[Congressional Bills 111th Congress]
[From the U.S. Government Publishing Office]
[H.R. 4837 Introduced in House (IH)]

111th CONGRESS
  2d Session
                                H. R. 4837

 To amend the Elementary and Secondary Education Act of 1965, and for 
                            other purposes.


_______________________________________________________________________


                    IN THE HOUSE OF REPRESENTATIVES

                             March 12, 2010

 Mr. Young of Alaska introduced the following bill; which was referred 
                to the Committee on Education and Labor

_______________________________________________________________________

                                 A BILL


 
 To amend the Elementary and Secondary Education Act of 1965, and for 
                            other purposes.

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

SECTION 1. SHORT TITLE; TABLE OF CONTENTS.

    (a) Short Title.--This Act may be cited as the ``School 
Accountability Improvement Act of 2010''.
    (b) Table of Contents.--The table of contents for this Act is as 
follows:

Sec. 1. Short title; table of contents.
              TITLE I--MEASURING ADEQUATE YEARLY PROGRESS

Sec. 101. Measuring adequate yearly progress of groups.
Sec. 102. Intermediate goals need not increase in equal increments for 
                            all groups.
Sec. 103. Alternative approaches to measuring adequate yearly progress.
Sec. 104. Graduation rates.
Sec. 105. Participation of students in assessments.
Sec. 106. Students with disabilities requiring alternate assessments.
Sec. 107. Assessments.
Sec. 108. Regulations.
Sec. 109. Research and standards.
                      TITLE II--STATE FLEXIBILITY

Sec. 201. State flexibility.
                 TITLE III--IMPLEMENTATION OF SANCTIONS

Sec. 301. School improvement and public school choice.
Sec. 302. School district improvement.
Sec. 303. Supplemental services.
Sec. 304. Full implementation.
                      TITLE IV--NONPUBLIC SCHOOLS

Sec. 401. Participation of children enrolled in private schools.
                TITLE V--EFFECTIVE DATE AND REGULATIONS

Sec. 501. Effective date.
Sec. 502. Regulations.

              TITLE I--MEASURING ADEQUATE YEARLY PROGRESS

SEC. 101. MEASURING ADEQUATE YEARLY PROGRESS OF GROUPS.

    (a) ``N'' Size May Vary by Size of School or LEA.--The following 
provisions of the Elementary and Secondary Education Act of 1965 are 
each amended by inserting after ``reliable information'' the following: 
``(the number required to be insufficient being greater, at the option 
of the State, for a local educational agency than for a school, and 
varying, at the option of the State, from agency to agency and school 
to school in proportion to total enrollment)'':
            (1) In section 1111 (20 U.S.C. 6311)--
                    (A) subsection (b)(2)(C)(v), in the matter after 
                subclause (II)(dd);
                    (B) subsection (b)(2)(I)(ii);
                    (C) subsection (b)(3)(C)(xiii); and
                    (D) subsection (h)(C)(i).
            (2) Section 1431(b) (20 U.S.C. 6471(b)).
    (b) Permitting Fewer Students in Group To Demonstrate Progress To 
Meet AYP Safe Harbor.--Section 1111 (20 U.S.C. 6311) is further amended 
in subsection (b)(2)(I)(i) by striking ``10 percent'' and inserting ``5 
percent''.
    (c) Counting Students Who Are in More Than One Group.--Section 1111 
(20 U.S.C. 6311) is further amended in subsection (b)(2) by adding at 
the end the following:
                                    ``(L) Counting students who are in 
                                more than one group.--For the purpose 
                                of determining adequate yearly 
                                progress, the State may establish a 
                                uniform procedure for counting students 
                                under which a student who belongs to 
                                more than one of the groups described 
                                in subparagraph (C)(v) is counted 
                                toward each such group to which the 
                                student belongs as a fraction of 1 
                                student, the numerator of the fraction 
                                being 1 and the denominator being the 
                                number of such groups to which the 
                                student belongs.''.

SEC. 102. INTERMEDIATE GOALS NEED NOT INCREASE IN EQUAL INCREMENTS FOR 
              ALL GROUPS.

    Section 1111 of the Elementary and Secondary Education Act of 1965 
(20 U.S.C. 6311) is further amended in subsection (b)(2)(H)(i)--
            (1) by striking ``in equal increments''; and
            (2) by inserting before the semicolon at the end the 
        following: ``in--
                                            ``(aa) increments defined 
                                        by the State as appropriate for 
                                        the group, for each of the 
                                        groups of students described in 
                                        subparagraph (C)(v); and
                                            ``(bb) equal increments, 
                                        for all other students.''.

