[Senate Report 104-161]
[From the U.S. Government Publishing Office]



                                                       Calendar No. 211
104th Congress                                                   Report
                                 SENATE

 1st Session                                                    104-161
_______________________________________________________________________


 
              YOUTH DEVELOPMENT COMMUNITY BLOCK GRANT ACT

                                _______


 October 19 (legislative day, October 18), 1995.--Ordered to be printed

_______________________________________________________________________


   Mrs. Kassebaum, from the Committee on Labor and Human Resources, 
                        submitted the following

                              R E P O R T

                             together with

                     ADDITIONAL AND MINORITY VIEWS

                         [To accompany S. 673]

    The Committee on Labor and Human Resources, to which was 
referred the bill (S. 673) to consolidate Federal youth 
prevention and youth development programs and create a new 
process and structure for providing Federal assistance for 
these programs, and for other purposes, having considered the 
same, reports favorably thereon with an amendment in the nature 
of a substitute and recommends that the bill as amended do 
pass.

                                CONTENTS

                                                                   Page
  I. Summary of the bill..............................................2
 II. Background and need for the legislation..........................8
III. Legislative history and committee action........................11
 IV. Committee views.................................................14
  V. Cost estimate...................................................27
 VI. Regulatory impact statement.....................................32
VII. Section by section analysis.....................................33
VIII.Additional views................................................43

 IX. Minority views..................................................45
  X. Changes in existing law.........................................50

                         I. Summary of the Bill

                               a. purpose

    The Youth Development Community Block Grant Act of 1995 
establishes a single, comprehensive strategy for community-
based youth development and prevention programs. This 
legislation supports locally defined and implemented 
initiatives for youth aged 6 to 18 years of age. The goal of 
youth development programs is helping children acquire the life 
skills which they need to make a successful transition from 
childhood to productive adulthood. To achieve that goal, youth 
development programs incorporate nonacademic activities that 
employ active, hands on learning methods designed to build 
social, moral, emotional, physical, and cognitive competencies.
    The legislation restructures Federal funding of youth 
development and prevention programs by consolidating existing 
narrowly defined categorical programs and redistributing the 
funds to local communities through a formula allocation. The 
legislation creates a youth development system that: (1) is 
community-based and flexible; (2) is accountable to the 
community as well as the Federal Government; (3) invests 
Federal funds in prevention rather than crisis intervention; 
and (4) transforms existing categorical programs into a 
cohesive, coordinated network of activities.

                            b. authorization

    The Youth Development Community Block Grant Act 
consolidates eighteen discretionary and one formula-based 
Federal youth development and prevention programs into a single 
formula-based funding structure. Together, these programs 
received fiscal year 1995 appropriations in the amount of 
$701.8 million. Total fiscal year 1996 authorizations for the 
programs equal $1.082 billion.
    The discrepancy between the fiscal year 1995 appropriations 
figures and the fiscal year 1996 authorization levels are 
accounted for by the seven programs authorized as part of the 
Violent Crime Control and Law Enforcement Act of 1994. Several 
of these programs, funded out of or as a percentage of the 
Violent Crime Reduction Trust Fund, only received ``start-up'' 
or partial-year funding for the 1995 fiscal year. Other 
programs are not scheduled to receive funding under the Violent 
Crime Control and Law Enforcement Act unit the 1996 fiscal 
year.
    The Youth Development Community Block Grant Act is 
authorized in the amount of $900 million for fiscal year 1996 
and such sums as necessary through the year 2000, including the 
amount authorized to be appropriated for each fiscal year under 
title III of the Violent Crime Control and Law Enforcement Act 
of 1994 to carry out subtitle A, B, D, J, and O of that title.

                         c. allotment of funds

    Ninety-five percent of the funds appropriated for the Youth 
Development Community Block Grant (YDCBG) are allocated to 
States and local community boards. Of the remaining funds, 1.5 
percent are set aside for Native American organizations, and .5 
percent for grants to outlying areas. Three percent of the 
funds appropriated for the YDCBG are to be used by the 
Administration of Children and Families of the Department of 
Health and Human Service for the administration of the act, 
including the provision of training and technical assistance, 
Federal coordination, program monitoring and evaluation, in 
addition to the funding of research-based demonstration 
programs.
    Funds are distributed to States based on a formula which 
places equal weight to three criteria: 1) the total number of 
youth; 2) the number of youth from low-income families; and 3) 
the average incidence of juvenile crime during the most recent 
four-year period. There is a minimum State allocation of .5 
percent.
    States may use up to 4 percent of the State allocation to 
administer the program. State administrative costs may include 
training and technical assistance to local community boards, 
program monitoring and evaluation, and other activities 
designed to improve the delivery of youth development services 
within the State. An additional 3.5 percent of the State 
allocation may be used by the State to fund local youth 
development programs in response to emergency situations or to 
serve areas with high concentrations of low-income families.
    States must allocate at least 92.5 percent of the State 
allocation to local community boards based on the same formula 
used by the Federal Government to determine the State 
allocation. For any year in which less than $500 million is 
appropriated for the YDCBG, Federal funds are distributed to 
the States based on the formula allocation, but States will 
distribute the funds on a discretionary, competitive basis to 
local community boards.

                         d. state requirements

    States must submit an application to the Administration of 
Children and Families to be eligible to receive a State 
allotment of funds appropriated for the Youth Development 
Community Block Grant Act. The application must include 
assurances that the State will administer the funds in 
accordance with the act. After the first year of funding, the 
State application also must include a report on the activities 
within the State funded by the act and the results of an 
independent audit.

                         e. local requirements

    Local communities submit an application to the State in 
order to receive the local allocation of YDCBG funds. Upon 
receipt of a letter of intent, the State will provide 5 percent 
of the local allocation to be used for a 6-month local planning 
process.
    Local communities designate an existing entity or create a 
new entity to serve as the community board for the 
administration of the Youth Development Community Block Grant. 
The designation or membership of the community board is 
determined jointly by the chief executive officer of the 
county, the representative of the youth development providers 
in the county, and the representative of the local educational 
community, referred to as the ``appointing authority.''
    Two additional persons may serve on the appointing 
authority. If any city or town within the county has a 
population equal to or in excess of 30 percent of the county's 
population, the chief executive officer of that city or town 
will be a member of the appointing authority. Second, if none 
of the other members of the appointing authority have 
demonstrated experience in providing substance abuse prevention 
services, a representative of the substance abuse prevention 
providers and agencies in the community will be a member of the 
appointing authority.
    The community board is responsible for the programmatic and 
fiscal administration of the YDCBG funds allocated to the local 
community by the State. Administration includes the assessment 
of local needs and resources, the identification of community 
priorities, the development of a community strategic plan for 
youth development, the provision of funds for programs, and the 
implementation of program monitoring mechanisms. Programs and 
activities supported with YDCBG funds must be youth development 
programs consistent with the priorities and the strategic plan 
developed as part of the State application process. The 
community board must have a minimum of 5 and a maximum of 11 
members, including individuals with experience in providing 
youth development and substance abuse prevention services. The 
community board should represent a broad-based partnership of 
the diverse segments of the community which interact with 
youth.
    The legislation contains alternative provisions for the 
local administration of the funds for States which do not have 
traditional county government structures and counties with 
populations of 25,000 or less.

          f. native american organizations and outlying areas

    Native American organizations include tribal organizations, 
native Hawaiian organizations, and private nonprofit 
organizations established to serve Indians or native Hawaiians. 
Outlying areas include the U.S. Virgin Islands, Guam, American 
Samoa, the Commonwealth of Northern Mariana Islands, the 
Republic of the Marshall Islands, the Federated States of 
Micronesia, and the Republic of Palau. These areas and 
organizations apply directly to the Assistant Secretary for the 
Administration of Children and Families for funds from the 
amounts allocated for that purpose. Specific provisions are 
included to incorporate the local planning and implementation 
process, including the local programmatic and fiscal 
administration of funds and the distribution of funds to local 
grantees. Funds are to be used to support youth development 
programs and activities consistent with the community 
priorities and strategic plan.

              G. Youth Development Programs and Activities

    The Youth Development Community Block Grant Act does not 
prescribe specific activities or program types for which the 
funds will be used. Instead, the legislation identifies general 
goals and outcomes to be achieved. Goals include supporting the 
role of families in positive youth development, promoting 
increased community coordination and collaboration, developing 
or expanding community-based youth development programs in 
response to local needs, and promoting community partnerships 
for youth. Measurable outcomes include changes in the basic 
competencies of individual participants in programs and 
activities funded by the act, reducing high-risk behaviors, 
increasing protective factors, and reducing risk factors. 
Funding is limited to youth development programs, which are 
broadly defined as nonacademic activities designed to help 
youth develop social, moral, emotional, physical, and cognitive 
competencies using active, experiential learning methods.
    There are no restrictions on the type of agencies, 
organizations, or entities eligible to receive grants from the 
Federal, State, or community board. Eligible entities can 
include, but are not limited to, private nonprofit 
organizations, schools and educational agencies, government 
agencies, private for profit businesses, or individuals. There 
are specific provisions to clarify that religious entities can 
receive funds from the YDCBG without altering the religious 
character of nature of the entity.

                     h. contribution of local funds

    The Youth Development Community Block Grant Act requires 
that the funds be used to supplement, not supplant existing 
funds used for youth development programs and activities. In 
addition, the Federal share of the cost of carrying out youth 
development programs is 80 percent for the first year, 70 
percent for the second year, 60 percent for the third year, and 
50 percent for the fourth and any subsequent year. Other 
Federal funds cannot be used to provide the local match 
although up to half of the local match can be met through in-
kind payment, including facilities, equipment, and services.

          i. program accountability and enforcement mechanisms

    The legislation includes local, State, and Federal 
accountability and enforcement mechanisms. On the local level, 
the community board is responsible for monitoring the use of 
funds by grantees. The board has the authority to terminate the 
funding for a grant if the program fails to comply with the 
requirements of this act. In addition, grant renewals must give 
considerable weight to the effectiveness of the activities 
previously conducted with grant funds.
    The State has the responsibility and authority to monitor 
and oversee the activities conducted by the community board, 
including approval of the community strategic plan. If the 
State determines a community application is not in compliance 
with the act, the State can withhold the local allocation of 
funds until the application is determined to be in compliance. 
The State also may require remedial measures to ensure 
compliance by community boards and grantees within the State, 
including the termination of funding.
    The Assistant Secretary of the Administration of the 
Children and Families is responsible for establishing a system 
for monitoring and evaluating the effectiveness of initiatives 
supported by the Youth Development Community Block Grant. If 
the Assistant Secretary determines that a State, community 
board or grantee is failing to comply with the requirements of 
the act, remedial measures are authorized by the legislation 
including the termination of funding.

                        j. programs consolidated

Ounce of Prevention Council

    This Federal crime prevention coordinating council is 
authorized for $90 million over 6 years as part, of the Violent 
Crime Prevention and Law Enforcement Act of 1994. The fiscal 
year 1995 appropriations for the program totaled $1.5 million, 
to begin the work of the council. In addition to the Federal 
coordination activities, the council is authorized to 
distribute discretionary grants for youth prevention and 
development programs and to provide training and technical 
assistance to communities and community organizations.

Local Crime Prevention Block Grant Program

    The Federal block grant program for general crime 
prevention activities is authorized by the Violent Crime 
Prevention and Law Enforcement Act of 1994 for $377 million for 
5 years beginning in fiscal year 1996.

Family and Community Endeavor Schools Grant Program

    Authorized as part of the Violent Crime Prevention and Law 
Enforcement Act of 1994, this competitive grant program is 
designed to improve the overall development of at-risk children 
in communities with significant poverty and violent crime. In 
the 1995 fiscal year this program received $11.1 million.

Community schools youth services and supervision

    This competitive grant program provides funds for 
extracurricular and academic activities for at-risk youth 
during nonschool hours. Authorized as part of the Violent Crime 
Prevention and Law Enforcement Act of 1994, the program 
received $236 million in fiscal year 1995 appropriations.

Assistance for delinquent and at-risk youth

    The Federal discretionary grant program for services to 
help delinquent and at-risk youth is authorized by the Violent 
Crime Prevention and Law Enforcement Act of 1994 for $36 
million for 5 years beginning in fiscal year 1996.

Local Partnership Act

    This Federal competitive grant program to assist community 
crime prevention efforts is authorized by the Violent Crime 
Prevention and Law Enforcement Act of 1994 for $1.62 billion 
for 5 years beginning in fiscal year 1996.

Urban recreation and at-risk youth

    Authorized by the Violent Crime Prevention and Law 
Enforcement Act of 1994, this discretionary grant program 
provides funds for parks and recreation agencies and 
organizations to improve and expand nonacademic youth 
development activities in urban areas and for at-risk youth. 
The program is authorized for $4.5 million over 5 years 
starting in the 1996 fiscal year.

Gang resistance education and training

    Administered by the Department of the Treasury, this 
discretionary grant program provides funds, on a competitive 
basis, to communities and police agencies for establishing gang 
resistance education and training programs to youth living in 
communities with a high incidence of gang-related activities. 
The program is authorized for $45 million over 6 years by the 
Violent Crime Prevention and Law Enforcement Act of 1994 and 
received fiscal year 1995 appropriations totaling $9 million.

Drug education and prevention for runaway and homeless youth

    The purpose of this discretionary grant program is to 
expand and improve drug abuse prevention services to runaway 
and homeless youth and their families. Competitive grants fund 
research, demonstration, and service programs. A 25 percent 
nonfederal match of cash or in-kind contribution is required. 
Fiscal year 1995 appropriations totaled $14.5 million.

National Youth Sports Program

    Authorized for $15 million for fiscal years 1995 through 
1998, this discretionary grant program provides low-income 
youth with a summer of National Collegiate Athletic Association 
(NCAA) supervised sports instruction and enrichment activities 
on participating college and university campuses. The program's 
fiscal year 1995 appropriation is $12 million. Grantees are 
required to provide a cash match.

Demonstration Partnership Program

    This discretionary grant program focuses on developing new 
approaches that provide for greater self-sufficiency for low-
income individuals, with a particular emphasis on urban youth 
aged 14 to 25. Grantee must provide matching funds. Authorized 
for $30 million for fiscal year 1995 and ``such sums'' for 1996 
through 1998, the fiscal year 1995 appropriations for the 
Demonstration Partnership Program is $8 million.

Demonstration grants for the prevention of alcohol and other drug abuse 
        among high risk youth

    This program funds community-based demonstration projects 
that attempt to prevent, delay, or reduce the use of alcohol, 
tobacco, and other substance abuse among high risk youth. In 
fiscal year 1995 this discretionary grant program received 
$65.2 million in federally appropriated funds.

Youth initiative/youth gangs (youth gang substance abuse)

    Authorized for $10.5 million in fiscal year 1995 and ``such 
sums'' for years 1996 through 1998, this discretionary grant 
program received $10.5 million in fiscal year 1995 
appropriations. The program is to prevent and reduce the 
participation of youth in gangs that engage in illicit drug-
related activities. A 25 percent match is required.

School dropout demonstration assistance

    This discretionary grant program provides funds to school 
districts and community-based organizations for the development 
of dropout prevention and school reentry demonstration 
projects. The program requires a 10 percent grantee match the 
first year and a 25 percent match for the following years. 
Authorized for ``such sums'' through 1999, fiscal year 1995 
appropriations totaled $28 million.

Safe and drug-free schools and communities: National programs

    Funds for this program are used to carry out various 
activities authorized by the Safe and Drug-Free Schools and 
Communities Act, including grants to institutions of higher 
education for drug and violence prevention programs. This 
discretionary grant program received $25 million in fiscal year 
1995 appropriations and is authorized for ``such sums'' through 
1999.

Safe and drug-free schools and communities: State grants

    Funds for this program are allocated to States based on a 
Federal formula and are used to prevent violence and illegal 
use of alcohol and drugs in and around schools through 
education and training programs. The program is authorized for 
``such sums'' through 1999 and received fiscal year 1995 
appropriations in the amount of $457 million.

Juvenile gangs and drug abuse and drug trafficking (Part D, JJDPA)

    Created under the Juvenile Justice and Delinquency 
Prevention Act (JJDPA), program funds are used for activities 
to reduce and prevent the participation of juveniles in the 
activities of gangs that commit crimes. Fiscal year 1995 
appropriations are $10 million.

Juvenile justice and delinquency prevention: Juvenile mentoring (Part 
        G, JJDPA)

    The $4 million appropriated for this program in fiscal year 
1995 are used to establish mentoring programs for at-risk youth 
in order to reduce juvenile delinquency and gang participation, 
improve academic performance, and reduce the dropout rate.

Title V: Delinquency prevention (JJDPA)

    The purpose of this program is to increase the capacity of 
State and local governments to support the development of more 
effective education, training, research, prevention, diversion, 
treatment, and rehabilitation programs in the area of juvenile 
delinquency and programs to improve the juvenile justice 
system. Grantees are required to provide a 50 percent match for 
grant funds. Fiscal year 1995 appropriations for this 
discretionary grant program are $20 million.

              II. Background and Need for the Legislation

    Youth have a great deal of discretionary time. The Carnegie 
Council on Adolescent Development reports that only 58 percent 
of adolescents' waking hours are spent on school, homework, 
eating, household chores, or paid employment. Much of the 
remaining 42 percent, maintains the Carnegie Council, is 
unstructured, unsupervised, and unproductive time for 
adolescents. Young people reportedly spend about half of that 
42 percent of free time watching television. Many young people 
spend this time at home alone.\1\
    \1\ ``A Matter of Time: Risk and Opportunity in the Nonschool 
Hours.'' Report of the Task Force on Youth Development and Community 
Programs. Carnegie Corporation of New York, Carnegie Council on 
Adolescent Development, (New York) 1992. p. 24-39. (Hereafter cited as 
``Matter of Time.'' )
---------------------------------------------------------------------------
    This discretionary time offers opportunities for young 
people to engage in a variety of activities, such as music, 
dance, arts, crafts, nature exploration, reading, museum 
visits, sports and recreation, or community service projects. 
It also offers potential for young people to slip into risk 
behaviors, particularly since adolescents today are especially 
susceptible to negative peer influences. Recent research 
indicates that peer attitudes toward tobacco, alcohol, and drug 
use are dramatically more permissive than parental 
attitudes.\2\
    \2\ Zill, Nicholas, and Christine Winquist Nord. ``Running in 
Place: How American Families are Faring in a Changing Economy and an 
Individualist Society.'' Child Trends, Inc. (Washington) 1994. p. 29-
41.
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                 Youth Face Multiple Risks and Problems

    There is a growing body of research that says many of the 
diverse problems of young people are generally attributable to 
common roots. Moreover, youth exhibiting one behavior, such as 
substance abuse, sexual activity, delinquency, and school 
dropout, are likely to be engaging in other risky 
activities.\3\ These findings, while discouraging for the youth 
who are at risk, are promising for those who work with young 
people because they suggest that if the common roots of these 
problems are addressed, then many of these risky behaviors may 
be curbed.
    \3\ Resnick, Gary, Martha R. Burt, Lisa Newmark, and Lorraine 
Reilly. Youth at Risk: Definitions, Prevalence, and Approaches to 
Service Delivery. Urban Institute. (Washington) 1992. p. 56-59.
---------------------------------------------------------------------------
    The task is nevertheless daunting since about half of all 
young people are estimated to be at risk of engaging in a 
problem behavior such as substance abuse, premarital sexual 
activity, delinquency, and dropping out of school. Joy Dryfoos 
calculated that about one-fourth of all young people are 
``moderate risk youth,'' which she defines as experimenters who 
may commit minor delinquent offenses, have sexual intercourse, 
use substances occasionally, but not hard drugs, and may be 
behind in school. Another 15 percent, according to Dryfoos, are 
``high risk youth'' who commit somewhat serious delinquent 
offenses, are heavy users of alcohol, cigarettes and marijuana, 
engage in unprotected sexual intercourse, and are behind in 
school. Dryfoos estimates that an additional 10 percent of 
young people are ``very high risk'' because they have multiple 
problem behaviors, e.g., commit serious offenses, are heavy 
users of alcohol, cigarettes and drugs, are sexually active, 
and have dropped out of school or are behind their grade in 
school.\4\
    \4\ Dryfoos, Joy G. ``Adolescents at Risk: Prevalence and 
Prevention.'' Oxford University Press (New York) 1990. p. 107. 
(Hereafter cited as ``Adolescents at Risk'')
---------------------------------------------------------------------------
    Risk behavior reported by high school students reveals 
patterns that also suggest the proportion of young people 
vulnerable to trouble is noteworthy. Researchers at the Centers 
for Disease Control, U.S. Department of Health and Human 
Services, have conducted the school-based Youth Risk Behavior 
Survey for several years, with the most recent data collected 
in 1993. The survey finds that 53.0 percent of high school 
students have had sexual intercourse, 80.9 percent have had at 
least one drink of alcohol, 32.8 percent have smoked marijuana, 
4.9 percent have used cocaine, and 22.1 percent of high school 
students carry a weapon. Given that this survey only includes 
students--and not dropouts--the picture for all adolescents may 
be even bleaker than other research indicates.
    Reviews of programs serving young people do offer some 
optimism. Evaluations suggest that positive supportive services 
as well as intervention strategies that work for one problem 
also work for other problems. Early intervention in the lives 
of young people, community-wide approaches that are 
comprehensive in scope, and multiple program objectives (e.g., 
prevent adolescent pregnancy, curb substance abuse, and reduce 
school dropout) are commonly cited features of successful 
programs.

              Federal Programs are Fragmented and Targeted

    Although knowledge about these features of successful 
programs exists, there are barriers to implementing such 
programs. To quote Joy Dryfoos, ``Success is elusive because 
the programs as interventions are too fragmented and weak to 
have enough impact.'' \5\ There are a myriad of Federal 
programs that serve youth, but they usually have competing 
mandates, conflicting eligibility requirements, and different 
funding cycles, program definitions, and reporting 
requirements.
    \5\ Ibid., p. 3.
---------------------------------------------------------------------------
    Current Federal funding streams, moreover, favor 
specialized services for youth who are already at risk or in 
trouble. In times of tight budgets, prioritizing services to 
those who are ``very high risk'' may seem logical, but many who 
work with young people maintain that crisis intervention with a 
youth already in trouble is costlier than youth development and 
prevention programs for potentially at-risk youth.
    More often than not, Federal programs are driven--not by 
local needs and decisions--but by the national agenda. A social 
problem rips through one part of the country and galvanizes a 
nationwide response that may not be appropriate in other parts 
of the country. These other parts of the country may have 
critical, but less sensational problems that, nevertheless, 
warrant Federal assistance.

             youth development is a comprehensive strategy

    Youth development programs emphasize the positive elements 
of growing up and engaging young people in fun, yet 
constructive, alternatives to the negative pressures. This 
approach gives young people opportunities to socialize with 
peers, to acquire skills and cultivate talents, to contribute 
to the community, to belong to a valued group, and to feel 
competent about themselves. Youth development programs are 
comprehensive in that they foster all aspects of a young 
person's development--cognitive, physical, social, moral, and 
emotional.
    In adopting the youth development program design, the Youth 
Development Community Block Grant (YDCBG) focuses on prevention 
rather than crisis intervention. Although many of the programs 
repealed and replaced by YDCBG are popular programs serving 
youth, they target the negative elements of young people's 
lives and often are narrowly drawn. YDCBG offers a cohesive 
strategy to foster the healthy, well-rounded development of 
America's youth.

            youth development is a community-based approach

    There are about 17,000 youth development organizations that 
operate around the country.\6\ Although some are well-known 
national organizations with many decades of experience (such as 
the Girl Scouts of the U.S.A., local parks and recreation 
departments, the YMCA, 4-H, and the Boys and Girls Clubs of 
America), many are local, grassroots entities. Even those that 
are local affiliates of national organizations are usually 
community-based in their operations.
    \6\ ``Matter of Time,'' p. 50.
---------------------------------------------------------------------------
    The work of youth development organizations needs to be 
more closely linked with other resources in the community who 
are involved with children, youth and their families. Schools, 
public agencies, juvenile courts, and other groups in the 
community need to be a part of any comprehensive youth 
development strategy.
    YDCBG enables communities to tailor their youth development 
programs to fit local needs and concerns. The local boards 
build a private-public partnership and involve community 
leaders in guiding the futures of young people. The communities 
are encouraged to engage in a planning process that draws on 
other resources in the community and integrates services for 
youth into a coordinated array of services and programs.
    Under YDCBG, 95 percent of the funds go directly to the 
communities according to a formula based upon the population 
distribution of youth, juvenile crime, and poverty. The States 
serve primarily as a funding pass-through and compliance 
monitoring mechanism. This approach simplifies and streamlines 
the administrative process. The YDCBG also ensures 
accountability by establishing a process of goal setting at the 
community level. The communities retain broad flexibility over 
determining their priorities and initiatives and are held 
responsible for meeting these objectives.

             III. Legislative History and Committee Action

    On April 4, 1995, the Youth Development Community Block 
Grant Act was introduced by Senators Kassebaum, Inouye, 
Domenici, and Stevens. The legislation was referred to the 
Committee on Labor and Human Resources.
    On June 8, 1995, the Committee on Labor and Human Resources 
held a hearing on the Youth Development Community Block Grant 
Act. The committee received testimony from eight individuals 
representing a broad array of agencies and groups involved with 
young people.
    Mr. Phillip Coltoff, Executive Director of the Children's 
Aid Society located in New York City, discussed the relative 
costs of providing youth development services--$400 to $600 per 
year per youth, as compared to the costs of placing a child in 
foster care, on probation, in a group home, or in a 
correctional facility. He stated that ``Independent studies 
tell us that these programs are working * * * youth in Boys and 
Girls Clubs or CampFire, or 4-H programs are happier, more 
likely to finish schools, less likely to be involved in 
juvenile delinquency.''
    Three witnesses represented national youth development 
organizations: Big Brothers/Big Sisters, Boys and Girls Clubs 
of America, and CampFire Boys and Girls. Testifying in support 
of the legislation, each of these witnesses discussed the 
impact of these organizations in their home communities and in 
their own lives. Mr. Michael Green, representing CampFire Boys 
and Girls, pointed out that we cannot expect business to 
shoulder all the responsibility for ``uneducated, unmanageable, 
hostile, personally insecure, drug addicted employees''--they 
are a product of their youth and childhood experiences. He also 
stressed the need for long-term strategies for youth which show 
progress over the long haul, as opposed to ``quick fix'' 
solutions which fade just as quickly as they appear.
    Randy Johnson, third vice president of the National 
Association of Counties, testified on behalf of a coalition of 
associations including the American Association of School 
Administrators, the International City/County Management 
Association, the National Association of Counties, the National 
League of Cities, the National School Boards Association, the 
National Association of Towns and Townships, and the U.S. 
Conference of Mayors. This coalition offered several 
suggestions to improve the legislation, including a change in 
the juvenile crime portion of the funding formula, the addition 
of a representative from the local school system as a member of 
the ``appointing authority,'' strengthening local fiscal and 
programmatic accountability in the legislation, and targeting 
the funds to low-income and at-risk youth.
    Mr. William Wetzel, president of the YMCA in Chattanooga, 
TN, described several of the programs and activities by that 
organization. In stating his support for S. 673, Mr. Wetzel 
identified the flexibility and autonomy to design and implement 
programs for the community as an outstanding feature of the 
legislation.
    Mr. John A. Johnson, director of the New York State 
Division for Youth, described how New York has operated a youth 
development system similar to that embodied in S. 673. In his 
testimony, Mr. Johnson pointed out that ``multiple Federal 
funding streams have created an image of a rich mix of service 
availability--an image which is not evident to the youth or 
families in many communities which do not receive the 
discretionary grants or have few service providers. More 
equitable distribution of funds combined with local self-
determination generates community ownership of the process and 
greater support for youth programs in general.'' Mr. Johnson 
offered recommendations for improving the legislation related 
to the size of the community board, the juvenile crime portion 
of the funding formula, and the lack of a national set of 
standards for youth development programs.
    Ms. Beverly Watts Davis, Executive Director of the San 
Antonio Fighting Back program in Texas, discussed the 
activities undertaken in that program and the success it has 
had with youth in the San Antonio area. She expressed several 
concerns about S. 673: the ceiling on the membership of the 
community board, the lack of school involvement in the program, 
the lack of focus on substance abuse and violence prevention, 
the granting of too much power to one nonelected official, and 
the lack of a specific mention of ``curriculum development'' as 
a valuable tool in youth development.
    On July 19 and 20, 1995, the Committee on Labor and Human 
Resources met in executive session to consider S. 673. Chairman 
Kassebaum offered an amendment in the nature of a substitute 
for S. 673, the Youth Development Community Block Grant Act of 
1995. On July 20, 1995, the chairman's substitute was adopted 
by a rollcall vote of 9 yeas and 7 nays.
        YEAS                          NAYS
Kassebaum                           Kennedy
Jeffords                            Pell
Coats                               Dodd
Gregg                               Simon
Frist                               Harkin
DeWine                              Mikulski
Ashcroft                            Wellstone
Abraham
Gorton

    During consideration of the measure, roll call votes were 
taken on two amendments. Both of these amendments failed. An 
amendment by Senator Kennedy to target funds to low-income 
youth failed by voice vote. Four amendments offered by Senator 
DeWine were accepted without objection. The first amendment 
offered by Senator DeWine added a representative with 
demonstrated expertise in youth substance abuse prevention to 
the membership of the community board. The second amendment 
added a representative of substance abuse prevention agencies 
and substance abuse prevention providers to the local 
appointing authority. The third amendment added substance abuse 
prevention agencies and substance abuse providers to the list 
of organizations from which a State and the Assistant Secretary 
for the Administration of Children and Families receive input 
and advice. Senator DeWine's fourth amendment required an 
assessment of substance abuse in the county as part of the 
community strategic plan.
    1. Senator Dodd offered an amendment to strike the repeal 
of the Safe and Drug-Free Schools program from the Youth 
Development Community Block Grant Act. The amendment failed by 
a roll call vote of 8 yeas and 8 nays.
        YEAS                          NAYS
Kennedy                             Kassebaum
Pell                                Jeffords
Dodd                                Coats
Simon                               Gregg
Harkin                              Frist
Mikulski                            Ashcroft
Wellstone                           Abraham
DeWine                              Gorton

    2. Senator Wellstone offered an amendment to strike the 
repeal of the Local Crime Prevention Block Grant from the Youth 
Development Community Block Grant Act. The amendment failed by 
a rollcall vote of 7 yeas and 9 nays.
        YEAS                          NAYS
Kennedy                             Kassebaum
Pell                                Jeffords
Dodd                                Coats
Simon                               Gregg
Harkin                              Frist
Mikulski                            DeWine
Wellstone                           Ashcroft
                                    Abraham
                                    Gorton

                          IV. Committee Views

                                findings

    The committee believes there is a need for Federal support 
for youth development and prevention activities in communities 
throughout the country. Today's young people are facing a 
higher level of risks at an earlier age than previous 
generations. High risk behaviors such as substance abuse, 
educational failure, teen pregnancy, violence, and delinquency 
have enormous consequences for these youth, their parents, 
local communities, and the nation. At the same time, 
communities and families are struggling to maintain a 
supportive environment in which these children can live and 
grow into maturity. It will require a strong partnership 
between all segments of our society to reduce the risks to 
which our children and youth are exposed, and to increase the 
local support systems to help our young people make a safe 
transition from childhood to adulthood.
    Youth development programs have traditionally served as a 
community support mechanism to help parents, youth, and the 
community to address the needs of our young people. Youth 
development programs supplement the academic work of schools 
and support the efforts of families to promote the healthy 
development of children and youth. The committee believes 
current Federal efforts in the area of youth prevention are too 
narrowly focused to be effective. By and large, Federal youth 
prevention programs are remedial in nature, rather than 
directed toward primary prevention. It is critical that the 
Federal Government restructure its approach to youth prevention 
in order to facilitate the creation of a comprehensive, 
developmental approach designed to help local communities 
respond to the needs of children, youth, and families.

                                purpose

    The legislation consolidates the primary Federal programs 
for youth development and youth prevention into a single block 
grant to be used at the county level or other similar 
geographic areas. The purpose of the Youth Development 
Community Block Grant Act of 1995 is to enable local 
communities to develop a coordinated, cohesive strategy to 
provide youth development and prevention activities for youth 
aged 6 to 18. The legislation is specifically designed to:
          A. Provide local flexibility in the identification of 
        needs and allocation of resources to address those 
        needs.
          B. Provide funds for youth development services which 
        focus on the prevention of risky behaviors and foster 
        positive development of children and youth.
          C. Support families in meeting the developmental 
        needs of their children and youth.
          D. Promote increased community coordination and 
        collaboration of existing resources to help youth and 
        their families.
          E. Support the development and expansion of 
        community-based youth development programs to respond 
        to the needs of local youth and families.
          F. Promote community partnerships that link youth 
        development activities with the broad array of entities 
        serving children, youth, and families in the community.
          G. Provide for an equitable distribution of funds for 
        youth prevention services.
          H. Provide clear accountability for Federal dollars.

                              definitions

    The committee believes that a common agreement on several 
programmatic definitions is critical to the successful 
implementation of this legislation. The definitions of outcome 
objective and process objective clearly identify specific 
measures which need to be addressed by grantees that receive 
funds from this act. To provide a maximum level of local 
flexibility regarding the use of funds, the legislation is 
framed around a series of competencies (life skills) which have 
been identified as critical to the healthy development of young 
people. The committee wants local communities to determine the 
best means for reaching these desired outcomes, rather than 
adhere to specific program models defined by the Federal 
Government. The committee believes that communities are in the 
best position to determine what programs and activities will be 
most effective in responding to the needs of local youth and 
families.
    The legislation provides an alternative structure for 
specific States that do not have functioning county governments 
or similar geopolitical subdivisions. It is the intent of the 
committee that in these States, the administrative entity for 
the State work closely with representatives of municipal 
governments within the State to distribute the funds in a fair 
and equitable manner. In these States, the close collaboration 
between State government and local authorities will be critical 
to the success of the block grant. The legislation provides 
sufficient flexibility to accommodate a variety of adaptations 
for States which do not have a county government structure.

                     general distribution of funds

    This legislation authorizes $900 million for block grants 
in the first year and includes funds reallocated from the 
Violent Crime Reduction Trust Fund (as would have been 
appropriated for the Violent Crime Prevention and Law 
Enforcement Act programs being consolidated under this 
legislation). For the second and subsequent years and the 
legislation is authorized for such sums as the appropriations 
committees may appropriate in 1997 through 2000 combined with 
youth prevention funds from the Violent Crime Prevention and 
Law Enforcement Act. This two-part funding structure maintains 
the division between Federal discretionary funds and those 
available for youth prevention activities from the Violent 
Crime Reduction Trust Fund.
    The first-year authorization level represents a 10 percent 
reduction in the sum of the fiscal year 1995 appropriations for 
existing Federal youth development and youth prevention 
programs and the fiscal year 1996 projected appropriations for 
those programs consolidated from the Violent Crime Prevention 
and Law Enforcement Act of 1994. The committee believes that 
appropriations in the last 4 years of the legislation should be 
based on the demonstrated need for local youth development 
services and the success of the program in meeting those needs. 
The committee anticipates that the funding structure in the 
legislation will result in less Federal and State 
administrative costs and result in additional funds being made 
available for direct services to children and youth.

                    distribution of state allotments

    Ninety-five percent of the appropriated funds will be 
distributed to States and local community boards. Of the 
remaining funds, 1.5 percent are reserved for grants to Native 
American organizations, .5 percent for grants to outlying 
areas, and 3 percent for activities conducted by the Department 
of Health and Human Services to administer and support the 
legislation.
    Funds are made available to States based on three criteria, 
equally weighted: the number of youth in the State, the number 
of youth from low-income families, and the average incidence of 
juvenile crime during the most recent 4-year period. The 
committee believes that this allocation formula provides a fair 
and equitable distribution of funds among all local 
communities, while directing additional funds to areas with 
high levels of poverty and a high incidence of juvenile crime.
    The committee understands the current state of juvenile 
justice information and the anticipated enhancement of that 
data through improvements in the National Crime Information 
Center data collection system. The legislation authorizes the 
Secretary of the Department of Health and Human Services to 
prescribe a formula which will equitably account for current 
gaps in juvenile crime information and which can be upgraded as 
improvements in the National Crime Information Center data 
system are implemented. The committee expects the Secretary of 
the Department of Health and Human Services to consult with the 
Attorney General and the Administrator of the Office of 
Juvenile Justice and Delinquency Prevention in the development 
of the juvenile crime formula authorized in this legislation.
    In order to be eligible to receive a Federal allocation of 
funds under this legislation, States must submit an application 
devised by the Secretary of the Department of Health and Human 
Services. It is the intention of the committee that the 
Secretary should exercise considerable restraint in the 
development of this application and limit application 
requirements to those essential for the administration of the 
program. Applications for funds in the second and subsequent 
years should include information designed to identify 
measurable progress toward the goals of the legislation.
    No State applying for funding under this legislation will 
receive less than one-half of 1 percent of the total funds 
available for distribution to States.

                   distribution of local allocations

    Funds allocated to the States are to be distributed to 
local community boards, based on the same allocation formula 
that was used to determine the allocation of Federal funds to 
the States.
    States are permitted to reserve up to 4 percent of the 
total State allotment to carry out activities required to 
administer the program, the provision of training and technical 
assistance to local communities designed to enhance the 
provision of youth development services, and for program 
evaluation. In addition, a portion of the funds may be used by 
the State to fund youth development activities in local 
communities as a response to emergency situations or as 
additional funds for areas with high concentrations of low-
income families.
    There are two methods for distributing funds to local 
communities. Any year in which total Federal appropriations are 
under $500 million the States will distribute the funds through 
a competitive discretionary grant program established by the 
State. The State will ensure an equitable geographical 
distribution of the funds and provide funds for a variety of 
program models. Years in which total Federal funding exceed 
$500 million are distributed by the States based on the same 
formula used to determine the Federal allocation to the States.
    In the first year that a local community receives an 
allocation under this legislation, the State will provide up to 
5 percent of the local allocation for use in the local planning 
process. This initial local planning process cannot exceed 6 
months. The committee believes that the development and 
implementation of a community youth development strategy is a 
continual process that should be built into the ongoing 
administration of the funds. In order to apply for the initial 
planning funds, local communities must submit a letter of 
intent to the State agency responsible for administering these 
funds. The letter of intent needs to include a list of the 
members of the community board which will be administering the 
funds on the local level.
    After the initial planning period, and in subsequent years, 
the State will distribute at least 96 percent of the State 
allocation to community boards throughout the State. To receive 
an allotment, the community board must submit an application to 
the State. The committee intends that the State will utilize 
restraint in the development of this application process and 
limit the bureaucratic barriers to those necessary to ensure 
local compliance with the legislation. These funds will be used 
by the community board to provide youth development programs 
and services for children, youth, and their families within the 
community. The community board will distribute these funds to 
programs and activities which address the needs, priorities, 
objectives, and goals established by the community board 
through a strategic planning process. These activities and 
programs must meet the definition of youth development 
contained in the legislation. The committee believes that local 
strategies should build on existing community resources and 
focus on an integrated approach which links a broad variety of 
human services, both public and private.
    The legislation contains a prohibition on the use of funds 
for youth employment programs providing subsidized employment 
opportunities, job training activities, or school-to-work 
transition activities. This legislation was created in 
conjunction with the ``Workforce Development Act'' which 
specifically provides funds for these types of employment and 
pre-employment activities. It is the committee's intent that 
funds from the ``Youth Development Community Block Grant'' be 
used specifically for youth development activities. For many 
youth, employment-related activities may be the most desirable 
type of youth development program. The committee believes that 
funds from this legislation can provide necessary support and 
supplemental services to enhance a youth employment program 
funded under the ``Workforce Development Act'' and encourage 
local communities to give serious consideration to developing a 
comprehensive youth employment program utilizing funds from 
both legislative initiatives.

                     distribution to other entities

    The Assistant Secretary for the Administration of Children 
and Youth in the Department of Health and Human Services is 
responsible for the distribution of funds to Native American 
organizations and outlying areas. The distrubtion of these 
funds will be subject to the same requirements regarding the 
use of funds for youth development programs and activities, the 
need for a local administering entity and strategic planning 
process, as well as compliance with other requirements 
contained in this legislation.

                    distribution to grant recipients

    Community boards will develop and disseminate a request or 
proposal to solicit applications to provide youth development 
programs and activities consistent to those identified in the 
local youth development strategic plan. The community board may 
provide grants and contracts to any entity or organization 
submitting an application which meets the requirements 
designated by the community board, consistent with this 
legislation. It is the committee's intent that a broad range of 
service provider--traditional, nontraditional, public and 
private entities--have the opportunity to compete for these 
funds. In the second and subsequent years in which funds are 
awarded, the community board must give serious consideration to 
the extent to which a previous grantee or program was 
successful in meeting the community goals and objectives.
    A recent report by the Carnegie Council on Adolescent 
Development, ``Great Transitions: Preparing Adolescents for a 
New Century'', supports the need for a generic approach to 
youth prevention and youth development, ``* * * rather than 
categorical or targeted approaches that focus on single 
problems, often after they have already occurred.'' The report 
cites their need to foster consistent, continual positive 
relationships between adolescents and responsible adults, such 
as those provided in adult mentoring activities. The committee 
supports the focus of the Carnegie report and encourages the 
incorporation of positive adult interaction into youth 
development activities funded under this act.
    The committee believes that religious organizations can and 
do provide valuable services and conduct successful programs 
for youth in the community. It is the intent of the committee 
that religious organizations, including churches, be eligible 
to compete for funds made available under this legislation on 
the same basis as any other entity or organization. While the 
funds cannot be used for religious teachings or strictly 
religious activities (under the Establishment Clause of the 
Constitution), religious organizations receiving funds under 
this legislation are not required, by this act, to remove 
religious icons or, in any other way, alter their physical 
facilities or operation in such a way as to diminish the 
religious character of the organization.
    The community board may award grants for up to 3 years. 
Renewals of these grants should be dependent upon the grantee's 
ability to successfully address the goals, objectives, and 
outcomes identified in the community strategic plan. There is 
no restriction on the number of times a grant can be renewed by 
a community board. The community board also is responsible for 
discontinuing funding for programs that fail to meet local 
goals, objectives, and outcomes, as well as those who are not 
in compliance with the requirements of this legislation.
    Federal funds appropriated under this legislation must be 
matched by nonfederal funds. In the first year, Federal funds 
cannot exceed 80 percent of the total funds used for youth 
development programs and activities funded under this 
legislation. The amount of nonfederal matching funds increases 
each year beginning at 20 percent in the first year, 30 percent 
in the second year, 40 percent in the third year and 50 percent 
in any subsequent year. The committee believes that the 
requirement of nonfederal funds matching funds for youth 
development represents a commitment of the local community to 
the youth development partnership. Fifty percent of the 
nonfederal matching funds can be in the form of fairly 
evaluated in-kind goods and services. The committee believes 
that the local match can be achieved in a variety of ways. The 
community itself can contribute the entire match through local 
government spending on youth development programs, as long as 
the programs meet the definition of youth development contained 
in the legislation. Individual grantees may be called upon to 
contribute matching funds relative to the amount of the grant 
received. Combinations of these two approaches can be used. 
State funds contributed by the State itself, via local 
governments, or through State grants and contracts to grantees 
can be used to meet the match requirement.
    This legislation repeals 19 existing Federal youth 
development and youth prevention programs. It is not the intent 
of the committee that each of these programs should cease to 
exist upon the passage of this legislation. Rather, it is the 
intent of the committee that local communities make 
determinations about the use of these funds. The legislation 
contains a ``grandfather clause'' which enables community bards 
to continue providing funding to existing local programs which 
had previously received funding from one or more of the 
programs repealed by this legislation. There is no requirement 
or expectation by the committee that the continuation of 
funding for these programs under this legislation will require 
those programs to change their program activities or 
operations, other than the reporting and application processes. 
The committee believes that many of these programs will 
continue to receive funding under this legislation based on 
their history of providing services and the manner in which 
they have successfully met the needs of local youth and 
families.
    The legislation contains broad outlines of reporting 
requirements for local grantees and restricts the use of the 
funds available for program administration, planning, and 
coordination activities to 10 percent. An additional 5 percent 
can be used for evaluation of the programs. The committee 
believes the majority of the funds made available under this 
legislation should be used for the provision of direct services 
to children and youth. However, the committee acknowledges the 
need for funds to facilitate local coordination, collaboration, 
planning, and administration. The evaluation of program 
activities is critical in making the determination that the 
programs receiving funding are achieving the outcomes 
identified by the community board. Each of these activities are 
considered ongoing responsibilities of the community board, 
essential to the development of a quality youth development 
strategy in the community.

