[Senate Report 106-261]
[From the U.S. Government Publishing Office]





                                                        Calendar No. 491

------------------------------------------------------------------------
106th Congress                       SENATE                       Report
  2d Session                                                     106-261
________________________________________________________________________




 
                     EDUCATIONAL OPPORTUNITIES ACT

                               ----------                              

                              R E P O R T

                                 of the

                    COMMITTEE ON HEALTH, EDUCATION,
                          LABOR, AND PENSIONS
                          UNITED STATES SENATE

                              to accompany

                                  S. 2

                             together with

                     ADDITIONAL AND MINORITY VIEWS




                 April 12, 2000.--Ordered to be printed




                                                       Calendar No. 491

-----------------------------------------------------------------------
106th Congress                                                   Report
 2d Session                      SENATE                         106-261
_______________________________________________________________________





                     EDUCATIONAL OPPORTUNITIES ACT

                               __________

                              R E P O R T

                                 of the

                    COMMITTEE ON HEALTH, EDUCATION,

                          LABOR, AND PENSIONS

                          UNITED STATES SENATE

                              to accompany

                                  S. 2

                             together with

                     ADDITIONAL AND MINORITY VIEWS




                 April 12, 2000.--Ordered to be printed

                                -------                                

                    U.S. GOVERNMENT PRINTING OFFICE
63-748                     WASHINGTON : 2000       





                            C O N T E N T S

                              ----------                              
                                                                   Page
   I. Purpose and summary........................................     1
  II. Background and need for the legislation....................    36
 III. History of the legislation and votes in committee..........    37
  IV. Explanation of the bill and committee views................    51
   V. Cost estimate..............................................    82
  VI. Regulatory impact statement................................   105
 VII. Application of law to the legislative branch...............   105
VIII. Section-by-section analysis................................   105
  IX. Additional views...........................................   190
   X. Minority views.............................................   197
  XI. Changes in existing law....................................   228



                                                       Calendar No. 491

106th Congress                                                   Report
                                 SENATE
 2d Session                                                     106-261

=======================================================================




                     EDUCATIONAL OPPORTUNITIES ACT

                                _______
                                

                 April 12, 2000.--Ordered to be printed

                                _______
                                

   Mr. Jeffords, from the Committee on Health, Education, Labor, and 
                   Pensions, submitted the following

                              R E P O R T

                             together with

                     ADDITIONAL AND MINORITY VIEWS

                          [To accompany S. 2]

    The Committee on Health, Education, Labor, and Pensions, to 
which was referred the bill (S. 2) to extend programs and 
activities under the Elementary and Secondary Education Act of 
1965, 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.

                         I. Purpose and Summary


                                Purpose

    It is the purpose of the Educational Opportunities Act, S. 
2, to reauthorize and improve programs under the Elementary and 
Secondary Education Act of 1965 for the next 5 years. The 
Elementary and Secondary Education Act (ESEA) provides the 
authority for virtually all Federal support provided for 
elementary and secondary education, and ESEA programs currently 
receive about $15 billion in Federal funding. Nearly half of 
these funds are used on behalf of disadvantaged children under 
the title I program. Other activities supported through ESEA 
include professional development, literacy, safe and drug-free 
schools, bilingual education, impact aid, aid to special 
populations, and technology.
    The primary objectives of this reauthorization bill are to: 
(1) maintain and strengthen the title I reform process 
initiated in 1994 which emphasizes the establishment of high 
standards and aligned assessments designed to measure progress 
towards those standards; (2) promote the sustained professional 
development of teachers and school leaders; (3) help assure 
that students are provided a safe and drug-free learning 
environment; (4) place an emphasis on getting results by 
insisting that activities and programs supported with federal 
funds are based on theory, research, and evaluation showing 
them to be effective in meeting their objectives; and (5) 
increase State and local flexibility in the use of Federal 
funds in exchange for greater accountability for improving 
student performance.

                                Summary


                     Educational Opportunities Act


      Title I--Helping Disadvantaged Children Meet High Standards


Part A--Basic Programs

                                overview

    The purpose of this title is to provide opportunities for 
those students served by title I activities to meet challenging 
State performance and content standards. To achieve this 
purpose, both the current law and the reauthorization bill 
provide greater decisionmaking authority and flexibility to 
schools and teachers in exchange for increased responsibility 
for student performance. The last reauthorization of title I, 
which occurred in 1994, made major changes in the program 
regarding standards, assessment, and professional development 
and set out a seven-year timetable for achieving them. Most of 
these changes have been retained, and several additional 
provisions have been added which build upon the reform 
activities established under the 1994 reauthorization. The key 
changes are outlined below.
    State Plan: New provisions include--
          Coordination: Title I activities, where appropriate, 
        will be coordinated with activities in other Federal 
        education programs, including the Individuals with 
        Disabilities Education Act and the Carl D. Perkins 
        Vocational and Technical Education Act;
          Adequate Yearly Progress: Adequate Yearly Progress 
        will be defined in a manner--
                  (i) that is sufficient to achieve the goal of 
                all children served under part A meeting the 
                State's proficient and advanced levels of 
                performance within 10 years;
                  (ii) that results in continuous and 
                substantial academic improvement for all 
                students, including economically disadvantaged 
                and limited English proficient students, except 
                that this provision will not apply if the State 
                demonstrates to the Secretary that the State 
                has an insufficient number of economically 
                disadvantaged or limited English proficient 
                students;
                  (iii) that is based primarily on State 
                standards and assessments and will include 
                specific State determined yearly progress 
                requirements in subjects and grades included in 
                the State assessments; and
                  (iv) that is linked to performance on the 
                assessments and also permits progress to be 
                established through other factors which are 
                determined by the State.
          Parental Involvement: Each State plan will describe 
        how the State will disseminate effective parental 
        involvement practices to local educational agencies and 
        schools.
          State Reports: Each State educational agency (SEA) 
        will prepare and disseminate an annual performance 
        report about each local educational agency (LEA).
    Local Educational Agency Plan: New provisions include--
          Coordination: Title I activities, where appropriate, 
        will be coordinated with activities in other Federal 
        education programs, including the Individuals with 
        Disabilities Education Act and the Carl D. Perkins 
        Vocational and Technical Education Act.
          Plan Elements: New plan elements include providing 
        detailed descriptions of how the local educational 
        agency plan will implement professional development and 
        parental involvement activities and take into account 
        the effectiveness of model programs for possible 
        replication.
          Local Reports: Each local educational agency will 
        prepare and disseminate an annual performance report 
        which presents information about each school.
    Schoolwide Programs: New provisions include--
          Eligibility: A local educational agency may use funds 
        for a schoolwide program to upgrade its entire 
        educational program if the LEA serves an eligible 
        school attendance area in which not less than 40 
        percent of the children are from low-income families or 
        not less than 40 percent of the children enrolled in 
        the school are from such families.
          Fiscal Accounting: Any school that is using funds 
        from more than one Federal education program in the 
        operation of its schoolwide program will not be 
        required to maintain separate fiscal accounting records 
        by program, so long as the school maintains records 
        that demonstrate that the schoolwide program addresses 
        the intent and purpose of each Federal program for 
        which funding is consolidated.
    Pupil Safety and Family School Choice: New provisions 
include--
          Conditions for Student Participation:
                  (a) Any title 1 student who is a victim of a 
                violent criminal offense on public school 
                grounds shall be allowed to transfer to another 
                public school or charter school in the same 
                State, unless allowing such transfer is 
                prohibited under State or local law; or
                  (b) If the school the student attends 
                receives title 1 funds and the school has been 
                designated as unsafe, then the local 
                educational agency may allow such student to 
                transfer to another public or charter school in 
                the same State.
                  State Educational Agency Role: The State 
                educational agency will determine, based on 
                State law, what constitutes a violent criminal 
                offense and will determine the schools that are 
                unsafe public schools.
          Transportation Costs:
                  (a) The local educational agency serving the 
                school in which a violent criminal offense 
                occurred or which is determined to be unsafe 
                may use title I funds for the transportation 
                costs of a student who transfers to another 
                school.
                  (b) The amount of assistance provided for 
                transportation with title I funds may not 
                exceed the per pupil costs for elementary or 
                secondary students as provided by the local 
                educational agency that serves the school 
                involved in the transfer.
    School Improvement: Key provisions include--
          How a School Is Identified for School Improvement: A 
        local educational agency will identify any school that 
        for 2 consecutive years failed to make adequate yearly 
        progress.
          For a targeted assistance program, a local 
        educational agency may review the progress of only 
        those students in the school being served.
          School Plan: For each identified school, the school 
        will revise their school plan which will--
                  (i) describe the specific achievement 
                problems to be solved;
                  (ii) describe how research-based strategies 
                will be employed to improve the student 
                performance;
                  (iii) address the need for high quality 
                professional development;
                  (iv) identify specific goals and objectives 
                the school will undertake for making adequate 
                yearly progress;
                  (v) specify the responsibilities of the 
                school and the local educational agency; and
                  (vi) describe strategies to promote effective 
                parental involvement.
          Technical Assistance: The local educational agency 
        will provide technical assistance to the schools 
        identified for school improvement.
    Corrective Action:
          (A) Local Educational Agency--Consistent with State 
        and local law, the local educational agency, after 
        providing technical assistance, shall take not less 
        than 1 of the corrective actions listed below. (The 
        local educational agency will continue to provide 
        technical assistance while implementing corrective 
        action.) Such corrective actions include:
                  (i) Instituting and fully implementing a new 
                curriculum that is based on State and local 
                standards, including appropriate research-based 
                professional development for all relevant staff 
                that offers substantial promise of improving 
                educational achievement for low performing 
                students.
                  (ii) Restructuring the school, such as by--
                          (a) making alternative governance 
                        arrangements (such as the creation of a 
                        public charter school); or
                          (b) creating schools within schools 
                        or other small learning environments.
                  (iii) Developing and implementing a joint 
                plan between the localeducational agency and 
the school that addresses specific elements of student performance 
problems and that specifies the responsibilities of the local 
educational agency and the school under the plan.
                  (iv) Reconstituting the school staff.
                  (v) Decreasing decision making authority at 
                the school level.
          (B) Consistent with State and local law, the local 
        educational agency may take the following corrective 
        actions:
                  (i) Deferring, reducing, or withholding 
                funds.
                  (ii) Restructuring or abolishing the school.
          (C) A local educational agency may delay corrective 
        action, for up to one year, if the local educational 
        agency believes that the school is meeting the adequate 
        yearly progress requirements.
          (D) The local educational agency will publish and 
        disseminate to parents and the public information about 
        any corrective action taken.
    Public School Choice Related to Schools Identified for 
Corrective Action and School Improvement: Key provisions 
include--
          Conditions for Student Participation: Not later than 
        6 months after date of enactment of this Act, a local 
        educational agency shall provide all students enrolled 
        in a school identified for corrective action and school 
        improvement with an option to transfer to any other 
        public school or charter school within the local 
        educational agency or to transfer to a public school or 
        charter school in another local educational agency 
        (unless this practice is prohibited by State or local 
        law).
          Transportation--
                  (a) A local educational agency serving 
                schools identified for school improvement may 
                use title 1 funds to pay the transportation 
                costs of students transferring from those 
                schools.
                  (b) A local educational agency serving 
                schools identified for corrective action is 
                required to use title 1 funds to pay the 
                transportation costs of students transferring 
                from those schools to schools not identified 
                for school improvement or corrective action.
                  (c) The amount of assistance provided for 
                transportation with title I funds may not 
                exceed the per pupil costs for elementary or 
                secondary students as provided by the local 
                educational agency that serves the school 
                involved in the transfer.
          Continued Public School Choice Option: Once a school 
        is no longer identified for school improvement, the 
        local educational agency must continue to provide 
        public school choice as an option to students in such 
        school for not less than 2 years.
    State Educational Agency Corrective Action:
          (A) Consistent with State and local law, the State 
        educational agency shall, after providing technical 
        assistance, shall take not less than 1 of the 
        corrective actions listed below. (The State educational 
        agency will continue to provide technical assistance 
        while implementing corrective action.) Such corrective 
        actions include:
                  (i) Instituting and fully implementing a new 
                curriculum that is based on State and local 
                standards, including appropriate research-based 
                professional development for all relevant staff 
                that offers substantial promise of improving 
                educational achievement for low-performing 
                students.
                  (ii) Restructuring the local educational 
                agency.
                  (iii) Developing and implementing a joint 
                plan between the State educational agency and 
                the local educational agency that addresses 
                specific elements of student performance 
                problems and that specifies the 
                responsibilities of the State educational 
                agency and the local educational agency under 
                the plan.
                  (iv) Reconstituting school district 
                personnel.
                  (v) Making alternative governance 
                arrangements.
          (B) Consistent with State and local law, the State 
        educational agency may take one of the following 
        actions--
                  (i) Deferring, reducing, or withholding 
                funds.
                  (ii) Restructuring or abolishing the local 
                educational agency.
                  (iii) Removing particular schools from the 
                jurisdiction of the local educational agency 
                and establishing alternative arrangements for 
                public governance and supervision of such 
                schools.
                  (iv) Appointing a receiver or trustee to 
                administer the affairs of the local educational 
                agency in place of the superintendent and 
                school board.
          (C) Prior to implementing any corrective action, the 
        State educational agency willhold a hearing for the 
affected local educational agency.
          (D) The State educational agency will publish and 
        disseminate to parents and the public information about 
        any corrective action taken.
          (E) A State educational agency may delay corrective 
        action, up to one year, if the SEA believes the local 
        educational agency is meeting the adequate yearly 
        progress requirements.
    Assessments/School Improvement/Awards: Under current law, 
States may reserve up to \1/2\ percent of the funds that they 
receive under parts A, C, and D of title I for corrective 
action, school improvement, and awards to distinguished schools 
and educators. The reauthorization bill continues this practice 
with regard to funds from parts C and D and current services 
levels of funding for part A. In addition, the bill allows the 
Secretary to reserve 50 percent of part A funds in excess of 
current services levels of funding for allocation to the States 
for support of these activities. Funds may be utilized by the 
State to assist schools in performing all activities authorized 
under subsections 1111(b), 1116(c), and (d), and section 1117.
    Early Childhood Education: A local educational agency may 
use title 1, part A funds for preschool services. Early 
childhood education programs may jointly operate with Even 
Start, Head Start, or State-funded preschool programs.
    Child Centered Program: The bill establishes a new child 
centered program. Key provisions include--
          Eligibility: Up to 10 States and up to 20 local 
        educational agencies located in States which do not 
        participate may participate in the child centered 
        program. The program operates for a period of 5 years.
          Funding: Participating States and local educational 
        agencies shall use funds made available under part A of 
        title I for the child centered program. In addition, 
        $500 million is authorized for this program in fiscal 
        year 2000--with ``such sums as may be necessary'' 
        authorized in the 4 succeeding fiscal years.
          Program Requirements and Use of Funds:
                  (a) The participating State or local 
                educational agency must establish a per-pupil 
                amount based on the number of eligible title I 
                children.
                  (b) The per-pupil amount is distributed to 
                the public schools in which eligible children 
                are enrolled to be used for supplemental 
                education services provided by the school or by 
                another entity for those children. Funds may be 
                used for schoolwide programs in schools where 
                50 percent of the children enrolled are title 
                I-eligible.
                  (c) The participating State or local 
                educational agency must operate an open 
                enrollment program in the State or school 
                district (if space is available and the child 
                meets attendance qualifications), unless the 
                agency can demonstrate that sufficient options 
                are already available. The per-pupil amount 
                will follow each eligible child who transfers 
                to another school.
                  (d) Eligible children enrolled in private 
                schools are to receive supplemental education 
                services in the same manner as such services 
                are provided under the regular title I program.
                  (e) Participating schools must provide 
                information about the child centered program 
                and annual school report cards to parents of 
                eligible children, which shall include an 
                annual meeting with those parents.
          Program Administration:
                  (a) A State may reserve 2 percent of funds 
                and a local educational agency may reserve 5 
                percent of funds for administration of the 
                child centered program, which may include the 
                provision of technical assistance.
                  (b) Each participating State and local 
                educational agency must submit an annual report 
                to the Secretary of Education regarding the 
                performance and achievement of children 
                receiving supplemental education services under 
                the program.
                  (c) Three years after a child center program 
                is established, the Secretary of Education will 
                review the performance of a participating State 
                or local educational agency and may terminate 
                the program if the agency has not made progress 
                towards meeting its objectives.
          Evaluation: The Comptroller General will contract for 
        an annual evaluation of child centered programs. The 
        evaluation will include information regarding program 
        implementation, parental involvement and satisfaction, 
        and student educational achievement. The Comptroller 
        General will submit an interim report to Congress 3 
        years after enactment and a final report by March 1, 
        2006.
    Funding: $15 billion is authorized to carry out all title 
I, part A activities for fiscal year 2001, with ``such sums as 
may be necessary'' authorized in the 4 succeeding fiscal years.

Part B--Even Start Family Literacy Program

    The Even Start Family Literacy program is designed to 
improve the educational opportunities for low-income families 
by integrating early childhood, adult basic education, and 
parenting 
education into a unified family literacy program. The Secretary 
of Education awards grants to State educational agencies 
through a formula allocation. The State educational agencies 
distribute the funds to local educational agencies that form a 
collaboration with a community based organization, an 
institution of higher education, or another agency or nonprofit 
organization. This collaboration will provide joint education 
programs to serve children and their parents.
    Even Start program services must include adult literacy 
instruction, early childhood education, instruction to help 
parents support their child's education, staff training, and 
home-based instruction. Child care and transportation may be 
provided if these services are necessary and other funding 
sources are not available.
    Even Start grants are geared for areas with high rates of: 
poverty, illiteracy, unemployment, families of limited-English 
proficiency, or disadvantaged children. Grants are awarded for 
a 4-year period and may be renewed for up to 4 additional 
years. In 1998, several changes were made to the Even Start law 
as part of the Reading Excellence Act. The changes primarily 
focused on improving coordination between Even Start and other 
literacy and early childhood programs.
    The reauthorization bill strengthens current law by:
          (a) increasing the authorization level to $500 
        million for fiscal year 2001;
          (b) strengthening family literacy provisions;
          (c) encouraging year-round programs; and
          (d) conducting research on family literacy programs 
        and disseminating best practices information.

Part C--Education of Migratory Children

    The Migrant Education program provides grants to State 
educational agencies to develop or improve educational programs 
for migrant students. Most migrant programs are administered by 
local educational agencies and operate during both the regular 
school year and in the summer. Priority for services is given 
to current migrant students and to students who are failing, or 
at greatest risk of failing, to meet State performance 
standards.
    Funds are distributed through a formula which is based on 
the number of migrant children residing in the State. The 
number is then adjusted to the average per-pupil expenditure 
for both the State and the United States.
    The bill builds upon current law to ensure that migratory 
children have the opportunity to attain high levels of 
educational excellence. The reauthorization bill:
          (a) includes language ensuring that migratory 
        children who move among the States are not penalized in 
        any manner by disparities among the States in 
        curriculum, graduation requirements, and State student 
        performance and content standards;
          (b) adds a provision which ensures that migratory 
        children receive full and appropriate opportunities to 
        meet the same challenging State content and performance 
        standards that all children are expected to meet;
          (c) includes a requirement to have joint planning 
        efforts between migrant education programs and 
        bilingual education;
          (d) includes provisions emphasizing the importance of 
        parental involvement and the parent advisory councils;
          (e) establishes a national system for electronically 
        exchanging migrant student information which shall 
        include: immunization records and other health 
        information; elementary and secondary academic history 
        (including partial credit); credit accrual; and results 
        from State assessments; other academic information 
        essential to ensuring that migrant children achieve 
        high standards; and eligibility for services under the 
        Individuals with Disabilities Education Act.
    A funding level of $400 million is authorized in fiscal 
year 2001 to carry out title I, part C activities. Such sums as 
may be necessary are provided for the 4 succeeding fiscal 
years.

Part D--Parental Assistance

    Purpose: It is the purpose of this part to provide 
leadership, technical assistance, and financial support to 
nonprofit organizations and LEAs to help implement successful 
and effective parental involvement policies, programs, and 
activities; strengthen partnerships among parents, teachers, 
principals, administrators, and other school personnel; develop 
and strengthen the relationship between parents and the 
schools; further the developmental progress primarily of 
children assisted in this part; and coordinate activities for 
improved parental involvement.
    Grant Program: The Secretary is authorized to award 
competitive grants (while ensuring geographic distribution of 
grants) to nonprofit organizations, or consortia of nonprofits 
and LEAs to establish school-linked or school based parental 
information and resources centers to provide training, 
information, and support to parents of elementary and secondary 
school students and to individuals who work with parents and 
organizations that carry out parent education and family 
involvement programs. School-linked and school-based programs 
are not precluded from meeting with parents at sites off school 
grounds. Nor does it preclude Parental Information and Resource 
Centers from working with other agencies that serve families. 
Agencies or organizations seeking grants must submit an 
application to the Secretary which must include a broad range 
of assurances. Each organization or consortium receiving a 
grant will be government by a board of directors which includes 
parents or organizations that represent parents. Grant funds 
shall be used: to assist parents in participating effectively 
in their children's education; to obtain information about the 
range of options, programs, services, and resources available 
at all levels of government to assist parents and school 
personnel who work with parents; and to help parents learn and 
use technology applied in their children's education. At least 
one-half of the overall funding provided each fiscal year must 
serve areas with high concentrations of low-income families. 
The bill provides for continuation grants for currently funded 
programs under the existing authority. Each grant recipient is 
required to submit information to the Secretary, on an annual 
basis, with information concerning the parental information and 
resource centers assisted under this part.
    Funding: A funding level of $50 million is authorized for 
FY 2001 to carry out all title I, part D activities. Such sums 
as may be necessary are provided for the 4 succeeding fiscal 
years.

Part E--Evaluations and Demonstrations

    The reauthorization bill retains the current law 
provisions.

Part F--Comprehensive School Reform

    The reauthorization bill includes the Comprehensive School 
Reform program, often referred to as ``Obey-Porter.'' It 
authorizes the Secretary to award grants to SEAs by formula to 
enable them to make competitive grants to LEAs.
    SEAs must submit applications to the Secretary that 
describe items such as: process and selection criteria; how the 
SEA will ensure that reforms are research-based programs; how 
the SEA will evaluate the implementation of reforms and link 
the reforms to student achievement; and how the SEA will make 
available technical assistance to LEA or consortia. Subgrants 
to LEA must be of sufficient size and scope to support the 
initial costs for the plan selected or designed, in an amount 
not less than $50,000, and renewable for two additional one-
year periods. The SEA must give priority consideration to LEAs 
that plan to use the funds for schools identified as being in 
need of improvement or corrective action and demonstrate a 
commitment to assist schools with budget, professional 
development, and other strategies to ensure reforms are 
properly implemented and sustained. In order to receive funds, 
LEAs must submit applications to the SEA for consideration. 
LEAs shall provide funds to schools eligible for assistance 
under part A to support a variety of reform activities.
    Funding: A funding level of $200 million is authorized for 
FY 2001 to carry out all title I, part F activities. Such sums 
as may be necessary are provided for the 4 succeeding fiscal 
years.

Part G--General Provisions

    The reauthorization bill retains the current law general 
provisions, with minor modifications.

Part H--Assistance to Address School Dropout Problems

    Purpose: The bill establishes a new State formula grant 
program designed to address school dropout problems. State 
funds are to be awarded competitively to local schools to 
support dropout prevention programs, to assist school reentry, 
and to raise the academic achievement of all students.
            Subpart 1--Coordinated National Strategy
    The Secretary of Education is authorized to conduct 
national activities including: (1) data collection regarding 
participation in Federal dropout prevention and school reentry 
programs; (2) establishment of an interagency working group to 
address dropout prevention and school reentry issues; and (3) 
creation of a national recognition program for schools that 
have made extraordinary progress in lowering dropout rates.
            Subpart 2--National School Dropout Prevention Initiative
    State Formula Grants: Funds will be allocated to States 
based on the title I formula. States receiving part H funds 
must provide dropout rate information to the Secretary, 
establish attendance-neutral funding policies, and adopt 
suspension and expulsion policies.
    States may award grants to public middle or secondary 
schools that have dropout rates that are in the highest third 
of dropout rates in the State for the purpose of supporting 
dropout prevention programs. Eligible schools must serve 
students 50 percent or more of whom are low-income or must 
participate in a schoolwide program.
    Grants may be awarded for up to five years. First-year 
grants to schools may not be less than $50,000 or more than 
$100,000--with grant amounts declining during each year of 
participation in the program. Schools which create smaller 
learning communities are eligible for a 10-percent increase in 
the amount of their grant.
    Strategies and Capacity Building: Schools must use grant 
funds for research-based, sustainable, and widely replicated 
strategies for dropout prevention and school reentry programs 
serving the entire school population. The Secretary is to award 
up to five contracts for a capacity building and design 
initiative to increase these types of strategies. In addition, 
the Secretary is authorized to offer support to entities with 
experience in providing training and related assistance to 
offer such assistance to schools receiving grant funds.
            Subpart 3--Definitions; Authorization of Appropriations
    A funding level of $5 million is authorized for fiscal year 
2001 to carry out the national activities under Subpart 1. A 
funding level of $145 million is authorized in fiscal year 2001 
to carry out the national school dropout prevention initiative 
authorized under Subpart 2--with $125 million to be used for 
State formula grants and the remaining $20 million to be used 
for strategies and capacity building initiatives. Such sums as 
may be necessary are provided for the 4 fiscal years.

                       Title II--Teacher Quality


Part A--Teacher Empowerment

    Purpose: To assist the efforts of States and local 
educational agencies to increase student academic achievement 
and student performance by improving teacher quality.
            Subpart 1--Grants to States
    State and Local Grant Funds: States are required to submit 
applications to the Secretary of Education for approval. States 
will receive not less than each received under fiscal year 2000 
appropriations for the current Eisenhower Professional 
Development Program and the Class Size Reduction initiative. 
Funds remaining after meeting the base requirement would be 
distributed by a formula in which 50 percent of the remaining 
funds are distributed based on a State's relative poverty of 
individuals (aged 5-17) and 50 percent based on a State's 
relative school-aged (5-17) population. A State may reserve 10 
percent of funds for State-level activities, and the remaining 
90 percent of funds must be distributed to local educational 
agencies and eligible partnerships. Ninety-five percent of the 
funds made available to LEAs and eligible partnerships shall be 
distributed by formula directly to the LEA, with 75 percent 
based on relative poverty of individuals aged 5-17 and 25 
percent based on relative school-aged population. The remaining 
5 percent will be available to the State Agencies for Higher 
Education (SAHEs) to distribute competitively to eligible 
partnerships.
    State and Local Programs: States must submit an application 
to the Secretary to receive funds under this part. States may 
use funds for a broad range of activities such as: reforming 
teacher certification or licensing requirements; mentoring 
programs; establishing, expanding, or improving alternative 
routes to State certification of teachers; recruiting teachers 
and principals; establishing reciprocity of teacher 
certification among States; providing technical assistance and 
services to LEAs or eligible partnerships; providing services 
through technology and distance learning; supporting activities 
to support teachers seeking national board certification from 
the National Board for Professional Teaching Standards or other 
recognized entities; and providing professional development 
activities involving training in advanced placement 
instruction.
    LEAs must submit an application to the SEA to receive 
funding under this part. LEAs must use a portion of funds for 
professional development in math and science and a portion of 
funds for professional development activities. LEAs may use 
funds to carry out activities such as: recruiting teachers in 
order to reduce class size; recruiting minorities and 
individuals with disabilities into the teaching profession or 
hiring special education teachers; providing signing bonuses; 
establishing retention initiatives; undertaking teacher quality 
initiatives such as professional development activities; and 
providing teacher opportunity payments.
    Professional development activities for teachers, 
paraprofessionals, and principals shall be directly related to 
the curriculum and academic subjects in which a teacher 
provides instruction or be designed to enhance the ability of a 
teacher, paraprofessional, or principal to understand and use 
State standards for the academic subjects in which a teacher 
provides instruction. If a State determines that an LEA has 
failed to make progress during the fiscal year, the State shall 
notify the LEA that the LEA shall be subject to Teacher 
Opportunity Payments. An LEA receiving notice for 2 consecutive 
years shall spend a portion of funds in the next succeeding 
year for Teacher Opportunity Payments. Teacher Opportunity 
Payments provide direct support to teachers to pursue the 
professional development activities of their own choosing.
    Subgrant to Eligible Partnerships: The SAHE, working in 
conjunction with the SEA, shall award subgrants on a 
competitive basis to eligible partnerships. Eligible 
partnerships must include a private or State institution of 
higher education and the division of that institution that 
prepares teachers; a school of arts and sciences; and a high 
need LEA. Eligible partnerships may also include other LEAs, a 
public charter school, a public or private elementary school, 
an educational service agency, a public or private nonprofit 
education organization, other institutions of higher education, 
a school of arts and sciences within such institutions, the 
division that prepares teachers, a nonprofit cultural 
organization, an entity carrying out a pre-kindergarten 
program, a teacher organization, or a business. Partnerships 
shall use funds for professional development for teachers, 
paraprofessionals and, if appropriate, principals. Activities 
must be coordinated with title II of the Higher Education Act, 
if applicable.
    National Activities: The Secretary may make grants to 
eligible consortia on a competitive basis for Teacher 
Excellence Academies; make a grant to the National Board for 
Professional Teaching Standards to enable the Board to complete 
a system of national board certification through fiscal year 
2001; make grants to support activities to encourage and 
support teachers seeking advanced certification or advanced 
credentialing through high quality professional teacher 
enhancement programs designed to improved teaching and 
learning; award grants on a competitive basis to eligible 
entities to support and promote the establishment of teacher 
training programs relating to the core subject areas in math 
and science; award grants or contracts to continue the 
Eisenhower National Clearinghouse for Mathematics and Science 
Education and expand the scope of the Clearinghouse. The bill 
also includes an authorization for the Troops to Teachers 
program.
    Funding: A funding level of $2 billion is authorized for 
this part for fiscal year 2001, of which $40 million will be 
available to carry out subpart 4. The subpart authorizes such 
sums as necessary for the remaining fiscal years 2002 through 
2005.
    General Provisions: This subpart contains definitions for 
``arts and science,'' ``core academic subjects,'' ``highly 
qualified,'' ``high need local educational agency,'' ``out-of-
field teacher,'' ``poverty line,'' and ``State.''

Part B--Leadership Education and Development Program

    The reauthorization bill addresses the national need for 
leadership training by including a competitive grant program 
for leadership education and development and authorizes $100 
million for the initiative. State education agencies, 
institutions of higher education, local educational agencies, 
and nonprofit educational organizations will be eligible to 
apply for grants for the purpose of providing professional 
development services for elementary and secondary school 
educators, principals, superintendents, and others in 
leadership positions within the state to develop and enhance 
their leadership skills. Grant funds shall be used for 
activities thatinclude: providing school leaders with effective 
leadership, management, and instructional skills and practices; 
enhancing and developing school management and business skills; 
improving the understanding of the effective use of technology; 
encouraging highly qualified individuals to become school leaders; and 
establishing sustained and rigorous support for mentorship and 
developing a network of school leaders within the state. In making 
grants, the Secretary must give due consideration to equal 
representation of rural and urban communities and school districts.

Part C--Reading Excellence Act

    The reauthorization bill maintains the current program, 
increases the authorization level to $280 million for fiscal 
year 2001, and extends the authority for this program through 
fiscal year 2005. Currently funded at $260 million, the 
purposes of the program are: to provide children with the 
readiness skills they need to learn to read once they enter 
school; to improve the reading skills of students and the 
instructional practices for current teachers; to expand the 
number of high-quality family literacy programs; and to provide 
early literacy intervention to children who are experiencing 
reading difficulties in an effort to reduce the number of 
students who are inappropriately referred to special education.

Part D--National Writing Project

    The reauthorization bill moves National Writing Project 
from title X, part K, to title II; updates provisions of the 
program; and authorizes $15 million for fiscal year 2001 and 
such sums as necessary for the 4 succeeding fiscal years. 
Currently funded at $9 million, the National Writing Project 
has as its primary purpose improving the quality of student 
writing and learning and the teaching of writing as a learning 
process in the Nation's classrooms. National Writing Project 
has 161 sites in 47 states and has served over 2 million 
teachers.

Part E--The New Century Program for Distributed Teacher Professional 
        Development

    The reauthorization bill moves the current 
``Telecommunications Demonstration Program for Mathematics'' 
(Mathline) from title III, part D, to title II and expands the 
purposes of the program. It provides authority for the 
Secretary to make grants to a nonprofit communications entity 
or partnerships to carry out a national telecommunications-
based program to improve teaching in core curriculum areas. It 
is designed to assist elementary and secondary school teachers 
in preparing students for achieving State content standards. 
The program will provide funds to deliver video and data in an 
integrated service to train teachers in the use of standards 
based curricula material appropriate for each State. The 
Secretary must make grants in at least 15 States. It authorizes 
$20 million for fiscal year 2001 and such sums as necessary for 
the 4 succeeding fiscal years.

Part F--Digital Education Content Collaborative

    The reauthorization bill authorizes a competitive grant 
program to develop, produce, and distribute educational 
material and instructional video programming that is designed 
for use by kindergarten-through-grade-12 schools and is based 
on State standards. The program will facilitate the development 
of educational programming that shall: include student 
assessment tools and built-in teacher utilization and support 
components; be created for or adaptable to State content 
standards; and be capable of distribution through digital 
broadcasting and school digital networks. Authorizes $25 
million for fiscal year 2001 and such sums as necessary for the 
succeeding 4 fiscal years.

                   Title III: Enrichment Initiatives


Part A--21st Century Community Learning Centers

    The reauthorization bill retains current law with respect 
to 21st Century Community Learning Centers and is outlined 
below. The only change made by this bill is an increase in the 
authorized funding level to $500 million for fiscal year 2001 
and such sums as necessary for the 4 succeeding years.
    Purpose: The purpose of this part is to provide local 
public schools with the opportunity to serve as centers for the 
delivery of education and human resources for all members of 
the community in order for schools to become lifelong learning 
centers. Public schools, primarily in rural or inner city 
communities collaborate with other public and nonprofit 
agencies and organizations, local businesses, other educational 
institutions, recreational, cultural, and other community and 
human service entities to meet the needs of and expand the 
opportunities available to, the residents of the communities.
    Program: The Secretary is authorized to award grants to 
rural and inner city public elementary or secondary schools, or 
consortia of such schools, to plan, implement, or expand 
projects that benefit the educational, health, social service, 
cultural, and recreational needs of a rural or inner- city 
community. The Secretary is required to ensure an equitable 
distribution of assistance among the States, among urban and 
rural areas of the United States, and among rural and urban 
areas of a State.
    Application and Use of Funds: The Secretary shall give 
priority to applications describing projects that offer a broad 
selection of services which address the needs of the community. 
Grant funds may be used to plan, implement, or expand community 
learning centers which include not less than 4 of the following 
activities: literacy education programs; senior citizen 
programs; children's day care services; integrated education, 
health, social service, recreational or cultural programs; 
summer and weekend school programs in conjunction with 
recreation programs; nutrition and health programs; expanded 
library service hours to serve community needs; 
telecommunications and technology education programs for 
individuals of all ages; parenting skills education programs; 
support and training for child day care providers; employment 
counseling, training, and placement; services for individuals 
who leave school before graduating from secondary school; and 
services for individuals with disabilities.

Part B--Initiatives for Neglected, Delinquent or At-Risk Students

    The title I, part D, program for youth who are neglected, 
delinquent, or at risk of dropping out primarily serves youth 
who have been assigned to institutional facilities. The purpose 
of the program is to provide those youth with the opportunity 
to make a successful transition from institutionalization to 
further schooling or employment. Most of the current law 
provisions are retained in this bill.

Part C--Gifted and Talented Children

                                Overview

    Under current law, the Javits Gifted and Talented program 
provides grants to State educational agencies, local 
educational agencies, institutions of higher education, and 
other public and private agencies. These grants fund research, 
demonstration projects, and training activities designed to 
meet the special needs of gifted and talented students. The 
present funding level is $6.5 million.
    The reauthorization bill retains language from current law 
regarding the establishment of a National Center for Research 
and Development in the Education of Gifted and Talented 
Children and Youth. Not more than 30 percent of the funds 
appropriated for the overall Javits Gifted and Talented Program 
may be used for the National Center.
    Under the bill, once the appropriation for the Javits 
Gifted and Talented program reaches $50 million, funding for 
the program will be distributed by formula to the States and 
competitively to local educational agencies and schools. If 
funding levels fall below $50 million, the current law 
provisions of the program will remain in effect.
    The following provisions will take effect when funding for 
the program exceeds $50 million:
    Allotment to States: The Secretary will allot funds to each 
State based on a ratio of a State's school-age population to 
the school-age population of all States. A small State minimum 
is also included which is \1/2\ of 1 percent. [When funds 
appropriated for the program are less than $50 million, funds 
shall be awarded on a competitive basis according to the 
current law provisions.]
    Grandfather Clause: All current grantees that have been 
awarded funds under the Javits Gifted and Talented program will 
continue to receive funds under the original terms of the grant 
until the time period for that grant has expired.
    State Applications: Any State seeking a grant must submit 
an application which:
          (1) designates the State educational agency as the 
        agency responsible for the administration of the 
        program, including public dissemination of data;
          (2) contains an assurance that the State educational 
        agency will have the ability to provide matching funds 
        (in cash or in-kind);
          (3) provides for a biennial submission of data 
        regarding the use of gifted and talented funds;
          (4) provides an assurance that the SEA will keep 
        records and provide such information as the Secretary 
        requires;
          (5) contains an assurance that there is compliance 
        with the requirements of this part;
          (6) provides for timely public notice and public 
        dissemination of data.
    State Uses of Funds: A State educational agency may use not 
more than 10 percent of funding for the following activities:
          (1) a peer review process for grant applications;
          (2) supervision of the awarding of funds to 
        elementary schools, secondary schools, or consortia of 
        these schools;
          (3) planning, supervision, and processing of funds 
        made available under this part;
          (4) monitoring, evaluation, and dissemination of 
        programs and activities assisted under this part;
          (5) providing technical assistance; and
          (6) supplementing, but not supplanting, State and 
        local funds for the education of gifted and talented 
        students.
    Parental Support: A State educational agency may use not 
more than 2 percent of funding for support to parents of gifted 
and talented children.
    Distribution to Schools: A State educational agency shall 
use not less than 88 percent of funds to award grants, on a 
competitive basis, to elementary schools, secondary schools, or 
consortia of schools.
    Local Application Contents: Any elementary school, 
secondary school, or consortium seeking a grant will include 
the following information in its application:
          (1) an assurance that funds received under this 
        program will be used to identify and support gifted and 
        talented students, including gifted and talented 
        students from all economic, ethnic, and racial 
        backgrounds, such as students of limited English 
        proficiency and students with disabilities; and
          (2) a description of how the school or consortium 
        will meet the educational needs of gifted and talented 
        students, including the training of personnel in the 
        education of gifted and talented students.
    Local Uses of Funds: A school or a consortium may use their 
grant to carry out one or more of the following activities:
          (1) professional development--developing and 
        implementing programs to address State and local needs 
        for inservice training activities for general 
        educators, specialists in gifted and talented 
        education, administrators, school counselors, or other 
        school personnel;
          (2) identification of students--providing services to 
        gifted and talented students who may not be identified 
        and served through traditional assessment methods--
        including educationally disadvantaged students, 
        students of limited-English proficiency, and 
        individuals with disabilities;
          (3) model projects--supporting and implementing 
        innovative strategies such as cooperative learning, 
        peer tutoring, independent study, and adapted 
        curriculum used by schools or consortia; and
          (4) emerging technologies--assisting schools or 
        consortia that do not have the resources to provide 
        courses through new and emerging technologies, which 
        may include distance learning curriculum. (No funds may 
        be used for the purchase or upgrading of technological 
        hardware).
    Private School Children & Teachers Participation: 
Consistent with current law, where appropriate, the Secretary 
will ensure that there is equitable participation of students 
and teachers in private, nonprofit elementary and secondary 
schools, including the participation of teachers and other 
personnel in professional development.
    Establishment of a National Center: [This provision is also 
contained in current law.]
    National Center Purpose: The purpose of the National Center 
for Research and Development in the Education of Gifted and 
Talented Children and Youth is to develop, devise, disseminate, 
and evaluate model projects and activities that serve gifted 
and talented students; to conduct research; and to provide 
technical assistance.
    Center Establishment: The Secretary shall establish a 
National center through grants orcontracts with 1 or more 
institutions of higher education, State educational agencies, or a 
consortia of such institutions and agencies. The Secretary may not use 
more than 30 percent of funds made available to carry out the National 
Center activities.
    Grandfather Clause: [This is a new provision.] The current 
National Center grantee will continue to be the grantee for the 
duration of the current grant.

Part D--Arts in Education

    Purpose and Program: The Arts in Education program is 
currently funded at $11.5 million. The reauthorization bill 
reauthorizes Subpart 1--Arts Education, and Subpart 2--Cultural 
Partnership for Youth at Risk, and moves these provisions to 
title III, part D. The program will continue to support: 
activities that provide students opportunities to have the arts 
as an integral part of the elementary and secondary school 
curriculum; the important education programs of the John F. 
Kennedy Center and the VSA arts program (formerly Very Special 
Arts); and grants to improve the performance of at-risk youth 
by providing comprehensive and coordinated educational and 
cultural services. The draft proposal authorizes $25 million 
for subpart 1 and $45 million for subpart 2 and maintains the 
reservation of funds for the John F. Kennedy Center and the VSA 
arts programs.

Part E--Advanced Placement Programs

    Part E authorizes the Access to High Standards program, a 
competitive grant program designed to: encourage more students 
(especially low-income students) to take the advanced placement 
(AP) exam; increase the availability of AP courses offered; and 
broaden the range of schools offering AP courses. This program, 
originally authorized as part of the Higher Education 
Amendments of 1998, has been expanded and moved to the 
Elementary and Secondary Education Act.
    The Secretary is to give first priority to providing grants 
to State educational agencies to enable them to cover all or 
part of the costs of AP test fees for low-income individuals. 
Seventy percent of any remaining funds will be allocated for 
grants to State and local educational agencies to expand access 
for low-income students to AP programs. Thirty percent of any 
remaining funds will be used for grants to provide students 
with on-line AP courses. A funding level of $50 million is 
authorized for these activities in fiscal year 2001 and ``such 
sums as may be necessary'' in the 4 succeeding fiscal years.

                  Title IV--Safe and Drug Free Schools


Part A--State Grants

    Purpose: The purpose of this part is to support programs 
that: prevent violence in and around schools; prevent the 
illegal use of alcohol, tobacco and drugs; involve parents; and 
are coordinated with related Federal, State, school, and 
community efforts and resources. The goals of the 
reauthorization bill are to: increase accountability and the 
adherence to the Principles of Effectiveness; increase the use 
of researched-based programs; provide States with greater 
flexibility in preventing violence and drug use; increase 
community participation in drug and violence prevention 
programs; and maintain a viable program for all schools willing 
to conduct proven research-based violence and drug abuse 
prevention programs.
    Funding: For fiscal year 2001, the bill authorizes $700 
million for the State Grants Program, $150 million for National 
Programs, and $75 million for the National Coordinator 
Initiative.
    State and Local Grants: States must submit applications to 
the Secretary of Education. The application must include a 
comprehensive plan for use of funds under the Governor's 
program and the State Department of Education's program; a 
needs assessment and results of ongoing State evaluation 
activities; assurances that stakeholders were consulted; 
measurable goals; a description of how the funds will be spent; 
and a comprehensive plan for using and monitoring the funds 
received under this Title. The State plan shall also include a 
comprehensive plan for the Governor's Program by the chief 
executive officer.
    The reauthorization bill reserves 80 percent of the funds 
to be available to States for state support and grants to LEAs. 
State and local programs must implement activities that are 
research-based initiatives, and States are required to 
implement a uniform management and information reporting system 
so that expenditures of these funds can be clearly tracked. 
SEAs may use up to 5 percent of funds for technical assistance 
and up to 5 percent for administration.
    SEAs may choose between two options for allocating 
remaining funds to LEAs: (1) provide at least 70 percent to 
schools based on enrollment and up to 30 percent allocated at a 
State's discretion or to schools the State determines to have 
the greatest need; or (2) provide up to 70 percent on a 
competitive basis to those schools with the greatest need, 
determined by the state, and 30 percent to those schools the 
state determines require additional help to run a program but 
who might not meet ``greatest need'' criteria. This would allow 
states to choose and define a competitive or baseline minimum 
grant system and still allow them help those schools that could 
not compete under that system, if they choose.
    The reauthorization bill reserves 20 percent of a State's 
allocation for Governors Programs of which not less than 95 
percent of the funds must be used for research-based substance 
abuse/violence reduction through a broad range of activities. 
The bill allows Governors to directly add their money to the 
funds being sent to schools and communities to serve out of 
school youth and to undertake community mobilization activities 
related to substance abuse and violence.
    LEAs shall submit an application to the SEA which must 
include a needs assessment; set measurable goals and 
objectives; utilize effective research-based programs; ensure 
participation of community groups; and include a program 
evaluation. Funds shall be used for a comprehensive drug and 
violence prevention program.
    Evaluations and Reporting: The reauthorization bill 
requires the Secretary of Education to consult with a newly 
created National Advisory Committee in creating an evaluation 
and requires the evaluation to determine whether funded 
programs: conform to the Principles of Effectiveness; have 
objectively measurable goals; target research-based programs 
such as risk factors and/or protective factors/buffers or 
assets; and reduce drug use, school violence, and the presence 
of firearms at schools. The bill requires the Department of 
Education, States, and the Governors to implement program and 
financial monitoring and requires State reports every 2 years 
to the Department of Education and annual reports to the States 
from local schools.
    Federal Activities: In addition to provisions contained in 
the current law, the reauthorization bill adds service learning 
programs to the list of uses of funds. The bill includes a new 
section which authorizes the Secretary to award grants to local 
education agencies for the hiring/training of drug prevention 
and school safety program coordinators. In addition, the bill 
creates a Safe and Drug Free Schools and Communities Advisory 
Committee to: coordinate Federal drug and violence prevention 
programs, develop core data sets and evaluation programs, 
provide technical assistance and training, provide for the 
diffusion of research-based programs, and review other 
regulations and standards developed under this title. The 
committee will include Department of Education, Center for 
Disease Control, National Institute on Drug Abuse, National 
Institute on Alcoholism and Alcohol Abuse, Center for Substance 
Abuse Prevention, Center for Mental Health Services, Office of 
Juvenile Justice and Delinquency Prevention, Office of National 
Drug Control Policy, and State and local government education 
agency representatives. The committee will annually consult 
with State and local coordinators of school and community-based 
substance abuse and violence prevention programs and other 
interested groups.

Part B--Gun Possession

    The Gun-Free Schools provisions currently contained in part 
F of title XIV are transferred to part B of title IV. These 
provisions require States receiving funds under ESEA to have 
laws requiring local educational agencies to expel from school 
for at least one year any student who brings a weapon to 
school.

Part C--School Safety and Violence Prevention

    Part C includes a number of new provisions and allowable 
uses of funds related to school safety and violence prevention, 
including:
    School Safety and Violence Prevention: Provides that 
federal funds provided under titles IV and VI of ESEA may be 
used for training school personnel to identify potential 
threats; to identify troubled youth; to make comprehensive 
school security assessments; to purchase metal detectors, 
locks, and surveillance cameras; to engage in collaborative 
efforts with community-basedorganizations to reduce violence; 
and to utilize other innovative programs to reduce school violence.
    School Uniforms: Provides that nothing in the ESEA can be 
construed to prohibit schools from establishing a school 
uniform policy and allows funds provided under titles IV and VI 
of ESEA to be used for establishing a school uniform policy.
    Transfer of School Disciplinary Records: Requires States 
receiving Federal funds under ESEA to establish a procedure by 
which local educational agencies must transfer the suspension 
and expulsion records of any student to any private or public 
elementary or secondary school in which that student seeks 
enrollment. This requirement does not apply to private schools.
    Disclaimer on Materials Produced, Procured, or Distributed 
from ESEA Funding: Requires that all materials produced, 
procured, or distributed as a result of Federal funding through 
ESEA contain a statement indicating that it has been made 
available at the expense of the Federal government. The 
statement must also indicate that any individual who objects to 
the material or to representations made in it is encouraged to 
contact the Department of Education. The address of the office 
at the Department assigned to receive comments must also be 
listed. Every 6 months, the Secretary is to summarize the 
comments received and provide them to appropriate congressional 
committees and to House and Senate leadership.
    Background Checks: Amends the National Child Protection Act 
of 1993 to specify that individuals who are employed, or seek 
employment, with schools are included in the provisions of that 
act relating to background checks.
    Constitutionality of Memorial Services and Memorials at 
Public Schools: Provides congressional findings that the saying 
of a prayer, the reading of scripture, the performance of 
religious music, and the design or construction of any memorial 
which includes religious symbols and which is placed on school 
grounds does not violate the First Amendment. In addition, it 
ensures that anyone seeking to challenge such memorials as 
unconstitutional must pay its own attorney's fees, and that the 
Attorney General is authorized to provide assistance to any 
school district defending the legality of the service.

Part D--Environmental Tobacco Smoke

    The bill transfers to the Elementary and Secondary 
Education Act the environmental tobacco smoke provisions 
currently contained in part C of title X of the Goals 2000: 
Educate America Act to part D of title IV. These provisions 
prohibit smoking within any indoor facility used for the 
provision of education, routine health care, day care, library 
services, or early childhood development to children.

              Title V--Educational Opportunity Initiatives


Part A--Technology Education

    Purpose: The purpose of this part is to help all students 
develop technical and higher order thinking skills and to 
achieve challenging State academic content and performance 
standards, as well as America's Education Goals, by providing 
support to: help provide all classrooms with access to 
educational technology; help ensure access to and the effective 
use of educational technology in all classrooms through the 
provision of sustained and intensive high quality professional 
development that improves the ability of teachers and 
principals to integrate educational technology effectively into 
the classroom by actively engaging students, teachers, 
paraprofessionals, media specialists, principals, and 
superintendents in the use of technology; help improve the 
capability of teachers and other appropriate school personnel 
to design and construct new learning experiences using 
technology; support efforts by SEAs and LEAs to create learning 
environments designed to prepare students to achieve 
challenging State academic content standards and performance 
standards; support the provision of technical assistance to 
SEAs, LEAs, and communities; support partnerships among 
business and industry and the education community; support 
evaluation and research in the effective use of technology in 
preparing all students to achieve challenging State standards; 
encourage collaborative relationships among the State Agency 
for Higher Education, the State Library Administrative Agency, 
the State telecommunications agency, and the SEA in the area of 
technology support to strengthen the system of education to 
ensure that technology is accessible to and usable by all 
students; to support the development and use of education 
technology to enhance and facilitate meaningful parental 
involvement to improve student learning; and to assist every 
student in crossing the digital divide by ensuring that every 
child is computer literate by the time the child finishes 8th 
grade, regardless of the child's race, ethnicity, gender, 
income geography or disability.
    Funding: A funding level of $815 million is authorized for 
subparts 1, 2, and 3 for fiscal year 2001 and such sums as 
necessary for the four succeeding fiscal years. Of that amount, 
$5 million is available for federal leadership activities and 
$10 million for Regional Technology in Education Consortia in 
fiscal year 2001 not to exceed 2.5 percent of total 
appropriations in the remaining fiscal years; 30 percent of the 
remaining funds for Technology Innovation grants (competitive 
grant) and 70 percent of the remaining funds for the Technology 
Literacy Fund (formula program to States). It ensures that 
under no circumstances would the formula grant program to 
States receive less than it did in fiscal year 2000.
    The reauthorization bill puts an emphasis on increasing the 
use of education technology to provide professional development 
opportunities for prospective teachers and current teachers, as 
well as school leaders. It eliminates unfunded programs 
[Product Development (current Subpart 4 of title III, part A) 
and Elementary Mathematics and Science Equipment Program (title 
III, part E)].

Part B--Star Schools

    The purpose of the Star Schools program is to use 
telecommunications to encourageimproved instruction in math, 
science, and foreign languages as well as literacy skills and 
vocational education to underserved populations. The program provides 
5-year grants which can be renewed for a 3-year period. The 
reauthorization bill authorizes a funding level of $50 million for 
fiscal year 2001 and such sums as necessary for the 4 succeeding fiscal 
years.

Part C--Magnet School Assistance

    Magnet schools are public elementary schools or secondary 
schools that offer a special curriculum which attracts 
substantial numbers of students of different racial 
backgrounds. The purpose of the Magnet Schools Assistance 
program is to assist schools in increasing their racial, 
economic, linguistic, or ethnic diversity between minority and 
non-minority students and among students of different minority 
groups. Magnet school projects help local educational agencies 
implement systemic reform. A funding level of $125 million is 
authorized to carry out this program in fiscal year 2001.

Part D--Public Charter Schools

    Charter schools are public schools that are released from 
various regulations that normally apply to public schools in 
exchange for increased student performance accountability. The 
Public Charter Schools program supports the establishment of 
charter schools in states that have enacted state charter 
school laws.
    The Public Charter Schools program supports the design, 
initial implementation, and evaluation of charter schools. 
Under this grant program, funds are provided for up to three 
years to State educational agencies to support eligible charter 
schools within the State. The State educational agencies award 
grants for planning, technical assistance, and dissemination. A 
funding level of $175 million is authorized to carry out this 
program in fiscal year 2001. The reauthorization bill extends 
this program through fiscal year 2005.

Part E--Women's Educational Equity

    The Women's Educational Equity Act (WEEA), currently 
authorized as part B of title V of ESEA, is extended through 
fiscal year 2005. WEEA provides grants for the operation of 
programs promoting educational equity for women and girls. 
Approximately two-thirds of WEEA funds are used to support 
local projects. The remaining funds are used for technical 
assistance, dissemination, and research and development. Fiscal 
year 2000 funding for WEEA is $3 million. The proposed 
reauthorization makes minor clarifying changes to the existing 
law and provides an authorization level of $5 million in fiscal 
year 2001.

Part F--Civic Education

    The reauthorization bill merges the Civic Education program 
currently authorized as part F of title X and the International 
Education Exchange Program currently authorized under title VI 
of Goals 2000: Educate America Act and extends the program 
through fiscal year 2005. The proposal authorizes $10 million 
for fiscal year 2001 for each component (domestic and 
international).
    The Civic Education program provides support for programs 
related to instruction on the basic principles of our 
constitutional democracy and the history of the Constitution 
and the Bill of Rights. The program received $9.85 million in 
fiscal year 2000.
    The International Education Exchange program provides 
support for education exchange activities in civics and 
government education and in economic education between the 
United States and eligible developing countries (i.e. Eastern 
Europe, former republics of the Soviet Union). Its purpose is 
to support democracy and free market economies. Grantees offer 
exemplary curriculum and teacher training to educators from 
eligible countries. They also sponsor seminars and site visits 
and develop related programs for U.S. students. The program 
received $7 million in fiscal year 2000.

Part G--Fund for the Improvement of Education

    The Fund for the Improvement of Education (FIE), currently 
authorized as part A of title X of ESEA, is substantially 
streamlined and extended through fiscal year 2005. FIE 
currently provides the Secretary with broad authority to 
support nationally significant programs and projects designed 
to improve the quality of education. Several specific programs, 
such as character education, are also authorized under FIE. 
Fiscal year 2000 funding for FIE is $243.9 million. This amount 
includes $65 million for the comprehensive school reform 
program, which is authorized in this bill as part F of title I.
    The reauthorization bill specifies activities to be 
supported by FIE to include: the identification of exemplary 
schools and programs (such as Blue Ribbon Schools); the 
development and evaluation of model strategies for professional 
development for teachers and administrators (such as Christa 
McAuliffe Fellowships); character education; the scholar-
athletes program; elementary school counseling demonstrations; 
smaller learning communities; and the National Student and 
Parent Mock Elections. A funding level of $100 million is 
authorized for fiscal year 2001.

Part H--Allen J. Ellender Fellowship Program

    The Allen J. Ellender Fellowship Program, currently 
authorized as part G of title X, is extended through fiscal 
year 2005. This program makes an award to the Close Up 
Foundation to provide fellowships to students from low-income 
families and their teachers to allow them to participate in one 
week of seminars on government and meetings with 
representatives of all three branches of the federal 
government. Fiscal year 2000 funding for the program is $1.5 
million. The reauthorization bill provides for a funding level 
of $1.5 million for fiscal year 2001.

Part I--Ready to Learn Television

    Purpose: The Ready to Learn Television program authorizes 
the Secretary of Education to award grants or enter into 
contracts or cooperative agreements to develop, produce, and 
distribute educational and instructional video programming for 
preschool and elementary school children and their parents.
    Program: The reauthorization bill extends the current Ready 
to Learn Television program through fiscal year 2005 with small 
modifications. It makes funds available to local public 
television stations to work in partnerships with SEAs, LEAs, 
local schools, institutions of higher education, or community-
based organization to: develop educational programming and 
accompanying support materials for preschool and elementary 
school children; facilitate development of programming and 
digital content over public television stations for parents and 
caregivers; and widely distribute and disseminate programs. 
Funds under this part may be used to: address the learning 
needs of young children in limited-English-proficiency 
households; develop programming and support materials to 
increase family literacy skills; identify, support, and enhance 
the effective use and outreach of innovative programs that 
promote school readiness; and develop and disseminate training 
materials.
    Federal Funds: Currently funded at $16 million, the bill 
increases the authorization of the program to $50 million for 
fiscal year 2001.
    Part J--Inexpensive Book Distribution Program
    Purpose and Program: Funds made available under the 
Inexpensive Book Distribution Program support ``Reading is 
Fundamental'' (RIF), which is extended through fiscal year 
2005. Currently funded at $20 million, RIF supports and 
promotes programs, including the distribution of inexpensive 
books to students, to motivate children to read. RIF is a 
public-private partnership program that operates nationwide and 
serves 3.5 million children annually in schools, child care 
centers, libraries, hospitals, clinics, and homeless centers. 
The reauthorization bill provides for funding level of $25 
million for fiscal year 2001.

                     Title VI--Innovative Education


                                overview

    The purpose of title VI, part A, Innovative Education, is 
to provide funds to local educational programs for the 
implementation of initiatives that support school improvement 
and reform efforts with the goal of advancing student 
performance. To accomplish the purpose of part A, States 
allocate funds to local school districts for an array of 
activities such as professional development, technology, and 
library services.
    The title VI, part A, reauthorization proposal expands the 
current funding level for the Innovative Education Program 
Strategies section. The new authorization of $850 million (for 
fiscal year 2001) combines funds from Goals 2000 State Grants 
Program (which is set to expire in the year 2000) and the 
annual allocation for the authorized title VI program. The 
appropriation for programs under the current title VI program 
is $365.8 million.
    A key change from current law is the inclusion in this 
title of the Education Flexibility Partnership Act, 
Consolidated State and Local Plan Applications, and Waivers of 
statutory and regulatory requirements. These are provisions 
relating to both flexibility and accountability which are 
located in various titles of the current law and are now 
consolidated under title VI.
    The Rural Flexibility Act is a new title VI initiative. The 
purpose of the Rural Flexibility proposal is to provide 
adequate funding to rural school districts for improving 
student performance. The Rural Flex initiative will enable 
rural school districts to maximize their funding resources 
which will assist in the implementation of education reform 
strategies.
    Another new flexibility initiative is contained in part G, 
Education Performance Partnerships, which provides States with 
the opportunity to combine federal education formula funds in 
ways which will increase the academic achievement of their 
students. In exchange for this broad flexibility, States must 
demonstrate tough accountability. Participating States will 
enter into performance partnership agreements with the 
Secretary of Education.
    Finally, part H, Academic Achievement for All 
Demonstration, contains provisions that allows a State to 
combine funds under a variety of federal formula grant programs 
to use for any educational purpose permitted under State law. 
Up to 15 States may participate in the demonstration program. 
Participating States are to show results in improving the 
academic performance of all students. The goals for improvement 
and the means for achieving them are set by the States.

Part A--Innovative Education Program Strategies

    Purpose: The purpose of title VI is to support education 
reform efforts that are consistent with and support statewide 
education reform initiatives. Grant funds are used to develop 
and implement education programs to improve school, student, 
and teacher performance, including professional development 
activities and class-size reduction programs.
    State and Local Responsibility: The administration of title 
VI funds is handled by the State educational agencies. However, 
the design and implementation of title VI activities are the 
responsibilities of the local educational agencies, school 
superintendents, principals, and teachers.
    Federal Funding: A funding level of $850 million is 
authorized to carry out the innovative education strategies 
section of this part for fiscal year 2001 and such sums as 
necessary for the 4 succeeding fiscal years.
    Allotment to States: This is the same as current law. The 
Secretary allots to each State an amount based on a ratio of a 
State's school-age population to the school-age population of 
all States. A small State minimum is also included, as in 
current law, which is \1/2\ of 1 percent.
    Allocation to Local Educational Agencies: The 
reauthorization maintains the current law provisions.
    State Use of Funds: A SEA may use funds for: State 
administration of programs; support for planning, designing, 
and initial implementation of charter schools; support for the 
design and implementation of high-quality yearly student 
assessments; support for implementation of State and local 
standards; and technical assistance and direct grants to LEAs 
and statewide education reform activities, including effective 
schools programs, which assist LEAs to provide targeted 
assistance.
    State Applications: Any State submitting an application to 
the Secretary will provide assurances that, other than 
technical assistance and monitoring compliance, the State 
educational agency will not influence the decision making 
processes of local educational agencies as to how the local 
educational agencies will spend the funds received under this 
title.
    Local Uses of Funds: Title VI funds allocated to local 
educational agencies shall be used for innovative assistance 
and requires all title VI, part A programs and activities to be 
tied to promoting high academic standards, to be used to 
improve student performance, and to be part of an overall 
education reform strategy. Innovative assistance includes:
          (1) programs for the acquisition and use of 
        instructional and educational materials, including 
        library services and material (including media 
        materials), assessments, and other curricular 
        materials;
          (2) programs to improve teaching and learning, 
        including professional development activities, that are 
        consistent with comprehensive State and local systemic 
        education reform efforts;
          (3) activities that encourage and expand improvement 
        throughout the LEA that are designed to advance student 
        performance;
          (4) initiatives to generate, maintain, and strengthen 
        parental and community involvement;
          (5) programs to recruit, hire, and train certified 
        teachers (including teachers certified through State 
        and local alternative routes) in order to reduce class 
        size;
          (6) programs to improve the academic performance of 
        educationally disadvantaged elementary school and 
        secondary school students, including activities to 
        prevent students from dropping out of school;
          (7) programs and activities that expand learning 
        opportunities through strategic research designed to 
        improve classroom learning and teaching;
          (8) programs to combat both student and parental 
        illiteracy;
          (9) technology activities related to the 
        implementation of school-based reform efforts, 
        including professional development to assist teachers 
        and other school personnel (including school library 
        media personnel), regarding how to effectively use 
        technology in the classroom and the school library 
        media center;
          (10) school improvement programs or activities 
        relating to the title I assessment;
          (11) programs to provide for the educational needs of 
        gifted and talented children;
          (12) programs to provide same gender schools and 
        classrooms, if equal educational opportunities are made 
        available to students of both sexes as consistent with 
        the United States Constitution;
          (13) service learning activities; and
          (14) school safety programs.
    Local Applications: A local educational agency or 
consortium of agencies seeking title VI funds will include in 
their applications information including:
          (1) a description of the programs, projects, and 
        activities that will be funded and the planned 
        allocation of funds;
          (2) a description of how title VI projects will 
        contribute to improving student achievement or 
        improving the quality of education for students;
          (3) assurances of compliance regarding the 
        participation of children enrolled in private, 
        nonprofit schools.
          (4) a description of how parents, teachers, school 
        personnel, and administrative personnel will be 
        involved in the design, planning, and implementation of 
        title VI initiatives;
    Local Educational Agency Discretion: A local educational 
agency receiving funds under title VI will have complete 
discretion in determining how funds will be divided among the 
areas of targeted assistance. The local educational agency will 
ensure that the schools meet the educational needs of the 
students served by the schools receiving title VI funds.

Part B--Rural Flexibility Act

    The purpose of this part is to provide adequate funding to 
rural school districts to enhance their ability to recruit and 
retain teachers, strengthen the quality of instruction, and 
improve student achievement. Subpart I, the Rural Educational 
Achievement Program, permits rural school districts with 
enrollments of fewer than 600 students to combine funds from 
titles II, IV, and VI and apply these funds toward local 
initiatives designed to improve student achievement. In 
addition, participating local educational agencies are eligible 
to receive a supplemental grant that, when combined with other 
Federal dollars, will enable these small rural schools to offer 
programs and activities of sufficient size, scope, and quality 
to have a significant impact upon student and school 
performance. Subpart II, the Low-Income and Rural School 
Program, is designed to meet the needs of rural school 
districts serving large numbers of disadvantaged students. 
Local educational agencies residing in rural communities are 
eligible to receive funds from this program if 20 percent of 
the children they serve are from families living below the 
poverty level. A funding level of $125 million is authorized to 
support these programs during fiscal year 2001.

Part C--Education Flexibility Partnership Act

    The Education Flexibility Partnership Act allows State 
educational agencies the flexibility to waive certain Federal 
requirements, along with related State requirements, for the 
purpose of raising the achievement of all students. The 
provisions of Public Law 106-25, which was signed into law last 
year as a free-standing bill, are incorporated into title VI.

Part D--Flexibility in the Use of Administrative and Other Funds

    Consolidation of State and Local Administrative Funds: A 
State educational agency may consolidate administrative funds 
for one or more of the activities specified below provided that 
the State educational agency can demonstrate that the majority 
of such agency's resources come from non-Federal sources. These 
programs include:
          (1) all title 1 programs;
          (2) administration of this title;
          (3) establishment and operation of peer-review 
        mechanisms under ESEA; and
          (4) dissemination of information regarding model 
        programs and practices.
    Consolidated Administrative Recordkeeping: A State 
Educational Agency that consolidates administrative funds will 
not be required to keep separate records, by individual 
program, to account for administrative costs.
    Review of Consolidated State Administrative: To determine 
the effectiveness of State educational agencies consolidating 
administrative funds, the Secretary may periodically review the 
performance of State educational agencies.
    Consolidation of Local Administrative Funds: In accordance 
with regulations, a local educational agency, with the approval 
of its State educational agency, may consolidate 1 or more of 
the programs outlined under ``Consolidation of State and Local 
Administrative Funds.''
    Availability of Unneeded Program Funds: With the approval 
of the State educational agency, a local educational agency 
that determines for a fiscal year that funds from programs 
listed under ``Consolidation of State and Local Administrative 
Funds'' (other than funds from part A of title I) are not 
needed to carry out that program may use up to five percent of 
those funds to carry out one of the other programs listed under 
``Consolidation of State and Local Administrative Funds.''

Part E--Consolidated Plans

    Purpose: It is the purpose of this part to improve teaching 
and learning by encouraging greater cross-program coordination, 
planning and service delivery under this act and enhanced 
integration of programs under this act with educational 
activities carried out with State and local funds.
    Integration of State Plans: State educational agencies may 
integrate the following programs into one plan. These include:
          (1) Part A of Title I--Helping Disadvantaged Children 
        Meet High Standards;
          (2) Part C of Title I--Education of Migratory 
        Children;
          (3) Title II--Professional Development;
          (4) Title IV--Safe and Drug Free Schools; and
          (5) Part A of this Title--Innovative Education 
        Program Strategies;
    Integration of Local Plans: Local educational agencies may 
integrate the following programs into one plan:
          (A) Part A of Title I--Helping Disadvantaged Children 
        Meet High Standards;
          (B) Title II--Professional Development;
          (C) Title IV--Safe and Drug Free Schools;
          (D) Part A of this Title--Innovative Education 
        Program Strategies.

Part F--Waivers

    Waivers: A State educational agency, local educational 
agency, or Indian tribe which seeks a waiver, shall submit a 
waiver request to the Secretary that--
          (a) identifies the Federal programs affected by such 
        requested waiver;
          (b) describes which Federal requirements are to be 
        waived and how the waiving of such requirements will--
                  (i) increase the quality of instruction for 
                students; or
                  (ii) improve student academic performance;
          (c) if applicable, describe which similar State and 
        local requirements will be waived and how the waiving 
        of such requirements will assist the local educational 
        agencies, Indian tribes, or schools to achieve 
        improvement in student academic performance or increase 
        the quality of instruction for students;
          (d) describes specific, measurable, educational 
        improvement goals, and expected outcomes for all 
        students;
          (e) describes the methods to be used to measure 
        progress in meeting the goals and outcomes; and
          (f) describes how schools will continue to provide 
        assistance to the same populations served by programs 
        for which waivers are requested.
    Requirement for State Educational Agencies: In seeking a 
waiver, a State educational agency will provide all interested 
local educational agencies and the public with notice and the 
opportunity to comment and submit the comments to the 
Secretary.
    Local Educational Agencies: A waiver sought by a local 
educational agency will be reviewed by the State educational 
agency. In addition, the local educational agency will provide 
the opportunity for notice and comment to the public.
    Restrictions: Waivers will not be granted relating to the 
following:
          (1) the allocation or distribution of funds to 
        States, local educational agencies, or other recipients 
        under this Act;
          (2) maintenance of effort;
          (3) comparability of services;
          (4) use of Federal funds to supplement, not supplant, 
        non-Federal funds;
          (5) equitable participation of private school 
        teachers and students;
          (6) parental participation and involvement;
          (7) civil rights requirements;
          (8) requirements for a charter school;
          (9) prohibitions on the use of funds for religious 
        worship or instruction; and
          (10) the selection of a school attendance area or 
        school under subsections (a) and (b) of section 1113, 
        except that a State educational agency may grant a 
        waiver to allow a school attendance area or school to 
        participate in activities under part A of title I if 
        the percentage of children from low-income families in 
        the school attendance are of such school or who attend 
        such school is not less than 10 percentage points below 
        the lowest percentage of such children for any school 
        attendance are or school of the LEA that meets the 
        requirements of such subsections (a) and (b).
    Duration and Extension of Waiver: The duration of a waiver 
approved by the Secretary may be for a period not to exceed 
three years. The Secretary may extend the period if the 
Secretary determines that the waiver has been effective in 
enabling the State or affected recipients to carry out the 
activities for which the waiver was requested and the waiver 
has contributed to improved student performance and that such 
an extension is in the public interest.

Part G--Education Performance Partnerships

    Part G of title VI provides States with the opportunity to 
combine the funds they receive from federal education formula 
grants to tailor activities designed to increase student 
performance. In exchange for this increased flexibility, States 
must demonstrate progress in increasing academic achievement 
and in narrowing the gap between the lowest and highest 
achieving students. States that participate would enter into a 
performance partnership agreement with the Secretary of 
Education which includes student performance goals for the 5-
year term of the agreement. If a State chooses not to 
participate, any local educational agency in that State may do 
so.
    This approach maintains the traditional federal role of 
targeting of assistance towards low-income students served 
under title I by providing that any State which includes part A 
funds in its performance partnership must maintain the current 
formula for distributing those funds to schools and school 
districts.
    Part G also establishes a $2.5 billion bonus award fund. 
Bonuses would be provided to those States which make 
significant progress in eliminating achievement gaps over a 5-
year period. All States would be eligible to compete for bonus 
awards--whether or not they choose to enter into performance 
partnership agreements.

Part H--Academic Achievement for All Demonstration

    Part H of title VI establishes a demonstration program 
which permits a State to combine funds under a variety of 
federal formula grant programs to use for any educational 
purpose permitted under State law. Up to 15 States may 
participate in the demonstration program. If a State chooses 
not to participate, any local educational agency in that State 
may do so.
    Participating States are to show results in improving the 
academic performance of all students. The goals for improvement 
and the means for achieving them are set by the States and are 
described in a performance agreement.
    A State which elects to include funds from part A of title 
I in its agreement must assure that each local educational 
agency in the State will receive no less in Title I funds than 
the agency received in the fiscal year preceding the State's 
entry into the demonstration program. Otherwise, the 
distribution of funds from programs included in the performance 
agreement within the State will be determined either by the 
Governor and State legislature or by the individual or entity 
responsible for education under State law.
    A State which makes substantial reductions in achievement 
gaps by the end of the 5-year term of the agreement will be 
eligible for a performance reward equal to 5 percent of the 
funds allocated to the State for the first year of the 
performance agreement for programs included in the agreement. 
Funding for the reward program is to be provided under the Fund 
for the Improvement of Education.

  Title VII--Bilingual Education, Language Enhancement, and Language 
                          Acquisition Programs


Part A--Bilingual Education

    The Bilingual Education program is designed to provide 
educational assistance to students with limited English 
proficiency. Funds awarded under this program help students 
with limited English proficiency to meet challenging State 
content and performance standards. The reauthorization bill 
makes several changes to the Bilingual Education program. The 
key program changes are--
          Funding: $300 million has been authorized for fiscal 
        year 2001.
          Program Development and Implementation Grants: This 
        program has been repealed and the purposes of this 
        initiative have been woven into other programs under 
        this subpart.
          Program Enhancement Projects: The uses of funds 
        section has been modified. Grants will be used for: 
        developing, implementing, expanding, or enhancing 
        comprehensive preschool, elementary, or secondary 
        education programs for limited English proficient 
        children and youth; providing high quality professional 
        development; annually assessing the English proficiency 
        of all limited English proficient students. In awarding 
        grants, the Secretary may give priority to an entity 
        that serves a school district that has: a total 
        district enrollment that is less than 10,000 students; 
        a large percentage or number of limited English 
        proficient students; and limited or no experience in 
        serving English proficient students.
          Comprehensive School and Systemwide Improvement 
        Grants: These are two separate programs under current 
        law. The bill combines both initiatives into one grant 
        program. Grants awarded under this section will be used 
        for: improving instructional programs for limited 
        English proficient students; training school personnel 
        and community-based organization personnel to improve 
        the instruction and assessment of limited-English 
        proficient students; implementing family education or 
        parent outreach programs; annually assessing the 
        English proficiency of all limited English proficient 
        students; and developing or improving accountability 
        systems to monitor the academic progress of limited 
        English proficient students. Grantees who received 
        funds prior to the date of enactment of this bill will 
        continue to be funded for the duration of their grants 
        under the terms of current law. One-third of the grants 
        awarded under this section will be awarded to school 
        districts and two-thirds will be used for school 
        activities.
          Priority for All Subpart 1 Grants (Bilingual 
        Education Capacity and Demonstration Grants): In 
        awarding grants, the Secretary shall give priority to 
        an applicant who: experiences a dramatic increase in 
        the number or percentage of limited English proficient 
        students enrolled in the applicant's program and has 
        limited or no experience in serving limited English 
        proficient students; is a local educational agency that 
        serves a school district that has a total district 
        enrollment that is less than 10,000 students; 
        demonstrates that the applicant has a proven record of 
        success in helping limited English proficient students; 
        proposes programs that provide for the development of 
        bilingual proficiency both in English and another 
        language for all participating students; or serves a 
        school district in which a large percentage or number 
        of limited English students is enrolled. In addition, 
        the 25-percent limitation for special alternative 
        programs has been deleted.
          State Grant Program: The State grant program assists 
        local educational agencies with program design, 
        capacity building, assessment of student performance, 
        and programevaluation. The bill increases the minimum 
funding level from $100,000 to $200,000.

Part B--Foreign Language Assistance

    The Foreign Language Assistance Program provides 
competitive grant assistance to State or local educational 
agencies to provide foreign language study for elementary and 
secondary school students. Incentive payments are authorized as 
well for schools that offer programs designed to lead to 
communicative competency in a foreign language. The 
reauthorization bill extends this program through fiscal year 
2005 and adds provisions giving special consideration to grant 
applications which make effective use of technology, promote 
innovative activities, or are carried out through a consortium 
including the grantee and an elementary or secondary school. A 
funding level of $35 million is authorized for fiscal year 
2001.

Part C--Emergency Immigrant Education

    The Emergency Immigrant Education program provides funds to 
local educational agencies that experience unexpectedly large 
increases in their student populations due to immigration to 
assist with the education of those students. The fiscal year 
2001 authorization level is $200 million.

                         Title VIII--Impact Aid

    Impact Aid programs provide assistance to school districts 
that are financially burdened as a result of activities of the 
federal government for the education of federally connected 
children or due to the presence of federal property. Total 
funding for impact aid programs in fiscal year 2000 is $906.5 
million.
    Federal Property: The reauthorization bill maintains the 
current structure for providing payments to school districts 
due to federal ownership of property. The existing hold-
harmless provisions are replaced with new provisions dealing 
with the distribution of funds if appropriations are 
insufficient. The bill also seeks to avoid payment delays by 
requiring the Secretary to make a preliminary payment of 60 
percent of the amount received by a local educational agency in 
the previous year no later than 60 days following enactment of 
appropriations (provided that the LEA has submitted all data 
necessary for computation of its payment). It addition, it 
establishes a 5-year time frame following Federal acquisition 
of property in which districts may apply for payments. A 
funding level of $35 million is authorized in fiscal year 2001 
for Federal property payments.
    Basic Payments: The reauthorization bill increases from .10 
to .25 the weight assigned to children who have a parent who is 
on active duty in the uniformed services or is an official of a 
foreign government and is a foreign military officer, but do 
not reside on Federal property. A hold-harmless provision is 
included to assure that other LEAs do not lose funds due to 
this weight adjustment.
    The bill also institutes a maximum 3-year time limit for 
current law provisions which permit military dependents living 
off-base to be counted as on-base students in situations where 
their base housing is being renovated and would clarify that 
the rebuilding of on-base housing will be treated in the same 
manner as renovation. In addition, it permits military 
dependents to be counted as on-base students if they reside in 
housing initially acquired or constructed under the ``Build to 
Lease'' program if the property is within the fenced security 
perimeter of the military facility. If the property is subject 
to taxation, the impact aid payment to the LEA will be reduced 
by the amount of revenues received from the property taxes.
    The bill folds payments to heavily-impacted districts into 
the basic payments structure, consistent with the provisions of 
a pilot program which has been in operation for the past two 
years. A separate authority for additional funds for federally 
connected children with disabilities is maintained.
    A funding level of $875 million is authorized in fiscal 
year 2001 for basic payments, and $60 million is authorized for 
payments on behalf of children with disabilities.
    Construction/Modernization: The current construction 
authority is expanded to provide assistance for schools serving 
large proportions of federally connected students in districts 
which have no bonding authority or are at their limit for 
bonded indebtedness. A funding level of $62.5 million is 
authorized in fiscal year 2001. In addition, a funding level of 
$7 million is authorized for fiscal year 2001 for school 
facilities owned by the Department Education which are used to 
educate federally connected military students.
    Unfunded Programs: Unfunded authorities for special 
additional payments for LEAs with high concentrations of 
children with severe disabilities and for sudden and 
substantial increases in attendance of military dependents are 
repealed.

     Title IX--Indian, Native Hawaiian, and Alaska Native Education

    The purpose of title IX is to modify and improve the 
educational services provided for American Indian, Alaska 
Native, and Native Hawaiian students. The reauthorization bill 
continues to make grants available to schools operated or 
supported by the Bureau of Indian Affairs and allows local 
educational agencies to provide an increased range of services 
to include those that: (1) promote the incorporation of 
culturally responsive teaching and learning strategies; (2) 
incorporate American Indian and Alaska Native specific 
curriculum content into the curriculum; (3) promote 
coordination among tribal, Federal, and State public schools in 
areas that will improve education; and (4) offer family 
literacy activities. The reauthorization bill gives local 
educational agencies which receive formula grants under part A 
the ability to commingle all of the federal funding they 
receive for educating Indian children, regardless of which 
agency provides it, into 1 coordinated, comprehensive program 
to meet the specific needs of Indian children. The 
reauthorization bill also authorizes the provision of family 
literacy services for Indian, Native Hawaiian, and Native 
Alaskan students, limits administrative costs to 5 percent, and 
consolidates a number of programs under PartB: Native Hawaiian 
Education and Part C: Native Alaskan Education.

                      Title X--General Provisions

    The reauthorization bill contains a separate part 
pertaining to evaluation and dissemination of all elementary 
and secondary education programs funded under the Elementary 
and Secondary Education Act. Components include requiring the 
Secretary of Education to: carry out comprehensive evaluations 
of all programs and demonstration projects; evaluate the cost-
efficiencies of Federal elementary and secondary education 
programs; assess the impact of programs in relation to student 
and school performance; and disseminate broadly the results of 
these evaluations.
    In addition, the bill requires that the Secretary provide 
for a study conducted by the National Academy of Sciences 
regarding the relationship between time and learning which 
shall include an analysis on the impact of increasing education 
time on student learning; an analysis of how schools, teachers, 
and students use time and the quality of instructional 
activities; an analysis of how time outside of school may be 
used to enhance student learning; and cost estimates for 
increasing time in school.
    The bill reauthorizes America's Education Goals Panel 
(formerly the National Education Goals Panel), and the Panel 
will work with the Secretary of Education to disseminate 
information regarding best practices. To ensure that all 
students have access to high quality continuing education or 
service opportunities, the bill contains a provision that 
states that nothing in the Act shall be construed to prohibit 
recruiters for the Armed Forces of the United States from 
receiving the same access to secondary school students or 
directory information as is provided to postsecondary 
educational institutions or prospective employers of school 
student.

                   Title XI--Amendments to Other Acts


Part A--Repeals

    The Goals 2000: Educate America Act is repealed, as is the 
Advanced Placement Incentive Program currently authorized as 
Part B of Title VIII of the Higher Education Amendments of 
1998. The Advanced Placement program is replaced with new 
provisions included in the new part E of title III of the 
Elementary and Secondary Education Act.

Part B--Education for Homeless Children and Youth

    The Education for Homeless Children and Youth program 
authorized as Subtitle B of the Stewart B. McKinney Homeless 
Assistance Act is extended through fiscal year 2005. The 
program provides assistance for: the establishment of Offices 
of Coordinator of Education of Homeless Children and Youth in 
States; the development and implementation of State plans for 
the education of homeless children; and support to local 
educational agencies for the education of these children. The 
reauthorization bill strengthens provisions of the current law 
designed to avoid segregating homeless students, to maintain a 
child's attendance at his or her school of origin, to avoid 
enrollment delays, and to assure that the quality of an 
application is considered in the provision of subgrants to 
local educational agencies. A funding level of $40 million is 
authorized for fiscal year 2001.

Part C--Albert Einstein Distinguished Educators

    The Albert Einstein Distinguished Educator Fellowship 
program is extended through fiscal year 2005. This program, 
which is administered by the Secretary of Energy, provides 
fellowships for elementary and secondary school mathematics and 
science teachers. Einstein Fellows work for ten months in 
positions in the Department of Energy, the Senate, the House, 
the Department of Education, the National Institutes of Health, 
the National Science Foundation, the National Aeronautics and 
Space Administration, and the Office of Science and Technology 
Policy. A funding level of $700,000 is authorized for fiscal 
year 2001.
    General Notes:
    (1) The term ``research-based'' is used throughout the bill 
and is defined as follows: ``The term `research-based' used 
with respect to an activity or a program, means an activity 
based on specific strategies and implementation of such 
strategies that, based on theory, research, and evaluation, are 
effective in improving student achievement and performance and 
other program objectives.''
    (2) Throughout the bill, specific funding levels are 
authorized for fiscal year 2001, and ``such sums as may be 
necessary'' are authorized for the 4 succeeding fiscal years.

              II. Background and Need for the Legislation

    The Federal Government's involvement in elementary and 
secondary education began with the enactment of the Northwest 
Ordinance of 1787, one of the first laws passed by the 
Continental Congress. The Northwest Ordinance required each 
township within the territory to reserve one square mile for 
the establishment of public schools. Under the Northwest 
Ordinance law, 77 million acres of land were set aside for 
public education.
    178 years after passage of the Northwest Ordinance, the 
Congress of the United States determined that the Federal 
Government should develop legislation that would strengthen and 
improve educational opportunities for elementary and secondary 
school students. That determination evolved into congressional 
passage and enactment of the Elementary and Secondary Education 
Act of 1965.
    The Elementary and Secondary Education Act of 1965, which 
has been amended severaltimes during its 35 year history, 
continues to be the foundation for most of the Federal programs and 
activities related to elementary and secondary education. That 
foundation has been built on the belief that federally authorized 
programs help to strengthen and improve educational quality and 
opportunities to elementary and secondary school students.
    Currently, the Federal Government sends each State an 
estimated 7 cents on the dollar for education services. Those 7 
cents are a very important contribution to the State and local 
education systems that exist throughout the Nation. Over the 
last decade, Federal funds have been especially helpful in 
assisting State development of school reform strategies that 
will enable all students to meet challenging standards.
    Although some progress is visible regarding student 
performance improvement, we have a long way to go to ensure 
that all students have the knowledge and skills necessary to 
compete in a global economy. To accomplish such a task, the 
Federal, State, and local governments must join together to 
establish programs that will provide all students with the 
opportunity to obtain a high quality education.
    The Educational Opportunities Act, S. 2, strengthens the 
title I reform process initiated in 1994 which emphasizes the 
establishment of high standards and aligned assessments 
designed to measure progress toward those standards. This 
legislation increases high quality professional development 
opportunities for teachers and other school leaders. S. 2 also 
creates activities designed to enhance the important 
partnership between parents and their local schools, and will 
help local schools provide safe and drug-free learning 
environments. Finally, S. 2 increases State and local 
flexibility in the use of Federal funds in exchange for greater 
accountability.
    S. 2 offers States and local school districts a positive 
framework for creating a first rate education delivery system. 
This legislation provides mechanisms to give our children the 
quality education they need to succeed in an increasingly 
competitive world.

             III. Legislative History and Committee Action

    The Educational Opportunities Act, S. 2, was introduced by 
Senators Jeffords, Gregg, Lott, McCain, Mack, Coverdell, Hagel, 
and Landrieu on January 19, 1999.
    In December 1998, the committee held the first of 24 
hearings on issues related to the reauthorization of the 
Elementary and Secondary Education Act (ESEA). All hearings 
were held by the full committee, including 3 field hearings and 
a joint hearing with the House Committee on Education and the 
Workforce. Committee ESEA hearings include:

December 4, 1998
Are Our Children Ready to Learn? (S. Hrg. 105-772)
Purpose: Examining early childhood education and related 
        services.

December 11, 1998
The Price We Pay for Illiteracy (S. Hrg. 105-787)
Purpose: Examining educational goals, focusing on literacy.

January 26, 1999
Improving Educational Opportunities: Senators' Perspectives (S. 
        Hrg. 106-1)
Purpose: Examining proposals by several members of the Senate 
        to improve ESEA programs.

February 9, 1999
Department of Education Elementary and Secondary Education 
        Proposals (S. Hrg. 106-30)
Purpose: Examining proposed legislation authorizing funds to 
        extend programs and activities under ESEA of 1965.

February 23, 1999
Education Reform: Governors' Views (S. Hrg. 106-4)
Purpose: Examining ESEA reform initiatives at the state level 
        and the view of state governors on the proper role of 
        the federal government.

March 16, 1999
Educating the Disadvantaged (S. Hrg. 106-23)
Purpose: Examining legislation authorizing funds for ESEA, 
        focusing on Title I, education programs for the 
        disadvantaged.

April 7, 1999 (Winooski, VT)
Reauthorization of the ESEA (S. Hrg. 106-62)
Purpose: Examining issues and programs related to the 
        reauthorization of ESEA.

April 14, 1999
What Works: Education Research (S. Hrg. 106-28)
Purpose: Examining education research issues, including 
        research support, vehicles for dissemination, education 
        improvement, education policy and practice, and the 
        impact of education research on overall school and 
        student performance.

April 19, 1999 (Montpelier, VT)
Reauthorization of the ESEA: A Focus on Professional 
        Development (S. Hrg. 106-36)
Purpose: Examining the effectiveness of professional 
        development programs authorized under ESEA.

April 22, 1999
Education Technology (S. Hrg. 106-78)
Purpose: Examining legislation authorizing funds for ESEA, 
        focusing on educational technology programs.

April 29, 1999
Retention and Social Promotion (S. Hrg. 106-54)
Purpose: Examining legislation authorizing funds for programs 
        of ESEA, focusing on retention and social promotion.

May 6, 1999
ESEA: Safe Schools (S. Hrg. 106-142)
Purpose: Examining legislation authorizing funds for programs 
        of the ESEA, focusing on safety programs.

May 10, 1999 (Bennington, VT)
Reauthorization of the ESEA: Innovative Programs (S. Hrg. 106-
        73)
Purpose: Examining the federal role in our education delivery. 
        What is working? What is Not? What can we do better?

May 12, 1999
ESEA Title I: Evaluation & Reform (S. Hrg. 106-51)
Purpose: Examining legislation authorizing funds for programs 
        of the ESEA, focusing on the Title I Program, helping 
        disadvantaged children meet high standards, including 
        issues as accountability, targeting assistance to low-
        come students, allocating resources for early childhood 
        initiatives and making Title I a portable entitlement.

May 18, 1999
ESEA Educating the Forgotten Half (S. Hrg. 106-59)
Purpose: Examining various strategies for transforming the 
        forgotten half into the indispensable foundation of the 
        21st century workforce and for making secondary 
        education the centerpiece of those strategies.

May 20, 1999
ESEA: From Tales To Tape (S. Hrg. 106-149)
Purpose: Examining legislation authorizing funds for programs 
        of the ESEA.

June 10, 1999
ESEA: Special Populations (S. Hrg. 106-77)
Purpose: Examining legislation authorizing funds for programs 
        of the ESEA, focusing on special populations, and S. 
        505, to give gifted and talented students the 
        opportunity to develop their capabilities.

June 17, 1999 (Joint Hearing with House Committee on Education 
        and the Workforce)
ESEA: Federal Education Research and Evaluation Efforts (S. 
        Hrg. 106-128)
Purpose: Examining legislation authorizing funds for programs 
        of the ESEA, focusing on research and evaluation.

June 22, 1999
Professional Development in ESEA (S. Hrg. 106-83)
Purpose: Examining proposed legislation authorizing funds for 
        programs of the ESEA, focusing on professional 
        development for teachers.

June 23, 1999
ESEA: Title VI and Class Size Reduction (S. Hrg. 106-101)
Purpose: Examining the legislation authorizing funds for 
        programs of the ESEA, focusing on Title VI, innovative 
        education program strategies.

June 29, 1999
ESEA: Arts Education and Magnet Schools (S. Hrg. 106-84)
Purpose: Examining proposed legislation authorizing funds for 
        programs of the ESEA, focusing on arts education and 
        magnet schools.

June 30, 1999
ESEA: Facilities (S. Hrg. 106-153)
Purpose: Examining proposed legislation authorizing funds for 
        programs of the ESEA, focusing on school facilities.

July 13, 1999
ESEA: Drug Free Schools (S. Hrg. 106-178)
Purpose: Examining proposed legislation authorizing funds for 
        programs of the ESEA, focusing on safe and drug free 
        schools.

July 20, 1999
ESEA: Improving Use of Funds (S. Hrg. 106-185)
Purpose: Examining proposed legislation authorizing funds for 
        programs of the ESEA, focusing on improving the use of 
        funds provided under the Act.

                           executive session

    On March 1, 7, 8, and 9, 2000, the committee met in 
executive session to consider S. 2. At the outset of the 
executive session, Senator Jeffords introduced a complete 
substitute for S. 2, which served as original text for purposes 
of further amendment. The committee took action on 38 
amendments, adopting 17 of them and defeating the remaining 21. 
Thirty-four other amendments were filed, but were either not 
offered or were withdrawn. The bill as amended was adopted by a 
roll call vote of 10 yeas to 8 nays.

                  votes taken during executive session

    Twenty-three roll call and 13 voice votes were taken during 
committee consideration of S. 2, as follows:
    1. Senator Kennedy offered an amendment to strike the 
Teacher Empowerment (Title II, Part A) provisions and 
substitute provisions authorizing $2 billion for activities 
under 4 subparts: Grants to States and LEAs (subpart 1); 
National Activities for the Improvement of Teaching and School 
Leadership (subpart 2); Transitions to Teaching (subpart 3); 
and Hometown Teachers (subpart 4). Under the amendment, a 
specific percentage of funds would be allocated for activities 
including: 56 percent for professional development activities; 
30 percent for teacher recruitment; and 4 percent for the State 
Agency for Higher Education for recruitment partnership grants. 
The amendment also proposed an increase in the current law set-
aside for professional development in math and science from 
$250 million to $300 million. The amendment was defeated by a 
roll call vote of 8 yeas to 10 nays.

        YEAS                          NAYS
Kennedy                             Jeffords
Dodd                                Gregg
Harkin                              Frist
Mikulski                            DeWine
Bingaman                            Enzi
Wellstone                           Hutchinson
Murray                              Collins
Reed                                Brownback
                                    Hagel
                                    Sessions

    2. Senator Gregg offered an amendment to establish an 
Academic Achievement for All Demonstration program as a new 
Part H of Title VI. Under the demonstration program, up to 15 
States would be permitted to combine funds under a dozen 
Federal education formula grant programs to use for any 
educational purpose permitted under State law. Participating 
States must show results in improving the academic performance 
of all students during the 5-year term of the performance 
agreement. If a State chooses not to participate, any local 
educational agency in the State may do so. The amendment was 
adopted by a roll call vote of 9 yeas to 8 nays, with Senator 
Jeffords voting ``present''.

        YEAS                          NAYS
Gregg                               Kennedy
Frist                               Dodd
DeWine                              Harkin
Enzi                                Mikulski
Hutchinson                          Bingaman
Collins                             Wellstone
Brownback                           Murray
Hagel                               Reed
Sessions

    3. Senator Frist offered an amendment which permits a local 
educational agency to use Title I funds for a schoolwide 
program to upgrade its entire educational program if at least 
40 percent of the children it serves are from low-income 
families. Under current law, the threshold is set at 50 
percent. Senator Frist's amendment also provides that any 
school that is using funds from more than one Federal education 
program in the operation of its schoolwide program will not be 
required to maintain separate fiscal accounting records by 
program, so long as the school maintains records that 
demonstrate that the schoolwide program addresses the intent 
and purpose of each Federal program for which funding is 
consolidated. The amendment was adopted by voice vote.
    4. Senator Murray offered an amendment to authorize $1.75 
billion for the class-size reduction program which has been 
funded for the past 2 years through appropriations legislation. 
Funds must be used to hire fully qualified teachers in order to 
reduce class size, with particular consideration for reducing 
class size in the early elementary grades. Funds may be used 
for recruiting, hiring, and training fully qualified regular 
and special education teachers; testing new teachers for 
academic content knowledge; and providing professional 
development. With some exceptions, not more than 25 percent of 
total funds may be used for professional development or testing 
teachers. If class size has already been reduced to 18 or fewer 
students in the early grades, funds could be used to further 
reduce class size or to conduct activities designed to improve 
teacher quality. The amendment was defeated by a roll call vote 
of 8 yeas to 10 nays.

        YEAS                          NAYS
Kennedy                             Jeffords
Dodd                                Gregg
Harkin                              Frist
Mikulski                            DeWine
Bingaman                            Enzi
Wellstone                           Hutchinson
Murray                              Collins
Reed                                Brownback
                                    Hagel
                                    Sessions

    5. Senator Gregg offered an amendment to authorize $500 
million for a new child centered program within Title I. Under 
the program, up to 10 States and up to 20 local educational 
agencies located in States which do not participate would 
allocate all their Part A funds (including the additional 
amount authorized in the amendment) to Title I-eligible 
children on a per-pupil basis. The per-pupil amount could be 
used for supplemental educational services provided by the 
school or by another entity and would follow any eligible child 
who transfers to another school. The amendment was adopted by a 
roll call vote of 9 yeas to 8 nays, with Senator Jeffords 
voting ``present''.

        YEAS                          NAYS
Gregg                               Kennedy
Frist                               Dodd
DeWine                              Harkin
Enzi                                Mikulski
Hutchinson                          Bingaman
Collins                             Wellstone
Brownback                           Murray
Hagel                               Reed
Sessions

    6. Senator Sessions offered an amendment to add a new Part 
C to Title IV, containing several provisions related to school 
safety and violence prevention. These provisions deal with: 
school safety and violence prevention activities; school 
uniforms; transfer of school disciplinary records; drug tests 
and locker inspections; employee background checks; disclaimers 
on materials produced with ESEA funding; and memorial services 
at public schools. The amendment was adopted by a roll call 
vote of 9 yeas to 8 nays, with Senator Collins not voting.

        YEAS                          NAYS
Jeffords                            Kennedy
Gregg                               Dodd
Frist                               Harkin
DeWine                              Mikulski
Enzi                                Bingaman
Hutchinson                          Wellstone
Brownback                           Murray
Hagel                               Reed
Sessions

    7. Senator Harkin offered an amendment to authorize $1.3 
billion for the repair and renovation of public schools. Of 
this amount, $50 million is authorized for grants to local 
educational agencies in which 50 percent of students reside on 
Indian lands. The remaining $1.25 billion is to be used for 
grants and loans for: repairing or replacing roofs, electrical 
wiring, or plumbing systems; repairing, replacing, or 
installing heating, ventilation, or air conditioning systems; 
ensuring that repairs and renovations are ADA compliant; and 
making other types of school repairs and renovations that the 
Secretary determines are urgently needed. The Secretary may not 
approve an application for a grant or loan unless the applicant 
demonstrates that it lacks sufficient funds from other sources 
to carry out the repairs. The amendment was defeated by a roll 
call vote of 8 yeas to 10 nays.

        YEAS                          NAYS
Kennedy                             Jeffords
Dodd                                Gregg
Harkin                              Frist
Mikulski                            DeWine
Bingaman                            Enzi
Wellstone                           Hutchinson
Murray                              Collins
Reed                                Brownback
                                    Hagel
                                    Sessions

    8. Senator Mikulski offered an amendment to add as a new 
purpose to the technology education provisions in Title V to 
``assist every student in crossing the digital divide by 
ensuring that every child is computer literate by the time the 
child finishes 8th grade, regardless of the child's race, 
ethnicity, gender, income, geography or disability.'' The 
amendment was adopted by voice vote.
    9. Senator Wellstone offered an amendment to authorize $5 
million for competitive national grants and contracts to 
elementary and secondary schools that work with experts to 
enable those schools to provide training to educators, 
educational programming, and support services related to issues 
concerning children experiencing or witnessing domestic 
violence. The amendment was defeated by a roll call vote of 8 
yeas to 8 nays, with Senator Jeffords voting ``present'' and 
Senator Collins not voting.

        YEAS                          NAYS
Kennedy                             Gregg
Dodd                                Frist
Harkin                              DeWine
Mikulski                            Enzi
Bingaman                            Hutchinson
Wellstone                           Brownback
Murray                              Hagel
Reed                                Sessions

    10. Senator Hagel offered an amendment to the impact aid 
provisions of the bill (Title VIII) which revises the criteria 
for an LEA to be designated as ``heavily impacted'' by reducing 
the percentage of federally connected children enrolled in the 
LEA from 40 percent to 35 percent; institutes a maximum 3-year 
time limit for current law provisions which permit military 
dependents living off-base to be counted as on-base students in 
situations where their base housing is being renovated and 
clarifies that the rebuilding of on-base housing will be 
treated in the same manner as renovation; and permits military 
dependents to be counted as on-base students if they reside in 
housing initially acquired or constructed under the ``Build to 
Lease'' program if the property is within the fenced security 
perimeter of the military facility. If the property is subject 
to taxation, the impact aid payment to the LEA will be reduced 
by the amount of revenues received from the property taxes. The 
amendment was adopted by voice vote.
    11. Senator Reed offered an amendment to establish two 
school library media resources programs as part of the 
Technology Education provisions of Title V. The amendment would 
authorize $250 million for a State formula grant program for 
library media resources. State funds are to be awarded to local 
educational agencies for activities such as acquiring up-to-
date library media resources, acquiring and using advanced 
technology, and providing professional development for school 
library media specialists. The amendment would also authorize 
$25 million for a national competitive grant program to assist 
local educational agencies in providing students with access to 
school libraries during non-school hours. The amendment was 
defeated by a roll call vote of 8 yeas to 10 nays.

        YEAS                          NAYS
Kennedy                             Jeffords
Dodd                                Gregg
Harkin                              Frist
Mikulski                            DeWine
Bingaman                            Enzi
Wellstone                           Hutchinson
Murray                              Collins
Reed                                Brownback
                                    Hagel
                                    Sessions

    12. Senator Bingaman offered an amendment to authorize $150 
million for the Teacher Training in Technology program which 
has been funded for the past 2 years through appropriations 
legislation. Under the amendment, the Secretary would award 
competitive grants to be used to prepare prospective teachers 
to make better use of advanced technologies to enhance student 
learning. The amendment was defeated by voice vote.
    13. Senator DeWine offered an amendment to authorize the 
Troops to Teachers program as a national activity in Title II, 
Part A. It directs the Secretary of Education to turn funds 
over to the Defense Activity for Non-Traditional Education 
(DANTES) to pay for and run the program. The Secretary of 
Education may retain a portion of the funds to identify LEAs 
with teacher shortages and States with alternative 
certification requirements. The amendment was adopted by voice 
vote.
    14. Senator Murray offered an amendment to add references 
to student involvement throughout the bill. The amendment was 
defeated by voice vote.
    15. Senator Bingaman offered an amendment to authorize $150 
million for school dropout prevention programs. Of that amount, 
$5 million is allocated for national activities. The remaining 
$145 million will be used for States formula grants and for a 
capacity building and design initiatives. State funds are to be 
awarded competitively to local schools to support dropout 
prevention programs, to assist school reentry, and to raise the 
academic achievement of all students. The amendment was adopted 
by voice vote.
    16. Senator Murray offered an amendment to authorize $2 
million for a national grant program to local educational 
agencies (or consortia) for innovative programs dealing with 
homeless education. Priority would be given to programs 
focusing on transportation, unaccompanied children and youth, 
and homeless pre-schoolers. The applicant must demonstrate 
experience in one of these areas. The Secretary is to evaluate 
the programs and disseminate information about them. The 
amendment was defeated by a roll call vote of 8 yeas to 10 
nays.

        YEAS                          NAYS
Kennedy                             Jeffords
Dodd                                Gregg
Harkin                              Frist
Mikulski                            DeWine
Bingaman                            Enzi
Wellstone                           Hutchinson
Murray                              Collins
Reed                                Brownback
                                    Hagel
                                    Sessions

    17. Senator Bingaman offered an amendment to authorize $50 
million to support Advanced Placement (AP) testing. The 
amendment would repeal the existing Advanced Placement testing 
provisions in the Higher Education Act and establish an 
expanded program within ESEA. The Secretary is to give first 
priority to providing grants to State educational agencies to 
enable them to cover all or part of the costs of AP test fees 
for low-income individuals. Seventy percent of any remaining 
funds will be allocated for grants to State and local 
educational agencies to expand access for low-income students 
to AP programs. Thirty percent of any remaining funds will be 
used for grants to provide students with on-line AP courses. 
The amendment was adopted by a roll call vote of 11 yeas to 7 
nays.

        YEAS                          NAYS
Jeffords                            Gregg
DeWine                              Frist
Collins                             Enzi
Kennedy                             Hutchinson
Dodd                                Brownback
Harkin                              Hagel
Mikulski                            Sessions
Bingaman
Wellstone
Murray
Reed

    18. Senator Bingaman offered an amendment to the provisions 
of Title V relating to programs for school technology resources 
to require that State applicants for funds include the State's 
goals for using advanced technology to improve student 
achievement and performance and its strategy for disseminating 
information. The amendment also requires that local educational 
agencies use grant funds to use technology to enable teachers 
to help students meet standards through the use of research-
based teaching practices and advanced technologies, to provide 
professional development in using technology to create new 
learning environments, and to use web-based learning resources. 
The amendment was adopted by voice vote.
    19. Senator Bingaman offered an amendment to the provisions 
of the National Technology Innovation Grants program in Title V 
to specify that any member of a consortium receiving a 
competitive grant under the program may serve as the fiscal 
agent, provided that the lead local educational agency agrees 
to have another member of the consortium serve in that 
capacity. The amendment was adopted by voice vote.
    20. Senator Harkin offered an amendment to transfer to the 
Elementary and Secondary Education Act the environmental 
tobacco smoke provisions currently contained in Part C of Title 
X of the Goals 2000: Educate America Act. These provisions 
prohibit smoking within any indoor facility used for the 
provision of education, routine health care, day care, library 
services, or early childhood development to children. The 
amendment was adopted by a roll call vote of 18 yeas to 0 nays.

        YEAS                            
Jeffords
Gregg
Frist
DeWine
Enzi
Hutchinson
Collins
Brownback
Hagel
Sessions
Kennedy
Dodd
Harkin
Mikulski
Bingaman
Wellstone
Murray
Reed

    21. Senator Sessions offered an amendment to strike 
activities related to hate crimes from the national programs 
portion of Title IV. These activities include: a permissive use 
of funds by the Secretary to develop training programs and 
related materials designed to prevent and reduce the incidence 
of hate crimes; and a grant program to assist local educational 
agencies and community-based organizations in localities most 
directly affected by hate crimes. The amendment was defeated by 
a roll call vote of 5 yeas to 13 nays.

        YEAS                          NAYS
Gregg                               Jeffords
Frist                               DeWine
Hutchinson                          Enzi
Hagel                               Collins
Sessions                            Brownback
                                    Kennedy
                                    Dodd
                                    Harkin
                                    Mikulski
                                    Bingaman
                                    Wellstone
                                    Murray
                                    Reed

    22. Senator Bingaman offered an amendment to make a number 
of changes to title I, part A, including: providing for a 
reservation of title I funds for school improvement, 
accountability, and evaluation; substantially revising 
provisions related to standards, assessments, school 
improvement, and corrective action; and requiring the issuance 
of annual State and school report cards. The amendment was 
defeated by a roll call vote of 8 yeas to 10 nays.

        YEAS                          NAYS
Kennedy                             Jeffords
Dodd                                Gregg
Harkin                              Frist
Mikulski                            DeWine
Bingaman                            Enzi
Wellstone                           Hutchinson
Murray                              Collins
Reed                                Brownback
                                    Hagel
                                    Sessions

    23. Senator Gregg offered an amendment to amend Title I, 
Part A to require public school choice for Title I students who 
are victims of violent criminal offenses on public school 
grounds and to permit it for students who attend unsafe 
schools. The local educational agency may use Title I funds for 
the transportation costs of students who transfer for safety 
reasons. The amendment also requires public school choice for 
all students enrolled in a school identified for corrective 
action and school improvement. A local educational agency 
serving schools identified for school improvement may use Title 
1 funds to pay the transportation costs of students 
transferring from those schools; an LEA identified for 
corrective action must use Title I funds for such 
transportation costs. Once a school is no longer identified for 
school improvement, the local educational agency must continue 
to provide public school choice as an option to students in 
such school for not less than 2 years. The amendment was 
adopted by voice vote.
    24. Senator Reed offered an amendment to authorize $50 
million for the establishment of a competitive grant program 
within Part D of Title I for the establishment or expansion of 
child opportunity zone family centers in elementary and 
secondary schools. Such centers are school-based or school-
linked centers that provide comprehensive support services 
designed to improve the education, health, mental health, 
safety, and economic well-being of children and their families. 
The amendment was defeated by a roll call vote of 8 yeas to 10 
nays.

        YEAS                          NAYS
Kennedy                             Jeffords
Dodd                                Gregg
Harkin                              Frist
Mikulski                            DeWine
Bingaman                            Enzi
Wellstone                           Hutchinson
Murray                              Collins
Reed                                Brownback
                                    Hagel
                                    Sessions

    25. Senator Dodd offered an amendment to increase the 
authorization of funding for Part A of Title I from $10 billion 
to $15 billion. The amendment was adopted by voice vote.
    26. Senator Reed offered an amendment to require that State 
and local annual performance reviews include the review of 
parental involvement and professional development activities 
assisted under Title I, Part A; that State technical assistance 
be provided to address any problems with the implementation of 
parental involvement and professional development requirements; 
and that the State to review local parental involvement 
policies and practices. The amendment would also require, as a 
condition for receipt of ESEA funds, that the State develop a 
parental involvement plan. The requirements proposed by the 
Reed amendment could not be waived under a performance 
partnership or agreement. The amendment was defeated by a roll 
call vote of 8 yeas to 10 nays.

        YEAS                          NAYS
Kennedy                             Jeffords
Dodd                                Gregg
Harkin                              Frist
Mikulski                            DeWine
Bingaman                            Enzi
Wellstone                           Hutchinson
Murray                              Collins
Reed                                Brownback
                                    Hagel
                                    Sessions

    27. Senator Bingaman offered an amendment to strike the 
migrant education program from the list of programs which a 
State may choose to include in a performance partnership 
authorized under Part G of Title VI. The amendment was defeated 
by a roll call vote of 8 yeas to 10 nays.

        YEAS                          NAYS
Kennedy                             Jeffords
Dodd                                Gregg
Harkin                              Frist
Mikulski                            DeWine
Bingaman                            Enzi
Wellstone                           Hutchinson
Murray                              Collins
Reed                                Brownback
                                    Hagel
                                    Sessions

    28. Senator Reed offered an amendment to: add as a new 
purpose to the technology education provisions in Title V ``to 
support the development and use of education technology to 
enhance and facilitate meaningful parental involvement to 
improve student learning''; provide that localapplications for 
technology literacy grants include a description of how parents will be 
informed of the use of technologies; and give priority in the award of 
National Technology Innovation grants to consortia which demonstrate 
that their project will enhance parental involvement by providing 
parents with the information needed to participate in their child's 
learning. The amendment was adopted by voice vote.
    29. Senator Reed offered an amendment to require that the 
annual State report regarding the progress of schools toward 
meeting State student performance standards be submitted to the 
Secretary of Education and that the report include the number 
and names of low-performing schools, the reason each school was 
identified as low-performing, and the steps taken to address 
the performance problems of the schools. The amendment was 
defeated by a roll call vote of 8 yeas to 10 nays.

        YEAS                          NAYS
Kennedy                             Jeffords
Dodd                                Gregg
Harkin                              Frist
Mikulski                            DeWine
Bingaman                            Enzi
Wellstone                           Hutchinson
Murray                              Collins
Reed                                Brownback
                                    Hagel
                                    Sessions

    30. Senator Bingaman offered an amendment to authorize the 
Opportunities to Improve Our Nation's Schools (OPTIONS) program 
to provide grants to State and local educational agencies for 
programs that promote innovative approaches to public school 
choice. The amendment was defeated by a roll call vote of 8 
yeas to 10 nays.

        YEAS                          NAYS
Kennedy                             Jeffords
Dodd                                Gregg
Harkin                              Frist
Mikulski                            DeWine
Bingaman                            Enzi
Wellstone                           Hutchinson
Murray                              Collins
Reed                                Brownback
                                    Hagel
                                    Sessions

    31. Senator Reed offered an amendment to require that local 
educational agencies use at least 5 percent of their Title I, 
Part A funding for fiscal years 2001 and 2002 and 10 percent of 
those funds in subsequent fiscal years for professional 
development activities. The amendment would also strike the 
Title I, Part A program from the list of programs which a State 
may choose to include in a performance partnership authorized 
under Part G of Title VI. The amendment was defeated by a roll 
call vote of 8 yeas to 10 nays.

        YEAS                          NAYS
Kennedy                             Jeffords
Dodd                                Gregg
Harkin                              Frist
Mikulski                            DeWine
Bingaman                            Enzi
Wellstone                           Hutchinson
Murray                              Collins
Reed                                Brownback
                                    Hagel
                                    Sessions

    32. Senator Kennedy offered an amendment to include in the 
general provisions of the Act (Title X) a statement that 
nothing in the Act shall be construed to prohibit recruiters 
for the Armed Forces of the United States from receiving the 
same access to secondary school students or to directory 
information as is provided to postsecondary educational 
institutions or to prospective employers. The amendment was 
adopted by voice vote.
    33. Senator Kennedy offered an amendment to authorize the 
Community Technology Centers program which has been funded for 
the past 2 years through appropriations legislation. The 
amendment would establish a competitive grant program to allow 
foundations, museums, libraries, for-profit businesses, 
nonprofits, community-based organizations, institutions of 
higher education, SEAs, LEAs, or consortia to expand access to 
computers and related services to disadvantaged residents of 
economically distressed urban and rural communities. The 
amendment was defeated by a roll call vote of 8 yeas to 10 
nays.

        YEAS                          NAYS
Kennedy                             Jeffords
Dodd                                Gregg
Harkin                              Frist
Mikulski                            DeWine
Bingaman                            Enzi
Wellstone                           Hutchinson
Murray                              Collins
Reed                                Brownback
                                    Hagel
                                    Sessions

    34. Senator Kennedy offered three amendments, which were 
considered en bloc. The first amendment proposed to strike the 
education of homeless children and youth program from the list 
of programs which a State may choose to include in a 
performance partnership authorized under Part G of Title VI. 
The second amendment proposed to strike the emergency immigrant 
education program from that same list. The third amendment 
proposed to strike the Even Start program from the list. The 
three amendments, considered en bloc, were defeated by a roll 
call vote of 8 yeas to 10 nays.

        YEAS                          NAYS
Kennedy                             Jeffords
Dodd                                Gregg
Harkin                              Frist
Mikulski                            DeWine
Bingaman                            Enzi
Wellstone                           Hutchinson
Murray                              Collins
Reed                                Brownback
                                    Hagel
                                    Sessions

    35. Senator Dodd offered an amendment to substitute for the 
provisions of the 21st Century Community Learning Centers 
program under Part A of Title III provisions which: focus the 
program on after-school activities; increase the authorization 
level from $500 million to $1 billion; and change the program 
from a national competitive grant program to a State formula 
grant program. The amendment also provides that the program 
will not be included on the list of programs which a State may 
choose to include in a performance partnership authorized under 
Part G of Title VI. The amendment was defeated by a roll call 
vote of 8 yeas to 10 nays.

        YEAS                          NAYS
Kennedy                             Jeffords
Dodd                                Gregg
Harkin                              Frist
Mikulski                            DeWine
Bingaman                            Enzi
Wellstone                           Hutchinson
Murray                              Collins
Reed                                Brownback
                                    Hagel
                                    Sessions

    36. The substitute bill, as amended, was reported favorably 
by a roll call vote of 10 yeas to 8 nays.

        YEAS                          NAYS
Jeffords                            Kennedy
Gregg                               Dodd
Frist                               Harkin
DeWine                              Mikulski
Enzi                                Bingaman
Hutchinson                          Wellstone
Collins                             Murray
Brownback                           Reed
Hagel
Sessions

            IV. Explanation of the Bill and Committee Views


      Title I--Helping Disadvantaged Children Meet High Standards


Part A--Basic Programs

    The purpose of part A is to provide opportunities for those 
students served by part A of title I to meet challenging State 
performance and content standards. The last reauthorization of 
title I, which occurred in 1994, made major changes regarding 
standards, assessment, and professional development. The 1994 
law also established a 7-year timetable for all States to 
develop and implement standards and assessments. Most of the 
1994 changes have been retained in S. 2. Additional provisions 
have been included which build upon the reform activities 
created in the last reauthorization.
    A key provision in S. 2 is the inclusion of a reservation 
of funds, 50 percent of the amount that is in excess of 
$8,076,000,000, that State educational agencies will be able to 
use for school improvement activities, assessment initiatives, 
and awards for outstanding schools and educators. The State 
will determine how the reservation will be used.
    The 1994 law created several mechanisms to measure student 
performance. One such mechanism was adequate yearly progress. 
S. 2 expands the definition of adequate yearly progress by 
stating that all children served by this part shall meet the 
State's performance levels within 10 years. In addition, 
adequate yearly progress must be based on State standards and 
assessments.
    Another mechanism included in the last reauthorization was 
the establishment of the school improvement and corrective 
actions process for local educational agencies and schools.
    S. 2 expands these provisions by requiring State 
educational agencies and local educational agencies to take at 
least 1 of a series of corrective actions with respect to 
schools and local educational agencies that do not improve 
after being identified as failing to meet adequate yearly 
progress.
    S. 2 also expands parental involvement and professional 
development activities. Both the State and local educational 
agencies must implement parental involvement and professional 
development programs that have demonstrated effectiveness. In 
regard to professional development, the committee believes 
teachers may need to include the use of remedial and 
supplementary academic enrichment activities, including 
literacy programs or supplementary educational material and 
nstruction.
    Since the last reauthorization, the title I school-wide 
program has become quite popular. Due to its popularity, the 
committee changed the eligibility qualification from not less 
than 50 percent of enrolled children from low income families 
to not less than 40 percent.
    Two new provisions pertaining to school choice have been 
included in S. 2. The Senate bill requires local educational 
agencies to offer public school choice alternatives to students 
attending Title I schools that have been identified as needing 
improvement or corrective action, as well as schools where 
violent incidents have occurred. In addition to the public 
school choice section of the bill, S. 2 also creates a Child 
Centered program for up to 10 States and up to 20 local 
educational agencies in other States. Under the Child Centered 
program, title I funds received by a State or local educational 
agency would be distributed on a per pupil basis. Parents of 
the pupils who are eligible to receive these grants would be 
allowed to use them for supplementary education at a public 
school or for tutorial services.
    The committee passed bill includes an early childhood 
section. Under this section, the local educational agency may 
use part A of title I funds for preschool services.
    S. 2 increases the authorization level for fiscal year 2001 
for part A to $15 billion.

Part B--Even Start Family Literacy Programs

    The Even Start Family Literacy program is designed to 
improve the educational opportunities for low-income families 
by integrating early childhood, adult basic education, and 
parental education into a unified family literacy program. Even 
Start grants are geared to areas with high rates of poverty, 
illiteracy, unemployment, families of limited English 
proficiency, or disadvantaged children. S. 2 strengthens 
coordination activities between Even Start and other literacy 
and early childhood programs. In addition, it increases the 
authorization level for fiscal year 2001 to $500 million.

Part C--Education of Migratory Children

    The Migrant Education program provides grants to State 
educational agencies to develop or improve educational programs 
for migrant students. Most migrant programs are administered by 
local educational agencies and operate during both the regular 
school year and in the summer. Priority for services is given 
to current migrant students and to students who are failing, or 
at greatest risk of failing, to meet State standards. The 
committee passed bill builds upon current law to ensure that 
migratory children have the opportunity to attain high levels 
of educational excellence. S. 2 increases the authorization 
level for fiscal year 2001 to $400 million.

Part D--Parental Assistance

    Part D of title I focuses on parental assistance. Parental 
Information and Resource Centers, established under the Goals 
2000: Educate America Act, has been incorporated into S. 2. The 
committee bill expands the program by increasing the 
authorization level for fiscal year 2001 to $50 million and by 
strengthening provisions that focus on partnerships among 
parents, teachers, principals, administrators, and other school 
personnel.

Part E--Evaluations and Demonstrations

    S. 2 retains current law provisions.

Part F--Comprehensive School Reform

    S. 2 includes the Comprehensive School Reform program, 
often referred to as the Obey-Porter initiative. The 
Comprehensive School Reform program awards formula grants to 
State educational agencies. These grants are designed to assist 
in the implementation of effective school reform models. There 
are a number of demonstration programs that have produced 
positive results in a variety of subject areas. Project Seed, a 
mathematics project, is a reform effort which focuses on higher 
order thinking skills. S. 2 authorizes $200 million for fiscal 
year 2001.