SEC. 103. ALTERNATIVE APPROACHES TO MEASURING ADEQUATE YEARLY PROGRESS.

    (a) Expansion of AYP To Include Gain Scores and Partial Credit for 
Meeting Basic Targets.--Section 1111 of the Elementary and Secondary 
Education Act of 1965 (20 U.S.C. 6311) is further amended in subsection 
(b)(2)(C)(vii) by inserting after ``such as'' the following: 
``achievement under a `gain score' approach (such as a value-added 
system), progress toward meeting basic proficiency targets,''.
    (b) Alternatives to AYP.--Such section is further amended in 
subsection (b)(2) by adding at the end the following:
                    ``(M) Alternate methods of defining adequate yearly 
                progress.--In lieu of defining adequate yearly progress 
                under subparagraph (C), the State may define adequate 
                yearly progress in any manner that--
                            ``(i) uses the measures of performance and 
                        progress described in subparagraph (A);
                            ``(ii) complies with the time line required 
                        by subparagraph (F); and
                            ``(iii) includes intermediate goals, as 
                        required by subparagraph (H).
                    ``(N) Additional methods of defining adequate 
                yearly progress.--
                            ``(i) In general.--For the purpose of 
                        meeting the requirements of this section, the 
                        State educational agency may identify a school 
                        or local educational agency as having made 
                        adequate yearly progress pursuant to 
                        subparagraph (I) in any year in which one or 
                        more groups described in clause (v) of 
                        subparagraph (C) in that school or local 
                        educational agency do not meet or exceed the 
                        proficient level established under subparagraph 
                        (G) in a subject to which the accountability 
                        provisions of this subsection applies or do not 
                        meet the requirement for any other indicator 
                        established under subparagraph (D) if--
                                    ``(I) the same group or groups did 
                                not fail to meet the requirements for 
                                adequate yearly progress for that same 
                                subject or the other indicator in the 
                                previous year as determined without 
                                using the provisions of this 
                                subparagraph; and
                                    ``(II) the number of students who 
                                did not meet or exceed the proficient 
                                level in such group or groups is not 
                                greater in the aggregate than a 
                                percentage determined by the State 
                                educational agency but not in excess of 
                                10 percent of the students enrolled in 
                                the school or local educational agency, 
                                as the case may be, in grades that were 
                                assessed in that subject or indicator 
                                for adequate yearly progress.
                            ``(ii) Greater percentage.--The Secretary 
                        may, on an individual State basis, approve a 
                        greater percentage than the amount set forth in 
                        clause (i)(II) for determining whether a school 
                        or local educational agency has met the 
                        requirements for adequate yearly progress if--
                                    ``(I) the percentage over that 
                                amount is consistent with the 
                                accountability system of the State and 
                                is proposed as an amendment to the 
                                State plan required by this section; 
                                and
                                    ``(II) the State educational agency 
                                applies a lower status designation of 
                                adequate yearly progress to any school 
                                or local educational agency that 
                                utilizes the percentage approved under 
                                this clause for determining that 
                                adequate yearly progress was met.
                    ``(O) Multiple assessments for determining adequate 
                yearly progress.--
                            ``(i) Subject to approval by the Secretary, 
                        State plans submitted pursuant to subsection 
                        (a) may use a combination of assessments 
                        aligned with the academic standards of the 
                        State and other indicators to determine whether 
                        adequate yearly progress is made. The State 
                        plan may provide for the following:
                                    ``(I) The assignment of specific 
                                weights or points to the assessments or 
                                other indicators that are used in order 
                                to calculate a composite score to 
                                determine whether adequate yearly 
                                progress is made.
                                    ``(II) The use of portfolios, 
                                projects, and performance-based 
                                assessments consistent with criteria 
                                established by the State.
                                    ``(III) The use of teacher 
                                observations that meet State criteria 
                                to assess--
                                            ``(aa) the performance of 
                                        students for whom such method 
                                        of assessment would be 
                                        appropriate, including students 
                                        identified in subclauses 
                                        (II)(cc) and (dd) of 
                                        subparagraph (C)(v); and
                                            ``(bb) the performance of 
                                        students on skills or uses of 
                                        information that are not 
                                        adequately provided for in the 
                                        State assessment instrument.
                                    ``(IV) The use of high school 
                                graduation rates, the number or portion 
                                of advanced placement and international 
                                baccalaureate courses taken by students 
                                in specific subjects, postsecondary 
                                education admissions, and other factors 
                                that are appropriate for the grade 
                                level of the students involved in 
                                addition to the academic assessment of 
                                those students.''.

SEC. 104. GRADUATION RATES.

