[Congressional Bills 110th Congress]
[From the U.S. Government Publishing Office]
[H.R. 5647 Introduced in House (IH)]







110th CONGRESS
  2d Session
                                H. R. 5647

To provide public charter school options for those students that attend 
 schools that are in need of improvement and have been identified for 
restructuring and those schools with a graduation rate of less than 60 
                    percent, and for other purposes.


_______________________________________________________________________


                    IN THE HOUSE OF REPRESENTATIVES

                             March 14, 2008

 Mr. Emanuel introduced the following bill; which was referred to the 
 Committee on Education and Labor, and in addition to the Committee on 
   Ways and Means, for a period to be subsequently determined by the 
  Speaker, in each case for consideration of such provisions as fall 
           within the jurisdiction of the committee concerned

_______________________________________________________________________

                                 A BILL


 
To provide public charter school options for those students that attend 
 schools that are in need of improvement and have been identified for 
restructuring and those schools with a graduation rate of less than 60 
                    percent, and for other purposes.

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

                   TITLE I--PELL GRANTS FOR CHILDREN

SECTION 101. SHORT TITLE.

    This title may be cited as the ``Pell Grants for Kids Act of 
2008''.

SEC. 102. PURPOSE.

    It is the purpose of this title to support State efforts to enable 
students who attend an identified school or a school with low 
graduation rate to attend a public charter school.

SEC. 103. SUPPORT FOR PROVEN CHARTER SCHOOLS AND INCREASING THE SUPPLY 
              OF HIGH QUALITY CHARTER SCHOOLS.

    (a) Grants.--Subject to advance appropriations, the Secretary shall 
award grants, on a competitive basis, to eligible entities for the 
purpose of enabling such entities to make subgrants to eligible public 
charter schools to allow such schools to serve additional eligible 
students.
    (b) Priorities.--In awarding a grant under this section, the 
Secretary shall--
            (1) give priority to an eligible entity--
                    (A) that serves an area that has a large percentage 
                of students who are enrolled in identified schools or 
                public schools with a graduation rate of 60 percent or 
                less as defined by their State educational agency and 
                other factors determined appropriate by the Secretary;
                    (B) that oversees one or more academically 
                successful eligible public charter schools as 
                determined by the Secretary using adequately yearly 
                progress measures, State accountability measures, and 
                other measures deemed appropriate by the Secretary;
                    (C) that is effectively monitoring the academic 
                success of eligible public charter schools under the 
                jurisdiction of the eligible entity;
                    (D) that ensures that eligible public charter 
                schools under the jurisdiction of the eligible entity 
                receive funding (including funding for school 
                facilities) on a per pupil basis that is commensurate 
                with the amount of funding (including funding for 
                school facilities) provided by the eligible entity to 
                traditional public schools;
                    (E) that ensures that each local educational agency 
                under the jurisdiction of the eligible entity provides, 
                in a timely manner, each public charter school under 
                the jurisdiction of such local educational agency with 
                the Federal, State, and local funds to which such 
                school is entitled under applicable law; and
                    (F) that is under the jurisdiction of a State 
                that--
                            (i) requires public charter schools to meet 
                        State standards, administer State assessment 
                        tests to enrolled students, and participate in 
                        State accountability measures;
                            (ii) ensures that each public charter 
                        school under the jurisdiction of the State 
                        has--
                                    (I) a high degree of autonomy over 
                                the charter school's budgets and 
                                expenditures; and
                                    (II) a written contract with an 
                                authorized public chartering agency 
                                that ensures that the school has an 
                                independent governing board and such 
                                board has a level of autonomy under 
                                such contract that the Secretary 
                                determines is appropriate; and
            (2) consider the number of public charter schools under the 
        jurisdiction of the State, the number of students enrolled in 
        charter schools, and the number of children on the waiting 
        lists for public charter schools operating under the 
        jurisdiction of the State.
    (c) Amount of Grants.--In determining the amount of a grant to be 
awarded under this section to an eligible entity, the Secretary shall 
take into consideration--
            (1) the number of eligible public charter schools under the 
        jurisdiction of the eligible entity that are operating, are 
        approved to open, or are likely to open during the duration of 
        the grant;
            (2) the number of seats for new students that could be 
        created in such schools with such grant; and
            (3) the number of eligible students in the State.
    (d) Application Requirements.--
            (1) In general.--To be considered for a grant under this 
        title, an eligible entity 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 application under paragraph (1) shall 
        include, at a minimum, the following:
                    (A) Plan.--A plan for--
                            (i) identifying eligible public charter 
                        schools that are willing to receive financial 
                        assistance under a grant under this title;
                            (ii) enrolling eligible students in 
                        eligible public charter schools;
                            (iii) increasing the number of seats for 
                        eligible students in eligible public charter 
                        schools;
                            (iv) ensuring that eligible public charter 
                        schools receiving assistance under this title 
                        enroll--
                                    (I) eligible students through a 
                                lottery for admission that is separate 
                                from the lottery for general admission 
                                to such school and is limited to the 
                                number of additional seats the schools 
                                is able to create as a result of the 
                                financial assistance received by such 
                                school under this title; and
                                    (II) siblings of students currently 
                                enrolled in the eligible public charter 
                                school as a result of the financial 
                                assistance received by the school under 
                                this title; and
                            (v) the manner in which the eligible entity 
                        will--
                                    (I) work with identified schools 
                                under their jurisdiction and the 
                                schools' local educational agency to 
                                identify the parents of the eligible 
                                students, consistent with the 
                                requirements of the Family Educational 
                                Rights and Privacy Act of 1974 (20 
                                U.S.C. 1232g);
                                    (II) notify parents of eligible 
                                students of the option to transfer to 
                                an eligible public charter school 
                                receiving financial assistance under 
                                this title;
                                    (III) provide information to 
                                parents of eligible students to enable 
                                the parents to make informed decisions 
                                regarding such students;
                                    (IV) ensure that an eligible 
                                student can continue to attend an 
                                eligible public charter school if the 
                                public charter school such student was 
                                attending in the previous school year 
                                is no longer an eligible public charter 
                                school; and
                                    (V) use funds received under this 
                                title.
                    (B) Charter school information.--The number of 
                eligible public charter schools that are operating in 
                the State that has jurisdiction over the eligible 
                entity, the number of eligible public charter schools 
                approved to open in the next school year, the number of 
                eligible public charter schools likely to open during 
                the duration of the grant to the eligible entity, the 
                number of seats in eligible public charter schools that 
                could be created if the grant is awarded, and any other 
                information the Secretary may require.
                    (C)  Traditional public school information.--A list 
                of identified schools and schools with a graduation 
                rate of 60 percent or less as defined by their State 
                educational agency, including the name of each such 
                school and such demographic and socioeconomic 
                information as the Secretary may require.