                      Reallotment and Reallocation

    The legislation contains provisions for the reallotment of 
funds which are not expended by States and local communities. 
If a State fails to apply for funds made available under this 
legislation, the Federal Government will solicit and award 
grant applications from local community boards within that 
State. In the event that there are insufficient applicants 
resulting in unallocated funds, the Department of Health and 
Human Services will reallocate those funds to other States. If 
a local community fails to apply for funds from the State 
allocation made available under this legislation, the 
unallocated funds will be distributed to other community boards 
in the State.

                   Community Youth Development Boards

    The committee believes the community board is a key 
component to the development of a local comprehensive youth 
development strategy. The legislation provides flexibility in 
the composition of this community board. It is the committee's 
intent that when possible, an existing group meeting the 
requirements of the legislation be designated as the community 
board. This can be accomplished by designating an existing 
board, creating a subgroup of an existing board, merging 
existing groups, or any other mechanism. If there is not a 
appropriate board currently functioning within a community, a 
board will be created to administer these funds.
    An appointing authority is identified in the legislation. 
This appointing authority is not intended to be a formal group 
or committee, but an assemblage of key persons in the community 
who must work together to create or designate the community 
board. The committee believes that the creation of community 
board should be the result of a partnership, not the sole 
discretionary decision of one individual or group. The primary 
purpose of the appointing authority is to designate or create a 
community board. Members of the appointing authority will vary 
from community to community. At a minimum, the appointing 
authority will include the chief executive officer of the 
county or equivalent political subdivision, the representative 
of local youth development providers, and the representative 
selected by the educational community serving the county.
    Two additional individuals also may be on the appointing 
authority: a representative of the local providers of substance 
abuse prevention services and a representative of a municipal 
government within the county. The committee recognizes the 
importance of substance abuse prevention and the providers of 
those services. If none of the other members of the appointing 
authority have experience in providing substance abuse 
prevention services, a representative selected by substance 
abuse prevention providers serving the community will be a 
member of the appointing authority. In counties where the 
population of a city or town within that county is equal to or 
exceeds 30 percent of the total county population, the chief 
executive officer of that city or town will be a member of the 
appointing authority.
    It is the intention of the committee that when the 
legislation refers to ``the representative'' of a particular 
group or category of individuals (i.e., youth development 
providers, substance abuse providers, educational community) 
that the selection of ``the representative'' to serve on the 
appointing authority be made by their peers, not the chief 
executive officer of the county or other single individual or 
group. However, the chief executive officer of the county 
should ensure that substantial efforts be made to identify and 
notify all possible individuals, groups, organizations, and 
agencies serving the county about the need to select a 
representative for the appointing authority. These individuals, 
groups, organizations, and agencies should then be convened for 
the purpose of selecting their own representative to serve on 
the appointing authority. There should be substantial efforts 
to ensure that all possible public and private entities and 
individuals are permitted to participate in this process.
    The legislation contains modifications on the appointing 
authority and community board for States with no county or 
similar political subdivision and for counties with populations 
of 25,000 or less. The committee believes these modifications 
maintain the intent of the community partnership goal of the 
legislation while permitting adjustments to facilitate the 
implementation of the legislation in a variety of local and 
State geopolitical configurations.
    The legislation includes specific provisions to encourage 
multicounty partnerships in the implementation of this 
legislation. These partnerships can involve a total merging of 
community planning, administration, and funding, or can involve 
joint administration for a particular program or activities 
conducted in two or more counties. The committee recognizes the 
variability of geopolitical boundaries and the overlay of other 
boundaries such as school systems, human service delivery 
areas, and other arrangements which can affect the 
implementation of the ``Youth Development Community Block 
Grant.'' It is the committee's intent that the structure of 
this legislation be sufficiently flexible for communities to 
make common sense decisions about the utilization of funds, 
unimpeded by Federal barriers.
    The appointing authority will jointly determine the 
membership of the community board which will be responsible for 
administering the funds allocated to the community by the 
State. The size of the community board is limited by the 
legislation to not less than five and not more than eleven. The 
committee believes that this is the most efficient size to 
facilitate decision making within a group. The committee 
recognizes that some communities will have difficulty in 
limiting the size of the community board in its efforts to be 
inclusive and build an effective partnership. For this reason, 
the committee suggests that the community board can be part of 
a larger group, establish task forces, advisory groups, or 
working groups, solicit input from other individuals in the 
community through open public meetings, or use other 
appropriate mechanisms to engage the community in the creation 
and implementation of a comprehensive youth development 
strategy.
    The legislation provides a variety of suggestions regarding 
the membership of the community board. The committee strongly 
intends for those provisions to serve as a guide, not a mandate 
or requirement. The legislation does require that two skills be 
represented on the community board. The committee believes that 
it is essential to the operations of a community youth 
development board that an individual with experience in 
providing youth development services be a member of the 
community board. If that person does not have experience in the 
area of substance abuse prevention, an additional individual 
with that experience also must be a member of the board.
    The community board will develop their own bylaws regarding 
the terms of office of members, the election of officers, and 
the method by which vacancies on the community board will be 
filled. These by-laws also must contain provisions regarding 
potential conflicts of interest by members of the board. The 
committee believes the legislative provisions regarding 
conflict of interest are essential to maintaining the integrity 
and the public perception of the community board.
    The community board is required to appoint a fiscal agent 
for the administration of funds. This fiscal agent may be an 
individual, a private agency, or a unit of local government.

                       Duties of Community Board

    The primary duty of the community board is the development 
and implementation of a community strategic plan. The committee 
believes this plan is essential to a comprehensive, cohesive 
network of youth development services for children, youth, and 
their families. It is on the basis of this community strategic 
plan that the activities and programs funded by this 
legislation will be evaluated. The committee believes this plan 
should be fluid in order to adapt to changes in the community. 
The plan should be based on a realistic assessment of the needs 
of youth in the community, a recognition of existing local 
resources, a prioritization of effort, and a set of measurable 
objectives and outcomes to which local youth development 
activities and programs should respond.
    The other major function of the community board is to 
establish monitoring and evaluation procedures to determine if 
grantees are operating consistent with the local strategic plan 
and the requirements of this legislation. The community board 
is responsible for providing or obtaining training and 
technical assistance designed to enable grant applicants, 
grantees, and the board itself to achieve the goals of the 
legislation.
    A State may deny the allocation of funds to a community 
board if the strategic plan does not meet the requirements of 
the legislation. If the State rejects a strategic plan 
submitted by a community board, the community board may appeal 
that decision in accordance with the appeals process developed 
by the Secretary of the Department of Health and Human 
Services. It is the intention of the committee that the State 
and community board should work together to identify areas of 
disagreement and jointly resolve the problems which lead to the 
rejection of a strategic plan.
    Community boards are required to submit an annual report to 
the State regarding the programs and activities receiving funds 
under this legislation. The committee believes there is a fine 
line that must be drawn between the information required to 
ensure compliance with this legislation and burdensome 
bureaucratic requirements that become a barrier to local 
flexibility. The committee is confident that States and the 
Secretary of the Department of Health and Human Services will 
be judicious in the development of reporting requirements for 
community boards.
    Costs for planning, administration, coordination, 
evaluation, and fiscal agent expenses are limited to 5 percent 
of the total community allocation. The committee recognizes 
that effective oversight and implementation of the legislation 
requires adequate funding. However, it is the intention of the 
committee to ensure that, to the maximum extent possible, funds 
appropriated for this legislation be used for direct services.

                          Duties of the States

    While the ``Youth Development Community Block Grant'' is 
primarily focused on community-based efforts to build a 
comprehensive youth development network for youth and their 
families, the States play an important role in accomplishing 
the goals of the legislation. The States are responsible for 
monitoring and assisting the work of community boards receiving 
funds under this legislation. The governor is responsible for 
designating a statewide entity to administer and conduct State 
activities specified in the legislation. It is the belief of 
the committee that the governor should choose an entity with 
experience in the area of youth development which can provide 
guidance and assistance to community boards. This entity may or 
may not be a State government entity. In many States there are 
existing private or public-private entities that may be better 
suited to this purpose than a State agency. The committee 
intends that this legislation should not lead to the creation 
of additional bureaucratic structures if an entity with the 
capacity to administer the legislation exists within the State.
    It is important that the governor establish a mechanism for 
receiving advice and guidance on the implementation of the 
legislation from a variety of organizations and individuals 
within the State. In this way, the governor can improve the 
effectiveness and increase the coordination of youth 
development services and activities statewide.
    The State is responsible for monitoring community boards 
and their grantees to ensure compliance with the legislation. 
While annual reports from community boards are the formal 
mechanism for accomplishing this task, the committee believes 
that the State entity administering these funds should be in 
sufficient formal and informal contact with communities, 
community boards established under this legislation, and direct 
service providers to be aware of problems that may be emerging. 
This informal and formal contact, during the normal course of 
business, should serve as a mechanism of continual oversight 
and monitoring of the funds. It is the intent of the committee 
that the State serve as a support and assistance mechanism for 
local community boards and their grantees. This role is as 
important as the oversight responsibilities. It is important 
that States help community boards come into compliance with the 
legislation through training, technical assistance, the 
transfer of information and technology, and other mechanisms.
    If a State determines that a community board or grantee is 
not in compliance with the requirements of this act, the State 
has the authority to terminate funding for the program, 
activity, or community board. Prior to the termination of 
funding, the State must identify these deficiencies and inform 
the community board or grantee of the areas which need 
correction. The State must provide appropriate training or 
technical assistance designed to correct the deficiencies. If 
the community board or grantee fails to substantially correct 
the deficiencies within a year, the funds can be terminated by 
the State. The committee is hopeful that all community boards 
and grantees can correct deficiencies identified by the State 
within a reasonable time period.
    The State will submit an annual report to the Department of 
Health and Human Services describing how funds authorized under 
this legislation have been used in the State. This report 
should be based on the annual reports received from community 
boards, the monitoring activities conducted by the State, and 
fiscal audit reports.
    In addition, each State may reserve a portion of the funds 
allocated to the State under this legislation for direct grants 
to community service providers. These funds are to enable the 
State to respond to emergency situations and to provide 
additional resources to communities with high levels of 
poverty. The State should ensure that any direct grants made to 
a community are well-coordinated with the activities of the 
community board serving that area.

                   Duties of the Assistant Secretary

    The committee believes that there needs to be a coordinated 
Federal strategy for youth development. Although this 
legislation consolidates current youth prevention and youth 
development programs, there are other Federal programs which 
can contribute to the effort to support children, youth and 
their families. Those programs range from various programs in 
the Department of Education to delinquency and crime victim 
programs within the Department of Justice. There needs to be an 
effort on the Federal level to ensure that these programs 
complement each other rather than duplicate efforts.
    This legislation requires the Assistant Secretary of the 
Administration of Children and Families in the Department of 
Health and Human Services to establish a mechanism to receive 
advice and guidance from individuals and organziations involved 
in youth development. The committee believes that this 
information will be helpful in improving the practice of youth 
development and coordinating public and private efforts to 
provide youth development services.
    The committee, in an effort to strengthen Federal youth 
development investments, has included a provision in the 
legislation requiring the development of national policy goals 
and a national strategic plan for youth development. Neither 
these goals or strategic plan are binding on States or local 
community boards. The purpose is to better coordinate Federal 
activities focused on youth and their families among Federal 
agencies and to provide direction for Federal efforts in the 
area of youth development and prevention.
    The legislation provides the Department of Health and Human 
Services with the authority to monitor and evaluate the 
activities of the State, community boards, and grantees. The 
primary purpose of this authority is to assist these entities 
in developing quality youth development services and 
activities. The Federal Government should play a pivotal role 
in the transfer of information and technology that the 
committee believes will be essential in the successful 
implementation of this legislation.
    This legislation requires the Assistant Secretary to 
consult with various Federal agencies to ensure effective 
coordination of programs and activities funded under this 
legislation. The legislation does not specify a particular 
mechanism for accomplishing this task. The Assistant Secretary 
may use an existing entity such as the Coordinating Council 
established by the Juvenile Justice and Delinquency Prevention 
Act of 1974 (as amended) or the continuation of an entity such 
as the Ounce of Prevention Council established under the 
Violent Crime Prevention and Law Enforcement Act of 1994. The 
committee strongly encourages the Assistant Secretary to 
utilize an existing Federal coordinating mechanism rather than 
the creation of a new entity.
    From the funds reserved for use by the Secretary of the 
Department of Health and Human Services, the Assistant 
Secretary is authorized to provide funding for time-limited, 
research-based demonstrated projects. This effort must be 
jointly planned and implemented with the Administrator of the 
Office of Juvenile Justice and Delinquency Prevention in the 
Department of Justice and the Secretary of the Department of 
Education.
    The Secretary is required to submit a report every 2 years 
to the President and Congress describing activities funded 
under this legislation and an assessment of the activities in 
meeting the goals of the legislation.
    The Assistant Secretary of the Department of Health and 
Human Services has the authority to terminate funding of a 
State, community board, or grantee if the Assistant Secretary 
determines that the entity is out of compliance with the 
requirements of this legislation. The Assistant Secretary must 
inform the entity of the deficiencies causing the 
noncompliance. Training and technical assistance designed to 
correct the deficiencies must be provided to the entity in an 
effort to support and assist the delivery of quality youth 
development services. If the entity fails to make substantial 
progress toward the correction of the deficiencies within a 
year, the Assistant Secretary may terminate the funds.

                                repeals

    The legislation repeals the Federal laws authorizing 19 
programs. The committee does not believe that this action 
should or will precipitate the end of these efforts on the 
local level. If these programs are providing a service, 
program, or activity that responds to the needs of children and 
youth in an effective manner, the committee believes 
continuation funding will be provided by the community boards. 
In addition, the committee does not believe these repeals 
terminate the Federal involvement in youth development and 
youth prevention. This legislation provides a broader, more 
flexible framework in which Federal involvement can flourish.

                         conforming amendments

    This section makes changes in existing law to conform to 
this legislation.

                           transfer of funds

    The committee believes that existing Federal youth 
development and youth prevention programs and funds should be 
consolidated into a single, cohesive structure. This provision 
ensures that youth prevention funds appropriated for the year 
in which this legislation is enacted are transferred for use 
under the prevailing legislative authorization.

                effective date and transition provisions

    This legislation is in effect upon the date of enactment. A 
6-month transition period is created to ensure efficient 
implementation of the act. The committee believes the 
legislation will result in substantial reductions in Federal 
personnel formerly engaged in administering the nineteen 
programs repealed by this act. This section mandates 
appropriate reductions in force and requires a report to 
Congress on those personnel actions.

                            V. Cost Estimate

                                     U.S. Congress,
                               Congressional Budget Office,
                                   Washington, DC, October 4, 1995.
Hon. Nancy Landon Kassebaum,
Chairman, Committee on Labor and Human Resources,
U.S. Senate, Washington, DC.
    Dear Madam Chairman: The Congressional Budget Office has 
prepared the enclosed cost estimate for S. 673, the Youth 
Development Community Block Grant Act of 1995.
    Enactment of S. 673 would not affect direct spending or 
receipts. Therefore, pay-as-you-go procedures would not apply 
to the bill.
    If you wish further details on this estimate, we will be 
pleased to provide them.
            Sincerely,
                                             James L. Blum,
                                   (For June E. O'Neill, Director).
    Enclosure.

               congressional budget office cost estimate

    1. Bill number: S. 673.
    2. Bill title: Youth Community Development Block Grant Act 
of 1965.
    3. Bill status: As ordered reported by the Senate Labor and 
Human Resources Committee on July 19, 1995.
    4. Bill purpose: The purpose of S. 673 is to create a 
single, comprehensive federal strategy for community-based 
youth development programs, and to support communities in 
designing strategic community plans for youth development. This 
bill is intended to support the primary role of the family in 
youth development, to prevent youth problems and crimes, to 
increase community coordination in meeting the needs of youth, 
to support youth programs that respond to local needs, and to 
promote community partnerships in youth development programs.
    S. 673 would establish a new Youth Development Community 
Block Grant program to provide funds to states for youth 
development activities. Several existing programs relating to 
crime prevention, drug-free schools, school dropout prevention, 
prevention of alcohol abuse among at-risk youth, gang-free 
schools, mentoring, and the National Youth Sports Program would 
be repealed. Under the new program, states would distribute 
money to Community Youth Development Boards (Community Boards), 
which, in turn, would award grants to individual organizations 
serving youth.
    5. Estimated cost to the Federal Government: The following 
table shows discretionary spending under S. 673 with and 
without adjustments for inflation where the bill authorizes 
such sums as necessary. When inflation is considered, 
authorizations of appropriations total $4.7 billion over the 
1996-2000 period, as compared with $5.8 billion under current 
law. When inflation is not considered, the authorizations of 
appropriations total $4.4 billion over the 1996-2000 period, as 
compared with $5.6 billion under current law. Table 1 
(attached) provides details on the costs and savings associated 
with individual provisions including adjustments for inflation 
where such sums as necessary are authorized. The details on the 
costs and savings associated with individual provisions without 
making adjustments for inflation are shown in Table 2 
(attached).

----------------------------------------------------------------------------------------------------------------
                                                              1995     1996     1997     1998     1999     2000 
----------------------------------------------------------------------------------------------------------------
                         AUTHORIZATIONS OF APPROPRIATIONS WITH ADJUSTMENTS FOR INFLATION                        
                                                                                                                
Authorizations of appropriations under current law:                                                             
    Estimated authorization...............................      693    1,093    1,069    1,191    1,228    1,254
    Estimated outlays.....................................      672      964    1,027    1,159    1,183    1,212
Total proposed change:                                                                                          
    Estimated authorization...............................  .......     -242     -148     -237     -242     -233
    Estimated outlays.....................................  .......     -201      -13     -145     -219     -215
Authorizations of appropriations under S. 673:                                                                  
    Estimated authorization...............................      693      850      921      954      987    1,021
    Estimated outlays.....................................      672      763    1,014    1,014      964      997
                                                                                                                
                       AUTHORIZATIONS OF APPROPRIATIONS WITHOUT ADJUSTMENTS FOR INFLATION                       
                                                                                                                
Authorizations of appropriations under current law:                                                             
    Estimated authorization...............................      693    1,075    1,033    1,136    1,155    1,160
    Estimated outlays.....................................      672      962    1,011    1,124    1,130    1,141
Total proposed change:                                                                                          
    Estimated authorization...............................  .......     -225     -142     -245     -264     -269
    Estimated outlays.....................................  .......     -199      -13     -152     -238     -250
Authorizations of appropriations under S. 673:                                                                  
    Estimated authorization...............................      693      850      891      891      891      891
    Estimated outlays.....................................      672      763      998      972      891      891
----------------------------------------------------------------------------------------------------------------
 Notes.--Components may not sum to totals due to rounding. Authorizations of education programs under current   
  law assume a one-year extension as provided under the General Education Provisions Act (GEPA).                
 The costs of this bill fall within budget functions 500, 550, and 750.                                         

    6. Basis of estimate: The spending that would occur under 
S. 673 would be subject to the availability of appropriated 
funds. For purposes of this estimate, CBO assumes that the bill 
will be enacted and funds appropriated for the block grant on 
November 15, 1995. Estimated outlays are based in part on 
historical spending patterns of programs administered by the 
Department of Health and Human Services, the Department of 
Education, and the Department of Justice that are similar in 
nature to the programs created by the bill. In estimating 
outlays CBO also considered the process outlined in the bill by 
which funding would be provided to local organizations through 
state governments and Community Boards.

New programs

    S. 673 would create a new Youth Development Community Block 
Grant which would provide funds for activities that promote 
youth development. For this block grant, the bill would 
authorize to be appropriated $890.9 million for fiscal year 
1996 and such sums as may be necessary for each of fiscal years 
1997 through 2000.
    The estimate assumes that appropriations for the new block 
grant in fiscal year 1996 would be lower than the authorization 
of appropriations written in the bill, due to the assumed 
effective date of November 15, 1995. For fiscal years 1997-
2000, CBO assumes that the full amounts authorized in the bill 
would be appropriated.
    If authorized levels for this program are adjusted for 
inflation, new budget authority for this program would total 
$4.7 billion for fiscal years 1996-2000. If authorized levels 
are not adjusted for inflation, new budget authority for this 
program would total $4.3 billion for fiscal years 1996-2000.
    Under this program, the Department of Health and Human 
Services (HHS) would distribute grants to states according to a 
formula based on the number of youth, the number of low-income 
youth, and the incidence of juvenile crime. States would then 
distribute these funds to Community Boards (set up at the 
county level) which, in turn, would award grants to local youth 
development organizations. Community Boards in states that do 
not receive an allocation could apply directly to HHS for 
funding.
    S. 673 would set aside 1.5 percent and 0.5 percent of the 
total sums appropriated for grants to Native Americans and 
outlying areas, respectively. Three percent of total sums 
appropriated would be reserved for HHS to administer the 
program.

Repeal of existing programs

    S. 673 would repeal several existing programs related to 
youth development. Programs that would be repealed include 
those under Subtitles A, B, D, J, and O of Title III of the 
Violent Crime Control and Law Enforcement Act of 1994 (relating 
to crime prevention programs), and Part D of Title II, Part G 
of Title II, and Title V of the Juvenile Justice and 
Delinquency Prevention Act of 1974 (related to gang-free 
schools, mentoring, and delinquency programs). S. 673 would 
also repeal Title IV and Part C of Title V of the Elementary 
and Secondary Education Act of 1965 (relating to drug-free 
schools and school dropout problems) and Section 517 of the 
Public Health Service Act (relating to grants for the 
prevention of alcohol and drug abuse among high-risk youth). 
Finally, S. 673 would repeal Section 408 of the Human Services 
Reauthorization Act of 1986 (relating to partnership 
agreements), Section 682 of the Community Services Block Grant 
Act (relating to the National Youth Sports Program), and 
Chapters 1 and 2 of Subtitle B of Title III of the Anti-Drug 
Abuse Act of 1988 (relating to drug abuse prevention relating 
to youth gangs and homeless youth).
    The estimate assumes that the repeal of programs for which 
specific authorization levels were written in the law would 
reduce authorized amounts by the specified amounts, regardless 
of the appropriation level in previous years. Programs repealed 
for which specific authorization levels were not written in the 
law were assumed to reduce authorizations by the amount equal 
to the fiscal year 1995 appropriated amounts (either adjusted 
or not adjusted for inflation). Because of the assumed 
effective date of November 15, 1995, these programs would 
continue to operate through part of fiscal year 1996.
    S. 673 would require termination of the positions of 
individuals who currently run those programs that would be 
repealed. CBO estimates that this provision would not result in 
additional budget savings beyond the personnel reductions 
required under P.L. 103-226, the Federal Workforce 
Restructuring Act of 1994.
    7. Pay-as-you-go considerations: None.
    8. Estimated Cost to State and local governments: S. 673 
would impose no mandates on state or local governments. 
However, the bill would require certain actions in order for 
states to receive funding under the new block grant program. 
The various youth development programs under current law also 
require certain processes of states in order to receive 
funding. Under S. 673, application and reporting requirements, 
as well as funding streams, would be consolidated under a 
single block grant, which could provide administrative 
efficiencies at the state level.
    S. 673 would require participating states to allot funds to 
Community Boards at the local level using the same formula by 
which the HHS allots money to the states. States would be 
required to establish or designate an existing entity to 
administer the state activities under this bill. States would 
also be required to consult with individuals in the youth 
development field, monitor the activities of Community Boards, 
and report to the HHS. States would be able to use no more than 
four percent of their federal allotment for their 
administrative costs.
    The Community Boards would be established according to the 
requirements under this bill and would award grants to local 
organizations for youth development activities. Grant 
recipients would be required to match federal funding with 
other non-federal funding (which may include spending by state 
and local governments). S. 673 would require that federal funds 
provided by this grant program supplement, but not supplant, 
federal, state and local public funds used for youth 
development activities.
    The federal share of funding for these youth development 
programs would be 80 percent in the first year, 70 percent in 
the second year, 60 percent in the third year, and 50 percent 
in the fourth and any subsequent years.
    9. Estimate Comparison: None.
    10. Previous CBO Estimate: None.
    11. Estimate prepared by: Mark Grabowicz, Anne Hunt, Justin 
Latus, and Dottie Rosenbaum.
    12. Estimate approved by: Paul N. Van de Water, Assistant 
Director for Budget Analysis.

                    TABLE 1.--AUTHORIZATIONS OF APPROPRIATIONS WITH ADJUSTMENTS FOR INFLATION                   
                                            [In millions of dollars]                                            
----------------------------------------------------------------------------------------------------------------
                                                        1995      1996      1997      1998      1999      2000  
----------------------------------------------------------------------------------------------------------------
Authorizations under current law:                                                                               
    Estimated authorization.........................       693     1,093     1,069     1,191     1,228     1,254
    Estimated outlays...............................       672       964     1,027     1,159     1,183     1,212
New block grant:                                                                                                
    Estimated authorization.........................  ........       780       921       954       987     1,021
    Estimated outlays...............................  ........       156       850       987       964       997
Program repeals:                                                                                                
    Crime prevention programs:                                                                                  
        Subtitle A (of title III of crime bill)                                                                 
            Estimated authorization.................  ........       -13       -18       -18       -19       -19
            Estimated outlays.......................  ........        -3        -9       -15       -18       -19
        Subtitle B:                                                                                             
            Estimated authorization.................  ........       -67       -76       -76       -76       -73
            Estimated outlays.......................  ........       -15       -42       -69       -76       -75
        Subtitle D:                                                                                             
            Estimated authorization.................  ........       -91      -122      -153      -194      -202
            Estimated outlays.......................  ........       -20       -61      -112      -148      -178
        Subtitle J:                                                                                             
            Estimated authorization.................  ........      -236      -284      -356      -356      -356
            Estimated outlays.......................  ........      -236      -284      -356      -356      -356
        Subtitle O:                                                                                             
            Estimated authorization.................  ........        -3         0         0         0         0
            Estimated outlays.......................  ........        -1        -1        -1         0         0
    Crime prevention programs total:                                                                            
        Estimated authorization.....................  ........      -410      -500      -603      -645      -650
        Estimated outlays...........................  ........      -274      -397      -553      -599      -628
    ESEA title V-C:                                                                                             
        Estimated authorization.....................  ........       -29       -30       -31       -32       -33
        Estimated outlays...........................  ........        -3       -23       -29       -31       -32
    ESEA title IV:                                                                                              
        Estimated authorization.....................  ........      -498      -515      -533      -551      -571
        Estimated outlays...........................  ........       -60      -400      -504      -531      -550
    Public Health Service Act Sec. 517:                                                                         
        Estimated authorization.....................  ........         0         0         0         0         0
        Estimated outlays...........................  ........         0         0         0         0         0
    Juvenile justice and delinquency prevention:                                                                
        Title II--D (Gang-free schools):                                                                        
            Estimated authorization.................  ........       -44         0         0         0         0
            Estimated outlays.......................  ........       -10       -17       -15        -2         0
        Title II--G (mentoring):                                                                                
            Estimated authorization.................  ........        -4         0         0         0         0
            Estimated outlays.......................  ........        -1        -1        -1         0         0
        Title V (local delinquency):                                                                            
            Estimated authorization.................  ........       -18         0         0         0         0
            Estimated outlays.......................  ........        -4        -7        -6        -1        -0
    Human Services Reauthorization Act of 1986--Sec.                                                            
     408 (demonstration partnerships):                                                                          
        Estimated authorization.....................  ........        -7        -9        -9         0        -0
        Estimated outlays...........................  ........        -2        -6        -8        -7        -1
    Community Services Block Grant Act (National                                                                
     Youth Sports Programs):                                                                                    
        Estimated authorization.....................  ........       -13       -15       -15         0         0
        Estimated outlays...........................  ........        -3       -12       -15       -11        -2
    Anti-Drug Abuse Act III-B, Chs. 1 and 2 (drug                                                               
     abuse prevention for youth gangs, runaway and                                                              
     homeless youth):                                                                                           
        Estimated authorization.....................  ........         0         0         0         0         0
        Estimated outlays...........................  ........         0         0         0         0         0
Total Repeals:                                                                                                  
    Estimated authorization.........................  ........    -1,022    -1,069     1,191    -1,228    -1,254
    Estimated outlays...............................  ........      -357      -864    -1,132    -1,182    -1,212
Total Proposed Change:                                                                                          
    Estimated authorization.........................  ........      -242      -148      -237      -242      -233
    Estimated outlays...............................  ........      -201       -13      -145      -219      -215
Authorizations of Appropriations Under S. 673:                                                                  
    Estimated authorization.........................       693       850       921       954       987     1,021
    Estimated outlays...............................       672       763     1,014     1,014       964       997
----------------------------------------------------------------------------------------------------------------


                  TABLE 2.--AUTHORIZATIONS OF APPROPRIATIONS WITHOUT ADJUSTMENTS FOR INFLATION                  
                                            [In millions of dollars]                                            
----------------------------------------------------------------------------------------------------------------
                                                        1995      1996      1997      1998      1999      2000  
----------------------------------------------------------------------------------------------------------------
Authorizations under current law:                                                                               
    Estimated authorization.........................       693     1,075     1,033     1,136     1,155     1,160
    Estimated outlays...............................       672       962     1,011     1,124     1,130     1,141
New block grant:                                                                                                
    Estimated authorization.........................  ........       780       891       891       891       891
    Estimated outlays...............................  ........       156       835       947       891       891
Program repeals:                                                                                                
    Crime prevention programs:                                                                                  
        Subtitle A (of title III of crime bill):                                                                
            Estimated authorization.................  ........       -13       -18       -18       -19       -19
            Estimated outlays.......................  ........        -3        -9       -15       -18       -19
        Subtitle B:                                                                                             
            Estimated authorization.................  ........       -67       -76       -76       -76       -73
            Estimated outlays.......................  ........       -15       -42       -69       -76       -75
        Subtitle D:                                                                                             
            Estimated authorization.................  ........       -91      -122      -153      -194      -202
            Estimated outlays.......................  ........       -20       -61      -112      -148      -178
        Subtitle J:                                                                                             
            Estimated authorization.................  ........      -236      -284      -356      -356      -356
            Estimated outlays.......................  ........      -236      -284      -356      -356      -356
        Subtitle O:                                                                                             
            Estimated authorization.................  ........        -3         0         0         0         0
            Estimated outlays.......................  ........        -1        -1        -1         0         0
    Crime prevention programs total:                                                                            
        Estimated authorization.....................  ........      -410      -500      -603      -645      -650
        Estimated outlays...........................  ........      -274      -397      -553      -599      -628
    ESEA title V-C:                                                                                             
        Estimated authorization.....................  ........       -28       -28       -28       -28       -28
        Estimated outlays...........................  ........        -3       -22       -27       -28       -28
    ESEA title IV:                                                                                              
        Estimated authorization.....................  ........      -482      -482      -482      -482      -482
        Estimated outlays...........................  ........       -58      -386      -472      -482      -482
    Public Health Service Act Sec. 517:                                                                         
        Estimated authorization.....................  ........         0         0         0         0         0
        Estimated outlays...........................  ........         0         0         0         0         0
    Juveile justice and delinquency prevention:                                                                 
        Title II-D (Gang-free schools):                                                                         
            Estimated authorization.................  ........       -44         0         0         0         0
            Estimated outlays.......................  ........       -10       -17       -15        -2         0
        Title II-G (mentoring):                                                                                 
            Estimated authorization.................  ........        -4         0         0         0         0
            Estimated outlays.......................  ........        -1        -1        -1         0         0
        Title V (local delinquency):                                                                            
            Estimated authorization.................  ........       -18         0         0         0         0
            Estimated outlays.......................  ........        -4        -7        -6        -1         0
    Human Services Reauthorization Act of 1986--Sec.                                                            
     408 (demonstration partnerships):                                                                          
        Estimated authorization.....................  ........        -7        -8        -8         0         0
        Estimated outlays...........................  ........        -2        -6        -8        -6        -1
    Community Services Block Grant Act (National                                                                
     Youth Sports Programs):                                                                                    
        Estimated authorization.....................  ........       -13       -15       -15         0         0
        Estimated outlays...........................  ........        -3       -12       -15       -11        -2
    Anti-Drug Abuse Act III-B, Chs. 1 and 2 (drug                                                               
     abuse prevention for youth gangs, runaway and                                                              
     homeless youth):                                                                                           
        Estimated authorization.....................  ........         0         0         0         0         0
        Estimated outlays...........................  ........         0         0         0         0         0
Total Repeals:                                                                                                  
    Estimated authorization.........................  ........    -1,004    -1,033    -1,136    -1,155    -1,160
    Estimated outlays...............................  ........      -355      -848    -1,098    -1,129    -1,141
Total Proposed Change:                                                                                          
    Estimated authorization.........................  ........      -225      -142      -245      -264      -269
    Estimated outlays...............................  ........      -199       -13      -152      -238      -250
Authorizations of Appropriations Under S. 673:                                                                  
    Estimated authorization.........................       693       850       891       891       891       891
    Estimated outlays...............................       672       763       998       972       891       891
----------------------------------------------------------------------------------------------------------------

                    VI. Regulatory Impact Statement

    The committee has determined that this bill will decrease 
the regulatory burdens in current laws.

                    VII. Section-by-Section Analysis

                   Short Title and Table of Contents

    Section 1 of the bill provides that this legislation may be 
cited as the ``Youth Development Community Block Grant Act of 
1995'' and presents the table of contents.

                                Findings

    Section 2 establishes the findings of Congress with regard 
to the purposes of the act, especially noting: (1) the ability 
of positive youth development programs to help youth develop 
life skills and values and avoid high risk behaviors; (2) the 
resources offered by community-based youth-serving 
organizations; (3) the barrier to effective program 
coordination posed by narrowly targeted categorical programs; 
and the importance of the Federal Government adopting a 
comprehensive strategy to promote the positive development of 
youth.

                                Purposes

    Section 3 provides that the purpose of the act is to create 
a single, comprehensive Federal strategy for community-based 
youth development programs, and to support communities in 
designing plans that: (1) support the role of the family; (2) 
give priority to prevention; (3) promote community 
collaboration; (4) support the development and expansion of 
community-based youth development programs to respond to local 
needs; and (5) promote community partnerships.

                              Definitions

    Section 4(1) defines ``Assistant Secretary'' to mean the 
Assistant Secretary for Children and Families of the Department 
of Health and Human Services.
    Section 4(2) defines ``community-based'' with respect to 
organizations to mean one that is representative of the 
community and is engaged in providing services in the community 
and with respect to a program or service to a program of 
service provided to the community in which the program or 
service is located.
    Section 4(3) defines ``community board'' to mean a 
Community Youth Development Board established under section 11.
    Section 4(4) defines ``county'' to mean a political 
subdivision of a State that may, under described circumstances, 
include a city, town, township, village, or other general 
purpose political subdivision.
    Section 4(5) defines ``local educational agency'' to have 
the same meaning as the term in section 14101 of the Elementary 
and Secondary Education Act of 1965.
    Section 4(6) defines ``low-income family'' to mean one with 
an income below the poverty line.
    Section 4(7) defines ``outcome objective'' to mean an 
objective that relates to the impact of a program on program 
participants, families, schools, or communities including ones 
related to: (A) changes in competencies; (B) reducing high-risk 
behaviors; and (C) increasing protective factors for 
participants, their families, peer groups, schools, or 
communities.
    Section 4(8) defines ``outlying area'' to mean the Virgin 
Islands, America Samoa, the Northern Mariana Islands, the 
Marshall Islands, Micronesia, and Palau.
    Section 4(9) defines ``poverty line'' to mean the poverty 
line defined by the Office of Management and Budget and revised 
annually.
    Section 4(10) defines ``process objective'' to mean an 
objective that related to the manner in which a program is 
carried out including ones that relate to: (A) the degree it 
reaches its intended target population; (B) the degree to which 
it address known risk factors and inhibits those behaviors; (C) 
the number, age, gender, and ethnicity of the youth involved; 
(D) the degree to which services are consistent with the 
program model; and (E) the cost of services.
    Section 4(11) defines ``State'' to mean each of the States, 
DC, and Puerto Rico.
    Section 4(12) defines ``substance abuse'' to mean that 
given in section 534 of the Public Health Service Act.
    Section 4(13) defines ``youth'' to mean an individual not 
younger than 6 nor older than 18.
    Section 4(14) defines ``youth development organization'' to 
mean a private nonprofit youth-serving organization with a 
major emphasis on providing youth development programs.
    Section 4(15) defines ``youth development program'' to mean 
a program that: (A) helps youth develop social competencies, 
moral competencies, emotional competencies, physical 
competencies and cognitive competencies; (B) conducts 
activities with a primarily nonacademic focus; (C) employs 
active and experiential learning; (D) builds relationships; and 
(E) promotes competencies through various group and one-on-one 
activities, examples of which are described.
    Section 4(16) defines ``youth-serving organization'' to 
mean an organization with a primary focus on providing youth 
development, health and fitness, education, substance abuse 
prevention, child welfare, child protective, psychological, 
parenting, recreation, teen pregnancy, rehabilitative, or 
residential services to youth.

                     General Distribution of Funds

    Section 5(a)(1) provides an authorization for an 
appropriation of $890,900,000 for fiscal year 1996 and such 
sums as necessary for fiscal years 1997 through 2000.
    Section 5(a)(2) authorizes amounts to carry out this act 
from the Violent Crime Reduction Trust Fund Act for fiscal 
years 1997 through 2000 equal to the amount authorized to be 
appropriated for such fiscal years under Title III of the 
Violent Crime Control and Law Enforcement Act of 1994, to carry 
out section 15(a).
    Section 5(b) provides that from sums appropriated, the 
Assistant Secretary shall reserve: 95 percent for allotments to 
States and Community Boards; 1.5 percent for Native American 
Organizations; 0.5 percent for outlying areas; and 3 percent 
for activities by the Administration for Children and Families.

                    Distribution of State Allotments

    Section 6(a) provides that the Assistant Secretary make 
allocations to the States to: (1) assist Community Boards carry 
out required activities; (2) administer programs; (3) assist 
appropriate entities, under special circumstances, to carry out 
local programs to respond to emergency situations and to serve 
areas with a high concentration of low-income families.
    Section 6(b) provides that the Assistant Secretary allot to 
each State the sum of an amount equally based on three factors: 
(1) the proportion of youth in the State to the number of youth 
in all the States; (2) the proportion of youth from low-income 
families to number of youth from low-income families in all the 
States; and (3) the average incidence of juvenile crime in the 
State relative to the incidence of such crime in all the States 
during a four year period.
    Section 6(c) provides a minimum allotment to each State 
that is not less than 0.5 percent of the total distribution 
amount.
    Section 6(d) provides that to receive an allotment each 
State must submit an application.

                   Distribution of Local Allocations

    Section 7(a)(1) provides that a State may reserve not more 
than 4 percent of its allotment for administration and that, 
when appropriations are more than $500,000,000, a State may use 
3.5 percent for discretionary programs to respond to emergency 
situations or serve areas with high concentration of poverty;
    Section 7(a)(2) provides that when appropriations are more 
than $500,000,000, a State shall make equitable allotments to 
each Community Board, based on the Federal allotment formula 
with noted exceptions;
    Section 7(a)(3) provides that when appropriations are less 
than $500,000,000, States shall make grants to Community Boards 
for activities under subsection (b)(2)(A) and section 9(a); 
consider the criteria described in the formula when making 
equitable allocations; and consider grants awarded to a 
Community Board to be a local allocation.
    Section 7(b)(1) provides that, for the first fiscal year a 
Community Board is eligible to receive funds, a State shall 
make available 5 percent of the allocation for initial planning 
(up to six months) in return for a letter of intent to apply 
for funds from the Community Board;
    Section 7(b)(2) provides that the State distribute 
remainder of the local allocation to Community Boards who 
submit an application containing a community strategic plan to 
be used for community-based youth development programs that: 
(1) address process and outcome objectives; (2) promote youth 
competencies; (3) recognize the role of the family; (4) provide 
for youth, parent, and community involvement; (5) identify 
protective factors and risk factors to be addressed; (6) 
coordinate services; (7) build relationships; (8) encourage 
youth leadership and civic involvement; (9) seek to establish 
long-term relationship with participating youth; (10) employ 
strong outreach efforts; (11) provide age-appropriate 
activities; (12) provide activities that are open to all youth 
and that target a population of special need recipients; and 
(13) use less than 10 percent of the amount to provide 
preservice and inservice training to program staff, except that 
no Community Board may use funds to carry out a youth 
employment program providing subsidized employment, job 
training, or school-to-work activities.

                     Distribution to Other Entities

    Section 8(a)(1) provides that from sums reserved, the 
Assistant Secretary shall make grants to Native American 
organizations which submit an application containing required 
information and defines: ``Indian'' to mean the same as in 
section 4(d) of the Indian Self-Determination and Education 
Assistance Act; ``Native American Organization'' to mean a 
tribal organization as defined in section 4(l) of the above 
mentioned act, a Native Hawaiian Organization as defined in 
section 4009(4) of the Augustus F. Hawkins-Robert T. Stafford 
Elementary and Secondary School Improvement Amendments of 1988, 
and a private nonprofit organization established for the 
purpose of serving Indian or Native Hawaiian youth; and 
``Native Hawaiian'' to mean the same as in section 4009(1) of 
the Hawkins-Stafford Amendments of 1988.
    Section 8(b) provides that from reserved sums, the 
Assistant Secretary shall make grants to outlying areas which 
submit an application containing required information.