Part G--General provisions

    S. 2 retains current law provisions.

Part H--Assistance to Address School Dropout Problems

    An issue of great concern to the members of the committee 
is the escalating school dropout rate. To address this problem, 
a dropout prevention program has been included in S. 2. The new 
initiative creates a grant program that will provide assistance 
to public schools for the implementation of an effective, 
sustainable, and coordinated dropout effort.

                       Title II--Teacher Quality


Part A--Teacher Empowerment

    The committee was unanimous in its interest to improve the 
quality of professional development opportunities for teachers. 
While there was some disagreement regarding the best method to 
achieve the goal of enhancing teacher professional development 
opportunities, there was no disagreement that children can make 
greater academic gains if they have a knowledgeable and caring 
teacher leading their classroom. S. 2 recognizes that an 
investment in better teachers is an investment in our nation's 
young people, and the legislation authorizes $2 billion in 
title II for teacher quality measures.
    The committee held hearings on professional development in 
Washington, D.C. and Montpelier, Vermont. Time and time again, 
witnesses spoke of the need to make significant investments in 
providing support and professional development to teachers in 
the classroom. It was the committee's intent to create 
legislation that reflected the observations and recommendations 
by professionals in the field regarding how to best meet the 
needs of individual students in schools across this country. 
The bill responds to those recommendations by taking a flexible 
approach that allows States and local educational agencies to 
adopt successful models that will work for the conditions and 
circumstances of their schools. Members of the committee heard 
testimony that: (1) professional development in the area of 
math and science is important; (2) collaborative, systemic, 
staff development activities adopted by School District 2 in 
New York City have been met with success in urban and rural 
environments; (3) recruitment of teachers from other careers by 
school districts with teacher shortages, has put a qualified, 
enthusiastic person at the head of the classroom; and (4) the 
short term focus of staff training and professional development 
has not helped teachers provide better instruction to their 
students. The committee heard from diverse voices about many 
different strategies for improving instruction for the students 
in their communities. The message received by members of the 
committee was loud and clear: different communities have 
different needs.
    It was the committee's intent to provide a general 
framework and funding stream for teacher quality initiatives 
while allowing individual school districts to adapt a program 
to meet its needs. The committee recognizes that coming up with 
the right formula for success in a specific school district is 
nearly impossible to do at the Federal level. Each school 
district has unique considerations and must determine for 
themselves how to strike the correct balance between recruiting 
individuals into the teaching profession, retaining new 
teachers and providing professional development for teachers in 
the classroom.
    The committee bill combines funds and authorities from the 
Eisenhower Program and Class Size Reduction programs while 
maintaining a separate Federal program for teacher quality 
initiatives in recognition of the critically important role 
that teachers play in improving educational opportunities for 
young people. The professional development component of title 
II, part A builds upon the strengths of the Eisenhower program 
by placing an emphasis on innovative professional development 
programs. In an effort to focus the Federal dollars on 
professional development that will make a difference in 
teaching, the bill strictly defines professional development as 
activities that directly relate to the curriculum and academic 
subjects in which a teacher provides instruction or is designed 
to enhance the ability of a teacher, paraprofessional or 
principal to understand and use State standards for the 
academic subjects in which a teacher provides instruction. The 
bill requires professional development activities to be tied to 
strategies that demonstrate effectiveness in increasing student 
academic achievement and performance or substantially 
increasing the knowledge and teaching skills of the teachers 
participating in the activities and all activities must be 
developed with extensive participation of teachers, 
paraprofessionals, and principals. Further, it prohibits the 
one-day, ``one-shot'' workshop approach that research and 
evaluation have shown to be largely ineffective in fostering 
learning and changing the way a teacher teaches.
    The committee's decision to unite the Eisenhower 
Professional Development program and the Class Size Reduction 
initiative was based on the consideration it gave to some 
fundamental issues, such as how to balance the tension between 
quality and quantity with respect to hiring teachers, and 
whether large classrooms are the biggest obstacle to improving 
student achievement. Witnesses brought to the attention of the 
committee constructive observations about the effectiveness of 
class size reduction with regard to managing students in the 
classroom and providing better instruction, increased personal 
attention to individual students, the cost-benefit associated 
with the program, the effect on poor communities, and the 
potential costs of not investing in professional development.
    The committee's intent in combining these funds and these 
authorities was to create a program that could be tailored to 
the individual needs of school districts across the country. 
The legislation allows a school district to commit the same 
percentage of funds that it does now to class size reduction, 
if it so chooses. Yet, for other school districts that have a 
greater need for recruitment or professional development, it 
allows that school district to shift funds to those needs.
    Title II of the Elementary and Secondary Education Act also 
maintains an important role for institutions of higher 
education in providing professional development for teachers. 
The most recent review of the Eisenhower program stated that 
teachers participating in State Agency for Higher Education 
(SAHE) grantee activities found that the professional 
development led to enhanced knowledge and skills and changes in 
their classroom teaching practice. Further, SAHE grantee 
activities were of longer duration and place a greater emphasis 
on subject matter content, active learning and coherence. Using 
the success of the Eisenhower program as a model, institutions 
of higher education within each state will receive a dedicated 
stream of funding to be provided through competitive grants 
within the State.
    Since 1991, Congress has provided authorization for grants 
to support the creation and implementation of the nationwide 
system of advanced certification for teachers provided by the 
National Board for Professional Teaching Standards. That system 
is close to completion. Thisauthority will allow the Secretary 
to provide the funding sufficient to finish the system. It is 
understood that these grants are obligated by the National Board for 
work covering multi-year contracts. The committee believes that efforts 
to encourage and support teachers to become highly accomplished master 
teachers as recognized through advanced certification or credential 
programs will improve teaching and learning in schools. The bill 
includes an authority that allows the Secretary to support such 
activities provided through high quality professional teacher 
enhancement programs such as the National Board for Professional 
Teaching Standards. In addition, the committee supports States' efforts 
to raise the quality of teachers through encouraging teachers to become 
master teachers as recognized through advanced certification programs 
such as the national board certification program offered by the 
National Board for Professional Teaching Standards. To date, 38 States 
have enacted some measure to encourage teachers to seek advanced 
certification. The committee intends to encourage further activities by 
making these funds available to the States to use for this purpose.

Part B--Leadership Education and Development Program

    Members of the committee have benefitted from hearing 
first-hand accounts from parents, teachers, principals, 
superintendents and other school leaders about the positive 
difference that strong leadership at the school level makes in 
educating our Nation's students. Unfortunately, at the same 
time, the members of the committee were informed of the lack of 
professional development opportunities in the areas of 
leadership, management, and skills building. In response to the 
need and concerns expressed by witnesses, the bill authorizes a 
new program designed to meet the unique professional 
development needs of our Nation's school leaders.
    This program, modeled after the Snelling Center for School 
Leadership in Vermont, authorizes $100 million for competitive 
grants to State educational agencies, local educational 
agencies, institutions of higher education or nonprofit 
educational organizations for programs to develop or enhance 
the leadership skills of school leaders. Programs for school 
leaders could include: training in effective leadership, 
management, and instructional skills and practice; enhancing 
and developing school management and business skills; improving 
the effective use of educational technology; improving 
knowledge of challenging State content and performance 
standards; encouraging highly qualified individuals to become 
school leaders and developing and enhancing instructional, 
leadership, school management, parent and community 
involvement, mentoring and staff evaluation skills of school 
leaders; and establishing sustained and rigorous support for 
mentorship and for developing a network of school leaders 
within the State with the goal of improving the leadership of 
school leaders.

Part C--Reading Excellence Act

    The committee believes that the current provisions of the 
Reading Excellence Act, first authorized in October 1999, are 
still current. The legislation adopted by the committee extends 
the current authorization through the year 2005 and increases 
the authorization level to accommodate the increased 
appropriations that the program has received.

Part D--National Writing Project

    The committee recognizes the effectiveness of the National 
Writing Project program and authorizes the program through 
2005. The committee believes that the National Writing Project 
has been effective in improving the teaching of writing and has 
improved learning in the Nation's schools. It is a model of 
excellence in professional development. Currently, the National 
Writing Project has sites in 49 States, with 169 sites overall. 
The legislation adopted by the committee promotes the expansion 
of the National Writing Project program and increases the 
authorization to $15 million in an effort to expand the reach 
of the program to more teachers.

Parts E and F--The New Century Program for Distributed Teacher 
        Professional Development and the Digital Education Content 
        Collaborative

    The bill reauthorizes and expands the ``Mathline'' program, 
renaming it the ``New Century Program for Distributed Teacher 
Professional Development.'' The ``Mathline'' program has 
provided over 5,000 K-12 math teachers with sustained training 
in the teaching and learning of mathematics. In turn, those 
teachers have reached over 1.3 million students. The provisions 
of part E of the bill expand upon the success of the 
``Mathline'' model with the goal of reaching more teachers in 
other subject areas. In addition, the committee has included an 
additional program, known as the ``Digital Education Content 
Collaborative'' under part F, which will provide high quality, 
curriculum-based digital content for teachers and students to 
easily access in order to meet the State standards for student 
performance. The committee recognizes that the capacity of 
interactive digital content, matched to State standards can 
dramatically increase and improve the types of services public 
broadcasting stations can offer kindergarten through grade 12 
schools and can contribute to student performance by broadening 
access to data, information and programming.

                   Title III--Enrichment Initiatives


Part A--21st Century Community Learning Centers

    The legislation passed by the committee includes a 
reauthorization of the 21st Century Community Learning Center 
program. The 21st Century Community Learning Center program 
remains largely unchanged from current law in recognition of 
the success the program has had in providing increased 
educational, health, social service, cultural and recreational 
activities for people in rural and urban communities throughout 
the Nation. The bill increases the authorization for the 
program to accommodate the increased appropriations the program 
has received in recent years.

Part B--Initiatives for Neglected, Delinquent or At-Risk Students

    The Initiatives for Neglected, Delinquent or At-Risk 
Students program has been reauthorized and moved to Title III 
of the Act. This program is designed to meet the academic and 
skills building needs of at-risk, school-aged youth in all 
States and remains unchanged from current law. Authorized at 
$42 million, the committee strongly supports the continuation 
of this program.

Part C--Gifted and Talented Children

    Funding for the National Center for Research and 
Development in the Education of Gifted and Talented Children 
and Youth is continued in this bill, in recognition of the 
vital contributions of the Center, in supporting, through 
research and dissemination, schools and local educational 
agencies developing strong, accessible programs to serve gifted 
and talented students. The research conducted and analyzed by 
the Center has been a valued resource for schools looking for 
more effective ways to identify and help gifted students from 
populations traditionally under-served and under-represented in 
these programs.
    The purposes of the National Center are to: develop, 
disseminate, and evaluate model projects and activities for 
serving gifted and talented students; to conduct research 
regarding innovative methods for identifying and educating 
gifted and talented students; and to provide technical 
assistance programs that will further the education of gifted 
and talented students. The National Center is funded through 
grants to or contracts with one or more institutions of higher 
education, State educational agencies, or a consortia of such 
institutions and agencies. The Secretary may use up to 30 
percent of the program's funds to pay for the National Center.

Part D--Arts in Education

    On June 29, 1999 the committee held a hearing on arts in 
education. Arts in education programs have proven to be 
effective tools in increasing academic achievement and 
performance for young people. Recent studies have found that 
low-income students with high involvement in the arts had 
higher grades in English, were less likely to drop out of 
school by the 10th grade, were less bored in school, had a 
higher self-concept, and placed a higher value on volunteer 
work than their low-income peers with low arts involvement. In 
an effort to make effective arts in education programs 
available to more students across the country, the committee 
reauthorized the current Federal Arts in Education program, 
moving it from Part D of Title X. The committee recognizes the 
need for students to have the opportunity to learn in, through, 
and about the arts and the value of partnerships between arts 
specialists, classroom teachers, and the resources of arts 
organizations to arts education in the schools.
    The reauthorization bill maintains the successful arts 
education programs of the Kennedy Center and VSA arts which 
support programs and affiliate organizations in nearly all 50 
States. The Kennedy Center supports a network of Alliances for 
Arts Education in 45 States. The alliances provide programs for 
young people in the arts and professional development for 
teachers. In addition, the programs help develop innovative 
collaborations between schools and cultural institutions. VSA 
ARTS currently has affiliates in 41 States and has served 4.3 
million Americans through its programs. Both the Kennedy Center 
and VSA ARTS provide leadership, access to technical 
assistance, and resources as well as an economy of scale at the 
national level to leverage and expand opportunities in the arts 
for young people across the country.
    The committee recognizes that active participation and 
learning in the arts improve overall academic achievement, 
student performance, socialization, and preparation for college 
and the workforce. In reauthorizing the Arts in Education 
program, the committee believes that: arts education should be 
an integral part of the elementary and secondary school 
curriculum for a complete education; the arts make a tremendous 
impact on the developmental growth of every child and have 
proven to level the ``learning field'' across socioeconomic 
boundaries; and the arts teach children the skills necessary to 
succeed in life, including developing an informed perception, 
articulating a vision, learning to solve problems and make 
decisions, building self-esteem and self-discipline, developing 
the ability to imagine what might be, and accepting 
responsibility to complete tasks from start to finish. The arts 
help children develop literacy skills in reading, writing, 
speaking, listening and viewing, and help children achieve a 
high level of competency in using convergent and divergent 
thinking skills, problem-solving skills, and comparing and 
contrasting skills. Participation in performing arts activities 
has proven to be an effective strategy for promoting the 
inclusion of persons with disabilities in mainstream settings. 
Opportunities in the arts have enabled individuals with 
disabilities to participate more fully in school and community 
activities and the arts have had a measurable impact on youth 
at risk in deterring delinquent behavior and truancy problems 
while increasing overall academic performance.
    In Gaining the Arts Advantage, a nationwide study of 91 
school districts that offer arts education to all of their 
students, it reports that the single most important factor 
contributing to the successful delivery of arts education is 
the involvement of community partners. In communities where 
parents and families, artists, arts organizations, businesses, 
local civic and cultural leaders are actively engaged in 
instructional programs, arts education is more successful. The 
National Assessment of Educational Progress (NAEP) in arts 
education demonstrated that students receiving classroom arts 
instruction outperformed other students and that instruction 
increased all of their arts abilities, including the ability to 
create works of quality that communicated complex ideas. The 
bill supports cultural partnerships that use the arts to 
improve academic achievement of at-risk youth. The committee 
recognizes that there is much to be gained from capitalizing on 
the growing body of research that demonstrates the benefits of 
arts education to at-risk students by funding model 
partnerships between schools and arts organizations that 
support arts learning in school and after school. The 
legislation adopted by the committee embraces both a 
comprehensive strategy for a complete education in the arts 
including high-quality, sequential arts instruction in the 
classroom, as well as participation and learning in community-
based arts programs.

Part E--Advanced Placement Program

    The Advanced Placement Program was initially authorized as 
part of the Higher Education Amendments of 1998. The committee 
bill moves the authorization of this program to Title III of 
the Elementary and Secondary Education Act and expands its 
purposes. The committee recognizes that having rigorous 
academic programs available to students provides those young 
people with better preparation for postsecondary study and has 
adopted this program to ensure that the opportunity is 
available to more students.

          Title IV--Safe and Drug-Free Schools and Communities


Part A--State Grants

    The committee has made substantial revisions to the Safe 
and Drug-Free Schools and Communities program in an effort to 
increase the accountability for the use of Federal funds and to 
ensure that effective, research-based programs are funded with 
Federal dollars. By better directing the use of Federal funds 
under this program, it is the committee's intent to improve 
efforts to provide all of our Nation's students a safe and 
nurturing learning environment. Recent tragedies in our 
Nation's schools have heightened attention to the devastating 
impact that an unsafe environment can have on learning. The 
committee believes strongly that every school in this Nation 
should be violence-free as well as drug- and alcohol-free and 
has strengthened the current program to better achieve those 
goals. The committee also believes that involving parents in 
violence and drug prevention programs is important.

Part B--Gun Possession

    The Gun-Free Schools provisions currently contained in part 
F of title XIV are transferred to part B of title IV. These 
provisions, which were first enacted in 1994, require States 
receiving funds under the Elementary and Secondary Education 
Act to have laws requiring local educational agencies to expel 
from school for at least one year any student who brings a 
weapon to school.
    The Report of State Implementation of the Gun-Free Schools 
Act--School Year 1997-98 issued in August 1999 indicates that 
an estimated 3,930 students were expelled for bringing a 
firearm to school. This figure represents a decrease of 
approximately 30 percent from the number of expulsions reported 
for the 1996-97 school year. Fifty-seven percent of the 1997-98 
expulsions involved high school students; 33 percent involved 
junior high students; and the remaining 10 percent involved 
elementary school students.

Part C--School Safety and Violence Prevention

    Part C includes a number of new provisions dealing with: 
school safety and violence prevention activities; school 
uniforms; transfer of school disciplinary records; drug tests 
and locker inspections; employee background checks; disclaimers 
on materials produced with ESEA funding; and memorial services 
at public schools. These provisions are virtually identical to 
provisions dealing with these subjects which were approved by 
the Senate last year as part of the Juvenile Justice 
reauthorization bill (S. 254).

Part D--Environmental Tobacco Smoke

    The bill transfers to part D of title IV the Elementary and 
Secondary Education Act the environmental tobacco smoke 
provisions currently contained in part C of title X of the 
Goals 2000: Educate America Act. These provisions prohibit 
smoking within any indoor facility used for the provision of 
education, routine health care, day care, library services, or 
early childhood development to children.

              Title V--Educational Opportunity Initiatives


Part A--Technology Education

    First authorized as part of the Elementary and Secondary 
Education Act in 1994, the Federal education technology 
programs--Technology Literacy Challenge Fund and the Technology 
Innovations Challenge Grant--have made a significant and 
positive difference in increasing access to technology in our 
public school classrooms. The committee has extended the 
authorization of the ESEA programs in recognition of the 
important role these Federal dollars have had in making 
technology more prevalent and effectively used in our Nation's 
classrooms.
    While the committee was mindful of the extraordinary 
advances made in the area of education technology, the members 
also recognized there is still a long way to go in making 
technology an effective educational tool for all students in 
the nation. The committee passed legislation reaffirms the 
Federal commitment to education technology. It recognizes that 
the current system in place works well and therefore maintains 
that structure in an effort to build upon the current success 
and improve opportunities for more of our Nation's students.
    Throughout the legislation, the committee has incorporated 
provisions related to education technology in recognition of 
the ``next wave'' of education technology, that is effectively 
integrating it into the every day learning activities of the 
student. The committee's actions acknowledge the importance of 
``not separating technology from learning.'' While the 
committee did incorporate language relating to education 
technology throughout the bill, the committee also maintained 
separate funding streams for a number of education technology 
programs in an effort to ensure that the Federal Government 
continues to provide leadership and support for strengthening 
and integrating education technology in classrooms throughout 
the nation.
    The committee heard from expert witnesses about effectively 
integrating technology into the classroom for the benefit of 
students. Thus, the committee focused on integrating technology 
into all programs supported in this legislation and all core 
academic subject areas. The committee also placed a strong 
investment on teacher preparation and leadership and support 
from principals and other school leaders. Planning and 
partnerships were also highlighted by witnesses as being 
important to the successful integration of technology at the 
school, school district and State levels. The bill also 
includes language encouraging and allowing the use of 
technology to promote parental involvement and foster 
communication with parents.
    Based on the testimony from witnesses, the technology 
education program is working effectively, and therefore, the 
committee did not make significant changes to current law. The 
legislation passed by the committee maintains the important 
balance between the ``Technology Literacy Fund'' which provides 
formula grant funds to each State and the ``Technology 
Innovations Grant'' which supports the development of programs 
that may serve as replicable models of success in integrating 
technology effectively into the curriculum. In addition, the 
bill includes language that supports building and strengthening 
partnerships between institutions of higher education and 
school districts so that prospective teachers are better 
prepared to use technology upon entering the classroom. The 
provisions in S. 2 complement the teacher preparation 
initiatives relating to education technology which are included 
in Title II of the Higher Education Act. These provisions 
demand that schools of education improve the instruction that 
they provide to prospective teachers in the effective use of 
technology to enhance educational opportunities for young 
people in elementary and secondary classrooms. Further, as 
schools acquire equipment under the program, high quality 
educational software is equally important in providing the 
learning experiences which electronic learning technologies 
offer. The bill does not include a separate authorization for 
the Community Technology Centers initiative as those activities 
may be carried out by other programs established under this act 
such as 21st Century Community Learning Centers and under other 
Federal acts. The legislation passed by the committee provides 
resources to meet the critical needs that still exist as all 
States and school districts seek to provide better 
opportunities for learning through technology.

Part B--Star Schools

    The Star Schools program has helped encourage and support 
the use of distance learning strategies to serve multi-state 
regions and underserved populations. The committee believes 
that the program has played an important role in improving 
instruction and in providing challenging and advanced 
coursework in critical subjects such as mathematics, science, 
and foreign languages. These distance learning programs have 
been used effectively to provide students in small, rural 
schools and schools with large populations of underserved 
children with courses of instruction that the LEA would 
otherwise not be able to provide. In order to meet the 
challenging educational prerequisites that students and adults 
in the 21st century need to succeed in postsecondary study or 
in the workforce, the committee supports the continuation of 
the Star Schools program which has opened the door of 
opportunity to many young people in rural and underserved 
communities to more rigorous and diverse course offerings, 
college-level programs, second languages, and advanced 
placement. The committee also modernized the program by 
authorizing the use of funds for the establishment of web-based 
resources for interactive training and reaching large numbers 
of schools.

Part C--Magnet Schools Assistance Program

    The Magnet Schools Assistance Program (MSAP) provides 
competitive grants to local educational agencies (LEAs) for 
magnet schools that are intended to reduce, eliminate, or 
prevent minority group isolation in elementary and secondary 
schools and to strengthen students' knowledge of academic or 
vocational subjects. In order to be eligible for a grant, an 
LEA must be a participant in a court-ordered or voluntary 
desegregation plan. Magnet schools provide a special curriculum 
intended to be attractive to substantial numbers of students of 
different races. In addition to providing funds to operate 
magnet programs designed to promote desegregation and student 
achievement, the MSAP can provide leverage to school districts 
in building local capacity to continue and expand programs.
    The number of magnet schools has increased dramatically 
since the enactment of the MSAP, with approximately two million 
students nationwide now attending such schools, of which more 
than 65 percent of the students are nonwhite. Magnet schools 
allow children from diverse social, economic, ethnic and racial 
backgrounds to participate together in high quality public 
schools with a specialized curriculum. Magnet schools offer a 
wide range of distinctive programs that have served as models 
for school improvement efforts.
    The ethnic and racial segregation that exists in the 
Nation's schools is attributable to a number of causes, but 
primarily a result of the substantial residential segregation 
in our communities. In many major metropolitan areas of the 
country, residential segregation is so stark that more than 70 
percent of the minority residents would have to change their 
residence in order for there to be an even distribution of 
minority residents throughout the metropolitan area. The 
extreme racial and ethnic residential segregation that 
currently exists in the Nation results in virtually all 
minority and all majority enclaves. For example, almost one-
half of minority students attend schools with 75 percent or 
more minority students and almost one-third of non-minority 
students attend schools with less than 10 percent minority 
students. It is common that children of one racial or ethnic 
group rarely interact with children of another. Racial and 
ethnic residential segregation has the corresponding effect of 
exacerbating the concentration of poverty in communities and in 
local schools. This concentration of poverty is a key factor in 
adversely affecting the quality of education available to 
children.
    Title V of S. 2 reauthorizes the Magnet Schools Assistance 
Program and includes several new elements designed to: improve 
the capacity of local educational agencies to continue 
operating magnet schools after the grant has ended; increase 
the allowable use of funds for planning; clarify the critical 
role of professional development; and enhance the quality of 
the program. The authorization in fiscal year 2001 is $125 
million and such sums as may be necessary for each of the four 
succeeding fiscal years.
    The findings section of the bill, which has been revised 
and shortened, summarizes the importance of magnet schools in 
achieving desegregation in our Nation's schools and affirms the 
Federal Government's support of this program. The bill retains 
the existing statement of purpose which is to provide financial 
assistance to eligible local educational agencies for: (1) the 
elimination, reduction, or prevention of minority group 
isolation; (2) the development and implementation of magnet 
school projects that will assist local educational agencies in 
achieving systemic reform and providing all students the 
opportunity to meet challenging State content and student 
performance standards; (3) the development and design of 
innovative educational methods and practices; and (4) courses 
of instruction that will strengthen knowledge of academic and 
vocational subjects. In addition, the bill adds two new 
purposes of the program, including (5) to improve the capacity 
of local educational agencies, through professional 
development, to continue operating magnet schools at a high 
performance level after Federal funding is terminated; and (6) 
to ensure that all students enrolled in the magnet school 
program have equitable access to high quality education that 
will enable the students to succeed academically and continue 
with post secondary education or productive employment.
    Consistent with current law, priority is given to 
applicants who demonstrate the greatest need; who propose to 
carry out new or significantly revised magnet schools projects, 
who propose to serve a wide range of students by basing student 
selection on multiple criteria rather than relying solely on 
academic examination, and who propose to implement innovative 
educational approaches that are consistent with State and local 
content and student performance standards. In addition, the 
bill includes a new priority for those applicants who propose 
activities, which may include professional development, that 
will build local capacity to operate the magnet school program 
once Federal assistance has ended.
    The current law lists four uses of funds: (1) planning; (2) 
acquisition of books and materials; (3) payment or 
subsidization of the compensation of teachers and instructional 
staff who are necessary for the conduct of the program; and (4) 
for schools whose magnet program does not include all students 
enrolled in the school. S. 2 adds 3 new uses of funds to those 
in current law. Grant funds may be used: (1) for professional 
development in order to build the capacity to operate the 
magnet school once Federal assistance has terminated; (2) to 
enable the local educational agency to have more flexibility in 
the administration of a magnet school program in order to serve 
students attending a school who are not enrolled in a magnet 
school program; and (3) to enable the local educational agency 
to have flexibility in designing magnet schools for students of 
all grades. The addition of professional development as a use 
of funds is particularly important. Clarification is needed in 
the law regarding professional development as a separate 
activity from planning. Therefore, it is the committee's intent 
that professional development be considered a core use of 
funds, and not as planning. Trained, qualified teachers and 
staff are critical to the success of magnet school as well as 
any other school and these changes ensure that the magnet 
schools law reflects these priorities.
    As in current law, the bill prohibits grantees from using 
magnet school funds for transportation or any other activity 
that does not augment academic improvement. However, the ban on 
using funds for planning after the third year of receiving a 
grant has been removed. In addition, the bill modifies the 
current limitation on planning funds, and increases the limits 
on planning in the second and third year to 25 percent and 15 
percent, respectively. This change recognizes the critical 
importance of planning in maintaining as well as implementing 
innovative education strategies.
    The Innovative Programs component of the MSAP, designed to 
foster meaningful interaction among students of different 
racial and ethnic backgrounds, has been updated to better 
reflect the direction of this program. The bill states that an 
innovative program is one that involves innovative strategies 
other than magnet schools, such as neighborhood or community 
model schools, to support desegregation of schools and to 
reduce achievement gaps. The new language clarifies an 
innovative program as one that assists in achieving systemic 
reform and provides all students with the opportunity to meet 
challenging content and student performance standards.
    Finally, the evaluation section of this part lists what 
each evaluation shall address. As in current law, the bill 
lists several issues to be evaluated, including: (1) how magnet 
school programs lead to educational quality and improvement; 
(2) the extent to which magnet school programs enhance student 
access to quality education; (3) the extent to which magnet 
school programs lead to the elimination, reduction, or 
prevention of minority group isolation in schools with 
substantial proportions of minority students; and (4) the 
extent to which magnet school programs differ from other school 
programs in terms of organizational characteristics and 
resource allocations. The bill adds a fifth area to evaluate, 
and that is the extent to which magnet school programs continue 
once the grant has ended. In addition, a dissemination 
component is added to the bill, which states that the Secretary 
shall collect and disseminate information on successful magnet 
school programs to the general public.

Part D Public Charter Schools

    S. 2 reauthorizes the Public Charter Schools provisions in 
the legislation and maintains current law, while including an 
increase in the authorization level to $175 million. Last 
considered in 1998, the Charter School program was amended to 
increase and strengthen accountability, promote dissemination, 
and support technical assistance, evaluation and research on 
model charter school programs.

Part E--Women's Educational Equity Act

    The Women's Educational Equity Act (WEEA), which was 
created in 1974, provides grants for the operation of programs 
promoting educational equity for girls and women and assists 
institutions in meeting the requirements of Title IX of the 
Education Amendments of 1972. Approximately two-thirds of WEEA 
funds are used to support local projects. The remaining funds 
are used for technical assistance, dissemination, and research 
and development. A resource center conducts the technical 
assistance and dissemination activities. Fiscal year 2000 
appropriations for the act are $5 million.
    The bill extends WEEA through fiscal year 2005 and makes 
minor changes designed to clarify and update provisions of the 
existing law. The proposal is based on recommendations included 
in S. 1264, ``Educating America's Girls Act,'' introduced by 
Senators Snowe and Kennedy. A funding level of $5 million is 
authorized for fiscal year 2001, with such sums as may be 
necessary authorized in the 4 succeeding fiscal years.

Part F--Civic Education

    The civic education provisions of S. 2 combine the Civic 
Education program currently authorized as part F of title X and 
the International Education Exchange Program currently 
authorized under Title VI of Goals 2000: Educate America Act. 
The Civic Education program provides support for programs 
related to instruction on the basic principles of our 
constitutional democracy and the history of the Constitution 
and the Bill of Rights. Fiscal year 2000 appropriations for the 
program are $9.85 million. The International Education Exchange 
program provides support for education exchange activities in 
civics and government education and in economic education 
between the United States and eligible developing countries. 
Its purpose is to support democracy and free market economies. 
Fiscal year 2000 appropriations for the program are $7 million.
    The bill extends the civic education and international 
education exchange programs through fiscal year 2005 and makes 
revisions in them based on recommendations included in S. 1642, 
the ``Education for Democracy Act,'' introduced by Senators 
Cochran and Dodd. The civic education provisions include 
support for the ``We the People * * * The Citizen and the 
Constitution'' program which has been administered by the 
Center for Civic Education since 1985 and for the ``We the 
People * * * Project Citizen'' program. In addition to the 
instructional activities and simulated hearings currently 
authorized, S. 2 expands program activities to include advanced 
teacher training, the utilization of technology, and the 
development of civic education materials designed to address 
specific problems--such as school violence. In his introductory 
remarks to this legislation, Senator Cochran noted:

          The Popularity of We the People is demonstrated by 
        the 82,000 teachers and the 26.5 million students who 
        have participated since its beginning. Studies by the 
        Education Testing Service have repeatedly indicated 
        that We the People participants outperform other 
        students in every area tested. In one, We the People 
        high school students outscored university sophomore and 
        junior political science students in every topic.
          A Stanford University study showed that these 
        students develop a stronger attachment to political 
        beliefs, attitudes and values essential to a 
        functioning democracy than most adults and other 
        students. Other studies reveal that We the People 
        students are more likely to register to vote and more 
        likely to assume roles of leadership, responsibility 
        and demonstrate civic virtue.

    The international education exchange provisions of the bill 
extend current law provisions with minor change. Grantees, in 
consultation with the Secretary of State, offer exemplary 
curriculum and teacher training to educators from eligible 
developing countries. They also sponsor seminars and site 
visits and develop related programs for United States students.
    The bill authorizes $10 million for civic education and $10 
million for international education exchange in fiscal year 
2001 and ``such sums as may be necessary'' for each of the 4 
succeeding fiscal years.
    In addition, S. 2 includes language encouraging all schools 
to dedicate a day of learning for the study of the Declaration 
of Independence, the United States Constitution, and the 
Federalist Papers in the recognition of the importance of 
assuring our Nation's students have a solid understanding of 
the documents which comprise the foundation of our democracy. 
This language is drawn from S. Con. Res. 37, introduced by 
Senator Sessions.

Part G--Fund for the Improvement of Education

    The Fund for the Improvement of Education (FIE), currently 
authorized as part A of title X, provides the Secretary with 
broad authority to support nationally significant programs and 
projects designed to improve the quality of education. Under 
current law, FIE includes a lengthy list of activities which 
may be supported under the program and provides specific 
authorities for character education, elementary school 
counseling, smaller learning communities, scholar-athlete 
competitions, mock election programs, and model projects. 
Fiscal year 2000 funding for FIE is $243.9 million.
    The committee bill eliminates the current list of 
discretionary activities and limits FIE funding to support 
programs with specific authorities under the part, as well as 
the identification of exemplary schools and programs--such as 
Blue Ribbon Schools--and the development and evaluation of 
model strategies for professional development for teachers and 
administrators--such as Christa McAullife Fellowships. The 
Comprehensive School Reform Program currently funded under FIE 
is transferred to part F of title I. The model projects 
authority, which has not been funded, is repealed. The 
currently funded authorities relating to elementary school 
counseling, smaller learning communities, scholar-athlete 
competitions, and mock election programs are extended through 
fiscal year 2005 with minor revisions. More extensive revisions 
are made to the character education program, which is also 
extended through fiscal year 2005.
    Specifically, the elementary school counseling provisions 
are revised to update the definitions of ``school 
psychologist'' and ``school social worker.'' The smaller 
learning community provisions are revised to expand the pool of 
eligible applicants to include not only local educational 
agencies but also an elementary or secondary school, a Bureau 
funded school, or any of these entities in partnership with 
other public agencies or private nonprofit organizations and to 
add new provisions requiring recipients to submit an annual 
report to the Secretary which describes the use of grant funds 
and evidence of the impact of the grant on student performance 
and school safety. The national student and parent mock 
election provisions are revised to expand participation by 
including students and parents from the Territories, Department 
of Defense Dependent schools, and other international locales 
where Americans are based and to require that all votes be 
recorded at least 5 days prior to the date of the general 
election.
    With respect to character education, the committee 
recognizes that schools and communities are challenged as never 
before by demands for safety, academic achievement, and a 
technologically sophisticated student body. An important way to 
meet these challenges is through comprehensive character 
education programs. By integrating the values of caring, 
respect, responsibility, trustworthiness, citizenship and 
family, character education programs help meet the needs of the 
whole child, improving self-esteem and decision-making skills, 
while increasing the likelihood of academic success and 
thoughtful, productive citizenship.
    Since its inception in 1994, the Character Education 
Partnership Pilot Program has provided crucial support to 
States across the country in developing and implementing local 
character education program. In the past 6 years, character 
education has spread beyond the boundaries of a few isolated 
programs to schools all across the country. These schools have 
seen an appreciable improvement in school climate; a reduction 
in discipline problems, truancy and delinquency; and an 
increase in overall student achievement. Federal dollars have 
provided the seed money to get these efforts off the ground.
    The committee believes that this success merits expansion 
of the program to provide grants directly to local school 
districts, as well as continuing grants to state and local 
partnerships. In addition, the committee recognizes the 
importance of national activities to support these effective 
state and local programs and has included in S. 2 new 
provisions regarding national research, evaluation, and 
dissemination. Up to 5 percent of the funds available for 
character education may be used for these purposes.
    The committee bill authorizes $100 million for all FIE 
activities for fiscal year 2001 and such sums as may be 
necessary in the 4 succeeding fiscal years.

Part H--Allen J. Ellender Fellowship Program

    The Allen J. Ellender Fellowship Program, currently 
authorized as part G of title X, is extended through fiscal 
year 2005 without major change. The fiscal year 2000 
appropriations for the program are $1.5 million. This program 
makes an award to the Close Up Foundation to provide 
fellowships to students from low-income families and their 
teachers to allow them to participate in one week of seminars 
on government and meetings with representatives of all three 
branches of the Federal Government. Similar activities designed 
to increase the understanding of the Federal Government are 
made available to older Americans, recent immigrants, and 
children of migrant parents. In 1999, approximately 2,800 
fellowships were awarded under the program. The bill provides 
an authorization level of $1.5 million for fiscal year 2001 and 
such sums as may be necessary for the 4 succeeding fiscal 
years.

Part I--Ready-to-Learn Television

    Ready-to-Learn Television was enacted in 1992 to address 
the problem, identified by Dr. Ernest Boyer in his Carnegie 
Foundation report, of an alarmingly high number of children who 
enter school without the skills to learn. Their lack of 
preparation presents enormous obstacles to their education and 
raises impossible roadblocks for learning basic skills. Ready-
to-Learn is a worthwhile answer to that crisis. It links the 
power of television to the world of books. It helps young 
children improve the quality of the time they spend watching 
television and turns the old roadblocks into new building 
blocks for successful early learning.
    The committee finds that Ready-to-Learn has earned 
bipartisan support and has proven to be an effective program in 
addressing this serious problem. The committee recommends its 
continued authorization and expansion.

Part J--Inexpensive Book Distribution Program

    This title provides an authorization for the ``Reading is 
Fundamental'' (RIF) program. RIF makes books available to 
students and supports literacy initiatives in a variety of 
settings including schools, child care centers, libraries, 
hospitals and homeless centers. The committee recognizes that 
reading and literacy skills are at the heart of learning and 
continues to support this national model of excellence in this 
ESEA reauthorization bill.

                     Title VI--Innovative Education

    Title VI of the bill includes a broad array of flexibility 
options for States and localities. The existing title VI 
program is expanded to incorporate funding currently provided 
through the Goals 2000: Educate America Act. A variety of 
provisions dealing with waivers, program coordination, and 
related authorities are incorporated into title VI, permitting 
State and local officials to find in one place the options 
available to them. In addition, new provisions included as 
parts B (Rural Flexibility), G (Education Performance 
Partnerships), and H (Academic Achievement for All 
Demonstration) of the title offer additional opportunities to 
combine Federal education funds in ways which will make the 
most effective use of these funds in meeting the individual 
needs of schools and students.

Part A--Innovative Education Program Strategies

    The purpose of part A of title VI is to provide funds to 
local educational programs for the implementation of 
initiatives that support school improvement and reform efforts 
with the goal of advancing student performance. To accomplish 
this purpose, States allocate funds to local school districts 
for an array of activities such as professional development, 
technology, and library services.
    Title VI was created almost 20 years ago in response to the 
calls from State and local educational agencies that they be 
given the flexibility to respond to the education reform needs 
of their local communities. It remains the most flexible source 
of education funds provided by the Federal Government. The 
Title VI Effectiveness Evaluation for 1998 prepared by the 
Title VI National Steering Committee included the following 
observation from an Arkansas school district official:

          Title VI is the only Federal program where schools 
        can actually use money that isn't previously directed 
        to a need identified by those outside the school. As 
        our needs change, the program has the flexibility to 
        change with us. The funds are most beneficial when they 
        are used with other funding sources to work toward 
        improving targeted areas identified by the district.

    The committee bill increases the current funding level for 
the Innovative Education Program Strategies section, 
authorizing $850 million for fiscal year 2001. This increased 
funding is achieved by combining funds from Goals 2000 State 
Grants Program--which is repealed in the bill--and the annual 
allocation for the current title VI program. In fiscal year 
2000, funding for the current title VI program is $365.8 
million.

Part B--Rural Flexibility

    Part B is one of the new flexibility initiatives included 
in title VI and is based on S. 1225, the ``Rural Education 
Initiative Act,'' introduced by Senator Collins. The purpose of 
this part is to provide adequate funding to rural school 
districts to enhance their ability to recruit and retain 
teachers, strengthen the quality of instruction, and improve 
student achievement. Through flexibility provisions and a 
supplemental grant program, rural school districts will have 
the ability to maximize their resources for implementation of 
education reform strategies.
    Subpart I, the Rural Educational Achievement Program, is 
designed to address 2 unique problems facing small, rural 
districts. The Elementary and Secondary Education Act 
authorizes formula and competitive grants that allow many of 
our local school districts to improve the education of their 
students. These Federal grants support efforts to promote such 
laudable goals as the professional development of teachers, the 
incorporation of technology into the classroom, gifted and 
talented programs and making sure our schools provide safe 
learning environments for our children. Schools receive several 
categorical grants supporting these programs, each with its own 
authorized activities and regulations and each with its own red 
tape and paperwork.
    Unfortunately, as valuable as these programs may be for 
thousands of predominantly urban and suburban school districts, 
they simply do not work well in rural areas. This is because 
the grants are based on school district enrollment. 
Unfortunately, these individual grants confront smaller schools 
with a dilemma; namely, they simply may not receive enough 
funding from any single grant to carry out meaningful 
activities. Part B will allow a district to combine the funds 
from four categorical programs and use the funds to support 
projects that bring about improved academic achievement.
    Small Rural Schools face equally difficult challenges when 
attempting to compete for competitive grants. These schools 
must dedicate all of their resources to the primary task of 
educating students. They lack the personnel and resources to 
prepare successful applications.
    In response to these challenges, Part B permits rural 
school districts with enrollments of fewer than 600 students to 
combine funds from titles II, IV, and VI and apply these funds 
toward local initiatives designed to improve student 
achievement. In addition, participating localeducational 
agencies are eligible to receive a supplemental grant that, when 
combined with other Federal dollars, will enable these small rural 
schools to offer programs and activities of sufficient size, scope, and 
quality to have a significant impact upon student and school 
performance.
    Subpart II, the Low-Income and Rural School Program, is 
designed to meet the needs of rural school districts serving 
large numbers of disadvantaged students. Local educational 
agencies residing in rural communities are eligible to receive 
funds from this program if 20 percent of the children they 
serve are from families living below the poverty level.
    A funding level of $125 million is authorized to support 
these programs during fiscal year 2001.

Parts C through F--General Flexibility Authorities

    Parts C through F of title VI contain flexibility 
authorities included in current law which are moved to a single 
title for ease of reference.
    Part C includes the provisions of the Education Flexibility 
Partnership Act, which was signed into law in 1999 (Public Law 
106-25) as a free-standing bill. This act allows State 
educational agencies to waive certain Federal requirements, 
along with related State requirements, for the purpose of 
raising the achievement of all students.
    Part D includes the ``Flexibility in the Use of 
Administrative and Other Funds'' currently included as part B 
of title XIV. These provisions permit States and localities to 
consolidate administrative funds from several Federal programs.
    Part E includes the ``Coordination of Programs; 
Consolidated State and Local Plans and Applications'' 
provisions currently included as part C of title XIV. These 
provisions permit the submission of a single plan for several 
different programs at both the State and local levels.
    Part F includes the waiver provisions currently included as 
part D of title XIV. These provisions offer broad authority for 
the waiver of statutory or regulatory requirements of the act 
in order to increase the quality of instruction or improve 
academic performance.

Part G--Education Performance Partnerships

    Part G includes one of the significant steps taken by the 
committee to increase flexibility in exchange for greater 
accountability. The committee has taken these steps in the 
recognition that national programs which offer assistance for 
specific activities are limited in their ability to capture the 
diversity of individual needs in States and localities 
throughout the country.
    Among these steps are two new initiatives included in title 
VI which are designed to permit states and localities to make 
the most effective use of the federal funds available to them. 
The first of these initiatives is the performance partnership 
provisions included in part G, which are based on a bipartisan 
proposal developed by the National Governors Association (NGA). 
In a February 28, 2000, letter to Chairman Jeffords, the 
Chairman (Governor Mike Huckabee) and Vice Chairman (Governor 
James B. Hunt Jr.) of the Human Resources Committee of the 
National Governors Association (NGA) noted:

          * * * The Governors support an education system that 
        focuses on performance, is aligned with state 
        standards, and incorporates strong accountability 
        mechanisms. To this end, Federal education resources 
        must be accompanied by broad flexibility to ensure that 
        those who work within the education system can be held 
        accountable for the results they achieve. NGA believes 
        that the substitute bill takes an important step in 
        moving Federal elementary and secondary education 
        programs in this direction.* * *

    Under the performance partnership provisions, any State has 
the opportunity to combine the funds it receives from Federal 
education formula grants to tailor activities which will 
increase the academic achievement of its students. This 
approach will permit a States to focus funding in the areas in 
which its particular needs are greatest and which hold the 
greatest promise of success. In addition, it would permit 
States to operate under a single set of rules--allowing for the 
integration of State and Federal reform efforts.
    In exchange for this broad flexibility, a State must meet 
tough accountability standards which demonstrate progress in 
increasing academic achievement and in narrowing the gap 
between its lowest and highest achieving students. If a State 
chooses not to participate, any local educational agency in 
that State may do so.
    Participating States or local educational agencies will 
enter into performance partnership agreements with the 
Secretary of Education, which will include student performance 
goals for the 5-year term of the agreements. Part G sets out a 
timetable for negotiations between the State and the Secretary 
and provides for a peer-review process in the event that the 
agreement is rejected by the Secretary.
    Under a performance partnership agreement, a State may 
combine funds under all or any combination of formula grant 
programs listed in part G. These programs include: (1) 
Improving Basic Programs Operated by Local Educational Agencies 
(part A of title I); (2) Even Start; (3) Migrant Education; (4) 
Demonstrations of Innovative Practices (section 1502); (5) 
Teacher Empowerment Grants to States, Subgrants to Eligible 
Partnerships, and Subgrants to Local Educational Agencies; (6) 
Initiatives for Neglected, Delinquent, or At Risk Students; (7) 
Technology Literacy Fund; (8) Innovative Education; (9) 
Emergency Immigrant Education; (10) any other State formula 
grant program authorized under the Elementary and Secondary 
Education Act which was not in effect prior to the date of 
enactment of the Educational Opportunities Act; (11) Class-Size 
Reduction; (12) State and Local Education Systemic Improvement 
(title III of the Goals 2000: Educate America Act); and (13) 
Education for Homeless Children and Youth.
    In many respects, performance partnerships are a logical 
extension of the Education Flexibility Partnership (``Ed 
Flex'') provisions signed into law last year with the near-
unanimous support of this committee and the full Senate. The 
list of programs subject to increased flexibility are similar, 
with the notable differences being that performance 
partnerships may include the homeless education program but may 
not include Safe and Drug Free Schools and Communities programs 
or programs authorized under the Carl D. Perkins Vocational 
Technical Education Act. In addition, the performance 
partnership provisions include authority relating to formula 
grant programs added to the Elementary and Secondary Education 
Act in the future. The list of program requirements which may 
not be waived is identical in the two authorities.
    Performance partnerships take a step beyond Ed Flex, 
however, in that no program requirements other than those 
specifically mentioned in part G will apply to the funds 
combined under the partnership agreement. These funds may be 
used for any educational purpose designed to improve student 
achievement. Under Ed Flex, program requirements may be waived, 
but funds must be used to meet the specific purposes of the 
Federal programs included in the waiver authority.
    Part G includes special provisions related to the targeting 
of funds in cases where a performance partnership agreement 
includes funds from part A of title I. In those cases, a State 
must maintain the current formula for distributing those funds 
to schools and school districts.
    Accountability requirements also vary between performance 
partnership agreements which include part A of title I funds 
and those which do not. In both cases, however, States must 
establish rigorous performance goals which: establish high 
standards for all students; include annual goals for improving 
the performance of each group of students (disaggregated by 
race, ethnicity, English proficiency status, and socioeconomic 
status) and for narrowing achievement gaps; and require all 
students to make substantial gains in achievement.
    At the end of the third year of the agreement, the 
Secretary will conduct a performance review of the State's 
progress in meeting its goals and is to make recommendations 
for improvement in cases where progress is inadequate. In those 
cases, the Secretary will conduct a second review the following 
year and may either withhold a percentage of State 
administrative funds or terminate the agreement if problems 
persist. In instances where the review shows that student 
achievement in the State has declined significantly, the 
Secretary will terminate the agreement.
    The accountability requirements included in part G are 
stringent, and it is the intent of the committee that they be 
fully met by the States and local educational agencies which 
are permitted maximum flexibility in the use of Federal funds.
    Part G also provides a directed appropriations of $2.5 
billion for a bonus award fund. The award fund is intended to 
serve as a strong incentive to States to increase the academic 
achievement of their lowest performing students, and the $2.5 
billion in funding is made mandatory in order to guarantee that 
all States which make significant progress in eliminating 
achievement gaps over a 5-year period will receive bonus 
awards. To qualify, a State must reduce the achievement gap 
between its lowest and highest performing students in at least 
3 of 4 measured categories by a percentage that exceeds the 
national average. The measured categories include math and 
English at the 4th- and 8th-grade levels. Performance is to be 
measured either by National Assessment of Educational Progress 
tests or by another non-State auditing device. All States are 
eligible to compete for bonus awards--whether or not they 
choose to enter into performance partnership agreements.

Part H--Academic Achievement for All Demonstration

    A second State flexibility option is provided in part H of 
title VI, the Academic Achievement for All Demonstration. The 
committee approved an amendment by Senator Gregg to include 
part H, the provisions of which are similar to those of 
legislation (H.R. 2300) approved by the House of 
Representatives last year.
    Like part G, part H is intended to provide States and local 
educational agencies with maximum flexibility in the use of 
Federal education formula grant funds in exchange for strong 
accountability for improving student achievement through 5-year 
agreements. There are a number of differences in the specific 
approaches to achieving this objective, the most significant of 
which relate to the number of participants, the role of the 
Secretary, and the distribution of funds made available under 
part A of title I.
    Participation in the demonstration program established by 
part H is limited to the first 15 States to submit approvable 
applications. If a State chooses not to participate in either 
part G or part H, any local educational agency in that State 
may do so.
    The performance agreement submitted by the State is not 
negotiated with the Secretary. Rather, the Secretary must 
approve the agreement within 60 days unless it is incomplete.
    If part A of title I funds are included in the agreement, 
the State must provide each local educational agency an amount 
at least equal to the part A funds the agency received in the 
fiscal year preceding the one in which the performance 
agreement took effect. Unlike the part G requirements, a 
participating State is not required to maintain Federal 
targeting of funds to local educational agencies above the 
hold-harmless amount or to the school level.
    The list of programs from which a State can choose to 
combine funds is similar to the list included in part G, with 
the exceptions being that selected vocational education 
programs may be included in a part H agreement and no reference 
is made to new formula grant or Goals 2000 programs.
    Accountability requirements vary among performance 
agreements which include any title I funds, those which include 
part A of title I funds, and those which do not include title I 
funds at all. If title I funds are not included, States must 
establish performance goals which: establish a single high 
standards for all students; include annual goals for improving 
student performance in each subject and grade included in State 
assessments; compare student performance from one year to the 
next by grade level; and require all students to make 
substantial gains in achievement. States which include title I 
funds must meet several additional requirements, including the 
establishment of numerical student performance objectives and 
the disaggregation of assessment data by race, ethnicity, 
gender, English proficiency status, migrant status, and 
economic disadvantage. Annual numerical goals for improving the 
performance of students for which data is disaggregated and for 
narrowing the achievement gap must also be established by those 
States including part A funds in their agreements.
    As is the case with part G, the Secretary has the authority 
to terminate an agreement under certain circumstances and must 
do so if a State has not substantially met its performance 
goals at the end of the 5-year term. In those cases, the 
Secretary may also reduce up to half of State administrative 
funds for the programs included in the agreement in each of the 
2 years following termination.
    Part H also includes provisions for rewards to States which 
reduce achievement gaps, with the rewards being limited to 
States with performance agreements. The reward amount is equal 
to 5 percent of the funds allocated to the State for the first 
year of the performance agreement for programs included in the 
agreement. To qualify a State must either: (1) reduce by at 
least 25 percent the difference between the percentage of the 
highest and lowest performing groups of students for which data 
is disaggregated that meet the State's proficient level of 
performance in at least two content areas and at least two 
grade levels or (2) increase by 25 percent the proportion of 
two or more groups of students for which data is disaggregated 
that meet the proficient level. One of the two content areas 
must be math or reading. The Secretary is required to set aside 
sufficient funds under the Fund for the Improvement of 
Education to cover reward amounts to qualifying States.

                     Title VII--Bilingual Education

    The Bilingual Education program is designed to provide 
educational assistance to students with limited English 
proficiency. Funds awarded under this program help students 
with limited English proficiency to meet challenging State 
standards. S. 2 repeals the authorization for Program 
Development and Implementation grants and weaves the purposes 
of the program into other bilingual initiatives funded under 
this title. The committee also decided to combine Comprehensive 
School grants and System-wide Improvement grants into one 
program. Grants awarded under this initiative will be used for 
such activities as improving instructional programs, training 
school personnel, and implementing family education or parent 
outreach programs.
    One significant change the committee has included in the 
reauthorization pertains to grant priority. In awarding grants, 
the Secretary shall give priority to an applicant: (1) who 
experiences a dramatic increase in the number or percentage of 
limited English proficient students enrolled in the applicant's 
program and has limited or no experience in serving limited 
English proficient students; (2) that is a local educational 
agency that serves a school district with a total enrollment 
less than 10,000 students; (3) who demonstrates a proven record 
of success inhelping limited English proficient students; (4) 
who proposes initiatives that provide for the development of bilingual 
proficiency both in English and another language for all participating 
students; or (5) who serves a school district in which a large 
percentage or number of limited English students is enrolled.
    S. 2 retains the State grant program. The committee 
believes that it is important to increase the minimum funding 
level from $100,000 to $200,000. $300 million has been 
authorized for part A bilingual programs for fiscal year 2001.
    The Foreign Language Assistance program provides 
competitive grant assistance to State or local educational 
agencies to provide foreign language study for elementary and 
secondary school students. S. 2 extends this program through 
fiscal year 2005 and adds provisions giving special 
consideration to grant applications which make effective use of 
technology, promote innovative activities, or are carried out 
through a consortium.
    The Emergency Immigrant Education program provides funds to 
local educational agencies that experience unexpectedly large 
increases in their student populations due to immigration to 
assist with the education of those students. The committee 
raised the authorization level for fiscal year 2001 to $200 
million.

                         Title VIII--Impact Aid


                               Background

    Impact Aid programs provide assistance to school districts 
that are financially burdened as a result of activities of the 
Federal Government for the education of federally connected 
children or due to the presence of Federal property. Total 
fiscal year 2000 appropriations for impact aid is $906.5 
million. Separate funding authorities are provided for the 
major activities supported under title VIII. These include:
          (1)  Payments relating to Federal property (Section 
        8002). This section authorizes payments to school 
        districts due to federal ownership of property. The 
        Federal Government must have acquired the property 
        after 1938, and the assessed value of the property at 
        the time it was acquired must have represented at least 
        10 percent of the assessed value of all the district's 
        real property. Federal property is exempt from local 
        property taxes, which are a major source of support for 
        schools. Impact aid payments assist in making up for 
        the revenue foregone as a result of the Federal 
        presence. In fiscal year 2000, section 8002 payments 
        are being provided to 245 school districts. Fiscal year 
        2000 appropriations: $32 million.
          (2)  Basic support payments for eligible federally 
        connected children (Section 8003(b)). Federally 
        connected children include children of members of the 
        Armed Forces (living on or off the military base); 
        children who live on Indian lands; children who live in 
        low-rent housing; and children of civilians who work 
        and/or live on federal land. A ``weight'' is assigned 
        to each category of children. The weights are intended 
        to reflect differences in tax revenues lost and 
        educational costs and are one of the factors used in 
        the calculation of award amounts to local educational 
        agencies. In fiscal year 2000, basic payments are 
        provided to approximately 1,400 local educational 
        agencies serving over 1.2 million federally connected 
        children. Fiscal year 2000 appropriations: $737.2 
        million.
          (3)  Children with disabilities (Section 8003(d)). 
        This subsection provides additional funds for federally 
        connected children with disabilities. The additional 
        funds are to be used in accordance with the provisions 
        of the Individuals with Disabilities Education Act. In 
        fiscal year 2000, 831 school districts are receiving 
        payments on behalf of about 52 million children under 
        this subsection. Fiscal year 2000 appropriations: $50 
        million.
          (4)  Additional assistance for heavily impacted local 
        educational agencies (Section 8003(f)). Under current 
        law, a separate authority is provided for payments to 
        local educational agencies which enroll large numbers 
        or proportions of federally connected students. (As 
        noted below, S. 2 folds payments to heavily impacted 
        districts into the basic payments subsection of the 
        act.) In fiscal year 2000, 27 school districts are 
        receiving payments under this authority. Fiscal year 
        2000 appropriations: $72.2 million.
          (5)  Construction (Section 8007). This section 
        authorizes funds for the construction and renovation of 
        school facilities for the local educational agencies 
        with enrollments comprised of at least 50 percent 
        children living on Indian lands or with a parent in the 
        uniformed services and heavily impacted local 
        educational agencies. Authority is also provided for 
        payment to districts receiving assistance under section 
        8006 (``Payments for Increases in Military 
        Dependents''), but funding has never been provided for 
        this section. Payments are determined by ratably 
        distributing available funds among eligible local 
        educational agencies according to the relative weighted 
        count of federally connected students. In fiscal year 
        2000, approximately 150 local educational agencies 
        receive payments under this section in an average 
        amount of $46,667. Fiscal year 2000 appropriations: 
        $10.1 million.
          (6)  Facilities (Section 8008). This section 
        authorizes assistance for school facilities (both 
        emergency repairs and comprehensive capital 
        improvements) supported under the old section 10 
        program. These schools are owned by the Department of 
        Education and are used by local educational agencies to 
        educate federally connected military students. There 
        are 118 schools owned by the Department of Education 
        and located on military bases. Since 1983, the 
        Department of Defense has taken responsibility for the 
        maintenance and operation of 68 of these schools (known 
        as Domestic Dependents Elementary and Secondary 
        Schools). The Department of Education is responsible 
        for the remaining 50 schools. Fiscal year 2000 
        appropriations: $5 million.

                           Provisions of S. 2

    The committee bill extends currently funded impact aid 
programs through fiscal year2005. Unfunded authorities for 
special additional payments for local educational agencies with high 
concentrations of children with severe disabilities and for sudden and 
substantial increases in attendance of military dependents are 
repealed.
    A significant initiative included in S. 2 is the expansion 
of the current construction authority to include a facilities 
modernization component. These provisions are based on 
recommendations included in S. 897, the ``Federally Impacted 
School Improvement Act,'' introduced by Senators Baucus and 
Hagel. The purpose of this expansion is to provide badly needed 
assistance for schools serving large proportions of children 
living on or near Federal property which are located in 
districts which have no bonding authority or are at their limit 
for bonded indebtedness. Most of these children reside on 
Indian lands or are military dependents. Because of the Federal 
presence, these districts have limited--if any--access to tools 
such as local mill levies which are normally used by school 
districts to address school construction and repair needs. As a 
consequence, many of these school facilities are in serious 
disrepair and pose very real health and safety concerns. The 
committee bill authorizes $62.5 million in fiscal year 2001 for 
construction and facilities modernization. Of this amount, 20 
percent is reserved for the construction activities authorized 
under section 8007 of current law. The remaining 80 percent is 
to be used for the new facilities modernization activities 
authorized in section 8007A.
    A number of the revisions included in S. 2 are intended to 
reduce delays in the issuance of payments and to avoid 
disruption of payments to program participants. The committee 
is aware of the severe difficulties faced by school districts 
in planning, budgeting, and conducting related administrative 
activities when the Federal impact aid payments upon which they 
depend are delayed or abruptly reduced. The committee notes 
that the Department of Education has developed a performance 
goal related to the timely distribution of basic support 
payments and strongly encourages department officials to 
continue to give priority to this effort.
    Over the years, heavily impacted districts in particular 
have experienced lengthy delays in receiving payments. In an 
effort to alleviate this problem, the committee bill folds 
payments to heavily impacted districts into the basic payments 
structure, consistent with the provisions of a pilot program 
which has been in operation for the past two years. School 
officials of heavily impacted districts have expressed 
satisfaction with the pilot program, particularly in terms of 
its success in expediting payments.
    The bill also seeks to avoid payment delays to Federal 
property districts by requiring the Secretary to make a 
preliminary payment of 60 percent of the amount received by a 
local educational agency in the previous year no later than 60 
days following enactment of appropriations--provided that the 
local educational agency has submitted all data necessary for 
computation of its payment. In many cases, the failure of some 
local educational agencies to submit necessary data in a timely 
fashion has contributed to delays in payment to all districts. 
It is the hope of the committee that this provision will 
provide an incentive for all program participants to submit 
their data within the time frames established in the act. In 
addition, the bill establishes a 5-year time frame following 
Federal acquisition of property in which districts may apply 
for payments. The committee believes that 5 years is an 
adequate period of time for a local educational agency to 
determine its need for impact aid payments to compensate for 
revenue losses it experiences due to Federal property 
acquisition.
    In an effort to avoid substantial disruptions in the 
payments to a number of Federal property districts, the 
existing hold-harmless provisions are replaced with new 
provisions dealing with the distribution of funds if 
appropriations are insufficient.
    The committee bill also increases from .10 to .25 the 
weight assigned to children who have a parent who is on active 
duty in the uniformed services or is an official of a foreign 
government and is a foreign military officer, but do not reside 
on Federal property. A hold-harmless provision is included to 
assure that other local educational agencies do not lose funds 
due to this weight adjustment.
    The bill also includes language clarifying that current law 
provisions which permit military dependents living off-base to 
be counted as on-base students in situations where their base 
housing is being renovated apply in the same way to situations 
involving the rebuilding of on-base housing. This clarification 
is intended to make explicit the view of the committee that the 
provisions in current law cover both renovation and rebuilding. 
The committee neither intends nor expects Department of 
Education officials to seek the recovery of funds provided in 
the past to any local educational agency which exercised these 
provisions with respect to a rebuilding project. This new 
language also institutes a maximum 3-year time limit for these 
renovation/rebuilding provisions. Current law does not include 
a time limit, and this new limit will take effect with respect 
to payments made for fiscal years beginning on or after the 
date of enactment of S. 2.
    A total of $1.04 billion is authorized for impact aid 
programs in fiscal year 2001, as follows:
                                                             In millions
Payments for Federal Acquisition of Real Property (Section 
    8002).....................................................     $35.5
Basic Payments (Section 8003(b))..............................     875.0
Payments for Children with Disabilities (Section 8003(d)).....      60.0
Construction and Facilities Modernization (Sections 8007/
    8007A)
                                                                    62.5
Facilities Maintenance (Section 8008).........................       7.0

    Such sums as may be necessary are authorized for each of 
the fiscal years 2002 through 2005.

     Title IX Indian, Native Hawaiian, and Alaska Native Education


Part A--Indian education

    This part of the bill modifies and improves educational 
services provided for American Indian and Alaska Native 
students. The committee has included four new activities that 
can be provided under grants to Local Educational Agencies. 
These additions are intended to encourageLEAs to address the 
needs of American Indians and Alaskan Native students in the areas of 
curriculum development, creating and implementing standards, improving 
student achievement and gifted and talented education. The committee 
also recognizes that increasing the flexibility at the local level may 
give LEAs the ability to reduce their administrative costs while 
improving the services they provide. Accordingly, the committee 
included a new provision which would allow an LEA which receives 
formula grants under Part A the ability to commingle all of the federal 
funding they receive for educating Indian children, regardless of which 
agency provides it, into one coordinate comprehensive program to meet 
the specific needs of Indian children. In addition, the committee has 
provided increased flexibility in counting eligible children for 
funding purposes to BIA funded schools.
    Because the committee recognizes the importance of family 
literacy services for effected populations, we have allowed for 
grants for this purpose under the improvement of educational 
opportunities for Indian children. We have also underscored the 
importance of both pre-service and in-service training by 
separating the two into different sections under professional 
development. Lastly, we have reduced the percentage of funds 
that can be used on administrative costs.

Part B--Native Hawaiian education

    This part of the bill modifies and improves the educational 
services provided for Native Hawaiian students. We have updated 
the findings of Congress by using the most recent data 
available and included additional findings that reflect the new 
legal position of the United States relative to the status of 
Native Hawaiians as set forth in the brief filed by the United 
States in the United States Supreme Court on July 28, 1999. The 
committee has maintained the Native Hawaiian Education Council, 
while reducing its size and composition. The committee has also 
established priorities for the award of contract or grants. 
Recognizing that it has been difficult to have one Council 
serving two or more islands, the committee has added two more 
Island Councils so that each island will have its own Council.
    The committee believes that placing all of the existing 
programs serving Native Hawaiians into a single more flexible 
authority, will allow all of the types of activities currently 
carried out to continue. It is the committee's hope that this 
consolidation will better serve the educational needs of Native 
Hawaiians children and adults. The committee has focused on the 
importance of family literacy services in effected populations 
once again by adding it as a new permissible activity and we 
have reduced the percentage of funds that can be used on 
administrative costs.

Part C--Alaskan Native education

    This part of the bill modifies and improves the educational 
services provided for Alaska Native students. The committee has 
decided to place all of the existing programs serving Alaskan 
Natives, specifically Alaska Native Educational Planning, 
Curriculum Development, Teacher Training, and Recruitment; 
Home-Based Education for Preschool Children; and Student 
Enrichment, into a single more flexible authority. The 
committee believes that the consolidation will allow these 
activities to continue and will better serve the educational 
needs of Alaskan Native children and adults. The committee has 
once again added family literacy services as a new permissible 
activity and reduced the percentage of funds that can be used 
on administrative costs.

                      Title X--General Provisions

    Throughout the hearing process on the Elementary and 
Secondary Education Act, there was a great deal of attention 
placed on the importance of research and evaluation in 
targeting Federal education dollars. It was the committee's 
determination that research should be at the foundation of all 
the investments we make at the Federal level. Proven, research 
based programs offer the best opportunity for making a 
significant and positive difference in the education that our 
Nation's students receive. Title X places a new and increased 
focus on the importance of research and evaluation in an effort 
to make Federal dollars work more effectively in improving 
educational opportunities for all young people.

                   Title XI--Amendments to Other Acts


Part A--Repeals

    Part A of title XI repeals the Goals 2000: Educate America 
Act and the Advanced Placement Incentive Program currently 
authorized as part B of title VIII of the Higher Education 
Amendments of 1998. The Advanced Placement program is replaced 
with new provisions included as a new part E of title III of 
the Elementary and Secondary Education Act.

Part B--Education for homeless children and youth

    Part B of title XI includes amendments to the Education for 
Homeless Children and Youth program authorized as Subtitle B of 
Title VII of the Stewart D. McKinney Homeless Assistance Act. 
The program provides State formula grant assistance for: the 
establishment of Offices of Coordinator of Education of 
Homeless Children and Youth in States; the development and 
implementation of State plans for the education of homeless 
children; and subgrant support to local educational agencies 
for the education of these children.
    The committee notes that much progress has been made since 
the enactment of the homeless education program in 1987. At 
that time, nearly half of all homeless children were not 
attending school. In 1996-97, States reported that 
approximately 78 percent of these children were enrolled in 
grades K-12. At the same time, much remains to be done in 
overcoming the particular challenges involved in educating 
homeless children and youth. The mobility and frequent absence 
of the records or immunizations required for enrollment of 
homeless children present significant obstacles to meeting the 
educational needs of these children.
    The committee bill strengthens provisions of the current 
law in an effort to assure that homeless children receive a 
quality education, to provide for continuity in the education 
ofhomeless children, and to focus resources on high quality 
programs. Specifically, the committee bill includes several provisions 
designed to avoid segregating homeless students into separate schools. 
It is estimated that 40 such schools are now in operation. Many of 
these schools were established as temporary arrangements but have now 
become permanent fixtures. Serious questions have been raised regarding 
the quality of the education offered by some of these institutions.
    The bill also contains provisions intended to avoid 
disruption of a child's education program by maintaining the 
child's attendance at his or her school of origin. The bill 
also attempts to avoid enrollment delays by requiring immediate 
enrollment and by directing school officials to make referrals 
for immunizations and to contact other schools to obtain 
required records. Consistent with the committee's efforts 
throughout S. 2 to focus Federal resources on proven 
approaches, the bill includes new provisions requiring that the 
quality of an application is considered in the provision of 
subgrants to local educational agencies. A funding level of $40 
million is authorized for FY 2001 and such sums as may be 
necessary for each of the 4 succeeding fiscal years.

Part C--Albert Einstein Distinguished Educator Fellowship Act

    Part C of title XI includes amendments to the Albert 
Einstein Distinguished Educator Act of 1994, which is part A of 
title V of the Improving America's Schools Act of 1994. This 
program, which is administered by the Secretary of Energy, 
provides fellowships for 12 elementary and secondary school 
mathematics and science teachers each year. Einstein Fellows 
work for 10 months in positions in the Department of Energy, 
the Senate, the House, the Department of Education, the 
National Institutes of Health, the National Science Foundation, 
the National Aeronautics and Space Administration, and the 
Office of Science and Technology Policy.
    In addition to extending the authority for this program, S. 
2 revises the order-of-priority provisions. These provisions 
set out the order of placement of fellows in years where 
funding is not sufficient to support 12 fellows. The committee 
bill specifies that first priority will be given to the 
placement of 2--rather than 3--fellows in the Department of 
Energy. A funding level of $700,000 is authorized for fiscal 
year 2001 and such sums as may be necessary is authorized for 
each of the succeeding 4 years.

                            V. Cost Estimate

                                     U.S. Congress,
                               Congressional Budget Office,
                                    Washington, DC, March 31, 2000.
Hon. James M. Jeffords,
Chairman, Committee on Health, Education, Labor, and Pensions, U.S. 
        Senate, Washington, DC.
    Dear Mr. Chairman: The Congressional Budget Office has 
prepared the enclosed cost estimate for S. 2, the Educational 
Opportunities Act.
    If you wish further details on this estimate, we will be 
pleased to provide them. The CBO staff contacts are Audra 
Millen (for federal costs), and Susan Sieg Tompkins (for the 
state and local impact).
            Sincerely,
                                           Steven Lieberman
                                    (For Dan L. Crippen, Director).
    Enclosure.

S. 2--Educational Opportunities Act

    Summary: Programs under the Elementary and Secondary 
Education Act of 1965 (ESEA) are authorized through 2000 under 
the General Education Provisions Act (GEPA). S. 2 would extend 
the authorization for most of these programs through 2005. It 
would also revise or reauthorize parts of the Stuart B. 
McKinney Homeless, Albert Einstein Distinguished Educator, and 
National Child Protection Acts. In addition, it would 
reauthorize activities that are currently authorized under the 
Higher Education Act of 1998 (HEA) and Parts III and IV of the 
Goals 2000: Educate America Act (Goals 2000). Those provisions 
of Goals 2000 were repealed by the Department of Education 
Appropriations Act, 2000, contained in the Consolidated 
Appropriations Act, 2000 (Public Law 106-113). Because most of 
these programs will qualify for an automatic one-year 
extension, CBO has estimated costs through 2006.
    CBO estimates that authorizations under the bill relative 
to current law would total about $25.3 billion in 2001 and 
about $158.6 billion over the 2001-2006 period, assuming 
adjustments for inflation, or $25.3 billion and $152.2 billion, 
respectively, without such adjustments. Over the 2001-2006 
period, CBO estimates that implementing S. 2 would increase 
outlays by $125.6 billion assuming appropriations that keep 
pace with inflation, and by $121.6 billion without such 
inflation adjustments.
    In addition, CBO estimates that the funding structure for 
two bonus payment plans under S. 2 would result in direct 
spending of $2.6 billion in 2006 and an additional $100 million 
after 2006. Because S. 2 would affect direct spending, pay-as-
you-go procedures would apply to the bill. We estimate, 
however, that there would be no impact on direct spending or 
receipts over the years for which such procedures apply: the 
current year and the next five years.
    The reauthorization of programs under S. 2 would provide 
grants to state and local education agencies and tribal 
governments to assist specific populations of students in 
meeting state performance standards. The bill contains no 
intergovernmental or private-sector mandatesas defined in the 
Unfunded Mandates Reform act (UMRA). Any costs incurred by state, 
local, or tribal governments would result from complying with 
conditions of aid.
    Estimated cost to the Federal Government: The estimated 
budgetary impact of S. 2 is shown in Table 1. The costs of this 
legislation fall within budget function 500 (education, 
training, employment, and social services).
    CBO's estimate of the total spending under current law for 
2001 includes budget authority that was provided in advance 
under Public Law 106-113 and outlays from both this advanced 
authority and funding from previous years. CBO's estimate of 
proposed changes under S. 2 does not make any assumptions about 
advanced funding. Therefore, the estimate of total spending in 
2001 under S. 2 includes the advance appropriation enacted for 
the 2000-2001 academic year as well as the total estimated 
funding under S. 2 for the 2001-2002 academic year.\1\
---------------------------------------------------------------------------
    \1\ Funds for education programs are generally provided on an 
academic-year basis, so appropriations made in 2000, including any 
advances for 2001, are intended for the 2000-2001 academic year.
---------------------------------------------------------------------------
    Basis of estimate: S. 2 would reauthorize several existing 
education programs and create some new ones. Most of the bill's 
provisions would be subject to appropriation action. For the 
purposes of this estimate, CBO assumes that S. 2 will be 
enacted by the end of fiscal year 2000 and that all estimated 
amounts will be appropriated for each year. Table 1 shows two 
alternative funding paths: One that includes annual adjustments 
for anticipated inflation and one without such adjustments.
    Two of the provisions in title VI would increase direct 
spending, beginning in 2006. The bill explicitly provides $2.5 
billion in direct spending authority for one of those 
provisions. CBO estimates direct spending of $200 million for 
the other provision based on state eligibility requirements 
that title VI would establish. Of the $2.7 billion total for 
direct spending, CBO estimates that $2.6 billion would occur in 
2006, with the remaining $100 million coming over 2007 and 
2008.

                                  TABLE 1.--ESTIMATED BUDGETARY EFFECTS OF S. 2
----------------------------------------------------------------------------------------------------------------
                                                              By fiscal year, in millions of dollars--
                                                  --------------------------------------------------------------
                                                     2000     2001     2002     2003     2004     2005     2006
----------------------------------------------------------------------------------------------------------------
                                        SPENDING SUBJECT TO APPROPRIATION

                                         With Adjustments for Inflation
Spending Under Current Law:
    Budget Authority/Authorization Level \1\.....   13,348    8,077      165      168      171        0        0
    Estimated Outlays............................   12,757   12,280    3,784      987      300      192       51
Total Proposed Discretionary Changes:
    Estimated Authorization Level................        0   25,332   25,707   26,144   26,587   27,209   27,659
    Estimated Outlays............................        0    2,097   19,207   24,706   25,974   26,493   27,067
Spending Under S. 2:
    Estimated Authorization Level................   13,348   33,410   25,872   26,313   26,758   27,209   27,659
    Estimated Outlays............................   12,757   14,376   22,991   25,693   26,273   26,685   27,118

                                        Without Adjustments for Inflation
Spending Under Current Law:
    Budget Authority/Authorization Level \1\.....   13,348    8,075      160      160      160        0        0
    Estimated Outlays............................   12,757   12,280    3,782      982      292      182       48
Total Proposed Discretionary Changes:
    Estimated Authorization Level................        0   25,335   25,311   25,301   25,296   25,456   25,456
    Estimated Outlays............................        0    2,097   19,175   24,370   25,217   25,292   25,409
Spending Under S. 2:
    Estimated Authorization Level................   13,348   33,410   25,471   25,461   25,456   25,456   25,456
    Estimated Outlays............................   12,757   14,376   22,957   25,352   25,510   25,474   25,457

                                           CHANGES IN DIRECT SPENDING
Estimated Budget Authority.......................        0        0        0        0        0        0    2,600
Estimated Outlays................................        0        0        0        0        0        0    2,600
----------------------------------------------------------------------------------------------------------------
\1\ The 2000 level is the amount appropriated for that year. The 2001 level includes $7.9 billion from an
  advance appropriation already enacted. Remaining amounts for 2001 and subsequent years are the estimated
  authorization levels under current law.

Note.--Components may not sum to totals because of rounding.

Spending subject to Appropriation

    S. 2 would reauthorize funding through 2005 for various 
programs created under ESEA and other acts which authorize 
education programs. These programs, most of which would have 
expired in 1999 had not the automatic one-year extension 
provided under GEPA applied, would generally be reauthorized at 
specific levels for 2001 and for such sums as may be necessary 
for 2002 through 2005.\2\ As most of these programs will 
qualify for an additional one-year extension under GEPA, CBO 
estimates costs through 2006.
---------------------------------------------------------------------------
    \2\ The Charter Schools Program is currently authorized through 
2003 under the Charter School Reauthorization Act and through 2004 
under GEPA. The Albert Einstein Distinguished Educator Act is funded 
through the Department of Energy and is not subject to GEPA.
---------------------------------------------------------------------------
    CBO estimates that the bill would increase authorized 
levels by $25.3 billion in 2001 and by $158.6 billion over the 
2001-2006 period assuming that ``such sums'' amounts provided 
after 2001 are adjusted for inflation. If the authorized 
amounts are appropriated, S. 2 would increase outlays relative 
to current-law authorizations by $2.1 billion in the first year 
and by $125.6 billion over the six-year period. Without 
inflationary adjustments, the increased authorizations would 
result in outlays of $121.6 billion over the six years.
    Table 2 provides a detailed breakdown of CBO's estimates 
for the various components of each title under S. 2. For most 
existing programs that S. 2 would simply reauthorize, the 
outlay estimates reflect CBO's current spendout rate 
assumptions. Because most education programs are funded on a 
forward-funded basis, first-year spending is consistently slow 
for all programs, with variation in spending patterns in the 
subsequent years. Historically, spending occurs at an even 
slower rate for new programs, programs that experience 
significant funding increases, or programs with matching 
requirements or other restrictions. Conversely, spending may 
increase when additional activities are authorized for use with 
program funds. For new programs or significant revisions to 
existing authorizations under S. 2, an explanation of CBO's 
outlay assumptions is provided after Table 2.
    For several of the new or significantly expanded 
competitive programs under S. 2, CBO assumed an outlay rate of 
3 percent in the first year and a rate of 65 percent in the 
second year (with additional amounts in subsequent years). We 
refer to this pattern of spending as the rate for new, 
competitive, matching grant programs. By comparison, the 
established formula grant program under title I of ESEA has a 
pattern of spending 5 percent in the first year and 70 percent 
in the second year.

                TABLE 2.--DETAILED DISCRETIONARY EFFECTS OF S. 2, WITH ADJUSTMENTS FOR INFLATION
----------------------------------------------------------------------------------------------------------------
                                                              By fiscal year, in Millions of Dollars--
                                                  --------------------------------------------------------------
                                                     2000     2001     2002     2003     2004     2005     2006
----------------------------------------------------------------------------------------------------------------
                                        SPENDING SUBJECT TO APPROPRIATION

Spending Under Current Law:
    Budget Authority/Aithorization Level 1.......   13,348    8,077      165      168      171        0        0
    Estimated Outlays............................   12,757   12,280    3,784      987      300      192       51
Proposed Changes:
                           Title I--Helping Disadvantaged Children Meet High Standards

Grants to Local Education Agencies (LEAs):
    Estimated Authorization Level................        0   15,000   15,236   15,501   15,767   16,032   16,298
    Estimated Outlays............................        0      750   12,012   14,902   15,457   15,722   15,987
School Improvement:
    Estimated Authorization Level................        0      136      138      141      143      146      148
    Estimated Outlays............................        0        7      109      135      140      143      145
Capital Expense Account:
    Estimated Authorization Level................        0       15       15        5        0        0        0
    Estimated Outlays............................        0        1       12       14        7        1        0
Education Finance Incentive Program:
    Estimated Authorization Level................        0      200      203      207      210      214      217
    Estimated Outlays............................        0       10      160      199      206      210      213
Child Centered Program:
    Estimated Authorization Level................        0      500      508      517      526      534      543
    Estimated Outlays............................        0       15      340      481      514      523      531
GAO Report and Evaluation:
    Estimated Authorization Level................        0        9        0        0        0        0        0
    Estimated Outlays............................        0      (2)        3        3        3      (2)        0
Even Start Family Literacy:
    Estimated Authorization Level................        0      500      508      517      526      534      543
    Estimated Outlays............................        0       15      365      456      514      523      531
Education of Migratory Children:
    Estimated Authorization Level................        0      400      406      413      420      428      435
    Estimated Outlays............................        0       20      320      397      412      419      426
Parental Assistance:
    Estimated Authorization Level................        0       50       51       52       53       53       54
    Estimated Outlays............................        0        3       23       43       49       51       53
Federal Activities:
    Estimated Authorization Level................        0       35       36       36       37       37       38
    Estimated Outlays............................        0        2       28       35       36       37       37
Comprehensive School Reform:
    Estimated Authorization Level................        0      200      203      207      210      214      217
    Estimated Outlays............................        0        6      136      192      206      209      213
Assistance to Address School Dropouts:
    Coordinated National Strategy:
        Estimated Authorization Level............        0        5        5        5        5        5        5
    Estimated Outlays............................        0        2        4        5        5        5        5
    Grants to States:
        Estimated Authorization Level............        0      125      127      129      131      134      136
        Estimated Outlays........................        0        4       85      120      128      131      133
    Capacity Building Initiative:
        Estimated Authorization Level............        0       20       20       21       21       21       22
        Estimated Outlays........................        0        8       16       20       21       21       21
      Subtotal, Title I:
          Estimated Authorization Level..........        0   17,195   17,456   17,750   18,049   18,353   18,657
          Estimated Outlays......................        0      842   13,611   17,000   17,694   17,994   18,297

                                 Title II--Professional Development for Teachers
Teacher Empowerment:
    Estimated Authorization Level................        0    1,960    1,991    2,026    2,060    2,095    2,130
    Estimated Outlays............................        0       98    1,374    1,885    2,015    2,050    2,084
Alternative Routes to Teaching and Promoting
 Excellence in Teaching:
    Estimated Authorization Level................        0       40       41       41       42       43       43
    Estimated Outlays............................        0        2       28       38       41       42       43
Leadership Education and Development:
    Estimated Authorization Level................        0      100      102      103      105      107      109
    Estimated Outlays............................        0        3       68       96      103      105      106
Reading Excellence:
    Estimated Authorization Level................        0      280      284      289      294      299      304
    Estimated Outlays............................        0        3      140      226      272      291      296
National Writing Project:
    Estimated Authorization Level................        0       15       15       16       16       16       16
    Estimated Outlays............................        0        2       12       15       15       16       16
New Century Program for Distributed Teacher
 Professional Development:
    Estimated Authorization Level................        0       20       20       21       21       21       22
    Estimated Outlays............................        0        1       14       19       21       21       21
Digital Education Content Collaborative:
    Estimated Authorization Level................        0       25       25       26       26       27       27
    Estimated Outlays............................        0        1       17       24       26       26       27
      Subtotal, Title II:
          Estimated Authorization Level..........        0    2,440    2,478    2,522    2,565    2,608    2,651
          Estimated Outlays......................        0      109    1,652    2,304    2,493    2,550    2,593

                                        Title III--Enrichment Initiatives
21st Century Community Learners:
    Estimated Authorization Level................        0      500      508      517      526      534      543
    Estimated Outlays............................        0       25      225      429      486      514      528
Initiatives for Neglected, Delinquent, or At-risk
 Students:
    Estimated Authorization Level................        0       42       43       43       44       45       46
    Estimated Outlays............................        0        2       34       42       43       44       45
Javits Gifted and Talented:
    Estimated Authorization Level................        0      155      157      160      163      166      168
    Estimated Outlays............................        0        5      105      149      159      162      165
Arts in Education:
    Estimated Authorization Level................        0       25       25       26       26       27       27
    Estimated Outlays............................        0        1       18       24       26       26       27
Cultural Partnerships for At-risk Youth:
    Estimated Authorization Level................        0       45       46       47       47       48       49
    Estimated Outlays............................        0        1       31       43       46       47       48
Advanced Placement Incentive Program:
    Estimated Authorization Level................        0       50       51       52       53       53       54
    Estimated Outlays............................        0        3       35       48       51       52       53
Repeal of Higher Education Advanced Placement
 Program:
    Estimated Authorization Level................        0      -15      -15      -16      -16        0        0
    Estimated Outlays............................        0       -1      -11      -15      -16      -15       -5
      Subtotal, Title III:
          Estimated Authorization Level..........        0      802      814      829      843      873      888
          Estimated Outlays......................        0       36      437      720      796      831      860

                              Title IV--Safe and Drug Free Schools and Communities
State Grants:
    Estimated Authorization Level................        0      700      711      723      736      748      761
    Estimated Outlays............................        0       35      491      673      720      732      744
National Programs:
    Estimated Authorization Level................        0      150      152      155      158      160      163
    Estimated Outlays............................        0        8      105      144      154      157      160
Coordinator Initiative:
    Estimated Authorization Level................        0       75       76       78       79       80       81
    Estimated Outlays............................        0        4       53       72       77       78       80
      Subtotal, Title IV:
          Estimated Authorization Level..........        0      925      940      956      972      989    1,005
          Estimated Outlays......................        0       46      648      890      951      967      984

                                  Title V--Educational Opportunity Initiatives
Technology Education:
    Estimated Authorization Level................        0      830      828      842      857      871      886
    Estimated Outlays............................        0       42      373      705      794      839      861
Star Schools:
    Estimated Authorization Level................        0       50       51       52       53       53       54
    Estimated Outlays............................        0        3       23       43       49       51       53
Magnet Schools Assistance:
    Estimated Authorization Level................        0      125      127      129      131      134      136
    Estimated Outlays............................        0        6       88      120      129      131      133
Charter Schools:
    Estimated Authorization Level................        0       28       28       28       29      187      190
    Estimated Outlays............................        0        1       19       26       28       37      140
Women's Educational Equity:
    Estimated Authorization Level................        0        5        5        5        5        5        5
    Estimated Outlays............................        0      (2)        4        5        5        5        5
Civic Education and International Educaton
 Exchange:
    Estimated Authorization Level................        0       20       20       21       21       21       22
    Estimated Outlays............................        0        2       16       20       21       21       21
Fund for the Improvement of Education:
    Estimated Authorization Level................        0      100      102      103      105      107      109
    Estimated Outlays............................        0       12       80       99      103      105      107
Ellender Fellowships:
    Estimated Authorization Level................        0        2        2        2        2        2        2
    Estimated Outlays............................        0    (\2\)        1        1        2        2        2
Ready to Learn TV:
    Estimated Authorization Level................        0       50       51       52       53       53       54
    Estimated Outlays............................        0        3       23       43       49       51       53
Inexpensive Book Distribution:
    Estimated Authorization Level................        0       25       25       26       26       27       27
    Estimated Outlays............................        0        1       18       24       26       26       27
      Subtotal, Title V:
          Estimated Authorization Level..........        0    1,234    1,238    1,260    1,281    1,461    1,485
          Estimated Outlays......................        0       70      644    1,087    1,204    1,268    1,401

                                         Title VI--Innovative Education
Innovative Education Program Strategies:
    Estimated Authorization Level................        0      850      863      878      893      909      924
    Estimated Outlays............................        0       43      596      878      893      909      924
Grants to Small Rural LEAs:
    Estimated Authorization Level................        0       63       63       65       66       67       68
    Estimated Outlays............................        0        3       44       60       64       65       66
Grants to Poor Rural LEAs:
    Estimated Authorization Level................        0       63       63       65       66       67       68
    Estimated Outlays............................        0        3       44       60       64       65       66
Evaluation of Administrative Flexibility:
    Estimated Authorization Level................        0    (\2\)    (\2\)    (\2\)    (\2\)    (\2\)    (\2\)
    Estimated Outlays............................        0    (\2\)    (\2\)    (\2\)    (\2\)    (\2\)    (\2\)
      Subtotal, Title VI:
          Estimated Authorization Level..........        0      975      990    1,008    1,025    1,042    1,059
          Estimated Outlays......................        0       49      683      938    1,003    1,020    1,037

                                         Title VII--Bilingual Education
Bilingual Education:
    Estimated Authorization Level................        0      300      305      310      315      321      326
    Estimated Outlays............................        0       15      210      289      308      314      319
Immigrant Education:
    Estimated Authorization Level................        0      200      203      207      210      214      217
    Estimated Outlays............................        0       24      160      199      206      210      213
      Subtotal, Title VII:
          Estimated Authorization Level..........        0      500      508      517      526      534      543
          Estimated Outlays......................        0       39      371      488      515      524      532

                                             Title VIII--Impact Aid
Payments for Federal Property:
    Estimated Authorization Level................        0       35       36       36       37       37       38
    Estimated Outlays............................        0       32       35       36       37       37       38
Additional Payments for Certain LEAs Impacted by
 Federal Property Acquisition:
    Estimated Authorization Level................        0        1        1        1        1        1        1
    Estimated Outlays............................        0    (\2\)    (\2\)        1        1        1        1
Basic Support System Payments and Payments for
 Heavily Impacted Districts:
    Estimated Authorization Level................        0      875      889      904      920      935      951
    Estimated Outlays............................        0      788      870      902      918      933      949
Payments for Children with Disabilities:
    Estimated Authorization Level................        0       60       61       62       63       64       65
    Estimated Outlays............................        0       54       60       62       63       64       65
Formula Construction:
    Estimated Authorization Level................        0       13       13       13       13       13       14
    Estimated Outlays............................        0       11       12       13       13       13       14
School Modernization:
    Estimated Authorization level................        0       50       51       52       53       53       54
    Estimated Outlays............................        0        5       19       43       51       52       53
Facilities Maintenance:
    Estimated Authorization Level................        0        7        7        7        7        7        8
    Estimated Outlays............................        0        1        3        6        7        7        7
      Subtotal, Title VIII:
          Estimated Authorization Level..........        0    1,040    1,056    1,074    1,093    1,111    1,129
          Estimated Outlays......................        0      890      998    1,063    1,089    1,107    1,126

                         Title IX--Indian, Native Hawaiian, and Alaska Native Education
Indian Education Grants:
    Estimated Authorization Level................        0       62       63       64       65       66       67
    Estimated Outlays............................        0        7       50       62       64       65       66
Special Programs and National Activities:
    Estimated Authorization Level................        0        4        4        4        4        4        4
    Estimated Outlays............................        0      (2)        3        4        4        4        4
Grants Administration and Planning:
    Estimated Authorization Level................        0        3        3        3        3        3        3
    Estimated Outlays............................        0      (2)        2        3        3        3        3
Education for Native Hawaiians:
    Estimated Authorization Level................        0       23       23       24       24       25       25
    Estimated Outlays............................        0        1       16       22       24       24       24
Alaska Native Education Equity:
    Estimated Authorization Level................        0       17       17       18       18       18       18
    Estimated Outlays............................        0        1       12       16       17       18       18
      Subtotal, Title IX:
          Estimated Authorization Level..........        0      109      111      113      115      117      118
          Estimated Outlays......................        0       10       83      107      112      114      116

                                           Title X--General Provisions
General Provisions:
    Estimated Authorization Level................        0        3        3        3        3        3        3
    Estimated Outlays............................        0      (2)        2        2        3        3        3
Comprehensive Regional Assistance Centers:
    Estimated Authorization Level................        0       70       71       72       74       75       76
    Estimated Outlays............................        0        4       49       67       72       73       74
      Subtotal, Title X:
          Estimated Authorization Level..........        0       73       74       75       76       77       79
          Estimated Outlays......................        0        4       51       70       75       76       77

                                       Title XI--Amendments to Other Laws
Education for Homeless Children and Youth:
    Estimated Authorization Level................        0       40       41       41       42       43       43
    Estimated Outlays............................        0        2       28       38       41       42       43
Albert Einstein Distinguished Educators:
    Estimated Authorization Level................        0        1        1        1        1        1        1
    Estimated Outlays............................        0      (2)      (2)        1        1        1        1
      Subtotal, Title XI:
          Estimated Authorization Level..........        0       41       41       42       43       44       44
          Estimated Outlays......................        0        2       29       39       42       43       44
Total Proposed Changes:
    Estimated Authorization Level................        0   25,332   25,707   26,144   26,587   27,209   27,659
    Estimated Outlays............................        0    2,097   19,207   24,706   25,974   26,493   27,067
Total Discretionary Spending Under S. 2:
    Estimated Authorization Level................   13,348   33,410   25,872   26,313   26,758   27,209   27,659
    Estimated Outlays............................   12,757   14,376   22,991   25,693   26,273   26,685   27,118
----------------------------------------------------------------------------------------------------------------
\1\ The 2000 level is the amount appropriated for that year. The 2001 level includes $7.9 billion from an
  advance appropriation already enacted. Remaining amounts for 2001 and subsequent years are the estimated
  authorization levels under current law.
\2\ Less than $500,000.

Note.--Components may not sum to totals because of rounding.

    Title I--Helping Disadvantaged Children Meet High 
Standards. Title I would reauthorize and revise programs 
currently authorized under parts A, B, C, and E of Title I of 
ESEA.\3\ It would also introduce three new programs under the 
same title: the Parental Involvement Grant program, the 
comprehensive School Reform program, and the Child Centered 
Program. S. 2 would authorize a total of $17.2 billion for 2001 
for all programs under title I. CBO estimates the total funding 
required for title I for the 2001-2006 period would be $107.5 
billion, assuming adjustments for inflation. We estimate 
resulting outlays of $85.4 billion over the 2001-2006 period.
---------------------------------------------------------------------------
    \3\ Part D, which authorizes grants for neglected and delinquent 
youth, would be reauthorized under part B of title III of S. 2.
---------------------------------------------------------------------------
    Part A--Basic Program. S. 2 would reauthorize the Basic and 
Concentration Grant programs under Part A of Title I of ESEA. 
The legislation would introduce stricter reporting 
requirements, phase out the capital expense account, add 
requirements to increase parental involvement, and increase the 
allowable set-aside for school improvement activities. It would 
also reauthorize two programs which have not been funded, the 
Targeted Grant program and the Education Finance Incentive 
Program. It would also establish a new program that would allow 
parents to control how Title I funds are spent on their child.
    Currently, states identified for school improvement are 
allowed to set aside 0.5 percent of certain Title I funds for 
school improvement activities. S. 2 would allocate 50 percent 
of appropriations in excess of the inflated 2000 funding level 
for improvement activities in addition to the set-aside. The 
legislation would direct any remaining excess to fund the 
Targeted Grant program. A similar provision exists in current 
law in reference to increases above 1995 levels, but funds have 
never been appropriated for these targeted grants.
    In addition, S. 2 would continue a separate authorization 
for school improvement at such sums as may be necessary for 
2001. While this provision has never been directly funded, 
Public Law 106-113 set aside $134 million for similar 
activities from amounts appropriated for basic grants. CBO 
assumes that new funds would be provided specifically through 
this additional authorization. As the new school improvement 
set-aside under S. 2 would also address these activities 
(providing an additional $3.5 billion for 2001 assuming 
appropriation of authorized levels), CBO estimates that funding 
under this authorization in subsequent years would be 
consistent with the 200 appropriation. Therefore, CBO's 
estimate for 2001 is $136 million, the 2000 level of $134 
million plus inflation.
    S. 2 would authorize $15 billion for 2001 for the basic, 
concentration, and targeted grants under Part A. The comparable 
funding for the 2000-2001 academic year was $7.9 billion.
    S. 2 would continue the authorization of the capital 
expense account. This account funds costs associated with 
ensuring that Title I services to private school children are 
administered in neutral settings. In response to the 1997 
Supreme Court ruling that overturned this requirement, S. 2 
would phase out funding over three years, authorizing $15 
million for 2001, $15 million for 2002, and $5 million for 
2003. Funding for 2000 was $12 million.
    S. 2 would authorize $200 million for 2001 to reauthorize 
the Education Finance Incentive Program, which has never been 
funded. The program would reward states that finance education 
in an equitable manner and at reasonable levels based on the 
state's relative wealth. The Secretary of Education would 
calculate an equity factor, reflecting the consistency of 
spending among districts, and an effort factor, determined by 
the extent to which the state's per pupil spending level is 
consistent with its relative per capita income. The bill would 
authorize the Secretary to award payments in proportion to the 
combination of these two factors. States would be required to 
use these funds for the same purposes as other grants under 
this part; therefore, CBO assumes funds will be spent at the 
same rate.
    S. 2 would authorize $500 million for 2001 for a new Child 
Centered Program to be established in up to 10 states and an 
additional 22 Local Education Agencies (LEAs). Participating 
states or LEAs would offer supplemental educational programs in 
various schools. Parents of eligible students could choose the 
school that would provide the supplemental services for their 
child and the specific amount allocated for their child would 
be directed to that school. Parents would also have the option 
to direct the school to use the funds for contracted tutorial 
services. The specific per pupil amount that would be made 
available for the parent's discretion would be determined by 
the LEAs or states, who could also use current Title I funds 
for this purpose in addition to funds made available 
specifically for this subpart. To be eligible, an agency must 
ensure that parents have an adequate number of choices among 
potential providers of the supplemental services. The program 
would also authorize a school-wide component for schools in 
which greater than 50 percent of their students chose to apply 
their funds to that school's child centered program.
    CBO estimates that designing these supplemental programs 
and establishing policies to administer the parental choice 
component and per pupil tracking of funds would require 
significant start-up time. Therefore, CBO expects that spending 
will occur slowly with only $15 million in outlays in 2001 
increasing to $531 million in 2006.
    S. 2 would also direct the Comptroller General to enter 
into a contract to conduct a comprehensive evaluation of the 
child centered program, based on annual evaluations of each 
program funded under this part. It would require an interim 
report after three years and a final report by March of 2006. 
Based on estimates from the General Accounting Office, CBO 
estimates the total cost of the evaluation and reports would be 
$8.5 million. Assuming that funding is provided in 2001, CBO 
estimates the costs would be spread over the 2001-2005 period, 
with most of the costs incurred for data collection between 
2002 and 2004.
    Part B--Even Start Family Literacy. S. 2 would 
significantly increase funding for Even Start Family Literacy 
programs. It would authorize $500 million for 2001, compared 
with the 2000 funding level of $150 million. If actual 
appropriations exceed $150 million, the legislation would 
require 50 percent of such excess, not to exceed $2 million, to 
be set aside for a research project through the National 
Institute for Literacy. In addition, the bill would require 
long-term recipients to assume a greater share of costs, 
lowering the allowable federal share of total spending to 35 
percent for the ninth year and beyond. It also would expand the 
program's authorization to allow funds to be used in 
collaboration with otherTitle I funds for programs that serve 
children over eight years old. Currently funds are exclusively for 
programs serving children ages eight and under. CBO estimates that 
these changes would not change spending rates significantly.
    Part C--Education of Migratory Children. S. 2 would 
authorize $400 million to continue to fund grants to support 
the needs of children of migratory workers, currently 
authorized under Part C of Title I. The funding level for 2000 
was $355 million.
    Under current law, the Secretary may set aside a maximum of 
$6 million from the total appropriation under Part C of Title I 
of ESEA to meet existing data gathering and reporting 
requirements. S. 2 would require the Secretary to establish a 
national tracking system for children of migratory workers. 
States would be required to gather specific data and make the 
information available through electronic access. S. 2 would 
increase the maximum set-aside to $100 million to address the 
additional cost of establishing the system.
    Current law also encourages states and LEAs to establish 
consortia to coordinate tracking efforts and allows $1.5 
million of the funds set aside for data gathering to be used to 
provide incentive grants to such consortia. S. 2 would double 
the authorized set-aside for these incentive grants to $3 
million.
    CBO estimates that these increased set-asides will not 
significantly alter the spending behavior of this program.
    Part D--Parental Assistance. S. 2 would authorize $50 
million for 2001 for a new Parental Assistance program. The 
program would replace and expand on the Parental Assistance 
Funds program, authorized under Title IV of Goals 2000. The 
existing program is repealed effective September 30, 2000, 
under Public Law 106-113. Funds provided under this part would 
be used to support continuation grants for recipients under the 
current program. CBO estimates that the funds from this new 
program will demonstrate a spending rate consistent with the 
current program, which was funded at $33 million in 2000. CBO 
estimates outlays for 2001 of $3 million and $221 million over 
the six-year period.
    Part E--Federal Activities. S. 2 would authorize $35 
million for 2001 to continue the existing authority to conduct 
Federal evaluations of programs for the disadvantaged and to 
fund demonstrations of innovative strategies for serving 
disadvantaged children. For 2000, $9 million was provided for 
evaluations and $170 million was funded under the demonstration 
authority for the Comprehensive School Reform program, which 
would be authorized separately under S. 2. As the bill would 
introduce no changes to the underlying authorization, CBO 
estimates a spending rate consistent with the current programs.
    Part F--Comprehensive School Reform. S. 2 would authorize 
$200 million for 2001 to continue the Comprehensive School 
Reform Grant program created through a 1998 appropriations act. 
The program was funded in 2000 at $170 million under Title I's 
demonstration authority and at $50 million under the Fund for 
the Improvement of Education for a non-Title I component. CBO 
assumes a spending rate consistent with the current program's 
spending pattern.
    Part G--Assistance to Address School Dropouts. S. 2 would 
introduce a new Assistance to Prevent School Dropouts program. 
A program to address school dropouts is currently authorized 
under Part C of Title V of ESEA, but has never been funded. 
Subpart 1 would authorize $5 million for the Coordinated 
National Strategies component to fund research and the 
coordination of dropout prevention strategies and to establish 
a national recognition program. Subpart 2 would authorize $125 
million for 2001 to fund grants to States based on their 
relative share of Title I funds. States could award grants on a 
competitive basis directly to schools with high dropout rates. 
Funds could only be used to cover start-up and implementation 
costs of activities associated with whole school dropout 
prevention programs that are research based. It would authorize 
an additional $20 million for 2001 under subpart 3 to fund 
contracts with non-Federal entities to conduct capacity 
building and design initiatives.
    CBO expects that spending for subparts 1 and 3 would be 
consistent with other research initiatives, while outlays for 
subpart 2 would occur at a spending rate consistent with other 
new competitive matching grant programs.
    Title II--Professional Development for Teachers. Title II 
would authorize a total of $2.4 billion for 2001 for several 
initiatives that address teacher hiring, recruitment, and 
professional development. CBO estimates the total cost of 
implementing this title would be $15.3 billion for the 2001-
2006 period, with resulting outlays of $11.7 billion over that 
period.
    Part A--Teacher Empowerment. The Teacher Empowerment Act 
would authorize a total of $2.0 billion for 2001 for a block 
grant to fund many activities previously authorized under the 
Eisenhower Professional Development and Class Size Reduction 
programs, both of which would be discontinued. The combined 
funding level for the 2000-2001 academic year was $1.64 billion 
under Eisenhower Professional Development and the Class Size 
Reduction programs.
    S. 2 would reserve $40 million of funds under part A for 
subsection 4 which would authorize the Alternative Routes to 
Teaching and Promoting Excellence in Teaching program. This 
subsection would authorize grants to the National Board for 
Professional Teaching Standards to complete a national 
certification system and continuation grants for the Eisenhower 
National Clearinghouse program. It would also authorize 
competitive grants to education consortia to establish teacher 
academies that promote alternative routes to certification or 
teacher training programs.
    For funds under subsection 4 of this part, CBO assumes a 
spending rate consistent with other new competitive grant 
programs. The remaining $1.96 billion is assumed to spend at a 
rate consistent with programs it would replace.
    Part B--Leadership Education and Development. S. 2 would 
authorize $100 million for 2001 for competitive grants to State 
or local education entities to establish professional 
development opportunities for educators in leadership roles. S. 
2 would require 20 percent of the costs of such programs to be 
covered by non-Federal sources. CBO assumes a spending rate 
consistent with other new competitive matching grant programs.
    Part C--Reading Excellence. S. 2 would authorize $280 
million for 2001 to continue the Reading Excellence program, 
currently authorized under Part C of Title II of ESEA. The 2000 
funding level for this program was $260 million.
    Part D--National Writing Project. S. 2 would authorize $15 
million for 2001 to continue the National Writing Project, 
currently funded under Part K of Title X of ESEA. The 2000 
funding level for this program was $9 million.
    Part E--The New Century Program for Distributed Teacher 
Professional Development. S. 2 would authorize $20 million for 
2001 to continue and expand on the purposes of the Telecom 
Demonstration program, currently authorized under Part D of 
Title III of ESEA. The 2000 funding level for this program was 
$8.5 million. Despite the significant increase in funds, CBO 
assumes a spending rate consistent with the current program.
    Part F--Digital Education Content Collaborative. S. 2 would 
authorize $25 million for 2001 for a new program to support the 
development of educational videos. It would authorize 3-year 
grants with a 50-percent matching requirement. CBO assumes a 
spending rate consistent with other new competitive matching 
grant programs.
    Title III--Education Enrichment. Title III would authorize 
a total of $802 million for 2001 to continue four programs that 
focus on unique student populations or are offered outside the 
traditional classroom or school day. CBO estimates the total 
cost of implementing this title would be $5.0 billion for the 
2001-2006 period, with resulting outlays of $3.7 billion over 
that period.
    Part A--21st Century Community Learners. S. 2 would 
authorize $500 million for 2001 to continue the 21st Century 
Learners program, currently authorized under Part I of Title X 
of ESEA, with no significant revisions. The 2000 funding level 
was $453 million.
    Part B--Initiatives for Neglected, Delinquent, or At-risk 
Students. S. 2 would authorize $42 million for grants for 
education programs for neglected or delinquent youth, currently 
authorized under Part D of Title I of ESEA. The 2000 funding 
level was also $42 million.
    Part C--Javits Gifted and Talented. S. 2 would reauthorize 
and significantly revise the Javits Gifted and Talented 
program, currently authorized under Part B of Title X of ESEA. 
The current program supports competitive grants to states to 
develop and implement model programs that identify and 
challenge gifted and talented students. It also supports 
activities conducted through the National Center for Research 
and Development in the Education of Gifted and Talented 
Children and Youth.
    Under S. 2 once, funding exceeds $50 million, the program 
would be converted into a formula grant program supporting 
research-based gifted and talented programs in all states. It 
would set aside up to $50 million for continuation grants to 
current recipients under the competitive grant structure. The 
bill would allow 30 percent of funds to be reserved for the 
National Center for Research and Development.
    The remainder would be allocated among states based on 
their relative school-age population. States could set aside 10 
percent for administrative and application review purposes and 
2 percent for statewide parental support initiatives. The 
remainder would be allocated to LEAs on a competitive basis for 
activities targeted at gifted and talented students including 
offering professional development opportunities, implementing 
of model programs, or providing services for gifted students 
via distance learning. States would be required to fund 20 
percent of program costs through non-Federal sources.
    The bill would authorize $155 million for 2001 and such 
sums as necessary through 2005. The 2000 funding level for the 
current competitive grant program is $6.5 million. Typically, 
pilot programs demonstrate slower spending rates when they are 
expanded to become permanent grant programs. Spending also 
slows when matching requirements are introduced or when the 
scope of the program increases significantly. Therefore, CBO 
estimates that the program authorized under S. 2 would spend 
more slowly than the current program. CBO assumes a rate 
consistent with other new competitive matching grant programs.
    Part D--Arts in Education. S. 2 would authorize $25 million 
for 2001 to continue to support art education programs through 
the John F. Kennedy Center for the Performing Arts and VSA 
(formerly Very Special Arts) currently authorized under Part D 
of Title X of ESEA. Funding for 2000 was $12 million and CBO 
assumes spending to remain consistent with current rates.
    S. 2 also would authorize $45 million for the Cultural 
Partnerships for At-risk Youth program, also authorized under 
Part D of Title X but which has never been funded. S. 2 would 
authorize competitive grants and require 20 percent of program 
costs to be covered by nonfederal sources. Recipients could use 
funds for activities aimed at improving educational performance 
of at-risk youth, defined as those who have a history of drug 
use, are pregnant or have children, or have been incarcerated. 
Unlike the current authorization, S. 2 would not allow funds to 
be used for transportation, child care for children of 
participants, or equipment and supplies. CBO assumes a spending 
rate consistent with other new competitive matching grant 
programs.
    Part E--Advanced Placement Incentive Program. S. 2 would 
repeal the Advanced Placement program, authorized under Part B 
of Title VII of HEA and authorize the same activities under a 
new Advanced Placement Incentive Program. It would also 
introduce a grant program component for states to provide on-
line advanced placement courses. The bill would authorize $50 
million for 2001, directing 30 percent of the actual 
appropriation to be used for the traditional advanced placement 
program and the remaining 70 percent for grants under the on-
line program. Comparable funding for the traditional program 
for 2000 was $15 million.
    Title IV--Safe and Drug Free Schools and Communities Act. 
S. 2 would authorize a total of $925 million to continue the 
Safe and Drug Free Schools and Communities program in 2001, 
currently authorized under Title IV of ESEA. CBO estimates the 
total cost of enacting this title would be $5.8 billion for the 
2001-06 period, with resulting outlays of $4.5 billion over 
that period.
    Part A--State Grants. S. 2 would authorize $700 million for 
2001 for grants to state educational agencies and governors' 
programs and introduce several revisions. The comparable 
funding level for the 2000-2001 academic year was $439 million. 
It would require States to establish an advisory council, to 
implement a uniform management information system to track 
program services, and to include a parent involvement component 
in their State plans. It would allow States to submit interim 
plans while they incorporate these changes. It would also 
increase the allowable set-aside for administrative purposes 
from 4 percent to 5 percent, grant States more discretion in 
allocating funds to LEAs, and remove a requirement that 10 
percent of the governor's program funds be used for Law 
Enforcement Education Partnerships programs. It would maintain 
the current 20-percent cap on funds that can be spent on 
purchasing security devices such as metal detectors, but would 
expand the list of allowable devices to include electronic 
locks,surveillance cameras and other technologies. CBO 
estimates that the net effect of these provisions would not change the 
current spending rate for this program.
    S. 2 also would authorize $150 million to continue the 
National Programs and $75 million to continue the National 
Coordinator Initiative in 2001. Funding levels in 2000 were 
$111 million and $50 million, respectively. It would establish 
a Safe and Drug Free Schools and Communities Advisory Committee 
to coordinate Federal programs. The advisory committee would be 
composed of representatives from eight Federal institutions and 
State and local governments. Authorized activities would 
include technical and training assistance, research and program 
evaluations, and information dissemination. CBO does not assume 
this new provision will significantly alter the spending of 
these programs.
    Part B--Gun Free Requirements. S. 2 would introduce two new 
requirements for recipients of funds under Title IV of ESEA. 
States must have in effect a State law mandating 1-year 
suspension for students caught with a weapon. Secondly, LEAs 
receiving funds under this part must have a policy of referring 
such students to juvenile court and comply with the state 
suspension law. CBO estimates no costs associated with this 
part.
    Part C--School Safety and Violence Prevention. Part C would 
not authorize additional funds but would expand the allowable 
activities for funds authorized under Titles IV and VI of ESEA. 
Under S. 2, funding under these two titles could be used for 
training school personnel to identify illegal weapons and 
respond to emergencies, purchasing school security equipment, 
or assisting schools to implement school uniform policies. It 
would also require States receiving funds under this part to 
establish policies for transferring data between LEAs regarding 
student expulsions and suspensions. CBO estimates no change in 
spending from these provisions.
    Title V--Educational Opportunity Initiatives. Title V would 
authorize a total of $1.2 billion for 2001 for a variety of 
programs. CBO estimates the total cost of implementing this 
title would be $8.0 billion for the 2001-06 period, with 
resulting outlays of $5.7 billion over that period.
    Part A--Technology Education. S. 2 would authorize $815 
million for 2001 to continue the Technology for Education 
program, currently authorized under Part A of Title III of 
ESEA.
    For 2001 only, S. 2 would authorize an additional $5 
million for the National Programs Initiative and an additional 
$10 million for the Regional Technical Support and Professional 
Development program, to cover one-time requirements. These 
additional authorizations address the costs of two new 
requirements that S. 2 would introduce. Under the National 
Programs Initiative, S. 2 would require the Secretary to update 
the National Long-Range Technology Plan within 12 months of the 
bill's enactment. S. 2 would require recipients of funds 
granted under the Regional Technical Support and Professional 
Development program to submit a report to the Congress 
detailing program activities within 3 months of enactment.
    The bill would require recipients to use funds for the 
State and Local Programs on initiatives to involve parents in 
their children's technology education and to prepare teachers 
in technology. It would also require the Secretary to submit an 
evaluation of both the Technology Literacy Challenge and the 
Technology Literacy Fund within three years of enactment. CBO 
expects that any changes would not affect current spending 
patterns in these programs.
    Part B--Star Schools. S. 2 would authorize $50 million for 
2001 to continue the Star Schools program. The funding level 
for 2000 was $51 million.
    Part C--Magnet Schools Assistance. S. 2 would authorize 
$125 million for 2001 to continue the Magnet Schools program 
currently authorized under Part A of Title V of ESEA. Funding 
for 2000 was $110 million. S. 2 would add provisions to ensure 
that programs are sustainable once federal funds are no longer 
available. States are currently allowed to set aside for 
planning 50 percent in year one, 15 percent in year two, and 10 
percent in year three. S. 2 would increase the amounts for 
years two and three to 25 percent and 15 percent respectively. 
It would also require the Secretary to disseminate evaluation 
results publicly.
    Part D--Charter Schools. The Charter School program is 
currently authorized through 2003 under the Charter School 
Reauthorization Act (Public Law 105-278) and through 2004 under 
GEPA. S. 2 would authorize $175 million for 2001 and extend the 
authorization through 2005 (2006 under GEPA). The comparable 
funding for 2000 was $145 million.
    Part E--Women's Educational Equity. S. 2 would authorize $5 
million to continue the Women's Educational Equity program for 
2001, currently authorized under Part B of Title V of ESEA. The 
2000 funding level was $3 million.
    Part F--Civic Education. As part of the Civic Education 
program, currently authorized under Part F of Title X of ESEA, 
the Secretary contracts with the Center for Civic Education to 
conduct two specific civic education programs. Under the 
International Education Exchange program, authorized under Part 
VI of Goals 2000, educational leaders from democratic countries 
are eligible to participate in a variety of activities aimed at 
improving education about democracies and free markets. S. 2 
would reauthorize both programs together as Part F of Title V 
of ESEA. It would require the Secretary to continue the 
programs under contract with the Center for Civic Education and 
also would authorize additional contracts with other entities 
such as the National Council on Economic Education.
    For 2001, S. 2 would authorize $10 million for the Civic 
Education program and $10 million for activities under the 
International Education Exchange program, currently funded at 
$10 million and $7 million, respectively. CBO estimates both 
programs will continue to spend funds at their current rates.
    S. 2 would repeal the currently unfunded Instruction in 
Civics, Government, and Law program that authorizes competitive 
grants to LEAs for civic instruction.
    Part G--Fund for the Improvement of Education (FIE). The 
Fund for the Improvement of Education, authorized under Part A 
of Title X of ESEA, authorizes over 25 activities or programs 
that have educational significance at the national level. S. 2 
would reduce this list to include only the identification of 
exemplary schools, the creation of model professional 
development programs, and five specific programs. The five 
programs are the Character Education program, the Scholar 
Athlete Competition, the Elementary School Counseling 
Demonstration, the Smaller Learning Communities Initiative, and 
the National Student and Parent Mock Election. S. 2 would 
introduce modifications to some of these programs. The 
Comprehensive School Reform program, currently authorized under 
this fund, would be authorized as Part F of Title I.
    S. 2 would authorize $100 million for 2001 for activities 
under this part. The 2000 funding level for the more broadly 
defined program was $244 million.4 CBO assumes 
spending rates will remain consistent with current funding of 
this program.
---------------------------------------------------------------------------
    \4\ This total includes $50 million for the non-Title I component 
of the Comprehensive School Reform.
---------------------------------------------------------------------------
    Part H--Allen J. Ellender Fellowships. S. 2 would authorize 
$1.5 million for 2001 to continue the Allen J. Ellender 
Fellowships program. The funding level for 2000 was also $1.5 
million.
    Part I--Ready to Learn TV. S. 2 would authorize $50 
million, a significant increase over the 2000 funding level of 
$16 million to continue the Ready to Learn TV program, 
currently authorized under Part C of Title III of ESEA. Despite 
the large funding increase, CBO assumes that spending would 
continue to reflect the historical pattern for this program.
    Part J--Inexpensive Book Distribution. S. 2 would authorize 
$25 million for 2001 to continue the Inexpensive Book 
Distribution program. The 2000 funding level was $20 million.
    Title VI--Innovative Education. Title VI would authorize a 
total of $975 million for 2001 for several new initiatives 
aimed at increasing the flexibility for spending Federal funds. 
CBO estimates the total cost of implementing this title would 
be $6.1 billion for the 2001-2006 period, with resulting 
outlays of $4.7 billion over that period.
    Part A--Innovative Education Program Strategies. S. 2 would 
authorize 2001 funding of $850 million to continue the current 
block grant program under Title VI of ESEA. Comparable funding 
for the 2000-01 academic year was $366 million.
    Part B--Rural Education Flexibility. Part J of Title X of 
ESEA authorizes the Urban and Rural Education Assistance 
program to provide additional funding to support the special 
needs of these populations. The program has received no funding 
for either rural or urban assistance.
    Title VI of S. 2 would repeal the existing authorization 
and authorize a new rural education system in its place. The 
program would consist of two parts: a formula grant program for 
small rural LEAs, and a competitive grant program for larger 
rural schools that serve high-poverty populations.
    Because Federal funds are generally allocated based on 
population, small rural LEAs often receive grants that are 
insufficient to cover the activities authorized under those 
programs. Subpart 1 of Part B of Title VI would provide 
supplemental grants to ensure that eligible LEAs receive a 
minimum total funding level under Titles II, IV, and the 
remainder of Title VI of ESEA. Grants under this program would 
be equal to the minimum level less any amounts received under 
these other titles in the same year. The guaranteed minimum 
level would be $20,000 plus an additional $100 for every 
student above a base enrollment of 50, not to exceed $60,000 
for any LEA.
    Subpart 2 would authorize competitive grants to rural LEAs 
that educate a significant number of low-income children. LEAs 
that qualify for grants under subpart 1 have the option to 
apply for a competitive grant under subpart 2 instead, but no 
LEA can receive grants under both parts.
    S. 2 would authorize a total of $125 million for 2001 for 
subparts 1 and 2, and such sums as may be necessary thereafter. 
It would reserve $62.5 million for the formula grants under 
subpart 1. Assuming appropriation of the authorized amounts 
under titles II, IV, and VI, CBO estimates this amount would be 
sufficient to fully fund this subpart. Grants under both 
subparts could be used for any activities authorized under 
those three titles; therefore, CBO assumes a spending rate 
consistent with the block grant program under part A of title 
VI of this bill.
    Part D--Administrative Flexibility Program. S. 2 would 
direct the Secretary to conduct an evaluation of the use of 
administrative funds to be completed no later than July 1, 
2004. A similar evaluation was required under the previous 
authorization. CBO estimates the cost of the evaluation would 
be less than $500,000.
    Title VII--Bilingual Education. S. 2 would authorize $500 
million for 2001 for the Bilingual Education program, currently 
authorized under Title VII of ESEA. The funding level for 2000 
was $406 million. CBO estimates the total cost of implementing 
this title would be $3.1 billion for the 2001-2006 period, with 
resulting outlays of $2.5 billion over that period.
    S. 2 would authorize $300 million for 2001 to expand the 
Bilingual Grant program, authorized under Part A of Title VII 
of ESEA. The funding level for 2000 was $248 million.
    S. 2 would repeal the implementation and development grant 
program and increase the award period for program enhancement 
grants from two to three years. It would increase the data 
collection and evaluation requirements for grant recipients and 
remove a restriction on the use of funds for alternative 
programs. It would also consolidate the existing school-wide 
and system-wide programs, requiring that at least one-third of 
grants under the consolidated program be awarded for system-
wide initiatives. S. 2 would increase the minimum grant amount 
for Academic Excellence Awards to States from $100,000 to 
$200,000. CBO estimates that the increased scope of the program 
will result in a spending rate that is slower than under the 
current program.
    The bill would not extend the authorization of the Foreign 
Language Assistance program. The funding level for 2000 was $8 
million.
    S. 2 also would authorize $200 million to continue the 
Emergency Immigrant Education program. The funding level for 
2000 was $150 million.
    Title VIII--Impact Aid. S. 2 would authorize about $1 
billion for 2001 to continue the Impact Aid Program, currently 
authorized under Title VIII of ESEA. CBO estimates the total 
cost of implementing this title would be $6.5 billion for the 
2001-2006 period, with resulting outlays of $6.3 billion over 
that period.
    S. 2 would authorize $35 million for 2001 to continue the 
Payments for Acquisition of Federal Property program. The 2000 
funding level for this program was $32 million.
    S. 2 would also continue to authorize additional payments 
for certain LEAs under ESEA's subsection 8002(j), a previously 
unfunded provision. Payments under this section would support 
LEAs that qualify for payments under subsections 8002(b) and 
8003(b) and have unique circumstances that increase the costs 
imposed by the existence of federally ownedproperty. The bill 
would authorize $500,000 for 2001 and such sums as may be necessary for 
fiscal years 2001 through 2005.
    S. 2 would authorize continued payments to compensate LEAs 
that educate children whose parents' residence or work location 
partially or fully exempts them from local taxes. These 
payments are currently authorized under ESEA's section 8003. It 
would alter the criteria for designating heavily impacted 
districts and set a maximum grant amount for those districts. 
It would revise the existing payment structure for heavily 
impacted districts, making a single payment instead of two. It 
would also authorize $875 million for both basic payments and 
payments for heavily impacted districts. Combined funding in 
2001 for these programs was $809 million.
    S. 2 would authorize $60 million for 2001 for payments to 
LEAs that educate a significant number of students with 
disabilities, payments that are currently authorized under 
subsection 8003(d), and additional payments for this purpose, 
under section 8003(g). The 2000 funding level for these 
payments was $50 million.
    The bill would authorize $62.5 million for 2001 for school 
construction and renovation. It would permanently set aside 80 
percent of appropriated funds for a new school modernization 
initiative. LEAs with significant repair needs would be 
eligible to compete for grants if they had no remaining 
capacity to issue bonds or their facilities posed health or 
safety threats to their students. Recipients would be required 
to use nonfederal funds to cover half of any project costs. 
Remaining funds would be allocated to continue the current 
formula construction program, currently authorized under 
subsection 8008. The 2000 funding level was $10 million.
    CBO estimates the application and matching requirements of 
the school modernization component would cause spending to 
occur more slowly than for the current construction grants. The 
remaining money for construction would still be expected to 
spend at its current rate.
    S. 2 would authorize $7 million in 2001 to continue the 
Facilities Maintenance program, currently authorized under 
section 8008. The funding level for 2000 was $5 million.
    The bill would repeal section 8006, which was not funded in 
2000. Section 8006 authorized payments to support sudden and 
substantial increases in the number of federally connected 
students.
    Title IX--Indian, Native Hawaiian, and Alaska Native 
Education. S. 2 would authorize $109 million in 2001 to 
continue education programs for Native Indian, Native Hawaiian 
and Alaska Native students, currently authorized under Parts A, 
B, and C of Title IX of ESEA. Comparable funding for 2000 was 
$113 million. CBO estimates the total cost of implementing this 
title would be $682 million for the 2001-06 period, with 
resulting outlays of $543 million over that period.
    Part A--Native Indian Education Programs. S. 2 would 
authorize $62 million to continue to provide grants to LEAs in 
2001 under the Indian Education program, the same amount that 
was appropriated for 2000. It would authorize a separate $4 
million to continue special programs and national activities, 
compared to 2000 funding of $15 million. In addition, it would 
authorize $3 million for a new grants administration and 
planning component.
    Part B--Native Hawaiian Education Programs. S. 2 would 
authorize 2001 funding of $23 million to continue the Native 
Hawaiian Education program, the same amount that was 
appropriated for 2000.
    Part C--Alaska Native Education Programs. S. 2 would 
authorize $17 million to continue the Alaska Native Education 
program in 2001, compared to 2000 funding of $13 million.
    Title X--General Provisions. S. 2 would authorize a total 
of $73 million for 2001 for the American Education Goals Panel 
and to continue to fund regional centers that provide 
assistance for implementing programs under ESEA. CBO estimates 
the total cost of implementing this title would be $454 million 
for the 2001-06 period, with outlays of $352 million over that 
period.
    Part D--American Education Goals Panel. S. 2 would 
authorize $2.5 million for 2001 for the activities of the 
American Education Goals Panel. This panel is responsible for 
reporting on national progress toward achieving America's 
education goals.
    Part E--Comprehensive Regional Assistance Center. S. 2 also 
would authorize $70 million in 2001 to continue the 
Comprehensive Regional Assistance Center program, currently 
authorized under part A of Title XIII of ESEA. The funding 
level for 2000 was $28 million. Despite the increase in funds, 
CBO estimates spending consistent with the current program.
    Title XI--Amendments to Other Laws. Title XI would repeal 
the Goals 2000: Education America Act and Part B of Title VIII 
of HEA. It would also authorize a total of $41 million to 
continue education programs in 20001 for homeless youth and to 
provide fellowships for distinguished educators. CBO estimates 
the total cost of implementing this title would be $255 million 
over the 2001-06 period, with resulting outlays of $197 million 
over that period.
    Part B--McKinney Homeless Education Improvements Act of 
1999. Title VII of S. 2 would reauthorize Part B of the 
McKinney Act, authorizing $40 million for 2001. Comparable 
funding for 2000 was $29 million.
    Part C--Albert Einstein Distinguished Educators. S. 2 would 
authorize 2001 funding of $700,000 to continue the Albert 
Einstein Distinguished Educators awards, currently funded 
through the Department of Energy.

