[Congressional Record Volume 151, Number 116 (Thursday, September 15, 2005)]
[Senate]
[Pages S10121-S10129]
From the Congressional Record Online through the Government Publishing Office [www.gpo.gov]




          STATEMENTS ON INTRODUCED BILLS AND JOINT RESOLUTIONS

      By Mr. ALLEN (for himself and Mr. Martinez):
  S. 1706. A bill to amend the Internal Revenue Code of 1986 to provide 
that distributions from a section 401(k) plan or a section 403(b) 
contract shall not be includible in gross income to the extent used to 
pay long-term care insurance premiums; to the Committee on Finance.
  Mr. ALLEN. Mr. President, I rise to bring the Senate's attention to a 
bill I introduced today, the Long-Term Care Act of 2005.
  Baby boomers will begin to turn 65 years old in 2010 and by 2030, all 
77 million baby boomers will have reached retirement age and the over 
65 population will have doubled. The practicality of these conditions 
will require the Federal Government and most State governments to spend 
more money on health care. Presently, Federal and State Governments are 
spending billions of dollars to ensure the health and well-being of our 
fellow citizens.
  In one sector of the health care arena where costs are dramatically 
rising is in the area of long-term care. In 2000, spending on long-term 
care was estimated at $123.1 billion and it is expected to triple to 
$346.1 billion by 2040. Currently, 70 percent of long-term care costs 
are spent on nursing home care. The average cost of nursing home care 
is $178 per day or $60,000 per year. That is a significant burden on 
Federal and State Governments as well as the thousands of individuals 
who pay for that care out of pocket.
  In addition, almost 75 percent of nursing home care is publicly 
funded. Medicaid spends about 58.7 percent on long-term care while 
Medicare spends 14.7 percent. According to the Council for Affordable 
Health Insurance, by the year 2030, Medicaid's nursing home 
expenditures are expected to reach $130 billion a year.
  If more people purchased private long-term care insurance, we could 
reduce Medicaid's future institutional-care expenses by more than $40 
billion each year, while giving those who are insured alternatives to 
nursing homes, including home care, adult daycare, foster care and 
assisted living. Congress has taken steps to give individuals more 
power to pay for their health care services such as long-term care. One 
such outstanding measure was the creation of Health Savings Accounts, 
HSAs.
  I was pleased to support the passage of the Medicare Modernization 
Act. This landmark legislation created health savings accounts, which 
are a new way that people can pay for unreimbursed medical expenses 
such as deductibles, copayments, and services not covered by insurance 
like long-term care. Eligible individuals can establish and fund these 
accounts when they have a qualifying high deductible health plan and no 
other health plan, with some exceptions. The beauty of these plans is 
that they have tax advantages such as deductible contributions; tax-
exempt withdrawals if the individual uses the money for medical 
expenses; and tax-exempt account earnings.
  I am confident that with the creation of health savings accounts, 
individuals and families will be encouraged to set money aside for 
their health care expenses and give individuals the means to pay for 
health care services of their own choosing, without being constrained 
by insurers or employers. Unfortunately, health savings accounts are 
relatively new and most individuals will not have the built up funds in 
their HSA to pay for a number of costly health care expenses such as 
long-term care insurance and that is why we need to provide other 
options to help pay for this important investment.
  Currently, thousands of Virginians and millions of Americans are 
saving in their retirement plans to have a comfortable life once they 
become seniors, be it 401(k) and 403(b) accounts.

[[Page S10122]]

These savings plans help prepare individuals for their future 
retirement or any unforeseen circumstance that may arise. Indeed, over 
47 million Americans have 401(k) accounts with $1.8 trillion saved. In 
addition, 6.4 million Americans have 403(b) accounts, amounting to over 
$590 billion saved.
  These are untapped funds that individuals should be allowed to use to 
help pay for their future health care needs. Current tax law and some 
retirement plans allow individuals, in extreme circumstances, to 
withdraw funds from their retirement accounts, but more often than not, 
a 10 percent excise tax applies for early withdrawal. In my opinion, 
that tax precludes the ability or desirability of individuals to 
provide for their and their families well-being and that is why I have 
introduced legislation to provide a new health care option to help 
address this unfortunate circumstance.
  My legislation, the Long-Term Care Act, will allow individuals to use 
their 401(k) and 403(b) plans to purchase long-term care insurance with 
pretax dollars at any age and without early withdrawal penalty. Under 
the Long-Term Care Act, the consumer has the option to purchase long-
term care insurance at the most appropriate amounts for their own needs 
and their spouses.
  Today, only 6 percent of Americans own a long-term care policy. One 
of the reasons behind this dismally low figure is that individuals wait 
too long to purchase long-term care insurance. In fact, purchasing 
long-term care insurance at age 65 is about twice as expensive as 
purchasing it age 55. That is why we must encourage individuals to plan 
for their future health care needs and purchase long-term care 
insurance at an early age. By purchasing long-term care insurance at a 
younger age, individuals will be saving money in the long run and not 
depleting their life savings.
  Our country is heading towards a demographic meltdown on long-term 
care costs. It is simply unsustainable for individuals and the 
government to maintain the current rate of spending without further 
endangering the state of health care in the United States.
  Preparing for future costs of health care is something that every 
American should be doing. Long-term care insurance is one way for 
Americans to plan for periods of extended disability without burdening 
their families, going bankrupt, or relying on government assistance.
  Every American should be preparing for future health care costs and 
it is important that we encourage people to take responsibility today 
for those costs, be it with the purchase of long-term care insurance or 
investment in a health savings account. If Virginians and Americans 
fail to act, it will result in an increased and unsustainable financial 
burden on the Federal Government and taxpayers.
  My legislation, the Long-Term Care Act, is a commonsense approach 
that will encourage individuals to plan for their future health care 
needs and help make long-term care insurance more affordable. While 
this may not be the solution for some people, it is another option for 
the millions of Virginians and Americans to help provide for their 
health and well-being or the health and well-being of loved ones. I 
look forward to the Senate's action on this legislation because it not 
only encourages Americans to plan for their future health needs but 
will also help sustain the viability of our Nation's health care 
system. I thank you for your time and I yield the floor.
                                 ______
                                 
      By Mr. SANTORUM (for himself and Mr. Crapo):
  S. 1710. A bill to amend section 255 of the National Housing Act to 
remove the limitation on the number of reverse mortgages that may be 
insured under the FHA mortgage insurance program for such mortgages; to 
the Committee on Banking, Housing, and Urban Affairs.
  Mr. SANTORUM. Mr. President, I rise today to introduce a bill to 
remove the current cap on the number of reverse mortgages that can be 
insured by the Federal Housing Administration (FHA). This legislation 
will ensure that eligible seniors have access to this important tool 
that allows them to continue to meet their expenses at a time when they 
have a reduced income. I am very pleased to be joined in this effort by 
Senator Crapo, who is an original cosponsor of this legislation.
  I represent a State with the second largest senior population in the 
United States. Many of these seniors have worked hard throughout their 
years and own their own homes. Many of them are also at a time in their 
lives when they are having trouble making ends meet. Reverse mortgages 
allow senior homeowners to convert part of their home equity into tax-
free income. The homeowner receives payments from the lender rather 
than making monthly payments as with a regular mortgage. The homeowner 
may receive the money in one lump sum, fixed monthly payments, a line 
of credit, or a combination of these. These funds can be used by 
seniors to pay for expenses, while allowing them to stay in their own 
homes as long as possible. A reverse mortgage helps make services like 
home healthcare, adult daycare and assisted living a possibility for 
more American seniors. It can also be used to pay for needed home 
repairs and other living expenses.
  Unfortunately, there is currently a statutory limitation on the 
number of FHA-insured reverse mortgages that can be issued. This cap 
has already been increased as the aggregate number of FHA-insured 
reverse mortgages came close to reaching the cap. Unless it is removed 
completely, many seniors may be denied the use of this program, which 
can help to make their later years more stable and comfortable. For 
this reason, I am pleased to introduce this legislation to permanently 
remove the current cap.
  I am also pleased to be working on this proposal with my colleague 
from Pennsylvania, Representative Michael Fitzpatrick, who has 
introduced this legislation in the House. I am very hopeful that the 
109th Congress will act to pass this important legislation.
  I ask unanimous consent that the text of this legislation be printed 
in the Record.
  There being no objection, the bill was ordered to be printed in the 
Record, as follows:

                                S. 1710

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

     SECTION 1. SHORT TITLE.

       This Act may be cited as the ``Reverse Mortgages to Help 
     America's Seniors Act''.

     SEC. 2. ELIMINATION OF CAP ON NUMBER OF MORTGAGES INSURED.

       Section 255 of the National Housing Act (12 U.S.C. 1715z-
     20) is amended--
       (1) in subsection (g), by striking the first sentence; and
       (2) in subsection (i)(1)(C), by striking ``limitations'' 
     and inserting ``limitation''.
                                 ______
                                 
      By Mr. VOINOVICH (for himself and Mr. Akaka):
  S. 1712. A bill to establish a Deputy Secretary of Homeland Security 
for Management, and for other purposes; to the Committee on Homeland 
Security and Governmental Affairs.
  Mr. VOINOVICH. Mr. President, I ask unanimous consent that the text 
of the bill be printed in the Record.
  There being no objection, the bill was ordered to be printed in the 
Record, as follows:

                                S. 1712

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

     SECTION 1. SHORT TITLE.

