[Congressional Record Volume 144, Number 46 (Thursday, April 23, 1998)]
[Senate]
[Pages S3546-S3554]
From the Congressional Record Online through the Government Publishing Office [www.gpo.gov]


[[Page S3546]]
                          AMENDMENTS SUBMITTED

                                 ______
                                 

        THE EDUCATION SAVINGS ACT FOR PUBLIC AND PRIVATE SCHOOLS

                                 ______
                                 

                  DODD (AND OTHERS) AMENDMENT NO. 2305

  Mr. DODD (for himself, Mr. Leahy, Mr. Harkin, Mr. Kennedy, Mr. 
Wellstone, Mrs. Boxer, and Mr. Reed) proposed an amendment to the bill 
(H.R. 2646) to amend the Internal Revenue Code of 1986 to allow tax-
free expenditures from education individual retirement accounts for 
elementary and secondary school expenses, to increase the maximum 
annual amount of contributions to such accounts, and for other 
purposes; as follows:

       Strike section 101, and insert the following:

     SEC. 101. FUNDING FOR PART B OF IDEA.

       Any net revenue increases resulting from the enactment of 
     title II that remain available, taking into account the 
     provisions of this title, shall be used to carry out part B 
     of the Individuals with Disabilities Education Act (20 U.S.C. 
     1411 et seq.).
                                 ______
                                 

                 BOXER (AND OTHERS) AMENDMENT NO. 2306

  Mrs. BOXER (for herself, Mrs. Murray, Mr. Bingaman, Mr. Johnson, Mr. 
Lieberman, Mr. Sarbanes, Mr. Kerry, Mr. Dodd, Mr. Durbin, Mr. Levin, 
Mr. Akaka, Mr. Kohl, Mr. Wellstone, Mr. Bryan, Mr. Kennedy, Mr. Inouye, 
Mr. Daschle, Ms. Moseley-Braun, and Ms. Mikulski) proposed an amendment 
to the bill, H.R. 2646, supra; as follows:

       At the end, add the following:
             TITLE ____--AFTER SCHOOL EDUCATION AND SAFETY

     SECTION ____01. SHORT TITLE.

       This title may be cited as the ``After School Education and 
     Safety Act of 1998''.

     SEC. ____02. PURPOSE.

       The purpose of this title is to improve academic and social 
     outcomes for students by providing productive activities 
     during after school hours.

     SEC. ____03. FINDINGS.

       Congress makes the following findings:
       (1) Today's youth face far greater social risks than did 
     their parents and grandparents.
       (2) Students spend more of their waking hours alone, 
     without supervision, companionship, or activity than the 
     students spend in school.
       (3) Law enforcement statistics show that youth who are ages 
     12 through 17 are most at risk of committing violent acts and 
     being victims of violent acts between 3 p.m. and 6 p.m.

     SEC. ____04. GOALS.

       The goals of this title are as follows:
       (1) To increase the academic success of students.
       (2) To improve the intellectual, social, physical, and 
     cultural skills of students.
       (3) To promote safe and healthy environments for students.
       (4) To prepare students for workforce participation.
       (5) To provide alternatives to drug, alcohol, tobacco, and 
     gang, activity.

     SEC. ____05. DEFINITIONS.

       In this title:
       (1) School.--The term ``school'' means a public 
     kindergarten, or a public elementary school or secondary 
     school, as defined in section 14101 of the Elementary and 
     Secondary Education Act of 1965 (20 U.S.C. 8801).
       (2) Secretary.--The term ``Secretary'' means the Secretary 
     of Education.

     SEC. ____06. PROGRAM AUTHORIZED.

       The Secretary is authorized to carry out a program under 
     which the Secretary awards grants to schools to enable the 
     schools to carry out the activities described in section 
     ____07(a).

     SEC. ____07. AUTHORIZED ACTIVITIES; REQUIREMENTS.

       (a) Authorized Activities.--
       (1) Required.--Each school receiving a grant under this 
     title shall carry out at least 2 of the following activities:
       (A) Mentoring programs.
       (B) Academic assistance.
       (C) Recreational activities.
       (D) Technology training.
       (2) Permissive.--Each school receiving a grant under this 
     title may carry out any of the following activities:
       (A) Drug, alcohol, and gang, prevention activities.
       (B) Health and nutrition counseling.
       (C) Job skills preparation activities.
       (b) Time.--A school shall provide the activities described 
     in subsection (a) only after regular school hours during the 
     school year.
       (c) Special Rule.--Each school receiving a grant under this 
     title shall carry out activities described in subsection (a) 
     in a manner that reflects the specific needs of the 
     population, students, and community to be served.
       (d) Location.--A school shall carry out the activities 
     described in subsection (a) in a school building or other 
     public facility designated by the school.
       (e) Administration.--In carrying out the activities 
     described in subsection (a), a school is encouraged--
       (1) to request volunteers from the business and academic 
     communities to serve as mentors or to assist in other ways;
       (2) to request donations of computer equipment; and
       (3) to work with State and local park and recreation 
     agencies so that activities which are described in subsection 
     (a) and carried out prior to the date of enactment of this 
     Act are not duplicated by activities assisted under this 
     title.

     SEC. ____08. APPLICATIONS.

       Each school desiring a grant under this title shall submit 
     an application to the Secretary at such time, in such manner, 
     and accompanied by such information as the Secretary may 
     require. Each such application shall--
       (1) identify how the goals set forth in section ____04 
     shall be met by the activities assisted under this title;
       (2) provide evidence of collaborative efforts by students, 
     parents, teachers, site administrators, and community members 
     in the planning and administration of the activities;
       (3) contain a description of how the activities will be 
     administered;
       (4) demonstrate how the activities will utilize or 
     cooperate with publicly or privately funded programs in order 
     to avoid duplication of activities in the community to be 
     served;
       (5) contain a description of the funding sources and in-
     kind contributions that will support the activities; and
       (6) contain a plan for obtaining non-Federal funding for 
     the activities.

     SEC. ____09. AUTHORIZATION OF APPROPRIATIONS.

       There is authorized to be appropriated to carry out this 
     title $50,000,000 for each of the fiscal years 1998 through 
     2002.

     SEC. ____10. SENSE OF THE SENATE.

       It is the sense of the Senate that funding to carry out 
     this title should be provided by a reduction in certain 
     function 920 allowances, as such reduction was provided in 
     the Senate-passed budget resolution for fiscal year 1999.
                                 ______
                                 

                       DORGAN AMENDMENT NO. 2307

  Mr. COVERDELL (for Mr. Dorgan) proposed an amendment to the bill, 
H.R. 2646, supra; as follows:

       At the end, add the following:

     SEC.   . SAFER SCHOOLS.

       (a) Short Title.--This section may be cited as the ``Safer 
     Schools Act of 1998''.
       (b) Amendment.--Section 14601 of the Gun-Free Schools Act 
     of 1994 (20 U.S.C. 8921) is amended by adding at the end the 
     following new subsection:
       ``(g) For the purposes of this section, a weapon that has 
     been determined to have been brought to a school by a student 
     shall be admissible as evidence in any internal school 
     disciplinary proceeding (related to an expulsion under this 
     section.''.
                                 ______
                                 

                BINGAMAN (AND OTHERS) AMENDMENT NO. 2308

  Mr. BINGAMAN (for himself and Mr. Reid, Mrs. Feinstein, Mr. Chafee, 
and Mr. Bryan) proposed an amendment to the bill, H.R. 2646, supra; as 
follows:

       At the end, add the following:
       TITLE ____--DROPOUT PREVENTION AND STATE RESPONSIBILITIES

     SEC. ____01. SHORT TITLE.

       This title may be cited as the ``National Dropout 
     Prevention Act of 1998''.
                     Subtitle A--Dropout Prevention

     SEC. ____11. DROPOUT PREVENTION.

       Part C of title V of the Elementary and Secondary Education 
     Act of 1965 (20 U.S.C. 7261 et seq.) is amended to read as 
     follows:

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

               ``Subpart 1--Coordinated National Strategy

     ``SEC. 5311. NATIONAL ACTIVITIES.

       ``(a) National Priority.--It shall be a national priority, 
     for the 5-year period beginning on the date of enactment of 
     the National Dropout Prevention Act of 1998, to lower the 
     school dropout rate, and increase school completion, for 
     middle school and secondary school students in accordance 
     with Federal law. As part of this priority, all Federal 
     agencies that carry out activities that serve students at 
     risk of dropping out of school or that are intended to help 
     address the school dropout problem shall make school dropout 
     prevention a top priority in the agencies' funding priorities 
     during the 5-year period.
       ``(b) Enhanced Data Collection.--The Secretary shall 
     collect systematic data on the participation of different 
     racial and ethnic groups (including migrant and limited 
     English proficient students) in all Federal programs.

     ``SEC. 5312. NATIONAL SCHOOL DROPOUT PREVENTION STRATEGY.