    Section 1111(b)(2) of the Elementary and Secondary Education Act of 
1965 (20 U.S.C. 6311(b)(2)) is amended by adding at the end the 
following:
                    ``(L) Graduation and drop-out rates.--In 
                determining the graduation and drop-out rates required 
                by this Act, the State plan may provide alternatives, 
                in lieu of counting students in the year of the on-
                time, 4-year high school graduation cohort of such 
                students, in order to address the following 
                circumstances:
                            ``(i) Students who do not graduate on time 
                        and who are enrolled in school for the summer 
                        or semester (and where applicable are 
                        continuously enrolled in a subsequent semester) 
                        after their fourth year of high school, except 
                        that such students shall be counted in the 
                        calculation of the graduation and dropout rates 
                        for the school year in which such graduation 
                        (or noncompletion) occurs.
                            ``(ii) Students who leave school prior to 
                        earning a high school diploma and who are 
                        enrolled for the semester after their fourth 
                        year of high school in an accredited 
                        postsecondary institution in a program leading 
                        to a two-year or a four-year degree or in a job 
                        training program that is approved by the State 
                        and prepares students for employment and to 
                        advance beyond the entry level, except that--
                                    ``(I) such students shall be 
                                counted in the school year in which 
                                such graduation (or noncompletion) 
                                occurs; and
                                    ``(II) such determination may be 
                                made on the basis of whether such 
                                students leave school or a job training 
                                program having successfully completed 
                                the courses or job training program 
                                that the State would deem as having 
                                satisfied the requirements for a high 
                                school diploma.''.

SEC. 105. PARTICIPATION OF STUDENTS IN ASSESSMENTS.

    (a) Percentage of Students Required To Take Assessments.--Section 
1111 of the Elementary and Secondary Education Act of 1965 (20 U.S.C. 
6311) is further amended in subsection (b)(2)(I)(ii)--
            (1) by striking ``95 percent'' the first place such term 
        appears and inserting ``a percentage (from 90 to 95 percent, 
        based on criteria established in the State plan)''; and
            (2) by striking ``95 percent'' the second place such term 
        appears and inserting ``percentage''.
    (b) Determining Participation Rates.--Section 1111 of such Act (20 
U.S.C. 6311) is further amended in subsection (b)(2) by adding at the 
end the following:
                    ``(N) Students exempt from participating in 
                assessments.--For the purpose of determining compliance 
                with the percentage required by subparagraph (I)(ii), 
                the State may provide for a student to be excluded from 
                the determination with respect to an assessment if any 
                of the following apply:
                            ``(i) Excused absence.--The student did not 
                        take that assessment by reason of--
                                    ``(I) a medical condition;
                                    ``(II) a parental decision to 
                                exempt the student, if such a decision 
                                is available under, and exercised 
                                pursuant to, State law; or
                                    ``(III) a circumstance out of the 
                                control of the student, school, or 
                                local educational agency, such as a 
                                natural disaster.
                            ``(ii) Chronic nonattendance.--Each of the 
                        following is true:
                                    ``(I) The student did not take the 
                                assessment and has demonstrated an 
                                unusual and chronic pattern of non-
                                attendance, as defined by the State.
                                    ``(II) The local educational agency 
                                in which the student is enrolled is 
                                implementing a plan to increase 
                                participation in the assessments by 
                                students demonstrating such a pattern 
                                of nonattendance.
                    ``(O) Students assigned `below basic' score by 
                default.--For the purpose of determining adequate 
                yearly progress, and for the purpose of determining 
                compliance with the percentage required by subparagraph 
                (I)(ii), a student who does not take an assessment and 
                who is not excluded under subparagraph (N) may, if the 
                State plan so provides, be treated as having taken the 
                assessment and having achieved a score below the level 
                described in paragraph (1)(D)(ii)(III) (below 
                basic).''.

SEC. 106. STUDENTS WITH DISABILITIES REQUIRING ALTERNATE ASSESSMENTS.