Direct spending

    CBO estimates that Title VI of S. 2 would increase direct 
spending by $2.6 billion in 2006, and by an additional $100 
million over the following 2 years combined.
    Title VI would introduce two new programs that offer states 
and LEAs flexibility in the use of federal funds in exchange 
for entering into performance agreements with the Secretary of 
Education. Under both the Education Flexibility program and the 
Academic Achievement for all Demonstration, participants would 
be able to consolidate funds from their choice of eligible 
programs without regard for most provisions of those programs. 
The list of eligible programs would be essentially the same 
under both programs and would include most of the formula grant 
programs authorized under S. 2. Both programs would maintain 
certain provisions, such as adherence to civil rights laws and 
allowing private school participation. Participants in both 
programs would be required to submit a plan for how they would 
use the consolidated funds to meet specific achievement goals 
within 5 years. Penalties for failure to comply under both 
programs include termination of the agreement and the 
withholding of administrative funds.
    The two programs would differ in their scope, flexibility, 
and review process. Under the Education Flexibility program, 
all states and LEAs would be eligible to participate, whereas 
the Academic Achievement for All Demonstration would be limited 
to 15 States and an additional 22 LEAs. Unlike the Academic 
Achievement for All Demonstration, the Education Flexibility 
program would maintain the school-level targeting requirements 
for participants that include funds under Part A of Title I in 
their performance plans. The Education Flexibility program 
would establish a more rigorous review process.
    In addition, both programs would establish separate 
achievement reward programs to make payments to States that 
demonstrate specific academic progress: the Closing the 
Achievement Gap Bonus Awards under the Education Flexibility 
program and the Achievement Gap Reduction Rewards under the 
Academic Achievement for All Demonstration.
    The Closing the Achievement Gap Bonus Awards program would 
make payments to any State that reduces its achievement gap in 
three out of four assessments by a greater margin than the 
average national reduction over a 5-year period. The 
achievement gap refers to the 4th- and 8th-grade math and 
English test score differential between students on free and 
reduced lunch and those who are not, based on a national test. 
The rewards would be made at the end of the fifth academic year 
after the first State enters into a performance agreement under 
the flexibility program; however, eligibility for the award 
would not be contingent on participation in the flexibility 
program.
    S. 2 would provide funding for this award by making a 
single-year direct appropriation of $2.5 billion dollars in the 
fifth full fiscal year after any State enters into a 
performance agreement. The funds would be distributed among 
eligible States based on their relative enrollment. CBO 
estimates that at least one State would participate in the 
program for the 2001-2002 academic year and that awards would 
be made at the end of the 2005-2006 academic year, presumably 
after May of 2006. Therefore, CBO estimates direct spending of 
$2.5 billion in 2006. Because the program would not restrict 
the use of payments by the recipients, CBO estimates that the 
total amount would be spent in the same year.
    The Achievement Gap Reduction Rewards program would only 
apply to States that enter into performance plans under the 
Academic Achievement for All Demonstration. The achievement gap 
under this program would be based on the difference in the 
percentage of high versus low performing students who meet the 
State's proficient level. States would be eligible for an award 
if they reduce the achievement gap in any content area by 25 
percent after five years. States could also qualify if two 
specific student populations demonstrate a 25-percent increase 
in the percentage meeting the proficient level in any content 
area. The specific student populations would be based on 
demographic factors such as race, ethnicity, or income level. A 
state would be entitled to a payment if they achieve either of 
these criteria in two content areas, one of which must be math 
or reading. The amount of the payment would be not less than 5 
percent of the total amount of funds included in the State's 
performance plan. The Secretary would be directed to set aside 
funds appropriated for the Fund for the Improvement of 
Education in 2001 to cover the costs of these payments. 
However, neither the payment level nor the requirement to make 
such payments would be subject to such appropriations and the 
program would therefore constitute a new entitlement.
    Although States would not be allowed to participate in both 
flexibility programs, participants in the Academic Achievement 
for All Demonstration are not precluded from receiving payments 
under the Closing the Achievement Gap Award program. CBO 
estimates most states would prefer the Academic Achievement for 
All Demonstration because of the added flexibility, the simpler 
application process, and the potential bonus. However, based on 
the experience of other flexibility programs, we do not assume 
that the maximum number of states would participate in 2001, 
but that the maximum would be reached by 2003. CBO assumes that 
States that do participate would choose to include all of the 
eligible programs in their plan. While most States might be 
eligible for payments, CBO estimates that only two-thirds would 
meet the entitlement criteria in each year. Based on these 
assumptions, CBO estimates direct spending of $100 million on 
2006--the first year that States could be entitled to these 
payments, $60 million in 2007, and $40 million in 2008.
    Pay-as-you-go considerations: The Balanced Budget and 
Emergency Deficit Control Act sets up pay-as-you-go procedures 
for legislation affecting direct spending or receipts. The 
estimated impact of S. 2 on direct spending is shown in Table 
3. For the purposes of enforcing pay-as-you-go procedures, only 
the effects in the current year, the budget year, and the 
succeeding 4 years are counted.

                       Table 3.--ESTIMATED IMPACT OF S. 2 ON DIRECT SPENDING AND RECEIPTS
----------------------------------------------------------------------------------------------------------------
                                                      By fiscal year, in millions of dollars--
                                   -----------------------------------------------------------------------------
                                     2000   2001   2002   2003   2004   2005   2006    2007   2008   2009   2010
----------------------------------------------------------------------------------------------------------------
Changes in outlays................      0      0      0      0      0      0   2,600     60     40      0      0
Changes in receipts...............      0      0      0      0      0      0       0      0      0      0      0
----------------------------------------------------------------------------------------------------------------

    Estimated impact on State, local, and tribal governments: 
S. 2 would reauthorize certain sections of the Elementary and 
Secondary Education Act of 1965 which provide over $25 billion 
in grants to State and local education agencies and tribal 
governments to support their efforts to improve educational 
opportunities and performance for specific populations of 
students. The bill contains no intergovernmental mandates as 
defined in UMRA. In general, any costs to state, local, or 
tribal governments as a result of enactment of this bill would 
be incurred voluntarily, as conditions of aid.
    Estimated impact on the private sector: The bill contains 
no private-sector mandates as defined in UMRA.
    Previous CBO Estimates: CBO has prepared estimates of five 
related bills that have been ordered reported during the 106th 
Congress:
     H.R. 1995, as ordered reported by the House 
Committee on Education and the Workforce on June 30, 1999, 
would consolidate funding for teacher training initiatives, 
similar to part A of title II of S. 2. (See CBO estimate dated 
July 1, 1999.)
     H.R. 2300, as ordered reported by the House 
Committee on Education and the Workforce on October 13, 1999, 
would authorize the Straight A's program to consolidate funding 
under several education programs and is similar to the Academic 
Achievement for all Demonstration Program under title VI of S. 
2. (See CBO estimate dated October 15, 1999.)
     H.R. 2, as reported by the House Committee on 
Education and the Workforce on October 18, 1999, addressed 
Education for the Disadvantaged, Rural Education, Education for 
the Homeless, Education for Indians, Native Hawaiians, and 
Alaska Natives, and the Magnet School and Charter School 
programs. S. 2 would also reauthorize these same programs with 
some significant variations. (See CBO estimate dated October 
19, 1999.)
     H.R. 3616, as ordered reported by the House 
Committee on Education and the Workforce on February 16, 2000, 
would reauthorize the Impact Aid program with some significant 
differences from title VIII of S. 2. (See CBO estimate dated 
February 28, 2000.)
     H.R. 3222, as ordered reported by the House 
Committee on Education and the Workforce on February 16, 2000, 
would reauthorize the Even Start Family Literacy and 
Inexpensive Book Distribution programs, with few variations 
from the authorizations under S. 2. (See CBO estimate dated 
February 18, 2000.)
    Estimate prepared by: Federal Costs: Audra Millen. Impact 
on State, Local, and Tribal Governments: Susan Sieg Tompkins. 
Impact on the Private Sector: Nabeel Alsalam.
    Estimate approved by: Peter H. Fontaine, Deputy Assistant 
Director for Budget Analysis.

                    VI. Regulatory Impact Statement

    The committee has determined there will be minimal 
increases in the regulatory burden as a result of this 
legislation.

           VII. Application of Law to the Legislative Branch

    S. 2 reauthorizes and amends the Elementary and Secondary 
Education Act of 1965 to continue programs primarily offering 
assistance to States and local educational agencies on behalf 
of teachers and elementary and secondary school students and, 
as such, has no application to the legislative branch.

                   VIII. Section-by-Section Analysis

    Section 1--Short Title; Table of Contents. Section 1 
specifies the title of the legislation as the Educational 
Opportunities Act and lists the table of contents.
    Section 2--References. Section 2 notes that all amendments 
and repeals referenced in the act apply to the Elementary and 
Secondary Education Act of 1965.
    Section 3--Short Title; Purpose; Definitions. Section 3 
specifies the purpose of S. 2 which is to support programs and 
activities that will improve the Nation's schools and enable 
all children to achieve high standards. This section also lists 
the definitions used throughout S. 2.

      Title I--Helping Disadvantaged Children Meet High Standards

    Section 101--Policy and Purpose. Section 101 amends section 
1001 of the act to modify the purpose. The purpose is to enable 
schools to provide opportunities for children served under 
title I to acquire the knowledge and skills contained in the 
challenging State content standards and to meet the challenging 
State student performance standards developed for all children. 
The section also establishes various mechanisms for 
accomplishing the purpose.
    Section 102--Authorization of Appropriations. Section 102 
amends section 1002 of the act and specifies the authorized 
funding levels for all parts and certain provisions of title 1. 
The authorization level for part A of Title I is increased from 
$7.4 billion to $15 billion. The authorization level for Part B 
of Title I (Even Start) is increased from $118 million to $500 
million. The authorization level for Part C (Migratory 
Children) of Title I is increased from $310 million to $400 
million. The newly established Part D (Parental Assistance 
Program) is authorized at $50 million. Part E (Federal 
Evaluations) is authorized at $25 million. Funding for the 
Comprehensive School Reform program is authorized at $200 
million.
    Section 103--Reservation and allocation for school 
improvement. Section 103, in accordance with currant law, 
permits each state to reserve \1/2\ percent of the funds they 
receive under Parts A and C of Title I and Part B of Title III 
for school improvement activities. Section 103(a) specifies 
that in addition to these amounts the Secretary shall reserve 
50 percent of the funds in excess of $8,076,000,000 (for fiscal 
year 2001 and each of the 4 succeeding fiscal years) for State 
assessment development, school improvement, and academic 
achievement awards. Funds from the Secretary's reservation 
shall be allocated in accordance with the Basic Grant formula 
except that no state may receive less than \1/2\ percent of 
these funds.
    Section 103(b) restates current law with regard to the \1/
2\-percent State reservation and allocation for school 
improvement except that the amount of funding from Title I to 
which the \1/2\-percent reserve may be applied is capped at the 
amount that the state received in fiscal year 2000.

Part A--Basic Programs

    Section 111--State Plans. Section 111 amends section 1111 
of the act to make technical amendments to section 1111 of the 
act and by including several new provisions which are to be 
included as part of the State plan. One provision further 
defines adequate yearly progress. The adequate yearly progress 
definition specifies: that children must meet the State's 
levels of performance within 10 years; there must be continuous 
and substantial academic improvement for all students; that 
States must have in place specific State determined yearly 
progress requirements in subjects and grades included in the 
State assessments; and that performance on assessments and 
other academic indicators are important in determining adequate 
yearly progress. This section also specifies that student 
reports include information on the attainment of student 
performance standards. This section also includes several 
provisions regarding the impact of Federal and State laws on 
student performance and schoolwide programs. This section also 
requires the State educational agency to inform local 
educational agencies of the local educational agencies' ability 
to obtain waivers. This section requires each State plan to 
support effective parental involvement practices. This section 
redesignates subsections (d) through (g) as (e) through (h). 
Finally, this section requires that information collected under 
this section will protect individual privacy.
    Section 112--Local Educational Agency Plans. Section 112(1) 
amends section 1112(a) of the act to specify that the local 
educational agency shall be coordinated with plans submitted 
under the Individuals with Disabilities Education Act, the Carl 
D. Perkins Vocational and Technical Education Act of 1998, the 
Head Start Act and other acts as appropriate.
    Section 112(2) amends section 1112(b) of the act to specify 
that the local educational agency shall coordinate professional 
development planning provisions with similar provisions 
described under title II of this act. This section also 
includes a provision requiring the local educational agency, 
where appropriate, to describe how funds under part A will be 
used to support early childhood education programs.
    Section 112(3) amends section 1112(c) of the act to require 
each local educational agency to plan to carry out several 
activities including: providing information to the public 
regardingschoolwide authority; providing technical assistance; 
coordinating, to the extent possible, with other agencies providing 
services to children, youth, and families; providing services to 
eligible children attending private elementary and secondary schools in 
accordance with the act; examining model programs for the educationally 
disadvantaged; complying with professional development requirements as 
described under this part; and informing eligible schools about waiver 
authority. In addition, this section adds requirements for States to 
review a local educational agency plan to determine if such agency's 
parental involvement activities are in accordance with section 1118.
    Section 113--Eligible School Attendance Areas. Section 113 
includes technical amendments to section 1113(b) of the act. In 
addition, a provision is included that allows a local 
educational agency to designate and serve a school attendance 
area or school that is not an eligible school attendance area, 
but that was an eligible school attendance area and was served 
in the fiscal year preceding the fiscal year for which the 
determination is made for 1 additional year.
    Section 114--Schoolwide Programs. Section 114 amends 
section 1114 of the act and allows a local educational agency 
to use part A funds with other Federal, State, and local funds 
to upgrade the entire educational program in a school that 
serves an eligible school attendance area where not less than 
40 percent of the children are from low-income families. A 
provision is included which requires that assessment results be 
provided to parents in a language the family can understand. 
This section also includes technical amendments to section 1114 
of the act.
    Section 115--Targeted Assistance Schools. Section 115 
includes technical amendments to section 1115 of the act and 
references professional development activities.
    Section 116--Pupil Safety and Family School Choice. Section 
116 amends part A of title I by inserting a new section after 
section 1115A of the act.
    New Section 1115B(a) describes student eligibility as it 
pertains to the pupil safety and family school choice 
initiative. Eligibility criteria includes a student who is 
served by the title 1 program and becomes a victim of a violent 
criminal offense while on public school grounds. If a student 
meets the eligibility criteria, then the local educational 
agency shall allow the eligible student to transfer to another 
public school or public charter school in the same State as the 
school where the criminal offense occurred. The transfer must 
occur in accordance with State and local law.
    New Section 1115B(b) describes State educational agency 
determinations. These include: deciding the actions that 
constitute a violent criminal offense; determining which 
schools in the State are unsafe public schools; and defining 
unsafe public schools.
    New Section 1115(c) allows a local educational agency that 
serves the public school in which the violent criminal offense 
occurred to use funds from part A of title I to provide 
transportation services or to pay the reasonable costs of 
transportation for the student to attend another school.
    New Section 1115(d) specifies that any school receiving 
assistance under this section shall comply with title VI of the 
Civil Rights Act of 1964 and not discriminate on the basis of 
race, color, or national origin.
    New Section 1115(e) specifies that nothing under this 
section will affect the requirements of part B of the 
Individuals with Disabilities Education Act.
    New Section 1115(f) stipulates that the amount of 
assistance provided under part A for a student who transfers 
shall not exceed the per pupil expenditures for students as 
provided by the local educational agency that serves the school 
involved in the transfer.
    Section 117--Assessment and Local Educational Agency and 
School Improvement. Section 117(1) amends section 1116(a) of 
the act by specifying that a local educational agency receiving 
funds under part A of title 1 shall: use the State assessments 
described in the State plan; use any additional measures or 
indicators to review the progress of each school in meeting the 
State's student performance standards; and provide the results 
of the local annual review to schools. Following the annual 
review, each local educational agency shall prepare and 
disseminate an annual performance report.
    Section 117(2) amends section 1116(c) of the act to 
describe school improvement criteria. A local educational 
agency shall identify for school improvement any school (served 
under part A of title I) that for 2 consecutive years failed to 
make adequate yearly progress as defined in section 111. In the 
case of a targeted assistance program, a local educational 
agency may review the progress of only those students served 
under part A of title I. Before identifying a school for school 
improvement, the local educational agency will provide the 
school with an opportunity to review the data. Each school that 
is identified must develop a plan that addresses the teaching 
and learning needs in the school. The plan must include: a 
description of the specific achievement problems; research-
based strategies that are likely to improve student 
performance; activities for addressing the need for high-
quality professional development; activities that will enable 
the school to meet adequate yearly progress; responsibilities 
of the school and the local educational agency; and strategies 
to promote effective parental involvement. Each school will 
notify the parents of the students regarding the status of the 
school as a school needing improvement. Each identified school 
will receive technical assistance. In addition to providing 
technical assistance, each local educational agency is required 
to implement a system of corrective action, which must occur 
when the identified school fails to make adequate yearly 
progress at the end of the second year of the school's 
identification. A local educational agency must take one of the 
following corrective actions (consistent with State and local 
law): instituting a new curriculum; restructuring the school; 
developing and implementing a joint plan between the local 
educational agency and the school that addresses specific 
student performance problems; reconstituting school staff; 
decreasing decision making authority at the school level. The 
section also references a list of permissible corrective 
actions that a local educational agency may implement. A local 
educational agency may delay corrective action for 1 year if 
the local educational agency determines that the school is 
meeting the specific yearly progress requirements and the 
school will meet the State's criteria for adequate yearly 
progress within 1year. A local educational agency shall be 
required to provide all students enrolled in an identified school with 
an option to transfer to any public school or public charter school 
within the local educational agency (schools not identified as needing 
improvement) or enter into a cooperative agreement for the purposes of 
transfer with other local educational agencies (only occurs if all 
schools within the original local education agency are identified as 
schools needing school improvement). The public school choice provision 
must be carried out in accordance with State and local law.
    The local educational agency in which the schools have been 
identified may use part A of title 1 funds to provide 
transportation to students transferring to another school. The 
amount of transportation assistance shall not exceed the per 
pupil expenditure for elementary or secondary school students 
as provided by the local educational agency that serves the 
school involved in the transfer. Once a school is no longer 
identified for school improvement, the local educational agency 
shall continue to provide public school choice as an option to 
students in such school for a period of not less than 2 years. 
Schools that for at least 2 of the 3 years following 
identification make adequate progress toward meeting the 
State's performance levels shall no longer need to be 
identified for school improvement. The State educational agency 
shall review any waivers approved for an identified school and 
shall terminate any waiver approved waiver if the State 
determines that the waiver is not helping the identified school 
to make yearly progress.
    Section 117(3) amends section 1116(d) of the act to specify 
that a State educational agency shall annually prepare an 
annual performance report. The performance report shall contain 
information regarding local educational agency performance in 
making adequate yearly progress and the progress of the local 
educational agency in enabling students to meet the State 
levels of performance. If a local educational agency is 
identified as an entity needing improvement, the local 
educational agency shall submit a plan that includes: specific 
yearly progress requirements; addresses the teaching and 
learning needs in the schools within the local educational 
agency; incorporates research-based strategies; addresses 
professional development needs of the instructional staff; 
identifies specific goals and objectives the local educational 
agency will undertake for making adequate yearly progress; 
identify how the local educational agency will provide written 
notification to parents; the responsibilities of the State 
educational agency and the local educational agency; and 
strategies for effective parental involvement. The local 
educational agencies needing improvement will be provided with 
technical assistance. After providing technical assistance, 
each State educational agency shall implement corrective action 
for any local educational agency that fails to make adequate 
yearly progress and shall continue to provide technical 
assistance while implementing any corrective action. Consistent 
with State and local law, the State educational agency shall 
not take less than 1 of the following corrective actions: 
instituting and implementing a new curriculum; restructuring 
the local educational agency; developing and implementing a 
joint plan between the State educational agency and the local 
educational agency that addresses student performance problems; 
reconstituting school district personnel or making alternative 
governance arrangements. This section also lists several 
permissible corrective actions that a State educational agency 
may implement. Prior to implementing any corrective action, the 
State educational agency shall provide a hearing to the 
affected local educational agency, if State law provides for a 
hearing process. A State educational agency may delay, for a 
period not to exceed one year, implementation of corrective 
action if the State educational agency determines that the 
local educational agency is meeting the State yearly progress 
requirements and the schools within the local educational 
agency will meet the State's criteria for improvement within 1 
year. The State educational agency shall review any waivers 
granted to a local educational agency that has been designated 
for improvement or corrective action and shall terminate any 
waiver that is not helping the local educational agency meet 
the yearly progress requirements.
    Section 118--Assistance for School Support and Improvement. 
Section 118(1) amends section 1117(a) of the act to list the 
priorities for a State educational agency for providing support 
to local educational agencies. First, the State educational 
agency must provide support and assistance to local educational 
agencies that have received corrective action. Second, the 
State educational agency must provide support and assistance to 
other local educational agencies and schools identified as in 
need of improvement. Third, the State educational agency must 
provide support and assistance to other local educational 
agencies and schools participating under part A of title I that 
need support and assistance to carry out the purpose of part A.
    Section 118(2) amends section 1117(c)(1) of the act to 
specify that technical assistance shall be provided through 
several approaches such as: school support teams; the 
designation and use of distinguished teachers and principals; 
implementation of research-based comprehensive school reform 
models; and a review process designed to develop high quality 
school improvement plans. This section also enables a State, if 
the State chooses to do so, to recognize and provide financial 
rewards to teachers or principals in a school where the 
students have consistently made significant gains in academic 
achievement.
    Section 119--Parental Involvement. Section 119(1) and (2) 
amends section 1118(a)(2)(B) and 1118(b)(1) of the act to make 
technical amendments to current law.
    Section 119(3) amends section 1118(e) of the act to enable 
a school district, if the school district chooses to do so, to 
establish a school district parent advisory council. This 
section also provides for other support for parental 
involvement activities.
    Section 119(4) amends section 1118(f) of the act to make 
technical amendments to current law.
    Section 119(5) amends section 1118(g) of the act to specify 
that in a State where a parental information and resource 
center is established, such a center shall provide parents with 
a description of the services and programs provided the center.
    Section 120--Professional Development. Section 120(1) 
amends section 1119(b) of the act to establish that 
professional development activities shall provide support to 
teachers, principals, administrators, paraprofessionals, pupil 
services personnel, and parents. Professional development 
initiatives shall be of sufficient intensity and duration to 
have a positive and lasting impact. This section also refers to 
providing training for teachers in the use of technology 
andincludes strategies for identifying and eliminating racial and 
gender bias in instructional materials and practices.
    Section 120A--Participation of Children Enrolled in Private 
Schools. Section 120A(2) amends section 1120(b) of the act to 
specify that the local educational agency shall make decisions 
about the delivery of services to eligible private school 
children, including an analysis of the views of private school 
officials regarding the delivery of services through potential 
third party providers. If the local educational agency 
disagrees with the views of the private school officials on the 
delivery of services, the local educational agency will provide 
a written document, to private school officials, with the 
reasons why the local educational agency has chosen not to 
provide the services. Each local educational agency will 
provide to the State educational agency a written affirmation 
that the consultation has occurred. If a private school 
declines to have eligible children in the private school 
participate in title I, part A services, the local educational 
agency is not required to further consult with the private 
school officials. Each year, the local educational agency shall 
inform the private school of the opportunity for eligible 
children to participate in title I, part A services. A private 
school official shall have the right to appeal the local 
educational agency decision to the State educational agency as 
to whether: the consultation was meaningful; timely; and the 
views were given due consideration.
    Section 120A(3) amends section 1120 of current law to 
redesignate subsections (c), (d), and (e) as subsections (d), 
(e), and (f).
    Section 120A(4) amends section 1120 of the act to add a 
provision to describe the allocation for equitable services to 
private school students.
    Section 120B--Early Childhood Education. Section 120B(1) 
and (2) amends the heading of section 1120B and section 1120C 
to make technical changes to the act.
    Section 120B(3) amends section 1120B to add 2 new 
subsections (1120(d) and (e)) to permit a local educational 
agency, if the local educational agency chooses to do so, to 
use part A of title I funds to provide preschool services. New 
subsection 1120(e) establishes that early childhood education 
programs that use part A of title I funds may do so jointly 
with Even Start programs, Head Start programs, or State funded 
preschool programs. Early childhood education programs shall: 
focus on the developmental needs of children; teach children to 
understand and use language; enable children to develop an 
appreciation of books; and for children with limited English 
proficiency, enable the children to make progress toward 
acquisition of the English language.
            Subpart 2--Allocations
    Section 1121--Grants for the Outlying Areas and the 
Secretary of the Interior. Section 1121(a) specifies the 
reservation of funds.
    Section 1121(b)(2) is amended to authorize grants to the 
outlying areas through fiscal year 2001 in accordance with the 
latest action on the Compacts of Free Association.
    Section 1121(c) specifies the allotment that is reserved 
for the Secretary of the Interior to meet the educational needs 
of Indian children.
    Section 1122--Amounts for Basic Grants, Concentration 
Grants, and Targeted Grants. Section 1122(a) establishes the 
level of the appropriation of funds for each of 3 programs 
under part A of title I for fiscal years 2001 through 2005. The 
section specifies that funds for part A of title I shall be 
allocated in such a way that the Basic and Concentration Grant 
programs shall receive an amount equal to the amount received 
in fiscal year 2000 before funding is allocated to the Targeted 
Grant Program. Funding that is appropriated in excess of the 
fiscal year 2000 level shall be allocated to the Targeted Grant 
Program. In the event that funding for part A of title I is 
reduced in any fiscal year, funds shall first be reduced from 
the Targeted Grant Program. If additional reductions are 
necessitated, funding shall then be taken from the 
Concentration Grant program.
    Section 1122(b) describes the adjustments to the 
allocations where necessitated by the appropriations process. 
The ratable reduction rule is utilized to determine the 
relative size of each State's allocation when full funding is 
not available.
    Section 1122(c) establishes the hold harmless provisions 
that determine the amount of title I funding that a local 
education agency may receive as a result of changes in absolute 
and relative population and poverty. If the proportion of 
children counted is above 30 percent of the children served by 
the local education agency, it will receive not less than 95 
percent of the amount it received in the previous year. If the 
proportion of children counted is between 15 percent and 30 
percent of the children served by the local education agency, 
it will receive not less than 90 percent of the amount it 
received in the previous year. If the proportion of children 
counted falls below 15 percent of the children served by the 
local education agency, it will receive not less than 85 
percent of the amount it received in the previous year. The 
section is amended to eliminate the ``cliff'' phenomenon 
whereby a local education agency that loses eligibility during 
one year as a result of a change in population or poverty loses 
all of its funds. A local education agency that received 
funding in the prior year is eligible to continue to receive 
funding in accordance with the hold harmless provisions. A 
local education agency that loses eligibility for 5 consecutive 
years may not continue receive funding.
    Section 1122(d) describes ratable reductions.
    Section 1123--Definitions. Section 1123 defines freely 
associated States, outlying areas, and State for the purposes 
of distributing the allocations.
    Section 1124--Basic Grants to Local Educational Agencies. 
Section 1124(a) specifies the amounts of the local educational 
agencies basic grants. This section also describes and 
simplifies the formula by which grants are calculated. Section 
1124(a) outlines the allocations to large and small local 
educational agencies. In addition, this section establishes the 
formula for Puerto Rico.
    Section 1124(a) provides authority to calculate grants on 
the basis of county data in the event that the Department of 
Census fails to provide local education agency specific data.
    Section 1124(b) specifies the minimum number of children a 
local educational agency must have to qualify for a basic 
grant.
    Section 1124(c) describes the categories that are used for 
counting the number of children for basic grants.
    Section 1124(d) establishes the State minimum for basic 
grants.
    Section 1124A--Concentration Grants to Local Educational 
Agencies. Section 1124A(a) specifies the eligibility 
requirements and amount of grants.
    Section 1124A(B) is amended to simplify the reference to 
the basic grant expenditure factor.
    Section 1124A(B)(4) is amended to eliminate reference to 
the county suballocation formula in effect for fiscal years 
1996-1998. Authority for the States to allocate funding on the 
basis of county data is retained for any year in which the 
Secretary relies upon county data in lieu of local education 
agency data. The section retains authority for a State to 
reserve 2% of its allocations (when county data is utilized) to 
make grants to eligible local educational agencies that reside 
in ineligible counties.
    Section 1124A(b) establishes the ratable reduction rule 
utilized for making allocations when full funding is not 
available.
    Section 1124A(c) is amended to allow a state that receives 
0.25 percent or less of the available funds, but does not 
receive a grant in accordance with the formula used to 
determine the small grant minimum, to allocate these funds to 
local education agencies in accordance with the same rules 
applied to allocation by states that receive a grant in 
accordance with the small grant minimum.
    Section 1125--Targeted Grants to Local Educational 
Agencies. Section 1125(a) specifies the eligibility 
requirements for local educational agencies.
    Section 1125(b) establishes the amount of grants for local 
educational agencies, the District of Columbia, and Puerto 
Rico.
    Section 1125(c) specifies the weights for allocations to 
counties and the weights for allocations to local educational 
agencies.
    Section 1125(d) describes how targeted grants are 
calculated.
    Section 1125(e) establishes the State minimum.
    Section 1125A--Education Finance Incentive Program. Section 
1125A(a) authorizes the Secretary to make grants to States.
    Section 1125A(b) specifies the distribution of funds for 
this subsection which is based upon fiscal effort and equity.
    Section 1125A(c) describes how funds awarded under this 
subsection will be utilized.
    Section 1125(d) establishes maintenance of effort.
    Section 1125(e) authorizes $200,000,000 for fiscal year 
2001 and such sums for each of the 4 succeeding years.
    Section 1126--Special Allocation Procedures. Section 
1126(a) specifies the allocations for neglected children.
    Section 1126(b) describes allocations for local educational 
agencies that have special circumstances.
    Section 1126(c) specifies the reallocation process.
    Section 1127--Carryover and Waiver. Section 1127(a) 
specifies the limitation on carryover funds.
    Section 1127(b) establishes waiver authority for a State 
educational agency.
    Section 1127(c) specifies that the limitation on carryover 
funds does not apply to any local educational agency that 
receives less than $50,000 under subpart 2.
    Section 120D--Establishment of the Child Centered Program. 
Section 120D amends part A of title I by creating a new subpart 
3.
            Subpart 3--Child Centered Program
    New Section 1131--Definitions. This section defines several 
terms that are mentioned in the Child Centered Program.
    New Section 1132--Child Centered Program Funding. New 
section 1132(a) establishes that not more than 10 States and 
not more than 20 local educational agencies may participate in 
the Child Centered Program.
    New Section 1132(b) permits local educational agency 
participation. If a State does not have a Child Centered 
Program, a local educational agency within the State may carry 
out such a program. In order for a local educational agency to 
participate, the local educational agency shall obtain approval 
from the State for submission of its application, but not the 
contents of the application.
    New Section 1132(c) describes the grant specifications for 
the Child Centered Program. The Secretary shall award grants to 
each State or participating local educational agency that has 
an application approved. $500,000,000 is authorized for each 
year of implementation.
    New Section 1133--Child Centered Program Requirements. New 
section 1133(a) requires the State or participating local 
educational agency to establish a per pupil amount based on the 
number of eligible children in the State or school district 
served by the local educational agency. The State of 
participating local educational agency may vary the per pupil 
amount by taking into account various factors. For a Child 
Centered Program at a public school, the State or the 
participating local educational agency shall make available the 
per pupil allocation which will be used for supplemental 
education services. The supplemental education services will be 
provided by the school directly or through supplemental 
services with a governmental or non-governmental agency, 
school, postsecondary educational institution, another entity; 
or if directed by the parent of an eligible child, the 
supplemental services may be provided through a school-based 
program or through a tutorial service provider. In the case of 
a tutorial assistance provider, the school or local educational 
agency shall ensure that the provider selected by the parent is 
reimbursed for their services following notification, by the 
parent, to the school or local educational agency that the 
services were satisfactory.
    New Section 1133(b) describes the Child Centered Program as 
it applies to schoolwide programs. A public school, in which 50 
percent of the students are eligible children, may use Child 
Centered Program funds in combination with other Federal, 
State, and local funds to carry out a schoolwide program. If 
the public school does not have a schoolwide plan approved 
under section 1114, the public school shall develop and adopt a 
comprehensive plan for reforming the school's educational 
program. If a public school is operating a schoolwide 
initiative under a Child Centered Program, the Secretary may 
exempt the Child Centered Program from statutory or regulatory 
requirements of any other noncompetitive formula grant program 
or any discretionary program administered by the Secretary 
(other than those programs under the Individuals with 
Disabilities Education Act) to support the schoolwide 
initiative if the purposes of the other noncompetitive and 
discretionary programs are met.
    New Section 1133(c) stipulates that a State or 
participating local educational agency that has a Child 
Centered Program shall ensure that eligible children who are 
enrolled in a private school shall receive supplemental 
education services as described under section 120A.
    New Section 1133(d) requires that in order to be eligible 
to operate a Child Centered Program, a State or participating 
local educational agency must operate a statewide or school 
district wide open enrollment program that permits parents to 
enroll their child in any public school in the State or school 
district. The open enrollment requirement may be waived if the 
State or participating local educational agency demonstrates 
that the parents have sufficient options to enroll their child 
in multiple public schools or shall have sufficient options to 
use the per pupil amount made available to purchase 
supplemental education services from multiple assistance 
providers or schools.
    New Section 1133(e) describes parental involvement as it 
pertains to the Child Centered Program. Any public school 
receiving Child Centered Program funds shall hold an annual 
meeting to explain the program, the curriculum in use at the 
school, the forms of assessment used to measure student 
progress, and the proficiency levels students are expected to 
meet.
    New Section 1134--Application. New section 1134(a) 
describes the information that must be in the Child Centered 
Program application. The information shall include: a detailed 
description of the program to be assisted; an assurance that 
the State or participating local educational agency shall 
publish in a widely read medium an annual report card; in the 
case of an application from a participating local educational 
agency, an assurance that the local educational agency has 
notified the State regarding the submission of the application; 
a description of specific measurable objectives for improving 
student performance; a description of the process the State or 
participating local educational agency will use to measure 
progress; in the case of a State application, an assurance that 
the State or local educational agency meet the requirements of 
section 1111; and an assurance that each local educational 
agency meet the requirements of section 1116.
    New Section 1135--Administrative Provisions. New section 
1135(a) stipulates that a State or participating local 
educational agency shall carry out a child centered program for 
5 years.
    New Section 1135(b) permits a State to reserve 2 percent 
and a local educational agency to reserve 5 percent of the 
funds to pay the costs of administrative expenses of the Child 
Centered Program.
    New Section 1135(c) requires the State educational agency 
and each participating local educational agency carrying out a 
Child Centered Program to submit an annual report to the 
Secretary.
    New Section 1135(d) requires the Secretary to review each 
Child Centered Program during the third year of its existence.
    New Section 1135(e) describes the treatment of the amounts 
received. The per pupil amount provided for under this subpart 
shall not be treated as income of the eligible child or the 
parent of the eligible child for purposes of Federal tax or for 
determining the eligibility for other Federal assistance.
    New Section 1136--Evaluation. New section 1136(a) describes 
the annual evaluation process.
    New Section 1136(b) stipulates that the Comptroller General 
in consultation with the Secretary shall establish minimum 
criteria for the Child Centered Program.
    New Section 1137--Report. This section requires the 
Comptroller General to submit an interim report and a final 
report to Congress regarding the findings of the annual 
evaluations of the Child Centered Program.
    New Section 1138--Limitation on Conditions; Preemption. 
This section stipulates that nothing under Subpart 3 shall be 
construed to authorize or permit a Federal Government officer 
or employee to control specific instructional content or 
student performance standards and assessments, curriculum, or 
instruction. In addition, nothing under Subpart 3 shall be 
construed to authorize or permit a Federal Government officer 
or employee to preempt any provision of a State constitution or 
State statute that pertains to the expenditure of State funds 
in or by religious institutions.

Part B--Even Start Family Literacy Programs

    Section 121--Even Start Family Literacy Programs. Section 
121(a) amends section 1202(a) of the act to authorize a 
reservation of funds for migrant programs, outlying areas, and 
Indian Tribes.
    Section 121(b) amends section 1202(b) of the act to 
authorize a reservation for Federal activities which consists 
of an evaluation, technical assistance, program improvement, 
and research.
    Section 121(c) amends part B of title I of the act. In 
addition to authorizing the grant program as described under 
current law, this section adds a new State plan section to the 
act.
    New Section 1202A--State Plan. Section 1202A(a) describes 
the contents of the State plan. Each plan shall: include the 
State's indicators of program quality; describe how the State 
will use the indicators; describe how the State will fully 
implement the program; describe how the State will conduct 
competition for subgrants; and describe how the State will 
coordinate resources to improve family literacy services.
    Section 1202A(b) describes the duration of the State plan.
    Section 1202A(c) describes the use of funds for Family 
Literacy Services. A State shall give priority to programs that 
were of low quality as evaluated based on the indicators. 
Technical assistance shall also be provided.
    Section 1202A(d) makes technical amendments to section 1204 
of the act.
    Section 1202A(e) amends section 1205 of the act. This 
section establishes that the program will provide high quality, 
intensive family literacy services using instructional 
approaches based on effective research. The program shall also 
use methods that ensures that participating families 
successfully complete the program.
    Section 1202A(f) amends section 1206(b). The section is 
amended by adding a provision that allows an Even Start program 
to permit the participation of children 8 years of age or older 
if the Even Start program collaborates with a program funded 
under part A of title I.
    Section 1202A(g) makes technical amendments to section 
1207(c)(1)(F) of the act.
    Section 1202A(h) amends section 1208 of the act. In 
awarding subgrant funds to continue a program after the first 
year, the State educational agency shall review and evaluate 
the progress of each eligible entity.
    Section 1202(i) amends section 1210 of the act by 
describing the indicators program quality.
    Section 1202(j) amends the following parts of section 1211.
    Section 1211--Research. Section 1211(a) establishes that 
the Secretary, in consultation with the National Institute for 
Literacy may conduct research on family literacy services.
    Section 1211(b) requires the Secretary to ensure that the 
results of the research are disseminated.

Part C--Education of Migratory Children

    Section 131--Program Purpose. Section 131 amends section 
1301 of the act to make technical amendments to add two new 
purposes. The new purposes ensure that: migratory children who 
move among the States are not penalized in any manner by 
disparities among the States in curriculum, graduation 
requirements, and State student performance and content 
standards and that migratory children receive full and 
appropriate opportunities to meet the same challenging State 
standards that all children are expected to meet.
    Section 132--State Application. Section 132 amends section 
1304 of the act to require new information for the State 
application. This information includes a description of joint 
planning efforts with respect to local, State, and Federal 
programs and bilingual programs under part A of title VII. In 
addition, States will also be required to consult with parent 
advisory councils for the purposes of planning and operating 
programs.
    Section 133--Comprehensive Plan. Section 133 makes 
technical amendments to section 1306 of the act.
    Section 134--Coordination. Section 134(1) amends section 
1308(b) of the act to establish a national system for 
electronically exchanging, among the States, health and 
educational information regarding all students served under 
this program.
    Section 134(2) amends section 1308(c) to authorize 
$10,000,000 to carry out this section.
    Section 134(3) amends section 1308(d)(1) to authorize 
$3,000,000 to carry out incentive grants as described under 
current law.
    Section 134(4) amends section 1308(e) to require the 
Secretary to direct the National Center for Education 
Statistics to collect data on migratory children.
    Section 141--Parental Assistance. This section amends title 
I by adding the following:

Part D--Parental Assistance

    New Section 1401--Parental Information and Resource 
Centers. This section states the purpose of this part which is 
to: (1) provide leadership, technical assistance, and financial 
support to nonprofit organizations and local educational 
agencies to help implement successful and effective parental 
involvement policies, programs, and activities; (2) strengthen 
partnerships among parents, teachers, principals, 
administrators, and other school personnel; (3) develop and 
strengthen the relationship between parents and the schools; 
and (4) further the developmental progress of children.
    New Section 1401(b) authorizes the Secretary to award 
grants (while ensuring geographic distribution of grants) to 
nonprofit organizations, or consortia of nonprofits and local 
educational agencies, to establish school-linked or school-
based parental information and resource centers to provide 
training, information, and support to parents of elementary and 
secondary school students, individuals who work with parents, 
and organizations that carry out parent education and family 
involvement programs.
    New Section 1402--Applications. This section requires 
agencies and organizations seeking grants under this part to 
submit an application to the Secretary which must include a 
broad range of assurances. Each organization or consortium 
receiving a grant will be governed by a board of directors 
which includes parents or organizations that represent parents. 
At least \1/2\ of the overall funding provided each fiscal year 
must serve areas with high concentrations of low-income 
families.
    New Section 1403--Uses of Funds. This section states that 
grant funds shall be used to: (1) assist parents in 
participating effectively in their children's education; (2) 
obtain information about the range of options, programs, 
services, and resources available at all levels of the 
government to assist parents and school personnel who work with 
parents; (3) help parents learn and use the technology applied 
in their children's education; (4) plan, implement, and fund 
activities for parents that coordinate the education of their 
children with other Federal programs that serve their children; 
and (5) provide support for State or local educational 
personnel if the participation of such personnel will further 
the activities assisted under the grant.
    New Section 1404--Technical Assistance. This section states 
that the Secretary shall provide technical assistance, by grant 
or contract, for the establishment, development, and 
coordination of parent training, information, and support 
programs and parental information and resource centers.
    New Section 1405--Reports. This section requires agencies 
and organizations receiving assistance under this part to 
submit to the Secretary, on an annual basis, information 
concerning parental information and resource centers assisted 
under this part.
    New Section 1405(b) requires the Secretary to annually 
disseminate to the public and the Congress, the information 
that each organization or consortium submits.
    New Section 1406--General Provisions. This section states 
that no person shall be required to participate in a parent 
education or developmental screening program. In addition, no 
program or center assisted under this part shall take any 
action that infringes on the right of a parent to direct the 
education of their children.

Part E--Federal Evaluations, Demonstrations, and Transition Projects

    Provisions of part E, title I remain the same as in current 
law.
    Section 151--General Provisions; Comprehensive School 
Reform; Assistance to Address School Dropouts. This section 
amends part A of title I by redesignating part F as part H; 
sections 1601 through 1604 as sections 1901 through 1904, 
respectively; and by inserting 2 new parts to follow part E of 
title I, including: Part F (Comprehensive School Reform) and 
part G (Assistance to Address School Dropouts). Provisions of 
the new part H, title I (General Provisions) remain the same as 
current law.

Part F--Comprehensive School Reform

    New Section 1601--Purpose. This section states the purpose 
of this part which is to provide financial incentives for 
schools to develop comprehensive school reforms based upon 
effective practices and research-based programs that emphasize 
basic academics and parental involvement so that all children 
can meet State content and student performance standards.
    New Section 1602--Program Authorization. This section 
authorizes the Secretary to award grants to State educational 
agencies, by formula to enable them to provide subgrants to 
local educational agencies to carry out the purpose of this 
part.
    New Section 1603--State Applications. This section requires 
State educational agencies seeking a grant to submit an 
application to the Secretary, describing such items as: process 
andselection criteria; how the State educational agency will 
ensure that reforms are research-based programs; how the State 
educational agency will evaluate the implementation of reforms and link 
the reforms to student achievement; and how the State educational 
agency will make available technical assistance to the local 
educational agencies or consortia.
    New Section 1604--State Use of Funds. This section requires 
State educational agencies receiving grants to award 
competitive subgrants to local educational agencies. The 
subgrants must be of sufficient size and scope to support the 
initial costs for the plan selected or designed, in an amount 
of at least $50,000, and renewable for 2 additional one-year 
periods. The State educational agency must give priority 
consideration to local educational agencies that plan to use 
the funds for schools identified as being in need of 
improvement or corrective action and demonstrate a commitment 
to assist schools with budget, professional development, and 
other strategies to ensure reforms are properly implemented and 
sustained. The State educational agency shall distribute 
subgrants equitably to different geographic regions within the 
State, including urban and rural areas. State educational 
agencies may not reserve more than 5 percent of the grant funds 
for administrative, evaluation, and technical assistance 
expenses.
    New Section 1605--Local Applications. This section requires 
local educational agencies or consortia seeking subgrants under 
this part to submit an application to the State educational 
agencies for consideration.
    New Section 1606--Local Use of Funds. This section requires 
local educational agencies or consortia receiving a subgrant to 
provide funds to schools eligible for assistance under part A 
to support a variety of reform activities.
    New Section 1607--National Evaluation and Reports. This 
section requires the Secretary to develop a plan for a national 
evaluation of the programs assisted under this part. The 
evaluation shall examine the implementation and results 
achieved by schools after 3 years of implementing school 
reforms and the effectiveness of reforms in schools with 
diverse characteristics.

Part G--Assistance to School Dropouts

    New Section 1701--Purpose. This section states the purpose 
of this part which is to provide school dropout prevention and 
to raise academic achievement levels.
            Subpart 1--Coordinated National Strategy
    New Section 1711--National Activities. This section 
authorizes the Secretary to: (1) conduct data regarding 
participation in Federal dropout prevention and school reentry 
programs; (2) establish an interagency working group to address 
dropout prevention and school reentry issues; and (3) create a 
national recognition program for schools that have made 
extraordinary progress in lowering dropout rates.
            Subpart 2--National School Dropout Prevention Initiative
    New Section 1721--Program Authorized. This section states 
that funds under this part will be allocated to States based on 
the title I formula.
    New Section 1721(b) authorizes funds provided to states 
under this subpart be used by State educational agencies to 
award grants to public middle or secondary schools that have 
dropout rates that are in the highest one-third of dropout 
rates in the State for the purpose of supporting dropout 
prevention programs.
    New Section 1721(c) specifies that first-year grants to 
schools may not be of an amount less than $50,000 and not more 
than $100,000, with grant amounts decreasing during each year 
of participation in the program. Schools which create smaller 
learning communities are eligible for a 10 percent increase in 
the amount of their grant.
    New Section 1721(d) states that grants under this subpart 
may be awarded for a duration of 5 years.
    New Section 1722--Strategies and Capacity Building. This 
section requires schools receiving grants under this subpart to 
use grant funds for research-based, sustainable, and widely 
replicated strategies for dropout prevention and school reentry 
programs serving the entire school population.
    New Section 1722(b) authorizes the Secretary to award up to 
5 contracts with non-Federal entities, for a capacity building 
and design initiative to increase the proven strategies.
    New Section 1722(c) authorizes the Secretary to offer 
support to entities with experience in providing training and 
related assistance to offer such assistance to schools 
receiving grant funds.
    New Section 1723--Selection of Schools. This section 
requires schools seeking a grant under this subpart to submit 
an application, containing specific information, to the State 
educational agency.
    New Section 1723(b) requires State educational agencies to 
review applications and award grants to schools after a review 
by a panel of experts on school dropout prevention.
    New Section 1723(c) specifies that to be eligible to 
receive a grant under this subpart, schools must serve at least 
50 percent of students who are low-income or participate in a 
school-wide program.
    New Section 1724--Dissemination Activities. This section 
requires schools receiving agrant under this subpart to provide 
information and technical assistance to other schools within the school 
district.
    New Section 1725--Progress Incentives. This section states 
that local educational agencies shall use funding under this 
title to provide assistance to schools that have not made 
progress toward lowering school dropout rates after receiving 
assistance under this subpart for 2 fiscal years.
    New Section 1726--School Dropout Rate Calculation. This 
section specifies that in order to calculate a school dropout 
rate, schools shall use: (1) ``the annual event school dropout 
rate for students leaving a school in a single year determined 
in accordance with the National Center for Education 
Statistics' Common Core of Data,'' or (2) a standard method 
determined by the State educational agency.
    New Section 1727--Reporting and Accountability. This 
section requires schools receiving funding under this subpart 
to provide, on an annual basis, a report to the Secretary 
regarding the status of the implementation of activities funded 
under this subpart.
    New Section 1728--State Responsibilities. This section 
requires State educational agencies to report to the Secretary, 
1 year after the enactment of the Educational Opportunities 
Act, all school district and school data regarding school 
dropout rates.
    New Section 1728(b) requires State educational agencies 
receiving funds under this part to develop and implement 
education funding formula policies for public schools that 
provide appropriate incentives to retain students in school.
    New Section 1728(c) requires State educational agencies 
receiving funds under this part to develop uniform, long-term 
suspension and expulsion policies for serious infractions 
resulting in more than 10 days of exclusion from school.
            Subpart 3--Definitions; Authorization of Appropriations
    New Section 1731--Definitions. This section provides the 
meanings of certain terms used in this part, including: ``low-
income'' and ``school dropout.''
    New Section 1732--Authorization of Appropriations. This 
section authorizes funding levels of $5 million for subpart 1 
and $145 million for subpart 2 for fiscal year 2001 and ``such 
sums as may be necessary for each of the 4 succeeding fiscal 
years.'' Within subpart 2, $125 million is available to carry 
out section 1721 and $20 million for section 1722.

                       Title II--Teacher Quality

    Section 201--Teacher Quality. Section 201 amends Title II 
to strike all of Part A and insert new provisions, renaming 
Title II as ``TEACHER QUALITY'' and Part A as ``Teacher 
Empowerment.''

Part A--Teacher Empowerment

    Provisions of the new Title II, Part A include:
    Section 2001--Purpose. Section 2001 states the purpose of 
Part A is to provide grants to States and local educational 
agencies to help increase student achievement and performance 
by improving teacher quality.
            Subpart 1--Grants to States
    Section 2011--Formula Grants to States. Section 2011(a) 
includes general provisions dealing with formula grants to 
States, providing that States with applications approved by the 
Secretary will receive grants in order to make subgrants to 
local educational agencies and eligible partnerships as well as 
to carry out specified statewide activities.
    Section 2011(b) establishes allotments, as follows:
          \1/2\ of 1 percent is reserved for the outlying areas 
        (United States Virgin Islands, Guam, American Samoa, 
        and the Commonwealth of the Northern Mariana Islands), 
        provided that the amount reserved does not exceed the 
        amount received for this purpose in fiscal year 2000;
          \1/2\ of 1 percent is reserved for the Secretary of 
        the Interior for professional development activities in 
        schools operated or funded by the Bureau of Indian 
        Affairs, provided that the amount reserved does not 
        exceed the amount received for this purpose in fiscal 
        year 2000;
          The 50 states, the District of Columbia, and the 
        Commonwealth of Puerto Rico will first receive an 
        allotment equal to the amount received in fiscal year 
        2000 from the Eisenhower Professional Development 
        Program and the Class Size Reduction program--subject 
        to ratable reduction if appropriations are insufficient 
        to fund the hold-harmless. Amounts above the FY 2000 
        level will be allocated based on the number of 
        individuals age 5 through 17 in the State (50 percent) 
        and on the number of individuals age 5 through 17 from 
        families with incomes below the poverty line (50 
        percent). No State may receive less than \1/2\ of 1 
        percent of the total amounts above the fiscal year 2000 
        level.
          If a State does not apply for funds, the funding it 
        would have received will be reallotted among the 
        remaining States on the basis described above.
    Section 2012--Allocations Within States. Section 2012(a) 
requires States to use grant funds to carry out activities for 
the improvement of teaching and learning as provided by this 
section.
    Section 2012(b) requires that each State use at least 90 
percent of funds to make subgrants to local educational 
agencies and eligible partnerships. The remaining funds may be 
used for authorized State activities. No more than 5 percent of 
the funds retained by the State may be used for planning and 
administration.
    Section 2012(c) provides that:
          95 percent of the funds available for subgrants be 
        allocated to local educational agencies on the basis of 
        enrollment in public and private nonprofit elementary 
        schools and secondary schools in the State (25 percent) 
        and of the number of individuals age 5 through 17 from 
        families with incomes below the poverty line in the 
        State (75 percent). Subgrants are to be used to carry 
        out activities described in subpart 3;
          5 percent of the funds available for subgrants be 
        awarded by the State Agency for Higher Education 
        through a competitive process open to eligible 
        partnerships. Not more than 5 percent of the funds made 
        available to eligible partnerships may be used for 
        planning and administration.
    Section 2013--State Use of Funds. Section 2013(a) specifies 
the activities a State may conduct with the funds reserved for 
statewide use. These activities include: (1) reforming teacher 
certification/recertification or licensing requirements to 
ensure that--teachers have teaching skills and academic content 
knowledge, requirements are aligned with State content 
standards, and teachers have the knowledge and skills necessary 
to help students meeting State student performance standards; 
(2) carrying out programs related to induction of new teachers 
and to alternative routes to State certification; (3) 
developing and implementing effective mechanisms for recruiting 
and retaining qualified teachers and principals; (4) developing 
or improving performance measures to evaluate the effectiveness 
of professional development programs; (5) developing or 
improving systems to evaluate the impact of teachers on student 
academic achievement and performance; (6) providing technical 
assistance to local educational agencies; (7) promoting 
reciprocity of teacher certification or licensure between or 
among States; (8) developing or assisting in the development of 
proven, innovative strategies to deliver intensive professional 
development programs; (9) supporting activities to encourage 
and support teachers seeking National Board for Professional 
Teaching Standards or other recognized entities; and (10) 
providing professional development activities involving 
training in advanced placement instruction.
    Section 2013(b) requires States which receive a grant under 
this subpart as well as a grant under Title II of the Higher 
Education Act to coordinate the activities carried out under 
both grants.
    Section 2014--Applications by States. Section 2104(a) 
provides that States must make application to the Secretary for 
funds under this subpart.
    Section 2014(b) requires that State applications include: 
(1) a description of how the State will ensure that local 
educational agencies that receive subgrants will comply with 
the requirements of subpart 3; (2) an assurance that the State 
will measure the annual progress of local educational agencies 
and schools with respect to improving student academic 
achievement and performance in accordance with part A of title 
I, closing achievement gaps, and increasing the percentage of 
classes in core academic subjects that are taught by highly 
qualified teachers and that the State will require each LEA and 
school to report to the public on its annual progress; (3) a 
description of how the State will hold LEAs and schools 
accountable for making annual progress; (4) a description of 
how the State will coordinate professional development 
activities provided under Federal, State, and local programs 
and how such coordination helps assure the effective use of 
technology by teachers, paraprofessionals, and principals; and 
(5) a description of how the State will encourage the 
development of proven, innovative strategies to deliver 
intensive professional development programs, (6) a description 
of how the activities to be carried out by the State under this 
part will be based on a review of relevant research and an 
explanation of why the activities are expected to improve 
student performance and outcomes.
    Section 2014(c) provides that a State application will be 
approved unless the Secretary makes a written determination 
within 90 days of receipt that the application is in violation 
of the provisions of this act.
            Subpart 2--Subgrants to Eligible Partnerships
    Section 2021--Partnership Grants. Section 2021(a) provides 
that the State agency for higher education, in conjunction with 
the State educational agency, shall award subgrants on a 
competitive basis to eligible partnerships assuring equitable 
geographic distribution within the State.
    Section 2021(b) sets out the use of funds by an eligible 
partnership, which include: (1) professional development 
activities in core academic subjects for teachers, 
paraprofessionals, and--if appropriate--principals; and (2) 
assistance to LEAs and individuals for professional development 
activities related to the use of State content standards, 
performance standards, and assessments--which may include 
programs for individuals who will provide such instruction to 
others within their schools.
    Section 2021(c) provides that no single participant in an 
eligible partnership may use more than 50 percent of the funds 
made available to the partnership.
    Section 2021(d) requires eligible partnerships which 
receive a grant under this subpart as well as a grant under 
Title II of the Higher Education Act to coordinate the 
activities carried out under both grants.
    Section 2021(e) defines ``eligible partnership'' as an 
entity which includes a high-need local educational agency, a 
school of arts and sciences, and an institution of higher 
education's division that prepares teachers--and which may 
include other LEAs, a public charter school, a public or 
private elementary or secondary school, an educational service 
agency, a public orprivate nonprofit educational organization, 
other institutions of higher education, a school of arts and sciences 
within such an institution, the division of such an institution that 
prepares teachers, a nonprofit cultural organization, an entity 
carrying out a pre-kindergarten program, a parent-teacher organization, 
a teacher organization, or a business.
            Subpart 3--Subgrants to Local Educational Agencies
    Section 2031--Local Use of Funds. Section 2031(a) sets out 
the professional development activities which LEAs receiving 
subgrants are required to conduct. These activities include: 
(1) professional development activities in mathematics and 
science--except that a LEA may retain a waiver granted 
previously; and (2) professional development activities that 
give teachers, paraprofessionals, and principals with the 
knowledge and skills to provide students with the opportunity 
to meet challenging State or local standards.
    Section 2031(b) sets out the professional development 
activities which LEAs receiving subgrants may conduct. These 
activities include: (1) recruiting and hiring certified 
teachers to reduce class size or to teach special education; 
(2) improving recruitment efforts through financial incentives 
for teachers in academic shortage areas, recruitment of 
professionals from other fields and from underrepresented 
groups, and establishment of hiring policies that ensure 
comprehensive recruitment efforts; (3) improving retention of 
highly qualified teachers and principals through activities 
such as mentoring and incentive programs; (4) improving the 
quality of the teaching force, including professional 
development activities related to technology, different 
learning styles, and discipline; and (5) providing teacher 
opportunity payments.
    Section 2032--Professional Development for Teachers. 
Section 2032(a) provides that all professional development 
activities must be directly related to the curriculum and 
academic subjects in which a teacher provides instruction or is 
designed to enhance the ability of a teacher, paraprofessional, 
or principal to understand and use State standards except in 
cases where the professional development deals with teaching 
children with different learning styles, disciplining children, 
or identifying early and appropriate interventions to assist 
children with different learning styles.
    Section 2032(b) provides that all professional development 
activities must also: (1) be measured in terms of the annual 
progress criteria to be reported by LEAs and schools; (2) be 
tied to challenging State or local standards; (3) be tied to 
promising and effective practices and research-based programs; 
(4) be of sufficient intensity and duration to have a lasting 
impact, except in cases where short-term activities are part of 
a comprehensive professional development plan; and (5) be 
developed with extensive participation of teachers, 
paraprofessionals, and principals.
    Section 2032(c) provides that any LEA which does not 
provide the required professional development activities (as 
determined by the State) may request technical assistance to 
come into compliance. Any LEA that does not comply for 2 
consecutive fiscal years must make teacher opportunity payments 
in an amount proportional to the amount expended for 
professional development activities in the second fiscal year 
in which the agency failed to comply. A portion of funds must 
be used for teacher opportunity payments if a request for such 
payment is made by a group of teachers in a school served by 
the LEA. A LEA that makes progress in the next two subsequent 
years shall not be required to provide teacher opportunity 
payments and a LEA that fails to make progress for the next two 
subsequent years shall request technical assistance from the 
State.
    Section 2032(d) defines ``professional development 
activity.''
    Section 2033--Teacher Opportunity Payments. Section 2033 
authorizes Teacher Opportunity Payments. The section permits 
LEAs to provide payments directly to a teacher or a group of 
teachers to participate in professional development activities 
which meet the requirements applied to LEA subgrants. LEAs must 
establish procedures for notifying teachers of the availability 
of such payments and for principals to recommend teachers for 
participation based on lack of full certification or the need 
for additional assistance. If funding is inadequate to honor 
all requests for payments, priority shall be given to teachers 
recommended by principals for participation.
    Section 2034--Local Application. Section 2034(a) provides 
that LEAs must apply to the State for a subgrant, with the 
application being coordinated with other programs carried out 
under ESEA.
    Section 2034(b) provides that local applications shall 
include: (1) a description of how funds are to be used; (2) an 
assurance that the LEA will target funds to schools that have 
the lowest proportions of highly qualified teachers or are 
identified for school improvement by other measures of school 
quality as determined and documented by the LEA; (3) a 
description of how professional development activities under 
this subpart will be coordinated with such activities provided 
through other Federal, State, and local programs; (4) a 
description of how the LEA will integrate funds under this 
subpart with funds received under title V, part A for 
professional development; (5) a description of how the LEA has 
collaborated with teachers, paraprofessionals, principals, and 
parents in preparation of the application and (6) a description 
of how the activities to be carried out by the LEA will be 
based on a review of relevant research and an explanation of 
why the activities are expected to improve student performance 
and outcomes.
            Subpart 4--National Activities
    Section 2041--Alternative Routes to Teaching and Promoting 
Excellence in Teaching. Section 2041(a) authorizes competitive 
grants to eligible consortia for the establishment of teacher 
academies which promote alternative routes to certification or 
model professional development activities. Programs promoting 
alternative routes to certification must include highly 
qualified individuals, provide stipends, provide master 
teachers to mentor students, and include a service requirement. 
Model professional development activities may include innovate 
programs, model curricula, and the development of innovative 
techniques to evaluate theeffectiveness of professional 
development programs. At least one grant must be made to an eligible 
consortium that includes a high-need local educational agency located 
in a rural area and makes extensive use of distance learning. No single 
participant in an eligible consortium may use more than 50 percent of 
the funds made available under the grant. An eligible consortium must 
include the State agency responsible for certifying or licensing 
teachers, at least one high-need local educational agency, a school of 
arts and sciences, and an institution that prepares teachers. It may 
also include LEAs, public charter schools, public or private elementary 
or secondary schools, educational service agencies, public or private 
nonprofit educational organizations, museums, or businesses.
    Section 2041(b) authorizes the Secretary to award grants to 
the National Board for Professional Teaching Standards to 
enable the Board to complete a system of national board 
certification for fiscal year 2001 and allows the Secretary to 
support activities to encourage and support teachers seeking 
advanced certification or advanced credentialing through high 
quality professional teacher enhancement programs designed to 
improve teaching and learning.
    Section 2041(c) authorizes competitive grants for teacher 
training programs relating to mathematics and science. Grants 
are to be used to encourage students, including young women to 
pursue math and science teaching and may include programs 
jointly developed by the grant recipient and by a business, 
industry, or institution of higher education.
    Section 2041(d) authorizes the Secretary, in consultation 
with the Director of the National Science Foundation, to award 
a grant or contract to continue the Eisenhower National 
Clearinghouse for Mathematics and Science Education and 
provides the authority for the Clearinghouse to use funds to 
provide information and resources in the areas of language arts 
and social studies.
    Section 2041(e) authorizes the Troops-to-Teachers Program 
allowing the Department of Education to fund the program and 
contract with the Department of Defense, Defense Activity for 
Non-Traditional Education Support (DANTES) for the 
administration of the program. The Secretary of Education would 
be permitted to retain a portion of the funds to identify LEAs 
with concentrations of low-income children and with teacher 
shortages and to identify States with alternative certification 
programs.
            Subpart 5--Funding
    Section 2051--Authorization of Appropriations. Section 2051 
authorizes $2 billion for fiscal year 2001, of which $40 
million will be used to carry out the national activities 
authorized under Subpart 4. ``Such sums as may be necessary'' 
are authorized for fiscal years 2002 through 2005.
            Subpart 6--General Provisions
    Section 2061--Definitions. Section 2061 includes 
definitions for the terms ``arts and sciences,'' ``core 
academic subjects,'' ``highly qualified,'' ``high-need local 
educational agency,'' ``out-of-field teacher,'' ``poverty 
line,'' and ``State.''
    Section 202--Leadership Education and Development Program. 
Section 202 amends title II to strike all of part B and insert 
new provisions, renaming part B as ``Leadership Education and 
Development Program.''

Part B--Leadership Education and Development Program

    Provisions of the new Title II, Part B include:
    Section 2201--Leadership Programs. Section 2201(a) defines 
``school leader'' as an elementary or secondary school 
superintendent, principal, assistant teacher or another 
individual in a management or leadership position with a State 
or region of a State whose work directly impacts teaching and 
learning relating to elementary and secondary education.
    Section 2201(b) authorizes the Secretary to award grants to 
State educational agencies, institutions of higher education, 
local educational agencies and nonprofit educational 
organizations (or consortia of such entities) to provide 
professional development to school leaders.
    Section 2201(c) sets out the criteria to be used in 
awarding grants, including the quality of the proposal, the 
educational need of the area to be served, and equitable 
geographic distribution.
    Section 2201(d) requires that application for funds be 
submitted to the Secretary.
    Section 2201(e) sets out the uses of grant funds, which 
include providing school leaders with training in leadership, 
management, and instructional skills; enhancing and developing 
the school management and business skills of school leaders; 
improving understanding of educational technology and State 
standards; improving the knowledge of school leaders regarding 
challenging State content and performance standards; 
encouraging highly qualified individuals to become school 
leaders; and developing mentorships and a network of school 
leaders within the State.
    Section 2201(f) provides that the Federal Government will 
assume 80 percent of the cost of the program. The 20 percent 
match may be paid in cash or in kind. The matching requirement 
may be waived by the Secretary for entities serving low-income 
areas.
    Section 2201(g) authorizes $100 million for FY 2001 and 
``such sums'' in the 4 subsequent fiscal years for Part B.

Part C--Reading Excellence Act

    Section 203--Reading Excellence. Section 203(a) amends the 
part heading for Title II, Part C, as ``Reading Excellence 
Act''.
    Section 203(b) authorizes $280 million in FY 2001 and 
``such sums'' in the 4 subsequent fiscal years for Part C.
    Section 203(c) provides that the short title for Part C 
will be ``Reading Excellence Act''.
    Section 204--National Writing Project. Section 204 amends 
Title II to strike all of Part D and insert new provisions, 
renaming Part D as ``National Writing Project.''

Part D--National Writing Project

    Provisions of the new Title II, Part D include:
    Section 2301--Purpose. Section 2301 sets out the purpose of 
Part D as supporting the expansion of the National Writing 
Project network, ensure high quality programs, promote 
dissemination of information on effective practices, and 
coordinate activities with other ESEA activities.
    Section 2302--National Writing Project. Section 2302(a) 
authorizes the Secretary to make a grant to the National 
Writing Project.
    Section 2302(b) sets out grant requirements, providing that 
the National Writing Project will use grant funds to pay the 
Federal share of establishing and operating teacher training 
programs and will contract with nonprofit educational providers 
for the non-Federal share.
    Section 2302(c) requires contractors to conduct the program 
during the school year and the summer months, train K-12 and 
college teachers, select members of a National Writing Project 
teacher network, and encourage teachers from all disciplines to 
participate.
    Section 2302(d) defines ``Federal share'' as being 50 
percent of the cost to the contractor of establishing and 
operating teacher training programs. Cost-sharing may be waived 
on a case-by-case basis on the recommendation of the National 
Advisory Board. The Federal share may not exceed $100,000 for 
any one contractor or $200,000 for a statewide program 
administered by any one contractor in at least 5 sites 
throughout the state.
    Section 2302(e) requires the National Writing Project to 
establish a National Advisory Board, comprised of national 
educational leaders, leaders in the field of writing, and 
others determined to be necessary. The advisory board will 
advise on national issues related to writing, review activities 
and programs, and support the continued development of the 
National Writing Project.
    Section 2302(f) requires the Secretary to conduct an 
independent evaluation of the teacher training programs 
supported under Part D. The evaluation is to include a 
determination of the administrative costs of the National 
Writing Project and its contractors. The results of the 
evaluation are to be provided to the appropriate committees of 
Congress. Up to $150,000 of Part D funds may reserved for the 
evaluation.
    Section 2302(g) requires the National Writing Project to 
establish a National Review Board, comprised of leaders in the 
field of writing research and others determined to be 
necessary. The review board is to review and recommend 
applications for assistance.
    Section 2302(h) authorizes $15 million for fiscal year 2001 
and ``such sums'' for the 4 subsequent fiscal years for Part D.
    Section 205--General Provisions. Section 205 redesignates 
title II, part E (``General Provisions'') as part G and strikes 
all current provisions.

Part G--General Provisions

    Provisions of the new title II, part G, include:
    Section 2601--Prohibition on Mandatory National 
Certification or Licensing of Teachers. Section 2601 prohibits 
the mandatory national certification or licensing of teachers 
as well as mandatory national teacher testing.
    Section 2602--Home Schools. Section 2602 prohibits Federal 
control of private, religious, or home school. Such schools may 
participate in title II programs.
    Section 206--New Century Program and Digital Education 
Content Collaborative. Section 206 establishes a new title II, 
part E, entitled ``New Century Program for Distributed Teacher 
Professional Development'', and a new part F, entitled 
``Digital Education Content Collaborative.''

Part E--New Century Program for Distributed Teacher Professional 
        Development

    Section 2401--Project Authorized. Section 2401 authorizes 
the Secretary to make a grant to a nonprofit telecommunications 
entity (or partnership of same) to carry out a national 
telecommunications-based program to improve teaching in core 
curriculum areas for the purpose of assisting students to meet 
State content standards.
    Section 2402--Application. Section 2402 sets out the 
contents of grant applications, including a demonstration that 
video and data will be delivered in an integrated service, an 
assurance that the project will be conducted in cooperation 
with appropriate State and local agencies and others, and an 
assurance that a significant portion of the benefits will be 
made available to schools in LEAs with a high percentage of 
title I children. School sites in at least 15 States must be 
included.
    Section 2403--Authorization of Appropriations. Section 2403 
authorizes $20 million in fiscal year 2001 and ``such sums'' in 
the 4 succeeding fiscal years for part E.

Part F--Digital Education Content Collaborative

    Section 2501--Digital Education Content Collaborative. 
Section 2501 authorizes the Secretary to make grants, 
contracts, or cooperative agreements for the development, 
production, and distribution of video programming for K-12 
students. Fund recipients must enter into multi-year content 
development arrangements with SEAs, LEAs, IHEs, businesses, or 
others.
    Section 2502--Educational Programming. Section 2502 
provides that the Secretary must make awards on a competitive 
basis for a period of 3 years to local public 
telecommunications entities for the development of programming 
which includes student assessment tools and teacher support and 
which relate to State content standards and may be distributed 
through digital broadcasting and school digital networks.
    Section 2503--Applications. Section 2503 requires the 
submission of an application to the Secretary.
    Section 2504--Matching Requirement. Section 2504 requires a 
100-percent match, which may include funds provided for the 
transition to digital broadcasting--as well as in-kind 
contributions.
    Section 2505--Administrative Costs. Section 2505 provides 
that no more than 5 percent of Part F funds be used for 
administrative costs.
    Section 2506--Authorization of Appropriations. Section 2506 
authorizes $25 million for FY 2001 and ``such sums'' for the 4 
subsequent fiscal years for Part F.

                   Title III--Enrichment Initiatives

    Section 301--21st Century Community Learning Centers. This 
section amends title III and inserts the following new 
provisions, renaming title III as ``ENRICHMENT INITIATIVES'' 
and part A as ``21st Century Community Learning Centers.''

Part A--21st Century Community Learning Centers

    The new part A retains current law with respect to ``21st 
Century Community Learning Centers'' (title X, part I), except 
for an increase in the authorized funding level to $500 million 
for fiscal year 2001 and ``such sums as may be necessary'' for 
the 4 succeeding fiscal years.
    Provisions of the new title III, part A include:
    Section 3101--Short Title. This section specifies that this 
part may be cited as the ``21st Century Community Learning 
Centers Act.''
    Section 3102--Purpose. This section repeals the 
congressional findings currently in the act and inserts the 
purpose of part A which is to provide local public schools with 
the opportunity to serve as centers for the delivery of 
education; to enable public schools, primarily in rural or 
inner-city communities, to collaborate with public and 
nonprofit agencies and organizations, local businesses, and 
educational institutions, to expand the opportunities available 
to the residents of the communities served by such schools; to 
use school facilities, equipment, and resources so that 
communities can promote a more efficient use of public 
education facilities; to enable schools to become centers of 
life-long learning; and to enable schools to provide 
educational opportunities for individuals of all ages.
    Section 3103--Program Authorization. This section 
authorizes the Secretary to award grants to rural and inner-
city public elementary or secondary schools to plan, implement, 
or expand projects that benefit the educational, health, social 
service, cultural, and recreational needs of a rural or inner-
city community. The Secretary is required to ensure an 
equitable distribution of assistance among the States, among 
urban and rural areas of the United States, and among rural and 
urban areas of a State. The time period for the distribution of 
grants may not exceed 3 years, and the Secretary may not award 
grants in an amount less than $35,000.
    Section 3104--Application Required. This section requires 
elementary or secondary schools seeking a grant under part A to 
submit an application with specific criteria. The Secretary 
shall give priority to applications describing projects that 
offer a broad selection of services which address the needs of 
the community.
    Section 3105--Uses of Funds. This section specifies that 
grant funds shall be used to plan, implement, or expand 
community learning centers which include not less than 4 of the 
following activities: literacy education programs; senior 
citizen programs; children's day care services; integrated 
education, health, social service, recreational or cultural 
programs; summer and weekend school programs; nutrition and 
health programs; expanded library service hours; 
telecommunications and technology education programs; parenting 
skills education programs; support and training for child day 
care providers; employment counseling, training, and placement; 
services for individuals who leave school before graduating 
from secondary school; and services for individuals with 
disabilities.
    Section 3106--Definition. This section provides the meaning 
of the term ``community learning center'' for the purposes of 
this part.
    Section 3107--Authorization of Appropriations. This section 
authorizes $500 million to be appropriated for fiscal year 2001 
and ``such sums as may be necessary'' for the 4 succeeding 
fiscal years to carry out the purposes of this part.

Part B--Initiatives for Neglected, Delinquent, or At Risk Students

    The new Part B retains current law with respect to 
``Prevention and Intervention Programs for Children and Youth 
Who are Neglected, Delinquent, or at Risk of Dropping Out'' 
(title I, part D), renaming title III, part B as ``Initiatives 
for Neglected, Delinquent, or At Risk Students.''
    Provisions of the new title III, part B include:
            Subpart 1--Prevention and Intervention Programs for 
                    Children and Youth Who Are Neglected, Delinquent, 
                    or at Risk of Dropping Out
    Section 3321--Purpose; Program Authorized. This section 
repeals the congressional findings currently in the act and 
states the purpose of subpart 1 which is to improve educational 
services in local and State institutions for neglected or 
delinquent children so that they have the opportunity to meet 
the same challenging State content and student performance 
standards that all children in the State are expected to meet; 
to provide such children with the services needed to make a 
successful transition from institutionalization to further 
schooling or employment; and to prevent at-risk youth from 
dropping out of school and to provide dropouts and youth 
returning from institutions with a support system to ensure 
their continued education.
    Section 3321(b) requires the Secretary to provide grants to 
State educational agencies so that they can award subgrants to 
State agencies and local educational agencies to establish or 
improve programs of education for neglected or delinquent 
children at risk of dropping out of school before graduation.
    Section 3322--Payments for Programs Under this Subpart. 
This section authorizes the Secretary to allocate to each State 
educational agency amounts necessary to make subgrants to State 
agencies under Chapter 1. Each State is required to retain 
funds generated throughout the State under title I, part A 
based on youth residing in local correctional facilities, or 
attending community day programs for delinquent children.

                    Chapter 1--State Agency Programs

    Section 3331--Eligibility. This section states that a State 
agency may be eligible for assistance under Chapter 1 if the 
State agency is responsible for providing free public education 
for children in institutions for neglected or delinquent 
children; attending community day programs for neglected or 
delinquent children; or in adult correctional institutions.
    Section 3332--Allocation of Funds. This section establishes 
the criteria by which a State agency, including those in Puerto 
Rico may be eligible to receive a subgrant under subpart 1. The 
Secretary is allowed to ratably reduce subgrants if the amount 
appropriated is insufficient to pay the full amount for which 
State agencies are eligible.
    Section 3333--State Reallocation of Funds. This section 
allows State educational agencies to reallocate unneeded funds 
from one State agency to another in need of additional funds.
    Section 3334--State Plan and State Agency Applications. 
This section requires each State educational agency seeking a 
grant under subpart 1 to submit for approval of the Secretary, 
a plan for meeting the needs of neglected and delinquent 
children at risk of dropping out of school. The Secretary is 
required to approve each State plan meeting the criteria 
detailed in this section. Each State agency seeking funds to 
carry out a program must submit an application with specific 
guidelines to the State educational agencies.
    Section 3335--Use of Funds. This section states that funds 
under Chapter 1 only be used by State agencies for programs and 
projects that are consistent with the State plan under section 
3334(a) and concentrate on providing participants with the 
knowledge and skills needed to make a successful transition to 
secondary school completion, further education, or employment. 
The number of hours of instruction students receive from State 
and local sources under Chapter 1 programs shall supplement and 
not supplant the requirements of section 1120A.
    Section 3336--Institution-Wide Projects. This section 
allows State agencies that provide education to neglected or 
delinquent children to use funds received under subpart 1 to 
upgrade the educational effort of the institutions or programs 
these children are educated in, if the State agency has 
developed and approved a plan for that institution or program. 
This section establishes specific guidelines for the plan.
    Section 3337--Three-Year Programs or Projects. This section 
authorizes State educational agencies to approve State agencies 
applications for subgrants if the State agency finds it likely 
that a child will participate in a program for more than 1 
year. An application may not be approved for a period exceeding 
3 years.
    Section 3338--Transition Services. This section authorizes 
State agencies to reserve 10 percent of the funds received 
under Chapter 1 to support projects that facilitate the 
transition of children from State-operated institutions to 
local educational agencies. Projects are to be conducted either 
by the State agency or through a contract with 1 or more local 
educational agencies, public agencies, or private non-profit 
organizations. Reserved funds shall be used only to provide 
transitional educational services, which may include pupil 
services and mentoring, to neglected and delinquent children in 
schools other than State-operated institutions.

                    Chapter 2--Local Agency Programs

    Section 3341--Purpose. This section states the purpose of 
Chapter 2 which is to support the operation of local 
educational agency programs that involve collaboration with 
locally operated correctional facilities to: (1) carry out high 
quality education programs to prepare youth for secondary 
school completion, training and employment, or further 
education; (2) provide activities to facilitate the transition 
of such youth from the correctional program to further 
education or employment; and (3) operate dropout prevention 
programs in local schools for youth at risk of dropping out of 
school and youth returning from correctional facilities.
    Section 3342--Programs Operated by Local Educational 
Agencies. This sectionauthorizes State educational agencies to 
award subgrants to local educational agencies with high numbers or 
percentages of youth residing in locally operated youth correctional 
facilities. In addition, a local educational agency which includes a 
correctional facility that operates a school is not required to operate 
a dropout prevention program if more than 30 percent of the youth 
attending reside outside of the local educational agency boundaries 
upon leaving the facility. State educational agencies are required to 
notify local educational agencies of subgrants.
    Section 3343--Local Educational Agency Applications. This 
section provides detailed criteria for applications to be 
completed by those local educational agencies seeking 
assistance from State educational agencies under Chapter 2.
    Section 3344--Uses of Funds. This section requires that 
funds provided to local educational agencies under Chapter 2 be 
used for dropout prevention programs which serve youth at 
educational risk; the coordination of health and social 
services for such individuals if there is a likelihood that the 
services will enable them to complete their education; and 
programs to meet the unique education needs of youth at risk of 
dropping out of school.
    Section 3345--Program Requirements for Correctional 
Facilities Receiving Funds Under this Section. This section 
requires correctional facilities that have agreements with 
local educational agencies to: ensure educational programs in 
juvenile facilities are coordinated with the student's home 
school; notify local schools if a youth is identified in need 
of special education services; provide transition assistance to 
help youth stay in school; provide support programs to 
encourage youth who have dropped out to re-enter school; work 
to ensure facilities are staffed with teachers and other 
qualified staff who are trained to work with children with 
disabilities; ensure educational programs in correctional 
facilities are related to assisting students to meet high 
educational standards; use technology to assist in coordinating 
educational programs between the juvenile facility and the 
community school; involve parents in efforts to improve the 
educational achievement of their children; coordinate funds 
received under this program with other local, State, and 
Federal funds available to provide services to participating 
youth; and work with local businesses to develop training and 
mentoring programs for participating youth.
    Section 3346--Accountability. This section authorizes a 
State educational agency to reduce or terminate funding for 
projects if a local educational agency doesn't reduce dropout 
rates or require juvenile facilities to demonstrate that there 
has been an increase in the number of youth returning to school 
or pursuing post-secondary opportunities.

                     Chapter 3--General Provisions

    Section 3351--Program Evaluations. This section requires 
State agencies and local educational agencies that conduct 
programs under Chapters 1 and 2 to evaluate the programs. The 
results of the evaluations should be submitted to the State 
educational agencies in order to improve subsequent programs.
    Section 3352--Definitions. This section provides the 
meanings of certain terms used in subpart 2, including ``adult 
correctional institution,'' ``at-risk youth,'' ``community day 
program,'' and ``institution for neglected or delinquent 
children and youth.''

Part C--Gifted and Talented Children

    The new Part C retains current law with respect to ``Gifted 
and Talented Children'' (title X, part B), renaming title III, 
part C as ``Gifted and Talented Children.''
    Provisions of the new title III, part C include:
    Section 3401--Short Title. This section specifies that part 
C may be cited as the ``Jacob K. Javits Gifted and Talented 
Students Education Act.''
    Section 3402--Statement of Purpose. This section repeals 
the congressional findings in current law and states the 
purpose of part C which is to provide grants to State 
educational agencies and public schools for programs designed 
for gifted and talented students in elementary and secondary 
schools; to encourage the development of challenging curricula 
for all students; and to supplement and use State and local 
funding for gifted and talented students more effectively.
    Section 3403--Construction. This section encourages States 
to educate gifted and talented students simultaneously with 
students of similar educational needs.
    Section 3404--Authorization of Appropriations; Trigger. 
This section authorizes $155 million for fiscal year 2001 and 
``such sums as may be necessary'' for the 4 succeeding fiscal 
years. Once the appropriation for this program reaches $50 
million, funding is to be distributed by formula to the States 
and competitively to local educational agencies and schools. If 
funding levels fall below $50 million, the current law 
provisions of the program will remain in effect.
    Section 3405--Allotment to States. This section authorizes 
the Secretary to reserve up to 1 percent of the authorized 
funds for payments to outlying areas in accordance with their 
assistance needs. The Secretary will allot funds to each State 
based on a ratio of a State's school-age population of all 
States. A small State minimum of \1/2\ percent is included. If 
more than $50 million is appropriated for this section in a 
fiscal year, the Secretary shall use the funding for grants or 
contract payments. All current grantees that have been awarded 
funds under this program will continue to receive funds under 
the original terms of the grant until the time period for that 
grant has expired.
    Section 3406--State Applications. This section requires 
States seeking assistance under part C to submit an application 
which (1) designates the State educational agency as the agency 
responsible for the administration of the program, including 
public dissemination of data; (2) contains an assurance that 
the State educational agency will have the ability to provide 
matching funds (in cash or in-kind); (3) provides for a 
biennial submission of data regarding the use ofgifted and 
talented funds; (4) provides an assurance that the SEA will keep 
records and provide such information as the Secretary requires; (5) 
contains an assurance that there is compliance with the requirements of 
this part; and (6) provides for timely public notice and public 
dissemination of data. The duration of the application is 3 years.
    Section 3407--State Uses of Funds. This section allows 
State educational agencies to use up to 10 percent of funding 
for the following activities: (1) a peer review process for 
grant applications; (2) supervision of the awarding of funds to 
elementary schools, secondary schools, or a consortia of these 
schools; (3) planning, supervision, and processing of funds 
made available under this part; (4) monitoring, evaluation, and 
dissemination of programs and activities assisted under this 
part; (5) providing technical assistance; and (6) 
supplementing, but not supplanting, State and local funds for 
the education of gifted and talented students. A State 
educational agency may use up to 2 percent of funding to 
provide education, information, and support to parents of 
gifted and talented students.
    Section 3408--Distribution to Local Educational Agencies. 
This section requires a State educational agency to use at 
least 88 percent of the funds under part C to award grants, on 
a competitive basis, to local educational agencies for programs 
designed to meet the needs of gifted and talented students.
    Section 3409--Local Application Requirements. This section 
requires a local educational agency seeking a grant to submit 
an application to the State educational agency, including: (1) 
an assurance that funds received under this program will be 
used to identify and support gifted and talented students from 
all economic, ethnic and racial backgrounds, such as students 
of limited English proficiency and students with disabilities; 
and (2) a description of how the school or consortium of 
schools will meet the educational needs of gifted and talented 
students, including the training of personnel.
    Section 3410--Local Uses of Funds. This section requires a 
local educational agency receiving a grant under part C to 
carry out 1 or more of the following activities: professional 
development; identification of students; model projects; and 
emerging technologies.
    Section 3411--Participation of Private School Children and 
Teachers. This section requires the Secretary to ensure that 
there is equitable participation of students and teachers in 
private, nonprofit elementary and secondary schools, including 
the participation of teachers and other personnel in 
professional development.
    Section 3412--Establishment of National Center. This 
section requires the Secretary to establish a ``National Center 
for Research and Development in the Education of Gifted and 
Talented Children and Youth'' through grants or contracts with 
1 or more institutions of higher education, State educational 
agencies, or a consortia of such institutions and agencies. The 
purpose of the National Center is to develop, devise, 
disseminate, and evaluate model projects and activities that 
serve gifted and talented students; to conduct research; and to 
provide technical assistance. The Secretary may not use more 
than 30 percent of the funds appropriated for the overall 
Javits Gifted and Talented Program for the National Center. A 
new provision allows the current grantee to continue to be the 
grantee for the duration of the current grant.

Part D--Arts in Education

    The new Part D retains current law with respect to ``Arts 
in Education'' (title X, part D), renaming title III, part D as 
``Arts in Education.''
    Provisions of the new title III, part D include:
            Subpart 1--Arts Education
    Section 3511--Support for Arts Education. This section 
repeals the congressional findings in current law and specifies 
the purposes of this part which are to support systemic 
education reform by strengthening arts education; to help 
ensure that all students have the opportunity to learn to 
challenging State standards; to support the national effort to 
enable all students to demonstrate competence in the arts; to 
support model partnership programs between schools and 
nonprofit cultural organizations designed to increase overall 
student achievement; and to support projects and programs in 
the performing arts through arrangements with the Kennedy 
Center for the Performing Arts.
    Section 3511(b) authorizes the Secretary to award grants to 
State educational agencies, local educational agencies, 
institutions of higher education, museums and other cultural 
institutions, and other public and private agencies, 
institutions and organizations.
    Section 3511(c) authorizes funds under subpart 1 to be used 
for: (1) the development and dissemination of model arts 
education programs or assessments based on high standards; (2) 
the development and implementation of curriculum frameworks for 
arts education; (3) the development of model preservice and 
inservice professional development programs for arts educators 
and other instructional staff; (4) supporting collaborative 
activities with other Federal agencies or institutions involved 
in arts education, (5) supporting models and programs in the 
performing arts for children and youth through arrangements 
made with the Kennedy Center for the Performing Arts; (6) 
supporting model projects and programs by VSA Arts that assure 
the participation in mainstream settings in arts and education 
programs of individuals with disabilities; and (7) supporting 
collaborative projects between schools and nonprofit cultural 
organizations.
    Section 3511(d) requires a recipient of funds under subpart 
1 to coordinate projects with appropriate activities of public 
and private cultural agencies, institutions, and organizations, 
including museums, arts education associations, libraries and 
theaters.
    Section 3511(e) authorizes a funding level of $25 million 
for fiscal year 2001 and ``such sums as may be necessary'' for 
the 4 succeeding fiscal years. If the amountappropriated for 
any fiscal year is $10 million or less, then the amount shall be 
available to carry out only activities arranged with the Kennedy Center 
for the Performing Arts and VSA Arts.
            Subpart 2--Cultural Partnerships for At-Risk Youth
    Section 3521--Purpose. This section repeals the 
congressional findings and specifies the purposes of subpart 2 
which are to award grants to improve the educational 
performance and potential of at-risk youth by providing 
educational and cultural services.
    Section 3522--Program Authorized. This section authorizes 
the Secretary to award grants to pay the Federal share of the 
costs of the activities described in section 3523. Targeted 
groups and the objectives of programs receiving grants under 
subpart 2 are specified.
    Section 3523--Authorized Activities. This section specifies 
the activities which grants awarded under subpart 2 may be used 
for, including: (1) developing, acquiring, implementing, and 
expanding school-based coordinated educational and cultural 
programs; (2) providing at-risk youth with integrated cultural 
activities designed to improve academic achievement; (3) 
working with school personnel on staff development activities; 
(4) encouraging active participation of parents in the 
education of their children; and (5) assisting local artists to 
work with at-risk youth in schools. An application shall be 
submitted by entities seeking a grant under subpart 2.
    Section 3524--Payments; Amounts of Award; Cost Share; 
Limitations. This section requires the Secretary to pay 
eligible recipients the Federal share of the costs of the 
activities described in the application. Grants awarded under 
part D are to be used to supplement and not supplant the funds 
made available from non-Federal sources. The Secretary may use 
up to 5 percent of the grant funds for evaluation and 
replication of programs.
    Section 3525--Authorization of Appropriations. This section 
authorizes a funding level of $45 million for fiscal year 2001 
and ``such sums as may be necessary'' for the 4 succeeding 
fiscal years to carry out the activities of subpart 2.

Part E--Advanced Placement Programs

    Section 3601--Short Title. This section specifies that part 
E may be cited as the ``Access to High Standards Act.''
    Section 3602--Findings and Purposes. This section states 
the findings and purposes of this part. The purposes are to 
encourage more of the students who take advanced placement 
courses to take the exam; to build on the benefits of advanced 
placement programs for students; to support State and local 
efforts to raise academic standards through advanced placement 
programs; to increase the availability and broaden the range of 
schools that have advanced placement programs; to provide 
greater access to advanced placement courses; to provide access 
to advanced placement courses for students in schools that do 
not offer the courses; and toincrease the participation of low-
income individuals in taking advanced placement tests.
    Section 3603--Funding Distribution Rule. This section 
authorizes the Secretary to give priority to funding activities 
under section 3606 and shall distribute 70 percent of remaining 
funds to carry out section 3604 and 30 percent to carry out 
section 3605.
    Section 3604--Advanced Placement Program Grants. This 
section authorizes the Secretary to award grants for a period 
of 3 years to State educational agencies and local educational 
agencies in order to expand access for low-income individuals 
to advanced placement incentive programs that involve teacher 
training; pre-advanced placement course development; curriculum 
coordination and articulation between grade levels that prepare 
students for advanced placement courses; and curriculum 
development. All entities seeking a grant shall submit an 
application to the Secretary. Those entities receiving grants 
shall annually report to the Secretary: the number of students 
taking advanced placement courses; the number of advanced 
placement tests taken by students; the scores on the advanced 
placement tests; and demographic information regarding 
individuals taking the advanced placement courses.
    Section 3605--On-Line Advanced Placement Courses. This 
section authorizes the Secretary to award grants, on a 
competitive basis, to State educational agencies to enable them 
to award grants to local educational agencies to provide 
students with on-line advanced placement courses. State 
educational agencies seeking a grant shall submit an 
application to the Secretary and in awarding grants, priority 
should be given to local educational agencies that: serve high 
concentrations of low-income students; serve rural areas; and 
would not have access to on-line advanced placement courses. 
Grant funds may be used to purchase on-line curriculum or 
course materials.
    Section 3606--Advanced Placement Incentive Program. This 
section authorizes the Secretary to award grants to State 
educational agencies in order to reimburse low-income 
individuals to cover part or all of the costs of advanced 
placement test fees. If an excess of funds exists, State 
educational agencies may use the grant funds to increase the 
enrollment of low-income individuals in advanced placement 
courses; the participation of low-income individuals in 
advanced placement courses; and the availability of advanced 
placement courses in schools serving high-poverty areas. Grant 
funds shall supplement and not supplant other non-Federal funds 
that are available to assist low-income individuals in paying 
for the cost of advanced placement test fees.
    Section 3607--Definitions. This section provides the 
meanings of certain terms used in this part, including: 
``advanced placement incentive program,'' ``advanced placement 
test,'' ``high concentration of low-income students,'' ``low-
income individual,'' ``institution of higher education,'' and 
``State.''
    Section 3608--Authorization of Appropriations. This section 
authorizes $50 million for fiscal year 2001 and ``such sums as 
may be necessary'' for the 4 succeeding fiscal years.
    Section 302--Dissemination of Advanced Placement 
Information. This section requires each institution of higher 
education receiving Federal funds for research or for programs 
assisted under the Higher Education Act of 1965 to: (1) 
distribute ``information'' with respect to the amount and type 
of academic credit provided to students at the institution of 
higher education for advanced placement test scores; and (2) 
standardize the form and manner in which the ``information'' is 
disseminated by the various departments, offices, or other 
divisions of the institution of higher education.

          Title IV--Safe and Drug-Free Schools and Communities

    Section 401--Amendment to the Elementary and Secondary 
Education Act of 1965. This section amends title IV and inserts 
the following:

Part A--State Grants

    The new part A retains current law with respect to ``State 
Grants for Drug and Violence Prevention Programs,'' renaming 
title IV, part A as ``State Grants.''
    Provisions of title IV, part A include:
    Section 4001--Short Title. This section specifies that part 
A may be cited as the ``Safe and Drug-Free Schools and 
Communities Act of 1994.''
    Section 4002--Findings. This section provides new 
congressional findings regarding this part, including: (1) 
every student should attend a school in a drug-and violence-
free learning environment; (2) the widespread illegal use of 
alcohol and drugs among the Nation's secondary school students, 
and increasingly by students in elementary schools, constitutes 
a grave threat to such students' physical and mental well-
being, and significantly impedes the learning process; (3) drug 
and violence prevention programs are essential components of a 
comprehensive strategy to promote school safety, youth 
development, positive school outcomes, and to reduce the demand 
for and illegal use of alcohol, tobacco and drugs throughout 
the Nation; (4) drug and violence prevention programs are most 
effective when implemented within a research-based, drug and 
violence prevention framework of proven effectiveness; (5) 
research clearly shows that community contexts contribute to 
substance abuse and violence; (6) substance abuse and violence 
are intricately related and must be dealt with in a holistic 
manner; and (7) research has documented that parental behavior 
and environment directly influence a child's inclination to use 
alcohol, tobacco or drugs.
    Section 4003--Purpose. This section states the purpose of 
Part A which is to support programs that prevent violence in 
and around schools and prevent the illegal use of alcohol, 
tobacco, and drugs; involve parents; and are coordinated with 
related Federal, State, school, and community efforts and 
resources.
    Section 4004--Funding. This section authorizes funding 
levels for fiscal year 2001 and``such sums as may be 
necessary'' for the 4 succeeding fiscal years for the following 
programs: $700 million for the State Grants program under subpart 1; 
$150 million for the National Programs under subpart 2; and $75 million 
for the National Coordinator Initiative under section 4122.
            Subpart 1--State Grants for Drug and Violence Prevention 
                    Programs
    Section 4111--Reservations and Allotments. This section 
requires the Secretary to: reserve 1 percent of the amount made 
available under section 4004(1) for Guam, American Samoa, the 
Virgin Islands, and the Commonwealth of the Northern Mariana 
Islands; reserve 1 percent of the same amount for the Secretary 
of the Interior to carry out programs under this part for 
Indian youth; reserve not more than $2 million for the National 
impact evaluation required by section 4117(a); and reserve 0.2 
percent of above amount for programs for Native Hawaiians under 
section 4118.
    Section 4112--State Applications. This section requires 
States seeking an allotment to submit an application to the 
Secretary including: a comprehensive plan for the use of funds 
under the Governor's program and the State Department of 
Education's program; a needs assessment and results of ongoing 
State evaluation activities; assurances that stakeholders were 
consulted; measurable goals; a description of how the funds 
will be spent; and a comprehensive plan for using and 
monitoring the funds received under title IV. The State plan 
shall also include a comprehensive plan for the Governor's 
program by the chief executive officer.
    Section 4113--State and Local Educational Agency Programs. 
This section reserves 80 percent of the funds made available to 
States to be used for State support and grants to local 
educational agencies for drug and violence prevention 
activities. State and local programs must implement activities 
that are research-based initiatives, and States are required to 
implement a uniform management and information reporting system 
so that expenditures of these funds can be clearly tracked. A 
State educational agency may use up to 5 percent of available 
funds for technical assistance and 5 percent for the 
administrative costs of carrying out responsibilities.
    State educational agencies may choose between the following 
two options for allocating remaining funds to local educational 
agencies: (1) at least 70 percent to schools based on 
enrollment and up to 30 percent allocated at the State's 
discretion or to schools the State determines to have the 
greatest need; or (2) up to 70 percent on a competitive basis 
to those schools with the greatest need, and 30 percent to 
those schools the State determines require additional help to 
run a program but who might not meet the ``greatest need'' 
criteria. These options would allow States to choose and define 
a competitive or baseline minimum grant system and still allow 
them to help those schools that could not compete under that 
system.
    Section 4114--Governor's Programs. This section reserves 20 
percent of a State's allocation for Governors programs of which 
not less than 95 percent of the funds must be used for 
research-based substance abuse/violence reduction through a 
broad range of activities. Governors are authorized to add 
their money directly to the funds being sent to schools and 
communities to serve out of school youth and to undertake 
community mobilization activities related to substance abuse 
and violence.
    Section 4115--Local Applications. This section states that 
in order to be eligible for a distribution under section 
4113(d), a local educational agency must submit an application 
to the State educational agency. The application shall: include 
a needs assessment; set measurable goals and objectives; 
utilize effective research-based programs; ensure participation 
of community groups; and include a program evaluation.
    Section 4116--Local Drug and Violence Prevention Programs. 
This section requires local educational agencies to use funds 
received under subpart 1 to adopt and carry out a comprehensive 
drug and violence prevention program. The program shall be 
designed for all students and school employees in order to 
prevent the use, possession, and distribution of tobacco, 
alcohol, and illegal drugs; prevent violence and promote school 
safety; and create a disciplined environment conducive to 
learning.
    Section 4117--Evaluations and Reporting. This section 
requires the Secretary of Education to consult with the newly 
created National Advisory Committee to conduct an independent 
biennial evaluation of the impact of programs assisted under 
subpart 1 and on other recent and new initiatives to combat 
violence in schools. The evaluation shall determine whether 
funded programs conform to the principles of effectiveness; 
target research-based programs such as risk factors and/or 
protective factors/buffers or assets; and reduce drug use, 
school violence, and the presence of firearms at schools. The 
Department of Education, States, and the Governors are required 
to implement program and financial monitoring. Every 2 years, 
States shall provide the Secretary with a report detailing the 
implementation and outcomes of the State's and local 
educational agencies programs and their effectiveness, the 
State's progress toward attaining its goals for drug and 
violence prevention, and the State's efforts to inform parents 
of, and include parents in, violence and drug prevention 
efforts. In addition, local educational agencies are required 
to provide State educational agencies with the information they 
may need to complete the State reports.
    Section 4118--Programs for Native Hawaiians. This section 
authorizes the Secretary to provide grants to or enter into 
cooperative agreements with organizations that serve and 
represent Native Hawaiians in order to plan, conduct, and 
administer programs that are authorized by and consistent with 
the provisions of title IV for the benefit of Native Hawaiians. 
For the purposes of this section, Native Hawaiians are those 
individuals whose ancestors were natives, prior to 1778, of the 
area which now comprises the State of Hawaii.
            Subpart 2--National Programs
    Section 4121--Federal Activities. This section authorizes 
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, to carry out programs 
to prevent the illegal use ofdrugs and violence among students, 
and to promote safety and discipline for students. The Secretary may 
carry out programs directly or award grants to local educational 
agencies for the hiring and training of drug prevention and school 
safety program coordinators.
    Section 4122--National Coordinator Program. This section 
states that the Secretary shall provide for the establishment 
of a National Coordinator Program under which grants are 
awarded to local educational agencies for the hiring of drug 
prevention and school safety program coordinators. Coordinators 
shall be responsible for developing, conducting, and analyzing 
assessments of drug and crime problems at their schools, and 
administering the safe and drug free grant program.
    Section 4123--Safe and Drug Free Schools and Communities 
Advisory Committee. This section creates a Safe and Drug Free 
Schools and Communities Advisory Committee. The Advisory 
Committee shall: coordinate Federal drug and violence 
prevention programs; develop core data sets and evaluation 
programs; provide technical assistance and training; provide 
for the diffusion of research-based programs; and review other 
regulations and standards developed under this title. The 
committee will include representatives from the Department of 
Education, the Centers for Disease Control and Prevention, the 
National Institute on Drug Abuse, the National Institute on 
Alcoholism and Alcohol Abuse, the Center for Substance Abuse 
Prevention, the Center for Mental Health Services, the Office 
of Juvenile Justice and Delinquency Prevention, the Office of 
National Drug Control Policy, and the State and local 
government education agency representatives. The Advisory 
Committee shall annually consult with State and local 
coordinators of school and community-based substance abuse and 
violence prevention programs and other interested groups.
    Section 4124--Hate Crime Prevention. This section 
authorizes the Secretary to make grants to local educational 
agencies and community-based organizations for the purpose of 
providing assistance to localities most directly affected by 
hate crimes. Grants may be used to: (1) develop education and 
training programs designed to prevent and reduce the incidences 
of crimes motivated by hate; (2) develop curriculum to improve 
conflict or dispute resolution skills of students, teachers and 
administrators; (3) develop equipment and instructional 
materials to meet the needs of hate crime or conflict programs; 
and (4) provide professional training and development for 
teachers and administrators on the causes, effects, and 
resolutions of hate crimes.
    Section 4124(b)(2) requires local educational agencies 
seeking a grant under this section to submit an application to 
the Secretary that includes a request for funds, a description 
of the schools and communities to be served by the grants, and 
an assurance that the Federal funds will be used to supplement 
and not supplant non-Federal funds. Applications shall also 
include a comprehensive plan describing the hate crime problems 
within the school or community and a description of the program 
to be developed or augmented by Federal funds.
    Section 4124(c) requires the Secretary, in awarding grants, 
to consider the incidence of crimes in the community and should 
attempt to achieve an equitable geographic distribution. If 
possible, the Secretary shall make available information 
regarding successful hate crime prevention programs. Every 2 
years, the Secretary shall submit a report to Congress 
describing the grants and awards, the activities of grant 
recipients, and an evaluation of programs established by this 
section.
            Subpart 3--General Provisions
    Section 4131--Definitions. This section provides the 
meanings of certain terms used in this subpart, including, 
``community-based organization,'' ``drug and violence 
prevention,'' ``hate crime,'' ``nonprofit,'' ``objectively 
measurable goals,'' ``protective factor, buffer, or asset,'' 
``risk factor,'' ``school-aged population,'' and ``school 
personnel.''
    Section 4132--Materials. This section states that drug 
prevention programs supported under part A should convey a 
message that the use of drugs and alcohol is illegal and 
harmful. In addition, the Secretary may not prescribe the use 
of specific curriculum for programs supported under this part, 
but may evaluate the effectiveness of the curriculum.
    Section 4133--Prohibited Uses of Funds. This section 
prohibits the use of funds under part A for construction and 
medical services, drug treatment or rehabilitation, except for 
pupil services or referral to treatment for students who are 
victims or witnesses to crime or who use alcohol or drugs.
    Section 4134--Quality Rating. This section encourages 
States to establish a standard of quality for drug and alcohol 
prevention programs implemented in elementary and secondary 
schools and to identify and designate a school that achieves 
such standard as a quality program school. The standard shall 
address: a comparison of the rate of illegal use of drugs and 
alcohol by students; the rate of suspensions or expulsions of 
students for offenses; the effectiveness of the prevention 
programs; the involvement of parents and community members in 
the design of prevention programs; and the extent of review of 
existing community prevention programs before implementation of 
the public school program. Schools wishing to receive a quality 
school program designation shall submit a request to the State 
and the State shall create a list of the designated schools for 
the public.
    Section 402--Gun-Free Requirements. This section amends 
title IV by adding the following:

Part B--Gun Possession

    Part B retains current law with respect to ``Gun 
Possession'' (title XIV, part F), but moves the provisions to 
title IV, part B.
    Section 4201--Gun-Free Requirements. This section specifies 
that this part may be cited as the ``Gun-Free Schools Act of 
1994.'' Part B requires States receiving Federal funds under 
thisact to have a State law requiring local educational 
agencies to expel from school for at least 1 year any student who 
brings a weapon to school. This part should not prevent a local 
educational agency that has expelled a student from the student's 
regular school setting from providing educational services to the 
student in an alternative setting. Local educational agencies seeking 
assistance from State educational agencies, shall provide to the State 
an assurance that such local educational agency is in compliance with 
the State law and a description of the circumstances surrounding any 
expulsions imposed under the State law. States shall report this 
information to the Secretary on an annual basis.
    Section 4202--Policy Regarding Criminal Justice System 
Referral. This section states that no funds under part B shall 
be made available to a local educational agency unless the 
agency has a policy requiring referral to the criminal justice 
or juvenile delinquency system of any student who brings a 
firearm or weapon to a school served by the agency.
    Section 4203--School Safety and Violence Prevention. This 
section amends title IV by adding the following new provisions:

Part C--School Safety and Violence Prevention

    Section 4301--School Safety and Violence Prevention. This 
section states that Federal funds under title IV and VI of this 
act may be used for training school personnel to identify 
potential threats; to identify troubled youth; to make 
comprehensive school security assessments; to purchase metal 
detectors, locks, and surveillance cameras; to engage in 
collaborative efforts with community-based organizations to 
reduce violence; to establish school uniform policies; and to 
utilize other innovative programs to reduce school violence.
    Section 4302--School Uniforms. This section states that 
nothing in this act should be construed to prohibit schools 
from establishing a school uniform policy. Funds under title IV 
and title VI may be used to establish a school uniform policy.
    Section 4303--Transfer of School Disciplinary Records. This 
section requires States receiving Federal funds under this act 
to assure the Secretary that the State has a procedure in place 
by which local educational agencies must transfer the 
suspension and expulsion records of any student to any private 
or public elementary or secondary school in which that student 
seeks enrollment. This requirement does not apply to private 
schools.
    Section 4304--Disclaimer on Materials Produced, Procured or 
Distributed from Funding Authorized by this Act. This section 
requires that all materials produced, procured or distributed, 
as a result of Federal funding authorized under this act, 
contain a statement indicating that it has been made available 
at the expense of the Federal Government. The statement must 
also indicate that any individual who objects to the material 
or to representations made in it is encouraged to contact the 
Department of Education. The address of the office at the 
Department assigned to receive comments must also be listed. 
Every six months, the Secretary is to summarize the comments 
received and provide them to appropriate congressional 
committees and to the House and Senate leadership.
    Section 404--Background Checks. This section amends the 
National Child Protection Act of 1993 to specify that 
individuals who are employed, or seek employment, with schools 
are included in the provisions of that act relating to 
background checks.
    Section 405--Constitutionality of Memorial Services and 
Memorials at Public Schools. This section provides 
congressional findings stating that the saying of a prayer, the 
reading of a scripture, the performance of religious music, and 
the design or construction of any memorial which includes 
religious symbols and which is placed on school grounds does 
not violate the First Amendment of the Constitution. In 
addition, this section ensures that anyone seeking to challenge 
such memorials as unconstitutional must pay its own attorney's 
fees. The Attorney General of the United States is authorized 
to provide assistance to any school district defending the 
legality of the memorial service.
    Section 406--Environmental Tobacco Smoke. This section 
amends title IV by adding the following provision:

Part D--Environmental Tobacco Smoke

    The ``environmental tobacco smoke'' provisions currently 
contained in title X, part C of the Goals 2000: Educate America 
Act have been transferred to this act and are described below.
    Section 4401--Short Title. This section specifies that this 
part may be cited as the ``Pro-Children Act of 2000.''
    Section 4402--Definitions. This section provides the 
meanings of certain terms used in Part D, including: 
``children,'' ``children's services,'' ``indoor facility,'' 
``person,'' and ``secretary.''
    Section 4403--Nonsmoking Policy for Children's Services. 
This section prohibits smoking within any indoor facility owned 
or leased or contracted for, and utilized for the provision of 
regular or routine kindergarten, elementary or secondary 
education or library services to children; or regular or 
routine health care or day care or early childhood development 
(Head Start services). Any portion of a facility that is used 
for inpatient hospital treatment of individuals dependent on, 
or addicted to drugs or alcohol and private residences are 
exempt from the provision. The prohibitions shall be published 
in the Federal Register by the Secretary. Such prohibitions 
shall be effective 90 days after such notice is published or 
270 days after the enactment of this act, whichever occurs 
first. Failure to comply with a prohibition shall be considered 
a violation of this act and a civil penalty in an amount not to 
exceed $1,000 shall be charged. A civil penalty may be assessed 
in a written notice, or an administrative compliance order may 
be issued.
    Section 4404--Preemption. This section states that nothing 
in this part is intended to preempt a provision of a State law 
or a political subdivision of a State that is more restrictive 
than a provision in this part.

              Title V--Educational Opportunity Initiatives

    Section 501--Educational Opportunity Initiatives. This 
section amends title V and inserts the following new 
provisions, renaming title V as ``Educational Opportunity 
Initiatives'' and part A as ``Technology Education.''
    Section 511--Technology Education. This section amends 
``Technology for Education of All Students,'' which is 
currently authorized as part A of title III of the act, and 
transfers it to part A of title V.

Part A--Technology Education

    Section 5111--Statement of Purpose. This section repeals 
the congressional findings in current law and states the new 
purpose of part A, which is to: provide all classrooms with 
educational technology including access to the Internet; ensure 
effective use of educational technology through professional 
development; improve capability of teachers to implement new 
learning experiences using technology; support efforts by State 
and local educational agencies to create learning environments 
designed to prepare students to achieve State performance 
standards; support technical assistance to all relevant 
educational agencies; support partnerships among business, 
industry, and the education community; support research on the 
effective use of classroom technology; encourage collaborative 
relationships among State agencies in the area of technology 
support in order to ensure that technology is accessible to all 
students; ensure that every child is computer-literate by the 
end of 8th grade; and support the use of educational technology 
to facilitate parental involvement.
    Section 5112--Definitions. This section provides the 
meanings of certain terms used in this part, including: ``adult 
education,'' ``all students,'' ``information infrastructure,'' 
``instructional programming,'' ``interoperable and 
interoperability,'' ``office,'' ``public telecommunications 
entity,'' ``regional educational laboratory,'' ``State 
educational agency,'' ``State library administrative agency,'' 
and ``technology.''
    Section 5113--Authorization of Appropriations. This section 
authorizes an increase in funding to $815 million for fiscal 
year 2001 and ``such sums as necessary'' for the 4 succeeding 
fiscal years to carry out subparts 1, 2, and 3. Of that amount, 
$5 million is available for Federal leadership activities 
(subpart 1) and $10 million for the Regional Technology in 
Education Consortia (subpart 3) in fiscal year 2001, not to 
exceed 0.5 percent of total appropriations in the remaining 
fiscal years. For any remaining funds, 70 percent shall be 
available for the Technology Literacy Fund (formula program to 
States) and 30 percent for Technology Innovation Grants 
(competitive grant). This new section ensures that the formula 
grant programs to States will not receive less than it did in 
fiscal year 2000.
    Section 5114--Limitation on Costs. This section restricts 
the use of funds for administrative costs to less than 5 
percent of total funding.
            Subpart 1--National Programs for Technology in Education
    Section 5121--National Long-Range Technology Plan. This 
section amends section 3121 of the act to require the Secretary 
to update, publish, and disseminate not later than 12 months 
after the date of enactment of the Educational Opportunities 
Act, the national long-range plan that supports the overall 
national technology policy.
    Section 5121(c) amends section 3121(c) of the act by adding 
two new activities for the Secretary to undertake in order to 
promote the purposes of title V. The new activities include: 
(1) how the Secretary will promote the full integration of 
technology into learning, including the creation of new 
instructional opportunities through access to challenging 
courses and information that would otherwise not have been 
available, and independent learning opportunities for students 
through technology; and (2) how the Secretary will encourage 
the creation of opportunities for teachers to develop through 
the use of technology, their own networks and resources for 
sustained and intensive, high quality professional development.
    Section 5122--Federal Leadership. This section amends 
section 3122 of the act by requiring the Secretary to consult 
with the White House Office of Science and Technology, instead 
of the United States National Commission on Libraries and 
Information Sciences, in order to provide Federal leadership in 
promoting the use of technology in education.
    Section 5122(b) amends section 3122(b) of the act by 
deleting the language which requires the Secretary to provide 
assistance to States in effectively using technology in the 
classroom in accordance with the purpose and requirements of 
the Goals 2000: Educate American Act. The new language simply 
requires the Secretary to provide assistance to the States to 
enable such States to plan effectively for the use of 
technology in all schools throughout the State.
            Subpart 2--State and Local Programs for School Technology 
                    Resources
    Section 5131--Allotment and Reallotment. This section 
amends section 3131 of the act by adding a provision to require 
the Secretary to reserve an amount equal to one-half of 1 
percent of the amount available to carry out section 5132 for 
each fiscal year to provide grants to outlying areas in amounts 
that are based on the relative needs of such areas in 
accordance with the purposes of section 5132.
    Section 5132--Technology Literacy Fund. This section 
authorizes the Secretary, through the Office of Educational 
Technology, to award grants to State educational agencies with 
approved applications. Grant funds shall be used to award 
grants to local educational agencies to enable them to carry 
out various education technology activities. Grants shall be 
targeted toward local educational agencies with the highest 
rates of poverty and the greatest need for technical 
assistance.
    Section 5133--State Application. This section requires 
State educational agenciesseeking funds under Subpart 2 to 
submit a statewide educational technology plan to the Secretary. The 
criteria for the statewide plan remains the same as current law, except 
for a new provision requesting the submission of the State educational 
agency's specific goals for using advanced technologies to improve 
student achievement and performance to challenging State academic 
content and performance standards.
    Section 5134--Local Uses of Funds. This section describes 
the various initiatives in which funds provided through grants 
from State educational agencies shall be used by local 
educational agencies. The initiatives remain the same except 
for a few additions, including: (1) adapting or expanding 
existing and new applications of technology to enable teachers 
to help students achieve to challenging State academic content 
and student performance standards through the use of research-
based teaching practices and advanced technologies; (2) 
carrying out programs that prepare prospective teachers to use 
advanced technology to foster learning environments conducive 
to preparing all students to achieve challenging State and 
local content and student performance standards through the use 
of various models including school-based professional 
development; (3) supporting in-school and school-community 
collaboration to make more effective and efficient use of 
existing investments in technology; (4) utilizing technology to 
develop or expand efforts to connect schools and teachers with 
parents to promote parental involvement and increase 
communication about curriculum, assignments, and assessments; 
(5) providing support to help parents understand the technology 
being applied in their children's education so that parents 
will reinforce their children's learning; (6) using web-based 
learning resources; and (7) providing education technology for 
advanced placement instruction.
    Section 5135--Local Applications. This section requires 
local educational agencies seeking assistance from a State 
educational agency to submit an application consistent with the 
objectives of the systemic statewide plan. The requirements of 
the application are the same as those in current law, except 
for an update to current references and a few additions to the 
list of application requirements. The additional requirements 
include: a description of how parents will be informed of the 
use of technologies so that parents can reinforce at home the 
instruction their children receive in school; a description of 
how the local educational agency will improve parental 
involvement in schools; a description of how the consortia of 
schools will develop or redesign teacher preparation programs 
to enable prospective teachers to use technology effectively in 
their classroom; and a description of how the local educational 
agency will effectively use technology to promote parental 
involvement and increase communication with parents.
    Section 5136--National Technology Innovation Grants. This 
section authorizes the Secretary to award grants to a consortia 
containing 1 local educational agency with a high number of 
children living below the poverty line. This new section amends 
section 3136 of the act by allowing the Secretary to award 
``continuation'' grants to entities receiving grants under the 
Preparing Tomorrow's Teachers to Use Technology Program. This 
section also amends current law to enhance parental involvement 
and use education technology for advanced placement 
instruction. In addition, this new section allows members of 
the consortium of schools to serve as fiscal agents for the 
consortium.
    Section 5137--Federal Administration. This section requires 
the Secretary to develop procedures for State and local 
evaluations of the programs under Subpart 2. This new section 
amends section 3137 of the act by requiring the Secretary to 
submit to Congress an evaluation of the State and local 
outcomes of the technology literacy challenge funds program and 
of the technology innovations challenge grant program, no later 
than 3 years after the enactment of this title; and to submit 
to Congress a summary of the State evaluations of programs 
under Subpart 2, no later than 2 years after the enactment of 
this title.
            Subpart 3--Regional Technical Support and Professional 
                    Development
    Section 5141--Regional Technical Support and Professional 
Development. This section authorizes the Secretary, through the 
Office of Educational Technology, to make grants to regional 
entities, ensuring that each geographic region of the United 
States is served by a consortium. Each consortium receiving a 
grant shall provide technical assistance and professional 
development to local educational agencies and schools to 
increase and improve education technology information. This new 
section also requires entities receiving grants under this 
section to prepare and submit to the Secretary a report 
concerning activities undertaken with grant funds, no later 
than 3 months after the enactment of this title.
    Unfunded programs including ``Product Development,'' 
currently Subpart 4 of title III, part A and ``Elementary 
Mathematics and Science Equipment Program,'' currently title 
III, part E are eliminated.
    Section 522--Star Schools. This section amends ``Star 
Schools Program,'' which is currently authorized as part B of 
title III of the act, and transfers it to part B of title V.