                    Distribution of Grant Assistance

    Section 9(a)(1) provides that a Community Board shall award 
grants to carry out youth development programs addressing 
process and outcome objectives as established in the community 
strategic plan.
    Section 9(a)(2) provides that the Community Board shall 
issue a request for proposals, specifying the process and 
outcome objectives to be addressed.
    Section 9(a)(3) provides that the Community Board shall 
consider the extent to which a program meets the objectives and 
goals of the plan; describes the conditions to be met by for-
profit entities; and assures the eligibility of religious and 
charitable organizations.
    Section 9(a)(4) provides that to be eligible, an entity 
must conform to specifications established by the Community 
Board.
    Section 9(a)(5) provides that the Community Board may award 
grants for up to 3 years and establishes the conditions under 
which the Community Board can terminate funding.
    Section 9(a)(6) provides that the Community Board may renew 
grants it makes, giving substantial weight to the effectiveness 
of activities.
    Section 9(a)(7) provides that the Federal share of the cost 
shall be 80 percent for the first year, 70 percent for the 
second year, 60 percent for the third year, and 50 percent for 
the fourth and any subsequent year and further provides, with 
regard to the non-Federal share, that grant recipients provide 
it from non-Federal sources, that they may provide it in cash, 
and that they may not provide more than half of the share from 
in-kind services.
    Section 9(a)(8) provides that the Community Board may 
choose to continue programs carried out prior to this act with 
funds from Federal programs that are consolidated by section 
15.
    Section 9(b) provides that each grant recipient must submit 
an annual report to the Community Board within 45 days of the 
end of the fiscal year.
    Section 9(c) provides that a grant recipient may use up to 
10 percent of its awarded funds for planning, administration, 
and coordination, and may use an additional 5 percent for 
evaluation.

                      Reallotment and Reallocation

    Section 10(a)(1) provides that if a State does not submit 
an application in any year, the Assistant Secretary may make 
grants directly to Community Boards in the State.
    Section 10(a)(2) provides that a Community Board, in order 
to receive a direct grant from the Assistant Secretary, must 
submit an application containing required information and 
comply with the act.
    Section 10(a)(3) provides that the provisions of sections 
9, 11, and 12 shall apply to Community Boards receiving direct 
grants and that references to the State in those sections shall 
be deemed to be references to the Assistant Secretary.
    Section 10(b) provides that if the State does not make 
application and the Assistant Secretary does not make an award 
directly to a Community Board in that State, the Assistant 
Secretary shall then make that State's allotment available to 
other States.
    Section 10(c) provides that if a county within a State does 
not submit an application, then the State shall make the 
allocation of that county available to other counties.
    Section 10(d)(1) provides that any State receiving funds 
from this act must obligate the funds not later than 6 months 
after receipt or return the funds for reallotment.
    Section 10(d)(2) provides that any Native American 
organization or outlying area shall obligate funds not later 
than 6 months after the date of receipt or return the funds for 
reallotment.
    Section 10(d)(3) provides that any Community Board that 
receives shall obligate those funds not later than 6 months 
after receipt or return the funds to the State for reallotment 
or to the Assistant Secretary, if the funds have been awarded 
directly.
    Section 10(d)(4) provides that grant recipients shall 
expend the funds made available to them not later than 3 years 
after receipt or return the funds to the State for reallotment.
    Section 10(e) provides that funds appropriated under this 
act shall be used to supplement and not supplant other Federal, 
State, and local public funds.

                   Community Youth Development Board

    Section 11(a) provides a definition for this section for 
"appointing authority'' to mean the Chief Executive Officer and 
the representatives described in subsection (b)(1)(A) except in 
special circumstances.
    Section 11(b)(1)(A) provides that in order for entities 
within a county to receive funds, the Chief Executive Officer 
of the county, a representative of educational community, a 
representative of community-based youth development 
organizations, and, if needed for reasons described) a 
representative selected by substance abuse prevention providers 
shall facilitate the establishment of a local entity or appoint 
an existing one that meets the requirements of this section to 
serve as the Community Youth Development Board.
    Section 11(b)(1)(B) provides that the appointing authority 
shall consider permitting an existing community-based coalition 
focused on youth to serve as the Community Board.
    Section 11(b)(2) provides that, except in less populated 
counties, in a State referred to in section (4)(4), in order 
for entities within a general purpose political subdivision to 
receive assistance, a local government official selected by the 
State in lieu of the Chief Executive Officer of a county, a 
representative of the educational community, a representative 
of the community-based youth development community, and, if 
needed for reasons described, a representative of substance 
abuse prevention providers shall provide for facilitation or 
designation of the Community Board.
    Section 11(b)(3) provides that the appointing authorities 
of 2 or more counties may agree to facilitate or designate a 
multicounty Community Board and, if they do so, shall act 
jointly to carry out the duties required by this section.
    Section 11(b)(4) provides that in a county with a 
population of less than 25,000, paragraphs (1), (2), and (3) 
and subsections (c) through (f) shall not apply and the Chief 
Executive Officer of the county may serve as the Community 
Board but must consult with schools, local educational 
agencies, youth-serving organizations, and youth development 
organizations.
    Section 11(c) provides that the appointing authority for a 
county shall determine the number of members on a Community 
Board which shall not be less than 5 nor more than 11 members.
    Section 11(d)(1) provides that the appointing authority for 
a county shall appoint members of Community Boards that are 
established rather than designated, except that if any 
political subdivision of a State is located totally or 
partially within a county and has more than 30 percent of the 
total population of the county then the Chief Executive Officer 
of the subdivision shall be included in the appointing 
authority.
    Section 11(d)(2) provides that the Community Board shall be 
comprised of members whose interests and involvement in youth 
and youth development reflect the various segments of the 
community.
    Section 11(d)(3) provides that in establishing or 
designating the Community Board, the appointing authority must 
consider the inclusion of representatives of community-based 
youth development organizations, community-based youth-serving 
organizations, community-based family serving organizations, 
local government, law enforcement, juvenile and family courts, 
local schools, local businesses, philanthropic organizations, 
the religious community, and families.
    Section 11(d)(4) provides that: (1) at least 1 member of 
the Community Board have demonstrated experience in the design 
and delivery of youth development programs; (2) at least 1 
member have demonstrated experience in youth substance abuse 
prevention, except that in a county with a population of 
100,000 or less, if the Chief Executive Officer of the County 
determines that because of the absence of youth development 
organizations, the county cannot establish an appointing 
authority meeting the requirements, a representative of a 
community-based youth serving organization with require 
expertise may serve on the same basis as a representative of a 
youth development organization.
    Section 11(e) provides that the Community Board shall adopt 
bylaws that include the terms of office of members, the 
election of officers, the election of officers, and the 
selection of members to fill vacancies, as well a conflict of 
interest provision that requires any member of the Community 
Board who has a conflict interest on any matter to refrain from 
voting on the matter.
    Section 11(f) provides that the appointing authority 
appoint a fiscal agent for the Community Board to carry out 
such duties as the Board finds appropriate.

                       duties of community boards

    Section 12(a)(1) provides that the Community Board shall 
prepare and submit to the State, after giving the appointing 
authority an opportunity to review and comment, a community 
strategic plan for youth development in the county involved 
including: (1) an assessment of community needs and assessment; 
(2) an assessment of substance in the community; (3) specific 
process objectives and outcome objectives for youth development 
programs; and (4) measures of program effectiveness that shall 
be used to evaluate the progress of grant recipients.
    Section 12(a)(2) provides that the Community Board shall be 
responsible for establishing monitoring and evaluation 
procedures to assess the progress of grant recipients, as well 
as for providing technical assistance.
    Section 12(a)(3) provides that a State may deny approval of 
the community strategic plan if it does not meet the 
requirements of this act and establishes an appeal process for 
the Community Board.
    Section 12(b) provides that each Community Board shall 
submit an annual report to the State containing at a minimum 
information on the programs and activities funded by the Board, 
the extent to which private funds are leveraged, and the extent 
to which the grant recipients achieved their objectives.
    Section 12(c) provides that in addition to any initial 
planning funds provided, the Community Board may use up to 5 
percent of the funds received for planning, administration, 
coordination, and evaluation expenses, and expenses for the 
fiscal agent.

                          duties of the State

    Section 13(a) provides that the Governor of the State must 
establish an entity or designate an existing entity to 
administer and conduct State activities describe under this 
act.
    Section 13(b) provides that the Governor must establish a 
mechanism to receive regular advice for individuals and 
organizations described in section 11(d)(3).
    Section 13(c)(1) provides that the State must approve the 
application of a Community Board within 30 days of its 
submission and distribute its allocation or notify the Board of 
the additional steps that the Board must undertake to bring the 
plan into compliance.
    Section 13(c)(2) provides that the State has the primary 
responsibility for ensuring that the Community Boards operate 
in compliance with the act.
    Section 13(c)(3) provides that the State must provide 
technical assistance related to the development and 
implementation of community strategic plans.
    Section 13(c)(4) provides that if the State determines that 
a Community Board or a grant recipient fails to comply with the 
requirements of this act, the State must: (1) inform the 
Community Board or recipient of deficiencies in need of 
correction; (2) provide training and technical assistance to 
correct the deficiencies and ensure compliance; and (3) 
terminate funding after 1 year of training or technical 
assistance, if substantial efforts to correct the deficiencies 
have not been made.
    Section 13(d) provides that each State, not later than 120 
days after the end of each fiscal year, must submit an annual 
report to the Assistant Secretary, accompanied by an 
independent audit.

                   Duties of the Assistant Secretary

    Section 14(a) provides that the Assistant Secretary shall 
establish a mechanism to receive regular advice and input from 
a representative mix of individuals and organizations described 
in section 11(d)(3).
    Section 14(b)(1) provides that after reviewing annual 
reports and audit findings, and input from youth development 
organizations and youth-serving organizations, and other 
interested parties, the Assistant Secretary shall develop and 
issue national policy goals that reflect the process objectives 
and outcome objectives specified in community strategic plans.
    Section 14(b)(2) provides that based on the national policy 
goals, the Assistant Secretary, in cooperation with the 
Administrator of the Office of Juvenile Justice and 
Delinquency, the Secretary of Education, and other Federal 
Officers carrying out Federal youth development programs, shall 
develop a national strategic plan for youth development, 
including specific process and outcome objectives designed to 
achieve the national policy goals.
    Section 14(c) provides that the Assistant Secretary shall 
develop and establish a system for monitoring and evaluating 
the effectiveness of activities funded under this act.
    Section 14(d) provides that the Assistant Secretary shall 
consult with the heads of appropriate Federal agencies involved 
with youth development to assure coordination at the Federal 
level.
    Section 14(e) provides that the Secretary shall develop a 
system for providing training and technical assistance to 
States and local communities to increase their capacity to 
provide quality youth development programs.
    Section 14(f) provides that the Assistant Secretary, in 
cooperation with the Administrator of the Office of Juvenile 
Justice and Delinquency and the Secretary of Education, may 
provide financial assistance to appropriate entities to carry 
out time-limited, research-based youth development 
demonstration programs designed to improve the knowledge base 
of the youth development and youth prevention fields.
    Section 14(g) provides that every 2 years, the Assistant 
Secretary shall submit to the President and Congress a report 
describing the activities funded under this act with an 
assessment of effectiveness.
    Section 14(h) provides that if the Assistant Secretary 
determines that a State, a Community Board, or a grant 
recipient fails to comply with the requirements of act, the 
Assistant Secretary shall inform the entity of the deficiencies 
that need correction, provide appropriate training and 
technical assistance to correct the deficiencies, and initiate 
action to terminate funding if after 1 year of training or 
technical assistance no substantial efforts to correct the 
deficiencies have been made.

                                Repeals

    Section 15(a)(1) provides that subtitles A, B, D, J, and O 
of title III of the Violent Crime Control and Law Enforcement 
Act of 1994 relating to crime prevention programs are repealed.
    Section 15(a)(2) provides that chapter 67 of title 31, 
United States Code, relating to the Local Partnership Act is 
repealed.
    Section 15(a)(3) provides that the amendments made by 
subtitle O of title III of the Violent Crime Control and Law 
Enforcement Act of 1994 relating to urban recreation and at-
risk youth are repealed.
    Section 15(b) provides that title IV of the Elementary and 
Secondary Education Act of 1965 relating to drug free schools 
and communities and Part C of title V of the Elementary and 
Secondary Education Act relating to assistance to address 
school dropout problems are repealed.
    Section 15(c)(1) provides that section 517 of the Public 
Health Service Act relating to grants for the prevention of 
alcohol and drug abuse among high-risk youth is repealed.
    Section 15(c)(2) provides that part D of title II of the 
Juvenile Justice and Delinquency Prevention Act of 1974 
relating to gang-free schools and communities is repealed.
    Section 15(c)(3) provides that part G of title III of the 
Juvenile Justice and Delinquency Prevention Act of 1974 
relating to mentoring is repealed.
    Section 15(c)(4) provides that title V of the Juvenile 
Justice and Delinquency Prevention Act of 1974 relating to 
local delinquency programs is repealed.
     Section 15(c)(5) provides that section 408 of the Human 
Services Reauthorization Act of 1986 relating to demonstration 
partnership agreements is repealed.
    Section 15(c)(6) provides that section 682 of the Community 
Services Block Grant relating to the National Youth Sports 
Program is repealed.
    Section 15(c)(7) provides that chapters 1 and 2 of subtitle 
B of title III of the Anti-Drug Abuse Act of 1988 relating to 
drug abuse prevention relating to youth gangs and runaway and 
homeless youth is repealed.

                         Conforming Amendments

    Section 16(a) makes conforming amendments to the Violent 
Crime Control and Law Enforcement Act of 1994.
    Section 16(b) makes conforming amendments to the General 
Education Programs Act, the Goals 2000: Educate America Act, 
the Elementary and Secondary Act of 1965, and the Anti-Drug 
Abuse Act of 1988.
    Sections 16(c) makes conforming amendments to the National 
School Lunch Act.

                           Transfer of Funds

    Section 17(a) provides that the total of amounts described 
in subsection (b) shall be transferred to the budget account 
for this act and made available to carry out this act for 
fiscal year 1996.
    Section 17(b) provides that the amount referred to in 
subsection (a) is a total of the amounts (not to exceed 
$500,000,000) available in fiscal year 1996 to carry out 
programs repealed by section 15(a) that have not been obligated 
by the date of enactment of this act plus the amounts that have 
been made available for fiscal year 1996 to carry out a 
provision of Federal law repealed by subsection (b) or (c) of 
section 15 that have not been obligated by the date of 
enactment of this act.

                Effective Date and Transition Provisions

    Section 18(a) provides that this act and the amendment made 
by this act shall take effect on the date of enactment.
    Section 18(b) provides that a recipient of funds under any 
program carried out on the day before the date of enactment of 
this act under any provision referred to in section 15 may use 
the funds to carry out reasonable and necessary transition 
activities.
    Section 18(c) provides that not later than 6 months after 
enactment of this Act, the Secretary of Education, the Attorney 
General, and the Secretary of Health and Human Services shall 
take actions to ensure that the positions of personnel who 
carried out functions under a repealed provision are separated 
from service and that the Director of the Office of Management 
and the Budget prepare a report verifying that these actions 
have been taken.
                VIII. ADDITIONAL VIEWS OF SENATOR DeWINE

    The purpose of this legislation is to send resources from 
Washington back to local communities so they can tackle the 
needs of local youth. I think this is a laudable and important 
goal. During consideration of the bill in Committee, however, I 
raised a couple of concerns I would also like to address here.
    I have some concerns about the issue of drug abuse 
prevention. During the Committee process, we were able to amend 
the bill to address this concern in four important ways:
    One. We added a representative of substance abuse 
prevention agencies and substance abuse prevention providers to 
the appointing authority for the community boards.
    Two. We added these substance abuse agencies and providers 
to the list of organizations from which the States--and the 
Assistant Secretary of HHS--must solicit advice on the 
development of goals for the bill.
    Three. We required that the community board which will 
implement this bill must include an individual with 
demonstrated experience in youth substance abuse prevention.
    Four. We required that the counties--as a necessary element 
of their community strategic plan--make an assessment of the 
substance abuse problem in their community.
    All of these improvements in the bill are designed to bring 
back the focus on the local youth drug problem, at a time when 
this problem is clearly getting worse. The most recent 
statistics on drug abuse indicate that more and more teenagers 
are using marijuana and other drugs today than in the recent 
past. This represents a highly undesirable U-turn in our anti-
drug effort, after America had made more than a decade of 
progress in reducing drug use among this group.
    This indicates to me that any reduction in the Federal 
commitment to solving this problem would be extremely unwise at 
this time. That's why I am concerned that the Committee may 
have taken a step backward, by moving to eliminate the specific 
requirement that a comprehensive Federal program be targeted on 
drug abuse prevention. In my view, we should be reaffirming our 
commitment to the Safe and Drug-Free Schools and Communities 
program, not reducing that commitment.
    During Committee consideration of the bill, I supported the 
unsuccessful attempt to target funding for this extremely 
valuable program.
    I also remain concerned about the level of our effort to 
target the needs of at-risk youth. We are operating in a 
climate of budgetary retrenchment. We have to make absolutely 
sure that the money we spend is very carefully targeted on our 
most important problems.
    The growing class of at-risk youth represents just such a 
problem. Since 1965, the juvenile arrest rate for violent 
crimes has tripled. Children are the fastest-growing segment of 
the criminal population. The Ohio Department of Education does 
not have complete statistics on graduation. But the statistics 
they do have suggest that of the kids who enter Ohio high 
schools, only 75 percent graduate four years later. And that 
statistic sugarcoats the much more dismal reality in Ohio's 
cities. In Youngstown, only 46 percent graduate after four 
years. In Columbus, only 44 percent. In Toledo, only 37 
percent.
    These children are not being educated. And we all know what 
that leads to. According to the Educational Testing Service, 
half of the heads of households on welfare are dropouts. And 
the Ohio Department of Rehabilitation and Corrections reports 
that 25 percent of the inmates in Ohio prisons are dropouts.
    These young people are falling behind too far, too fast. We 
need to make sure that we keep a national focus on these 
children.
    While I voted to report the bill, and send it to the floor, 
I want to make clear my desire that we do a lot more to target 
drug abuse prevention and the problem of at-risk youth.

                                                       Mike DeWine.
  IX. MINORITY VIEWS OF SENATORS KENNEDY, PELL, DODD, SIMON, HARKIN, 
                        MIKULSKI, AND WELLSTONE

    The Youth Development Community Block Grant (YDCBG) 
represents an important effort to focus on the positive 
development of the nation's young people. We are supportive of 
a continued and increasing federal commitment to the prevention 
and developmental need of youth. We also agree that successful 
programs combine substantial local decision-making capabilities 
with effective accountability measures and rigorous federal 
evaluation.
    This commendable effort cannot, however, replace current 
federal efforts, which have a strong record of success in 
meeting the needs of children and youth. In this regard, we do 
not support the repeal of many programs that from a foundation 
of youth prevention efforts nationally. Unlike the Youth 
Development Block Grant, these programs target limited 
resources to those communities and individuals most in need. 
Many of the programs identified for repeal have a strong focus 
on substance abuse prevention--a focus that the YDCBG lacks. By 
withdrawing federal support for youth prevention programs in 
schools, the Act ignores the role of schools as effective 
deliverers of primary prevention services. Finally, the county 
based structure created in the legislation may impede the goal 
of increased coordination and cooperation between entities 
providing youth services.

         the need to target prevention efforts to at-risk youth

    In order to use limited resources most effectively, a 
federal youth development effort should target efforts to youth 
at greatest risk of engaging in behavior that results in 
negative outcomes. While the Youth Development Community Block 
Grant formula directs funds to states with serious need, the 
county structure does not ensure that these dollars serve the 
communities and youth most at-risk.
    The effect of poverty on children tends to increase the 
likelihood that poor children will drop out of school, run away 
from home, join gangs, abuse drugs or alcohol, or involve 
themselves in other risky situations and behaviors. While not 
all poor children become violent, and not all youths involved 
in violence are poor, it is widely recognized that poverty 
increases the pressures on children and creates an environment 
that offers limited options for young people.
    Youth living in low-income and high-risk situations are 
most in need of positive alternatives. Data from the 1994 
Bureau of Justice Statistics; National Crime Victimization 
Study show that all persons from low income households and 
persons living in cities are much more likely to be victims of 
violence. Young black males are likely to experience violence 
than any other group.
    Poor children are more likely to live in high-risk 
neighborhoods, to grow up in single-parent households, to 
attend poor schools and have less access to health care and 
other support services. Confronted with limited choices and 
opportunities, low-income youth are at greater risk of failing 
to develop important social and academic skills and of making 
choices that result in negative outcomes. The Children's 
Defense Fund reports that 83% of adolescents who give birth are 
from economically disadvantaged households.
    Engaging in one type of high-risk behavior often leads to 
others, and can further alienate young people and increase the 
likelihood of a negative outcome, such as school termination, 
teen pregnancy or juvenile violent crime. The Department of 
Justice Uniform Crime Reports show that the fastest growing 
murder circumstance is juvenile gang killings. The suicide rate 
for 10- to 14-year-olds more than doubled between 1980 and 
1992. The highest rate of increase was among black males. 
Substance abuse, mental illness, and antisocial behavior are 
among the most common underlying factors associated with 
teenage suicide. Targeted prevention efforts that focus 
resources on youths who are more likely to engage in high-risk 
behavior can help stop further negative behavior and prevent 
negative outcomes.
    We agree that all children and youth could benefit from 
these efforts implemented under S. 673, however, in times of 
limited and diminishing resources, we continue to believe that 
targeting is the most effective approach.

 the need for a continued federal commitment to youth substance abuse 
                               prevention

    Substance abuse is associated with many negative youth 
behaviors and is particularly strongly correlated with violent 
crime. The Youth Development Community Block Grant of 1995 
repeals several programs that focus on substance abuse 
prevention for youth without adequately ensuring that such 
efforts will continue under the new legislation.
    After a significant decrease during the 1980's drug use by 
youth has increased over the last three years. The Monitoring 
the Future study released by the National Institute on Drug 
Abuse showed that in 1994, 45.6 percent of high school seniors 
had used an illicit drug at least once in their lifetime. The 
study also showed that the use of cocaine, LSD and inhalants 
also increased among 8th and 10th graders between 1993 and 
1994.
    Young people identify drugs as their biggest problem and 
are forced to choose whether to use drugs by the time they 
graduate from high school, according to a study released by the 
Center on Addiction and Substance Abuse at Columbia University. 
The study also revealed that young people report having easy 
access to drugs, with 54% reporting that cocaine or heroin is 
readily available to them.
    Despite the on-going need for substance abuse prevention 
efforts, current legislative proposals suggest a retreat from a 
federal anti-drug commitment, first made in the early 1980's. 
Several recent legislative and funding measures propose to 
reduce or eliminate federal substance abuse efforts including 
proposals to eliminate funding for the Office of National Drug 
Control Policy and the Center for Substance Abuse Prevention. 
The federal government has played a critical role in substance 
abuse prevention efforts, and it is important to maintain this 
focus, particularly in relation to youth.

                The Importance of School-Based Programs

    In the 1995 Phi Delta Kappa/Gallup Poll, parents of public 
school children identified three of the four biggest problems 
in education to be lack of discipline, violence, and drug 
abuse. The fourth was lack of proper financial support. The 
results of this poll suggest that the attempt of S. 673 to 
transfer funds targeted for violence and substance abuse out of 
the public schools is at sharp odds with public opinion.
    The bill's approach also ignores the existing knowledge 
base on effective preventive interventions. Schools continue to 
be one of the most promising sites for prevention programs. In 
1992, the Institute of Medicine issued a landmark report 
entitled ``Reducing Risks for Mental Disorders: Frontiers for 
Preventive Intervention Research''. The Institute identified 
eighteen programs for school-aged children and adolescents 
that, under rigorous evaluation, were deemed effective. All but 
one program was school-based.
    A 1993 GAO study suggested that federal support of such 
programs could be an effective use of limited resources. The 
report states: ``Given the decreasing resources available for 
human service delivery, providing support for and guidance with 
developing impact and cost effectiveness evaluations of 
comprehensive school-linked programs could be an important role 
for the federal government to play in promoting effective 
comprehensive programs for school-aged children'' (p. 4).
    Community-based programs are important. However, they 
should serve to complement, not replace, school-based 
prevention programs. By withdrawing Federal prevention funding 
from schools, S. 673 has the potential to seriously disrupt 
current efforts by schools to address drug abuse, violence, and 
other problem behaviors.

         The Safe and Drug-Free Schools and Communities Program

    The Safe and Drug-Free Schools and Communities program is 
the only comprehensive federal effort devoted to making our 
schools safer and preventing substance abuse among our youth. 
For nearly a decade, it has been an active force in schools 
across the country preventing substance abuse and violence. 
Ninety-four percent of all schools districts use Safe and Drug-
Free School funds to support a broad range of prevention 
programs in schools and communities to reach America's youth. 
Repealing this effective and proven program puts the goal of 
consolidation above the goal of serving America's youth.
    The Safe and Drug-Free Schools effort is particularly 
important in light of recent studies which have shown 
increasing drug use and a growing tolerance for experimentation 
among youth. Violence also threatens our efforts to improve 
schools and education. It has been estimated by the Centers for 
Disease Control that nearly one in five students carries a 
weapon--a knife, firearm or club--to school.
    Last year's reauthorization of the Safe and Drug-Free 
Schools and Communities Act made a number of important changes 
to the program. These include expansion of the program to 
include a new focus on violence, targeting of funds to the 
areas of highest need, and a renewed commitment to community 
partnerships. In addition, a new emphasis is placed on a local 
needs assessment and increasing flexibility in program design 
at the local level to ensure that the needs of the community 
are being met.
    The Safe and Drug-Free Schools program is today reaching 
children and youth, reducing violence and drug abuse, and 
supporting schools and community efforts to meet the needs of 
youth. Unlike the Youth Development Community Block grant, it 
targets funds to the neediest youth and is delivered in the 
schools as well as through the community. This successful 
effort should not be sacrificed to fund a new, unproven 
program.

                      community schools and FACES

    Passed as part of the Violent Crime Prevention and Law 
Enforcement Act of 1994, the Community Schools program just 
issued its first year grants after receiving applications from 
over 700 communities. The Community Schools concept has already 
been tested in a handful of communities around the country. 
These communities report that schools are becoming centers of 
community life--safe, visible places where children and their 
families come after school, in the evening, on weekends and 
during the summer to participate in academic enrichment and 
mentoring, and to obtain other resources and services. Through 
this initiative, consortia of community residents, business and 
civic leaders, educators, religious organizations, law 
enforcement, public housing agencies, community-based youth-
serving organizations, and others form partnerships to provide 
comprehensive services that promote positive development of 
youth.
    The community schools concept is critical innovation based 
on the importance of schools to effective participation and 
overall success of community programs. Supporting positive, 
health youth development and promoting academic achievement, 
Community Schools prevent youth involvement in violence and 
other negative behaviors. The repeal of this program, just as 
the first grants have been made, ignores the support for 
school-based prevention efforts and the effectiveness of using 
the existing structures in creative, community-driven ways to 
bring these services to young people.

                          Additional Programs

    In consolidating many programs into a state block grant, 
the legislation eliminates several additional programs vital to 
the future of our nation's youth. Many effective, targeted 
programs are repealed with insufficient guarantee that the 
activities they support would or could be continued under the 
proposed legislation. These programs include, but are not 
limited to, the School Dropout Assistance Program, the Local 
Crime Prevention Block Grant, the Family and Community Endeavor 
Schools Grant Program, the Ounce of Prevention Council and the 
Community Schools program.
    The Ounce of Prevention Council was enacted as part of the 
Violent Crime Prevention and Law Enforcement Act of 1994. The 
Council coordinates and integrates the government's youth crime 
prevention activities. In its short existence, it has made 
great strides in carrying out its mission. Under the 
chairmanship of Vice-President Gore, it has succeeded in 
cataloguing the government's prevention activities, guiding a 
government-wide discussion about grant simplification, and 
initiating outreach to local groups who look to the federal 
government to support their youth development programs. The 
Ounce of Prevention Council is an important program whose 
significant accomplishments would be cut short by the YDCBG.

                       Structure of County Boards

    While the bill cites the need for coordination and 
cooperation between entities providing youth services, the 
county-level government structure created by the bill would 
seriously hamper such efforts. The bill permits alternative 
arrangements in the few states that lack county governments, 
but for other states the governing structure will be cumbersome 
to administer and will result in the creation of redundant and 
non-representative bureaucracies. In addition, the county 
structure will further decrease the likelihood that grants will 
fund programs for the most at-risk youth.
    Cities and towns currently provide many of the services 
addressed in S. 673. However, under this bill they would not be 
involved in the grant process in any meaningful way. Because 
counties vary widely, it is difficult to imaging how even the 
best eleven-person board at the county level could fairly and 
equitably administer a relatively limited amount of funds to 
address the needs of all the jurisdictions it comprises.
    Schools should play a critical role in addressing the goals 
outlined in S. 673. But, because school districts are not 
coterminous with county boundaries, county boards will be hard 
pressed to involve schools in these efforts. Furthermore, under 
the structure prescribed in the legislation, representation of 
the needs of all types of school districts on Community Boards 
is virtually impossible. For example, under S. 673, the 
Community Board for Cook County, Illinois could be structured 
without representation of the Chicago Public School System, 
which enrolls 56.3% of all school-aged children in the county.

                               Conclusion

    We appreciate the efforts of Senator Kassebaum and her 
staff to address our concerns. While we could not support this 
legislation for the reasons described above, we share the 
Chairman's desire to focus on youth development issues and we 
look forward to continued efforts to find new and effective 
ways to meet the needs of our nation's young people.

                                   Edward M. Kennedy.
                                   Claiborne Pell.
                                   Christopher Dodd.
                                   Paul Simon.
                                   Tom Harkin.
                                   Barbara A. Mikulski.
                                   Paul Wellstone.
                       X. Changes in Existing Law

    In compliance with rule XXVI paragraph 12 of the Standing 
Rules of the Senate, the following provides a print of the 
statute or the part or section thereof to be amended or 
replaced (existing law proposed to be omitted is enclosed in 
black brackets, new matter is printed in italic, existing law 
in which no change is proposed is shown in roman):

         Violent Crime Control and Law Enforcement Act of 1994

                           public law 103-322

          * * * * * * *

                      [TITLE III--CRIME PREVENTION

                [Subtitle A--Ounce of Prevention Council

[SEC. 30101. OUNCE OF PREVENTION COUNCIL.

    [(a) Establishment.--
          [(1) In general.--There is established an Ounce of 
        Prevention Council (referred to in this title as the 
        ``Council''), the members of which--
                  [(A) shall include the Attorney General, the 
                Secretary of Education, the Secretary of Health 
                and Human Services, the Secretary of Housing 
                and Urban Development, the Secretary of Labor, 
                the Secretary of Agriculture, the Secretary of 
                the Treasury, the Secretary of the Interior, 
                and the Director of the Office of National Drug 
                Control Policy; and
                  [(B) may include other officials of the 
                executive branch as directed by the President.
          [(2) Chair.--The President shall designate the Chair 
        of the Council from among its members (referred to in 
        this title as the ``Chair'').
          [(3) Staff.--The Council may employ any necessary 
        staff to carry out its functions, and may delegate any 
        of its functions or powers to a member or members of 
        the Council.
    [(b) Program Coordination.--For any program authorized 
under the Violent Crime Control and Law Enforcement Act of 
1994, the Ounce of Prevention Council Chair, only at the 
request of the Council member with jurisdiction over that 
program, may coordinate that program, in whole or in part, 
through the Council.
    [(c) Administrative Responsibilities and Powers.--In 
addition to the program coordination provided in subsection 
(b), the Council shall be responsible for such functions as 
coordinated planning, development of a comprehensive crime 
prevention program catalogue, provision of assistance to 
communities and community-based organizations seeking 
information regarding crime prevention programs and integrated 
program service delivery, and development of strategies for 
program integration and grant simplification. The Council shall 
have the authority to audit the expenditure of funds received 
by grantees under programs administered by or coordinated 
through the Council. In consultation with the Council, the 
Chair may issue regulations and guidelines to carry out this 
subtitle and programs administered by or coordinated through 
the Council.

[SEC. 30102. OUNCE OF PREVENTION GRANT PROGRAM.

    [(a) In General.--The Council may make grants for--
          [(1) summer and after-school (including weekend and 
        holiday) education and recreation programs;
          [(2) mentoring, tutoring, and other programs 
        involving participation by adult role models (such as 
        D.A.R.E. America);
          [(3) programs assisting and promoting employability 
        and job placement; and
          [(4) prevention and treatment programs to reduce 
        substance abuse, child abuse, and adolescent pregnancy, 
        including outreach programs for at-risk families.
    [(b) Applicants.--Applicants may be Indian tribal 
governments, cities, counties, or other municipalities, school 
boards, colleges and universities, private nonprofit entities, 
or consortia of eligible applicants. Applicants must show that 
a planning process has occurred that has involved 
organizations, institutions, and residents of target areas, 
including young people, and that there has been cooperation 
between neighborhood-based entities, municipality-wide bodies, 
and local private-sector representatives. Applicants must 
demonstrate the substantial involvement of neighborhood-based 
entities in the carrying out of the proposed activities. 
Proposals must demonstrate that a broad base of collaboration 
and coordination will occur in the implementation of the 
proposed activities, involving cooperation among youth-serving 
organizations, schools, health and social service providers, 
employers, law enforcement professionals, local government, and 
residents of target areas, including young people. Applications 
shall be geographically based in particular neighborhoods or 
sections of municipalities or particular segments of rural 
areas, and applications shall demonstrate how programs will 
serve substantial proportions of children and youth resident in 
the target area with activities designed to have substantial 
impact on their lives.
    [(c) Priority.--In making such grants, the Council shall 
give preference to coalitions consisting of a broad spectrum of 
community-based and social service organizations that have a 
coordinated team approach to reducing gang membership and the 
effects of substance abuse, and providing alternatives to at-
risk youth.
    [(d) Federal Share.--
          [(1) In general.--The Federal share of a grant made 
        under this part may not exceed 75 percent of the total 
        costs of the projects described in the applications 
        submitted under subsection (b) for the fiscal year for 
        which the projects receive assistance under this title.
          [(2) Waiver.--The Council may waive the 25 percent 
        matching requirement under paragraph (1) upon making a 
        determination that a waiver is equitable in view of the 
        financial circumstances affecting the ability of the 
        applicant to meet that requirement.
          [(3) Non-federal share.--The non-Federal share of 
        such costs may be in cash or in kind, fairly evaluated, 
        including plant, equipment, and services.
          [(4) Nonsupplanting requirement.--Funds made 
        available under this title to a governmental entity 
        shall not be used to supplant State or local funds, or 
        in the case of Indian tribal governments, funds 
        supplied by the Bureau of Indian Affairs, but shall be 
        used to increase the amount of funds that would, in the 
        absence of Federal funds received under this title, be 
        made available from State or local sources, or in the 
        case of Indian tribal governments, from funds supplied 
        by the Bureau of Indian Affairs.
          [(5) Evaluation.--The Council shall conduct a 
        thorough evaluation of the programs assisted under this 
        title.

[SEC. 30103. DEFINITION.

    [In this subtitle, ``Indian tribe'' means a tribe, band, 
pueblo, nation, or other organized group or community of 
Indians, including an Alaska Native village (as defined in or 
established under the Alaska Native Claims Settlement Act (43 
U.S.C. 1601 et seq.), that is recognized as eligible for the 
special programs and services provided by the United States to 
Indians because of their status as Indians.

[SEC. 30104. AUTHORIZATION OF APPROPRIATIONS.

    [There are authorized to be appropriated to carry out this 
subtitle--
          [(1) $1,500,000 for fiscal year 1995;
          [(2) $14,700,000 for fiscal year 1996;
          [(3) $18,000,000 for fiscal year 1997;
          [(4) $18,000,000 for fiscal year 1998;
          [(5) $18,900,000 for fiscal year 1999; and
          [(6) $18,900,000 for fiscal year 2000.

        [Subtitle B--Local Crime Prevention Block Grant Program

[SEC. 30201. PAYMENTS TO LOCAL GOVERNMENTS.

    [(a) Payment and Use.--
          [(1) Payment.--The Attorney General, shall pay to 
        each unit of general local government which qualifies 
        for a payment under this subtitle an amount equal to 
        the sum of any amounts allocated to the government 
        under this subtitle for each payment period. The 
        Attorney General shall pay such amount from amounts 
        appropriated under section 30202.
          [(2) Use.--Amounts paid to a unit of general local 
        government under this section shall be used by that 
        unit for carrying out one or more of the following 
        purposes:
                  [(A) Education, training, research, 
                prevention, diversion, treatment, and 
                rehabilitation programs to prevent juvenile 
                violence, juvenile gangs, and the use and sale 
                of illegal drugs by juveniles.
                  [(B) Programs to prevent crimes against the 
                elderly based on the concepts of the Triad 
                model.
                  [(C) Programs that prevent young children 
                from becoming gang involved, including the 
                award of grants or contracts to community-based 
                service providers that have a proven track 
                record of providing services to children ages 5 
                to 18.
                  [(D) Saturation jobs programs, offered either 
                separately or in conjunction with the services 
                provided for under the Youth Fair Chance 
                Program, that provide employment opportunities 
                leading to permanent unsubsidized employment 
                for disadvantaged young adults 16 through 25 
                years of age.
                  [(E) Midnight sports league programs that 
                shall require each player in the league to 
                attend employment counseling, job training, and 
                other educational classes provided under the 
                program, which shall be held in conjunction 
                with league sports games at or near the site of 
                the games.
                  [(F) Supervised sports and recreation 
                programs, including Olympic Youth Development 
                Centers established in cooperation with the 
                United States Olympic Committee, that are 
                offered--
                          [(i) after school and on weekends and 
                        holidays, during the school year; and
                          [(ii) as daily (or weeklong) full-day 
                        programs (to the extent available 
                        resources permit) or as part-day 
                        programs, during the summer months.
                  [(G) Prevention and enforcement programs to 
                reduce--
                          [(i) the formation or continuation of 
                        juvenile gangs; and
                          [(ii) the use and sale of illegal 
                        drugs by juveniles.
                  [(H) Youth anticrime councils to give 
                intermediate and secondary school students a 
                structured forum through which to work with 
                community organizations, law enforcement 
                officials, government and media 
                representatives, and school administrators and 
                faculty to address issues regarding youth and 
                violence.
                  [(I) Award of grants or contracts to the Boys 
                and Girls Clubs of America, a national 
                nonprofit youth organization, to establish Boys 
                and Girls Clubs in public housing.
                  [(J) Supervised visitation centers for 
                children who have been removed from their 
                parents and placed outside the home as a result 
                of abuse or neglect or other risk of harm to 
                them and for children whose parents are 
                separated or divorced and the children are at 
                risk because--
                          [(i) there is documented sexual, 
                        physical, or emotional abuse as 
                        determined by a court of competent 
                        jurisdiction;
                          [(ii) there is suspected or elevated 
                        risk of sexual, physical, or emotional 
                        abuse, or there have been threats of 
                        parental abduction of the child;
                          [(iii) due to domestic violence, 
                        there is an ongoing risk of harm to a 
                        parent or child;
                          [(iv) a parent is impaired because of 
                        substance abuse or mental illness;
                          [(v) there are allegations that a 
                        child is at risk for any of the reasons 
                        stated in clauses (i), (ii), (iii), and 
                        (iv), pending an investigation of the 
                        allegations; or
                          [(vi) other circumstances, as 
                        determined by a court of competent 
                        jurisdiction, point to the existence of 
                        such a risk.
                  [(K) Family Outreach Teams which provide a 
                youth worker, a parent worker, and a school-
                parent organizer to provide training in 
                outreach, mentoring, community organizing and 
                peer counseling and mentoring to locally 
                recruited volunteers in a particular area.
                  [(L) To establish corridors of safety for 
                senior citizens by increasing the numbers, 
                presence, and watchfulness of law enforcement 
                officers, community groups, and business owners 
                and employees.
                  [(M) Teams or units involving both specially 
                trained law enforcement professionals and child 
                or family services professionals that on a 24-
                hour basis respond to or deal with violent 
                incidents in which a child is involved as a 
                perpetrator, witness, or victim.
                  [(N) Dwelling units to law enforcement 
                officers without charge or at a substantially 
                reduced rent for the purpose of providing 
                greater security for residents of high crime 
                areas.
  [(b) Timing of Payments.--The Attorney General shall pay each 
amount allocated under this subtitle to a unit of general local 
government for a payment period by the later of 90 days after 
the date the amount is available or the first day of the 
payment period if the unit of general local government has 
provided the Attorney General with the assurances required by 
section 30203(d).
  [(c) Adjustments.--
          [(1) In general.--Subject to paragraph (2), the 
        Attorney General shall adjust a payment under this 
        subtitle to a unit of general local government to the 
        extent that a prior payment to the government was more 
        or less than the amount required to be paid.
          [(2) Considerations.--The Attorney General may 
        increase or decrease under this subsection a payment to 
        a unit of general local government only if the Attorney 
        General determines the need for the increase or 
        decrease, or the unit requests the increase or 
        decrease, within one year after the end of the payment 
        period for which the payment was made.
  [(d) Reservation for Adjustments.--The Attorney General may 
reserve a percentage of not more than 2 percent of the amount 
under this section for a payment period for all units of 
general local government in a State if the Attorney General 
considers the reserve is necessary to ensure the availability 
of sufficient amounts to pay adjustments after the final 
allocation of amounts among the units of general local 
government in the State.
  [(e) Repayment of Unexpended Amounts.--
          (1) Repayment required.--A unit of general local 
        government shall repay to the Attorney General, by not 
        later than 15 months after receipt from the Attorney 
        General, any amount that is--
                  [(A) paid to the unit from amounts 
                appropriated under the authority of this 
                section; and
                  [(B) not expended by the unit within one year 
                after receipt from the Attorney General.
          [(2) Penalty for failure to repay.--If the amount 
        required to be repaid is not repaid, the Attorney 
        General shall reduce payments in future payment periods 
        accordingly.
          [(3) Deposit of amounts repaid.--Amounts received by 
        the Attorney General as repayments under this 
        subsection shall be deposited in a designated fund for 
        future payments to units of general local government.
  [(f) Nonsupplanting Requirement.--Funds made available under 
this subtitle to units of local government shall not be used to 
supplant State or local funds, but will be used to increase the 
amount of funds that would, in the absence of funds under this 
subtitle, be made available from State or local sources.

[SEC. 30202. AUTHORIZATION OF APPROPRIATIONS.

  [(a) Authorization of Appropriations.--There are authorized 
to be appropriated to carry out this subtitle--
          [(1) $75,940,000 for fiscal year 1996;
          [(2) $75,940,000 for fiscal year 1997;
          [(3) $75,940,000 for fiscal year 1998;
          [(4) $75,940,000 for fiscal year 1999; and
          [(5) $73,240,000 for fiscal year 2000.
Such sums are to remain available until expended.
  [(b) Administrative Costs.--Up to 2.5 percent of the amount 
authorized to be appropriated under subsection (b) is 
authorized to be appropriated for the period fiscal year 1995 
through fiscal year 2000 to be available for administrative 
costs by the Attorney General in furtherance of the purposes of 
the program. Such sums are to remain available until expended.