       This Act may be cited as the ``Homeland Security Management 
     Restructuring Act of 2005''.

     SEC. 2. DEPUTY SECRETARY OF HOMELAND SECRETARY FOR 
                   MANAGEMENT.

       (a) Establishment and Succession.--Section 103 of the 
     Homeland Security Act of 2002 (6 U.S.C. 113) is amended--
       (1) in subsection (a)--
       (A) in the subsection heading, by striking ``Deputy 
     Secretary'' and inserting ``Deputy Secretaries'';
       (B) by striking paragraph (7);
       (C) by redesignating paragraphs (2) through (6) as 
     paragraphs (3) through (7), respectively; and
       (D) by striking paragraph (1) and inserting the following:
       ``(1) A Deputy Secretary of Homeland Security.
       ``(2) A Deputy Secretary of Homeland Security for 
     Management.''; and
       (2) by adding at the end the following:
       ``(g) Vacancies.--
       ``(1) Vacancy in office of secretary.--
       ``(A) Deputy secretary.--In case of a vacancy in the office 
     of the Secretary, or of the absence or disability of the 
     Secretary, the Deputy Secretary of Homeland Security may 
     exercise all the duties of that office, and for the purpose 
     of section 3345 of title 5, United States Code, the Deputy 
     Secretary of Homeland Security is the first assistant to the 
     Secretary.

[[Page S10123]]

       ``(B) Deputy secretary for management.--When by reason of 
     absence, disability, or vacancy in office, neither the 
     Secretary nor the Deputy Secretary of Homeland Security is 
     available to exercise the duties of the office of the 
     Secretary, the Deputy Secretary of Homeland Security for 
     Management shall act as Secretary.
       ``(2) Vacancy in office of deputy secretary.--In the case 
     of a vacancy in the office of the Deputy Secretary of 
     Homeland Security, or of the absence or disability of the 
     Deputy Secretary of Homeland Security, the Deputy Secretary 
     of Homeland Security for Management may exercise all the 
     duties of that office.
       ``(3) Further order of succession.--The Secretary may 
     designate such other officers of the Department in further 
     order of succession to act as Secretary.''.
       (b) Responsibilities.--Section 701 of the Homeland Security 
     Act of 2002 (6 U.S.C. 341) is amended--
       (1) in the section heading, by striking ``UNDER SECRETARY'' 
     and inserting ``DEPUTY SECRETARY OF HOMELAND SECURITY'';
       (2) in subsection (a)--
       (A) by inserting ``The Deputy Secretary of Homeland 
     Security for Management shall serve as the Chief Management 
     Officer and principal advisor to the Secretary on matters 
     related to the management of the Department, including 
     management integration and transformation in support of 
     homeland security operations and programs.'' before ``The 
     Secretary'';
       (B) by striking ``Under Secretary for Management'' and 
     inserting ``Deputy Secretary of Homeland Security for 
     Management'';
       (C) by striking paragraph (7) and inserting the following:
       ``(7) Strategic planning and annual performance planning 
     and identification and tracking of performance measures 
     relating to the responsibilities of the Department.''; and
       (D) by striking paragraph (9), and inserting the following:
       ``(9) The integration and transformation process, to ensure 
     an efficient and orderly consolidation of functions and 
     personnel to the Department, including the development of a 
     management integration strategy for the Department.''; and
       (3) in subsection (b)--
       (A) in paragraph (1), by striking ``Under Secretary for 
     Management'' and inserting ``Deputy Secretary of Homeland 
     Security for Management''; and
       (B) in paragraph (2), by striking ``Under Secretary for 
     Management'' and inserting ``Deputy Secretary of Homeland 
     Security for Management''.
       (c) Appointment, Evaluation, and Reappointment.--Section 
     701 of the Homeland Security Act of 2002 (6 U.S.C. 341), as 
     amended by this Act, is further amended by adding at the end 
     the following:
       ``(c) Appointment, Evaluation, and Reappointment.--The 
     Deputy Secretary of Homeland Security for Management--
       ``(1) shall be appointed by the President, by and with the 
     advice and consent of the Senate, from among persons who 
     have--
       ``(A) extensive executive level leadership and management 
     experience in the public or private sector;
       ``(B) strong leadership skills;
       ``(C) a demonstrated ability to manage large and complex 
     organizations; and
       ``(D) a proven record in achieving positive operational 
     results;
       ``(2) shall serve for a term of 5 years, but may be removed 
     by the Secretary of Homeland Security based upon an 
     unsatisfactory annual determination under paragraph (5);
       ``(3) may be reappointed in accordance with paragraph (1), 
     if the Secretary has made a satisfactory determination under 
     paragraph (5) for the 3 most recent performance years;
       ``(4) shall enter into a publicly available annual 
     performance agreement with the Secretary that shall set forth 
     measurable individual and organizational goals; and
       ``(5) shall be subject to an annual performance evaluation 
     by the Secretary, who shall determine as part of each such 
     evaluation whether the Deputy Secretary of Homeland Security 
     for Management has made satisfactory progress toward 
     achieving the goals set out in the performance agreement 
     required under paragraph (4).''.
       (d) Incumbent.--The individual who serves in the position 
     of Under Secretary for Management of the Department of 
     Homeland Security on the date of enactment of this Act--
       (1) may perform all the duties of the Deputy Secretary of 
     Homeland Security for Management at the pleasure of the 
     President, until a Deputy Secretary of Homeland Security for 
     Management is appointed in accordance with subsection (c) of 
     section 701 of the Homeland Security Act of 2002 (6 U.S.C. 
     341), as added by this Act; and
       (2) may be appointed Deputy Secretary of Homeland Security 
     for Management, if such appointment is otherwise in 
     accordance with sections 103 and 701 of the Homeland Security 
     Act of 2002 (6 U.S.C. 113 and 341), as amended by this Act.
       (e) References.--References in any other Federal law, 
     Executive order, rule, regulation, or delegation of 
     authority, or any document of or relating to the Under 
     Secretary for Management of the Department of Homeland 
     Security shall be deemed to refer to the Deputy Secretary of 
     Homeland Security for Management.
       (f) Technical and Conforming Amendments.--
       (1) Other reference.--Section 702(a) of the Homeland 
     Security Act of 2002 (6 U.S.C. 342(a)) is amended by striking 
     ``Under Secretary for Management'' and inserting ``Deputy 
     Secretary of Homeland Security for Management''.
       (2) Table of contents.--The table of contents in section 
     1(b) of the Homeland Security Act of 2002 (6 U.S.C. 101(b)) 
     is amended by striking the item relating to section 701 and 
     inserting the following:

``Sec. 701. Deputy Secretary of Homeland Security for Management.''.

       (3) Executive schedule.--Section 5313 of title 5, United 
     States Code, is amended by inserting after the item relating 
     to the Deputy Secretary of Homeland Security the following:
       ``Deputy Secretary of Homeland Security for Management.''.
                                 ______
                                 
      By Mr. ENZI (for himself and Mr. Kennedy):
  S. 1715. A bill to provide relief for students and institutions 
affected by Hurricane Katrina, and for other purposes; read the first 
time.
  Mr. ENZI. Mr. President, I ask unanimous consent that the text of the 
bill be printed in the Record.
  There being no objection, the bill was ordered to be printed in the 
Record, as follows:

                                S. 1715

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

     SECTION 1. TABLE OF CONTENTS.

       The table of contents for this Act is as follows:

Sec. 1. Table of contents.
Sec. 2. Sunset provision.

         TITLE I--ELEMENTARY AND SECONDARY EDUCATION ASSISTANCE

Sec. 101. Waivers and other actions.
Sec. 102. Providing additional support for students affected by 
              Hurricane Katrina.
Sec. 103. Immediate aid to restart school operations.
Sec. 104. Use of 2004-2005 child count for ESEA and IDEA funding for 
              sending local educational agencies.
Sec. 105. Payments for receiving local educational agencies.
Sec. 106. Teacher and paraprofessional reciprocity; delay.
Sec. 107. Assistance for homeless youth.

                       TITLE II--HIGHER EDUCATION

Sec. 201. Definitions.
Sec. 202. Waiver authority and modifications to certain provisions of 
              the Higher Education Act of 1965.
Sec. 203. General waiver authority and required consultation.
Sec. 204. Notice of waivers, modifications, or extensions.

   TITLE III--EMERGENCY AND DISASTER ASSISTANCE TO INDIVIDUALS WITH 
                              DISABILITIES

         Subtitle A--Assistance for Children With Disabilities

Sec. 311. Definitions.
Sec. 312. Use of 2004-2005 numbers of children for IDEA funding for 
              sending states.
Sec. 313. Support for local educational agencies receiving children 
              affected by Hurricane Katrina.

        Subtitle B--Assistance for Individuals With Disabilities

Sec. 321. Rehabilitation Act of 1973.
Sec. 322. Assistive Technology Act of 1998.

