[Congressional Record Volume 145, Number 59 (Wednesday, April 28, 1999)]
[Senate]
[Pages S4354-S4357]
From the Congressional Record Online through the Government Publishing Office [www.gpo.gov]

      By Mr. BAUCUS (for himself and Mr. Hagel):
  S. 897. A bill to provide matching grants for the construction, 
renovation and repair of school facilities in areas affected by Federal 
activities, and for other purposes; to the Committee on Health, 
Education, Labor, and Pensions.


               federally impacted school improvement act

  Mr. HAGEL. Mr. President, I join the senior Senator from Montana, 
Senator Baucus, in introducing the Federally Impacted School 
Improvement Act. This bipartisan legislation is designed to renew and 
enhance the partnership between the federal government and schools 
located on or around Indian reservations and military bases.
  For almost fifty years Congress has provided financial assistance to 
school districts impacted by a federal presence. Up until 1994, 
Congress also provided funding to help these communities defray the 
cost of building and repairing their schools.
  The loss of this particular revenue over the last five years, 
combined with the continued under-funding for almost 15 years of the 
impact aid program in general, has left school districts that serve 
military and Indian children scrambling to finance their routine costs. 
As a result, many of these schools now have buildings that are 
antiquated, overcrowded and compromise the health and safety of their 
students.
  The Federally Impacted School Improvement Act takes a step toward 
correcting this situation by providing matching grants that impacted 
schools can use to address their most pressing modernization needs. 
This Act authorizes a federal appropriation of $50 million for each of 
the next five fiscal years for impact aid school construction and 
repair.
  Forty-five percent of the funds appropriated under the bill go to 
Indian lands. Another forty-five percent is dedicated to military 
schools. The final ten percent will be reserved for emergency 
situations.
  In order to make limited federal funds go farther, our bill calls for 
local communities to contribute their share to this effort. Schools and 
communities will have to match the federal grants

[[Page S4355]]

on all but the 10% appropriated for emergencies. This is done to ensure 
that all--or at least more--impacted schools will have the opportunity 
to use these new grants to improve their facilities.
  The federal government cannot and should not be all things to all 
people. However, Congress has a responsibility to ensure that highly 
impacted school districts, such as Bellevue and Santee, Nebraska, are 
not shortchanged.
  The hardships faced by our military personnel, their families and 
individuals living on Indian reservations are well known. Their 
children deserve no less than the best educational facilities.
  The Federally Impacted School Improvement Act helps to meet our 
commitment to schools and children impacted by a federal presence. It 
makes good use of our limited federal resources. It embodies what we 
should be doing more of--building partnerships between local 
communities, taxpayers and government in order to strengthen our 
schools.
  I urge my colleagues to support this legislation. I also request 
unanimous consent that the bill and a letter sent to me by the Northern 
Nebraska Native American Consortium be placed in the Record.
  There being no objection, the material was ordered to be printed in 
the Record, as follows:

                                 S. 897

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

     SECTION 1. SHORT TITLE; FINDINGS; PURPOSE.

       (a) Short Title.--This Act may be cited as the ``Federally 
     Impacted School Improvement Act''.
       (b) Findings.--Congress makes the following findings:
       (1) In 1950 Congress recognized its obligation, through the 
     passage of Public Law 81-815, to provide school construction 
     funding for local educational agencies impacted by the 
     presence of Federal activities.
       (2) The conditions of federally impacted school facilities 
     providing educational programs to children in areas where the 
     Federal Government is present have deteriorated to such an 
     extent that the health and safety of the children served by 
     such agencies is being compromised, and the school conditions 
     have not kept pace with the increase in student population 
     causing classrooms to become severely overcrowded and 
     children to be educated in trailers.
       (3) Local educational agencies in areas where there exists 
     a significant Federal presence have little if any capacity to 
     raise local funds for purposes of capital construction, 
     renovation and repair due to the nontaxable status of Federal 
     land.
       (4) The need for renewed support by the Federal Government 
     to help federally connected local educational agencies 
     modernize their school facilities is far greater in 2000 than 
     at any time since 1950.
       (5) Federally connected local educational agencies and the 
     communities the agencies serve are willing to commit local 
     resources when available to modernize and replace existing 
     facilities, but do not always have the resources available to 
     meet their total facility needs due to the nontaxable 
     presence of the Federal Government.
       (6) Due to the conditions described in paragraphs (1) 
     through (5) there is in 1999, as there was in 1950, a need 
     for Congress to renew its obligation to assist federally 
     connected local educational agencies with their facility 
     needs.
       (c) Purpose.--The purpose of this Act is to provide 
     matching grants to local educational agencies for the 
     modernization of minimum school facilities that are urgently 
     needed because--
       (1) the existing school facilities of the agency are in 
     such disrepair that the health and safety of the students 
     served by the agency is threatened; and
       (2) increased enrollment results in a need for additional 
     classroom space.