[SEC. 30203. QUALIFICATION FOR PAYMENT.

  [(a) In General.--The Attorney General shall issue 
regulations establishing procedures under which eligible units 
of general local government are required to provide notice to 
the Attorney General of the units' proposed use of assistance 
under this subtitle.
  [(b) General Requirements for Qualification.--A unit of 
general local government qualifies for a payment under this 
subtitle for a payment period only after establishing to the 
satisfaction of the Attorney General that--
          [(1) the government will establish a trust fund in 
        which the government will deposit all payments received 
        under this subtitle;
          [(2) the government will use amounts in the trust 
        fund (including interest) during a reasonable period;
          [(3) the government will expend the payments so 
        received, in accordance with the laws and procedures 
        that are applicable to the expenditure of revenues of 
        the government;
          [(4) if at least 25 percent of the pay of individuals 
        employed by the government in a public employee 
        occupation is paid out of the trust fund, individuals 
        in the occupation any part of whose pay is paid out of 
        the trust fund will receive pay at least equal to the 
        prevailing rate of pay for individuals employed in 
        similar public employee occupations by the government;
          [(5) the government will use accounting, audit, and 
        fiscal procedures that conform to guidelines which 
        shall be prescribed by the Attorney General after 
        consultation with the Comptroller General of the United 
        States. As applicable, amounts received under this 
        subtitle shall be audited in compliance with the Single 
        Audit Act of 1984;
          [(6) after reasonable notice to the government, the 
        government will make available to the Attorney General 
        and the Comptroller General of the United States, with 
        the right to inspect, records the Attorney General 
        reasonably requires to review compliance with this 
        subtitle or the Comptroller General of the United 
        States reasonably requires to review compliance and 
        operations;
          [(7) the government will make reports the Attorney 
        General reasonably requires, in addition to the annual 
        reports required under this subtitle; and
          [(8) the government will spend the funds only for the 
        purposes set forth in section 30201(a)(2).
  [(c) Review by Governors.--A unit of general local government 
shall give the chief executive officer of the State in which 
the government is located an opportunity for review and comment 
before establishing compliance with subsection (d).
  [(d) Sanctions for Noncompliance.--
          [(1) In general.--If the Attorney General decides 
        that a unit of general local government has not 
        complied substantially with subsection (b) or 
        regulations prescribed under subsection (b), the 
        Attorney General shall notify the government. The 
        notice shall state that if the government does not take 
        corrective action by the 60th day after the date the 
        government receives the notice, the Attorney General 
        will withhold additional payments to the government for 
        the current payment period and later payment periods 
        until the Attorney General is satisfied that the 
        government--
                  [(A) has taken the appropriate corrective 
                action; and
                  [(B) will comply with subsection (b) and 
                regulations prescribed under subsection (b).
          [(2) Notice.--Before giving notice under paragraph 
        (1), the Attorney General shall give the chief 
        executive officer of the unit of general local 
        government reasonable notice and an opportunity for 
        comment.
          [(3) Payment conditions.--The Attorney General may 
        make a payment to a unit of general local government 
        notified under paragraph (1) only if the Attorney 
        General is satisfied that the government--
                  [(A) has taken the appropriate corrective 
                action; and
                  [(B) will comply with subsection (b) and 
                regulations prescribed under subsection (b).

[SEC. 30204. ALLOCATION AND DISTRIBUTION OF FUNDS.

  [(a) State Distribution.--For each payment period, the 
Attorney General shall allocate out of the amount appropriated 
for the period under the authority of section 30202--
          [(1) 0.25 percent to each State; and
          [(2) of the total amount of funds remaining after 
        allocation under paragraph (1), an amount that is equal 
        to the ratio that the number of part 1 violent crimes 
        reported by such State to the Federal Bureau of 
        Investigation for 1993 bears to the number of part 1 
        violent crimes reported by all States to the Federal 
        Bureau of Investigation for 1993.
  [(b) Local Distribution.--(1) The Attorney General shall 
allocate among the units of general local government in a State 
the amount allocated to the State under paragraphs (1) and (2) 
of subsection (a).
  [(2) The Attorney General shall allocate to each unit of 
general local government an amount which bears the ratio that 
the number of part 1 violent crimes reported by such unit to 
the Federal Bureau of Investigation for 1993 bears to the 
number of part 1 violent crimes reported by all units in the 
State in which the unit is located to the Federal Bureau of 
Investigation for 1993 multiplied by the ratio of the 
population living in all units in the State in which the unit 
is located that reported part 1 violent crimes to the Federal 
Bureau of Investigation for 1993 bears to the population of the 
State; or if such data are not available for a unit, the ratio 
that the population of such unit bears to the population of all 
units in the State in which the unit is located for which data 
are not available multiplied by the ratio of the population 
living in units in the State in which the unit is located for 
which data are not available bears to the population of the 
State.
  [(3) If under paragraph (2) a unit is allotted less than 
$5,000 for the payment period, the amount allotted shall be 
transferred to the Governor of the State who shall equitably 
distribute the allocation to all such units or consortia 
thereof.
  [(4) If there is in a State a unit of general local 
government that has been incorporated since the date of the 
collection of the data used by the Attorney General in making 
allocations pursuant to this section, the Attorney General 
shall allocate to this newly incorporated local government, out 
of the amount allocated to the State under this section, an 
amount bearing the same ratio to the amount allocated to the 
State as the population of the newly incorporated local 
government bears to the population of the State. If there is in 
the State a unit of general local government that has been 
annexed since the date of the collection of the data used by 
the Attorney General in making allocations pursuant to this 
section, the Attorney General shall pay the amount that would 
have been allocated to this local government to the unit of 
general local government that annexed it.
  [(c) Unavailability of Information.--For purposes of this 
section, if data regarding part 1 violent crimes in any State 
for 1993 is unavailable or substantially inaccurate, the 
Attorney General shall utilize the best available comparable 
data regarding the number of violent crimes for 1993 for such 
State for the purposes of allocation of any funds under this 
subtitle.

[SEC. 30205. UTILIZATION OF PRIVATE SECTOR.

  [Funds or a portion of funds allocated under this subtitle 
may be utilized to contract with private, nonprofit entities or 
community-based organizations to carry out the uses specified 
under section 30201(a)(2).

[SEC. 30206. PUBLIC PARTICIPATION.

  [A unit of general local government expending payments under 
this subtitle shall hold at least one public hearing on the 
proposed use of the payment in relation to its entire budget. 
At the hearing, persons shall be given an opportunity to 
provide written and oral views to the governmental authority 
responsible for enacting the budget and to ask questions about 
the entire budget and the relation of the payment to the entire 
budget. The government shall hold the hearing at a time and a 
place that allows and encourages public attendance and 
participation.

[SEC. 30207. ADMINISTRATIVE PROVISIONS.

  [The administrative provisions of part H of the Omnibus Crime 
Control and Safe Streets Act of 1968, shall apply to the 
Attorney General for purposes of carrying out this subtitle.

[SEC. 30208. DEFINITIONS.

  [For purposes of this subtitle:
          [(1) The term ``unit of general local government'' 
        means--
                  [(A) a county, township, city, or political 
                subdivision of a county, township, or city, 
                that is a unit of general local government as 
                determined by the Secretary of Commerce for 
                general statistical purposes; and
                  [(B) the District of Columbia and the 
                recognized governing body of an Indian tribe or 
                Alaskan Native village that carries out 
                substantial governmental duties and powers.
          [(2) The term ``payment period'' means each 1-year 
        period beginning on October 1 of the years 1995 through 
        2000.
          [(3) The term ``State'' means any State of the United 
        States, the District of Columbia, the Commonwealth of 
        Puerto Rico, the Virgin Islands, American Samoa, Guam, 
        and the Northern Mariana Islands, except that American 
        Samoa, Guam, and the Northern Mariana Islands shall be 
        considered as one State and that, for purposes of 
        section 30204(a), 33 per centum of the amounts 
        allocated shall be allocated to American Samoa, 50 per 
        centum to Guam, and 17 per centum to the Northern 
        Mariana Islands.
          [(4) The term ``children'' means persons who are not 
        younger than 5 and not older than 18 years old.
          [(5) The term ``part 1 violent crimes'' means murder 
        and non-negligent manslaughter, forcible rape, robbery, 
        and aggravated assault as reported to the Federal 
        Bureau of Investigation for purposes of the Uniform 
        Crime Reports.]
          * * * * * * *

    [Subtitle D--Family and Community Endeavor Schools Grant Program

[SEC. 30401. COMMUNITY SCHOOLS YOUTH SERVICES AND SUPERVISION GRANT 
                    PROGRAM.

  [(a) Short Title.--This section may be cited as the 
``Community Schools Youth Services and Supervision Grant 
Program Act of 1994''.
  [(b) Definitions.--In this section--
          [``child'' means a person who is not younger than 5 
        and not older than 18 years old.
          [``community-based organization'' means a private, 
        locally initiated, community-based organization that--
                  [(A) is a nonprofit organization, as defined 
                in section 103(23) of the Juvenile Justice and 
                Delinquency Prevention Act of 1974 (42 U.S.C. 
                5603(23)); and
                  [(B) is operated by a consortium of service 
                providers, consisting of representatives of 5 
                or more of the following categories of persons:
                          [(i) Residents of the community.
                          [(ii) Business and civic leaders 
                        actively involved in providing 
                        employment and business development 
                        opportunities in the community.
                          [(iii) Educators.
                          [(iv) Religious organizations (which 
                        shall not provide any sectarian 
                        instruction or sectarian worship in 
                        connection with an activity funded 
                        under this title).
                          [(v) Law enforcement agencies.
                          [(vi) Public housing agencies.
                          [(vii) Other public agencies.
                          [(viii) Other interested parties.
          [``eligible community'' means an area identified 
        pursuant to subsection (e).
          [``Indian tribe'' means a tribe, band, pueblo, 
        nation, or other organized group or community of 
        Indians, including an Alaska Native village (as defined 
        in or established under the Alaska Native Claims 
        Settlement Act (43 U.S.C. 1601 et seq.)), that is 
        recognized as eligible for the special programs and 
        services provided by the United States to Indians 
        because of their status as Indians.
          [``poverty line'' means the income official poverty 
        line (as defined by the Office of Management and 
        Budget, and revised annually in accordance with section 
        673(2) of the Community Services Block Grant Act (42 
        U.S.C. 9902(2)) applicable to a family of the size 
        involved.
          [``public school'' means a public elementary school, 
        as defined in section 1201(i) of the Higher Education 
        Act of 1965 (20 U.S.C. 1141(i)), and a public secondary 
        school, as defined in section 1201(d) of that Act.
          [``Secretary'' means the Secretary of Health and 
        Human Services, in consultation and coordination with 
        the Attorney General.
          [``State'' means a State, the District of Columbia, 
        the Commonwealth of Puerto Rico, the Commonwealth of 
        the Northern Mariana Islands, American Samoa, Guam, and 
        the United States Virgin Islands.
  [(c) Program Authority.--
          [(1) In general.--
                  [(A) Allocations for states and indian 
                country.--For any fiscal year in which the sums 
                appropriated to carry out this section equal or 
                exceed $20,000,000, from the sums appropriated 
                to carry out this subsection, the Secretary 
                shall allocate, for grants under subparagraph 
                (B) to community-based organizations in each 
                State, an amount bearing the same ratio to such 
                sums as the number of children in the State who 
                are from families with incomes below the 
                poverty line bears to the number of children in 
                all States who are from families with incomes 
                below the poverty line. In view of the 
                extraordinary need for assistance in Indian 
                country, an appropriate amount of funds 
                available under this subtitle shall be made 
                available for such grants in Indian country.
                  [(B) Grants to community-based organizations 
                from allocations.--For such a fiscal year, the 
                Secretary may award grants from the appropriate 
                State or Indian country allocation determined 
                under subparagraph (A) on a competitive basis 
                to eligible community-based organizations to 
                pay for the Federal share of assisting eligible 
                communities to develop and carry out programs 
                in accordance with this section.
                  [(C) Reallocation.--If, at the end of such a 
                fiscal year, the Secretary determines that 
                funds allocated for community-based 
                organizations in a State or Indian country 
                under subparagraph (B) remain unobligated, the 
                Secretary may use such funds to award grants to 
                eligible community-based organizations in 
                another State or Indian country to pay for such 
                Federal share. In awarding such grants, the 
                Secretary shall consider the need to maintain 
                geographic diversity among the recipients of 
                such grants. Amounts made available through 
                such grants shall remain available until 
                expended.
          [(2) Other fiscal years.--For any fiscal year in 
        which the sums appropriated to carry out this section 
        are less than $20,000,000, the Secretary may award 
        grants on a competitive basis to eligible community-
        based organizations to pay for the Federal share of 
        assisting eligible communities to develop and carry out 
        programs in accordance with this section.
          [(3) Administrative costs.--The Secretary may use not 
        more than 3 percent of the funds appropriated to carry 
        out this section in any fiscal year for administrative 
        costs.
  [(d) Program Requirements.--
          [(1) Location.--A community-based organization that 
        receives a grant under this section to assist in 
        carrying out such a program shall ensure that the 
        program is carried out--
                  [(A) when appropriate, in the facilities of a 
                public school during nonschool hours; or
                  [(B) in another appropriate local facility in 
                a State or Indian country, such as a college or 
                university, a local or State park or recreation 
                center, church, or military base, that is--
                          [(i) in a location that is easily 
                        accessible to children in the 
                        community; and
                          [(ii) in compliance with all 
                        applicable local ordinances.
          [(2) Use of funds.--Such community-based 
        organization--
                  [(A) shall use funds made available through 
                the grant to provide, to children in the 
                eligible community, services and activities 
                that--
                          [(i) shall include supervised sports 
                        programs, and extracurricular and 
                        academic programs, that are offered--
                                  [(I) after school and on 
                                weekends and holidays, during 
                                the school year; and
                                  [(II) as daily full-day 
                                programs (to the extent 
                                available resources permit) or 
                                as part-day programs, during 
                                the summer months;
                  [(B) in providing such extracurricular and 
                academic programs, shall provide programs such 
                as curriculum-based supervised educational, 
                work force preparation, entrepreneurship, 
                cultural, health programs, social activities, 
                arts and crafts programs, dance programs, 
                tutorial and mentoring programs, and other 
                related activities;
                  [(C) may use--
                          [(i) such funds for minor renovation 
                        of facilities that are in existence 
                        prior to the operation of the program 
                        and that are necessary for the 
                        operation of the program for which the 
                        organization receives the grant, 
                        purchase of sporting and recreational 
                        equipment and supplies, reasonable 
                        costs for the transportation of 
                        participants in the program, hiring of 
                        staff, provision of meals for such 
                        participants, provision of health 
                        services consisting of an initial basic 
                        physical examination, provision of 
                        first aid and nutrition guidance, 
                        family counselling, parental training, 
                        and substance abuse treatment where 
                        appropriate; and
                          [(ii) not more than 5 percent of such 
                        funds to pay for the administrative 
                        costs of the program; and
                  [(D) may not use such funds to provide 
                sectarian worship or sectarian instruction.
  [(e) Eligible Community Identification.--
          [(1) Identification.--To be eligible to receive a 
        grant under this section, a community-based 
        organization shall identify an eligible community to be 
        assisted under this section.
          [(2) Criteria.--Such eligible community shall be an 
        area that meets such criteria with respect to 
        significant poverty and significant juvenile 
        delinquency, and such additional criteria, as the 
        Secretary may by regulation require.
  [(f) Applications.--
          [(1) Application required.--To be eligible to receive 
        a grant under this section, a community-based 
        organization shall submit an application to the 
        Secretary at such time, in such manner, and accompanied 
        by such information, as the Secretary may reasonably 
        require, and obtain approval of such application.
          [(2) Contents of application.--Each application 
        submitted pursuant to paragraph (1) shall--
                  [(A) describe the activities and services to 
                be provided through the program for which the 
                grant is sought;
                  [(B) contain an assurance that the community-
                based organization will spend grant funds 
                received under this section in a manner that 
                the community-based organization determines 
                will best accomplish the objectives of this 
                section;
                  [(C) contain a comprehensive plan for the 
                program that is designed to achieve 
                identifiable goals for children in the eligible 
                community;
                  [(D) set forth measurable goals and outcomes 
                for the program that--
                          [(i) will--
                                  [(I) where appropriate, make 
                                a public school the focal point 
                                of the eligible community; or
                                  [(II) make a local facility 
                                described in subsection 
                                (d)(1)(B) such a focal point; 
                                and
                          [(ii) may include reducing the 
                        percentage of children in the eligible 
                        community that enter the juvenile 
                        justice system, increasing the 
                        graduation rates, school attendance, 
                        and academic success of children in the 
                        eligible community, and improving the 
                        skills of program participants;
                  [(E) provide evidence of support for 
                accomplishing such goals and outcomes from--
                          [(i) community leaders;
                          [(ii) businesses;
                          [(iii) local educational agencies;
                          [(iv) local officials;
                          [(v) State officials;
                          [(vi) Indian tribal government 
                        officials; and
                          [(vii) other organizations that the 
                        community-based organization determines 
                        to be appropriate;
                  [(F) contain an assurance that the community-
                based organization will use grant funds 
                received under this section to provide children 
                in the eligible community with activities and 
                services that shall include supervised sports 
                programs, and extracurricular and academic 
                programs, in accordance with subparagraphs (A) 
                and (B) of subsection (d)(2);
                  [(G) contain a list of the activities and 
                services that will be offered through the 
                program for which the grant is sought and 
                sponsored by private nonprofit organizations, 
                individuals, and groups serving the eligible 
                community, including--
                          [(i) extracurricular and academic 
                        programs, such as programs described in 
                        subsection (d)(2)(B); and
                          [(ii) activities that address 
                        specific needs in the community;
                  [(H) demonstrate the manner in which the 
                community-based organization will make use of 
                the resources, expertise, and commitment of 
                private entities in carrying out the program 
                for which the grant is sought;
                  [(I) include an estimate of the number of 
                children in the eligible community expected to 
                be served pursuant to the program;
                  [(J) include a description of charitable 
                private resources, and all other resources, 
                that will be made available to achieve the 
                goals of the program;
                  [(K) contain an assurance that the community-
                based organization will use competitive 
                procedures when purchasing, contracting, or 
                otherwise providing for goods, activities, or 
                services to carry out programs under this 
                section;
                  [(L) contain an assurance that the program 
                will maintain a staff-to-participant ratio 
                (including volunteers) that is appropriate to 
                the activity or services provided by the 
                program;
                  [(M) contain an assurance that the program 
                will maintain an average attendance rate of not 
                less than 75 percent of the participants 
                enrolled in the program, or will enroll 
                additional participants in the program;
                  [(N) contain an assurance that the community-
                based organization will comply with any 
                evaluation under subsection (m), any research 
                effort authorized under Federal law, and any 
                investigation by the Secretary;
                  [(O) contain an assurance that the community-
                based organization shall prepare and submit to 
                the Secretary an annual report regarding any 
                program conducted under this section;
                  [(P) contain an assurance that the program 
                for which the grant is sought will, to the 
                maximum extent possible, incorporate services 
                that are provided solely through non-Federal 
                private or nonprofit sources; and
                  [(Q) contain an assurance that the community-
                based organization will maintain separate 
                accounting records for the program.
          [(3) Priority.--In awarding grants to carry out 
        programs under this section, the Secretary shall give 
        priority to community-based organizations who submit 
        applications that demonstrate the greatest effort in 
        generating local support for the programs.
  [(g) Eligibility of Participants.--
          [(1) In general.--To the extent possible, each child 
        who resides in an eligible community shall be eligible 
        to participate in a program carried out in such 
        community that receives assistance under this section.
          [(2) Eligibility.--To be eligible to participate in a 
        program that receives assistance under this section, a 
        child shall provide the express written approval of a 
        parent or guardian, and shall submit an official 
        application and agree to the terms and conditions of 
        participation in the program.
          [(3) Nondiscrimination.--In selecting children to 
        participate in a program that receives assistance under 
        this section, a community-based organization shall not 
        discriminate on the basis of race, color, religion, 
        sex, national origin, or disability.
  [(h) Peer Review Panel.--
          [(1) Establishment.--The Secretary may establish a 
        peer review panel that shall be comprised of 
        individuals with demonstrated experience in designing 
        and implementing community-based programs.
          [(2) Composition.--A peer review panel shall include 
        at least 1 representative from each of the following:
                  [(A) A community-based organization.
                  [(B) A local government.
                  [(C) A school district.
                  [(D) The private sector.
                  [(E) A charitable organization.
                  [(F) A representative of the United States 
                Olympic Committee, at the option of the 
                Secretary.
          [(3) Functions.--A peer review panel shall conduct 
        the initial review of all grant applications received 
        by the Secretary under subsection (f), make 
        recommendations to the Secretary regarding--
                  [(A) grant funding under this section; and
                  [(B) a design for the evaluation of programs 
                assisted under this section.
  [(i) Investigations and Inspections.--The Secretary may 
conduct such investigations and inspections as may be necessary 
to ensure compliance with the provisions of this section.
  [(j) Payments; Federal Share; Non-Federal Share.--
          [(1) Payments.--The Secretary shall, subject to the 
        availability of appropriations, pay to each community-
        based organization having an application approved under 
        subsection (f) the Federal share of the costs of 
        developing and carrying out programs described in 
        subsection (c).
          [(2) Federal share.--The Federal share of such costs 
        shall be no more than--
                  [(A) 75 percent for each of fiscal years 1995 
                and 1996;
                  [(B) 70 percent for fiscal year 1997; and
                  [(C) 60 percent for fiscal year 1998 and 
                thereafter.
          [(3) Non-federal share.--
                  [(A) In general.--The non-Federal share of 
                such costs may be in cash or in kind, fairly 
                evaluated, including plant, equipment, and 
                services (including the services described in 
                subsection (f)(2)(P)), and funds appropriated 
                by the Congress for the activity of any agency 
                of an Indian tribal government or the Bureau of 
                Indian Affairs on any Indian lands may be used 
                to provide the non-Federal share of the costs 
                of programs or projects funded under this 
                subtitle.
                  [(B) Special rule.--At least 15 percent of 
                the non-Federal share of such costs shall be 
                provided from private or nonprofit sources.
  [(k) Evaluation.--The Secretary shall conduct a thorough 
evaluation of the programs assisted under this section, which 
shall include an assessment of--
          [(1) the number of children participating in each 
        program assisted under this section;
          [(2) the academic achievement of such children;
          [(3) school attendance and graduation rates of such 
        children; and
          [(4) the number of such children being processed by 
        the juvenile justice system.

[SEC. 30402. FAMILY AND COMMUNITY ENDEAVOR SCHOOLS GRANT PROGRAM.

  [(a) Short Title.--This section may be cited as the ``Family 
and Community Endeavor Schools Act''.
  [(b) Purpose.--It is the purpose of this section to improve 
the overall development of at-risk children who reside in 
eligible communities as defined in subsection (l)(3).
  [(c) Program Authority.--The Secretary may award grants on a 
competitive basis to eligible local entities to pay for the 
Federal share of assisting eligible communities to develop and 
carry out programs in accordance with this section. No local 
entity shall receive a grant of less than $250,000 in a fiscal 
year. Amounts made available through such grants shall remain 
available until expended.
  [(d) Program Requirements.--
          [(1) Improvement programs.--A local entity that 
        receives funds under this section shall develop or 
        expand programs that are designed to improve academic 
        and social development by instituting a collaborative 
        structure that trains and coordinates the efforts of 
        teachers, administrators, social workers, guidance 
        counselors, parents, and school volunteers to provide 
        concurrent social services for at-risk students at 
        selected public schools in eligible communities.
          [(2) Optional activities.--A local entity that 
        receives funds under this section may develop a variety 
        of programs to serve the comprehensive needs of 
        students, including--
                  [(A) homework assistance and after-school 
                programs, including educational, social, and 
                athletic activities;
                  [(B) nutrition services;
                  [(C) mentoring programs;
                  [(D) family counseling; and
                  [(E) parental training programs.
  [(e) Eligible Community Identification.--The Secretary 
through regulation shall define the criteria necessary to 
qualify as an eligible community as defined in subsection 
(l)(3).
  [(f) Grant Eligibility.--To be eligible to receive a grant 
under this section, a local entity shall--
          [(1) identify an eligible community to be assisted;
          [(2) develop a community planning process that 
        includes--
                  [(A) parents and family members;
                  [(B) local school officials;
                  [(C) teachers employed at schools within the 
                eligible community;
                  [(D) public housing resident organization 
                members, where applicable; and
                  [(E) public and private nonprofit 
                organizations that provide education, child 
                protective services, or other human services to 
                low-income, at-risk children and their 
                families; and
          [(3) develop a concentrated strategy for 
        implementation of the community planning process 
        developed under paragraph (2) that targets clusters of 
        at-risk children in the eligible community.
  [(g) Applications.--
          [(1) Application required.--To be eligible to receive 
        a grant under this section, a local entity shall submit 
        an application to the Secretary at such time, in such 
        manner, and accompanied by such information, as the 
        Secretary may reasonably require, and obtain approval 
        of such application.
          [(2) Contents of application.--Each application 
        submitted under paragraph (1) shall--
                  [(A) contain a comprehensive plan for the 
                program that is designed to improve the 
                academic and social development of at-risk 
                children in schools in the eligible community;
                  [(B) provide evidence of support for 
                accomplishing the objectives of such plan 
                from--
                          [(i) community leaders;
                          [(ii) a school district;
                          [(iii) local officials; and
                          [(iv) other organizations that the 
                        local entity determines to be 
                        appropriate;
                  [(C) provide an assurance that the local 
                entity will use grant funds received under this 
                subsection to implement the program 
                requirements listed in subsection (d);
                  [(D) include an estimate of the number of 
                children in the eligible community expected to 
                be served under the program;
                  [(E) provide an assurance that the local 
                entity will comply with any evaluation 
                requested under subsection (k), any research 
                effort authorized under Federal law, and any 
                investigation by the Secretary;
                  [(F) provide an assurance that the local 
                entity shall prepare and submit to the 
                Secretary an annual report regarding any 
                program conducted under this section;
                  [(G) provide an assurance that funds made 
                available under this section shall be used to 
                supplement, not supplant, other Federal funds 
                that would otherwise be available for 
                activities funded under this section; and
                  [(H) provide an assurance that the local 
                entity will maintain separate accounting 
                records for the program.
          [(3) Priority.--In awarding grants to carry out 
        programs under this section, the Secretary shall give 
        priority to local entities which submit applications 
        that demonstrate the greatest effort in generating 
        local support for the programs.
  [(h) Peer Review Panel.--
          [(1) Establishment.--The Secretary shall establish a 
        peer review panel not to exceed 8 members that shall be 
        comprised of individuals with demonstrated experience 
        in designing and implementing programs to improve the 
        academic and social development of at-risk children.
          [(2) Functions.--Such panel shall make 
        recommendations to the Secretary regarding--
                  [(A) an illustrative model that effectively 
                achieves the program requirements indicated in 
                subsection (d) and a process whereby local 
                entities can request such model; and
                  [(B) a design for the evaluation of programs 
                assisted under this section.
  [(i) Investigations and Inspections.--The Secretary may 
conduct such investigations and inspections as may be necessary 
to ensure compliance with the provisions of this section.
  [(j) Federal Share.--
          [(1) Payments.--The Secretary shall, subject to the 
        availability of appropriations, pay to each local 
        entity having an application approved under subsection 
        (g) the Federal share of the costs of developing and 
        carrying out programs referred to in subsection (d).
          [(2) Federal share.--The Federal share of such costs 
        shall be 70 percent.
          [(3) Non-federal share.--
                  [(A) In general.--The non-Federal share of 
                such costs may be in cash or in kind, fairly 
                evaluated, including personnel, plant, 
                equipment, and services.
                  [(B) Special rule.--Not less than 15 percent 
                of the non-Federal share of such costs shall be 
                provided from private or nonprofit sources.
  [(k) Evaluation.--The Secretary shall require a thorough 
evaluation of the programs assisted under this section, which 
shall include an assessment of the academic and social 
achievement of children assisted with funds provided under this 
section.
  [(l) Definitions.--For purposes of this section--
          [(1) the term ``Secretary'' means the Secretary of 
        the Department of Education;
          [(2) the term ``local entity'' means--
                  [(A) a local educational agency, or
                  [(B) a community-based organization as 
                defined in section 1471(3) of the Elementary 
                and Secondary Education Act of 1965;
          [(3) the term ``eligible community'' means an area 
        which meets criteria with respect to significant 
        poverty and significant violent crime, and such 
        additional criteria, as the Secretary may by regulation 
        require; and
          [(4) the term ``public school'' means an elementary 
        school (as defined in section 1471(8) of the Elementary 
        and Secondary Education Act of 1965 (20 U.S.C. 
        2891(8))) and a secondary school (as defined in section 
        1471(21) of that Act).

[SEC. 30403. AUTHORIZATION OF APPROPRIATIONS.

  [(a) In General.--There are authorized to be appropriated to 
carry out this subtitle--
          [(1) $37,000,000 for fiscal year 1995;
          [(2) $103,500,000 for fiscal year 1996;
          [(3) $121,500,000 for fiscal year 1997;
          [(4) $153,000,000 for fiscal year 1998;
          [(5) $193,500,000 for fiscal year 1999; and
          [(6) $201,500,000 for fiscal year 2000.
  [(b) Programs.--Of the amounts appropriated under subsection 
(a) for any fiscal year--
          [(1) 70 percent shall be made available to carry out 
        section 30401; and
          [(2) 30 percent shall be made available to carry out 
        section 30402.]
          * * * * * * *

                   [Subtitle J--Local Partnership Act

[SEC. 31001. ESTABLISHMENT OF PAYMENT PROGRAM.

  [(a) Establishment of Program.--Title 31, United States Code, 
is amended by inserting after chapter 65 the following new 
chapter:

                     [CHAPTER 67--FEDERAL PAYMENTS

[Sec.
[6701. Payments to local governments.
[6702. Local Government Fiscal Assistance Fund.
[6703. Qualification for payment.
[6704. State area allocations; allocations and payments to territorial 
          governments.
[6705. Local government allocations.
[6706. Income gap multiplier.
[6707. State variation of local government allocations.
[6708. Adjustments of local government allocations.
[6709. Information used in allocation formulas.
[6710. Public participation.
[6711. Prohibited discrimination.
[6712. Discrimination proceedings.
[6713. Suspension and termination of payments in discrimination 
          proceedings.
[6714. Compliance agreements.
[6715. Enforcement by the Attorney General of prohibitions on 
          discrimination.
[6716. Civil action by a person adversely affected.
[6717. Judicial review.
[6718. Investigations and reviews.
[6719. Reports.
[6720. Definitions, application, and administration.

[Sec. 6701. Payments to local governments

  [(a) Payment and Use.--
          [(1) Payment.--The Secretary shall pay to each unit 
        of general local government which qualifies for a 
        payment under this chapter an amount equal to the sum 
        of any amounts allocated to the government under this 
        chapter for each payment period. The Secretary shall 
        pay such amount out of the Local Government Fiscal 
        Assistance Fund under section 6702.
          [(2) Use.--Amounts paid to a unit of general local 
        government under this section shall be used by that 
        unit for carrying out one or more programs of the unit 
        related to--
                  [(A) education to prevent crime;
                  [(B) substance abuse treatment to prevent 
                crime; or
                  [(C) job programs to prevent crime.
          [(3) Coordination.--Programs funded under this title 
        shall be coordinated with other existing Federal 
        programs to meet the overall needs of communities that 
        benefit from funds received under this section.
  [(b) Timing of Payments.--The Secretary shall pay each amount 
allocated under this chapter to a unit of general local 
government for a payment period by the later of 90 days after 
the date the amount is available or the first day of the 
payment period provided that the unit of general local 
government has provided the Secretary with the assurances 
required by section 6703(d).
  [(c) Adjustments.--
          [(1) In general.--Subject to paragraph (2), the 
        Secretary shall adjust a payment under this chapter to 
        a unit of general local government to the extent that a 
        prior payment to the government was more or less than 
        the amount required to be paid.
          [(2) Considerations.--The Secretary may increase or 
        decrease under this subsection a payment to a unit of 
        local government only if the Secretary determines the 
        need for the increase or decrease, or the unit requests 
        the increase or decrease, within one year after the end 
        of the payment period for which the payment was made.
  [(d) Reservation for Adjustments.--The Secretary may reserve 
a percentage of not more than 2 percent of the amount under 
this section for a payment period for all units of general 
local government in a State if the Secretary considers the 
reserve is necessary to ensure the availability of sufficient 
amounts to pay adjustments after the final allocation of 
amounts among the units of general local government in the 
State.
  [(e) Repayment of Unexpended Amounts.--
          [(1) Repayment required.--A unit of general local 
        government shall repay to the Secretary, by not later 
        than 15 months after receipt from the Secretary, any 
        amount that is--
                  [(A) paid to the unit from amounts 
                appropriated under the authority of this 
                section; and
                  [(B) not expended by the unit within one year 
                after receipt from the Secretary.
          [(2) Penalty for failure to repay.--If the amount 
        required to be repaid is not repaid, the Secretary 
        shall reduce payments in future payment periods 
        accordingly.
          [(3) Deposit of amounts repaid.--Amounts received by 
        the Secretary as repayments under this subsection shall 
        be deposited in the Local Government Fiscal Assistance 
        Fund for future payments to units of general local 
        government.
  [(f) Expenditure With Disadvantaged Business Enterprises.--
          [(1) General rule.--Of amounts paid to a unit of 
        general local government under this chapter for a 
        payment period, not less than 10 percent of the total 
        combined amounts obligated by the unit for contracts 
        and subcontracts shall be expended with--
                  [(A) small business concerns controlled by 
                socially and economically disadvantaged 
                individuals and women; and
                  [(B) historically Black colleges and 
                universities and colleges and universities 
                having a student body in which more than 20 
                percent of the students are Hispanic Americans 
                or Native Americans.
          [(2) Exception.--Paragraph (1) shall not apply to 
        amounts paid to a unit of general local government to 
        the extent the unit determines that the paragraph does 
        not apply through a process that provides for public 
        participation.
          [(3) Definitions.--For purposes of this subsection--
                  [(A) the term `small business concern' has 
                the meaning such term has under section 3 of 
                the Small Business Act; and
                  [(B) the term `socially and economically 
                disadvantaged individuals' has the meaning such 
                term has under section 8(d) of the Small 
                Business Act and relevant subcontracting 
                regulations promulgated pursuant to that 
                section.
  [(g) Nonsupplanting Requirement.--
          [(1) In general.--Funds made available under this 
        chapter to units of local government shall not be used 
        to supplant State or local funds, but will be used to 
        increase the amount of funds that would, in the absence 
        of funds under this chapter, be made available from 
        State or local sources.
          [(2) Base level amount.--The total level of funding 
        available to a unit of local government for accounts 
        serving eligible purposes under this chapter in the 
        fiscal year immediately preceding receipt of a grant 
        under this chapter shall be designated the `base level 
        account' for the fiscal year in which a grant is 
        received. Grants under this chapter in a given fiscal 
        year shall be reduced on a dollar for dollar basis to 
        the extent that a unit of local government reduces its 
        base level account in that fiscal year.

[Sec. 6702. Local Government Fiscal Assistance Fund

  [(a) Administration of Fund.--The Department of the Treasury 
has a Local Government Fiscal Assistance Fund, which consists 
of amounts appropriated to the Fund.
  [(b) Authorization of Appropriations.--There are authorized 
to be appropriated to the Fund--
          [(1) $270,000,000 for fiscal year 1996;
          [(2) $283,500,000 for fiscal year 1997;
          [(3) $355,500,000 for fiscal year 1998;
          [(4) $355,500,000 for fiscal year 1999; and
          [(5) $355,500,000 for fiscal year 2000.
Such sums are to remain available until expended.
  [(c) Administrative Costs.--Up to 2.5 percent of the amount 
authorized to be appropriated under subsection (b) is 
authorized to be appropriated for the period fiscal year 1995 
through fiscal year 2000 to be available for administrative 
costs by the Secretary in furtherance of the purposes of the 
program. Such sums are to remain available until expended.

[Sec. 6703. Qualification for payment

  [(a) In General.--The Secretary shall issue regulations 
establishing procedures under which eligible units of general 
local government are required to provide notice to the 
Secretary of the units' proposed use of assistance under this 
chapter. Subject to subsection (c), the assistance provided 
shall be used, in amounts determined by the unit, for 
activities under, or for activities that are substantially 
similar to an activity under, 1 or more of the following 
programs and the notice shall identify 1 or more of the 
following programs for each such use:
          [(1) The Drug Abuse Resistance Education Program 
        under section 5122 of the Elementary and Secondary 
        Education Act of 1965.
          [(2) The National Youth Sports Program under section 
        682 of the Community Services Block Grant Act (Public 
        Law 97-35) as amended by section 205, Public Law 103-
        252.
          [(3) The Gang Resistance Education and Training 
        Program under the Act entitled `An Act making 
        appropriations for the Treasury Department, the United 
        States Postal Service, the Executive Office of the 
        President, and certain Independent Agencies, for the 
        fiscal year ending September 30, 1991, and for other 
        purposes', approved November 5, 1990 (Public Law 101-
        509).
          [(4) Programs under title II or IV of the Job 
        Training Partnership Act (29 U.S.C. 1601 et seq.).
          [(5) Programs under subtitle C of title I of the 
        National and Community Service Act of 1990 (42 U.S.C. 
        12571 et seq.), as amended.
          [(6) Programs under the School to Work Opportunities 
        Act (Public Law 103-239).
          [(7) Substance Abuse Treatment and Prevention 
        programs authorized under title V or XIX of the Public 
        Health Services Act (43 U.S.C. 201 et seq.).
          [(8) Programs under the Head Start Act (42 U.S.C. 
        9831 et seq.).
          [(9) Programs under part A or B of chapter 1 of title 
        I of the Elementary and Secondary Education Act of 
        1965.
          [(10) The TRIO programs under part A of title IV of 
        the Higher Education Act of 1965 (20 U.S.C. 1070 et 
        seq.).
          [(11) Programs under the National Literacy Act of 
        1991.
          [(12) Programs under the Carl Perkins Vocational 
        Educational and Applied Technology Education Act (20 
        U.S.C. 2301 et seq.).
          [(13) The demonstration partnership programs 
        including the community initiative targeted to minority 
        youth under section 203 of the Human Services 
        Reauthorization Act of 1994 (Public Law 103-252).
          [(14) The runaway and homeless youth program and the 
        transitional living program for homeless youth under 
        title III of the Juvenile Justice and Delinquency 
        Prevention Act (Public Law 102-586).
          [(15) The family support program under subtitle F of 
        title VII of the Stewart B. McKinney Homeless 
        Assistance Act (42 U.S.C. 1148 et seq.).
          [(16) After-school activities for school aged 
        children under the Child Care and Development Block 
        Grant Act (42 U.S.C. 9858 et seq.).
          [(17) The community-based family resource programs 
        under section 401 of the Human Services Reauthorization 
        Act of 1994 (Public Law 103-252).
          [(18) The family violence programs under the Child 
        Abuse Prevention and Treatment Act Amendments of 1984.
          [(19) Job training programs administered by the 
        Department of Agriculture, the Department of Defense, 
        or the Department of Housing and Urban Development.
  [(b) Notice to Agency.--Upon receipt of notice under 
subsection (a) from an eligible unit of general local 
government, the Secretary shall notify the head of the 
appropriate Federal agency for each program listed in 
subsection (a) that is identified in the notice as a program 
under which an activity will be conducted with assistance under 
this chapter. The notification shall state that the unit has 
elected to use some or all of its assistance under this chapter 
for activities under that program. The head of a Federal agency 
that receives such a notification shall ensure that such use is 
in compliance with the laws and regulations applicable to that 
program, except that any requirement to provide matching funds 
shall not apply to that use.
  [(c) Alternative Uses of Funds.--
          [(1) Alternative uses authorized.--In lieu of, or in 
        addition to, use for an activity described in 
        subsection (a) and notice for that use under subsection 
        (a), an eligible unit of general local government may 
        use assistance under this chapter, and shall provide 
        notice of that use to the Secretary under subsection 
        (a), for any other activity that is consistent with 1 
        or more of the purposes described in section 
        6701(a)(2).
          [(2) Notice deemed to describe consistent use.--
        Notice by a unit of general local government that it 
        intends to use assistance under this chapter for an 
        activity other than an activity described in subsection 
        (a) is deemed to describe an activity that is 
        consistent with 1 or more of the purposes described in 
        section 6701(a)(2) unless the Secretary provides to the 
        unit, within 30 days after receipt of that notice of 
        intent from the unit, written notice (including an 
        explanation) that the use is not consistent with those 
        purposes.
  [(d) General Requirements for Qualification.--A unit of 
general local government qualifies for a payment under this 
chapter for a payment period only after establishing to the 
satisfaction of the Secretary that--
          [(1) the government will establish a trust fund in 
        which the government will deposit all payments received 
        under this chapter;
          [(2) the government will use amounts in the trust 
        fund (including interest) during a reasonable period;
          [(3) the government will expend the payments so 
        received, in accordance with the laws and procedures 
        that are applicable to the expenditure of revenues of 
        the government;
          [(4) if at least 25 percent of the pay of individuals 
        employed by the government in a public employee 
        occupation is paid out of the trust fund, individuals 
        in the occupation any part of whose pay is paid out of 
        the trust fund will receive pay at least equal to the 
        prevailing rate of pay for individuals employed in 
        similar public employee occupations by the government;
          [(5) all laborers and mechanics employed by 
        contractors or subcontractors in the performance of any 
        contract and subcontract for the repair, renovation, 
        alteration, or construction, including painting and 
        decorating, of any building or work that is financed in 
        whole or in part by a grant under this title, shall be 
        paid wages not less than those determined by the 
        Secretary of Labor in accordance with the Act of March 
        3, 1931 (commonly known as the Davis-Bacon Act); as 
        amended (40 U.S.C. 276a-276a-5). The Secretary of Labor 
        shall have the authority and functions set forth in 
        Reorganization Plan No. 14 of 1950 (15 FR 3176; 64 
        Stat. 1267) and section 2 of the Act of June 1, 1934 
        (commonly known as the Copeland Anti-Kickback Act), as 
        amended (40 U.S.C. 276c, 48 Stat. 948);
          [(6) the government will use accounting, audit, and 
        fiscal procedures that conform to guidelines which 
        shall be prescribed by the Secretary after consultation 
        with the Comptroller General of the United States. As 
        applicable, amounts received under this chapter shall 
        be audited in compliance with the Single Audit Act of 
        1984;
          [(7) after reasonable notice to the government, the 
        government will make available to the Secretary and the 
        Comptroller General of the United States, with the 
        right to inspect, records the Secretary reasonably 
        requires to review compliance with this chapter or the 
        Comptroller General of the United States reasonably 
        requires to review compliance and operations under 
        section 6718(b);
          [(8) the government will make reports the Secretary 
        reasonably requires, in addition to the annual reports 
        required under section 6719(b); and
          [(9) the government will spend the funds only for the 
        purposes set forth in section 6701(a)(2).
  [(e) Review by Governors.--A unit of general local government 
shall give the chief executive officer of the State in which 
the government is located an opportunity for review and comment 
before establishing compliance with subsection (d).
  [(f) Sanctions for Noncompliance.--
          [(1) In general.--If the Secretary decides that a 
        unit of general local government has not complied 
        substantially with subsection (d) or regulations 
        prescribed under subsection (d), the Secretary shall 
        notify the government. The notice shall state that if 
        the government does not take corrective action by the 
        60th day after the date the government receives the 
        notice, the Secretary will withhold additional payments 
        to the government for the current payment period and 
        later payment periods until the Secretary is satisfied 
        that the government--
                  [(A) has taken the appropriate corrective 
                action; and
                  [(B) will comply with subsection (d) and 
                regulations prescribed under subsection (d).
          [(2) Notice.--Before giving notice under paragraph 
        (1), the Secretary shall give the chief executive 
        officer of the unit of general local government 
        reasonable notice and an opportunity for comment.
          [(3) Payment conditions.--The Secretary may make a 
        payment to a unit of general local government notified 
        under paragraph (1) only if the Secretary is satisfied 
        that the government--
                  [(A) has taken the appropriate corrective 
                action; and
                  [(B) will comply with subsection (d) and 
                regulations prescribed under subsection (d).