    Section 1111 of the Elementary and Secondary Education Act of 1965 
(20 U.S.C. 6311) is further amended in subsection (b)(2) by adding at 
the end the following:
                    ``(P) Students with disabilities requiring 
                alternate assessments.--Consistent with paragraph (3), 
                a State may implement the amendments made to part 200 
                of title 34, Code of Federal Regulations, on December 
                9, 2003 (68 Fed. Reg. 68698) (related to achievement of 
                students with significant cognitive disabilities) as if 
                such amendments--
                            ``(i) permitted 3 percent of such students 
                        to be counted for the purposes of determining 
                        adequate yearly progress, except that--
                                    ``(I) any assessment given to any 
                                such student for the purposes of 
                                determining such adequate yearly 
                                progress must be required by the 
                                individualized education plan of such 
                                student;
                                    ``(II) the individualized education 
                                plan must reflect the need for any such 
                                alternate assessment based on the 
                                evaluation of such student and the 
                                services provided such student under 
                                section 614 of the Individuals with 
                                Disabilities Education Act (42 U.S.C. 
                                1400 et seq.); and
                                    ``(III) the individualized 
                                education plan must include written 
                                consent from the parent of such student 
                                prior to such alternate assessment 
                                being administered;
                            ``(ii) used the term `students requiring 
                        alternate assessments' in lieu of the term 
                        `students with the most significant cognitive 
                        disabilities'; and
                            ``(iii) permitted the eligibility of such 
                        students to be determined by the State 
                        educational agency, except that such 
                        eligibility shall, at a minimum, include--
                                    ``(I) students who are receiving 
                                services pursuant to a plan required 
                                under section 504 of the Rehabilitation 
                                Act of 1973 and part 104 of title 34, 
                                Code of Federal Regulations;
                                    ``(II) students who are assessed at 
                                a grade level below the grade level in 
                                which they are enrolled (out of level 
                                assessments); and
                                    ``(III) students considered 
                                students with the most significant 
                                cognitive disabilities, as defined by 
                                the State educational agency, prior to 
                                the enactment of the No Child Left 
                                Behind Improvements Act of 2007.''.

SEC. 107. ASSESSMENTS.

    Section 1111(b)(3)(C) of the Elementary and Secondary Education Act 
of 1965 (20 U.S.C. 6311(b)(3)(C)) is amended--
            (1) in clause (ix) by striking subclause (III) and 
        inserting the following:
                                    ``(III) the inclusion of limited-
                                English-proficient students, who--
                                            ``(aa) may, consistent with 
                                        paragraph (2)(P), be assessed, 
                                        as determined by the local 
                                        educational agency, through the 
                                        use of an assessment which 
                                        requires achievement of 
                                        specific gains for up to three 
                                        school years from the first 
                                        year any such student is 
                                        assessed for the purposes of 
                                        this subsection;
                                            ``(bb) may, at the option 
                                        of the State educational 
                                        agency, be assessed in the 
                                        first year any such student 
                                        attended school in the United 
                                        States (not including Puerto 
                                        Rico);
                                            ``(cc) shall not be 
                                        included in any calculation of 
                                        adequate yearly progress when 
                                        such students are in the first 
                                        year of attending school in the 
                                        United States (not including 
                                        Puerto Rico); and
                                            ``(dd) shall be assessed in 
                                        a valid and reliable manner and 
                                        provided reasonable 
                                        accommodations on assessments 
                                        administered to such students 
                                        under this paragraph, 
                                        including, to the extent 
                                        practicable, assessments in the 
                                        language and form most likely 
                                        to yield accurate data on what 
                                        such students know and can do 
                                        in academic content areas, 
                                        until such students have 
                                        achieved English language 
                                        proficiency as determined under 
                                        paragraph (7);'';
            (2) in clause (xiv) by striking ``and'' at the end;
            (3) by redesignating clause (xv) as clause (xvii); and
            (4) by inserting after clause (xiv) the following:
                            ``(xv) at the option of the local 
                        educational agency, be administered multiple 
                        times to any such student during the school 
                        year, or (at the option of the State) a 
                        subsequent date prior to the beginning of the 
                        next school year, provided that the local 
                        educational agency shall determine which score 
                        of any such administration be used for 
                        determining adequate yearly progress;
                            ``(xvi) at the option of the school 
                        district, measure the achievement of a student 
                        as if such student were in the grade level 
                        proceeding the grade level of such student, 
                        provided that--
                                    ``(I) if such student meets the 
                                proficient level of achievement for 
                                such proceeding grade level, such score 
                                shall be used to determine adequate 
                                yearly progress for such proceeding 
                                grade level; and
                                    ``(II) if such student does not 
                                meet the proficient level of 
                                achievement for such proceeding grade 
                                level, such score is not used for the 
                                purposes of determining adequate yearly 
                                progress; and''.

SEC. 108. REGULATIONS.