      TITLE IV--CHILD CARE AND DEVELOPMENT BLOCK GRANT ACT OF 1990

Sec. 401. Short title.
Sec. 402. Waiver authority to expand the availability of services under 
              Child Care and Development Block Grant Act of 1990.
Sec. 403. Technical assistance and guidance.
Sec. 404. Authorization of appropriations.

                      TITLE V--HEAD START PROGRAMS

Sec. 501. Definitions.
Sec. 502. Income eligibility and documentation waivers.
Sec. 503. Technical assistance, guidance, and resources.
Sec. 504. Authorization of appropriations.

  TITLE VI--DEPARTMENT OF EDUCATION INSPECTOR GENERAL AUDIT AND REPORT

Sec. 601. Department of Education Inspector General audit and report.

     SEC. 2. SUNSET PROVISION.

       The provisions of this Act (other than section 202(b)) 
     shall be effective for the period beginning on the date of 
     enactment of this Act and ending on September 30, 2006.

         TITLE I--ELEMENTARY AND SECONDARY EDUCATION ASSISTANCE

     SEC. 101. WAIVERS AND OTHER ACTIONS.

       (a) Current Waiver and Other Authority.--The Secretary of 
     Education is encouraged to exercise the maximum waiver 
     authority available or exercise other actions for States, 
     local educational agencies, and schools affected by Hurricane 
     Katrina with respect to the waiver authority or authorization 
     of actions provided under the following provisions of the 
     Elementary and Secondary Education Act of 1965 (20 U.S.C. 
     6301 et seq.):
       (1) Section 1111(b)(3)(C)(vii) of such Act (20 U.S.C. 
     6311(b)(3)(C)(vii)).

[[Page S10124]]

       (2) Section 1111(b)(7) of such Act (20 U.S.C. 6311(b)(7)).
       (3) Section 1111(c)(1) of such Act (20 U.S.C. 6311(c)(1)).
       (4) Section 1111(h)(2)(A)(i) of such Act (20 U.S.C. 
     6311(h)(2)(A)(i)).
       (5) Section 1116(b)(7)(D) of such Act (20 U.S.C. 
     6316(b)(7)(D)).
       (6) Section 1116(c)(10)(F) of such Act (20 U.S.C. 
     6316(c)(10)(F)).
       (7) Section 1125A(e)(3) of such Act (20 U.S.C. 6337(e)(3)).
       (8) Section 3122(a)(3)(B) of such Act (20 U.S.C. 
     6842(a)(3)(B)).
       (9) Section 5141(c) of such Act (20 U.S.C. 7217(c)).
       (10) Section 7118(c)(3)(A) of such Act (20 U.S.C. 
     7428(c)(3)(A)).
       (11) Section 9521(c) of such Act (20 U.S.C. 7901(c)).
       (b) Report on Waivers.--Not later than December 31, 2005, 
     the Secretary of Education shall prepare and submit a report 
     on the States requesting a waiver of any provision under the 
     Elementary and Secondary Education Act of 1965 (20 U.S.C. 
     6301 et seq.) due to the impact of Hurricane Katrina to the 
     Committee on Education and the Workforce of the House of 
     Representatives and the Committee on Health, Education, 
     Labor, and Pensions of the Senate.

     SEC. 102. PROVIDING ADDITIONAL SUPPORT FOR STUDENTS AFFECTED 
                   BY HURRICANE KATRINA.

       (a) Grants Authorized.--From amounts appropriated under 
     subsection (d), the Secretary of Education is authorized to 
     make grants to eligible local educational agencies to enable 
     such agencies to provide, to students displaced or affected 
     by Hurricane Katrina--
       (1) supplemental educational services consistent with the 
     definitions, criteria, and amounts established under section 
     1116(e) of the Elementary and Secondary Education Act of 1965 
     (20 U.S.C. 6316(e)); or
       (2) additional programs and activities under part B of 
     title IV of the Elementary and Secondary Education Act of 
     1965 (20 U.S.C. 7171 et seq.) relating to 21st century 
     community learning centers.
       (b) Definition of Eligible Local Educational Agency.--In 
     this section, the term ``eligible local educational agency'' 
     means--
       (1) a local educational agency in an area in which a major 
     disaster has been declared in accordance with section 401 of 
     the Robert T. Stafford Disaster Relief and Emergency 
     Assistance Act (42 U.S.C. 5170) related to Hurricane Katrina; 
     or
       (2) a local educational agency that enrolls a significant 
     number of students displaced from an area where a major 
     disaster has been declared in accordance with section 401 of 
     the Robert T. Stafford Disaster Relief and Emergency 
     Assistance Act (42 U.S.C. 5170) related to Hurricane Katrina, 
     as compared to the total student enrollment in the schools 
     served by the agency.
       (c) Interaction With the ESEA.--
       (1) Supplemental educational services.--An eligible local 
     educational agency providing services described in subsection 
     (a)(1) may provide such services to a student displaced by 
     Hurricane Katrina regardless of the status of the school such 
     student attends under section 1116(b) of the Elementary and 
     Secondary Education Act of 1965 (20 U.S.C. 6316(b)).
       (2) Special rule.--Section 9534(a) of the Elementary and 
     Secondary Education Act of 1965 (20 U.S.C. 7914(a)) shall 
     apply to the services, programs, and activities funded under 
     this section.
       (d) Authorization of Appropriations.--There is authorized 
     to be appropriated to carry out this section $100,000,000 for 
     fiscal year 2006.

     SEC. 103. IMMEDIATE AID TO RESTART SCHOOL OPERATIONS.

       (a) Purpose.--It is the purpose of this section--
       (1) to provide immediate and direct assistance to local 
     educational agencies in Louisiana, Mississippi, and Alabama 
     that serve an area in which a major disaster has been 
     declared in accordance with section 401 of the Robert T. 
     Stafford Disaster Relief and Emergency Assistance Act (42 
     U.S.C. 5170), related to Hurricane Katrina;
       (2) to assist school district administrators and personnel 
     of such agencies who are working to restart operations in 
     elementary schools and secondary schools served by such 
     agencies; and
       (3) to facilitate the re-opening of elementary schools and 
     secondary schools served by such agencies and the re-
     enrollment of students in such schools as soon as possible.
       (b) Payments Authorized.--From amounts appropriated to 
     carry out this section, the Secretary of Education is 
     authorized to make payments in accordance with subsection 
     (c), in November of 2005, to local educational agencies in 
     Louisiana, Mississippi, and Alabama that serve schools 
     certified by the Secretary as being located in an area in 
     which a major disaster has been declared in accordance with 
     section 401 of the Robert T. Stafford Disaster Relief and 
     Emergency Assistance Act (42 U.S.C. 5170), related to 
     Hurricane Katrina.
       (c) Eligibility and Consideration.--In determining whether 
     to award a payment under this section, or the amount of the 
     payment, the Secretary of Education shall consider the 
     following:
       (1) The number of school-aged children served by the local 
     educational agency in the academic year preceding the 
     academic year for which the payment is awarded.
       (2) The severity of the impact of Hurricane Katrina on the 
     local educational agency and the extent of the needs in each 
     local educational agency in Louisiana, Mississippi, and 
     Alabama that is in an area in which a major disaster has been 
     declared in accordance with section 401 of the Robert T. 
     Stafford Disaster Relief and Emergency Assistance Act (42 
     U.S.C. 5170), related to Hurricane Katrina.
       (d) Applications.--Each local educational agency desiring a 
     payment under this section shall submit an application to the 
     Secretary of Education at such time, in such manner, and 
     accompanied by such information as the Secretary of Education 
     may require.
       (e) Uses of Funds.--
       (1) In general.--A local educational agency receiving a 
     payment under this section shall use the payment for--
       (A) recovery of student and personnel data, and other 
     electronic information;
       (B) replacement of school district information systems, 
     including hardware and software;
       (C) financial operations;
       (D) rental of mobile educational units and leasing of 
     neutral sites or spaces;
       (E) initial replacement of instructional materials and 
     equipment, including textbooks;
       (F) redeveloping instructional plans, including curriculum 
     development;
       (G) initiating and maintaining education and support 
     services; and
       (H) such other activities related to the purpose of this 
     section that are approved by the Secretary.
       (2) Prohibitions.--Payments received under this section 
     shall not be used for any of the following:
       (A) Construction or renovation of schools.
       (B) Payments to school administrators or teachers who are 
     not actively engaged in restarting or re-opening schools.
       (f) Supplement Not Supplant.--Funds made available under 
     this section shall be used to supplement, not supplant, any 
     funds made available through the Federal Emergency Management 
     Agency or through a State.
       (g) Authorization of Appropriations.--There is authorized 
     to be appropriated to carry out this section $900,000,000 for 
     fiscal year 2006.

     SEC. 104. USE OF 2004-2005 CHILD COUNT FOR ESEA AND IDEA 
                   FUNDING FOR SENDING LOCAL EDUCATIONAL AGENCIES.

       In calculating funding under part A of title I of the 
     Elementary and Secondary Education Act of 1965 (20 U.S.C. 
     6311 et seq.) and part B of the Individuals with Disabilities 
     Education Act (20 U.S.C. 1411 et seq.) for the 2006-2007 
     school year for a local educational agency, the Secretary of 
     Education shall use the child count applicable for such 
     agency that was calculated for the 2004-2005 school year if--
       (1) such agency serves an area in which the President has 
     declared that a major disaster exists in accordance with 
     section 401 of the Robert T. Stafford Disaster Relief and 
     Emergency Assistance Act (42 U.S.C. 5170), related to 
     Hurricane Katrina; and
       (2) such agency, for the 2006-2007 school year, has a net 
     loss of students as compared with the 2004-2005 school year.