SEC. 104. USE OF FUNDS.

    (a) In General.--An eligible entity receiving a grant under this 
title may only use the funds for the following:
            (1) Subgrants.--To make a subgrant to an eligible public 
        charter school, in such amount as the Secretary determines is 
        appropriate--
                    (A) to allow increases in such school's enrollment 
                of eligible students;
                    (B) to support the construction and physical 
                expansion of school buildings and campuses to meet such 
                increased enrollment;
                    (C) to pay costs associated with hiring additional 
                teachers to serve eligible students;
                    (D) to support necessary operation activities 
                associated with the school serving additional eligible 
                students; and
                    (E) to provide transportation to eligible students 
                to and from school.
            (2) Administrative expenses.--To pay the administrative 
        expenses of the eligible public charter schools and the 
        eligible entity, but not to exceed five percent of the grant.
            (3) Credit enhancement and revolving loan fund.--To make a 
        competitive grant that does not exceed 20 percent of the amount 
        of the grant to an eligible entity for credit enhancement (as 
        defined in Sec. 5230 of the Elementary and Secondary Education 
        Act of 1965 (20 U.S.C. 7223i))--
                    (A) to conduct credit enhancement initiatives (as 
                defined under Section 5221 of the Elementary and 
                Secondary Education Act of 1965 (20 U.S.C. 7223)) in 
                support of facility assistance for public charter 
                schools serving eligible students; and
                    (B) to establish a revolving loan fund for use by 
                an eligible public charter school receiving a subgrant 
                under paragraph (1) from the eligible entity to allow 
                such school to expand to serve eligible students.
    (b) Special Rules on Frequency.--
            (1) Eligible public charter schools with enrolled 
        students.--Each eligible entity to which the Secretary awards a 
        grant under this title may award a subgrant to an eligible 
        public charter school described in section 106(5)(A) for each 
        year an eligible student attends such school.
            (2) Limitations on subgrants to developers.--Each eligible 
        entity to which the Secretary awards a grant under this title 
        shall not award a subgrant to an eligible public charter school 
        described in section 106(5)(B) for more than two consecutive 
        school years.
    (c) Nonprofit Assistance.--In carrying out administrative tasks and 
outreach with financial assistance provided under this title, eligible 
entities may contract with an organization described in section 
501(c)(3) of the Internal Revenue Code of 1986 (26 U.S.C. 501(c)(3)) 
and exempt from tax under section 501(a) of such Code (26 U.S.C. 
501(a)).
    (d) Financial Responsibility.--The financial records of each 
eligible entity and eligible public charter school receiving a grant or 
subgrant under this title shall be maintained in accordance with 
generally accepted accounting principles and shall be subject to an 
annual audit by an independent public accountant.
    (e) National Evaluation.--From the amounts appropriated to carry 
out this title, the Secretary may use not more than one percent of such 
amounts to conduct an annual independent evaluation, by grant or 
contract, of the activities carried out under this title, including an 
assessment of the impact of such activities on student achievement. The 
Secretary shall submit to Congress a report on the results of the 
evaluation before the end of the one-year period beginning on the date 
of enactment of this title and every one year thereafter.