[Sec. 6704. State area allocations; allocations and payments to 
                    territorial governments

  [(a) Formula Allocation by State.--For each payment period, 
the Secretary shall allocate to each State out of the amount 
appropriated for the period under the authority of section 
6702(b) (minus the amounts allocated to territorial governments 
under subsection (e) for the payment period) an amount bearing 
the same ratio to the amount appropriated (minus such amounts 
allocated under subsection (e)) as the amount allocated to the 
State under this section bears to the total amount allocated to 
all States under this section. The Secretary shall--
          [(1) determine the amount allocated to the State 
        under subsection (b) or (c) of this section and 
        allocate the larger amount to the State; and
          [(2) allocate the amount allocated to the State to 
        units of general local government in the State under 
        sections 6705 and 6706.
  [(b) General Formula.--
          [(1) In general.--For the payment period beginning 
        October 1, 1994, the amount allocated to a State under 
        this subsection for a payment period is the amount 
        bearing the same ratio to $5,300,000,000 as--
                  [(A) the population of the State, multiplied 
                by the general tax effort factor of the State 
                (determined under paragraph (2)), multiplied by 
                the relative income factor of the State 
                (determined under paragraph (3)), multiplied by 
                the relative rate of the labor force unemployed 
                in the State (determined under paragraph (4)); 
                bears to
                  [(B) the sum of the products determined under 
                subparagraph (A) of this paragraph for all 
                States.
          [(2) General tax effort factor.--The general tax 
        effort factor of a State for a payment period is--
                  [(A) the net amount of State and local taxes 
                of the State collected during the year 1991 as 
                reported by the Bureau of the Census in the 
                publication Government Finances 1990-1991; 
                divided by
                  [(B) the total income of individuals, as 
                determined by the Secretary of Commerce for 
                national accounts purposes for 1992 as reported 
                in the publication Survey of Current Business 
                (August 1993), attributed to the State for the 
                same year.
          [(3) Relative income factor.--The relative income 
        factor of a State is a fraction in which--
                  [(A) the numerator is the per capita income 
                of the United States; and
                  [(B) the denominator is the per capita income 
                of the State.
          [(4) Relative rate of labor force.--The relative rate 
        of the labor force unemployed in a State is a fraction 
        in which--
                  [(A) the numerator is the percentage of the 
                labor force of the State that is unemployed in 
                the calendar year preceding the payment period 
                (as determined by the Secretary of Labor for 
                general statistical purposes); and
                  [(B) the denominator is the percentage of the 
                labor force of the United States that is 
                unemployed in the calendar year preceding the 
                payment period (as determined by the Secretary 
                of Labor for general statistical purposes).
  [(c) Alternative Formula.--For the payment period beginning 
October 1, 1994, the amount allocated to a State under this 
subsection for a payment period is the total amount the State 
would receive if--
          [(1) $1,166,666,667 were allocated among the States 
        on the basis of population by allocating to each State 
        an amount bearing the same ratio to the total amount to 
        be allocated under this paragraph as the population of 
        the State bears to the population of all States;
          [(2) $1,166,666,667 were allocated among the States 
        on the basis of population inversely weighted for per 
        capita income, by allocating to each State an amount 
        bearing the same ratio to the total amount to be 
        allocated under this paragraph as--
                  [(A) the population of the State, multiplied 
                by a fraction in which--
                          [(i) the numerator is the per capita 
                        income of all States; and
                          [(ii) the denominator is the per 
                        capita income of the State; bears to
                  [(B) the sum of the products determined under 
                subparagraph (A) for all States;
          [(3) $600,000,000 were allocated among the States on 
        the basis of income tax collections by allocating to 
        each State an amount bearing the same ratio to the 
        total amount to be allocated under this paragraph as 
        the income tax amount of the State (determined under 
        subsection (d)(1)) bears to the sum of the income tax 
        amounts of all States;
          [(4) $600,000,000 were allocated among the States on 
        the basis of general tax effort by allocating to each 
        State an amount bearing the same ratio to the total 
        amount to be allocated under this paragraph as the 
        general tax effort amount of the State (determined 
        under subsection (d)(2)) bears to the sum of the 
        general tax effort amounts of all States;
          [(5) $600,000,000 were allocated among the States on 
        the basis of unemployment by allocating to each State 
        an amount bearing the same ratio to the total amount to 
        be allocated under this paragraph as--
                  [(A) the labor force of the State, multiplied 
                by a fraction in which--
                          [(i) the numerator is the percentage 
                        of the labor force of the State that is 
                        unemployed in the calendar year 
                        preceding the payment period (as 
                        determined by the Secretary of Labor 
                        for general statistical purposes); and
                          [(ii) the denominator is the 
                        percentage of the labor force of the 
                        United States that is unemployed in the 
                        calendar year preceding the payment 
                        period (as determined by the Secretary 
                        of Labor for general statistical 
                        purposes)
                bears to
                  [(B) the sum of the products determined under 
                subparagraph (A) for all States; and
          [(6) $1,166,666,667 were allocated among the States 
        on the basis of urbanized population by allocating to 
        each State an amount bearing the same ratio to the 
        total amount to be allocated under this paragraph as 
        the urbanized population of the State bears to the 
        urbanized population of all States. In this paragraph, 
        the term `urbanized population' means the population of 
        an area consisting of a central city or cities of at 
        least 50,000 inhabitants and the surrounding closely 
        settled area for the city or cities considered as an 
        urbanized area as published by the Bureau of the Census 
        for 1990 in the publication General Population 
        Characteristics for Urbanized Areas.
  [(d) Income Tax Amount and Tax Effort Amount.--
          [(1) Income tax amount.--The income tax amount of a 
        State for a payment period is 15 percent of the net 
        amount collected during the calendar year ending before 
        the beginning of the payment period from the tax 
        imposed on the income of individuals by the State and 
        described as a State income tax under section 164(a)(3) 
        of the Internal Revenue Code of 1986 (26 U.S.C. 
        164(a)(3)). The income tax amount for a payment period 
        shall be at least 1 percent but not more than 6 percent 
        of the United States Government individual income tax 
        liability attributed to the State for the taxable year 
        ending during the last calendar year ending before the 
        beginning of the payment period. The Secretary shall 
        determine the Government income tax liability 
        attributed to the State by using the data published by 
        the Secretary for 1991 in the publication Statistics of 
        Income Bulletin (Winter 1993-1994).
          [(2) General tax effort amount.--The general tax 
        effort amount of a State for a payment period is the 
        amount determined by multiplying--
                  [(A) the net amount of State and local taxes 
                of the State collected during the year 1991 as 
                reported in the Bureau of Census in the 
                publication Government Finances 1990-1991; and
                  [(B) the general tax effort factor of the 
                State determined under subsection (b)(2).
  [(e) Allocation for Puerto Rico, Guam, American Samoa, and 
the Virgin Islands.--
          [(1) In general.--(A) For each payment period for 
        which funds are available for allocation under this 
        chapter, the Secretary shall allocate to each 
        territorial government an amount equal to the product 
        of 1 percent of the amount of funds available for 
        allocation multiplied by the applicable territorial 
        percentage.
          [(B) For the purposes of this paragraph, the 
        applicable territorial percentage of a territory is 
        equal to the quotient resulting from the division of 
        the territorial population of such territory by the sum 
        of the territorial population for all territories.
          [(2) Payments to local governments.--The governments 
        of the territories shall make payments to local 
        governments within their jurisdiction from sums 
        received under this subsection as they consider 
        appropriate.
          [(3) Definitions.--For purposes of this subsection--
                  [(A) the term `territorial government' means 
                the government of a territory;
                  [(B) the term `territory' means Puerto Rico, 
                Guam, American Samoa, and the Virgin Islands; 
                and
                  [(C) the term `territorial population' means 
                the most recent population for each territory 
                as determined by the Bureau of Census.

[Sec. 6705. Local government allocations

  [(a) Indian Tribes and Alaskan Natives Villages.--If there is 
in a State an Indian tribe or Alaskan native village having a 
recognized governing body carrying out substantial governmental 
duties and powers, the Secretary shall allocate to the tribe or 
village, out of the amount allocated to the State under section 
6704, an amount bearing the same ratio to the amount allocated 
to the State as the population of the tribe or village bears to 
the population of the State. The Secretary shall allocate 
amounts under this subsection to Indian tribes and Alaskan 
native villages in a State before allocating amounts to units 
of general local government in the State under subsection (c). 
For the payment period beginning October 1, 1994, the Secretary 
shall use as the population of each Indian tribe or Alaskan 
native village the population for 1991 as reported by the 
Bureau of Indian Affairs in the publication Indian Service 
Population and Labor Force Estimates (January 1991). In 
addition to uses authorized under section 6701(a)(2), amounts 
allocated under this subsection and paid to an Indian tribe or 
Alaskan native village under this chapter may be used for 
renovating or building prisons or other correctional 
facilities.
  [(b) Newly Incorporated Local Governments and Annexed 
Governments.--If there is in a State a unit of general local 
government that has been incorporated since the date of the 
collection of the data used by the Secretary in making 
allocations pursuant to sections 6704 through 6706 and 6708, 
the Secretary shall allocate to this newly incorporated local 
government, out of the amount allocated to the State under 
section 6704, an amount bearing the same ratio to the amount 
allocated to the State as the population of the newly 
incorporated local government bears to the population of the 
State. If there is in the State a unit of general local 
government that has been annexed since the date of the 
collection of the data used by the Secretary in making 
allocations pursuant to sections 6704 through 6706 and 6708, 
the Secretary shall pay the amount that would have been 
allocated to this local government to the unit of general local 
government that annexed it.
  [(c) Other Local Government Allocations.--
          [(1) In general.--The Secretary shall allocate among 
        the units of general local government in a State (other 
        than units receiving allocations under subsection (a)) 
        the amount allocated to the State under section 6704 
        (as that amount is reduced by allocations under 
        subsection (a)). Of the amount to be allocated, the 
        Secretary shall allocate a portion equal to \1/2\ of 
        such amount in accordance with section 6706(1), and 
        shall allocate a portion equal to \1/2\ of such amount 
        in accordance with section 6706(2). A unit of general 
        local government shall receive an amount equal to the 
        sum of amounts allocated to the unit from each portion.
          [(2) Ratio.--From each portion to be allocated to 
        units of local government in a State under paragraph 
        (1), the Secretary shall allocate to a unit an amount 
        bearing the same ratio to the funds to be allocated 
        as--
                  [(A) the population of the unit, multiplied 
                by the general tax effort factor of the unit 
                (determined under paragraph (3)), multiplied by 
                the income gap of the unit (determined under 
                paragraph (4)), bears to
                  [(B) the sum of the products determined under 
                subparagraph (A) for all units in the State for 
                which the income gap for that portion under 
                paragraph (4) is greater than zero.
          [(3) General tax effort factor.--(A) Except as 
        provided in subparagraph (C), the general tax effort 
        factor of a unit of general local government for a 
        payment period is--
                  [(i) the adjusted taxes of the unit; divided 
                by
                  [(ii) the total income attributed to the 
                unit.
          [(B) If the amount determined under subparagraphs (A) 
        (i) and (ii) for a unit of general local government is 
        less than zero, the general tax effort factor of the 
        unit is deemed to be zero.
          [(C)(i) Except as otherwise provided in this 
        subparagraph, for the payment period beginning October 
        1, 1994, the adjusted taxes of a unit of general local 
        government are the taxes imposed by the unit for public 
        purposes (except employee and employer assessments and 
        contributions to finance retirement and social 
        insurance systems and other special assessments for 
        capital outlay), as determined by the Bureau of the 
        Census for the 1987 Census of Governments and adjusted 
        as follows:
                  [(I) Adjusted taxes equals total taxes times 
                a fraction in which the numerator is the sum of 
                unrestricted revenues and revenues dedicated 
                for spending on education minus total education 
                spending and the denominator is total 
                unrestricted revenues.
                  [(II) Total taxes is the sum of property tax; 
                general sales tax; alcoholic beverage tax; 
                amusement tax; insurance premium tax; motor 
                fuels tax; parimutuels tax; public utilities 
                tax; tobacco tax; other selective sales tax; 
                alcoholic beverage licenses, amusement 
                licenses; corporation licenses, hunting and 
                fishing licenses; motor vehicle licenses; motor 
                vehicle operator licenses; public utility 
                licenses; occupation and business licenses, not 
                elsewhere classified; other licenses, 
                individual income tax; corporation net income 
                tax; death and gift tax; documentary and stock 
                transfer tax; severance tax; and taxes not 
                elsewhere classified.
                  [(III) Unrestricted revenues is the sum of 
                total taxes and intergovernmental revenue from 
                Federal Government, general revenue sharing; 
                intergovernmental revenue from Federal 
                Government, other general support; 
                intergovernmental revenue from Federal 
                Government, other; intergovernmental revenue 
                from State government, other general support; 
                intergovernmental revenue from State 
                government, other; intergovernmental revenue 
                from local governments, other general support; 
                intergovernmental revenue from local 
                governments, other; miscellaneous general 
                revenue, property sale-housing and community 
                development; miscellaneous general revenue, 
                property sale-other property; miscellaneous 
                general revenue, interest earnings on 
                investments; miscellaneous general revenue, 
                fines and forfeits; miscellaneous general 
                revenue, rents; miscellaneous general revenues, 
                royalties; miscellaneous general revenue, 
                donations from private sources; miscellaneous 
                general revenue, net lottery revenue (after 
                prizes and administrative expenses); 
                miscellaneous general revenue, other 
                miscellaneous general revenue; and all other 
                general charges, not elsewhere classified.
                  [(IV) Revenues dedicated for spending on 
                education is the sum of elementary and 
                secondary education, school lunch; elementary 
                and secondary education, tuition; elementary 
                and secondary education, other; higher 
                education, auxiliary enterprises; higher 
                education, other; other education, not 
                elsewhere classified; intergovernmental revenue 
                from Federal Government, education; 
                intergovernmental revenue from State 
                government, education; intergovernmental 
                revenue from local governments, interschool 
                system revenue; intergovernmental revenue from 
                local governments, education; interest 
                earnings, higher education; interest earnings, 
                elementary and secondary education; 
                miscellaneous revenues, higher education; and 
                miscellaneous revenues, elementary and 
                secondary education.
                  [(V) Total education spending is the sum of 
                elementary and secondary education, current 
                operations; elementary and secondary education, 
                construction; elementary and secondary 
                education, other capital outlays; elementary 
                and secondary education, to State governments; 
                elementary and secondary education, to local 
                governments, not elsewhere classified; 
                elementary and secondary education, to 
                counties; elementary and secondary education, 
                to municipalities; elementary and secondary 
                education, to townships; elementary and 
                secondary education, to school districts; 
                elementary and secondary education, to special 
                districts; higher education-auxiliary 
                enterprises, current operations; higher 
                education-auxiliary enterprises, construction; 
                higher education, auxiliary enterprises, other 
                capital outlays; other higher education, 
                current operations; other higher education, 
                construction; other higher education, other 
                capital outlays; other higher education, to 
                State government; other higher education, to 
                local governments, not elsewhere classified; 
                other higher education, to counties; other 
                higher education, to municipalities; other 
                higher education, to townships; other higher 
                education, to school districts; other higher 
                education, to special districts; education 
                assistance and subsidies; education, not 
                elsewhere classified, current operations; 
                education, not elsewhere classified, 
                construction education, not elsewhere 
                classified, other capital outlays; education, 
                not elsewhere classified, to State government; 
                education, not elsewhere classified, to local 
                governments, not elsewhere classified; 
                education, not elsewhere classified, to 
                counties; education, not elsewhere classified, 
                to municipalities; education, not elsewhere 
                classified, to townships; education, not 
                elsewhere classified, to school districts; 
                education, not elsewhere classified, to special 
                districts; and education, not elsewhere 
                classified, to Federal Government.
                  [(VI) If the amount of adjusted taxes is less 
                than zero, the amount of adjusted tax shall be 
                deemed to be zero.
                  [(VII) If the amount of adjusted taxes 
                exceeds the amount of total taxes, the amount 
                of adjusted taxes is deemed to equal the amount 
                of total taxes.
          [(ii) The Secretary shall, for purposes of clause 
        (i), include that part of sales taxes transferred to a 
        unit of general local government that are imposed by a 
        county government in the geographic area of which is 
        located the unit of general local government as taxes 
        imposed by the unit for public purposes if--
                  [(I) the county government transfers any part 
                of the revenue from the taxes to the unit of 
                general local government without specifying the 
                purpose for which the unit of general local 
                government may expend the revenue; and
                  [(II) the chief executive officer of the 
                State notifies the Secretary that the taxes 
                satisfy the requirements of this clause.
          [(iii) The adjusted taxes of a unit of general local 
        government shall not exceed the maximum allowable 
        adjusted taxes for that unit.
          [(iv) The maximum allowable adjusted taxes for a unit 
        of general local government is the allowable adjusted 
        taxes of the unit minus the excess adjusted taxes of 
        the unit.
          [(v) The allowable adjusted taxes of a unit of 
        general government is the greater of--
                  [(I) the amount equal to 2.5, multiplied by 
                the per capita adjusted taxes of all units of 
                general local government of the same type in 
                the State, multiplied by the population of the 
                unit; or
                  [(II) the amount equal to the population of 
                the unit, multiplied by the sum of the adjusted 
                taxes of all units of municipal local 
                government in the State, divided by the sum of 
                the populations of all the units of municipal 
                local government in the State.
          [(vi) The excess adjusted taxes of a unit of general 
        local government is the amount equal to--
                  [(I) the adjusted taxes of the unit, minus
                  [(II) 1.5 multiplied by the allowable 
                adjusted taxes of the unit;
        except that if this amount is less than zero then the 
        excess adjusted taxes of the unit is deemed to be zero.
          [(vii) For purposes of this subparagraph--
                  [(I) the term `per capita adjusted taxes of 
                all units of general local government of the 
                same type' means the sum of the adjusted taxes 
                of all units of general local government of the 
                same type divided by the sum of the populations 
                of all units of general local government of the 
                same type; and
                  [(II) the term `units of general local 
                government of the same type' means all 
                townships if the unit of general local 
                government is a township, all municipalities if 
                the unit of general local government is a 
                municipality, all counties if the unit of 
                general local government is a county, or all 
                unified city/county governments if the unit of 
                general local government is a unified city/
                county government.
          [(4) Income gap.--(A) Except as provided in 
        subparagraph (B), the income gap of a unit of general 
        local government is--
                  [(i) the number which applies under section 
                6706, multiplied by the per capita income of 
                the State in which the unit is located; minus
                  [(ii) the per capita income of the geographic 
                area of the unit.
          [(B) If the amount determined under subparagraph (A) 
        for a unit of general local government is less than 
        zero, then the relative income factor of the unit is 
        deemed to be zero.
  [(d) Small Government Allocations.--If the Secretary decides 
that information available for a unit of general local 
government with a population below a number (of not more than 
500) prescribed by the Secretary is inadequate, the Secretary 
may allocate to the unit, in lieu of any allocation under 
subsection (b) for a payment period, an amount bearing the same 
ratio to the total amount to be allocated under subsection (b) 
for the period for all units of general local government in the 
State as the population of the unit bears to the population of 
all units in the State.

[Sec. 6706. Income gap multiplier

  [For purposes of determining the income gap of a unit of 
general local government under section 6705(b)(4)(A), the 
number which applies is--
          [(1) 1.6, with respect to \1/2\ of any amount 
        allocated under section 6704 to the State in which the 
        unit is located; and
          [(2) 1.2, with respect to the remainder of such 
        amount.

[Sec. 6707. State variation of local government allocations

    [(a) State Formula.--A State government may provide by law 
for the allocation of amounts among units of general local 
government in the State on the basis of population multiplied 
by the general tax effort factors or income gaps of the units 
of general local government determined under sections 6705 (a) 
and (b) or a combination of those factors. A State government 
providing for a variation of an allocation formula provided 
under sections 6705 (a) and (b) shall notify the Secretary of 
the variation by the 30th day before the beginning of the first 
payment period in which the variation applies. A variation 
shall--
          [(1) provide for allocating the total amount 
        allocated under sections 6705 (a) and (b); and
          [(2) apply uniformly in the State.
    [(b) Certification.--A variation by a State government 
under this section may apply only if the Secretary certifies 
that the variation complies with this section. The Secretary 
may certify a variation only if the Secretary is notified of 
the variation at least 30 days before the first payment period 
in which the variation applies.

[Sec. 6708. Adjustments of local government allocations

    [(a) Maximum Amount.--The amount allocated to a unit of 
general local government for a payment period may not exceed 
the adjusted taxes imposed by the unit of general local 
government as determined under section 6705(b)(3). Amounts in 
excess of adjusted taxes shall be paid to the Governor of the 
State in which the unit of local government is located.
    [(b) De Minimis Allocations to Units of General Local 
Government.--If the amount allocated to a unit of general local 
government (except an Indian tribe or an Alaskan native 
village) for a payment period would be less than $5,000 but for 
this subsection or is waived by the governing authority of the 
unit of general local government, the Secretary shall pay the 
amount to the Governor of the State in which the unit is 
located.
    [(c) Use of Payments to States.--The Governor of a State 
shall use all amounts paid to the Governor under subsections 
(a) and (b) for programs described in section 6701(a)(2) in 
areas of the State where are located the units of general local 
government with respect to which amounts are paid under 
subsection (b).
    [(d) De Minimis Allocations to Indian Tribes and Alaskan 
Native Villages.--
          [(1) Aggregation of de minimis allocations.--If the 
        amount allocated to an Indian tribe or an Alaskan 
        native village for a payment period would be less than 
        $5,000 but for this subsection or is waived by the 
        chief elected official of the tribe or village, the 
        amount--
                  [(A) shall not be paid to the tribe or 
                village (except under paragraph (2)); and
                  [(B) shall be aggregated with other such 
                amounts and available for use by the Attorney 
                General under paragraph (2).
          [(2) Use of aggregated amounts.--Amounts aggregated 
        under paragraph (1) for a payment period shall be 
        available for use by the Attorney General to make 
        grants in the payment period on a competitive basis to 
        Indian Tribes and Alaskan native village for--
                  [(A) programs described in section 
                6701(a)(2); or
                  [(B) renovating or building prisons or other 
                correctional facilities.

[Sec. 6709. Information used in allocation formulas

    [(a) Population Data for Payment Period Beginning October 
1, 1994.--For the payment period beginning October 1, 1994, the 
Secretary, in making allocations pursuant to sections 6704 
through 6706 and 6708, shall use for the population of the 
States the population for 1992 as reported by the Bureau of the 
Census in the publication Current Population Reports, Series P-
25, No. 1045 (July 1992) and for the population of units of 
general local government the Secretary shall use the population 
for 1990 as reported by the Bureau of the Census in the 
publication Summary Social, Economic, and Housing 
Characteristics.
    [(b) Data for Payment Periods Beginning After September 30, 
1995.--For any payment period beginning after September 30, 
1995, the Secretary, in making allocations pursuant to sections 
6704 through 6706 and 6708, shall use information more recent 
than the information used for the payment period beginning 
October 1, 1994, provided the Secretary notifies the Committee 
on Government Operations of the House of Representatives at 
least 90 days prior to the beginning of the payment period that 
the Secretary has determined that the more recent information 
is more reliable than the information used for the payment 
period beginning October 1, 1994.

[Sec. 6710. Public participation

    [(a) Hearings.--
          [(1) In general.--A unit of general local government 
        expending payments under this chapter shall hold at 
        least one public hearing on the proposed use of the 
        payment in relation to its entire budget. At the 
        hearing, persons shall be given an opportunity to 
        provide written and oral views to the governmental 
        authority responsible for enacting the budget and to 
        ask questions about the entire budget and the relation 
        of the payment to the entire budget. The government 
        shall hold the hearing at a time and a place that 
        allows and encourages public attendance and 
        participation.
          [(2) Senior citizens.--A unit of general local 
        government holding a hearing required under this 
        subsection or by the budget process of the government 
        shall try to provide senior citizens and senior citizen 
        organizations with an opportunity to present views at 
        the hearing before the government makes a final 
        decision on the use of the payment.
    [(b) Disclosure of Information.--
          [(1) In general.--By the 10th day before a hearing 
        required under subsection (a)(1) is held, a unit of 
        general local government shall--
                  [(A) make available for inspection by the 
                public at the principal office of the 
                government a statement of the proposed use of 
                the payment and a summary of the proposed 
                budget of the government; and
                  [(B) publish in at least one newspaper of 
                general circulation the proposed use of the 
                payment with the summary of the proposed budget 
                and a notice of the time and place of the 
                hearing.
          [(2) Availability.--By the 30th day after adoption of 
        the budget under State or local law, the government 
        shall--
                  [(A) make available for inspection by the 
                public at the principal office of the 
                government a summary of the adopted budget, 
                including the proposed use of the payment; and
                  [(B) publish in at least one newspaper of 
                general circulation a notice that the 
                information referred to in subparagraph (A) is 
                available for inspection.
    [(c) Waivers of Requirements.--A requirement--
          [(1) under subsection (a)(1) may be waived if the 
        budget process required under the applicable State or 
        local law or charter provisions--
                  [(A) ensures the opportunity for public 
                attendance and participation contemplated by 
                subsection (a); and
                  [(B) includes a hearing on the proposed use 
                of a payment received under this chapter in 
                relation to the entire budget of the 
                government; and
          [(2) under subsection (b)(1)(B) and paragraph (2)(B) 
        may be waived if the cost of publishing the information 
        would be unreasonably burdensome in relation to the 
        amount allocated to the government from amounts 
        available for payment under this chapter, or if 
        publication is otherwise impracticable.
    [(d) Exception to 10-Day Limitation.--If the Secretary is 
satisfied that a unit of general local government will provide 
adequate notice of the proposed use of a payment received under 
this chapter, the 10-day period under subsection (b)(1) may be 
changed to the extent necessary to comply with applicable State 
or local law.

[Sec. 6711. Prohibited discrimination

    [(a) General Prohibition.--No person in the United States 
shall be excluded from participating in, be denied the benefits 
of, or be subject to discrimination under, a program or 
activity of a unit of general local government because of race, 
color, national origin, or sex if the government receives a 
payment under this chapter.
    [(b) Additional Prohibitions.--The following prohibitions 
and exemptions also apply to a program or activity of a unit of 
general local government if the government receives a payment 
under this chapter:
          [(1) A prohibition against discrimination because of 
        age under the Age Discrimination Act of 1975.
          [(2) A prohibition against discrimination against an 
        otherwise qualified handicapped individual under 
        section 504 of the Rehabilitation Act of 1973.
          [(3) A prohibition against discrimination because of 
        religion, or an exemption from that prohibition, under 
        the Civil Rights Act of 1964 or title VIII of the Act 
        of April 11, 1968 (popularly known as the Civil Rights 
        Act of 1968).
    [(c) Limitations on Applicability of Prohibitions.--
Subsections (a) and (b) do not apply if the government shows, 
by clear and convincing evidence, that a payment received under 
this chapter is not used to pay for any part of the program or 
activity with respect to which the allegation of discrimination 
is made.
    [(d) Investigation Agreements.--The Secretary shall try to 
make agreements with heads of agencies of the United States 
Government and State agencies to investigate noncompliance with 
this section. An agreement shall--
          [(1) describe the cooperative efforts to be taken 
        (including sharing civil rights enforcement personnel 
        and resources) to obtain compliance with this section; 
        and
          [(2) provide for notifying immediately the Secretary 
        of actions brought by the United States Government or 
        State agencies against a unit of general local 
        government alleging a violation of a civil rights law 
        or a regulation prescribed under a civil rights law.

[Sec. 6712. Discrimination proceedings

    [(a) Notice of Noncompliance.--By the 10th day after the 
Secretary makes a finding of discrimination or receives a 
holding of discrimination about a unit of general local 
government, the Secretary shall submit a notice of 
noncompliance to the government. The notice shall state the 
basis of the finding or holding.
    [(b) Informal Presentation of Evidence.--A unit of general 
local government may present evidence informally to the 
Secretary within 30 days after the government receives a notice 
of noncompliance from the Secretary. Except as provided in 
subsection (e), the government may present evidence on 
whether--
          [(1) a person in the United States has been excluded 
        or denied benefits of, or discriminated against under, 
        the program or activity of the government, in violation 
        of section 6711(a);
          [(2) the program or activity of the government 
        violated a prohibition described in section 6711(b); 
        and
          [(3) any part of that program or activity has been 
        paid for with a payment received under this chapter.
    [(c) Temporary Suspension of Payments.--By the end of the 
30-day period under subsection (b), the Secretary shall decide 
whether the unit of general local government has not complied 
with section 6711 (a) or (b), unless the government has entered 
into a compliance agreement under section 6714. If the 
Secretary decides that the government has not complied, the 
Secretary shall notify the government of the decision and shall 
suspend payments to the government under this chapter unless, 
within 10 days after the government receives notice of the 
decision, the government--
          [(1) enters into a compliance agreement under section 
        6714; or
          [(2) requests a proceeding under subsection (d)(1).
    [(d) Administrative Review of Suspensions.--
          [(1) Proceeding.--A proceeding requested under 
        subsection (c)(2) shall begin by the 30th day after the 
        Secretary receives a request for the proceeding. The 
        proceeding shall be before an administrative law judge 
        appointed under section 3105 of title 5, United States 
        Code. By the 30th day after the beginning of the 
        proceeding, the judge shall issue a preliminary 
        decision based on the record at the time on whether the 
        unit of general local government is likely to prevail 
        in showing compliance with section 6711 (a) or (b).
          [(2) Decision.--If the administrative law judge 
        decides at the end of a proceeding under paragraph (1) 
        that the unit of general local government has--
                  [(A) not complied with section 6711 (a) or 
                (b), the judge may order payments to the 
                government under this chapter terminated; or
                  [(B) complied with section 6711 (a) or (b), a 
                suspension under section 6713(a)(1)(A) shall be 
                discontinued promptly.
          [(3) Likelihood of prevailing.--An administrative law 
        judge may not issue a preliminary decision that the 
        government is not likely to prevail if the judge has 
        issued a decision described in paragraph (2)(A).
  [(e) Basis for Review.--In a proceeding under subsections (b) 
through (d) on a program or activity of a unit of general local 
government about which a holding of discrimination has been 
made, the Secretary or administrative law judge may consider 
only whether a payment under this chapter was used to pay for 
any part of the program or activity. The holding of 
discrimination is conclusive. If the holding is reversed by an 
appellate court, the Secretary or judge shall end the 
proceeding.

[Sec. 6713. Suspension and termination of payments in discrimination 
                    proceedings

  [(a) Imposition and Continuation of Suspensions.--
          [(1) In general.--The Secretary shall suspend payment 
        under this chapter to a unit of general local 
        government--
                  [(A) if an administrative law judge appointed 
                under section 3105 of title 5, United States 
                Code, issues a preliminary decision in a 
                proceeding under section 6712(d)(1) that the 
                government is not likely to prevail in showing 
                compliance with section 6711 (a) and (b);
                  [(B) if the administrative law judge decides 
                at the end of the proceeding that the 
                government has not complied with section 6711 
                (a) or (b), unless the government makes a 
                compliance agreement under section 6714 by the 
                30th day after the decision; or
                  [(C) if required under section 6712(c).
          [(2) Effectiveness.--A suspension already ordered 
        under paragraph (1)(A) continues in effect if the 
        administrative law judge makes a decision under 
        paragraph (1)(B).
  [(b) Lifting of Suspensions and Terminations.--If a holding 
of discrimination is reversed by an appellate court, a 
suspension or termination of payments in a proceeding based on 
the holding shall be discontinued.
  [(c) Resumption of Payments Upon Attaining Compliance.--The 
Secretary may resume payment to a unit of general local 
government of payments suspended by the Secretary only--
          [(1) as of the time of, and under the conditions 
        stated in--
                  [(A) the approval by the Secretary of a 
                compliance agreement under section 6714(a)(1); 
                or
                  [(B) a compliance agreement entered into by 
                the Secretary under section 6714(a)(2);
          [(2) if the government complies completely with an 
        order of a United States court, a State court, or 
        administrative law judge that covers all matters raised 
        in a notice of noncompliance submitted by the Secretary 
        under section 6712(a);
          [(3) if a United States court, a State court, or an 
        administrative law judge decides (including a judge in 
        a proceeding under section 6712(d)(1)), that the 
        government has complied with sections 6711 (a) and (b); 
        or
          [(4) if a suspension is discontinued under subsection 
        (b).
  [(d) Payment of Damages as Compliance.--For purposes of 
subsection (c)(2), compliance by a government may consist of 
the payment of restitution to a person injured because the 
government did not comply with section 6711 (a) or (b).
  [(e) Resumption of Payments Upon Reversal by Court.--The 
Secretary may resume payment to a unit of general local 
government of payments terminated under section 6712(d)(2)(A) 
only if the decision resulting in the termination is reversed 
by an appellate court.

[Sec. 6714. Compliance agreements

  [(a) Types of Compliance Agreements.--A compliance agreement 
is an agreement--
          [(1) approved by the Secretary, between the 
        governmental authority responsible for prosecuting a 
        claim or complaint that is the basis of a holding of 
        discrimination and the chief executive officer of the 
        unit of general local government that has not complied 
        with section 6711 (a) or (b); or
          [(2) between the Secretary and the chief executive 
        officer.
  [(b) Contents of Agreements.--A compliance agreement--
          [(1) shall state the conditions the unit of general 
        local government has agreed to comply with that would 
        satisfy the obligations of the government under 
        sections 6711 (a) and (b);
          [(2) shall cover each matter that has been found not 
        to comply, or would not comply, with section 6711 (a) 
        or (b); and
          [(3) may be a series of agreements that dispose of 
        those matters.
  [(c) Availability of Agreements to Parties.--The Secretary 
shall submit a copy of a compliance agreement to each person 
who filed a complaint referred to in section 6716(b), or, if an 
agreement under subsection (a)(1), each person who filed a 
complaint with a governmental authority, about a failure to 
comply with section 6711 (a) or (b). The Secretary shall submit 
the copy by the 15th day after an agreement is made. However, 
if the Secretary approves an agreement under subsection (a)(1) 
after the agreement is made, the Secretary may submit the copy 
by the 15th day after approval of the agreement.

[Sec. 6715. Enforcement by the Attorney General of prohibitions on 
                    discrimination

  [The Attorney General may bring a civil action in an 
appropriate district court of the United States against a unit 
of general local government that the Attorney General has 
reason to believe has engaged or is engaging in a pattern or 
practice in violation of section 6711 (a) or (b). The court may 
grant--
          [(1) a temporary restraining order;
          [(2) an injunction; or
          [(3) an appropriate order to ensure enjoyment of 
        rights under section 6711 (a) or (b), including an 
        order suspending, terminating, or requiring repayment 
        of, payments under this chapter or placing additional 
        payments under this chapter in escrow pending the 
        outcome of the action.

[Sec. 6716. Civil action by a person adversely affected

  [(a) Authority for Private Suits in Federal or State Court.--
If a unit of general local government, or an officer or 
employee of a unit of general local government acting in an 
official capacity, engages in a practice prohibited by this 
chapter, a person adversely affected by the practice may bring 
a civil action in an appropriate district court of the United 
States or a State court of general jurisdiction. Before 
bringing an action under this section, the person must exhaust 
administrative remedies under subsection (b).
  [(b) Administrative Remedies Required To Be Exhausted.--A 
person adversely affected shall file an administrative 
complaint with the Secretary or the head of another agency of 
the United States Government or the State agency with which the 
Secretary has an agreement under section 6711(d). 
Administrative remedies are deemed to be exhausted by the 
person after the 90th day after the complaint was filed if the 
Secretary, the head of the Government agency, or the State 
agency--
          [(1) issues a decision that the government has not 
        failed to comply with this chapter; or
          [(2) does not issue a decision on the complaint.
  [(c) Authority of Court.--In an action under this section, 
the court--
          [(1) may grant--
                  [(A) a temporary restraining order;
                  [(B) an injunction; or
                  [(C) another order, including suspension, 
                termination, or repayment of, payments under 
                this chapter or placement of additional 
                payments under this chapter in escrow pending 
                the outcome of the action; and
          [(2) to enforce compliance with section 6711 (a) or 
        (b), may allow a prevailing party (except the United 
        States Government) a reasonable attorney's fee.
  [(d) Intervention by Attorney General.--In an action under 
this section to enforce compliance with section 6711 (a) or 
(b), the Attorney General may intervene in the action if the 
Attorney General certifies that the action is of general public 
importance. The United States Government is entitled to the 
same relief as if the Government had brought the action and is 
liable for the same fees and costs as a private person.

[Sec. 6717. Judicial review

  [(a) Appeals in Federal Court of Appeals.--A unit of general 
local government which receives notice from the Secretary about 
withholding payments under section 6703(f), suspending payments 
under section 6713(a)(1)(B), or terminating payments under 
section 6712(d)(2)(A), may apply for review of the action of 
the Secretary by filing a petition for review with the court of 
appeals of the United States for the circuit in which the 
government is located. The petition shall be filed by the 60th 
day after the date the notice is received. The clerk of the 
court shall immediately send a copy of the petition to the 
Secretary.
  [(b) Filing of Record of Administrative Proceeding.--The 
Secretary shall file with the court a record of the proceeding 
on which the Secretary based the action. The court may consider 
only objections to the action of the Secretary that were 
presented before the Secretary.
  [(c) Court Action.--The court may affirm, change, or set 
aside any part of the action of the Secretary. The findings of 
fact by the Secretary are conclusive if supported by 
substantial evidence in the record. If a finding is not 
supported by substantial evidence in the record, the court may 
remand the case to the Secretary to take additional evidence. 
Upon such a remand, the Secretary may make new or modified 
findings and shall certify additional proceedings to the court.
  [(d) Review Only by Supreme Court.--A judgment of a court 
under this section may be reviewed only by the Supreme Court 
under section 1254 of title 28, United States Code.

[Sec. 6718. Investigations and reviews

  [(a) Investigations by Secretary.--
          [(1) In general.--The Secretary shall within a 
        reasonable time limit--
                  [(A) carry out an investigation and make a 
                finding after receiving a complaint referred to 
                in section 6716(b), a determination by a State 
                or local administrative agency, or other 
                information about a possible violation of this 
                chapter;
                  [(B) carry out audits and reviews (including 
                investigations of allegations) about possible 
                violations of this chapter; and
                  [(C) advise a complainant of the status of an 
                audit, investigation, or review of an 
                allegation by the complainant of a violation of 
                section 6711 (a) or (b) or other provision of 
                this chapter.
          [(2) Time limit.--The maximum time limit under 
        paragraph (1)(A) is 120 days.
  [(b) Reviews by Comptroller General.--The Comptroller General 
of the United States shall carry out reviews of the activities 
of the Secretary, State governments, and units of general local 
government necessary for the Congress to evaluate compliance 
and operations under this chapter. These reviews shall include 
a comparison of the waste and inefficiency of local governments 
using funds under this chapter compared to waste and 
inefficiency with other comparable Federal programs.

[Sec. 6719. Reports

  [(a) Reports by Secretary to Congress.--Before June 2 of each 
year prior to 2002, the Secretary personally shall report to 
the Congress on--
          [(1) the status and operation of the Local Government 
        Fiscal Assistance Fund during the prior fiscal year; 
        and
          [(2) the administration of this chapter, including a 
        complete and detailed analysis of--
                  [(A) actions taken to comply with sections 
                6711 through 6715, including a description of 
                the kind and extent of noncompliance and the 
                status of pending complaints;
                  [(B) the extent to which units of general 
                local government receiving payments under this 
                chapter have complied with the requirements of 
                this chapter;
                  [(C) the way in which payments under this 
                chapter have been distributed in the 
                jurisdictions receiving payments; and
                  [(D) significant problems in carrying out 
                this chapter and recommendations for 
                legislation to remedy the problems.
  [(b) Reports by Units of General Local Government to 
Secretary.--
          [(1) In general.--At the end of each fiscal year, 
        each unit of general local government which received a 
        payment under this chapter for the fiscal year shall 
        submit a report to the Secretary. The report shall be 
        submitted in the form and at a time prescribed by the 
        Secretary and shall be available to the public for 
        inspection. The report shall state--
                  [(A) the amounts and purposes for which the 
                payment has been appropriated, expended, or 
                obligated in the fiscal year;
                  [(B) the relationship of the payment to the 
                relevant functional items in the budget of the 
                government; and
                  [(C) the differences between the actual and 
                proposed use of the payment.
          [(2) Availability of report.--The Secretary shall 
        provide a copy of a report submitted under paragraph 
        (1) by a unit of general local government to the chief 
        executive officer of the State in which the government 
        is located. The Secretary shall provide the report in 
        the manner and form prescribed by the Secretary.