     SEC. 105. PAYMENTS FOR RECEIVING LOCAL EDUCATIONAL AGENCIES.

       (a) Payments Authorized.--
       (1) In general.--Not later than December of 2005 and not 
     later than 5 months after the date of the first payment made 
     under this paragraph, the Secretary of Education shall make 
     payments to eligible local educational agencies in accordance 
     with subsection (d) to enable the agencies to improve the 
     instruction of the displaced students served by the agencies.
       (2) Eligible local educational agencies.--A local 
     educational agency is eligible to receive a payment under 
     paragraph (1) if the agency serves an elementary school or 
     secondary school (including a charter school) in which there 
     is enrolled a displaced student who enrolled in such school.
       (b) Definition of Displaced Student.--In this section, the 
     term ``displaced student'' means a student who enrolled in an 
     elementary school or secondary school (including a charter 
     school) served by a local educational agency because such 
     student resides or resided on August 22, 2005, in an area for 
     which a major disaster has been declared in accordance with 
     section 401 of the Robert T. Stafford Disaster Relief and 
     Emergency Assistance Act (42 U.S.C. 5170), related to 
     Hurricane Katrina.
       (c) Number of Students.--Not later than December 15, 2005, 
     and April 15, 2006, each eligible local educational agency 
     shall submit to the Secretary of Education documentation that 
     indicates the number of displaced students enrolled in the 
     elementary schools and secondary schools (including charter 
     schools) served by such agency, including the number of 
     displaced students who are assisted under part B of the 
     Individuals with Disabilities Education Act (20 U.S.C. 1411 
     et seq.).
       (d) Amount of Payments.--The amount of a payment under 
     subsection (a) for an eligible local educational agency shall 
     equal the sum of--
       (1) 50 percent of the product of the number of displaced 
     students (not including displaced students who are assisted 
     under part B of the Individuals with Disabilities Education 
     Act (20 U.S.C. 1411 et seq.)) served by such agency as 
     described in subsection (c) times the average per-pupil 
     expenditure for the most recent fiscal year for which the 
     information is available (but not earlier than

[[Page S10125]]

     fiscal year 2003) in the State in which such agency is 
     located, and
       (2) 50 percent of the product of the number of displaced 
     students served by such agency who are assisted under part B 
     of the Individuals with Disabilities Education Act (20 U.S.C. 
     1411 et seq.) as described in subsection (c) times 125 
     percent of the average per-pupil expenditure for the most 
     recent fiscal year for which the information is available 
     (but not earlier than fiscal year 2003) in the State in which 
     such agency is located.
       (e) Displaced Students Not to Count for Esea and Idea 
     Funding.--In calculating funding under part A of title I of 
     the Elementary and Secondary Education Act of 1965 (20 U.S.C. 
     6311 et seq.) and part B of the Individuals with Disabilities 
     Education Act (20 U.S.C. 1411 et seq.) for a local 
     educational agency that receives a payment under this 
     section, the Secretary of Education shall not count, for 
     purposes of calculating such funding under such parts, 
     displaced students served by such agency for whom a payment 
     is received under this section.
       (f) Use of Funds.--A local educational agency receiving a 
     payment under this section shall use such payment to enhance 
     instructional opportunities for displaced students who enroll 
     in elementary schools and secondary schools served by such 
     agency, which uses may include--
       (1) providing instructional services to such students;
       (2) paying the compensation of personnel, including teacher 
     aides, to provide instructional services to such students; 
     and
       (3) identifying and acquiring curricular material, 
     including the costs of providing additional classroom 
     supplies, and mobile educational units and leasing neutral 
     sites or spaces.
       (g) Authorization of Appropriations.--There is authorized 
     to be appropriated to carry out this section $2,500,000,000 
     for fiscal year 2006.

     SEC. 106. TEACHER AND PARAPROFESSIONAL RECIPROCITY; DELAY.

       (a) Teacher and Paraprofessional Reciprocity.--
       (1) Teachers.--
       (A) Affected teacher.--In this subsection, the term 
     ``affected teacher'' means a teacher who is displaced due to 
     Hurricane Katrina to a State that is different from the State 
     in which such teacher resided before Hurricane Katrina.
       (B) In general.--A local educational agency may consider an 
     affected teacher hired by such agency who is not highly 
     qualified in the State in which such agency is located to be 
     highly qualified, for purposes of section 1119 of the 
     Elementary and Secondary Education Act of 1965 (20 U.S.C. 
     6319), for a period not to exceed 1 year, if such teacher was 
     highly qualified, consistent with section 9101(23) of the 
     Higher Education Act of 1965 (20 U.S.C. 7801(23)), on or 
     before August 22, 2005, in the State in which such teacher 
     resided before Hurricane Katrina.
       (2) Paraprofessional.--
       (A) Affected paraprofessional.--In this subsection, the 
     term ``affected paraprofessional'' means a paraprofessional 
     who is displaced due to Hurricane Katrina to a State that is 
     different from the State in which such paraprofessional 
     resided before Hurricane Katrina.
       (B) In general.--A local educational agency may consider an 
     affected paraprofessional hired by such agency who does not 
     satisfy the requirements of section 1119(c) of the Elementary 
     and Secondary Education Act of 1965 (20 U.S.C. 6319(c)) in 
     the State in which such agency is located to satisfy such 
     requirements, for purposes of such section, for a period not 
     to exceed 1 year, if such paraprofessional satisfied such 
     requirements on or before August 22, 2005, in the State in 
     which such paraprofessional resided before Hurricane Katrina.
       (b) Delay.--The Secretary of Education may delay, for a 
     period not to exceed 1 year, applicability of the 
     requirements of paragraphs (2) and (3) of section 1119(a) of 
     the Elementary and Secondary Education Act of 1965 (20 U.S.C. 
     6319(a)(2) and (3)) with respect to the States of Alabama, 
     Louisiana, and Mississippi (and local educational agencies 
     within the jurisdiction of such States), if any such State or 
     local educational agency demonstrates that a failure to 
     comply with such requirements is due to exceptional or 
     uncontrollable circumstances, such as a natural disaster or a 
     precipitous and unforeseen decline in the financial resources 
     of local educational agencies within the State.

     SEC. 107. ASSISTANCE FOR HOMELESS YOUTH.

       (a) In General.--The Secretary of Education shall provide 
     assistance to local educational agencies serving homeless 
     children and youths displaced by Hurricane Katrina, 
     consistent with section 723 of the McKinney-Vento Homeless 
     Assistance Act (42 U.S.C. 11433), including identification, 
     enrollment assistance, assessment and school placement 
     assistance, transportation, coordination of school services, 
     supplies, referrals for health, mental health, and other 
     needs.
       (b) Exception and Distribution of Funds.--
       (1) Exception.--For purposes of providing assistance under 
     subsection (a), subsections (c) and (e)(1) of section 722 and 
     subsections (b) and (c) of section 723 of the McKinney-Vento 
     Homeless Assistance Act (42 U.S.C. 11432(c) and (e)(1), 
     11433(b) and (c)) shall not apply.
       (2) Disbursement.--The Secretary of Education shall 
     disburse funding provided under subsection (a) to State 
     educational agencies based on need, as determined by the 
     Secretary, and such State educational agencies shall 
     distribute funds to local educational agencies based on 
     demonstrated need, for the purposes of carrying out section 
     723 of the McKinney-Vento Homeless Assistance Act (42 U.S.C. 
     11433).
       (c) Authorization of Appropriations.--There are authorized 
     to be appropriated to carry out this section $50,000,000.

                       TITLE II--HIGHER EDUCATION

     SEC. 201. DEFINITIONS.

       In this title:
       (1) Affected borrower.--The term ``affected borrower'' 
     means an individual who--
       (A) was in repayment on a loan made, insured, or guaranteed 
     under part B, D, or E of the Higher Education Act of 1965 (20 
     U.S.C. 1071 et seq.; 1087a et seq.; 1087aa et seq.) on August 
     22, 2005, or enters or entered repayment after August 22, 
     2005 and before June 30, 2006; and
       (B)(i) lives or lived in an area in which an emergency or 
     major disaster was declared under section 401 of the Robert 
     T. Stafford Disaster Relief and Emergency Assistance Act (42 
     U.S.C. 5170) due to the effects of Hurricane Katrina; or
       (ii) worked, as of August 22, 2005, in such an area.
       (2) Affected institution.--The term ``affected 
     institution'' means an institution of higher education, as 
     defined in section 101 or 102 of the Higher Education Act of 
     1965 (20 U.S.C. 1001, 1002) located in an area in which an 
     emergency or major disaster was declared under section 401 of 
     the Robert T. Stafford Disaster Relief and Emergency 
     Assistance Act due to the effects of Hurricane Katrina.
       (3) Affected student.--The term ``affected student'' means 
     a student who was enrolled on August 29, 2005 in an affected 
     institution.
       (4) Distance education.--
       (A) In general.--The term ``distance education'' means a 
     course or program that uses 1 or more of the technologies 
     described in subparagraph (B) to--
       (i) deliver instruction to students who are separated from 
     the instructor; and
       (ii) support regular and substantive interaction between 
     the students and the instructor, either synchronously or 
     asynchronously.
       (B) Inclusions.--For the purposes of subparagraph (A), the 
     technologies used may include--
       (i) the Internet;
       (ii) one-way and two-way transmissions through open 
     broadcast, closed circuit, cable, microwave, broadband lines, 
     fiber optics, satellite, or wireless communications devices;
       (iii) audio conferencing; or
       (iv) video cassette, DVDs, and CD-ROMs, provided that they 
     are used in a course in conjunction with the technologies 
     listed in clauses (i) through (iii).
       (5) Secretary.--The term ``Secretary'' means the Secretary 
     of Education.