Part B--Star Schools

    Section 5201--Short Title. This section states that the 
short title of part B is the ``Star Schools Act.''
    Section 5202--Purpose. This section states that the purpose 
is to encourage improved instruction in mathematics, science, 
and foreign languages and challenging and advanced courses to 
serve underserved populations, through a Star Schools program 
under which grants are made to eligible telecommunications 
partnerships, to enable partnerships to develop 
telecommunications facilities, and equipment in order to 
promote educational instructional programming.
    Section 5203--Grants Authorized. This section authorizes 
the Secretary, through the Office of Educational Technology, to 
make grants to eligible entities to pay the Federal share of 
the cost of the development of interactive instructional 
programming and web-based teacher training. The section 
authorizes a funding level of $50 million for fiscal year 2001 
and ``such sums as necessary'' for the 4 succeeding fiscal 
years.
    Section 5203(i) authorizes the Advanced Placement 
Instruction program, to encourage entities receiving funds 
under part B to provide advanced placement instruction to 
underserved communities.
    Section 5204--Eligible Entities. This section authorizes 
the Secretary to make grants to any eligible entity, if at 
least one local educational agency is participating in the 
project. This section defines an eligible entity for the 
purposes of this section and amends provisions of current law 
to update references. Other provisions of current law are 
maintained.
    Section 5205--Applications. This section requires eligible 
entities seeking a grant under this section to submit an 
application to the Secretary. Requirements of the application 
and those projects receiving priority are described. Other 
provisions of current law are maintained.
    Section 5206--Definitions. This section provides the 
meanings for certain terms used in this part, including 
``educational institution,'' ``instructional programming,'' and 
``public broadcasting entity.'' Other provisions of current law 
are maintained.
    Section 5207--Administrative Provisions. This section 
provides guidelines for entities to apply for a second grant 
and provides that the Secretary may assist grant recipients in 
acquiring transmissions technologies. Other provisions of 
current law are maintained.
    Section 5208--Other Assistance. This section provides that 
the Secretary may make grants to State and local 
telecommunication networks. The new section authorizes the 
Secretary to provide grants to eligible entities for continuing 
education. Other provisions of current law are maintained.
    Section 531--Magnet Schools Assistance. This section amends 
``Magnet Schools Assistance,'' which is currently authorized as 
part A of title V of the act, and transfers it to part C of 
title V.

Part C--Magnet Schools Assistance

    Section 5301--Findings and Statement of Purpose. This 
section provides congressional findings and the purpose of this 
part which is to assist in the desegregation of schools served 
by local educational agencies by providing financial assistance 
to: (1) eliminate, reduce, or prevent minority group isolation; 
(2) promote systemic reform efforts; (3) develop innovative 
educational methods and practices; (4) develop courses of 
instruction which strengthen knowledge of academic subjects and 
marketable skills; (5) improve capacity of magnet schools to 
operate after Federal funding is terminated; and (6) ensure 
that magnet schools students have equitable access to the 
education necessary to succeed.
    Section 5302--Program Authorized. This section authorizes 
the Secretary to make grants to local educational agencies for 
magnet schools.
    Section 5303--Definition. This section defines the term 
``magnet school.''
    Section 5304--Eligibility. This section defines eligibility 
standards for the receipt of magnet school grants.
    Section 5305--Applications and Requirements. This section 
requires a local educational agency seeking assistance under 
this part to submit an application to the Secretary. This 
section also includes a description of the requirements of the 
application.
    Section 5305(b)(2)(E) amends current law to provide 
equitable consideration for students in the local attendance 
area, consistent with desegregation guidelines and the capacity 
of the program to accommodate these students. Other provisions 
of current law are maintained.
    Section 5306--Priority. This section provides guidelines 
for the prioritization of applicants by the Secretary. This 
section amends current law by giving priority to applicants 
that propose activities to build local capacity to operate the 
program once Federal assistance has ended. Other provisions of 
current law are maintained.
    Section 5307--Use of Funds. This section specifies the 
allowable uses of grant funds. This new section amends current 
law to: allow grant recipients to use funds for professional 
development in order to facilitate self-sufficiency after 
Federal assistance has ended; offer the flexibility of a magnet 
school program in order to serve local students not enrolled in 
a magnet school program; and enable the local educational 
agency to have flexibility in designing magnet schools for 
students of all grades. Other provisions of current law are 
maintained.
    Section 5308--Prohibition. This section prohibits the use 
of funds for transportation or any activity that does not 
augment academic improvement.
    Section 5309--Limitations. This section provides for the 
duration of awards, limits on planning funds, and amount and 
timing of awards. This section increases the percentage of 
funds which may be expended for planning in the second and 
third years to 25 and 15 percent respectively. This section 
also clarifies that professional development is not planning.
    Section 5310--Innovative Programs. This section authorizes 
the Secretary to award grants to local educational agencies to 
conduct innovative programs that involve strategies other than 
magnet schools to achieve desegregation goals and assist 
students in meeting State and local standards. This section 
amends provisions of current law to update references. Other 
provisions of current law are maintained.
    Section 5311--Evaluations. This section provides guidelines 
for evaluations of projects under this part and for technical 
assistance for grant recipients. This new section amends 
current law to provide that evaluations shall address how 
magnet school programs will continue once assistance under this 
part has ended. This section also amends current law to require 
the Secretary to collect and disseminate information to the 
public on successful magnet school programs. Finally, this 
section amends provisions of current law to update references. 
Other provisions of current law are maintained.
    Section 5312--Authorization of Appropriations; Reservation. 
This section authorizes a funding level of $125 million for 
fiscal year 2001 and ``such sums as may be necessary'' for the 
4 succeeding fiscal years. Other provisions of current law are 
maintained.

Part D Public--Charter Schools

    Section 541--Public Charter Schools. This section amends 
``Public Charter Schools,'' which is currently authorized as 
part C of title X of the act, and transfers it to part D of 
title V. This section amends ``Public Charter Schools'' to: (1) 
eliminate the congressional findings and the purposes of this 
part; (2) increase the funding level to $175 million for fiscal 
year 2001; and (3) make minor drafting changes for purposes of 
clarification and consistency. Other provisions of current law 
are maintained.

Part E--Women's Educational Equity

    Section 521 of the bill amends the Women's Educational 
Equity Act (WEEA), which is currently authorized as Part B of 
title V of the act, and transfers it to part E of title V. 
Section 521 amends WEEA to: (1) eliminate the statement of 
findings; (2) make minor drafting changes for purposes of 
clarification and consistency; (3) change the reference to 
``the National Education Goals'' to ``America's Education 
Goals''; (4) delete an obsolete reference to the School-to-Work 
Opportunities Act of 1994; (5) update deadlines for issuance of 
reports by the Secretary dealing with the status of educational 
equity for girls and women (due January 1, 2004) and with 
evaluation materials and programs (due January 1, 2004); (6) 
authorize $5 million for fiscal year 2001 and ``such sums as 
may be necessary'' for the 4 succeeding fiscal years to carry 
out this part; and (7) delete provisions providing that two-
thirds of the funds are to be used to support the development 
and implementation of equity programs.
    Section 551 of the bill amends title V of the act to add 5 
additional parts to the title. Each of these additional parts 
includes amended versions of programs authorized under current 
law. Part F (Civic Education) includes programs currently 
authorized under part F of title X (Civic Education) and under 
title VI of Goals 2000: Educate America Act (International 
Education Exchange Program). Part G (Fund for the Improvement 
of Education) is currently authorized under part A of title X 
of the act. Part H (Allen J. Ellender Fellowship Program) is 
currently authorized under part G of title X of the act. Part I 
(Ready-to-Learn Television) is currently authorized under part 
C of title III of the act. Part J (Inexpensive Book 
Distribution) is currently authorized under part E of title X 
of the act.

Part F--Civic Education

    New Section 5601--Short Title. This section provides that 
the short title of part F is the ``Education for Democracy 
Act''.
    New Section 5602--The Study of the Declaration of 
Independence, United States Constitution, and the Federalist 
Papers. This section includes sense-of-the-Congress 
languagethat students should be encouraged to study the Declaration of 
Independence, the Constitution, and the Federalist Papers.
    New Section 5603--Purpose. This section states that the 
purpose of the part is to: improve the quality of civics and 
government education; foster civic competence and 
responsibility; and improve the quality of civic and economic 
education through cooperative exchanges with other democracies.
    New Section 5604--General Authority. This section provides 
that the Secretary is authorized to award grants or contracts 
to the Center for Civic Education, the National Council on 
Economic Education, or other nonprofit educational 
organizations to carry out this part.
    New Section 5605--We The People Program. This section 
provides authority for 2 domestic programs: (1) The Citizen and 
the Constitution and (2) Project Citizen. Both programs are to 
be made available to public and private schools in all 435 
congressional districts, all 50 States, Bureau of Indian 
Affairs schools, the District of Columbia, Puerto Rico, the 
United States Virgin Islands, Guam, American Samoa, and the 
Northern Mariana Islands.
    New section 5605(a) authorizes the Citizen and the 
Constitution program, which is to provide: a course of 
instruction on the principles of our Nation's constitutional 
democracy and on the history of the United States Constitution 
and the Bill of Rights; simulated Congressional hearings; an 
annual national competition for secondary schools students 
wishing to participate in such a program; advanced teacher 
training; and civic education materials and services to address 
specific problems such as school violence and the abuse of 
drugs and alcohol.
    New section 5605(b) authorizes the Project Citizen program, 
which is to provide: a course of instruction at the middle 
school level on the roles of State and local governments in the 
Federal system; optional simulated State legislative hearings; 
an annual showcase or competition; advanced teacher training; 
materials and services to address problems such as school 
violence and the abuse of drugs and alcohol.
    New Section 5606--Civic Education and Economic Education 
Exchange Programs. This section updates and makes minor changes 
to the existing cooperative education exchange programs in 
civics and government education and economics education 
authorized under title VI of Goals 2000: Educate America Act. 
The purpose of these programs is to provide to eligible 
countries cooperative education exchange programs in both 
civics and government education and economics education. 
Program activities include: (1) seminars on the major 
governmental and economic institutions and systems in the 
United States, including visits to such institutions; (2) 
visits to schools systems, institutions of higher education, 
and organizations conducting exemplary programs; (3) 
development of relevant materials on eligible countries for use 
in U.S. classrooms; (4) translations and adaptations of 
materials; and (5) research and evaluation. In administering 
the program, the Secretary of Education is to consult with the 
Secretary of State to ensure that the activities do not 
duplicate other efforts in the eligible countries and to ensure 
that partner institutions in the eligible countries are 
creditable. Eligible countries include any Central or Eastern 
European country, Lithuania, Latvia, Estonia, any independent 
State of the former Soviet Union, and may include Northern 
Ireland, the Republic of Ireland, and any developing country as 
so defined in the Education of the Deaf Act.
    New Section 5607--Authorization of Appropriations. This 
section authorizes $10 million for fiscal year 2001 for each 
component (domestic and international) and ``such sums as may 
be necessary'' for the 4 succeeding fiscal years.

Part G--Fund for the Improvement of Education

    The new part G of the bill reauthorizes and makes 
substantial revision in the Fund for the Improvement of 
Education (FIE), which is currently authorized as part A of 
title X. The Comprehensive School Reform Program currently 
funded under FIE is transferred to title I, and the lengthy 
list of permissive uses of funds included in current law is 
deleted.
    New Section 5701--Fund for the Improvement of Education. 
This section authorizes the Secretary to award competitive 
grants to support nationally significant programs to improve 
the quality of elementary and secondary education. Funds may be 
used for the character education, scholar-athlete competitions, 
school counseling, smaller learning communities, and mock 
election programs specifically authorized in part G--as well as 
for the identification and recognition of exemplary schools and 
programs and for the development and evaluation of model 
strategies for professional development for teachers and 
administrators. A funding level of $100 million is authorized 
for fiscal year 2001 and ``such sums as may be necessary'' for 
the 4 succeeding fiscal years.
    New Section 5702--Partnerships in Character Education 
Program. This section authorizes the Secretary to award grants 
to implement character education programs incorporating the 
elements of caring, civic virtue and citizenship, justice and 
fairness, respect, responsibility, and trustworthiness. The new 
section amends provisions of current law to: (1) expand the 
pool of eligible applicants (which are currently limited to 
State educational agencies in partnership with local 
educational agencies); (2) strike language restricting a State 
educational agency to no more than $1 million in character 
education grants; (3) reduce the grant duration period from 5 
years to 3 years; (4) revise the application provisions to 
reflect the expanded array of eligible applicants and to place 
greater emphasis on program objectives, evaluation, community 
outreach, and links to student performance; (5) revise the 
evaluation and program development provisions to reflect the 
expanded array of eligible applications; (6) include new 
provisions regarding national research, evaluation, and 
dissemination--for which up to 5 percent of the funds available 
for character education may be used and for which the Secretary 
may enter into partnerships with national, nonprofit character 
education organizations with expertise in implementing local 
programs; (7) revise the use of funds provisions to reflect the 
addition of eligible applicants; (8) provide that State 
educational agency recipients may use up to 10 percent of funds 
for administrative purposes and specify the activities for 
which the remaining 90 percent of funds may be used; (9) revise 
the selection of grantees provisions to reflect the expanded 
arrayof eligible applicants and to place greater emphasis on 
community outreach and links to student performance; and (10) add new 
provisions dealing with the participation of private school students 
and teachers.
    New Section 5703--Promoting Scholar-Athlete Competitions. 
This section authorizes the Secretary to award a grant to a 
nonprofit organization for the purpose of conducting scholar-
athlete games. The new section amends provisions of current law 
to update references. Other provisions of current law are 
maintained.
    New Section 5704--Elementary School Counseling 
Demonstration. This section authorizes the Secretary to award 
grants to establish or expand elementary school counseling 
programs. The new section amends provisions of current law to 
update the definitions of ``school psychologist'' and ``school 
social worker''. Other provisions of current law are 
maintained.
    New Section 5705--Smaller Learning Communities. This 
section authorizes the Secretary to award grants to local 
educational agencies to assist in the establishment of smaller 
learning communities. The new section amends provisions of 
current law to: (1) expand the pool of eligible applicants to 
include not only local educational agencies but also an 
elementary or secondary school, a Bureau funded school, or any 
of these entities in partnership with other public agencies or 
private nonprofit organizations; (2) make technical and 
conforming changes; and (3) add new provisions requiring 
recipients to submit an annual report to the Secretary which 
describes the use of grant funds and evidence of the impact of 
the grant on student performance and school safety. Other 
provisions of current law are maintained.
    New Section 5706--National Student and Parent Mock 
Election. This section authorizes the Secretary to award grants 
to national nonprofit, nonpartisan organizations that work to 
promote voter participation in elections. The new section 
amends provisions of current law to: (1) expand participation 
by including students and parents from the Territories, 
Department of Defense Dependent schools, and other 
international locales where Americans are based; and (2) 
require that all votes be recorded at least 5 days prior to the 
date of the general election. Other provisions of current law 
are maintained.

Part H--Allen J. Ellender Fellowship Program

    The new part H of the bill reauthorizes the Allen J. 
Ellender Fellowship Program currently authorized under part G 
of title X of the act. The program is amended to delete the 
findings and substitute a statement of purpose for the program 
and to authorize funds for fiscal years 2001 through 2005. 
Other provisions of current law are maintained.
    New Section 5801--Purpose. This section provides that the 
purpose of the program is to provide fellowships to low-income 
students, recent immigrants, students of migrant parents and 
the teachers who work with them, as well as older Americans, to 
participate in Close Up Foundation programs.
            Subpart 1--Programs for Middle and Secondary School 
                    Students
    New section 5811--Establishment. This section authorizes 
the Secretary to make grants to the Close Up Foundation to make 
financial aid available to low-income middle and secondary 
school students to allow them to participate in programs to 
increase their understanding of the Federal Government.
    New section 5812--Applications. This section provides that 
applications for grants under subpart 1 contain assurances that 
funds will be used to assist economically disadvantaged middle 
and secondary school students, to assure the participation of 
students from both rural and urban areas, and to give special 
consideration to students with special educational needs.
            Subpart 2--Program for Middle and Secondary School Teachers
    New Section 5821--Establishment. This section authorizes 
the Secretary to make grants to the Close Up Foundation to make 
financial aid available to middle and secondary school teachers 
for enhancement of teaching skills.
    New section 5812--Applications. This section provides that 
applications for grants under subpart 2 contain assurances that 
funds will be used to assist teachers who work with a student 
or students participating in the programs authorized under 
subpart 1 and that no more than 1 teacher in each participating 
school receives a fellowship in any fiscal year.
            Subpart 3--Programs for Recent Immigrants, Students of 
                    Migrant Parents and Older Americans
    New Section 5831--Establishment. This section authorizes 
the Secretary to make grants to the Close Up Foundation to make 
financial aid available to low-income older Americans, recent 
immigrants, and students of migrant parents to allow them to 
participate in programs to increase their understanding of the 
Federal Government.
    New section 5832--Applications. This section provides that 
applications for grants under subpart 3 contain assurances that 
funds will be used to assist economically disadvantaged older 
Americans, recent immigrants, and students of migrant parents; 
to assure the participation of these individuals from both 
rural and urban areas; and to give special consideration to 
those with special needs.
            Subpart 4--General Provisions
    New section 5841--Administrative Provisions. This section 
provides for audits by the Comptroller General.
    New section 5842--Authorization of Appropriations. This 
section authorizes $1.5 million for fiscal year 2001 and ``such 
sums as may be necessary'' for the 4 succeeding fiscal years. 
No more than 30 percent of the funds may be used for financial 
aid to teachers.

Part I--Ready-To-Learn Television

    Section 5901--Ready-To-Learn. This section authorizes the 
Secretary to award grants to eligible entities to develop, 
produce and distribute educational and instructional video 
programming for preschool and elementary school children and 
their parents, and to make them available to as wide an 
audience as possible. This section amends provisions of current 
law to update references.
    Section 5902--Educational Programming. This section 
authorizes the Secretary to award grants to eligible entities 
to facilitate the development of educational programming for 
preschool and elementary school children, and defines an 
eligible entity. This section amends current law by awarding 
grants to entities to develop programming for distribution over 
the Internet.
    Section 5902(b)(1) removes the provision that an entity 
shall be a nonprofit organization.
    Section 5903--Duties of Secretary. This section authorizes 
the Secretary to award grants to: address the learning needs of 
young children in limited English proficient households; 
develop materials to increase family literacy skills; support 
programs that promote school readiness; develop training 
materials adaptable to distance learning technologies; and 
establish a clearinghouse of information, reference materials, 
and programming.
    Section 5904--Applications. This section requires each 
entity seeking a grant under this part to submit an application 
to the Secretary. The application shall include such 
information as the Secretary may require.
    Section 5905--Reports and Evaluation. This section requires 
eligible entities to submit an annual report to the Secretary 
and details minimum content of the report. This section also 
instructs the Secretary to submit a biannual report to 
Congress. In addition, this section amends provisions of 
current law to update references.
    Section 5906--Administrative Costs. This section limits to 
5 percent the use of grant funding for administrative costs.
    Section 5907--Definition. This section defines the term 
``distance learning'' for the purposes of this part.
    Section 5908--Authorization of Appropriations. This section 
authorizes an increase in funding from the current $16 million 
to $50 million for fiscal year 2001 and ``such sums as may be 
necessary'' for the 4 succeeding fiscal years. This section 
repeals the requirement in current law that 10 percent of the 
funds be allocated for innovative programs that promote school 
readiness.

Part J--Inexpensive Book Distribution Program

    Section 5951--Inexpensive Book Distribution Program for 
Reading Motivation. This section authorizes the Secretary to 
enter into a contract with the ``Reading is Fundamental'' 
program designed to enhance distribution of inexpensive books 
in order to motivate children to read. This section details 
requirements of ``Reading is Fundamental'' program contracts. 
In addition, a funding level of $25 million is appropriated for 
fiscal year 2001 and ``such sums as may be necessary'' for the 
4 succeeding fiscal years.

                     Title VI--Innovative Education

    Section 601 of the bill rewrites title VI of the act. Under 
the bill, title VI contains 8 parts. Part A (Innovative 
Education Program Strategies) includes the programs and 
activities authorized under title VI of the current law. Part B 
(Rural Flexibility) is a new initiative which is designed to 
provide adequate funding to rural school districts for 
improving student performance. Part C (Education Flexibility 
Partnerships) incorporates the Education Flexibility 
Partnership Act, which was signed into law in 1999 as a free-
standing bill, into the Elementary and Secondary Education Act. 
Part D (Flexibility in the Use of Administrative and Other 
Funds) includes the provisions of part B of title XIV of the 
current law. Part E (Coordination of Programs; Consolidated 
State and Local Plans and Applications) includes the provisions 
of part C of title XIV of the current law. Part F (Waivers) 
includes the provisions of part D of title XIV of the current 
law. Part G (Education Performance Partnerships) is a new 
initiative which is designed to give States the opportunity to 
combine federal education formula grant funds in ways which 
will increase the academic achievement of their students. Part 
H (Academic Achievement for All Demonstration) is another new 
State flexibility initiative which will provide up to 15 States 
with broad authority to combine federal education formula grant 
funds in exchange for improving the performance of all 
students.

Part A--Innovative Education Program Strategies

    Title VI, part A makes modifications to the current law and 
includes the following provisions:
    Section 6101--Purpose; State and Local Responsibility. 
Section 6101(a) lists the purposes for title VI which are: to 
support local and state education reform efforts; to provide a 
continuing source of innovation and educational improvement, 
including support for library services and instructional and 
media materials; and to develop education programs to improve 
school, student, and teacher performance including professional 
development and class size reduction programs.
    Section 6101(b) specifies that the administration of these 
funds are the responsibility of the State educational agencies 
and the responsibility for design and implementation of the 
programs rests primarily with local educational agencies.
    Section 6102--Authorization of Appropriations; Duration of 
Assistance. Section 6102(a) authorizes $850 million for fiscal 
year 2001 and such sums for fiscal years 2002 through 2005.
    Section 6102(b) authorizes the Secretary to make payments 
to State educational agencies in accordance with the purposes 
described under section 6101(a).
    Section 6103--Definition of Effective Schools Program. 
Section 6103 describes an effective schools program as: 
promoting school-level planning; instructional improvement; and 
staff development for all personnel; and increasing academic 
performance for all children.
            Subpart 1--State and Local Programs
    Section 6111--Allotment to States. Section 6111(a) 
specifies the percentage of funds reserved for the outlying 
areas for title VI activities.
    Section 6111(b) establishes the State allotment formula.
    Section 6111(c) defines school-age population and State as 
they apply to State allotment.
    Section 6112--Allocation to Local educational agencies. 
Section 6112(a) describes the allocation of funds to local 
educational agencies.
    Section 6112(b) describes the calculation of enrollments.
    Section 6112(c) specifies the distribution of funds from 
the State educational agency to the local educational agency.
            Subpart 2--State Programs
    Section 6121--State Use of Funds. Section 6121(a) 
authorizes the State educational agency activities which 
include: State administration; support for planning and 
implementing charter schools; support for designing and 
implementing student assessments; support for State and local 
standards implementation; and technical assistance.
    Section 6121(b) specifies the amount of funds available for 
State administration.
    Section 6122--State Applications. Section 6122(a) specifies 
the State application requirements.
    Section 6122(b) specifies that the State application is for 
a period of 3 years and may be amended annually.
    Section 6122(c) specifies that a local educational agency 
that receives less than an average of $10,000 under this part, 
for 3 years will not be audited more than once every 5 years.
            Subpart 3--Local Innovative Education Programs
    Section 6131--Targeted Use of Funds. Section 6131(a) 
establishes that local educational agencies shall use the funds 
awarded under title VI, part A, for innovative assistance.
    Section 6131(b) describes an array of activities, programs, 
and initiatives that may be used for innovative assistance. 
These include: programs for the acquisition of instructional 
and educational materials (such as library services, media 
materials, and assessments); professional development programs; 
activities designed to advance student performance; parental 
involvement initiatives; programs to reduce class size; 
programs to improve academic performance of educationally 
disadvantaged students; expansion of best practice models; 
literacy programs; technology activities; school improvement 
programs; activities for gifted and talented students; programs 
to provide same gender schools or classrooms; service learning 
programs; and school safety programs. All activities shall be: 
tied to promoting high academic standards; used to improve 
student performance; and part of an overall education reform 
strategy.
    Section 6132--Administrative Authority. Section 6132 allows 
a State educational agency or a local educational agency to 
enter into grants or contracts with higher education 
institutions, libraries, museums, and public and private 
nonprofit entities.
    Section 6133--Local Application. Section 6133(a) specifies 
the contents of a local educational agency application.
    Section 6133(b) specifies that the local educational agency 
application shall be for a period of 3 years and may be amended 
annually.
    Section 6133(c) gives the local educational agency complete 
discretion in determining how funds are expended at the local 
level.
            Subpart 4--General Administrative Provisions
    Section 6141--Maintenance of Effort; Federal Funds 
Supplementary. Section 6141(a) describes maintenance of effort 
requirements.
    Section 6141(b) specifies that a State or local educational 
agency may only use funds received under title VI, part A, to 
supplement (not supplant) other funding sources.
    Section 6142--Participation of Children Enrolled in Private 
Schools. Section 6142(a) specifies that State education 
agencies shall provide benefit for children enrolled in private 
schools with the title VI, part A program.
    Section 6142(b) describes expenditures of title VI, part A, 
funds for children enrolled in private schools.
    Section 6142(c) requires that the funds provided under this 
part must be controlled by a public agency and that public 
agency employees must provide the services.
    Sections 6142(d) through (i) describes the arrangement for 
provision of services to private school children if a State or 
local educational agency, through either State or local law, is 
prohibited from providing title VI, part A, services.
    Section 6143--Federal Administration. Section 6143(a) 
requires the Secretary, upon request, to provide technical 
assistance to State and local educational agencies.
    Section 6143(b) gives the Secretary authority to issue 
regulations.
    Section 6143(c) requires that funds become available on 
July 1 of each fiscal year.

Part B--Rural Education Initiative

    Part B of title VI establishes a new rural education 
initiative known as the ``Rural Education Achievement 
Program.''
    New section 6202 of title VI states the purpose of the part 
is to address the unique needs of rural school districts which 
frequently lack the personnel and resources needed to compete 
for Federal competitive grants and frequently receive formula 
allocations in amounts too small to be effective in meeting 
their intended purposes.
    New section 6203 authorizes $125 million for fiscal year 
2001 and such sums as may be necessary for each of the four 
succeeding years. $62.5 million of this amount is targeted 
during fiscal year 2001 toward subpart 1.
    New section 6211 authorizes rural educational agencies with 
an average daily attendance of 600 students or fewer to 
consolidate the funds they receive under Titles II, IV, and VI 
of the Elementary and Secondary Education Act. These funds may 
be used to improve student achievement in accordance with the 
provisions of part A of title VI.
    New section 6212 authorizes the Secretary to award grants 
to small rural educational agencies to carry out innovative 
assistance activities. The grant will be equal to $100 
multiplied by the total number of students in excess of 50 
students that are in average daily attendance. No grant may be 
less than $20,000 or more than $60,000.
    New section 6213 requires that each participating 
educational agency must administer an assessment, consistent 
with the assessment used pursuant to section 1111(b) of the 
Elementary and Secondary Education Act, to assess the academic 
achievement of students in schools served by the local 
educational agency. At the end of 5 years of participation in 
this program, the state educational agency shall determine 
whether students served by the participating local educational 
agency have improved their performance on the assessments. If 
student achievement has not improved, the local educational 
agency may no longer participate in the program.
    New section 6214 provides for ratable reductions in case of 
insufficient appropriations.
    New section 6221 provides definitions for use in Subpart 2 
of Part B of Title VI which provides funding for the Low-Income 
and Rural School Program.
    New section 6222 authorizes the Secretary of Education to 
make grants to state educational agencies that are located in 
rural communities and that have student populations of which 20 
percent or more come from families with incomes below the 
poverty line.
    New section 6223 describes the authorized uses of funds and 
provides that the state educational agency may distribute funds 
to local educational agencies on a competitive basis or on the 
basis of a formula based on the number of students in average 
daily attendance at the eligible local educational agency.
    New section 6224 requires each state educational agency or 
local educational agency in a non-participating state to submit 
an application to the Secretary of Education. The application 
shall, at a minimum, include measurable goals and objectives, 
including specific goals and objectives relating to increased 
student academic achievement, decreased student drop out rates.
    New section 6225 requires each state educational agency to 
prepare and submit to the Secretary an annual report that 
describes the method that funds were distributed to local 
educational agencies, how the funds were used by these 
agencies, and the degree to which the State made progress 
toward meeting the goals and objectives described in the 
application. The section also provides that a participating 
local educational agency that receives a grant under this 
subpart may not continue to participate if after five years it 
has not improved student academic achievement.
    New section 6226 provides that funds shall be used to 
supplement and not supplant other Federal, State, or local 
education funds.
    New section 6227 provides that no local educational agency 
may concurrently participate in both subpart I and subpart II.

Part C--Education Flexibility Partnerships

    Section 6301--Short Title. Section 6301 cites part C as the 
Education Flexibility Partnership Act of 2000.
    Section 6302--Definitions. Section 6302 defines eligible 
school attendance area, school attendance area, and State. 
These definitions apply to title VI, part C.
    Section 6303--Education Flexibility Partnership. Section 
6303(a) establishes the Educational Flexibility (Ed-Flex) 
Program.
    Section 6303(b) describes the programs that are included 
under Ed-Flex.
    Section 6303(c) describes waivers that are not authorized 
under Ed-Flex.
    Section 6303(d) describes the treatment of existing Ed-Flex 
Partnership States.
    Section 6303(e) requires the Secretary to publish a notice 
in the Federal Register which describes the Secretary's 
decision to authorize State educational agencies to issue 
waivers.

Part D--Flexibility in the Use of Administrative and Other Funds

    Section 6401--Consolidation of State Administrative Funds 
for Elementary and Secondary Education Programs. Section 
6401(a) establishes the process for a State educational agency 
to consolidate administrative funds if the State educational 
agency chooses the consolidation process.
    Section 6401(b) establishes that a State educational agency 
may use consolidated administrative funds for activities that: 
strengthen coordination of programs; disseminate model programs 
and practices; and provide technical assistance.
    Section 6401(c) provides for consolidated recordkeeping for 
State educational agencies that consolidate administrative 
funds.
    Section 6401(d) requires the Secretary to review State 
educational agencies that consolidate administrative funds.
    Section 6401(e) enables a State educational agency that 
does not use all of its administrative funds to use those 
remaining funds for program activities.
    Section 6401(f) gives a State educational agency the 
ability to consolidate funds for standards and assessment 
development as described under title I of this Act.
    Section 6402--Single Local Educational Agency States. 
Section 6402 requires a State educational agency that also 
serves as a local educational agency to describe how 
duplication of administrative functions will be eliminated.
    Section 6403--Consolidation of Funds for Local 
Administration. Section 6403(a) establishes that a local 
educational agency may consolidate administrative funds.
    Section 6403(b) requires the State educational agency to 
establish procedures for responding to requests from local 
educational agencies to consolidate administrative funds.
    Section 6403(c) specifies the conditions for a local 
educational agency to consolidate administrative funds.
    Section 6403(d) describes the use of administrative funds 
for a local educational agency that chooses to consolidate 
administrative funds.
    Section 6403(e) provides for consolidated recordkeeping for 
local educational agencies that consolidate administrative 
funds.
    Section 6404--Administrative Funds Evaluation. Section 
6404(a) requires the Secretary to conduct an evaluation of 
State and local uses of administrative funds for programs 
covered under this act.
    Section 6405--Consolidated Set-Aside for Department of the 
Interior Funds. Section 6405 establishes a transfer of funds 
mechanism to the Department of Interior for those consolidated 
funds pertaining to part A of title 9 and to subtitle B of 
title 7 of the Stewart B. McKinney Homeless Assistance Act.
    Section 6406--Availability of Unneeded Program Funds. 
Section 6406(a) allows a local educational agency to transfer 
not more than 5 percent of a program's unused funds to another 
program.
    Section 6406(b) enables a local educational agency, school, 
or consortium of schools to use not more than 5 percent of 
total funds for a coordinated services project.

Part E--Coordination of Programs; Consolidated State and Local Plans 
        and Applications

    Section 6501--Purpose. Section 6501 describes the purpose 
for coordinating and consolidating State and local plans and 
applications.
    Section 6502--Optional Consolidated State Plans or 
Applications. Section 6502(a) establishes the authority for 
compiling consolidated State plans or applications.
    Section 6502(b) requires the Secretary to collaborate with 
State educational agencies, local educational agencies, public 
and private entities, parents, students, and teachers to 
establish criteria and procedures for consolidated planning.
    Section 6503 General Applicability of State Educational 
Agency Assurances. Section 6503(a) requires a State educational 
agency that submits a consolidated plan to have on file with 
the Secretary a single set of assurances that are applicable to 
each programs.
    Section 6503(b) establishes that section 441 of the General 
Education Provisions Act does not apply to part E of title VI.
    Section 6504--Additional Coordination. Section 6504(a) 
directs the Secretary to seek coordination of programs with 
other members of the Cabinet for the purpose of enhancing 
coordination and reducing administrative burdens.
    Section 6505--Consolidated Local Plans or Applications. 
Section 6505(a) enables a local educational agency to submit a 
consolidated plan or application to a State educational agency.
    Section 6505(b) specifies that a State educational agency 
that has submitted and had approved a consolidated State plan 
or application may require local educational agencies in the 
State to submit consolidated local plans.
    Section 6505(c) requires a State educational agency to 
collaborate with local educational agencies in establishing 
procedures for the submission of consolidated plans and 
applications.
    Section 6505(d) specifies that a State educational agency 
will require a local educational agency to submit only 
necessary material as part of its plan or application.
    Section 6506--Other General Assurances. Section 6506(a) 
requires any applicant that submits a plan under this Act to 
have on file, with the State educational agency, a set of 
assurances for each program for which a plan or application has 
been submitted.
    Section 6506(b) specifies that section 442 of the General 
Education Provisions Act does not apply to part E of title VI.
    Section 6507--Relationship of State and Local Plans to 
Other Plans. Section 6507(a) specifies that each State plan 
submitted for part A of title I, part C of title I, title II, 
title IV, part A of title VI, and subpart 4 of part A of title 
IX shall be integrated with one another and the State's 
improvement plan.
    Section 6507(b) specifies that each local educational 
agency plan submitted for part A of title I, title II, title 
IV, part A of title VI, subpart I of part A of title VII, part 
C of title VII, and subpart 4 of part A of title IX shall be 
integrated with one another.

Part F--Waivers

    Section 6601--Waivers of Statutory and Regulatory 
Requirements. Section 6601(a) gives the Secretary waiver 
authority.
    Section 6601(b) describes the waiver process. A State 
educational agency, local educational agency, or Indian tribe 
seeking a waiver will submit a waiver request to the Secretary 
that identifies the Federal programs affected by the waiver, 
describes which Federal requirements are to be waived and how 
the waiving will improve quality of instruction or improve 
student academic performance, (if applicable) describes which 
similar State and local requirements will be waived, describes 
specific outcomes for all students, and describes how schools 
will continue to provide assistance to the same populations 
served by programs for which waivers are requested.
    Section 6601(c) specifies that the Secretary shall not 
waive certain statutory or regulatory requirements that pertain 
to the following: allocation of funds to States, local 
educational agencies, or other recipients; maintenance of 
effort; comparability of services; use of Federal funds to 
supplement (not supplant) non-Federal funds; equitable 
participation of private school students and teachers; parental 
participation and involvement; applicable civil rights 
requirements; charter school requirements; prohibitions 
regarding State aid or use of funds for religious worship or 
instruction; or the selection of a school attendance area or 
school under subsections (a) and (b) of section 1113 (except 
that the Secretary may grant a waiver to allow a school 
attendance area or school to participate in activities under 
part A of title I if the percentage of children from low-income 
families in the school attendance area of such school or who 
attend such school is not less than 10 percentage points below 
the lowest percentage of such children for any school 
attendance area or school within the local educational agency 
that meets the requirements of subsections (a) and (b) of title 
1).
    Section 6601(d) establishes that an approved waiver under 
this section may be for 3 years. The Secretary may extend the 
period of time for the waiver if the Secretary determines that 
the waiver has been effective and the waiver is in the public 
interest.
    Section 6601(e) requires a local educational agency that 
receives a waiver under this section to submit a report to the 
State educational agency at the end of the second year and each 
subsequent year for which a waiver is received. This section 
also requires a State educational agency that receives local 
educational reports to submit a report to the Secretary . In 
addition, the Secretary is also required to submit a report to 
the House and Senate Education Committees summarizing the use 
of waivers and whether the waivers increased the quality of 
instruction or student academic performance.
    Section 6601(f) authorizes the Secretary to terminate a 
waiver if the Secretary determines that the waiver has been 
inadequate or if the waiver is no longer necessary to achieve 
its original purposes.
    Section 6601(g) requires that a notice of the Secretary's 
decision to grant each waiver will be published in the Federal 
Register.

Part G--Education Performance Partnerships

    New section 6701--Short Title. This section provides that 
the short title of part G is the ``Education Performance 
Partnerships Act.''
    New section 6702--Purpose. This section states that the 
purpose of the part is to improve the academic achievement of 
all students by providing States and localities with maximum 
flexibility in exchange for accountability for increasing 
academic achievement and narrowing achievement gaps between the 
lowest and highest performing groups of students.
    New section 6703--Performance Partnership Agreements. New 
section 6703(a) provideseach State with the option to execute a 
performance partnership agreement with the Secretary.
    New section 6703(b) provides that the State Governor, in 
consultation with the individual or body responsible under 
State law for education programs, will determine whether or not 
the State participates.
    New section 6703(c) provides that the Secretary will 
approve a performance partnership agreement unless the 
Secretary provides written notification within 60 days that 
portion of the agreement do not comply with the provisions of 
part G. The section provides for negotiation in the event that 
such notification is provided, with the negotiation to be 
completed within 4 months. This period may be extended for 30 
days if both the Secretary and the State agree to the 
extension. If negotiations are not completed within this time 
frame, the partnership agreement will be subject to peer 
review. A State may also request peer review in cases where the 
agreement is rejected by the Secretary. The peer review 
committee is to be composed of 7 members: 2 appointed by the 
State, 2 appointed by the Secretary, and 3 appointed by the 
National Academy of Sciences. The committee is to make advisory 
recommendations within 60 days. The Secretary is to make a 
decision within 30 days of receiving the recommendations, 
although negotiations may continue for as long as the Secretary 
and State agree.
    New section 6703(d) provides that: (1) the term of the 
partnership agreement may not exceed 5 years; (2) no program 
requirement of any program included in the agreement will apply 
unless specifically provided for in part G; (3) the State must 
provide a list of the programs it wishes to include in the 
agreement; (4) the State must provide a 5-year plan (which is 
aligned with the State's reform plan) for using funds from the 
programs included in the agreement to advance the education 
priorities of the State, to improve student achievement, and to 
narrow achievement gaps; (5) the State must provide the 
opportunity for public review and comment prior to submission 
of the agreement to the Secretary; (6) if part A of title I 
programs are included in the agreement, the State must have: 
(A) implemented the State standards and assessments described 
in title I or a system to measure the degree of change from 1 
school year to the next on aligned assessments, (B) provided 
for disaggregation of assessment data at the State, local 
educational agency, and school levels by race, ethnicity, 
English proficiency status, and socioeconomic status, (C) 
established specific and measurable student performance 
objectives, and (D) implemented a statewide system for holding 
local educational agencies and schools accountable for student 
performance which includes provisions related to school 
improvement, technical assistance, and corrective action; (7) 
the State must establish student performance goals which meet 
specified minimum requirements, including a requirement that 
all students participating in a program included in the 
partnership agreement make substantial gains in achievement, 
and must maintain the same performance standards and aligned 
assessments throughout the term of the agreement; (8) the State 
must issue a report no later than 2 years after entering into 
the partnership agreement and annually thereafter which 
includes disaggregated student performance data and a 
description of how funds have been used to improve student 
performance and reduce achievement gaps; (9) the State must 
have been in compliance with the requirements of the Elementary 
and Secondary Education Act as they existed prior to the 
enactment of the Educational Opportunities Act; and (10) the 
State must provide assurances of fiscal control and fund 
accounting, an implementation schedule, and a timeline for 
reporting student performance data.
    New section 6703(e) provides that a State may modify its 
performance partnership agreement. The requirement that the 
State maintain the same performance standards and aligned 
assessments throughout the term of the agreement may not be 
amended. Modifications to withdraw or include programs or to 
add a new performance objective must be approved by the 
Secretary. Any other term of the agreement may be modified by 
the State at its discretion.
    New section 6704--Treatment of Eligible Programs under 
Agreements. New section 6704(a) provides that the following 
programs may be included in the performance partnership 
agreement: (1) Improving Basic Programs Operated by Local 
Educational Agencies (part A of title I); (2) Even Start (part 
B of title I); (3) Education of Migratory Children (part C of 
title I); (4) Demonstrations of Innovative Practices (section 
1502); (5) Teacher Empowerment Grants to States, Subgrants to 
Eligible Partnerships, and Subgrants to Local Educational 
Agencies (subparts 1, 2, and 3 of part A of title II); (6) 
Initiatives for Neglected, Delinquent, or At Risk Students 
(part B of title III); (7) Technology Literacy Fund (section 
5132); (8) Innovative Education (title VI); (9) Emergency 
Immigrant Education (part C of title VII); (10) any other State 
formula grant program authorized under the Elementary and 
Secondary Education Act which was not in effect prior to the 
date of enactment of the Educational Opportunities Act; (11) 
Class-Size Reduction (section 310 of the Department of 
Education Appropriations Act, 2000); (12) State and Local 
Education Systemic Improvement (title III of the Goals 2000: 
Educate America Act); and (13) Education for Homeless Children 
and Youth (subtitle B of title VII of the Stewart B. McKinney 
Homeless Assistance Act).
    New section 6704(b) provides that States must comply with 
any statutory or regulatory requirement applicable to a program 
included in the partnership agreement relating to maintenance 
of effort, comparability of services, equitable participation 
of private school students and professional staff, parental 
participation and involvement, the serving of eligible school 
attendance areas in rank order under section 1113(a)(3), the 
selection of a school attendance area or school under section 
1113 except in cases where the percentage of low-income 
children in the area or school is at least 10 percentage points 
below the percentage of such children served by the local 
educational agency, supplement-not-supplant, and applicable 
civil rights requirements.
    New section 6704(c) provides that a State may combine funds 
from any or all of the programs listed in subsection (a) 
without regard to program requirements unless otherwise 
provided in part G. In addition, formulas for the distribution 
of Federal funds to the States will remain the same.
    New section 6704(d) provides an illustrative list of 
educational activities for which funds may be used under a 
performance partnership agreement.
    New section 6705--Local Participation in Agreements. New 
section 6705 provides that any local educational agency located 
in a State which does not enter into a performance partnership 
agreement may submit its own agreement. The State must agree to 
the local educational agency's proposal. The local educational 
agency is to meet the same requirements as a State applicant, 
with the exception of provisions relating to the intra-state 
distribution of funds and the use of funds for State 
administrative activities.
    New section 6706--Within State Distribution of Funds. With 
the exception of part A of title I funds, a State may 
distribute funds from programs included in the agreement to 
local educational agencies in any way provided by the State law 
or constitution. Part A of title I funds are to be distributed 
within the State in accordance with the requirements of Federal 
law.
    New section 6707--State Administrative Expenditures. New 
section 6707 provides that a State may retain 1 percent of 
title I funds (if applicable) for administrative purposes. For 
non-title I programs included in the agreement, the State may 
retain for administrative purposes the same amount provided in 
the preceding school year, with gradual annual reductions in 
that amount leading to a limit of 5 percent in the fifth year 
of the program and any subsequent renewal of the program. A 
State may use up to 7 percent of non-title I funds for 
administrative and nonadministrative expenses associated with 
state- or district-wide initiatives directly affecting 
classroom learning. A local educational agency may not use more 
than 5 percent of funds for administration.
    New section 6708--Performance Review. The Secretary is to 
prepare a written performance review at the end of the third 
year of a State's performance partnership agreement. The review 
is to include recommendations for improvement in cases where 
the State has failed to carry out requirements of the 
agreement, to implement an accountability system, or to make 
adequate progress in improving student performance. In these 
cases, the Secretary is to conduct a second performance review 
the following year. If the problems persist, the Secretary may 
either withhold a percentage of State administrative funds or 
terminate the agreement. If student achievement in the State 
has declined significantly, the Secretary is to terminate the 
agreement unless the State can demonstrate that the decline was 
based on exceptional or uncontrollable circumstances.
    New section 6709--Renewal of Performance Partnership 
Agreement. A State which wishes to renew a partnership 
agreement must notify the Secretary at least 6 months prior to 
the end of the agreement. The Secretary is to renew the 
agreement for another 5-year term if the State submits required 
data showing that the State has made substantial progress 
toward meeting its performance goals.
    New section 6710--Closing the Achievement Gap Bonus Awards. 
New section 6710(a) requires the Secretary to provide bonus 
awards to States which make significant progress in eliminating 
achievement gaps by raising the achievement levels of the 
lowest performing student groups. A State is eligible for a 
bonus award whether or not it participates in a performance 
partnership agreement.
    New section 6710(b) establishes State eligibility 
requirements, which include the use of the National Assessment 
of Educational Progress tests for the 4th and 8th grade levels 
or another non-State auditing device to measure student 
academic progress. A State which reduces the achievement gap 
between its lowest and highest performing students in at least 
3 of the 4 measured categories (math and English at the 4th and 
8th grade levels) by a percentage that exceeds the national 
average will receive a bonus award.
    New section 6710(c) establishes procedures for determining 
the national average and individual State reductions in the 
achievement gap. In both cases, the Secretary is to compare the 
baseline and final levels of achievement of students eligible 
for free and reduced-price school lunches with that of all 
other students in each of the 4 categories. The baseline is set 
by test scores during the 2001-2002 academic year, and the 
final level is set by test scores during the fifth academic 
year in which performance partnerships are formed. A reduction 
in the achievement gap resulting from a reduction in the 
achievement levels of the highest performing students will not 
qualify a State to receive a bonus award.
    New section 6710(d) provides that the Secretary is to 
review the improvement a State has made in closing the 
achievement gap as measured by State assessments.
    New section 6710(e) provides that bonus award amounts will 
be based on the number of individuals in a State between the 
ages of 5 and 17 with family incomes below the poverty line 
relative to the total number of such individuals in all States.
    New section 6710(f) provides for a directed appropriations 
of $2.5 billion for the fifth full fiscal year for which 
performance partnership agreements are made under this part.
    New section 6711--Performance Report. This section provides 
that the Secretary will submit to the appropriate congressional 
committees each annual State report within 60 days of receipt 
of the report.

Part H--Academic Achievement for All Demonstration

    New section 6801--Short Title. This section provides that 
the short title of part H is ``Academic Achievement for All 
Demonstration Act (Straight A's Act)''.
    New section 6802--Purpose. This section states that the 
purpose of the part is to improve the academic achievement of 
all students, improve teacher quality, and empower parents 
bygiving States and localities maximum freedom and holding them 
accountable for boosting achievement and narrowing the achievement gap.
    New section 6803--Performance Agreement. New section 
6803(a) provides that up to 15 States may execute a performance 
agreement with the Secretary. The first 15 States with 
approvable agreements will participate.
    New section 6803(b) requires States to provide notice and 
opportunity for comment on any proposed performance agreement 
as provided under State law.
    New section 6803(c) provides that the performance agreement 
will be considered approved 60 days after its receipt by the 
Secretary unless the Secretary provides a written determination 
within that time that the agreement does not meet the 
requirements of part H.
    New section 6803(d) provides that: (1) the term of the 
partnership agreement will be 5 years; (2) no program 
requirement of any program included in the agreement will apply 
unless specifically provided for in part H; (3) the State must 
provide a list of the programs it wishes to include in the 
agreement; (4) the State must provide a 5-year plan for using 
funds from the programs included in the agreement to advance 
the education priorities of the State, to improve student 
achievement, and to narrow achievement gaps; (5) if any title I 
programs are included in the agreement, the State must have: 
(A) implemented the State standards and assessments described 
in title I or a system to measure the degree of change from 1 
school year to the next, (B) developed and implemented a 
statewide accountability system, (C) provided for 
disaggregation of assessment data at the State, local 
educational agency, and school levels by race, ethnicity, 
gender, English proficiency status, migrant status, and 
economically disadvantaged students compared to other students, 
(D) established specific, measurable, numerical student 
performance objectives--including a definition of the 
proficient level, and (E) implemented a statewide system for 
holding local educational agencies and schools accountable for 
student performance which includes provisions related to school 
improvement, technical assistance, and corrective action; (6) 
if part A of title I is included in the performance agreement, 
the State must establish annual student performance goals 
which: (A) establish a single high standard for all students, 
(B) take into account the progress of students in all local 
educational agencies and schools in the State, (C) are based on 
State standards and assessments, (D) include specific annual 
improvement goals in each subject and grade included in the 
State assessment, (E) compare the proportions of students at 
levels of performance with those in the same grade level during 
the previous school year, (F) include annual numerical goals 
for improving the performance of each group for which 
disaggregated data is collected and for narrowing the 
achievement gap, and (G) require all students to make 
substantial gains in achievement; (7) the State must maintain 
the same performance standards and aligned assessments 
throughout the term of the agreement; (8) the State must 
provide assurances of fiscal control and fund accounting; (9) 
the State must meet the requirements of applicable civil rights 
laws; (10) the State must assure the equitable participation of 
private school students and staff; (11) the State must not 
reduce State funding for elementary and secondary education 
during the term of the agreement; (12) the State must issue and 
widely disseminate a report no later than 1 year after entering 
into the performance agreement and annually thereafter which 
includes disaggregated student performance data and a 
description of how funds have been used to improve student 
performance and reduce achievement gaps.
    New section 6803(e) provides that, if a State does not 
include part A of title I funds in its performance agreement, 
it must develop a system to measure the academic performance of 
all students and establish academic performance goals which: 
(A) establish a single high standard for all students, (B) take 
into account the progress of students in all local educational 
agencies and schools in the State, (C) are based on State 
standards and assessments, (D) include specific annual 
improvement goals in each subject and grade included in the 
State assessment, (E) compare the proportions of students at 
levels of performance with those in the same grade level during 
the previous school year, and (F) require all students to make 
substantial gains in achievement. The performance goals do not 
have to include annual numerical goals for improving the 
performance of each group for which disaggregated data is 
collected or for narrowing the achievement gap.
    New section 6803(f) provides that a State may amend its 
performance agreement to withdraw or add programs or to add a 
new performance objective if the amendment is approved by the 
Secretary. The amendment will be considered approved 60 days 
after its receipt by the Secretary unless the Secretary 
provides a written determination within that time that the 
amendment does not meet the requirements of part H.
    New section 6803(g) provides that a State or local 
educational agency may not enter into agreements under both 
parts G and H. A local educational agency may not enter into an 
agreement under either part if the agency is located in a State 
which has agreement under either part G or H.
    New section 6804--Eligible Programs. New section 6804(a) 
provides that the following programs may be included in a 
performance agreement: (1) Improving Basic Programs Operated by 
Local Educational Agencies (part A of title I); (2) Even Start 
(part B of title I); (3) Education of Migratory Children (part 
C of title I); (4) Teacher Empowerment Grants to States, 
Subgrants to Eligible Partnerships, and Subgrants to Local 
Educational Agencies (subparts 1, 2, and 3 of part A of title 
II); (5) Initiatives for Neglected, Delinquent, or At Risk 
Students (part B of title III); (6) Technology Literacy Fund 
(section 5132); (7) Innovative Education (title VI); (8) 
Emergency Immigrant Education (part C of title VII); (9) Class-
Size Reduction (section 307 of the Department of Education 
Appropriations Act of 1999); (10) Demonstrations of Innovative 
Practices (section 1502 as described on pages 96-99 of House 
Report 105-390); (11) Vocational Education Assistance for the 
Outlying Areas, Native American Program, State Provisions, and 
Local Provisions (sections 115 and 116, and parts B and C of 
title I of the Carl D. Perkins Vocational Technical Education 
Act); and (12) Education for Homeless Children and 
Youth(subtitle B of title VII of the Stewart B. McKinney Homeless 
Assistance Act).
    New section 6804(b) provides that a State may combine funds 
from any or all of the programs listed in subsection (a) 
without regard to program requirements except that the 
proportion of funds made available for national programs and 
formulas for the distribution of Federal funds to the States 
will remain the same.
    New section 6704(c) provides that funds may be used under a 
performance partnership agreement for any elementary and 
secondary educational purposes permitted by State law.
    New section 6805--Within-State Distribution of Funds. The 
Governor and State legislature or, if applicable, the 
individual or entity responsible for education under the State 
constitution or law will determine how funds from programs 
included in the agreement will be distributed to local 
educational agencies. The State must provide for notice and 
opportunity to comment on the proposed allocation of funds. If 
part A of title I funds are included in the agreement, the 
State must provide each local educational agency an amount at 
least equal to the part A funds the agency received in the 
fiscal year preceding the one in which the performance 
agreement took effect.
    New section 6806--Local Participation. New section 6806 
provides that any local educational agency located in a State 
which does not enter into a performance agreement may submit 
its own agreement. The State must agree to the local 
educational agency's proposal. The local educational agency is 
to meet the same requirements as a State applicant, with the 
exception of provisions relating to the intra-state 
distribution of funds and the use of funds for State 
administrative activities.
    New section 6807--Limitations on State and Local 
Educational Agency Administrative Expenditures. New section 
6807 provides that a State may retain for administrative 
purposes 1 percent the funds for programs included in the 
agreement if part A of title I funds are included. If part A of 
title I funds are not included in the agreement, the State may 
retain 3 percent of funds for administrative purposes. A local 
educational agency may use 4 percent of funds for 
administration.
    New section 6808--Performance Review and Penalties. This 
section provides that the Secretary may terminate the agreement 
if student achievement in a State declines for 3 consecutive 
years. The Secretary must terminate the agreement if the State 
has not substantially met its performance goals at the end of 
the 5-year term. In cases where a State has made no progress at 
all by the end of the term, the Secretary may reduce up to half 
of State administrative funds for the programs included in the 
agreement in each of the 2 years following termination of the 
agreement.
    New section 6809--Renewal of Performance Agreement. A State 
which wishes to renew a performance agreement must notify the 
Secretary at least 6 months prior to the end of the agreement. 
The Secretary is to renew the agreement for another 5-year term 
if the State submits required data showing that the State has 
made, met or made substantial progress toward meeting its 
performance goals.
    New section 6810--Achievement Gap Reduction Rewards. New 
section 6810(a) mandates the Secretary to set aside sufficient 
funds under the Fund for the Improvement of Education to reward 
States that make significant progress in eliminating 
achievement gaps by the end of the term of their performance 
agreement. The reward amount is not less than 5 percent of the 
funds received by the State for programs included in the 
agreement during the first year the agreement was in place.
    New Section 6810(b) provides that a State is entitled to 
the reward if, over the 5-year term of the agreement, the State 
either: (1) reduces by at least 25 percent the difference 
between the percentage of the highest and lowest performing 
groups of students for which data is disaggregated that meet 
the State's proficient level of performance in at least two 
content areas and at least two grade levels or (2) increases by 
25 percent the proportion of two or more groups of students for 
which data is disaggregated that meet the proficient level. One 
of the two content areas must be math or reading.
    New section 6810(c) provides that a reduction in the 
achievement gap resulting from a decrease in the average 
performance of the highest performing quintile of students will 
not qualify a State to receive a reward.
    New section 6811--Straight A's Performance Report. This 
section provides that the Secretary will submit to the 
appropriate congressional committees each annual State report 
within 60 days of receipt of the report.
    New section 6812--Applicability of Title X. This section 
states that the provisions of part H are to be construed to 
supersede the provisions of Title X of the Elementary and 
Secondary Education Act (General Provisions).
    New section 6813--Applicability of General Education 
Provisions Act. This section states that the provisions of part 
H are to be construed to supersede the provisions of the 
General Education Provisions Act--with the exception of 
provisions dealing with civil rights, the withholding of funds 
and enforcement authority, and family educational and privacy 
rights.
    New section 6814--Applicability to Home Schools. This 
section states that nothing in part H shall be construed to 
affect home schools whether or not a home school is treated as 
a private school or home school under State law.
    New section 6815--General Provisions Regarding Non-
Recipient, Nonpublic Schools. This section states that nothing 
in part H shall be construed to permit, allow, encourage, or 
authorize any Federal control over any aspect of any private, 
religious, or home school.
    New section 6816--Definitions. This section provides 
definitions for the terms ``all students'' and ``State.''
    New section 6817--Effective date. This section provides an 
effective date of October 1, 2000.

                    Title VIII--Bilingual Education

    Section 701--Purpose. Section 701 amends section 7102 of 
the act to strike the heading and inserting a new purpose which 
is to promote systemic improvement for educational programs 
serving limited English proficient students.
    Section 702--Authorization of Appropriations. Section 702 
amends section 7103(a) of the act to authorize a funding level 
of $300 million for fiscal year 2001.
    Section 703--Repeal of Program Development and 
Implementation Grants. Section 703 repeals section 7112 of the 
act.
    Section 704--Program Enhancement Projects. Section 704(a) 
amends section 7113 of the act to establish a new purpose for 
the Program Enhancement Projects, which: provide grants to 
entities for locally designed, high quality instruction to 
children and youth of limited English proficiency; help 
children and youth develop English language proficiency; and 
help children and youth in attaining the standards established 
under section 1111(b) of this act.
    Section 704(b) amends section 7113(b) of the act to 
authorize the activities for Program Enhancement projects which 
shall include: developing comprehensive preschool, elementary, 
or secondary education programs for limited English proficient 
children and youth; providing high quality professional 
development; and annually assessing the English proficiency of 
all limited English proficient students. Other activities may 
include: upgrading reading and other academic skills; 
developing accountability systems to monitor academic progress 
of limited English proficient and formerly limited English 
proficient students; implementing family education programs; 
acquiring and applying effective instructional materials; 
providing intensified instruction; adapting best practice 
models; assisting limited English proficient students with 
disabilities; and implementing applied learning activities.
    Section 704(c) amends section 7113 of the act to authorize 
the Secretary, if the Secretary so chooses, to give priority in 
awarding grants to an entity that serves a school district with 
a total enrollment of less than 10,000 students or has a large 
percentage or number of limited English proficient students; 
and has limited or no experience in serving limited English 
proficient students.
    Section 705--Comprehensive School and Systemwide 
Improvement Grants. Section 705 amends section 7114 of the act 
to list the purposes of the Comprehensive School and Systemwide 
Improvement Grants. The purposes are to: provide financial 
assistance to schools and local educational agencies for 
implementing bilingual education programs; assist limited 
English proficient students in meeting the standards 
established under section 1111(b); and improve instructional 
programs in schools and local educational agencies that serve 
significant percentages of students with limited English 
proficiency or significant numbers of students.
    New Section 7114(b) specifies that grants awarded under 
this section shall be used for: improving instructional 
programs for limited English proficient students; aligning 
activities with State and local school reform efforts; 
providing training to improve instruction and assessment of 
limited English proficient students; implementing culturally 
and linguistically appropriate family education programs; 
coordinate training activities with title II of the Higher 
Education Act; coordinate activities with other programs; 
providing services to meet the full range of the educational 
needs of limited English proficient students; annually 
assessing the English proficiency of limited English proficient 
students; and developing accountability systems. This section 
also lists several permissible activities.
    New Section 7114(c) specifies the reservation of funds for 
payments.
    Section 706--Repeal of Systemwide Improvement Grants. 
Section 706 repeals section 7115 of the act.
    Section 707--Applications. Section 707(a) amends section 
7116(b) of the act to make technical changes.
    Section 707(b) amends section 7116(f) of the act to require 
that an application includes a documentation that qualified 
personnel will administer the program proposed in the 
application.
    Section 707(c) amends section 7116(g) of the act to require 
that a grant application include data on the number and the 
characteristics of the limited English proficient students to 
be served under the proposed grant.
    Section 707(d) amends section 7116(i) of the act to include 
a priority provision. Under this provision, the Secretary shall 
give priority to a grant applicant who: experiences a dramatic 
increase in the number or percentage of limited English 
proficient students enrolled in the applicant's programs and 
has limited or no experience in serving limited English 
proficient students; is a local educational agency that serves 
a school district that has a total district enrollment of less 
than 10,000 students; demonstrates that the applicant has a 
proven record of success in helping limited English proficient 
children and youth learn English and meet high academic 
standards; proposes programs that provide for the development 
of bilingual proficiency in English and another language; or 
serves a school district with a large percentage or number of 
limited English proficient students.
    Section 708--Repeal of Intensified Instruction. Section 708 
repeals section 7117 of the act.
    Section 709--Repeal of Subgrants, Priority, and 
Coordination Provisions. Section 709 repeals sections 7119 
through 7121 of the act.
    Section 710--Evaluation. Section 710 amends section 7123 of 
the act to require each grant recipient to conduct an 
evaluation which will review the progress of the recipient in 
achieving the objectives of the program and determine whether 
the students being served by the program are meeting the 
State's student performance standards.
    Section 711--Research. Section 711 amends section 
7132(c)(1) of the act to make technical changes.
    Section 712--Academic Excellence Awards. Section 712 amends 
section 7133 to authorize the Secretary to make grants to State 
educational agencies to assist in recognizing local educational 
agencies and other public and nonprofit entities whose programs 
have demonstrated significant progress in assisting limited 
English proficient students to learn English and achieving the 
content standards. Each State seeking a grant shall submit an 
application.
    Section 713--State Grant Program. Section 713(a) amends 
section 7134(b) of the act to increase the funding level to 
$200,000.
    Section 713(b) makes technical amendments to section 
7134(c) and adds a new use of funds which specifies that a 
State educational agency will assist local educational agencies 
with program design and data collection.
    Section 714--National Clearinghouse. Section 714 amends 
section 7135(b) of the act to make technical amendments.
    Section 715--Instructional Materials Development. Section 
715 amends section 7136 of the act to add other low-incidence 
languages to this section.
    Section 716--Training for All Teachers Program. Section 716 
amends section 7142(b) and (c) of the Act to add a list of 
activities which grantees may use to conduct high-quality 
professional development activities. These activities include: 
developing induction programs; implementing school-based 
collaborative efforts; coordinating activities with other 
programs; implementing education technologies to improve 
instruction; establishing professional networks; and developing 
curricular materials.
    Section 717--Graduate Fellowships. Section 717 amends 
section 7145(a) to make technical amendments.
    Section 718--Repeal of Program Requirements. Section 718 
repeals section 7147 of the act.
    Section 719--Program Evaluations. Section 719 amends 
section 7149 of the act to specify that the evaluation shall 
provide information regarding the number of participants, the 
effectiveness of the program, and the teaching effectiveness of 
graduates of the program.
    Section 720--Special Rule. Section 720 amends section 7161 
of the act to make technical changes.
    Section 721--Repeal of Finding Relating to Foreign Language 
Assistance. Section 721 repeals section 7202 of the act.
    Section 722--Foreign Language Assistance Applications. 
Section 722 amends section 7204(b) of the act to add references 
to technology, foreign language immersion and encouraging the 
formation of a consortium.
    Section 723--Emergency Immigrant Education Purpose. Section 
723 amends section 7301 of the act to make technical 
amendments.
    Section 724--Emergency Immigrant Education State 
Administrative Costs. Section 724 amends section 7302 of the 
act to change the percentage to 2 percent if the State 
educational agency distributes funds to local educational 
agencies competitively.
    Section 725--Conforming Amendment. Section 725 amends 
section 7304(a) of the act to make a conforming amendment.
    Section 726--Emergency Immigrant Education Authorization of 
Appropriations. Section 726 amends section 7309 of the act to 
increase the authorization to $200 million for fiscal year 
2001.
    Section 727--Coordination and Reporting Requirements. 
Section 727 amends section 7405(d) of the act make a technical 
change.

                         Title VIII--Impact Aid

    Section 801--Short Title. Section 801 of the bill 
designates the short title of title VIII as the ``Impact Aid 
Act''.
    Section 802--Purpose. Section 802 of the bill amends 
section 8001 of the act to delete the reference in the purpose 
to sudden and substantial increases or decreases in enrollments 
because of military realignments, as authority for such 
payments is repealed in the bill.
    Section 803--Payments Relating to Federal Acquisition of 
Real Property. Section 803(1) of the bill amends section 
8002(a) of the act to change the fiscal year reference from 
October 1, 1999, to October 1, 2005.
    Section 803(2) of the bill amends section 8002(b) of the 
act to: strike the provisionproviding for a ratable reduction 
in payments to local educational agencies in the event that 
appropriations are insufficient to make full payment and replace it 
with a reference to the calculations specified in subsection (h); and 
to provide that a local educational agency may not receive in combined 
payments under sections 8002 and 8003(b) an amount which exceeds the 
maximum amount for which the agency is eligible under either section 
individually--with the payment cap set at the greater of the two 
amounts.
    Section 803(3) of the bill amends section 8002(h) of the 
act to repeal the current hold-harmless provisions and replace 
them with provisions dealing with the distribution of funds if 
appropriations are insufficient. These new provisions include 
the establishment of a ``foundation payment'' equal to 37 
percent of the full entitlement of local educational agencies 
eligible to receive funds between 1989 and 1994. The funds 
remaining between the fiscal year 1995 appropriations level 
($16.3 million) and the amount needed for the foundation 
payment is to be prorated among eligible districts based on 
each district's percentage of the total assessed value of all 
section 8002 districts, in accordance with the ``highest and 
best'' formula included in the 1994 amendments. Funding is then 
to be provided for the ``special needs'' districts described in 
subsection (i), in an amount not to exceed $1.2 million. 
Seventy-five percent of the funds in excess of $17.5 million 
are to be allocated under the ``highest and best'' formula, and 
the remaining 25 percent to increase funding above the 
foundation payment.
    Section 803(4) of the bill amends section 8002(i) of the 
act to provide that the special needs districts described in 
the subsection may receive an increased payment under section 
8002 in fiscal years where appropriations exceed the fiscal 
year 1996 level. Total payments to special needs districts may 
not exceed $1.2 million.
    Section 803(5) of the bill amends section 8002(j) of the 
act to update the reference to the authorization of 
appropriations, to correct drafting errors, and to delete 
language relating to the distribution of funds in the event 
that appropriations for subsection (j) fall below or exceed the 
maximum amount a local educational agency is eligible to 
receive under the subsection.
    Section 803(6) of the bill amends section 8002 of the act 
by adding new subsections (l) and (m). New subsection (l) 
requires any local educational agency applying for a payment 
under section 8002(b) to submit expeditiously the data required 
to compute the payment and requires the Secretary to make a 
preliminary payment of 60 percent of the amount received by a 
local educational agency in the previous year no later than 60 
days following enactment of appropriations (provided that the 
local educational agency has submitted to the Secretary all 
data necessary for computation of its payment). In addition, 
that the Secretary is to make every effort to provide final 
payments no later than 12 months following the application 
deadline. New subsection (m) establishes a 5-year time frame 
following Federal acquisition of property in which districts 
may apply for section 8002 payments.
    Section 804--Payments for Eligible Federally Connected 
Children. Section 804(a)(1)(A) of the bill amends section 
8003(a)(2) of the act to increase from .10 to .25 the weight 
assigned to children who have a parent who is on active duty in 
the uniformed services or is an official of a foreign 
government and is a foreign military officer, but do not reside 
on Federal property.
    Section 804(a)(1)(B) of the bill amends section 8003(a)(4) 
of the act to institute a maximum 3-year time limit for current 
law provisions which permit military dependents living off-base 
to be counted as on-base students in situations where their 
base housing is being renovated and to clarify that the 
rebuilding of on-base housing will be treated in the same 
manner as renovation.
    Section 804(a)(1)(C) of the bill amends section 8003(a) of 
the act by adding a new paragraph (5) which permits military 
dependents to be counted as on-base students if they reside in 
housing initially acquired or constructed under the ``Build to 
Lease'' program if the property is within the fenced security 
perimeter of the military facility. If the property is subject 
to taxation, the impact aid payment to the local educational 
agency will be reduced by the amount of revenues received from 
the property taxes.
    Section 804(a)(2) of the bill amends section 8003(b)(1) of 
the act by adding a new subparagraph (D) which provides that, 
in calculating a local educational agency's maximum payment 
amount, the Secretary shall use data from the most recent 
fiscal year for which satisfactory data is available in 
instances where data from the third preceding fiscal year are 
not available for State or national average per-pupil 
expenditures.
    Section 804(a)(3) of the bill amends section 8003(d) of the 
act to indicate that a local educational agency receiving funds 
under subsection (d) is to use those funds to provide services 
in accordance with the Individuals with Disabilities Education 
Act.
    Section 804(a)(4) of the bill amends section 8003(e) of the 
act to replace the current hold-harmless provisions with a 
hold-harmless based on based on a per-weighted-student-unit 
basis. Under the hold-harmless, each local educational agency 
will receive the same amount per weighted student as it did in 
the prior year. Amounts to a local educational agency could 
decrease if its weighted student count drops, if it has a 
reduced Learning Opportunity Threshold, if its local 
contribution rate drops, or if a decrease in appropriations 
leads to proration.
    Section 804(a)(5) and (6) of the bill amends section 8003 
of the act to strike subsections (f) and (g) and to redesignate 
subsections (h) and (i) as (f) and (g), respectively. Current-
law subsection (f) deals with additional assistance for heavily 
impacted local educational agencies. Under the bill, payments 
to these local educational agencies will be made through 
section 8003(b)(2). Current-law subsection (g) deals with 
additional payments for local educational agencies with high 
concentrations of children with severe disabilities.
    Section 804(b) of the bill amends section 8003(b) of the 
act by redesignating paragraphs (2) and (3) as (3) and (4), 
respectively, and creating a new paragraph (2) which folds into 
the basic payment structure the payments for heavily impacted 
local educational agencies currently authorized under 
subsection (f), consistent with the provisions of a pilot 
program which has been in operation for the past 2 years.
    New section 8003(b)(2)(A) provides that heavily impacted 
districts will receive payments under section 8003(b)(2), in 
lieu of basic support payments under section 8003(b)(1).
    New section 8003(b)(2)(B) describes heavily impacted local 
educational agencies as those which received assistance under 
the current subsection (f) and which meet one of the following 
criteria: (1) are coterminous; (2) have an enrollment of at 
least 35 percent federally connected children, have a tax rate 
at least 95 percent of the State average, and (if student 
enrollment exceeds 350) have a per-pupil expenditure below 
State average; (3) have an enrollment of at least 30 percent 
federally connected children and have a tax rate at least 125 
percent of the State average; (4) have a student enrollment of 
at least 25,000, at least 50 percent of whom are federally 
connected, and at least 6,000 of whom are military or civilian 
on-post students; or (5) meet the requirements of current-law 
subsection (f)(2). In order to avoid delays in the issuance of 
payments to eligible local educational agencies, the bill 
provides for a 1-year delay in instances where a local 
educational agency either loses or resumes eligibility for 
payment as a heavily impacted district.
    New section 8003(b)(2)(C) provides that local educational 
agencies which have not received assistance under the current 
subsection (f) authority may receive payments under section 
8003(b)(2) in fiscal year 2002 or subsequent fiscal years if 
they meet one of the following criteria: (1) are coterminous; 
or (2) have an enrollment of at least 50 percent federally 
connected children if the district receives payment for 
children who have a parent who is on active duty in the 
uniformed services or is an official of a foreign government 
and is a foreign military officer but do not reside on Federal 
property or an enrollment of at least 40 percent federally 
connected children if the district does not receive payment for 
such children, have a tax rate at least 95 percent of the State 
average, and (if student enrollment exceeds 350) have a per-
pupil expenditure below State average or (if student enrollment 
is below 350) have a per-pupil expenditure below comparable 
local educational agencies. A 1-year delay is provided in 
instances where a local educational agency loses, gains, or 
resumes eligibility for payment as a heavily impacted district.
    New section 8003(b)(2)(D) provides for the calculation of 
maximum payment amounts for regular heavily impacted local 
educational agencies. (Regular heavily impacted local 
educational agencies are those described in subparagraphs (B) 
and (C), with the exception of those with a student enrollment 
of at least 25,000, at least 50 percent of whom are federally 
connected, and at least 6,000 of whom are military or civilian 
on-post students.) The local contribution rate for these 
agencies is to be calculated on the basis of the greater of 
four-fifths of average State per-pupil expenditures or four-
fifths of average national per-pupil expenditures. The 
determination of weighted student units is the same as that 
provided for subsection (b)(1) payment calculations, with the 
following special provisions: (1) districts with an enrollment 
of at least 35 percent of children who have a parent who is on 
active duty in the uniformed services or is an official of a 
foreign government and is a foreign military officer but do not 
reside on Federal property or who live in low-income housing 
may assign a weight of .55 to those students; (2) districts 
with a total enrollment 100 or fewer federally connected 
students may assign a weight of 1.75 to such students; and (3) 
districts with total enrollment of more than 100 but less than 
750 federally connected students may assign a weight of 1.25 to 
such students. Finally, regular heavily impacted local 
educational agencies may count all federally connected students 
in the calculation of the maximum payment amount.
    New section 8003(b)(2)(E) provides for the calculation of 
maximum payment amounts for large heavily impacted local 
educational agencies. Large heavily impacted local educational 
agencies are those with a student enrollment of at least 
25,000, at least 50 percent of whom are federally connected, 
and at least 6,000 of whom are military or civilian on-post 
students. The maximum payment amounts for these agencies will 
be calculated on the same basis as basic payments under section 
8003(b)(1), except that a weight of 1.35 will be assigned to 
children who are military or civilian on-post students.
    New section 8003(b)(2)(F) provides that the Secretary shall 
use student, revenue, expenditure, and tax data from the third 
preceding fiscal year in providing payments to heavily impacted 
local educational agencies.
    Section 804(c) of the bill amends section 8003(b)(3) [as 
redesignated] of the act to provide that the Learning 
Opportunity Threshold of all heavily impacted local educational 
agencies will be 100.
    Section 804(d) of the bill amends section 8003 of the act 
to make conforming changes.
    Section 804(e) of the bill provides that the new time 
limits included in the section 8003(a)(4) provisions relating 
to the renovation or rebuilding of base housing will apply to 
payments made beginning on or after the date of enactment of 
the Educational Opportunities Act.
    Section 805--Sudden and Substantial Increases in Attendance 
of Military Dependents. Section 805 of the bill repeals section 
8006 of the act.
    Section 806--School Construction and Facility 
Modernization. Section 806 of the bill amends section 8007 of 
the act to expand the authority for construction and facility 
modernization assistance, focusing on schools serving large 
proportions of federally connected students in districts which 
have no bonding authority or are at their limit for bonded 
indebtedness. Twenty percent of funds are reserved for the 
current-law construction authority, and the remaining funds are 
made available for the new school modernization provisions 
contained in section 8007A.
    Section 806(a) of the bill amends section 8007 of the act 
to provide that 20 percent of the funds appropriated for school 
construction and facility modernization be made available to 
current recipients on the same basis provided in current law. 
The current-law exclusion ofchildren attending a school 
assisted or provided by the Secretary under section 8008 from being 
counted in the calculation of payments under section 8007 is revised to 
permit such children to be counted in fiscal years in which the 
Secretary does not provide assistance to the schools they attend.
    Section 806(b) of the bill establishes a new section 8007A 
to provide assistance for school facility modernization.
    New section 8007A(a) provides that 80 percent of the funds 
appropriated for school construction and facility modernization 
be made available for activities authorized under the section. 
Of that amount:
    Forty-five percent is to be made available to local 
educational agencies which receive Federal property payments 
under section 8002 and have assessed taxable property values 
below the State average or which have an enrollment of at least 
25 percent of children who reside on Indian lands.
    Forty-five percent is to be made available to local 
educational agencies which have an enrollment of at least 25 
percent of children whose parents both work and live on Federal 
property or whose parents are active-duty military but do not 
live on Federal property. Modernization funds may be used only 
for schools within the local educational agency which enrol at 
least 50 percent federally connected children.
    Ten percent is to be made available to local educational 
agencies which have an enrollment of at least 50 percent of 
children who reside on Indian lands and which have a facility 
emergency that poses a health or safety hazard.
    New section 8007A(b) establishes eligibility requirements. 
In addition to meeting one of the criteria described above, a 
local educational agency must have no capacity to issues bonds 
or be at its limit in bonded indebtedness for the purpose of 
generating funds for capital expenditures. Heavily impacted 
local educational agencies are deemed to have met this 
requirement.
    New section 8007A(c) sets out the criteria the Secretary is 
to use in awarding facility modernization grants. The Secretary 
is to consider 1 or more of the following factors: lack of 
fiscal capacity; extent to which property is nontaxable; extent 
to which federally connected children are served; need for 
modernization to address safety concerns, overcrowding, or 
needs resulting from actions of the Federal Government; and age 
of the facility.
    New section 8007A(d) provides that, in determining the 
amount of the grant award, the Secretary must consider the cost 
of modernization and the ability of the local educational 
agency to carry it out. Subsection (d) also requires a local 
match of 50 percent (in cash or in-kind) and caps at $3 million 
the amount a local educational agency can receive during any 5-
year period.
    New section 8007A(e) sets out local application 
requirements. The application for grant support must include: 
documentation of the lack of bonding capacity; descriptions of 
the facilities to be modernized, the number of federally 
connected children in those facilities, the ownership of the 
property, any health or safety hazard, and the planned 
modernization activities; and a cost estimate of the project.
    New section 8007A(f) includes special provisions related to 
the emergency grants for which 10 percent of Section 8007A 
funds are reserved. In addition to the application requirements 
included in subsection (e), an applicant must provide 
certification of a health or safety deficiency. Emergency 
grants are not subject to local-match requirements or to the $3 
million cap. Priority will be given to grants based on when an 
application was received and the severity of the emergency. The 
application of a local educational agency which does not 
receive assistance will be carried over for consideration in 
the following fiscal year.
    New section 8007A(g) establishes general limitations 
regarding grant funds, which include a prohibition on use of 
funds for real property or for athletic and similar school 
facilities. All projects must comply with environmental laws 
and regulations.
    New section 8007A(h) provides that Federal funds will 
supplement, not supplant, non-Federal resources for school 
facility modernization.
    Section 807--State Consideration of Payments in Providing 
State Aid. Section 807 of the bill amends section 8009 of the 
act to delete obsolete references.
    Section 808--Federal Administration. Section 808 of the 
bill amends section 8010 of the act to delete a special rule 
which applied only to fiscal year 1995.
    Section 809--Administrative Hearings and Judicial Review. 
Section 809 of the bill amends section 8011 of the act to add a 
provision requiring a State or local educational agency to file 
a request for an administrative hearing within 60 days of 
notice that an action adversely affecting the State or local 
educational agency has been taken. No time limit is currently 
specified.
    Section 810--Forgiveness of Overpayments. Section 810 of 
the bill amends section 8012 of the act to update obsolete 
references.
    Section 811--Definitions. Section 811 of the bill amends 
section 8013 of the act to: update references to low-income and 
affordable housing under the definition of ``Federal 
property''; clarify that average ``local contribution 
percentage'' is to be based on data from the 50 States and the 
District of Columbia; add a definition of ``modernization''; 
and revise the definition of ``school facilities'' to 
specifically mention laboratories, libraries, and media 
centersand to state that their primary purpose is the instruction of 
public elementary or secondary school students.
    Section 812--Authorization of Appropriations. Section 812 
of the bill amends section 8014 of the act to authorize funds 
for title VIII programs for the fiscal years 2001 through 2005. 
For each of the program authorities, a dollar figure is 
specified for fiscal year 2001 and ``such sums as may be 
necessary'' are provided for the 4 succeeding fiscal years. 
Funding levels authorized for fiscal year 2001 include:

Payments for Federal Acquisition of Real Property.......     $35,000,000
Basic Payments..........................................    $875,000,000
Payments for Children with Disabilities.................     $60,000,000
Construction and Facilities Modernization...............     $62,500,000
Facilities Maintenance..................................      $7,000,000
Additional Assistance for Certain Federal Property LEAs.        $500,000

     Title IX--Indian, Native Hawaiian, and Alaska Native Education

    These sections restate current law except where noted. 
Section 901 amends parts A, B, and C of Title IX to read as 
follows:

Part A--Indian Education

            Subpart 1--Formula grants to Local Educational Agencies
    New section 9113--Amount of Grants. This section sets out 
grant awards. The order of the subsections has changed in that 
the subsection related to schools operated or supported by the 
Bureau of Indian Affairs is now subsection (b).
    New section 9115--Authorized Services and Activities. This 
section adds four new kinds of services and activities to the 7 
services and activities in current law. These activities 
include: activities that promote the incorporation culturally 
responsive teaching and learning strategies; activities that 
incorporate American Indian and Alaska Native specific 
curriculum content; activities that promote coordination and 
collaboration between tribal, Federal, and State public 
schools; and family literacy services; and limits the amount of 
funds spent on administrative costs to not more than 5 percent.
    New section 9116--Integration of Services Authorized. This 
section allows local educational agencies which receive formula 
grants under part A the ability to commingle all of the Federal 
funding they receive for educating Indian children, regardless 
of which agency provides it, into one coordinate comprehensive 
program to meet the specific needs of Indian children. Local 
educational agencies that choose to do this will submit a 
single plan describing how they intend to consolidate funding 
and specifying the student achievement goals that they will 
meet.
    New section 9117--Student Eligibility Forms. This section 
allows the Secretary to use either the count certified by the 
Bureau of Indian Affairs, or the count of the number of 
students for whom the school has eligibility forms when 
awarding grants to tribal schools. It also allows each local 
educational agency to select either a particular date or period 
(up to 31 days) to count the number of children it will claim 
for purposes of receiving a grant. The choice of the child 
counts allows the schools to avoid the burden of 2 separate 
counts.
    New section 9119--State Educational Agency Review. This 
section modifies the current requirements for application 
review by the Secretary (as the requirement that a local 
educational agency must submit an application to the Secretary 
is already in section 9114(a)) while maintaining the 
requirement that the local educational agency must submit the 
application to State educational agency for its possible 
comments.
            Subpart 2--Special Programs and Projects to Improve 
                    Educational Opportunities for Indian Children
    New section 9121--Improvement of Educational Opportunities 
for Indian Children. This section maintains the 11 types of 
grants authorized under this section while adding a provision 
for family literacy service and adds two new provisions as 
requirements for applications for dissemination grants: that 
the application must include information demonstrating that the 
proposed program is a research-based program, and that the 
application must contain a description of how the applicant 
will incorporate the proposed activities into the ongoing 
school program involved once the grant period is over. New 
section 9121 limits the amount of funds spent on administrative 
costs to not more than 5 percent.
    New section 9122--Professional Development. This section 
modifies the preference for programs that train Indian 
students. The obligation of service has been modified to 
include only those persons who receive pre-service training.
    (Current law provisions are restated for Subpart 3--Special 
Programs Relating to Adult Education for Indians, Subpart 4-
National Research Activities, and Subpart 5--Federal 
Administration.)
            Subpart 6--Definitions; Authorizations of Appropriations
    New section 9162--Authorization of Appropriations. This 
section authorizes a funding level of $62 million for fiscal 
year 2001 and such sums as may be necessary for each of the 
succeeding fiscal years to carry out subpart 1; $4 million for 
fiscal year 2001 and such sums as may be necessary for each of 
the succeeding fiscal years to carry out subparts 2 through 4; 
and deletes the appropriation for carrying out subpart 5.

Part B--Native Hawaiians

    New section 9202--Findings. This section sets forth 
Congressional findings regarding Native Hawaiians and education 
and includes new findings that reflect the new legal position 
ofthe United States relative to the status of Native Hawaiians 
as set forth in the brief filed by the United States in the U.S. 
Supreme Court on July 28, 1999.
    New section 9204--Native Hawaiian Education Council and 
Island Councils. This section authorizes the Secretary to make 
direct grants to Native Hawaiian educational organizations; 
provides that the Native Hawaiian Education Council will be 
reduced to 21 members; changes the composition, appointment, 
terms of Council members; and authorizes seven Island councils, 
so that each island will now have its own council.
    New section 9205--Program Authorized. This section 
consolidates the following programs: the Family-Based Education 
Centers program; the Higher Education program; the Gifted and 
Talented; Curriculum Development, Teacher Training and 
Recruitment program; and Community-Based Education Learning 
Center into a single authority and adds three new permissible 
activities: family literacy services; activities which enhance 
beginning reading and literacy among K-3rd grade; and early 
education and care services for children pre-natal to age 5. 
New section 9205 also establishes priorities for the award of 
contracts or grants; includes special rules and conditions; 
provides that qualified Native Hawaiian student attending a 
post-secondary institution outside the State of Hawaii shall 
not be prevented from receiving a fellowship; that individuals 
who receive a fellowship are required to serve the Native 
Hawaiian community either during their fellowship period or 
upon completion of the program of post-secondary education. New 
section 9205 also limits the amount of funds spent on 
administrative costs to not more than 5 percent and authorizes 
$23 million for fiscal year 2001 and such sums as may be 
necessary for the 4 succeeding fiscal years for these 
activities.

Part C--Alaska Native Education

    New section 9304--Program Authorized. This section 
consolidates the following programs serving Alaska Native 
children and adults: The Educational Planning, Curriculum, 
Development, Teacher Training, and Recruitment program; Home-
Based Education for Preschool Children program; and Student 
Enrichment Programs into a single authority and adds family 
literacy services as an additional activity. New section 9304 
also limits the amount of funds spent on administrative costs 
to not more than 5 percent and authorizes $17 million for 
fiscal year 2001 and such sums as may be necessary for the 4 
succeeding fiscal years for these activities.

                      Title X--General Provisions


Part A--Uniform Provisions

    Section 10001--Uniform Provisions. This section amends 
title X of the act by: transferring the ``Fund for the 
Improvement of Education,'' currently part A of title X to part 
G of title V; transferring ``Uniform Provisions,'' currently 
Part E of title XIV to part A of title X; making minor drafting 
changes to update references for consistency and clarification; 
and renaming title X as ``General Provisions'' and part A as 
``Uniform Provisions.''
    Section 10115--Construction. This section amends current 
law by inserting a provision stating that nothing in this act 
shall be construed to prohibit recruiters for the Armed Forces 
of the United States from receiving the same access to and 
information concerning secondary school students, as is 
provided to postsecondary educational institutions or 
prospective employers of such students.
    Section 10002--Evaluations. This section of the bill amends 
``Evaluations'' which is currently authorized as part G of 
title XIV of the act, and transfers it to part B of title X.

Part B--Evaluations

    Section 10201--Evaluations. This section requires the 
Secretary to: carry out comprehensive evaluations of all 
programs and demonstration projects; evaluate the cost-
efficiencies of Federal elementary and secondary education 
programs; assess the impact of programs in relation to student 
and school performance; and disseminate broadly the results of 
these evaluations.
    Section 10201(b)(1)(D) amends current law by requiring the 
Secretary to provide for a study conducted by the National 
Academy of Sciences regarding the relationship between time and 
learning which shall include an analysis on the impact of 
increasing education time on student learning; an analysis of 
how schools, teachers and students use time and the quality of 
instructional activities; an analysis of how time outside of 
school may be used to enhance student learning; and cost 
estimates for increasing time in school.
    Section 10003--America's Education Goals. This section of 
the bill amends ``National Education Goals'' which is currently 
authorized as title I of the Goals 2000: Educate America Act, 
and transfers it to part C of title X of this act.

Part C--America's Education Goals

    Section 10301--America's Education Goals. This section 
reauthorizes and retains current law with respect to the 
National Education Goals, renaming the provision as ``America's 
Education Goals'' and deleting references to completing the 
goals by the year 2000.
    Section 10004--America's Education Goals Panel. This 
section of the bill amends the ``National Education Goals 
Panel'' which is currently authorized as part A, title II of 
the Goals 2000: Educate America Act, and transfers it to part D 
of title X of this act.

Part D--America's Education Goals Panel

    Section 10401--America's Education Goals Panel. This 
section reauthorizes the National Education Goals Panel, 
renaming the panel as ``America's Education Goals Panel.'' The 
Goals Panel shall work with the Secretary to disseminate 
information regarding best practices. A funding level of $2.5 
million is authorized for fiscal year 2001 and ``such sums as 
may benecessary'' for the 4 succeeding fiscal years to carry 
out this part. In addition, each individual who is a member or an 
employee of the Goals Panel on the date of enactment of this title, 
shall continue to be a member or employee without interruption or loss 
of service or status.
    Section 10005--Comprehensive Regional Assistance Centers. 
This section of the bill amends title V by adding the 
following:

Part E--Comprehensive Regional Assistance Centers

    Section 10501--Program Authorized. This section authorizes 
the Secretary to award grants to public or private nonprofit 
entities in order to establish a networked system of 15 
comprehensive regional assistance centers to provide 
comprehensive training and technical assistance, related to 
administration and implementation of programs under this act, 
to States, local educational agencies, schools, tribes, 
community-based organizations, and other recipients of funds 
under this act.
    Section 10501(a)(2) specifies that in establishing the 
Centers, the Secretary shall consider the geographic 
distribution of students assisted under title I, students of 
limited-English proficiency, and Indian students; and the 
special needs of students living in urban and rural areas, and 
States and outlying areas in geographic isolation.
    Section 10501(a)(3) states that one Center shall be 
established in Hawaii.
    Section 10501(b) requires the Secretary to ensure that each 
Center serving a region with a significant population of Indian 
or Alaska Native students shall be awarded to a consortium 
which includes a tribally controlled community college or other 
Indian organization and assist in the development and 
implementation of instructional strategies, methods and 
materials which address the specific cultural and other needs 
of Indian or Alaska Native students.
    Section 10501(c) requires the Secretary to ensure the 
quality and effectiveness of the networked system of 
comprehensive regional assistance centers supported under this 
part.
    Section 10501(d) states that grants under this section 
shall be awarded for a period of 5 years.
    Section 10502--Requirements of Comprehensive Regional 
Assistance Centers. This section requires Centers established 
under this part to: (1) maintain appropriate staff expertise 
and provide support, training, and assistance to State 
educational agencies, tribal divisions of education, local 
educational agencies, schools, and other grant recipients to 
meet the needs of children served under this act; (2) ensure 
that technical assistance staff have sufficient training, 
knowledge, and expertise in how to integrate and coordinate 
programs under this act; (3) provide technical assistance using 
the highest quality and most cost-effective strategies 
possible; (4) coordinate services, work cooperatively, and 
share information with the regional educational laboratories, 
research and development centers, State literacy centers, and 
other entities; (5) work collaboratively with the Department's 
regional offices; (6) consult with representatives of State 
educational agencies and local educational agencies; (7) 
provide services to States, local educational agencies, tribes, 
and schools in order to better implement the purposes of this 
part; and (8) provide professional development services to 
State educational agencies and local educational agencies to 
increase the capacity of such entities to provide high-quality 
technical assistance in support of programs under this act.
    Section 10503--Maintenance of Service and Application 
Requirements. This section requires the Secretary to ensure 
that the Centers provide technical assistance services that 
address the needs of educationally disadvantaged students.
    Section 10503(b) requires entities seeking assistance under 
this part to submit an application to the Secretary 
demonstrating how the Center will provide expertise and 
services in the areas described in section 10502, and work to 
conduct outreach to local educational agencies. The application 
shall also demonstrate support from States, local educational 
agencies and tribes, and demonstrate how such centers will 
ensure a fair distribution of services to urban and rural 
areas.
    Section 10504--Transition. This section authorizes the 
Secretary to use funds appropriated under this part to extend 
or continue contracts and grants for existing Centers and to 
take necessary steps to ensure a smooth transition of services 
provided under this part so that services are not interrupted, 
curtailed, or diminished.
    Section 10505--Authorization of Appropriations. This 
section authorizes a funding level of $70 million for fiscal 
year 2001 and ``such sums as may be necessary'' for the 4 
succeeding fiscal years in order to carry out this part.
    Section 10506--Repeals. This section repeals parts F 
through K of title X, and titles XI, XII, XIII, and XIV of 
current law.

                   Title XI--Amendments to Other Laws


Part A--Repeals

    Section 11101--Goals 2000: Educate America Act. Section 
11101 of the bill repeals the Goals 2000: Educate America Act.
    Section 11102--Higher Education Amendments of 1998. Section 
11102 of the bill repeals the Advanced Placement Incentive 
Program currently authorized as Part B of title VIII of the 
Higher Education Amendments of 1998. The program is replaced by 
new provisions included as a new part E of title III of the 
Elementary and Secondary Education Act.

Part B--Education for Homeless Children and Youth

    Part B of the bill amends the Education for Homeless 
Children and Youth authorized as Subtitle B of Title VII of the 
Stewart D. McKinney Homeless Assistance Act.
    Section 11201--Statement of Policy. Section 11201 of the 
bill amends section 721 of the act to state that homelessness 
alone is not sufficient reason to separate students from the 
mainstream school environment.
    Section 11202--Grants for State and Local Activities. 
Section 11202(1) of the bill amends section 722(c) of the act 
to eliminate Palau as part of those receiving reserved funds 
and to drop the reference to Palau in the definitions.
    Section 11202(2) amends section 722(e) of the act to add a 
new paragraph (3) to prohibit the segregation of homeless 
students. A State is required to provide a free public 
education to a homeless child or youth, and it may not 
segregate such child or youth, either in separate school, or in 
a separate program within a school, based on such child or 
youth's status as homeless, except as provided in cases of 
health or safety emergency or to provide special or 
supplementary services to those children.
    Section 11202(3) amends section 722(f) of the act, which 
deals with the functions of the Coordinator of Education of 
Homeless Children and Youth in each State, to: (1) strike the 
provision that the coordinator estimate the number of homeless 
children in the state, and/or the number of youth served under 
this subtitle; (2) permit the Secretary to set reporting dates 
for the collection and transmittal of data the coordinator 
gathers; (3) clarify the coordination of services provisions, 
emphasizing not only ``coordination'' but also 
``collaboration'' of services; and (4) add local educational 
agency liaisons for homeless children and youth and community 
organizations representing such children and their families 
among those in the coordination/ collaboration effort.
    Section 11202(4)(A) amends section 722(g)(1) of the act, 
which deals with State plans, to strengthen assurances that 
homeless children will not be isolated or stigmatized and to 
provide that local educational agencies serving homeless 
children and youth designate an appropriate staff person (who 
may also be in charge of administering other Federal programs) 
to serve as liaison for homeless children and youth and post 
public notice of the educational rights of such children and 
youth in locations such as family shelters, and soup kitchens.
    Section 11202(4)(B) amends section 722(g)(3) of the act, 
which deals with local educational agency requirements, to 
expand provisions related to school of origin and to provide 
for prompt enrollment. A child who becomes homeless is to be 
served in the school of origin for the duration of the child's 
homelessness, rather than for the remainder of the academic 
year. A child who becomes permanently housed is to be served in 
the school of origin for the remainder of the school year. (The 
current option of enrolling the child in the attendance area 
where he or she is actually living is retained.) To the extent 
feasible, a local educational agency must keep a student in the 
school of origin except when that is contrary to the wishes of 
the parent or guardian. The bill includes a new requirement 
that a written explanation be provided to the parent or 
guardian if the child is sent to a school other than the school 
of origin or the school requested by the parent or guardian. In 
addition, the bill adds a new provision stipulating that a 
school must immediately enroll homeless youth, even if they are 
unable to produce required records. The new school must also 
contact the old school for the records and refer the child to 
proper place for immunization if he or she lacks needed shots.
    Section 11202(4)(C) amends section 722(g)(6) of the act, 
which deals with coordination of services, to consolidate 
current law provisions regarding coordination of agencies and 
programs and to add language stating the purpose of 
coordination, which is to ensure that homeless children and 
youth have access to available education and related support 
services and to raise the awareness of school personnel and 
service providers of the effects of short-term stays in a 
shelter and other challenges associated with homeless children 
and youth.
    Section 11202(4)(D) amends section 722(g)(7) of the act, 
which deals with the local educational agency liaison, to add 
provisions that the liaison ensure that: (1) homeless youth 
have full and equal opportunity to succeed; (2) parents are 
informed of the education and related opportunities available 
to their children and are provided with the opportunity to 
participate in the education of their children; and (3) public 
notice of the educational rights of homeless children and youth 
is posted at places such as family shelters and soup kitchens. 
The bill also includes new provisions requiring local liaisons 
to coordinate and collaborate with state coordinators and 
community/school personnel responsible for the education of 
homeless children and youth and to assist in the resolution of 
disputes.
    Section 11203--Local Educational Agency Grants. Section 
11203(1) of the bill amends section 723(a) of the act, which 
deals with the services provided by local educational agencies, 
to clarify current law provisions and to prohibit the 
segregation of homeless children and youth from the general 
education population except as is necessary for health and 
safety emergencies or to provide temporary, special, 
supplementary services.
    Section 11203(2) of the bill amends section 723(b) of the 
act, which deals with local applications, to add a requirement 
that the application include an assessment of the educational 
and related needs of homeless youth (which can be undertaken as 
a part of needs assessment for other disadvantaged groups).
    Section 11203(3) of the bill amends section 723(c) of the 
act, which deals with grant awards to local educational 
agencies, to provide that grants be awarded on a competitive 
basis and that grant awards be based on both need and on the 
quality of the application. Factors to be considered in 
determining quality include: (1) needs assessment and the 
likelihood the program will meet those needs; (2) the types, 
intensity, and coordination of services; (3) involvement of 
parents; (4) integration of homeless students; (4) quality of 
evaluation plans; (5) how services under this title will be 
coordinated with other services; and (6) other indicators as 
established by the State educational agency.
    Section 11204--Secretarial Responsibilities. Section 11204 
of the bill amends section 724 of the act to add new provisions 
requiring the Secretary to issue guidelines regarding the 
immediate enrollment of homeless children and youth and to 
collect data regarding homeless education. In addition, the 
reporting requirement is updated, and not later than 4 years 
after enactment, the Secretary is to prepare and submit to the 
President and appropriate congressional committees a report on 
the status of education of homeless youth, which includes 
information on the actions of the Department and the 
effectiveness of programs supported under this subtitle. 
Specifically, the Secretary is to publish in the Federal 
Register, not later than 60 days after date of enactment, 
guidelines to States describing ways in which a State may 
assist local educational agencies in immediately enrolling 
homeless students and how States can review their immunization 
and medical or school records to make such revisions as 
appropriate and necessary in order to more quickly enroll 
homeless students. Under the new information provisions, the 
Secretary to periodically collect and disseminate data 
regarding the number and locale of homeless youth, the 
education and services provided, the extent to which needs are 
being met, and other data needed to carry out homeless 
education programs. The Secretary is to coordinate such 
collection and dissemination with all entities that receive and 
administer programs for the education of homeless children and 
youth.
    Section 11205--Definitions. Section 11205 of the bill 
amends section 725 of the act to include definitions of ``local 
educational agency'' and ``State educational agency.''
    Section 11206--Authorization of Appropriations. Section 
11206 of the bill amends section 726 of the act to authorize a 
funding level of $40 million for fiscal year 2001 and ``such 
sums as may be necessary'' for each of the 4 succeeding fiscal 
years.

Part C--Albert Einstein Distinguished Educator Fellowship Act

    Section 11301 of the bill amends the Albert Einstein 
Distinguished Educator Act of 1994, which is part A of title V 
of the Improving America's Schools Act of 1994. This program is 
administered by the Secretary of Energy and supports 
fellowships for 12 elementary or secondary school mathematics 
or science teachers each fiscal year in the Senate, House, and 
specified Federal agencies. Two revisions are made to the 
current provisions of the act: (1) The order of priority 
provisions, which provide for the order of placement of fellows 
in fiscal years where funding is not sufficient to support 12 
fellows, are amended to specify that first priority will be 
given to the placement of 2--rather than 3--fellows in the 
Department of Energy; and (2) a funding level of $700,000 is 
authorized for fiscal year 2001 and ``such sums as may be 
necessary'' for each of the 4 succeeding fiscal years.

                          IX. ADDITIONAL VIEWS

                              ----------                              


                  Additional Views of Senator Collins

    I strongly support many of the provisions of S. 2, 
especially the opportunity for greater flexibility in the use 
of Federal education grants and the stronger emphasis on State 
and local accountability for student performance. The bill 
approved by the committee gives States and local school 
districts options and flexibility in the use of Federal funding 
which will allow them to meet local needs.
    Specifically, the committee decided to allow States to 
select one of three alternatives to receive federal funds. They 
can either: (1) continue under the traditional ESEA approach of 
receiving formula grants for specific Federal programs for 
specific purposes and applying for competitive grants; (2) 
apply to the Secretary of Education to enter into a 
``Performance Partnership,'' which gives them somewhat more 
flexibility than under current law; or (3) apply to be 1 of 15 
States to have much more flexibility in spending Federal funds 
in return for strict accountability focused on student 
achievement. This is called the ``Academic Achievement for 
All''or ``Straight A's'' program.
    No matter how a State decides to receive its funding, the 
State, all local education agencies, and all schools are held 
accountable for student performance. The committee's bill 
requires that all students must achieve adequate progress each 
year in order to meet the State's definition of proficiency 
within 10 years. Furthermore, the legislation clearly outlines 
the corrective actions that must be taken when schools or 
education agencies fail to meet this goal, and it gives States 
greater resources to help struggling schools.
    The Straight A's program offers the most promise of 
innovative local efforts to improve public education for all 
children. I am concerned, however, that its language could be 
interpreted to authorize states to use federal funds for 
vouchers for private schools. Although the language does not 
explicitly allow this use, the committee debate suggested that 
it could be interpreted as allowing for vouchers. I am opposed 
to the use of Federal funds for private school vouchers, and I 
believe that the language of the Academic Achievement for All 
program must be modified to prevent this potential diversion of 
Federal funds to private schools. I intend to offer or support 
a floor amendment to make certain that language in S. 2 clearly 
prohibits Federal funding of private school vouchers.

                                                  Susan M. Collins.

   Additional Views of Senators Gregg, Frist, Hutchinson, Brownback, 
                          hagel, and Sessions

            academic achievement for all act (straight a's)

    Straight A's, permits 15 interested States and school 
districts to enter into an agreement with the Secretary of 
Education in which the States agree to specific academic 
improvements for their lowest performing students in return for 
the ability to consolidate their share of Federal funds to 
better serve their neediest students. This flexibility in 
return for accountability model is based on the successful 
charter school model.
    Straight A's is a voluntary demonstration program. No State 
would be forced into Straight A's, rather only those States 
with an interest in this innovative education reform and a 
willingness to be held accountable for reducing the achievement 
gap between the most disadvantaged and advantaged students 
would participate.
    Under current law, States are not held accountable for 
increasing student performance, nor are they required to 
increase student achievement for their most disadvantaged 
students. In fact, under current law, States and school 
districts may use aggregate scores to mask achievement gaps 
between disadvantaged and nondisadvantaged children. Current 
law merely requires States to have some accountability system 
in place, it doesn't require States to improve student 
achievement or to demonstrate any measurable gains from Federal 
programs.
    Straight A's is modeled after the most highly touted 
accountability system in the Nation--Texas. Harvard 
University's Civil Rights Project cited research that found 
Texas' accountability measures led to greater achievement by 
poor and minority students. In fact, Texas has seen the most 
significant gains in student achievement and reducing the 
achievement gap in the Nation.
    Unlike current law, the 15 States who choose to participate 
in Straight A's would be required to establish specific, 
numeric goals for improving student performance for all 
children. For the first time, States would be required to set 
specific academic goals for every major race and ethnic group, 
for economically disadvantaged students, for students with 
limited English proficiency and for migrant students and then 
be held accountable for meeting those goals. Establishing 
specific goals for the neediest students was the foundation of 
Texas's accountability system and is carried over to the 
Straight A's accountability system.
    Under Straight A's, States are required to establish 
specific goals for increased student performance of their most 
disadvantaged students and to also stipulate exactly how much 
they will reduce the achievement gap between their highest and 
lowest performing students. The original purpose of Title I was 
to reduce the achievement gap. Unfortunately, 35 years later, 
the achievement gap has widened and poor children remain 2-4 
grade levels behind their peers in reading and math. Despite 
this disturbing data, Title I does not require States or school 
districts to reduce the achievement gap. Under Straight A's, 
States and school districts would have to commit to reducing 
the achievement gap.
    Furthermore, unlike current law, Straight A's includes a 
deadline for increased student improvement--it requires States 
to reduce the achievement gap and to improve student 
achievement for all students within 5 years. If after 3 years, 
States and school districts have not made significant strides 
in meeting their student academic performance measures, the 
Secretary of Education may terminate the charter. If States 
don't meet those performance measures after 5 years, they lose 
a portion of their Federal funding.
    Straight A's compels participating States and school 
districts to increase student achievement for disadvantaged 
children. For the first time, States will be held accountable 
for academic achievement and they will be rewarded for 
improving student performance or penalized for failing to meet 
their goals of increased performance.
    Straight A's has been called a voucher and a block grant by 
its opponents. Neither charge is merited. Straight A's is 
completely neutral toward vouchers, neither adding to, nor 
subtracting from State laws in this area. Current law contains 
no prohibition on vouchers, leaving that decision to States, 
and Straight A's merely continues this practice.
    Straight A's is clearly not a block grant. No programs are 
repealed, consolidated or folded into Straight A's. Rather, 
States are given the option of consolidating some of their 
Federal funds to better support their reform efforts aimed at 
increasing student achievement.
    Straight A's reform model is based on the belief that 
States and local school districts can be trusted with education 
decision making. States and locals have led the way in popular 
and effective education reform initiatives. Charter schools, 
school performance report cards and merit pay for teachers are 
just a few examples of education reforms that began in the 
States.
    A 1998 National Education Goals Panel Report reported on 
the rapid achievement gains in NC and TX. The study did not 
attribute gains to Federal programs. ``The Study concludes that 
the most plausible explanation for test score gains are found 
in the policy environment established in each State.'' Straight 
A's recognizes that States, when freed from burdensome 
regulations, can make significant educational reforms and 
improve student performance.
    Under welfare, States were provided financial incentives 
and increased flexibility in return for a commitment to reduce 
the welfare rolls. Due to State policies and commitment, the 
number of individuals on welfare has decreased 50 percent over 
five years. (In 1994, 5 million people were on welfare, in 
1999, only 2.5 million people were on welfare).
    If reform-minded States can reduce the number of people on 
welfare by 50 percent in 5 years, we certainly think we should 
give them the opportunity to reduce the number of disadvantaged 
children who can't read at grade level. Straight A's provides 
this opportunity.
    Straight A's isn't for everyone, but it is for 15 States 
and we have already heard from 15 Governors who wish to 
participate in Straight A's. Straight A's frees States and 
schools districts from federal rules, regulations and 
paperwork, in return States agree to have the Federal 
government hold them accountable for substantially increasing 
student achievement for disadvantaged students and for reducing 
the achievement gap in 5 years. Furthermore, it puts access to 
Federal dollars on the line, because at the end of 5 years you 
either win or lose Federal funding based on student 
achievement--not class-size, not technology, not-after school 
care--but on student achievement and student achievement alone.

                                   Judd Gregg.
                                   Tim Hutchinson.
                                   Chuck Hagel.
                                   Bill Frist.
                                   Sam Brownback.
                                   Jeff Sessions.

   Additional Views of Senators Gregg, Frist, Hutchinson, Brownback, 
                          Hagel, and Sessions

                         child centered funding

    The reported bill would allow States and school districts, 
at their discretion, to convert Title I from a school-based 
program to a child-centered program in which the money follows 
the child to the public school they attend. Currently, Title I 
is a school based program. Fully 1/3 of eligible disadvantaged 
children never receive Title I services, not for lack of funds, 
but rather due to a financing system which sends money to 
schools, not students.
    Title I is the largest Federal education program. It was 
created to address the educational needs of disadvantaged 
students and to reduce the achievement gap between 
disadvantaged and advantaged students. While every child has 
access to a public school, 70 percent of children in high 
poverty schools score below even the most basic level of 
reading. Children in high poverty schools are two grade levels 
behind their peers in math and three to four grade levels 
behind in reading. A disadvantaged child only has a 50/50 
chance of even graduating. These are not issues of aptitude but 
the quality of schools these children attend.
    The disparity in the quality of schools disproportionally 
impacts poor students who lack educational alternatives. Since 
ESEA's Title I programs are by far the largest source of 
Federal assistance for disadvantaged students, any ESEA 
reauthorization process should be aimed at improving education 
for Title I students.
    The very serious and real problem of under-serving our 
neediest students can be alleviated, to some extent, by giving 
States and school districts the freedom to establish a per 
pupil amount for each eligible child (portability). This amount 
may be used at the school the child attends or, if the child is 
not receiving the services they need at school, the child's 
parents may ask that the child's per pupil amount be used to 
purchase supplemental services from another school or tutorial 
assistance provider, such as a Sylvan learning center.
    This type of child-centered program creates a much needed 
market for change. Parents would have the ability to take their 
Federal dollars out of a school that is not using them 
effectively and purchase services somewhere else. Parents would 
have the power to choose the best program for their child. 
Under portability, families are empowered and schools are 
compelled to improve in order to keep their students.
    Critics assert that changing Title I to a child-centered 
program would drain resources away from poor public schools. 
Rather than draining resources, portability actually ensures 
for the first time that each eligible child get the services 
they are entitled to. Under current law, the number of unserved 
children is compounded in urban areas. In order to receive 
supplemental services, a disadvantaged child in Houston has to 
be enrolled in a school where 70 percent of the students are 
below the poverty line. In Philadelphia, only children in 
schools where 65 percent of the student population are poor 
receive services. In both cases, if you are an eligible child 
who doesn't happen to be enrolled in a designated Title I 
school you do not receive the Title I dollars you are entitled 
to. In most large cities, hundreds, if not thousands, of poor 
children do not receive the educational assistance to which 
they are entitled.
    Under a child-centered funding stream, schools who enroll 
the largest number of poor children receive the most money. 
This amendment is actually a fairer way to distribute funds 
because it ensures that all eligible children receive services, 
while simultaneously concentrating dollars on high poverty 
schools. Schools will only see a decrease in Title I dollars if 
they don't have as many low income (eligible) children--this is 
how it should be. Money should be going to benefit the needy 
student, not guaranteed to certain schools.
    Furthermore, portability includes a $500 million 
authorization to ensure that all eligible children in a 
participating State or district receives their share of Title I 
dollars. We support a significant increase in Title I funding 
to ensure all eligible children are served, but in return for 
this increase, we believe that States and districts should be 
able to redirect their Title I dollars to the neediest 
students.
    Portability specifically requires participating States and 
school districts to improve the achievement levels of their 
disadvantaged students. States and districts would have to 
establish specific educational goals and a system to measure 
academic progress of all Title I students. In addition, States 
and schools would be required to submit student performance 
data, disaggregated by race, family income, gender and limited 
English proficiency, to the Secretary. The bill also requires 
that GAO conduct an evaluation of participating States and 
school districts. GAO will examine the impact a child-centered 
program will have on student achievement and parental 
satisfaction.
    Portability is a new option for States and school 
districts. Up to 10 States and 20 districts may participate, 
but only if they choose to participate, and only if they are 
willing to be held accountable for improving the performance of 
their most disadvantaged children. Although portability is only 
an option, it does do 3 very important things: it provides 
greater accountability than under current law, ensures that all 
eligible children receive Title I dollars, and provides parents 
with real options so that if they are unhappy with the service 
their child is receiving, they can request that their child 
receive services from another provider.
    Some critics have alleged that portability is a voucher 
program. That is not true. Under a child-centered program, 
parents are not permitted to use their child's per pupil amount 
to cover cost of admission at a private school. Rather, a 
parent may move their child to a better performing public 
school or use their child's per pupil amount to access tutorial 
services by a private provider such as a Sylvan learning 
center. Current law already allows this type of limited access 
to private providers in the Reading Excellence Act.
    These same critics want to prevent children from accessing 
education services from anywhere else other than the schools. 
Despite the fact that over 7,000 schools have been identified 
as failing and some as long as 4, 6 and even 10 years, critics 
of portability would rather have children stuck in these 
schools, than give a few States and school districts the 
freedom to use Title I dollars to allow poor parents to access 
tutorial services from private providers.
    On the issue of tutorial service providers, Democrats 
assert that the per-pupil amount would be so small that parents 
couldn't access tutorial services. They're wrong. The average 
per-pupil expenditure, which is between $400-$600, could be 
used for weekly tutoring services from the very successful 
Sylvan learning Center for an entire school year or summer 
school.
    Portability provides a monetary incentive for schools to 
improve educational services to disadvantaged children. Good 
schools will be rewarded, failing schools will be forced to 
improve, and families will have more options.

                                   Judd Gregg.
                                   Tim Hutchinson.
                                   Chuck Hagel.
                                   Bill Frist.
                                   Sam Brownback.
                                   Jeff Sessions.