     SEC. 2. DEFINITIONS.

       In this Act:
       (1) Modernization.--The term ``modernization'' means the 
     repair, renovation, alteration, or construction of a 
     facility, including--
       (A) the concurrent installation of equipment; and
       (B) the complete or partial replacement of an existing 
     facility, but only if such replacement is less expensive and 
     more cost-effective than repair, renovation, or alteration of 
     the facility.
       (2) Facility.--The term ``facility'' means a public 
     structure suitable for use as a classroom, laboratory, 
     library, media center, or related facility, the primary 
     purpose of which is the instruction of public elementary 
     school or secondary school students.
       (3) Local educational agency.--The term ``local educational 
     agency'' has the meaning given the term in section 14101 of 
     the Elementary and Secondary Education Act of 1965.
       (4) Secretary.--The term ``Secretary'' means--
       (A) with respect to funds made available under paragraph 
     (1) or (3) of section 4(a) for grants under section 6 or 8, 
     respectively, the Secretary of Education; and
       (B) with respect to funds made available under paragraph 
     (2) of section (4)(a) for grants under section 6, the 
     Secretary of Defense.

     SEC. 3. AUTHORIZATION OF APPROPRIATIONS.

       (a) In General.--There are authorized to be appropriated to 
     the Department of Education to carry out this Act $50,000,000 
     for fiscal year 2001 and such sums as may be necessary for 
     each of the 4 succeeding fiscal years.
       (b) Prohibition.--None of the funds authorized to be 
     appropriated under subsection (a) shall be available to a 
     local educational agency to pay the cost of administration of 
     the activities assisted under this Act.

     SEC. 4. FEDERAL DISTRIBUTION OF FUNDING.

       (a) In General.--From amounts appropriated under section 
     3(a) for a fiscal year the Secretary of Education--
       (1) shall use 45 percent to award grants under section 6 to 
     local educational agencies--
       (A) that are eligible for assistance under section 8002(a); 
     and
       (B) for which the number of children determined under 
     section 8003(a)(1)(C) of the Elementary and Secondary 
     Education Act of 1965 constitutes at least 25 percent of the 
     number of children who were in average daily attendance in 
     the schools of such local educational agency during the 
     school year preceding the school year for which the 
     determination is made;
       (2) shall make available to the Secretary of Defense 45 
     percent to enable the Secretary of Defense to award grants 
     under section 6 to local educational agencies for which the 
     number of children determined under subparagraphs (A), (B), 
     and (D) of section 8003(a)(1) of the Elementary and Secondary 
     Education Act of 1965 constitutes at least 25 percent of the 
     number of children who were in average daily attendance in 
     the schools of such local educational agency during the 
     school year preceding the school year for which the 
     determination is made; and
       (3) shall use 10 percent to award grants under section 8.
       (b) Department of Defense Funding.--
       (1) In general.--Not later than 30 days after the date the 
     Secretary of Education receives funds appropriated under 
     section 3(a) for a fiscal year, the Secretary of Education 
     shall make available to the Secretary of Defense from such 
     funds the portion of such funds described in subsection 
     (a)(2) for the fiscal year. The Secretary of Defense shall 
     use the portion to award grants under section 6 through the 
     Office of Economic Adjustment of the Department of Defense.
       (2) Limitations.--
       (A) Administrative expenses.--No funds made available under 
     subsection (a)(2) shall be used by the Secretary of Defense 
     to pay the costs of administration of the activities assisted 
     under this Act.
       (B) Special rate.--No funds made available under subsection 
     (a)(2) shall be used to replace Federal funds provided to 
     enhance the quality of life of dependents of members of the 
     Armed Forces as determined by the Secretary of Defense.