[Sec. 6720. Definitions, application, and administration

  [(a) Definitions.--In this chapter--
          [(1) `unit of general local government' means--
                  [(A) a county, township, city, or political 
                subdivision of a county, township, or city, 
                that is a unit of general local government as 
                determined by the Secretary of Commerce for 
                general statistical purposes; and
                  [(B) the District of Columbia and the 
                recognized governing body of an Indian tribe or 
                Alaskan Native village that carries out 
                substantial governmental duties and powers;
          [(2) `payment period' means each 1-year period 
        beginning on October 1 of the years 1994 through 2000;
          [(3) `State and local taxes' means taxes imposed by a 
        State government or unit of general local government or 
        other political subdivision of a State government for 
        public purposes (except employee and employer 
        assessments and contributions to finance retirement and 
        social insurance systems and other special assessments 
        for capital outlay) as determined by the Secretary of 
        Commerce for general statistical purposes;
          [(4) `State' means any of the several States and the 
        District of Columbia;
          [(5) `income' means the total money income received 
        from all sources as determined by the Secretary of 
        Commerce for general statistical purposes, which for 
        units of general local government is reported by the 
        Bureau of the Census for 1990 in the publication 
        Summary Social, Economic, and Housing Characteristics;
          [(6) `per capita income' means--
                  [(A) in the case of the United States, the 
                income of the United States divided by the 
                population of the United States;
                  [(B) in the case of a State, the income of 
                that State, divided by the population of that 
                State; and
                  [(C) in the case of a unit of general local 
                government, the income of that unit of general 
                local government divided by the population of 
                the unit of general local government;
          [(7) `finding of discrimination' means a decision by 
        the Secretary about a complaint described in section 
        6716(b), a decision by a State or local administrative 
        agency, or other information (under regulations 
        prescribed by the Secretary) that it is more likely 
        than not that a unit of general local government has 
        not complied with section 6711 (a) or (b);
          [(8) `holding of discrimination' means a holding by a 
        United States court, a State court, or an 
        administrative law judge appointed under section 3105 
        of title 5, United States Code, that a unit of general 
        local government expending amounts received under this 
        chapter has--
                  [(A) excluded a person in the United States 
                from participating in, denied the person the 
                benefits of, or subjected the person to 
                discrimination under, a program or activity 
                because of race, color, national origin, or 
                sex; or
                  [(B) violated a prohibition against 
                discrimination described in section 6711(b); 
                and
          [(9) `Secretary' means the Secretary of Housing and 
        Urban Development.
  [(b) Delegation of Administration.--The Secretary may enter 
into agreements with other executive branch departments and 
agencies to delegate to that department or agency all or part 
of the Secretary's responsibility for administering this 
chapter.
  [(c) Treatment of Subsumed Areas.--If the entire geographic 
area of a unit of general local government is located in a 
larger entity, the unit of general local government is deemed 
to be located in the larger entity. If only part of the 
geographic area of a unit is located in a larger entity, each 
part is deemed to be located in the larger entity and to be a 
separate unit of general local government in determining 
allocations under this chapter. Except as provided in 
regulations prescribed by the Secretary, the Secretary shall 
make all data computations based on the ratio of the estimated 
population of the part to the population of the entire unit of 
general local government.
  [(d) Boundary and Other Changes.--If a boundary line change, 
a State statutory or constitutional change, annexation, a 
governmental reorganization, or other circumstance results in 
the application of sections 6704 through 6708 in a way that 
does not carry out the purposes of sections 6701 through 6708, 
the Secretary shall apply sections 6701 through 6708 under 
regulations of the Secretary in a way that is consistent with 
those purposes.
  [(b) Issuance of Regulations.--Within 90 days of the date of 
enactment of this Act the Secretary shall issue regulations, 
which may be interim regulations, to implement subsection (a), 
modifying the regulations for carrying into effect the Revenue 
Sharing Act that were in effect as of July 1, 1987, and that 
were published in 31 C.F.R. part 51. The Secretary need not 
hold a public hearing before issuing these regulations.
  [(c) Deficit Neutrality.--Any appropriation to carry out the 
amendment made by this subtitle to title 31, United States 
Code, for fiscal year 1995 or 1996 shall be offset by cuts 
elsewhere in appropriations for that fiscal year.

SEC. 31002. TECHNICAL AMENDMENT.

  [The table of chapters at the beginning of subtitle V of 
title 31, United States Code, is amended by adding after the 
item relating to chapter 65 the following:

[67. Federal payments.............................................6701.]
          * * * * * * *

            [Subtitle O--Urban Recreation and At-Risk Youth

[SEC. 31501. PURPOSE OF ASSISTANCE.

  [Section 1003 of the Urban Park and Recreation Recovery Act 
of 1978 is amended by adding the following at the end: ``It is 
further the purpose of this title to improve recreation 
facilities and expand recreation services in urban areas with a 
high incidence of crime and to help deter crime through the 
expansion of recreation opportunities for at-risk youth. It is 
the further purpose of this section to increase the security of 
urban parks and to promote collaboration between local agencies 
involved in parks and recreation, law enforcement, youth social 
services, and juvenile justice system.''.

[SEC. 31502. DEFINITIONS.

  [Section 1004 of the Urban Park and Recreation Recovery Act 
of 1978 is amended by inserting the following new subsection 
after subsection (c) and by redesignating subsections (d) 
through (j) as (e) through (k), respectively:
  [(d) ``at-risk youth recreation grants'' means--
          [(1) rehabilitation grants,
          [(2) innovation grants, or
          [(3) matching grants for continuing program support 
        for programs of demonstrated value or success in 
        providing constructive alternatives to youth at risk 
        for engaging in criminal behavior, including grants for 
        operating, or coordinating recreation programs and 
        services;
in neighborhoods and communities with a high prevalence of 
crime, particularly violent crime or crime committed by 
youthful offenders; in addition to the purposes specified in 
subsection (b), rehabilitation grants referred to in paragraph 
(1) of this subsection may be used for the provision of 
lighting, emergency phones or other capital improvements which 
will improve the security of urban parks.

[SEC. 31503. CRITERIA FOR SELECTION.

  [Section 1005 of the Urban Park and Recreation Recovery Act 
of 1978 is amended by striking ``and'' at the end of paragraph 
(6), by striking the period at the end of paragraph (7) and 
inserting ``; and'' and by adding the following at the end:
          [(8) in the case of at-risk youth recreation grants, 
        the Secretary shall give a priority to each of the 
        following criteria:
                  [(A) Programs which are targeted to youth who 
                are at the greatest risk of becoming involved 
                in violence and crime.
                  [(B) Programs which teach important values 
                and life skills, including teamwork, respect, 
                leadership, and self-esteem.
                  [(C) Programs which offer tutoring, remedial 
                education, mentoring, and counseling in 
                addition to recreation opportunities.
                  [(D) Programs which offer services during 
                late night or other nonschool hours.
                  [(E) Programs which demonstrate collaboration 
                between local park and recreation, juvenile 
                justice, law enforcement, and youth social 
                service agencies and nongovernmental entities, 
                including the private sector and community and 
                nonprofit organizations.
                  [(F) Programs which leverage public or 
                private recreation investments in the form of 
                services, materials, or cash.
                  [(G) Programs which show the greatest 
                potential of being continued with non-Federal 
                funds or which can serve as models for other 
                communities.

[SEC. 31504. PARK AND RECREATION ACTION RECOVERY PROGRAMS.

  [Section 1007(b) of the Urban Park and Recreation Recovery 
Act of 1978 is amended by adding the following at the end: ``In 
order to be eligible to receive `at-risk youth recreation 
grants' a local government shall amend its 5-year action 
program to incorporate the goal of reducing crime and juvenile 
delinquency and to provide a description of the implementation 
strategies to achieve this goal. The plan shall also address 
how the local government is coordinating its recreation 
programs with crime prevention efforts of law enforcement, 
juvenile corrections, and youth social service agencies.''.

[SEC. 31505. MISCELLANEOUS AND TECHNICAL AMENDMENTS.

  [(a) Program Support.--Section 1013 of the Urban Park and 
Recreation Recovery Act of 1978 is amended by inserting ``(a) 
In General.--'' after ``1013'' and by adding the following new 
subsection at the end:
  [(b) Program Support.--Not more than 25 percent of the 
amounts made available under this title to any local government 
may be used for program support.
  [(b) Extension.--Section 1003 of the Urban Park and 
Recreation Recovery Act of 1978 is amended by striking ``for a 
period of five years'' and by striking ``short-term''.
  [(c) Authorization of Appropriations.--There are authorized 
to be appropriated to carry out this subtitle--
          [(1) $2,700,000 for fiscal year 1996;
          [(2) $450,000 for fiscal year 1997;
          [(3) $450,000 for fiscal year 1998;
          [(4) $450,000 for fiscal year 1999; and
          [(5) $450,000 for fiscal year 2000.]
          * * * * * * *

             Elementary and Secondary Education Act of 1965

          * * * * * * *

      TITLE I--HELPING DISADVANTAGED CHILDREN MEET HIGH STANDARDS

SEC. 1001. DECLARATION OF POLICY AND STATEMENT OF PURPOSE.

    (a) Statement of Policy.--
          (1) In general.-- * * *
          * * * * * * *

SEC. 1002. AUTHORIZATION OF APPROPRIATIONS.

    (a) Local Education Agency Grants.--* * *
          * * * * * * *
    [(d) Prevention and Intervention Programs for Youth Who Are 
Neglected, Delinquent, or at Risk of Dropping Out.--For the 
purpose of carrying out Part D, there are authorized to be 
appropriated $40,000,000 for fiscal year 1995 and such sums as 
may be necessary for each of the four succeeding fiscal years.]
    [(g)](d) Federal Activities.--
          ``(1) Section 1501.--For the purpose of carrying out 
        section 1501, there are authorized to be appropriated 
        $9,000,000 for fiscal year 1995 and such sums as may be 
        necessary for each of the four succeeding fiscal years.
          ``(2) Sections 1502 and 1503.--For the purpose of 
        carrying out sections 1502 and 1503, there are 
        authorized to be appropriated $50,000,000 for fiscal 
        year 1995 and such sums as may be necessary for each of 
        the four succeeding fiscal years.
          * * * * * * *

SEC. 1003. RESERVATION AND ALLOCATION FOR SCHOOL IMPROVEMENT.

    (a) Payment for School Improvement.--
          (1) In general.--Except as provided in paragraph (3), 
        each State may reserve for the proper and efficient 
        performance of its duties under subsections (c)(5) and 
        (d) of section 1116, and section 1117, one-half of 1 
        percent of the funds allocated to the State under 
        [subsections (a), (c), and (d), of section 1002] 
        subsections (a) and (c) of section 1002 for fiscal year 
        1995 and each succeeding fiscal year.
          * * * * * * *
          (3) Special rule.--If the amount reserved under 
        paragraph (1) when added to the amount made available 
        under section 1002(f) for a State is less than $200,000 
        for any fiscal year, then such State may reserve such 
        additional funds under [subsections (a), (c), and (d) 
        of section 1002] subsections (a) and (c) of section 
        1002 as are necessary to make $200,000 available to 
        such State.
          * * * * * * *

PART A--IMPROVING BASIC PROGRAMS OPERATED BY LOCAL EDUCATIONAL AGENCIES

                 Subpart 1--Basic Program Requirements

          * * * * * * *

SEC. 1112. LOCAL EDUCATIONAL AGENCY PLANS.

    (a) Plans Required.-- * * *
          * * * * * * *
                  (B) services for children with limited 
                English proficiency or with disabilities, 
                migratory children served under part C or who 
                were formerly eligible for services under part 
                C in the two-year period preceding the date of 
                the enactment of the Improving America's School 
                Act of 1994, [neglected or delinquent youth and 
                youth at risk of dropping out served under part 
                D,] homeless children, and immigrant children 
                in order to increase program effectiveness, 
                eliminate duplication, and reduce fragmentation 
                of the instructional program;
          * * * * * * *

SEC. 1115. TARGETED ASSISTANCE SCHOOLS.

    (a) In General.-- * * *
          * * * * * * *
                  (C)[(i)] A child who, at any time in the two 
                years preceding the year for which the 
                determination is made, received services under 
                the program for youth who are neglected, 
                delinquent, or at risk of dropping out under 
                part D (or its predecessor authority) may be 
                eligible for services under this part.
          * * * * * * *

SEC. 1122. ALLOCATIONS TO STATES.

    (a) In General.-- * * *
          * * * * * * *
    (c) Hold-Harmless Amounts.--
          (1) In general.--For fiscal year 1995, 
        notwithstanding subsection (b) [and without regard to 
        amounts available for delinquent children under subpart 
        2 of part D], the amount made available to each local 
        educational agency under such section 1005 shall be at 
        least 85 percent of the amount such local educational 
        agency received for the preceding year under such 
        section 1005.
          (2) Fiscal year 1996.--Notwithstanding subsection (b) 
        [and without regard to amounts available for delinquent 
        children under subpart 2 of part D], for fiscal year 
        1996 the total amount made available to each local 
        educational agency under each of sections 1124 and 
        1124A for any fiscal year shall be at least 100 percent 
        of the total amount such local educational agency was 
        allocated under such sections (or their predecessor 
        authorities) for the preceding fiscal year.
          (3) Fiscal years 1997-1999.--For fiscal years 1997 
        through 1999, notwithstanding subsection (b) [and 
        without regard to amounts available for delinquent 
        children under subpart 2 of part D], the amount made 
        available to each local educational agency under each 
        of sections 1124 and 1125 shall be at least 95 percent 
        of the previous year's amount if the number of children 
        counted for grants under section 1124 is at least 30 
        percent of the total number of children aged 5 to 17 
        years, inclusive, in the local educational agency, 90 
        percent of the previous year amount if this percentage 
        is between 15 percent and 30 percent, and 85 percent if 
        this percentage is below 15 percent. For fiscal years 
        1997 and 1998, in calculating grants on the basis of 
        population data for counties, the Secretary shall apply 
        the hold-harmless percentages in the preceding sentence 
        to counties. For fiscal years 1996 through 1998, if the 
        Secretary's allocation for a county is not sufficient 
        to meet the hold-harmless requirements of this 
        paragraph for every local educational agency within 
        that county, then the State educational agency shall 
        reallocate funds proportionately from all other local 
        educational agencies in the State that are receiving 
        funds in excess of the hold-harmless amounts specified 
        in this paragraph.
          * * * * * * *

SEC. 1124. BASIC GRANTS TO LOCAL EDUCATIONAL AGENCIES.

    (a) Amount of Grants.-- * * *
          * * * * * * *
                  (C) the number of children aged 5 to 17, 
                inclusive, in the school district of such 
                agency in institutions for neglected and 
                delinquent children (other than such 
                institutions operated by the United States)[, 
                but not counted pursuant to subpart 1 of part D 
                for the purposes of a grant to a State agency], 
                or being supported in foster homes with public 
                funds.
          * * * * * * *

  PART E--FEDERAL EVALUATIONS, DEMONSTRATIONS, AND TRANSITION PROJECTS

          * * * * * * *

SEC. 1502. DEMONSTRATIONS OF INNOVATIVE PRACTICES.

    (a) Demonstration Programs To Improve Achievement.--
          (1) In general.--From the funds appropriated for any 
        fiscal year under [section 1002(g)(2)], section 
        1002(d)(2) the Secretary may make grants to State 
        educational agencies, local educational agencies, other 
        public agencies, nonprofit organizations, public or 
        private partnerships involving business and industry 
        organizations, and consortia of such entities to carry 
        out demonstration projects that show the most promise 
        of enabling children served under this title to meet 
        challenging State content standards and challenging 
        State student performance standards. Such projects 
        shall include promising strategies such as--
    (b) Partnerships.--From funds appropriated under [section 
1002(g)(2)] section 1002(d)(2) for any fiscal year, the 
Secretary may, directly or through grants or contracts, work in 
partnership with State educational agencies, local educational 
agencies, other public agencies, and nonprofit organizations to 
disseminate and use the highest quality research and knowledge 
about effective practices to improve the quality of teaching 
and learning in schools assisted under this title.

SEC. 1503. INNOVATIVE ELEMENTARY SCHOOL TRANSITION PROJECTS.

    (a) In General.--From the amount appropriated under 
[section 1002(g)(2)], section 1002(d)(2) the Secretary shall 
provide not less than $10,000,000, but not more than 
$40,000,000 to support innovative transition projects in 
elementary schools authorized under this section.
          * * * * * * *

                       PART F--GENERAL PROVISIONS

          * * * * * * *

SEC. 1603. STATE ADMINISTRATION.

    (a) Rulemaking.-- * * *
          * * * * * * *
    (c) Payment for State Administration.--Each State may 
reserve for the proper and efficient performance of its duties 
under this title the greater of--
          (1) 1.00 percent of the funds received under 
        [subsections (a), (c), and (d) of section 1002] 
        subsections (a) and (c) of section 1002; or
          * * * * * * *

    TITLE II--DWIGHT D. EISENHOWER PROFESSIONAL DEVELOPMENT PROGRAM

          * * * * * * *

                   PART B--STATE AND LOCAL ACTIVITIES

          * * * * * * *

SEC. 2209. LOCAL COST-SHARING.

    (a) In General.-- * * *
          * * * * * * *
                          [(ii) The Safe and Drug-Free Schools 
                        and Communities program under title 
                        IV.]
                          [(iii)] (ii) Bilingual Education 
                        Programs under part A of title VII.
                          [(iv)] (iii) Programs under the 
                        Women's Educational Equity Act of 1994.
                          [(v)] (iv) Programs under title III 
                        of the Goals 2000: Educate America Act.
                          [(vi)] (v) Programs that are related 
                        to the purposes of this Act that are 
                        administered by other Federal agencies, 
                        including the National Science 
                        Foundation, the National Endowment for 
                        the Humanities, the National Endowment 
                        for the Arts, the Institute of Museum 
                        Services, and the Department of Energy.
                          [(vii)] (vi) Programs under the 
                        Individuals with Disabilities Education 
                        Act.
          * * * * * * *

         [TITLE IV--SAFE AND DRUG-FREE SCHOOLS AND COMMUNITIES

[SEC. 4001. SHORT TITLE.

  [This title may be cited as the ``Safe and Drug-Free Schools 
and Communities Act of 1994''.

[SEC. 4002. FINDINGS.

  [The Congress finds as follows:
          [(1) The seventh National Education Goal provides 
        that by the year 2000, all schools in America will be 
        free of drugs and violence and the unauthorized 
        presence of firearms and alcohol, and offer a 
        disciplined environment that is conducive to learning.
          [(2) The widespread illegal use of alcohol and other 
        drugs among the Nation's secondary school students, and 
        increasingly by students in elementary schools as well, 
        constitutes a grave threat to such students' physical 
        and mental well-being, and significantly impedes the 
        learning process. For example, data show that students 
        who drink tend to receive lower grades and are more 
        likely to miss school because of illness than students 
        who do not drink.
          [(3) Our Nation's schools and communities are 
        increasingly plagued by violence and crime. 
        Approximately 3,000,000 thefts and violent crimes occur 
        in or near our Nation's schools every year, the 
        equivalent of more than 16,000 incidents per school 
        day.
          [(4) Violence that is linked to prejudice and 
        intolerance victimizes entire communities leading to 
        more violence and discrimination.
          [(5) The tragic consequences of violence and the 
        illegal use of alcohol and drugs by students are felt 
        not only by students and such students' families, but 
        by such students' communities and the Nation, which can 
        ill afford to lose such students' skills, talents, and 
        vitality.
          [(6) While use of illegal drugs is a serious problem 
        among a minority of teenagers, alcohol use is far more 
        widespread. The proportion of high school students 
        using alcohol, though lower than a decade ago, remains 
        unacceptably high. By the 8th grade, 70 percent of 
        youth report having tried alcohol and by the 12th 
        grade, about 88 percent have used alcohol. Alcohol use 
        by young people can and does have adverse consequences 
        for users, their families, communities, schools, and 
        colleges.
          [(7) Alcohol and tobacco are widely used by young 
        people. Such use can, and does, have adverse 
        consequences for young people, their families, 
        communities, schools, and colleges. Drug prevention 
        programs for youth that address only controlled drugs 
        send an erroneous message that alcohol and tobacco do 
        not present significant problems, or that society is 
        willing to overlook their use. To be credible, messages 
        opposing illegal drug use by youth should address 
        alcohol and tobacco as well.
          [(8) Every day approximately 3,000 children start 
        smoking. Thirty percent of all secondary school seniors 
        are smokers. Half of all new smokers begin smoking 
        before the age of 14, 90 percent of such smokers begin 
        before the age of 21, and the average age of the first 
        use of smokeless tobacco is under the age of 10. Use of 
        tobacco products has been linked to serious health 
        problems. Drug education and prevention programs that 
        include tobacco have been effective in reducing teenage 
        use of tobacco.
          [(9) Drug and violence prevention programs are 
        essential components of a comprehensive strategy to 
        promote school safety and to reduce the demand for and 
        use of drugs throughout the Nation. Schools and local 
        organizations in communities throughout the Nation have 
        a special responsibility to work together to combat the 
        growing epidemic of violence and illegal drug use and 
        should measure the success of their programs against 
        clearly defined goals and objectives.
          [(10) Students must take greater responsibility for 
        their own well-being, health, and safety if schools and 
        communities are to achieve the goals of providing a 
        safe, disciplined, and drug-free learning environment.

[SEC. 4003. PURPOSE.

  [The purpose of this title is to support programs to meet the 
seventh National Education Goal by preventing violence in and 
around schools and by strengthening programs that prevent the 
illegal use of alcohol, tobacco, and drugs, involve parents, 
and are coordinated with related Federal, State, and community 
efforts and resources, through the provision of Federal 
assistance to--
          [(1) States for grants to local educational agencies 
        and educational service agencies and consortia of such 
        agencies to establish, operate, and improve local 
        programs of school drug and violence prevention, early 
        intervention, rehabilitation referral, and education in 
        elementary and secondary schools (including 
        intermediate and junior high schools);
          [(2) States for grants to, and contracts with, 
        community-based organizations and other public and 
        private nonprofit agencies and organizations for 
        programs of drug and violence prevention, early 
        intervention, rehabilitation referral, and education;
          [(3) States for development, training, technical 
        assistance, and coordination activities;
          [(4) public and private nonprofit organizations to 
        conduct training, demonstrations, and evaluation, and 
        to provide supplementary services for the prevention of 
        drug use and violence among students and youth; and
          [(5) institutions of higher education to establish, 
        operate, expand, and improve programs of school drug 
        and violence prevention, education, and rehabilitation 
        referral for students enrolled in colleges and 
        universities.

[SEC. 4004. FUNDING.

  [There are authorized to be appropriated--
          [(1) $630,000,000 for fiscal year 1995, and such sums 
        as may be necessary for each of the four succeeding 
        fiscal years, for State grants under subpart 1; and
          [(2) $25,000,000 for fiscal year 1995, and such sums 
        as may be necessary for each of the four succeeding 
        fiscal years, for national programs under subpart 2.

    [PART A--STATE GRANTS FOR DRUG AND VIOLENCE PREVENTION PROGRAMS

   [Subpart 1--State Grants for Drug and Violence Prevention Programs

[SEC. 4011. RESERVATIONS AND ALLOTMENTS.

  [(a) Reservations.--From the amount made available under 
section 4004(a) to carry out this subpart for each fiscal year, 
the Secretary--
          [(1) shall reserve 1 percent of such amount for 
        grants under this subpart to Guam, American Samoa, the 
        Virgin Islands, and the Commonwealth of the Northern 
        Mariana Islands, to be allotted in accordance with the 
        Secretary's determination of their respective needs;
          [(2) shall reserve 1 percent of such amount for the 
        Secretary of the Interior to carry out programs under 
        this part for Indian youth;
          [(3) may reserve not more than $1,000,000 for the 
        national impact evaluation required by section 4117(a); 
        and
          [(4) shall reserve 0.2 percent of such amount for 
        programs for Native Hawaiians under section 4118.
  [(b) State Allotments.--
          [(1) In general.--Except as provided in paragraph 
        (2), the Secretary shall, for each fiscal year, 
        allocate among the States--
                  [(A) one-half of the remainder not reserved 
                under subsection (a) according to the ratio 
                between the school-aged population of each 
                State and the school-aged population of all the 
                States; and
                  [(B) one-half of such remainder according to 
                the ratio between the amount each State 
                received under part A of title I for the 
                preceding year (or, for fiscal year 1995 only, 
                sections 1005 and 1006 of this Act as such 
                sections were in existence on the day preceding 
                the date of enactment of the Improving 
                America's Schools Act of 1994) and the sum of 
                such amounts received by all the States.
          [(2) Minimum.--For any fiscal year, no State shall be 
        allotted under this subsection an amount that is less 
        than one-half of 1 percent of the total amount allotted 
        to all the States under this subsection.
          [(3) Reallotment.--The Secretary may reallot any 
        amount of any allotment to a State if the Secretary 
        determines that the State will be unable to use such 
        amount within two years of such allotment. Such 
        reallotments shall be made on the same basis as 
        allotments are made under paragraph (1).
          [(4) Definitions.--For the purpose of this 
        subsection--
                  [(A) the term ``State'' means each of the 50 
                States, the District of Columbia, and the 
                Commonwealth of Puerto Rico; and
                  [(B) the term ``local educational agency'' 
                includes educational service agencies and 
                consortia of such agencies.

[SEC. 4112. STATE APPLICATIONS.

  [(a) In General.--In order to receive an allotment under 
section 4111 for any fiscal year, a State shall submit to the 
Secretary, at such time as the Secretary may require, an 
application that--
          [(1) describes how funds under this subpart will be 
        coordinated with programs under this Act, the Goals 
        2000: Educate America Act, and other Acts, as 
        appropriate, in accordance with the provisions of 
        section 14306;
          [(2) contains the results of the State's needs 
        assessment for drug and violence prevention programs, 
        which shall be based on the results of on-going State 
        evaluation activities, including data on the prevalence 
        of drug use and violence by youth in schools and 
        communities;
          [(3) contains assurances that the sections of the 
        application concerning the funds provided to the chief 
        executive officer and the State educational agency were 
        developed separately by such officer or agency, 
        respectively, but in consultation and coordination with 
        appropriate State officials and others, including the 
        chief State school officer, the chief executive 
        officer, the head of the State alcohol and drug abuse 
        agency, the heads of the State health and mental health 
        agencies, the head of the State criminal justice 
        planning agency, the head of the State child welfare 
        agency, the head of the State board of education, or 
        their designees, and representatives of parents, 
        students, and community-based organizations;
          [(4) contains an assurance that the State will 
        cooperate with, and assist, the Secretary in conducting 
        a national impact evaluation of programs required by 
        section 4117(a); and
          [(5) includes any other information the Secretary may 
        require.
  [(b) State Educational Agency Funds.--A State's application 
under this section shall also contain a comprehensive plan for 
the use of funds under section 4113(a) by the State educational 
agency that includes--
          [(1) a statement of the State educational agency's 
        measurable goals and objectives for drug and violence 
        prevention and a description of the procedures such 
        agency will use for assessing and publicly reporting 
        progress toward meeting those goals and objectives;
          [(2) a plan for monitoring the implementation of, and 
        providing technical assistance regarding, the drug and 
        violence prevention programs conducted by local 
        educational agencies in accordance with section 4116;
          [(3) a description of how the State educational 
        agency will use funds under section 4113(b);
          [(4) a description of how the State educational 
        agency will coordinate such agency's activities under 
        this subpart with the chief executive officer's drug 
        and violence prevention programs under this subpart and 
        with the prevention efforts of other State agencies;
          [(5) an explanation of the criteria the State 
        educational agency will use to identify which local 
        educational agencies receive supplemental funds under 
        section 4113(d)(2)(A)(ii) and how the supplemental 
        funds will be allocated among such local educational 
        agencies; and
          [(6) a description of the procedures the State 
        educational agency will use to review applications from 
        local educational agencies under section 4115.
  [(c) Governor's Funds.--A State's application under this 
section shall also contain a comprehensive plan for the use of 
funds under section 4114(a) by the chief executive officer that 
includes--
          [(1) a statement of the chief executive officer's 
        measurable goals and objectives for drug and violence 
        prevention and a description of the procedures to be 
        used for assessing and publicly reporting progress 
        toward meeting such goals and objectives;
          [(2) a description of how the chief executive officer 
        will coordinate such officer's activities under this 
        part with the State educational agency and other State 
        agencies and organizations involved with drug and 
        violence prevention efforts;
          [(3) a description of how funds reserved under 
        section 4114(a) will be used so as not to duplicate the 
        efforts of the State educational agency and local 
        educational agencies with regard to the provision of 
        school-based prevention efforts and services and how 
        those funds will be used to serve populations not 
        normally served by the State educational agency, such 
        as school dropouts and youth in detention centers;
          [(4) a description of how the chief executive officer 
        will award funds under section 4114(a) and a plan for 
        monitoring the performance of, and providing technical 
        assistance to, recipients of such funds;
          [(5) a description of the special outreach activities 
        that will be carried out to maximize the participation 
        of community-based organizations of demonstrated 
        effectiveness which provide services in low-income 
        communities; and
          [(6) a description of how funds will be used to 
        support community-wide comprehensive drug and violence 
        prevention planning.
    [(d) Peer Review.--The Secretary shall use a peer review 
process in reviewing State applications under this section.
    [(e) Interim Application.--Notwithstanding any other 
provisions of this section, a State may submit for fiscal year 
1995 a one-year interim application and plan for the use of 
funds under this subpart that are consistent with the 
requirements of this section and contain such information as 
the Secretary may specify in regulations. The purpose of such 
interim application and plan shall be to afford the State the 
opportunity to fully develop and review such State's 
application and comprehensive plan otherwise required by this 
section. A State may not receive a grant under this subpart for 
a fiscal year subsequent to fiscal year 1995 unless the 
Secretary has approved such State's application and 
comprehensive plan in accordance with this subpart.

[SEC. 4113. STATE AND LOCAL EDUCATIONAL AGENCY PROGRAMS.

    [(a) Use of Funds.--
          [(1) In general.--Except as provided in paragraph 
        (2), an amount equal to 80 percent of the total amount 
        allocated to a State under section 4111 for each fiscal 
        year shall be used by the State educational agency and 
        its local educational agencies for drug and violence 
        prevention activities in accordance with this section.
          [(2) Exception.--(A) If a State has, on or before 
        January 1, 1994, established an independent State 
        agency for the purpose of administering all of the 
        funds described in section 5121 of this Act (as such 
        section was in effect on the day preceding the date of 
        the enactment of the Improving America's Schools Act of 
        1994), then--
                  [(i) an amount equal to 80 percent of the 
                total amount allocated to such State under 
                section 4111 for each fiscal year shall be used 
                by the State educational agency and its local 
                educational agencies for drug and violence 
                prevention activities in accordance with this 
                section; and
                  [(ii) an amount equal to 20 percent of such 
                total amount shall be used by such independent 
                State agency for drug and violence prevention 
                activities in accordance with this section.
          [(B) Not more than 5 percent of the amount reserved 
        under subparagraph (A)(ii) may be used for 
        administrative costs of the independent State agency 
        incurred in carrying out the activities described in 
        such subparagraph.
          [(C) For purposes of this paragraph, the term 
        ``independent State agency'' means an independent 
        agency with a board of directors or a cabinet level 
        agency whose chief executive officer is appointed by 
        the chief executive officer of the State and confirmed 
        with the advice and consent of the senate of such 
        State.
    [(b) State Level Programs.--
          [(1) In general.--A State educational agency shall 
        use not more than 5 percent of the amount available 
        under subsection (a) for activities such as--
                  [(A) training and technical assistance 
                concerning drug and violence prevention for 
                local educational agencies and educational 
                service agencies, including teachers, 
                administrators, coaches and athletic directors, 
                other staff, parents, students, community 
                leaders, health service providers, local law 
                enforcement officials, and judicial officials;
                  [(B) the development, identification, 
                dissemination, and evaluation of the most 
                readily available, accurate, and up-to-date 
                curriculum materials (including videotapes, 
                software, and other technology-based learning 
                resources), for consideration by local 
                educational agencies;
                  [(C) making available to local educational 
                agencies cost effective programs for youth 
                violence and drug abuse prevention;
                  [(D) demonstration projects in drug and 
                violence prevention;
                  [(E) training, technical assistance, and 
                demonstration projects to address violence 
                associated with prejudice and intolerance;
                  [(F) financial assistance to enhance 
                resources available for drug and violence 
                prevention in areas serving large numbers of 
                economically disadvantaged children or sparsely 
                populated areas, or to meet other special needs 
                consistent with the purposes of this subpart; 
                and
                  [(G) the evaluation of activities carried out 
                within the State under this part.
          [(2) Special rule.--A State educational agency may 
        carry out activities under this subsection directly, or 
        through grants or contracts.
    [(c) State Administration.--A State educational agency may 
use not more than 4 percent of the amount reserved under 
subsection (a) for the administrative costs of carrying out its 
responsibilities under this part.
    [(d) Local Educational Agency Programs.--
          [(1) In general.--A State educational agency shall 
        distribute not less than 91 percent of the amount made 
        available under subsection (a) for each fiscal year to 
        local educational agencies in accordance with this 
        subsection.
          [(2) Distribution.--(A) Of the amount distributed 
        under paragraph (1), a State educational agency shall 
        distribute--
                  [(i) 70 percent of such amount to local 
                educational agencies, based on the relative 
                enrollments in public and private nonprofit 
                elementary and secondary schools within the 
                boundaries of such agencies; and
                  [(ii) 30 percent of such amount to local 
                educational agencies that the State educational 
                agency determines have the greatest need for 
                additional funds to carry out drug and violence 
                prevention programs authorized by this subpart.
          [(B) Where appropriate and to the extent consistent 
        with the needs assessment conducted by the State, not 
        less than 25 percent of the amount distributed under 
        subparagraph (A)(ii) for a fiscal year shall be 
        distributed to local educational agencies located in 
        rural and urban areas.
          [(C)(i) A State educational agency shall distribute 
        funds under subparagraph (A)(ii) to not more than 10 
        percent of the local educational agencies in the State, 
        or five such agencies, whichever is greater.
          [(ii) In determining which local educational agencies 
        have the greatest need for additional funds, the State 
        educational agency shall consider objective data such 
        as--
                  [(I) high rates of alcohol or drug use among 
                youth;
                  [(II) high rates of victimization of youth by 
                violence and crime;
                  [(III) high rates of arrests and convictions 
                of youth for violent or drug- or alcohol-
                related crime;
                  [(IV) the extent of illegal gang activity;
                  [(V) high incidence of violence associated 
                with prejudice and intolerance;
                  [(VI) high rates of referrals of youths to 
                drug and alcohol abuse treatment and 
                rehabilitation programs;
                  [(VII) high rates of referrals of youths to 
                juvenile court;
                  [(VIII) high rates of expulsions and 
                suspensions of students from schools; and
                  [(IX) high rates of reported cases of child 
                abuse and domestic violence.
    [(e) Reallocation of Funds.--If a local educational agency 
chooses not to apply to receive the amount allocated to such 
agency under subsection (d), or if such agency's application 
under section 4115 is disapproved by the State educational 
agency, the State educational agency shall reallocate such 
amount to one or more of the local educational agencies 
determined by the State educational agency under subsection 
(d)(2)(C)(ii) to have the greatest need for additional funds.
    [(f) Return of Funds to State Educational Agency; 
Reallocation.--
          [(1) Return.--Except as provided in paragraph (2), 
        upon the expiration of the 1-year period beginning on 
        the date that a local educational agency or educational 
        service agency under this title receives its allocation 
        under this title--
                  [(A) such agency shall return to the State 
                educational agency any funds from such 
                allocation that remain unobligated; and
                  [(B) the State educational agency shall 
                reallocate any such amount to local educational 
                agencies or educational service agencies that 
                have plans for using such amount for programs 
                or activities on a timely basis.
          [(2) Reallocation.--In any fiscal year, a local 
        educational agency, may retain for obligation in the 
        succeeding fiscal year--
                  [(A) an amount equal to not more than 25 
                percent of the allocation it receives under 
                this title for such fiscal year; or
                  [(B) upon a demonstration of good cause by 
                such agency or consortium, a greater amount 
                approved by the State educational agency.

[SEC. 4114. GOVERNOR'S PROGRAMS.

    [(a) Use of Funds.--
          [(1) In general.--An amount equal to 20 percent of 
        the total amount allocated to a State under section 
        4111(1) for each fiscal year shall be used by the chief 
        executive officer of such State for drug and violence 
        prevention programs and activities in accordance with 
        this section.
          [(2) Law enforcement education partnerships.--A chief 
        executive officer shall use not less than 10 percent of 
        the 20 percent of the total amount described in 
        paragraph (1) for each fiscal year for law enforcement 
        education partnerships in accordance with subsection 
        (d).
          [(3) Administrative costs.--A chief executive officer 
        may use not more than 5 percent of the 20 percent of 
        the total amount described in paragraph (1) for the 
        administrative costs incurred in carrying out the 
        duties of such officer under this section.
    [(b) Programs Authorized.--
          [(1) In general.--A chief executive officer shall use 
        funds made available under subsection (a)(1) for grants 
        to or contracts with parent groups, community action 
        and job training agencies, community-based 
        organizations, and other public entities and private 
        nonprofit organizations and consortia thereof. In 
        making such grants and contracts, a chief executive 
        officer shall give priority to programs and activities 
        described in subsection (c) for--
                  [(A) children and youth who are not normally 
                served by State or local educational agencies; 
                or
                  [(B) populations that need special services 
                or additional resources (such as preschoolers, 
                youth in juvenile detention facilities, runaway 
                or homeless children and youth, pregnant and 
                parenting teenagers, and school dropouts).
          [(2) Peer review.--Grants or contracts awarded under 
        this subsection shall be subject to a peer review 
        process.
    [(c) Authorized Activities.--Grants and contracts under 
subsection (b) shall be used for programs and activities such 
as--
          [(1) disseminating information about drug and 
        violence prevention;
          [(2) training parents, law enforcement officials, 
        judicial officials, social service providers, health 
        service providers and community leaders about drug and 
        violence prevention, comprehensive health education, 
        early intervention, pupil services, or rehabilitation 
        referral;
          [(3) developing and implementing comprehensive, 
        community-based drug and violence prevention programs 
        that link community resources with schools and 
        integrate services involving education, vocational and 
        job skills training and placement, law enforcement, 
        health, mental health, community service, mentoring, 
        and other appropriate services;
          [(4) planning and implementing drug and violence 
        prevention activities that coordinate the efforts of 
        State agencies with efforts of the State educational 
        agency and its local educational agencies;
          [(5) activities to protect students traveling to and 
        from school;
          [(6) before-and-after school recreational, 
        instructional, cultural, and artistic programs that 
        encourage drug- and violence-free lifestyles;
          [(7) activities that promote the awareness of and 
        sensitivity to alternatives to violence through courses 
        of study that include related issues of intolerance and 
        hatred in history;
          [(8) developing and implementing activities to 
        prevent and reduce violence associated with prejudice 
        and intolerance;
          [(9) developing and implementing strategies to 
        prevent illegal gang activity;
          [(10) coordinating and conducting community-wide 
        violence and safety assessments and surveys;
          [(11) service-learning projects that encourage drug- 
        and violence-free lifestyles; and
          [(12) evaluating programs and activities assisted 
        under this section.
  [(d) Law Enforcement Education Partnerships.--A chief 
executive officer shall use funds under subsection (a)(2) to 
award grants to State, county or local law enforcement agencies 
(including district attorneys) in consortium with local 
educational agencies or community-based agencies for the 
purposes of carrying out drug abuse and violence prevention 
activities, such as--
          [(1) Project Drug Abuse Resistance Education and 
        other programs which provide classroom instruction by 
        uniformed law enforcement officials that is designed to 
        teach students to recognize and resist pressures to 
        experiment that influence such children to use 
        controlled substances or alcohol;
          [(2) Project Legal Lives and other programs in which 
        district attorneys provide classroom instruction in the 
        law and legal system which emphasizes interactive 
        learning techniques, such as mock trial competitions;
          [(3) partnerships between law enforcement and child 
        guidance professionals; and
          [(4) before- and after-school activities.

[SEC. 4115. LOCAL APPLICATIONS.

  [(a) Application Required.--
          [(1) In general.--In order to be eligible to receive 
        a distribution under section 4113(d) for any fiscal 
        year, a local educational agency shall submit, at such 
        time as the State educational agency requires, an 
        application to the State educational agency for 
        approval. Such an application shall be amended, as 
        necessary, to reflect changes in the local educational 
        agency's program.
          [(2) Development.--(A) A local educational agency 
        shall develop its application under subsection (a)(1) 
        in consultation with a local or substate regional 
        advisory council that includes, to the extent possible, 
        representatives of local government, business, parents, 
        students, teachers, pupil services personnel, 
        appropriate State agencies, private schools, the 
        medical profession, law enforcement, community-based 
        organizations, and other groups with interest and 
        expertise in drug and violence prevention.
          [(B) In addition to assisting the local educational 
        agency to develop an application under this section, 
        the advisory council established or designated under 
        subparagraph (A) shall, on an ongoing basis--
                  [(i) disseminate information about drug and 
                violence prevention programs, projects, and 
                activities conducted within the boundaries of 
                the local educational agency;
                  [(ii) advise the local educational agency 
                regarding--
                          [(I) how best to coordinate such 
                        agency's activities under this subpart 
                        with other related programs, projects, 
                        and activities; and
                          [(II) the agencies that administer 
                        such programs, projects, and 
                        activities; and
                  [(iii) review program evaluations and other 
                relevant material and make recommendations to 
                the local educational agency on how to improve 
                such agency's drug and violence prevention 
                programs.
  [(b) Contents of Applications.--An application under this 
section shall contain--
          [(1) an objective analysis of the current use (and 
        consequences of such use) of alcohol, tobacco, and 
        controlled, illegal, addictive or harmful substances as 
        well as the violence, safety, and discipline problems 
        among students who attend the schools of the applicant 
        (including private school students who participate in 
        the applicant's drug and violence prevention program) 
        that is based on ongoing local assessment or evaluation 
        activities;
          [(2) a detailed explanation of the local educational 
        agency's comprehensive plan for drug and violence 
        prevention, which shall include a description of--
                  [(A) how the plan will be coordinated with 
                programs under this Act, the Goals 2000: 
                Educate America Act, and other Acts, as 
                appropriate, in accordance with the provisions 
                of section 14306;
                  [(B) the local educational agency's 
                measurable goals for drug and violence 
                prevention, and a description of how such 
                agency will assess and publicly report progress 
                toward attaining these goals;
                  [(C) how the local educational agency will 
                use its distribution under this subpart;
                  [(D) how the local educational agency will 
                coordinate such agency's programs and projects 
                with community-wide efforts to achieve such 
                agency's goals for drug and violence 
                prevention; and
                  [(E) how the local educational agency will 
                coordinate such agency's programs and projects 
                with other Federal, State, and local programs 
                for drug-abuse prevention, including health 
                programs; and
          [(3) such other information and assurances as the 
        State educational agency may reasonably require.
  [(c) Review of Application.--
          [(1) In general.--In reviewing local applications 
        under this section, a State educational agency shall 
        use a peer review process or other methods of assuring 
        the quality of such applications.
          [(2) Considerations.--(A) In determining whether to 
        approve the application of a local educational agency 
        under this section, a State educational agency shall 
        consider the quality of the local educational agency's 
        comprehensive plan under subsection (b)(2) and the 
        extent to which such plan is coordinated with programs 
        under this Act, the Goals 2000: Educate America Act, in 
        accordance with the provisions of section 14306.
          [(B) A State educational agency may disapprove a 
        local educational agency application under this section 
        in whole or in part and may withhold, limit, or place 
        restrictions on the use of funds allotted to such a 
        local educational agency in a manner the State 
        educational agency determines will best promote the 
        purposes of this part, except that a local educational 
        agency shall be afforded an opportunity to appeal any 
        such disapproval.

[SEC. 4116. LOCAL DRUG AND VIOLENCE PREVENTION PROGRAMS.

