursement, and such detail shall be without interruption or
loss of civil service status or privilege.
(8) Temporary and intermittent services.--The Chairperson
of the Commission may procure temporary and intermittent
services under section 3109(b) of title 5, United States Code,
at rates for individuals that do not exceed the daily
equivalent of the annual rate of basic pay prescribed for level
V of the Executive Schedule under section 5316 of such title.
(g) Termination of the Commission.--The Commission shall terminate
on the date that is 90 days after the date on which the Commission
submits its final report under subsection (e)(2).
(h) Authorization of Appropriations.--
(1) Authorization.--There are authorized to be appropriated
$750,000 for fiscal year 2004, and such sums as necessary for
fiscal year 2005 to carry out the provisions of this section.
(2) Availability.--Any sums appropriated under the
authorization contained in this subsection shall remain
available, without fiscal year limitation, until expended.
TITLE V--MISCELLANEOUS
SEC. 501. AMENDMENT TO CHILDREN'S HEALTH ACT OF 2000.
Section 1004 of the Children's Health Act of 2000 (42 U.S.C. 285g
note) is amended--
(1) in subsection (b), by striking ``Agency'' and inserting
``Agency, and the Department of Education''; and
(2) in subsection (c)--
(A) in paragraph (2), by striking ``and'' after the
semicolon;
(B) in paragraph (3), by striking the period at the
end and inserting ``; and''; and
(C) by adding at the end the following:
``(4) be conducted in compliance with section 444 of the
General Education Provisions Act (20 U.S.C. 1232g), including
the requirement of prior parental consent for the disclosure of
any education records, except without the use of authority or
exceptions granted to authorized representatives of the
Secretary of Education for the evaluation of Federally-
supported education programs or in connection with the
enforcement of the Federal legal requirements that relate to
such programs.''.
SEC. 502. GAO REVIEW OF CHILD MEDICATION USAGE.
(a) Review.--The Comptroller General shall conduct a review of--
(1) the extent to which personnel in schools actively
influence parents in pursuing a diagnosis of attention deficit
disorder and attention deficit hyperactivity disorder;
(2) the policies and procedures among public schools in
allowing school personnel to distribute controlled substances;
and
(3) the extent to which school personnel have required a
child to obtain a prescription for substances covered by
section 202(c) of the Controlled Substances Act (21 U.S.C.
812(c)) to treat attention deficit disorder, attention deficit
hyperactivity disorder, or other attention deficit-related
illnesses or disorders, in order to attend school or be
evaluated for services under the Individuals with Disabilities
Education Act.
(b) Report.--Not later than 1 year after the date of enactment of
this Act, the Comptroller General shall prepare and submit to Congress
a report that contains the results of the review under subsection (a).
108th CONGRESS
2d Session
H. R. 1350
_______________________________________________________________________
AMENDMENT
_______________________________________________________________________
May 21, 2004
Ordered to be printed as passed