     SEC. 5. ELIGIBILITY REQUIREMENTS.

       (a) In General.--A local educational agency shall be 
     eligible to receive funds under this Act if--
       (1) the local educational agency is described in paragraph 
     (1) or (2) of section 4(a); and
       (2) the local educational agency--
       (A) received a payment under section 8002 of the Elementary 
     and Secondary Education Act of 1965 during the fiscal year 
     preceding the fiscal year for which the determination is 
     made, and the assessed value of taxable property per student 
     in the school district of the local educational agency is 
     less than the average of the assessed value of taxable 
     property per student in the State in which the local 
     educational agency is located; or
       (B) received a basic payment under section 8003(b) of the 
     Elementary and Secondary Education Act of 1965 during the 
     fiscal year preceding the fiscal year for which the 
     determination is made, and for which the number of children 
     determined under subparagraphs (A), (B), (C), and (D) of 
     section 8003(a)(1) of the Elementary and Secondary Education 
     Act of 1965 constituted at least 25 percent of the number of 
     children who were in average daily attendance in the schools 
     of such local educational agency during the school year 
     preceding the school year for which the determination is 
     made.
       (b) Special Rule.--Any local educational agency described 
     in subsection (a)(2)(B) may apply for funds under this 
     section for the modernization of a facility located on 
     Federal property (as defined in section 8013 of the 
     Elementary and Secondary Education Act of 1965) only if the 
     Secretary determines that the number of children determined 
     under section 8003(a)(1) of the Elementary and Secondary 
     Education Act of 1965 who were in average daily attendance in 
     such facility constituted at least 50 percent of the number 
     of children who were in average daily attendance in the 
     facilities of the local educational agency during the school 
     year preceding the school year for which the determination is 
     made.

     SEC. 6. BASIC GRANTS.

       (a) Award Basis.--From the amounts made available under 
     paragraphs (1) and (2) of section 4(a) the Secretary shall 
     award grants to local educational agencies on such basis as

[[Page S4356]]

     the Secretary determines appropriate, including--
       (1) in the case of a local educational agency described in 
     section 5(a)(2)(A), a high percentage of the property in the 
     school district of the local educational agency is nontaxable 
     due to the presence of the Federal Government;
       (2) in the case of a local educational agency described in 
     section 5(a)(2)(B), a high number or percentage of children 
     determined under subparagraphs (A), (B), (C), and (D) of 
     section 8003(a)(1) of the Elementary and Secondary Education 
     Act of 1965;
       (3) the extent to which the local educational agency lacks 
     the fiscal capacity, including the ability to raise funds 
     through the full use of the local educational agency's 
     bonding capacity and otherwise, to undertake the 
     modernization project without Federal assistance;
       (4) the need for modernization to meet--
       (A) the threat the condition of the facility poses to the 
     safety and well-being of students;
       (B) the requirements of the Americans with Disabilities Act 
     of 1990;
       (C) the costs associated with asbestos removal, energy 
     conservation, and technology upgrading; and
       (D) overcrowding conditions as evidenced by the use of 
     trailers and portable buildings and the potential for future 
     overcrowding because of increased enrollment;
       (5) the facility needs of the local educational agency 
     resulting from the acquisition or construction of military 
     family housing under subchapter IV of chapter 169 of title 
     10, United Sates Code, and other actions of the Federal 
     Government that cause an adverse impact on the facility needs 
     of the local educational agency; and
       (6) the age of the facility to be modernized regardless of 
     whether the facility was originally constructed with funds 
     authorized under Public Law 81-815.
       (b) Grant Amount.--In determining the amount of a grant the 
     Secretary shall--
       (1) consider the relative costs of the modernization;
       (2) determine the cost of a project based on the local 
     prevailing cost of the project;
       (3) require that the Federal share of the cost of the 
     project shall not exceed 50 percent of the total cost of the 
     project;
       (4) not provide a grant in an amount greater than 
     $3,000,000 over any 5-year period; and
       (5) take into consideration the amount of cash available to 
     the local educational agency.
       (c) Administration of Grants.--In awarding grants under 
     this section the Secretary shall--
       (1) establish by regulation the date by which all 
     applications are to be received;
       (2) consider in-kind contributions when calculating the 50 
     percent matching funds requirement described in subsection 
     (b)(3); and
       (3) subject all applications to a review process.
       (d) Section 8007 Funding.--In awarding grants under this 
     section, the Secretary shall not take into consideration any 
     funds received under section 8007 of the Elementary and 
     Secondary Education Act of 1965.