                           X. MINORITY VIEWS

                              ----------                              


 Minority Views of Senators Kennedy, Dodd, Harkin, Mikulski, Bingaman, 
                      Wellstone, Murray, and Reed

    In the early days of the Republic, our Nation's founders 
placed the establishment of public schools among the highest 
priorities for our young nation. Thomas Jefferson--one of the 
earliest and most ardent advocates of public schools--stated 
that ``it is * * * imperative that the Nation see to it that a 
suitable education be provided for all its citizens.''
    It is our view that many of our Nation's public schools 
have fallen short of this great goal in recent times. Ninety 
percent of American children attend public schools. We owe it 
to them to ensure that every public school and every teacher is 
able to help all school children in the nation reach their full 
potential.
    From its beginnings, the Federal Government's investments 
in education have centered on providing opportunities for 
individuals and achievements for the Nation. Because education 
has improved the quality of life for generations of American 
families, it should marshal the best of the Nation's resources 
and talent, and be one of the top priorities on our national 
agenda. The Federal role in education is narrow in scope, to 
allow for maximum State and local initiative, but the Federal 
Government has unique responsibilities as well:
          It must meet the overarching needs that no average 
        parent, community or State can satisfy on their own, 
        particularly the needs of the most disadvantaged 
        families and communities;
          It must invest in educational statistics, research, 
        and development to chart national progress in 
        education, create innovations for schools, and improve 
        communication among all participants in education at 
        all levels--Federal, State, and local.
          It must extend educational opportunities and 
        innovations to those who otherwise would be left out.
          It must provide targeted leadership, technical 
        assistance, and financial support for areas where 
        national needs have been identified, so that all 
        Americans have access to the support they need to 
        improve education in their schools.
    Within these roles, families, communities, and States still 
retain the primary responsibility for deciding how to educate 
children and how to pay for that education. But, how well they 
perform that role is a matter of great national interest. The 
Nation depends upon them to provide an education that 
contributes to the overall well-being of the country. For 
example, public expectations were expressed in 1989 in the form 
of national education goals, not Federal Government goals but 
national goals. States and local communities should adopt these 
goals and make them their own, because they have the ultimate 
responsibility to meet them.
    Members of the majority argue that, because states have 
paramount responsibilities for education, the Federal 
Government should have a diminished role. This argument ignores 
the nation's vital interest in education--an interest as 
fundamental as the Nation's interest in its security and 
economy. Others say that, since federal spending is such a 
small part of the overall total spent on education, the federal 
role is relatively unimportant. It is true that the Federal 
financial role is small. Only about 8 percent of overall 
government spending for elementary and secondary schools comes 
from the Federal Government. But to say that the federal role 
can be downgraded because of this fact is to ignore the major 
benefit that these funds have provided.
    Six years ago, Congress and President Clinton took urgent 
steps to begin to turn around failing schools. In the 
reauthorization of the Elementary and Secondary Education Act 
in 1994, and with passage that year of the GOALS 2000 
legislation, we established bold new goals for schools to 
prepare children to succeed in today's world by mastering the 
basics and reaching high standards of achievement.
    These were important actions that launched changes in 
schools across America. We need to build on the progress we 
have made in recent years. But more change is necessary--much 
more--if we are to turn around failing schools and give 
students the education they need and deserve.
    We believe the committee should have--and could have--acted 
together, and can still act together, to strengthen and expand 
the federal helping hand to support innovative change and help 
all children meet high standards of achievement.
    In recent years, we have set the stage for major further 
reforms, helping states put high standards and genuine 
accountability in place. We know we can do more to bring these 
reforms to life in every classroom across the country. The need 
is urgent, and we can't stop now. Too many schools and the 
children in them are in urgent need of help.
    During the committee's deliberations, we put forward common 
sense proposals to empower parents and strengthen the 
partnership between the Federal Government, the states, and 
local schools.
    We want to work with parents and communities to improve 
public schools. We cannot afford to stand on the sidelines and 
watch schools fail, when we can do so much more to help parents 
and communities achieve better results for their children and 
their schools.
    We want to help schools put a qualified teacher in every 
classroom, and provide every new teacher with a qualified 
mentor. We want to help reduce class sizes, so that students 
get the individual attention they need and teachers can 
maintain better discipline and concentrate more effectively on 
teaching and learning. We want to help communities build modern 
schools, where all students will be safe and can learn cutting-
edge technologies. We want to help communities expand after-
school activities to keep children off the streets and out of 
trouble, and stay on top of their studies.
    We want to work to increase the federal investment in 
education to help states, communities, and schools rescue 
failing schools, deal with rising enrollments, meet the 
demandsof higher standards of achievement, and address the challenges 
of diversity and poverty in the nation's schools. We need to do all we 
can to target resources to the neediest communities, so that the most 
disadvantaged students get a good education.
    We should also require states, districts, and schools, in 
spending federal funds for education, to use strategies that 
have proven effective--no fancy schemes or risky ventures, just 
programs and initiatives with a proven track record of success. 
We should do more to see that schools are held accountable for 
doing what it takes to help all children meet high standards of 
achievement. That means closing the achievement gap between 
minority and non-minority students--between poor and non-poor 
students--and between English-speaking students and those with 
limited proficiency in English.
    Schools should be held accountable for ensuring a qualified 
teacher, one who is trained in both content and teaching 
methods, in every classroom. We need greater parental 
involvement in schools. Parents and the general public can help 
make schools accountable if they receive better information 
about the quality of their schools and the progress by their 
schools in meeting goals for student achievement.
    This kind of partnership ensures that the federal 
government will be a strong helping hand for states, 
communities, schools, parents, and children. It will help to 
ensure that the neediest students receive the help they 
deserve. It is the right direction for education, and the right 
direction for the nation.
    Parents and educators know from experience that these 
common sense initiatives will work--smaller classes, better 
teachers, more parental involvement, safer modern schools, and 
holding schools accountable for results. We are prepared to 
provide the resources to local schools and work hand-in-hand 
with parents to make these initiatives a reality.
    We believe that we owe the nation's children no less. But, 
unfortunately, the legislation adopted by the committee fails 
children, fails parents, and fails to assure change and 
improvement in troubled public schools.
    We have an opportunity to build on recent progress and 
invest in programs that we know will bring about change. But 
the committee bill simply throws money at the problem in the 
form of block grants, sets up vague guidelines, and hopes 
things will get better. As Senator Murray noted during the 
committee's deliberations, we owe our children more than just 
``blind faith.''
    To make matters worse, instead of improving public schools, 
the committee bill allows the transfer of scarce federal 
education dollars away from public schools into private school 
vouchers.
    We are disappointed that the committee bill fundamentally 
turns its back on public schools and the nation's 
schoolchildren. At best, it endorses the status quo, and at 
worst, it back-tracks on our commitment to the neediest 
children and schools.
    For these reasons, we voted ``no.'' The needs of public 
schools are too great. We intend to press forward to strengthen 
public schools.

   Overview of ESEA Reform Since the Bipartisan 1994 Reauthorization

Standards-Based Reform Is Working

    In 1994, President Clinton and the Congress completed a 
major overhaul of the federal role in education through the 
reauthorization of the Elementary and Secondary Education Act 
and the enactment of the Goals 2000 Act with strong bipartisan 
support. For the first time, we established the clear 
expectation that all children can and should reach high 
standards. The Acts included provisions to improve teaching and 
learning, increase flexibility and accountability, strengthen 
parent and community involvement, and target resources to the 
highest poverty schools and communities. The 1994 statutes sent 
a clear message that the status quo was unacceptable and that 
major changes were needed in our education system. They 
provided increased flexibility to facilitate these changes, in 
exchange for greater accountability for improving student 
achievement. Largely because of these statutes, states have put 
in place standards and assessments.
    There is strong evidence that the new emphasis in federal 
education statutes, particularly the emphasis on high 
standards, systemic reform, and new flexibility to innovate, 
has helped states, districts, and schools carry out the 
difficult work of education reform.
          Student achievement is improving.
          Schools are becoming safer.
          Most states, districts, and schools agree that 
        federal education programs provide them with more than 
        enough flexibility to improve their schools.

Student Achievement Is Improving--But There Is Still More To Be Done

    The National Assessment of Educational Progress (NAEP), has 
shown significant increases in math scores at the 4th, 8th, and 
12th grades. Reading and math performance among nine-year-olds 
in high-poverty public schools and among the lowest-achieving 
fourth-graders has improved significantly.
    The achievement gap between black and Hispanic students and 
white students has narrowed since 1982; the greatest gains in 
science were made by black and Hispanic students.
    Average SAT scores--math and verbal--were higher in 1999 
than the averages for either 1983 or 1989. These improvements 
come at the same time that the proportion of test-takers with a 
native language other than English has been increasing (to 8 
percent in 1999). ACT scores are continuing a 10-year trend of 
stable or increasing scores, at the same time that record 
numbers of students are taking the exams.
    More students are staying in school and taking challenging 
courses. Dropout rates are lower today than in the 1970's and 
1980's, and are particularly lower for black youth. In 1972, 21 
percent of black students dropped out of school. By 1997, that 
rate was down to 13%. For Hispanics, the rate fell from 34 
percent to 25 percent. It fell from 12% to 8% for whites. In 
1997, 89 percent of persons age 16-24 had completed high school 
or attained a GED.
    Today's students are taking more challenging courses than 
the students of the 1980s. The percentage of students 
completing a core curriculum that includes 4 years of English 
and 3 years each of social studies, science, and mathematics 
more than tripled between 1982 and 1994. Similarly, the 
percentage of students taking higher-level courses such as 
algebra II, trigonometry, chemistry, and physics has increased 
significantly. For example, in 1982, 36 percent of all students 
were enrolled in Algebra II. In 1994, that rate was 58 percent. 
The increase was even more dramatic for black students (24 
percent to 44 percent) and Hispanic students (20 percent to 50 
percent). The number of advanced placement exams taken by high 
school students nearly tripled between 1984 and 1997.
    College attendance is at an all time high and is increasing 
for all students. College enrollment for high school graduates 
(ages 16-24) has increased from 53 percent in 1983 to 67 
percent in 1997. The increase has been particularly significant 
for blacks (39 percent to 60 percent), Hispanics (54 percent to 
66 percent), and women (55 percent to 68 percent). College 
completion is also on the increase. In 1998, 31 percent of 
adults age 25-29 had completed a bachelor's degree.
    North Carolina, for example, has made exceptional gains in 
math and reading on the National Assessment of Educational 
Progress between 1992 and 1996. A recent study by Rand 
researchers concluded that the most plausible explanation for 
the gains in test scores in the state is its aligned system of 
standards, curriculum, and assessments, and its efforts to hold 
schools accountable for the improvement of all students.
    Three-year trends reported by states and districts show 
progress in the percentage of students in the highest-poverty 
schools meeting state standards for proficiency in mathematics 
and reading. Across the country, in urban and rural schools, 
among poor and minority students, and across content areas, 
academic performance is improving.

Schools Are Becoming Safer--Though We Still Have a Way To Go

    The Annual Report on School Safety for 1999 concluded that 
nationally, schools--compared to the community or the home--are 
safe places, and that students in school today are not 
significantly more likely to be victimized than in previous 
years.
    The overall school crime rate decreased from 1993 to 1997. 
Crime in school facilities or on the way to or from school has 
fallen. Most school crime is theft, not violent crime.
    The percentage of high school students who carried a weapon 
on school property or were involved in a physical fight at 
school has decreased significantly since 1993.
    States and school districts are becoming increasingly 
attentive to the need to ensure that all students attend 
schools where they are known by and feel connected to adults in 
the school.

States, Districts, and Schools Have the Flexibility They Need to Carry 
        Out Reform

    In 1994, under the leadership of President Clinton, many 
innovative ways to make federal support for education more 
flexible were included in ESEA. Consolidated plans, additional 
schoolwide programs, consolidated administrative funding, broad 
waiver authority, and the ED-Flex program have reduced 
burdensome paperwork and other requirements, in exchange for 
focusing on better results for students.
    The Clinton Administration also took a leadership role in 
reducing unnecessary regulations and increasing regulatory 
flexibility. In 1994, before the reauthorization of ESEA, the 
Department of Education had 42 sets of regulations that 
governed elementary and secondary education. That number has 
been reduced to 10 since 1994. The two largest of the remaining 
of regulations, Title I, Part A and Impact Aid, have both been 
significantly reduced from their pre-1995 sizes. For example, 
Title I regulations have been cut from 54 pages to 24 pages.
    In addition, in the implementation of the 1994 
reauthorization, through the mechanism of the consolidated 
plans provision in Title XIV of ESEA, which offers an 
alternative to filing individual program applications, the 
burden on state and local governments was greatly reduced. 
State educational agencies no longer have to file specific 
program applications. The consolidated plan provisions had the 
effect of relieving the agencies of including information on 
many regulatory and statutory requirements.
    In the Title I program regulations, long detailed sections 
on how to select children to be served and how to involve 
parents were eliminated. Programs such as the Safe and Drug-
Free Schools and Communities Act program (Title IV of ESEA), 
the Eisenhower Professional Development Program (Title II of 
ESEA), and the Innovative Programs (Title VI of ESEA) now 
operate entirely without regulations. Their predecessor 
programs before the 1994 reauthorization operated with detailed 
regulations.
    Recent surveys indicate that most states, districts, and 
schools agree that the federal government is providing the 
flexibility they need to improve their schools. Based on its 
analysis of state plans and waiver requests, the Citizens' 
Commission on Civil Rights concluded that the new Title I has 
not imposed unduly burdensome requirements on state or local 
fund recipients.
    In addition, all states can now apply for additional 
flexibility under the Education-Flexibility Partnership Act. By 
giving states the authority to waive certain statutory and 
regulatory restrictions under current law, we give states 
greater flexibility to do the best job they can in meeting 
their fundamental education goals to help all children reach 
high standards of achievement. The Act contains important 
provisions to ensure that the new flexibility is matchedwith 
reasonable provisions on accountability, so that it will be clear 
whether the flexibility is being used to achieve the education goals 
intended. But, according to the Washington Post, on March 27, 2000, 
more flexibility is not a priority for states. Only North Carolina has 
applied to be an ``ED-Flex'' state under the new law. Rhode Island 
won't apply because, as the state's education commissioner said, ``I 
can get the flexibility I want under the current opportunities.''
    According to the General Accounting Office, state officials 
believe that Goals 2000 is helping states meet their own 
education reform goals. In fact, nearly 90 percent of districts 
report that Goals 2000 funds have been helping train teachers 
to implement standards. 76 percent of districts use funds for 
aligning curriculum and instruction with standards, and 70 
percent use funds for developing aligned assessments.
    More than 80 percent of poor school districts, and almost 
half of all districts nationwide, report that Title I is 
``driving standards-based reform in the district as a whole.'' 
In addition, Title I funds, as well as all federal education 
funds, are more targeted to high-poverty districts than state 
and local funds. Title I now supports 95% of the highest-
poverty schools and is helping these schools to dramatically 
improve student performance.
    With federal support, all 50 states, the District of 
Columbia, and Puerto Rico have made progress in establishing 
high academic standards. Where states continue work on 
standards-based reform over a period of time, students have 
benefitted.
    While it is clear that progress has been made since the 
bipartisan reauthorization in 1994, we must strengthen our 
national effort to increase the pace and magnitude of change 
needed in the nation's public schools. We must focus our 
efforts on public schools, because 90 percent of the nation's 
children are educated in these schools.
    We need an effective national education agenda which builds 
on the 1994 Acts by increasing accountability for results, so 
that no child is left out or left behind. In addition, we must 
make sure that there is a qualified teacher in every classroom, 
continue our national effort to reduce class size, improve our 
action plan for providing after-school programs, and enact a 
comprehensive plan to modernize and repair the nation's public 
schools.

More Progress Needs to be Made

    Although it is clear that progress has been made since the 
bipartisan reauthorization in 1994, much remains to be done. 
U.S. 12th graders score below the international average in 
mathematics and science, compared to the 21 nations 
participating in the TIMSS assessment. The high school dropout 
rate has declined since peaking in 1979, but has been slowly 
rising in the 1990s, according to the National Center for 
Education Statistics.
    Achievement gaps remain between minority and non-minority 
students, as well as between poor and non-poor students. In 
1998, 32 percent of students in the highest poverty schools met 
or exceeded the NAEP basic level in reading--about half the 
rate nationally of students in public schools. In math, 42 
percent of students in the highest-poverty schools scored at or 
above the NAEP basic level in 1996, compared with 62 percent in 
all public schools. Although dropout rates have declined 
nationally, African Americans and Hispanic students still 
graduate from high school at lower rates (82% and 66.7% 
respectively in 1997) than white students (90.5% in 1997). Over 
30 percent of all math teachers are teaching outside their 
field of academic preparation--and the percentages are higher 
in other academic areas and in high-poverty schools. Almost 15 
percent of the new teachers hired in high-minority districts 
lack full teaching credentials. Obtaining such credentials 
usually involves passing tests to demonstrate needed skills and 
knowledge.
    We must strengthen our national effort to increase the pace 
and magnitude of change needed in public schools. We must have 
an effective national education agenda which builds on the 1994 
Act by increasing accountability for results, so that no child 
is left out or left behind. In addition, we must make sure 
there is a qualified teacher in every classroom, and provide 
substantial support for other resources that are the tools for 
accelerated progress in schools, such as reduced class size; 
more after-school programs; and modern, technologically-
equipped schools that are not overcrowded and that provide an 
atmosphere conducive to learning.

              ESEA 2000--A Disappointing Partisan Process

    Although parts of the Committee bill are bipartisan, such 
as Safe and Drug-Free Schools, Ready-to-Learn, Impact Aid, 
Public Charter Schools, Title VII, Even Start, and magnet 
schools, we are disappointed by the fundamental partisan nature 
of the bill.
    Our commitment to producing a strong bipartisan bill, as we 
have done many times in the past when we were in the majority, 
is without question. We participated in the Committee's 
detailed and thoughtful hearings, and worked steadily 
throughout the last 18 months toward a bill that the whole 
Committee could support.
    Indeed it appeared to us that the outlines of a bipartisan 
bill were coming into focus after detailed discussions on the 
substance of federal policy in education. We agreed, in 
principle, to set aside the most partisan issues for the floor 
so that we could focus on a strong bipartisan bill in the 
committee. We worked together for three months and made 
substantial progress, reaching bipartisan agreements on Safe 
and Drug-Free Schools, many provisions of Title I, Technology, 
Teacher Quality, and other issues. Our approach was not 
ideological, but pragmatic. It focused on key policy questions 
and their solutions. We looked at research on how to get better 
results for all children. We were hopeful that working together 
we could report a strong, bipartisan bill out of Committee.
    Unfortunately, as we completed a second round of 
discussions on ESEA issues, our Republican colleagues announced 
that they were unilaterally replacing the bipartisan approach 
to teacher quality in the draft bill with the partisan, 
divisive Teacher Empowerment block grant. Republicans refused 
to agree to any compromise on the program, and negotiations 
broke down at that point.
    By the time we began the committee mark up of the bill on 
March 1st, many of the key bipartisan provisions negotiated had 
been stripped from the bill, and many partisan provisions had 
been included, such as the Straight A's block grant.

  Republicans Focused on Block Grants, Which Will Not Bring Change or 
                      Better Results for Children

    The committee bill makes block grants the central focus of 
reauthorizing ESEA, creating a tangled web of administrative 
chaos and policies that undermine national priorities in 
education, such as reducing class size, improving teacher 
quality, and closing the digital divide. Block grants undermine 
the targeting of resources to the neediest students and 
eliminate critical accountability provisions that help ensure 
better results for all children. Democrats unanimously voted 
against the bill for many reasons, but first and foremost 
because the block grant approach undermines the federal 
commitment to helping communities and parents reform and 
improve public schools in every neighborhood for every child.
    Republicans supported and approved the Teacher Empowerment 
Block grant, the 50-state Straight A's Block grant, and a 
second 15-state Straight A's block grant. Block grants are the 
wrong direction for education, and do nothing to spur change in 
public schools.

Straight A's Block Grants Are Anti-Local Control, Anti-Accountability, 
        and Pro-Status Quo

    The Academic Achievement for All Act--``Straight A's,'' 
whether in the 50-state form, or the 15-state form--abandons 
the national commitment to help the nation's most disadvantaged 
children get a good education through proven effective reforms 
of public schools. The bill gives states a blank check for over 
$12 billion--and then turns its back on holding states 
accountable for results.
    History shows that block grants haven't worked and they 
won't work now. Block grants eliminate accountability. A 1997 
study by the Center on Budget and Policy Priorities found that 
the Maternal and Child Health Block Grant suffered from lack of 
accountability and illustrated the difficulty of tracking how 
states use funds and how many children were reached. In the 
bill, states are not held accountable for educational results 
until after 5 years. By that time, many students will have lost 
five years of potential gains in student achievement. Under the 
bill, states must only demonstrate statewide performance. They 
can ignore failing schools if a few schools excel--and increase 
the statewide average. A state could demonstrate statewide 
overall progress based on progress by wealthier communities, 
while a lack of progress in disadvantaged communities remains 
statistically hidden. States should have to demonstrate 
progress in student achievement in each school and each 
district, so that no community or child is left behind.
    In addition, the accountability provisions in the 
Republican block grant proposals are of little significance. If 
states fail to make progress, the only required response is to 
prohibit the state from participating in the block grant 
program. Even this weak repercussion is unlikely to be 
implemented, because the states define progress without any 
federal or local input or general legislative parameters. Under 
the Democratic accountability proposal, which builds on current 
law, states set goals for student performance, but these goals 
are reviewed by the Secretary of Education and must be set 
within the context of the goal that all students attain 
proficiency within 10 years. Annual, numeric goals must be set 
for improved performance, as well as separate goals for low 
income and minority students, in order to ensure that 
achievement gaps are eliminated. If schools or districts fail 
to meet these goals, districts and states, respectively, must 
take action to assist the school or district, and supplemental 
resources are provided. Research-based school improvement 
strategies must be implemented. If the school or district 
continues to fail, sanctions are imposed.
    There is no real accountability for closing the achievement 
gap in the majority's block grant proposals. Although the 
proposals require states to set goals for certain groups, as 
mentioned above, goals for student performance are set at the 
state level and there is little repercussion for failure. In 
addition, the proposal would free participants from 
requirements in current law to include all students in state 
assessments. Under the majority's block grant proposal, ``all 
students'' is defined as ``all students attending public or 
charter schools that are participating in the state's 
assessment system.'' There are no provisions requiring states 
to include all students in that assessment system. Therefore, a 
state could exclude students from assessments without any 
accountability for their performance.
    Block grants threaten funding for education. Historically, 
Congress increases funding for programs targeted on national 
priorities, not block grants. This is no time to reduce our 
investment in education. We should increase it. According to a 
1995 GAO study, total funding for nine block grants created in 
1981 declined by 12 percent, or $1 billion, in 1982. Funding 
for Title VI (formerly Chapter 2) has decreased by 50 percent 
since FY82, when the block grant was created. In FY82, $708 
million (in 1999 dollars) was appropriated for the programs. In 
FY99, $375 million was appropriated.
    In contrast, because Title I, technology, and other federal 
programs are targeted to important national priorities, 
appropriations for these programs have increased over time. For 
example, funding for Title I has almost doubled since FY82, 
from $4.1 billion (in FY99 dollars) to $7.9 billion in 2000. 
Unfortunately, even with the increases, these programs are 
still underfunded.
    In addition, some of the programs that were originally 
consolidated, such as grants for professional development, 
magnet schools, and gifted and talented education, were later 
re-created as separate federal programs. After submerging these 
programs in a block grant, Congress--on a bipartisan basis--
decided that these needs were not being met at the state and 
local levels and remained priorities of national importance.
    Block grants leave the door open for waste and abuse--and 
provide no focus on proven effective strategies to improve 
schools. Senator DeWine, in urging increased accountability 
measures, noted the poor history of states and local districts 
in spending Safe and Drug-Free Schools and Communities funds; 
he characterized those dollars as being ``raided'' for pet 
projects or to support ineffective methods. School districts 
and schools could use scarce public taxdollars to support fads 
and gimmicks with no basis in research or proven practice. They could 
even use the money to support the football team, to buy computer games, 
or to buy new office furniture, if they decide that these uses serve 
``educational purposes.'' In short, the Act provides no assurance that 
federal funds will go to improve instruction and teacher quality, 
strengthen curriculum, reduce class size, provide extended learning 
opportunities, or support other proven strategies for helping all 
students learn to high standards.
    Under Straight A's, there is no accountability at the 
school district or school level. Only the state must show that 
it has substantially--not entirely--met its own goals. The only 
penalty if a state does not partially meet its goals is that 
after five years, it can no longer block grant the programs. 
There is no requirement for reporting at the district or school 
level on progress in improving student achievement, and there 
is no requirement for helping to improve low-performing 
schools.
    History also shows that block grants allow the misdirection 
of funds. When states and localities received billions of 
dollars in the tobacco settlement, we heard their good 
intentions to use the funds to improve health care and stop 
children from smoking. Some state and local officials have kept 
that commitment. But many others have succumbed to the pressure 
to use the tobacco funds to build new sidewalks, provide new 
tax breaks, build new prisons, and, in the case of Los Angeles, 
pay the legal settlement costs in the recent police corruption 
cases. The tobacco funds do not have the limitations that would 
apply to this education bill. But we all know that there will 
be large pressures on the states to use the education block 
grant proposed in this bill for activities that do very little 
to enhance the quality of public schools.
    The block grants authorized by the bill harken back to 
mistakes made during the early days of Title I--mistakes we 
thought were long since corrected. A 1969 report on how the 
1965 Title I program funds were spent--when Title I was a state 
block grant--shows that states seriously misused the funds. 
State bureaucracies were fattened with funds that were supposed 
to go to schools. States and districts used funds to purchase 
football and band uniforms. Some purchased swimming pools. We 
cannot afford to go back to those days. We must insist that 
federal funds are spent on improving the academic achievement 
of all students.
    Block grants also undermine targeting to disadvantaged 
communities. The 15-State Straight A's program holds school 
districts harmless for the amount of funding they received 
under Title I in the previous year. Therefore, any new money 
appropriated could be reallocated to wealthier districts and 
schools. Needy districts would no longer be assured the 
additional funding they should get due to increased enrollments 
of poor children. In addition, the amendment does not protect 
any within-district targeting provisions under Title I. At 
FY2000 funding levels other than Title I, over $4.7 billion 
could be spent in any district without any targeting.
    We understand the pressures that state governments face to 
fund education. But, we know that states don't target resources 
to the neediest schools and children who need additional help. 
Federal funds are significantly more targeted to low-income 
children than state funds. A recent General Accounting Office 
report found that state formulas are less targeted on high-need 
children and school districts than federal formulas. GAO found 
that states provide an additional 62 cents for each needy child 
for every dollar for all children, while the federal investment 
provided $4.73 per poor child for every dollar for all 
children.
    The Straight A's program also undermines local control. The 
amendment concentrates educational decision-making at the state 
level. By authorizing the state to decide whether it will enter 
into a performance agreement, the Act gives the state ultimate 
authority to determine the parameters of the agreement, 
including which schools and school districts will receive funds 
and how funds may be spent. Far from giving local districts 
flexibility, as policies and waiver provisions under current 
law have, Straight A's would increase the power of governors 
over local education policy at the expense of local districts, 
local school officials, and parents.
    The majority argued that block grants are needed to return 
control of education to local communities. The reality is that 
there is already clear local control of education, and the 1994 
Act provided even more flexibility to local authorities in how 
they spend Title I dollars. States and communities provide 92 
percent of funding for education. It is preposterous to think 
that the federal government--which provides only 8 percent of 
all K-12 education funding--can run schools. What Washington 
can do is help local communities meet education reform 
priorities when their budgets are stretched too thin. 
Washington can also target scarce public tax dollars on areas 
of national need, serve as a strong partner in education 
reform, and help establish a system that holds all officials 
accountable for children's academic progress.
    GAO found that for major federal elementary and secondary 
education programs, the Department of Education sent over 99 
cents of every dollar to states, and states, in turn, sent 94 
cents to local school districts. There is no massive waste or 
federal bureaucracy in federal education programs.
    The Straight A's block grants also deny special populations 
of students guaranteed help for meeting high standards. 
Migrant, homeless, and immigrant students would no longer be 
assured the extra help they need to stay in school and succeed 
in school. Senator Kennedy and Senator Bingaman offered 
amendments to exclude programs that support these students from 
the block grant, but the majority rejected the amendments.
    States could use the money for any ``educational 
purposes,'' including private school vouchers that would drain 
funds away from public schools. In the Senate mark up, Senator 
Gregg confirmed that funds under his 15-state block grant could 
be used to support private school vouchers if a state approved 
them. Billions of public tax dollars could be diverted to 
private and religious schools, with no accountability for 
raising students' academic achievement. This diversion would 
represent a major shift in priorities for the role of the 
federal government in education.
    Finally, Straight A's abdicates our responsibility in a 
reauthorization to examine and improve federal efforts. If 
there are issues with federal programs, we should fix them--not 
justhand them off to the states and local communities.

 Undermining Standards-Based Reform Under Title I and Diverting Scarce 
  Public Dollars from Needy Public Schools to Private Schools Through 
                                Vouchers

    The Republican majority further undermines public school 
reform through ``portability'' of Title I. Currently, Title I 
is funded at approximately $8 billion, only one-third of the 
level needed to fully fund the program. We are pleased that the 
committee unanimously adopted Senator Dodd's amendment to 
increase the Title I authorization from $10 billion to $15 
billion. However, at the same time that we signaled strong 
support for the program, the Republican majority voted to 
undermine it, and refused to strengthen it or hold Title I 
schools more accountable for results.
    We are extremely disappointed that the Republican majority 
did not make significant changes to strengthen Title I to 
accelerate successful reforms in schools across the country, 
and to turn around failing schools. Title I is the cornerstone 
of federal elementary and secondary education, but it was 
undercut in nearly every amendment offered and adopted by the 
majority. Its unique purposes and focus are lost within the new 
maze of Straight A's proposals included in the bill. Additional 
amendments provide for Title I funds, without any limitation, 
to go to support private school vouchers and to transport 
students to other schools. The Republican majority adopted a 
provision to allow 10 states and 20 districts to undermine 
Title I and the reform of schools in the most disadvantaged 
communities. The Republicans turned their backs on the recent 
success of standards-based reform by adopting Senator Gregg's 
amendment to make Title I ``portable.''
    The portability proposal gives students and parents false 
hope by promising increased educational support for low-income 
students. ``Portability'' under the Gregg amendment would 
allocate a per-child share of Title I funds to virtually every 
school in a district, regardless of whether a school contains 
the concentration of poverty presently required to receive a 
Title I allocation. Because Title I funding levels are only 
sufficient to serve about one-third of eligible students, this 
provision would result in an immediate and drastic cut in the 
level and quality of supplementary educational services 
provided to low-achieving children.
    Under portability, the targeting of Title I funds on 
schools and pupils with the greatest need for assistance would 
be substantially reduced. Districts in the highest poverty 
quartile currently receive 43 percent of Title I funds, but 
only 23 percent of State and local funds. This amendment would 
enable States to distribute Title I funds in a way that creates 
further inequities in spending and result in a significant 
reduction in Title I resources for the neediest recipients and 
the highest poverty schools. For decades, Congress has 
recognized that schools enrolling high concentrations of 
children living in poverty face the most difficult challenges, 
and are much more likely to have higher proportions of children 
who are failing to meet State academic standards. As a result, 
Title I grants have been historically concentrated on the 
higher poverty schools, and they should continue to be targeted 
in this way if they are to address the greatest needs. If Title 
I funds are dispersed among public schools regardless of need, 
or to numerous private outside providers, the program will not 
be able to function as intended. The solution to ensure that 
all eligible children are served by Title I is not an 
unworkable portability scheme, but for Congress to fully fund 
Title I. The Congressional Research Service has estimated that 
it would cost $24 billion to fully serve all eligible 
children--three times the current funding level.
    Redistributing funds through portability hurts poor 
children. The Congressionally-mandated Prospects Study strongly 
suggests that the need for federal assistance is greatest in 
schools with high concentrations of poverty. As shown before, 
children can be given more public school choice, without 
destroying the targeting of funds to schools with high 
concentrations of poverty.
    Portability would also provide too little money to purchase 
educational services on an individual basis, or in schools with 
small numbers of Title I students. When funds are combined and 
concentrated on a substantial number of low-income pupils, 
however, they are far more effective. In fact, the bill already 
recognizes this important fact. Section 1001 (Statement of 
Purpose) states that one of the purposes of Title I is 
accomplished by ``* * * distributing resources sufficient to 
make a difference to local education agencies and schools where 
the needs are greatest.'' Under the Gregg amendment, if 
students opt to take their allotment to an outside provider, 
what happens to the students who remain in the original school? 
The school will not be able to maintain the same level of 
services with only a fraction of what it had been receiving. 
Further, what if a parent requests supplemental services from 
an outside provider but also elects to stay in the home school 
and continue to receive Title I services there?
    Portability undermines reform. Since the 1994 
reauthorization, States, districts and schools have been 
restructuring their Title I programs with a focus on helping 
all children achieve to high state standards. The National 
Assessment of Title I reports that these changes are beginning 
to show results and are contributing to increased student 
achievement. Portability would wreak havoc on this process by 
disrupting program funding in current Title I schools. The 
current average Title I per-pupil expenditure of $600 to $650 
can provide a significant amount of resources and services, but 
only if combined to help a substantial number of students in a 
school. Tying Title I dollars to individual students diminishes 
the benefits and success of schoolwide programs and research-
based school reform models.
    Portability reduces or eliminates Title I program 
accountability for the achievement of eligible students. 
Current provisions hold schools accountable for improved 
student achievement. Under this proposal, parents of eligible 
children could use their Title I funds to purchase 
supplementary educational services from a wide variety of 
providers, including private and religious schools and for-
profit businesses. There is no mechanism to ensure such 
providers provide quality services to children, and no 
accountability measures are required of these providers. Who 
will decide which providers are acceptable? Who will be liable 
for the children's safety and well-being while they are in the 
care of outside providers? If parents choose an outside 
provider and are dissatisfied, can they opt to make another 
choice and receive another allotment?
    Portability also opens the door to vouchers, at a time when 
courts are again rejecting these questionable policies enacted 
at the state and local levels. Public schools would be required 
at the request of parents to contract with a tutorial 
assistance provider, which could include private and religious 
schools and other religious entities. The proposal would allow 
public money to pay such entities for provision of educational 
services. Since the public school administers the program, will 
the public school also be responsible for assuring that a 
child's academic achievement is improving, even if the students 
are receiving services at nonpublic schools?
    Finally, portability would create enormous administrative 
burdens. It would disrupt school planning and budgeting, 
because large numbers of students could change schools in the 
middle of the school year. It would also be difficult to 
administer, because school budgets are usually set far in 
advance to allow for the extensive planning needed to hire 
teachers and arrange classes. How will schools plan their 
budgets if they do not know how many students will stay at 
their schools or opt to take their allotments to an outside 
provider? Who is responsible for providing transportation to 
the outside providers or nonpublic schools? How would the 
school track the achievement of students being served by 
outside providers?
    Portability doesn't guarantee any child a better education. 
Allowing children to take their portable grant to a private 
school or an off-campus after-school program does not 
necessarily mean they will receive a better education. Unless 
private schools are required to publicly report student 
achievement data in the same manner as public schools, we have 
no information regarding the quality of education in those 
schools. It would be irresponsible to send public dollars into 
``mystery'' institutions of questionable quality.
    We know that standards-based reform and schoolwide programs 
are making a difference. For example, in Atlanta, Georgia, 
Burgess Elementary School is a Title I schoolwide school that 
serves 430 students, 99% of whom are African-American. More 
than 80% are eligible for free or reduced-price lunches. In 
1998, 64% of Burgess' students performed above the national 
norm in reading, an increase of 35% over 1995. 72% scored above 
the national norm in math, an increase of 38% over 1995.
    In Boston, the Harriet A. Baldwin School is a Title I 
schoolwide program that serves 283 students, 93 percent of whom 
are minorities. 80 percent are eligible for free or reduced-
price lunches. From 1996 to 1998, Stanford 9 math and reading 
scores improved substantially, and are currently well above the 
national median and are much higher than district scores. In 
1996, 66 percent of 3rd graders scored in math at Levels 1&2 
(little or partial mastery of basic knowledge and skills); in 
1998, 100 percent scored at Levels 3&4 (solid academic 
performance and superior performance beyond grade-level 
mastery). In 1997, 75 percent of 4th graders were at Level 1&2 
in reading, and only 25 percent at higher levels of 
proficiency. In 1998, more than 50 percent were at higher 
levels of proficiency.
    The minority unanimously opposed the Gregg portability 
amendment because we believe we should do more to improve 
federal support for Title I to help the neediest students 
achieve better results, not undermine it.

      Holding Schools Accountable for Better Results for Children

    In 1994, we made important changes to the Title I program. 
We created an accountability system that--along with the Goals 
2000 program--has spurred standards-based reform efforts across 
the nation. During the last 5 years, however, experience in 
many states has demonstrated that we must do more. The federal 
government has succeeded in targeting funds--better than 
virtually any state or local government--on those most in need. 
Over the last three decades, we also have had success in 
closing the achievement gap between economically disadvantaged 
students and their peers. But we have not done enough to 
accelerate those results and to ensure that there is real 
performance-based accountability for the billions of dollars 
spent for Title I programs.
    Senator Bingaman and the other Committee Democrats proposed 
a package of changes to the Title I legislation that would have 
ensured accountability for student performance. The Chairman's 
mark incorporated some of these proposals, including notifying 
parents when their child's school is struggling or failing, and 
requiring that school improvement methods be based on research-
based strategies.
    Nevertheless, key provisions related to accountability were 
omitted. Title I has the very specific purpose of raising the 
achievement of disadvantaged students. Yet the Title I 
accountability system used in many States depends on growth in 
overall student achievement, rather than looking at the 
progress of students with special needs such as economically 
disadvantaged or minority students. Accountability systems that 
depend upon average student achievement data--data in the 
aggregate--will not close the achievement gaps that separate 
low-income students from more affluent students and minority 
students from white students. The definition of progress 
included in Title I should require States and districts to set 
annual, numerical goals for student achievement by subgroup, so 
that existing achievement gaps can be eliminated. The 
disaggregated goals should include at least income, race, 
ethnicity and English proficiency.
    The committee bill actually takes a step backward with 
respect to ensuring that poor and limited English proficient 
students are not left behind. It indicates that States do not 
have to consider their progress if there are not ``sufficient'' 
numbers of them in any given State. In addition, the majority 
rejected provisions that would have helped to ensure inclusion 
of all students in assessments. States often mask a lack of 
progress by improperly excluding certain students from state 
assessments, such as students with disabilities or with limited 
English proficiency, even though the 1994 Act calls for 
inclusion of these students. At a minimum, we should require 
public reporting of the number of students excluded from 
assessments, by race, ethnicity, income, gender, English 
proficiency, disability and migrant status.
    Also, the Rural Education Initiative would greatly weaken 
accountability by allowing small, rural districts to 
consolidate funds from Titles II, IV, and VI, without any 
realisticaccountability for improving student achievement.
    In addition, we should insist that each state's 
accountability system should incorporate significant 
consequences for chronic failure. The corrective action 
provisions must be strengthened to ensure that when schools are 
chronically under-performing, significant consequences are 
imposed. The majority rejected amendments to ensure that the 
governance structure of these schools is changed. In addition, 
the majority rejected provisions to impose consequences upon 
States that fail to implement rigorous accountability, 
including limiting access to flexibility programs and 
decreasing administrative funding. A single accountability 
system for all schools also should be required, to ensure that 
Title I schools are held to the same standards as other 
schools.
    We also must give parents the information that they need to 
be informed participants in their children's education. We 
should require schools to provide school report cards with 
basic information, including student performance data, dropout 
and graduation rates, teacher qualifications, average class 
size and access to technology.
    We learned in the days before the mark up that the 
Department of Education does not have an exact accounting of 
the numbers and names of failing schools and schools in need of 
improvement. States are not required to report such data, and 
many states have chosen not to. Senator Reed offered an 
amendment to address this situation. We are disappointed that 
this simple and common-sense amendment was not adopted to 
require states to report the names and numbers of low-
performing schools, and the steps that states are taking to 
meet their responsibility to help such schools improve.
    In addition, because qualified and well-prepared teachers 
are critical to improving student achievement, we are 
disappointed that another Reed amendment, which would set the 
funding bar under Title I for professional development at the 
district level at 10%, was rejected. We are also disappointed 
that the majority rejected language proposed by Senator 
Bingaman, which would require states to ensure that poor 
children are not taught by unqualified teachers at higher rates 
than other children. States should be required to commit 
necessary resources to provide incentives to attract teachers 
to high poverty schools through voluntary transfers and/or new 
hires, and to provide necessary training to the teachers 
currently in those schools so that they can become fully 
qualified.
    We are pleased that the bill included a state-level set-
aside to assist low-performing schools, implement the 
accountability provisions, provide rewards for progress, and 
develop assessments. However, the provision does not ensure 
that any funds reach school districts. It does not require any 
funds to be spent on improving low-performing schools. A state 
may use all of its new Title I funds for the purpose of 
providing financial awards to teachers and principals in 
schools that have made gains in academic achievement. While we 
do not oppose such financial awards, they should be separately 
authorized, and not funded by taking money from Title I that 
would otherwise be used to provide better services to students 
and turn around failing schools.
    A better approach to improve low-performing schools was 
contained in the Bingaman amendment, which would increase the 
state set-aside for school improvement, while requiring that 
70% of such funds be distributed to local school districts.
    We are pleased that the bill gives students in failing 
schools the right to transfer to higher performing schools. We 
also support a student's ability to transfer out of an unsafe 
school. We had several concerns, however, about the majority's 
provision on the right to transfer. The bill does not clearly 
define what constitutes an unsafe school and allows for Title I 
funds--intended to be used to improve academic achievement in 
high poverty schools--to be used for transportation expenses 
incurred by transferring students to safer schools. In 
addition, the legislation sets an extremely high cap for the 
amount of Title I funds that may be used to transport students 
from failing schools to higher performing schools. We prefer 
the proposal offered by Senator Bingaman, which would ensure 
that most of a district's Title I funds are used to turn around 
low-performing and failing schools, while requiring districts 
to assume the cost of transportation for students opting to 
transfer out of failing schools. This proposal also would 
enable students in districts with no schools demonstrating 
adequate performance to transfer to schools in neighboring 
districts.

Addressing the National Need for a Qualified Teacher in Every Classroom

Teacher Empowerment Act Eliminates the National Commitment to Ensuring 
        Better Teachers in Small Classes

    Teacher quality is a vitally important factor in student 
achievement. The federal government has an important role to 
play in providing leadership and resources to states and 
districts, particularly districts that serve large numbers of 
low-income and minority students, in their efforts to attract 
and maintain a qualified teaching force. It is unfortunate that 
the majority does not support a strong federal role in the 
federal-state-local partnership to improve teacher quality.
    The greatest needs for qualified teachers are in the 
highest poverty schools, which have the highest proportions of 
unqualified teachers. Finding qualified teachers for these 
schools is critical to the success of standards-based reform. 
Yet the majority rejected the Bingaman amendment, which would 
require Title I schools to have comparable proportions of 
qualified teachers as low-poverty schools.
    Title II of the bill, the Teacher Empowerment Block Grant, 
undermines the federal commitment to improving teacher quality. 
It decreases the federal investment in helping communities to 
reduce class size in the early grades and to ensure a qualified 
teacher in every classroom. It eliminates the Class Size 
Reduction Program and the Eisenhower Professional Development 
Program, and it authorizes a $2 billion block grant for teacher 
quality. Under the President's budget request for fiscal year 
2001, states and communities would have received $2.75 billion 
to reduce class size and improve teacher quality. All school 
boards know that a $750 million cut in funding means they can 
do less to improve academic achievement of theirstudents. The 
Teacher Empowerment Act does not hold school districts accountable for 
results. There is no guarantee that either class size reduction or 
teacher professional development will be done well. We need to do 
more--not less--to help communities improve public schools, teacher 
quality, and student achievement.
    The Teacher Empowerment Act does nothing to ensure that 
teachers are trained to help students with special educational 
needs, such as students with disabilities, students with 
limited English proficiency, and economically disadvantaged 
students. In order to ensure that all children have the 
opportunity to meet high state standards, teachers need 
training in how to address the needs of a diverse population of 
students.
    The amendment would reverse more than 15 years of 
professional development support for teachers through the 
Eisenhower Professional Development Program. In fact, under 
Title II of the bill, a ``portion''--which could mean very 
little actual resources--would have to be spent for 
professional development. The amendment fails to reform 
professional development from the current system of short-term, 
ineffective, and fragmented workshops. It ignores the need for 
teachers to be taught to work effectively with parents to help 
improve student achievement.

A Qualified Teacher in Every Classroom

    Senator Kennedy offered a Democratic alternative to the 
Teacher Empowerment Act that would ensure a qualified teacher 
in every classroom. The amendment is based on proven practices 
that have been shown to improve teacher skills and knowledge, 
and improve student achievement. It guarantees communities that 
they would receive substantial funds to: (1) recruit qualified 
teachers; (2) provide qualified mentors for new teachers; (3) 
provide professional development for classroom teachers; and 
(4) hold schools accountable for results.
    As a result of increasing enrollments, teacher turnover, 
and retirements of veteran teachers, the nation faces the 
challenge of hiring more than 2 million new teachers over the 
next ten years. Unfortunately, the need for new teachers in 
1998 was met by admitting 50,000 unqualified teachers to the 
classroom. Of those who do enter teaching, nearly 50% leave the 
profession within 5 years. It is obvious that too many 
beginning teachers are being thrown into classrooms without the 
guidance and support they need in order to succeed.
    We must make a renewed commitment to attract, train, and 
support the highest quality teachers for our children. We must 
ensure that all children--our nation's future--are learning 
from academically qualified and highly trained teachers. No 
classroom anywhere is any better than the teacher who teaches 
in it. We should do all we can to make sure that every teacher 
is well qualified.
    The Kennedy amendment would provide the Secretary of 
Education with the authority to support activities of national 
significance to meet urgent teacher shortages through national 
recruitment activities such as the Transition to Teacher and 
Hometown Teachers Program, establishment of a national Job 
Bank, and continuation of the Eisenhower National Clearinghouse 
for Mathematics and Science Education.
    The bulk of the funds--$1.7 billion--will go to local 
communities to recruit new qualified teachers, provide mentors 
for new teachers, and provide professional development for all 
teachers. States will receive funds by formula based 50% on 
poverty and 50% on population. States will be able to keep up 
to 10% of their funds to meet statewide teacher shortages, 
implement strategies to increase teacher salaries, improve 
alternative routes to state certification, and help districts 
reduce the number of teachers with out-of-field placements and 
emergency credentials.
    The state would distribute 56% of its funds through a 
formula based 75% on poverty and 25% on population for 
implementing high quality professional development and 
mentoring activities, with a priority for math and science. 
This provision will help communities provide 200,000 new 
teachers with mentors each year and provide teachers and 
principals in thousands of districts with innovative 
professional development programs. The programs are locally 
designed, but must be based on proven effective strategies.
    Research shows that current professional development 
practices often fail to improve or even impact teacher quality. 
In addition, a recent survey of teachers found that current 
professional development is too short term, and lacks 
intensity. In 1998, participation in professional development 
programs typically lasted only 1 to 8 hours. As a consequence, 
only about 1 in 5 teachers felt well prepared for addressing 
the needs of students with limited English proficiency, those 
from culturally diverse backgrounds, and those with 
disabilities, or for integrating educational technology into 
the curriculum.
    Research shows that effective professional development 
approaches should be sustained, intensive activities that focus 
on deepening teachers' knowledge of content; that allow 
teachers to work collaboratively; that provide opportunities 
for teachers to practice and reflect upon their teaching; that 
are aligned with standards and the daily work of the school; 
and that involve parents and other community members. High-
quality professional development improves student achievement. 
Last June, during our committee hearing on professional 
development, Barbara Schneider of Community School District 2 
in New York City testified about the positive impact of the 
District's investment in sustained, intensive professional 
development on student achievement.
    Unlike the Teacher Empowerment Act, our substitute would 
increase investment in professional development and mentoring, 
and focus on the kind of activities and opportunities for 
teachers that research shows is effective. Our substitute would 
offer resources, but demand results through strong 
accountability provisions. We believe that this approach is 
more effective than the bill's Title II in ensuring that 
teachers have the training, assistance, and support to increase 
student achievement and sustain them throughout their careers.
    To help communities recruit qualified candidates from other 
fields to become teachers, states would also distribute 30% of 
their funds through competitive grants for Local TeacherCorps 
recruitment grants. Local partnerships must consist of, at a minimum, a 
school district and an institution of higher education, and the grants 
must be targeted to high-poverty districts and districts with the 
greatest need for qualified teachers.
    Finally, our amendment would hold state and local districts 
accountable for results. States must ensure that there is a 
qualified teacher in every classroom by the 4th year after 
enactment of the law. In addition, the state must publicly 
report information on the percentage of classes in core 
academic subjects that are taught by out-of-field teachers and 
the average statewide class size. Local school districts would 
be required to publicly report information on the 
qualifications of classroom teachers and the academic subject 
in which the teacher teaches. Local professional development, 
mentoring, and recruitment activities must be based on proven 
effective methods and lead to improved student performance 
throughout the district. Schools are held accountable for 
reducing the beginning teacher attrition rate, the number of 
uncertified teachers, and the number of teachers teaching out 
of field. In order to continue a local grant for a 4th or 
subsequent fiscal year, the district must have shown progress 
in meeting its goals and objectives for the local grants.
    This amendment makes sense. It provides the needed 
resources and interventions that parents are calling for to 
ensure that every child is taught by a qualified teacher.

Investing in Qualified School Principals

    Successful schools are led by principals who have a deep 
understanding of teaching and learning, and who are well-
informed about state and local standards. We must provide 
greater support for the nation's principals. It is often true 
that a qualified principal can turn around an entire school.
    Today, however, principals often lack opportunities for 
high-quality professional development. Too often, such 
development is in the form of one-day workshops not geared to 
the needs of most principals. We must do all we can to provide 
opportunities for professional development for principals--and 
it must be high-quality, readily available, and geared toward 
the practical needs of principals. In addition, we should 
encourage local districts to provide mentoring opportunities 
for principals.
    We are pleased that the bill includes the Leadership 
Education and Development Program to help improve and expand 
professional development opportunities for school principals 
and superintendents. We hope that it can be strengthened by 
increasing accountability, targeting more resources to high-
poverty communities, addressing the need to train prospective 
and current principals, providing effective evaluations of the 
program, and providing for dissemination of information about 
the best practices for training principals. Although we believe 
that we should improve the program, the provision is a strong 
and positive bipartisan signal to the nation's communities that 
we will help provide stronger school leaders in every school.

                          Reducing Class Size

    For the past two years, Congress--with a large majority--
has provided more than $2.5 billion for the specific purpose of 
recruiting, hiring, and training teachers to reduce class size. 
What message do we now want to send to parents, teachers, and 
others in school communities across the nation by backing away 
from this commitment?
    We are particularly disappointed that the committee 
rejected Senator Murray's Class Size Amendment. The 8 to 10 
vote highlights the Republican Majority's disregard for the 
educational needs of the country and the concerns of American 
parents. The Class Size Reduction initiative was enacted with 
bipartisan support and praised by many from both parties as a 
major achievement for students.
    The majority backed away from its commitment to reducing 
class size in grades one through three, to a national average 
of eighteen students. The majority backed away from its 
commitment to hire 100,000 fully qualified teachers to help 
ensure that all students can learn to read independently and 
well by the end of the third grade. In effect, the majority 
broke the promise it made to the children of America. Last 
November, the Congress, on a bipartisan basis, as part of the 
Fiscal Year 2000 appropriations bill, continued for the second 
year the class size reduction program, with new provisions that 
provide additional flexibility for school districts, that made 
clear that only fully qualified teachers are hired with these 
funds.
    Smaller class size enhances student achievement. Smaller 
classes enable teachers to provide greater individual attention 
and assistance to students in need. Smaller classes enable 
teachers to spend more time on instruction, and less time on 
discipline and behavior problems. In smaller classes, teachers 
cover material more effectively, and are able to work with 
parents more effectively to enhance their children's education.
    We must continue to guarantee that the 1.7 million children 
who are currently learning in less crowded classrooms will be 
taught in small classes next year. We must not back away from 
the commitment. We must continue to support the 29,000 fully 
qualified teachers currently teaching under the Class Size 
Reduction Program. We must work to ensure that the students who 
stand to benefit most from smaller class sizes lower-achieving, 
minority, poor, and inner-city students continue to receive 
instruction in small classes.

  Expanding and Strengthening After School Opportunities for Children

    Also of substantial disappointment to us was the 
Committee's failure to support parents and schools struggling 
to address the after-school needs of today's students. After 
school programs must not be an after-thought in education 
policy. Each day, 5 million children leave school without 
supervised care. These students are at higher risk of juvenile 
delinquency, teenage pregnancy and tobacco, alcohol and drug 
use. We also know that juvenile crime peaks between the hours 
of 3 p.m and 7 p.m. Yet, many schools are left vacant when they 
could be used as valuable community resources.
    The 21st Century Community Learning Centers Program, 
created in 1994 by Senator Jeffords, has grown substantially in 
recent years, with current funding of $453 million. These 
dollars support 4,000 school centers focused on providing high-
quality after-school programs, and on better utilizing the 
schools to meet wider community needs. Senator Dodd proposed an 
amendment to clarify the focus of the program on after-school 
activities, use state-based competitive grants, enhance the 
role of community-based organizations, and increase the 
authorization to $1 billion, in recognition of the serious 
needs on this issue. This common-sense amendment reflected the 
concerns of the whole committee and parents across the country, 
but it was rejected on a party line vote. We continue to hope 
the committee can find a way to work together on this important 
initiative, and not abdicate our responsibility to reauthorize 
this program of vital importance to families, students and 
schools.

             Repairing and Modernizing the Nation's Schools

    The distressing condition of too many of the nation's 
schools is well known. The average age of the nation's schools 
is 42 years. 14 million children attend classes in buildings 
that are unsafe or inadequate. The General Accounting Office 
reports that $112 billion is needed to bring the nation's 
schools up to good condition.
    GAO also noted in its report, School Facilities: The 
Condition of America's Schools, that two-thirds of schools need 
repairs and renovations to improve accessibility for students 
with disabilities, or to address health and safety problems 
such as asbestos, lead in water or paint, materials in 
underground storage tanks, and radon. Half of the schools 
report unsatisfactory environmental conditions, such as poor 
ventilation, furnace problems, inadequate lighting, or 
insufficient physical security. Forty percent of schools need 
to repair or replace building features, such as a roof or 
plumbing. Thirty percent of rural districts, 38 percent of 
urban districts, and 29 percent of suburban districts have at 
least one building that needs extensive repair or total 
replacement.
    Nearly three-quarters of the nation's schools are over 30 
years old. According to the National Center for Education 
Statistics, when a school is between 20 and 30 years of age, 
frequent replacement of equipment is necessary. Between 30 and 
40 years, all of the original equipment should have been 
replaced, including the roof and electrical systems. After 40 
years, a school begins to deteriorate rapidly, and after 60 
years most schools are abandoned.
    The need for modernization and new construction of school 
facilities has become a crisis in school districts throughout 
the United States. Schools face the enormous challenges of 
record- high enrollments, new demands for educational 
technology, the need for before- and after-school programs, and 
the hazards of deteriorating facilities. Nearly 53 million 
students are currently enrolled in elementary and secondary 
schools, and this number is expected to rise to 54.4 million by 
2008.
    The American Society of Civil Engineers released a Report 
Card of America's Infrastructure in April 1999. A team of civil 
engineers examined the condition, performance, capacity, and 
funding of the nation's infrastructure and scored each category 
with a letter grade. Included in the examination were roads, 
bridges, dams, solid waste, mass transit, aviation, hazardous 
waste, and schools. The report card's worst marks went to 
schools, which received a failing grade.
    In addition, a new study from the National Education 
Association suggests there is substantial unmet need today--
even greater than in 1995--for school renovation and 
construction.
    There are a number of reasons for the poor physical state 
of schools, including student overcrowding, deferred 
maintenance, the age of the buildings, and the need to adapt to 
changing technology. One thing is certain: The problem is not 
going away. School enrollment is increasing, and schools will 
need renovations to ensure that students have access to 
educational technology and the Internet.
    This is clearly a national problem, and we must have a 
comprehensive national response. The Committee Bill not only 
ignores this pressing national concern--it retreats, by 
repealing Title XII, the Education Infrastructure Act.
    An effort to correct this serious shortcoming was rejected 
on a party line vote against the Harkin-Bingaman Amendment, 
strongly supported by all Democrats, to amend and reauthorize 
Title XII. The amendment authorized $1.3 billion to provide 
grants and zero interest loans to help public schools make 
urgent repairs such as roof replacements or electrical wiring, 
or to remedy fire code violations.
    The Harkin-Bingaman amendment is a complement to Senator 
Robb's proposal for tax credits to subsidize the interest on 
$25 billion of school construction bonds. It is focused on 
urgent repairs, and will help school districts that are unable 
to pass a bond referendum. It would have authorized funding for 
8,300 repair projects for 5,000 public schools as proposed by 
the President's FY 2001 budget.

                    Increasing Parental Involvement

    While the bill does add new parental involvement 
provisions, it does not make important changes that are needed. 
Research shows that regardless of economic, ethnic, or cultural 
background, parental involvement is a major factor in 
determining a child's academic success. Too often, schools fail 
to do enough to inform and involve parents.
    To increase parental involvement, we must depend on 
parents, teachers, and school administrators to work together 
to implement effective programs. National leadership is needed 
to provide schools, teachers, and parents with the tools 
adequate to this task. Simply hoping that parents will become 
engaged is not enough.
    The bill takes some steps to address these concerns, such 
as by ensuring that Title I families can obtain information on 
their children's progress in terms they can understand; 
havingstates collect and disseminate information about effective 
parental involvement practices; allowing schools to use technology to 
foster communication with parents; and ensuring parents are involved in 
violence prevention and drug prevention programs, so that parents can 
reinforce the safe and drug-free message at home.
    However, the bill fails to provide the accountability 
needed to ensure that the parental involvement provisions of 
ESEA are actually followed. We are disappointed that provisions 
included in the Reed amendment were not adopted to address this 
situation. The amendment would require state parental 
involvement plans, annual reviews of parental involvement 
activities, and technical assistance for districts having 
difficulty implementing the parental involvement requirements 
of Title I. We urge the addition of these common-sense 
accountability provisions, which are essential to improving 
schools and the performance of students, ensuring that schools 
significantly involve parents.
    We are particularly disappointed that the majority chose 
not to support the Local Family Information Centers. This 
program would provide funds for community based organizations 
to facilitate interactions between Title I schools and those 
parents who are the hardest to reach--parents with limited 
English proficiency, parents who are homeless and other parents 
who are isolated. With appropriate support, these parents too 
can play a meaningful role in their children's education and in 
their children's schools.
    In addition, we are disappointed that the bill eliminates 
the Title XI Coordinated Services Title. At the same time, it 
fails to add the Reed Amendment to authorize school-community 
partnerships to provide children and families with links to 
existing community prevention and intervention services. Such 
services exist in a fragmented fashion in many communities. 
Families which would otherwise be eligible to receive the 
services cannot obtain them without coordination at a site 
housed under one familiar roof-- their child's school. Research 
shows that school-community links are a cost-effective way to 
help meet the basic needs of children and ensure they are ready 
and able to succeed in school.

                       Closing the Digital Divide

    We are pleased that the committee bill recognizes the 
important federal role in education technology, and that it 
continues support for programs that have helped schools adopt 
and integrate technology in their classrooms. In particular, we 
are pleased by the increased authorization for the Technology 
Literacy Fund and the National Technology Innovation Grants. We 
commend the dedicated funding for these programs, and for the 
Regional Technical Centers and the Star Schools program. 
Increased support for the National Program for Technology in 
Education is needed. The committee accepted amendments offered 
by Senator Bingaman, which will ensure the inclusion of current 
technologies such as web-based learning, online classes, and 
wireless technologies, and which will also ensure that 
education technology is used to support student performance in 
core academic courses. In addition, the provisions require the 
states to outline their goals for student achievement, 
dissemination, and technical assistance with respect to the 
Technology Literacy Fund. These measures will promote the use 
of technology as a tool for enhanced student learning. We are 
also pleased that the committee included the programs from the 
bipartisan Digital Education Act, including Ready-to-Learn, and 
that the committee accepted Senator Mikulski's amendment 
setting a goal for all students gaining computer literacy by 
the 8th grade.
    Given the growing and unquestionable importance of 
technology in today's economy, we believe that additional 
modifications will significantly improve the federal 
government's ability to ensure greater equality in access to 
technology in educational contexts, and to ensure that such 
technologies are being used to their maximum potential. In low-
poverty schools, 74 percent of classrooms have Internet access, 
while only 39 percent of classrooms in high-poverty schools 
have such access. Similarly, the number of students per 
instructional computer (with Internet access) is 7 in schools 
with less than 11 percent poverty, compared to 16 in schools 
with 71 percent poverty. The Technology Literacy Fund must be 
more targeted toward low income and disadvantaged students. 
Many states receiving these funds do not direct the funds to 
high poverty districts. Greater targeting of these federal 
technology funds will use federal dollars more effectively, and 
will also provide the opportunity for disadvantaged areas to 
leverage assistance from non-governmental entities.
    While the Technology Innovation Grants provision allows the 
Secretary to provide continuation grants under the Preparing 
Tomorrow's Teachers to Use Technology Program, it does not 
continue dedicated funding for this purpose. The fact that only 
20 percent of teachers feel comfortable integrating technology 
in their classrooms suggests a need for greater attention to 
adequate pre-service and in-service professional development 
activities for teachers, so that students derive the full 
benefits of access to advanced technologies at school. Pre-
service programs are particularly important. We must integrate 
educational technology into the curriculum of schools of 
education, so that teachers entering the workforce begin their 
careers with the training they need to integrate technology 
into their instruction.
    In addition, the digital divide extends beyond the 
schoolhouse. The Community Technology Centers Program addresses 
this reality. It provides access to technology for families in 
their own communities. Households with incomes greater than 
$75,000 a year are eight times more likely to have computers 
than households at the lowest income levels. Urban households 
with incomes over $75,000 a year are over twenty times more 
likely to have home Internet access than rural households at 
the lowest income levels. If the nation is serious about 
including everyone in the digital economy, it is essential that 
we continue providing access to computers and training through 
these Community Technology Centers. The need for this program 
is demonstrated by the fact that the Department of Education 
received 750 applications for 40 grants last year.

                     Expanding Public School Choice

    Bipartisanship was also evident in efforts to reauthorize 
programs supporting public school choice. Modest changes to the 
Magnet Schools Assistance Program were supported by the 
committee, in recognition of the strong record of this program 
in improving diversity inschools and in developing innovative 
models of excellence in education. Similarly, the committee worked 
closely together on the changes in the Charter Schools Program, which 
was reauthorized last Congress, but is extended in this bill.
    We commend the Chairman's continued support of federal 
funding for the magnet school and charter school programs. 
Though relatively small, these two programs have provided 
incentives for innovation and positive reform, and they have 
also provided many parents with greater choice for their 
child's education. The popularity of magnet and charter schools 
among educators and parents alike is commendable. At the same 
time, the Department of Education must do more to assure that 
schools funded by these programs are truly diverse and held as 
accountable for student progress as other public schools. 
Expanding public school choice in ways that maintain targeted 
funding while also promoting high standards for all students 
will extend these benefits to more communities and families.
    We were dismayed that the majority rejected Senator 
Bingaman's proposal to authorize the Opportunities to Improve 
Our National's Schools Program (OPTIONS), which would identify 
and support innovative approaches to high-quality public school 
choice. Many of our Republican colleagues have spoken of the 
need for greater reform in public schools. Yet they are 
unwilling to dedicate federal assistance for the development, 
implementation, and evaluation of the very kinds of public 
school choice programs that stimulate innovation and contribute 
to standards-based reform. Under OPTIONS, states and localities 
would be given a pool of resources for a wide variety of 
activities related to public school choice. The funds would be 
targeted toward high-poverty communities.

             Safe and Drug-Free Schools and Communities Act

    The Safe and Drug-Free Schools and Communities Act, 
authored by Senators DeWine, Dodd, and Murray, is one of the 
strongest areas of bipartisanship. Changes made to the Safe and 
Drug-Free Schools and Communities Act focus on improving the 
accountability and enhancing the effectiveness of this program. 
The legislation requires states and schools to adhere to the 
``Principles of Effectiveness'' in the design, implementation, 
and evaluation of their programs. The bill also increases 
federal coordination, while providing states with the 
flexibility to better target these dollars. In addition, the 
passage of Senator Harkin's amendment on reinstating the 
Tobacco-Free Schools requirement that schools be smoke-free 
demonstrates a bipartisan commitment to this important issue.
    Similarly, we are especially pleased that an amendment to 
repeal the hate crimes provisions in this Act was resoundingly 
defeated. This vote also demonstrates our bipartisan commitment 
to the important goals of keeping our students safe and 
creating strong, healthy communities.
    Despite these improvements, however, additional efforts 
need to be made to strengthen the bill on these issues. Project 
SERV, a program to provide schools with emergency assistance 
after a traumatic crisis or violence, is an important component 
missing from the Act. Senator Wellstone proposed an amendment 
to provide training to teachers to develop and implement 
domestic violence prevention, intervention, early 
identification, and referral strategies for students and school 
personnel. Since domestic violence and child abuse are both 
causes and predictors of juvenile violence, this program would 
greatly enhance the Safe and Drug-Free Schools and Communities 
Act. In addition, the bill fails to include an authorization 
supporting training of early childhood educators in violence 
prevention strategies, as proposed in legislation offered by 
Senator Dodd.
    The bipartisan consensus on this program was undermined by 
the Committee's adoption of an amendment that creates loopholes 
allowing spending of federal funds on potentially ineffective 
measures. The amendment also included several other provisions 
of concern, including burdensome requirements on local schools 
that all educational material supported with ESEA funds must be 
posted with a notice of the use of the federal funds, and that 
bureaucratic and costly procedures for handling complaints must 
be put in place.

         Meeting the National Need to Support School Libraries

    The bill also fails to restore critical funding for school 
libraries or to increase student access to up-to-date school 
library materials. Research has documented a clear connection 
between well-equipped, well-staffed school libraries and 
reading achievement and overall academic success. 
Unfortunately, schools across the nation are still dependent on 
collections purchased in the mid-1960s and 1970s with dedicated 
funding provided under the original Elementary and Secondary 
Education Act. Since 1981, when this funding was folded into 
what is now the Title VI block grant, school libraries have 
suffered. This 19-year experiment in leaving school library 
funding to states and school districts has failed. School 
library shelves are now filled with outdated books which 
predate the landing of manned spacecraft on the moon, the 
breakup of the Soviet Union, the end of apartheid, the growth 
of the Internet, and advances in scientific research.
    Given the clear examples of outdated school library books 
filled with offensive stereotypes presented at the Committee 
mark up, we are dismayed that the committee rejected the Reed 
School Library amendment. The needs of school libraries have 
been unaddressed for too long. We urge the restoration of 
funding to update and improve the nation's school libraries.

Support for Urban and Rural Communities

    We share the majority's concern that federal programs must 
serve all areas, including rural districts, and we recognize 
that each school district has unique needs. 46 percent of the 
nation's public schools serve rural areas. These schools often 
face problems associated with their remote location and sparse 
populations, such as lower salaries which make it particularly 
difficult to attract and retain qualified teachers and 
administrators. Teachers in rural schools are almost twice as 
likely to provide instruction in three or more subjects than 
teachers in urban schools. The course offerings, especially 
advanced courses, are more limited than in other areas. Many 
rural school districts have high transportation costs because 
of the greater distances that childrentravel to school. Like 
other areas, rural districts often have aging school buildings that 
must be modernized to take full advantage of education technology.
    Unlike most other jurisdictions, many rural schools also 
face shrinking tax bases. This problem is particularly true in 
areas that have been hit hard by the agriculture crisis. The 
result is that the ability of these areas to raise local 
resources is even more limited than in other regions.
    Federal resources are important to help these districts 
address these problems. While many rural schools do compete 
effectively for federal grants, many smaller rural schools 
often lack the personnel needed to prepare applications and 
grant proposals. Except under Title I, smaller districts often 
do not receive sufficient funds for effective programs, and 
they lack the ability to raise additional funds locally.
    The majority has acknowledged the problems facing rural 
schools and has included a rural proposal in the committee 
bill. Unfortunately, their approach suffers from two 
deficiencies. It creates a new and unnecessary system of forms 
and bureaucracy, and it has the effect of creating a new block 
grant. By block granting these funds, districts are not held 
accountable for the results, and the national priority is lost.
    We prefer an approach that continues to target specific 
problems, such as reducing class size, improving teacher 
training, and integrating technology effectively into the 
classroom, and that also makes sure the districts have the 
resources they need to operate effective programs.
    We support an amendment to provide a supplemental payment 
to qualifying rural districts. Under this approach, a district 
would simply indicate on its application for existing class 
size, teacher training, and technology programs how it would 
use the supplemental funds. It would be held accountable for 
using the funds effectively through the same mechanism applied 
to the underlying program. We believe this approach is a simple 
and effective way to help rural districts address their 
problems.
    We recognize that urban schools also face unique and acute 
issues that create challenges for them to implement effective 
programs. Like rural districts, they have difficulty attracting 
and retaining qualified teachers. This problem can affect their 
course offerings. Many urban districts also have significant 
problems with aging and unsafe facilities. In addition, urban 
schools face challenges unique to their urban nature. The high 
numbers of homeless children, children with limited English 
proficiency, and children from extreme poverty make it 
difficult for them to close the achievement gap between low and 
high performing students. While the causes of these problems 
may be different, they are no less significant, and they should 
be addressed by this legislation. Yet, unlike rural areas, they 
were not provided with an alternative funding source.
    We are disappointed, therefore, that by repealing the Urban 
Demonstration Grant Program, the majority eliminated the 
possibility for urban districts to receive supplementary funds 
to meet their unique needs. While the rural demonstration 
program was repealed as well, it was replaced by the rural 
education initiative.

             Other Programs to Improve Student Achievement

    The Committee was able to come together around the 
reauthorization of several smaller but important national 
initiatives supporting change in schools, including the 
Character Education Partnership Program, the Javits Gifted and 
Talented Program, the Elementary School Counseling Program, and 
the Women's Educational Equity Act. While small, these programs 
have demonstrated the capacity of a modest federal investment 
to leverage real change in schools across the county. 
Throughout the committee's hearings on the reauthorization, we 
heard from witnesses across the country about the fundamental 
difference that these programs have made in improving schools 
and strengthening the achievement of students.
    We are pleased that the smaller learning communities 
program within the Fund for the Improvement of Education is 
included in the committee bill. The smaller learning 
communities program has proven benefits, such as improved 
learning environments, improved student achievement, and 
improved attendance indicators. We hope that this year's 
appropriations of $45 million for the program will provide a 
greater opportunity for our colleagues to see these important 
benefits in schools in their own communities and to expand the 
funding pool.
    We were also pleased that the committee accepted Senator 
Bingaman's amendments authorizing funding for dropout 
prevention and for building upon the extremely successful 
program that expands access to Advanced Placement classes and 
exams. These two programs are important tools to ensure that 
poor and minority youth stay in school and learn to high 
standards. The AP program also helps to ensure that all 
students, regardless of racial or economic background, are 
given access to rigorous courses that prepare them for 
enrollment in education beyond high school.
    We are pleased by the bipartisan commitment to maintaining 
and strengthening Title VII, which provides critical support 
for communities to implement innovative model programs to 
ensure that children with limited English proficiency learn 
English and master academic content. The changes are designed 
to ensure that the assistance will be aligned with the 
standards-based reforms under Title I. We are also pleased that 
the committee accepted the Reed amendment to preserve the 
current law's priority for districts that enroll a large number 
of limited English proficient students.
    We are pleased that the committee accepted an amendment by 
Senator Reed to provide greater accountability under Title VI, 
Innovative Education Program Strategies. This amendment 
requires all innovative education programs and activities to be 
tied to promoting high academic standards, be used to improve 
student performance, and be part of an overall education reform 
strategy. It successfully addresses many of the concerns raised 
about this program.
    We need to continue to work together to improve on other 
areas of concern, such as comprehensive secondary school reform 
and technical assistance centers. We also remain deeply 
concerned about the extent to which these strong, improved 
policies are undermined by their inclusion in Straight A's. 
This block grant proposal undoes all the hard work of reforming 
these major federal efforts.
    We are disappointed that the Republican Majority rejected 
Senator Murray's Amendment to make it possible for students and 
other youth to engage more fully in the process of school 
reform and school improvement. Student involvement is an 
important aspect of school reform and improvement. Students 
benefit when they are given significant roles in their schools 
and communities. Special attention is needed to ensure the 
effective involvement of students in decisions that affect 
their education. It is regrettable that the majority does not 
share our concerns in this area.
    We are also disappointed that the Republican Majority 
rejected Senator Murray's Amendment to provide national 
challenge grants for innovation in the education of homeless 
children. In spite of our prosperous economy, homelessness is 
on the rise in America. Children represent one of the fastest 
growing segments of the homeless population, but states, 
schools and service providers often do not have the resources 
to meet their needs. When children become homeless, they are 
often uprooted from their communities, and drift from school to 
school. Academic achievement suffers greatly under such 
conditions.
    The Murray Amendment would provide needed funds for 
innovative programs to address the transportation needs of 
homeless children. By helping districts create model 
transportation programs, the Murray Amendment would help 
improve student achievement by making it possible for homeless 
children to continue attending their original schools. It is 
disappointing that the majority did not support our efforts in 
this area.

                               Conclusion

    We hope to make bipartisan progress on strengthening and 
improving public schools in every community. But this progress 
should not come at the expense of a strong federal helping 
hand, accountability for results, targeting to the neediest 
communities, and a clear focus on priority areas of national 
need. The nation's children deserve no less.

                                   Ted Kennedy.
                                   Tom Harkin.
                                   Jeff Bingaman.
                                   Patty Murray.
                                   Chris Dodd.
                                   Barbara A. Mikulski.
                                   Paul Wellstone.
                                   Jack Reed.

                      XI. 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):

EDUCATIONAL OPPORTUNITIES ACT

           *       *       *       *       *       *       *


Sec. 1. Short title; table of contents.
Sec. 2. References.
Sec. 3. Short title; purpose; definitions.

       TITLE I--HELPING DISADVANTAGED CHILDREN MEET HIGH STANDARDS

Sec. 101. Policy and purpose.
Sec. 102. Authorization of appropriations.
Sec. 103. Reservation and allocation for school improvement.

                         Part A--Basic Programs

Sec. 111. State plans.
Sec. 112. Local educational agency plans.
Sec. 113. Eligible school attendance areas.
Sec. 114. Schoolwide programs.
Sec. 115. Targeted assistance schools.
Sec. 116. Pupil safety and family school choice.
Sec. 117. Assessment and local educational agency and school 
          improvement.
Sec. 118. Assistance for school support and improvement.
Sec. 119. Parental involvement.
Sec. 120. Professional development.
Sec. 120A. Participation of children enrolled in private schools.
Sec. 120B. Early childhood education.
Sec. 120C. Allocations.
Sec. 120D. Establishment of the child centered program.

               Part B--Even Start Family Literacy Programs

Sec. 121. Even start family literacy programs.

                 Part C--Education of Migratory Children

Sec. 131. Program purpose.
Sec. 132. State application.
Sec. 133. Comprehensive plan.
Sec. 134. Coordination.

                       Part D--Parental Assistance

Sec. 141. Parental assistance.

 Part E--General Provisions; Comprehensive School Reform; Assistance To 
                     Address School Dropout Problems

Sec. 151. General provisions; comprehensive school reform; assistance to 
          address school dropout problems.

             TITLE II--PROFESSIONAL DEVELOPMENT FOR TEACHERS

Sec. 201. Teacher quality.
Sec. 202. Leadership education and development program.
Sec. 203. Reading excellence.
Sec. 204. National Writing Project.
Sec. 205. General provisions.
Sec. 206. New century program and digital education content 
          collaborative.
Sec. 207. Conforming amendments.

                    TITLE III--ENRICHMENT INITIATIVES

Sec. 301. Enrichment initiatives.
Sec. 302. Dissemination of advanced placement information.

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

Sec. 401. Amendment to the Elementary and Secondary Education Act of 
          1965.
Sec. 402. Gun-free requirements.
Sec. 403. School safety and violence prevention.
Sec. 404. Background checks.
Sec. 405. Constitutionality of memorial services and memorials at public 
          schools.
Sec. 406. Environmental tobacco smoke.

              TITLE V--EDUCATIONAL OPPORTUNITY INITIATIVES

Sec. 501. Educational opportunity initiatives.

                      Part A--Technology Education

Sec. 511. Technology education.

            Part B--Women's Educational Equity; Star Schools

Sec. 521. Women's educational equity.
Sec. 522. Star schools.

                    Part C--Magnet Schools Assistance

Sec. 531. Magnet schools assistance.

                     Part D--Public Charter Schools

Sec. 541. Public charter schools.

   Part E--Civic Education; FIE; Ellender Fellowships; Ready-to-Learn 
                Television; Inexpensive Book Distribution

Sec. 551. Civic education; FIE; Ellender Fellowships; Ready-to-Learn 
          Television; Inexpensive Book Distribution.

                     TITLE VI--INNOVATIVE EDUCATION

Sec. 601. Innovative education.

                     TITLE VII--BILINGUAL EDUCATION

Sec. 701. Purpose.
Sec. 702. Authorization of appropriations.
Sec. 703. Repeal of program development and implementation grants.
Sec. 704. Program enhancement projects.
Sec. 705. Comprehensive school and systemwide improvement grants.
Sec. 706. Repeal of systemwide improvement grants.
Sec. 707. Applications.
Sec. 708. Repeal of intensified instruction.
Sec. 709. Repeal of subgrants, priority, and coordination provision.
Sec. 710. Evaluations.
Sec. 711. Research.
Sec. 712. Academic excellence awards.
Sec. 713. State grant program.
Sec. 714. National Clearinghouse.
Sec. 715. Instructional materials development.
Sec. 716. Training for all teachers program.
Sec. 717. Graduate fellowships.
Sec. 718. Repeal of program requirements.
Sec. 719. Program evaluations.
Sec. 720. Special rule.
Sec. 721. Repeal of finding relating to foreign language assistance.
Sec. 722. Foreign language assistance applications.
Sec. 723. Emergency immigrant education purpose.
Sec. 724. Emergency immigrant education State administrative costs.
Sec. 725. Conforming amendment.
Sec. 726. Emergency immigrant education authorization of appropriations.
Sec. 727. Coordination and reporting requirements.

                         TITLE VIII--IMPACT AID

Sec. 801. Short title.
Sec. 802. Purpose.
Sec. 803. Payments relating to Federal acquisition of real property.
Sec. 804. Payments for eligible federally connected children.
Sec. 805. Sudden and substantial increases in attendance of military 
          dependents.
Sec. 806. School construction and facility modernization.
Sec. 807. State consideration of payments in providing State aid.
Sec. 808. Federal administration.
Sec. 809. Administrative hearings and judicial review.
Sec. 810. Forgiveness of overpayments.
Sec. 811. Definitions.
Sec. 812. Authorization of appropriations.

     TITLE IX--INDIAN, NATIVE HAWAIIAN, AND ALASKA NATIVE EDUCATION

Sec. 901. Programs.
Sec. 902. Conforming amendments.

                       TITLE X--GENERAL PROVISIONS

Sec. 10001. Uniform provisions.
Sec. 10002. Evaluations.
Sec. 10003. America's Education Goals.
Sec. 10004. America's Education Goals Panel.
Sec. 10005. Comprehensive regional assistance centers.
Sec. 10006. Repeals.

                   TITLE XI--AMENDMENTS TO OTHER LAWS

                             Part A--Repeals

Sec. 11101. Goals 2000: Educate America Act.
Sec. 11102. Higher Education Amendments of 1998.

            Part B--Education for Homeless Children and Youth

Sec. 11201. Statement of policy.
Sec. 11202. Grants for State and local activities.
Sec. 11203. Local educational agency grants.
Sec. 11204. Secretarial responsibilities.
Sec. 11205. Definitions.
Sec. 11206. Authorization of appropriations.

             Part C--Albert Einstein Distinguished Educators

Sec. 11301. Albert Einstein Distinguished Educator Act of 1994.

SECTION 1. [20 U.S.C. 6301 NOTE] [TABLE OF CONTENTS] SHORT TITLE.

           *       *       *       *       *       *       *


SEC. 2. PURPOSE

    It is the purpose of this Act to support programs and 
activities that will improve the Nation's schools and enable 
all children to achieve high standards.

SEC. 3. DEFINITIONS.

    Except as otherwise provided, in this Act:
          (1) Average daily attendance.--
                  (A) In general.--Except as provided otherwise 
                by State law or this paragraph, the term 
                ``average daily attendance'' means--
                          (i) the aggregate number of days of 
                        attendance of all students during a 
                        school year; divided by
                          (ii) the number of days school is in 
                        session during such school year.
                  (B) Conversion.--The Secretary shall permit 
                the conversion of average daily membership (or 
                other similar data) to average daily attendance 
                for local educational agencies in States that 
                provide State aid to local educational agencies 
                on the basis of average daily membership or 
                such other data.
                  (C) Special rule.--If the local educational 
                agency in which a child resides makes a tuition 
                or other payment for the free public education 
                of the child in a school located in another 
                school district, the Secretary shall, for 
                purposes of this Act--
                          (i) consider the child to be in 
                        attendance at a school of the agency 
                        making such payment; and
                          (ii) not consider the child to be in 
                        attendance at a school of the agency 
                        receiving such payment.
                  (D) Children with disabilities.--If a local 
                educational agency makes a tuition payment to a 
                private school or to a public school of another 
                local educational agency for a child with a 
                disability, as defined in section 602 of the 
                Individuals with Disabilities Education Act, 
                theSecretary shall, for the purposes of this 
Act, consider such child to be in attendance at a school of the agency 
making such payment.
          (2) Average per-pupil expenditure.--The term 
        ``average per-pupil expenditure'' means, in the case of 
        a State or of the United States--
                  (A) without regard to the source of funds--
                          (i) the aggregate current 
                        expenditures, during the third fiscal 
                        year preceding the fiscal year for 
                        which the determination is made (or, if 
                        satisfactory data for that year are not 
                        available, during the most recent 
                        preceding fiscal year for which 
                        satisfactory data are available) of all 
                        local educational agencies in the State 
                        or, in the case of the United States 
                        for all States (which, for the purpose 
                        of this paragraph, means the 50 States 
                        and the District of Columbia); plus
                          (ii) any direct current expenditures 
                        by the State for the operation of such 
                        agencies; divided by
                  (B) the aggregate number of children in 
                average daily attendance to whom such agencies 
                provided free public education during such 
                preceding year.
          (3) Child.--The term ``child'' means any person 
        within the age limits for which the State provides free 
        public education.
          (4) Community-based organization.--The term 
        ``community-based organization'' means a public or 
        private nonprofit organization of demonstrated 
        effectiveness that--
                  (A) is representative of a community or 
                significant segments of a community; and
                  (B) provides educational or related services 
                to individuals in the community.
          (5) Consolidated local application.--The term 
        ``consolidated local application'' means an application 
        submitted by a local educational agency pursuant to 
        section 6505.
          (6) Consolidated local plan.--The term ``consolidated 
        local plan'' means a plan submitted by a local 
        educational agency pursuant to section 6505.
          (7) Consolidated state application.--The term 
        ``consolidated State application'' means an application 
        submitted by a State educational agency pursuant to 
        section 6502.
          (8) Consolidated state plan.--The term ``consolidated 
        State plan'' means a plan submitted by a State 
        educational agency pursuant to section 14302.
          (9) County.--The term ``county'' means one of the 
        divisions of a State used by the Secretary of Commerce 
        in compiling and reporting data regarding counties.
          (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 D);
                  (D) Subpart 2 of part A of title V;
                  (E) part A of title IV (other than section 
                4114); and
                  (F) title VI.
          (11) The term ``current expenditures'' means 
        expenditures for free public education--
                  (A) including expenditures for 
                administration, instruction, attendance and 
                health services, pupil transportation services, 
                operation and maintenance of plant, fixed 
                charges, and net expenditures to cover deficits 
                for food services and student body activities; 
                but
                  (B) not including expenditures for community 
                services, capital outlay, and debt service, or 
                any expenditures made from funds received under 
                title I and title VI.
          (12) Department.--The term ``Department'' means the 
        Department of Education.
          (13) Educational service agency.--The term The term 
        ``educational service agency'' means a regional public 
        multi service agency authorized by State statute to 
        develop, manage, and provide services or programs to 
        local educational agencies.
          (14) Elementary school.--The term ``elementary 
        school'' means a nonprofit institutional day or 
        residential school, including a public elementary 
        charter school, that provides elementary education, as 
        determined under State law.
          (15) Free public education.--The term ``free public 
        education'' means education that is provided--
                  (A) at public expense, under public 
                supervision and direction, and without tuition 
                charge; and
                  (B) as elementary school or secondary school 
                education as determined under applicable State 
                law, except that such term does not include any 
                education provided beyond grade 12.
          (16) Gifted and talented.--The term ``gifted and 
        talented'', when used with respect to students, 
        children or youth, means students, children or youth 
        who give evidence of high performance capability in 
        areas such as intellectual, creative, artistic, or 
        leadership capacity, or in specific academic fields, 
        and who require services or activities not ordinarily 
        provided by the school in order to fully develop such 
        capabilities.
          (17) Institution of higher education.--The term 
        ``institution of higher education'' has the meaning 
        given the term in section 101 of the Higher Education 
        Act of 1965.
          (18) Local educational agency.--
                  (A) In general.--The term ``local educational 
                agency'' means a public board of education or 
                other public authority legally constituted 
                within a State for either administrative 
                control or direction of, or to perform a 
                service function for, public elementary schools 
                or secondary schools in a city, county, 
                township, school district, or other political 
                subdivision of a State, or for such combination 
                of school districtsor counties as are 
recognized in a State as an administrative agency for the State's 
public elementary or secondary schools.
                  (B) Administrative control and direction.--
                The term includes any other public institution 
                or agency having administrative control and 
                direction of a public elementary or secondary 
                school.
                  (C) BIA schools.--The term includes an 
                elementary school or secondary school funded by 
                the Bureau of Indian Affairs but only to the 
                extent that such inclusion makes such school 
                eligible for programs for which specific 
                eligibility is not provided to such school in 
                another provision of law and such school does 
                not have a student population that is smaller 
                than the student population of the local 
                educational agency receiving assistance under 
                this Act with the smallest student population, 
                except that such school shall not be subject to 
                the jurisdiction of any State educational 
                agency other than the Bureau of Indian Affairs.
          (19) Mentoring.--The term ``mentoring'' means a 
        program in which an adult works with a child or youth 
        on a 1-to-1 basis, establishing a supportive 
        relationship, providing academic assistance, and 
        introducing the child or youth to new experiences that 
        enhance the child or youth's ability to excel in school 
        and become a responsible citizen.
          (20) Other staff.--The term ``other staff'' means 
        pupil services personnel, librarians, career guidance 
        and counseling personnel, education aides, and other 
        instructional and administrative personnel.
          (21) Outlying area.--The term ``outlying area'' means 
        the United States Virgin Islands, Guam, American Samoa, 
        the Commonwealth of the Northern Mariana Islands, and 
        for the purpose of section 1121 and any other 
        discretionary grant program under this Act, the 
        Republic of the Marshall Islands, the Federated States 
        of Micronesia, and the Republic of Palau.
          (22) Parent.--The term ``parent'' includes a legal 
        guardian or other person standing in loco parentis.
          (23) Parental involvement.--The term ``parental 
        involvement'' means the participation of parents on all 
        levels of a school's operation, including all of the 
        activities described in section 1118.
          (24) Public telecommunications entity.--The term 
        ``public telecommunication entity'' has thesame meaning 
given to such term in section 397 of the Communications Act of 1934.
          (25) Pupil services personnel; pupil services.--
                  (A) Pupil services personnel.--The term 
                ``pupil services personnel'' means school 
                counselors, school social workers, school 
                psychologists, and other qualified professional 
                personnel involved in providing assessment, 
                diagnosis, counseling, educational, 
                therapeutic, and other necessary services 
                (including related services as such term is 
                defined in section 602 of the Individuals with 
                Disabilities Education Act) as part of a 
                comprehensive program to meet student needs.
                  (B) Pupil services.--The term ``pupil 
                services'' means the services provided by pupil 
                services personnel.
          (26) Research-based.--The term ``research-based'' 
        used with respect to an activity or a program, means an 
        activity based on specific strategies and 
        implementation of such strategies that, based on 
        theory, research and evaluation, are effective in 
        improving student achievement and performance and other 
        program objectives.
          (27) Secondary school.--The term ``secondary school'' 
        means a nonprofit institutional day or residential 
        school, including a public secondary charter school, 
        that provides secondary education, as determined under 
        State law, except that such term does not include any 
        education beyond grade 12.
          (28) Secretary.--The term ``Secretary'' means the 
        Secretary of Education.
          (29) State.--The term ``State'' means each of the 50 
        States, the District of Columbia, the Commonwealth of 
        Puerto Rico, and each of the outlying areas.
          (30) State educational agency.--The term ``State 
        educational agency'' means the agency primarily 
        responsible for the State supervision of public 
        elementary schools and secondary schools.
          (31) Technology.--The term ``technology'' means the 
        latest state-of-the-art technology products and 
        services, such as closed circuit television systems, 
        educational television or radio programs and services, 
        cable television, satellite, copper fiber optic 
        transmission, computer hardware and software, video and 
        audio laser and CD-ROM disks, video and audio tapes, 
        including interactive forms of such products and 
        services, or other technologies.

[SEC. 1001. [20 U.S.C. 6301] DECLARATION OF POLICY AND STATEMENT OF 
                    PURPOSE.

    [(a) Statement of Policy.--
          [(1) In general.--The Congress declares it to be the 
        policy of the United States that a high-quality 
        education for all individuals and a fair and equal 
        opportunity to obtain that education are a societal 
        good, are a moral imperative, and improve the life of 
        every individual, because the quality of our individual 
        lives ultimately depends on the quality of the lives of 
        others.
          [(2) Additional policy.--The Congress further 
        declares it to be the policy of the United States to 
        expand the program authorized by this title over the 
        fiscal year 1996 through 1999 by increasing funding for 
        this title by at least $750,000,000 over baseline each 
        fiscal year and thereby increasing the percentage of 
        eligible children served in each fiscal year with the 
        intent of serving all eligible children by fiscal year 
        2004.
    [(b) Recognition of Need.--The Congress recognizes that--
          [(1) although the achievement gap between 
        disadvantage children and other children has been 
        reduced by half over the past two decades, a sizable 
        gap remains, and many segments of our society lack the 
        opportunity to become well educated;
          [(2) the most urgent need for educational 
        improvements is in schools with high concentrations of 
        children from low-income families and achieving the 
        National Education Goals will not be possible without 
        substantial improvements in such schools;
          [(3) educational needs are particularly great for 
        low-achieving children in our Nation's highest-poverty 
        schools, children with limited English proficiency, 
        children of migrant workers, children with 
        disabilities, Indian children, children who are 
        neglected or delinquent, and young children and their 
        parents who are in need of family-literacy services;
          [(4) while title I and other programs funded under 
        this Act contribute to narrowing the achievement gap 
        between children in high-poverty and low-poverty 
        schools, such programs need to become even more 
        effective in improving schools in order to enable all 
        children to achieve high standards; and
          [(5) in order for all students to master challenging 
        standards in core academic subjects as described in the 
        third National Education Goal described in section 
        102(3) of the goals 2000: Educate America Act, students 
        and schools will need to maximize the time spent on 
        teaching and learning the core academic subjects.
    [(c) What Has Been Learned Since 1988.--To enable schools 
to provide all children a high-quality education, this title 
builds upon the following learned information:
          [(1) All children can master challenging content and 
        complex problem-solving skills. Research clearly shows 
        that children, including low-achieving children, can 
        succeed when expectations are high and all children are 
        given the opportunity to learn challenging material.
          [(2) Conditions outside the classroom such as hunger, 
        unsafe living conditions, homelessness, unemployment, 
        violence inadequate health care, child abuse, and drug 
        and alcohol abuse can adversely affect children's 
        academic achievement and must be addressed through the 
        coordination of services, such as health and social 
        services, in order for the Nation to meet the National 
        Education Goals.
          [(3) Use of low-level tests that are not aligned with 
        schools' curricula fails to provide adequate 
        information about what children know and can do and 
        encourages curricula and instruction that focus on the 
        low-level skills measured by such tests.
          [(4) Resources are more effective when resources are 
        used to ensure that children have full access to 
        effective high-quality regular school programs and 
        receive supplemental help through extended-time 
        activities.
          [(5) Intensive and sustained professional development 
        for teachers and other school staff, focused on 
        teaching and learning and on helping children attain 
        high standards, is too often not provided.
          [(6) Insufficient attention and resources are 
        directed toward effective use of technology in schools 
        and the role technology can play in professional 
        development and improved teaching and learning.
          [(7) All parents can contribute to their children's 
        success by helping at home and becoming partners with 
        teachers so that children can achieve high standards.
          [(8) Decentralized decisionmaking is a key ingredient 
        of systemic reform. Schools need the resources, 
        flexibility, and authority to design and implement 
        effective strategies for bringing their children to 
        high levels of performance.
          [(9) Opportunities for students to achieve high 
        standards can be enhanced through a variety of 
        approaches such as public school choice and public 
        charter schools.
          [(10) Attention to academics alone cannot ensure that 
        all children will reach high standards. The health and 
        other needs of children that affect learning are 
        frequently unmet, particularly in high-poverty schools, 
        thereby necessitating coordination of services to 
        better meet children's needs.
          [(11) Resources provided under this title can be 
        better targeted on the highest-poverty local 
        educational agencies and schools that have children 
        most in need.
          [(12) Equitable and sufficient resources, 
        particularly as such resources relate to the quality of 
        the teaching force, have an integral relationship to 
        high student achievement.
    [(d) Statement of Purpose.--The purpose of this title is to 
enable schools to provide opportunities for children served to 
acquire the knowledge and skills contained in the challenging 
State content standards and to meet the challenging State 
performance standards developed for all children. This purpose 
shall be accomplished by--
          [(1) ensuring high standards for all children and 
        aligning the efforts of States, local educational 
        agencies, and schools to help children served under 
        this title to reach such standards;
          [(2) providing children an enriched and accelerated 
        educational program, including, when appropriate, the 
        use of the arts, through schoolwide programs or through 
        additional services that increase the amount and 
        quality of instructional time so that children served 
        under this title receive at least the classroom 
        instruction that other children receive;
          [(3) promoting schoolwide reform and ensuring access 
        of children (from the earliest grades) to effective 
        instructional strategies and challenging academic 
        content that includes intensive complex thinking and 
        problem-solving experiences;
          [(4) significantly upgrading the quality of 
        instruction by providing staff in participating schools 
        with substantial opportunities for professional 
        development;
          [(5) coordinating services under all parts of this 
        title with each other, with other educational services, 
        and, to the extent feasible, with health and social 
        service programs funded from other sources;
          [(6) affording parents meaningful opportunities to 
        participate in the education of their children at home 
        and at school;
          [(7) distributing resources, in amounts sufficient to 
        make a difference, to areas and schools where needs are 
        greatest;
          [(8) improving accountability, as well as teaching 
        and learning, by using State assessment systems 
        designed to measure how well children served under this 
        title are achieving challenging State student 
        performance standards expected of all children; and
          [(9) providing greater decisionmaking authority and 
        flexibility to schools and teachers in exchange for 
        greater responsibility for students performance.]

SEC. 1001. STATEMENT OF PURPOSE.

    The purpose of this title is to enable schools to provide 
opportunities for children served under this title to acquire 
the knowledge and skills contained in the challenging State 
content standards and to meet the challenging State student 
performance standards developed for all children. This purpose 
should be accomplished by--
          (1) ensuring high standards for all children and 
        aligning the efforts of States, local educational 
        agencies, and schools to help children served under 
        this title to reach such standards;
          (2) providing children an enriched and accelerated 
        educational program, including the use of schoolwide 
        programs or additional services that increase the 
        amount and quality of instructional time so that 
        children served under this title receive at least the 
        classroom instruction that other children receive;
          (3) promoting schoolwide reform and ensuring access 
        of children (from the earliest grades, 
includingprekindergarten) to effective instructional strategies and 
challenging academic content that includes intensive complex thinking 
and problem-solving experiences;
          (4) significantly elevating the quality of 
        instruction by providing staff in participating schools 
        with substantial opportunities for professional 
        development;
          (5) coordinating services under all parts of this 
        title with each other, with other educational services, 
        and to the extent feasible, with other agencies 
        providing services to youth, children, and families 
        that are funded from other sources;
          (6) affording parents substantial and meaningful 
        opportunities to participate in the education of their 
        children at home and at school;
          (7) distributing resources in amounts sufficient to 
        make a diffference to local educational agencies and 
        schools where needs are greatest;
          (8) improving and strengthening accountability, 
        teaching, and learning by using State assessment 
        systems designed to measure how well children served 
        under this title are achieving challenging State 
        student performance standards expected of all children; 
        and
          (9) providing greater decisionmaking authority and 
        flexibility to schools and teachers in exchange for 
        greater responsibility for student performance.

SEC. 1002 [20 U.S.C. 6302] AUTHORIZATION OF APPROPRIATIONS.

    (a) Local Educational Agency Grants.--For the purpose of 
carrying out part A, other than section 1120(e), there are 
authorized to be appropriated [$7,400,000,000 for fiscal year 
1995] $15,000,000,000 for fiscal year 2001 and such sums as may 
be necessary for each of the four succeeding fiscal years.
    (b) Even Start.--For the purpose of carrying out part B, 
there are authorized to be appropriated [$118,000,000 for 
fiscal year 1995] $500,000,000 for fiscal year 2001 and such 
sums as may be necessary for each of the four succeeding fiscal 
years.
    (c) Education of Migratory Children.--For the purpose of 
carrying out part C, there are authorized to be appropriated 
[$310,000,000 for fiscal year 1995] $400,000,000 for fiscal 
year 2001 and such sums as may be necessary for each of the 
four succeeding fiscal years.
    [(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 year.]
    (d) Perental Assistance.--For the purpose of carrying out 
part D, there are authorized to be appropriated $50,000,000 for 
fiscal year 2001 and such sums as may be necessary for each of 
the 4 succeeding fiscal years.
    [(e) Capital Expenses.--For the purpose of carrying out 
section 1120(e), there are authorized to be appropriated 
$41,434,000 for fiscal year 1995 and such sums as may be 
necessary for each of the four succeeding fiscal years.]
    (e) Capital Expenses.--For the purpose of carrying out 
section 1120(e), there are authorized to be appropriated 
$15,000,000 for fiscal year 2001, $15,000,000 for fiscal year 
2002, and $5,000,000 for fiscal year 2003.
    (f) Additional Assistance for School Improvement.--For the 
purpose of providing additional needed assistance to carry out 
sections 1116 and 1117, there are authorized to be appropriated 
such sums as may be necessary for fiscal year [1996 and each of 
the three] 2001 and each of the four succeeding fiscal years.
    [(g) 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.]
    (g) Federal Activities.--
          (1) Section 1501.--For the purpose of carrying out 
        section 1501, there are authorized to be appropriated 
        $10,000,000 for fiscal year 2001 and such sums as may 
        be necessary for each of the four succeeding fiscal 
        years.
          (2) Section 1502.--For the purpose of carrying out 
        section 1502 there are authorized to be appropriated 
        $25,000,000 for fiscal year 2001 and such sums as may 
        be necessary for each of the four succeeding fiscal 
        years.
    (h) Comprehensive School Reform.--For the purpose of 
carrying out part F, there are authorized to be appropriated 
$200,000,000 for fiscal year 2001 and such sums as may be 
necessary for each of the four succeeding fiscal years.

[SEC. 1003. [20 U.S.C. 6303] 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 
        for fiscal year 1995 and each succeeding fiscal year.
          [(2) Minimum.--The total amount that may be reserved 
        by each State, other than the outlying areas, under 
        this subsection for any fiscal year, when added to 
        amounts appropriated for such fiscal year, when added 
        to amounts appropriated for such fiscal year under 
        section 1002(f) that are allocated to the State under 
        subsection (b), if any, may not be less than $200,000. 
        The total amount that may be reserved by each outlying 
        area under this subsection for any fiscal year, when 
        added to amounts appropriated for such fiscal year 
        under section 1002(f) that are allocated under 
        subsection (b) to the outlying area, if any, may not be 
        less than $25,000.
          [(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 as are necessary to make $200,000 
        available to such State.
    [(b) Additional State Allocations for School Improvement.--
From the amount appropriated under section 1002(f) for any 
fiscal year, such State shall be eligible to receive an amount 
that bears the same ratio to the amount appropriated as the 
amount allocated to the State under this part (other than 
section 1120(e)) bears to the total mount allocated to all 
States under this part (other than section 1120)e)).]

SEC. 1003. RESERVATIONS AND ALLOCATIONS FOR SCHOOL IMPROVEMENT.

    (a) Secretary's Reservation and Allocation for School 
Improvement From Amounts in Excess of $8,076,000,000.--
          (1) Reservation.--The Secretary shall reserve 50 
        percent of the amount appropriated to carry out part A 
        for fiscal year 2001 and each of the 4 succeeding 
        fiscal years that is in excess of $8,076,000,000 to 
        make allotments to States under paragraph (2).
          (2) Additional state allotments for assessment 
        development, school improvement, and academic 
        achievement awards.--
                  (A) Allotments.--The Secretary shall allot to 
                each State for a fiscal year an amount that 
                bears the same relation to the amount reserved 
                under paragraph (1) for the fiscal year as the 
                amount all local educational agencies in the 
                State received under section 1124 for the 
                fiscal year bears to the amount all local 
                educational agencies in all States received 
                under section 1124 for the fiscal year, except 
                that no State shall receive less than 0.5 
                percent of the amount reserved under paragraph 
                (1) for the fiscal year.
                  (B) Use of funds.--Funds allotted under 
                subparagraph (A) shall be used by a State to 
                carry out section 1111(b)(3), subsections (c) 
                and (d) of section 1116, and section 1117.
                  (C) Public notice and comment.--Each State 
                using funds allotted under this subsection 
                shall--
                          (i) provide the public with adequate 
                        and efficient notice of the proposed 
                        uses of the funds;
                          (ii) provide the opportunity for 
                        parents, educators, and all other 
                        interested members of the community to 
                        comment regarding the proposed uses of 
                        funds; and
                          (iii) provide the opportunity 
                        described in clause (ii in accordance 
                        with any applicable State law 
                        specifying how the comments may be 
                        received, and how the comments may be 
                        received by any member of the public.
                  (D) Definition.--For purposes of this 
                subsection, the term ``State'' means each of 
                the several States of the United States, the 
                District of Columbia, and the Commonwealth of 
                Puerto Rico.
    (b) State Reservation and Allocation for School 
Improvement.--
          (1) Payment for school improvement.--
                  (A) In general.--Except as provided in 
                paragraph (3), for fiscal year 2001 and each 
                succeeding fiscal year each State may reserve 
                for the proper and efficient performance of its 
                duties under subsections (a), (c) and (d) of 
                section 1116, and section 1117, one-half of 1 
                percent of the funds made available to the 
                State under--
                          (i) part A, except that such reserved 
                        amount shall not exceed one-half of 1 
                        percent of the funds made available to 
                        the State under part A for fiscal year 
                        2000;
                          (ii) part C of this title, and part B 
                        of title III, for the fiscal year for 
                        which the reservation is made.
                  (B) Minimum.--The total amount that may be 
                reserved by each State, other than the outlying 
                areas, under this subsection for any fiscal 
                year, when added to amounts appropriated for 
                such fiscal year under section 1002(f) that are 
                allocated to the State under paragraph (2), if 
                any, may not be less than $200,000. The total 
                amount that may be reserved by each outlying 
                area under this subsection for any fiscal year, 
                when added to amounts appropriated for such 
                fiscal year under section 1002(f) that are 
                allocated under paragraph (2) to the outlying 
                area, if any, may not be less than $25,000.
                  (C) Special rule.--If the amount reserved 
                under subparagraph (A) 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 parts A and C of this 
                title, and part C of title III, as are 
                necessary to make $200,000 available to such 
                State.
          (2) Additional state allocations for school 
        improvement.--From the amount appropriated under 
        section 102(f) for any fiscal year, each State shall be 
        eligible to receive an amount that bears the same ratio 
        to the amount appropriated as the amount allocated in 
        the State under part A (other than section 1120(e)) 
        hours to the total amount allocated to all States under 
        part A (other than section 1120(e)).

SEC. 1111. [20 U.S.C. 6311] STATE PLANS.

    (a) Plans Required.--
          (1) In general.--Any State desiring to receive a 
        grant under this part shall submit to the Secretary a 
        plan, developed in consultation with local educational 
        agencies, teachers, pupil services personnel, 
        administrators, other staff, and parents, that 
        satisfies the requirements of this section, and that is 
        coordinated with other programs under this Act, [the 
        Goals 2000: Educate America Act,] the Individuals with 
        Disabilities Education Act, the Carl D. Perkins 
        Vocational and Technical Education Act of 1998, the 
        Head Start Act, and other Acts, as appropriate, 
        consistent with section [14306] 6506.
          (2) Consolidation plan.--A State plan submitted under 
        paragraph (1) may be submitted as part of a 
        consolidation plan under section [14302] 6502.
    (b) Standards and Assessments.--
          (1) Challenging standards.--(A) * * *
          [(B) If a State has State content standards or State 
        student performance standards developed under title III 
        of the Goals 2000: Educate America Act and an aligned 
        set of assessments for all students developed under 
        such title, or, if not developed under such title, 
        adopted under another process, the State shall use such 
        standards and assessments, modified, if necessary, to 
        conform with the requirements of subparagraphs (A) and 
        (D) of this paragraph, and paragraphs (2) and (3).]
          (B) The standards described in subparagraph (A) shall 
        be the same standards that the State applies to all 
        schools and children in the State.
          [(C) If a State has not adopted State content 
        standards and State student performance standards for 
        all students, the State plan shall include a strategy 
        and schedule for developing State content standards and 
        State student performance standards for elementary and 
        secondary school children served under this part in 
        subjects as determined by the State, but including at 
        least mathematics and reading or language arts by the 
        end of the one-year period described in paragraph (6), 
        which standards shall include the same knowledge, 
        skills, and levels of performance expected of all 
        children.]
          (C) The State shall have the standards described in 
        subparagraph (A) for elementary school and secondary 
        school children served under this part in subjects 
        determined by the State that include at least 
        mathematics, and reading or language arts, and such 
        standards shall require the same knowledge, skills, and 
        levels of performance for all children.

           *       *       *       *       *       *       *

          (2) Yearly progress.--
                  (A) * * *
                  [(B) Adequate yearly progress shall be 
                defined in a manner--
                          [(i) that is consistent with 
                        guidelines established by the Secretary 
                        that result in continuous and 
                        substantial yearly improvement of each 
                        local educational agency and school 
                        sufficient to achieve the goal of all 
                        children served under this part meeting 
                        the State's proficient and advanced 
                        levels of performance, particularly 
                        economically disadvantaged and limited 
                        English proficient children; and
                          [(ii) that links progress primarily 
                        to performance on the assessments 
                        carried out under this section while 
                        permitting progress to be established 
                        in part through the use of other 
                        measures.]
                  (B) Adequate yearly progress shall be defined 
                in a manner--
                          (i) that is sufficient to achieve the 
                        goal of all children served under this 
                        part meeting the State's proficient and 
                        advanced levels of performance within 
                        10 years;
                          (ii) that results in continuous and 
                        substantial academic improvement for 
                        all students, including economically 
                        disadvantaged and limited English 
                        proficient students, except that this 
                        clause shall not apply if the State 
                        demonstrates to the Secretary that the 
                        State has an insufficient number of 
                        economically disadvantaged or limited 
                        English proficient students;
                          (iii) that is based primarily on the 
                        standards described in paragraph (1) 
                        and the assessments aligned to State 
                        standards described in paragraph (3), 
                        and shall include specific State 
                        determined yearly progress requirements 
                        in subjects and grades included in the 
                        State assessments; and
                          (iv) that is linked to performance on 
                        the assessments carried out under this 
                        section while permitting progress to be 
                        established in part through other 
                        academic indicators, whether defined in 
                        the State plan or in a State-approved 
                        local educational agency plan, such as 
                        dropout rates.

           *       *       *       *       *       *       *

                  (F) provide for--
                          (i) the participation in such 
                        assessments of all students;
                          (ii) the reasonable adaptations and 
                        accommodations for students with 
                        diverse learning needs, necessary to 
                        measure the achievement of such 
                        students relative to State content 
                        standards; [and]
                          (iii) the inclusion of limited 
                        English proficient students who shall 
                        be assessed, to the extent practicable, 
                        in the language and form most likely to 
                        yield accurate and reliable information 
                        on what such students know and can do, 
                        to determine such students' mastery of 
                        skills in subjects other than English; 
                        and
                          (iv) notwithstanding clause (iii), 
                        the assessment (using tests written in 
                        English) of reading or language arts of 
                        any student who has attended school in 
                        the United States (excluding the 
                        Commonwealth of Puerto Rico) for 3 or 
                        more consecutive years for the purpose 
                        of school accountability;

           *       *       *       *       *       *       *

                  [(H) provide individual student interpretive 
                and descriptive reports, which shall include 
                scores, or other information on the attainment 
                of student performance standards; and]
                  (H) provide individual student interpretive 
                and descriptive reports, which shall include 
                scores or other information on the attainment 
                of student performance standards, such as 
                measures of student course work over time, 
                student attendance rates, student dropout 
                rates, and student participation in advanced 
                level courses;

           *       *       *       *       *       *       *

          (5) Language assessments.--Each State plan shall 
        indentify the languages other than English that are 
        present in the participating student population and 
        indicate the languages for which yearly student 
        assessments are not available and are needed. The State 
        shall make every effort to develop such assessments and 
        may request assistance from the Secretary if 
        linguistically accessible assessment measures are 
        needed. Upon request, the Secretary shall assist with 
        the identification of appropriate assessment measures 
        in the needed languages [through the Office of 
        Bilingual Education and Minority Languages Affairs], 
        but shall not mandate a specific assessment or mode of 
        instruction

           *       *       *       *       *       *       *

    (c) Other Provisions To Support Teaching and Learning.--
Each State plan shall contain assurances that--
          (1)(A) * * *
          (B) the State educational agency will work with other 
        agencies, including educational service agencies or 
        other local consortia, and institutions to provide 
        technical assistance to local educational agencies and 
        schools to carry out the State educational agency's 
        responsibilities under this part, including technical 
        assistance in providing professional development under 
        section [1119 and] 1119, technical assistance under 
        section 1117, and parental involvement under section 
        1118; and

           *       *       *       *       *       *       *

          (5) the State educational agency will inform the 
        Secretary and the public regarding how Federal laws 
        hinder, if at all, the ability of States to hold local 
        educational agencies and schools accountable for 
        student academic performance;
          (6) the State educational agency will inform the 
        Secretary and the public regarding how the State 
        educational agency is reducing, if necessary, State 
        fiscal, accounting, and other barriers to local school 
        and school district reform, including barriers to 
        implementing schoolwide programs;
          (7) the State educational agency will inform local 
        educational agencies of the local educational agencies' 
        ability to obtain waivers under part F of title VI and, 
        if the State is an Ed-Flex Partnership State, waivers 
        under the Educational Flexibility Partnership Act of 
        1999 (20 U.S.C. 5891a et seq.);
          [(5)] (8) the Committee of Practitioners established 
        under section 1603(b) will be substantially involved in 
        the development of the plan and will continue to be 
        involved in monitoring the plan's implementation by the 
        State; and
          [(6)] (9) the State will coordinate activities funded 
        under this part with school-to-work, vocational 
        education, cooperative education and mentoring 
        programs, and apprenticeship programs involving 
        business, labor, and industry, as appropriate.]
          (9) the State will coordinate activities funded under 
        this part with other Federal activities as appropriate.
    (d) Parental Involvement.--Each State plan shall 
demonstrate that the State will support, in collaboration with 
the regional educational laboratories, the collection and 
dissemination to local educational agencies and schools of 
effective parental involvement practices. Such practices 
shall--
          (1) be based on the most current research of 
        effective parental involvement that fosters achievement 
        to high standards for all children; and
          (2) be geared toward lowering barriers to greater 
        participation in school planning, review, and 
        improvement experienced by parents.
    [(d)] (e) Peer Review and Secretarial Approval.--
          (1) In general.--The Secretary shall--
                  (A) establish a peer review process to assist 
                in the review and recommendations for revision 
                of State plans;
                  (B) appoint individuals to the peer review 
                process who are representative of State 
                educational agencies, local educational 
                agencies, teachers, and parents, and who are 
                familiar with educational standards, 
                assessments, accountability, and other diverse 
                educational needs of students;

           *       *       *       *       *       *       *

    [(e)] (f) Duration of the Plan.--

           *       *       *       *       *       *       *

    [(f)] (g) Limitation on Conditions.--Nothing in this part 
shall be construed to authorize an officer or employee of the 
Federal Government to mandate, direct, or control a State, 
local educational agency, or school's specific instructional 
content or student performance standards and assessments, 
curriculum, or program of instruction, as a condition of 
eligibility to receive funds under this part.
    [(g)] (h) Special Rule.--If the aggregate State expenditure 
by a State educational agency for the operation of elementary 
and secondary education programs in the State is less than such 
agency's aggregate Federal expenditure for the State operation 
of all Federal elementary and secondary education programs, 
then the State plan shall include assurances and specific 
provisions that such State will provide State expenditures for 
the operation of elementary and secondary education programs 
equal to or exceeding the level of Federal expenditures for 
such operation by October 1, [1998] 2005.
    (i) Privacy.--Information collected under this section 
shall be collected and disseminated in a manner that protects 
the privacy of individuals.

SEC. 1112. [20 U.S.C. 6312] LOCAL EDUCATIONAL AGENCY PLANS.

    (a) Plans Required.--
          (1) Subgrants.--A local educational agency may 
        receive a subgrant under this part for any fiscal year 
        only if such agency has on file with the State 
        educational agency a plan, approved by the State 
        educational agency, that is coordinated with other 
        programs under this Act, [the Goals 2000: Educate 
        America Act, and other Acts, as appropriate, as 
        specified in section 14306] the Individuals with 
        Disabilities Education Act, the Carl D. Perkins 
        Vocational and Technical Education Act of 1998, the 
        Head Start Act, and other Acts, as appropriate.
          (2) Consolidated application.--The plan may be 
        submitted as part of a consolidated application under 
        section [4304] 6504.
    (b) Plan Provisions.--Each local educational agency plan 
shall include--

           *       *       *       *       *       *       *

          (3) a description of the strategy the local 
        educational agency will use to provide professional 
        development for teachers, and, where appropriate, pupil 
        services personnel, administrators, parents and other 
        staff, including local educational agency level staff 
        in accordance with section 1119, which strategy shall 
        be coordinated with activities under title II if the 
        local educational agency receives funds under title II;
          (4) * * *
                  (A) Even Start, Head Start, and other 
                preschool programs, including plans for the 
                transition of participants in such programs to 
                local elementary school [programs, vocational] 
                programs and vocational education programs[, 
                and school-to-work transition programs]; and
                  (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;

           *       *       *       *       *       *       *

          [(9) where appropriate, a description of how the 
        local educational agency will use funds under this part 
        to support pre-school programs for children, 
        particularly children participating in a Head Start or 
        Even Start program, which services may be provided 
        directly by the local educational agency or through a 
        subcontract with the local Head Start agency designated 
        by the Secretary of Health and Human Services under 
        section 641 of the Head Start Act, agencies operating 
        Even Start programs, or another comparable public early 
        childhood development program.]
          (9) where appropriate, a description of how the local 
        educational agency will use funds under this part to 
        support early childhood educational programs under 
        section 1120B.
    [(c) Assurances.--
          [(1) In general.--Each local educational agency plan 
        shall provide assurances that the local educational 
        agency will--
                  [(A) inform eligible schools and parents of 
                schoolwide project authority;
                  [(B) provide technical assistance and support 
                to schoolwide programs;
                  [(C) work in consultation with schools as the 
                schools develop the school's plans pursuant to 
                section 1114 and assist schools as the schools 
                implement such plans or undertake activities 
                pursuant to section 1115 so that each school 
                can make adequate yearly progress toward 
                meeting the State content standards and State 
                student performance standards;
                  [(D) fulfill such agency's school improvement 
                responsibilities under section 1116, including 
                taking corrective actions under section 
                1116(c)(4);
                  [(E) coordinate and collaborate, to the 
                extent feasible and necessary as determined by 
                the local educational agency, with other 
                agencies providing services to children, youth, 
                and families, including health and social 
                services;
                  [(F) provide services to eligible children 
                attending private elementary and secondary 
                schools in accordance with section 1120, and 
                timely and meaningful consultation with private 
                school officials regarding such services;
                  [(G) take into account the experience of 
                model programs for the educationally 
                disadvantaged, and the findings of relevant 
                research indicating that services may be most 
                effective if focused on students in the 
                earliest grades at schools that receive funds 
                under this part; and
                  [(H) beginning in fiscal year 1997 and in the 
                case that a local educational agency chooses to 
                use funds under this part to provide early 
                childhood development services to low-income 
                children below the age of compulsory school 
                attendance, ensure that such services comply 
                with the performance standards established 
                under section 641A(a) of the Head Start Act or 
                under section 651 of such Act, as such section 
                651 was in effect on the day preceding the date 
                of enactment of the Human Service Amendments of 
                1994.
          [(2) Special rule.--In carrying out subparagraph (H) 
        of paragraph (1) the Secretary--
                  [(A) in fiscal year 1995, shall consult with 
                the Secretary of Health and Human Services on 
                the implementation of such subparagraph and 
                shall establish procedures (taking into 
                consideration existing State and local laws, 
                and local teacher contracts) to assist local 
                educational agencies to comply with such 
                subparagraph; and
                  [(B) in fiscal year 1996, shall disseminate 
                to local educational agencies the Head Start 
                Performance Standards revised pursuant to 
                section 641A(a) of the Head Start Act, and such 
                agencies effected by such subparagraph shall 
                plan for the implementation by such subparaph 
                (taking into consideration existing State and 
                local laws, and local teachers contracts), 
                including pursuing the availability of other 
                Federal, State, and local funding sources to 
                assist in compliance with such subparagraph.
          [(3) Inapplicability.--The provisions of this 
        subsection shall not apply to preschool programs under 
        the Even Start model or to Even Start programs which 
        are expanded through the use of funds under this part.]
    (c) Assurances.--Each local educational agency plan shall 
provide assurances that the local educational agency will--
         (1) inform eligible schools and parents of schoolwide 
        project authority;
         (2) provide technical assistance and support to 
        schoolwide programs;
         (3) work in consultation with schools as the schools 
        develop the schools' plans pursuant to section 1114 and 
        assist schools as the schools implement such plans or 
        under take activities pursuant to section 1115 so that 
        each school can make adequate yearly progress toward 
        meeting the State content standards and State student 
        performance standards;
         (4) fulfill such agency's school improvement 
        responsibilities under section 1116, including taking 
        corrective actions under section 1116(c)(5);
         (5) work in consultation with schools as the schools 
        develop and implement their plans or activities under 
        sections 1118 and 1119;
         (6) coordinate and collaborate, to the extent feasible 
        and necessary as determined by the local educational 
        agency, with other agencies providing services to 
        children, youth, and families, including health and 
        social services;
         (7) provide services to eligible children attending 
        private elementary and secondary schools in accordance 
        with section 1120, and timely and meaningful 
        consultation with private school officials regarding 
        such services;
         (8) take into account the experience of model programs 
        for the educationally disadvantaged, and the findings 
        of relevant research indicating that services may be 
        most effective if focused on students in the earliest 
        grades at schools that receive funds under this part;
         (9) comply with the requirements of section 1119 
        regarding professional development;
         (10) inform eligible schools of the local educational 
        agency's authority to obtain waivers on the school's 
        behalf under part F of title VI, and if the State is an 
        Ed-Flex Partnership State, waivers under the Education 
        Flexibility Partnership Act of 1999; and
         (11) coordinate and collaborate, to the extent 
        feasible and necessary as determined by the local 
        educational agency, with other agencies providing 
        services to children, youth, and families.

           *       *       *       *       *       *       *

    (e) State Approval.--
         (1) In general.--Each local educational agency plan 
        shall be filed according to a schedule established by 
        the State educational agency[, except that a local 
        educational agency shall have not more than one year 
        after the date of enactment of the Improving America's 
        Schools Act of 1994 to have such plan provisionally 
        approved by the State educational agency and not more 
        than two years after the date of enactment of such Act 
        to have such plan finally approved by the State 
        educational agency].

           *       *       *       *       *       *       *

         (3) Review.--The State educational agency shall review 
        the local educational agency's plan to determine if 
        such agency's [professional development] activities are 
        in accordance with [section 1119] sections 1118 and 
        1119.

           *       *       *       *       *       *       *


SEC. 1113. [20 U.S.C. 6313] ELIGIBLE SCHOOL ATTENDANCE AREAS.

    (a) Determination.--
         (1) In general.-- * * *

           *       *       *       *       *       *       *

    (b) Local Educational Agency Discretion.--

           *       *       *       *       *       *       *

                 (B) use funds received under this part in a 
                school that is not in an eligible school 
                attendance area, if the percentage of children 
                from low-income families enrolled in the school 
                is equal to or greater than the percentage of 
                such children in a participating school 
                attendance area of such agency; [and]
                 (C) * * *

           *       *       *       *       *       *       *

                         (iii) the funds expended from such 
                        other sources equal or exceed the 
                        amount that would be provided under 
                        this part[.]; and
                 (D) designate and serve a school attendance 
                area or school that is not an eligible school 
                attendance area under subsection (a)(2), but 
                that was an eligible school attendance area and 
                was served in the fiscal year preceding the 
                fiscal year for which the determination is 
                made, but only for 1 additional fiscal year.