     SEC. 202. WAIVER AUTHORITY AND MODIFICATIONS TO CERTAIN 
                   PROVISIONS OF THE HIGHER EDUCATION ACT OF 1965.

       (a) Waiver of Grant Repayments by Students.--
     Notwithstanding section 484B of the Higher Education Act of 
     1965 (20 U.S.C. 1091b), the Secretary shall waive the amounts 
     that students would otherwise be required to return to the 
     Department of Education with respect to any grant assistance 
     under title IV of the Higher Education Act of 1965 (20 U.S.C. 
     1070 et seq.) for an affected student who was unable to 
     attend, or whose attendance was interrupted, because of the 
     impact of Hurricane Katrina on the student or an affected 
     institution.
       (b) Extension of Period for Repayment of Student Grant 
     Assistance by Affected Institutions.--An affected institution 
     shall calculate the amount of Federal Pell Grant funds and 
     Federal Supplemental Educational Opportunity Grant funds that 
     the affected institution is required to return in accordance 
     with section 484B of the Higher Education Act of 1965, but 
     the Secretary shall grant an extension until June 30, 2010, 
     for the return of the funds to the Department of Education. 
     If any affected institution does not return such grant funds 
     in full by the July 1, 2010, the Secretary shall work out a 
     repayment schedule with the affected institution that may 
     include payment of interest. The Secretary may assess a 
     penalty for failure to return such grant funds in full by 
     July 1, 2010, or for failure to make a payment in accordance 
     with a repayment schedule.
       (c) Temporary Loan Deferment for Affected Students Who Do 
     Not Enroll in Another Institution.--With respect to a loan 
     made, insured, or guaranteed under part B, D, or E of title 
     IV of the Higher Education Act of 1965, an affected student 
     who does not enroll in another institution of higher 
     education at any time during the period beginning on August 
     22, 2005, and ending on and June 30, 2006, and is not 
     eligible for an in-school deferment, shall be placed in 
     deferment status for that period.
       (d) Extension of Period for Return of Loan Proceeds to the 
     Lender or the Perkins Loan Fund by Affected Institutions.--An 
     affected institution shall calculate the amount to be 
     credited to outstanding balances on loans made, insured, or 
     guaranteed under part B, D, or E of title IV of the Higher 
     Education Act of 1965, but shall have until June 30, 2006 to 
     remit the funds to the appropriate account or lender. If 
     records related to such balances or loans were destroyed or 
     are inaccessible as a result of Hurricane Katrina, affected 
     institutions are encouraged to use additional sources of 
     information regarding such balances or loans,

[[Page S10126]]

     such as information from lenders and guaranty agencies. In 
     the event an affected institution does not remit such amounts 
     as required under the preceding sentence, the Secretary shall 
     hold the affected student harmless, and shall make a payment 
     on behalf of the affected student and take such action as the 
     Secretary determines necessary to recover the amounts from 
     the affected institution, including interest and penalties, 
     as the Secretary determines appropriate.
       (e) Authority To Exceed Annual Loan Limits.--
     Notwithstanding any provision of the Higher Education Act of 
     1965 (20 U.S.C. 1001 et seq.), the Secretary shall permit an 
     affected student to exceed the annual loan limits under part 
     B, D, or E of title IV of the Higher Education Act of 1965 by 
     an amount not greater than the applicable loan limit for such 
     student under such part during the period beginning on July 
     1, 2005 and ending on June 30, 2006.
       (f) Waiver Authority To Facilitate Use of Federal Work-
     Study Funds.--The Secretary is authorized--
       (1) to make whatever arrangements the Secretary determines 
     are necessary and feasible in order to transfer Federal work-
     study funds under part C of title IV of the Higher Education 
     Act of 1965 (42 U.S.C. 2751 et seq.) from an affected 
     institution to an institution of higher education that 
     enrolls an affected student during the 2005-2006 award year; 
     and
       (2) with respect to the Federal work-study funds that are 
     transferred to an institution of higher education in 
     accordance with paragraph (1), to waive all of the non-
     Federal share requirements under such part for the 
     institution of higher education that enrolls the affected 
     student during the 2005-2006 award year.
       (g) Forbearance.--Notwithstanding the provisions of part B, 
     D, or E of title IV of the Higher Education Act of 1965, a 
     lender, the Secretary, or an institution of higher education 
     is authorized to provide not more than 1 year of forbearance 
     to an affected borrower without documentation.
       (h) Professional Judgment.--A financial aid administrator 
     shall be considered to be making an adjustment in accordance 
     with section 479A(a) of the Higher Education Act of 1965 (20 
     U.S.C. 1087tt(a)) if the financial aid administrator makes 
     the adjustment with respect to the calculation of the 
     expected student or parent contribution (or both) for an 
     affected student, or for a student or a parent who resides or 
     resided on August 22, 2005, or was employed on August 22, 
     2005, in an area in which an emergency or major disaster was 
     declared under section 401 of the Robert T. Stafford Disaster 
     Relief and Emergency Assistance Act due to the effects of 
     Hurricane Katrina. The financial aid administrator shall 
     adequately document the need for the adjustment. The 
     Secretary is authorized to simplify such documentation for 
     institutions of higher education that receive a significant 
     number of affected students as compared to the total student 
     enrollment at the institution.
       (i) Modification of Part A of Title II Grants Authorized.--
     The Secretary is authorized to approve modifications to the 
     requirements for Teacher Quality Enhancement Grants for 
     States and Partnerships under part A of title II of the 
     Higher Education Act of 1965 (20 U.S.C. 1021 et seq.), at the 
     request of the grantee--
       (1) to assist States and local educational agencies to 
     recruit and retain highly qualified teachers in a school 
     district located in an area in which an emergency or major 
     disaster was declared under section 401 of the Robert T. 
     Stafford Disaster Relief and Emergency Assistance Act due to 
     the effects of Hurricane Katrina; and
       (2) to assist institutions of higher education, as defined 
     in section 101 of such Act (20 U.S.C. 1001), located in such 
     area to recruit and retain faculty necessary to prepare 
     teachers and provide professional development.
       (j) Waiver Authority To Modify Authorized Uses of TRIO, 
     GEAR-UP, Part A or B of Title III, and Other Grants.--The 
     Secretary is authorized to modify the required and allowable 
     uses of funds under chapters 1 and 2 of subpart 2 of part A 
     of title IV of the Higher Education Act of 1965 (20 U.S.C. 
     1070a et seq., 1070a-21 et seq.), under part A or B of title 
     III (20 U.S.C. 1057 et seq., 1060 et seq.), and under any 
     other competitive grant program, at the request of an 
     affected institution or other grantee, with respect to 
     affected institutions and other grantees located in an area 
     in which an emergency or major disaster was declared under 
     section 401 of the Robert T. Stafford Disaster Relief and 
     Emergency Assistance Act due to the effects of Hurricane 
     Katrina.
       (k) Authority To extend or waive reporting requirements 
     under section 131(a).--The Secretary is authorized to extend 
     reporting deadlines or waive reporting requirements under 
     section 131(a) of the Higher Education Act of 1965 (20 U.S.C. 
     1015(a)) for an affected institution.
       (l) Distance Education Student and Program Eligibility.--
       (1) Program eligibility.--Notwithstanding section 102(a)(3) 
     of the Higher Education Act of 1965 (20 U.S.C. 1002(a)(3)), 
     an institution of higher education, other than a foreign 
     institution, that offers education or training programs 
     principally through distance education shall be considered to 
     meet the definition of an institution of higher education 
     under section 101 or 102 of the Higher Education Act of 1965 
     (20 U.S.C. 1001, 1002) if such institution--
       (A) has been evaluated and determined to have the 
     capability to effectively deliver distance education programs 
     by an accrediting agency or association that--
       (i) is recognized by the Secretary under part H of title IV 
     of the Higher Education Act of 1965 (20 U.S.C. 1099a et 
     seq.); and
       (ii) has evaluation of distance education programs within 
     the scope of its recognition, as described in section 
     496(n)(3) of the Higher Education Act of 1965 (20 U.S.C. 
     1099b(n)(3));
       (B) is otherwise eligible to participate in programs 
     authorized under title IV of the Higher Education Act of 1965 
     (20 U.S.C. 1070 et seq.);
       (C) has not had its participation in programs under title 
     IV of the Higher Education Act of 1965 suspended or 
     terminated within the previous 5 years; and
       (D) has not had, or failed to resolve, an audit finding or 
     program review finding under the Higher Education Act of 1965 
     during the 2 years preceding the year for which the 
     determination is made that, following any appeal to the 
     Secretary, resulted in the institution being required to 
     repay an amount that is equal to or greater than 25 percent 
     of the total funds the institution received under the 
     programs authorized under title IV of the Higher Education 
     Act of 1965 for the most recent award year.
       (2) Student eligibility.--Notwithstanding any provision of 
     the Higher Education Act of 1965, an affected student 
     enrolled in a course of instruction at an institution of 
     higher education that is offered principally through distance 
     education and leads to a recognized certificate, or 
     associate, baccalaureate, or graduate degree, conferred by 
     such institution, shall not be considered to be enrolled in 
     correspondence courses.