     SEC. 7. APPLICATIONS REQUIRED.

       (a) In General.--Each local educational agency desiring a 
     grant under this Act shall submit an application to the 
     Secretary.
       (b) Contents.--Each application shall contain--
       (1) a listing of the school facilities to be modernized, 
     including the number and percentage of children determined 
     under section 8003(a)(1) of the Elementary and Secondary 
     Education Act of 1965 in average daily attendance in each 
     facility;
       (2) a description of the ownership of the property on which 
     the current facility is located or on which the planned 
     facility will be located;
       (3) a description of each architectural, civil, structural, 
     mechanical, or electrical deficiency to be corrected with 
     funds provided under this Act, including the priority for the 
     repair of the deficiency;
       (4) a description of any facility deficiency that poses a 
     health or safety hazard to the occupants of the facility and 
     a description of how that deficiency will be repaired;
       (5) a description of the criteria used by the local 
     educational agency to determine the type of corrective action 
     necessary to meet the purposes of this Act;
       (6) a description of the modernization to be supported with 
     funds provided under this Act;
       (7) a cost estimate of the proposed modernization;
       (8) an identification of other resources (such as unused 
     bonding capacity), if applicable, that are available to carry 
     out the modernization, and an assurance that such resources 
     will be used for the modernization;
       (9) a description of how activities assisted with funds 
     provided under this Act will promote energy conservation; and
       (10) such other information and assurances as the Secretary 
     may reasonably require.
       (c) Continuing consideration.--A local educational agency 
     that applies for assistance under this Act (other than 
     section 8) for any fiscal year and does not receive the 
     assistance shall have the application for the assistance 
     considered for the following 5 fiscal years.

     SEC. 8. EMERGENCY GRANTS.

       (a) Waiver of Matching Requirement.--From the amount made 
     available under section 4(a)(3) the Secretary shall award 
     grants to any local educational agency for which the number 
     of children determined under section 8003(a)(1)(C) 
     constituted at least 50 percent of the number of children who 
     were in average daily attendance in the schools of such 
     agency during the school year preceding the school year for 
     which the determination is made, if the Secretary determines 
     a facility emergency exists that poses a health or safety 
     hazard to the students and school personnel assigned to the 
     facility.
       (b) Certification of Emergency.--In addition to meeting the 
     requirements of section 7, a local educational agency 
     desiring funds under this section shall include in the 
     application submitted under section 7 a signed statement from 
     a State official certifying that a health or safety 
     deficiency exists.
       (c) Grant Amount; Prioritization Rules; Continuing 
     Consideration.--
       (1) Grant amount.--In determining the amount of grant 
     awards under this section, the Secretary shall make every 
     effort to fully meet the facility needs of the local 
     educational agencies applying for funds under this section.
       (2) Prioritization rule.--If the Secretary receives more 
     than 1 application under this section for any fiscal year, 
     the Secretary shall prioritize the applications based on when 
     an application was received and the severity of the emergency 
     as determined by the Secretary.
       (3) Continuing consideration.--A local educational agency 
     that applies for assistance under this section for any fiscal 
     year and does not receive the assistance shall have the 
     application for the assistance considered for the following 
     fiscal year, subject to the prioritization requirement 
     described in paragraph (2).