       ``(a) Plan.--The Director shall develop, implement, and 
     monitor an interagency plan (in this section referred to as 
     the ``plan'') to assess the coordination, use of resources, 
     and availability of funding under Federal law that can be 
     used to address school dropout

[[Page S3547]]

     prevention, or middle school or secondary school reentry. The 
     plan shall be completed and transmitted to the Secretary and 
     Congress not later than 180 days after the first Director is 
     appointed.
       ``(b) Coordination.--The plan shall address inter- and 
     intra-agency program coordination issues at the Federal level 
     with respect to school dropout prevention and middle school 
     and secondary school reentry, assess the targeting of 
     existing Federal services to students who are most at risk of 
     dropping out of school, and the cost-effectiveness of various 
     programs and approaches used to address school dropout 
     prevention.
       ``(c) Available Resources.--The plan shall also describe 
     the ways in which State and local agencies can implement 
     effective school dropout prevention programs using funds from 
     a variety of Federal programs, including the programs under 
     title I of the Elementary and Secondary Education Act of 1965 
     (20 U.S.C. 6301 et seq.) and the School-to-Work Opportunities 
     Act of 1994 (20 U.S.C. 6101 et seq.).
       ``(d) Scope.--The plan will address all Federal programs 
     with school dropout prevention or school reentry elements or 
     objectives, programs under chapter 1 of subpart 2 of part A 
     of title IV of the Higher Education Act of 1965 (20 U.S.C. 
     1070a-11 et seq.), title I of the Elementary and Secondary 
     Education Act of 1965 (20 U.S.C. 6301 et seq.), the School-
     to-Work Opportunities Act of 1994 (20 U.S.C. 6101 et seq.), 
     and part B of title IV of the Job Training Partnership Act 
     (29 U.S.C. 1691 et seq.), and other programs.

     ``SEC. 5313. NATIONAL CLEARINGHOUSE.

       ``Not later than 6 months after the date of enactment of 
     the National Dropout Prevention Act of 1998, the Director 
     shall establish a national clearinghouse on effective school 
     dropout prevention, intervention and reentry programs. The 
     clearinghouse shall be established through a competitive 
     grant or contract awarded to an organization with a 
     demonstrated capacity to provide technical assistance and 
     disseminate information in the area of school dropout 
     prevention, intervention, and reentry programs. The 
     clearinghouse shall--
       ``(1) collect and disseminate to educators, parents, and 
     policymakers information on research, effective programs, 
     best practices, and available Federal resources with respect 
     to school dropout prevention, intervention, and reentry 
     programs, including dissemination by an electronically 
     accessible database, a worldwide Web site, and a national 
     journal; and
       ``(2) provide technical assistance regarding securing 
     resources with respect to, and designing and implementing, 
     effective and comprehensive school dropout prevention, 
     intervention, and reentry programs.

     ``SEC. 5314. NATIONAL RECOGNITION PROGRAM.

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

       ``Subpart 2--National School Dropout Prevention Initiative

     ``SEC. 5321. FINDINGS.

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

     ``SEC. 5322. PROGRAM AUTHORIZED.

       ``(a) Allotments to States.--
       ``(1) In general.--From the sum made available under 
     section 5332(b) for a fiscal year the Secretary shall make an 
     allotment to each State in an amount that bears the same 
     relation to the sum as the amount the State received under 
     title I of the Elementary and Secondary Education Act of 1965 
     (20 U.S.C. 6301 et seq.) for the preceding fiscal year bears 
     to the amount received by all States under such title for the 
     preceding fiscal year.
       ``(2) Definition of state.--In this subpart, the term 
     ``State'' means each of the several States of the United 
     States, the District of Columbia, the Commonwealth of Puerto 
     Rico, the United States Virgin Islands, Guam, American Samoa, 
     the Commonwealth of the Northern Mariana Islands, the 
     Republic of the Marshall Islands, the Federated States of 
     Micronesia, and the Republic of Palau.
       ``(b) Grants.--From amounts made available to a State under 
     subsection (a), the State educational agency may award grants 
     to public middle schools or secondary schools, that have 
     school dropout rates which are in the highest \1/3\ of all 
     school dropout rates in the State, to enable the schools to 
     pay only the startup and implementation costs of effective, 
     sustainable, coordinated, and whole school dropout prevention 
     programs that involve activities such as--
       ``(1) professional development;
       ``(2) obtaining curricular materials;
       ``(3) release time for professional staff; and
       ``(4) planning and research;
       ``(5) remedial education;
       ``(6) reduction in pupil-to-teacher ratios;
       ``(7) efforts to meet State student achievement standards; 
     and
       ``(8) counseling for at-risk students.
       ``(b) Intent of Congress.--It is the intent of Congress 
     that the activities started or implemented under subsection 
     (a) shall be continued with funding provided under part A of 
     title I of the Elementary and Secondary Education Act of 1965 
     (20 U.S.C. 6311 et seq.).
       ``(d) Amount.--
       ``(1) In general.--Subject to subsection (e) and except as 
     provided in paragraph (2), a grant under this subpart shall 
     be awarded--
       ``(A) in the first year that a school receives a grant 
     payment under this subpart, in an amount that is not less 
     than $50,000 and not more than $100,000, based on factors 
     such as--
       ``(i) school size;
       ``(ii) costs of the model being implemented; and
       ``(iii) local cost factors such as poverty rates;
       ``(B) in the second such year, in an amount that is not 
     less than 75 percent of the amount the school received under 
     this subpart in the first such year;
       ``(C) in the third year, in an amount that is not less than 
     50 percent of the amount the school received under this 
     subpart in the first such year; and
       ``(D) in each succeeding year in an amount that is not less 
     than 30 percent of the amount the school received under this 
     subpart in the first such year.
       ``(2) Increases.--The Director shall increase the amount 
     awarded to a school under this subpart by 10 percent if the 
     school creates smaller learning communities within the school 
     and the creation is certified by the State educational 
     agency.
       ``(e) Duration.--A grant under this subpart shall be 
     awarded for a period of 3 years, and may be continued for a 
     period of 2 additional years if the State educational agency 
     determines, based on the annual reports described in section 
     5328(a), that significant progress has been made in lowering 
     the school dropout rate for students participating in the 
     program assisted under this subpart compared to students at 
     similar schools who are not participating in the program.

     ``SEC. 5323. STRATEGIES AND ALLOWABLE MODELS.

       ``(a) Strategies.--Each school receiving a grant under this 
     subpart shall implement research-based, sustainable, and 
     widely replicated, strategies for school dropout prevention 
     and reentry that address the needs of an entire school 
     population rather than a subset of students. The strategies 
     may include--
       ``(1) specific strategies for targeted purposes; and
       ``(2) approaches such as breaking larger schools down into 
     smaller learning communities and other comprehensive reform 
     approaches, developing clear linkages to career skills and 
     employment, and addressing specific gatekeeper hurdles that 
     often limit student retention and academic success.
       ``(b) Allowable Models.--The Director shall annually 
     establish and publish in the Federal Register the principles, 
     criteria, models, and other parameters regarding the types of 
     effective, proven program models that are allowed to be used 
     under this subpart, based on existing research.
       ``(c) Capacity Building.--
       ``(1) In general.--The Director, through a contract with a 
     non-Federal entity, shall conduct a capacity building and 
     design initiative in order to increase the types of proven 
     strategies for dropout prevention on a schoolwide level.
       ``(2) Number and duration.--
       ``(A) Number.--The Director shall award not more than 5 
     contracts under this subsection.
       ``(B) Duration.--The Director shall award a contract under 
     this section for a period of not more than 5 years.
       ``(d) Support for Existing Reform Networks.--
       ``(1) In general.--The Director shall provide appropriate 
     support to eligible entities to enable the eligible entities 
     to provide training, materials, development, and staff 
     assistance to schools assisted under this subpart.
       ``(2) Definition of eligible entity.--The term `eligible 
     entity' means an entity that, prior to the date of enactment 
     of the National Dropout Prevention Act of 1998--
       ``(A) provided training, technical assistance, and 
     materials to 100 or more elementary schools or secondary 
     schools; and

[[Page S3548]]

       ``(B) developed and published a specific educational 
     program or design for use by the schools.

     ``SEC. 5324. SELECTION OF SCHOOLS.