    Section 1111 of the Elementary and Secondary Education Act of 1965 
(20 U.S.C. 6311) is further amended by adding at the end the following:
    ``(o) Regulations.--
            ``(1) Codification of regulations affecting limited english 
        proficient children.--This part shall be implemented consistent 
        with amendments proposed to part 200 of title 34, Code of 
        Federal Regulations, on June 24, 2004 (69 Fed. Reg. 35462) 
        (relating to the assessment of limited English proficient 
        children and the inclusion of limited-English-proficient 
        children in subgroups) as if such amendments permitted students 
        who were previously identified as limited-English-proficient to 
        be included in the group described in subsection 
        (b)(2)(C)(v)(II)(dd) for three additional years, as determined 
        by a local educational agency (based on the individual needs of 
        a child) for the purposes of determining adequate yearly 
        progress.
            ``(2) Issuance of regulations affecting children with 
        disabilities.--The Secretary shall issue regulations not later 
        than 180 days after the date of the enactment of the No Child 
        Left Behind Improvements Act of 2006 regarding the 
        participation of children with disabilities under this part. 
        Such regulations shall permit a State to include, for up to 
        three years, students who were children with disabilities as 
        part of the group described under section 
        1111(b)(2)(C)(v)(II)(cc) but who are no longer identified as 
        children with disabilities. Students with disabilities may be 
        provided an alternate assessment, including an out of level 
        assessment, if deemed appropriate by the individual education 
        plan team for that student and included within the written 
        individual education plan for that student.''.

SEC. 109. RESEARCH AND STANDARDS.

    (a) In General.--From funds appropriated under subsection (b), the 
Secretary is authorized to conduct research and to make grants to 
States and groups of States for the purpose of developing and 
implementing standards and assessments in academic subjects for which 
States are held accountable for making adequate yearly progress under 
the Elementary and Secondary Education Act of 1965 (20 U.S.C. 6301 et 
seq.), subject to the following conditions:
            (1) High quality standards.--The standards that are 
        developed pursuant to this subsection will--
                    (A) be designed with the expectation that students 
                will graduate from high school prepared to enter 
                postsecondary education or the workplace; and
                    (B) be clear, concise, and consistent with the 
                rigor of standards in nations that research validates 
                as being high caliber.
            (2) Prohibition.--The Federal Government and any entity 
        under its control is prohibited from--
                    (A) establishing academic standards or requiring 
                any State to adopt specific standards or assessments as 
                a condition for receiving funds under any program 
                administered by the Department; and
                    (B) establishing any assessment or requiring any 
                State to adopt a specific assessment for determining 
                adequate yearly progress.
            (3) Incentive.--A State that adopts standards in an 
        academic system pursuant to paragraph (1) may--
                    (A) revise the measurable objectives required by 
                section 1111(b)(2)(G) of the Elementary and Secondary 
                Education Act of 1965 (8 U.S.C. 6311(b)(2)(G));
                    (B) extend the time line set forth in section 
                1111(b)(2)(F) of such Act to a subsequent year but not 
                beyond the 2017-18 school year;
                    (C) exclude assessment results from the 
                determination of whether a school or local educational 
                agency is in need of improvement under section 
                1116(b)(1)(A) of such Act for the school year in which 
                such standards are implemented by local educational 
                agencies; and
                    (D) defer the implementation of the requirements of 
                paragraph (5), (7), and (8) of section 11116(b) of such 
                Act for the school year following the first school year 
                in which such standards are implemented by local 
                educational agencies.
            (4) State plans.--The State plan under section 1111 of such 
        Act of any State that adopts standards pursuant to paragraph 
        (1) shall indicate how the State will--
                    (A) assist local educational agencies to--
                            (i) provide for the professional 
                        development of teachers and administrators to 
                        effectively teach to such standards;
                            (ii) align curriculum with such standards;
                            (iii) acquire and align, as the case may 
                        be, course materials, technology data systems 
                        and other resources necessary to effectively 
                        teach to such standards;
                            (iv) ensure that the State will give a high 
                        priority in providing assistance under this 
                        subsection to schools and local educational 
                        agencies wherein 35 percent or more of the 
                        students in the group identified under 
                        subclause (I) of section 1111(b)(2)(C)(v) of 
                        such Act did not make adequate yearly progress 
                        targets in the year prior to the implementation 
                        of such standards; and
                            (v) ensure that representatives of 
                        teachers, administrators, school board members, 
                        parents, and other stakeholders are provided 
                        timely involvement in the development, 
                        adoption, implementation, and evaluation of 
                        standards and assessments funded by this 
                        section; and
                    (B) use State funds and the funds provided under 
                such Act to support the activities described in 
                subparagraph (A) as a top priority.
    (b) Authorization of Appropriations.--There are authorized to be 
appropriated to carry out this section $600,000,000.

                      TITLE II--STATE FLEXIBILITY

SEC. 201. STATE FLEXIBILITY.