SEC. 105. REPORTS.

    Each eligible entity receiving a grant under this title shall 
prepare and submit to the Secretary the following:
            (1) Report.--A report that contains such information as the 
        Secretary may require concerning use of the grant funds by the 
        eligible entity, including the academic achievement of the 
        students attending eligible public charter schools as a result 
        of the grant. Such report shall be submitted before the end of 
        the two-year period beginning on the date of enactment of this 
        title and every two years thereafter.
            (2) Performance information.--Such performance information 
        as the Secretary may require for the national evaluation 
        conducted under section 104(e).

SEC. 106. DEFINITIONS.

    In this title, the following definitions apply:
            (1) Adequate yearly progress.--The term ``adequate yearly 
        progress'' has the meaning given such term in section 
        1111(b)(2) of the Elementary and Secondary Education Act of 
        1965 (20 U.S.C. 6311(b)(2)).
            (2) Administrative expenses.--The term ``administrative 
        expenses'' includes costs associated with--
                    (A) recruiting and selecting eligible students;
                    (B) outreach to parents; and
                    (C) providing information to parents and school 
                officials.
            (3) Eligible entity.--The term ``eligible entity'' means--
                    (A) a State educational agency;
                    (B) an authorized public chartering agency;
                    (C) a local educational agency; or
                    (D) in the case of a State in which a grant is not 
                made under section 103 in a fiscal year to an agency 
                described in subparagraphs (A), (B), or (C), an 
                organization described in section 501(c)(3) of the 
                Internal Revenue Code of 1986 (26 U.S.C. 501(c)(3)) and 
                exempt from tax under section 501(a) of such Code (26 
                U.S.C. 501(a)).
            (4) Eligible student.--The term ``eligible student'' means 
        a student who--
                    (A) with respect to a school identified for 
                restructuring under section 1116(b)(8) of the 
                Elementary and Secondary Education Act of 1965 (20 
                U.S.C. 6316(b)(8))--
                            (i) is eligible to enroll in the earliest 
                        grade offered by the school and attended the 
                        school for the entire school year preceding the 
                        date of such identification; or
                            (ii) transfers to the school to attend any 
                        grade beyond the earliest grade offered by the 
                        school and attends the school for the remainder 
                        of the school year in which such transfer 
                        occurs; or
                    (B) in the immediately preceding school year, 
                occupied a seat created as a result of financial 
                assistance under this title at an eligible public 
                charter school.
            (5) Eligible public charter school.--The term ``eligible 
        public charter school'' means--
                    (A) a charter school (as defined under section 5210 
                (1) of the Elementary and Secondary Education Act of 
                1965 (20 U.S.C. 7221i(1))) (including the campuses of 
                such school) that--
                            (i) has made adequate yearly progress for 
                        the last two consecutive school years; or
                            (ii) successfully meets qualifications set 
                        forth by the State educational agency or the 
                        Secretary; or
                    (B) a charter school that is being developed by 
                developer (as defined under section 5210(2) of the 
                Elementary and Secondary Education Act of 1965 (20 
                U.S.C. 7221i(2))).
            (6) Identified school.--The term ``identified school'' 
        means a school identified for restructuring under section 
        1116(b)(8) of the Elementary and Secondary Education Act of 
        1965 (20 U.S.C. 6316(b)(8)).
            (7) Traditional public school.--The term ``traditional 
        public school'' does not include charter schools as defined 
        under section 5210(1) of the Elementary and Secondary Education 
        Act of 1965 (20 U.S.C. 7221i(1)).
            (8) School year.--The term ``school year'' has the meaning 
        given such term in section 12(d) of the Richard B. Russell 
        National School Lunch Act (42 U.S.C. 1760(d)).
            (9) State accountability measures.--The term ``State 
        accountability measures'' includes measures undertaken under an 
        accountability system developed and implemented by a State 
        under section 1111(b)(2) of the Elementary and Secondary 
        Education Act of 1965 (20 U.S.C. 6311(b)(2)).