       ``(a) School Application.--
       ``(1) In general.--Each school desiring a grant under this 
     subpart shall submit an application to the State educational 
     agency at such time, in such manner, and accompanied by such 
     information as the State educational agency may require.
       ``(2) Contents.--Each application submitted under paragraph 
     (1) shall--
       ``(A) contain a certification from the local educational 
     agency serving the school that--
       ``(i) the school has the highest number or rates of school 
     dropouts in the age group served by the local educational 
     agency;
       ``(ii) the local educational agency is committed to 
     providing ongoing operational support, for the school's 
     comprehensive reform plan to address the problem of school 
     dropouts, for a period of 5 years; and
       ``(iii) the local educational agency will support the plan, 
     including--

       ``(I) release time for teacher training;
       ``(II) efforts to coordinate activities for feeder schools; 
     and
       ``(III) encouraging other schools served by the local 
     educational agency to participate in the plan;

       ``(B) demonstrate that the faculty and administration of 
     the school have agreed to apply for assistance under this 
     subpart, and provide evidence of the school's willingness and 
     ability to use the funds under this subpart, including 
     providing an assurance of the support of 80 percent or more 
     of the professional staff at the school;
       ``(C) describe the instructional strategies to be 
     implemented, how the strategies will serve all students, and 
     the effectiveness of the strategies;
       ``(D) describe a budget and timeline for implementing the 
     strategies;
       ``(E) contain evidence of interaction with an eligible 
     entity described in section 5323(d)(2);
       ``(F) contain evidence of coordination with existing 
     resources;
       ``(G) provide an assurance that funds provided under this 
     subpart will supplement and not supplant other Federal, 
     State, and local funds;
       ``(H) describe how the activities to be assisted conform 
     with an allowable model described in section 5323(b); and
       ``(I) demonstrate that the school and local educational 
     agency have agreed to conduct a schoolwide program under 
     1114.
       ``(b) State Agency Review and Award.--The State educational 
     agency shall review applications and award grants to schools 
     under subsection (a) according to a review by a panel of 
     experts on school dropout prevention.
       ``(c) Criteria.--The Director shall establish clear and 
     specific selection criteria for awarding grants to schools 
     under this subpart. Such criteria shall be based on school 
     dropout rates and other relevant factors for State 
     educational agencies to use in determining the number of 
     grants to award and the type of schools to be awarded grants.
       ``(d) Eligibility.--
       ``(1) In general.--A school is eligible to receive a grant 
     under this subpart if the school is--
       ``(A) a public school--
       ``(i) that is eligible to receive assistance under part A 
     of title I of the Elementary and Secondary Education Act of 
     1965 (20 U.S.C. 6311 et seq.), including a comprehensive 
     secondary school, a vocational or technical secondary school, 
     and a charter school; and
       ``(ii)(I) that serves students 50 percent or more of whom 
     are low-income individuals; or
       ``(II) with respect to which the feeder schools that 
     provide the majority of the incoming students to the school 
     serve students 50 percent or more of whom are low-income 
     individuals; or
       ``(B) is participating in a schoolwide program under 
     section 1114 during the grant period.
       ``(2) Other schools.--A private or parochial school, an 
     alternative school, or a school within a school, is not 
     eligible to receive a grant under this subpart, but an 
     alternative school or school within a school may be served 
     under this subpart as part of a whole school reform effort 
     within an entire school building.
       ``(e) Community-Based Organizations.--A school that 
     receives a grant under this subpart may use the grant funds 
     to secure necessary services from a community-based 
     organization, including private sector entities, if--
       ``(1) the school approves the use;
       ``(2) the funds are used to provide school dropout 
     prevention and reentry activities related to schoolwide 
     efforts; and
       ``(3) the community-based organization has demonstrated the 
     organization's ability to provide effective services as 
     described in section 107(a) of the Job Training Partnership 
     Act (29 U.S.C. 1517(a)).
       ``(f) Coordination.--Each school that receives a grant 
     under this subpart shall coordinate the activities assisted 
     under this subpart with other Federal programs, such as 
     programs assisted under chapter 1 of subpart 2 of part A of 
     title IV of the Higher Education Act of 1965 (20 U.S.C. 
     1070a-11 et seq.) and the School-to-Work Opportunities Act of 
     1994 (20 U.S.C. 6101 et seq.).

     ``SEC. 5325. DISSEMINATION ACTIVITIES.

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

     ``SEC. 5326. PROGRESS INCENTIVES.

       ``Notwithstanding any other provision of law, each local 
     educational agency that receives funds under title I of the 
     Elementary and Secondary Education Act of 1965 (20 U.S.C. 
     6301 et seq.) shall use such funding to provide assistance to 
     schools served by the agency that have not made progress 
     toward lowering school dropout rates after receiving 
     assistance under this subpart for 2 fiscal years.

     ``SEC. 5327. SCHOOL DROPOUT RATE CALCULATION.

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

     ``SEC. 5328. REPORTING AND ACCOUNTABILITY.

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

     ``SEC. 5329. PROHIBITION ON TRACKING.

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

       ``Subpart 3--Definitions; Authorization of Appropriations

     ``SEC. 5331. DEFINITIONS.

       ``In this Act:
       ``(1) Director.--The term ``Director'' means the Director 
     of the Office of Dropout Prevention and Program Completion 
     established under section 219 of the General Education 
     Provisions Act.
       ``(2) Low-income.--The term ``low-income'', used with 
     respect to an individual, means an individual determined to 
     be low-income in accordance with measures described in 
     section 1113(a)(5) of the Elementary and Secondary Education 
     Act of 1965 (20 U.S.C. 6313(a)(5)).
       ``(3) School dropout.--The term ``school dropout'' has the 
     meaning given the term in section 4(17) of the School-to-Work 
     Opportunities Act of 1994 (20 U.S.C. 6103(17)).

     ``SEC. 5332. AUTHORIZATION OF APPROPRIATIONS.

       ``(a) Subpart 1.--There are authorized to be appropriated 
     to carry out subpart 1, $5,000,000 for fiscal year 1999 and 
     such sums as may be necessary for each of the 4 succeeding 
     fiscal years.
       ``(b) Subpart 2.--There are authorized to be appropriated 
     to carry out subpart 2, $145,000,000 for fiscal year 1999 and 
     such sums as may be necessary for each of the 4 succeeding 
     fiscal years, of which--
       ``(1) $125,000,000 shall be available to carry out section 
     5322; and
       ``(2) $20,000,000 shall be available to carry out section 
     5323.''.

     SEC. ____12. OFFICE OF DROPOUT PREVENTION AND PROGRAM 
                   COMPLETION.

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


         ``office of dropout prevention and program completion

       ``Sec. 219. (a) Establishment.--There shall be in the 
     Department of Education an Office of Dropout Prevention and 
     Program Completion (hereafter in this section referred to as 
     the `Office'), to be administered by the Director of the 
     Office of Dropout Prevention and Program Completion. The 
     Director of the Office shall report directly to the Secretary 
     and shall perform such additional functions as the Secretary 
     may prescribe.
       ``(b) Duties.--The Director of the Office of Dropout 
     Prevention and Program Completion (hereafter in this section 
     referred to as the `Director'), through the Office, shall--
       ``(1) help coordinate Federal, State, and local efforts to 
     lower school dropout rates and increase program completion by 
     middle school, secondary school, and college students;
       ``(2) recommend Federal policies, objectives, and 
     priorities to lower school dropout rates and increase program 
     completion;
       ``(3) oversee the implementation of subpart 2 of part C of 
     title V of the Elementary and Secondary Education Act of 
     1965;

[[Page S3549]]

       ``(4) develop and implement the National School Dropout 
     Prevention Strategy under section 5312 of the Elementary and 
     Secondary Education Act of 1965;
       ``(5) annually prepare and submit to Congress and the 
     Secretary a national report describing efforts and 
     recommended actions regarding school dropout prevention and 
     program completion;
       ``(6) recommend action to the Secretary and the President, 
     as appropriate, regarding school dropout prevention and 
     program completion; and
       ``(7) consult with and assist State and local governments 
     regarding school dropout prevention and program completion.
       ``(c) Scope of Duties.--The scope of the Director's duties 
     under subsection (b) shall include examination of all Federal 
     and non-Federal efforts related to--
       ``(1) promoting program completion for children attending 
     middle school or secondary school;
       ``(2) programs to obtain a secondary school diploma or its 
     recognized equivalent (including general equivalency diploma 
     (GED) programs), or college degree programs; and
       ``(3) reentry programs for individuals aged 12 to 24 who 
     are out of school.
       ``(d) Detailing.--In carrying out the Director's duties 
     under this section, the Director may request the head of any 
     Federal department or agency to detail personnel who are 
     engaged in school dropout prevention activities to another 
     Federal department or agency in order to implement the 
     National School Dropout Prevention Strategy.''.
                   Subtitle B--State Responsibilities

     SEC. ____21. STATE RESPONSIBILITIES.

       Title XIV of the Elementary and Secondary Education Act of 
     1965 (20 U.S.C. 8801 et seq.) is amended by adding at the end 
     the following:

                      ``PART I--DROPOUT PREVENTION

     ``SEC. 14851. DROPOUT PREVENTION.

       ``In order to receive any assistance under this Act, a 
     State educational agency shall comply with the following 
     provisions regarding school dropouts:
       ``(1) Uniform data collection.--Within 1 year after the 
     date of enactment of the National Dropout Prevention Act of 
     1998, a State educational agency shall report to the 
     Secretary and statewide, all school district and school data 
     regarding school dropout rates in the State, and demographic 
     breakdowns, according to procedures that conform with the 
     National Center for Education Statistics' Common Core of 
     Data.
       ``(2) Attendance-neutral funding policies.--Within 2 years 
     after the date of enactment of the National Dropout 
     Prevention Act of 1998, a State educational agency shall 
     develop and implement education funding formula policies for 
     public schools that provide appropriate incentives to retain 
     students in school throughout the school year, such as--
       ``(A) a student count methodology that does not determine 
     annual budgets based on attendance on a single day early in 
     the academic year; and
       ``(B) specific incentives for retaining enrolled students 
     throughout each year.
       ``(3) Suspension and expulsion policies.--Within 2 years 
     after the date of enactment of the National Dropout 
     Prevention Act of 1998, a State educational agency shall 
     develop uniform, long-term suspension and expulsion policies 
     for serious infractions resulting in more than 10 days of 
     exclusion from school per academic year so that similar 
     violations result in similar penalties.''.
                                 ______
                                 

                      COVERDELL AMENDMENT NO. 2309

  Mr. COVERDELL proposed an amendment to the bill, H.R. 2646, supra; as 
follows:

       At the appropriate place, insert the following:
                     TITLE ____--READING EXCELLENCE

     SEC. ____01. SHORT TITLE.