  [(a) Program Requirements.--A local educational agency shall 
use funds received under this subpart to adopt and carry out a 
comprehensive drug and violence prevention program which 
shall--
          [(1) be designed, for all students and employees, 
        to--
                  [(A) prevent the use, possession, and 
                distribution of tobacco, alcohol, and illegal 
                drugs by students and to prevent the illegal 
                use, possession, and distribution of such 
                substances by employees;
                  [(B) prevent violence and promote school 
                safety; and
                  [(C) create a disciplined environment 
                conducive to learning; and
          [(2) include activities to promote the involvement of 
        parents and coordination with community groups and 
        agencies, including the distribution of information 
        about the local educational agency's needs, goals, and 
        programs under this subpart.
  [(b) Authorized Activities.--A comprehensive drug and 
violence prevention program carried out under this subpart may 
include--
          [(1) age-appropriate, developmentally based drug 
        prevention and education programs for all students, 
        from the preschool level through grade 12, that address 
        the legal, social, personal and health consequences of 
        the use of illegal drugs, promote a sense of individual 
        responsibility, and provide information about effective 
        techniques for resisting peer pressure to use illegal 
        drugs;
          [(2) programs of drug prevention, comprehensive 
        health education, early intervention, pupil services, 
        mentoring, or rehabilitation referral, which emphasize 
        students' sense of individual responsibility and which 
        may include--
                  [(A) the dissemination of information about 
                drug prevention;
                  [(B) the professional development of school 
                personnel, parents, students, law enforcement 
                officials, judicial officials, health service 
                providers and community leaders in prevention, 
                education, early intervention, pupil services 
                or rehabilitation referral; and
                  [(C) the implementation of strategies, 
                including strategies to integrate the delivery 
                of services from a variety of providers, to 
                combat illegal alcohol, tobacco and drug use, 
                such as--
                          [(i) family counseling;
                          [(ii) early intervention activities 
                        that prevent family dysfunction, 
                        enhance school performance, and boost 
                        attachment to school and family; and
                          [(iii) activities, such as community 
                        service and service-learning projects, 
                        that are designed to increase students' 
                        sense of community;
          [(3) age-appropriate, developmentally based violence 
        prevention and education programs for all students, 
        from the preschool level through grade 12, that address 
        the legal, health, personal, and social consequences of 
        violent and disruptive behavior, including sexual 
        harassment and abuse, and victimization associated with 
        prejudice and intolerance, and that include activities 
        designed to help students develop a sense of individual 
        responsibility and respect for the rights of others, 
        and to resolve conflicts without violence;
          [(4) violence prevention programs for school-aged 
        youth, which emphasize students' sense of individual 
        responsibility and may include--
                  [(A) the dissemination of information about 
                school safety and discipline;
                  [(B) the professional development of school 
                personnel, parents, students, law enforcement 
                officials, judicial officials, and community 
                leaders in designing and implementing 
                strategies to prevent school violence;
                  [(C) the implementation of strategies, such 
                as conflict resolution and peer mediation, 
                student outreach efforts against violence, 
                anti-crime youth councils (which work with 
                school and community-based organizations to 
                discuss and develop crime prevention 
                strategies), and the use of mentoring programs, 
                to combat school violence and other forms of 
                disruptive behavior, such as sexual harassment 
                and abuse; and
                  [(D) the development and implementation of 
                character education programs, as a component of 
                a comprehensive drug or violence prevention 
                program, that are tailored by communities, 
                parents and schools; and
                  [(E) comprehensive, community-wide strategies 
                to prevent or reduce illegal gang activities;
          [(5) supporting ``safe zones of passage'' for 
        students between home and school through such measures 
        as Drug- and Weapon-Free School Zones, enhanced law 
        enforcement, and neighborhood patrols;
          [(6) acquiring and installing metal detectors and 
        hiring security personnel;
          [(7) professional development for teachers and other 
        staff and curricula that promote the awareness of and 
        sensitivity to alternatives to violence through courses 
        of study that include related issues of intolerance and 
        hatred in history;
          [(8) the promotion of before-and-after school 
        recreational, instructional, cultural, and artistic 
        programs in supervised community settings;
          [(9) drug abuse resistance education programs, 
        designed to teach students to recognize and resist 
        pressures to use alcohol or other drugs, which may 
        include activities such as classroom instruction by 
        uniformed law enforcement officers, resistance 
        techniques, resistance to peer pressure and gang 
        pressure, and provision for parental involvement; and
          [(10) the evaluation of any of the activities 
        authorized under this subsection.
  [(c) Limitations.--
          [(1) In general.--Not more than 20 percent of the 
        funds made available to a local educational agency 
        under this subpart may be used to carry out the 
        activities described in paragraphs (5) and (6) of 
        subsection (b).
          [(2) Special rule.--A local educational agency shall 
        only be able to use funds received under this subpart 
        for activities described in paragraphs (5) and (6) of 
        subsection (b) if funding for such activities is not 
        received from other Federal agencies.
  [(d) Administrative Provisions.--Notwithstanding any other 
provisions of law, any funds expended prior to July 1, 1995, 
under part B of the Drug-Free Schools and Communities Act of 
1986 (as in effect prior to enactment of the Improving 
America's Schools Act) for the support of a comprehensive 
school health program shall be deemed to have been authorized 
by part B of such Act.

[SEC. 4117. EVALUATION AND REPORTING.

  [(a) National Impact Evaluation.--
          [(1) Biennial evaluation.--The Secretary, in 
        consultation with the Secretary of Health and Human 
        Services, the Director of the Office of National Drug 
        Control Policy, and the Attorney General, shall conduct 
        an independent biennial evaluation of the national 
        impact of programs assisted under this subpart and of 
        other recent and new initiatives to combat violence in 
        schools and submit a report of the findings of such 
        evaluation to the President and the Congress.
          [(2) Data collection.--(A) The National Center for 
        Education Statistics shall collect data to determine 
        the frequency, seriousness, and incidence of violence 
        in elementary and secondary schools in the States. The 
        Secretary shall collect the data using, wherever 
        appropriate, data submitted by the States pursuant to 
        subsection (b)(2)(B).
          [(B) Not later than January 1, 1998, the Secretary 
        shall submit to the Congress a report on the data 
        collected under this subsection, together with such 
        recommendations as the Secretary determines 
        appropriate, including estimated costs for implementing 
        any recommendation.
  [(b) State Report.--
          [(1) In general.--By October 1, 1997, and every third 
        year thereafter, the chief executive officer of the 
        State, in cooperation with the State educational 
        agency, shall submit to the Secretary a report--
                  [(A) on the implementation and outcomes of 
                State programs under section 4114 and section 
                4113(b) and local educational agency programs 
                under section 4113(d), as well as an assessment 
                of their effectiveness; and
                  [(B) on the State's progress toward attaining 
                its goals for drug and violence prevention 
                under subsections (b)(1) and (c)(1) of section 
                4112.
          [(2) Special rule.--The report required by this 
        subsection shall be--
                  [(A) in the form specified by the Secretary;
                  [(B) based on the State's ongoing evaluation 
                activities, and shall include data on the 
                prevalence of drug use and violence by youth in 
                schools and communities; and
                  [(C) made readily available to the public.
  [(c) Local Educational Agency Report.--Each local educational 
agency receiving funds under this subpart shall submit to the 
State educational agency such information, and at such 
intervals, that the State requires to complete the State report 
required by subsection (b), including information on the 
prevalence of drug use and violence by youth in the schools and 
the community. Such information shall be made readily available 
to the public.

[SEC. 4118. PROGRAMS FOR NATIVE HAWAIIANS.

  [(a) General Authority.--From the funds made available 
pursuant to section 4111(a)(4) to carry out this section, the 
Secretary shall make grants to or enter into cooperative 
agreements or contracts with organizations primarily serving 
and representing Native Hawaiians which are recognized by the 
Governor of the State of Hawaii to plan, conduct, and 
administer programs, or portions thereof, which are authorized 
by and consistent with the provisions of this title for the 
benefit of Native Hawaiians.
  [(b) Definition of Native Hawaiian.--For the purposes of this 
section, the term ``Native Hawaiian'' means any individual any 
of whose ancestors were natives, prior to 1778, of the area 
which now comprises the State of Hawaii.

                     [Subpart 2--National Programs

[SEC. 4121. FEDERAL ACTIVITIES.

  [(a) Program Authorized.--From funds made available to carry 
out this subpart under section 4004(2), the Secretary, in 
consultation with the Secretary of Health and Human Services, 
the Director of the Office of National Drug Control Policy, the 
Chair of the Ounce of Prevention Council, and the Attorney 
General, shall carry out programs to prevent the illegal use of 
drugs and violence among, and promote safety and discipline 
for, students at all educational levels from preschool through 
the postsecondary level. The Secretary shall carry out such 
programs directly, or through grants, contracts, or cooperative 
agreements with public and private nonprofit organizations and 
individuals, or through agreements with other Federal agencies, 
and shall coordinate such programs with other appropriate 
Federal activities. Such programs may include--
          [(1) the development and demonstration of innovative 
        strategies for training school personnel, parents, and 
        members of the community, including the demonstration 
        of model preservice training programs for prospective 
        school personnel;
          [(2) demonstrations and rigorous evaluations of 
        innovative approaches to drug and violence prevention;
          [(3) the provision of information on drug abuse 
        education and prevention to the Secretary of Health and 
        Human Services for dissemination by the clearinghouse 
        for alcohol and drug abuse information established 
        under section 501(d)(16) of the Public Health Service 
        Act;
          [(4) the development of curricula related to child 
        abuse prevention and education and the training of 
        personnel to teach child abuse education and prevention 
        to elementary and secondary schoolchildren;
          [(5) program evaluations in accordance with section 
        14701 that address issues not addressed under section 
        4117(a);
          [(6) direct services to schools and school systems 
        afflicted with especially severe drug and violence 
        problems;
          [(7) activities in communities designated as 
        empowerment zones or enterprise communities that will 
        connect schools to community-wide efforts to reduce 
        drug and violence problems;
          [(8) developing and disseminating drug and violence 
        prevention materials, including video-based projects 
        and model curricula;
          [(9) developing and implementing a comprehensive 
        violence prevention strategy for schools and 
        communities, that may include conflict resolution, peer 
        mediation, the teaching of law and legal concepts, and 
        other activities designed to stop violence;
          [(10) the implementation of innovative activities, 
        such as community service projects, designed to rebuild 
        safe and healthy neighborhoods and increase students' 
        sense of individual responsibility;
          [(11) grants to noncommercial telecommunications 
        entities for the production and distribution of 
        national video-based projects that provide young people 
        with models for conflict resolution and responsible 
        decisionmaking;
          [(12) the development of education and training 
        programs, curricula, instructional materials, and 
        professional training and development for preventing 
        and reducing the incidence of crimes and conflicts 
        motivated by hate in localities most directly affected 
        by hate crimes; and
          [(13) other activities that meet unmet national needs 
        related to the purposes of this title.
  [(b) Peer Review.--The Secretary shall use a peer review 
process in reviewing applications for funds under this section.

[SEC. 4122. GRANTS TO INSTITUTIONS OF HIGHER EDUCATION.

  [(a) In General.--From funds made available to carry out this 
subpart under section 4004(2), the Secretary is authorized to 
make grants to, or enter into contracts with, institutions of 
higher education, or consortia of such institutions, for drug 
and violence prevention programs under this section. Awards 
under this section shall support the development, 
implementation, validation, and dissemination of--
          [(1) model programs and strategies to promote the 
        safety of students attending institutions of higher 
        education by preventing violent behavior and the 
        illegal use of alcohol and other drugs by such 
        students; and
          [(2) such model programs and strategies shall be 
        coordinated with the report required under section 
        204(a)(4)(B) of the Student Right-to-Know and Campus 
        Security Act on policies, procedures and practices 
        which have proven effective in the reduction of campus 
        crime.
  [(b) Applications.--An institution of higher education, or 
consortium of such institutions, that desires to receive an 
award under this section shall submit an application to the 
Secretary at such time, in such manner, and containing such 
information as the Secretary may reasonably require. The 
Secretary shall use a peer review process for reviewing 
applications for funds under this section.
  [(c) Equitable Participation.--The Secretary shall make every 
reasonable effort to ensure the equitable participation in the 
activities assisted under this section of private and public 
institutions of higher education (including community and 
junior colleges), institutions of limited enrollment, and 
institutions in different geographic regions.

[SEC. 4123. HATE CRIME PREVENTION.

  [(a) Grant Authorization.--From funds made available to carry 
out this subpart under section 4004(1) the Secretary may make 
grants to local educational agencies and community-based 
organizations for the purpose of providing assistance to 
localities most directly affected by hate crimes.
  [(b) Use of Funds.--
          [(1) Program development.--Grants under this section 
        may be used to improve elementary and secondary 
        educational efforts, including--
                  [(A) development of education and training 
                programs designed to prevent and to reduce the 
                incidence of crimes and conflicts motivated by 
                hate;
                  [(B) development of curricula for the purpose 
                of improving conflict or dispute resolution 
                skills of students, teachers, and 
                administrators;
                  [(C) development and acquisition of equipment 
                and instructional materials to meet the needs 
                of, or otherwise be part of, hate crime or 
                conflict programs; and
                  [(D) professional training and development 
                for teachers and administrators on the causes, 
                effects, and resolutions of hate crimes or 
                hate-based conflicts.
          [(2) In general.--In order to be eligible to receive 
        a grant under this section for any fiscal year, a local 
        educational agency, or a local educational agency in 
        conjunction with a community-based organization, shall 
        submit an application to the Secretary in such form and 
        containing such information as the office may 
        reasonably require.
          [(3) Requirements.--Each application under paragraph 
        (2) shall include--
                  [(A) a request for funds for the purposes 
                described in this section;
                  [(B) a description of the schools and 
                communities to be served by the grants; and
                  [(C) assurances that Federal funds received 
                under this section shall be used to supplement, 
                not supplant, non-Federal funds.
          [(4) Comprehensive plan.--Each application shall 
        include a comprehensive plan that contains--
                  [(A) a description of the hate crime or 
                conflict problems within the schools or the 
                community targeted for assistance;
                  [(B) a description of the program to be 
                developed or augmented by such Federal and 
                matching funds;
                  [(C) assurances that such program or activity 
                shall be administered by or under the 
                supervision of the applicant;
                  [(D) proper and efficient administration of 
                such program; and
                  [(E) fiscal control and fund accounting 
                procedures as may be necessary to ensure 
                prudent use, proper disbursement, and accurate 
                accounting of funds received under this 
                section.
  [(c) Award of Grants.--
          [(1) Selection of recipients.--The Secretary shall 
        consider the incidence of crimes and conflicts 
        motivated by bias in the targeted schools and 
        communities in awarding grants under this section.
          [(2) Geographic distribution.--The Secretary shall 
        attempt, to the extent practicable, to achieve an 
        equitable geographic distribution of grant awards.
          [(3) Dissemination of information.--The Secretary 
        shall attempt, to the extent practicable, to make 
        available information regarding successful hate crime 
        prevention programs, including programs established or 
        expanded with grants under this section.
  [(d) Reports.--The Secretary shall submit to the Congress a 
report every two years which shall contain a detailed statement 
regarding grants and awards, activities of grant recipients, 
and an evaluation of programs established under this section.

                     [Subpart 3--General Provisions

[SEC. 4131. DEFINITIONS.

  [For the purposes of this part:
          [(1) Community-based organization.--The term 
        ``community-based organization'' means a private 
        nonprofit organization which is representative of a 
        community or significant segments of a community and 
        which provides educational or related services to 
        individuals in the community.
          [(2) Drug and violence prevention.--The term ``drug 
        and violence prevention'' means--
                  [(A) with respect to drugs, prevention, early 
                intervention, rehabilitation referral, or 
                education related to the illegal use of alcohol 
                and the use of controlled, illegal, addictive, 
                or harmful substances, including inhalants and 
                anabolic steroids;
                  [(B) prevention, early intervention, smoking 
                cessation activities, or education, related to 
                the use of tobacco by children and youth 
                eligible for services under this title; and
                  [(C) with respect to violence, the promotion 
                of school safety, such that students and school 
                personnel are free from violent and disruptive 
                acts, including sexual harassment and abuse, 
                and victimization associated with prejudice and 
                intolerance, on school premises, going to and 
                from school, and at school-sponsored 
                activities, through the creation and 
                maintenance of a school environment that is 
                free of weapons and fosters individual 
                responsibility and respect for the rights of 
                others.
          [(3) Hate crime.--The term ``hate crime'' means a 
        crime as described in section 1(b) of the Hate Crime 
        Statistics Act of 1990.
          [(4) Nonprofit.--The term ``nonprofit'', as applied 
        to a school, agency, organization, or institution means 
        a school, agency, organization, or institution owned 
        and operated by one or more nonprofit corporations or 
        associations, no part of the net earnings of which 
        inures, or may lawfully inure, to the benefit of any 
        private shareholder or individual.
          [(5) School-aged population.--The term ``school-aged 
        population'' means the population aged five through 17, 
        as determined by the Secretary on the basis of the most 
        recent satisfactory data available from the Department 
        of Commerce.
          [(6) School personnel.--The term ``school personnel'' 
        includes teachers, administrators, guidance counselors, 
        social workers, psychologists, nurses, librarians, and 
        other support staff who are employed by a school or who 
        perform services for the school on a contractual basis.

[SEC. 4132. MATERIALS.

  [(a) Wrong and Harmful Message.--Drug prevention programs 
supported under this part shall convey a clear and consistent 
message that the illegal use of alcohol and other drugs is 
wrong and harmful.
  [(b) Curriculum.--The Secretary shall not prescribe the use 
of specific curricula for programs supported under this part, 
but may evaluate the effectiveness of such curricula and other 
strategies in drug and violence prevention.

[SEC. 4133. PROHIBITED USES OF FUNDS.

  [No funds under this part may be used for--
          [(1) construction (except for minor remodeling needed 
        to accomplish the purposes of this part); and
          [(2) medical services, drug treatment or 
        rehabilitation, except for pupil services or referral 
        to treatment for students who are victims of or 
        witnesses to crime or who use alcohol, tobacco, or 
        drugs.

         [PART C--ASSISTANCE TO ADDRESS SCHOOL DROPOUT PROBLEMS

[SEC. 5301. SHORT TITLE.

  [This part may be cited as the ``School Dropout Assistance 
Act''.

[SEC. 5302. PURPOSE.

  [The purpose of this part is to reduce the number of children 
who do not complete their elementary and secondary education by 
providing grants to local educational agencies to establish--
          [(1) effective programs to identify potential student 
        dropouts, including pregnant and parenting teenagers, 
        and prevent such students from dropping out of school;
          [(2) effective programs to identify and encourage 
        children who have already dropped out to reenter school 
        and complete their elementary and secondary education;
          [(3) effective early intervention programs designed 
        to identify at-risk students in elementary and 
        secondary schools; and
          [(4) model systems for collecting and reporting 
        information to local school officials on the number, 
        ages, sex, race or ethnicity, and grade levels of the 
        children not completing their elementary and secondary 
        education and the reasons why such children have 
        dropped out of school.

[SEC. 5303. GRANTS TO LOCAL EDUCATIONAL AGENCIES.

  [(a) Allotment to Categories of Local Educational Agencies.--
From the amount appropriated under section 5308 for any fiscal 
year, the Secretary shall first reserve not more than 
$2,000,000 for the purposes of evaluating programs carried out 
with assistance under this part in accordance with section 
14701. From the remaining amount, the Secretary shall allot the 
following percentages to each of the following categories of 
local educational agencies:
          [(1) Local educational agencies administering schools 
        with a total enrollment of 100,000 or more elementary 
        and secondary school students shall be allotted 25 
        percent of such remaining amount.
          [(2) Local educational agencies administering schools 
        with a total enrollment of at least 20,000 but less 
        than 100,000 elementary and secondary school students 
        shall be allotted 40 percent of such remaining amount.
          [(3) Local educational agencies administering schools 
        with a total enrollment of less than 20,000 elementary 
        and secondary school students shall be allotted 30 
        percent of such remaining amount. Grants may be made 
        under this paragraph to educational service agencies 
        and consortia of not more than 5 local educational 
        agencies in any case in which the total enrollment of 
        the largest such local educational agency is less than 
        20,000 elementary and secondary students. Such agencies 
        and consortia may also apply for assistance under this 
        part in conjunction with the State educational agency. 
        Not less than 20 percent of funds available under this 
        paragraph shall be awarded to local educational 
        agencies administering schools with a total enrollment 
        of less than 2,000 elementary and secondary school 
        students.
          [(4) Community-based organizations shall be allotted 
        5 percent of such remaining amount. Grants under this 
        paragraph shall be made after consultation between the 
        community-based organization and the local educational 
        agency that is to benefit from such a grant.
  [(b) Special Consideration.--
          [(1) In general.--The Secretary shall give special 
        consideration to awarding funds available for each 
        category described in paragraphs (1), (2), and (3) of 
        subsection (a) to local educational agencies 
        participating in an educational partnership.
          [(2) Educational partnerships.--For the purpose of 
        this part the term `educational partnerships' means a 
        partnership between--
                  [(A) a local educational agency; and
                  [(B) a business concern or business 
                organization, community-based organization, 
                nonprofit private organization, institution of 
                higher education, State educational agency, 
                State or local public agency, private industry 
                council (established under the Job Training 
                Partnership Act), museum, library, or 
                educational television or broadcasting station.
  [(c) Award of Grant.--
          [(1) In general.--From the amount allotted for any 
        fiscal year to a category of local educational agencies 
        under subsection (a), the Secretary shall award as many 
        grants as practicable within each such category to 
        local educational agencies and educational partnerships 
        whose applications have been approved by the Secretary 
        for such fiscal year under section 5304 and whose 
        applications propose a program of sufficient size, 
        scope, and quality to be effective.
          [(2) Additional funds.--Any local educational agency 
        or educational partnership that has received a grant 
        under this part shall be eligible for additional funds 
        as provided under subsection (d).
          [(3) Terms and conditions.--Grants under this part 
        shall be made under such terms and conditions as the 
        Secretary shall prescribe.
  [(d) Use of Funds When Not Fully Allotted to Categories Under 
Subsection (a).--
          [(1) In general.--Whenever the Secretary determines 
        that the full amount of the sums allotted under any 
        category set forth under subsection (a) will not be 
        required for applications of the local educational 
        agencies in the case of categories described in 
        paragraphs (1), (2), or (3) of subsection (a), the 
        Secretary shall make the amount not so required 
        available to another category under subsection (a). In 
        carrying out the provisions of this subsection, the 
        Secretary shall assure that the transfer of amounts 
        from one category to another is made to a category in 
        which there is the greatest need for funds.
          [(2) Peer review.--In order to transfer funds under 
        this subsection, the Secretary shall use a peer review 
        process to determine that such excess funds are not 
        needed to fund projects in particular categories and 
        shall prepare a list of the categories in which funds 
        were not fully expended and the reasons therefor, and 
        make such list available to local educational agencies 
        and educational partnerships upon request. The 
        Secretary may use the peer review process to determine 
        grant recipients of funds transferred in accordance 
        with this subsection.
  [(e) Federal Share.--
          [(1) Federal share.--The Federal share of a grant 
        under this part may not exceed--
                  [(A) 90 percent of the total cost of a 
                project for the first year for which the 
                project receives assistance under this part; 
                and
                  [(B) 75 percent of such cost in each such 
                succeeding fiscal year.
          [(2) Remaining costs.--The remaining cost of a 
        project that receives assistance under this part may be 
        paid from any source other than funds made available 
        under this part, except that not more than 10 percent 
        of the remaining cost in any fiscal year may be 
        provided from Federal sources other than this part.
          [(3) Non-federal share.--The share of payments from 
        sources other than funds made available under this part 
        may be in cash or in kind fairly evaluated, including 
        plant, equipment or services.

[SEC. 5404. APPLICATION.

  [(a) Application Required.--
          [(1) In general.--A grant under this part may be made 
        only to a local educational agency or an educational 
        partnership which submits an application to the 
        Secretary containing such information as may be 
        required by the Secretary by regulation.
          [(2) Duration.--Each such application shall be for a 
        three-year period.
  [(b) Contents.--Each such application shall--
          [(1) provide documentation of--
                  [(A) the number of children who were enrolled 
                in the schools to be served by the applicant 
                for the five academic years prior to the date 
                application is made who have not completed 
                their elementary or secondary education and who 
                are classified as school dropouts; and
                  [(B) the percentage that such number of 
                children is of the total school-age population 
                in the applicant's schools;
          [(2) include a plan for the development and 
        implementation of a school dropout information 
        collection and reporting system for documenting the 
        extent and nature of the dropout problem, which system 
        shall collect and cross tabulate data, where feasible, 
        by sex according to race or ethnicity and socioeconomic 
        status;
          [(3) include a plan for coordinated activities 
        involving not less than one secondary school and its 
        feeder junior high or middle schools and elementary 
        schools for local educational agencies that have feeder 
        systems;
          [(4) when applicable, describe how programs assisted 
        under this part will be coordinated with, and not 
        duplicate, programs assisted under title I;
          [(5) include a description of how the program 
        assisted under this part is consistent with the second 
        National Education Goal, relating to school completion, 
        and other Federal programs as appropriate; and
          [(6) contain such other information as the Secretary 
        considers necessary to determine the nature of the 
        local needs, the quality of the proposed project, and 
        the capability of the applicant to carry out the 
        project.
  [(c) Priority.--The Secretary shall, in approving 
applications under this section, give priority to applications 
which--
          [(1) demonstrate the replication of successful 
        programs conducted in other local educational agencies 
        or the expansion of successful programs within a local 
        educational agency; and
          [(2) reflect very high numbers or very high 
        percentages of school dropouts in the schools of the 
        applicant in each category described in section 
        5303(a).
  [(d) Special Consideration.--The Secretary shall give 
additional special consideration to applications that include--
          [(1) provisions which emphasize early intervention 
        services designed to identify at-risk students in 
        elementary or early secondary schools; and
          [(2) provisions for significant parental involvement.
  [(e) Grants for New Grantees.--In awarding grants under this 
part the Secretary shall use only the priorities and special 
considerations described in subsections (c) and (d).
  [(f) Continuation of Assistance.--For the two fiscal years 
beginning after the date of enactment of the Improving 
America's Schools Act of 1994, the Secretary shall approve an 
application under this section for a local educational agency 
which received funding in fiscal year 1994 under the School 
Dropout Demonstration Assistance Act of 1988 (20 U.S.C. 3241 et 
seq.) and which--
          [(1) satisfies the requirements of this section;
          [(2) qualifies for special consideration or priority 
        under--
                  [(A) section 5303(b); and
                  [(B) subsections (c) and (d) of this section; 
                and
          [(3) provides evidence that the program for which 
        such agency is seeking assistance is effective in--
                  [(A) providing early intervention services to 
                at-risk students in elementary and secondary 
                schools;
                  [(B) identifying potential student dropouts; 
                and
                  [(C) preventing students from dropping out of 
                school.

[SEC. 5305. AUTHORIZED ACTIVITIES.

  [Grants under this part shall be used to carry out activities 
and services described in applications approved under section 
5304. In addition, grants may be used for educational, 
occupational, and basic skills testing services and activities, 
including--
          [(1) the establishment of systemwide or school-level 
        policies, procedures, and plans for dropout prevention 
        and school reentry;
          [(2) the development and implementation of 
        activities, including extended day or summer programs, 
        designed to address poor achievement, basic skills 
        deficiencies, language deficiencies, or course 
        failures, in order to assist students at risk of 
        dropping out of school and students reentering school, 
        including youth returning to school from a correctional 
        or other facility operated for delinquent youth;
          [(3) the establishment or expansion of work-study, 
        apprentice, or internship programs;
          [(4) the use of resources of the community, including 
        contracting with public or private entities or 
        community-based organizations of demonstrated 
        performance, to provide services to the grant recipient 
        or the target population;
          [(5) the evaluation and revision of program placement 
        of students at risk;
          [(6) the evaluation of program effectiveness of 
        dropout programs;
          [(7) the development and implementation of programs 
        for traditionally underserved groups of students;
          [(8) the implementation of activities which will 
        improve student motivation and the school learning 
        environment;
          [(9) the provision of training for school personnel 
        on strategies and techniques designed to--
                  [(A) identify children at risk of dropping 
                out of school;
                  [(B) intervene in the instructional program 
                for such children with support and remedial 
                services;
                  [(C) develop realistic expectations for 
                student performance; and
                  [(D) improve student-staff interactions;
          [(10) the study of the relationship between drugs and 
        school dropouts and between youth gangs and school 
        dropouts, and the coordination of dropout prevention 
        and reentry programs with appropriate drug prevention 
        and community organizations for the prevention of youth 
        gangs;
          [(11) the study of the relationship between disabling 
        conditions and student dropouts;
          [(12) the study of the relationship between the 
        dropout rate for gifted and talented students compared 
        to the dropout rate for the general student enrollment;
          [(13) the use of educational telecommunications and 
        broadcasting technologies and educational materials 
        designed to extend, motivate, and reinforce school, 
        community, and home dropout prevention and reentry 
        activities;
          [(14) the development and implementation of efforts 
        to identify and address factors in a student's decision 
        to drop out of school that are related to gender and 
        family roles, including activities and services 
        designed to meet the needs of pregnant and parenting 
        teenagers;
          [(15) the provision of other educational, 
        occupational and testing services and activities which 
        directly relate to the purpose of this part;
          [(16) activities which offer jobs and college 
        admissions for successful completion of the program for 
        which assistance is sought;
          [(17) summer employment programs;
          [(18) occupational training programs;
          [(19) career opportunity and skills counseling;
          [(20) job placement services;
          [(21) the development of skill employment competency 
        testing programs;
          [(22) special school staff training projects; and
          [(23) mentoring programs.

[SEC. 5306. DISTRIBUTION OF ASSISTANCE; LIMITATION ON COSTS.

  [(a) Distribution of Assistance.--The Secretary shall ensure 
that, to the extent practicable, in approving grant 
applications under this part--
          [(1) grants are equitably distributed on a geographic 
        basis within each category set forth in section 
        5303(a);
          [(2) the amount of a grant to a local educational 
        agency or an educational partnership for a fiscal year 
        is proportionate to the extent and severity of the 
        local school dropout problem;
          [(3) not less than 30 percent of the amount available 
        for grants in each fiscal year is used for activities 
        relating to school dropout prevention; and
          [(4) not less than 30 percent of the amount available 
        for grants in each fiscal year is used for activities 
        relating to persuading school dropouts to return to 
        school and assisting former school dropouts with 
        specialized services once school dropouts return to 
        school.
  [(b) Administrative Costs.--Not more than five percent of any 
grant made under this part may be used for administrative 
costs.

[SEC. 5307. REPORTS.

  [(a) Annual Reports.--The Secretary shall submit to the 
Congress a report by January 1 of each year, beginning on 
January 1, 1995, which sets forth the progress of the 
Commissioner of Education Statistics, established under section 
403(b) of the National Education Statistics Act of 1994, to 
implement a definition and data collection process for school 
dropouts in elementary and secondary schools, including 
statistical information for the number and percentage of 
elementary and secondary school students by gender, race, and 
ethnic origin who drop out of school each year, including 
dropouts--
          [(1) throughout the Nation by rural and urban 
        location as defined by the Secretary; and
          [(2) in each of the individual States and the 
        District of Columbia.
  [(b) Recommendations.--The report under subsection (a) shall 
also contain recommendations on ways in which the Federal 
Government, States and localities can further support the 
implementation of an effective methodology to accurately 
measure school dropout and retention rates on the national, 
State, and local levels.

[SEC. 5308. AUTHORIZATION OF APPROPRIATIONS.

  [There are authorized to be appropriated $50,000,000 for 
fiscal year 1995, and such sums as may be necessary for each of 
the 4 succeeding fiscal years, to carry out this part.]

                     TITLE XIV--GENERAL PROVISIONS

                          PART A--DEFINITIONS

SEC. 14101. DEFINITIONS.

          * * * * * * *
          (10) Covered program.--The term ``covered program'' 
        means each of the programs authorized by--
                  (A) part A of title I;
                  (B) part C of title I;
                  (C) title II (other than section 2103 and 
                part C);
                  (D) subpart 2 of part A of title III; and
                  [(E) part A of title IV (other than section 
                4114); and]
                  [(F)](E) title VI.
          * * * * * * *

 PART C--COORDINATION OF PROGRAMS; CONSOLIDATED STATE AND LOCAL PLANS 
                            AND APPLICATIONS

          * * * * * * *

SEC. 14302. OPTIONAL CONSOLIDATED STATE PLANS OR APPLICATIONS.

    (a) General Authority.-- * * *
          * * * * * * *
                  [(B) the Prevention and Intervention Programs 
                for Youth Who Are Neglected, Delinquent, or At-
                Risk of Dropping Out under part D of title I;]
                  [(C)](B) programs under part A of title II of 
                the Carl D. Perkins Vocational and Applied 
                Technology Education Act;
                  [(D)](C) programs under the Goals 2000: 
                Educate America Act;
                  [(E)](D) programs under the School-to-Work 
                Opportunities Act of 1994; and
                  [(F)](E) such other programs as the Secretary 
                may designate.
          * * * * * * *

    PART B--FLEXIBILITY IN THE USE OF ADMINISTRATIVE AND OTHER FUNDS

SEC. 14201. CONSOLIDATION OF STATE ADMINISTRATIVE FUNDS FOR ELEMENTARY 
                    AND SECONDARY EDUCATION PROGRAMS.

    (a) Consolidation of Administrative Funds.--* * *
          * * * * * * *
          (2) Applicability.--This section applies to programs 
        under title I, those covered programs described in 
        [subparagraphs (C), (D), (E), and (F) of section 
        14101(10)] subparagraphs (C), (D), and (E) of section 
        14101(10), and administrative funds under section 
        308(c) of the Goals 2000: Educate America Act.
          * * * * * * *

SEC. 14307. RELATIONSHIP OF STATE AND LOCAL PLANS TO PLANS UNDER THE 
                    GOALS 2000: EDUCATE AMERICA ACT.

    (a) State Plans.-- * * *
          * * * * * * *
                  [(C) Part D of title I (education of 
                neglected, delinquent, and at-risk youth).]
                  [(D)](C) Title II (professional development).
                  [(E) Title IV (safe and drug-free schools).]
                  [(F)](D) Title VI (innovative education 
                program strategies).
                  [(G)](E) Subpart 4 of part A of title IX 
                (Indian education).
          * * * * * * *
    (b) Local Plans.--
          (1) In general.-- * * *
          * * * * * * *
                  [(C) Title IV (safe and drug-free schools).]
                  [(D)](C) Subpart 4 of part A of title IX 
                (Indian education).
                  [(E)](D) Subpart 1 of part A of title VII 
                (bilingual education).
                  [(F)](E) Title VI (innovative education 
                program strategies).
                  [(G)](F) Part C of title VII (emergency 
                immigrant education).
          * * * * * * *

                       PART E--UNIFORM PROVISIONS

          * * * * * * *

SEC. 14503. PARTICIPATION BY PRIVATE SCHOOL CHILDREN AND TEACHERS.

    (a) Private School Participation.-- * * *
          * * * * * * *
    (b) Applicability.--
          (1) In general.--This section applies to programs 
        under--
                  (A) part C of title I (migrant education);
                  (B) title II (other than section 2103 and 
                part C of such title);
                  (C) title VII; and
                  (D) title III (other than part B of such 
                title) (Star Schools)[; and].
                  [(E) part A of title IV (other than section 
                4114).]
          * * * * * * *

        Juvenile Justice and Delinquency Prevention Act of 1974

          * * * * * * *

         TITLE II--JUVENILE JUSTICE AND DELINQUENCY PREVENTION

       Part A--Juvenile Justice and Delinquency Prevention Office

          * * * * * * *

   [Part D--Gang-Free Schools and Communities; Community-Based Gang 
                              Intervention

             [Subpart I--Gang-Free Schools and Communities

                [authority to make grants and contracts

  [Sec. 281. (a) The Administrator shall make grants to or 
enter into contracts with public agencies (including local 
educational agencies) and private nonprofit agencies, 
organizations, and institutions to establish and support 
programs and activities that involve families and communities 
and that are designed to carry out any of the following 
purposes:
          [(1) To prevent and to reduce the participation of 
        juveniles in the activities of gangs that commit 
        crimes. Such programs and activities may include--
                  [(A) individual, peer, family, and group 
                counseling, including the provision of life 
                skills training and preparation for living 
                independently, which shall include cooperation 
                with social services, welfare, and health care 
                programs;
                  [(B) education and social services designed 
                to address the social and developmental needs 
                of juveniles which such juveniles would 
                otherwise seek to have met through membership 
                in gangs;
                  [(C) crisis intervention and counseling to 
                juveniles, who are particularly at risk of gang 
                involvement, and their families, including 
                assistance from social service, welfare, health 
                care, mental health, and substance abuse 
                prevention and treatment agencies where 
                necessary;
                  [(D) the organization of neighborhood and 
                community groups to work closely with parents, 
                schools, law enforcement, and other public and 
                private agencies in the community; and
                  [(E) training and assistance to adults who 
                have significant relationships with juveniles 
                who are or may become members of gangs, to 
                assist such adults in providing constructive 
                alternatives to participating in the activities 
                of gangs.
          [(2) To develop within the juvenile adjudicatory and 
        correctional systems new and innovative means to 
        address the problems of juveniles convicted of serious 
        drug-related and gang-related offenses.
          [(3) To target elementary school students, with the 
        purpose of steering students away from gang 
        involvement.
          [(4) To provide treatment to juveniles who are 
        members of such gangs, including members who are 
        accused of committing a serious crime and members who 
        have been adjudicated as being delinquent.
          [(5) To promote the involvement of juveniles in 
        lawful activities in geographical areas in which gangs 
        commit crimes.
          [(6) To promote and support, with the cooperation of 
        community-based organizations experienced in providing 
        services to juveniles engaged in gang-related 
        activities and the cooperation of local law enforcement 
        agencies, the development of policies and activities in 
        public elementary and secondary schools which will 
        assist such schools in maintaining a safe environment 
        conducive to learning.
          [(7) To assist juveniles who are or may become 
        members of gangs to obtain appropriate educational 
        instruction, in or outside a regular school program, 
        including the provision of counseling and other 
        services to promote and support the continued 
        participation of such juveniles in such instructional 
        programs.
          [(8) To expand the availability of prevention and 
        treatment services relating to the illegal use of 
        controlled substances and controlled substances 
        analogues (as defined in paragraphs (6) and (32) of 
        section 102 of the Controlled Substances Act) (21 
        U.S.C. 802) by juveniles, provided through State and 
        local health and social services agencies.
          [(9) To provide services to prevent juveniles from 
        coming into contact with the juvenile justice system 
        again as a result of gang-related activity.
          [(10) To provide services authorized in this section 
        at a special location in a school or housing project.
          [(11) To support activities to inform juveniles of 
        the availability of treatment and services for which 
        financial assistance is available under this subpart.
    [(b) From not more than 15 percent of the amount 
appropriated to carry out this part in each fiscal year, the 
Administrator may make grants to and enter into contracts with 
public agencies and private nonprofit agencies, organizations, 
and institutions--
          [(1) to conduct research on issues related to 
        juvenile gangs;
          [(2) to evaluate the effectiveness of programs and 
        activities funded under subsection (a); and
          [(3) to increase the knowledge of the public 
        (including public and private agencies that operate or 
        desire to operate gang prevention and intervention 
        programs) by disseminating information on research and 
        on effective programs and activities funded under this 
        subpart.

                       [approval of applications

    [Sec. 281A. (a) Any agency, organization, or institution 
desiring to receive a grant, or to enter into a contract, under 
this subpart shall submit an application at such time, in such 
manner, and containing such information as the Administrator 
may prescribe.
    [(b) In accordance with guidelines established by the 
Administrator, each application submitted under subsection (a) 
shall--
          [(1) set forth a program or activity for carrying out 
        one or more of the purposes specified in section 281 
        and specifically identify each such purpose such 
        program or activity is designed to carry out;
          [(2) provide that such program or activity shall be 
        administered by or under the supervision of the 
        applicant;
          [(3) provide for the proper and efficient 
        administration of such program or activity;
          [(4) provide for regular evaluation of such program 
        or activity;
          [(5) provide an assurance that the proposed program 
        or activity will supplement, not supplant, similar 
        programs and activities already available in the 
        community;
          [(6) describe how such program or activity is 
        coordinated with programs, activities, and services 
        available locally under parts B or C of this title, and 
        under chapter 1 of subtitle B of title III of the Anti-
        Drug Abuse Act of 1988 (42 U.S.C. 11801-11805);
          [(7) certify that the applicant has requested the 
        State planning agency to review and comment on such 
        application and summarizes the responses of such State 
        planning agency to such request;
          [(8) provide that regular reports on such program or 
        activity shall be sent to the Administrator and to such 
        State planning agency; and
          [(9) provide for such fiscal control and fund 
        accounting procedures as may be necessary to ensure 
        prudent use, proper disbursement, and accurate 
        accounting of funds received under this subpart.
    [(c) In reviewing applications for grants and contracts 
under section 281(a), the Administrator shall give priority to 
applications--
          [(1) submitted by, or substantially involving, local 
        educational agencies (as defined in section 1471 of the 
        Elementary and Secondary Education Act of 1965 (20 
        U.S.C. 2891));
          [(2) based on the incidence and severity of crimes 
        committed by gangs whose membership is composed 
        primarily of juveniles in the geographical area in 
        which the applicants propose to carry out the programs 
        and activities for which such grants and contracts are 
        requested; and
          [(3) for assistance for programs and activities 
        that--
                  [(A) are broadly supported by public and 
                private nonprofit agencies, organizations, and 
                institutions located in such geographical area; 
                and
                  [(B) will substantially involve the families 
                of juvenile gang members in carrying out such 
                programs or activities.

             [Subpart II--Community-Based Gang Intervention

                        [lacks section heading]

    [Sec. 282. (a) The Administrator shall make grants to or 
enter into contracts with public and private nonprofit 
agencies, organizations, and institutions to carry out programs 
and activities--
          [(1) to reduce the participation of juveniles in the 
        illegal activities of gangs;
          [(2) to develop regional task forces involving State, 
        local, and community-based organizations to coordinate 
        enforcement, intervention, and treatment efforts for 
        juvenile gang members and to curtail interstate 
        activities of gangs; and
          [(3) to facilitate coordination and cooperation 
        among--
                  [(A) local education, juvenile justice, 
                employment, and social service agencies; and
                  [(B) community-based programs with a proven 
                record of effectively providing intervention 
                services to juvenile gang members for the 
                purpose of reducing the participation of 
                juveniles in illegal gang activities; and
          [(4) to support programs that, in recognition of 
        varying degrees of the seriousness of delinquent 
        behavior and the corresponding gradations in the 
        responses of the juvenile justice system in response to 
        that behavior, are designed to--
                  [(A) encourage courts to develop and 
                implement a continuum of post-adjudication 
                restraints that bridge the gap between 
                traditional probation and confinement in a 
                correctional setting (including expanded use of 
                probation, mediation, restitution, community 
                service, treatment, home detention, intensive 
                supervision, electronic monitoring, boot camps 
                and similar programs, and secure community-
                based treatment facilities linked to other 
                support services such as health, mental health, 
                education (remedial and special), job training, 
                and recreation); and
                  [(B) assist in the provision by the provision 
                by the Administrator of information and 
                technical assistance, including technology 
                transfer, to States in the design and 
                utilization of risk assessment mechanisms to 
                aid juvenile justice personnel in determining 
                appropriate sanctions for delinquent behavior.
    [(b) Programs and activities for which grants and contracts 
are to be made under subsection (a) may include--
          [(1) developing within the juvenile adjudicatory and 
        correctional systems new and innovative means to 
        address the problems of juveniles convicted of serious 
        drug-related and gang-related offenses;
          [(2) providing treatment to juveniles who are members 
        of such gangs, including members who are accused of 
        committing a serious crime and members who have been 
        adjudicated as being delinquent;
          [(3) promoting the involvement of juveniles in lawful 
        activities in geographical areas in which gangs commit 
        crimes;
          [(4) expanding the availability of prevention and 
        treatment services relating to the illegal use of 
        controlled substances and controlled substances 
        analogues (as defined in paragraphs (6) and (32) of 
        section 102 of the Controlled Substances Act (21 U.S.C. 
        802) by juveniles, provided through State and local 
        health and social services agencies;
          [(5) providing services to prevent juveniles from 
        coming into contact with the juvenile justice system 
        again as a result of gang-related activity; or
          [(6) supporting activities to inform juveniles of the 
        availability of treatment and services for which 
        financial assistance is available under this subpart.