SEC. 1114. [20 U.S.C. 6314] SCHOOLWIDE PROGRAMS.

    (a) Use of Funds for Schoolwide Programs.--
          [(1) In general.--A local educational agency may use 
        funds under this part, in combination with other 
        Federal, State, and local funds, in order to upgrade 
        the entire educational program in a school described in 
        subparagraph (A) or (B) if, for the initial year of the 
        schoolwide program, the school meets either of the 
        following criteria:]
          (1) In general.--A local education agency may use 
        funds under this part, together with other Federal, 
        State, and local funds, to upgrade the entire 
        educational program of a school that serves an eligible 
        school attendance area in which not less than 40 
        percent of the children are from low-income families, 
        or not less than 40 percent of the children enrolled in 
        the school are from such families, for the initial year 
        of the schoolwide program.

           *       *       *       *       *       *       *

          (4) [Special rule.--] Exemption from statutory and 
        regulatory requirements._(A) Except as provided in 
        subsection (b), the Secretary may, through publication 
        of a notice in the Federal Register, exempt schoolwide 
        programs under this section from statutory or 
        regulatory provisions of any other noncompetitive 
        formula grant program administered by the Secretary, or 
        any discretionary grant program administered by the 
        Secretary (other than formula or discretionary grant 
        programs under the Individuals with Disabilities 
        Education Act), to support schoolwide programs, if the 
        intent and purposes of such other programs are met.

           *       *       *       *       *       *       *

          (C) A school that chooses to use funds from such 
        other programs under this sections shall not be 
        required to maintain separate fiscal accounting 
        records, by program, that identify the specific 
        activities supported by those particular funds as long 
        as the school maintains records that demonstrate that 
        the schoolwide program, considered as a whole, 
        addresses the intent and purposes of each of the 
        programs that were consolidated to support the 
        schoolwide program.

           *       *       *       *       *       *       *

    (b) Components of a Schoolwide Program.--
          (1) In general.--A schoolwide program shall include 
        the following components:
                  (A) * * *

           *       *       *       *       *       *       *

                  (B) * * *
                          (vii) are consistent with, and are 
                        designed to implement, the State and 
                        local improvement plans[, if any, 
                        approved under title III of the Goals 
                        2000: Educate America Act].

           *       *       *       *       *       *       *

                  (E) Strategies to increase parental 
                involvement[, such as family literary 
                services]. (including activities described in 
                section 1118), such as family literacy 
                services, in-school volunteer opportunities, or 
                parent membership on school-based leadership or 
                management teams.

           *       *       *       *       *       *       *

          (2) Plan.--(A) Any eligible school that desires to 
        operate a schoolwide program shall first develop (or 
        amend a plan for such a program that was in existence 
        before the date of enactment of the [Improving 
        America's Schools Act of 1994] Educational 
        Opportunities Act), in consultation with the local 
        education agency and its school support team or other 
        technical assistance provider under subsections (c)(1) 
        and (e) of section 1117, a comprehensive plan for 
        reforming the total instructional program in the school 
        that--
                  (i) * * *

           *       *       *       *       *       *       *

                  (iv) describes how the school will provide 
                individual student assessment results, 
                including an interpretation of those results in 
                a language the family can understand, to the 
                parents of a child who participates in the 
                assessment required by section 1111(b)(3);

           *       *       *       *       *       *       *

          (C) The comprehensive plan shall be--
                  (i) developed during a one-year period, 
                unless--
                          (I) * * *
                          (II) the school is operating a 
                        schoolwide program on the day preceding 
                        the date of enactment of the [Improving 
                        America's Schools Act of 1994] 
                        Educational Opportunities Act, in which 
                        case such school may continue to 
                        operate such program, but shall develop 
                        a new plan during the first year of 
                        assistance under such Act to reflect 
                        the provisions of this section;

           *       *       *       *       *       *       *

                  (v) where appropriate, developed in 
                coordination with programs under [the School-
                to-Work Opportunities Act of 1994] part C of 
                title II, the Carl D. Perkins Vocational and 
                Technical Education Act of 1998, and the 
                National and Community Service Act of 1990.

           *       *       *       *       *       *       *


SEC. 1115. [20 U.S.C. 6315] TARGETED ASSISTANCE SCHOOLS.

    (a) In General.--* * *

           *       *       *       *       *       *       *

    (b) Eligible Children.--

           *       *       *       *       *       *       *

                          (i) * * *
                          (ii) children who are not yet at a 
                        grade level where the local educational 
                        agency provides a free public 
                        education[, yet are of an age at which 
                        such children can benefit from an 
                        organized instructional program 
                        provided in a school or other 
                        educational setting].

           *       *       *       *       *       *       *

          (2) Children included.--(A)(i) * * *

           *       *       *       *       *       *       *

          (B) A child who, at any time in the two years 
        preceding the year for which the determination is made, 
        participated in a Head Start or Even Start program, or 
        in early childhood education services under this title, 
        is eligible for services under this part.
          (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.

           *       *       *       *       *       *       *

    (c) Components of a Targeted Assistance School Program.--
          (1) In general.--* * *
                  (A) * * *

           *       *       *       *       *       *       *

                  [(G) in accordance with subsection (e)(3) and 
                section 1119, provide opportunities for 
                professional development with resources 
                provided under this part, and from other 
                sources to the extent feasible, for 
                administrators and for teachers and other 
                school staff who work with participating 
                children in programs under this section or in 
                the regular education program; and]
                  (G) provide opportunities for professional 
                development with resources provided under this 
                part, and to the extent practicable, from other 
                sources, for teachers, principals, 
                administrators, paraprofessionals, pupil 
                services personnel, and parents, who work with 
                participating children in programs under this 
                section or in the regular education program; 
                and
                  (H) provide strategies to increase parental 
                involvement[, such as family literary services] 
                (including activities described in section 
                1118), such as family literacy services, in-
                school volunteer opportunities, or parent 
                membership on school-based leadership or 
                management teams.

           *       *       *       *       *       *       *


SEC. 1115B. PUPIL SAFETY AND FAMILY SCHOOL CHOICE.

    (a) In General.--If a student is eligible to be served 
under section 1115(b), or attends a school eligible for a 
schoolwide program under section 1114, and--
          (1) becomes a victim of a violent criminal offense 
        while in or on the grounds of a public elementary 
        school or secondary school that the student attends and 
        that receives assistance under this part, then the 
        local educational agency shall allow such student to 
        transfer to another public school or public charter 
        school in the same State as the school where the 
        criminal offense occurred, that is selected by the 
        student's parent unless allowing such transfer is 
        prohibited--
                  (A) under the provisions of a State or local 
                law; or
                  (B) by a local educational agency policy that 
                is approved by a local school board; or
          (2) the public school that the student attends and 
        that receives assistance under this part has been 
        designated as an unsafe public school, then the local 
        educational agency may allow such student to transfer 
        to another public school or public charter school in 
        the same State as the school where the criminal offense 
        occurred, that is selected by the student's parent.
    (b) State Educational Agency Determinations.--
          (1) The State educational agency shall determine, 
        based upon State law, what actions constitute a violent 
        criminal offense for purposes of this section.
          (2) The State educational agency shall determine 
        which schools in the State are unsafe public schools.
          (3) The Term ``unsafe public schools'' means a public 
        school that has serious crime, violence, illegal drug, 
        and discipline problems, as indicated by conditions 
        that may include high rates of--
                  (A) expulsions and suspensions of students 
                from school;
                  (B) referrals of students to alternative 
                schools for disciplinary reasons, to special 
                programs or schools for delinquent youth, or to 
                juvenile court;
                  (C) victimization of students or teachers by 
                criminal acts, including robbery, assault and 
                homicide;
                  (D) enrolled students who are under court 
                supervision for past criminal behavior;
                  (E) possession, use, sale or distribution of 
                illegal drugs;
                  (F) enrolled students who are attending 
                school while under the influence of illegal 
                drugs or alcohol;
                  (G) possession or use of guns or other 
                weapons;
                  (H) participation in youth gangs; or
                  (I) crimes against property, such as theft or 
                vandalism.
    (c) Transportation Costs.--The local educational agency 
that serves the public school in which the violent criminal 
offense occurred or that serves the designated unsafe public 
school may use funds provided under this part to provide 
transportation services or to pay the reasonable costs of 
transportation for the student to attend the school selected by 
the student's parent.
    (d) Special Rule.--Any school receiving assistance provided 
under this section shall comply with title VI of the Civil 
Rights Act of 1964 (42 U.S.C. 2000d et seq.) and not 
discriminate on the basis of race, color, or national origin.
    (e) Part B of the Individuals With Disabilities Education 
Act.--Nothing in this section shall be construed to affect the 
requirements of part B of the Individuals with Disabilities 
Education Act (20 U.S.C. 1411 et seq.).
    (f) Maximum Amount.--Notwithstanding any other provision of 
this section, the amount of assistance provided under this part 
for a student who elects a transfer under this section shall 
not exceed the per pupil expenditures for elementary or 
secondary school students as provided by the local educational 
agency that serves the school involved in the transfer.

SEC. 1116. [20 U.S.C. 6317] ASSESSMENT AND LOCAL EDUCATIONAL AGENCY AND 
                    SCHOOL IMPROVEMENT.

    [(a) Local Review.--Each local educational agency receiving 
funds under this part shall--
          [(1) use the State assessments described in the State 
        plan;
          [(2) use any additional measures or indicators 
        described in the local educational agency's plan to 
        review annually the progress of each school served 
        under this part to determine whether the school is 
        meeting, or making adequate progress as defined in 
        section 1111(b)(2)(A)(i) toward enabling its students 
        to meet the State's student performance standards 
        described in the State plan;
          [(3) publicize and disseminate to teachers and other 
        staff, parents, students, and the community, the 
        results of the annual review under paragraph (2) of all 
        schools served under this part in individual school 
        performance profiles that include statistically sound 
        disaggregated results as required by section 
        1111(b)(3)(I); and
          [(4) provide the results of the local annual review 
        to schools so that the schools can continually refine 
        the program of instruction to help all children served 
        under this part in those schools meet the State's 
        student performance standards.]
    (a) Local Review.--
          (1) In general.--Each local educational agency 
        receiving funds under this part shall--
                  (A) use the State assessments described in 
                the State plan;
                  (B) use any additional measures or indicators 
                described in the local educational agency's 
                plan to review annually the progress of each 
                school served under this part to determine 
                whether the school is meeting, or making 
                adequate progress as defined in section 
                1111(b)(2)(A)(i) toward enabling its students 
                to meet the State's student performance 
                standards described in the State plan; and
                  (C) provide the results of the local annual 
                review to schools so that the schools can 
                continually refine the program of instruction 
                to help all children served under this part in 
                those schools meet the State's student 
                performance standards.
          (2) Local reports.--(A) Following the annual review 
        specified in paragraph (1)(B), each local educational 
        agency receiving funds under this part shall prepare 
        and disseminate an annual performance report regarding 
        each school that receives funds under this part. The 
        report, at a minimum, shall include information 
        regarding--
                  (i) each school's performance in making 
                adequate yearly progress and whether the school 
                has been identified for school improvement;
                  (ii) the progress of each school in enabling 
                all students served under this part to meet the 
                State-determined levels of performance, 
                including the progress of economically 
                disadvantaged students and limited English 
                proficient students, except that this clause 
                shall not apply to a State if the State 
                demonstrates that the State has an insufficient 
                number of economically disadvantaged or limited 
                English proficient students; and
                  (iii) any other information the local 
                educational agency determines appropriate (such 
                as information on teacher quality, school 
                safety, and drop-out rates).
          (B) The local educational agency shall publicize and 
        disseminate the report to teachers and other staff, 
        parents, students, and the community. Such report shall 
        be concise and presented in a formal and manner that 
        parents can understand. The local educational agency 
        may issue individual school performance reports 
        directly to teachers and other staff, parents, 
        students, and the community, or the local educational 
        agency may publicize and disseminate the report through 
        a widely read or distributed medium, such as posting on 
        the Internet or distribution to the media.
          (C) Information collected and reported under this 
        section shall be collected and disseminated in a manner 
        that protects the privacy of individuals.
          (D) In the case of a local educational agency for 
        which the State report described in section 1116(d) 
        contains data about an individual school served by the 
        local educational agency that is equivalent to the data 
        required by this subsection, such local educational 
        agency shall not be required to prepare or distribute a 
        report regarding such school under this paragraph.

           *       *       *       *       *       *       *

    [(c) School Improvement.--
          [(1) In general.--A local educational agency shall 
        identify for school improvement any school served under 
        this part that--
                  [(A) has been in program improvement under 
                section 1020 of the elementary and Secondary 
                Education Act of 1965 (as such section was in 
                effect on the day preceding the date of 
                enactment of the Improving America's Schools 
                Act of 1994), for at least two consecutive 
                school years prior to such day;
                  [(B) has not made adequate progress as 
                defined in the State's plan under section 
                1111(b)(2)(A)(i) for two consecutive school 
                years, except that--
                          [(i) this subparagraph shall not 
                        apply to a school if almost every 
                        student in such school is meeting the 
                        State's advanced level of performance; 
                        or
                          [(ii) in the case of a targeted 
                        assistance school, such school may be 
                        reviewed on the progress of only those 
                        students that have been or are served 
                        under this part; or
                  [(C) has failed to meet the criteria 
                established by the State through the State's 
                transitional procedure under section 
                1111(b)(7)(B) for two consecutive years.
          (2) Requirement.--(A) Each school identified under 
        paragraph (1) shall--
                  [(i) in consultation with parents, the local 
                educational agency, and the school support 
                team, develop or revise a school plan in ways 
                that have the greatest likelihood of improving 
                the performance of participating children in 
                meeting the State's student performance 
                standards; and
                  [(ii) submit the plan or revised plan to the 
                local educational agency for approval.
          [(B) Before identifying a school for school 
        improvement under paragraph (1), the local educational 
        agency shall provide the school with an opportunity to 
        review the school-level data, including assessment 
        data, on which such identification is based. If the 
        school believes that such identification for school 
        improvement is in error for statistical or other 
        substantive reasons, such school may provide evidence 
        to the local educational agency to support such belief.
          [(C) During the first year immediately following such 
        identification, the school shall implement such schools 
        plan or revised plan.
          [(3) Professional development.--(A) Each school 
        identified under paragraph (1) shall, as part of the 
        school plan under paragraph (2), improve the skills of 
        its staff by providing effective professional 
        development activities. A school shall demonstrate such 
        school's compliance with this paragraph by--
                  [(i) devoting to such activities, over two 
                consecutive years, an amount equivalent to at 
                least 10 percent of the funds received by the 
                school under this part during one fiscal year; 
                or
                  [(ii) otherwise demonstrating that such 
                school is effectively carrying out professional 
                development activities.
          [(B) A school may use funds from any source to meet 
        the requirements of this subsection.
          [(C) Decisions about how to use the funds made 
        available under this part which the school makes 
        available for professional development shall be made by 
        teachers, principals, and other school staff in that 
        school.
          [(4) Technical assistance.--(A) For each school 
        identified under paragraph (1), the local educational 
        agency shall provide technical or other assistance as 
        the school develops and implements such school's plan 
        or revised plan, such as a joint plan between the local 
        educational agency and school that addresses specific 
        elements of student performance problems and that 
        specifies school and local education agency 
        responsibilities under the plan, and waivers or 
        modifications of requirements of local educational 
        agency policy or regulation that impede the ability of 
        the school to educate students.
          [(B) Such technical assistance may be provided 
        directly by the local educational agency, through 
        mechanisms authorized under section 1117, or with the 
        local educational agency's approval, by an institution 
        of higher education, a private nonprofit organization, 
        an educational service agency, a comprehensive regional 
        assistance center under part A of title XIII, or other 
        entities with experience in helping schools improve 
        achievement.
          [(5) Corrective action.--(A) Except as provided in 
        subparagraph (C), after providing technical assistance 
        pursuant to paragraph (4) and taking other remediation 
        measures, the local educational agency may take 
        corrective action at any time against a school that has 
        been identified under paragraph (1), but, during the 
        third year following identification under paragraph 
        (1), shall take such action against any school that 
        still fails to make adequate progress.
          [(B)(i) Corrective actions are those, consistent with 
        State and local law, determined and made public and 
        disseminated by the local educational agency, which may 
        include--
                  [(I) withholding funds;
                  [(II) interagency collaborative agreements 
                between the school and other public agencies to 
                provide health, counseling, and other social 
                services needed to remove barriers to learning;
                  [(III) revoking authority for a school to 
                operate a schoolwide program;
                  [(IV) decreasing decisionmaking authority at 
                the school level;
                  [(V) making alternative governance 
                arrangements such as the creation of a public 
                charter school;
                  [(VI) reconstituting the school staff; and
                  [(VII) authorizing students to transfer, 
                including transportation costs, to other public 
                schools served by the local educational agency.
          [(ii) Notwithstanding clause (i), corrective actions 
        taken pursuant to this part shall not include the 
        actions described in subclause (I), (III), (IV), (VI), 
        or (VII) of clause (i) until the State has developed 
        assessments that meet the requirements of subparagraph 
        (C) of section 1111(b)(3).
          [(C) Prior to implementing any corrective action, the 
        local educational agency may refrain from such 
        corrective action for one additional year to the extent 
        that the failure to make progress can be attributed to 
        extenuating circumstances as determined by the local 
        educational agency.
          [(D) A school that is no longer operating its 
        schoolwide program due to a corrective action may not 
        resume operation of such a program until the local 
        educational agency determines that the school has 
        adequately reformed its schoolwide program plan to 
        enable the school to make adequate progress toward 
        meeting the State's challenging student performance 
        standards.
          [(6) State educational agency responsibilities.--The 
        State educational agency shall--
                  [(A) make technical assistance under section 
                1117 available to the schools farthest from 
                meeting the State's challenging student 
                performance standards, if requested by the 
                school or local educational agency; and
                  [(B) if such agency determines that a local 
                educational agency failed to carry out the 
                local educational agency's responsibilities 
                under paragraphs (4) and (5), take such 
                corrective actions as the State educational 
                agency deems appropriate and which are in 
                compliance with State law.
          [(7) Special rule.--Schools that, for at least two of 
        the three years following identification under 
        paragraph (1), make adequate progress toward meeting 
        the State's proficient and advanced levels of 
        performance shall no longer need to be identified for 
        school improvement.]
    (c) School Improvement.--
          (1) In general.--(A) A local educational agency shall 
        identify for school improvement any school served under 
        this part that for 2 consecutive years failed to make 
        adequate yearly progress as defined in the State's plan 
        in section 1111, except that in the case of a targeted 
        assistance program under section 1115, a local 
        educational agency may review the progress of only 
        those students in such school who are served under this 
        part.
          (B) The 2 year period described in clause (i) shall 
        include any continuous period of time immediately 
        preceding the date of enactment of the Education 
        Opportunities Act, during which a school did not make 
        adequate yearly progress as defined in the State's 
        plan, as such plan was in effect on the day preceding 
        the date of such enactment.
          (C) Before identifying a school for school 
        improvement under subparagraph (A), the local 
        educational agency shall provide the school with an 
        opportunity to review the school-level data, including 
        assessment data, on which such identification is based. 
        The review period shall not exceed 30 days, and at the 
        end of the review period the local educational agency 
        shall make a final determination as to the school 
        improvement status of the school. If the school 
        believes that such identification for school 
        improvement is in error for statistical or other 
        substantive reasons, such school may provide evidence 
        to the local educational agency to support such belief.
          (2) School plan.--(A) Each school identified under 
        paragraph (1), in consultation with parents, the local 
        educational agency, and the school support team or 
        other outside experts, shall revise a school plan that 
        addresses the fundamental teaching and learning needs 
        in the school and--
                  (i) describes the specific achievement 
                problems to be solved;
                  (ii) includes research-based strategies, 
                supported with specific goals and objectives, 
                that have the greatest likelihood of improving 
                the performance of participating children in 
                meeting the State's student performance 
                standards;
                  (iii) explains how those strategies will work 
                to address the achievement problems identified 
                under clause (i);
                  (iv) addresses the need for high-quality 
                staff by setting goals for ensuring that high 
                quality professional development programs are 
                supported with funds under this part;
                  (v) addresses the professional development 
                needs of instructional staff by committing to 
                spend not less than 10 percent of the funds 
                received by the school under this part during 1 
                fiscal year for professional development, which 
                professional development shall increase the 
                content knowledge of teachers and build the 
                capacity of the teachers to align classroom 
                instruction with challenging content standards 
                and to bring all students to proficient or 
                advanced levels of performance as determined by 
                the State;
                  (vi) identifies specific goals and objectives 
                the school will undertake for making adequate 
                yearly progress, which goals and objectives 
                shall be consistent with State and local 
                standards;
                  (vii) specifies the responsibilities of the 
                school and the local educational agency, 
                including how the local educational agency will 
                hold the school accountable for, and assist the 
                school in, meeting the school's obligations to 
                provide enriched and accelerated curricula, 
                effective instructional methods, high quality 
                professional development, and timely and 
                effective individual assistance, in partnership 
                with parents; and
                  (viii) includes strategies to promote 
                effective parental involvement in the school.
          (B) The school shall submit the plan or revised plan 
        to the local educational agency for approved within 3 
        months of being identified. The local educational 
        agency shall promptly subject the plan to a review 
        process, work with the school to revise the plan as 
        necessary, and approve the plan within 1 monthof 
submission. The school shall implement the plan as soon as the plan is 
approved.
          (3) Parental notification.--Each school identified 
        under paragraph (1) shall in understandable language 
        and form, promptly notify the parents of each student 
        enrolled in the school that the school was designated 
        by the local educational agency as needing improvement 
        and provide with the notification--
                  (A) the reasons for such designation;
                  (B) information about opportunities for 
                parents to participate in the school 
                improvement process; and
                  (C) an explanation of the option afforded to 
                parents, pursuant to paragraph (6), to transfer 
                their child to another public school, including 
                a public charter school, that is not identified 
                for school improvement.
          (4) Technical assistance.--(A) For each school 
        identified for school improvement under paragraph (1), 
        the local educational agency shall provide technical 
        assistance as the school develops and implement its 
        plan. Such technical assistance shall include effective 
        methods and research-based instructional strategies.
          (B) Such technical assistance shall be designed to 
        strengthen the core academic program for the students 
        served under this part and addresses specific elements 
        of student performance problems, including problems, if 
        any, in implementing the parental involvement 
        requirements described in section 1118, the 
        professional development requirements described in 
        section 1119, and the responsibilities of the school 
        and local educational agency under the school plan.
          (5) Corrective action.--In order to help students 
        served under this part meet challenging State 
        standards, each local educational agency shall 
        implement a system of corrective action in accordance 
        with the following:
                  (A) After providing technical assistance 
                under paragraph (4), the local educational 
                agency may take corrective action at any time 
                with respect to a school that has been 
                identified under paragraph (1), but shall take 
                corrective action with respect to any school 
                that fails to make adequate yearly progress, as 
                defined by the State, at the end of the second 
                year following the school's identification 
                under paragraph (1) and shall continue to 
                provide technical assistance while instituting 
                any corrective action.
                  (B) Consistent with State and local law, in 
                the case of a school described in subparagraph 
                (A) for which corrective action is required, 
                the local educational agency shall not take 
                less than 1 of the following corrective 
                actions:
                          (i) Instituting and fully 
                        implementing a new curriculum that is 
                        based on State and local standards, 
                        including appropriate research-based 
                        professional development for all 
                        relevant staff that offers substantial 
                        promise of improving educational 
                        achievement for low-performing 
                        students.
                          (ii) Restructuring the school, such 
                        as by--
                                  (I) making alternative 
                                governance arrangements (such 
                                as the creation of a public 
                                charter school); or
                                  (II) creating schools within 
                                schools or other small learning 
                                environments.
                          (iii) Developing and implementing a 
                        joint plan between the local 
                        educational agency and the school that 
                        addresses specific elements of student 
                        performance problems and that specifies 
                        the responsibilities of the local 
                        educational agency and the school under 
                        the plan.
                          (iv) Reconstituting the school staff.
                          (v) Decreasing decisionmaking 
                        authority at the school level.
                  (C) Consistent with State and local law, in 
                the case of a school described in subparagraph 
                (A), the local educational agency may take the 
                following corrective actions:
                          (i) Deferring, reducing, or 
                        withholding funds.
                          (ii) Restructuring or abolishing the 
                        school.
                  (D) A local educational agency may delay, for 
                a period not to exceed 1 year, implementation 
                of corrective action--
                          (i) the local educational agency 
                        assesses the school's performance and 
                        determines that the school is meeting 
                        the specific State-determined yearly 
                        progress requirements in subjects and 
                        grades included in the State 
                        assessments; and
                          (ii) the school will meet the State's 
                        criteria for adequate yearly progress 
                        within 1 year;
                  (E) The local educational agency shall 
                publish, and disseminate to the public and to 
                parents, in a format and, to the extent 
                practicable, in a language that the parents can 
                understand, any corrective action the local 
                educational agency takes under this paragraph, 
                through such means as the Internet, the media, 
                and public agencies.
          (6) Public school choice.--
                  (A) School identified for improvement.--
                          (i) Schools identified on or before 
                        enactment.--Not later than 6 months 
                        after the date of the enactment of the 
                        Educational Opportunities Act, a local 
                        educational agency shall provide all 
                        students enrolled in a school 
                        identified (on or before such date of 
                        enactment) under paragraphs (1) and (5) 
                        with an option to transfer to any other 
                        public school within the local 
                        educational agency or any public school 
                        consistent with subparagraph (B), 
                        including a public charter school that 
                        has not been identified for school 
                        improvement,unless such option to 
transfer is prohibited--
                                  (I) under the provisions of a 
                                State or local law; or
                                  (II) by a local educational 
                                agency policy that is approved 
                                by a local school board.
                          (ii) Schools identified after 
                        enactment.--Not later than 6 months 
                        after the date on which a local 
                        educational agency identifies a school 
                        under paragraphs (1) and (5), the 
                        agency shall provide all students 
                        enrolled in such school with an option 
                        described in clause (i).
                  (B) Cooperative agreements.--If all public 
                schools in the local educational agency to 
                which a child may transfer are identified under 
                paragraphs (1) and (5), then the agency, to the 
                extent practicable, shall establish a 
                cooperative agreement with other local 
                educational agencies in the area for the 
                transfer, unless the transfer is prohibited 
                under--
                          (i) the provisions of a State or 
                        local law; or
                          (ii) a local educational agency 
                        policy that is approved by a local 
                        school board.
                  (C) Transportation.--
                          (i) In general--.The local 
                        educational agency in which the schools 
                        have been identified under paragraph 
                        (1) may use funds under this part to 
                        provide transportation to students 
                        whose parents choose to transfer their 
                        child or children to a different 
                        school.
                          (ii) Corrective action.--If a school 
                        has been identified under paragraph 
                        (5), the local educational agency shall 
                        provide such students transportation 
                        (or the costs of transportation) to 
                        schools not identified under paragraph 
                        (1) or (5).
                          (iii) Maximum amount.--
                        Notwithstanding any other provisions of 
                        this paragraph, the amount of 
                        assistance provided under this part for 
                        a student who elects a transfer under 
                        this paragraph shall not exceed the per 
                        pupil expenditures for elementary 
                        school or secondary school students as 
                        provided by the local educational 
                        agency that serves the school involved 
                        in the transfer.
                  (D) Continue option.--Once a school is no 
                longer identified for school improvement, the 
                local educational agency shall continue to 
                provide public school choice as an option to 
                students in such school for a period of not 
                less than 2 years.
          (7) State educational agency responsibilities.--If a 
        State educational agency determines that a local 
        educational agency failed to carry out the local 
        educational agency's responsibilities under this 
        section, the State educational agency shall take into 
        account such action as the State educational agency 
        finds necessary, consistent with this section, to 
        improve the affected schools and to ensure that the 
        local educational agency carries out the local 
        educational agency's responsibilities under this 
        section.
          (8) Special rule.--Schools that, for at least 2 of 
        the 3 years following identification under paragraph 
        (1), make adequate progress toward meeting the State's 
        proficient and advanced levels of performance shall no 
        longer need to be identified for school improvement.
          (9) Waivers.--The State educational agency shall 
        review any waivers approved for a school designated for 
        improvement or corrective action prior to the date of 
        enactment of the Educational Opportunities Act and 
        shall terminate any waiver approved by the State under 
        the Educational Flexibility Partnership Act of 1999 if 
        the State determines, after notice and an opportunity 
        for a hearing, that the waiver is not helping such 
        school to make yearly progress to meet the objectives 
        and specific goals described in the school's 
        improvement plan.
    (d) State Review and Local Educational Agency 
Improvement.--
          [(1) In general.--A State educational agency shall--
                  [(A) annually review the progress of each 
                local educational agency receiving funds under 
                this part to determine whether schools 
                receiving assistance under this part are making 
                adequate progress as defined in section 
                1111(b)(2)(A)(ii) toward meeting the State's 
                student performance standards; and
                  [(B) publicize and disseminate to local 
                education agencies, teachers and other staff, 
                parents, students, and the community the result 
                of the State review, including statistically 
                sound disaggregated results, as required by 
                section 1111(b)(3)(I).]
          (1) In general.--(A) A State educational agency shall 
        annually review the progress of each local educational 
        agency receiving funds under this part to determine 
        whether schools receiving assistance under this part 
        are making adequate progress as defined in section 
        1111(b)(2)(A)(ii) toward meeting the State's student 
        performance standards.
          (B) State reports.--Following the annual review 
        specified in subparagraph (A), each State educational 
        agency that receives funds under this part shall 
        prepare and disseminate an annual performancereport 
regarding each local educational agency that receives funds under this 
part.
          (C) Contents.--The State, at a minimum, shall include 
        in the report information on each local educational 
        agency regarding--
                  (i) local educational agency performance in 
                making adequate yearly progress, including the 
                number and percentage of schools that did and 
                did not make adequate yearly progress.
                  (ii) the progress of the local educational 
                agency in enabling all students served under 
                this part to meet the State's proficient and 
                advanced levels of performance, including the 
                progress of economically disadvantaged students 
                and limited English proficient students, except 
                that this clause shall not apply to a state if 
                the State demonstrates that the State has an 
                insufficient number of economically 
                disadvantaged or limited English proficient 
                students; and
                  (iii) any other information the State 
                determines appropriate (such as information on 
                teacher quality, school safety, and drop-out 
                rates).
          (D) Parent and public dissemination.--The State shall 
        publicize and disseminate to local educational 
        agencies, teachers and other staff, parents, students, 
        and the community, the report. Such report shall be 
        concise and presented in a format and manner that 
        parents can understand. The State may issue local 
        educational agency performance reports directly to the 
        local educational agencies, teachers and other staff, 
        parents, students, and the community or the State may 
        publicize and disseminate the report through a widely 
        read or distributed medium, such as posting on the 
        Internet or distribution to the media.

           *       *       *       *       *       *       *

          [(4) Local educational agency revisions.--(A) Each 
        local educational agency identified under paragraph (3) 
        shall, in consultation with schools, parents, and 
        educational experts, revise its local educational 
        agency plan under section 1112 in ways that have the 
        greatest likelihood of improving the performance of 
        schools served by the local educational agency under 
        this part in meeting the State's student performance 
        standards.
          [(B) Such revision shall include determining why the 
        local educational agency's plan failed to bring about 
        increased achievement.]
          (4) Local educational agency revisions.--(A) Each 
        local educational agency identified under paragraph (3) 
        shall, not later than 3 months after being so 
        identified, revise a local educational agency plan as 
        described under section 1112. The plan shall--
                  (i) include specific State-determined yearly 
                progress requirements in subjects and grades to 
                ensure that all students will meet proficient 
                levels of performance within 10 years;
                  (ii) address the fundamental teaching and 
                learning needs in the schools of that agency, 
                and the specific academic problems of low-
                performing students including a determination 
                of why the local educational agency's prior 
                plan failed to bring about increased student 
                achievement and performance;
                  (iii) incorporate research-based strategies 
                that strengthen the core academic program in 
                the local educational agency;
                  (iv) address the professional development 
                needs of the instructional staff by committing 
                to spend not less than 10 percent of the funds 
                received by the school under this part during 1 
                fiscal year for professional development, which 
                professional development shall increase the 
                content knowledge of teachers and build the 
                capacity of the teachers to align classroom 
                instruction with challenging content standards 
                and to bring all students to proficient or 
                advanced levels of performance as determined by 
                the State;
                  (v) identify specific goals and objectives 
                the local educational agency will undertake for 
                making adequate yearly progress, which goals 
                and objectives shall be consistent with State 
                standards;
                  (vi) identify how the local educational 
                agency will provide written notification to 
                parents in a format, and to the extent 
                practicable, in a language that the parents can 
                understand;
                  (vii) specify the responsibility of the State 
                educational agency and the local educational 
                agency under the plan; and
                  (viii) include strategies to promote 
                effective parental involvement in the school.
          (5) State educational agency responsibility.--(A) * * 
        *

           *       *       *       *       *       *       *

          [(B) Technical or other assistance may be provided by 
        the State educational agency directly, or by an 
        institution of higher education, a private nonprofit 
        organization, an educational service agency or other 
        local consortium, a technical assistance center, or 
        other entities with experience in assisting local 
        educational agencies improve achievement, and may 
        include--
                  [(i) interagency collaborative agreements 
                between the local educational agency and other 
                public agencies to provide health, pupil 
                services, and other social services needed to 
                remove barriers to learning; and
                  [(ii) waivers or modification of requirements 
                of State law or regulation (in States in which 
                such waivers are permitted) that impede the 
                ability of a local educational agency to 
                educate students.]
          (B) Technical assistance provided under this section 
        by the State educational agency or an entity authorized 
        by such agency shall be supported by effective methods 
        and research-based instructional strategies.
          (6) Corrective action.--(A) * * *
          [(B)(i) Corrective actions are those actions, 
        consistent with State law, determined and made public 
        and disseminated by the State educational agency, which 
        may include--
                  [(I) the withholding of funds;
                  [(II) reconstitution of school district 
                personnel;
                  [(II) removal of particular schools from the 
                jurisdiction of the local educational agency 
                and establishment of alternative arrangements 
                for public governance and supervision of such 
                schools;
                  [(IV) appointment by the State educational 
                agency of a receiver or trustee to administer 
                the affairs of the local educational agency in 
                place of the superintendent and school board;
                  [(V) the abolition or restricting of the 
                local educational agency;
                  [(VI) the authorizing of students to transfer 
                from a school operated by one local educational 
                agency to a school operated by another local 
                educational agency; and
                  [(VII) a joint plan between the State and the 
                local educational agency that addresses 
                specific elements of student performance 
                problems and that specifies State and local 
                responsibilities under the plan.
          [(ii) Notwithstanding clause (i), corrective actions 
        taken pursuant to this part shall not include the 
        actions described in subclauses (I), (II), and (III) of 
        clause (i) until the State has developed assessments 
        that meet the requirements of paragraph (3)(C) of 
        section 1111(b).]
          (B)(i) Consistent with State and local law, in order 
        to help students served under this part meet 
        challenging State and local standards, each State 
        educational agency shall implement a corrective action 
        system in accordance with the following:
                  (I) After providing technical assistance as 
                described under paragraph (5), the State 
                educational agency--
                          (aa) may take corrective action at 
                        any time with respect to the local 
                        educational agency that has been 
                        identified under paragraph (3);
                          (bb) shall take corrective action 
                        with respect to any local educational 
                        agency that fails to make adequate 
                        yearly progress, as defined by the 
                        State; and
                          (cc) shall continue to provide 
                        technical assistance while implementing 
                        any corrective action.
                  (II) Consistent with State and local law, in 
                the case of a local educational agency 
                described under subclause (I), the State 
                educational agency shall not take less than 1 
                of the following corrective actions:
                          (aa) instituting and fully 
                        implementing a new curriculum that is 
                        based on State and local standards, 
                        including appropriate research-based 
                        professional development for all 
                        relevant staff that offers substantial 
                        promise of improving educational 
                        achievement for low-performing 
                        students.
                          (bb) Restructuring the local 
                        educational agency.
                          (cc) Developing and implementing a 
                        joint plan between the State 
                        educational agency and the local 
                        educational agency that addresses 
                        specific elements of student 
                        performance problems and that specifies 
                        the responsibilities of the State 
                        educational agency and the local 
                        educational agency under the plan.
                          (dd) Reconstituting school district 
                        personnel.
                          (ee) Making alternative governance 
                        arrangements.
                  (III) Consistent with State and local law, in 
                the case of a local educational agency 
                described under subclause (I), the State 
                educational agency may take 1 of the following 
                corrective actions:
                          (aa) Deferring, reducing, or 
                        withholding funds.
                          (bb) Restructuring or abolishing the 
                        local educational agency.
                          (cc) Removal of particular schools 
                        from the jurisdiction of the local 
                        educational agency and establishment of 
                        alternative arrangements for public 
                        governance and supervision of such 
                        schools.
                          (dd) Appointment by the State 
                        educational agency of a receiver or 
                        trustee to administer the affairs of 
                        the local educational agency in place 
                        of the superintendent and school board.
          (ii) Notwithstanding clause (i) corrective actions 
        taken pursuant to this section shall not include the 
        actions described in subclauses (I), (II), and (III) of 
        clause (i) until the State has developed assessments 
        that meet the requirements of paragraph (3)(C) of 
        section 1111(b).
          [(C) Prior to implementing any corrective action, the 
        State educational agency shall provide due process and 
        a hearing (if State law provides for such due process 
        and a hearing) to any local educational agency 
        identified under paragraph (3) and may refrain from 
        such corrective action for one year after the four-year 
        period described in subparagraph (A) to the extent that 
        the failure to make progress can be attributed to such 
        extenuating circumstances as determined by the State 
        educational agency.]
          (C) Hearing.--Prior to implementing any corrective 
        action, the State educational agency shall provide 
        notice and a hearing to the affected local educational 
        agency, if State law provides for such notice and 
        hearing. The hearing shall take place not later than 45 
        days following the decision to implement corrective 
        action.
          (D) Notification to parents.--The State educational 
        agency shall publish, and disseminate to parents and 
        the public, any corrective action the State educational 
        agency takes under this paragraph through a widely read 
        or distributed medium.
          (E) Delay.--A State educational agency may delay, for 
        a period not to exceed 1 year, implementation of 
        corrective action if--
                  (i) the State educational agency determines 
                that the local educational agency is meeting 
                the State-determined yearly progress 
                requirements in subjects and grades included in 
                the State assessments; and
                  (ii) the schools within the local educational 
                agency will meet the State's criteria for 
                improvement within 1 year.
          (F) Waivers.--The State educational agency shall 
        review any waivers approved prior to the date of 
        enactment of the Educational Opportunities Act for a 
        local educational agency designated for improvement or 
        corrective action and shall terminate any waiver 
        approved by the State under the Educational Flexibility 
        Partnership Act of 1999 if the State determines, after 
        notice and an opportunity for a hearing, that the 
        waiver is not helping the local educational agency make 
        yearly progress to meet the objectives and specific 
        goals described in the local educational agency's 
        improvement plan.

           *       *       *       *       *       *       *


SEC. 1117. [20 U.S.C. 6318] STATE ASSISTANCE FOR SCHOOL SUPPORT AND 
                    IMPROVEMENT.

    (a) System for Support.--
          (1) State support.--* * *

           *       *       *       *       *       *       *

          (3) Priorities.--In carrying out this section, a 
        State educational agency shall--
                  (A) first, provide support and assistance to 
                local educational agencies subject to 
                corrective action described in section 1116 and 
                assist schools, in accordance with accordance 
                with section 1116, for which a local 
                educational agency has failed to carry out its 
                responsibilities under section 1116;
                  (B) second, provide support and assistance to 
                other local educational agencies and schools 
                identified as in need of improvement under 
                section 1116; and
                  (C) third, provide support and assistance to 
                other local educational agencies and schools 
                participating under this part that need support 
                and assistance in order to achieve the purpose 
                of this part.
    (b) Regional Centers.--Such a statewide system shall work 
with and receive support and assistance from [the comprehensive 
regional technical assistance centers under part A of title 
XIII and] comprehensive regional technical assistance centers, 
and the educational regional laboratories under section 941(h) 
of the Educational Research, Development, Dissemination, and 
Improvement Act of 1994.
    (c) Provisions.--* * *
          [(1) Schools support teams.--
                  [(A) Each State educational agency, in 
                consultation with local educational agencies 
                and schools, shall establish a system of school 
                support teams to provide information and 
                assistance to schoolwide programs and to assist 
                such programs in providing an opportunity to 
                all students to meet the State's student 
                performance standards.
                  [(B) If funds are sufficient, school support 
                teams shall provide information and assistance 
                to--
                          [(i) schools--
                                  [(I) in which the number of 
                                students in poverty is equal to 
                                or greater than 75 percent of 
                                the total number of students 
                                enrolled in such school; and
                                  [(II) identified as in need 
                                of improvement under section 
                                1116(c)(1); and
                          [(ii) other schools in need of 
                        improvement.
          (1) Approaches.--In order to achieve the purpose 
        described in subsection (a), each such system shall 
        provide technical assistance and support through such 
        approaches as--
                  (A) school support teams which are composed 
                of individuals who are knowledgeable about 
                research and practice on teaching and learning, 
                particularly about strategies for improving 
                educational results for low-achieving children 
                and persons knowledgeable about effective 
                parental involvement programs, including 
                parents;
                  (B) the designation and use of distinguished 
                teachers and principals, chosen from schools 
                served under this part that have been 
                especially successful in improving academic 
                achievement;
                  (C) providing assistance to the local 
                educational agency or school in the 
                implementation of research-based comprehensive 
                school reform models; and
                  (D) a review process designed to increase the 
                capacity of local educational agencies and 
                schools to develop high-quality school 
                improvement plans.

           *       *       *       *       *       *       *

          (2) Distinguished Schools.--
                  (A) Each State shall designate as a 
                distinguished school any school served under 
                this [part which, for three consecutive years, 
                has exceeded the State's definition of adequate 
                progress as defined in section 
                1111(b)(2)(A)(i), and, any school in which--
                          [(i) virtually all students have met 
                        the State's advanced level of student 
                        performance; and
                          [(ii) equity in participation and 
                        achievement of students by sex has been 
                        achieved or significantly improved.] 
                        part.

           *       *       *       *       *       *       *

                  (C) States shall use funds reserved under 
                section 1003(a) and funds made available under 
                section 1002(f) to allow schools identified 
                under this paragraph to carry out the 
                activities described in subparagraph (B) [and 
                may] (and may use such funds to provide awards 
                to such schools to further such school's 
                education programs under this part, provide 
                additional incentives for continued success, 
                and reward individuals or groups in the school 
                for [exemplary performance] exemplary 
                performance).

           *       *       *       *       *       *       *

          (3) Distinguished [educators] teachers and 
        principals.--
                  [(A) In order to provide assistance to 
                schools and local educational agencies 
                identified as needing improvement and schools 
                participating in schoolwide programs, each 
                State, in consultation with local educational 
                agencies and using funds reserved under section 
                1003(a) and made available under section 
                1002(f), shall establish a corps of 
                distinguished educators.]
                  (A) The State may also recognize and provide 
                financial awards to teachers or principals in a 
                school described in paragraph (2) whose 
                students consistently make significant gains in 
                academic achievement.
                  (B) When possible, distinguished [educators] 
                teachers and principals shall be chosen from 
                schools served under this part that have been 
                especially successful in enabling children to 
                meet or make outstanding progress toward 
                meeting the State's student performance 
                standards, such as the schools described in 
                paragraph (2).
                  [(C) Distinguished educators shall provide, 
                as part of the statewide system, intensive and 
                sustained assistance to the schools and local 
                educational agencies farthest from meeting the 
                State's student performance standards and to 
                schoolwide programs as such programs develop 
                and implement their plans, including 
                participation in the support teams described in 
                paragraph (1).]

SEC. 1118. [20 U.S.C. 6319] PARENTAL INVOLVEMENT.

    (a) Local Educational Agency Policy.--
          (1) In general.--* * *

           *       *       *       *       *       *       *

                  (A) * * *
                  (B) provide the coordination, technical 
                assistance, and other support necessary to 
                assist participating schools in planning and 
                implementing effective parent involvement 
                activities to improve student achievement and 
                student and school performance;

           *       *       *       *       *       *       *

    (b) School Parental Involvement Policy.--
          (1) In general.--Each school served under this part 
        shall jointly develop with, and distribute (in a 
        language parents can understand) to, parents of 
        participating children a written parental involvement 
        policy, agreed upon by such parents, that shall 
        describe the means for carrying out the requirements of 
        subsections (c) through (f). Such policy shall be made 
        available to the local community and shall be updated 
        periodically to meet the changing needs of parents and 
        the school.

           *       *       *       *       *       *       *

    (e) Building Capacity for Involvement.--* * *
          (1) shall provide assistance to [participating 
        parents in such areas as understanding the National] 
        parents of children served by the school or local 
        educational agency, as appropriate, in understanding 
        America's Education Goals, the State's content 
        standards and State student performance standards, the 
        provisions of section 1111(b)(8), State and local 
        assessments, the requirements of this part, and how to 
        monitor a child's progress and work with educators to 
        improve the performance of their children as well as 
        information on how parents can participate in decisions 
        relating to the education of their children;

           *       *       *       *       *       *       *

          (14) may adopt and implement model approaches to 
        improving parental involvement, such as Even Start; 
        [and]
          [(15) shall provide such other reasonable support for 
        parental involvement activities under this section as 
        parents may request.]
          (15) may establish a school district wide parent 
        advisory council to advise the school and local 
        educational agency on all matters related to parental 
        involvement in programs supported under this section; 
        and
          (16) shall provide such other reasonable support for 
        parental involvement activities under this section as 
        parents may request, which may include emerging 
        technologies.
    (f) Accessibility.--In carrying out the parental 
involvement requirements of this part, local educational 
agencies and schools, to the extent practicable, shall provide 
full opportunities for the participation of parents with 
limited English proficiency [or with], parents of migratory 
children, or parents with disabilities, including providing 
information and school profiles in a language and form such 
parents understand.
    [(g) Parental Information and Resource Centers.--In States 
where parental information and resource centers have been 
established pursuant to section 401 of the Goals 2000: Educate 
America Act of 1994 (to provide training, information, and 
support to parents and individuals who work with parents), 
local educational agencies and schools receiving assistance 
under this part shall assist parents and parent organizations 
by informing such parents and organizations of the existence 
and purpose of such centers, providing such parents and 
organizations with a description of the services and programs 
provided by such centers, advising parents on how to use such 
centers, and helping parents to contact such centers.]
    (g) Information From Parental Information and Resource 
Centers.--In a State where a parental information and resource 
center is established to provide training, information, and 
support to parents and individuals who work with local parents, 
local educational agencies, and schools receiving assistance 
under this part, each school or local educational agency that 
receives assistance under this part and is located in the 
State, shall assist parents and parental organizations by 
informing such parents and organizations of the existence and 
purpose of such centers, providing such parents and 
organizations with a description of the services and programs 
provided by such centers, advising parents on how to use such 
centers, and helping parents to contact such centers.

SEC. 1119. [20 U.S.C. 6301] PROFESSIONAL DEVELOPMENT.

    (a) Program Requirements.--

           *       *       *       *       *       *       *

    (b) Professional Development Activities.--
          (1) Required activities.--* * *
                  [(A) support instructional practices that are 
                geared to challenging State content standards 
                and create a school environment conducive to 
                high achievement in the academic subjects;]
                  (A) support professional development 
                activities that give teachers, principals, 
                administrators, paraprofessionals, pupil 
                services personnel, and parents the knowledge 
                and skills to provide students with the 
                opportunity to meet challenging State or local 
                content standards and student performance 
                standards;
                  (B) advance teacher understanding of 
                effective instructional strategies, based on 
                research for improving student achievement, at 
                a minimum in reading or language arts and 
                mathematics;
                  (C) be of sufficient intensity and duration 
                (not to include 1-day or short-term workshops 
                and conferences) to have a positive and lasting 
                impact on the teacher's performance in the 
                class-room, except that this subparagraph shall 
                not apply to an activity if such activity is 1 
                component of a long-term comprehensive 
                professional development plan established by 
                the teacher and the teacher's supervisor based 
                upon an assessment of the needs of the teacher, 
                the needs of students, and the needs of the 
                local educational agency;
                  [(B)] (D) support local educational agency 
                plans under section 1112 school plans under 
                section 1114;
                  [(C)] (E) draw on resources available under 
                this part, [title III of the Goals 2000: 
                Educate America Act] title II of this Act, and 
                from other sources;
                  [(D)] (F) where appropriate, as determined by 
                the local educational agency, include 
                strategies for developing curricula and 
                teaching methods that integrate academic and 
                vocational instruction (including applied 
                learning and team teaching strategies); [and]
                  [(E)] (G) include strategies for identifying 
                and eliminating gender and racial bias in 
                instructional materials, methods, and 
                practices[.]; and
                  (H) to the extent appropriate, provide 
                training for teachers in the use of technology 
                and the applications of technology that are 
                effectively used--
                          (i) in the classroom to improve 
                        teaching and learning in the 
                        curriculum; and
                          (ii) in academic content areas in 
                        which the teachers provide 
                        instructions;
                  (I) be regularly evaluated for their impact 
                on increased teacher effectiveness and improved 
                student performance and achievement, with the 
                findings of such evaluations used to improve 
                the quality of professional development; and
                  (J) include strategies for identifying and 
                eliminating gender and racial bias in 
                instructional materials, methods, and 
                practices.

           *       *       *       *       *       *       *

    (g) Combinations of Funds.--Funds provided under this part 
that are used for professional development purposes may be 
combined with funds provided under title II of this Act, [title 
II of the Goals 2000: Educate America Act] other Acts and other 
sources.

           *       *       *       *       *       *       *


SEC. 1120. [20 U.S.C. 6321] PARTICIPATION OF CHILDREN ENROLLED IN 
                    PRIVATE SCHOOLS.

    (a) General Requirement.--
          (1) In general.--To the extent consistent with the 
        number of eligible children identified under section 
        1115(b) in a local educational agency who are enrolled 
        in private elementary and secondary schools, a local 
        educational agency shall, after timely and meaningful 
        consultation with appropriate private school officials, 
        provide such children, on an equitable basis, special 
        educational services or other benefits under this part 
        (such as dual enrollment, educational radio and 
        television, computer equipment and materials, other 
        technology, and mobile educational services and 
        equipment) that address their needs, and shall ensure 
        that teachers and families of such children 
        participate, on an equitable basis, in services and 
        activities under sections 1118 and 1119.

           *       *       *       *       *       *       *

          (3) Equity.--Educational services and other benefits 
        for such private school children shall be equitable in 
        comparison to services and other benefits for public 
        school children participating under this part and shall 
        be provided in a timely manner.
          (4) Expenditures.--Expenditures for educational 
        services and other benefits to eligible private school 
        children shall be equal to the proportion of funds 
        allocated to participating school attendance areas 
        based on the number of children from low-income 
        families who attend private schools as determined by 
        the local educational agency each year or every 2 
        years.

           *       *       *       *       *       *       *

          (1) In general.-- * * *
                  (A) * * *

           *       *       *       *       *       *       *

                  (C) how [and where] where, and by whom the 
                services will be provided;
                  [(D) how the services will be assessed; and]
                  (D) how the services will be assessed and how 
                the results of that assessment will be used to 
                improve those services;
                  (E) the size and scope of the equitable 
                services to be provided to the eligible private 
                school children, and what is the proportion of 
                funds allocated under subsection (a)(4) for 
                such services[.]; and
                  (F) how and when the local educational agency 
                will make decisions about the delivery of 
                services to eligible private school children, 
                including a thorough consideration and analysis 
                of the views of private school officials 
                regarding the provision of contract services 
                through potential third party providers, and if 
                the local educational agency disagrees with the 
                views of the private school officials on such 
                provision of services, the local educational 
                agency shall provide in writing to such private 
                school officials an analysis of the reasons why 
                the local educational agency has chosen not to 
                so provide such services.

           *       *       *       *       *       *       *

          (4) Consultation.--Each local educational agency 
        shall provide to the State educational agency, and 
        maintain in the local educational agency's records, a 
        written affirmation signed by officials of each 
        participating private school that the consultation 
        required by this section has occurred. If a private 
        school declines in writing to have eligible children in 
        the private school participate in services provided 
        under this section, the local education agency is not 
        required to further consult with the private school 
        officials or to document the local educational agency's 
        consultation with the private school officials until 
        the private school officials request in writing such 
        consultation. The local educational agency shall inform 
        the private school each year of the opportunity for 
        eligible children to participate in services provided 
        under this section.
          (5) Compliance.--A private school official shall have 
        the right to appeal to the State educational agency the 
        decision of a local educational agency as to whether 
        consultation provided for in this section was 
        meaningful and timely, and whether due consideration 
        was given to the views of the private school official. 
        If the private school official wishes to appeal the 
        decision, the basis of the claim of noncompliance with 
        this section by the local educational agencies shall be 
        provided to the State educational agency, and the local 
        educational agency shall forward the appropriate 
        documentation to the State educational agency.
    (c) Allocation for Equitable Service to Private School 
Students.--
          (1) Calculation.--A local educational agency shall 
        have the final authority, consistent with this section, 
        to calculate the number of private school children, 
        ages 5 through 17, who are low-income by--
                  (A) using the same measure of low-income used 
                to count public school children;
                  (B) using the results of a survey that, to 
                the extent possible, protects the identity of 
                families of private school students, and 
                allowing such survey results to be extrapolated 
                if complete actual data are unavailable; or
                  (C) applying the low-income percentage of 
                each participating public school attendance 
                area, determined pursuant to this section, to 
                the number of private school children who 
                reside in that school attendance area.
          (2) Complaint process.--Any dispute regarding low-
        income data for private school student shall be subject 
        to the complaint process authorized in section 10105.
    [(c)] (d) Public Control of Funds.--

           *       *       *       *       *       *       *

    [(d)] (e) Standards for a Bypass.--[If a] (1) In general.--
If a local educational agency is prohibited by law from 
providing for the participation on an equitable basis of 
eligible children enrolled in private elementary and secondary 
schools or if the Secretary determines that a local educational 
agency has substantially failed or is unwilling to provide for 
such participation, as required by this section, the Secretary 
shall--
          [(1)] (A) waive the requirements of this section for 
        such local educational agency; and
          [(2)] (B) arrange for the provision of services to 
        such children through arrangements that shall be 
        subject to the requirements of this section and 
        sections [14505 and 14506] 10105 and 10106.
          (2) Determination.--In making the determination under 
        paragraph (1), the Secretary shall consider 1 or more 
        factors, including the quality, size, scope, or 
        location of the program, or the opportunity of eligible 
        children to participate in the program.
    [(e)] (f) Capital Expenses.--
          [(1) In general.--(A) From the amount appropriated 
        for this subsection under section 1002(e) for any 
        fiscal year, each State is eligible to receive an 
        amount that bears the same ratio to the amount so 
        appropriated as the number of private school children 
        who received services under this part in the State in 
        the most recent year for which data satisfactory to the 
        Secretary are available bears to the number of such 
        children in all States in that same year.
          [(B) The Secretary shall reallocate any amounts 
        allocated under subparagraph (A) that are not used by a 
        State for the purpose of this subsection to other 
        States on the basis of their respective needs, as 
        determined by the Secretary.
          [(2) Capital expenses.--(A) A local educational 
        agency may apply to the State educational agency for 
        payments for capital expenses consistent with this 
        subsection.
          [(B) State educational agencies shall distribute such 
        funds under this subsection to local educational 
        agencies based on the degree of need set forth in their 
        respective applications for assistance under this 
        subsection.
          [(3) Uses of funds.--Any funds appropriated to carry 
        out this subsection shall be used only for capital 
        expenses incurred to provide equitable services for 
        private school children under this section.
          [(4) Definition.--For the purpose of this subsection, 
        the term ``capital expenses'' means--
                  [(A) expenditures for noninstructional goods 
                and services, such as the purchase, lease, or 
                renovation of real and personal property, 
                including mobile educational units and leasing 
                of neutral sites or spaces;
                  [(B) insurance and maintenance costs;
                  [(C) transportation; and
                  [(D) other comparable goods and services.]

           *       *       *       *       *       *       *


SEC. 1120A. [20 U.S.C. 6322] FISCAL REQUIREMENTS.

    (a) Maintenance of Efforts.--A local educational agency may 
receive funds under this part for any fiscal year only if the 
State educational agency finds that the local educational 
agency has maintained its fiscal effort in accordance with 
section [14501 of this Act] 10101.

           *       *       *       *       *       *       *


[SEC. 1120B. [20 U.S.C. 6323] COORDINATION REQUIREMENTS.]

SEC. 1120B. COORDINATION REQUIREMENTS; EARLY CHILDHOOD EDUCATION 
                    SERVICES.

    (a) In General.--* * *

           *       *       *       *       *       *       *

    (c) Coordination of Regulations.--The Secretary shall work 
with the Secretary of Health and Human Services to coordinate 
regulations promulgated under this part with regulations 
promulgated under the [Head Start Act Amendments of 1994] Head 
Start Amendments of 1998.
    (d) Early Childhood Services.--A local educational agency 
may use funds received under this part to provide preschool 
services--
          (1) directly to eligible preschool children in all or 
        part of its school district;
          (2) through any school participating in the local 
        educational agency's program under this part; or
          (3) through a contract with a local Head Start 
        agency, an eligible entity operating an Even Start 
        program, a State-funded preschool program, or a 
        comparable public early childhood development program.
    (e) Early Childhood Education Programs.--Early childhood 
education programs operated with funds provided under this part 
may be operated and funded jointly with Even Start programs 
under part B of this title, Head Start programs, or State-
funded preschool programs. Early childhood education programs 
funded under this part shall--
          (1) focus on the developmental needs of participating 
        children, including their social, cognitive, and 
        language-development needs, and use research-based 
        approaches that build on competencies that lead to 
        school success, particularly in language and literacy 
        development and in reading;
          (2) teach children to understand and use language in 
        order to communicate for various purposes;
          (3) enable children to develop and demonstrate an 
        appreciation of books; and
          (4) in the case of children with limited English 
        proficiency, enable the children to progress toward 
        acquisition of the English language.

                        [Subpart 2--Allocations


[SEC. 1121. [20 U.S.C. 6331] GRANTS FOR THE OUTLYING AREAS AND THE 
                    SECRETARY OF THE INTERIOR.

    [(a) Reservation of Funds.--From the amount appropriated 
for payments to States for any fiscal year under section 
1002(a), the Secretary shall reserve a total of 1 percent to 
provide assistance to--
          [(1) the outlying areas on the basis of their 
        respective need for such assistance according to such 
        criteria as the Secretary determines will best carry 
        out the purpose of this part; and
          [(2) the Secretary of the Interior in the amount 
        necessary to make payments pursuant to subsection (c).
    [(b) Assistance to the Outlying Areas.--
          [(1) In General.--From amounts made available under 
        subsection (a) in each fiscal year the Secretary shall 
        make grants to local educational agencies in the 
        outlying areas (other than the outlying areas assisted 
        under paragraph (3)).
          [(2) Competitive Grants.--(A) The Secretary shall 
        reserve $5,000,000 from the amounts made available 
        under subsection (a) in each fiscal year to award 
        grants on a competitive basis, to local educational 
        agencies in the Federated States of Micronesia, the 
        Republic of the Marshall Islands, and the Republic of 
        Palau. The Secretary shall award such grants according 
        to the recommendations of the Pacific Region 
        Educational Laboratory which shall conduct a 
        competition for such grants.
          [(B) Except as provided in subparagraph (D), grants 
        funds awarded under this part only may be used for 
        programs described in this Act, including teacher 
        training, curriculum development, instructional 
        materials, or general school improvement and reform.
          [(C) Grant funds awarded under this paragraph only 
        may be used to provide direct educational services.
          [(D) The Secretary may provide 5 percent of the 
        amount made available for grants under this paragraph 
        to pay the administrative costs of the Pacific Region 
        Educational Laboratory regarding activities assisted 
        under this paragraph.
    [(c) Allotment to the Secretary of the Interior.--
          [(1) In General.--The amount allotted for payments to 
        the Secretary of the Interior under subsection (a)(2) 
        for any fiscal year shall be, as determined pursuant to 
        criteria established by the Secretary, the amount 
        necessary to meet the special educational needs of--
                  [(A) Indian children on reservations served 
                by elementary and secondary schools for Indian 
                children operated or supported by the 
                Department of the Interior; and
                  [(B) out-of-State Indian children in 
                elementary and secondary schools in local 
                educational agencies under special contracts 
                with the Department of the Interior.
          [(2) Payments.--From the amount allotted for payments 
        to the Secretary of the Interior under subsection 
        (a)(2), the Secretary of the Interior under subsection 
        (a)(2), the Secretary of the Interior shall make 
        payments to local educational agencies, upon such terms 
        as the Secretary determines will best carry out the 
        purposes of this part, with respect toout-of-State 
Indian children described in paragraph (1). The amount of such payment 
may not exceed, for each such child, the greater of--
                  [(A) 40 percent of the average per pupil 
                expenditure in the State in which the agency is 
                located; or
                  [(B) 48 percent of such expenditure in the 
                United States.

[SEC. 1122. [20 U.S.C. 6332] ALLOCATIONS TO STATES.

    [(a) In General.--
          [(1) Fiscal year 1995.--For fiscal year 1995, 
        appropriations for this part shall be allocated 
        according to the provisions of sections 1005, except 
        subsection (a)(3), and 100, part A of chapter 1 of 
        title I, Elementary and Secondary Education Act of 
        1965, as in effect on September 30, 1994, except that 
        the State minimum for section 1005 shall be the lesser 
        of 0.25 percent of total appropriations or the average 
        of 0.25 percent of total appropriations and 150 percent 
        of the national average grant per child counted for 
        grants under section 1005 multiplied by the State's 
        number of children counted for such grants, and for 
        grants under section 1006, the State minimum shall be 
        the lesser of--
                  [(A) 0.25 percent of total appropriations; 
                and
                  [(B) the average of--
                          [(i) 0.25 percent of total 
                        appropriations; and
                          [(ii) the greater of 150 percent of 
                        the national average grant per child 
                        counted for grants under such section 
                        1006 multiplied by the State total 
                        number of such children, or $340,000.
          [(2) Succeeding fiscal years.--For fiscal years 1996 
        through 1999, an amount of the appropriations for this 
        part equal to the appropriation for fiscal year 1995 
        for section 1005, shall be allocated in accordance with 
        section 1124, and an amount equal to the appropriation 
        for fiscal year 1995 for section 1006 shall be 
        allocated in accordance with section 1124A. Any 
        additional appropriations under section 1002(a) for any 
        fiscal year, after application of the preceding 
        sentence, shall be allocated in accordance with section 
        1125.
    [(b) Adjustments where necessitated by appropriations.--
          [(1) In general.--If the sums available under this 
        part for any fiscal year are insufficient to pay the 
        full amounts that all local educational agencies in 
        States are eligible to receive under sections 1124, 
        1124A, and 1125 for such year, the Secretary shall 
        ratably reduce the allocations to such local 
        educational agencies, subject to subsections (c) and 
        (d) of this section.
          [(2) Additional funds.--If additional funds become 
        available for making payments under sections 1124, 
        1124A, and 1125 for such fiscal year, allocations that 
        were reduced under paragraph (1) shall be increased on 
        the same basis as they were reduced.
    [(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 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.
    [(d) Ratable Reductions.--
          [(1) In general.--If the sums made available under 
        this part for any fiscal year are insufficient to pay 
        the full amounts that all States are eligible to 
        receive under subsection (c) for such year, the 
        Secretary shall ratably reduce such amounts for such 
        year.
          [(2) Additional funds.--If additional funds become 
        available for making payments under subsection (c) for 
        such fiscal year, amounts that were reduced under 
        paragraph (1) shall be increased on the same basis as 
        such amounts reduced.
    [(e) Definition.--For the purpose of this section and 
sections 1124 and 1125, the term State means each of the 50 
States, the District of Columbia, and the Commonwealth of 
Puerto Rico.

[SEC. 1124. [20 U.S.C. 6333] BASIC GRANTS TO LOCAL EDUCATIONAL 
                    AGENCIES.

    [(a) Amount of Grants.--
          [(1) Grants for local educational agencies and puerto 
        rico.--The grant which a local educational agency in a 
        Stateis eligible to receive under this subpart for a 
fiscal year shall (except as provided in section 1126), be determined 
by multiplying the number of children counted under subsection (c) by 
40 percent of the amount determined under the next sentence. The amount 
determined under this sentence shall be the average per pupil 
expenditure in the State except that--
                  [(A) if the average per pupil expenditure in 
                the State is less than 80 percent of the 
                average per pupil expenditure in the United 
                States, such amount shall be 80 percent of the 
                average per pupil expenditure in the United 
                States; or
                  [(B) if the average per pupil expenditure in 
                the State is more than 120 percent of the 
                average per pupil expenditure in the United 
                States, such amount shall be 120 percent of the 
                average per pupil expenditure in the United 
                States.
          [(2) Basis for calculating grants.--For fiscal years 
        1995 through 1998, grants shall be calculated by the 
        Secretary on the basis of the number of children 
        counted under subsection (c) for countries, and State 
        educational agencies shall suballocate county amounts 
        to local educational agencies in accordance with 
        regulations published by the Secretary. In any State in 
        which a large number of local educational agencies 
        overlap county boundaries, the State educational agency 
        may apply to the Secretary for authority during any 
        particular fiscal year to make the allocations under 
        this part (other than section 1124A) directly to local 
        educational agencies without regard to the counties. If 
        the Secretary approves an application of a State 
        educational agency for a particular year under this 
        subparagraph, the State educational agency shall 
        provide assurances that--
                  [(A) such allocations will be made using 
                precisely the same factors for determining a 
                grant as are used under this part;
                  [(B) such allocations will be made using 
                alternative data approved by the Secretary that 
                the State determines best reflects the 
                distribution of children in poor families and 
                is adjusted to be equivalent in proportion to 
                the number of children determined in accordance 
                with subsection (c); or
                  [(C) such allocations will be made using data 
                that the State educational agency submits to 
                the Secretary for approval that more accurately 
                target poverty.
        [In addition, the State educational agency shall 
        provide assurance that a procedure will be established 
        through which local educational agencies dissatisfied 
        with the determinations made by the State educational 
        agency may appeal directly to the Secretary for a final 
        determination. Beginning in fiscal year 1999, grants 
        shall be calculated by the Secretary on the basis of 
        population data compiled for local educational 
        agencies, unless the Secretary and the Secretary of 
        Commerce determine that use of the updated population 
        data would be inappropriate or unreliable taking into 
        consideration the recommendations of the study to be 
        conducted by the National Academy ofSciences. If the 
Secretary and the Secretary of Commerce determine that some or all of 
the data referred to in this paragraph are inappropriate or unreliable, 
the Secretaries shall jointly issue a report setting forth their 
reasons in detail. In years when grants are calculated by the Secretary 
on the basis of local educational agency data, for each local 
educational agency serving an area with a total population of at least 
20,000 persons, the grant under this section shall be the amount 
determined by the Secretary. For local educational agencies serving 
areas with total populations of fewer than 20,000 persons, the State 
educational agency many either--
                  [(i) distribute to such local educational 
                agencies grants under this section equal to the 
                amounts determined by the Secretary; and
                  [(ii) use an alternative method, approved by 
                the Secretary, to distribute the share of the 
                State's total grants under this section that is 
                based on local educational agencies with total 
                populations of fewer than 20,000 persons. Such 
                an alternative method of distributing grants 
                under this section among a State's local 
                educational agencies serving areas with total 
                populations of fewer than 20,000 persons shall 
                be based upon population data that the State 
                educational agency determines best reflect the 
                current distribution of children in poor 
                families among the State's local educational 
                agencies serving areas with total populations 
                of fewer than 20,000 persons. If a local 
                educational agency serving an area with total 
                population of less than 20,000 persons is 
                dissatisfied with the determination of its 
                grant by the State education agency, then such 
                local educational agency may appeal this 
                determination to the Secretary. The Secretary 
                must respond to this appeal within 45 days of 
                receipt.
          (3) Puerto rico.--For each fiscal year, the Secretary 
        shall determine the percentage which the average per 
        pupil expenditure in the Commonwealth of Puerto Rico is 
        of the lowest average per pupil expenditure of any of 
        the 50 States. The grant which the Commonwealth of 
        Puerto Rico shall be eligible to receive under this 
        section for a fiscal year shall be the amount arrived 
        at the multiplying the number of children counted under 
        subsection (c) for the Commonwealth of Puerto Rico by 
        the product of--
                  [(A) the percentage determined under the 
                preceding sentence; and
                  [(B) 32 percent of the average per pupil 
                expenditure in the United States.
          [(4) Definition.--For purposes of this subsection, 
        the term ``State'' does not include Guam, American 
        Samoa, the Virgin Islands, the Northern Mariana 
        Islands, and Palau.
    [(b) Minimum Number of Children To Qualify.--Subject to the 
succeeding sentence, a local educational agency shall be 
eligible for a basic grant for a fiscal year under this subpart 
only if the number of children counted under subsection (c) in 
the school district of such local educational agency is at 
least 10. Beginning in fiscal year 1996, no local educational 
agency shall be eligible for a grant under this section if the 
number of children counted for grants under this section is 
equal to 2 percent or less of the total school age population 
in the local educational agency. For fiscal years 1996 through 
1998, grants not made as a result of applying the preceding 
sentence shall be reallocated by the State educational agency 
to other eligible local educational agencies in the State in 
proportion to the distribution of other funds under this 
section.
    [(c) Children To Be Counted.--
          [(1) Categories of children.--The number of children 
        to be counted for purposes of this section is the 
        aggregate of--
                  [(A) the number of children aged 5 to 17, 
                inclusive, in the school district of the local 
                educational agency from families below the 
                poverty level as determined under paragraph 
                (2);
                  [(B) the number of children aged 5 to 17, 
                inclusive, in the school district of such 
                agency from families above the poverty level as 
                determined under paragraph (5); and
                  [(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.
          [(2) Determination of number of children.--For the 
        purposes of this section, the Secretary shall determine 
        the number of children aged 5 to 27, inclusive, from 
        families below the poverty level on the basis of the 
        most recent satisfactory data, described in paragraph 
        (3), available from the Department of Commerce. For 
        fiscal year 1999 and beyond, the District of Columbia 
        and the Commonwealth of Puerto Rico shall be treated as 
        individual local educational agencies. If a local 
        educational agency contains two or more counties in 
        their entirety, then each county will be treated as if 
        such county were a separate local educational agency 
        for purposes of calculating grants under this part. The 
        total of grants for such counties shall be allocated to 
        such a local educational agency, which local 
        educational agency shall distribute to schools in each 
        county within such agency a share of the local 
        educational agency's total grant that is no less than 
        the county's share of the population counts used to 
        calculate the local educational agency's grant.
          [(3) Population updates.--In fiscal year 1997 and 
        every 2 years thereafter, the Secretary shall use 
        updated data on the number of children, aged 5 to 17, 
        inclusive, from families below the poverty level for 
        counties or local educational agencies, published by 
        the Department of Commerce, unless the Secretary and 
        the Secretary of Commerce determine that use of the 
        updated population data would be inappropriate or 
        unreliable, taking into consideration the 
        recommendations of the study to be conducted by the 
        National Academy of Sciences. If the Secretary and the 
        Secretary of Commerce determine that some or all of the 
        data referred to in this paragraph areinappropriate or 
unreliable, they shall jointly issue a report setting forth their 
reasons in detail. In determining the families which are below the 
poverty level, the Secretary shall utilize the criteria of poverty used 
by the Bureau of the Census in compiling the most recent decennial 
census, in such form as those criteria have been updated by increases 
in the Consumer Price Index for all urban consumers, published by the 
Bureau of Labor Statistics.
          [(4) Study.--(A) The Secretary of Education shall, 
        within 30 days after the date of enactment of the 
        Improving America's School's Act of 1994, contract with 
        the National Academy of Sciences (hereafter in this 
        section referred to as the ``Academy'') to study the 
        program to produce intercensal poverty data for small 
        geographic areas and certain age cohorts being 
        developed by the Bureau of the Census.
          [(B) In conducting its study, the Academy shall 
        consider such matters as--
                  [(i) the methodology used to produce and 
                publish intercensal poverty data, and possible 
                alternative methods to improve the usefulness 
                of the data for Federal program purposes;
                  [(ii) the availability of alternative 
                indicators of poverty for small geographic 
                areas, against which the poverty data produced 
                and published by the Bureau of the Census could 
                be compared;
                  [(iii) the reliability of the poverty data 
                produced and published by the Bureau of the 
                Census, particularly for less populous 
                geographic areas;
                  [(iv) the reliability of intercensal poverty 
                data produced and published by the Bureau of 
                the Census, as compared over time to similar 
                data produced by the Bureau of the Census 
                during the most recent decennial census; and
                  [(v) the usefulness of poverty data produced 
                and published by the Bureau of the Census for 
                Federal programs that allocate funds to State 
                and sub-State areas based, in whole or in part 
                on such data.
          [(C) The Academy shall submit to the Secretary and 
        the Secretary of Commerce, as well as to the Committee 
        on Education and Labor and the Committee on Post Office 
        and Civil Service of the House of Representatives and 
        the Committee on Labor and Human Resources and the 
        Committee on Governmental Affairs of the Senate--
                  [(i) not later than 18 months after the date 
                on which a contract is entered into under 
                subsection (a), and not later than every 18 
                months thereafter, such interim reports on the 
                Academy's activities under this Act that the 
                Academy deems appropriate, including a detailed 
                statement of the Academy's findings and 
                conclusions with respect to any poverty data 
                which the Bureau of the Census publishes and 
                produces, within 90 days of such publication; 
                and
                  [(ii) not later than December 31, 1998, a 
                final report which shall include a more 
                detailed statement of the Academy's findings 
                and conclusions with respect to the use of any 
                intercensal poverty data produced and published 
                by the Bureau of the Census as the basis for 
                allocating Federal funds under this Act.
          [(D) Of the funds appropriated under section 1002(f) 
        of this Act, the Secretary shall use such sums as are 
        necessary in each of fiscal years 1995, 1996, 1997, 
        1998, and 1999 to carry out the provisions of this 
        paragraph.
          [(5) Other children to be counted.--For purposes of 
        this section, the Secretary shall determine the number 
        of children aged 5 to 17, inclusive, from families 
        above the poverty level on the basis of the number of 
        such children from families receiving an annual income, 
        in excess of the current criteria of poverty, from 
        payments under a State program funded under part A of 
        title IV of the Social Security Act; and in making such 
        determinations the Secretary shall utilize the criteria 
        of poverty used by the Bureau of the Census in 
        compiling the most recent decennial census for a family 
        of 4 in such form as those criteria have been updated 
        by increases in the Consumer Price Index for all urban 
        consumers, published by the Bureau of Labor Statistics. 
        The Secretary shall determine the number of such 
        children and the number of children of such ages living 
        in institutions for neglected or delinquent children, 
        or being supported in foster homes with public funds, 
        on the basis of the caseload data for the month of 
        October of the preceding fiscal year (using, in the 
        case of children described in the preceding sentence, 
        the criteria of poverty and the form of such criteria 
        required by such sentence which were determined for the 
        calendar year preceding such month of October) or, to 
        the extent that such data are not available to the 
        Secretary before January of the calendar year in which 
        the Secretary's determination is made, then on the 
        basis of the most recent reliable data available to the 
        Secretary at the time of such determination. The 
        Secretary of Health and Human Services shall collect 
        and transmit the information required by this 
        subparagraph to the Secretary not later than January 1 
        of each year.
          [(6) Estimate.--When requested by the Secretary, the 
        Secretary of Commerce shall make a special updated 
        estimate of the number of children of such ages who are 
        from families below the poverty level (as determined 
        under subparagraph (A) of this paragraph) in each 
        school district, and the Secretary is authorized to pay 
        (either in advance or by way of reimbursement) the 
        Secretary of Commerce the cost of making this special 
        estimate. The Secretary of Commerce shall give 
        consideration to any request of the chief executive of 
        a State for the collection of additional census 
        information. For purposes of this section, the 
        Secretary shall consider all children who are in 
        correctional institutions to be living in institutions 
        for delinquent children.
    [(d) State Minimum.--Notwithstanding subsection (b)(1) or 
(d) of section 1122, the aggregate amount allotted for all 
local educational agencies within a State may not be less than 
the lesser of--
          [(1) 0.25 percent of total grants under this section; 
        or
          [(2) the average of--
                  [(A) one quarter of 1 percent of the total 
                amount available for such fiscal year under 
                this section; and
                  [(B) the number of children in such State 
                counted under subsection (c) in the fiscal year 
                multiplied by 150 percent of the national 
                average per pupil payment made funds available 
                under this section for that year.

[SEC. 1124A. [20 U.S.C. 6334] CONCENTRATION GRANTS TO LOCAL EDUCATIONAL 
                    AGENCIES.

    [(a) Eligibility for and Amount of Grants.--
          [(1) In general.--(A) Except as otherwise provided in 
        this paragraph, each local educational agency, in a 
        State other than Guam, American Samoa, the Virgin 
        Islands, the Commonwealth of the Northern Mariana 
        Islands, and Palau, which is eligible for a grant under 
        this part for any fiscal year shall be eligible for an 
        additional grant under this section for that fiscal 
        year if--
                  [(i) the number of children counted under 
                section 1124(c) in the county (for fiscal years 
                1996 through 1998), or local educational agency 
                (for fiscal years beginning with 1999) for the 
                fiscal year exceeds 6,500; or
                  [(ii) the number of children counted under 
                section 1124(c) exceeds 15 percent of the total 
                number of children aged 5 to 17, inclusive, in 
                the county (for fiscal years 1996 through 
                1998), or local educational agency (for fiscal 
                years beginning with 1999) in that fiscal year.
          [(B) Notwithstanding such subsections (b)(1) and (d) 
        of section 1122, no State described in subparagraph (A) 
        shall receive less than the lesser of--
                  [(i) 0.25 percent of total grants; or
                  [(ii) the average of--
                          [(I) one-quarter of 1 percent of the 
                        sums available to carry out this 
                        section for such fiscal year; and
                          [(II) the greater of--
                                  [(aa) $340,000; or
                                  [(bb) the number of children 
                                in such State counted for 
                                purposes of this section in 
                                that fiscal year multiplied by 
                                150 percent of the national 
                                average per pupil payment made 
                                with funds available under this 
                                section for that year.
          [(2) Special rule.--For each county or local 
        educational agency eligible to receive an additional 
        grant under this section for any fiscal year the 
        Secretary shall determine the product of--
                  [(A) the number of children counted under 
                section 1124(c) for that fiscal year; and
                  [(B) the quotient resulting from the division 
                of the amount determined for those agencies 
                under section 1124(a)(1) for the fiscal year 
                for which the determination is being made 
                divided by the total number of children counted 
                under section 1124(c) for that agency for 
                fiscal year.
          [(3) Amount.--The amount of the additional grant for 
        which an eligible local educational agency or county is 
        eligible under this section for any fiscal year shall 
        be an amount which bears the same ratio to the amount 
        available to carry out this section for that fiscal 
        year as the product determined under paragraph (2) for 
        such local educational agency for that fiscal year 
        bears to the sum of such products for all local 
        educational agencies in the United States for that 
        fiscal year.
          [(4) Suballocation.--For fiscal years 1996 through 
        1998, county amounts shall be suballocated to local 
        educational agencies meeting the criteria of paragraph 
        (1)(A) by State educational agencies, in accordance 
        with regulations published by the Secretary. For fiscal 
        years 1995 through 1998, grants shall be calculated by 
        the Secretary on the basis of the number of children 
        counted under section 1124(c) for counties, and State 
        educational agencies shall suballocate county amounts 
        to local educational agencies, in accordance with 
        regulations published by the Secretary. In any State in 
        which a large number of local educational agencies 
        overlap county boundaries, the State educational agency 
        may apply to the Secretary for authority during any 
        particular fiscal year to make the allocations under 
        this part (other than this section) directly to local 
        educational agencies without regard to the counties. If 
        the Secretary approves an application of a State 
        educational agency for a particular year under this 
        paragraph, the State educational agency shall provide 
        assurances that--
                  [(A) such allocations will be made using 
                precisely the same factors for determining a 
                grant as are used under this part;
                  [(B) such allocations will be made using 
                alternative data approved by the Secretary that 
                the State determines best reflects the 
                distribution of children in poor families and 
                is adjusted to be equivalent in proportion to 
                the number of children determined in accordance 
                with section 1124(c); or
                  [(C) such allocations will be made using data 
                that the State educational agency submits to 
                the Secretary for approval that more accurately 
                target poverty.
        [In addition, the State educational agency shall 
        provide assurances that a procedure will be established 
        through which local educational agencies dissatisfied 
        with the determinations made by the State educational 
        agency may appeal directly to the Secretary for a final 
        determination. A State may reserve not more than 2 
        percent of its allocations in fiscal years 1996 through 
        1998 under this section for the purpose of making 
        grants to local educational agencies that meet the 
        criteria of clause (i) or (ii) of paragraph (1)(A), but 
        are in ineligible counties. For fiscal years beginning 
        with 1999, for each local educational agency serving an 
        area with a total population of at least 20,000 
        persons, the grant under this section shall be the 
        amount determined by the Secretary. For local 
        educational agencies serving areas with total 
        populations of fewer than 20,000 persons, the State 
        educational agency may either (i) distribute to such 
        local educational agencies grants under this section 
        equal to the amounts determined by the Secretary; or 
        (ii) use an alternative method, approved by the 
        Secretary, to distribute the share of the State's total 
        grants under this section that is based on 
localeducational agencies with total populations of fewer than 20,000 
persons. Such an alternative method of distributing grants under this 
section among a State's local educational agencies serving areas with 
total populations of fewer than 20,000 persons shall be based upon 
population data that the State educational agency determines best 
reflects the current distribution of children in poor families among 
the State's local educational agencies serving areas with total 
populations of fewer than 20,000 persons and meeting the eligibility 
criteria of paragraph (1)(A). If a local educational agency serving an 
area with total population of less than 20,000 persons is dissatisfied 
with the determination of its grant by the State educational agency, 
then such local educational agency may appeal this determination to the 
Secretary. The Secretary shall respond to this appeal within 45 days of 
receipt. The Secretary shall consult with the Secretary of Commerce 
regarding whether available data on population for local educational 
agencies serving areas with total populations of fewer than 20,000 
persons are sufficiently reliable to be used to determine final grants 
to such areas meeting the eligibility criteria of paragraph (1)(A).
    [(b) Reservation of Funds.--Of the total amount of funds 
available for this section and sections 1124 and 1125, an 
amount equal to the appropriation for fiscal year 1995 for 
section 1006 of this Act (as such section was in effect on the 
day preceding the date of enactment of this Act) shall be 
available to carry out this section.
    [(c) Ratable Reduction Rule.--If the sums available under 
subsection (b) for any fiscal year for making payments under 
this section are not sufficient to pay in full the total 
amounts which all States are eligible to receive under 
subsection (a) for such fiscal year, the maximum amounts which 
all States are eligible to receive under subsection (a) for 
such fiscal year shall be ratably reduced. In the case that 
additional funds become available for making such payments for 
any fiscal year during which the preceding sentence is 
applicable, such reduced amounts shall be increased on the same 
basis as they were reduced.
    [(d) States Receiving Minimum Grants.--In States that 
receive the minimum grant under subsection (a)(1)(B), the State 
educational agency shall allocate such funds among the local 
educational agencies in each State either--
          [(1) in accordance with paragraphs (2) and (4) of 
        subsection (a); or
          [(2) based on their respective concentrations and 
        numbers of children counted under section 1124(c), 
        except that only those local educational agencies with 
        concentrations or numbers of children counted under 
        section 1124(c) that exceed the statewide average 
        percentage of such children or the statewide average 
        number of such children shall receive any funds on the 
        basis of this paragraph.

[SEC. 1125. [20 U.S.C. 6335] TARGETED GRANTS TO LOCAL EDUCATIONAL 
                    AGENCIES.

    [(a) Eligibility of Local Educational Agencies.--A local 
educational agency in a State is eligible to receive a targeted 
grant under this section for any fiscal year if the number of 
children in the local educational agency counted under 
subsection 1124(c), before application of the weighting factor 
described in subsection (c), is at least 10, and if the number 
of children counted for grants under section 1124 is at least 5 
percent of the total population aged 5 to 17 years, inclusive, 
in the local educational agency. Funds made available as a 
result of applying this subsection shall be reallocated by the 
State educational agency to other eligible local educational 
agencies in the State in proportion to the distribution of 
other funds under this section.
    [(b) Grants for Local Educational Agencies, the District of 
Columbia, and Puerto Rico.--
          [(1) In general.--The amount of the grant that a 
        local educational agency in a State or that the 
        District of Columbia is eligible to receive under this 
        section for any fiscal year shall be the product of--
                  [(A) the weighted child count determined 
                under subsection (c); and
                  [(B) the amount in the second sentence of 
                subparagraph 1124(a)(1)(A).
          [(2) Puerto rico.--For each fiscal year, the amount 
        of the grant for which the Commonwealth of Puerto Rico 
        is eligible under this section shall be equal to the 
        number of children counted under subsection (c) for 
        Puerto Rico, multiplied by the amount determined in 
        subparagraph 1124(a)(3).
    [(c) Weighted Child Count.--
          [(1) Fiscal years 1966-1998.--
                  [(A) In general.--The weighted child count 
                used to determine a county's allocation under 
                this section is the larger of the two amounts 
                determined under clause (i) or (ii), as 
                follows:
                          [(i) By percentage of children.--This 
                        amount is determined by adding--
                                  [(I) the number of children 
                                determined under section 
                                1124(c) for that county 
                                constituting up to 12.20 
                                percent, inclusive, of the 
                                county's total population aged 
                                5 to 17, inclusive, multiplied 
                                by 1.0;
                                  [(II) the number of such 
                                children constituting more than 
                                12.20 percent, but not more 
                                than 17.70 percent, of such 
                                population, multiplied by 1.75;
                                  [(III) the number of such 
                                children constituting more then 
                                17.70 percent, but not more 
                                than 22.80 percent, of such 
                                population, multiplied by 2.5;
                                  [(IV) the number of such 
                                children constituting more than 
                                22.80 percent, but not more 
                                than 29.70 percent, of such 
                                population, multiplied by 3.25; 
                                and
                                  [(V) the number of such 
                                children constituting more than 
                                29.70 percent of such 
                                population, multiplied by 4.0.
                          [(ii) By number of children.--This 
                        amount is determined by adding--
                                  [(I) the number of children 
                                determined under section 
                                1124(c) constituting up to 
                                1,917, inclusive,of the 
county's total population aged 5 to 17, inclusive, mutlipled by 1.0;
                                 [(II) the number of such 
                                children between 1,918 and 
                                5,938, inclusive, in such 
                                population, multiplied by 1.5;
                                 [(III) the number of such 
                                children between 5,939 and 
                                20,199, inclusive, in such 
                                population, multiplied by 2.0;
                                 [(IV) the number of such 
                                children between 20,200 and 
                                77,999, inclusive, in such 
                                population, multiplied by 2.5; 
                                and
                                 [(V) the number of such 
                                children in excess of 77,999 in 
                                such population, multiplied by 
                                3.0.
                 [(B) Puerto rico.--Notwithstanding 
                subparagraph (A), the weighting factor for 
                Puerto Rico under this paragraph shall not be 
                greater than the total number of children 
                counted under subsection 1124(c) multiplied by 
                1.72.
        [(2) Fiscal years after 1999.--
                [(A) In general.--For each fiscal year 
                beginning with fiscal year 1999 for which the 
                Secretary uses local educational agency data, 
                the weighted child count used to determine a 
                local educational agency's grant under section 
                is the larger of the two amounts determined 
                under clauses (i) and (ii), as follows:
                         [(i) By percentage of children.--This 
                        amount is determined by adding--
                                 [(I) the number of children 
                                determined under section 
                                1124(c) for that local 
                                educational agency constituting 
                                up to 14.265 percent, 
                                inclusive, of the agency's 
                                total population aged 5 to 17, 
                                inclusive, multiplied by 1.0;
                                 [(II) the number of such 
                                children constituting more than 
                                14.265 percent, but not more 
                                than 21.553 percent, of such 
                                population, multiplied by 1.75;
                                 [(III) the number of such 
                                children constituting more than 
                                21.553 percent, but not more 
                                than 29.223 percent, of such 
                                population, multiplied by 2.5;
                                 [(IV) the number of such 
                                children constituting more than 
                                29.223 percent, but not more 
                                than 36.538 percent, of such 
                                population, multiplied by 3.25; 
                                and
                                 [(V) the number of such 
                                children constituting more than 
                                36.538 percent of such 
                                population, multiplied by 4.0.
                         [(ii) By number of children.--This 
                        amount is determined by adding--
                                 [(I) the number of children 
                                determined under section 
                                1124(c) constituting up to 575, 
                                inclusive, of the agency's 
                                total population aged 5 to 17, 
                                inclusive, multiplied by 1.0;
                                 [(II) the number of such 
                                children between 576 and 1,870, 
                                inclusive, in such population, 
                                multiplied by 1.5;
                                 [(III) the number of such 
                                children between 1,871 and 
                                6,910, inclusive, in such 
                                population multiplied by 2.0;
                                 [(IV) the number of such 
                                children between 6,911 and 
                                42,000, inclusive, in such 
                                population, multiplied by 2.5; 
                                and
                                 [(V) the number of such 
                                children in excess of 42,000 in 
                                such population, multiplied by 
                                3.0.
                 [(B) Puerto rico.--Notwithstanding 
                subparagraph (A), the weighting factor for 
                Puerto Rico under this paragraph shall not be 
                greater than the total number of children 
                counted under section 1124(c) multiplied by 
                1.72.
    [(d) Local Educational Agency Allocations.--For fiscal 
years 1995 through 1998, grants shall be calculated by the 
Secretary on the basis of the number of children counted under 
section 1124 for counties, and State educational agencies shall 
suballocate county amounts to local educational agencies, in 
accordance with regulations published by the Secretary. In any 
State in which a large number of local educational agencies 
overlap county boundaries, the State educational agency may 
apply tot he Secretary for authority during any particular 
fiscal year to make the allocations under this part (other than 
section 1124A) directly to local educational agencies without 
regard to the counties. If the Secretary approves an 
application of a State educational agency for a particular year 
under this subparagraph, the State educational agency shall 
provide assurances that--
         [(1) such allocations will be made using precisely the 
        same factors for determining a grant as are used under 
        this part;
         [(2) such allocations will be made using alternative 
        data approved by the Secretary that the State 
        determines best reflects the distribution of children 
        in poor families and is adjusted to be equivalent in 
        proportion to the number of children determined in 
        accordance with section 1124(c); or
         [(3) such allocations will be made using data that the 
        State educational agency submits to the Secretary for 
        approval that more accurately target poverty.
 [In addition, the State educational agency shall provide 
assurances that a procedure will be established through which 
local educational agencies dissatisfied with the determinations 
made by the State educational agency may appeal directly to the 
Secretary for a final determination. For fiscal years beginning 
in 1999, for each local educational agency serving an area with 
a total population of at least 20,000 persons, the grant under 
this section shall be the amount determined by the Secretary. 
For local educational agencies serving areas with total 
populations of fewer than 20,000 persons, the State educational 
agency may either (1) distribute to such local educational 
agencies grants under this section equal to the amounts 
determined by the Secretary; or (2) use an alternative method, 
approved by the Secretary to distribute the share of the 
State's total grants under this section that is based on local 
educational agencies with total populations of fewer than 
20,000persons. Such an alternative method of distributing 
grants under this section among a State's local educational agencies 
serving areas with total populations of fewer than 20,000 persons shall 
be based upon population data that the State educational agency 
determines best reflects the current distribution of children in poor 
families among the State's local educational agencies serving areas 
with total populations of fewer than 20,000 persons. If a local 
educational agency serving an area with total populations of less than 
20,000 persons is dissatisfied with the determination of its grant by 
the State educational agency, then the local educational agency may 
appeal this determination to the Secretary. The Secretary shall respond 
to this appeal within 45 days of receipt.
    [(e) State Minimum.--Notwithstanding any other provision of 
this subsection or subsection (b)(1) or (d) of section 1122, 
from the total amount available for any fiscal year to carry 
out this section, each State shall be allotted at least the 
lesser of--
          [(1) 0.25 percent of total appropriations; or
          [(2) the average of--
                  [(A) one-quarter of 1 percent of the total 
                amount available to carry out this section; and
                  [(B) 150 percent of the national average 
                grant under this section per child described in 
                section 1124(c), without application of a 
                weighting factor, multiplied by the State's 
                total number of children described in section 
                1124(c), without application of a weighting 
                factor.

[SEC. 1125A. [20 U.S.C. 6336] EDUCATION FINANCE INCENTIVE PROGRAM.

    [(a) Grants.--The Secretary is authorized to make grants to 
States from the sums appropriated pursuant to subsection (e) to 
carry out the purposes of this part.
    [(b) Distribution Based Upon Fiscal Effort and Equity.--
          [(1) In general.--Funds appropriated pursuant to 
        subsection (e) shall be allotted to each State based 
        upon the number of children aged 5 to 17, inclusive, of 
        such State multiplied by the product of--
                  [(A) such State's effort factor described in 
                paragraph (2); multiplied by
                  [(B) 1.30 minus such State's equity factor 
                described in paragraph (3),
except that for each fiscal year no State shall receive less 
than one-quarter of 1 percent of the total amount appropriated 
pursuant to subsection (e) for such fiscal year.
          [(2) Effort factor.--Except as provided in 
        subparagraph (B), the effort factor for a State shall 
        be determined in accordance with the succeeding 
        sentence, except that such factor shall not be less 
        than .95 nor greater than 1.05. The effort factor 
        determined under this sentence shall be a fraction the 
        numerator of which is the product of the three-year 
        average per-pupil expenditure in the State multiplied 
        by the three-year average per capita income in the 
        United States and the denominator of which is the 
        product of the three-year average per capita income in 
        such State multiplied by the three-year average per-
        pupil expenditure in the United States.
          [(B) The effort factor for the Commonwealth of Puerto 
        Rico shall be equal to the lowest effort factor 
        calculated under subparagraph (A) for any State.
          [(3) Equity factor.--(A)(i) Except as provided in 
        subparagraph (B), the Secretary shall determine the 
        equity factor under this section for each State in 
        accordance with clause (ii).
          [(ii)(I) For each State, the Secretary shall compute 
        a weighted coefficient of variation for the per-pupil 
        expenditures of local educational agencies in 
        accordance with subclauses (II), (III), (IV), and (V).
          [(II) In computing coefficients of variation, the 
        Secretary shall weigh the variation between per-pupil 
        expenditures in each local educational agency and the 
        average per-pupil expenditures in the State according 
        to the number of pupils in the local educational 
        agency.
          [(III) In determining the number of pupils under this 
        paragraph in each local educational agency and each 
        State, the Secretary shall multiply the number of 
        children from low-income families by 1.4 under this 
        paragraph.
          [(IV) In computing coefficients of variation, the 
        Secretary shall include only those local educational 
        agencies with an enrollment of more than 2000 students.
          [(V) The Secretary shall compute separate 
        coefficients of variation for elementary, secondary, 
        and unified local educational agencies and shall 
        combine such coefficients into a single weighted 
        average coefficient for the State by multiplying each 
        coefficient by the total enrollments of the local 
        educational agencies in each group, adding such 
        products, and dividing such sum by the total 
        enrollments of the local educational agencies in the 
        State.
          [(B) The equity factor for a State that meets the 
        disparity standard described in section 222.63 of title 
        34, Code of Federal Regulations (as such section was in 
        effect on the day preceding the date of enactment of 
        this Act) or a State with only one local educational 
        agency shall be not greater than .10.
          [(C) The Secretary may revise each State's equity 
        factor as necessary based on the advice of independent 
        education finance scholars to reflect other need-based 
        costs of local educational agencies in addition to low-
        income student enrollment, such as differing geographic 
        costs, costs associated with students with 
        disabilities, children with limited-English proficiency 
        or other meaningful educational needs, which deserve 
        additional support. In addition and also with the 
        advice of independent education finance scholars, the 
        Secretary may revise each State's equity factor to 
        incorporate other valid and accepted methods to achieve 
        adequacy of educational opportunity that may not be 
        reflected in a coefficient of variation method.
    [(c) Use of Funds.--All funds awarded to each State under 
this section shall be allocated to local educational agencies 
and schools on a basis consistent with the distribution of 
other funds to such agencies and schools under sections 1124, 
1124A, and 1125 to carry out activities under this part.
    [(d) Maintenance of Effort.--
          [(1) In general.--Except as provided in paragraph 
        (2), a State is entitled to receive its full allotment 
        of funds under this part for any fiscal year if the 
        Secretary finds that either the combined fiscal effort 
        per student or the aggregate expenditures within the 
        State with respect to the provision of free public 
        education for the fiscal year preceding the fiscal year 
        for which the determination is made was not less that 
        90 percent of such combined fiscal effort or aggregate 
        expenditures for the second fiscal year preceding the 
        fiscal year for which the determination is made.
          [(2) Reduction of funds.--The Secretary shall reduce 
        the amount of the funds awarded to any State under this 
        section in any fiscal year in the exact proportion to 
        which the State fails to meet the requirements of 
        paragraph (1) by falling below 90 percent of both the 
        fiscal effort per student and aggregate expenditures 
        (using the measure most favorable to the State), and no 
        such lesser amount shall be used for computing the 
        effort required under paragraph (1) for subsequent 
        years.
          [(3) Waivers.--The Secretary may waive, for one 
        fiscal year only, the requirements of this subsection 
        if the Secretary determines that such a waiver would be 
        equitable due to exceptional or uncontrollable 
        circumstances such as a natural disaster or a 
        precipitous and unforeseen decline in the financial 
        resources of the State.
    [(e) Authorization of Appropriations.--For the purpose of 
making grants under this section, there are authorized to be 
appropriated $200,000,000 for fiscal year 1996 and such sums as 
may be necessary for each of the three succeeding fiscal years.

[SEC. 1126. [20 U.S.C 6337] SPECIAL ALLOCATION PROCEDURES.

    [(a) Allocations for Neglected Children.--
          [(1) In general.--If a State educational agency 
        determines that a local educational agency in the State 
        is unable or unwilling to provide for the special 
        educational needs of children who are living in 
        institutions for neglected children as described in 
        subparagraph 1124(c)(1)(C), the State educational 
        agency shall, if such agency assumes responsibility for 
        the special educational needs of such children, receive 
        the portion of such local educational agency's 
        allocation under sections 1124, 1124A, and 1125 that is 
        attributable to such children.
          [(2) Special rule.--If the State educational agency 
        does not assume such responsibility, any other State or 
        local public agency that does assume such 
        responsibility shall receive that portion of the local 
        educational agency's allocation.
    [(b) Allocations Among Local Educational Agencies.--The 
State educational agency may allocate the amounts of grants 
under sections 1124, 1124A, and 1125 among the affected local 
educational agencies--
          [(1) if two or more local educational agencies serve, 
        in whole or in part, the same geographical area;
          [(2) if a local educational agency provides free 
        public education for children who reside in the school 
        district of another local educational agency; or
          [(3) To reflect the merger, creation, or change of 
        boundaries of one or more local educational agencies.
    [(c) Reallocation.--If a State educational agency 
determines that the amount of a grant a local educational 
agency would receive under sections 1124, 1124A, and 1125 is 
more than such local agency will use, the State educational 
agency shall make the excess amount available to other local 
educational agencies in the State that need additional funds in 
accordance with criteria established by the State educational 
agency.

[SEC. 1127. [20 U.S.C. 6338] CARRYOVER AND WAIVER.

    [(a) Limitation on Carryover.--Nothwithstanding section 421 
of the General Education Provisions Act or any other provision 
of law, not more than 15 percent of the funds allocated to a 
local educational agency for any fiscal year under this subpart 
(but not including funds received through any reallocation 
under this subpart) may remain available for obligation by such 
agency for one additional fiscal year.
    [(b) Waiver.--A State educational agency may, once every 
three years, waive the percentage limitation in subsection (a) 
if--
          [(1) the agency determines that the request of a 
        local educational agency is reasonable and necessary; 
        or
          [(2) supplemental appropriations for this subpart 
        become available.
    [(c) Exclusion.--The percentage limitation under subsection 
(a) shall not apply to any local educational agency that 
receives less than $50,000 under this subpart for any fiscal 
year.

                         Subpart 2--Allocations

SEC. 1121. GRANTS FOR THE OUTLYING AREAS AND THE SECRETARY OF THE 
                    INTERIOR.

    (a) Reservation Funds.--From the amount appropriated for 
any fiscal year under section 1002(a), the Secretary shall 
reserve a total of 1 percent to provide assistance to--
          (1) the outlying areas on the basis of their 
        respective need for such assistance according to such 
        criteria as the Secretary determines will best carry 
        out the purpose of this part; and
          (2) the Secretary of the Interior in the amount 
        necessary to make payments pursuant to subsection (c).
    (b) Assistance to the Outlying Areas.--
          (1) In general.--From amounts made available under 
        section (a)(1) in each fiscal year the Secretary shall 
        make grants to local educational agencies in the 
        outlying areas.
          (2) Competitive grants.--
                  (A) In general.--For fiscal years 2000 and 
                2001, the Secretary shall reserve $5,000,000 
                from the amounts made available under 
                subsection (a)(1) to award grants, on a 
                competitive basis, to local educational 
                agencies in the Freely Associated States. The 
                Secretary shall award such grants according to 
                the recommendations of the Pacific Region 
                Educational Laboratory which shall conduct a 
                competition for such grants.
                  (B) Uses.--Except as provided in subparagraph 
                (C), grant funds awarded under this paragraph 
                only may be used--
                          (i) for programs described in this 
                        Act, including teacher training, 
                        curriculum development, instructional 
                        materials, or general school 
                        improvement and reform; and
                          (ii) to provide direct educational 
                        services.
                  (C) Administrative costs.--The Secretary may 
                provide 5 percent of the amount made available 
                for grants under this paragraph to the Pacific 
                Region Educational Laboratory to pay the 
                administrative costs of the Pacific Region 
                Educational Laboratory regarding activities 
                assisted under this paragraph.
    (c) Allotment to the Secretary of the Interior.--
          (1) In general.--The amount reserved for payments to 
        the Secretary of the Interior under subsection (a)(2) 
        for any fiscal year shall be, as ]determined pursuant 
to criteria established by the Secretary, the amount necessary to meet 
the special educational needs of--
                  (A) Indian children on reservations served by 
                elementary schools and secondary schools for 
                Indian children operated or supported by the 
                Department of the Interior; and
                  (B) out-of-State Indian children in 
                elementary schools and secondary schools in 
                local educational agencies under special 
                contracts with the Department of the Interior.
          (2) Payments.--From the amount reserved for payments 
        to the Secretary of the Interior under subsection 
        (a)(2), the Secretary of the Interior shall make 
        payments to local educational agencies, upon such terms 
        as the Secretary determines will best carry out the 
        purposes of this part, with respect to out-of-State 
        Indian children described in paragraph (1)(B). The 
        amount of such payment may not exceed, for each such 
        child, the greater of--
                  (A) 40 percent of the average per-pupil 
                expenditure in the State in which the agency is 
                located; or
                  (B) 48 percent of such expenditure in the 
                United States.

SEC. 1122. AMOUNTS FOR BASIC GRANTS, CONCENTRATION GRANTS, AND TARGETED 
                    GRANTS.

    (a) In General.--For each of the fiscal years 2001 through 
2005--
          (1) the amount appropriated to carry out this part 
        that is less than or equal to the amount appropriated 
        to carry out section 1124 for fiscal year 2000, shall 
        be allocated in accordance with section 1124;
          (2) the amount appropriated to carry out this part 
        that is not used under paragraph (1) that equals the 
        amount appropriated to carry out section 1124A for 
        fiscal year 2000, shall be allocated in accordance with 
        section 1124A; and
          (3) any amount appropriated to carry out this part 
        for the fiscal year for which the determination is made 
        that is not used to carry out paragraphs (1) and (2) 
        shall be allocated in accordance with section 1125.
    (b) Adjustments Where Necessitated by Appropriations.--
          (1) In general.--If the sums made available under 
        this part for any fiscal year are insufficient to pay 
        the full amounts that all local educational agencies in 
        States are legible to receive under sections 1124, 
        1124A, and 1125 for such year, the Secretary shall 
        ratably reduce the allocations to such local 
        educational agencies, subject to subsections (c) and 
        (d).
          (2) Additional funds.--If additional funds become 
        available for making payments under sections 1124, 
        1124A, and 1125 for such fiscal year, allocations that 
        were reduced under paragraph (1) shall be increased on 
        the same basis as the allocations were reduced.
    (c) Hold-Harmless Amounts.--
          (1) In general.--For each fiscal year the amount made 
        available to each local educational agency under each 
        of sections 1124, 1124A, and 1125 shall be not less 
        than--
                  (A) 95 percent of the amount made available 
                to the local educational agency under each such 
                section for the preceding fiscal year if the 
                number of children counted for grants under 
                section 1124 is not less than 30 percent of the 
                total number of children aged 5 to 17 years, 
                inclusive, served by the local educational 
                agency;
                  (B) 90 percent of the amount made available 
                to the local educational agency under each such 
                section for the preceding fiscal year if such 
                percentage is not less than 15 percent and not 
                more than 30 percent; and
                  (C) 85 percent of the amount made available 
                to the local educational agency under each such 
                section for the preceding fiscal year if such 
                percentage is less than 15 percent.
          (2) Special rules.--if sufficient funds are 
        appropriated, the hold-harmless amounts described in 
        paragraph (1) shall be paid to all local educational 
        agencies that received grants under sections 1124, 
        1124A, or 1125 for the preceding fiscal year, 
        regardless of whether the local educational agency 
        meets the minimum eligibility criteria provided in 
        section 1124(b), 1124A(a)(1 (A), or 1125(a), 
        respectively, except that a local educational agency 
        that does not meet such minimum eligibility criteria 
        for 5 consecutive years shall no longer be eligible to 
        receive a hold-harmless amount under this subsection.
          (3) County calculation basis.--Any fiscal year for 
        which the Secretary calculates grants on the basis of 
        population data for counties, the Secretary shall apply 
        the hold-homeless percentages in paragraphs (1) and (2) 
        to counties, and if the Secretary's allocation for a 
        county is not sufficient to meet the hold-harmless 
        requirements of this subsection for every local 
        educational agency within that county, then the State 
        educational agency shall reallocate 
fundsproportionately from all other local educational agencies in the 
State that receive funds for the fiscal year in excess of the hold-
harmless amounts specified in this paragraph.
        (d) Ratable Reductions.--
          (1) In general.--If the sums made available under 
        this part of any fiscal year are insufficient to pay 
        the full amounts that all States are eligible to 
        receive under subsection (c) for such year, the 
        Secretary shall ratably reduce such amounts for such 
        year.
          (2) Additional funds.--If additional funds become 
        available for making payments under subsection (c) for 
        such fiscal year, amounts that were reduced under 
        paragraph (1) shall be increased on the same basis as 
        such amounts reduced.

SEC. 1123. DEFINITIONS.

    In this subpart:
          (1) Freely associated states.--The term ``Freely 
        Associated States'' means the Republic of the Marshall 
        Islands, the Federated States of Micronesia, and the 
        Republic of Palau.
          (2) Outlying areas.--The term ``outlying areas'' 
        means the United States Virgin Islands, Guam, American 
        Samoa, and the Commonwealth of the Northern Mariana 
        Islands.
          (3) State.--The term State means each of the several 
        States of the United States, the District of Columbia, 
        and the Commonwealth of Puerto Rico.

SEC. 1124. BASIC GRANTS TO LOCAL EDUCATIONAL AGENCIES.

    (a) Amount of Grants.--
          (1) Grants for local educational agencies and puerto 
        rico.--Except as provided in paragraph (4) and in 
        section 1126, the grant that a local educational agency 
        is eligible to receive under this section for a fiscal 
        year is the amount determined by multiplying--
                  (A) the number of children counted under 
                subsection (c); and
                  (B) 40 percent of the average per-pupil 
                expenditure in the State, except that the 
                amount determined under this subparagraph shall 
                not be less than 32 percent, and not more than 
                48 percent, of the average per-pupil 
                expenditure in the United States.
          (2) Calculation of grants.--
                  (A) Allocations to local educational 
                agencies.--The Secretary shall calculate grants 
                under this section on the basis of the number 
                of children counted under subsection (c) for 
                local educational agencies, unless the 
                Secretary and the Secretary of Commerce 
                determine that some or all of those data are 
                unreliable or that their use would be otherwise 
                inappropriate, in which case--
                          (i) the Secretary and the Secretary 
                        of Commerce shall publicly disclose the 
                        reasons for their determination in 
                        detail; and
                          (ii) paragraph (3) shall apply.
                  (B) Allocations to large and small local 
                educational agencies.--
                          (i) Large local educational 
                        agencies.--In the case of an allocation 
                        under this section to a large local 
                        educational agency, the amount of the 
                        grant under this section for the large 
                        local educational agency shall be the 
                        amount determined under paragraph (1).
                          (ii) Small local educational 
                        agencies.--
                                  (I) In general.--In the case 
                                of an allocation under this 
                                section to a small local 
                                educational agency the State 
                                educational agency may--
                                          (aa) distribute 
                                        grants under this 
                                        section in amounts 
                                        determined by the 
                                        Secretary under 
                                        paragraph (1); or
                                          (bb) use an 
                                        alternative method 
                                        approved by the 
                                        Secretary to distribute 
                                        the portion of the 
                                        State's total grants 
                                        under this section that 
                                        is based on those small 
                                        local educational 
                                        agencies.
                                  (II) Alternative method.--An 
                                alternative method under 
                                subclause (I)(bb) shall be 
                                based on population data that 
                                the State educational agency 
                                determines best reflect the 
                                current distribution of 
                                children in poor families among 
                                the State's small local 
                                educational agencies that meet 
                                the minimum number of children 
                                to qualify described in 
                                subsection (b).
                                  (III) Appeal.--If a small 
                                local educational agency is 
                                dissatisfied with the 
                                determination of the amount of 
                                its grant by the State 
                                educational agency under 
                                subclause (I)(bb), the small 
                                localeducational agency may 
appeal the determination to the Secretary, who shall respond within 45 
days of receiving the appeal.
                          (iii) Definitions.--In this 
                        subparagraph--
                                  (I) the term ``large local 
                                educational agency'' means a 
                                local educational agency 
                                serving a school district with 
                                a total population of 20,000 or 
                                more; and
                                  (II) the term ``small local 
                                educational agency'' means a 
                                local educational agency 
                                serving a school district with 
                                a total population of less than 
                                20,000.
          (3) Allocations to counties.--
                  (A) In general.--For any fiscal year to which 
                this paragraph applies, the Secretary shall 
                calculate grants under this section on the 
                basis of the number of children counted under 
                section 1124(c) for counties, and State 
                educational agencies shall allocate county 
                amounts to local educational agencies, in 
                accordance with regulations promulgated by the 
                Secretary.
                  (B) Application.--In any State in which a 
                large number of local educational agencies 
                overlap county boundaries, or for which the 
                State believes the State has data that would 
                better target funds than allocating the funds 
                by county, the State educational agency may 
                apply to the Secretary for authority to make 
                the allocations under this part for a 
                particular fiscal year directly to local 
                educational agencies without regard to 
                counties.
                  (C) Allocations to local educational 
                agencies.--If the Secretary approves its 
                application under subparagraph (B), the State 
                educational agency shall provide the Secretary 
                an assurance that the allocations will be 
                made--
                          (i) using precisely the same factors 
                        for determining a grant as are used 
                        under this section; or
                          (ii) using data that the State 
                        educational agency submits to the 
                        Secretary for approval that more 
                        accurately target poverty.
                  (D) Appeal.--The State educational agency 
                shall provide the Secretary an assurance that a 
                procedure is or will be established through 
                which local educational agencies that are 
                dissatisfied with determinations under 
                subparagraph (B) may appeal directly to the 
                Secretary for a final determination.
          (4) Puerto rico.--For each fiscal year, the Secretary 
        shall determine the percentage which the average per-
        pupil expenditure in the Commonwealth of Puerto Rico is 
        of the lowest average per-pupil expenditure of any of 
        the 50 States. The grant which the Commonwealth of 
        Puerto Rico shall be eligible to receive under this 
        section for a fiscal year shall be the amount arrived 
        at by multiplying the number of children counted under 
        subsection (c) for the Commonwealth of Puerto Rico by 
        the product of--
                  (A) the percentage determined under the 
                preceding sentence; and
                  (B) 32 percent of the average per-pupil 
                expenditure in the United States.
    (b) Minimum Number of Children To Qualify.--A local 
educational agency is eligible for a basic grant under this 
section for any fiscal year only if the number of children 
counted under subsection (c) for that agency is--
          (1) 10 or more; and
          (2) more than 2 percent of the total school-age 
        population in the school district of the local 
        educational agency.
    (c) Children To Be Counted.--
          (1) Categories of children.--The number of children 
        to be counted for purposes of this section is the 
        aggregate of--
                  (A) the number of children aged 5 to 17, 
                inclusive, in the school district of the local 
                educational agency from families below the 
                poverty level as determined under paragraphs 
                (2) and (3);
                  (B) the number of children aged 5 to 17, 
                inclusive, in the school district of such 
                agency from families above the poverty level as 
                determined under paragraph (4); and
                  (C) the number of children determined under 
                paragraph (4) for the preceding year as 
                described in that paragraph, or for the second 
                preceding year, as the Secretary finds 
                appropriate) aged 5 to 17, inclusive, in the 
                school district of such agency in institutions 
                for neglected and delinquent children and youth 
                (other than such institutions operated by the 
                United States), but not counted pursuant to 
                chapter 1 of subpart2 of part C of title III 
for the purposes of a grant to a State agency, or being supported in 
foster homes with public funds.
          (2) Determination of number of children.--For the 
        purposes of this section, the Secretary shall determine 
        the number of children aged 5 to 17, inclusive, from 
        families below the poverty level on the basis of the 
        most recent satisfactory data, described in paragraph 
        (3), available from the Department of Commerce. The 
        District of Columbia and the Commonwealth of Puerto 
        Rico shall be treated as individual local educational 
        agencies. If a local educational agency contains 2 or 
        more counties in their entirety, then each county will 
        be treated as if such county were a separate local 
        educational agency for purposes of calculating grants 
        under this part. The total of grants for such counties 
        shall be allocated to such a local educational agency, 
        which local educational agency shall distribute to 
        schools in each county within such agency a share of 
        the local educational agency's total grant that is no 
        less than the county's share of the population counts 
        used to calculate the local educational agency's grant.
          (3) Population updates.--In fiscal year 2001 and 
        every 2 years thereafter, the Secretary shall use 
        updated data on the number of children, aged 5 to 17, 
        inclusive, from families below the poverty level for 
        counties or local educational agencies, published by 
        the Department of Commerce, unless the Secretary and 
        the Secretary of Commerce determine that use of the 
        updated population data would be inappropriate or 
        unreliable. If the Secretary and the Secretary of 
        Commerce determine that some or all of the data 
        referred to in this paragraph are inappropriate or 
        unreliable, the Secretary and the Secretary of Commerce 
        shall publicly disclose their reasons. In determining 
        the families which are below the poverty level, the 
        Secretary shall utilize the criteria of poverty used by 
        the Bureau of the Census in compiling the most recent 
        decennial census, in such form as those criteria have 
        been updated by increases in the Consumer Price Index 
        for all urban consumers, published by the Bureau of 
        Labor Statistics.
          (4) Other children to be counted.--For purposes of 
        this section, the Secretary shall determine the number 
        of children aged 5 to 17, inclusive, from families 
        above the poverty level on the basis of the number of 
        such children from families receiving an annual income, 
        in excess of the current criteria of poverty, from 
        payments under a State program funded under part A of 
        title IV of the Social Security Act. In making such 
        determinations the Secretary shall utilize the criteria 
        of poverty used by the Bureau of the Census in 
        compiling the most recent decennial census for a family 
        of 4 in such form as those criteria have been updated 
        by increases in the Consumer Price Index for all urban 
        consumers, published by the Bureau of Labor Statistics. 
        The Secretary shall determine the number of children 
        aged 5 through 17 living in institutions for neglected 
        or delinquent children, or being supported in foster 
        homes with public funds, on the basis of the caseload 
        data for the month of October of the preceding fiscal 
        year (using, in the case of children described in the 
        preceding sentence, the criteria of poverty and the 
        form of such criteria required by such sentence which 
        were determined for the calendar year preceding such 
        month of October) or, to the extent that such data are 
        not available to the Secretary before January of the 
        calendar year in which the Secretary's determination is 
        made, then on the basis of the most recent reliable 
        data available to the Secretary at the time of such 
        determination. The Secretary of Health and Human 
        Services shall collect and transmit the information 
        required by this sub-paragraph to the Secretary not 
        later than January 1 of each year. For the purpose of 
        this section, the Secretary shall consider all children 
        who are in correctional institutions to be living in 
        institutions for delinquent children.
          (5) Estimate.--When requested by the Secretary, the 
        Secretary of Commerce shall make a special updated 
        estimate of the number of children of such ages who are 
        from families below the poverty level (as determined 
        under paragraph (2)) in each school district, and the 
        Secretary is authorized to pay (either in advance or by 
        way of reimbursement) the Secretary of Commerce the 
        cost of making this special estimate. The Secretary of 
        Commerce shall give consideration to any request of the 
        chief executive of a State for the collection of 
        additional census information. For purposes of this 
        section, the Secretary shall consider all children who 
        are in correctional institutions to be living in 
        institutions for delinquent children.
    (d) State Minimum.--Notwithstanding section 1122, the 
aggregate amount allotted for all local educational agencies 
within a State may not be less than the lesser of--
          (1) 0.23 percent of the total amount made available 
        to carry out this section for such fiscal year;
          (2) the average of--
                  (A) 0.25 percent of the total amount made 
                available to carry out this section for such 
                fiscal year; and
                  (B) the number of children in such State 
                counted under subsection (c) in the fiscal year 
                multiplied by 150 percent of the national 
                average per-pupil payment made with funds 
                available under this section for that fiscal 
                year.

SEC. 1124A. CONCENTRATION GRANTS TO LOCAL EDUCATIONAL AGENCIES.