       This title may be cited as the ``Reading Excellence Act''.
                       Subtitle A--Reading Grants

     SEC. ____11. AMENDMENT TO ESEA FOR READING GRANTS.

       Title II of the Elementary and Secondary Education Act of 
     1965 (20 U.S.C. 6601 et seq.) is amended--
       (1) by redesignating part D as part E; and
       (2) by inserting after part C the following:

                        ``PART D--READING GRANTS

     ``SEC. 2351. PURPOSE.

       ``The purposes of this part are as follows:
       ``(1) To teach every child to read in their early childhood 
     years--
       ``(A) as soon as they are ready to read; or
       ``(B) as soon as possible once they enter school, but not 
     later than 3d grade.
       ``(2) To improve the reading skills of students, and the 
     in-service instructional practices for teachers who teach 
     reading, through the use of findings from reliable, 
     replicable research on reading, including phonics.
       ``(3) To expand the number of high-quality family literacy 
     programs.
       ``(4) To reduce the number of children who are 
     inappropriately referred to special education due to reading 
     difficulties.

     ``SEC. 2352. DEFINITIONS.

       ``For purposes of this part:
       ``(1) Eligible professional development provider.--The term 
     `eligible professional development provider' means a provider 
     of professional development in reading instruction to 
     teachers that is based on reliable, replicable research on 
     reading.
       ``(2) Eligible research institution.--The term `eligible 
     research institution' means an institution of higher 
     education at which reliable, replicable research on reading 
     has been conducted.
       ``(3) Family literacy services.--The term `family literacy 
     services' means services provided to participants on a 
     voluntary basis that are of sufficient intensity in terms of 
     hours, and of sufficient duration, to make sustainable 
     changes in a family (such as eliminating or reducing welfare 
     dependency) and that integrate all of the following 
     activities:
       ``(A) Interactive literacy activities between parents and 
     their children.
       ``(B) Equipping parents to partner with their children in 
     learning.
       ``(C) Parent literacy training, including training that 
     contributes to economic self-sufficiency.
       ``(D) Appropriate instruction for children of parents 
     receiving parent literacy services.
       ``(4) Reading.--The term `reading' means the process of 
     comprehending the meaning of written text by depending on--
       ``(A) the ability to use phonics skills, that is, knowledge 
     of letters and sounds, to decode printed words quickly and 
     effortlessly, both silently and aloud;
       ``(B) the ability to use previously learned strategies for 
     reading comprehension; and
       ``(C) the ability to think critically about the meaning, 
     message, and aesthetic value of the text.
       ``(5) Reading readiness.--The term `reading readiness' 
     means activities that--
       ``(A) provide experience and opportunity for language 
     development;
       ``(B) create appreciation of the written word;
       ``(C) develop an awareness of printed language, the 
     alphabet, and phonemic awareness; and
       ``(D) develop an understanding that spoken and written 
     language is made up of phonemes, syllables, and words.
       ``(6) Reliable, replicable research.--The term `reliable, 
     replicable research' means objective, valid, scientific 
     studies that--
       ``(A) include rigorously defined samples of subjects that 
     are sufficiently large and representative to support the 
     general conclusions drawn;
       ``(B) rely on measurements that meet established standards 
     of reliability and validity;
       ``(C) test competing theories, where multiple theories 
     exist;
       ``(D) are subjected to peer review before their results are 
     published; and
       ``(E) discover effective strategies for improving reading 
     skills.

     ``SEC. 2353. GRANTS TO READING AND LITERACY PARTNERSHIPS.

       ``(a) Program Authorized.--The Secretary may make grants on 
     a competitive basis to reading and literacy partnerships for 
     the purpose of permitting such partnerships to make subgrants 
     under sections 2354 and 2355.
       ``(b) Reading and Literacy Partnerships.--
       ``(1) Composition.--
       ``(A) Required participants.--In order to receive a grant 
     under this section, a State shall establish a reading and 
     literacy partnership consisting of at least the following 
     participants:
       ``(i) The Governor of the State.
       ``(ii) The chief State school officer.
       ``(iii) The chairman and the ranking member of each 
     committee of the State legislature that is responsible for 
     education policy.
       ``(iv) A representative, selected jointly by the Governor 
     and the chief State school officer, of at least 1 local 
     educational agency that has at least 1 school that is 
     identified for school improvement under section 1116(c) in 
     the geographic area served by the agency.
       ``(v) A representative, selected jointly by the Governor 
     and the chief State school officer, of a community-based 
     organization working with children to improve their reading 
     skills, particularly a community-based organization using 
     volunteers.
       ``(B) Optional participants.--A reading and literacy 
     partnership may include additional participants, who shall be 
     selected jointly by the Governor and the chief State school 
     officer, which may include--
       ``(i) State directors of appropriate Federal or State 
     programs with a strong reading component;
       ``(ii) a parent of a public or private school student or a 
     parent who educates their child or children in their home;
       ``(iii) a teacher who teaches reading; or
       ``(iv) a representative of (I) an institution of higher 
     education operating a program of teacher preparation in the 
     State; (II) a local educational agency; (III) an eligible 
     research institution; (IV) a private nonprofit or for-profit 
     eligible professional development provider providing 
     instruction based on reliable, replicable research on 
     reading; (V) a family literacy service provider; (VI) an 
     adult education provider; (VII) a volunteer organization that 
     is involved in reading programs; or (VIII) a school or a 
     public library that offers reading or literacy programs for 
     children or families.
       ``(2) Agreement.--The contractual agreement that 
     establishes a reading and literacy partnership--
       ``(A) shall specify--
       ``(i) the nature and extent of the association among the 
     participants referred to in paragraph (1); and

[[Page S3550]]