     SEC. 9. REQUIREMENTS.

       (a) Maintenance of Effort.--A local educational agency may 
     receive a grant under this Act for any fiscal year only if 
     the Secretary finds that either the combined fiscal effort 
     per student or the aggregate expenditures of that agency and 
     the State with respect to the provision of free public 
     education by such local educational agency for the preceding 
     fiscal year was not less than 90 percent of such combined 
     fiscal effort or aggregate expenditures for the fiscal year 
     for which the determination is made.
       (b) Supplement Not Supplant.--An eligible local educational 
     agency shall use funds received under this subsection only to 
     supplement the amount of funds that would, in the absence of 
     such Federal funds, be made available from non-Federal 
     sources for the modernization of school facilities used for 
     educational purposes, and not to supplant such funds.

     SEC. 10. GENERAL LIMITATIONS.

       (a) Real Property.--No part of any grant funds awarded 
     under this Act shall be used for the acquisition of any 
     interest in real property.
       (b) Maintenance.--Nothing in this Act shall be construed to 
     authorize the payment of maintenance costs in connection with 
     any facilities modernized in whole or in part with Federal 
     funds provided under this Act.
       (c) Environmental Safeguards.--All projects carried out 
     with Federal funds provided under this Act shall comply with 
     all relevant Federal, State, and local environmental laws and 
     regulations.
       (d) Athletic and Similar Facilities.--No funds received 
     under this Act shall be used for outdoor stadiums or other 
     facilities that are primarily used for athletic contests or 
     exhibitions, or other events, for which admission is charged 
     to the general public.
                                  ____

                                                 Northern Nebraska


                                   Native American Consortium,

                                     Niobrara, NE, March 29, 1999.
     Hon Chuck Hagel,
     U.S. Senator, Russell Office Building, Washington, DC.
       Dear Senator Hagel: The member schools of the Northern 
     Nebraska Native American Consortium have gone on record in 
     support of National Association of Federally Impacted Schools 
     (NAFIS) construction funding in the ESEA reauthorization 
     proposals. We would be receptive to any federal options for 
     funding the viable construction needs of the Native American 
     students being served by member schools.
       These Nebraska schools currently educate 98% if all Indian 
     students living on reservation land. The NAC schools 
     currently have significant construction needs ranging from 
     meeting ADA requirements to updating firm alarm systems. 
     Several Nebraska school districts are, or have, passed bond 
     issues for construction of new schools or modernizing old 
     ones. Our school districts only option is Impact Aid or other 
     federally connected funding for construction purposes. The 
     State of Nebraska statutorily exclude state aid as a 
     construction funding mechanism, such aid can only be used for 
     general fund purposes.
       Please consider the importance of meeting federal treaty 
     obligations. Such treaties mandate the education of the 
     Native American students on reservation land. If state and 
     federal education standards are to be met, a positive 
     learning environment must be met. We thank you for your 
     attention to this matter.
           Kindest Regards,
     Florence Parker,
       Board President, Omaha Nations Public School.
     Marcia Ross,
       Board Member, Walthill Public School.

[[Page S4357]]

     C. Todd Chessmore,
       Supt., Omaha Nations Public School.
     Dr. Tony Garcia,
       Supt., Walthill Public School.
     Marlene White,
       Board President, Santee Community School.
     Terry Medina,
       Board President, Winnebago Public School.
     Charles D. Squier,
       Supt., Santee Community School.
     Dr. Virgil Likness,
       Supt., Winnebago Public School.
                                 ______