    Section 1111 of the Elementary and Secondary Education Act of 1965 
(20 U.S.C. 6311) is amended--
            (1) by redesignating subsections (f) through (m) as 
        subsections (g) through (n); and
            (2) by inserting after subsection (e) the following:
    ``(f) State Flexibility.--
            ``(1) Plans.--In approving plans under subsection (e), the 
        Secretary shall accord a State maximum flexibility to make such 
        plans and any revisions compatible with the accountability 
        system of such State.
            ``(2) Waivers.--Through the authority provided under part D 
        of title IX, the Secretary may grant a waiver of any statutory 
        or regulatory requirement of this part requested by a State 
        educational agency or local educational agency.
            ``(3) Notification.--Not later than 30 days after the 
        approval of any revisions to the plan of a State, or the 
        granting of any waivers described under paragraph (2), the 
        Secretary shall notify each State educational agency of such 
        revision or waiver and, through the Website of the Department 
        of Education and the Federal Register, the public. The 
        notification described in the preceding sentence shall be in 
        writing and include a clear and complete explanation of such 
        revision or wavier.
            ``(4) Applicability of plan revisions and waivers to other 
        agencies.--A revision to a plan approved under this part or a 
        waiver issued under this subsection or under part D of title IX 
        may be applied in any other State or local educational agency, 
        provided the State or agency meets any requirements issued by 
        the Secretary applicable to such revision or waiver as 
        implemented by such State or agency.''.

                 TITLE III--IMPLEMENTATION OF SANCTIONS

SEC. 301. SCHOOL IMPROVEMENT AND PUBLIC SCHOOL CHOICE.

    Section 1116(b) of the Elementary and Secondary Education Act of 
1965 (20 U.S.C. 6316(b)) is amended--
            (1) in paragraph (1)(A) by inserting after ``2 consecutive 
        years'' the following: ``(in the same subject for the same 
        group of students, as described in section 1111(b)(2)(C)(v))'';
            (2) in paragraph (1)(E)(i)--
                    (A) by striking ``In the case'' and inserting 
                ``Consistent with subparagraph (G), in the case'';
                    (B) by striking ``all students enrolled in the 
                school'' and inserting ``students who failed to meet 
                the proficient level of achievement on the assessments 
                described under section 1111(b)(3) and are in the group 
                whose academic performance caused the identification 
                under this paragraph''; and
                    (C) by striking ``another public school'' and 
                inserting ``one other public school identified, and'';
            (3) in paragraph (1)(E) by adding at the end the following:
                            ``(iii) Special conditions.--A local 
                        educational agency shall not be required to 
                        implement the transfer of a student to a school 
                        under this subparagraph if doing so would--
                                    ``(I) violate a State or local law 
                                or policy relating to health, safety, 
                                or class size;
                                    ``(II) result in overcrowding, the 
                                installation of mobile classrooms, 
                                construction of classrooms, or other 
                                significant capital improvements in 
                                that school; or
                                    ``(III) be impractical due to 
                                distance, geographical barriers or 
                                hazards, time of travel, or unusually 
                                high cost of travel.'';
            (4) in paragraph (1) by adding at the end the following:
                    ``(G) Options.--A local educational agency may 
                offer supplemental services as described in subsection 
                (e) in place of the option to transfer to one or more 
                public schools described in subparagraph (E) for the 
                purposes of meeting the requirements of paragraphs 
                (5)(A), (7)(C)(i), or (8)(A)(i).'';
            (5) in paragraph (5) by inserting after ``adequate yearly 
        progress'' the following: ``(in the same subject for the same 
        group of students)'';
            (6) in paragraph (7)(C) by inserting after ``adequate 
        yearly progress'' the following: ``(in the same subject for the 
        same group of students)'';
            (7) in paragraph (7)(C)(i)--
                    (A) by striking ``all''; and
                    (B) by striking ``another'' and inserting ``an 
                other'';
            (8) in paragraph (7) by amending subparagraph (D) to read 
        as follows:
                    ``(D) Delay.--Notwithstanding any other provision 
                of this paragraph, the local educational agency may 
                delay, for a period not to exceed 1 year, 
                implementation of the requirements under paragraph (5), 
                corrective action under this paragraph, or 
                restructuring under paragraph (8) if the school makes 
                adequate yearly progress for 1 year or if its failure 
                to make adequate yearly progress is due to--
                            ``(i) exceptional or uncontrollable 
                        circumstances, such as a natural disaster;
                            ``(ii) a precipitous and unforeseen decline 
                        in the financial resources of the local 
                        educational agency or school; or
                            ``(iii) a sudden or significant increase in 
                        the number of percentage of students 
                        represented by a group described in section 
                        1111(b)(2)(C)(v).
                No such period shall be taken into account in 
                determining the number of consecutive years of failure 
                to make adequate yearly progress.'';
            (9) in paragraph (8)(A) by inserting after ``adequate 
        yearly progress'' the following: ``in the same subject for the 
        same group of students and the total number of students who did 
        not meet or exceed the proficient level of academic achievement 
        (who are members of a group described in section 
        1111(b)(2)(C)(v)) that did not make adequate yearly progress 
        exceed 35 percent of all students enrolled in such school who 
        took the assessment in such subject'';
            (10) in paragraph (8)(A)(i)--
                    (A) by striking ``all''; and
                    (B) by striking ``another'' and inserting ``an 
                other'';
            (11) in paragraph (10) by adding at the end the following:
                    ``(E) Determination that lesser amount is needed.--
                            ``(i) In general.--If a local educational 
                        agency determines under subparagraph (A) that a 
                        lesser amount is needed to comply with 
                        paragraph (9) and to satisfy all requests for 
                        supplemental educational services under 
                        subsection (e), the agency shall be required by 
                        this paragraph to spend only that lesser 
                        amount. The remaining amount (equal to the 
                        difference between that lesser amount and the 
                        amount otherwise required to be spent by 
                        subparagraph (A)) shall be merged back with the 
                        agency's allocation under subpart 2 and shall 
                        be available accordingly.
                            ``(ii) Timing.--A determination described 
                        in clause (i) may not be made--
                                    ``(I) until a reasonable time after 
                                notice to parents is made under 
                                paragraph (6) and a reasonable time 
                                after the deadline for making requests 
                                for such transportation or services has 
                                passed; and
                                    ``(II) after December 15, or after 
                                the date specified in the State plan, 
                                if the State plan specifies an earlier 
                                date.
                            ``(iii) Assurances.--The remaining amount 
                        may not be merged back with the agency's 
                        allocation, as described in clause (i), until 
                        after the agency notifies the State of the 
                        determination made under clause (i) and 
                        provides assurances to the State that the 
                        determination was made in compliance with this 
                        paragraph.''; and
            (12) in paragraph (13) by striking ``is no longer 
        identified'' and all that follows through the period at the end 
        and inserting the following: ``has made adequate yearly 
        progress for the group in which the child is a member in the 
        same subject for which a failure to meet adequate yearly 
        progress triggered the transfer.''.