       ``(ii) the roles and duties of each such participant; and
       ``(B) shall remain in effect during the entire grant period 
     proposed in the partnership's grant application under 
     subsection (e).
       ``(3) Functions.--Each reading and literacy partnership for 
     a State shall prepare and submit an application under 
     subsection (e) and, if the partnership receives a grant under 
     this section--
       ``(A) shall solicit applications for, and award, subgrants 
     under sections 2354 and 2355;
       ``(B) shall oversee the performance of the subgrants and 
     submit performance reports in accordance with subsection (h);
       ``(C) if sufficient grant funds are available under this 
     part--
       ``(i) work to enhance the capacity of agencies in the State 
     to disseminate reliable, replicable research on reading to 
     schools, classrooms, and providers of early education and 
     child care;
       ``(ii) facilitate the provision of technical assistance to 
     subgrantees under sections 2354 and 2355 by providing the 
     subgrantees information about technical assistance providers; 
     and
       ``(iii) build on, and promote coordination among, literacy 
     programs in the State, in order to increase their 
     effectiveness and to avoid duplication of their efforts; and
       ``(D) shall ensure that each local educational agency to 
     which the partnership makes a subgrant under section 2354 
     makes available, upon request and in an understandable and 
     uniform format, to any parent of a student attending any 
     school selected under section 2354(a)(2) in the geographic 
     area served by the agency, information regarding the 
     qualifications of the student's classroom teacher to provide 
     instruction in reading.
       ``(4) Fiscal agent.--The State educational agency shall act 
     as the fiscal agent for the reading and literacy partnership 
     for the purposes of receipt of funds from the Secretary, 
     disbursement of funds to subgrantees under sections 2354 and 
     2355, and accounting for such funds.
       ``(c) Preexisting Partnership.--If, before the date of the 
     enactment of the Reading Excellence Act, a State established 
     a consortium, partnership, or any other similar body, that 
     includes the Governor and the chief State school officer and 
     has, as a central part of its mission, the promotion of 
     literacy for children in their early childhood years through 
     the 3d grade, but that does not satisfy the requirements of 
     subsection (b)(1), the State may elect to treat that 
     consortium, partnership, or body as the reading and literacy 
     partnership for the State notwithstanding such subsection, 
     and the consortium, partnership, or body shall be considered 
     a reading and literacy partnership for purposes of the other 
     provisions of this part.
       ``(d) Multi-State Partnership Arrangements.--A reading and 
     literacy partnership that satisfies the requirements of 
     subsection (b) may join with other such partnerships in other 
     States to develop a single application that satisfies the 
     requirements of subsection (e) and identifies which State 
     educational agency, from among the States joining, shall act 
     as the fiscal agent for the multi-State arrangement. For 
     purposes of the other provisions of this part, any such 
     multi-State arrangement shall be considered to be a reading 
     and literacy partnership.
       ``(e) Applications.--A reading and literacy partnership 
     that desires to receive a grant under this section shall 
     submit an application to the Secretary at such time, in such 
     manner, and including such information as the Secretary may 
     require. The application--
       ``(1) shall describe how the partnership will ensure that 
     95 percent of the grant funds are used to make subgrants 
     under sections 2354 and 2355;
       ``(2) shall be integrated, to the maximum extent possible, 
     with State plans and programs under this Act, the Individuals 
     with Disabilities Education Act (20 U.S.C. 1400 et seq.), 
     and, to the extent appropriate, the Adult Education Act (20 
     U.S.C. 1201 et seq.);
       ``(3) shall describe how the partnership will ensure that 
     professional development funds available at the State and 
     local levels are used effectively to improve instructional 
     practices for reading and are based on reliable, replicable 
     research on reading;
       ``(4) shall describe--
       ``(A) the contractual agreement that establishes the 
     partnership, including at least the elements of the agreement 
     referred to in subsection (b)(2);
       ``(B) how the partnership will assess, on a regular basis, 
     the extent to which the activities undertaken by the 
     partnership and the partnership's subgrantees under this part 
     have been effective in achieving the purposes of this part;
       ``(C) what evaluation instruments the partnership will use 
     to determine the success of local educational agencies to 
     whom subgrants under sections 2354 and 2355 are made in 
     achieving the purposes of this part;
       ``(D) how subgrants made by the partnership under such 
     sections will meet the requirements of this part, including 
     how the partnership will ensure that subgrantees will use 
     practices based on reliable, replicable research on reading; 
     and
       ``(E) how the partnership will, to the extent practicable, 
     make grants to subgrantees in both rural and urban areas;
       ``(5) shall include an assurance that each local 
     educational agency to whom the partnership makes a subgrant 
     under section 2354--
       ``(A) will carry out family literacy programs based on the 
     Even Start family literacy model authorized under part B of 
     title I to enable parents to be their child's first and most 
     important teacher, and will make payments for the receipt of 
     technical assistance for the development of such programs;
       ``(B) will carry out programs to assist those kindergarten 
     students who are not ready for the transition to 1st grade, 
     particularly students experiencing difficulty with reading 
     skills;
       ``(C) will use supervised individuals (including tutors), 
     who have been appropriately trained using reliable, 
     replicable research on reading, to provide additional 
     support, before school, after school, on weekends, during 
     non-instructional periods of the school day, or during the 
     summer, for students in grades 1 through 3 who are 
     experiencing difficulty reading; and
       ``(D) will carry out professional development for the 
     classroom teacher and other appropriate teaching staff on the 
     teaching of reading based on reliable, replicable research on 
     reading; and
       ``(6) shall describe how the partnership--
       ``(A) will ensure that a portion of the grant funds that 
     the partnership receives in each fiscal year will be used to 
     make subgrants under section 2355; and
       ``(B) will make local educational agencies described in 
     section 2355(a)(1) aware of the availability of such 
     subgrants.
       ``(f) Peer Review Panel.--
       ``(1) Composition of peer review panel.--
       ``(A) In general.--The National Institute for Literacy, in 
     consultation with the National Research Council of the 
     National Academy of Sciences, the National Institute of Child 
     Health and Human Development, and the Secretary, shall 
     convene a panel to evaluate applications under this section. 
     At a minimum the panel shall include representatives of the 
     National Institute for Literacy, the National Research 
     Council of the National Academy of Sciences, the National 
     Institute of Child Health and Human Development, and the 
     Secretary.
       ``(B) Experts.--The panel shall include experts who are 
     competent, by virtue of their training, expertise, or 
     experience, to evaluate applications under this section, and 
     experts who provide professional development to teachers of 
     reading to children and adults, based on reliable, replicable 
     research on reading.
       ``(C) Limitation.--Not more than \1/3\ of the panel may be 
     composed of individuals who are employees of the Federal 
     Government.
       ``(2) Payment of fees and expenses of certain members.--The 
     Secretary shall use funds reserved under section 2260(b)(2) 
     to pay the expenses and fees of panel members who are not 
     employees of the Federal Government.
       ``(3) Duties of panel.--
       ``(A) Model application forms.--The peer review panel shall 
     develop a model application form for reading and literacy 
     partnerships desiring to apply for a grant under this 
     section. The peer review panel shall submit the model 
     application form to the Secretary for final approval.
       ``(B) Selection of applications.--
       ``(i) Recommendations of panel.--

       ``(I) In general.--The Secretary shall receive grant 
     applications from reading and literacy partnerships under 
     this section and shall provide the applications to the peer 
     review panel for evaluation. With respect to each 
     application, the peer review panel shall initially recommend 
     the application for funding or for disapproval.
       ``(II) Priority.--In recommending applications to the 
     Secretary, the panel shall give priority to applications from 
     States that have modified, are modifying, or provide an 
     assurance that not later than 1 year after receiving a grant 
     under this section the State will modify, State teacher 
     certification in the area of reading to reflect reliable, 
     replicable research, except that nothing in this part shall 
     be construed to establish a national system of teacher 
     certification.
       ``(III) Ranking of applications.--With respect to each 
     application recommended for funding, the panel shall assign 
     the application a rank, relative to other recommended 
     applications, based on the priority described in subclause 
     (II), the extent to which the application furthers the 
     purposes of this part, and the overall quality of the 
     application.
       ``(IV) Recommendation of amount.--With respect to each 
     application recommended for funding, the panel shall make a 
     recommendation to the Secretary with respect to the amount of 
     the grant that should be made.

       ``(ii) Secretarial selection.--

       ``(I) In general.--Subject to clause (iii), the Secretary 
     shall determine, based on the peer review panel's 
     recommendations, which applications from reading and literacy 
     partnerships shall receive funding and the amounts of such 
     grants. In determining grant amounts, the Secretary shall 
     take into account the total amount of funds available for all 
     grants under this section and the types of activities 
     proposed to be carried out by the partnership.
       ``(II) Effect of ranking by panel.--In making grants under 
     this section, the Secretary shall select applications 
     according to the ranking of the applications by the peer 
     review panel, except in cases where the Secretary determines, 
     for good cause, that a variation from that order is 
     appropriate.

       ``(iii) Minimum grant amounts.--Each reading and literacy 
     partnership selected to receive a grant under this section 
     shall receive an amount for each fiscal year that is not less 
     than $100,000.

[[Page S3551]]

       ``(g) Limitation on Administrative Expenses.--A reading and 
     literacy partnership that receives a grant under this section 
     may use not more than 3 percent of the grant funds for 
     administrative costs.
       ``(h) Reporting.--
       ``(1) In general.--A reading and literacy partnership that 
     receives a grant under this section shall submit performance 
     reports to the Secretary pursuant to a schedule to be 
     determined by the Secretary, but not more frequently than 
     annually. Such reports shall include--
       ``(A) the results of use of the evaluation instruments 
     referred to in subsection (e)(4)(C);
       ``(B) the process used to select subgrantees;
       ``(C) a description of the subgrantees receiving funds 
     under this part; and
       ``(D) with respect to subgrants under section 2354, the 
     model or models of reading instruction, based on reliable, 
     replicable research on reading, selected by subgrantees.
       ``(2) Provision to peer review panel.--The Secretary shall 
     provide the reports submitted under paragraph (1) to the peer 
     review panel convened under subsection (f). The panel shall 
     use such reports in recommending applications for funding 
     under this section.

     ``SEC. 2354. LOCAL READING IMPROVEMENT SUBGRANTS.