     SEC. 203. GENERAL WAIVER AUTHORITY AND REQUIRED CONSULTATION.

       (a) Waiver Authority.--
       (1) In general.--Notwithstanding any other provision of 
     law, the Secretary may waive or modify any statutory 
     provision of the Higher Education Act of 1965 or any 
     regulation implementing such Act as the Secretary determines 
     necessary in connection with the emergency or major disaster 
     that was declared under section 401 of the Robert T. Stafford 
     Disaster Relief and Emergency Assistance Act due to the 
     effects of Hurricane Katrina.
       (2) Actions authorized.--In carrying out paragraph (1), the 
     Secretary is authorized to waive or modify any provision 
     described in paragraph (1) as the Secretary determines 
     necessary to ensure that--
       (A) administrative requirements placed on affected 
     students, affected borrowers, institutions of higher 
     education, lenders, guaranty agencies and grantees are 
     minimized to the extent possible without impairing the 
     integrity of the higher education programs under the Higher 
     Education Act of 1965, to ease the burden on such 
     participants; or
       (B) institutions of higher education, lenders, guaranty 
     agencies, and other entities participating in the student 
     financial assistance programs under title IV of the Higher 
     Education Act of 1965, that serve an area in which an 
     emergency or major disaster was declared under section 401 of 
     the Robert T. Stafford Disaster Relief and Emergency 
     Assistance Act due to the effects of Hurricane Katrina, may 
     be granted temporary relief from requirements that are 
     rendered infeasible or unreasonable due to the affects of 
     Hurricane Katrina, including due diligence requirements and 
     reporting deadlines.
       (b) Construction.--Nothing in this section shall be 
     construed to allow the Secretary to waive or modify any 
     applicable statutory or regulatory requirements prohibiting 
     discrimination in a program or activity, or in employment or 
     contracting, under existing law (in existence on the date of 
     the Secretary's action).
       (c) Consultation.--Prior to granting any waiver or 
     modification under this section, the Secretary shall consult 
     with the Committee on Health, Education, Labor, and Pensions 
     of the Senate and the Committee on Education and the 
     Workforce of the House of Representatives with respect to 
     waivers or modifications under this section.

     SEC. 204. NOTICE OF WAIVERS, MODIFICATIONS, OR EXTENSIONS.

       (a) In General.--Notwithstanding section 437 of the General 
     Education Provisions Act (20 U.S.C. 1232) and section 553 of 
     title 5, United States Code, the Secretary shall publish in 
     the Federal Register a notice of the waivers, modifications, 
     or extensions granted under section 202 or 203.
       (b) Terms and Conditions.--The notice described in 
     paragraph (1) shall include information on the waivers, 
     modifications, and extensions granted under section 202 or 
     203, and shall include the terms and conditions to be applied 
     in lieu of the statutory and regulatory provisions waived, 
     modified, or extended under section 202 or 203, respectively.

   TITLE III--EMERGENCY AND DISASTER ASSISTANCE TO INDIVIDUALS WITH 
                              DISABILITIES

         Subtitle A--Assistance for Children With Disabilities

     SEC. 311. DEFINITIONS.

       In this subtitle:
       (1) In general.--The terms ``child with a disability'', 
     ``local educational agency'', ``related services'', and 
     ``special education'' have the meaning given such terms in 
     section 602 of the Individuals with Disabilities Education 
     Act (20 U.S.C. 1401).
       (2) Affected by hurricane katrina.--The term ``affected by 
     Hurricane Katrina'', when used with respect to an individual, 
     means an individual who resides or resided on August 22, 2005 
     in, or is or was enrolled on August 22,

[[Page S10127]]

     2005, in a school located in, an area in which the President 
     has declared that a major disaster or emergency exists in 
     accordance with section 401 of the Robert T. Stafford 
     Disaster Relief and Emergency Assistance Act (42 U.S.C. 5170) 
     related to Hurricane Katrina.
       (3) Infant or toddler with a disability.--The term ``infant 
     or toddler with a disability'' has the meaning given such 
     term in section 632 of the Individuals with Disabilities 
     Education Act (20 U.S.C. 1432).

     SEC. 312. USE OF 2004-2005 NUMBERS OF CHILDREN FOR IDEA 
                   FUNDING FOR SENDING STATES.

       (a) In General.--In calculating funding under the 
     Individuals with Disabilities Education Act (20 U.S.C. 1400 
     et seq.) for the 2005-2006 school year and the 2006-2007 
     school year for a State that meets the requirements of 
     subsection (b), the Secretary of Education shall use data 
     from the 2004-2005 school year to determine the number of 
     children in such State for the purposes of--
       (1) subsections (a) and (d)(3) of section 611 of the 
     Individuals with Disabilities Education Act (20 U.S.C. 
     1411(a) and (d)(3));
       (2) section 619 of the Individuals with Disabilities 
     Education Act (20 U.S.C. 1419), if such State is eligible to 
     receive an allocation under such section; and
       (3) section 643(c) of the Individuals with Disabilities 
     Education Act (20 U.S.C. 1443(c)).
       (b) Sending States.--A State qualifies under this section 
     if such State--
       (1) includes an area in which the President has declared 
     that a major disaster exists in accordance with section 401 
     of the Robert T. Stafford Disaster Relief and Emergency 
     Assistance Act (42 U.S.C. 5170) related to Hurricane Katrina; 
     and
       (2) for the 2005-2006 school year or 2006-2007 school year, 
     has a net loss of students attending the schools located in 
     the State, as compared with the 2004-2005 school year.

     SEC. 313. SUPPORT FOR LOCAL EDUCATIONAL AGENCIES RECEIVING 
                   CHILDREN AFFECTED BY HURRICANE KATRINA.

       (a) Flexibility for Local Educational Agencies.--
     Notwithstanding any other provision of the Individuals with 
     Disabilities Education Act (20 U.S.C. 1400 et seq.), for a 
     fiscal year in which funds are appropriated under this 
     section, the Secretary of Education shall provide a portion 
     (as determined by the Secretary) of such funds to an eligible 
     local educational agency for the purpose of providing early 
     intervening services, as described in section 613(f) of such 
     Act (20 U.S.C. 1413(f)), to a student who is affected by 
     Hurricane Katrina--
       (1) if the student has not been identified by such agency 
     as needing special education and related services but has 
     been identified as needing additional academic and behavioral 
     support; or
       (2) if the student's record of receiving special education 
     and related services are not available but the parent or 
     guardian of the student certifies that the student received 
     special education and related services at the student's 
     preceding school, until such time as an eligibility 
     determination under section 614 of such Act (20 U.S.C. 1414) 
     can be made, except that early intervening services under 
     this paragraph shall not be provided for more than 90 days 
     unless the school and parent or guardian agree that progress 
     is being made toward obtaining the eligibility determination.
       (b) Rule of Construction.--In the case of a child with a 
     disability who is affected by Hurricane Katrina and whose 
     records are available to the local educational agency, 
     nothing in this section shall be construed to supersede the 
     transfer provisions of section 614(d)(2)(C) of the 
     Individuals with Disabilities Education Act (20 U.S.C. 
     1414(d)(2)(C)).
       (c) Limitation.--An eligible local educational agency 
     providing early intervening services under this section shall 
     ensure that such services do not interfere with the special 
     education and related services provided under the Individuals 
     with Disabilities Education Act (20 U.S.C. 1400 et seq.) to a 
     child with a disability who is not affected by Hurricane 
     Katrina and is enrolled in a school served by the eligible 
     local educational agency.
       (d) Definition of Eligible Local Educational Agency.--The 
     term ``eligible local educational agency'' means a local 
     educational agency that enrolls a student who is affected by 
     Hurricane Katrina and who relocates to a school served by the 
     local educational agency.
       (e) Authorization of Appropriations.--There are authorized 
     to be appropriated to carry out this section $10,000,000 for 
     fiscal year 2006.

        Subtitle B--Assistance for Individuals With Disabilities

     SEC. 321. REHABILITATION ACT OF 1973.