    (a) Eligibility for and Amount of Grants.--
          (1) Eligibility.--
                  (A) In general.--Except as otherwise provided 
                in this paragraph, each local educational 
                agency in a State that is eligible for a grant 
                under section 1124 for any fiscal year is 
                eligible for an additional grant under this 
                section for that fiscal year if the number of 
                children counted under section 1124(c) who are 
                served by the agency exceeds--
                          (i) 6,500; or
                          (ii) 15 percent of the total number 
                        of children aged 5 through 17 served by 
                        the agency.
                  (B) Minimum.--Notwithstanding section 1122, 
                no State shall receive under this section an 
                amount that is less than the lesser of--
                          (i) 0.25 percent of the total amount 
                        made available to carry out this 
                        section for such fiscal year; or
                          (ii) the average of--
                                  (I) 0.25 percent of the sums 
                                available to carry out this 
                                section for such fiscal year; 
                                and
                                  (II) the greater of--
                                          (aa) $340,000; or
                                          (bb) the number of 
                                        children in such State 
                                        counted for purposes of 
                                        this section in that 
                                        fiscal year multiplied 
                                        by 150 percent of the 
                                        national average per-
                                        pupil payment made with 
                                        funds available under 
                                        this section for that 
                                        fiscal year.
          (2) Determination.--For each county or local 
        educational agency eligible to receive an additional 
        grant under this section for any fiscal year the 
        Secretary shall determine the product of--
                  (A) the number of children counted under 
                section 124(c) for that fiscal year; and
                  (B) the amount in section 1124(a)(1)(B) for 
                all States except the Commonwealth of Puerto 
                Rico, and the amount in section 1124(a)(3) for 
                the Commonwealth of Puerto Rico.
          (3) Amount.--The amount of the additional grant for 
        which an eligible local educational agency or county is 
        eligible under this section for any fiscal year shall 
        be an amount that bears the same ratio to the amount 
        available to carry out this section for that fiscal 
        year as the product determined under paragraph (2) for 
        such local educational agency for that fiscal year 
        bears to the sum of such products for all local 
        educational agencies in the United States for that 
        fiscal year.
          (4) Local allocations.--
                  (A) In general.--Grant amounts under this 
                section shall be calculated in the same manner 
                as grant amounts are calculated under section 
                1124(a) (2) and (3).
                  (B) Special rule.--For any fiscal year for 
                which the Secretary allocates funds under this 
                section on the basis of counties, a State may 
                reserve not more than 2 percent of the amount 
                made available to the State under this section 
                for any fiscal year to make grants to local 
                educational agencies that meet the criteria in 
                paragraph (1)(A)(i) or (ii) but that are in 
                ineligible counties.
    (b) Ratable Reduction Rule.--If the sums available under 
subsection (a) for any fiscal year for making payments under 
this section are not sufficient to pay in full the total 
amounts which all States are eligible to receive under 
subsection (a) for such fiscal year, the maximum amounts that 
all States are eligible to receive under subsection (a) for 
such fiscal year shall be ratably reduced. In the case that 
additional funds become available for making such payments for 
any fiscal year during which the preceding sentence is 
applicable, such reduced amounts shall be increased on the same 
basis as they were reduced.
    (c) States Receiving 0.25 Percent or Less.--In States that 
receive 0.25 percent or less of the total amount made available 
to carry out this section for a fiscal year, the State 
educational agency shall allocate such funds among the local 
educational agencies in the State--
          (1) in accordance with paragraphs (2) and (4) of 
        subsection (a); or
          (2) based on their respective concentrations and 
        numbers of children counted under section 
1124(c),except that only those local educational agencies with 
concentrations or numbers of children counted under section 1124(c) 
that exceed the statewide average percentage of such children or the 
statewide average number of such children shall receive any funds on 
the basis of this paragraph.

SEC. 1125. TARGETED GRANTS TO LOCAL EDUCATIONAL AGENCIES.

    (a) Eligibility of Local Educational Agencies.--
          (1) In general.--A local educational agency in a 
        State is eligible to receive a targeted grant under 
        this section for any fiscal year if--
                  (A) the number of children in the local 
                educational agency counted under section 
                1124(c), before application of the weighted 
                child count described in subsection (c), is at 
                least 10; and
                  (B) if the number of children counted for 
                grants under section 1124(c), before 
                application of the weighted child count 
                described in subsection (c), is at least 5 
                percent of the total number of children aged 5 
                to 17 years, inclusive, in the school district 
                of the local educational agency.
          (2) Special rule.--For any fiscal year for which the 
        Secretary allocates funds under this section on the 
        basis of counties, funds made available as a result of 
        applying this subsection shall be reallocated by the 
        State educational agency to other eligible local 
        educational agencies in the State in proportion to the 
        distribution of other funds under this section.
    (b) Grants for Local Educational Agencies, the District of 
Columbia, and the Commonwealth of Puerto Rico.--
          (1) In general.--The amount of the grant that a local 
        educational agency in a State (other than the 
        Commonwealth of Puerto Rico) is eligible to receive 
        under this section for any fiscal year shall be the 
        product of--
                  (A) the weighted child count determined under 
                subsection (c); and
                  (B) the amount of the grant the local 
                educational agency is eligible to receive under 
                section 1124(a)(1).
          (2) Puerto rico.--For each fiscal year, the amount of 
        the grant the Commonwealth of Puerto Rico is eligible 
        to receive under this section shall be equal to the 
        number of children counted under subsection (c) for the 
        Commonwealth of Puerto Rico, multiplied by the amount 
        determined in section 1124(a)(4) for the Commonwealth 
        of Puerto Rico.
    (c) Weighted Child Count.--
          (1) Weights for allocations to counties.--
                  (A) In general.--For each fiscal year for 
                which the Secretary uses county population data 
                to calculate grants, the weighted child count 
                used to determine a county's allocation under 
                this section is the larger of the 2 amounts 
                determined under subparagraphs (B) and (C).
                  (B) By percentage of children.--The amount 
                referred to in subparagraph (A) is determined 
                by adding--
                          (i) the number of children determined 
                        under section 1124(c) for that county 
                        who constitute not more than 12.20 
                        percent, inclusive, of the county's 
                        total population aged 5 to 17, 
                        inclusive, multiplied by 1.0;
                          (ii) the number of such children who 
                        constitute more than 12.20 percent, but 
                        not more than 17.70 percent, of such 
                        population, multiplied by 1.75;
                          (iii) the number of such children who 
                        constitute more than 17.70 percent, but 
                        not more than 22.80 percent, of such 
                        population, multiplied by 2.5;
                          (iv) the number of such children who 
                        constitute more than 22.80 percent, but 
                        not more than 29.70 percent, of such 
                        population, multiplied by 3.25; and
                          (v) the number of such children who 
                        constitute more than 29.70 percent of 
                        such population, multiplied by 4.0.
                  (C) By number of children.--The amount 
                referred to in subparagraph (A) is determined 
                by adding--
                          (i) the number of children determined 
                        under section 1124(c) who constitute 
                        not more than 1,917, inclusive, of the 
                        county's total population aged 5 to 17, 
                        inclusive, multiplied by 1.0;
                          (ii) the number of such children 
                        between 1,918 and 5,938, inclusive, in 
                        such population, multiplied by 1.5;
                          (iii) the number of such children 
                        between 5,939 and 20,199, inclusive, in 
                        such population, multiplied by 2.0;
                          (iv) the number of such children 
                        between 20,200 and 77,999, inclusive, 
                        in such population, multiplied by 2.5; 
                        and
                          (v) the number of such children in 
                        excess of 77,999 in such population, 
                        multiplied by 3.0.
                  (D) Puerto rico.--Notwithstanding 
                subparagraph (A), the weighting factor for the 
                Commonwealth of Puerto Rico under this 
                paragraph shall not be greater than the total 
                number of children counted under section 
                1124(c) multiplied by 1.72.
          (2) Weights for allocations to local educational 
        agencies.--
                  (A) In general.--For each fiscal year for 
                which the Secretary uses local educational 
                agency data, the weighted child count used to 
                determine a local educational agency's grant 
                under this section is the larger of the 2 
                amounts determined under paragraphs (B) and 
                (C).
                  (B) By percentage of children.--The amount 
                referred to in subparagraph (A) is determined 
                by adding--
                          (i) the number of children determined 
                        under section 1124(c) for that local 
                        educational agency who constitute not 
                        more than 14.265 percent, inclusive, of 
                        the agency's total population aged 5 to 
                        17, inclusive, multiplied by 1.0;
                          (ii) the number of such children who 
                        constitute more than 14.265 percent, 
                        but not more than 21.553 percent, of 
                        such population, multiplied by 1.75;
                          (iii) the number of such children who 
                        constitute more than 21.553 percent, 
                        but not more than 29.223 percent, of 
                        such population, multiplied by 2.5;
                          (iv) the number of such children who 
                        constitute more than 29.223 percent, 
                        but not more than 36.538 percent, of 
                        such population, multiplied by 3.25; 
                        and
                          (v) the number of such children who 
                        constitute more than 36.538 percent of 
                        such population, multiplied by 4.0.
                  (C) By number of children.--The amount 
                referred to in subparagraph (A) is determined 
                by adding--
                          (i) the number of children determined 
                        under section 1124(c) who constitute 
                        not more than 575, inclusive, of the 
                        agency's total population aged 5 to 17, 
                        inclusive, multiplied by 1.0;
                          (ii) the number of such children 
                        between 576 and 1,870, inclusive, in 
                        such population, multiplied by 1.5;
                          (iii) the number of such children 
                        between 1,871 and 6,910, inclusive, in 
                        such population, multiplied by 2.0;
                          (iv) the number of such children 
                        between 6,911 and 42,000, inclusive, in 
                        such population, multiplied by 2.5; and
                          (v) the number of such children in 
                        excess of 42,000 in such population, 
                        multiplied by 3.0.
                  (D) Puerto rico.--Notwithstanding 
                subparagraph (A), the weighting factor for the 
                Commonwealth of Puerto Rico under this 
                paragraph shall not be greater than the total 
                number of children counted under section 
                1124(c) multiplied by 1.72.
    (d) Calculation of Grant Amounts.--Grant amounts under this 
section shall be calculated in the same manner as grant amounts 
are calculated under section 1124(a)(2) and (3).
    (e) State Minimum.--Notwithstanding any other provision of 
this section or section 1122, from the total amount available 
for any fiscal year to carry out this section, each State shall 
be allotted not less than the lesser of--
          (1) 0.25 percent of the total amount made available 
        to carry out this section for such fiscal year; or
          (2) the average of--
                  (A) 0.25 percent of the total amount made 
                available to carry out this section for such 
                fiscal year; and
                  (B) 150 percent of the national average grant 
                under this section per child described in 
                section 1124(c), without application of a 
                weighted child count, multiplied by the State's 
                total number of children described in section 
                1124(c), without application of a weighted 
                child count.

SEC. 1125A. EDUCATION FINANCE INCENTIVE PROGRAM.

    (a) Grants.--From funds appropriated under subsection (e) 
the Secretary is authorized to make grants to States, from 
allotments under subsection (b), to carry out the purpose of 
this part.
    (b) Distribution Based Upon Fiscal Effort and Equity.--
          (1) In general.--
                  (A) In general.--Except as provided in 
                subparagraph (B), funds appropriated pursuant 
                to subsection (e) shall be allotted to each 
                State based upon the number of children aged 5 
                to 17, inclusive, in such State multiplied by 
                the product of--
                          (i) such State's effort factor 
                        described in paragraph (2); multiplied 
                        by
                          (ii) 1.30 minus such State's equity 
                        factor described in paragraph (3).
                  (B) Minimum.--For each fiscal year no State 
                shall receive under this section less than 0.25 
                percent of the total amount appropriated under 
                subsection (e) for the fiscal year.
          (2) Effort factor.--
                  (A) In general.--Except as provided in 
                subparagraph (B), the effort factor for a State 
                shall be determined in accordance with the 
                succeeding sentence, except that such factor 
                shall not be less than 0.95 nor greater than 
                1.05. the effort factor determined under this 
                sentence shall be a fraction the numerator of 
                which is the product of the 3-year average per-
                pupil expenditure in the State multiplied by 
                the 3-year average per capita income in the 
                United State and the denominator of which is 
                the product of the 3-year average per capita 
                income in such State multiplied by the 3-year 
                average per-pupil expenditure in the United 
                States.
                  (B) Commonwealth of puerto rico.--The effort 
                factor for the Commonwealth of Puerto Rico 
                shall be equal to the lowest effort factor 
                calculated under subparagraph (A) for any 
                State.
          (3) Equity factor.--
                  (A) Determination.--
                          (i) In general.--Except as provided 
                        in subparagraph (B), the Secretary 
                        shall determine the equity factor under 
                        this section for each State in 
                        accordance with clause (ii).
                          (ii) Computation.--
                                  (I) In general.--For each 
                                State, the Secretary shall 
                                compute a weighted coefficient 
                                of variation for the per-pupil 
                                expenditures of local 
                                educational agencies in 
                                accordance with subclauses 
                                (II), (III), (IV), and (V).
                                  (II) Variation.--In computing 
                                coefficients of variation, the 
                                Secretary shall weigh the 
                                variation between per-pupil 
                                expenditures in each local 
                                educational agency and the 
                                average per-pupil expenditures 
                                in the State according to the 
                                number of pupils served by the 
                                local educational agency.
                                  (III) Number of pupils.--In 
                                determining the number of 
                                pupils under this paragraph 
                                served by each local 
                                educational agency and in each 
                                State, the Secretary shall 
                                multiply the number of children 
                                from low-income families by a 
                                factor of 1.4.
                                  (IV) Enrollment 
                                requirement.--In computing 
                                coefficients of variation, the 
                                Secretary shall include only 
                                those local educational 
                                agencies with an enrollment of 
                                more than 200 students.
                                  (V) Separate coefficients.--
                                The Secretary shall compute 
                                separate coefficients of 
                                variation for elementary 
                                schools, secondary schools, and 
                                unified local educational 
                                agencies and shall combine such 
                                coefficients into a single 
                                weighted average coefficient 
                                for the State by multiplying 
                                each coefficient by the total 
                                enrollments of the local 
                                educational agencies in each 
                                group, adding such products, 
                                and dividing such sum by the 
                                total enrollments of the local 
                                educational agencies in the 
                                State.
                  (B) Special rule.--The equity factor for a 
                State that meets the disparity standard 
                described in section 222.162 of title 34, Code 
                of Federal Regulations (as such section was in 
                effect on the day preceding the date of 
                enactment of the Educational Opportunities Act) 
                or a State with only 1 local educational agency 
                shall be not greater than 0.10.
                  (C) Revisions.--The Secretary may revise each 
                State's equity factor as necessary based on the 
                advice of independent education finance 
                scholars to reflect other need-based costs of 
                local educational agencies in addition to low-
                income student enrollment, such as differing 
                geographic costs, costs associated with 
                students with disabilities, children with 
                limited English-proficiency or other meaningful 
                educational needs, which deserve additional 
                support. In addition, after obtaining the 
                advice of independent education finance 
                scholars, the Secretary may revise each State's 
                equity factor to incorporate other valid and 
                accepted methods to achieve adequacy of 
                educational opportunity that may not be 
                reflected in a coefficient of variation method.
    (c) Use of Funds.--All funds awarded to each State under 
this section shall be allocated to local educational agencies 
and schools on a basis consistent with the distribution of 
other funds to such agencies and schools under sections 1124, 
1124A, and 1125 to carry out activities under this part.
    (d) Maintenance of Effort.--
          (1) In general.--Except as provided in paragraph (2), 
        a State is entitled to receive its full allotment of 
        funds under this section for any fiscal year if the 
        Secretary finds that either the combined fiscal effort 
        per student or the aggregate expenditures within the 
        State with respect to the provision of free public 
        education for the fiscal year preceding the fiscal year 
        for which the determination is made was not less than 
        90 percent of such combined fiscal effort or aggregate 
        expenditures for the second fiscal year preceding the 
        fiscal year for which the determination is made.
          (2) Reduction of funds.-- The Secretary shall reduce 
        the amount of funds awarded to any State under this 
        section in any fiscal year in the exact proportion to 
        which the State fails to meet the requirements of 
        paragraph (1) by falling below 90 percent of both the 
        fiscal effort per student and aggregate expenditures 
        (using the measure most favorable to the State), and no 
        such lesser amount shall be used for computing the 
        effort required under paragraph (1) for subsequent 
        years.
          (3) Waivers.--The Secretary may waive, for 1 fiscal 
        year only, the requirements of this subsection if the 
        Secretary determines that such a waiver would be 
        equitable due to exceptional or uncontrollable 
        circumstances such as a natural disaster or a 
        precipitous and unforeseen decline in the financial 
        resources of the State.
    (e) Authorization of Appropriations.--There are authorized 
to be appropriated to carry out this section $200,000,000 for 
fiscal year 2001 and such sums as may be necessary for each of 
the 4 succeeding fiscal years.

SEC. 1126. SPECIAL ALLOCATION PROCEDURES.

    (a) Allocations for Neglected Children.--
          (1) In general.--If a State educational agency 
        determines that a local educational agency in the State 
        is unable or unwilling to provide for the special 
        educational needs of children who are living in 
        institutions for neglected or delinquent children as 
        described in section 1124(c)(1)(C), the State 
        educational agency shall, if such agency assumes 
        responsibility for the special educational needs of 
        such children, receive the portion of such local 
        educational agency's allocation under sections 1124, 
        1124A, and 1125 that is attributable to such children.
          (2) Special rule.--If the State educational agency 
        does not assume such responsibility, any other State or 
        local public agency that does assume such 
        responsibility shall receive that portion of the local 
        educational agency's allocation.
    (b) Allocations Among Local Educational Agencies.--The 
State educational agency may allocate the amounts of grants 
under sections 1124, 1124A, and 1125 among the affected local 
educational agencies--
          (1) if 2 or more local educational agencies serve, in 
        whole or in part, the same geographical area;
          (2) if a local educational agency provides free 
        public education for children who reside in the school 
        district of another local educational agency; or
          (3) to reflect the merger, creation, or change of 
        boundaries of 1 or more local educational agencies.
    (c) Reallocation.--If a State educational agency determines 
that the amount of a grant a local educational agency would 
receive under sections 1124, 1124A, and 1125 is more than such 
local educational agency will use, the State educational agency 
shall make the excess amount available to other local 
educational agencies in the State that need additional funds in 
accordance with criteria established by the State educational 
agency.

SEC. 1127. CARRYOVER AND WAIVER.

    (a) Limitation on Carryover.--Notwithstanding section 421 
of the General Education Provisions Act or any other provision 
of law, not more than 15 percent of the funds allocated to a 
local educational agency for any fiscal year under this subpart 
(but not including funds received through any reallocation 
under this subpart) may remain available for obligation by such 
agency for one additional fiscal year.
    (b) Waiver.--A State educational agency may, once every 3 
years, waive the percentage limitation in subsection (a) if--
          (1) the agency determines that the request of a local 
        educational agency is reasonable and necessary;
          (2) supplemental appropriations for this subpart 
        become available.
    (c) Exclusion.--The percentage limitation under subsection 
(a) shall not apply to any local educational agency that 
receives less than $50,000 under this subpart for any fiscal 
year.

                   Subpart 3--Child Centered Program

SEC. 1131. DEFINITIONS.

    In this subpart:
          (1) Eligible child.--The term ``eligible child'' 
        means a child who--
                  (A) is eligible to be counted under section 
                1124(c); or
                  (B) (i) the State or participating local 
                educational agency elects to serve under this 
                subpart; and
                  (ii) is a child eligible to be served under 
                this part pursuant to section 1115(b).
          (2) Participating local educational agency.--The term 
        ``participating local educational agency'' means a 
        local educational agency that elects under section 
        1133(b) to carry out a child centered program under 
        this subpart.
          (3) School.--The term ``school'' means an 
        institutional day or residential school that provides 
        elementary or secondary education, as determined under 
        State law, except that such term does not include any 
        school that provides education beyond grade 12.
          (4) Supplemental education services.--The term 
        ``supplemental education services'' means educational 
        services intended--
                  (A) to meet the individual educational needs 
                of eligible children; and
                  (B) to enable eligible children to meet 
                challenging State curriculum, content, and 
                student performance standards.
          (5) Tutorial assistance providers.--The term 
        ``tutorial assistance provider'' means a public or 
        private entity that--
                  (A) has a record of effectiveness in 
                providing tutorial assistance to school 
                children; or
                  (B) uses instructional practices based on 
                scientific research.

SEC. 1132. CHILD CENTERED PROGRAM FUNDING.

    (a) Funding.--Notwithstanding any other provision of law, 
not more than 10 States and not more than 20 participating 
local educational agencies may use the funds made available 
under subparts 1 and 2, and shall use the funds made available 
under subsection (c), to carry out a child centered program 
under this subpart.
    (b) Participating Local Educational Agency Election.--
          (1) In general.--If a State does not carry out a 
        child centered program under this subpart or does not 
        have an application approved under section 1134 for a 
        fiscal year, a local educational agency in the State 
        may elect to carry out a child centered program under 
        this subpart, and the Secretary shall provide the funds 
        that the local educational agency (with an application 
        approved under section 1134) is eligible to receive 
        under subparts 1 and 2, and subsection (c), directly to 
        the local educational agency to enable the local 
        educational agency to carry out the child centered 
        program.
          (2) Submission approval.--In order to be eligible to 
        carry out a child centered program under this subpart a 
        participating local educational agency shall obtain 
        from the State approval of the submission, but not the 
        contents, of the application submitted under section 
        1134.
    (c) Incentive Grants.--
          (1) In general.--From amounts appropriated under 
        paragraph (3) for a fiscal year the Secretary shall 
        award grants to each State, or participating local 
        educational agency described in subsection (b), that 
        elects to carry out a child centered program under this 
        subpart and has an application approved under section 
        1134, to enable the State or participating local 
        educational agency to carry out the child centered 
        program.
          (2) Amount.--Each State or participating local 
        educational agency that elects to carry out a child 
        centered program under this subpart and has an 
        application approved under section 1134 for a fiscal 
        year shall receive a grant in an amount that bears the 
        same relation to the amount appropriated under 
        paragraph (3) for the fiscal year as the amount the 
        State or participating local educational agency 
        received under subparts 1 and 2 for the fiscal year 
        bears to the amount all States and participating local 
        educational agencies carrying out a child centered 
        program under this subpart received under subparts 1 
        and 2 for the fiscal year.
          (3) Authorization of appropriations.--There are 
        authorized to be appropriated $500,000,000to carry out 
this subsection for fiscal year 2000 and each of the 4 succeeding 
fiscal years.

SEC. 1133. CHILD CENTERED PROGRAM REQUIREMENTS.

    (a) Uses.--Each State or participating local educational 
agency with an application approved under section 1134 shall 
use funds made available under subparts 1 and 2, and subsection 
(c), to carry out a child centered program under which--
          (1) the State or participating local educational 
        agency establishes a per pupil amount based on the 
        number of eligible children in the State or the school 
        district served by the participating local educational 
        agency; and
          (2) the State or participating local educational 
        agency may vary the per pupil amount to take into 
        account factors that may include--
                  (A) variations in the cost of providing 
                supplemental education services in different 
                parts of the State or the school district 
                served by the participating local educational 
                agency;
                  (B) the cost of providing services to pupils 
                with different educational needs; or
                  (C) the desirability of placing priority on 
                selected grades; and
          (3) in the case of a child centered program for 
        eligible children at a public school, the State or the 
        participating local educational agency makes available, 
        not later than 3 months after the beginning of the 
        school year, the per pupil amount determined under 
        paragraphs (1) and (2) to the public school in which an 
        eligible child is enrolled, which per pupil amount 
        shall be used for supplemental education services for 
        the eligible child that are--
                  (A) subject to subparagraph (B), provided by 
                the school directly or through the provision of 
                supplemental education services with any 
                governmental or nongovernmental agency, school, 
                postsecondary educational institution, or other 
                entity, including a private organization or 
                business; or
                  (B) if directed by the parent of an eligible 
                child, provided by the school or local 
                educational agency through a school-based 
                program or through the provision of 
                supplemental education services with a tutorial 
                service provider, and in the case that a parent 
                directs that the services be provided through a 
                tutorial assistance provider, the school or 
                local educational agency shall ensure that the 
                provider selected by the parent is reimbursed 
                (not to exceed the per pupil amount) for their 
                tutorial services following notification to the 
                school or local educational agency by the 
                parent that those services were provided in a 
                satisfactory manner.
    (b) Schoolwide Programs.--
          (1) In general.--In the case of a public school in 
        which 50 percent of the students enrolled in the school 
        are eligible children, the public school may use funds 
        provided under this subpart, in combination with other 
        Federal, State, and local funds, to carry out a 
        schoolwide program to upgrade the entire educational 
        program in the school.
          (2) Plan.--If the public school elects to use funds 
        provided under this part in accordance with paragraph 
        (1), and does not have a plan approved by the Secretary 
        under section 1114(b)(2), the public school shall 
        develop and adopt a comprehensive plan for reforming 
        the entire educational program of the public school 
        that--
                  (A) incorporates--
                          (i) strategies for improving 
                        achievement for all children to meet 
                        the State's proficient ad advanced 
                        levels of performance described in 
                        section 1111(b);
                          (ii) instruction by highly qualified 
                        staff;
                          (iii) professional development for 
                        teachers and aides in content areas in 
                        which the teachers or aides provide 
                        instruction and, where appropriate, 
                        professional development for pupil 
                        services personnel, parents, and 
                        principals, and other staff to enable 
                        all children in the school to meet the 
                        State's student performance standards; 
                        and
                          (iv) activities to ensure that 
                        eligible children who experience 
                        difficulty mastering any of the 
                        standards described in section 1111(b) 
                        during the course of the school year 
                        shall be provided with effective, 
                        timely additional assistance;
                  (B) describes the school's use of funds 
                provided under this subpart and from other 
                sources to implement the activities described 
                in subparagraph (A);
                  (C) includes a list of State and local 
                educational agency programs and other Federal 
                programs that will be included in the 
                schoolwide program;
                  (D) describes how the school will provide 
                individual student assessment results, 
                including an interpretation of those results, 
                to the parents of an eligible child who 
                participates in the assessment; and
                  (E) describes how and where the school will 
                obtain technical assistance services and a 
                description of such services.
          (3) Special rule.--In the case of a public school 
        operating a schoolwide program under this subsection, 
        the Secretary may, through publication of a notice in 
        the Federal Register, exempt child centered programs 
        under this section from statutory or regulatory 
        requirements of any other noncompetitive formula grant 
        program administered by the Secretary, or any 
        discretionary grant program administered by the 
        Secretary (other than formula or discretionary grant 
        programs under the Individuals with Disabilities 
        Education Act), to support the schoolwide program, if 
        the intent and purposes of such other noncompetitive or 
        discretionary programs are met.
    (c) Private School Children.--A State or participating 
local educational agency carrying out a child centered program 
under this subpart shall ensure that eligible children who are 
enrolled in a private school receive supplemental education 
services in the same manner as such services are provided under 
section 1120.
    (d) Open Enrollment.--
          (1) In general.--In order to be eligible to carry out 
        a child centered program under this subpart a State or 
        participating local educational agency shall operate a 
        statewide or school district wide, respectively, open 
        enrollment program that permits parents to enroll their 
        child in any public school in the State or school 
        district, respectively, if space is available in the 
        public school and the child meets the qualifications 
        for attendance at the public school.
          (2) Waiver.--The Secretary may waive paragraph (1) 
        for a State or participating local education agency if 
        the State or agency, respectively, demonstrates that 
        parents served by the State or agency, respectively--
                  (A) have sufficient options to enroll their 
                child in multiple public schools; or
                  (B) will have sufficient options to use the 
                per pupil amount made available under this 
                subpart to purchase supplemental education 
                services from multiple tutorial assistance 
                providers or schools.
    (e) Parent Involvement.--
          (1) In general.--Any public school receiving funds 
        under this subpart shall convene an annual meeting at a 
        convenient time. All parents of eligible children shall 
        be invited and encouraged to attend the meeting, in 
        order to explain to the parents the activities assisted 
        under this subpart and the requirements of this 
        subpart. At the meeting, the public school shall 
        explain to parents how the school will use funds 
        provided under this subpart to enable eligible children 
        enrolled at the school to meet challenging State 
        curriculum, content, and student performance standards. 
        In addition, the public school shall inform parents of 
        their right to choose to have supplemental education 
        services provided under this subpart to an eligible 
        child through a school-based program or a tutorial 
        assistance provider.
          (2) Information.--Any public school receiving funds 
        under this subpart shall provide to parents a 
        description and explanation of the curriculum in use at 
        the school, the forms of assessment used to measure 
        student progress, and the proficiency levels students 
        are expected to meet.

SEC. 1134. APPLICATION.

    (a) In General.--Each State or participating local 
educational agency desiring to carry out a child centered 
program under this subpart shall submit an application to the 
Secretary at such time, in such manner, and accompanied by such 
information as the Secretary may require. Each such application 
shall contain--
          (1) a detailed description of the program to be 
        assisted, including an assurance that--
                  (A) the per pupil amount established under 
                section 1133(a) will follow each eligible child 
                described in that section to the school or 
                tutorial assistance provider of the parent's 
                choice;
                  (B) funds made available under this subpart 
                will be spent in accordance with the 
                requirements of this subpart; and
                  (C) parents have the option to select to have 
                their child receive the supplemental education 
                services from multiple tutorial assistance 
                providers and schools;
          (2) an assurance that the State or participating 
        local educational agency will publish in a widely read 
        or distributed medium an annual report card that 
        contains--
                  (A) information regarding the academic 
                progress of all students served by the State or 
                participating local educational agency in 
                meeting State standards, including students 
                assistedunder this subpart, with results 
disaggregated by race, family income, and limited English proficiency, 
if such disaggregation can be performed in a statistically sound 
manner; and
                  (B) such other information as the State or 
                participating local educational agency may 
                require;
          (3) a description of how the State or participating 
        local educational agency will make available, to 
        parents of children participating in the child centered 
        program, annual school report cards, with results 
        disaggregated by race, family income, and limited 
        English proficiency, for schools in the State or in the 
        school district of the participating local educational 
        agency;
          (4) in the case of an application from a 
        participating local educational agency, an assurance 
        that the participating local educational agency has 
        notified the State regarding the submission of the 
        application;
          (5) a description of specific measurable objectives 
        for improving the student performance of students 
        served under this subpart;
          (6) a description of the process by which the State 
        or participating local educational agency will measure 
        progress in meeting the objectives;
          (7)(A) in the case of an application from a State, an 
        assurance that the State meets the requirements of 
        subsections (a), (b) and (f) of section 1111 as applied 
        to activities assisted under this subpart; and
          (B) in the case of an application from a 
        participating local educational agency, an assurance 
        that the State's application under section 1111 met the 
        requirements of subsections (a), (b) and (f) of such 
        section; and
          (8) an assurance that each local educational agency 
        serving a school that receives funds under this subpart 
        will meet the requirements of subsections (a) and (c) 
        of section 1116 as applied to activities assisted under 
        this subpart.

SEC. 1135. ADMINISTRATIVE PROVISIONS.

    (a) Program Duration.--A State or participating local 
educational agency shall carry out a child centered program 
under this subpart for a period of 5 years.
    (b) Administrative Costs.--A State may reserve 2 percent of 
the funds made available to the State under this subpart, and a 
participating local educational agency may reserve 5 percent of 
the funds made available tot he participating local educational 
agency under this subpart, to pay the costs of administrative 
expenses of the child centered program. The cost may include 
costs of providing technical assistance to schools receiving 
funds under this subpart, in order to increase the opportunity 
for all students in the schools to meet the State's content 
standards and student performance standards. The technical 
assistance may be provided directly by the State educational 
agency, local educational agency, or, with a local educational 
agency's approval, by an institution of higher education, by a 
private nonprofit organization, by an educational service 
agency, by a comprehensive regional assistance center, or by 
another entity with experience in helping schools improve 
student achievement.
    (c) Reports.--
          (1) Annual reports.--
                  (A) In general.--The State educational agency 
                serving each State, and each participating 
                local educational agency, carrying out a child 
                centered program under this subpart shall 
                submit to the Secretary an annual report, that 
                is consistent with data provided under section 
                1134(a)(2)(A), regarding the performance of 
                eligible children receiving supplemental 
                education services under this subpart.
                  (B) Data.--Not later than 2 years after 
                establishing a child centered program under 
                this subpart and each year thereafter, each 
                State or participating local educational agency 
                shall include in the annual report data on 
                student achievement for eligible children 
                served under this subpart with results 
                disaggregated by race, family income, and 
                limited English proficiency, demonstrating the 
                degree to which measurable progress has been 
                made toward meeting the objectives described in 
                section 1134(a)(5).
                  (C) Data assurances.--Each annual report 
                shall include--
                          (i) an assurance from the managers of 
                        the child centered program that data 
                        used to measure student achievement 
                        under subparagraph (B) is reliable, 
                        complete, and accurate, as determined 
                        by the State or participating local 
                        educational agency; or
                          (ii) a description of a plan for 
                        improving the reliability, 
                        completeness, and accuracy of such data 
                        as determined by theState or 
participating local educational agency.
         (2) Secretary's report.--The Secretary shall make each 
        annual report available to Congress, the public, and 
        the Comptroller General of the United States (for 
        purposes of the evaluation described in section 1136).
    (d) Termination.--Three years after the date a State or 
participating local educational agency establishes a child 
centered program under this subpart the Secretary shall review 
the performance of the State or participating local educational 
agency in meeting the objectives described in section 
1134(a)(5). The Secretary, after providing notice and an 
opportunity for a hearing, may terminate the authority of the 
State or participating local educational agency to operate a 
child centered program under this subpart if the State or 
participating local educational agency submitted data that 
indicated the State or participating local educational agency 
has not made any progress in meeting the objectives.
    (e) Treatment of Amounts Received.--The per pupil amount 
provided under this subpart for an eligible child shall not be 
treated as income of the eligible child or the parent of the 
eligible child for purposes of Federal tax laws, or for 
determining the eligibility for or amount of any other Federal 
assistance.

SEC. 1136. EVALUATION.

    (a) Annual Evaluation.--
         (1) Contract.--The Comptroller General of the United 
        States shall enter into a contract, with an evaluating 
        entity that has demonstrated experience in conducting 
        evaluations, for the conduct of an ongoing rigorous 
        evaluation of child centered programs under this 
        subpart.
         (2) Annual evaluation requirement.--The contract 
        described in paragraph (1) shall require the evaluating 
        entity entering into such contract to annually evaluate 
        each child centered program under this subpart in 
        accordance with the evaluation criteria described in 
        subsection (b).
         (3) Transmission.--The contract described in paragraph 
        (1) shall require the evaluating entity entering into 
        such contract to transmit to the Comptroller General of 
        the United States the findings of each annual 
        evaluation under paragraph (2).
    (b) Evaluation Criteria.--The Comptroller General of the 
United States in consultation with the Secretary, shall 
establish minimum criteria for evaluating the child centered 
programs under this subpart. Such criteria shall provide for a 
description of--
         (1) the implementation of each child centered program 
        under this subpart;
         (2) the effects of the programs on the level of 
        parental participation and satisfaction with the 
        programs; and
         (3) the effects of the programs on the educational 
        achievement of eligible children participating in the 
        programs.

SEC. 1137. REPORTS.

    (a) Reports by Comptroller General.--
         (1) Interim reports.--Three years after the date of 
        enactment of this subpart the Comptroller General of 
        the United States shall submit an interim report to 
        Congress on the findings of the annual evaluations 
        under section 1136(a)(2) for each child centered 
        program assisted under this subpart. The report shall 
        contain a copy of the annual evaluation under section 
        1136(a)(2) of each child centered program under this 
        subpart.
         (2) Final report.--The Comptroller General shall 
        submit a final report to Congress, not later than March 
        1, 2006, that summarizes the findings of the annual 
        evaluations under section 1136(a)(2).

SEC. 1138. LIMITATION ON CONDITIONS; PREEMPTION.

    Nothing in this subpart shall be construed--
         (1) to authorize or permit an officer or employee of 
        the Federal Government to mandate, direct, or control a 
        State, local educational agency, or school's specific 
        instructional content or student performance standards 
        and assessments, curriculum, or program of instruction, 
        as a condition of eligibility to receive funds under 
        this subpart; and
         (2) to preempt any provision of a State constitution 
        or State statute that pertains to the expenditure of 
        State funds in or by religious institutions.

PART B--EVEN START FAMILY LITERACY PROGRAMS

           *       *       *       *       *       *       *



SEC. 1202. [20 U.S.C. 6302] PROGRAM AUTHORIZED.

    (a) Reservation for Migrant Programs, Outlying Areas, and 
Indian Tribes.--
          (1) In general.--For each fiscal year, the Secretary 
        shall reserve 5 percent of the amount appropriated 
        under section 1002(b) (or, if such appropriated amount 
        exceeds $250,000,000, 6 percent of such amount) for 
        programs, under such terms and conditions as the 
        Secretary shall establish, that are consistent with the 
        purpose of this part, and according to their relative 
        needs, for--

           *       *       *       *       *       *       *

          (2) Special rule.--[If the amount of funds made 
        available under this subsection exceeds $4,600,000,] 
        After the date of the enactment of the Educational 
        Opportunities Act, the Secretary shall award a grant, 
        on a competitive basis, of sufficient size and for a 
        period of sufficient duration to demonstrate the 
        effectiveness of a family literacy program in a prison 
        that houses women and their preschool age children and 
        that has the capability of developing a program of high 
        quality.
          (3) Coordination of programs for american indians.--
        The Secretary shall ensure that programs under 
        paragraph (1)(C) are coordinated with family literacy 
        programs operated by the Bureau of Indian Affairs in 
        order to avoid duplication and to encourage the 
        dissemination of information on high-quality family 
        literacy programs serving American Indians.
    [(b) Reservation for Federal Activities.--From amounts 
appropriated under section 1002(b), the Secretary may reserve 
not more than three percent of such amounts or the amount 
reserved to carry out the activities described in paragraphs 
(1) and (2) of subsection (a) for the fiscal year 1994, 
whichever is greater, for purposes of--
          [(1) carrying out the evaluation required by section 
        1209; and
          [(2) providing, through grants or contracts with 
        eligible organizations, technical assistance, program 
        improvement, and replication activities.]
    (b) Reservation for Federal Activities.--
          (1) Evaluation, technical assistance, program 
        improvement, and replication activities.--From amounts 
        appropriated under section 1002(b), the Secretary may 
        reserve not more than 3 percent of such amounts or the 
        amount reserved to carry out the activities described 
        in paragraphs (1) and (2) of subsection (a) for the 
        fiscal year 1994, whichever is greater, for purposes 
        of--
                  (A) carrying out the evaluation required by 
                section 1209; and
                  (B) providing, through grants or contracts 
                with eligible organizations, technical 
                assistance, program improvement, and 
                replication activities.
          (2) Research.--In the case of fiscal years 2001 
        through 2005, if the amounts appropriated under section 
        1002(b) for any of such years exceed such amounts 
        appropriated for the preceding fiscal year, the 
        Secretary shall reserve from such excess amount 
        $2,000,000 or 50 percent, whichever is less, to carry 
        out section 1211.
    (c) Reservation [for Grants] for Statewide Family Literacy 
Initiatives._
          (1) Grants authorized.--[From funds reserved under 
        section 2260(b)(3), the Secretary shall] From funds 
        appropriated under section 1002(b) for any fiscal year, 
        the Secretary may award grants, on a competitive basis, 
        to States to enable such States to plan and implement 
        statewide family literacy initiatives to coordinate 
        and, where appropriate, integrate existing Federal, 
        State, and local literacy resources consistent with the 
        purposes of this part. Such coordination and 
        integration shall include funds available under the 
        Adult Education and Family Literacy Act, the Head Start 
        Act, this part, part A of this title, and part A of 
        title IV of the Social Security Act.

SEC. 1202A. STATE PLAN.

    (a) Contents.--Each State that desires to receive a grant 
under this part shall submit a plan to the Secretary containing 
such budgetary and other information as the Secretary may 
require. Each plan shall--
          (1) include the State's indicators of program quality 
        developed under section 1210, or if the State has not 
        completed work on those indicators, describe the 
        State's progress in developing the indicators;
          (2) describe how the State is using, or will use, the 
        indicators to monitor, evaluate, and improve projects 
        the State assists under this part, and to decide 
        whether to continue to assist those projects;
          (3) describe how the State will help each program 
        assisted under this part ensure the full implementation 
        of the program elements described in section 1205, 
        including how the State will encourage local programs 
        to use technology, such as distance learning, to 
        improve program access and the intensity of services, 
        especially for isolated populations;
          (4) describe how the State will conduct competition 
        for subgrants, including the application of the 
        criteria described in section 1208; and
          (5) describe how the State will coordinate resources, 
        especially among State agencies, to improve family 
        literacy services in the State.
    (b) Duration.--Each State plan shall--
          (1) be submitted for the first year for which this 
        part is in effect after the date of enactment of the 
        Educational Opportunities Act;
          (2) remain in effect for the duration of the State's 
        participation under this part and
          (3) be periodically reviewed and revised by the 
        State, as necessary.

           *       *       *       *       *       *       *


SEC. 1204. [20 U.S.C. 6304] USES OF FUNDS.

    (a) In General.-- * * *
    (b) Federal Share Limitation.--
          (1) In general.--(A) * * *
                  (i) * * *

           *       *       *       *       *       *       *

                  (iv) 60 percent in the fourth such year; 
                [and]
                  [(v) 50 percent in any subsequent such year.]
                  (v) 50 percent in the fifth, sixth, seventh, 
                and eighth such years; and
                  (vi) 35 percent in any subsequent such year.

           *       *       *       *       *       *       *

    (c) Use of Funds for Family Literacy Services.--
          (1) In general.--A State may use a portion of funds 
        received under this part to assist eligible entities 
        receiving a subgrant under section 1203(b) in improving 
        the quality of family literacy services provided under 
        Even Start programs under this part, except that in no 
        case may a State's use of funds for this purpose for a 
        fiscal year result in a decrease from the level of 
        activities and services provided to program 
        participants in the preceding year.
          (2) Priority.--In carrying out paragraph (1), a State 
        shall give priority to programs that were of low 
        quality, as evaluated based on the indicators of 
        programs quality developed by the State under section 
        1210.
          (3) Technical assistance and training.--Assistance 
        under paragraph (1) shall be in the form of technical 
        assistance and training, provided by a State through a 
        grant, contract, or cooperative agreement with an 
        entity that has experience in offering high quality 
        training and technical assistance to family literacy 
        providers.

SEC. 1205. [20 U.S.C. 6305] PROGRAM ELEMENTS.

    Each program assisted under this part shall--
          (1) * * *
          [(4) include high-quality, intensive instructional 
        programs that promote adult literacy and empower 
        parents to support the educational growth of their 
        children, developmentally appropriate early childhood 
        educational services, and preparation of children for 
        success in regular school programs;]
          (4) provide high-quality, intensive family literacy 
        services using instructional approaches that the best 
        available research on reading indicates will be most 
        effective in building adult literacy and children's 
        language development and reading ability;

           *       *       *       *       *       *       *

        [(7) operate on a year-round basis, including the 
        provision of some program services, instructional or 
        enrichment, during the summer months;]
          (7) use methods that ensure that participating 
        families successfully complete the program, including--
                  (A) operating a year-round program, including 
                continuing to provide some instructional 
                services for participants during the summer 
                months;
                  (B) providing developmentally appropriate 
                educational services for at least a 3-year age 
                range of children;
                  (C) encouraging participating families to 
                regularly attend and remain in the program for 
                a sufficient time to meet their programs goals; 
                and
                  (D) promoting the continuity of family 
                literacy services across critical points in the 
                lives of children and their parents so that 
                those individuals can retain and improve their 
                educational outcomes;'';

           *       *       *       *       *       *       *

          (9) use instructional programs based on 
        scientifically based reading research (as defined in 
        section 2252) for children and, to the extent such 
        research is available, for adults;
          [(9)](10) ensure that the programs will serve those 
        families most in need of the activities and services 
        provided by this part; and
          [(10) provide for an independent evaluation of the 
        program.]
          [(10)](11) provide for an independent evaluation of 
        the program to be used for program improvements;

SEC. 1206. [20 U.S.C. 6366] ELIGIBLE PARTICIPANTS.

    (a) In General.--* * *

           *       *       *       *       *       *       *

    (b) Eligibility for Certain Other Participants.--
          (1) In general.--* * *

           *       *       *       *       *       *       *

          (3) Children 8 years of age or older.--If an Even 
        Start program assisted under this part collaborates 
        with a program under part A, and funds received under 
        such part A program contribute to paying the cost of 
        providing programs under this part to children 8 years 
        of age or older, the Even Start program, 
        notwithstanding subsection (a)(2), may permit the 
        participation of children 8 years of age or older.

SEC. 1207. [20 U.S.C. 6367] APPLICATIONS.

    (a) Submission.--* * *

           *       *       *       *       *       *       *

    (c) Plan.--
          (1) In general.--* * *
                  (A) * * *

           *       *       *       *       *       *       *

                  (F) a description of how the plan is 
                integrated with other programs under this [Act, 
                the Goals 2000: Educate America Act,] Act or 
                other Acts, as appropriate, consistent with 
                section [14306] 6506.

           *       *       *       *       *       *       *

    (d) Consolidated Application.--The plan described in 
subsection (c)(1)(F) may be submitted as part of a consolidated 
application under section [14302] 6502.

           *       *       *       *       *       *       *


SEC. 1208. [20 U.S.C. 6368] AWARD OF SUBGRANTS.

    (a) Selection Process.--
          (1) In general.--* * *

           *       *       *       *       *       *       *

          (3) Review panel.--A review panel shall consist of at 
        least three members, including one early childhood 
        professional, one adult education professional, and one 
        individual with expertise in family literacy programs. 
        [and one or more of the following individuals:] The 
        review panel may include other individuals such as one 
        or more of the following:

           *       *       *       *       *       *       *

          [(3) Continuing eligibility.--In awarding subgrant 
        funds to continue a program under this part for the 
        second, third, or fourth year, the State educational 
        agency shall evaluate the program based on the 
        indicators of program quality developed by the State 
        under section 1210. Such evaluation shall take place 
        after the conclusion of the startup period, if any.]
          (3) Continuing eligibility.--In awarding subgrant 
        funds to continue a program under this part after the 
        first year, the State educational agency shall review 
        the progress of each eligible entity in meeting the 
        goals of the program referred to in section 
        1207(c)(1)(A) and shall evaluate the program based on 
        the indicators of program quality developed by the 
        State under section 1210.

           *       *       *       *       *       *       *

          (5) Grant renewal.--(A) An eligible entity that has 
        previously received a subgrant under this part may 
        reapply under this part for additional subgrants. [An 
        eligible recipient may receive funds under this part 
        for a period not to exceed eight years.]
          [(B) The Federal share of any subgrant renewed under 
        subparagraph (A) shall not exceed 50 percent in any 
        fiscal year.]
          (B) The Federal share of any subgrant renewed under 
        subparagraph (A) shall be limited in accordance with 
        section 1204(b).

           *       *       *       *       *       *       *


SEC. 1210. [20 U.S.C. 6369A] INDICATORS OF PROGRAM QUALITY.

    [Each] Not later than September 30, 2000, each State 
receiving funds under this part shall develop, based on the 
best available research and evaluation data, indicators of 
program quality for programs assisted under this part. Such 
indicators shall be used to monitor, evaluate, and improve such 
programs within the State. Such indicators shall include the 
following:
          (1) * * *

           *       *       *       *       *       *       *

          (3) With respect to a program's implementation of 
        high-quality, intensive family literacy services, 
        specific levels of intensity of those services and the 
        duration of individuals' participation that are 
        necessary to result in the outcomes described in 
        paragraphs (1) and (2), which levels the State 
        periodically shall review and revise as needed to 
        achieve those outcomes.

[SEC. 1211. [20 U.S.C. 6369B] RESEARCH.

    [(a) In General.--The Secretary shall carry out, through 
grant or contract, research into the components or successful 
family literacy services, to use--
          [(1) to improve the quality of existing programs 
        assisted under this part or other family literacy 
        programs carried out under this Act or the Adult 
        Education and Family Literacy Act; and
          [(2) to develop models for new programs to be carried 
        out under this Act or the Adult Education and Family 
        Literacy Act.
    [(b) Dissemination.--The National Institute for Literacy 
shall disseminate, pursuant to section 2258, the results of the 
research described in subsection (a) to States and recipients 
of subgrants under this part.]

SEC. 1211. RESEARCH.

    (a) In General.--From amounts reserved under section 
1202(b)(2), the Secretary, in consultation with the National 
Institute for Literacy and other appropriate organizations, may 
carry out, directly or through grants or contracts, research on 
family literacy services, including--
          (1) scientifically based research on the development 
        of reading and literacy in young children;
          (2) the most effective ways of improving the literacy 
        skills of adults with reading difficulties; and
          (3) how family literacy services can best provide 
        parents with the knowledge and skills the parents need 
        to support their children's literacy development.
    (b) Dissemination.--The Secretary shall ensure the 
dissemination, through the National Institute for Literacy and 
other appropriate means, of the results of the research 
conducted under subsection (a).

           *       *       *       *       *       *       *


                PART C--EDUCATION OF MIGRATORY CHILDREN


SEC. 1301. [20 U.S.C. 6391] PROGRAM PURPOSE.

    It is the purpose of this part to assist States to--
          (1) * * *
          (2) ensure that migratory children who move among the 
        States are not penalized in any manner by disparities 
        among the States in curriculum, graduation 
        requirements, and State student performance and content 
        standards;
          [(2)](3) ensure that migratory children are provided 
        with appropriate educational services (including 
        supportive services) that address their special needs 
        in a coordinated and efficient manner;
          [(3)](4) ensure that migratory children have the 
        opportunity to meet the same challenging State content 
        standards and challenging State student performance 
        standards that all children are expected to meet;
          [(4)](5) design programs to help migratory children 
        overcome educational disruption, cultural and language 
        barriers, social isolation, various health-related 
        problems, and other factors that inhibit the ability of 
        such children to do well in school, and to prepare such 
        children to make a successful transition to 
        postsecondary education or employment; [and]
          [(5)](6) ensure that migratory children benefit from 
        State and local systemic reforms[.]; and
          (7) ensure that migratory children receive full and 
        appropriate opportunities to meet the same challenging 
        State content and student performance standards that 
        all children are expected to meet.

           *       *       *       *       *       *       *


SEC. 1304. [20 U.S.C. 6394] STATE APPLICATIONS; SERVICES.

    (a) * * *
    (b) Program Information.--Each such application shall 
include--
          (1) a description of how, in planning, implementing, 
        and evaluating programs and projects assisted under 
        this part, the State and its local operating agencies 
        will ensure that the special educational needs of 
        migratory children, including preschool migratory 
        children, are identified and addressed through [a 
        comprehensive plan for needs assessment and service 
        delivery that meets the requirements of section 1306;] 
        the full range of services that are available for 
        migratory children from appropriate local, State, and 
        Federal educational programs;
          (2) a description of joint planning efforts that will 
        be made with respect to programs assisted under this 
        Act, local, State, and Federal programs, and bilingual 
        education programs under part A of title VII;
          [(2)](3) a description of the steps the State is 
        taking to provide all migratory students with the 
        opportunity to meet the same challenging State content 
        standards and challenging State student performance 
        standards that all children are expected to meet;
          [(3)](4) a description of how the State will use 
        funds received under this part to promote interstate 
        and intrastate coordination of services for migratory 
        children, including how, consistent with procedures the 
        Secretary may require, the State will provide for 
        educational continuity through the timely transfer of 
        pertinent school records, including information on 
        health, when children move from one school to another, 
        whether or not such move occurs during the regular 
        school year;
          [(4)](5) a description of the State's priorities for 
        the use of funds received under this part, and how such 
        priorities relate to the State's assessment of needs 
        for services in the State;
          [(5)](6) a description of how the State will 
        determine the amount of any subgrants the State will 
        award to local operating agencies, taking into account 
        the requirements of paragraph (1); and
          [(6)](7) such budgetary and other information as the 
        Secretary may require.
    (c) Assurances.--Each and such application shall also 
include assurances, satisfactory to the Secretary, that--
          (1) * * *

           *       *       *       *       *       *       *

          [(3) in the planning and operation of programs and 
        projects at both the State and local operating agency 
        level, there is appropriate consultation with parent 
        advisory councils for programs of one school year in 
        duration, and that all such programs and projects are 
        carried out, to the extent feasible, in a manner 
        consistent with section 1118;]
          (3) in the planning and operation of programs and 
        projects at both the State and local agency operating 
        level there is consultation with parent advisory 
        councils for programs of one school year in duration, 
        and that all such programs and projects are carried 
        out--
                  (A) in a manner consistent with section 1118 
                unless extraordinary circumstances make 
                implementation with such section impractical; 
                and
                  (B) in a format and language understandable 
                to the parents;

           *       *       *       *       *       *       *


SEC. 1306. [20 U.S.C. 6396] COMPREHENSIVE NEEDS ASSESSMENT AND SERVICE-
                    DELIVERY PLAN; AUTHORIZED ACTIVITIES.

    (a) Comprehensive Plan.--
          (1) In general.--* * *
                  (A) is integrated with other programs under 
                this Act, [the Goals 2000: Educate America 
                Act,] or other Acts, as appropriate, consistent 
                with section [14306] 6506;
                  (B) may be submitted as a part of 
                consolidated application under section [14302] 
                6502, if--
                          (i) the special needs of migratory 
                        children are specifically addressed in 
                        the comprehensive State plan;
                          (ii) the comprehensive State plan is 
                        developed in collaboration with parents 
                        of migratory children; and
                          (iii) the comprehensive State 
                        planning is not used to supplant State 
                        efforts regarding, or administrative 
                        funding for, this part;

           *       *       *       *       *       *       *


SEC. 1308. [20 U.S.C. 6398] COORDINATION OF MIGRANT EDUCATION 
                    ACTIVITIES.

    (a) Improvement of Coordination.--

           *       *       *       *       *       *       *

    [(b) Assistance and Reporting.--
          [(1) Student records.--(A) The Secretary shall 
        solicit information on how student records are 
        transferred from one school to another and shall 
        solicit recommendations on whether new procedures and 
        technologies for record transfer should be employed to 
        better meet the needs of the migrant population.
          [(B) The Secretary shall also seek recommendations on 
        the most effective means for determining the number of 
        students or full-time equivalent students in each State 
        for the purpose of allocating funds under this part.
          [(2) Report to congress.--(A) Not later than April 
        30, 1995, the Secretary shall report to the Committee 
        on Labor and Human Resources of the Senate and the 
        Committee on Education and Labor of the House of 
        Representatives the Secretary's findings and 
        recommendations, and shall include in this report, 
        recommendations for interim measures that may be taken 
        to ensure continuity of services in this program.
          [(B) The Secretary shall assist States in developing 
        effective methods for the transfer of student records 
        and in determining the number of students or full-time 
        equivalent students in each State if such interim 
        measures are required.]
    (b) Access to Information on Migrant Students.--
         (1) National system.--(A) The Secretary shall 
        establish a national system for electronically 
        exchanging, among the States, health and educational 
        information regarding all students served under this 
        part. Such information shall include--
                 (i) immunization records and other health 
                information;
                 (ii) elementary and secondary academic history 
                (including partial credit), credit accrual, and 
                results from State assessments required under 
                this title;
                 (iii) other academic information essential to 
                ensuring that migrant children achieve to high 
                standards; and
                 (iv) eligibility for services under the 
                Individuals with Disabilities Education Act.
         (B) The Secretary shall publish, not later than 120 
        days after the date of enactment of the Educational 
        Opportunities Act, a notice in the Federal Register 
        seeking public comment on the proposed data elements 
        that each State receiving funds under this part shall 
        be required to collect for purposes of electronic 
        transfer of migrant student information, the 
        requirements for immediate electronic access to such 
        information, and the educational agencies eligible to 
        access such information.
         (C) Such system of electronic access to migrant 
        student information shall be operational not later than 
        1 year after the date of enactment of the Educational 
        Opportunities Act.
          (D) For the purpose of carrying out this subsection 
        in any fiscal year, the Secretary shall reserve not 
        more than $10,000,000 of the amount appropriated to 
        carry out this part of such year.
          (2) Report to congress.--(A) Not later than April 30, 
        2002, the Secretary shall report to the Committee on 
        Health, Education, Labor, and Pensions of the Senate 
        and the Committee on Education and the Workforce of the 
        House of Representatives the Secretary's findings and 
        recommendations regarding services under this part, and 
        shall include in this report, recommendations for the 
        interim measures that may be taken to ensure continuity 
        of services under this part.
          (B) The Secretary shall assist States in developing 
        effective methods for the transfer of student records 
        and in determining the number of students or full-time 
        equivalent students in each State if such interim 
        measures are required.
    (c) Availability of Funds.--For the purpose of carrying out 
this section in any fiscal year, the Secretary shall reserve 
not more than [$6,000,000] $10,000,000 of the amount 
appropriated to carry out this part for such year.
    (d) Incentive Grants.--
          (1) In general.--From the amounts made available to 
        carry out this section, the Secretary shall reserve not 
        more than [$1,500,000] $3,000,000 to award, on a 
        competitive basis, grants in the amount of not more 
        than $250,000 to State educational agencies with 
        consortium agreements under section 1303(d).

           *       *       *       *       *       *       *

    (e) Data Collection.--The Secretary shall direct the 
National Center for Education Statistics to collect data on 
migratory children.

           *       *       *       *       *       *       *


PART D--PREVENTION AND INTERVENTION PROGRAMS FOR CHILDREN AND YOUTH WHO 
         ARE NEGLECTED, DELINQUENT, OR AT RISK OF DROPPING OUT


[SEC. 1401. [20 U.S.C. 6421] FINDING; PURPOSE; PROGRAM AUTHORIZED.

    [(a) Findings.-- Congress finds the following:
          [(3) A large percentage of youth in the juvenile 
        justice system have poor academic achievement, are a 
        year or more behind grade level, and have dropped out 
        of school.
          [(2) There is a strong correlation between academic 
        failure and involvement in delinquent activities.
          [(3) Preventing students from dropping out of local 
        schools and addressing the educational needs of 
        delinquent youth can help reduce the dropout rate and 
        involvement in delinquent activities at the same time.
          [(4) Many schools and correctional facilities fail to 
        communicate regarding a youth's academic needs and 
        students often return to their home school ill-prepared 
        to meet current curriculum requirements.
          [(5) Schools are often reluctant to deal with youth 
        returning from facilities and receive no funds to deal 
        with the unique educational and other needs of such 
        youth.
          [(6) A continuing need exists for activities and 
        programs to reduce the incidence of youth dropping out 
        of school.
          [(7) Federal dropout prevention programs have 
        demonstrated effectiveness in keeping children and 
        youth in school.
          [(8) Pregnant and parenting teens are a high at-risk 
        group for dropout prevention programs.
          [(9) Such youth need a strong dropout prevention 
        program which provides such youth with high level 
        skills and which provides supports to youth returning 
        from correctional facilities in order to keep such 
        youth in school.
    [(b) Purpose.--It is the purpose of this part--
          [(1) to improve educational services to children in 
        local and State institutions for neglected or 
        delinquent children and youth so that such children and 
        youth have the opportunity to meet the same challenging 
        State content standards and challenging State student 
        performance standards that all children in the State 
        will be expected to meet;
          [(2) to provide such children and youth the services 
        needed to make a successful transition from 
        institutionalization to further schooling or 
        employment; and
          [(3) to prevent at-risk youth from dropping out of 
        school and to provide dropouts and youth returning from 
        institutions with a support system to ensure their 
        continued education.
    [(c) Program Authorized.--In order to carry out the purpose 
of this part the Secretary shall make grants to State 
educational agencies to enable such agencies to award subgrants 
to State agencies and local educational agencies to establish 
or improve programs of education for neglected or delinquent 
children and youth at risk of dropping out of school before 
graduation.

[SEC. 1402. [20 U.S.C. 6422] PAYMENTS FOR PROGRAMS UNDER THIS PART.

    [(a) Agency Subgrants.--Based on the allocation amount 
computed under section 1412, the Secretary shall allocate to 
each State educational agency amounts necessary to make 
subgrants to State agencies.
    [(b) Local Subgrants.--Each State shall retain, for 
purposes of subpart 2, funds generated throughout the State 
under part A based on youth residing in local correctional 
facilies, or attending community day programs for delinquent 
children and youth.
    [(c) Use of Remaining Funds.--Each State shall use any 
funds remaining after allocations are made under subsection 
(a).

                   [Subpart 1--State Agency Programs


[SEC. 1411. [20 U.S.C. 6431] ELIGIBILITY.

    [A State agency is eligible for assistance under this 
subpart if such State agency is responsible for providing free 
public education for children--
          [(1) in institutions for neglected or delinquent 
        children;
          [(2) attending community day programs for neglected 
        or delinquent children; or
          [(3) in adult correctional institutions.

[SEC. 1412. [20 U.S.C. 6432] ALLOCATION OF FUNDS.

    [(a) Subgrants to State Agencies.--
          [(1) In general.--Each State agency described in 
        section 1411 (other than an agency in the Commonwealth 
        of Puerto Rico) is eligible to receive a subgrant under 
        this part, for each fiscal year, an amount equal to the 
        product of--
                  [(A) the number of neglected or delinquent 
                children and youth described in section 1411 
                who--
                          [(i) are enrolled for at least 15 
                        hours per week in education programs in 
                        adult correctional institutions; and
                          [(ii) are enrolled for at least 20 
                        hours per week--
                                  [(I) in education programs in 
                                institutions for neglected or 
                                delinquent children; or
                                  [(II) in community day 
                                programs for neglected or 
                                delinquent children; and
                  [(B) 40 percent of the average per-pupil 
                expenditure in the State, except that the 
                amount determined under this paragraph shall 
                not be less than 32 percent, or more than 48 
                percent, of the average per-pupil expenditure 
                in the United States.
          [(2) Special rule.--The number of neglected or 
        delinquent children and youth determined under 
        paragraph (1) shall--
                  [(A) be determined by the State agency by a 
                deadline set by the Secretary except that no 
                State agency shall be required to determine the 
                number of such children on a specific date set 
                by the Secretary; and
                  [(B) be adjusted, as the Secretary determines 
                is appropriate, to reflect the relative length 
                of such agency's annual programs.
    [(b) Subgrants to State Agencies in Puerto Rico.--For each 
fiscal year, the amount of the subgrant for which a State 
agency in the Commonwealth of Puerto Rico is eligible under 
this part shall be equal to--
          [(1) the number of children and youth counted under 
        sub-section (a)(1) for the Commonwealth of Puerto Rico; 
        multiplied by
          [(2) the product of--
                  [(A) the percentage that the average per-
                pupil expenditure in the Commonwealth of Puerto 
                Rico is of the lowest average per-pupil 
                expenditure of any of the 50 States; and
                  [(B) 32 percent of the average per-pupil 
                expenditure in the United States.
    [(c) Ratable Reductions in Case of Insufficient 
Appropriations.--If the amount appropriated for any fiscal year 
for subgrants under subsections (a) and (b) is insufficient to 
pay the full amount for which all agencies are eligible under 
such subsections, the Secretary shall ratably reduce each such 
amount.

[SEC. 1413. [20 U.S.C. 6433] STATE REALLOCATION OF FUNDS.

    [If a State educational agency determines that a State 
agency does not need the full amount of the subgrant for which 
such State agency is eligible under this part for any fiscal 
year, the State educational agency may reallocate the amount 
that will not be needed to other eligible State agencies that 
need additional funds to carry out the purpose of this part, in 
such amounts as the State educational agency shall determine.

[SEC. 1414. [20. U.S.C. 6434] STATE PLAN AND STATE AGENCY APPLICATIONS.

    [(a) State Plan.--
                  [(1) In general.--Each State educational 
                agency that desires to receive a grant under 
                this part shall submit, for approval by the 
                Secretary, a plan for meeting the needs of 
                neglected and delinquent youth and, where 
                applicable, youth at risk of dropping out of 
                school which is integrated with other programs 
                under this Act, the Goals 2000: Educate America 
                Act, or other Acts, as appropriate, consistent 
                with section 14306.
                  [(2) Contents.--Each such State plan shall--
                          [(A) describe the program goals, 
                        objectives, and performance measures 
                        established by the State that will be 
                        used to assess the effectiveness of the 
                        program in improving academic and 
                        vocational skills of children in the 
                        program;
                          [(B) provide that, to the extent 
                        feasible, such children will have the 
                        same opportunities to learn as such 
                        children would have if such children 
                        were in the schools of local 
                        educational agencies in the State; and
                          [(C) contain assurances that the 
                        State educational agency will--
                                  [(i) ensure that programs 
                                assisted under this part will 
                                be carried out in accordance 
                                with the State plan described 
                                in this subsection;
                                  [(ii) carry out the 
                                evaluation requirements of 
                                section 1416;
                                  [(iii) ensure that the State 
                                agencies receiving subgrants 
                                under this subpart comply with 
                                all applicable statutory and 
                                regulatory requirements; and
                                  [(iv) provide such other 
                                information as the Secretary 
                                may reasonably require.
                  [(3) Duration of the plan.--Each such State 
                plan shall--
                          [(A) remain in effect for the 
                        duration of the State's participation 
                        under this part; and
                          [(B) be periodically reviewed and 
                        revised by the State, as necessary, to 
                        reflect changes in the State's 
                        strategies and programs under this 
                        part.
    [(b) Secretarial Approval; Peer Review.--
          [(1) In general.--The Secretary shall approve each 
        State plan that meets the requirements of this part.
          [(2) Peer review.--The Secretary may review any State 
        plan with the assistance and advice of individuals with 
        relevant expertise.
    [(c) State Agency Applications.--Any State agency that 
desires to receive funds to carry out a program under this part 
shall submit an application to the State educational agency 
that--
          [(1) describes the procedures to be used, consistent 
        with the State plan under section 1111, to assess the 
        educational needs of the children to be served;
          [(2) provides assurances that in making services 
        available to youth in adult correctional facilities, 
        priority will be given to such youth who are likely to 
        complete incarceration within a 2-year period;
          [(3) describes the program, including a budget for 
        the first year of the program, with annual updates to 
        be provided to the State educational agency;
          [(4) describes how the program will meet the goals 
        and objectives of the State plan under this subpart;
          [(5) describes how the State agency will consult with 
        experts and provide the necessary training for 
        appropriate staff, to ensure that the planning and 
        operation of institution-wide projects under section 
        1416 are of high quality;
          [(6) describes how the agency will carry out the 
        evaluation requirements of section 14701 and how the 
        results of the most recent evaluation are used to plan 
        and improve the program;
          [(7) includes data showing that the agency has 
        maintained fiscal effort required of a local 
        educational agency, in accordance with section 14501 of 
        this title;
          [(8) describes how the programs will be coordinated 
        with other appropriate State and Federal programs, such 
        as programs under the Job Training Partnership Act or 
        title I of the Workforce Investment Act of 1998, 
        vocational education programs, State and local dropout 
        prevention programs, and special education programs;
          [(9) describes how appropriate professional 
        development will be provided to teachers and other 
        staff;
          [(10) designates an individual in each affected 
        institution to be responsible for issues relating to 
        the transition of children and youth from the 
        institution to locally operated programs;
          [(11) describes how the agency will endeavor to 
        coordinate with businesses for training and mentoring 
        for participating youth;
          [(12) provides assurances that the agency will assist 
        in locating alternative programs through which students 
        can continue their education if students are not 
        returning to school after leaving the correctional 
        facility;
          [(13) provides assurances that the agency will work 
        with parents to secure parents' assistance in improving 
        the educational achievement of their children and 
        preventing their children's further involvement in 
        delinquent activities;
          [(14) provides assurances that the agency works with 
        special education youth in order to meet an existing 
        individualized education program and an assurance that 
        the agency will notify the youth's local school if such 
        youth--
                  [(A) is identified as in need of special 
                education services while the youth is in the 
                facility; and
                  [(B) intends to return to the local school;
          [(15) provides assurances that the agency will work 
        with youth who dropped out of school before entering 
        the facility to encourage the youth to reenter school 
        once the term of the youth has been completed or 
        provide the youth with the skills necessary to gain 
        employment, continue the education of the youth, or 
        achieve a secondary school diploma or the recognized 
        equivalent if the youth does not intend to return to 
        school;
          [(16) provides assurances that teachers and other 
        qualified staff are also trained to work with children 
        with disabilities and other students with special needs 
        taking into consideration the unique needs of such 
        students;
          [(17) describes any additional services provided to 
        youth, such as career counseling, and assistance in 
        securing student loans and grants; and
          [(18) provides assurance that the program under this 
        subpart will be coordinated with any programs operated 
        under the Juvenile Justice and Delinquency Prevention 
        Act of 1974 or other comparable programs, if 
        applicable.

[SEC. 1415. [20 U.S.C. 6435] USE OF FUNDS.

    [(a) In General.--
          [(1) Uses.--A State agency shall use funds received 
        under this subpart only for programs and projects 
        that--
                  [(A) are consistent with the State plan under 
                section 1414(a); and
                  [(B) concentrate on providing participants 
                with the knowledge and skills needed to make a 
                successful transition to secondary school 
                completion, further education, or employment.
          [(2) Programs and projects.--Such programs and 
        projects--
                  [(A) may include the acquisition of 
                equipment;
                 [(B) shall be designed to support educational 
                services that--
                         [(i) except for institution-wide 
                        projects under section 1416, are 
                        provided to children identified by the 
                        State agency as failing, or most at 
                        risk of failing, to meet the State's 
                        challenging State content standards and 
                        challenging State student performance 
                        standards;
                         [(ii) supplement and improve the 
                        quality of the educational services 
                        provided to such children by the State 
                        agency; and
                         [(iii) afford such children an 
                        opportunity to learn to such 
                        challenging State standards;
                 [(C) shall be carried out in a manner 
                consistent with section 1120A and part F of 
                this title; and
                 [(D) may include the costs of meeting the 
                evaluation requirements of section 14701.
    [(b) Supplement, Not Supplant.--A program under this 
subpart that supplements the number of hours of instruction 
students receive from State and local sources shall be 
considered to comply with the supplement , not supplant 
requirement of section 1120A without regard to the subject 
areas in which instruction is given during those hours.

[SEC. 1416. [20 U.S.C. 6436] INSTITUTION-WIDE PROJECTS.

    [A State agency that provides free public education for 
children and youth in an institution for neglected or 
delinquent children (other than an adult correctional 
institution) or attending a community-day program for such 
children may use funds received under this part to serve all 
children in, and upgrade the entire educational effort of, that 
institution or program if the State agency has developed, and 
the State educational agency has approved, a comprehensive plan 
for that institution or program that--
         [(1) provides for a comprehensive assessment of the 
        educational needs of all youth in the institution or 
        program serving juveniles;
         [(2) provides for a comprehensive assessment of the 
        educational needs of youth aged 20 and younger in adult 
        facilities who are expected to complete incarceration 
        within a two-year period;
         [(3) describes the steps the State agency has taken, 
        or will take, to provide all children under age 21 with 
        the opportunity to meet challenging State content 
        standards and challenging State student performance 
        standards in order to improve the likelihood that the 
        students will complete secondary school, attain 
        secondary diploma or its recognized equivalent, or find 
        employment after leaving the institution;
         [(4) describes the instructional program, pupil 
        services, and procedures that will be used to meet the 
        needs described in paragraph (1), including, to the 
        extent feasible, the provision of mentors for students;
         [(5) specifically describes how such funds will be 
        used;
         [(6) describes the measures and procedures that will 
        be used to assess student progress;
          [(7) describes how the agency has planned, and will 
        implement and evaluate, the institution-wide or 
        program-wide project in consultation with personnel 
        providing direct instructional services and support 
        services in institutions or community-day programs for 
        neglected or delinquent children and personnel from the 
        State educational agency; and
          [(8) includes an assurance that the State agency has 
        provided for appropriate training for teachers and 
        other instructional and administrative personnel to 
        enable such teachers and personnel to carry out the 
        project effectively.

[SEC. 1417. [20 U.S.C. 6437] THREE-YEAR PROGRAMS OR PROJECTS.

    [If a State agency operates a program or project under this 
subpart in which individual children are likely to participate 
for more than one year, the State educational agency may 
approve the State agency's application for a subgrant under 
this part for a period of not more than three years.

[SEC. 1418. [20 U.S.C. 6438] TRANSITION SERVICES.

    [(a) Transition Services.--Each State agency shall reserve 
not more than 10 percent of the amount such agency receives 
under this subpart for any fiscal year to support projects that 
facilitate the transition of children from State-operated 
institutions to local educational agencies.
    [(b) Conduct of Projects.--A project supported under this 
section may be conducted directly by the State agency, or 
through a contract or other arrangement with one or more local 
educational agencies, other public agencies, or private 
nonprofit organizations.
    [(c) Limitation.--Any funds reserved under subsection (a) 
shall be used only to provide transitional educational 
services, which may include pupil services and mentoring, to 
neglected and delinquent children in schools other than State-
operated institutions.
    [(d) Construction.--Nothing in this section shall be 
construed to prohibit a school that receives funds under 
subsection (a) from serving neglected and delinquent children 
simultaneously with students with similar educational needs, in 
the same educational settings where appropriate.

                   [Subpart 2--Local Agency Programs


[SEC. 1421. [20 U.S.C. 6451] PURPOSE.

    [The purpose of this subpart is to support the operation of 
local educational agency programs which involve collaboration 
with locally operated correctional facilities to--
          [(1) carry out high quality education programs to 
        prepare youth for secondary school completion, 
        training, and employment, or further education;
          [(2) provide activities to facilitate the transition 
        of such youth from the correctional program to further 
        education or employment; and
          [(3) operate dropout prevention programs in local 
        schools for youth at risk of dropping out of school and 
        youth returning from correctional facilities.

[SEC. 1422. [20 U.S.C. 6452] PROGRAMS OPERATED BY LOCAL EDUCATIONAL 
                    AGENCIES.

    [(a) Local Subgrants.--With funds retained made available 
under section 1402(b), the State educational agency shall award 
subgrants to local educational agencies with high numbers or 
percentages of youth residing in locally operated (including 
county operated) correctional facilities for youth (including 
facilities involved in day programs).
    [(b) Special Rule.--A local educational agency which 
includes a correctional facility that operates a school is not 
required to operate a dropout prevention program if more than 
30 percent of the youth attending such facility will reside 
outside the boundaries of the local educational agency upon 
leaving such facility.
    [(c) Notification.--A State educational agency shall notify 
local educational agencies within the State of the eligibility 
of such agencies to receive a subgrant under this subpart.

[SEC. 1433. [20 U.S.C. 6453] LOCAL EDUCATIONAL AGENCY APPLICATIONS.

    [Eligible local educational agencies desiring assistance 
under this section shall submit an application to the State 
educational agency, containing such information as the State 
educational agency may require. Each such application shall 
include--
          [(1) a description of the program to be assisted;
          [(2) a description of formal agreements between--
                  [(A) the local educational agency; and
                  [(B) correctional facilities and alternative 
                school programs serving youth involved with the 
                juvenile justice system to operate programs for 
                delinquent youth;
          [(3) as appropriate, a description of how 
        participating schools will coordinate with facilities 
        working with delinquent youth to ensure that such youth 
        are participating in an education program comparable to 
        one operating in the local school such youth would 
        attend;
          [(4) as appropriate, a description of the dropout 
        prevention program operated by participating schools 
        and the types of services such schools will provide to 
        at-risk youth in participating schools and youth 
        returning from correctional facilities;
          [(5) as appropriate, a description of the youth 
        expected to be served by the dropout prevention program 
        and how the school will be coordinating existing 
        educational programs to meet unique education needs;
          [(6) as appropriate, a description of how schools 
        will coordinate with existing social and health 
        services to meet the needs of students at risk of 
        dropping out of school and other participating 
        students, including prenatal health care and nutrition 
        services related to the health of the parent and child, 
        parenting and child development classes, child care, 
        targeted reentry and outreach programs, referrals to 
        community resources, and scheduling flexibility;
          [(7) as appropriate, a description of any 
        partnerships with local businesses to develop training 
        and mentoring services for participating students;
          [(8) as appropriate, a description of how the program 
        will involve parents in efforts to improve the 
        educational achievementof their children, assist in 
dropout prevention activities, and prevent the involvement of their 
children in delinquent activities;
          [(9) a description of how the program under this 
        subpart will be coordinated with other Federal, State, 
        and local programs, such as programs under the Job 
        Training Partnership Act or title I of the Workforce 
        Investment Act of 1998 and vocational education 
        programs serving this at-risk population of youth;
          [(10) a description of how the program will be 
        coordinated with programs operated under the Juvenile 
        Justice and Delinquency Prevention Act of 1974 and 
        other comparable programs, if applicable;
          [(11) as appropriate, a description of how schools 
        will work with probation officers to assist in meeting 
        the needs of youth returning from correctional 
        facilities;
          [(12) a description of efforts participating schools 
        will make to ensure correctional facilities working 
        with youth are aware of a child's existing 
        individualized education program; and
          [(13) as appropriate, a description of the steps 
        participating schools will take to find alternative 
        placements for youth interested in continuing their 
        education but unable to participate in a regular public 
        school program.

[SEC. 1424. [20 U.S.C. 6454] USES OF FUNDS.

    [Funds provided to local educational agencies under this 
subpart may be used, where appropriate, for--
          [(1) dropout prevention programs which serve youth at 
        educational risk, including pregnant and parenting 
        teens, youth who have come in contact with the juvenile 
        justice system, youth at least one year behind their 
        expected grade level, migrant youth, immigrant youth, 
        students with limited-English proficiency and gang 
        members;
          [(2) the coordination of health and social services 
        for such individuals if there is a likelihood that the 
        provision of such services, including day care and drug 
        and alcohol counseling, will improve the likelihood 
        such individuals will complete their education; and
          [(3) programs to meet the unique education needs of 
        youth at risk of dropping out of school, which may 
        include vocational education, special education, career 
        counseling, and assistance in securing student loans or 
        grants.

[SEC. 1425. [20 U.S.C. 6455] PROGRAM REQUIREMENTS FOR CORRECTIONAL 
                    FACILITIES RECEIVING FUNDS UNDER THIS SECTION.

    [Each correctional facility entering into an agreement with 
a local educational agency under section 1422(a) to provide 
services to youth under this section shall--
          [(1) where feasible, ensure educational programs in 
        juvenile facilities are coordinated with the student's 
        home school, particularly with respect to special 
        education students with an individualized education 
        program;
          [(2) notify the local school of a youth if the youth 
        is identified as in need of special education services 
        while in the facility;
          [(3) where feasible, provide transition assistance to 
        help the youth stay in school, including coordination 
        of services for the family, counseling, assistance in 
        accessing drug and alcohol abuse prevention programs, 
        tutoring, and family counseling;
          [(4) provide support programs which encourage youth 
        who have dropped out to reenter school once their term 
        has been completed or provide such youth with the 
        skills necessary for such youth to gain employment or 
        seek a secondary school diploma or its recognized 
        equivalent;
          [(5) work to ensure such facilities are staffed with 
        teachers and other qualified staff who are trained to 
        work with children with disabilities and other students 
        with special needs taking into consideration the unique 
        needs of such children and students;
          [(6) ensure educational programs in correctional 
        facilities are related to assisting students meet high 
        educational standards;
          [(7) use, to the extent possible, technology to 
        assist in coordinating educational programs between the 
        juvenile facility and the community school;
          [(8) where feasible, involve parents in efforts to 
        improve the educational achievement of their children 
        and prevent the further involvement of such children in 
        delinquent activities;
          [(9) coordinate funds received under this program 
        with other local, State, and Federal funds available to 
        provide services to participating youth, such as funds 
        made available under the Job Training Partnership Act 
        or title I of the Workforce Investment Act of 1998, and 
        vocational education funds;
          [(10) coordinate programs operated under this subpart 
        with activities funded under the Juvenile Justice and 
        Delinquency Prevention Act of 1974 and other comparable 
        programs, if applicable; and
          [(11) if appropriate, work with local businesses to 
        develop training and mentoring programs for 
        participating youth.

[SEC. 1426. [20 U.S.C. 6456] ACCOUNTABILITY.

    [The State educational agency may--
          [(1) reduce or terminate funding for projects under 
        this section if a local educational agency does not 
        show progress in reducing dropout rates for male 
        students and for female students over a 3-year period; 
        and
          [(2) require juvenile facilities to demonstrate, 
        after receiving assistance under this subpart for 3 
        years, that there has been an increase in the number of 
        youth returning to school, obtaining a secondary school 
        diploma or its recognized equivalent, or obtaining 
        employment after such youth are released.

                     [Subpart 3--General Provisions


[SEC. 1431. [20 U.S.C. 6471] PROGRAM EVALUATIONS.

    [(a) Scope of Evaluation.--Each State agency or local 
educational agency that conducts a program under subpart 1 or 2 
shall evaluate the program, disaggregating data on 
participation by sex, and if feasible, by race, ethnicity, and 
age, not less than once every three years to determine the 
program's impact on the ability of participants to--
          [(1) maintain and improve educational achievement;
          [(2) accrue school credits that meet State 
        requirements for grade promotion and secondary school 
        graduation;
          [(3) make the transition to a regular program or 
        other education program operated by a local education 
        agency; and
          [(4) complete secondary school (or secondary school 
        equivalency requirements) and obtain employment after 
        leaving the institution.
    [(b) Evaluation Measures.--In conducting each evaluation 
under subsection (a), a State agency or local educational 
agency shall use multiple and appropriate measures of student 
progress.
    [(c) Evaluation Results.--Each State agency and local 
educational agency shall--
          [(1) submit evaluation results to the State 
        educational agency; and
          [(2) use the results of evaluations under this 
        section to plan and improve subsequent programs for 
        participating children and youth.

[SEC. 1432. [20 U.S.C. 6472] DEFINITIONS.

    [For the purpose of this part:
          [(1) The term ``adult correctional institution'' 
        means a facility in which persons are confined as a 
        result of a conviction for a criminal offense, 
        including persons under 21 years of age.
          [(2) The term ``at-risk youth'' means school aged 
        youth who are at risk of academic failure, have drug or 
        alcohol problems, are pregnant or are parents, have 
        come into contact with the juvenile justice system in 
        the past, are at least one year behind the expected 
        grade level for the age of the youth, have limited-
        English proficiency, [are gang members, have dropped 
        out of school in the past, or have high absenteeism 
        rates at school.
          [(3) The term ``community day program'' means a 
        regular program of instruction provided by a State 
        agency at a community day school operated specifically 
        for neglected or delinquent children.
          [(4) The term ``institution for delinquent children 
        and youth'' means a public or private residential 
        facility for the care of children who have been 
        adjudicated to be delinquent or in need of supervision.
          [(5) The term ``institution for neglected children'' 
        means a public or private residential facility, other 
        than a foster home, that is operated for the care of 
        children who have been committed to the institution or 
        voluntarily placed in the institution under applicable 
        State law, due to abandonment, neglect, or death of 
        their parents or guardians.]

                      PART D--PARENTAL ASSISTANCE

SEC. 1401. PARENTAL INFORMATION AND RESOURCE CENTERS.

    (a) Purpose.--The purpose of this part is--
          (1) to provide leadership, technical assistance, and 
        financial support to nonprofit organizations and local 
        educational agencies to help the organizations and 
        agencies implement successful and effective parental 
        involvement policies, programs, and activities that 
        lead to improvements in student performance;
          (2) to strengthen partnerships among parents 
        (including parents of preschool age children), 
        teachers, principals, administrators, and other school 
        personnel in meeting the educational needs of children;
          (3) to develop and strengthen the relationship 
        between parents and the school;
          (4) to further the developmental progress primarily 
        of children assisted under this part; and
          (5) to coordinate activities funded under this part 
        with parental involvement initiatives funded under 
        section 1118 and other provisions of this Act.
    ``(b) Grants Authorized.--
          (1) In general.--The Secretary is authorized to award 
        grants in each fiscal year to nonprofit organizations, 
        and nonprofit organizations in consortia with local 
        educational agencies, to establish school-linked or 
        school-based parental information and resource centers 
        that provide training, information, and support to--
                  (A) parents of children enrolled in 
                elementary schools and secondary schools;
                  (B) individuals who work with the parents 
                described in subparagraph (A); and
                  (C) State educational agencies, local 
                educational agencies, schools, organizations 
                that support family-school partnership (such as 
                parent-teacher associations), and other 
                organizations that carry out parent education 
                and family involvement programs.
          (2) Award rule.--In awarding grants under this part, 
        the Secretary shall ensure that such grants are 
        distributed in all geographic regions of the United 
        States.

SEC. 1402. APPLICATIONS.

    (a) Grants Applications.--
          (1) In general.--Each nonprofit organization or 
        nonprofit organization in consortium with a local 
        educational agency that desires a grant under this part 
        shall submit an application to the Secretary at such 
        time and in such manner as the Secretary shall require.
          (2) Contents.--Each application submitted under 
        paragraph (1), at a minimum, shall include assurances 
        that the organization or consortium will--
                  (A)(i) be governed by a board of directors 
                the membership of which includes parents; or
                  (ii) be an organization or consortium that 
                represents the interests of parents;
                  (B) establish a special advisory committee 
                the membership of which includes--
                          (i) parents described in section 
                        1401(b)(1)(A);
                          (ii) representatives of education 
                        professionals with expertise in 
                        improving services for disadvantaged 
                        children; and
                          (iii) representatives of local 
                        elementary schools and secondary 
                        schools who may include students and 
                        representatives from local youth 
                        organizations;
                  (C) use at least \1/2\ of the funds provided 
                under this part in each fiscal year to serve 
                areas with high concentrations of low-income 
                families in order to serve parents who are 
                severely educationally or economically 
                disadvantaged;
                  (D) operate a center of sufficient size, 
                scope, and quality to ensure that the center is 
                adequate to serve the parents in the area;
                  (E) serve both urban and rural areas;
                  (F) design a center that meets the unique 
                training, information, and support needs of 
                parents described in section 1401(b)(1)(A), 
                particularly such parents who are educationally 
                or economically disadvantaged;
                  (G) demonstrate the capacity and expertise to 
                conduct the effective training, information and 
                support activities for which assistance is 
                sought;
                  (H) network with--
                          (i) local educational agencies and 
                        schools;
                          (ii) parents of children enrolled in 
                        elementary schools and secondary 
                        schools;
                          (iii) parent training and information 
                        centers assisted under section 682 of 
                        the Individuals with Disabilities 
                        Education Act;
                          (iv) clearinghouses; and
                          (v) other organizations and agencies;
                  (I) focus on serving parents described in 
                section 1401(b)(1)(A) who are parents of low-
                income, minority, and limited English 
                proficient, children;
                  (J) use part of the funds received under this 
                part to establish, expand, or operate Parents 
                as Teachers programs or Home Instruction for 
                Preschool Youngsters programs;
                  (K) provide assistance to parents in such 
                areas as understanding State and local 
                standards and measures of student and school 
                performance; and
                  (L) work with State and local educational 
                agencies to determine parental needs and 
                delivery of services.
    (b) Grant Renewal.--For each fiscal year after the first 
fiscal year an organization or consortium receives assistance 
under this part, the organization or consortium shall 
demonstrate in the application submitted for such fiscal year 
after the first fiscal year that a portion of the services 
provided by the organization or consortium is supported through 
non-Federal contributions, which contributions may be in cash 
or in kind.

SEC. 1403. USES OF FUNDS.

    (a) In General.--Grant funds received under this part shall 
be used--
          (1) to assist parents in participating effectively in 
        their children's education and to help their children 
        meet State and local standards, such as assisting 
        parents--
                  (A) to engage in activities that will improve 
                student performance, including understanding 
                the accountability systems in place within 
                their State educational agency and local 
                educational agency and understanding their 
                children's educational performance in 
                comparison to State and local standards;
                  (B) to provide followup support for their 
                children's educational achievement;
                  (C) to communicate effectively with teachers, 
                principals, counselors, administrators, and 
                other school personnel;
                  (D) to become active participants in the 
                development, implementation, and review 
ofschool-parent compacts, parent involvement policies, and school 
planning and improvement;
                  (E) to participate in the deign and provision 
                of assistance to students who are not making 
                adequate educational progress;
                  (F) to participate in State and local 
                decisionmaking; and
                  (G) to train other parents;
          (2) to obtain information about the range of options, 
        programs, services, and resources available at the 
        national, State, and local levels to assist parents and 
        school personnel who work with parents;
          (3) to help the parents learn and use the technology 
        applied in their children's education;
          (4) to plan, implement, and fund activities for 
        parents that coordinate the education of their children 
        with other Federal programs that serve their children 
        or their families; and
          (5) to provide support for State or local educational 
        personnel if the participation of such personnel will 
        further the activities assisted under the grant.
    (b) Permissive Activities.--Grant funds received under this 
part may be used to assist schools with activities such as--
          (1) developing and implementing their plans or 
        activities under sections 1118 and 1119; and
          (2) developing and implementing school improvement 
        plans, including addressing problems that develop in 
        the implementation of sections 1118 and 1119.
          (3) providing information about assessment and 
        individual results to parents in a manner and a 
        language the family can understand;
          (4) coordinating the efforts of Federal, State, and 
        local parent education and family involvement 
        initiatives; and
          (5) providing training, information, and support to--
                  (A) State educational agencies;
                  (B) local educational agencies and schools, 
                especially those local educational agencies and 
                schools that are low performing; and
                (C) organizations that support family-school 
                partnerships.
    (c) Grandfather Clause.--The Secretary shall use funds made 
available under this part to continue to make grant or contract 
payments to each entity that was awarded a multiyear grant or 
contract under title IV of the Goals 2000: Educate America Act 
(as such title was in effect onthe day before the date of 
enactment of the Educational Opportunities Act) for the duration of the 
grant or contract award.

SEC. 1404. TECHNICAL ASSISTANCE.

    The Secretary shall provide technical assistance, by grant 
or contract, for the establishment, development, and 
coordination of parent training, information, and support 
programs and parental information and resource centers.

SEC. 1405. REPORTS.

    (a) Information.--Each organization or consortium receiving 
assistance under this part shall submit to the Secretary, on an 
annual basis, information concerning the parental information 
and resource centers assisted under this part, including--
          (1) the number of parents (including the number of 
        minority and limited English proficient parents) who 
        receive information and training;
          (2) the types and modes of training, information, and 
        support provided under this part;
          (3) the strategies used to reach and serve parents of 
        minority and limited English proficient children, 
        parents with limited literacy skills, and other parents 
        in need of the services provided under this part;
          (4) the parental involvement policies and practices 
        used by the center and an evaluation of whether such 
        policies and practices are effective in improving home-
        school communication, student achievement, student and 
        school performance, and parental involvement in school 
        planning, review, and improvement; and
          (5) the effectiveness of the activities that local 
        educational agencies and schools are carrying out with 
        regard to parental involvement and other activities 
        assisted under this Act that lead to improved student 
        achievement and improved student and school 
        performance.
    (b) Dissemination.--The Secretary annually shall 
disseminate, widely to the public and to Congress, the 
information that each organization or consortium submits under 
subsection (a) to the Secretary.

SEC. 1406. GENERAL PROVISIONS.

    Notwithstanding any other provision of this part--
          (1) no person, including a parent who educates a 
        child at home, a public school parent, or a private 
        school parent, shall be required to participate in any 
        program of parent education or developmental screening 
        pursuant to the provisions of this part; and
          (2) no program or center assisted under this part 
        shall take any action that infringes in any manner on 
        the right of a parent to direct the education of their 
        children.

                  PART F--COMPREHENSIVE SCHOOL REFORM

SEC. 1601. PURPOSE.

    The purpose of this part is to provide financial incentives 
for schools to develop comprehensive school reforms based upon 
promising and effective practices and research-based programs 
that emphasize basic academics and parental involvement so that 
all children can meet challenging State content and student 
performance standards.

SEC. 1602. PROGRAM AUTHORIZATION.

    (a) Program Authorized.--
          (1) In general.--The Secretary is authorized to award 
        grants to State educational agencies, from allotments 
        under paragraph (2), to enable the State educational 
        agencies to award subgrants to local educational 
        agencies to carry out the purpose described in section 
        1601.
          (2) Allotments.--
                  (A) Reservations.--Of the amount appropriated 
                under section 1002(h) for a fiscal year, the 
                Secretary may reserve--
                          (i) not more than 1 percent to 
                        provide assistance to schools supported 
                        by the Bureau of Indian Affairs and in 
                        the United States Virgin Islands, Guam, 
                        American Samoa, and the Commonwealth of 
                        the Northern Mariana Islands according 
                        to their respective needs for 
                        assistance under this part; and
                          (ii) not more than 1 percent to 
                        conduct national evaluation activities 
                        described in section 1607.
                  (B) In general.--Of the amount appropriated 
                under section 1002(h) that remains after making 
                the reservation under subparagraph (A) for a 
                fiscal year, the Secretary shall allot to each 
                State for the fiscal year an amount that bears 
                the same ratio to the remainder for that fiscal 
                year as the amount made available under section 
                1124 to the State for the preceding fiscal year 
                bears to the total amount made available under 
                section 1124 to all States for that year.
                  (C) Reallotment.--If a State does not apply 
                for funds under this section, the Secretary 
                shall reallot such funds to other States that 
                do not apply in proportion to the amount 
                allotted to such other States under 
                subparagraph (B).

SEC. 1603. STATE APPLICATIONS.

    ``(a) In General.--Each State educational agency that 
desires to receive a grant 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.
    (b) Contents.--Each such application shall describe--
          (1) the process and selection criteria by which the 
        State educational agency, using expert review, will 
        select local educational agencies to receive subgrants 
        under this section;
          (2) how the State educational agency will ensure that 
        only comprehensive school reforms that arebased on 
promising and effective practices and research-based programs receive 
funds under this part;
          (3) how the State educational agency will disseminate 
        information on comprehensive school reforms that are 
        based on promising and effective practices and 
        research-based programs;
          (4) how the State educational agency will evaluate 
        the implementation of such reforms and measure the 
        extent to which the reforms have resulted in increased 
        student academic performance; and
          (5) how the State educational agency will make 
        available technical assistance to a local educational 
        agency or consortia of local educational agencies in 
        evaluating, developing, and implementing comprehensive 
        school reform.

SEC. 1604. STATE USE OF FUNDS.

     (a) In General.--Except as provided in subsection (e), a 
State educational agency that receives a grant under this part 
shall use the grant funds to award subgrants, on a competitive 
basis, to local educational agencies or consortia of local 
educational agencies in the State that receive funds under part 
A.
    (b) Subgrant Requirements.--A subgrant to a local 
educational agency or consortium shall be--
          (1) of sufficient size and scope to support the 
        initial costs for the particular comprehensive school 
        reform plan selected or designed by each school 
        identified in the application of the local educational 
        agency or consortium;
          (2) in an amount not less than $50,000 for each 
        participating school; and
          (3) renewable for 2 additional 1-year periods after 
        the initial 1-year grant is made if the school is 
        making substantial progress in the implementation of 
        reforms.
    (c) Priority.--A State educational agency, in awarding 
subgrants under this part, shall give priority to local 
educational agencies or consortia that--
          (1) plan to use the funds in schools identified as 
        being in need of improvement or corrective action under 
        section 1116(c); and
          (2) demonstrate a commitment to assist schools with 
        budget allocation, professional development, and other 
        strategies necessary to ensure the comprehensive school 
        reforms are properly implemented and are sustained in 
        the future.
    (d) Grant Consideration.--In awarding subgrants under this 
part, the State educational agency shall take into 
consideration the equitable distribution of subgrants to 
different geographic regions within the State, including urban 
and rural areas, and to schools serving elementary school and 
secondary students.
    (e) Administrative Costs.--A State educational agency that 
receives a grant under this part may reserve not more than 5 
percent of the grant for administrative, evaluation, and 
technical assistance expenses.
    (f) Supplement.--Funds made available under this part shall 
be used to supplement, and not supplant, any other Federal, 
State, or local funds that would otherwise be available to 
carry out the activities assisted under this part.
    (g) Reporting.--Each State educational agency that receives 
a grant under this part shall provide to the Secretary such 
information as the Secretary may require, including the names 
of local educational agencies and schools receiving assistance 
under this part, the amount of the assistance, and a 
description of the comprehensive school reform model selected 
and used.

SEC. 1605. LOCAL APPLICATIONS.

    (a) In General.--Each local educational agency or 
consortium of local educational agencies desiring a subgrant 
under this section shall submit an application to the State 
educational agency at such time, in such manner, and containing 
such information as the State educational agency may reasonably 
require.
    (b) Contents.--Each application shall--
          (1) identify the schools, that are eligible for 
        assistance under part A, that plan to implement a 
        comprehensive school reform program, including the 
        projected costs of such a program;
          (2) describe the promising and effective practices 
        and research-based programs that such schools will 
        implement;
          (3) describe how the local educational agency or 
        consortium will provide technical assistance and 
        support for the effective implementation of the 
        promising and effective practices and research-based 
        school reforms selected by such schools; and
          (4) describe how the local educational agency or 
        consortium will evaluate the implementation of such 
        reforms and measure the results achieved in improving 
        student academic performance.

SEC. 1606. LOCAL USE OF FUNDS.

    (a) Uses of Funds.--A local educational agency or 
consortium that receives a subgrant under this section shall 
provide the subgrant funds to schools, that are eligible for 
assistance under part A and served by the agency, to enablethe 
schools to implement a comprehensive school reform program for--
         (1) employing innovative strategies for student 
        learning, teaching, and school management that are 
        based on promising and effective practices and 
        research-based programs and have been replicated 
        successfully in schools with diverse characteristics;
         (2) integrating a comprehensive design for effective 
        school functioning, including instruction, assessment, 
        classroom management, professional development, 
        parental involvement, and school management, that 
        aligns the school's curriculum, technology, and 
        professional development into a comprehensive reform 
        plan for schoolwide change designed to enable all 
        students to meet challenging State content and student 
        performance standards and addresses needs identified 
        through a school needs assessment;
         (3) providing high quality and continuous teacher and 
        staff professional development;
         (4) the inclusion of measurable goals for student 
        performance;
         (5) support for teachers, principals, administrators, 
        and other school personnel staff;
         (6) meaningful community and parental involvement 
        initiatives that will strengthen school improvement 
        activities;
         (7) using high quality external technical support and 
        assistance from an entity that has experience and 
        expertise in schoolwide reform and improvement, which 
        may include an institution of higher education;
         (8) evaluating school reform implementation and 
        student performance; and
         (9) identification of other resources, including 
        Federal, State, local, and private resources, that 
        shall be used to coordinate services that will support 
        and sustain the school reform effort.
    (b) Special Rule.--A school that receives funds to develop 
a comprehensive school reform program shall not be limited to 
using the approaches identified or developed by the Secretary, 
but may develop the school's own comprehensive school reform 
programs for schoolwide change as described in subsection (a).

SEC. 1607. NATIONAL EVALUATION AND REPORTS.

    (a) In General.--The Secretary shall develop a plan for a 
national evaluation of the programs assisted under this part.
    (b) Evaluation.--The national evaluation shall--
          (1) evaluate the implementation and results achieved 
        by schools after 3 years of implementing comprehensive 
        school reforms; and
          (2) assess the effectiveness of comprehensive school 
        reforms in schools with diverse characteristics.
    (c) Reports.--Prior to the completion of the national 
evaluation, the Secretary shall submit an interim report 
describing implementation activities for the Comprehensive 
School Reform Program, which began in 1998, to the Committee on 
Education and the Workforce, and the Committee on 
Appropriations of the House of Representatives, and the 
Committee on Health, Education, Labor, and Pensions, and the 
Committee on Appropriations of the Senate.

         PART G--ASSISTANCE TO ADDRESS SCHOOL DROPOUT PROBLEMS

SEC. 1701 PURPOSE.

    The purpose of this part is to provide for school drop-out 
prevention and reentry and to raise academic achievement levels 
by providing grants, to schools through State educational 
agencies, that--
          (1) challenge all children to attain their highest 
        academic potential; and
          (2) ensure that all students have substantial and 
        ongoing opportunities to do so through schoolwide 
        programs proven effective in school dropout prevention.

                Subpart 1--Coordinated National Strategy

SEC. 1711. NATIONAL ACTIVITIES.

    (a) In General.--The Secretary is authorized--
          (1) to collect systematic data on the participation 
        in the programs described in paragraph (2)(C) of 
        individuals disaggregated within each State, local 
        educational agency, and school by gender, by each major 
        racial and ethnic group, by English proficiency status, 
        by migrant status, by students with disabilities as 
        compared to nondisabled students, and by economically 
        disadvantaged students as compared to students who are 
        not economically disadvantaged;
          (2) to establish and to consult with an intergency 
        working group which shall--
                  (A) address inter- and intra-agency program 
                coordination issues at the Federal level with 
                respect to school dropout prevention and middle 
                school and secondary school reentry, assess the 
                targeting of existing Federal services to 
                students who are most at risk of dropping out 
                of school, and the cost-effectiveness of 
                various programs and approaches used to address 
                school dropout prevention:
                  (B) describe the ways in which State and 
                local agencies can implement effective school 
                dropout prevention programs using funds from a 
                variety of Federal programs, including the 
                programs under this title and the School-to-
                Work Opportunities Act of 1994; and
                  (C) address all Federal programs with school 
                dropout prevention or school reentry elements 
                or objectives, programs under title I of this 
                Act, the School-to-Work Opportunities Act of 
                1994, part B of title IV of the Job Training 
                Partnership Act, subtitle C of title I of the 
                Workforce Investment Act of 1998, and other 
                programs; and
          (3) carry out a national recognition program in 
        accordance with subsection (b) that recognizes schools 
        that have made extraordinary progress in lowering 
        school dropout rates under which a public middle school 
        or secondary school from each State will be recognized.
    (b) Recognition Program.--
          (1) National guidelines.--The Secretary shall develop 
        uniform national guidelines for the recognition program 
        which shall be used to recognize schools from 
        nominations submitted by State educational agencies.
          (2) Eligible schools.--The Secretary may recognize 
        under the recognition program any public middle school 
        or secondary school (including a charter school) that 
        has implemented comprehensive reforms regarding the 
        lowering of school dropout rates for all students at 
        that school.
          (3) Support.--The Secretary may make monetary awards 
        to schools recognized under the recognition program in 
        amounts determined by the Secretary. Amounts received 
        under this section shall be used for dissemination 
        activities within the school district or nationally.

        Subpart 2--National School Dropout Prevention Initiative

SEC. 1721. PROGRAM AUTHORIZED.

    (a) Allotments to States.--
          (1) In general.-- From the sum made available under 
        section 1732(b) for a fiscal year the Secretary shall 
        make an allotment to each State in an amount that bears 
        the same relation to the sum as the amount the State 
        received under this title for the preceding fiscal year 
        bears to the amount received by all States under this 
        title for the preceding fiscal year.
          (2) Definition of state.--In this subpart, the term 
        `State' means each of the several States of the United 
        States, the District of Columbia, the Commonwealth of 
        Puerto Rico, the United States Virgin Islands, Guam, 
        American Samoa, the Commonwealth of the Northern 
        Mariana Islands, the Republic of the Marshall Islands, 
        the Federated States of Micronesia, and the Republic of 
        Palau.
    (b) Grants.--From amounts made available to a State under 
subsection (a), the State educational agency may award grants 
to public middle schools or secondary schools, that have school 
dropout rates which are in the highest \1/3\ of all school 
dropout rates in the State, to enable the schools to pay only 
the startup and implementation costs of effective, sustainable, 
coordinated, and whole school dropout prevention programs that 
involve activities such as--
          (1) professional development;
          (2) obtaining curricular materials;
          (3) release time for professional staff;
          (4) planning and research;
          (5) remedial education;
          (6) reduction in pupil-to-teacher ratios;
          (7) efforts to meet State student achievement 
        standards;
          (8) counseling and mentoring for at-risk students; 
        and
          (9) comprehensive school reform models.
    (c) Amount.--
          (1) In general.--Subject to subsection (d) and except 
        as provided in paragraph (2), a grant under this 
        subpart shall be awarded--
                  (A) in the first year that a school receives 
                a grant payment under this subpart, in an 
                amount that is not less than $50,000 and not 
                more than $100,000, based on factors such as--
                          (i) school size;
                          (ii) costs of the model or set of 
                        prevention and reentry strategies being 
                        implemented; and
                          (iii) local cost factors such as 
                        poverty rates;
                  (B) in the second such year, in an amount 
                that is not less than 75 percent of the amount 
                the school received under this subpart in the 
                first such year;
                  (C) in the third year, in an amount that is 
                not less than 50 percent of the amount the 
                school received under this subpart in the first 
                such year; and
                  (D) in each succeeding year in an amount that 
                is not less than 30 percent of the amount the 
                school received under this subpart in the first 
                such year.
          (2) Increases.--The Secretary shall increase the 
        amount awarded to a school under this subpart by 10 
        percent if the school creates smaller learning 
        communities within the school and the creation is 
        certified by the State educational agency.
    (d) Duration.--A grant under this subpart shall be awarded 
for a period of 3 years, and may be continued for a period of 2 
additional years if the State educational agency determines, 
based on the annual reports described in section 1727(a), that 
significant progress has been made in lowering the school 
dropout rate for students participating in the program assisted 
under this subpart compared to students at similar schools who 
are not participating in the program.

SEC. 1722. STRATEGIES AND SCHOOL CAPACITY BUILDING.

    (a) Strategies.--Each school receiving a grant under this 
subpart shall implement research-based, sustainable and widely 
replicated, strategies for school dropout prevention and 
reentry that address the needs of an entire school population 
rather than a subset of students. The strategies may include--
          (1) specific strategies for targeted purposes, such 
        as effective early intervention programs designed to 
        identify at-risk students, effective programs 
        encompassing traditionally underserved students, 
        including racial and ethnic minorities and pregnant and 
        parenting teenagers, designed to prevent such students 
        from dropping out of school, and effective programs to 
        identify and encourage youth who have already dropped 
        out of school to reenter school and complete their 
        secondary education; and
          (2) approaches such as breaking larger schools down 
        into smaller learning communities and other 
        comprehensive reform approaches, creating alternative 
        school programs, developing clear linkages to career 
        skills and employment, and addressing specific 
        gatekeeper hurdles that often limit student retention 
        and academic success.
    (b) Capacity Building.--
          (1) In general.--The Secretary, through a contract 
        with a non-Federal entity, shall conduct a capacity 
        building and design initiative in order to increase the 
        types of proven strategies for dropout prevention and 
        reentry that address the needs of an entire school 
        population rather than a subset of students.
          (2) Number and duration.--
                  (A) Number.--The Secretary shall award not 
                more than 5 contracts under this subsection.
                  (B) Duration.--The Secretary shall award a 
                contract under this section for a period of not 
                more than 5 years.
    (c) Support for Existing Reform Networks.--
          (1) In general.--The Secretary shall provide 
        appropriate support to eligible entities to enable the 
        eligible entities to provide training, materials, 
        development, and staff assistance to schools assisted 
        under this subpart.
          (2) Definition of eligible entity.--The term 
        `eligible entity' means an entity that, prior to the 
        date of enactment of the Educational Opportunities 
        Act--
                  (A) provided training, technical assistance, 
                and materials to 100 or more elementary schools 
                or secondary schools; and
                  (B) developed and published a specific 
                educational program or design for use by the 
                schools.

SEC. 1723. SELECTION OF SCHOOLS.

    (A) School Application.--
          (1) In general.--Each school desiring a grant under 
        this subpart shall submit an application to the State 
        educational agency at such time, in such manner, and 
        accompanied by such information as the State 
        educational agency may require.
          (2) Contents.--Each application submitted under 
        paragraph (1) shall--
                  (A) contain a certification from the local 
                educational agency serving the school that--
                          (i) the school has the highest number 
                        or rates of school dropouts in the age 
                        group served by the local educational 
                        agency;
                          (ii) the local educational agency is 
                        committed to providing ongoing 
                        operational support, for the school's 
                        comprehensive reform plan to address 
                        the problem of school dropouts, for a 
                        period of 5 years; and
                          (iii) the local educational agency 
                        will support the plan, including--
                                  (I) release time for teacher 
                                training;
                                  (II) efforts to coordinate 
                                activities for feeder schools; 
                                and
                                  (III) encouraging other 
                                schools served by the local 
                                educational agency to 
                                participate in the plan;
                  (B) demonstrate that the faculty and 
                administration of the school have agreed to 
                apply for assistance under this subpart, and 
                provide evidence of the school's willingness 
                and ability to use the funds under this 
                subpart, including providing an assurance of 
                the support of 80 percent or more of the 
                professional staff at the school;
                  (C) describe the instructional strategies to 
                be implemented, how the strategies will serve 
                all students, and the effectiveness of the 
                strategies;
                  (D) describe a budget and timeline for 
                implementing the strategies;
                  (E) contain evidence of coordination with 
                existing resources;
                  (F) provide an assurance that funds provide 
                under this subpart will supplement and not 
                supplant other Federal, State, and local funds;
                  (G) describe how the activities to be 
                assisted conform with research-based knowledge 
                about school dropout prevention and reentry; 
                and
                  (H) demonstrate that the school and local 
                educational agency have agreed to conduct a 
                schoolwide program under section 1114.
    (b) State Agency Review and Award.--The State educational 
agency shall review applications and award grants to schools 
under subsection (a) according to a review by a panel of 
experts on school dropout prevention.
    (c) Eligibility.--A school is eligible to receive a grant 
under this subpart if the school is--
          (1) a public school (including a public alternative 
        school)--
                  (A) that is eligible to receive assistance 
                under part A, including a comprehensive 
                secondary school, a vocational or technical 
                secondary school, and a charter school; and
                  (B)(i) that serves students 50 percent or 
                more of whom are low-income individuals; or
                  (ii) with respect to which the feeder schools 
                that provide the majority of the incoming 
                students to the school serve students 50 
                percent or more of whom are low-income 
                individuals; or
          (2) participating in a schoolwide program under 
        section 1114 during the grant period.
    (d) Community-Based Organizations.--A school that receives 
a grant under this subpart may use the grant funds to secure 
necessary services from a community-based organization, 
including private sector entities, if--
          (1) the school approves the use;
          (2) the funds are used to provide school dropout 
        prevention and reentry activities related to schoolwide 
        efforts; and
          (3) the community-based organization has demonstrated 
        the organization's ability to provide effective 
        services as described in section 107(a) of the Job 
        Training Partnership Act, or section 122 of the 
        Workforce Investment Act of 1998.
    (e) Coordination.--Each school that receives a grant under 
this subpart shall coordinate the activities assisted under 
this subpart with other Federal programs, such as programs 
assisted under chapter 1 of subpart 2 of part A of title IV of 
the Higher Education Act of 1965 and the School-to-Work 
Opportunities Act of 1994.

SEC. 1724. DISSEMINATION ACTIVITIES.

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

SEC. 1725. PROGRESS INCENTIVES.

    Notwithstanding any other provision of law, each local 
educational agency that receives funds under this title shall 
use such funding to provide assistance to schools served by the 
agency that have not made progress toward lowering school 
dropout rates after receiving assistance under this subpart for 
2 fiscal years.

SEC. 1726. SCHOOL DROPOUT RATE CALCULATION.

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

SEC. 1727. REPORTING AND ACCOUNTABILITY.

    (a) Reporting.--In order to receive funding under this 
subpart for a fiscal year after the first fiscal year a school 
receives funding under this subpart, the school shall provide, 
on an annual basis, to the Secretary a report regarding the 
status of the implementation of activities funded under this 
subpart, the outcome data for students at schools assisted 
under this subpart disaggregated in the same manner as 
information under section 1711(a) (such as dropout rates), and 
certification of progress from the eligible entity whose 
strategies the school is implementing.
    (b) Accountability.--On the basis of the reports submitted 
under subsection (a), the Secretary shall evaluate the effect 
of the activities assisted under this subpart on school dropout 
prevention compared to a control group.

SEC. 1728. STATE RESPONSIBILITIES.

    (a) Uniform Data Collection.--Within 1 year after the date 
of enactment of the Educational Opportunities Act, a State 
educational agency that receives funds under this part shall 
report to the Secretary and statewide, all school district and 
school data regarding school dropout rates in the State 
disaggregated in the same manner as information under section 
1711(a), according to procedures that conform with the National 
Center for Education Statistics' Common Core of Data.
    (b) Attendance-Neutral Funding Policies.--Within 2 years 
after the date of enactment of the Educational Opportunities 
Act, a State educational agency that receives funds under this 
part shall develop and implement education funding formula 
policies for public schools that provide appropriate incentives 
to retain students in school throughout the school year; such 
as--
          (1) a student count methodology that does not 
        determine annual budgets based on attendance on a 
        single day early in the academic year; and
          (2) specific incentives for retaining enrolled 
        students throughout each year.
    (c) Suspension and Expulsion Policies.--Within 2 years 
after the date of enactment of the Educational Opportunities 
Act, a State educational agency that receives funds under this 
part shall develop uniform, long-term suspension and explusion 
policies for serious infractions resulting in more than 10 days 
of exclusion from school per academic year so that similar 
violations result in similar penalties.
    (d) Regulations.--The Secretary shall promulgate 
regulations implementing subsections (a) through (c).

SUBPART 3--DEFINITIONS; AUTHORIZATION OF APPROPRIATIONS

SEC. 1731. DEFINITIONS.

    In this part:
          (1) Low-income.--The term ``low-income'', used with 
        respect to an individual, means an individual 
        determined to be low-income in accordance with measures 
        described in section 1113(a)(5).
          (2) School dropout.--The term ``school dropout'' has 
        the meaning given the term in section 4(17) of the 
        School-to-Work Opportunities Act of 1994.

SEC. 1732. AUTHORIZATION OF APPROPRIATIONS.

    (a) Subpart 1.--There are authorized to be appropriated to 
carry out subpart 1, $5,000,000 for fiscal year 2001 and such 
sums as may be necessary for each of the 4 succeeding fiscal 
years.
    (b) Subpart 2.--There are authorized to be appropriated to 
carry out subpart 2, $145,000,000 for fiscal year 2001 and such 
sums as may be necessary for each of the 4 succeeding fiscal 
years, of which--
          (1) $125,000,000 shall be available to carry out 
        section 1721; and
          (2) $20,000,000 shall be available to carry out 
        section 1722.

PART [F] H--GENERAL PROVISIONS

SEC. [1601] 1901. [20 U.S.C. 6511] FEDERAL REGULATIONS.

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SEC. [1602] 1902. [20 U.S.C. 6542] COORDINATION OF FEDERAL, STATE, AND 
                    LOCAL ADMINISTRATION.

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SEC. [1603] 1903. [20 U.S.C. 6519] STATE ADMINISTRATION.

SEC. [1604] 1904. [20 U.S.C. 6314] CONSTRUCTION.

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    [TITLE II--DWIGHT D. EISENHOWER PROFESSIONAL DEVELOPMENT PROGRAM

[SEC. 2001. [20 U.S.C. 6601] FINDINGS.

  [The Congress finds as follows:
          [(1) Reaching the National Education Goals, 
        particularly the third, fourth, and fifth National 
        Education Goals, requires a comprehensive educational 
        reform strategy that involves parents, schools, 
        government, communities, and other public and private 
        organizations at all levels.
          [(2) A crucial component of the strategy for 
        achieving such goals is ensuring, through sustained and 
        intensive high-quality professional development, that 
        all teachers will provide challenging learning 
        experiences in the core academic subjects for their 
        students.
          [(3) Decisionmaking as to what activities a State or 
        local educational agency should undertake to improve 
        teaching and learning are best made by individuals in 
        the schools closest to the classroom and most 
        knowledgeable about the needs of schools and students.
          [(4) The potential positive impact of high-quality 
        professional development is underscored by recent 
        research findings that--
                  [(A) professional development must be focused 
                on teaching and learning in order to improve 
                the opportunities of all students to achieve 
                higher standards;
                  [(B) effective professional development 
                focuses on discipline-based knowledge and 
                effective subject-specific pedagogical skills, 
                involves teams of teachers, and, where 
                appropriate, administrators and pupil services 
                personnel, in a school and, through 
                professional networks of teachers, and, where 
                appropriate, teacher educators, administrators, 
                pupil services personnel, and parents, is 
                interactive and collaborative, motivates by its 
                intrinsic content and relationship to practice, 
                builds on experience and learning-by-doing, and 
                becomes incorporated into the everyday life of 
                the school;
                  [(C) professional development can 
                dramatically improve classroom instruction and 
                learning when teachers, and, where appropriate, 
                administrators, pupil services personnel, and 
                parents, are partners in the development and 
                implementation of such professional 
                development; and
                  [(D) new and innovative strategies for 
                teaching to high standards will require time 
                for teachers, outside of the time spent 
                teaching, for instruction, practice, and 
                collegial collaboration.
          [(5) Special attention must be given in professional 
        development activities to ensure that education 
        professionals are knowledgeable of, and make use of, 
        strategies for serving populations that historically 
        have lacked access to equal opportunities for advanced 
        learning and career advancement.
          [(6) Professional development is often a victim of 
        budget reductions in fiscally difficult times.
          [(7) The Federal Government has a vital role in 
        helping States and local educational agencies to make 
        sustained and intensive high-quality professional 
        development in the core academic subjects become an 
        integral part of the elementary and secondary education 
        system.
          [(8) Professional development activities must prepare 
        teachers, pupil services personnel, paraprofessionals 
        and other staff in the collaborative skills needed to 
        appropriately teach children with disabilities, in the 
        core academic subjects.
          [(9) Parental involvement is an important aspect of 
        school reform and improvement. There is a need for 
        special attention to ensure the effective involvement 
        of parents in the education of their children. 
        Professional development should include methods and 
        strategies to better prepare teachers and, where 
        appropriate, administrators, to enable parents to 
        participate fully and effectively in their children's 
        education.

[SEC. 2002. [20 U.S.C. 6602] PURPOSES.

  [The purposes of this title are to provide assistance to 
State and local educational agencies and to institutions of 
higher education with teacher education programs so that such 
agencies and institutions can determine how best to improve the 
teaching and learning of all students by--
          [(1) helping to ensure that teachers, and, where 
        appropriate, other staff and administrators, have 
        access to sustained and intensive high-quality 
        professional development that is aligned to challenging 
        State content standards and challenging State student 
        performance standards, and to support the development 
        and implementation of sustained and intensive high-
        quality professional development activities in the core 
        academic subjects; and
          [(2) helping to ensure that teachers, and, where 
        appropriate, administrators, other staff, pupil 
        services personnel, and parents, have access to 
        professional development that--
                  [(A) is tied to challenging State content 
                standards and challenging State student 
                performance standards;
                  [(B) reflects recent research on teaching and 
                learning;
                  [(C) includes strong academic content and 
                pedagogical components;
                  [(D) incorporates effective strategies, 
                techniques, methods, and practices for meeting 
                the educational needs of diverse student 
                populations, including females, minorities, 
                individuals with disabilities, limited-English-
                proficient individuals, and economically 
                disadvantaged individuals, in order to ensure 
                that all students have the opportunity to 
                achieve challenging State student performance 
                standards;
                  [(E) is of sufficient intensity and duration 
                to have a positive and lasting impact on the 
                teacher's performance in the classroom; and
                  [(F) is part of the everyday life of the 
                school and creates an orientation toward 
                continuous improvement throughout the school.

[SEC. 2003. [20 U.S.C. 6603] AUTHORIZATION OF APPROPRIATIONS; 
                    ALLOCATION BETWEEN PARTS.

  [(a) Authorization of Appropriations.--For the purpose of 
carrying out this title (other than part C), there are 
authorized to be appropriated $800,000,000 for fiscal year 1995 
and such sums as may be necessary for each of the four 
succeeding fiscal years.
  [(b) Allocation Between Parts.--Of the amounts appropriated 
to carry out this title for any fiscal year, the Secretary 
shall make available--
          [(1) 5 percent of such amounts to carry out subpart 
        1, of which 5 percent of such 5 percent shall be 
        available to carry out section 2103;
          [(2) 94 percent of such amounts to carry out part B; 
        and
          [(3) 1 percent of such amounts to carry out part D 
        except that such 1 percent shall not exceed $3,200,000 
        in any fiscal year.