       ``(a) In General.--
       ``(1) Subgrants.--A reading and literacy partnership that 
     receives a grant under section 2353 shall make subgrants, on 
     a competitive basis, to local educational agencies that have 
     at least 1 school that is identified for school improvement 
     under section 1116(c) in the geographic area served by the 
     agency.
       ``(2) Role of local educational agencies.--A local 
     educational agency that receives a subgrant under this 
     section shall use the subgrant in a manner consistent with 
     this section to advance reform of reading instruction in any 
     school selected by the agency that--
       ``(A) is identified for school improvement under section 
     1116(c) at the time the agency receives the subgrant; and
       ``(B) has a contractual association with 1 or more 
     community-based organizations that have established a record 
     of effectiveness with respect to reading readiness, reading 
     instruction for children in kindergarten through 3d grade, 
     and early childhood literacy.
       ``(b) Grant Period.--A subgrant under this section shall be 
     for a period of 3 years and may not be revoked or terminated 
     on the ground that a school ceases, during the grant period, 
     to be identified for school improvement under section 
     1116(c).
       ``(c) Applications.--A local educational agency that 
     desires to receive a subgrant under this section shall submit 
     an application to the reading and literacy partnership at 
     such time, in such manner, and including such information as 
     the partnership may require. The application--
       ``(1) shall describe how the local educational agency will 
     work with schools selected by the agency under subsection 
     (a)(2) to select 1 or more models of reading instruction, 
     developed using reliable, replicable research on reading, as 
     a model for implementing and improving reading instruction by 
     all teachers and for all children in each of the schools 
     selected by the agency under such subsection and, where 
     appropriate, their parents;
       ``(2) shall select 1 or more models described in paragraph 
     (1), for the purpose described in such paragraph, and shall 
     describe each such selected model;
       ``(3) shall demonstrate that a person responsible for the 
     development of each such model, or a person with experience 
     or expertise about such model and its implementation, has 
     agreed to work with the applicant in connection with such 
     implementation and improvement efforts;
       ``(4) shall describe--
       ``(A) how the applicant will ensure that funds available 
     under this part, and funds available for reading for grades 
     kindergarten through grade 6 from other appropriate sources, 
     are effectively coordinated and, where appropriate, 
     integrated, with funds under this Act in order to improve 
     existing activities in the areas of reading instruction, 
     professional development, program improvement, parental 
     involvement, technical assistance, and other activities that 
     can help meet the purposes of this part; and
       ``(B) the amount of funds available for reading for grades 
     kindergarten through grade 6 from appropriate sources other 
     than this part, including title I (except that such 
     description shall not be required to include funds made 
     available under part B of title I unless the applicant has 
     established a contractual association in accordance with 
     subsection (d)(2) with an eligible entity under such part B), 
     the Individuals with Disabilities Education Act (20 U.S.C. 
     1400 et seq.), and any other law providing Federal financial 
     assistance for professional development for teachers of such 
     grades who teach reading, which will be used to help achieve 
     the purposes of this part;
       ``(5) shall describe the amount and nature of funds from 
     any other public or private sources, including funds received 
     under this Act and the Individuals with Disabilities 
     Education Act (20 U.S.C. 1400 et seq.), that will be combined 
     with funds received under the subgrant;
       ``(6) shall include an assurance that the applicant--
       ``(A) will carry out family literacy programs based on the 
     Even Start family literacy model authorized under part B of 
     title I to enable parents to be their child's first and most 
     important teacher, will make payments for the receipt of 
     technical assistance for the development of such programs;
       ``(B) will carry out programs to assist those kindergarten 
     students who are not ready for the transition to 1st grade, 
     particularly students experiencing difficulty with reading 
     skills;
       ``(C) will use supervised individuals (including tutors), 
     who have been appropriately trained using reliable, 
     replicable research on reading, to provide additional 
     support, before school, after school, on weekends, during 
     non-instructional periods of the school day, or during the 
     summer, for students in grades 1 through 3 who are 
     experiencing difficulty reading; and
       ``(D) will carry out professional development for the 
     classroom teacher and other teaching staff on the teaching of 
     reading based on reliable, replicable research on reading;
       ``(7) shall describe how the local educational agency 
     provides instruction in reading to children who have not been 
     determined to be a child with a disability (as defined in 
     section 602 of the Individuals with Disabilities Education 
     Act (20 U.S.C. 1401)), pursuant to section 614(b)(5) of such 
     Act (20 U.S.C. 1414(a)(5)), because of a lack of instruction 
     in reading; and
       ``(8) shall indicate the amount of the subgrant funds (if 
     any) that the applicant will use to carry out the duties 
     described in section 2355(b)(2).
       ``(d) Priority.--In approving applications under this 
     section, a reading and literacy partnership shall give 
     priority to an application submitted by an applicant who 
     demonstrates that the applicant has established--
       ``(1) a contractual association with 1 or more Head Start 
     programs under the Head Start Act (42 U.S.C. 9801 et seq.) 
     under which--
       ``(A) the Head Start program agrees to select the same 
     model or models of reading instruction, as a model for 
     implementing and improving the reading readiness of children 
     participating in the program, as was selected by the 
     applicant; and
       ``(B) the applicant agrees--
       ``(i) to share with the Head Start program an appropriate 
     amount of the applicant's information resources with respect 
     to the model, such as curricula materials; and
       ``(ii) to train personnel from the Head Start program;
       ``(2) a contractual association with 1 or more State- or 
     federally-funded preschool programs, or family literacy 
     programs, under which--
       ``(A) the program agrees to select the same model or models 
     of reading instruction, as a model for implementing and 
     improving reading instruction in the program's activities, as 
     was selected by the applicant; and
       ``(B) the applicant agrees to train personnel from the 
     program who work with children and parents in schools 
     selected under subsection (a)(2); or
       ``(3) a contractual association with 1 or more public 
     libraries providing reading or literacy services to preschool 
     children, or preschool children and their families, under 
     which--
       ``(A) the library agrees to select the same model or models 
     of reading instruction, as a model for implementing and 
     improving reading instruction in the library's reading or 
     literacy programs, as was selected by the applicant; and
       ``(B) the applicant agrees to train personnel, including 
     volunteers, from such programs who work with preschool 
     children, or preschool children and their families, in 
     schools selected under subsection (a)(2).
       ``(e) Use of Funds.--
       ``(1) In general.--Subject to paragraph (2), an applicant 
     who receives a subgrant under this section may use the 
     subgrant funds to carry out activities that are authorized by 
     this part and described in the subgrant application, 
     including the following:
       ``(A) Making reasonable payments for technical and other 
     assistance to a person responsible for the development of a 
     model of reading instruction, or a person with experience or 
     expertise about such model and its implementation, who has 
     agreed to work with the recipient in connection with the 
     implementation of the model.
       ``(B) Carrying out a contractual agreement described in 
     subsection (d).
       ``(C) Professional development (including training of 
     volunteers), purchase of curricular and other supporting 
     materials, and technical assistance.
       ``(D) Providing, on a voluntary basis, training to parents 
     of children enrolled in a school selected under subsection 
     (a)(2) on how to help their children with school work, 
     particularly in the development of reading skills. Such 
     training may be provided directly by the subgrant recipient, 
     or through a grant or contract with another person. Such 
     training shall be consistent with reading reforms taking 
     place in the school setting.
       ``(E) Carrying out family literacy programs based on the 
     Even Start family literacy model authorized under part B of 
     title I to enable parents to be their child's first and most 
     important teacher, and making payments for the receipt of 
     technical assistance for the development of such programs.
       ``(F) Providing instruction for parents of children 
     enrolled in a school selected under subsection (a)(2), and 
     others who volunteer to be reading tutors for such children, 
     in the instructional practices based on reliable,

[[Page S3552]]

     replicable research on reading used by the applicant.
       ``(G) Programs to assist those kindergarten students 
     enrolled in a school selected under subsection (a)(2) who are 
     not ready for the transition to 1st grade, particularly 
     students experiencing difficulty with reading skills.
       ``(H) Providing, for students who are enrolled in grades 1 
     through 3 in a school selected under subsection (a)(2) and 
     are experiencing difficulty reading, additional support 
     before school, after school, on weekends, during non-
     instructional periods of the school day, or during the 
     summer, using supervised individuals (including tutors) who 
     have been appropriately trained using reliable, replicable 
     research on reading.
       ``(I) Carrying out the duties described in section 
     2355(b)(2) for children enrolled in a school selected under 
     subsection (a)(2).
       ``(J) Providing reading assistance to children who have not 
     been determined to be a child with a disability (as defined 
     in section 602 of the Individuals with Disabilities Education 
     Act (20 U.S.C. 1401)), pursuant to section 614(b)(5) of such 
     Act (20 U.S.C. 1414(b)(5)), because of a lack of instruction 
     in reading.
       ``(2) Limitation on administrative expenses.--A recipient 
     of a subgrant under this section may use not more than 3 
     percent of the subgrant funds for administrative costs.
       ``(f) Training Nonrecipients.--A recipient of a subgrant 
     under this section may train, on a fee-for-service basis, 
     personnel who are from schools, or local educational 
     agencies, that are not receiving such a subgrant in the 
     instructional practices based on reliable, replicable 
     research on reading used by the recipient. Such a non-
     recipient school may use funds received under title I, and 
     other appropriate Federal funds used for reading instruction, 
     to pay for such training, to the extent consistent with the 
     law under which such funds were received.

     ``SEC. 2355. TUTORIAL ASSISTANCE SUBGRANTS.