                        approval of applications

    [Sec. 282A. (a) Any agency, organization, or institution 
desiring to receive a grant, or to enter into a contract, under 
this subpart shall submit an application at such time, in such 
manner, and containing such information as the Administrator 
may prescribe.
  [(b) In accordance with guidelines established by the 
Administrator, each application submitted under subsection (a) 
shall--
          [(1) set forth a program or activity for carrying out 
        one or more of the purposes specified in section 282 
        and specifically identify each such purpose such 
        program or activity is designed to carry out;
          [(2) provide that such program or activity shall be 
        administered by or under the supervision of the 
        applicant;
          [(3) provide for the proper and efficient 
        administration of such program or activity;
          [(4) provide for regular evaluation of such program 
        or activity;
          [(5) provide an assurance that the proposed program 
        or activity will supplement, not supplant, similar 
        programs and activities already available in the 
        community;
          [(6) describe how such program or activity is 
        coordinated with programs, activities, and services 
        available locally under parts B or C of this title, and 
        under chapter 1 of subtitle B of title III of the Anti-
        Drug Abuse Act of 1988 (42 U.S.C. 11801-11805);
          [(7) certify that the applicant has requested the 
        State planning agency to review and comment on such 
        application and summarizes the responses of such State 
        planning agency to such request;
          [(8) provide that regular reports on such program or 
        activity shall be sent to the Administrator and to such 
        State planning agency; and
          [(9) provide for such fiscal control and fund 
        accounting procedures as may be necessary to ensure 
        prudent use, proper disbursement, and accurate 
        accounting of funds received under this subpart.
    [(c) In reviewing applications for grants and contracts 
under section 285(a), the Administrator shall give priority to 
applications--
          [(1) submitted by, or substantially involving, 
        community-based organizations experienced in providing 
        services to juveniles;
          [(2) based on the incidence and severity of crimes 
        committed by gangs whose membership is composed 
        primarily of juveniles in the geographical area in 
        which the applicants propose to carry out the programs 
        and activities for which such grants and contracts are 
        requested; and
          [(3) for assistance for programs and activities 
        that--
                  [(A) are broadly supported by public and 
                private nonprofit agencies, organizations, and 
                institutions located in such geographical area; 
                and
                  [(B) will substantially involve the families 
                of juvenile gang members in carrying out such 
                programs or activities.

                    [Subpart III--General Provisions

                              [definition

    [Sec. 283. For purposes of this part, the term ``juvenile'' 
means an individual who is less than 22 years of age.

                           [Part G--Mentoring

                               [PURPOSES

    [Sec. 288. The purposes of this part are--
          [(1) to reduce juvenile delinquency and gang 
        participation;
          [(2) to improve academic performance; and
          [(3) to reduce the dropout rate,
through the use of mentors for at-risk youth.

                              [DEFINITIONS

    [Sec. 288A. For purposes of this part--
          [(1) the term ``at-risk youth'' means a youth at risk 
        of educational failure or dropping out of school or 
        involvement in delinquent activities; and
          [(2) the term ``mentor'' means a person who works 
        with an at-risk youth on a one-to-one basis, 
        establishing a supportive relationship with the youth 
        and providing the youth with academic assistance and 
        exposure to new experiences that enhance the youth's 
        ability to become a responsible citizen.

                                [GRANTS

    [Sec. 288B. The Administrator shall, by making grants to 
and entering into contracts with local educational agencies 
(each of which agency shall be in partnership with a public or 
private agency, institution, or business), establish and 
support programs and activities for the purpose of implementing 
mentoring programs that--
          [(1) are designed to link at-risk children, 
        particularly children living in high crime areas and 
        children experiencing educational failure, with 
        responsible adults such as law enforcement officers, 
        persons working with local businesses, and adults 
        working for community-based organizations and agencies; 
        and
          [(2) are intended to achieve 1 or more of the 
        following goals:
                  [(A) Provide general guidance to at-risk 
                youth.
                  [(B) Promote personal and social 
                responsibility among at-risk youth.
                  [(C) Increase at-risk youth's participation 
                in and enhance their ability to benefit from 
                elementary and secondary education.
                  [(D) Discourage at-risk youth's use of 
                illegal drugs, violence, and dangerous weapons, 
                and other criminal activity.
                  [(E) Discourage involvement of at-risk youth 
                in gangs.
                  [(F) Encourage at-risk youth's participation 
                in community service and community activities.

                      [REGULATIONS AND GUIDELINES

    [Sec. 288C. (a) Program Guidelines.--The Administrator 
shall issue program guidelines to implement this part. The 
program guidelines shall be effective only after a period for 
public notice and comment.
    [(b) Model Screening Guidelines.--The Administrator shall 
develop and distribute to program participants specific model 
guidelines for the screening of prospective program mentors.

                             [USE OF GRANTS

    [Sec. 288D. (a) Permitted Uses.--Grants awarded pursuant to 
this part shall be used to implement mentoring programs, 
including--
          [(1) hiring of mentoring coordinators and support 
        staff;
          [(2) recruitment, screening, and training of adult 
        mentors;
          [(3) reimbursement of mentors for reasonable 
        incidental expenditures such as transportation that are 
        directly associated with mentoring; and
          [(4) such other purposes as the Administrator may 
        reasonably prescribe by regulation.
    [(b) Prohibited Uses.--Grants awarded pursuant to this part 
shall not be used--
          [(1) to directly compensate mentors, except as 
        provided pursuant to subsection (a)(3);
          [(2) to obtain educational or other materials or 
        equipment that would otherwise be used in the ordinary 
        course of the grantee's operations;
          [(3) to support litigation of any kind; or
          [(4) for any other purpose reasonably prohibited by 
        the Administrator by regulation.

                               [PRIORITY

    [Sec. 288E. (a) In General.--In making grants under this 
part, the Administrator shall give priority for awarding grants 
to applicants that--
          [(1) serve at-risk youth in high crime areas;
          [(2) have 60 percent or more of their youth eligible 
        to receive funds under the Elementary and Secondary 
        Education Act of 1965; and
          [(3) have a considerable number of youth who drop out 
        of school each year.
    [(b) Other Considerations.--In making grants under this 
part, the Administrator shall give consideration to--
          [(1) the geographic distribution (urban and rural) of 
        applications;
          [(2) the quality of a mentoring plan, including--
                  [(A) the resources, if any, that will be 
                dedicated to providing participating youth with 
                opportunities for job training or postsecondary 
                 education; and
                  [(B) the degree to which parents, teachers, 
                community-based organizations, and the local 
                community participate in the design and 
                implementation of the mentoring plan; and
          [(3) the capability of the applicant to effectively 
        implement the mentoring plan.

                             [APPLICATIONS

    [Sec. 288F. An application for assistance under this part 
shall include--
          [(1) information on the youth expected to be served 
        by the program;
          [(2) a provision for a mechanism for matching youth 
        with mentors based on the needs of the youth;
          [(3) an assurance that no mentor will be assigned to 
        more than one youth, so as to ensure a one-to-one 
        relationship;
          [(4) an assurance that projects operated in secondary 
        schools will provide youth with a variety of 
        experiences and support, including--
                  [(A) an opportunity to spend time in a work 
                environment and, when possible, participate in 
                the work environment;
                  [(B) an opportunity to witness the job skills 
                that will be required for youth to obtain 
                employment upon graduation;
                  [(C) assistance with homework assignments; 
                and
                  [(D) exposure to experiences that youth might 
                not otherwise encounter;
          [(5) an assurance that projects operated in 
        elementary schools will provide youth with--
                  [(A) academic assistance;
                  [(B) exposure to new experiences and 
                activities that youth might not encounter on 
                their own; and
                  [(C) emotional support;
          [(6) an assurance that projects will be monitored to 
        ensure that each youth benefits from a mentor 
        relationship, with provision for a new mentor 
        assignment if the relationship is not beneficial to the 
        youth;
          [(7) the method by which mentors and youth will be 
        recruited to the project;
          [(8) the method by which prospective mentors will be 
        screened; and
          [(9) the training that will be provided to mentors.

                             [GRANT CYCLES

    [Sec. 288G. Grants under this part shall be made for 3-year 
periods.

                                [REPORTS

    [Sec. 288H. Not later than 120 days after the completion of 
the first cycle of grants under this part, the Administrator 
shall submit to Congress a report regarding the success and 
effectiveness of the grant program in reducing juvenile 
delinquency and gang participation, improving academic 
performance, and reducing the dropout rate.]
          * * * * * * *

  [TITLE V--INCENTIVE GRANTS FOR LOCAL DELINQUENCY PREVENTION PROGRAMS

[SEC. 501. SHORT TITLE.

  [This title may be cited as the ``Incentive Grants for Local 
Delinquency Prevention Programs Act''.

[SEC. 502. FINDINGS.

  [The Congress finds that--
          [(1) approximately 700,000 youth enter the juvenile 
        justice system every year;
          [(2) Federal, State, and local governments spend 
        close to $2,000,000,000 a year confining many of those 
        youth;
          [(3) it is more effective in both human and fiscal 
        terms to prevent delinquency than to attempt to control 
        or change it after the fact;
          [(4) half or more of all States are unable to spend 
        any juvenile justice formula grant funds on delinquency 
        prevention because of other priorities;
          [(5) few Federal resources are dedicated to 
        delinquency prevention; and
          [(6) Federal incentives are needed to assist States 
        and local communities in mobilizing delinquency 
        prevention policies and programs.

[SEC. 503. DEFINITION.

  [In this title, the term ``State advisory group'' means the 
advisory group appointed by the chief executive officer of a 
State under a plan described in section 223(a).

[SEC. 504. DUTIES AND FUNCTIONS OF THE ADMINISTRATOR.

  [The Administrator shall--
          [(1) issue such rules as are necessary or appropriate 
        to carry out this title;
          [(2) make such arrangements as are necessary and 
        appropriate to facilitate coordination and policy 
        development among all activities funded through the 
        Department of Justice relating to delinquency 
        prevention (including the preparation of an annual 
        comprehensive plan for facilitating such coordination 
        and policy development);
          [(3) provide adequate staff and resources necessary 
        to properly carry out this title; and
          [(4) not later than 180 days after the end of each 
        fiscal year, submit a report to the Chairman of the 
        Committee on Education and Labor of the House of 
        Representatives and the Chairman of the Committee on 
        the Judiciary of the Senate--
                  [(A) describing activities and 
                accomplishments of grant activities funded 
                under this title;
                  [(B) describing procedures followed to 
                disseminate grant activity products and 
                research findings;
                  [(C) describing activities conducted to 
                develop policy and to coordinate Federal agency 
                and interagency efforts related to delinquency 
                prevention; and
                  [(D) identifying successful approaches and 
                making recommendations for future activities to 
                be conducted under this title.

[SEC. 505. GRANTS FOR PREVENTION PROGRAMS.

  [(a) Purposes.--The Administrator may make grants to a State, 
to be transmitted through the State advisory group to units of 
general local government that meet the requirements of 
subsection (b), for delinquency prevention programs and 
activities for youth who have had contact with the juvenile 
justice system or who are likely to have contact with the 
juvenile justice system, including the provision to children, 
youth, and families of--
          [(1) recreation services;
          [(2) tutoring and remedial education;
          [(3) assistance in the development of work awareness 
        skills;
          [(4) child and adolescent health and mental health 
        services;
          [(5) alcohol and substance abuse prevention services;
          [(6) leadership development activities; and
          [(7) the teaching that people are and should be held 
        accountable for their actions.
  [(b) Eligibility.--The requirements of this subsection are 
met with respect to a unit of general local government if--
          [(1) the unit is in compliance with the requirements 
        of part B of title II;
          [(2) the unit has submitted to the State advisory 
        group a 3-year plan outlining the unit's local front 
        end plans for investment for delinquency prevention and 
        early intervention activities;
          [(3) the unit has included in its application to the 
        Administrator for formula grant funds a summary of the 
        3-year plan described in paragraph (2);
          [(4) pursuant to its 3-year plan, the unit has 
        appointed a local policy board of no fewer than 15 and 
        no more than 21 members with balanced representation of 
        public agencies and private, nonprofit organizations 
        serving children, youth, and families and business and 
        industry;
          [(5) the unit has, in order to aid in the prevention 
        of delinquency, included in its application a plan for 
        the coordination of services to at-risk youth and their 
        families, including such programs as nutrition, energy 
        assistance, and housing;
          [(6) the local policy board is empowered to make all 
        recommendations for distribution of funds and 
        evaluation of activities funded under this title; and
          [(7) the unit or State has agreed to provide a 50 
        percent match of the amount of the grant, including the 
        value of in-kind contributions, to fund the activity.
  [(c) Priority.--In considering grant applications under this 
section, the Administrator shall give priority to applicants 
that demonstrate ability in--
          [(1) plans for service and agency coordination and 
        collaboration including the colocation of services;
          [(2) innovative ways to involve the private nonprofit 
        and business sector in delinquency prevention 
        activities; and
          [(3) developing or enhancing a statewide subsidy 
        program to local governments that is dedicated to early 
        intervention and delinquency prevention.

[SEC. 506. AUTHORIZATION OF APPROPRIATIONS.

  [To carry out this title, there are authorized to be 
appropriated $30,000,000 for fiscal year 1993 and such sums as 
are necessary for fiscal years 1994, 1995, and 1996.]
          * * * * * * *

                      Anti-Drug Abuse Act of 1988

          * * * * * * *

             TITLE III--DRUG ABUSE EDUCATION AND PREVENTION

          * * * * * * *

            Subtitle B--Drug Abuse Education and Prevention

   [CHAPTER 1--DRUG EDUCATION AND PREVENTION RELATING TO YOUTH GANGS

[SEC. 3501. ESTABLISHMENT OF DRUG ABUSE EDUCATION AND PREVENTION 
                    PROGRAM RELATING TO YOUTH GANGS.

  [The Secretary of Health and Human Services, through the 
Administration on Children, Youth, and Families, shall make 
grants to, and enter into contracts with, public and nonprofit 
private agencies (including agencies described in paragraph 
(7)(A) acting jointly), organizations (including community 
based organizations with demonstrated experience in this 
field), institutions, and individuals, to carry out projects 
and activities--
          [(1) to prevent and to reduce the participation of 
        youth in the activities of gangs that engage in illicit 
        drug-related activities,
          [(2) to promote the involvement of youth in lawful 
        activities in communities in which such gangs commit 
        drug-related crimes,
          [(3) to prevent the abuse of drugs by youth, to 
        educate youth about such abuse, and to refer for 
        treatment and rehabilitation members of such gangs who 
        abuse drugs,
          [(4) to support activities of local police 
        departments and other local law enforcement agencies to 
        conduct educational outreach activities in communities 
        in which gangs commit drug-related crimes,
          [(5) to inform gang members and their families of the 
        availability of treatment and rehabilitation services 
        for drug abuse,
          [(6) to facilitate Federal and State cooperation with 
        local school officials to assist youth who are likely 
        to participate in gangs that commit drug-related 
        crimes,
          [(7) to facilitate coordination and cooperation 
        among--
                  [(A) local education, juvenile justice, 
                employment and social service agencies, and
                  [(B) drug abuse referral, treatment, and 
                rehabilitation programs,
        for the purpose of preventing or reducing the 
        participation of youth in activities of gangs that 
        commit drug-related crimes, and
          [(8) to provide technical assistance to eligible 
        organizations in planning and implementing drug abuse 
        education, prevention, rehabilitation, and referral 
        programs for youth who are members of gangs that commit 
        drug-related crimes.

[SEC. 3502. APPLICATION FOR GRANTS AND CONTRACTS.

  [(a) Submission of Applications.--Any agency, organization, 
institution, or individual desiring to receive a grant, or to 
enter into a contract, under section 3501 shall submit to the 
Secretary an application at such time, in such manner, and 
containing or accompanied by such information as the Secretary 
may require by rule.
  [(b) Contents of Application.--Each application for 
assistance under this chapter shall--
          [(1) set forth a project or activity for carrying out 
        one or more of the purposes specified in section 3501 
        and specifically identify each such purpose such 
        project or activity is designed to carry out,
          [(2) provide that such project or activity shall be 
        administered by or under the supervision of the 
        applicant,
          [(3) provide for the proper and efficient 
        administration of such project or activity,
          [(4) provide for regular evaluation of the operation 
        of such project or activity,
          [(5) provide that regular reports on such project or 
        activity shall be submitted to the Secretary, and
          [(6) provide such fiscal control and fund accounting 
        procedures as may be necessary to ensure prudent use, 
        proper disbursement, and accurate accounting of funds 
        received under this chapter.

[SEC. 3503. APPROVAL OF APPLICATIONS.

  [In selecting among applications submitted under section 
3502(a), the Secretary shall give priority to applicants who 
propose to carry out projects and activities--
          [(1) for the purposes specified in section 3501 in 
        geographical areas in which frequent and severe drug-
        related crimes are committed by gangs whose membership 
        is composed primarily of youth, and
          [(2) that the applicant demonstrates have the broad 
        support of community based organizations in such 
        geographical areas.

[SEC. 3504. COORDINATION WITH JUVENILE JUSTICE PROGRAMS.

    [The Secretary shall coordinate the program established by 
section 3501 with the programs and activities carried out under 
the Juvenile Justice and Delinquency Prevention Act of 1974 and 
with the programs and activities of the Attorney General, to 
ensure that all such programs and activities are complementary 
and not duplicative.

[SEC. 3505. AUTHORIZATION OF APPROPRIATIONS.

    [To carry out this chapter, there are authorized to be 
appropriated $16,000,000 for fiscal year 1992 and such sums as 
may be necessary for fiscal years 1993 and 1994.
    (42 U.S.C. 11805)

[SEC. 3506. ANNUAL REPORT.

    [Not later than 180 days after the end of each fiscal year, 
the Secretary shall submit, to the Speaker of the House of 
Represent- atives and the President pro tempore of the Senate, 
a report describing--
         [(1) the types of projects and activities for which 
        grants and contracts were made under this chapter for 
        such fiscal year,
         [(2) the number and characteristics of the youth and 
        families served by such projects and activities, and
         [(3) each of such projects and activities the 
        Secretary considers to be exemplary.

           [CHAPTER 2--PROGRAM FOR RUNAWAY AND HOMELESS YOUTH

[SEC. 3511. ESTABLISHMENT OF PROGRAM.

    [(a) The Secretary shall make grants to public and private 
nonprofit agencies, organizations, and institutions to carry 
out research, demonstration, and services projects designed--
         [(1) to provide individual, family, and group 
        counseling to runaway youth and their families and to 
        homeless youth for the purpose of preventing or 
        reducing the illicit use of drugs by such youth,
         [(2) to develop and support peer counseling programs 
        for runaway and homeless youth related to the illicit 
        use of drugs,
         [(3) to develop and support community education 
        activities related to illicit use of drugs by runaway 
        and homeless youth, including outreach to youth 
        individually,
         [(4) to provide to runaway and homeless youth in rural 
        areas assistance (including the development of 
        community support groups) related to the illicit use of 
        drugs,
         [(5) to provide to individuals involved in providing 
        services to runaway and homeless youth, information and 
        training regarding issues related to the illicit use of 
        drugs by runaway and homeless youth,
         [(6) to support research on the illicit drug use by 
        runaway and homeless youth, and the effects on such 
        youth of drug abuse by family members, and any 
        correlation between such use and attempts at suicide, 
        and
         [(7) to improve the availability and coordination of 
        local services related to drug abuse, for runaway and 
        homeless youth.
    [(b) Priority.--In selecting among applicants for grants 
under subsection (a), the Secretary shall give priority to 
agencies and organizations that have experience in providing 
services to runaway and homeless youth.
    [(c) Limitation.--Grants under this section may be made for 
a period not to exceed 3 years.

[SEC. 3512. ANNUAL REPORT.

    [Not later than 180 days after the end of a fiscal year for 
which funds are appropriated to carry out this chapter, the 
Secretary shall submit to the President, the Speaker of the 
House of Representatives, and the President pro tempore of the 
Senate a report that contains--
         [(1) a description of the types of projects and 
        activities for which grants were made under this 
        chapter for such fiscal year,
         [(2) a description of the number and characteristics 
        of the youth and families served by such projects and 
        activities, and
         [(3) a description of exemplary projects and 
        activities for which grants were made under this 
        chapter for such fiscal year.

[SEC. 3513. AUTHORIZATION OF APPROPRIATIONS.

    [To carry out this chapter, there are authorized to be 
appropriated $16,000,000 for fiscal year 1992 and such sums as 
may be necessary for fiscal years 1993 and 1994.

[SEC. 3514. APPLICATIONS.

    [(a) Submission of Application.--Any State, unit of local 
government (or combination of units of local government), 
agency, organization, institution, or individual desiring to 
receive a grant, or enter into a contract, under this chapter 
shall submit an application at such time, in such manner, and 
containing or accompanied by such information as may be 
prescribed by the Federal officer who is authorized to make 
such grant or enter into such contract (hereinafter in this 
chapter referred to as the ``appropriate Federal officer'').
    [(b) Contents of Application.--In accordance with 
guidelines established by the appropriate Federal officer, each 
application for assistance under this chapter shall--
          [(1) set forth a project or activity for carrying out 
        one or more of the purposes for which such grant or 
        contract is authorized to be made and expressly 
        identify each such purpose such project or activity is 
        designed to carry out,
          [(2) provide that such project or activity shall be 
        administered by or under the supervision of the 
        applicant,
          [(3) provide for the proper and efficient 
        administration of such project or activity,
          [(4) provide for regular evaluation of such project 
        or activity,
          [(5) provide that regular reports on such project or 
        activity shall be sent to the appropriate Federal 
        officer, and
          [(6) provide for such fiscal control and fund 
        accounting procedures as may be necessary to ensure 
        prudent use, proper disbursement, and accurate 
        accounting of funds received under this chapter.

[SEC. 3515. REVIEW OF APPLICATIONS.

    [(a) Consideration of Factors.--In reviewing applications 
submitted under this chapter, the appropriate Federal officer 
shall consider--
          [(1) the relative cost and effectiveness of the 
        proposed project or activity in carrying out purposes 
        for which the requested grant or contract is authorized 
        to be made,
          [(2) the extent to which such project or activity 
        will incorporate new or innovative techniques,
          [(3) the increase in capacity of the State or the 
        public or nonprofit private agency, organization, 
        institution, or individual involved to provide services 
        to address the illicit use of drugs by runaway and 
        homeless youth,
          [(4) the extent to which such project or activity 
        serves communities which have high rates of illicit 
        drug use by juveniles (including runaway and homeless 
        youth),
          [(5) the extent to which such project or activity 
        will provide services in geographical areas where 
        similar services are unavailable or in short supply, 
        and
          [(6) the extent to which such project or activity 
        will increase the level of services, or coordinate 
        other services, in the community available to eligible 
        youth.
    [(b) Competitive Process.--(1) Applications submitted under 
this chapter shall be selected for approval through a 
competitive process to be established by rule by the 
appropriate Federal officer. As part of such a process, such 
officer shall publish a notice in the Federal Register--
          [(A) announcing the availability of funds to carry 
        out this part,
          [(B) stating the general criteria applicable to the 
        selection of applicants to receive such funds, and
          [(C) describing the procedures applicable to 
        submitting and reviewing applications for such funds.
    [(2) As part of such process, each application referred to 
in subsection (a) shall be subject to peer review by 
individuals (excluding officers and employees of the Department 
of Justice and the Department of Health and Human Services) who 
have expertise in the subject matter related to the project or 
activity proposed in such application.
    [(c) Expedited Review.--The appropriate Federal officer 
shall expedite the consideration of an application referred to 
in subsection (a) if the applicant demonstrates, to the 
satisfaction of the such officer, that the failure to expedite 
such consideration would prevent the effective implementation 
of the project or activity set forth in such application.]
          * * * * * * *

                      TITLE 42--UNITED STATES CODE

          * * * * * * *

                   Subchapter III--Community Program

Sec. 11841. The community youth activity program

    (a) Block Grant Program.--
          * * * * * * *
    (d) Priority.--In making grants under this section, the 
Secretary shall give priority to
          (1) * * *
          * * * * * * *
          (8) programs for unsupervised children before and 
        after school, including--
                  (A) education and instruction [consistent 
                with title IV of the Elementary and Secondary 
                Education Act of 1965] [20 U.S.C.A. Sec. 7101 
                et. seq.];
          * * * * * * *

                       National School Lunch Act

          * * * * * * *

                summer food service program for children

    Sec. 13. [1761] (a)(1) The Secretary is authorized to carry 
out a program to assist States, through grants-in-aid and other 
means, to initiate, maintain, and expand nonprofit food service 
programs for children in service institutions. For purposes of 
this section, (A) ``program'' means the summer food service 
program for children authorized by this section; (B) ``service 
institutions'' means public or private nonprofit school food 
authorities, local, municipal, or county governments, [public 
or private nonprofit higher education institutions 
participating in the National Youth Sports Program,] and 
residential public or private nonprofit summer camps, that 
develop special summer or school vacation programs providing 
food service similar to that made available to children during 
the school year under the school lunch program under this Act 
or the school breakfast program under the Child Nutrition Act 
of 1966 [(42 U.S.C. 1771 et seq.)]; (C) ``areas in which poor 
economic conditions exist'' means areas in which at least 50 
percent of the children are eligible for free or reduced price 
school meals under this Act and the Child Nutrition Act of 
1966, as determined by information provided from departments of 
welfare, zoning commissions, census tracts, by the number of 
free and reduced price lunches or breakfasts served to children 
attending public and non-profit private schools located in the 
area of program food service sites, or form other appropriate 
sources, including statements of eligibility based upon income 
for children enrolled in the program; (D) ``children'' means 
individuals who are eighteen years of age and under, and 
individuals who are older than eighteen who are (i) determined 
by a State educational agency or a local public educational 
agency of a State, in accordance with regulations prescribed by 
the Secretary, to be mentally or physically handicapped, and 
(ii) participating in a public or nonprofit private school 
program established for the mentally or physically handicapped; 
and (E) ``State'' means any of the fifty States, the District 
of Columbia, the Commonwealth of Puerto Rico, the Virgin 
Islands of the United States, Guam, American Samoa, the Trust 
Territory of the Pacific Islands, and the Northern Mariana 
Islands.
          * * * * * * *
    [(c)(1) Payments] (c) Payments shall be made to service 
institutions only for meals served during the months of May 
through September, except in the case of service institutions 
that operate food service programs for children on school 
vacation at any time under a continuous school calendar or that 
provide meal service at non-school sites to children who are 
not in school for a period during the months of October through 
April due to a natural disaster, building repair, court order, 
or similar cause.
    [(2)(A) Notwithstanding any other provision of this Act, 
any higher education institution that receives reimbursements 
under the program for meals and meal supplements served to low-
income children under the National Youth Sports Program is 
eligible to receive reimbursements for not more than 2 meals or 
1 meal and 1 meal supplement per day for not more than 30 days 
for each child participating in a National Youth Sports Program 
operated by such institution during the months other than May 
through September. The program under this paragraph shall be 
administered within the State by the same State agency that 
administers the program during the months of May through 
September.
    [(B) Children participating in National Youth Sports 
Programs operated by higher education institutions, and such 
higher education institutions, shall be eligible to participate 
in the program under this paragraph without application.
    [(C) Higher education institutions shall be reimbursed for 
meals and meal supplements served under this paragraph--
          [(i) in the case of lunches and suppers, at the same 
        rates at the payment rates established for free lunches 
        under section 11; and
          [(ii) in the case of breakfasts or meal supplements, 
        at the same rates as the severe need payment rates 
        established for free breakfasts under section 4 of the 
        Child Nutrition Act of 1966.
    [(D)(i) Meals for which a higher education institution is 
reimbursed under this paragraph shall fulfill the minimum 
nutritional requirements and meal patterns prescribed by the 
Secretary--
          [(I) for meals served under the school lunch program 
        under this Act, in the case of reimbursement for 
        lunches or suppers; and
          [(II) for meals served under the school breakfast 
        program under section 4 of the Child Nutrition Act of 
        1966, in the case of reimbursement for breakfasts.
    [(ii) The Secretary may modify the minimum nutritional 
requirements and meal patterns prescribed by the Secretary for 
meals served under the school breakfast program under section 4 
of the Child Nutrition Act of 1966 for application to meal 
supplements for which a higher education institution is 
reimbursed under this paragraph.
    [(E) The Secretary shall issue regulations governing the 
implementation, operation, and monitoring of programs receiving 
assistance under this paragraph that, to the maximum extent 
practicable, are comparable to those established for higher 
education institutions participating in the National Youth 
Sports Program and receiving reimbursements under the program 
for the months of May through September.]

                       Public Health Service Act

          * * * * * * *

prevention, treatment, and rehabilitation model projects for high risk 
                                 youth

    [Sec. 517. [290bb-23] (a) The Secretary, through the 
Director of Prevention Center, shall make grants to public and 
non-profit private entities for projects to demonstrate 
effective models for the prevention, treatment, and 
rehabilitation of drug abuse and alcohol abuse and among high 
risk youth.
    [(b)(1) In making grants for drug abuse and alcohol abuse 
prevention projects under this section, the Secretary shall 
give priority to applications for projects directed at children 
of substance abusers, latchkey children, children at risk of 
abuse or neglect, pre-school children eligible for services 
under the Head Start Act, children at risk of dropping out of 
school, children at risk of becoming adolescent parents, and 
children who do not attend school and who are at risk of being 
unemployed.
    [(2) In making grants for drug abuse and alcohol abuse 
treatment and rehabilitation projects under this section, the 
Secretary shall give priority to projects which address the 
relationship between drug abuse or alcohol abuse and physical 
child abuse, sexual child abuse, emotional child abuse, 
dropping out of school, unemployment, delinquency, pregnancy, 
violence, suicide, or mental health problems.
    [(3) In making grants under this section, the Secretary 
shall give priority to applications from community based 
organizations for projects to develop innovative models with 
multiple, coordinated services for the prevention or for the 
treatment and rehabilitation of drug abuse or alcohol abuse by 
high risk youth.
    [(4) In making grants under this section, the Secretary 
shall give priority to applications for projects to demonstrate 
effective models with multiple, coordinated services which may 
be replicated and which are for the prevention or for the 
treatment and rehabilitation of drug abuse or alcohol abuse by 
high risk youth.
    [(5) In making grants under this section, the Secretary 
shall give priority to applications that employ research 
designs adequate for evaluating the effectiveness of the 
program.
    [(c) The Secretary shall ensure that projects under 
subsection (a) include strategies for reducing the use of 
alcoholic beverages and tobacco products by individuals to whom 
it is unlawful to sell or distribute such beverages or 
products.
    [(d) To the extent feasible, the Secretary shall make 
grants under this section in all regions of the United States, 
and shall ensure the distribution of grants under this section 
among urban and rural areas.
    [(e) In order to receive a grant for a project under this 
section for a fiscal year, a public or nonprofit private entity 
shall submit an application to the Secretary, acting through 
the Office. The Secretary may provide to the Governor of the 
State the opportunity to review and comment on such 
application. Such application shall be in such form, shall 
contain such information, and shall be submitted at such time 
as the Secretary may by regulation prescribe.
    [(f) The Director of the Office shall evaluate projects 
conducted with grants under this section.
    [(g) For purposes of this section, the term ``high risk 
youth'' means an individual who has not attained the age of 21 
years, who is at high risk of becoming, or who has become, a 
drug abuser or an alcohol abuser, and who--
          [(1) is identified as a child of a substance abuser;
          [(2) is a victim of physical, sexual, or 
        psychological abuse;
          [(3) has dropped out of school;
          [(4) has become pregnant;
          [(5) is economically disadvantaged;
          [(6) has committed a violent or delinquent act;
          [(7) has experienced mental health problems;
          [(8) has attempted suicide;
          [(9) has experienced long-term physical pain due to 
        injury; or
          [(10) has experienced chronic failure in school.
    [(h) For the purpose of carrying out this section, there 
are authorized to be appropriated $70,000,000 for fiscal year 
1993, and such sums as may be necessary for fiscal year 1994.]
          * * * * * * *

               establishment of office of minority health

    Sec. 1707. [300u-6] (a) In General.--* * *
          * * * * * * *
    [(b) Duties.--The Secretary shall, with respect to the 
health concerns of individuals from disadvantaged backgrounds, 
including racial and ethnic minorities--
          [(1) establish short-range and long-range goals and 
        objectives and coordinate all other activities within 
        the Department of Health and Human Services that relate 
        to disease prevention, health promotion, service 
        delivery, and research concerning such individuals;
          [(2) enter into interagency agreements with other 
        agencies of the Service to increase the participation 
        of such individuals in health service and promotion 
        programs;
          [(3) establish a national minority health resource 
        center to facilitate the exchange of information 
        regarding matters relating to health information and 
        health promotion, preventive health services, and 
        education in the appropriate use of health care, to 
        facilitate access to such information, to assist in the 
        analysis of issues and problems relating to such 
        matters, and to provide technical assistance with 
        respect to the exchange of such information (including 
        facilitating the development of materials for such 
        technical assistance);
          [(4) support research, demonstrations and evaluations 
        to test new and innovative models, to increase 
        knowledge and understanding of health risk factors, and 
        to develop mechanisms that support better information 
        dissemination, education, prevention, and service 
        delivery to individuals from disadvantaged backgrounds, 
        including racial and ethnic minorities;
          [(5) coordinate efforts to promote minority health 
        programs and policies in the voluntary and corporate 
        sectors;
          [(6) develop health information and health promotion 
        materials and teaching programs, including--
                  [(A) models for the training of health 
                professionals;
                  [(B) model curriculums to be used in primary 
                and secondary schools and institutions of 
                higher learning;
                  [(C) materials and programs for the 
                continuing education of health professionals;
                  [(D) materials for public service use by the 
                print and broadcast media; and
                  [(E) materials and programs to assist health 
                care professionals in providing health 
                education to their patients;
          [(7) assist provides of primary health care and 
        preventive health services in obtaining, with respect 
        to the provision of such care and services, the 
        assistance of bilingual health professionals and other 
        bilingual individuals (including such assistance in the 
        provision of services regarding maternal and child 
        health, nutrition, mental health, and substance abuse); 
        and
          [(8) support expansion and enhancement of tertiary 
        perinatal facilities in rural States with infant 
        mortality rates among individuals from disadvantaged 
        backgrounds, including minorities, that are 
        significantly above the national average for such 
        rates.
          * * * * * * *

                      Job Training Partnership Act

          * * * * * * *

                    authorization of appropriations

    Sec. 3.[(a)(1) There are](a) There are authorized to be 
appropriated to carry out parts A and C of title II such sums 
as may be necessary for fiscal year 1993 and for each 
succeeding fiscal year. Of the sums appropriated to carry out 
parts A and C of title II for each such fiscal year, an amount 
not less than 40 percent of such sums shall be made available 
to carry out part A of such title and an amount not less than 
40 percent of such sums shall be made available to carry out 
part C of such title.
    [(2) There are authorized to be appropriated to carry out 
part B of title II such sums as may be necessary for fiscal 
year 1993 and for each succeeding fiscal year.
    [(b) There are authorized to be appropriated to carry out 
title III (other than section 326 thereof)--
          [(1) $980,000,000 for fiscal year 1989; and
          [(2) such sums as may be necessary for each 
        succeeding fiscal year.]
          * * * * * * *

                              definitions

    Sec. 4. For the purposes of this Act, the following 
definitions apply:
          (1) * * *
          * * * * * * *
          (37) The term ``participant'' means an individual who 
        has been determined to be eligible to participate in 
        and who is receiving services (except post-termination 
        services authorized under sections 204(c)(4) and 
        264(d)(5) [and followup services authorized under 
        section 253(d)]) under a program authorized by this 
        Act. Participation shall be deemed to commence on the 
        first day, following determination of eligibility, on 
        which the participant began receiving subsidized 
        employment, training, or other services provided under 
        this Act.
          * * * * * * *
          (39) The term ``termination'' means the separation of 
        a participant who is no longer receiving services 
        (except post-termination services authorized under 
        sections 204(c)(4) and 264(d)(5) [and followup services 
        authorized under section 253(d)]) under a program 
        authorized by this Act.
          * * * * * * *

SEC. 202. ALLOTMENT AND ALLOCATION.

    (a) Allotment.--
          (1) Territories.--Of the amount appropriated under 
        [section 3(a)(1)]  Section 3(a) for each fiscal year 
        and available to carry out this part, not more than 
        one-quarter of 1 percent shall be allotted among Guam, 
        the Virgin Islands, American Samoa, the Commonwealth of 
        the Northern Mariana Islands, the Federated States of 
        Micronesia, the Republic of the Marshall Islands, and 
        Palau.
          * * * * * * *

SEC. 262. ALLOTMENT AND ALLOCATION.

    (a) Allotment.--
          (1) Territories.--Of the amount appropriated under 
        [section 3(a)(1)] section 3(a) for each fiscal year and 
        available to carry out this part, not more than one-
        quarter of 1 percent shall be allotted among Guam, the 
        Virgin Islands, American Samoa, the Commonwealth of the 
        Northern Mariana Islands, the Federal States of 
        Micronesia, the Republic of the Marshall Islands, and 
        Palau.

                      TITLE 29--UNITED STATES CODE

          * * * * * * *

Sec. 1734. Guidance on eligibility verification

    (a) Establishment.--The Secretary shall provide guidance 
and technical assistance, to States and service delivery areas, 
relating to the documentation required to verify the 
eligibility of participants under parts A[, B, and C] and C of 
subchapter II of this chapter, particularly the hard-to-serve 
individuals specified in section 1603(b) of this title and 
subsections (b) and (d) of section 1643 of this title. Such 
documentation shall, to the extent practicable, be uniform and 
standard.
          * * * * * * *

                 Job Training Reform Amendments of 1992

          * * * * * * *

SEC. 202. ALLOTMENT AND ALLOCATION.

    (a) Allotment.--
          (1) Territories.--Not more than $5,000,000 of the 
        amount appropriated pursuant to [section 3(a)(1)] 
        section 3(a) for each fiscal year and available for 
        this part shall be allotted among Guam, the Virgin 
        Islands, American Samoa, the Commonwealth of the 
        Northern Mariana Islands, the Federated States of 
        Micronesia, the Republic of the Marshall Islands, and 
        Palau.
          * * * * * * *

SEC. 262. ALLOTMENT AND ALLOCATION.

    (a) Allotment.--
          (1) Territories.--Not more than $5,000,000 of the 
        amount appropriated pursuant to [section 3(a)(1)] 
        section 3(a) for each fiscal year and available for 
        this part shall be allotted among Guam, the Virgin 
        Islands, American Samoa, the Commonwealth of the 
        Northern Mariana Islands, the Federated States of 
        Micronesia, the Republic of the Marshall Islands, and 
        Palau.
          * * * * * * *

                   Community Services Block Grant Act

          * * * * * * *

[SEC. 682. NATIONAL OR REGIONAL PROGRAMS DESIGNED TO PROVIDE 
                    INSTRUCTIONAL ACTIVITIES FOR LOW-INCOME YOUTH.

    [(a) General Authority.--The Secretary of Health and Human 
Services is authorized to make a grant to an eligible service 
provider to administer national or regional programs to provide 
instructional activities for low-income youth. In making such a 
grant, the Secretary shall give a priority to eligible service 
providers that have a demonstrated ability to operate such a 
program.
    [(b) Program Requirements.--
          [(1) Any instructional activity carried out by an 
        eligible service provider receiving a grant under this 
        subsection shall be carried out on the campus of an 
        institution of higher education (as defined in section 
        1201(a) of the Higher Education Act) and shall 
        include--
                  [(A) access to the facilities and resources 
                of such an institution;
                  [(B) an initial medical examination and 
                follow-up referral or treatment, without 
                charge, for youth during their participation in 
                such activity;
                  [(C) at least one nutritious meal daily, 
                without charge, for participating youth during 
                each day of participation;
                  [(D) high quality instruction in a variety of 
                sports (that shall include swimming and that 
                may include dance and any other high quality 
                recreational activity) provided by coaches and 
                teachers from institutions of higher education 
                and from elementary and secondary schools (as 
                defined in sections 1471(8) and 1471(21) of the 
                Elementary and Secondary Education Act of 
                1965); and
                  [(E) enrichment instruction and information 
                on matters relating to the well-being of youth, 
                to include educational opportunities and study 
                practices, education for the prevention of 
                drugs and alcohol abuse, health and nutrition, 
                career opportunities and family and job 
                responsibilities.
    [(c) Eligible Providers.--A national private nonprofit 
organization, a coalition of such organizations, or a private 
nonprofit organization applying jointly with a business concern 
shall be eligible for a grant under this subsection if--
          [(1) the applicant has demonstrated experience in 
        operating a program providing instruction to low-income 
        youth;
          [(2) the applicant shall contribute amounts in cash 
        or fairly evaluated in kind of no less than 25 percent 
        of the amount requested;
          [(3) the applicant shall use no funds from a grant 
        authorized under this section for administrative 
        expenses; and
          [(4) the applicant agrees to comply with the 
        regulations or program guidelines promulgated by the 
        Secretary of Health and Human Services for use of funds 
        made available by this grant.
    [(d) Applications Process.--Eligible service providers may 
submit to the Secretary of Health and Human Services, for 
approval, an application in such form at such time as the 
Secretary deems appropriate.
    [(e) Promulation of Regulations or Program Guidelines.--The 
Secretary of Health and Human Services shall promulgate 
regulations or program guidelines to ensure funds made 
available under a grant made under this section are used in 
accordance with the intentions of this Act.
    [(f) Authorization of Appropriations.--There is authorized 
to be appropriated $15,000,000 for each fiscal year 1995, 1996, 
1997, and 1998 for grants to carry out this section.]
          * * * * * * *

               Human Services Reauthorization Act of 1986

                      TITLE 42--UNITED STATES CODE

          * * * * * * *

Sec. 9910. Discretionary authority of Secretary

    (a) * * *
          * * * * * * *
    [(b) Of the amounts appropriated under section 9901(b) of 
this title for any fiscal year, not more than 9 percent of such 
amounts shall be available to the Secretary for purposes of 
carrying out this section and subchapter 1 of chapter 105 of 
this title.]
          * * * * * * *