SEC. 302. SCHOOL DISTRICT IMPROVEMENT.

    Section 1116(c)(10) of the Elementary and Secondary Education Act 
of 1965 (20 U.S.C. 6316(c)(10)) is amended--
            (1) in subparagraph (B) by amending clause (ii) to read as 
        follows:
                            ``(ii) shall take corrective action with 
                        respect to a local educational agency--
                                    ``(I) that fails to make adequate 
                                yearly progress, as defined by the 
                                State, in the same subject, in either 
                                (at the option of the State) each grade 
                                span (as determined by the State) or 
                                averaged across all grades, for a group 
                                described in section 1111(b)(2)(C)(v) 
                                by the end of the second full school 
                                year after the identification of such 
                                agency under paragraph (3); and
                                    ``(II) whose total number of 
                                students (who are members of a group 
                                described in section 1111(b)(2)(C)(v)) 
                                that did not meet or exceed the 
                                proficient level of academic 
                                achievement exceed 35 percent of all 
                                students enrolled in a school in such 
                                agency who took the assessment in such 
                                subject and averaged across all grades; 
                                and''; and
            (2) by amending subparagraph (F) to read as follows:
                    ``(F) Delay.--Notwithstanding subparagraph (B)(ii), 
                a State educational agency may delay, for a period not 
                to exceed 1 year, implementation of corrective action 
                under this paragraph if the local educational agency 
                makes adequate yearly progress for 1 year or its 
                failure to make adequate yearly progress is due to--
                            ``(i) exceptional or uncontrollable 
                        circumstances, such as a natural disaster;
                            ``(ii) a precipitous and unforeseen decline 
                        in the financial resources of the local 
                        educational agency; or
                            ``(iii) a sudden or significant increase in 
                        the number or percentage of students 
                        represented by any group described in section 
                        1111(b)(2)(C)(v).''.

SEC. 303. SUPPLEMENTAL SERVICES.