       (a) Definitions.--In this section:
       (1) Affected state.--The term ``affected State'' means a 
     State that contains an area, or that received a significant 
     number of individuals who resided in an area, in which the 
     President has declared that a major disaster exists.
       (2) Emergency.--The term ``emergency'' means an emergency 
     declared by the President in accordance with section 401 of 
     the Robert T. Stafford Disaster Relief and Emergency 
     Assistance Act (42 U.S.C. 5170), related to 
     Hurricane Katrina.
       (3) Individual with a disability.--The term ``individual 
     with a disability'' has the meaning given the term in section 
     3 of the Americans with Disabilities Act of 1990 (42 U.S.C. 
     12102).
       (4) Individual with a disability affected by hurricane 
     katrina.--The term ``individual with a disability affected by 
     Hurricane Katrina'' means an individual with a disability 
     who--
       (A) resided on August 22, 2005 in an area in which the 
     President has declared that a major disaster exists; and
       (B) resides in an area in which the President has declared 
     that an emergency or major disaster exists.
       (5) Major disaster.--The term ``major disaster'' means a 
     major disaster declared by the President in accordance with 
     section 401 of the Robert T. Stafford Disaster Relief and 
     Emergency Assistance Act (42 U.S.C. 5170), related to 
     Hurricane Katrina.
       (b) Reallotments of Funds.--
       (1) In general.--In realloting funds to States under 
     section 110(e)(2) of the Rehabilitation Act of 1973 (29 
     U.S.C. 730(e)(2)) for fiscal year 2005 the Secretary shall 
     give preference to affected States.
       (2) Waivers.--If the Secretary reallots funds under section 
     110(e)(2) of the Rehabilitation Act of 1973 to an affected 
     State for a fiscal year, the State may submit an application 
     to the Commissioner of the Rehabilitation Services 
     Administration requesting a waiver of non-Federal share 
     requirements applicable to programs under title I of such Act 
     (29 U.S.C. 720 et seq.) for that fiscal year. The 
     Commissioner shall develop criteria for granting or denying 
     such applications.
       (c) Community Development Apprenticeships.--An affected 
     State that receives reallotted funds as described in 
     subsection (b) may use the funds to pay for apprenticeship 
     programs (which may include training, mentoring, or job 
     shadowing opportunities) that contribute to the economic 
     growth and development of communities, to enable individuals 
     with disabilities affected by Hurricane Katrina to 
     participate in reconstruction or other major disaster 
     assistance activities in the areas in which the individuals 
     resided on August 22, 2005.

     SEC. 322. ASSISTIVE TECHNOLOGY ACT OF 1998.

       (a) Definitions.--In this section:
       (1) In general.--The terms defined in section 321(c) have 
     the meanings given the terms in that section.
       (2) Assistive technology device.--The term ``assistive 
     technology device'' has the meaning given the term in section 
     3 of the Assistive Technology Act of 1998 (29 U.S.C. 3002).
       (b) Programs.--An affected State that receives a grant 
     under section 4 of the Assistive Technology Act of 1998 (29 
     U.S.C. 3003) may submit an application to the Commissioner of 
     the Rehabilitation Services Administration requesting 
     authority, for a 90-day period, to use the funds made 
     available through the grant for device reutilization 
     programs, device loan programs, and device demonstrations, 
     described in that section and for programs that directly 
     provide assistive technology devices purchased by or donated 
     to the State, in order to enable individuals with 
     disabilities affected by Hurricane Katrina to replace 
     assistive technology devices that were damaged or lost in the 
     emergency or major disaster involved. The Commissioner shall 
     develop criteria for approving or denying such applications.
       (c) Use of Funds.--An affected State that, in accordance 
     with authority received under subsection (b), uses funds made 
     available through such a grant for activities described in 
     subsection (b) during the 90-day period described in 
     subsection (b) may treat such funds as having been used to 
     carry out activities under section 4(e)(2) of the Assistive 
     Technology Act of 1998 (29 U.S.C. 3003(e)(2)), for purposes 
     of meeting the use of funds requirements of section 4(e) of 
     such Act (29 U.S.C. 3003(e)).
       (d) Grants.--
       (1) In general.--The Secretary may make grants to affected 
     States with approved applications under subsection (b) to 
     enable the States to carry out programs described in 
     subsection (b) in order to enable individuals with 
     disabilities affected by Hurricane Katrina to replace 
     assistive technology devices as described in that subsection. 
     In the case of a State that receives a grant under this 
     paragraph, the State may obligate the funds made available 
     through the grant during the 90-day period applicable to the 
     State under subsection (b).
       (2) Authorization of appropriations.--There is authorized 
     to be appropriated to carry out this subsection $2,000,000 
     for fiscal year 2006, to remain available as necessary to 
     permit obligations described in paragraph (1).

      TITLE IV--CHILD CARE AND DEVELOPMENT BLOCK GRANT ACT OF 1990

     SEC. 401. SHORT TITLE.

       This title may be cited as the ``Child Care Disaster 
     Assistance Act of 2005''.

     SEC. 402. WAIVER AUTHORITY TO EXPAND THE AVAILABILITY OF 
                   SERVICES UNDER CHILD CARE AND DEVELOPMENT BLOCK 
                   GRANT ACT OF 1990.

       (a) Authority.--For such period (ending not later than 
     March 31, 2006), and to such extent as the Secretary of 
     Health and Human Services considers to be appropriate, the 
     Secretary may waive the provisions described in subsection 
     (b) for any area with respect to which the President has 
     determined that an emergency, or a major disaster, as defined 
     in section 102 of the Robert T. Stafford Disaster Relief and 
     Emergency Assistance Act (42 U.S.C. 5122), exists, related to 
     Hurricane Katrina, for the purpose of providing child care 
     services to children orphaned, or of families displaced, as a 
     result of Hurricane Katrina.
       (b) Provisions.--The provisions referred to in subsection 
     (a) are provisions of the Child

[[Page S10128]]

     Care and Development Block Grant Act of 1990 (42 U.S.C. 9858 
     et seq.)--
       (1) relating to income limitations on eligibility to 
     receive child care services for which assistance is provided 
     under such Act;
       (2) relating to work requirements applicable to eligibility 
     to receive child care services for which assistance is 
     provided under such Act;
       (3) requiring the application of section 658G to States in 
     which an area described in subsection (a) is located;
       (4) requiring a copayment or other cost sharing by the 
     families that receive child care services for which 
     assistance is provided under such Act; and
       (5) preventing children designated as evacuees from 
     receiving priority for child care services for which 
     assistance is provided under such Act, except that children 
     residing in an area and currently receiving services on 
     August 22, 2005 shall not lose such services in order to 
     accommodate evacuee children.

     SEC. 403. TECHNICAL ASSISTANCE AND GUIDANCE.

       The Secretary may assist States to provide technical 
     assistance and guidance to child care providers who are 
     licensed and regulated, as applicable, by the States, in 
     order to enable the providers to provide child care services 
     for children and families described in section 402(a).

     SEC. 404. AUTHORIZATION OF APPROPRIATIONS.

       There is authorized to be appropriated to provide for child 
     care services for children and families described in section 
     402(a) as provided for in section 402, and to carry out 
     section 403, $112,000,000 for fiscal year 2006.

                      TITLE V--HEAD START PROGRAMS

     SEC. 501. DEFINITIONS.

       In this title:
       (1) Children affected by hurricane katrina.--The term 
     ``children affected by Hurricane Katrina'' means a child who 
     is not older than 5 and who resides or resided on August 22, 
     2005, in an area in which the President has declared that a 
     major disaster exists.
       (2) Impacted head start agencies.--The term ``impacted Head 
     Start agency'' means a Head Start agency receiving a 
     significant number of children from an area in which a major 
     disaster has been declared.
       (3) Major disaster.--The term ``major disaster'' means a 
     major disaster declared by the President in accordance with 
     section 401 of the Robert T. Stafford Disaster Relief and 
     Emergency Assistance Act (42 U.S.C. 5170), related to 
     Hurricane Katrina.

     SEC. 502. INCOME ELIGIBILITY AND DOCUMENTATION WAIVERS.

       The Secretary of Health and Human Services shall waive 
     requirements of income eligibility and documentation for 
     children affected by Hurricane Katrina who participate in 
     Head Start programs and Early Head Start programs funded 
     under the Head Start Act.

     SEC. 503. TECHNICAL ASSISTANCE, GUIDANCE, AND RESOURCES.

       The Secretary shall provide technical assistance, guidance, 
     and resources through the Region 4 and Region 6 offices of 
     the Administration for Children and Families (and may provide 
     technical assistance, guidance, and resources through other 
     regional offices of the Administration, at the request of 
     such offices, that administer impacted Head Start agencies) 
     to Head Start agencies in areas in which a major disaster has 
     been declared, and to impacted Head Start agencies, to assist 
     the agencies involved in providing Head Start services to 
     children affected by Hurricane Katrina.

     SEC. 504. AUTHORIZATION OF APPROPRIATIONS.

       There is authorized to be appropriated to provide for Head 
     Start services (including Early Head Start services) to 
     children affected by Hurricane Katrina as provided for in 
     section 502, and to carry out section 503, $45,000,000 for 
     fiscal year 2006.

  TITLE VI--DEPARTMENT OF EDUCATION INSPECTOR GENERAL AUDIT AND REPORT

     SEC. 601. DEPARTMENT OF EDUCATION INSPECTOR GENERAL AUDIT AND 
                   REPORT.