SEC. 107. AUTHORIZATION OF APPROPRIATIONS.

    There are authorized to be appropriated to carry out this title 
$300,000,000 for fiscal year 2009 and such sums as may be necessary for 
each of the four succeeding fiscal years.

            TITLE II--FAIR SHARE FOR GOVERNMENT CONTRACTORS

SEC. 201. SHORT TITLE.

    This title may be cited as the ``Fair Share Act of 2008''.

SEC. 202. CERTAIN DOMESTICALLY CONTROLLED FOREIGN PERSONS PERFORMING 
              SERVICES UNDER CONTRACT WITH UNITED STATES GOVERNMENT 
              TREATED AS AMERICAN EMPLOYERS.

    (a) FICA Taxes.--Section 3121 of the Internal Revenue Code of 1986 
(relating to definitions) is amended by adding at the end the following 
new subsection:
    ``(z) Treatment of Certain Foreign Persons as American Employers.--
            ``(1) In general.--If any employee of a foreign person is 
        performing services in connection with a contract between the 
        United States Government (or any instrumentality thereof) and 
        any member of any domestically controlled group of entities 
        which includes such foreign person, such foreign person shall 
        be treated for purposes of this chapter as an American employer 
        with respect to such services performed by such employee.
            ``(2) Domestically controlled group of entities.--For 
        purposes of this subsection--
                    ``(A) In general.--The term `domestically 
                controlled group of entities' means a controlled group 
                of entities the common parent of which is a domestic 
                corporation.
                    ``(B) Controlled group of entities.--The term 
                `controlled group of entities' means a controlled group 
                of corporations as defined in section 1563(a)(1), 
                except that--
                            ``(i) `more than 50 percent' shall be 
                        substituted for `at least 80 percent' each 
                        place it appears therein, and
                            ``(ii) the determination shall be made 
                        without regard to subsections (a)(4) and (b)(2) 
                        of section 1563.
                A partnership or any other entity (other than a 
                corporation) shall be treated as a member of a 
                controlled group of entities if such entity is 
                controlled (within the meaning of section 954(d)(3)) by 
                members of such group (including any entity treated as 
                a member of such group by reason of this sentence).
            ``(3) Liability of common parent.--In the case of a foreign 
        person who is a member of any domestically controlled group of 
        entities, the common parent of such group shall be jointly and 
        severally liable for any tax under this chapter for which such 
        foreign person is liable by reason of this subsection.
            ``(4) Cross reference.--For relief from taxes in cases 
        covered by certain international agreements, see sections 
        3101(c) and 3111(c).''.
    (b) Social Security Benefits.--Subsection (e) of section 210 of the 
Social Security Act (42 U.S.C. 410(e)) is amended--
            (1) by striking ``(e) The term'' and inserting ``(e)(1) The 
        term'',
            (2) by redesignating paragraphs (1) through (6) as 
        subparagraphs (A) through (F), respectively, and
            (3) by adding at the end the following new paragraph:
            ``(2)(A) If any employee of a foreign person is performing 
        services in connection with a contract between the United 
        States Government (or any instrumentality thereof) and any 
        member of any domestically controlled group of entities which 
        includes such foreign person, such foreign person shall be 
        treated for purposes of this chapter as an American employer 
        with respect to such services performed by such employee.
            ``(B) For purposes of this paragraph--
                    ``(i) The term `domestically controlled group of 
                entities' means a controlled group of entities the 
                common parent of which is a domestic corporation.
                    ``(ii) The term `controlled group of entities' 
                means a controlled group of corporations as defined in 
                section 1563(a)(1) of the Internal Revenue Code of 
                1986, except that--
                            ``(I) `more than 50 percent' shall be 
                        substituted for `at least 80 percent' each 
                        place it appears therein, and
                            ``(II) the determination shall be made 
                        without regard to subsections (a)(4) and (b)(2) 
                        of section 1563 of such Code.
                A partnership or any other entity (other than a 
                corporation) shall be treated as a member of a 
                controlled group of entities if such entity is 
                controlled (within the meaning of section 954(d)(3) of 
                such Code) by members of such group (including any 
                entity treated as a member of such group by reason of 
                this sentence).''.
    (c) Effective Date.--The amendment made by this section shall apply 
to services performed after the date of the enactment of this title.
                                 <all>