       ``(a) In General.--
       ``(1) Subgrants.--A reading and literacy partnership that 
     receives a grant under section 2353 shall make subgrants on a 
     competitive basis to--
       ``(A) local educational agencies that have at least 1 
     school in the geographic area served by the agency that--
       ``(i) is located in an area designated as an empowerment 
     zone under part I of subchapter U of chapter 1 of the 
     Internal Revenue Code of 1986; or
       ``(ii) is located in an area designated as an enterprise 
     community under part I of subchapter U of chapter 1 of the 
     Internal Revenue Code of 1986; or
       ``(B) in the case of local educational agencies that do not 
     have any such empowerment zone or enterprise community in the 
     State in which the agency is located, local educational 
     agencies that have at least 1 school that is identified for 
     school improvement under section 1116(c) in the geographic 
     area served by the agency.
       ``(2) Applications.--A local educational agency that 
     desires to receive a subgrant under this section shall submit 
     an application to the reading and literacy partnership at 
     such time, in such manner, and including such information as 
     the partnership may require. The application shall include an 
     assurance that the agency will use the subgrant funds to 
     carry out the duties described in subsection (b) for children 
     enrolled in 1 or more schools selected by the agency and 
     described in paragraph (1).
       ``(b) Use of Funds.--
       ``(1) In general.--A local educational agency that receives 
     a subgrant under this section shall carry out, using the 
     funds provided under the subgrant, each of the duties 
     described in paragraph (2).
       ``(2) Duties.--The duties described in this paragraph are 
     the provision of tutorial assistance in reading to children 
     who have difficulty reading, using instructional practices 
     based on the principles of reliable, replicable research, 
     through the following:
       ``(A) The promulgation of a set of objective criteria, 
     pertaining to the ability of a tutorial assistance provider 
     successfully to provide tutorial assistance in reading, that 
     will be used to determine in a uniform manner, at the 
     beginning of each school year, the eligibility of tutorial 
     assistance providers, subject to the succeeding subparagraphs 
     of this paragraph, to be included on the list described in 
     subparagraph (B) (and thereby be eligible to enter into a 
     contract pursuant to subparagraph (F)).
       ``(B) The promulgation, maintenance, and approval of a list 
     of tutorial assistance providers eligible to enter into a 
     contract pursuant to subparagraph (F) who--
       ``(i) have established a record of effectiveness with 
     respect to reading readiness, reading instruction for 
     children in kindergarten through 3d grade, and early 
     childhood literacy;
       ``(ii) are located in a geographic area convenient to the 
     school or schools attended by the children who will be 
     receiving tutorial assistance from the providers; and
       ``(iii) are capable of providing tutoring in reading to 
     children who have difficulty reading, using instructional 
     practices based on the principles of reliable, replicable 
     research and consistent with the instructional methods used 
     by the school the child attends.
       ``(C) The development of procedures (i) for the receipt of 
     applications for tutorial assistance, from parents who are 
     seeking such assistance for their child or children, that 
     select a tutorial assistance provider from the list described 
     in subparagraph (B) with whom the child or children will 
     enroll, for tutoring in reading; and (ii) for considering 
     children for tutorial assistance who are identified under 
     subparagraph (D) and for whom no application has been 
     submitted, provided that such procedures are in accordance 
     with this paragraph and give such parents the right to select 
     a tutorial assistance provider from the list referred to in 
     subparagraph (B), and shall permit a local educational agency 
     to recommend a tutorial assistance provider from the list 
     under subparagraph (B) in a case where a parent asks for 
     assistance in the making of such selection.
       ``(D) The development of a selection process for providing 
     tutorial assistance in accordance with this paragraph that 
     limits the provision of assistance to children identified, by 
     the school the child attends, as having difficulty reading, 
     including difficulty mastering essential phonic, decoding, or 
     vocabulary skills. In the case of a child included in the 
     selection process for whom no application has been submitted 
     by a parent of the child, the child's eligibility for receipt 
     of tutorial assistance shall be determined under the same 
     procedures, timeframe, and criteria for consideration as is 
     used to determine the eligibility of a child whose parent has 
     submitted such an application. Such local educational agency 
     shall apply the provisions of subparagraphs (F) and (G) to a 
     tutorial assistance provider selected for a child whose 
     parent has not submitted an application pursuant to 
     subparagraph (C)(i) in the same manner as the provisions are 
     applied to a provider selected in an application submitted 
     pursuant to subparagraph (C)(i).
       ``(E) The development of procedures for selecting children 
     to receive tutorial assistance, to be used in cases where 
     insufficient funds are available to provide assistance with 
     respect to all children identified by a school under 
     subparagraph (D) that--
       ``(i) gives priority to children who are determined, 
     through State or local reading assessments, to be most in 
     need of tutorial assistance; and
       ``(ii) gives priority, in cases where children are 
     determined, through State or local reading assessments, to be 
     equally in need of tutorial assistance, based on a random 
     selection principle.
       ``(F) The development of a methodology by which payments 
     are made directly to tutorial assistance providers who are 
     identified and selected pursuant to subparagraphs (C), (D), 
     and (E). Such methodology shall include the making of a 
     contract, consistent with State and local law, between the 
     tutorial assistance provider and the local educational agency 
     carrying out this paragraph. Such contract--
       ``(i) shall contain specific goals and timetables with 
     respect to the performance of the tutorial assistance 
     provider;
       ``(ii) shall require the tutorial assistance provider to 
     report to the parent and the local educational agency on the 
     provider's performance in meeting such goals and timetables; 
     and
       ``(iii) shall contain provisions with respect to the making 
     of payments to the tutorial assistance provider by the local 
     educational agency.
       ``(G) The development of procedures under which the local 
     educational agency carrying out this paragraph--
       ``(i) will ensure oversight of the quality and 
     effectiveness of the tutorial assistance provided by each 
     tutorial assistance provider that is selected for funding;
       ``(ii) will remove from the list under subparagraph (B) 
     ineffective and unsuccessful providers (as determined by the 
     local educational agency based upon the performance of the 
     provider with respect to the goals and timetables contained 
     in the contract between the agency and the provider under 
     subparagraph (F));
       ``(iii) will provide to each parent of a child identified 
     under subparagraph (D) who requests such information for the 
     purpose of selecting a tutorial assistance provider for the 
     child, in a comprehensible format, information with respect 
     to the quality and effectiveness of the tutorial assistance 
     referred to in clause (i); and
       ``(iv) will ensure that each school identifying a child 
     under subparagraph (D) will provide upon request, to a parent 
     of the child, assistance in selecting, from among the 
     tutorial assistance providers who are included on the list 
     described in subparagraph (B), the provider who is best able 
     to meet the needs of the child.
       ``(c) Definition.--For the purpose of this section the term 
     `parent' includes a legal guardian.

     ``SEC. 2356. PROGRAM EVALUATION.

       ``(a) In General.--From funds reserved under section 
     2260(b)(1), the Secretary shall conduct a national assessment 
     of the programs under this part. In developing the criteria 
     for the assessment, the Secretary shall receive 
     recommendations from the peer review panel convened under 
     section 2353(f).
       ``(b) Submission to Peer Review Panel.--The Secretary shall 
     submit the findings from the assessment under subsection (a) 
     to the peer review panel convened under section 2353(f).

     ``SEC. 2357. INFORMATION DISSEMINATION.

       ``(a) In General.--From funds reserved under section 
     2260(b)(2), the National Institute for Literacy shall 
     disseminate information on reliable, replicable research on 
     reading and information on subgrantee projects under section 
     2354 or 2355 that have proven effective. At a minimum, the 
     institute shall

[[Page S3553]]

     disseminate such information to all recipients of Federal 
     financial assistance under titles I and VII, the Head Start 
     Act (42 U.S.C. 9801 et seq.), the Individuals with 
     Disabilities Education Act (20 U.S.C. 1400 et seq.), and the 
     Adult Education Act (20 U.S.C. 1201 et seq.).
       ``(b) Coordination.--In carrying out this section, the 
     National Institute for Literacy--
       ``(1) shall use, to the extent practicable, information 
     networks developed and maintained through other public and 
     private persons, including the Secretary, the National Center 
     for Family Literacy, and the Readline Program;
       ``(2) shall work in conjunction with any panel convened by 
     the National Institute of Child Health and Human Development 
     and the Secretary, and any panel convened by the Office of 
     Educational Research and Improvement to assess the current 
     status of research-based knowledge on reading development, 
     including the effectiveness of various approaches to teaching 
     children to read, with respect to determining the criteria by 
     which the National Institute for Literacy judges reliable, 
     replicable research and the design of strategies to 
     disseminate such information; and
       ``(3) shall assist any reading and literacy partnership 
     selected to receive a grant under section 2353, and that 
     requests such assistance--
       ``(A) in determining whether applications for subgrants 
     submitted to the partnership meet the requirements of this 
     part relating to reliable, replicable research on reading; 
     and
       ``(B) in the development of subgrant application forms.

     ``SEC. 2358. STATE EVALUATIONS.

       ``(a) In General.--Each reading and literacy partnership 
     that receives a grant under this part shall reserve not more 
     than 2 percent of such grant funds for the purpose of 
     evaluating the success of the partnership's subgrantees in 
     meeting the purposes of this part. At a minimum, the 
     evaluation shall measure the extent to which students who are 
     the intended beneficiaries of the subgrants made by the 
     partnership have improved their reading.
       ``(b) Contract.--A reading and literacy partnership shall 
     carry out the evaluation under this section by entering into 
     a contract with an eligible research institution under which 
     the institution will perform the evaluation.
       ``(c) Submission.--A reading and literacy partnership shall 
     submit the findings from the evaluation under this section to 
     the Secretary and the peer review panel convened under 
     section 2353(f). The Secretary and the peer review panel 
     shall submit a summary of the findings from the evaluations 
     under this subsection to the appropriate committees of the 
     Congress, including the Education and the Workforce Committee 
     of the House of Representatives.