       (a) In General.--The Inspector General of the Department of 
     Education (referred to in this section as the ``Inspector 
     General'') shall conduct an audit and investigation of each 
     program carried out by the Department of Education that 
     includes response and recovery activities related to 
     Hurricane Katrina.
       (b) Weekly Report.--Not less frequently than once a week, 
     the Inspector General shall provide a report to the Committee 
     on Health, Education, Labor, and Pensions of the Senate and 
     the Committee on Education and the Workforce of the House of 
     Representatives listing the audits and investigations 
     initiated pursuant to subsection (a).
       (c) Status Report.--Not later than 6 months after the date 
     of enactment of this section, and biannually thereafter until 
     the audits and investigations described in subsection (a) are 
     complete, the Inspector General shall report to the Committee 
     on Health, Education, Labor, and Pensions of the Senate and 
     the Committee on Education and the Workforce of the House of 
     Representatives on the full status of the activities of the 
     Inspector General under this section.
       (d) Cooperative Ventures.--In carrying out this section, 
     the Inspector General is encouraged to enter into cooperative 
     ventures with Inspectors General of other Federal agencies.
  Mr. KENNEDY. Mr. President, it is an honor to join the chairman of 
the HELP Committee, Senator Enzi, in introducing a bill to bring much 
needed support and relief to students, educators, and schools affected 
by Hurricane Katrina. The assistance cannot come too soon.
  I want to thank the chairman and his staff for all their hard work 
and for working together with us to deliver this relief as quickly as 
possible.
  We are all familiar with the devastation that hurricanes can cause to 
communities. In the past, some of the most destructive storms 
temporarily closed schools in those communities. Yet those closures 
were fairly limited and brief. In the aftermath of Hurricane Andrew in 
1992, the Army, Navy, and National Guard joined in helping to repair 
classrooms and reopen school doors in about 3 weeks. Last year, Florida 
schools damaged by Hurricane Charley reopened within a month, and 
students were quickly back on track in their classrooms.
  But Hurricane Katrina became a different type of devastation, and the 
magnitude of its damage is vastly more extensive.
  More than 700 schools and 30 colleges and universities have been 
damaged and destroyed. Almost all of them have been closed at least 
temporarily. Many of them will not open until January at the earliest. 
Some are in danger of not reopening at all.
  The number of students affected is staggering. The estimated total 
population of displaced elementary and secondary students is 373,000. 
Over 100,000 college students have been affected by the disaster, and 
18,500 Head Start or Early Head Start children have been affected.
  These are not just statistics. From this disaster we have been 
reminded that we are all part of the American family. And we have a 
responsibility to help members of that family when they are in need.
  Fortunately, America has begun to respond.
  School districts across the country have pledged to accommodate 
displaced students in their schools. Colleges and universities are 
graciously opening their doors to such students. The Nation is grateful 
to the school principals and superintendents, and the college 
presidents and deans who have pledged their help.
  But they need help as they struggle to accommodate these students. 
Congress must do our part to respond, to help these devastated 
communities get back on their feet and enable students to return to 
school. We need a response that is as caring and as generous as the 
American spirit.
  Congress has a responsibility to do all it can to support the needs 
of students, educators, and schools. We need to direct efforts to all 
stages of education--from early childhood through college. Let's make 
sure that these elementary and secondary children don't lose a year of 
education and that these college students can pursue their 
postsecondary degrees. We need to act quickly to provide the support 
needed to cope with and overcome this tragedy and rebuild the future.
  This bill begins the process by strengthening support for educational 
institutions affected by Hurricane Katrina. It addresses the needs of 
early education, elementary and secondary education, higher education, 
and students with disabilities.
  Thousands of young children affected by Katrina need temporary space 
in safe and healthy settings. We must provide them with quality early 
childhood programs and facilities, until the children and their 
families can return to their homes and communities.
  The bill facilitates enrollment in Head Start and Early Head Start by 
waiving income eligibility and other requirements, so that families 
affected by Katrina will be able to enroll their children more easily. 
It authorizes funds for affected Head Start centers--providing 
additional guidance, technical assistance, and resources.
  We must do more to provide for elementary and high schools struggling 
to cope with the harsh reality of the aftermath of Hurricane Katrina. 
Because of closures and the inability to obtain and maintain records, 
we need to temporarily postpone reporting requirements at affected 
schools. We must also provide them with financial support while they 
are closed to ensure they have the financial stability to reopen.

[[Page S10129]]

  The bill authorizes the Secretary of Education to waive reporting 
requirements, assessments, and school improvement and corrective action 
for states, local educational agencies, and schools affected by 
Hurricane Katrina.
  It directs schools in the declared disaster area to use child count 
numbers collected during the 2004-2005 academic year in seeking Federal 
funds for the 2006-2007 school year. The Secretary is authorized to 
award special school reopening grants to districts and communities 
significantly affected by Hurricane Katrina. These grants will aid in 
the effort to retain highly qualified teachers, recover data, establish 
temporary facilities, and take other related steps necessary to reopen 
the schools. It also provides funds for afterschool services and 
supplemental educational services to states affected by Hurricane 
Katrina.
  In addition, we need to acknowledge the efforts of school districts 
in Texas, Georgia, Florida, and other States that offer schooling to 
displaced students. School districts in those States deserve funds to 
help ease the transition of students into new schools, support basic 
instruction, and purchase books and materials. We need to help these 
schools temporarily expand their facilities to avoid overcrowding.
  The bill authorizes the Secretary of Education to make payments to 
local educational agencies that enroll displaced students. To alleviate 
the demand for qualified teachers, the Secretary is authorized to 
encourage States to extend temporary reciprocity for certification of 
school personnel across State lines. Teachers certified as highly 
qualified in one State will be recognized as meeting this standard in 
other States as well. The bill also modifies title II of the Higher 
Education Act to target teacher recruitment and retention efforts to 
the changing needs of the area.
  We must also help college students find temporary relief so they 
don't lose a semester or a year of college, and give them the financial 
assistance they need to continue.
  Students unable to attend a college because of the disaster will be 
exempted from returning grant aid under title IV of the Higher 
Education Act. These students will be able to place outstanding loans 
in deferment for the remainder of the 2005-2006 academic year. 
Additionally, financial aid administrators will be encouraged to use 
greater flexibility in professional judgment in evaluating the needs of 
college students affected by Hurricane Katrina.
  We must also consider the needs of borrowers. College graduates 
residing in the declared disaster area who lose their jobs deserve 
temporary relief on their loan repayments. The bill provides a 
deferment until June, 2006, during which borrowers will not need to pay 
down the principal on their student loans.
  To ease the burdens faced by colleges and universities in the 
declared disaster area, the Secretary is authorized to waive various 
Federal reporting requirements for colleges and universities. Schools 
will have up to 5 years to return unallocated Pell grants and 
supplemental educational opportunity grants. If needed, the Secretary 
will be able to work with schools after the deadline to arrange a 
repayment schedule. The bill offers colleges a flexible timeline for 
crediting undisbursed student loans. Schools have until the end of the 
academic year or June 30, 2006, to return such funds.
  To assist colleges in enrolling displaced students, the Secretary is 
authorized to make arrangements to transfer Federal work-study funds 
from affected institutions to receiving institutions.
  Finally, we must not neglect the needs of children with disabilities, 
teachers, and schools providing special education. Hurricane Katrina 
has thrown many children and families into a situation of having lost 
or having no records to document their child's special education 
experience. In addition, many children who were previously not students 
under IDEA may very well become students under IDEA. The bill requires 
schools to provide early intervening services to all children who need 
academic or mental health support to benefit from school. This will 
allow the time for children to sort out an individual needs to be 
identified. The bill also permits States and local education agencies 
to use data from either the 2005 or 2004 fiscal years for reporting and 
funding purposes to accommodate enrollment fluctuations and guarantee 
funding for teachers and schools to remain stable.
  States will also be able to guarantee continuing special education 
services to students who do not relocate to another State. States, 
under the Development Disabilities Act, will have the flexibility to 
use funds to replace assistive technology and durable medical equipment 
for individuals with disabilities, and under the Vocational 
Rehabilitation Act will have the flexibility to develop apprenticeship 
programs to educate people with disabilities to be part of 
reconstruction efforts.
  In the weeks and months ahead, we must also focus on rebuilding and 
reconstructing the schools devastated by the tragedy so that, as soon 
as possible, children can return to schools fully stocked with the 
resources they need. We must also consider strategies to encourage 
students and educators to return to their schools.
  Last week, Senator Enzi and I heard moving testimony in the HELP 
Committee from Dr. Diane Roussel, superintendent of schools in 
Jefferson Parish in Louisiana. The parish lies south of New Orleans and 
was in the direct path of Katrina, and the district's schools, 
students, and teachers were all severely affected by the disaster.
  In her closing remarks, Dr. Roussel emphasized the importance, 
necessity, and urgency of reopening the schools in her district. When 
schools reopen, she said, people return. When schools reopen, business 
returns, and life begins to return to normal.
  In the coming days and weeks, we must work to help life return to 
normal again for the hundreds of thousands of lives affected by 
Hurricane Katrina. This education bill is an impressive first step. I 
urge Congress to continue the work we begin today to meet the needs of 
the entire Gulf Coast community to reopen its schools.

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