    Section 1116(e) of the Elementary and Secondary Education Act of 
1965 (20 U.S.C. 6316(e)) is amended--
            (1) in paragraph (4)--
                    (A) in subparagraph (B), by inserting after 
                ``objective criteria'' the following: ``(developed 
                through continuous consultation with local educational 
                agencies in the State)'';
                    (B) in subparagraph (D) by striking ``and'' at the 
                end;
                    (C) in subparagraph (E) by striking the period at 
                the end and inserting ``; and''; and
                    (D) by adding at the end the following:
                    ``(F) Develop procedures by which a local 
                educational agency may--
                            ``(i) present complaints and documentation 
                        of such complaints to the State educational 
                        agency regarding the qualifications, operation, 
                        and evaluation of approved providers and 
                        potential providers seeking such approval; and
                            ``(ii) demonstrate to the State educational 
                        agency that any provider should not be 
                        authorized to provide supplemental services, as 
                        described in this subsection to any school or 
                        schools under the jurisdiction of that local 
                        education agency.'';
            (2) by redesignating paragraph (12) as paragraph (13); and
            (3) by inserting after paragraph (11) the following:
            ``(12) Local educational agencies as providers.--Nothing in 
        this section prohibits a local educational agency that has 
        failed to make adequate yearly progress or is in improvement, 
        corrective action, or restructuring status pursuant to 
        subsection (c) from providing supplemental services, solely due 
        to such failure. In developing and applying objective criteria 
        under paragraph (4)(B) and withdrawing approval for providers 
        under paragraph (4)(D), a State educational agency may not 
        consider whether a local educational agency made adequate 
        yearly progress or its status under subsection (c).''.

SEC. 304. FULL IMPLEMENTATION.

    Section 1116 of the Elementary and Secondary Education Act of 1965 
(20 U.S.C. 6316) is amended by adding at the end the following:
    ``(i) Conditional Implementation.--Notwithstanding any other 
provision of this section, a State educational agency, local 
educational agency, or school, as applicable, may defer the 
requirements of subsections (b)(7) and (8) and subsections (c)(7) and 
(10) in any fiscal year for which both of the following apply:
            ``(1) The amount appropriated under section 1002(a) for 
        that fiscal year fails to exceed, by at least $2,500,000,000, 
        the amount appropriated under that section for the preceding 
        fiscal year.
            ``(2) The amount appropriated under section 611(i) of the 
        Individuals with Disabilities Education Act (42 U.S.C. 1400 et 
        seq.) for that fiscal year fails to exceed, by at least 
        $2,000,000,000, the amount appropriated under that section for 
        the preceding fiscal year.''.

                      TITLE IV--NONPUBLIC SCHOOLS

SEC. 401. PARTICIPATION OF CHILDREN ENROLLED IN PRIVATE SCHOOLS.

    Section 1120 of the Elementary and Secondary Education Act of 1965 
(20 U.S.C. 6320) is amended--
            (1) in subsection (b)(1)(D) by inserting after 
        ``academically assessed'' the following: ``(consistent with 
        subsection (f))''; and
            (2) by adding at the end the following:
    ``(f) Accountability for Children Enrolled in Private Schools.--
            ``(1) In general.--Notwithstanding section 9506(a), as 
        specifically provided for in this subsection, children enrolled 
        in private elementary schools and secondary schools that 
        receive educational services or other benefits under this part 
        shall participate in the assessments described under section 
        1111(b)(3).
            ``(2) Reporting.--
                    ``(A) The State educational agency shall report the 
                results of the assessments taken by students in private 
                elementary and secondary schools by grade and subject 
                to--
                            ``(i) the private elementary or secondary 
                        school that such students attend; and
                            ``(ii) the local educational agency in 
                        which the private school is geographically 
                        located in a manner and extent that is 
                        consistent with the provisions of section 
                        1111(i) and the function of the local 
                        educational agency under section 1120(b).
                    ``(B) A private elementary or secondary school 
                shall report the assessment results received from the 
                State educational agency under subparagraph (A) to the 
                parents of students enrolled in such school who receive 
                services under this part in writing and in the native 
                language of the parent in a manner and extent 
                consistent with the provisions of subsection 1111(i).
            ``(3) Effectiveness of services.--Based on the results of 
        the assessments described under paragraph (1), a State 
        educational agency may determine that such services received by 
        children under this section be ceased in schools when such 
        results, compared to a comparable cohort of children enrolled 
        in a public school in the school district of the local 
        educational agency, are significantly lower and such schools do 
        not meet the definition of adequate yearly progress established 
        by the State in which the private school is located for 3 or 
        more consecutive years.''.

                TITLE V--EFFECTIVE DATE AND REGULATIONS

SEC. 501. EFFECTIVE DATE.

    Except as specifically provided in this Act, the amendments made by 
this Act shall take effect on the first July 1 that occurs after the 
date of the enactment of this Act.

SEC. 502. REGULATIONS.

    The Secretary of Education shall issue regulations as necessary to 
implement the provisions of this Act not later than 180 days after the 
date of the enactment of this Act.
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