     ``SEC. 2359. PARTICIPATION OF CHILDREN ENROLLED IN PRIVATE 
                   SCHOOLS.

       ``Each reading and literacy partnership that receives funds 
     under this part shall provide for, or ensure that subgrantees 
     provide for, the participation of children in private schools 
     in the activities and services assisted under this part in 
     the same manner as the children participate in activities and 
     services pursuant to sections 2353, 2354, 2355, and 2356.

     ``SEC. 2260. AUTHORIZATION OF APPROPRIATIONS; RESERVATIONS 
                   FROM APPROPRIATIONS; APPLICABILITY; SUNSET.

       ``(a) Authorization.--There are authorized to be 
     appropriated to carry out this part $210,000,000 for fiscal 
     years 1999, 2000, and 2001.
       ``(b) Reservations.--From the amount appropriated under 
     subsection (a) for each fiscal year, the Secretary--
       ``(1) shall reserve 1.5 percent to carry out section 
     2356(a);
       ``(2) shall reserve $5,075,000 to carry out sections 
     2353(f)(2) and 2357, of which $5,000,000 shall be reserved 
     for section 2357; and
       ``(3) shall reserve $10,000,000 to carry out section 
     1202(c).
       ``(c) Applicability.--Part E shall not apply to this part.
       ``(d) Sunset.--Notwithstanding section 422(a) of the 
     General Education Provisions Act (20 U.S.C. 1226a(a)), this 
     part is repealed, effective September 30, 2001, and is not 
     subject to extension under such section.''.
     Subtitle B--Amendments to Even Start Family Literacy Programs

     SEC. ____21. RESERVATION FOR GRANTS.

       Section 1202(c) of the Elementary and Secondary Education 
     Act of 1965 (20 U.S.C. 6362(c)) is amended to read as 
     follows:
       ``(c) Reservation for Grants.--
       ``(1) Grants authorized.--From funds reserved under section 
     2260(b)(3), the Secretary shall award grants, on a 
     competitive basis, to States to enable such States to plan 
     and implement, statewide family literacy initiatives to 
     coordinate and integrate existing Federal, State, and local 
     literacy resources consistent with the purposes of this part. 
     Such coordination and integration shall include coordination 
     and integration of funds available under the Adult Education 
     Act (20 U.S.C. 1201 et seq.), Head Start (42 U.S.C. 9801 et 
     seq.), this part, part A of this title, and part A of title 
     IV of the Social Security Act.
       ``(2) Consortia.--
       ``(A) Establishment.--To receive a grant under this 
     subsection, a State shall establish a consortium of State-
     level programs under the following laws:
       ``(i) This title.
       ``(ii) The Head Start Act.
       ``(iii) The Adult Education Act.
       ``(iv) All other State-funded preschool programs and 
     programs providing literacy services to adults.
       ``(B) Plan.--To receive a grant under this subsection, the 
     consortium established by a State shall create a plan to use 
     a portion of the State's resources, derived from the programs 
     referred to in subparagraph (A), to strengthen and expand 
     family literacy services in such State.
       ``(C) Coordination with title ii.--The consortium shall 
     coordinate its activities with the activities of the reading 
     and literacy partnership for the State established under 
     section 2353, if the State receives a grant under such 
     section.
       ``(3) Reading instruction.--Statewide family literacy 
     initiatives implemented under this subsection shall base 
     reading instruction on reliable, replicable research on 
     reading (as such terms are defined in section 2352).
       ``(4) Technical assistance.--The Secretary shall provide, 
     directly or through a grant or contract with an organization 
     with experience in the development and operation of 
     successful family literacy services, technical assistance to 
     States receiving a grant under this subsection.
       ``(5) Matching requirement.--The Secretary shall not make a 
     grant to a State under this subsection unless the State 
     agrees that, with respect to the costs to be incurred by the 
     eligible consortium in carrying out the activities for which 
     the grant was awarded, the State will make available non-
     Federal contributions in an amount equal to not less than the 
     Federal funds provided under the grant.''.

     SEC. ____22. DEFINITIONS.

       Section 1202(e) of the Elementary and Secondary Education 
     Act of 1965 (20 U.S.C. 6362(e)) is amended--
       (1) by redesignating paragraphs (3) and (4) as paragraphs 
     (4) and (5), respectively; and
       (2) by inserting after paragraph (2) the following:
       ``(3) the term `family literacy services' means services 
     provided to participants on a voluntary basis that are of 
     sufficient intensity in terms of hours, and of sufficient 
     duration, to make sustainable changes in a family (such as 
     eliminating or reducing welfare dependency) and that 
     integrate all of the following activities:
       ``(A) Interactive literacy activities between parents and 
     their children.
       ``(B) Equipping parents to partner with their children in 
     learning.
       ``(C) Parent literacy training, including training that 
     contributes to economic self-sufficiency.
       ``(D) Appropriate instruction for children of parents 
     receiving parent literacy services.''.

     SEC. ____23. EVALUATION.

       Section 1209 of the Elementary and Secondary Education Act 
     of 1965 (20 U.S.C. 6369) is amended--
       (1) in paragraph (1), by striking ``and'' at the end;
       (2) in paragraph (2), by striking the period at the end and 
     inserting ``; and''; and
       (3) by adding at the end the following:
       ``(3) to provide States and eligible entities receiving a 
     subgrant under this part, directly or through a grant or 
     contract with an organization with experience in the 
     development and operation of successful family literacy 
     services, technical assistance to ensure local evaluations 
     undertaken under section 1205(10) provide accurate 
     information on the effectiveness of programs assisted under 
     this part.''.

     SEC. ____24. INDICATORS OF PROGRAM QUALITY.

       (a) In General.--The Elementary and Secondary Education Act 
     of 1965 (20 U.S.C. 6301 et seq.) is amended--
       (1) by redesignating section 1210 as section 1212; and
       (2) by inserting after section 1209 the following:

     ``SEC. 1210. INDICATORS OF PROGRAM QUALITY.

       ``Each State receiving funds under this part shall develop, 
     based on the best available research and evaluation data, 
     indicators of program quality for programs assisted under 
     this part. Such indicators shall be used to monitor, 
     evaluate, and improve such programs within the State. Such 
     indicators shall include the following:
       ``(1) With respect to eligible participants in a program 
     who are adults--
       ``(A) achievement in the areas of reading, writing, English 
     language acquisition, problem solving, and numeracy;
       ``(B) receipt of a secondary school diploma or its 
     recognized equivalent;
       ``(C) entry into a postsecondary school, a job retraining 
     program, or employment or career advancement, including the 
     military; and
       ``(D) such other indicators as the State may develop.
       ``(2) With respect to eligible participants in a program 
     who are children--
       ``(A) improvement in ability to read on grade level or 
     reading readiness;
       ``(B) school attendance;
       ``(C) grade retention and promotion; and
       ``(D) such other indicators as the State may develop.''.
       (b) State Level Activities.--Section 1203(a) of the 
     Elementary and Secondary Education Act of 1965 (20 U.S.C. 
     6363(a)) is amended--

[[Page S3554]]

       (1) in paragraph (1), by striking ``and'' at the end;
       (2) in paragraph (2), by striking the period at the end and 
     inserting ``; and''; and
       (3) by adding at the end the following:
       ``(3) carrying out section 1210.''.
       (c) Award of Subgrants.--Paragraphs (3) and (4) of section 
     1208(b) of the Elementary and Secondary Education Act of 1965 
     (20 U.S.C. 6368) are amended to read as follows:
       ``(3) Continuing eligibility.--In awarding subgrant funds 
     to continue a program under this part for the second, third, 
     or fourth year, the State educational agency shall evaluate 
     the program based on the indicators of program quality 
     developed by the State under section 1210. Such evaluation 
     shall take place after the conclusion of the startup period, 
     if any.
       ``(4) Insufficient progress.--The State educational agency 
     may refuse to award subgrant funds if such agency finds that 
     the eligible entity has not sufficiently improved the 
     performance of the program, as evaluated based on the 
     indicators of program quality developed by the State under 
     section 1210, after--
       ``(A) providing technical assistance to the eligible 
     entity; and
       ``(B) affording the eligible entity notice and an 
     opportunity for a hearing.''.

     SEC. ____25. RESEARCH.

       The Elementary and Secondary Education Act of 1965 (20 
     U.S.C. 6301 et seq.), as amended by section 524 of this Act, 
     is further amended by inserting after section 1210 the 
     following:

     ``SEC. 1211. RESEARCH.

       ``(a) In General.--The Secretary shall carry out, through 
     grant or contract, research into the components of successful 
     family literacy services. The purpose of the research shall 
     be--
       ``(1) to improve the quality of existing programs assisted 
     under this part or other family literacy programs carried out 
     under this Act or the Adult Education Act (20 U.S.C. 1201 et 
     seq.); and
       ``(2) to develop models for new programs to be carried out 
     under this Act or the Adult Education Act.
       ``(b) Dissemination.--The National Institute for Literacy 
     shall disseminate, pursuant to section 2357, the results of 
     the research described in subsection (a) to States and 
     recipients of subgrants under this part.''.

                          ____________________