                      [PART A--FEDERAL ACTIVITIES

[SEC. 2101. [20 U.S.C. 6621] PROGRAM AUTHORIZED.

  [(a) In General.--The Secretary is authorized to make grants 
to, and enter into contracts and cooperative agreements with, 
local educational agencies, educational service agencies, State 
educational agencies, State agencies for higher education, 
institutions of higher education, and other public and private 
agencies, organizations, and institutions to--
          [(1) support activities of national significance that 
        the Secretary determines will contribute to the 
        development and implementation of high-quality 
        professional development activities in the core 
        academic subjects; and
          [(2) evaluate activities carried out under this part 
        and parts B and C, in accordance with section 14701.
  [(b) Requirements.--In carrying out the activities described 
in subsection (a), the Secretary shall coordinate professional 
development programs within the Department, particularly with 
those programs within the Office of Educational Research and 
Improvement and the Office of Special Education and 
Rehabilitative Services, and shall consult and coordinate with 
the National Science Foundation, the National Endowment for the 
Humanities, the National Endowment for the Arts, the Institute 
of Museum and Library Services, and other appropriate Federal 
agencies and entities.

[SEC. 2102. [20 U.S.C. 6622] AUTHORIZED ACTIVITIES.

  [(a) Activities.--The Secretary shall use funds available to 
carry out this part for--
          [(1) providing seed money to the entities described 
        in section 2101(a) to develop the capacity of such 
        entities to offer sustained and intensive high-quality 
        professional development;
          [(2) awarding a grant or contract, in consultation 
        with the Director of the National Science Foundation, 
        to establish an Eisenhower National Clearinghouse for 
        Mathematics and Science Education (hereafter in this 
        section referred to as the ``Clearinghouse''); and
          [(3) evaluating programs assisted under this part and 
        parts B and C, in accordance with section 14701.
  [(b) Clearinghouse.--
          [(1) Application and award basis.--Each entity 
        desiring to establish and operate the Clearinghouse 
        authorized by subsection (a)(2) shall submit an 
        application to the Secretary at such time, in such 
        manner, and accompanied by such information as the 
        Secretary may reasonably require. The grant or contract 
        awarded pursuant to subsection (a)(2) shall be made on 
        a competitive, merit basis.
          [(2) Duration.--The grant or contract awarded under 
        subsection (a)(2) shall be awarded for a period of five 
        years and shall be reviewed by the Secretary not later 
        than 30 months from the date the grant or contract is 
        awarded.
          [(3) Use of funds.--The grant or contract awarded 
        under subsection (a)(2) shall be used to--
                  [(A) maintain a permanent repository of 
                mathematics and science education instructional 
                materials and programs for elementary and 
                secondary schools, including middle schools 
                (including, to the extent practicable, all 
                materials and programs developed with Federal 
                and non-Federal funds, such as instructional 
                materials developed by the Department, 
                materials developed by State and national 
                mathematics and science programs assisted under 
                this part, and other instructional materials) 
                for use by the regional consortia established 
                under part C of title XIII and by the general 
                public;
                  [(B) compile information on all mathematics 
                and science education programs administered by 
                each Federal agency or department;
                  [(C) disseminate information, programs, and 
                instructional materials to the public, 
                dissemination networks, and the regional 
                consortia established under part C of title 
                XIII;
                  [(D) coordinate with identifiable and 
                existing data bases containing mathematics and 
                science curriculum andinstructional materials, 
including Federal, non-Federal, and, where feasible, international, 
data bases;
                  [(E) participate in collaborative meetings of 
                representatives of the Clearinghouse and the 
                regional consortia established under part C of 
                title XIII to discuss issues of common interest 
                and concern, to foster effective collaboration 
                and cooperation in acquiring and distributing 
                curriculum materials and programs, and to 
                coordinate computer network access to the 
                Clearinghouse and the resources of the regional 
                consortia, except that not more than 3 percent 
                of the funds awarded under subsection (a)(2) 
                shall be used to carry out this subparagraph; 
                and
                  [(F) gather qualitative and evaluative data 
                on submissions to the Clearinghouse.
          [(4) Submission to clearinghouse.--Each Federal 
        agency or department which develops mathematics or 
        science education instructional material or programs, 
        including the National Science Foundation and the 
        Department, shall submit to the Clearinghouse copies of 
        such material or programs.
          [(5) Peer review.--The Secretary shall establish a 
        peer review process to select the recipient of the 
        award under subsection (a)(2).
          [(6) Steering committee.--The Secretary may appoint a 
        steering committee to recommend policies and activities 
        for the Clearinghouse.
          [(7) Application of copyright laws.--Nothing in this 
        subsection shall be construed to allow the use or 
        copying, in any media, of any material collected by the 
        Clearinghouse that is protected under the copyright 
        laws of the United States unless the permission of the 
        owner of the copyright is obtained. The Clearinghouse, 
        in carrying out the provisions of this subsection, 
        shall ensure compliance with title 17, United States 
        Code.
          [(8) Dissemination of information.--The Secretary 
        shall disseminate information concerning the grant or 
        contract awarded under this section to State and local 
        educational agencies and institutions of higher 
        education. Such dissemination of information shall 
        include examples of exemplary national programs in 
        mathematics and science instruction and necessary 
        technical assistance for the establishment of similar 
        programs.
  [(c) Uses of Funds.--The Secretary may use funds available to 
carry out this part for--
          [(1) the development and maintenance of national 
        clearinghouses for core academic subjects as the 
        Secretary determines are needed and which shall be 
        administered as adjunct clearinghouses of the 
        Educational Resources Information Center Clearinghouses 
        system of clearinghouses supported by the Office of 
        Educational Research and Improvement;
          [(2) professional development institutes that provide 
        teachers or teams of teachers, and, where appropriate, 
        administrators, pupil services personnel and other 
        staff, from individual schools, with professional 
        development that contains strong and integrated 
        disciplinary and pedagogical components;
          [(3) encouraging the development of local and 
        national professional networks, such as the Teacher 
        Research Dissemination Demonstration Program under 
        section 941(j) of the Educational Research, 
        Development, Dissemination, and Improvement Act of 
        1994, that provide a forum for interaction among 
        teachers of the core academic subjects and that allow 
        the exchange of information on advances in content and 
        pedagogy;
          [(4) efforts to train teachers in the innovative uses 
        and applications of technology to enhance student 
        learning;
          [(5) the development and dissemination of model 
        teaching standards in the core academic subjects;
          [(6) disseminating standards in the core academic 
        subjects, including information on voluntary national 
        content standards and voluntary national student 
        performance standards and related models of high-
        quality professional development;
          [(7) the dissemination of information about voluntary 
        national content standards, State content standards, 
        voluntary national student performance standards and 
        State student performance standards, and related models 
        of high-quality professional development;
          [(8) efforts to train teachers in innovative 
        instructional methodologies designed to meet the 
        diverse learning needs of individual students, 
        including methodologies which integrate academic and 
        vocational learning and applied learning, interactive, 
        interdisciplinary team teaching, and other alternative 
        teaching strategies, such as service learning, 
        experiential learning, career-related education, and 
        environmental education, that integrate real world 
        applications into the core academic subjects;
          [(9) disseminating models of high-quality 
        professional development activities that train 
        educators in strategies, techniques, methods, and 
        practices for meeting the educational needs of 
        historically underserved populations, including 
        females, minorities, individuals with disabilities, 
        limited-English-proficient individuals, and 
        economically disadvantaged individuals, in order to 
        ensure that all students have the opportunity to 
        achieve challenging State student performance 
        standards;
          [(10) promoting the transferability of licensure and 
        certification of teachers and administrators among 
        State and local jurisdictions;
          [(11) supporting the National Board for Professional 
        Teaching Standards;
          [(12) developing activities to prepare teachers, and, 
        where appropriate, paraprofessionals, pupil services 
        personnel, and other staff in the collaborative skills 
        needed to appropriately teach children with 
        disabilities in the core academic subjects;
          [(13) encouraging the development of innovative 
        models for recruitment, induction, retention, and 
        assessment of new, highly qualified teachers, 
        especially such teachers from historically 
        underrepresented groups; and
          [(14) joint activities with other Federal agencies 
        and entities engaged in or supporting similar 
        professional development efforts.

[SEC. 2103. [20 U.S.C. 6623] NATIONAL TEACHER TRAINING PROJECT.

  [(a) Short Title; Findings; Definitions.--
          [(1) Short title.--This section may be cited as the 
        ``National Teacher Training Project Act of 1994''.
          [(2) Findings.--The Congress finds that--
                  [(A) teachers must be major players in 
                educational reform in the United States;
                  [(B) teachers are isolated from their peers 
                and have virtually no time during the school 
                day to consult with other teachers;
                  [(C) there is a shortage of sustained, year-
                round professional development programs for 
                teachers;
                  [(D) successful teaching methods are not 
                adequately shared among teachers;
                  [(E) teachers are the best teachers of other 
                teachers because practicing classroom teachers 
                have experience that no outside consultant can 
                match;
                  [(F) it is important for universities and 
                schools to collaborate on teacher development 
                programs if teaching and learning are to be 
                improved;
                  [(G) pertinent research is not shared among 
                teachers in a professional setting;
                  [(H) exemplary teachers should be recognized 
                for their abilities and contributions and 
                encouraged to refine their teaching methods;
                  [(I) each State should support a nationally 
                based teacher training program, that is modeled 
                after the National Writing Project, for 
                teachers of early childhood education, and for 
                teachers of core academic subjects including 
                teachers of mathematics, science, English, 
                civics and government, foreign languages, and 
                arts;
                  [(J) the National Writing Project is a 
                nationally recognized and honored nonprofit 
                organization that recognizes there are teachers 
                in every region of the United States who have 
                developed successful methods for teaching 
                writing and that such teachers can be trained 
                and encouraged to train other teachers;
                  [(K) the National Writing Project is a 
                collaborative university-school program which 
                offers summer and school year inservice teacher 
                training programs and a dissemination network 
                to inform and teach teachers regarding 
                developments in the field of writing;
                  [(L) each year, over 125,000 teachers 
                voluntarily seek training in National Writing 
                Project intensive summer institutes and 
                workshops and school year inservice programs 
                through one of the 155 sites located within the 
                United States, and in 18 sites located outside 
                of the United States;
                  [(M) in the 20 years of its existence, over 
                1,100,000 teachers, administrators, and parents 
                have participated in National Writing Project 
                programs;
                  [(N) less than $16 per teacher was the 
                average cost in Federal dollars for all teacher 
                training at writing projects in academic year 
                1991-1992;
                  [(O) for every dollar in Federal support, the 
                National Writing Project provides over $5 in 
                matching funds from States, local universities 
                and schools, and the private sector;
                  [(P) private foundation resources, although 
                generous in the past concerning National 
                Writing Project programs, are inadequate to 
                fund all of the National Teacher Training 
                Project sites needed, and the future of the 
                program is in jeopardy without secure financial 
                support;
                  [(Q) the National Writing Project has become 
                a model for programs in other fields, such as 
                science, mathematics, history, literature, 
                foreign languages, and the performing arts, and 
                the development of programs in other fields 
                should continue with the support of Federal 
                funds; and
                  [(R) each of the 50 States should participate 
                in the National Teacher Training Project by 
                establishing regional teacher training sites in 
                early childhood development, mathematics, 
                science, English, civics and government, 
                foreign languages, and arts to serve all 
                teachers within the State.
          [(3) Definitions.--For the purpose of this section--
                  [(A) the term ``contractor'' means--
                          [(i) a local educational agency;
                          [(ii) an educational service agency; 
                        or
                          [(iii) an institution of higher 
                        education that awards a bachelor's 
                        degree; and
                  [(B) the term ``eligible recipient'' means a 
                nonprofit educational organization which has as 
                its primary purpose the improvement of student 
                learning in one of the core academic subjects 
                described in subsection (b)(2).
  [(b) Grants Authorized.--
          [(1) Grants to eligible recipients.--The Secretary is 
        authorized to award a grant to an eligible recipient to 
        enable such recipient--
                  [(A) to support and promote the establishment 
                of teacher training programs in early childhood 
                development and one of the nine core subject 
                areas described in paragraph (2), including the 
                dissemination of effective practices and 
                research findings regarding teacher training, 
                and administrative activities;
                  [(B) to support classroom research on 
                effective teaching practices in such area; and
                  [(C) to pay the Federal share of the cost of 
                such programs and research.
          [(2) Core subject areas.--To the extent feasible, the 
        Secretary shall award a grant under paragraph (1) for 
        the establishment of a National Teacher Training 
        Project in early childhood development and each of the 
        following core subject areas:
                  [(A) Mathematics.
                  [(B) Science.
                  [(C) English.
                  [(D) Civics and government.
                  [(E) Foreign languages.
                  [(F) Arts.
                  [(G) Geography.
                  [(H) History.
                  [(I) Economics.
          [(3) Number of grants and eligible recipients.--The 
        Secretary shall award not more than ten grants under 
        paragraph (1) to ten different eligible recipients.
          [(4) Equitable distribution.--The Secretary shall 
        award grants under paragraph (1) to eligible recipients 
        from different geographic areas of the United States.
          [(5) Special rule.--Each grant under paragraph (1) 
        shall be of sufficient size, scope, and quality to be 
        effective.
          [(6) Administrative costs and technical assistance.--
        Each eligible recipient receiving a grant under 
        paragraph (1) may use not more than a total of 5 
        percent of the grant funds for administrative costs and 
        the costs of providing technical assistance to a 
        contractor.
  [(c) Grant Requirements.--Each eligible recipient receiving a 
grant under subsection (b) shall--
          [(1) enter into a contract with a contractor under 
        which such contractor agrees--
                  [(A) to establish, operate, and provide the 
                non-Federal share of the cost of teacher 
                training programs in effective approaches and 
                processes for the teaching of the core academic 
                subjects for which such eligible recipient was 
                awarded a grant, including approaches and 
                processes to obtain parental involvement in a 
                child's education; and
                  [(B) to use funds received from the eligible 
                recipient to pay the Federal share of the cost 
                of establishing and operating teacher training 
                programs described in subparagraph (A);
          [(2) to submit annual reports to the Secretary and be 
        responsible for oversight of the funds expended at each 
        teacher training program described in subparagraph (A); 
        and
          [(3) meet such other conditions and standards as the 
        Secretary determines to be necessary to ensure 
        compliance with this section and provide such technical 
        assistance as may be necessary to carry out this 
        section.
  [(d) Teacher Training Programs.--The teacher training 
programs described in subsection (b) shall--
          [(1) be conducted during the school year and during 
        the summer months;
          [(2) train teachers who teach grades kindergarten 
        through college;
          [(3) select teachers to become members of a National 
        Teacher Training Project, which members shall conduct 
        inservice workshops for other teachers in the area 
        subject matter served by the National Teacher Training 
        Project site;
          [(4) use teacher training principles and receive 
        technical assistance from the National Writing Project; 
        and
          [(5) encourage teachers from all disciplines to 
        participate in such teacher training programs.
  [(e) Federal Share.--The term ``Federal share'' means, with 
respect to the costs of teacher training programs described in 
subsection (b), 50 percent of such costs to the contractor.
  [(f) Application.--Each eligible recipient desiring a grant 
under this section shall submit an application to the Secretary 
at such time, in such manner, and accompanied by such 
information as the Secretary may reasonably require.
  [(g) Participants and Selection Process.--The selection 
process for participation in a teacher training program 
described in subsection (b) shall--
          [(1) reward exemplary teachers with varying levels of 
        teaching experience who are nominated by other teachers 
        and administrators;
          [(2) involve an application process to select 
        participants for a summer program;
          [(3) ensure the selection of a geographically and 
        ethnically diverse group of teachers by soliciting 
        applications from teachers of both public and private 
        institutions in rural, urban, and suburban settings in 
        each State; and
          [(4) automatically offer a place in a summer program 
        to the ``Teacher of the Year'' chosen pursuant to a 
        Federal or State teacher recognition program.
  [(h) Limitation.--A contractor entering into a contract under 
subsection (c)(1) shall not spend more than 5 percent of funds 
received under the contract for administrative costs.

                  [PART B--STATE AND LOCAL ACTIVITIES

[SEC. 2201. [20 U.S.C. 6641] PROGRAM AUTHORIZED.

  [The Secretary is authorized to make grants to State 
educational agencies for the improvement of teaching and 
learning through sustained and intensive high-quality 
professional development activities in the core academic 
subjects at the State and local levels.

[SEC. 2202. [20 U.S.C. 6642] ALLOCATION OF FUNDS.

  [(a) Reservation of Funds.--From the amount available to 
carry out this part for any fiscal year, the Secretary shall 
reserve--
          [(1) \1/2\ of 1 percent for the outlying areas, to be 
        distributed among the outlying areas on the basis of 
        their relative need, as determined by the Secretary in 
        accordance with the purposes of this part; and
          [(2) \1/2\ of 1 percent for the Secretary of the 
        Interior for programs under this part for professional 
        development activities for teachers, other staff, and 
        administrators in schools operated or funded by the 
        Bureau of Indian Affairs.
  [(b) State Allocations.--The Secretary shall allocate the 
amount available to carry out this part and not reserved under 
subsection (a) to each of the 50 States, the District of 
Columbia, and the Commonwealth of Puerto Rico as follows, 
except that no State shall receive less than \1/2\ of 1 percent 
of such amount:
          [(1) Fifty percent shall be allocated among such 
        jurisdictions on the basis of their relative 
        populations of individuals aged five through 17, as 
        determined by the Secretary on the basis of the most 
        recent satisfactory data.
          [(2) Fifty percent shall be allocated among such 
        jurisdictions in accordance with the relative amounts 
        such jurisdictions received under part A of title I for 
        the preceding fiscal year, or for fiscal year 1995 
        only, such part's predecessor authority.
  [(c) Reallocation.--If any jurisdiction does not apply for an 
allotment under subsection (b) for any fiscal year, the 
Secretary shall reallocate such amount to the remaining 
jurisdictions in accordance with such subsection.

[SEC. 2203. [20 U.S.C. 6643] WITHIN-STATE ALLOCATIONS.

  [Of the amounts received by a State under this part for any 
fiscal year--
          [(1) 84 percent shall be available for local 
        allowable activities under section 2210(b), of which--
                  [(A) not more than 5 percent may be used for 
                the administrative costs of the State 
                educational agency and for State-level 
                activities described in section 2207; and
                  [(B) of the remaining amount--
                          [(i) 50 percent shall be distributed 
                        to local educational agencies--
                                  [(I) for use in accordance 
                                with section 2210; and
                                  [(II) in accordance with the 
                                relative enrollments in public 
                                and private nonprofit 
                                elementary and secondary 
                                schools within the boundaries 
                                of such agencies; and
                          [(ii) 50 percent of such amount shall 
                        be distributed to local educational 
                        agencies--
                                  [(I) for use in accordance 
                                with section 2210; and
                                  [(II) in accordance with the 
                                relative amount such agencies 
                                received under part A of title 
                                I or for fiscal year 1995 for 
                                the preceding fiscal year, such 
                                part's predecessor authority; 
                                and
          [(2) 16 percent shall be available to the State 
        agency for higher education for activities under 
        section 2211, of which not more than 5 percent may be 
        used for the administrative costs of the State agency 
        for higher education.

[SEC. 2204. [20 U.S.C. 6644] CONSORTIUM REQUIREMENT.

  [(a) In General.--A local educational agency receiving a 
grant under this part of less than $10,000 shall form a 
consortium with another local educational agency or an 
educational service agency serving another local educational 
agency to be eligible to participate in programs assisted under 
this part.
  [(b) Waiver.--The State educational agency may waive the 
application of paragraph (1) in the case of any local 
educational agency that demonstrates that the amount of its 
allocation under this part is sufficient to provide a program 
of sufficient size, scope, and quality to be effective. In 
granting waivers under the preceding sentence, the State 
educational agency shall--
          [(1) give special consideration to local educational 
        agencies serving rural areas if distances or traveling 
        time between schools make formation of the consortium 
        more costly or less effective; and
          [(2) consider cash or in-kind contributions provided 
        from State or local sources that may be combined with 
        the local educational agency's allocation for the 
        purpose of providing services under this part.
  [(c) Special Rule.--Each consortium shall rely, as much as 
possible, on technology or other arrangements to provide staff 
development programs tailored to the needs of each school or 
school district participating in a consortium described in 
subsection (a).

[SEC. 2205. [20 U.S.C. 6645] STATE APPLICATIONS.

  [(a) Applications Required.--Each State educational agency 
that wishes to receive an allotment under this part for any 
fiscal year shall submit an application to the Secretary at 
such time, in such form, and containing such information as the 
Secretary may require.
  [(b) State Plan To Improve Teaching and Learning.--
          [(1) In general.--Each application under this section 
        shall include a State plan that is coordinated with the 
        State's plan under other programs assisted under this 
        Act, the Goals 2000: Educate America Act, and other 
        Acts, as appropriate, consistent with the provisions of 
        section 14306.
          [(2) Contents.--Each such State plan shall--
                  [(A) be developed in conjunction with the 
                State agency for higher education, community-
                based and other nonprofit organizations of 
                demonstrated effectiveness, institutions of 
                higher education or schools of education, and 
                with the extensive participation of local 
                teachers, administrators and pupil services 
                personnel and show the role of each such entity 
                in implementation of the plan;
                  [(B) be designed to give teachers, and, where 
                appropriate, administrators and pupil services 
                personnel in the State, the knowledge and 
                skills necessary to provide all students the 
                opportunity to meet challenging State content 
                standards and challenging State student 
                performance standards;
                  [(C) include an assessment of State and local 
                needs for professional development specifically 
                related to subparagraph (B);
                  [(D) include a description of how the plan 
                has assessed the needs of local educational 
                agencies serving rural and urban areas, and 
                what actions are planned to meet such needs;
                  [(E) include a description of how the 
                activities assisted under this part will 
                address the needs of teachers in schools 
                receiving assistance under part A of title I;
                  [(F) a description of how programs in all 
                core academic subjects, but especially in 
                mathematics and science, will take into account 
                the need for greater access to, and 
                participation in, such disciplines by students 
                from historically underrepresented groups, 
                including females, minorities, individuals with 
                limited English proficiency, the economically 
                disadvantaged, and individuals with 
                disabilities, by incorporating pedagogical 
                strategies and techniques which meet such 
                individuals' educational needs;
                  [(G) be consistent with the State's needs 
                assessment under subparagraph (C), and describe 
                how the State will work with teachers, 
                including teachers in schools receiving 
                assistance under part A of title I, 
                administrators, parents, local educational 
                agencies, schools, educational service 
                agencies, institutions of higher education, and 
                nonprofit organizations of demonstrated 
                effectiveness, to ensure that such individuals 
                develop the capacity to support sustained and 
                intensive, high-quality professional 
                development programs in the core academic 
                subjects;
                  [(H) describe how the State requirements for 
                licensure of teachers and administrators, 
                including certification and recertification, 
                support challenging State content standards and 
                challenging State student performance standards 
                and whether such requirements are aligned with 
                such standards;
                  [(I) address the need for improving teaching 
                and learning through teacher development 
                beginning with recruitment, preservice, and 
                induction, and continuing throughout the 
                professional teaching career, taking into 
                account the need, as determined by the State, 
                for greater access to and participation in the 
                teaching profession by individuals from 
                historically underrepresented groups;
                  [(J) describe how the State will prepare all 
                teachers to teach children with diverse 
                learning needs, including children with 
                disabilities;
                  [(K) describe how the State will prepare 
                teachers, and, where appropriate, 
                paraprofessionals, pupil services personnel, 
                and other staff in the collaborative skills 
                needed to appropriately teach children with 
                disabilities, in the core academic subjects;
                  [(L) describe how the State will use 
                technology, including the emerging national 
                information infrastructure, to enhance the 
                professional development of teachers, and, 
                where appropriate, administrators and pupil 
                services personnel;
                  [(M) describe how the State will provide 
                incentives to teachers and administrators to 
                focus their professional development on 
                preparing such teachers and administrators to 
                provide instruction consistent with challenging 
                State content standards and challenging State 
                student performance standards;
                  [(N) set specific performance indicators for 
                professional development; and
                  [(O) describe how parents can be involved in 
                professional development programs to enhance 
                the participation of parents in the education 
                of their children.
          [(3) Duration of the plan.--Each such State plan 
        shall--
                  [(A) remain in effect for the duration of the 
                State's participation under this part; and
                  [(B) be periodically reviewed and revised by 
                the State, as necessary, to reflect changes in 
                the State's strategies and programs under this 
                part.
  [(c) Additional Material.--Each State application shall 
include--
          [(1) a description of how the activities assisted 
        under this part will be coordinated, as appropriate, 
        with--
                  [(A) other activities conducted with Federal 
                funds, especially activities supported under 
                part A of title I of this Act and the 
                Individuals with Disabilities Education Act;
                  [(B) programs supported by State and local 
                funds;
                  [(C) resources from business and industry, 
                museums, libraries, educational television 
                stations, and public and private nonprofit 
                organizations of demonstrated experience; and
                  [(D) funds received from other Federal 
                agencies, such as the National Science 
                Foundation, the Departments of Commerce, 
                Energy, and Health and Human Services, the 
                National Endowment for the Arts, the Institute 
                of Museum and Library Services, and the 
                National Endowment for the Humanities; and
          [(2) a description of the activities to be sponsored 
        under the State-level activities under section 2207 and 
        the higher education activities under section 2211.
  [(d) Peer Review and Secretarial Approval.--
          [(1) In general.--The Secretary shall approve an 
        application of a State educational agency under this 
        section if such application meets the requirements of 
        this section and holds reasonable promise of achieving 
        the purposes of this part.
          [(2) Review.--In reviewing applications under this 
        section, the Secretary shall obtain the advice of non-
        Federal experts on education in the core academic 
        subjects and on teacher education, including teachers 
        and administrators.

[SEC. 2206. [20 U.S.C. 6646] PRIORITY FOR PROFESSIONAL DEVELOPMENT IN 
                    MATHEMATICS AND SCIENCE.

  [(a) Appropriation of Less Than $250,000,000.--In any fiscal 
year for which the amount appropriated for this title (other 
than part C) is less than $250,000,000, each State shall ensure 
that all funds distributed in accordance with section 
2203(1)(C) are used for professional development in mathematics 
and science.
  [(b) Appropriation Equal To or Above $250,000,000.--In any 
fiscal year for which the amount appropriated for this title 
(other than part C) is equal to or exceeds $250,000,000, each 
State and local educational agency shall use for professional 
development activities in mathematics and science the amount of 
funds that would have been made available to each such agency 
in accordance with sections 2202 and 2203 if the amount 
appropriated was $250,000,000, consistent with subsection (a), 
and are permitted and encouraged to use the amount of funds in 
excess of $250,000,000 that is made available in accordance 
with sections 2202 and 2203 for professional development 
activities in mathematics and science.

[SEC. 2207. [20 U.S.C. 6647] STATE-LEVEL ACTIVITIES.

  [Each State may use funds made available under section 
2203(1)(A) to carry out activities described in the plan under 
section 2205(b), such as--
          [(1) reviewing and reforming State requirements for 
        teacher and administrator licensure, including 
        certification and recertification, to align such 
        requirements with the State's challenging State content 
        standards and ensure that teachers and administrators 
        have the knowledge and skills necessary to help 
        students meet challenging State student performance 
        standards;
          [(2) developing performance assessments and peer 
        review procedures, as well as other methods, for 
        licensing teachers and administrators;
          [(3) providing technical assistance to schools and 
        local educational agencies, especially schools and 
        local educational agencies that receive assistance 
        under part A of title I, to help such schools and 
        agencies provide effective professional development in 
        the core academic subjects;
          [(4) developing or supporting professional 
        development networks, either within a State or in a 
        regional consortium of States, that provide a forum for 
        interaction among teachers and that allow exchange of 
        information on advances in content and pedagogy;
          [(5) supporting partnerships between schools, 
        consortia of schools, or local educational agencies and 
        institutions of higher education, including schools of 
        education, which encourage--
                  [(A) teachers to participate in intensive, 
                ongoing professional development programs, both 
                academic and pedagogical, at institutions of 
                higher education; and
                  [(B) students at institutions of higher 
                education studying to become teachers to have 
                direct, practical experience at the schools;
          [(6) providing professional development in the 
        effective use of educational technology as an 
        instructional tool for increasing student understanding 
        of the core academic subjects, including efforts to 
        train teachers in methods of achieving gender equity 
        both in students' access to computers and other 
        educational technology and in teaching practices used 
        in the application of educational technology;
          [(7) providing incentives for teachers to be involved 
        in assessment, curriculum development, and technical 
        assistance processes for teachers and students;
          [(8) providing professional development to enable 
        teachers, and, where appropriate, pupil services 
        personnel, and other school staff, to ensure that girls 
        and young women, minorities, limited English proficient 
        students, individuals with disabilities, and 
        economically disadvantaged students have the full 
        opportunity to achieve challenging State content 
        standards and challenging State student performance 
        standards in the core academic subjects by, for 
        example, encouraging girls and young women and 
        minorities to pursue advanced courses in mathematics 
        and science;
          [(9) professional development and recruitment 
        activities designed to increase the numbers of 
        minorities, individuals with disabilities, and women 
        teaching in the core academic subjects in which such 
        individuals are underrepresented;
          [(10) providing financial or other incentives for 
        teachers to become certified by nationally recognized 
        professional teacher enhancement organizations;
          [(11) providing professional development activities 
        which prepare teachers, and where appropriate, pupil 
        services personnel, paraprofessionals, and other staff 
        in the collaborative skills needed to appropriately 
        teach children with disabilities, in the core academic 
        subjects;
          [(12) identifying, developing, or supporting 
        professional development strategies to better equip 
        parents to assist their children in raising their 
        children's achievement in the core academic subjects; 
        and
          [(13) professional development activities designed to 
        increase the number of women and other underrepresented 
        groups in the administration of schools.

[SEC. 2208. [20 U.S.C. 6648] LOCAL PLAN AND APPLICATION FOR IMPROVING 
                    TEACHING AND LEARNING.

  [(a) Local Application.--
          [(1) In general.--Each local educational agency that 
        wishes to receive a subgrant under this part shall 
        submit an application (singly or as a consortium as 
        described in section 2204) to the State educational 
        agency at such time as the State educational agency 
        shall require, but not less frequently than every three 
        years, that is coordinated with other programs under 
        this Act, the Goals 2000: Educate America Act, or other 
        Acts, as appropriate, consistent with the provisions of 
        section 14306.
          [(2) Indicators.--A local educational agency shall 
        set specific performance indicators for improving 
        teaching and learning through professional development.
  [(b) Needs Assessment.--
          [(1) In general.--A local educational agency that 
        wishes to receive a subgrant under this part shall 
        include in its application an assessment of local needs 
        for professional development as identified by the local 
        educational agency and school staff.
          [(2) Requirements.--Such needs assessment shall be 
        carried out with the involvement of teachers, including 
        teachers in schools receiving assistance under part A 
        of title I, and shall take into account what activities 
        need to be conducted in order to give teachers and, 
        where appropriate, administrators, the means, including 
        the knowledge and skills, to provide students with the 
        opportunity to meet challenging State or local student 
        performance standards.
  [(c) Application Contents.--Each application under this 
section shall include the local educational agency's plan for 
professional development that--
          [(1) focuses on teaching and learning in the core 
        academic subjects; and
          [(2) has been developed with the extensive 
        participation of administrators, staff, and pupil 
        services personnel, which teachers shall also be 
        representative of the grade spans within schools to be 
        served and of schools which receive assistance under 
        part A of title I.
  [(d) Plan Contents.--
          [(1) In general.--Based on the needs assessment 
        required under subsection (b), the local educational 
        agency's plan shall--
                  [(A) include a description of how the plan 
                contributes to the local educational agency's 
                overall efforts for school reform and 
                educational improvement;
                  [(B) include a description of how the 
                activities funded under this section will 
                address the needs of teachers in schools 
                receiving assistance under part A of title I;
                  [(C) be aligned with the State's challenging 
                State content standards and challenging State 
                student performance standards;
                  [(D) describe a strategy, tied to challenging 
                State content standards and challenging State 
                student performance standards, consistent with 
                the needs assessment under subsection (b);
                  [(E) be of sufficient intensity and duration 
                to have a positive and lasting impact on the 
                student's performance in the classroom;
                  [(F) describe how programs in all core 
                academic subjects, but especially in 
                mathematics and science, will take into account 
                the need for greater access to, and 
                participation in, such disciplines by students 
                from historically underrepresented groups, 
                including girls and women, minorities, 
                individuals with limited English proficiency, 
                the economically disadvantaged, and individuals 
                with disabilities, by incorporating pedagogical 
                strategies and techniques which meet such 
                individuals' educational need;
                  [(G) contain an assurance that the activities 
                conducted with funds received under this part 
                will be assessed at least every three years 
                using the performance indicators;
                  [(H) describe how the program funded under 
                this part will be coordinated, as appropriate, 
                with--
                          [(i) activities conducted under 
                        section 2131 and other services of 
                        institutions of higher education;
                          [(ii) similar State and local 
                        activities;
                          [(iii) resources provided under part 
                        A of title I and other provisions of 
                        this Act;
                          [(iv) resources from business, 
                        industry, public and private nonprofit 
                        organizations (including museums, 
                        libraries, educational television 
                        stations, community-based 
                        organizations, professional 
                        organizations and associations 
                        specializing in, or with a demonstrated 
                        expertise in the core academic 
                        subjects);
                          [(v) funds or programming from other 
                        Federal agencies, such as the National 
                        Science Foundation, the Department of 
                        Energy, the Department of Health and 
                        Human Services, the Institute of Museum 
                        and Library Services, the National 
                        Endowment for the Humanities, and the 
                        National Endowment for the Arts;
                          [(vi) services of educational service 
                        agencies; and
                          [(vii) resources provided under the 
                        Individuals with Disabilities Education 
                        Act;
                  [(I) identify the sources of funding that 
                will provide the local educational agency's 
                contribution under section 2209; and
                  [(J) describe the professional development 
                strategies to be employed to more fully and 
                effectively involve parents in the education of 
                their children.
          [(2) Duration of the plan.--Each local plan described 
        in subsection (b)(1) shall--
                  [(A) remain in effect for the duration of the 
                local educational agency's participation under 
                this part; and
                  [(B) be periodically reviewed and revised by 
                the local educational agency, as necessary, to 
                reflect changes in the local educational 
                agency's strategies and programs under this 
                part.

[SEC. 2209. [20 U.S.C. 6649] LOCAL COST-SHARING.

  [(a) In General.--Each local educational agency shall provide 
not less than 33 percent of the cost of the activities assisted 
under this part, excluding the cost of services provided to 
private school teachers.
  [(b) Available Resources for Cost-Sharing.--
          [(1) In general.--A local educational agency may meet 
        the requirement of subsection (a) through one or more 
        of the following:
                  [(A) Cash expenditures from non-Federal 
                sources, including private contributions, 
                directed toward professional development 
                activities.
                  [(B) Release time for teachers participating 
                in professional development assisted under this 
                part.
                  [(C) Funds received under one or more of the 
                following programs, so long as such funds are 
                used for professional development activities 
                consistent with this part and the statutes 
                under which such funds were received, and are 
                used to benefit students and teachers in 
                schools that otherwise would have been served 
                with such funds:
                          [(i) Helping disadvantaged children 
                        meet high standards under part A of 
                        title I.
                          [(ii) The Safe and Drug-Free Schools 
                        and Communities program under title IV.
                          [(iii) Bilingual Education Programs 
                        under part A of title VII.
                          [(iv) Programs under the Women's 
                        Educational Equity Act of 1994.
                          [(v) Programs under title III of the 
                        Goals 2000: Educate America Act.
                          [(vi) 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 
                        and Library Services, and the 
                        Department of Energy.
                          [(vii) Programs under the Individuals 
                        with Disabilities Education Act.
          [(2) Special rule.--A local educational agency may 
        meet the requirement of subsection (a) through 
        contributions described in paragraph (1) that are 
        provided in cash or in kind, fairly evaluated.
  [(c) Waiver.--The State educational agency may approve an 
application which has not fully met the requirements of 
subsection (a) and waive the requirements of subsection (a) if 
a local educational agency can demonstrate that such agency is 
unable to meet the requirements of subsection (a) due to 
economic hardship and that compliance with such requirements 
would preclude such agency's participation in the program.

[SEC. 2210. [20 U.S.C. 6650] LOCAL ALLOCATION OF FUNDS AND ALLOWABLE 
                    ACTIVITIES.

  [(a) Local Allocation of Funds.--Each local educational 
agency that receives funds under this part for any fiscal 
year--
          [(1) shall use not less than 80 percent of such funds 
        for professional development of teachers, and, where 
        appropriate, administrators, and, where appropriate, 
        pupil services personnel, parents, and other staff of 
        individual schools in a manner that--
                  [(A) is determined by such teachers and 
                staff;
                  [(B) to the extent practicable, takes place 
                at the individual school site; and
                  [(C) is consistent with the local educational 
                agency's application under section 2208, any 
                school plan under part A of title I, and any 
                other plan for professional development carried 
                out with Federal, State, or local funds that 
                emphasizes sustained, ongoing activities; and
          [(2) may use not more than 20 percent of such funds 
        for school district-level professional development 
        activities, including, where appropriate, the 
        participation of administrators, policymakers, and 
        parents, if such activities directly support 
        instructional personnel.
  [(b) Authorized Activities.--
          [(1) In general.--Each local educational agency and 
        school that receives funds under this part shall use 
        such funds for activities that give teachers and 
        administrators the knowledge and skills to provide 
        students with the opportunity to meet challenging State 
        or local content standards and student performance 
        standards.
          [(2) Professional development activities.--
        Professional development activities funded under this 
        part shall--
                  [(A) be tied to challenging State content 
                standards or challenging local content 
                standards, and challenging State student 
                performance standards or challenging local 
                student performance standards;
                  [(B) take into account recent research on 
                teaching and learning;
                  [(C) provide professional development which 
                incorporates effective strategies, techniques, 
                methods, and practices for meeting the 
                educational needs of diverse groups of 
                students, including girls and women, 
                minorities, individuals with disabilities, 
                limited English proficient individuals, and 
                economically disadvantaged individuals;
                  [(D) include strong academic content and 
                pedagogical components; and
                  [(E) be of sufficient intensity and duration 
                to have a positive and lasting impact on the 
                teacher's performance in the classroom.
          [(3) Activities.--Funds under this part may be used 
        for professional development activities such as--
                  [(A) professional development for teams of 
                teachers, and, where appropriate, 
                administrators, pupil services personnel, or 
                other staff from individual schools, to support 
                teaching consistent with challenging State 
                content standards and challenging State student 
                performance standards;
                  [(B) support and time, which in the case of 
                teachers may include release time with pay, for 
                teachers, and, where appropriate, pupil 
                services personnel and other school staff to 
                enable such teachers, personnel, and staff to 
                participate in professional development in the 
                core academic subjects that are offered through 
                professional associations, universities, 
                community-based organizations, and other 
                providers, such as educational partnership 
                organizations, science centers, and museums;
                  [(C) activities that provide followup for 
                teachers who have participated in professional 
                development activities that are designed to 
                ensure that the knowledge and skills learned by 
                the teacher are implemented in the classroom;
                  [(D) support for partnerships between 
                schools, consortia of schools, or local 
                educational agencies, and institutions of 
                higher education, including schools of 
                education, which partnerships shall encourage--
                          [(i) teachers to participate in 
                        intensive, ongoing professional 
                        development programs, both academic and 
                        pedagogical, at institutions of higher 
                        education; and
                          [(ii) students at institutions of 
                        higher education studying to become 
                        teachers to have direct, practical 
                        experience at schools;
                  [(E) the establishment and maintenance of 
                local professional networks that provide a 
                forum for interaction among teachers and that 
                allow exchange of information on advances in 
                content and pedagogy;
                  [(F) preparing teachers in the effective use 
                of educational technology and assistive 
                technology as instructional tools for 
                increasing student understanding of the core 
                academic subjects;
                  [(G) professional development to enable 
                teachers, and, where appropriate, pupil 
                services personnel and other school staff, to 
                ensure that girls and young women, minorities, 
                limited English proficient students, 
                individuals with disabilities, and the 
                economically disadvantaged have full 
                opportunity to achieve the challenging State 
                content standards and challenging State student 
                performance standards in the core academic 
                subjects;
                  [(H) professional development and recruitment 
                activities designed--
                          [(i) to increase the number of 
                        minorities, individuals with 
                        disabilities, and females teaching in 
                        the core academic subjects in which 
                        such individuals are underrepresented; 
                        and
                          [(ii) to increase the numbers of 
                        women and members of other 
                        underrepresented groups who are science 
                        and mathematics teachers, through such 
                        programs as career ladder programs that 
                        assist educational paraprofessionals to 
                        obtain teaching credentials in the core 
                        academic subjects;
                  [(I) providing financial or other incentives 
                for teachers to become certified by nationally 
                recognized professional teacher enhancement 
                programs;
                  [(J) support and time for teachers, and, 
                where appropriate, pupil services personnel, 
                and other school staff to learn and implement 
                effective collaboration for the instruction of 
                children with disabilities in the core academic 
                subject areas;
                  [(K) preparing teachers, and, where 
                appropriate, pupil services personnel to work 
                with parents and families on fostering student 
                achievement in the core academic subjects;
                  [(L) professional development activities and 
                other support for new teachers as such teachers 
                move into the classroom to provide such 
                teachers with practical support and to increase 
                the retention of such teachers;
                  [(M) professional development for teachers, 
                parents, early childhood educators, 
                administrators, and other staff to support 
                activities and services related to preschool 
                transition programs to raise student 
                performance in the core academic subjects;
                  [(N) professional development activities to 
                train teachers in innovative instructional 
                methodologies designed to meet the diverse 
                learning needs of individual students, 
                including methodologies which integrate 
                academic and vocational learning and applied 
                learning, interactive and interdisciplinary 
                team teaching, and other alternative teaching 
                strategies such as service learning, 
                experiential learning, career-related 
                education, and environmental education, that 
                integrate real world applications into the core 
                academic subjects;
                  [(O) developing professional development 
                strategies and programs to more effectively 
                involve parents in helping their children 
                achieve in the core academic subjects;
                  [(P) professional development activities 
                designed to increase the number of women and 
                other underrepresented groups in the 
                administration of schools; and
                  [(Q) release time with pay for teachers.

[SEC. 2211. [20 U.S.C. 6651] HIGHER EDUCATION ACTIVITIES.

  [(a) Activities.--
          [(1) In general.--From amounts made available under 
        section 2203(2), the State agency for higher education, 
        working in conjunction with the State educational 
        agency (if such agencies are separate), shall make 
        grants to, or enter into contracts or cooperative 
        agreements with, institutions of higher education and 
        nonprofit organizations of demonstrated effectiveness, 
        including museums and educational partnership 
        organizations, which must work in conjunction with a 
        local educational agency, consortium of local 
        educational agencies, or schools, for--
                  [(A) professional development activities in 
                the core academic subjects that contribute to 
                the State plan for professional development;
                  [(B) developing and providing assistance to 
                local educational agencies, and the teachers 
                and staff of each such agency, for sustained, 
                high-quality professional development 
                activities; and
                  [(C) improving teacher education programs in 
                order to promote further innovation in teacher 
                education programs within an institution of 
                higher education and to better meet the needs 
                of the local educational agencies for well-
                prepared teachers.
          [(2) Competitive basis.--Each grant, contract, or 
        cooperative agreement described in paragraph (1) shall 
        be awarded on a competitive basis.
          [(3) Special rule.--No institution of higher 
        education may receive assistance under (a)(1) of this 
        subsection unless the institution enters into an 
        agreement with a local educational agency, or 
        consortium of such agencies, to provide sustained, 
        high-quality professional development for the 
        elementary and secondary school teachers in the schools 
        of each such agency.
          [(4) Joint efforts.--Each activity assisted under 
        this section, where applicable, shall involve the joint 
        effort of the institution of higher education's school 
        or department of education, if any, and the schools or 
        departments in the specific disciplines in which such 
        professional development will be provided.
  [(b) Allowable Activities.--A recipient of funds under this 
section shall use such funds for--
          [(1) sustained and intensive high-quality 
        professional development for teams of teachers, or 
        teachers, and, where appropriate, pupil services 
        personnel and administrators from individual schools or 
        school districts;
          [(2) other sustained and intensive professional 
        development activities related to achievement of the 
        State plan for professional development; and
          [(3) preservice training activities.
  [(c) Partnerships.--Each institution of higher education 
receiving a grant under this section may also enter into a 
partnership with a private industry, museum, library, 
educational television station, or public or private nonprofit 
organization of demonstrated experience to carry out 
professional development activities assisted under this 
section.]

                       TITLE II--TEACHER QUALITY

                      PART A--TEACHER EMPOWERMENT

SEC. 2001. PURPOSE.

  The purpose of this part is to provide grants to States and 
local educational agencies, in order to assist their efforts to 
increase student academic achievement and student performance 
through such strategies as improving teacher quality.

                      Subpart 1--Grants to States

SEC. 2011. FORMULA GRANTS TO STATES.

  (a) In General.--In the case of each State that, in 
accordance with section 2014, submits to the Secretary and 
obtains approval of an application for a fiscal year, the 
Secretary shall make a grant for the year to the State for the 
uses specified in section 2012. The grant shall consist of the 
allotment determined for the State under subsection (b).
  (b) Determination of Amount of Allotment.--
          (1) Reservation of funds.--
                  (A) In general.--From the total amount made 
                available to carry out this subpart for any 
                fiscal year, the Secretary shall reserve--
                          (i) \1/2\ of 1 percent for allotments 
                        for the United States Virgin Islands, 
                        Guam, American Samoa, and the 
                        Commonwealth of the Northern Mariana 
                        Islands, to be distributed among those 
                        outlying areas on the basis of their 
                        relative need, as determined by the 
                        Secretary in accordance with the 
                        purpose of this part; and
                          (ii) \1/2\ of 1 percent for the 
                        Secretary of the Interior for programs 
                        under this part for professional 
                        development activities for teachers and 
                        other staff in schools operated or 
                        funded by the Bureau of Indian Affairs.
                  (B) Limitation.--In reserving an amount for 
                the purposes described in clauses (i) and (ii) 
                of subparagraph (A) for a fiscal year, the 
                Secretary shall not reserve more than the total 
                amount the outlying areas and the schools 
                operated or funded by the Bureau of Indian 
                Affairs received under the authorities 
                described in paragraph (2)(A)(i) for fiscal 
                year 2000.
          (2) State allotments.--
                  (A) Hold harmless.--
                          (i) In general.--Subject to 
                        subparagraph (B), from the total amount 
                        made available to carry outthis subpart 
for any fiscal year and not reserved under paragraph (1), the Secretary 
shall allot to each of the 50 States, the District of Columbia, and the 
Commonwealth of Puerto Rico an amount equal to the total amount that 
such State received for fiscal year 2000 under--
                                  (I) section 2202(b) of this 
                                Act (as in effect on the day 
                                before the date of enactment of 
                                the Educational Opportunities 
                                Act); and
                                  (II) section 310 of the 
                                Department of Education 
                                Appropriations Act, 2000 (as 
                                enacted by section 1000(a)(4) 
                                of division B of Public Law 
                                106-113).
                          (ii) Ratable reduction.--If the total 
                        amount made available to carry outthis 
subpart for any fiscal year and not reserved under paragraph (1) is 
insufficient to pay the full amounts that all States are eligible to 
receive under clause (i) for any fiscal year, the Secretary shall 
ratably reduce such amounts for such fiscal year.
                  (B) Allotment of additional funds.--
                          (i) In general.--Subject to clause 
                        (ii), for any fiscal year for which the 
                        total amount made available to carry 
                        out this subpart and not reserved under 
                        paragraph (1) exceeds the total amount 
                        made available to the 50 States, the 
                        District of Columbia, and the 
                        Commonwealth of Puerto Rico for fiscal 
                        year 2000 under the authorities 
                        described in subparagraph (A)(i), the 
                        Secretary shall allot to each of those 
                        States the sum of--
                                  (I) an amount that bears the 
                                same relationship to 50 percent 
                                of the excess amount as the 
                                number of individuals age 5 
                                through 17 in the State, as 
                                determined by the Secretary on 
                                the basis of the most recent 
                                satisfactory data, bears to the 
                                number of those individuals in 
                                all such States, as so 
                                determined; and
                                  (II) an amount that bears the 
                                same relationship to 50 percent 
                                of the excess amount as the 
                                number of individuals age 5 
                                through 17 from families with 
                                incomes below the poverty line 
                                in the State, as determined by 
                                the Secretary on the basis of 
                                the most recent satisfactory 
                                data, bears to the number of 
                                those individuals in all such 
                                States, as so determined.
                          (ii) Exception.--No State receiving 
                        an allotment under clause (i) may 
                        receive less than \1/2\ of 1 percent of 
                        the total excess amount allotted under 
                        clause (i) for a fiscal year.
          (3) Reallotment.--If any State does not apply for an 
        allotment under this subsection for any fiscal year, 
        the Secretary shall reallot such amount to the 
        remaining States in accordance with this subsection.

SEC. 2012. ALLOCATIONS WITHIN STATES.

  (a) Use of Funds.--Each State receiving a grant under this 
subpart shall use the funds provided under the grant in 
accordance with this section to carry out activities for the 
improvement of teaching and learning.
  (b) Required and Authorized Expenditures.--
          (1) Required expenditures.--The Secretary may make a 
        grant to a State under this subpart only if the State 
        agrees to expend not less than 90 percent of the amount 
        of the funds provided under the grant for the purpose 
        of making subgrants to local educational agencies and 
        eligible partnerships (as defined in section 2021(e)), 
        in accordance with subsection (c).
          (2) Authorized expenditures.--A State that receives a 
        grant under this subpart may expend a portion equal to 
        not more than 10 percent of the amount of the funds 
        provided under the grant for 1 or more of the 
        authorized State activities described in section 2013 
        or to make grants to eligible partnerships to enable 
        the partnerships to carry out subpart 2 (but not more 
        than 5 percent of such portion may be used for planning 
        and administration related to carrying out such 
        purpose).
  (c) Distribution of Subgrants to Local Educational Agencies 
and Eligible Partnerships.--
          (1) Allocations to local educational agencies.--
                  (A) In general.--A State receiving a grant 
                under this subpart shall distribute a portion 
                equal to 95 percent of the amount described in 
                subsection (b)(1) by allocating to each 
                eligible local educational agency the sum of--
                          (i) an amount that bears the same 
                        relationship to 25 percent of the 
                        portion as the number of individuals 
                        enrolled in public and private 
                        nonprofit elementary schools and 
                        secondary schools in the geographic 
                        area served by the agency bears to the 
                        number of those individuals in the 
                        geographic areas served by all the 
                        local educational agencies in the 
                        State; and
                          (ii) an amount that bears the same 
                        relationship to 75 percent of the 
                        portion as the number of individuals 
                        age 5 through 17 from families with 
                        incomes below the poverty line, in the 
                        geographic area served by the agency, 
                        as determined by theSecretary on the 
basis of the most recent satisfactory data, bears to the number of 
those individuals in the geographic areas served by all the local 
educational agencies in the State, as so determined.
                  (B) Use of funds.--The State shall make 
                subgrants to local educational agencies from 
                allocations made under this paragraph to enable 
                the agencies to carry out subpart 3.
          (2) Competitive subgrants to eligible partnerships.--
                  (A) Competitive process.--A State receiving a 
                grant under this subpart shall transfer a 
                portion equal to 5 percent of the amount 
                described in subsection (b)(1) to the State 
                agency for higher education, which shall 
                distribute the portion through a competitive 
                process.
                  (B) Participants.--The competitive process 
                carried out under subparagraph (A) shall be 
                open to eligible partnerships (as defined in 
                section 2021(e)).
                  (C) Use of funds.--In distributing funds 
                under this paragraph, the State agency for 
                higher education shall make subgrants to the 
                eligible partnerships to enable the 
                partnerships to carry out subpart 2 (but not 
                more than 5 percent of the funds made available 
                to the eligible partnerships through the 
                subgrants may be used for planning and 
                administration related to carrying out such 
                purpose).

SEC. 2013. STATE USE OF FUNDS.

  (a) Authorized State Activities.--The authorized State 
activities referred to in section 2012(b)(2) are the following:
          (1) Reforming teacher certification (including 
        recertification) or licensing requirements to ensure 
        that--
                  (A) teachers have the necessary teaching 
                skills and academic content knowledge in the 
                academic subjects in which the teachers are 
                assigned to teach;
                  (B) the requirements are aligned with the 
                State's challenging State content standards; 
                and
                  (C) teachers have the knowledge and skills 
                necessary to help students meet challenging 
                State student performance standards.
          (2) Carrying out programs that--
                  (A) include support during the initial 
                teaching experience, such as mentoring 
                programs; and
                  (B) establish, expand, or improve alternative 
                routes to State certification of teachers for 
                highly qualified individuals with a 
                baccalaureate degree, including mid-career 
                professionals from other occupations, 
                paraprofessionals, former military personnel, 
                and recent college or university graduates with 
                records of academic distinction who demonstrate 
                the potential to become highly effective 
                teachers.
          (3) Developing and implementing effective mechanisms 
        to assist local educational agencies and schools in 
        effectively recruiting and retaining highly qualified 
        and effective teachers and principals.
          (4) Developing or improving systems of performance 
        measures to evaluate the effectiveness of professional 
        development programs and activities in improving 
        teacher quality, skills, and content knowledge, and 
        increasing student academic achievement and student 
        performance.
          (5) Developing or improving systems to evaluate the 
        impact of teachers on student academic achievement and 
        student performance.
          (6) Providing technical assistance to local 
        educational agencies consistent with this part.
          (7) Funding projects to promote reciprocity of 
        teacher certification or licensure between or among 
        States, except that no reciprocity agreement developed 
        under this paragraph or developed using funds provided 
        under this part may lead to the weakening of any State 
        teaching certification or licensing requirement.
          (8) Developing or assisting local educational 
        agencies or eligible partnerships (as defined in 
        section 2021(e)) in the development and utilization of 
        proven, innovative strategies to deliver intensive 
        professional development programs and activities that 
        are both cost-effective and easily accessible, such as 
        through the use of technology and distance learning.
          (9) Supporting activities to encourage and support 
        teachers seeking national board certification from the 
        National Board for Professional Teaching Standards or 
        other recognized entities.
          (10) Providing professional development activities 
        involving training in advanced placement instruction.
  (b) Coordination.--A State that receives a grant to carry out 
this subpart and a grant under section 202of the Higher 
Education Act of 1965 shall coordinate the activities carried out under 
this section and the activities carried out under that section 202.

SEC. 2014. APPLICATIONS BY STATES.

  (a) In General.--To be eligible to receive a grant under this 
subpart, a State shall submit an application to the Secretary 
at such time, in such manner, and containing such information 
as the Secretary may reasonably require.
  (b) Contents.--Each application submitted under this section 
shall include the following:
          (1) A description of how the State will ensure that a 
        local educational agency receiving a subgrant to carry 
        out subpart 3 will comply with the requirements of such 
        subpart.
          (2)(A) An assurance that the State will measure the 
        annual progress of the local educational agencies and 
        schools in the State with respect to--
                  (i) improving student academic achievement 
                and student performance, in accordance with 
                content standards and student performance 
                standards established under part A of title I;
                  (ii) closing academic achievement gaps, 
                reflected in disaggregated data described in 
                section 1111(b)(3)(I), between minority and 
                non-minority groups and low-income and non-low-
                income groups; and
                  (iii) improving performance on other specific 
                indicators for professional development, such 
                as increasing the percentage of classes in core 
                academic subjects that are taught by highly 
                qualified teachers.
          (B) An assurance that the State will require each 
        local educational agency and school in the State 
        receiving funds under this part to publicly report 
        information on the agency's or school's annual 
        progress, measured as described in subparagraph (A).
          (3) A description of how the State will hold the 
        local educational agencies and schools accountable for 
        making annual progress as described in paragraph (2), 
        subject to part A of title I.
          (4)(A) A description of how the State will coordinate 
        professional development activities authorized under 
        this part with professional development activities 
        provided under other Federal, State, and local 
        programs, including those authorized under--
                  (i) titles I and IV, part A of title V, and 
                part A of title VII; and
                  (ii) where applicable, the Individuals with 
                Disabilities Education Act, the Carl D. Perkins 
                Vocational and Technical Education Act of 1998, 
                and title II of the Higher Education Act of 
                1965.
          (B) A description of the comprehensive strategy that 
        the State will use as part of the effort to carry out 
        the coordination, to ensure that teachers, 
        paraprofessionals, and principals are trained in the 
        utilization of technology so that technology and 
        technology applications are effectively used in the 
        classroom to improve teaching and learning in all 
        curriculum areas and academic subjects, as appropriate.
          (5) A description of how the State will encourage the 
        development of proven, innovative strategies to deliver 
        intensive professional development programs that are 
        both cost-effective and easily accessible, such as 
        through the use of technology and distance learning.
          (6) A description of how the activities to be carried 
        out by the State under this subpart will be based on a 
        review of relevant research and an explanation of why 
        the activities are expected to improve student 
        performance and outcomes.
  (c) Application Submission.--A State application submitted to 
the Secretary under this section shall be approved by the 
Secretary unless the Secretary makes a written determination, 
within 90 days after receiving the application, that the 
application is in violation of the provisions of this Act.

             Subpart 2--Subgrants to Eligible Partnerships

SEC. 2021. PARTNERSHIP GRANTS.

  (a) In General.--From the portion described in section 
2012(c)(2)(A), the State agency for higher education, working 
in conjunction with the State educational agency (if such 
agencies are separate), shall award subgrants on a competitive 
basis under section 2012(c) to eligible partnerships to enable 
such partnerships to carry out activities described in 
subsection (b). The State agency for higher education shall 
ensure that such subgrants shall be equitably distributed by 
geographic area within the State, or ensure that eligible 
partnerships in all geographic areas within the State are 
served through the grants.
  (b) Use of Funds.--An eligible partnership that receives 
funds under section 2012 shall use the funds for--
          (1) professional development activities in core 
        academic subjects to ensure that 
teachers,paraprofessionals, and, if appropriate, principals have 
content knowledge in the academic subjects that the teachers teach; and
          (2) developing and providing assistance to local 
        educational agencies and individuals who are teachers, 
        paraprofessionals or principals of public and private 
        schools served by each such agency, for sustained, 
        high-quality professional development activities that--
                  (A) ensure that the agencies and individuals 
                are able to use State content standards, 
                performance standards, and assessments to 
                improve instructional practices and improve 
                student academic achievement and student 
                performance; and
                  (B) may include intensive programs designed 
                to prepare such individuals who will return to 
                a school to provide such instruction to other 
                such individuals within such school.
  (c) Special Rule.--No single participant in an eligible 
partnership may use more than 50 percent of the funds made 
available to the partnership under section 2012.
  (d) Coordination.--An eligible partnership that receives a 
grant to carry out this subpart and a grant under section 203 
of the Higher Education Act of 1965 shall coordinate the 
activities carried out under this section and the activities 
carried out under that section 203.
  (e) Eligible Partnership.--In this section, the term 
``eligible partnership'' means an entity that--
          (1) shall include--
                  (A) a private or State institution of higher 
                education and the division of the institution 
                that prepares teachers;
                  (B) a school of arts and sciences; and
                  (C) a high need local educational agency; and
          (2) may include other local educational agencies, a 
        public charter school, a public or private elementary 
        school or secondary school, an educational service 
        agency, a public or private nonprofit educational 
        organization, other institutions of higher education, a 
        school of arts and sciences within such an institution, 
        the division of such an institution that prepares 
        teachers, a nonprofit cultural organization, an entity 
        carrying out a prekindergarten program, a teacher 
        organization, or a business.

           Subpart 3--Subgrants to Local Educational Agencies

SEC. 2031. LOCAL USE OF FUNDS.

  (a) Required Activities.--
          (1) In general.--Each local educational agency that 
        receives a subgrant to carry out this subpart shall use 
        the subgrant to carry out the activities described in 
        this subsection.
          (2) Required professional development activities.--
                  (A) Mathematics and science.--
                          (i) In general.--Each local 
                        educational agency that receives a 
                        subgrant to carry out this subpart 
                        shall use a portion of the funds made 
                        available through the subgrant for 
                        professional development activities in 
                        mathematics and science in accordance 
                        with section 2032.
                          (ii) Grandfather of old waivers.--A 
                        waiver provided to a local educational 
                        agency under part D of title XIV prior 
                        to the date of enactment of the 
                        Educational Opportunities Act shall be 
                        deemed to be in effect until such time 
                        as the waiver otherwise would have 
                        ceased to be effective.
                  (B) Professional development activities.--
                Each local educational agency that receives a 
                subgrant to carry out this subpart shall use a 
                portion of the funds made available through the 
                subgrant for professional development 
                activities that give teachers, 
                paraprofessionals, and principals the knowledge 
                and skills to provide students with the 
                opportunity to meet challenging State or local 
                content standards and student performance 
                standards. Such activities shall be consistent 
                with section 2032.
  (b) Allowable Activities.--Each local educational agency that 
receives a subgrant to carry out this subpart may use the funds 
made available through the subgrant to carry out the following 
activities:
          (1) Recruiting and hiring certified or licensed 
        teachers, including teachers certified through State 
        and local alternative routes, in order to reduce class 
        size, or hiring special education teachers.
          (2) Initiatives to assist in recruitment of highly 
        qualified teachers who will be assigned teaching 
        positions within their fields, including--
                  (A) providing signing bonuses or other 
                financial incentives, such as differential pay, 
                for teachers to teach in academic subjects in 
                whichthere exists a shortage of such teachers 
within a school or the area served by the local educational agency;
                  (B) establishing programs that--
                          (i) recruit professionals from other 
                        fields and provide such professionals 
                        with alternative routes to teacher 
                        certification; and
                          (ii) provide increased opportunities 
                        for minorities, individuals with 
                        disabilities, and other individuals 
                        underrepresented in the teaching 
                        profession; and
                  (C) implementing hiring policies that ensure 
                comprehensive recruitment efforts as a way to 
                expand the applicant pool of teachers, such as 
                identifying teachers certified through 
                alternative routes, and by implementing a 
                system of intensive screening designed to hire 
                the most qualified applicants.
          (3) Initiatives to promote retention of highly 
        qualified teachers and principals, including--
                  (A) programs that provide mentoring to newly 
                hired teachers, such as mentoring from master 
                teachers, and to newly hired principals; and
                  (B) programs that provide other incentives, 
                including financial incentives, to retain 
                teachers who have a record of success in 
                helping low-achieving students improve their 
                academic success.
          (4) Programs and activities that are designed to 
        improve the quality of the teacher force, and the 
        abilities of paraprofessionals and principals, such 
        as--
                  (A) innovative professional development 
                programs (which may be through partnerships 
                including institutions of higher education), 
                including programs that train teachers, 
                paraprofessionals, and principals to utilize 
                technology to improve teaching and learning, 
                that are consistent with the requirements of 
                section 2032;
                  (B) development and utilization of proven, 
                cost-effective strategies for the 
                implementation of professional development 
                activities, such as through the utilization of 
                technology and distance learning;
                  (C) professional development programs that 
                provide instruction in how to teach children 
                with different learning styles, particularly 
                children with disabilities and children with 
                special learning needs (including children who 
                are gifted and talented); and
                  (D) professional development programs that 
                provide instruction in how best to discipline 
                children in the classroom and identify early 
                and appropriate interventions to help children 
                described in subparagraph (C) to learn.
          (5) Activities that provide teacher opportunity 
        payments, consistent with section 2033.

SEC. 2032. PROFESSIONAL DEVELOPMENT FOR TEACHERS.

  (a) Limitation Relating to Curriculum and Academic 
Subjects.--
          (1) In general.--Except as provided in paragraph (2), 
        funds made available to carry out this subpart may be 
        provided for a teacher, paraprofessional, or principal, 
        and a professional development activity, only if the 
        activity is--
                  (A) directly related to the curriculum and 
                academic subjects in which a teacher provides 
                instruction; or
                  (B) designed to enhance the ability of a 
                teacher, paraprofessional, or principal to 
                understand and use State standards for the 
                academic subjects in which a teacher provides 
                instruction.
          (2) Exception.--Paragraph (1) shall not be construed 
        to prohibit the use of the funds for professional 
        development activities that provide instruction 
        described in subparagraphs (C) and (D) of section 
        2031(b)(4).
  (b) Other Requirements.--Professional development activities 
provided under this subpart--
          (1) shall be tied to challenging State or local 
        content standards and student performance standards;
          (2) shall be tied to strategies and programs that 
        demonstrate effectiveness in increasing student 
        academic achievement and student performance, or 
        substantially increasing the knowledge and teaching 
        skills of the teachers participating in the activities;
          (3) in the case of activities for teachers, shall be 
        of sufficient intensity and duration to have a positive 
        and lasting impact on the performance of a teacher in 
        the classroom (which shall not include 1-day or short-
        term workshops and conferences), except that this 
        paragraph shall not apply to an activity if such 
        activity is 1 component described in a long-term 
        comprehensive professional development plan established 
        by the teacher and the teacher's supervisor based upon 
        an assessment of the needs ofthe teacher, the students 
of the teacher, and the local educational agency involved; and
          (4) shall be developed with extensive participation 
        of teachers, paraprofessionals, and principals of 
        schools to be served under this part.
  (c) Accountability and Required Payments.--
          (1) In general.--If, at the end of any fiscal year, a 
        State determines that a local educational agency has 
        failed to make progress in accordance with section 
        2014(b)(2) during the fiscal year, the State shall 
        notify the local educational agency that the agency 
        shall be subject to the requirement of paragraph (3).
          (2) Technical assistance.--A local educational agency 
        that receives notification pursuant to paragraph (1) 
        may request technical assistance from the State in 
        order to provide the opportunity for such local 
        educational agency to make progress in accordance with 
        section 2014(b)(2).
          (3) Requirement to provide teacher opportunity 
        payments.--
                  (A) In general.--A local educational agency 
                that receives notification pursuant to 
                paragraph (1) with respect to any 2 consecutive 
                fiscal years shall expend under section 2033 
                for the succeeding fiscal year a proportion of 
                the funds made available to the agency to carry 
                out this subpart equal to the proportion of 
                such funds expended by the agency for 
                professional development activities for the 
                second fiscal year for which the agency 
                received the notification.
                  (B) Requests.--On request by a group of 
                teachers in schools served by the local 
                educational agency, the agency shall use a 
                portion of the funds provided to the agency to 
                carry out this subpart, to provide payments in 
                accordance with section 2033.
          (4) Special rule.--
                  (A) Subsequent years of progress.--A local 
                educational agency that receives notification 
                from the State pursuant to paragraph (1) with 
                respect to a fiscal year and makes progress in 
                accordance with section 2014(b)(2) for at least 
                the 2 subsequent years shall not be required to 
                provide payments in accordance with section 
                2033 for the next subsequent year.
                  (B) Subsequent years without progress.--A 
                local educational agency that receives 
                notification from the State pursuant to 
                paragraph (1) with respect to a fiscal year and 
                fails to make progress in accordance with 
                section 2014(b)(2) for at least the 2 
                subsequent fiscal years shall request the 
                technical assistance described in paragraph (2) 
                from the State for the next subsequent year.
  (d) Definition.--In this section, the term ``professional 
development activity'' means an activity described in 
subsection (a)(2) or (b)(4) of section 2031.

SEC. 2033. TEACHER OPPORTUNITY PAYMENTS.

  (a) In General.--A local educational agency receiving funds 
to carry out this subpart may (or in the case of section 
2032(c)(3), shall) provide payments directly to a teacher or a 
group of teachers seeking opportunities to participate in a 
professional development activity of their choice that meets 
the criteria set forth in subsections (a) and (b) of section 
2032.
  (b) Notice to Teachers.--Each local educational agency 
distributing payments under this section--
          (1) shall establish and implement a timely process 
        through which proper notice of availability of the 
        payments will be given to all teachers in schools 
        served by the agency; and
          (2) shall develop a process through which teachers 
        will be specifically recommended by principals to 
        participate in such opportunities by virtue of--
                  (A) the teachers' lack of full certification 
                or licensing to teach the academic subjects in 
                which the teachers teach; or
                  (B) the teachers' need for additional 
                assistance to ensure that their students make 
                progress toward meeting challenging State 
                content standards and student performance 
                standards.
  (c) Selection of Teachers.--In the event adequate funding is 
not available to provide payments under this section to all 
teachers seeking such payments, or recommended under subsection 
(b)(2), a local educational agency shall establish procedures 
for selecting teachers for the payments, which shall provide 
priority for those teachers recommended under subsection 
(b)(2).
  (d) Eligible Activity.--A teacher receiving a payment under 
this section shall have the choice of attending any 
professional development activity that meets the criteria set 
forth in subsections (a) and (b) of section 2032, as determined 
by the State involved.

SEC. 2034. LOCAL APPLICATIONS.

  (a) In General.--A local educational agency seeking to 
receive a subgrant from a State to carry out thissubpart shall 
submit an application to the State at such time as the State shall 
require.
  (b) Local Application Contents.--The local application 
described in subsection (a) shall include, at a minimum, the 
following:
          (1) A description of how the local educational agency 
        intends to use funds provided to carry out this 
        subpart.
          (2) An assurance that the local educational agency 
        will target funds to schools served by the local 
        educational agency that--
                  (A) have the lowest proportions of highly 
                qualified teachers;
                  (B) are identified for school improvement 
                under section 1116(c); or
                  (C) are identified for school improvement in 
                accordance with other measures of school 
                quality as determined and documented by the 
                local educational agency.
          (3) A description of how the local educational agency 
        will coordinate professional development activities 
        authorized under this subpart with professional 
        development activities provided through other Federal, 
        State, and local programs, including those authorized 
        under--
                  (A) titles I and IV, part A of title V, and 
                part A of title VII; and
                  (B) where applicable, the Individuals with 
                Disabilities Education Act, the Carl D. Perkins 
                Vocational and Technical Education Act of 1998, 
                and title II of the Higher Education Act of 
                1965.
          (4) A description of how the local educational agency 
        will integrate funds received to carry out this subpart 
        with funds received under part A of title V that are 
        used for professional development to train teachers, 
        paraprofessionals, and principals in how to use 
        technology to improve learning and teaching.
          (5) A description of how the local educational agency 
        has collaborated with teachers, paraprofessionals, 
        principals, and parents in the preparation of the 
        application.
          (6) A description of how the activities to be carried 
        out by the local educational agency under this subpart 
        will be based on a review of relevant research and an 
        explanation of why the activities are expected to 
        improve student performance and outcomes.

                     Subpart 4--National Activities

SEC. 2041. ALTERNATIVE ROUTES TO TEACHING AND PROMOTING EXCELLENCE IN 
                    TEACHING.

  (a) Teacher Excellence Academies.--
          (1) In general.--The Secretary may award grants on a 
        competitive basis to eligible consortia to carry out 
        activities described in this subsection.
          (2) Use of funds.--
                  (A) In general.--An eligible consortium 
                receiving funds under this subsection shall use 
                the funds to pay the costs associated with the 
                establishment or expansion of a teacher 
                academy, in an elementary school or secondary 
                school facility, that carries out--
                          (i) the activities promoting 
                        alternative routes to teacher 
                        certification specified in subparagraph 
                        (B); or
                          (ii) the model professional 
                        development activities specified in 
                        subparagraph (C).
                  (B) Promoting alternative routes to teacher 
                certification.--The activities promoting 
                alternative routes to teacher certification 
                shall, to the extent practicable, provide 
                opportunities for highly qualified individuals 
                with a baccalaureate degree (including mid-
                career professionals from other occupations, 
                paraprofessionals, former military personnel, 
                and recent college or university graduates with 
                records of academic distinction) to enter the 
                teaching field, through activities such as--
                          (i) providing stipends, in exchange 
                        for fulfillment of a reasonable service 
                        requirement, to the highly qualified 
                        individuals, to permit the individuals 
                        to fill teaching needs in academic 
                        subjects in which there is a 
                        demonstrated shortage of teachers;
                          (ii) providing for the recruitment 
                        and hiring of master teachers to mentor 
                        and train student teachers within such 
                        academies; or
                          (iii) carrying out other activities 
                        that promote and strengthen alternative 
                        routes to teacher certification.
                  (C) Model professional development.--The 
                model professional development activities shall 
                be activities providing ongoing professional 
                development opportunities for teachers, such 
                as--
                          (i) innovative programs and model 
                        curricula in the area of professional 
                        development, which may serve as models 
                        to be disseminated to other schools and 
                        local educational agencies; and
                          (ii) the development of innovative 
                        techniques for evaluating the 
                        effectiveness of professional 
                        development programs.
          (3) Grant for special consortium.--In making grants 
        under this subsection, the Secretary shall award not 
        less than 1 grant to an eligible consortium that--
                  (A) includes a high need local educational 
                agency located in a rural area; and
                  (B) proposes activities that involve the 
                extensive use of distance learning in order to 
                provide the applicable course work to student 
                teachers.
          (4) Special rule.--No single participant in an 
        eligible consortium may use more than 50 percent of the 
        funds made available to the consortium under this 
        subsection.
          (5) Application.--To be eligible to receive a grant 
        under this subsection, an eligible consortium shall 
        submit an application to the Secretary at such time, in 
        such manner, and containing such information as the 
        Secretary may reasonably require.
          (6) Eligible consortium.--In this subsection, the 
        term ``eligible consortium'' means a consortium for a 
        State that--
                  (A) shall include--
                          (i) the State agency responsible for 
                        certifying or licensing teachers;
                          (ii) not less than 1 high need local 
                        educational agency;
                          (iii) a school of arts and sciences; 
                        and
                          (iv) an institution that prepares 
                        teachers; and
                  (B) may include local educational agencies, 
                public charter schools, public or private 
                elementary schools or secondary schools, 
                educational service agencies, public or private 
                nonprofit educational organizations, museums, 
                or businesses.
  (b) National Board for Professional Teaching Standards.--
          (1) National board certification.--The Secretary may 
        award grants to the National Board for Professional 
        Teaching Standards to enable the Board to complete a 
        system of national board certification. The Secretary 
        may award grants for fiscal year 2001.
          (2) Advanced certification or credentialing.--The 
        Secretary may support activities to encourage and 
        support teachers seeking advanced certification or 
        advanced credentialing through high quality 
        professional teacher enhancement programs designed to 
        improve teaching and learning.
  (c) Teacher Training in Mathematics and Science.--
          (1) In general.--The Secretary may award grants, on a 
        competitive basis, to eligible entities to support and 
        promote the establishment of teacher training programs 
        relating to the core subject areas of mathematics and 
        science.
          (2) Use of funds.--The programs shall include teacher 
        training with respect to the establishment of mentoring 
        programs, model programs, or other programs, that 
        encourage students, including young women, to pursue 
        demanding careers and postsecondary degrees in 
        mathematics and science, including engineering and 
        technology.
          (3) Development.--In carrying out a teacher training 
        program under this section, the eligible entity may 
        carry out a program jointly developed by the entity and 
        by a business, an industry, or an institution of higher 
        education.
          (4) Application.--To be eligible to receive a grant 
        under this subsection, an entity shall submit an 
        application to the Secretary at such time, in such 
        manner, and containing such information as the 
        Secretary may require.
  (d) Eisenhower National Clearinghouse for Mathematics and 
Science Education.--
          (1) In general.--The Secretary may award a grant or 
        contract, in consultation with the Director of the 
        National Science Foundation, to an entity to continue 
        the Eisenhower National Clearinghouse for Mathematics 
        and Science Education (referred to in this subsection 
        as the `Clearinghouse').
          (2) Use of funds.--
                  (A) In general.--The Clearinghouse may use 
                the funds made available through the grant or 
                contract to carry out the functions of the 
                Clearinghouse, as of the date of enactment of 
                the Educational Opportunities Act.
                  (B) Language arts; social studies.--The 
                Clearinghouse may also use the funds to provide 
                information and resources in the areas of 
                language arts and social studies.
                  (C) Qualitative and evaluative materials and 
                programs.--The Clearinghouse may also use the 
                funds to collect (in consultation with the 
                Secretary, national teacher associations, 
                professional associations, and other reviewers 
                and developers of educational materials and 
                programs) qualitative and evaluative materials 
                and programs for the Clearinghouse, review the 
                evaluation of the materials and programs, rank 
                the effectiveness of the materials and programs 
                on the basis of the evaluations, and distribute 
                the results of the reviews to teachers in an 
                easily accessible manner. Nothing in this 
                subparagraph shall be construed to permit the 
                Clearinghouse to directly conduct an evaluation 
                of the qualitative and evaluative materials or 
                programs.
  (e) Troops-to-Teachers Program.--
          (1) Purpose.--The purpose of this subsection is to 
        authorize a mechanism for the funding and 
        administration of the Troops-to-Teachers Program 
        established by the Troops-to-Teachers Program Act of 
        1999 (title XVII of the National Defense Authorization 
        Act for Fiscal Year 2000).
          (2) Transfer of funds for administration of 
        program.--To the extent that funds are made available 
        under this Act for the Troops-to-Teachers Program, the 
        Secretary of Education shall use the funds to enter 
        into a contract with the Defense Activity for Non-
        Traditional Education Support of the Department of 
        Defense. The Defense Activity shall use the amounts 
        made available through the contract to perform the 
        actual administration of the Troops-to-Teachers 
        Program, including the selection of participants in the 
        Program under section 1704 of the Troops-to-Teachers 
        Program Act of 1999. The Secretary of Education may 
        retain a portion of the funds to identify local 
        educational agencies with concentrations of children 
        from low-income families or with teacher shortages and 
        States with alternative certification or licensure 
        requirements, as required by section 1702 of such Act.

                           Subpart 5--Funding

SEC. 2051. AUTHORIZATION OF APPROPRIATIONS.

  (a) Fiscal Year 2001.--There are authorized to be 
appropriated to carry out this part $2,000,000,000 for fiscal 
year 2001, of which $40,000,000 shall be available to carry out 
subpart 4.
  (b) Other Fiscal Years.--There are authorized to be 
appropriated to carry out this part such sums as may be 
necessary for each of fiscal years 2002 through 2005.

                     Subpart 6--General Provisions

SEC. 2061. DEFINITIONS.

  In this part:
          (1) Arts and sciences.--The term ``arts and 
        sciences'' has the meaning given the term in section 
        201(b) of the Higher Education Act of 1965.
          (2) Core academic subjects.--The term ``core academic 
        subjects'' means those subjects listed under the third 
        of the America's Education Goals.
          (3) Highly qualified.--The term ``highly qualified'' 
        means--
                  (A) with respect to an elementary school 
                teacher, a teacher--
                          (i) with an academic major in the 
                        arts and sciences; or
                          (ii) who can demonstrate competence 
                        through a high level of performance in 
                        core academic subjects; and
                  (B) with respect to a secondary school 
                teacher, a teacher--
                          (i) with an academic major in the 
                        academic subject in which the teacher 
                        teaches or in a related field;
                          (ii) who can demonstrate a high level 
                        of competence through rigorous academic 
                        subject tests; or
                          (iii) who can demonstrate competence 
                        through a high level of performance in 
                        relevant content areas.
          (4) High need local educational agency.--The term 
        ``high need local educational agency'' has the meaning 
        given the term in section 201(b) of the Higher 
        Education Act of 1965.
          (5) Out-of-field teacher.--The term ``out-of-field 
        teacher'' means a teacher--
                  (A) teaching an academic subject for which 
                the teacher is not highly qualified, as 
                determined by the State involved; or
                  (B) who did not receive a degree from an 
                institution of higher education with a major or 
                minor in the field in which the teacher 
                teaches.
          (6) Poverty line.--The term ``poverty line'' means 
        the poverty line (as defined by the Office ofManagement 
and Budget and revised annually in accordance with section 673(2) of 
the Community Services Block Grant Act) applicable to a family of the 
size involved.
          (7) State.--The term ``State'', used with respect to 
        an individual, entity, or agency, means--
                  (A) except as provided in subparagraph (B), 
                the Governor of a State (as defined in section 
                3); or
                  (B) in the case of a State (as so defined) 
                for which the constitution or law of the State 
                designates another individual, entity, or 
                agency in the State to be responsible for 
                elementary and secondary education programs, 
                such individual, entity, or agency.

          PART B--LEADERSHIP EDUCATION AND DEVELOPMENT PROGRAM

SEC. 2201. LEADERSHIP PROGRAMS.

  (a) Definition.--In this section, the term ``school leader'' 
means an elementary school or secondary school superintendent, 
principal, assistant principal, or teacher, or another 
individual in a management or leadership position with a State 
or region of a State whose work directly impacts teaching and 
learning relating to elementary or secondary education.
  (b) Grants.--The Secretary shall award grants to eligible 
entities (including State educational agencies, institutions of 
higher education, local educational agencies, and nonprofit 
educational organizations) and consortia of such entities to 
enable such entities or consortia to pay for the Federal share 
of the cost of providing professional development services for 
school leaders to develop or enhance the leadership skills of 
the school leaders. In providing the services, the entities and 
consortia shall work in cooperation with school leaders and 
other appropriate individuals.
  (c) Award Basis.--The Secretary shall award a grant under 
this section to an eligible entity or consortium on the basis 
of criteria that include--
          (1) the quality of the proposed use of the grant 
        funds;
          (2) the educational need of the State, community, or 
        region to be served under the grant; and
          (3) the need for equitable distribution of the grants 
        among urban and rural communities and school districts, 
        and equitable geographic representation of regions of 
        the United States.
  (d) Application.--To be eligible to receive a grant under 
this section, an eligible entity or consortium shall prepare 
and submit to the Secretary an application at such time, in 
such manner, and containing such information as the Secretary 
may require, including an assurance that school leaders were 
involved in developing the application and determining the 
proposed use of the grant funds.
  (e) Use of Funds.--
          (1) In general.--An eligible entity or consortium 
        that receives a grant under this section shall use 
        funds received through the grant to provide assistance 
        for training, education, and other activities to 
        increase the leadership and other skills of school 
        leaders.
          (2) Specific activities.--In order to improve the 
        quality of education delivered to the children in the 
        State, community, or region in which the entity or 
        consortium is located, the entity or consortium shall 
        use the funds received through the grant for activities 
        that include--
                  (A) providing school leaders with effective 
                leadership, management, and instructional 
                skills and practices;
                  (B) enhancing and developing the school 
                management and business skills of school 
                leaders;
                  (C) improving the understanding of school 
                leaders of the effective use of educational 
                technology;
                  (D) improving the knowledge of school leaders 
                regarding challenging State content and 
                performance standards;
                  (E) encouraging highly qualified individuals 
                to become school leaders and developing and 
                enhancing the instructional, leadership, school 
                management, parent and community involvement, 
                mentoring, and staff evaluation skills of 
                school leaders; and
                  (F) establishing sustained and rigorous 
                support for mentorships and for developing a 
                network of school leaders within the State with 
                the goal of strengthening and improving the 
                leadership of school leaders.
  (f) Federal Share.--
          (1) In general.--The Federal share of the cost 
        described in subsection (b) shall be not more than 80 
        percent.
          (2) Non-federal share.--An entity or consortium may 
        provide the non-Federal share of the cost in cash or in 
        kind, fairly evaluated, including plant, equipment, or 
        services.
          (3) Waivers.--The Secretary may grant waivers of 
        paragraph (1) for entities or consortia serving low-
        income areas, as determined by the Secretary.
  (g) Authorization of Appropriations.--There are authorized to 
be appropriated to carry out this section $100,000,000 for 
fiscal year 2001 and such sums as may be necessary for the 4 
subsequent fiscal years.

                 [PART C--READING AND LITERACY GRANTS]


PART C_READING EXCELLENCE ACT

           *       *       *       *       *       *       *



SEC. 2260. [20 U.S.C. 6661 I] AUTHORIZATIONS OF APPROPRIATIONS; 
                    RESERVATIONS FROM APPROPRIATIONS; SUNSET.

    (a) Authorizations.--
          (1) FY 1999.--

           *       *       *       *       *       *       *

          (3) Fiscal years 2001 through 2004.--There are 
        authorized to be appropriated to carry out this part 
        $280,000,000 for fiscal year 2001 and such sums as may 
        be necessary for the 4 subsequent fiscal years.

           *       *       *       *       *       *       *


SEC. 2261. SHORT TITLE.

    This part may be cited as the ``Reading Excellence Act''.

           *       *       *       *       *       *       *


        [PART D--PROFESSIONAL DEVELOPMENT DEMONSTRATION PROJECT

[SEC. 2301. [20 U.S.C. 6671] FINDINGS AND PURPOSE.

  [(a) Findings.--The Congress finds that--
          [(1) underlying the standards-driven framework of the 
        Goals 2000: Educate America Act and the high academic 
        standards for eligible students under title I is a 
        widespread need to prepare teachers to teach to higher 
        standards;
          [(2) prospective and current teachers need knowledge 
        and skills beyond what such teachers currently possess;
          [(3) while both the Goals 2000: Educate America Act 
        and titles I and II of this Act have extensive 
        references to professional development of teachers, 
        there are no provisions to incorporate ``on-the-
        ground'' planning and implementation to serve as models 
        for local educational agencies across the Nation; and
          [(4) better prepared teachers can lead to improved 
        student achievement, especially for students who are 
        furthest from reaching high standards.
  [(b) Purpose.--It is the purpose of this part--
          [(1) to address the need for professional development 
        with a primary focus on teachers;
          [(2) to provide both prospective teachers and current 
        teachers opportunities to learn both the content and 
        the pedagogy needed to teach to high standards; and
          [(3) to build models, in a few cities and States, 
        that demonstrate new organizational arrangements and 
        deep investments in teachers necessary to better 
        prepare teachers for new standards and assessments.

[SEC. 2302. [20 U.S.C. 6672] DEMONSTRATION PROGRAM AUTHORIZED.

  [(a) General Authority.--
          [(1) In general.--The Secretary shall carry out a 
        demonstration project under which the Secretary awards 
        grants in accordance with this part to eligible 
        partnerships to enable such partnerships to plan and 
        implement professional development programs.
          [(2) Program requirements.--The programs described in 
        paragraph (1)--
                  [(A) shall focus on increasing teachers' 
                knowledge and understanding of content by 
                providing teachers opportunities to improve 
                their knowledge and to improve their classroom 
                practice in order to help students meet high 
                academic standards;
                  [(B) shall include teachers at all career 
                stages, from student teachers or interns 
                through senior team leaders or department 
                chairs; and
                  [(C) may incorporate professional development 
                for principals, pupil services personnel, 
                aides, other school-based staff, and parents.
  [(b) Eligible Partnerships.--For the purpose of this part, 
the term ``eligible partnership'' means a partnership 
consisting of--
          [(1) a local educational agency, a subunit of such 
        agency, or a consortium of such agencies, in which not 
        less than 50 percent of the schools served by such 
        agency, subunit, or consortium are eligible to 
        participate in schoolwide programs under section 1114; 
        or
          [(2) other partners that--
                  [(A) shall include, at a minimum, a teachers' 
                union (if appropriate), one or more 
                institutions of higher education which may 
                include faculty from schools of education and 
                faculty from schools of arts and sciences, and 
                a local parent or community council; and
                  [(B) may include a business partner or a 
                nonprofit organization with a demonstrated 
                record in staff development.

[SEC. 2303. [20 U.S.C. 6673] GRANTS.

  [(a) Authority.--
          [(1) In general.--The Secretary shall award grants 
        for planning, and grants for the implementation of, 
        professional development programs under this part.
          [(2) Distribution.--The Secretary shall award not 
        less than 75 percent of the funds available for grants 
        under this part to eligible partnerships serving the 
        schools with the greatest number of poor students. To 
        the extent possible, such grants shall be awarded to 
        eligible partnerships serving both rural and urban 
        school districts and in a manner that reflects 
        geographic and racial diversity.
          [(3) Number of grants.--In the first year that the 
        Secretary awards grants under this part, the Secretary 
        shall award at least twice as many planning grants as 
        implementation grants in order to receive well-
        developed plans for long-term funding under this part.
  [(b) Grant Requirements.--
          [(1) Duration.--The Secretary shall award--
                  [(A) planning grants under this part for a 
                period of not less than six months and not more 
                than nine months; and
                  [(B) implementation grants under this part 
                for a period of four fiscal years.
          [(2) Amount.--The Secretary shall award grants under 
        this part in an amount determined on the basis of the 
        size of the program and the level of investment the 
        eligible partnership is making in teacher development 
        in the area served by the eligible partnership, 
        including local, State, and Federal funds and existing 
        higher education resources, except that no grant under 
        this part shall exceed $500,000 in any one fiscal year.

[SEC. 2304. [U.S.C. 6674] PLAN.

  [Each eligible partnership desiring assistance under this 
part shall develop a plan for the program to be assisted under 
this part. Such plan shall--
          [(1) identify clearly how such plan will support an 
        overall systemic reform strategy giving special 
        attention to the role of teacher preparation for new 
        standards and assessment;
          [(2) describe the eligible partnership's 
        instructional objectives and how the professional 
        development activities will support such objectives;
          [(3) specify the organizational arrangements and 
        delivery strategies to be used, such as teacher 
        centers, professional development schools, teacher 
        networks, and academic alliances, as well as the 
        curriculum for teachers;
          [(4) specify the commitments the local educational 
        agencies, teacher's union, institutions of higher 
        education, or any other entity participating in such 
        partnership are prepared to make, not only to support 
        program activities such as release time, contractual 
        flexibility, support for interns or student teachers if 
        applicable, but also to sustain the central aspects of 
        the plan after the expiration of the grant; and
          [(5) describe how the activities described under this 
        part will lead to districtwide policy and budget 
        changes.

[SEC. 2305. [20 U.S.C. 6675] TECHNICAL ASSISTANCE.

  [The Secretary is authorized to enter into an arrangement 
with an intermediary organization to enable such organization 
to provide technical assistance to eligible partnerships 
receiving assistance under this part.

[SEC. 2306. [20 U.S.C. 6676] MATCHING FUNDS.

  [The Secretary shall give special priority to awarding grants 
under this part to eligible partnerships that demonstrate such 
partnership's ability to raise matching funds from private 
sources.]

                    PART D--NATIONAL WRITING PROJECT

SEC. 2301. PURPOSE.

  The purpose of this part is--
          (1) to support and promote the expansion of the 
        National Writing Project network of sites so that 
        teachers in every region of the United States will have 
        access to a National Writing Project program;
          (2) to ensure the consistent high quality of the 
        programs through ongoing review, evaluation, and 
        provision of technical assistance;
          (3) to support and promote the establishment of 
        programs to disseminate information on effective 
        practices and research findings about the teaching of 
        writing; and
          (4) to coordinate activities assisted under this part 
        with other activities assisted under this Act.

SEC. 2302. NATIONAL WRITING PROJECT.

  (a) Authorization.--The Secretary is authorized to make a 
grant to the National Writing Project (referred to in this 
section as the ``grantee''), a nonprofit educational 
organization that has, as the primary purpose of the 
organization, the improvement of the quality of student writing 
and learning, to support the establishment and operation of 
teacher training programs to improve the teaching and uses of 
writing for learning in the Nation's classrooms.
  (b) Requirements of Grant.--The grant agreement for the grant 
shall provide that--
          (1) the grantee will enter into contracts with 
        institutions of higher education or other nonprofit 
        educational providers (referred to individually in this 
        section as a `contractor') under which the contractors 
        will agree to establish, operate, and provide the non-
        Federal share of the cost of establishing and operating 
        teacher training programs concerning effective 
        approaches and processes for the teaching of writing;
          (2) funds made available by the Secretary to the 
        grantee under this section will be used to pay for the 
        Federal share of the cost of establishing and operating 
        teacher training programs as provided in paragraph (1); 
        and
          (3) the grantee will meet such other conditions and 
        standards as the Secretary determines to be necessary 
        to assure compliance with the provisions of this 
        section and will provide such technical assistance as 
        may be necessary to carry out the provisions of this 
        section.
  (c) Teacher Training Programs.--In operating a teacher 
training program authorized in subsection (a), a contractor 
shall--
          (1) conduct the program during the school year and 
        during the summer months;
          (2) train teachers who teach kindergarten, grades 1 
        through 12, and college;
          (3) select teachers to become members of a National 
        Writing Project teacher network, for which each member 
        will conduct writing workshops for other teachers in 
        the area served by a National Writing Project site; and
          (4) encourage teachers from all disciplines to 
        participate in such a teacher training program.
  (d) Federal Share.--
          (1) In general.--In this section, except as provided 
        in paragraph (2) or (3), the term ``Federal share'' 
        means, with respect to the cost of establishing and 
        operating teacher training programs authorized in 
        subsection (a), 50 percent of such cost to the 
        contractor.
          (2) Waiver.--The Secretary may waive the provisions 
        of paragraph (1) on a case-by-case basis if the 
        National Advisory Board described in subsection (e) 
        determines, on the basis of financial need, that such 
        waiver is necessary.
          (3) Maximum.--The Federal share of the cost described 
        in subsection (b) may not exceed $100,000 for any 1 
        contractor, or $200,000 for a statewide program 
        administered by any 1 contractor in at least 5 sites 
        throughout the State.
  (e) National Advisory Board.--
          (1) Establishment.--The National Writing Project 
        shall establish and operate a National Advisory Board.
          (2) Composition.--The National Advisory Board 
        established pursuant to paragraph (1) shall consist 
        of--
                  (A) national educational leaders;
                  (B) leaders in the field of writing; and
                  (C) such other individuals as the National 
                Writing Project determines to be necessary.
          (3) Duties.--The National Advisory Board established 
        pursuant to paragraph (1) shall--
                  (A) advise the National Writing Project on 
                national issues related to student writing and 
                the teaching of writing;
                  (B) review the activities and programs of the 
                National Writing Project; and
                  (C) support the continued development of the 
                National Writing Project.
  (f) Teacher Training Evaluation.--
          (1) In general.--
                  (A) Evaluation.--The Secretary shall conduct 
                an independent evaluation by grant or contract 
                of the teacher training programs administered 
                pursuant to this section in accordance with 
                part B of title X. In conducting the 
                evaluation, the Secretary shall determine the 
                amount of funds expended by the National 
                Writing Project and each contractor receiving 
                assistance under this section for 
                administrative costs.
                  (B) Report.--The Secretary shall submit a 
                report containing the results of such 
                evaluation, including the amount determined by 
                theSecretary under subparagraph (A), to the 
appropriate committees of Congress.
          (2) Funding limitation.--The Secretary shall reserve 
        not more than $150,000 from the total amount 
        appropriated pursuant to the authority of subsection 
        (h) for fiscal year 2001 and the 4 subsequent fiscal 
        years to conduct the evaluation described in paragraph 
        (1).
  (g) Application Review.--
          (1) Review board.--The National Writing Project shall 
        establish and operate a National Review Board that 
        shall consist of--
                  (A) leaders in the field of research in 
                writing; and
                  (B) such other individuals as the National 
                Writing Project determines to be necessary.
          (2) Duties.--The National Review Board shall--
                  (A) review all applications for assistance 
                submitted under this section; and
                  (B) recommend applications for assistance 
                submitted under this section for funding by the 
                National Writing Project.
  (h) Authorization of Appropriations.--There are authorized to 
be appropriated to carry out this section, $15,000,000 for 
fiscal year 2001, and such sums as may be necessary for each of 
the 4 subsequent fiscal years.

           *       *       *       *       *       *       *


 PART E--THE NEW CENTURY PROGRAM FOR DISTRIBUTED TEACHER PROFESSIONAL 
                              DEVELOPMENT

SEC. 2401. PROJECT AUTHORIZED.

  (a) Purpose.--It is the purpose of this part to carry out a 
program designed to assist elementary school and secondary 
school teachers in preparing all students for achieving State 
content standards.
  (b) Grants.--The Secretary may make a grant to a nonprofit 
telecommunications entity, or a partnership of such entities, 
for the purpose of carrying out a national telecommunications-
based program to improve teaching in core curriculum areas to 
achieve the purpose described in subsection (a).

SEC. 2402. APPLICATION.

  (a) In General.--Each nonprofit telecommunications entity, or 
partnership of such entities, desiring a grant under this part 
shall submit an application to the Secretary. Each such 
application shall--
          (1) demonstrate that the applicant will use the 
        public broadcasting infrastructure and school digital 
        networks, where available, to deliver video and data in 
        an integrated service to train teachers in the use of 
        standards-based curricula materials and learning 
        technologies;
          (2) provide an assurance that the project for which 
        the assistance is being sought will be conducted in 
        cooperation with appropriate State educational 
        agencies, local educational agencies, national, State, 
        or local nonprofit public telecommunications entities, 
        and national education professional associations that 
        have developed content standards in the relevant 
        subject areas;
          (3) provide an assurance that a significant portion 
        of the benefits available for elementary schools and 
        secondary schools from the project for which the 
        assistance is being sought will be available to schools 
        of local educational agencies which have a high 
        percentage of children counted under section 1124(c); 
        and
          (4) contain such additional assurances as the 
        Secretary may reasonably require.
  (b) Approval, Number of Sites.--In approving applications 
under this section, the Secretary shall ensure that the program 
authorized by this part is conducted at elementary school and 
secondary school sites in at least 15 States.

SEC. 2403. AUTHORIZATION OF APPROPRIATIONS.

  There are authorized to be appropriated to carry out this 
part, $20,000,000 for fiscal year 2001, and such sums as may be 
necessary for each of the 4 subsequent fiscal years.

            PART F--DIGITAL EDUCATION CONTENT COLLABORATIVE

SEC. 2501. DIGITAL EDUCATION CONTENT COLLABORATIVE.

  (a) In General.--The Secretary may award grants to, or enter 
into contracts or cooperative agreements with, eligible 
entities described in section 2502(b) to develop, produce, and 
distribute educational and instructional video programming that 
is designed for use by kindergarten through grade 12 schools 
and based on State standards.
  (b) Availability.--In awarding grants, contracts, or 
cooperative agreements under subsection (a), the Secretary 
shall ensure that eligible entities enter into multiyear 
content development collaborative arrangements with State 
educational agencies, local educational agencies, institutions 
of higher education, businesses, or other agencies and 
organizations.

SEC. 2502. EDUCATIONAL PROGRAMMING.

  (a) Awards.--The Secretary shall award grants, contracts, or 
cooperative agreements under this part to eligible entities to 
facilitate the development of educational programming that 
shall--
          (1) include student assessment tools to provide 
        feedback on student performance;
          (2) include built-in teacher utilization and support 
        components to ensure that teachers understand and can 
        easily use the content of the programming with group 
        instruction or for individual student use;
          (3) be created for, or adaptable to, State content 
        standards; and
          (4) be capable of distribution through digital 
        broadcasting and school digital networks.
  (b) Eligible Entities.--To be eligible to receive a grant, 
contract, or cooperative agreement under section 2501(a), an 
entity shall be a local public telecommunications entity as 
defined in section 397(12) of the Communications Act of 1934 
that is able to demonstrate a capacity for the development and 
distribution of educational and instructional television 
programming of high quality.
  (c) Competitive Basis.--Grants, contracts, or cooperative 
agreements under this part shall be awarded on a competitive 
basis as determined by the Secretary.
  (d) Duration.--Each grant, contract, or cooperative agreement 
under this part shall be awarded for a period of 3 years in 
order to allow time for the creation of a substantial body of 
significant content.

SEC. 2503. APPLICATIONS.

  Each eligible entity desiring a grant, contract, or 
cooperative agreement under this part shall submit an 
application to the Secretary at such time, in such manner, and 
accompanied by such information as the Secretary may reasonably 
require.

SEC. 2504. MATCHING REQUIREMENT.

  An eligible entity receiving a grant, contract, or 
cooperative agreement under this part shall contribute to the 
activities assisted under this part non-Federal matching funds 
in an amount equal to not less than 100 percent of the amount 
of the grant, contract, or cooperative agreement. Non-Federal 
funds may include funds provided from a non-Federal source for 
the transition to digital broadcasting, as well as in-kind 
contributions.

SEC. 2505. ADMINISTRATIVE COSTS.

  With respect to the implementation of this part, entities 
receiving a grant, contract, or cooperative agreement under 
this part may use not more than 5 percent of the amounts 
received under the grant, contract, or cooperative agreement 
for the normal and customary expenses of administering the 
grant.

SEC. 2506. AUTHORIZATION OF APPROPRIATIONS.

  There are authorized to be appropriated to carry out this 
part, $25,000,000 for fiscal year 2001, and such sums as may be 
necessary for each of the 4 subsequent fiscal years.

                     PART [E]G--GENERAL PROVISIONS


SEC. 2401. [20 U.S.C. 2401] REPORTING AND ACCOUNTABILITY.

    [(a) States.--Each State that receives funds under this 
title (other than part C) shall submit a report to the 
Secretary every three years, beginning with fiscal year 1997, 
on the State's progress toward the performance indicators 
identified in such State's plan, as well as on the 
effectiveness of State and local activities assisted under this 
title (other than part C).
    [(b) Local Educational Agencies.--Each local educational 
agency that receives funds under this part shall submit a 
report to the State every three years, beginning with fiscal 
year 1997, regarding the progress of such agency toward 
performance indicators identified in such agency's local plan, 
as well as on the effectiveness of such agency's activities 
under this part.
    [(c) Federal Evaluation.--The Secretary shall report to the 
President and the Congress on the effectiveness of programs and 
activities assisted under this part in accordance with section 
14701.
    [(d) Prohibition on Funds Being Used for Construction or 
Renovation.--Funds received under this part shall not be used 
for construction or renovation of buildings, rooms, or any 
other facilities.

[SEC. 2402. [20 U.S.C. 6702] DEFINITIONS.

    As used in this title (other than part C)--
          [(1) the term ``core academic subjects'' means those 
        subjects listed in the State plan under title III of 
        the Goals 2000: Educate America Act or under the third 
        National Education Goal as set forth in section 102(3) 
        of such Act;
          [(2) the term ``performance indicators'' means 
        measures of specific outcomes that the State or local 
        educational agency identifies as assessing progress 
        toward the goal of ensuring that all teachers have the 
        knowledge and skills necessary to assist their students 
        to meet challenging State content standards and 
        challenging State student performance standards in the 
        core academic subjects, such as--
                  [(A) the degree to which licensure 
                requirements are tied to challenging State 
                content standards and challenging State student 
                performance standards;
                  [(B) specific increases in the number of 
                elementary and secondary teachers with strong 
                content backgrounds in the core academic 
                subjects;
                  [(C) incorporating effective strategies, 
                techniques, methods, and practices for meeting 
                the educational needs of diverse students, 
                including females, minorities, individuals with 
                disabilities, limited English proficient 
                individuals, and economically disadvantaged 
                individuals, in order to ensure that all 
                students have the opportunity to achieve 
                challenging student performance standards;
                  [(D) specific increases in the number of 
                teachers who are certified by the National 
                Board for Professional Teaching Standards or 
                other nationally recognized professional 
                teacher enhancement organizations; and
                  [(E) specific increases in the number of 
                teachers licensed in each core academic 
                subject;
          [(3) the term ``sustained and intensive high-quality 
        professional development'' means professional 
        development activities that--
                  [(A) are tied to challenging State content 
                standards, challenging State student 
                performance standards, voluntary national 
                content standards or voluntary national student 
                performance standards;
                  [(B) reflect up-to-date research in teaching 
                and learning and include integrated content and 
                pedagogical components appropriate for students 
                with diverse learning needs;
                  [(C) incorporate effective strategies, 
                techniques, methods, and practices for meeting 
                the educational needs of diverse students, 
                including females, minorities, individuals with 
                disabilities, limited English proficient 
                individuals, and economically disadvantaged 
                individuals, in order to ensure that all 
                students have the opportunity to achieve 
                challenging student performance standards;
                  [(D) are of sufficient intensity and duration 
                to have a positive and lasting impact on the 
                teacher's performance in the classroom or the 
                administrator's performance on the job; and
                  [(E) recognize teachers as an important 
                source of knowledge that should inform and help 
                shape professional development; and
          [(4) the term ``local'', when used with respect to 
        standards, means challenging content and student 
        performance standards in the core academic subjects (in 
        addition to challenging State content and student 
        performance standards approved by the State for title 
        I).]

           *       *       *       *       *       *       *


SEC. 2601. PROHIBITION ON MANDATORY NATIONAL CERTIFICATION OR LICENSING 
                    OF TEACHERS.

    (a) Prohibition on Mandatory Testing, Certification, or 
Licensing.--Notwithstanding any other provision of law, the 
Secretary may not use Federal funds to plan, develop, 
implement, or administer any mandatory national teacher test or 
mandatory method of certification or licensing.
    (b) Prohibition on Withholding Funds.--The Secretary may 
not withhold funds from any State or local educational agency 
if such State or local educational agency fails to adopt a 
specific method of teacher certification or licensing.

SEC. 2602. HOME SCHOOLS.

    Nothing in this title shall be construed to permit, allow, 
encourage, or authorize any Federal control over any aspect of 
any private, religious, or home school, whether a home school 
is treated as a private school or home school under the law of 
the State involved, except that the Secretary may require that 
funds provided to a school under this title be used for the 
purposes described in this title. This section shall not be 
construed to bar private, religious, or home schools from 
participating in or receiving programs or services under this 
title.

                  [TITLE III--TECHNOLOGY FOR EDUCATION

[SEC. 3101. [20 U.S.C. 6801] SHORT TITLE.

  [This title may be cited as the ``Technology for Education 
Act of 1994''.

           [PART A--TECHNOLOGY FOR EDUCATION OF ALL STUDENTS

[SEC. 3111. [20 U.S.C. 6811] FINDINGS.

  [The Congress finds that--
          [(1) technology can produce far greater opportunities 
        for all students to learn to high standards, promote 
        efficiency and effectiveness in education, and help 
        propel our Nation's school systems into very immediate 
        and dramatic reform, without which our Nation will not 
        meet the National Education Goals by the target year 
        2000;
          [(2) the use of technology as a tool in the teaching 
        and learning process is essential to the development 
        and maintenance of a technologically literate citizenry 
        and an internationally competitive workforce;
          [(3) the acquisition and use of technology in 
        education throughout the United States has been 
        inhibited by--
                  [(A) the absence of Federal leadership;
                  [(B) the inability of many State and local 
                educational agencies to invest in and support 
                needed technologies;
                  [(C) the limited exposure of students and 
                teachers to the power of technology as a cost-
                effective tool to improve student learning and 
                achievement;
                  [(D) the lack of appropriate electrical and 
                telephone connections in the classroom; and
                  [(E) the limited availability of appropriate 
                technology-enhanced curriculum, instruction, 
                professional development, and administrative 
                support resources and services in the 
                educational marketplace;
          [(4) policies at the Federal, State, and local levels 
        concerning technology in education must address 
        disparities in the availability of technology to 
        different groups of students, give priority to serving 
        students in greatest need, and recognize that 
        educational telecommunications and technology can 
        address educational equalization concerns and school 
        restructuring needs by providing universal access to 
        high-quality teaching and programs, particularly in 
        urban and rural areas;
          [(5) the increasing use of new technologies and 
        telecommunications systems in business has increased 
        the gap between schooling and work force preparation, 
        and underscores the need for technology policies at the 
        Federal, State, tribal, and local levels that address 
        preparation for school-to-work transitions;
          [(6) technology can enhance the ongoing professional 
        development of teachers and administrators by providing 
        constant access to updated research in teaching and 
        learning by means of telecommunications, and, through 
        exposure to technology advancements, keep teachers and 
        administrators excited and knowledgeable about 
        unfolding opportunities for the classroom;
          [(7) planned and creative uses of technology, 
        combined with teachers adequately trained in the use of 
        technology, can reshape our Nation's traditional method 
        of providing education and empower teachers to create 
        an environment in which students are challenged through 
        rigorous, rich classroom instruction provided at a pace 
        suited to each student's learning style, and in which 
        students have increased opportunities to develop higher 
        order thinking and technical skills;
          [(8) schools need new ways of financing the 
        acquisition and maintenance of educational technology;
          [(9) the needs for educational technology differ from 
        State to State;
          [(10) technology can provide students, parents, 
        teachers, other education professionals, communities, 
        and industry with increased opportunities for 
        partnerships and with increased access to information, 
        instruction, and educational services in schools and 
        other settings, including homes, libraries, preschool 
        and child-care facilities, adult and family education 
        programs, and postsecondary institutions;
          [(11) the Department, consistent with the overall 
        national technology policy established by the 
        President, must assume a vital leadership and 
        coordinating role in developing the national vision and 
        strategy to infuse advanced technology throughout all 
        educational programs;
          [(12) Federal support can ease the burden at the 
        State and local levels by enabling the acquisition of 
        advanced technology and initiating the development of 
        teacher training and support as well as new educational 
        products;
          [(13) leadership at the Federal level should consider 
        guidelines to ensure that educational technology is 
        accessible to all users with maximum interoperability 
        nationwide;
          [(14) the rapidly changing nature of technology 
        requires coordination and flexibility in Federal 
        leadership; and
          [(15) technology has the potential to assist and 
        support the improvement of teaching and learning in 
        schools and other settings.

SEC. 3112. [20 U.S.C. 6812] STATEMENT OF PURPOSE.

  [The purpose of this part is to support a comprehensive 
system for the acquisition and use by elementary and secondary 
schools in the United States of technology and technology-
enhanced curricula, instruction, and administrative support 
resources and services to improve the delivery of educational 
services. Such system shall include--
          [(1) national leadership with respect to the need 
        for, and the provision of, appropriate technology-
        enhanced curriculum, instruction, and administrative 
        programs to improve learning in the United States, and 
        to promote equal access for all students to educational 
        opportunities in order to achieve the National 
        Education Goals by the year 2000;
          [(2) funding mechanisms which will support the 
        development, interconnection, implementation, 
        improvement, and maintenance of an effective 
        educational technology infrastructure, including 
        activities undertaken by State and local educational 
        agencies to promote and provide equipment, training for 
        teachers and school library and media personnel, and 
        technical support;
          [(3) support for technical assistance, professional 
        development, information and resource dissemination, in 
        order to help States, local educational agencies, 
        teachers, school library and media personnel, and 
        administrators successfully integrate technology into 
        kindergarten through 12th grade classrooms and library 
        media centers;
          [(4) support for the development of educational and 
        instructional programming in core subject areas, which 
        shall address the National Education Goals;
          [(5) strengthening and building upon, but not 
        duplicating, existing telecommunications 
        infrastructures dedicated to educational purposes;
          [(6) development and evaluation of new and emerging 
        educational technologies, telecommunications networks, 
        and state-of-the-art educational technology products 
        that promote the use of advanced technologies in the 
        classroom and school library media center;
          [(7) assessment data regarding state-of-the-art uses 
        of technologies in United States education upon which 
        commercial and noncommercial telecommunications 
        entities, and governments can rely for decisionmaking 
        about the need for, and provision of, appropriate 
        technologies for education in the United States;
          [(8) ensuring that uses of educational technology are 
        consistent with the overall national technology policy 
        established by the President, and ensuring that Federal 
        technology-related policies and programs will 
        facilitate the use of technology in education;
          [(9) ensuring that activities supported under this 
        part will form the basis for sound State and local 
        decisions about investing in, sustaining, and expanding 
        uses of technology in education;
          [(10) establishing working guidelines to ensure 
        maximum interoperability nationwide and ease of access 
        for the emerging technologies so that no school system 
        will be excluded from the technological revolution;
          [(11) ensuring that, as technological advances are 
        made, the educational uses of these advances are 
        considered and their applications are developed; and
          [(12) encouragement of collaborative relationships 
        among the State agency for higher education, the State 
        library administrative agency, the State 
        telecommunications agency, and the State educational 
        agency, in the area of technology support to strengthen 
        the system of education.

[SEC. 3113. [20 U.S.C. 6813] DEFINITIONS.

  [For purposes of this title--
          [(1) the term ``adult education'' has the same 
        meaning given such term by section 203 of the Adult 
        Education and Family Literacy Act;
          [(2) the term ``all students'' means students from a 
        broad range of backgrounds and circumstances, including 
        disadvantaged students, students with diverse racial, 
        ethnic, and cultural backgrounds, students with 
        disabilities, students with limited English 
        proficiency, students who have dropped out of school, 
        and academically talented students;
          [(3) the term ``information infrastructure'' means a 
        network of communication systems designed to exchange 
        information among all citizens and residents of the 
        United States;
          [(4) the term ``instructional programming'' means the 
        full range of audio and video data, text, graphics, or 
        additional state-of-the-art communications, including 
        multimedia based resources distributed through 
        interactive, command and control, or passive methods 
        for the purpose of education and instruction;
          [(5) the terms ``interoperable'' and 
        ``interoperability'' mean the ability to exchange 
        easily data with, and connect to, other hardware and 
        software in order to provide the greatest accessibility 
        for all students and other users;
          [(6) the term ``Office'' means the Office of 
        Educational Technology;
          [(7) the term ``public telecommunications entity'' 
        has the same meaning given to such term by section 
        397(12) of the Communications Act of 1934;
          [(8) the term ``regional educational laboratory'' 
        means a regional educational laboratory supported under 
        section 941(h) of the Educational, Research, 
        Development, Dissemination, and Improvement Act of 
        1994;
          [(9) the term ``State educational agency'' includes 
        the Bureau of Indian Affairs for purposes of serving 
        schools funded by the Bureau of Indian Affairs in 
        accordance with this part;
          [(10) the term ``State library administrative 
        agency'' has the same meaning given to such term in 
        section 3 of the Library Services and Construction Act; 
        and
          [(11) the term ``technology'' means state-of-the-art 
        technology products and services, such as closed 
        circuit television systems, educational television and 
        radio programs and services, cable television, 
        satellite, copper and fiber optic transmission, 
        computer hardware and software, video and audio laser 
        and CD-ROM discs, and video and audio tapes.

[SEC. 3114. [20 U.S.C. 6814] AUTHORIZATION OF APPROPRIATIONS; FUNDING 
                    RULE.

  [(a) Authorization of Appropriations.--
          [(1) Subparts 1, 2, and 3.--There are authorized to 
        be appropriated $200,000,000 for fiscal year 1995 and 
        such sums as may be necessary for each of the four 
        succeeding fiscal years to carry out subparts 1, 2, and 
        3, of which--
                  [(A)(i) $3,000,000 shall be available to 
                carry out subpart 1 (National Programs for 
                Technology in Education) for any such year for 
                which the amount appropriated under this 
                subsection is less than $75,000,000; and
                  [(ii) $5,000,000 shall be available to carry 
                out subpart 1 for any such year for which the 
                amount appropriated under this subsection is 
                equal to or greater than $75,000,000;
                  [(B) $10,000,000 shall be available to carry 
                out subpart 3 (Regional Technical Support and 
                Professional Development) for each such year; 
                and
                  [(C) the remainder shall be available to 
                carry out subpart 2 (State and Local Programs 
                for School Technology Resources) for each such 
                year.
          [(2) Subpart 4.--For the purpose of carrying out 
        subpart 4, 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.
  [(b) Funding Rule.--
          [(1) Appropriations of less than $75,000,000.--For 
        any fiscal year for which the amount appropriated under 
        subsection (a)(1) is less than $75,000,000, from the 
        remainder of funds made available under subsection 
        (a)(1)(C) the Secretary shall award grants for the 
        National Challenge Grants in accordance with section 
        3136.
          [(2) Appropriations equal to or greater than 
        $75,000,000.--For any fiscal year for which the amount 
        appropriated under subsection (a)(1) is equal to or 
        greater than $75,000,000, from the remainder of funds 
        made available under subsection (a)(1)(C) the Secretary 
        shall award grants to State educational agencies from 
        allotments under section 3131, except that the 
        Secretary may reserve, from such remainder, such funds 
        as the Secretary determines necessary to meet 
        outstanding obligations for such fiscal year to 
        continue the National Challenge Grants for Technology 
        awarded under section 3136.

[SEC. 3115. [20 U.S.C. 6815] LIMITATION ON COSTS.

  [Not more than 5 percent of the funds under this part that 
are made available to a recipient of funds under this part for 
any fiscal year may be used by such recipient for 
administrative costs or technical assistance.

       [Subpart 1--National Programs for Technology in Education

[SEC. 3121. [20 U.S.C. 6831] NATIONAL LONG-RANGE TECHNOLOGY PLAN.

  [(a) In General.--The Secretary shall develop and publish not 
later than 12 months after the date of the enactment of the 
Improving America's Schools Act of 1994, and update when the 
Secretary determines appropriate, a national long-range plan 
that supports the overall national technology policy and 
carries out the purposes of this part.
  [(b) Plan Requirements.--The Secretary shall--
          [(1) develop the national long-range plan in 
        consultation with other Federal departments or 
        agencies, State and local education practitioners and 
        policymakers, experts in technology and the 
        applications of technology to education, 
        representatives of distance learning consortia, 
        representatives of telecommunications partnerships 
        receiving assistance under the Star Schools Act, and 
        providers of technology services and products;
          [(2) transmit such plan to the President and to the 
        appropriate committees of the Congress; and
          [(3) publish such plan in a form that is readily 
        accessible to the public.
  [(c) Contents of the Plan.--The national long-range plan 
shall describe the Secretary's activities to promote the 
purposes of this title, including--
          [(1) how the Secretary will encourage the effective 
        use of technology to provide all students the 
        opportunity to achieve State content standards and 
        State student performance standards, especially through 
        programs administered by the Department;
          [(2) joint activities in support of the overall 
        national technology policy with other Federal 
        departments or agencies, such as the Office of Science 
        and Technology Policy, the National Endowment for the 
        Humanities, the National Endowment for the Arts, the 
        National Institute for Literacy, the National 
        Aeronautics and Space Administration, the National 
        Science Foundation, the Bureau of Indian Affairs, and 
        the Departments of Commerce, Energy, Health and Human 
        Services, and Labor--
                  [(A) to promote the use of technology in 
                education, training, and lifelong learning, 
                including plans for the educational uses of a 
                national information infrastructure; and
                  [(B) to ensure that the policies and programs 
                of such departments or agencies facilitate the 
                use of technology for educational purposes, to 
                the extent feasible;
          [(3) how the Secretary will work with educators, 
        State and local educational agencies, and appropriate 
        representatives of the private sector to facilitate the 
        effective use of technology in education;
          [(4) how the Secretary will promote--
                  [(A) higher achievement of all students 
                through the integration of technology into the 
                curriculum;
                  [(B) increased access to the benefits of 
                technology for teaching and learning for 
                schools with a high number or percentage of 
                children from low-income families;
                  [(C) the use of technology to assist in the 
                implementation of State systemic reform 
                strategies;
                  [(D) the application of technological 
                advances to use in education;
                  [(E) increased access to high quality adult 
                and family education services through the use 
                of technology for instruction and professional 
                development; and
                  [(F) increased opportunities for the 
                professional development of teachers in the use 
                of new technologies;
          [(5) how the Secretary will determine, in 
        consultation with appropriate individuals, 
        organizations, industries, and agencies, the 
        feasibility and desirability of establishing guidelines 
        to facilitate an easy exchange of data and effective 
        use of technology in education;
          [(6) how the Secretary will promote the exchange of 
        information among States, local educational agencies, 
        schools, consortia, and other entities concerning the 
        effective use of technology in education;
          [(7) how the Secretary will utilize the outcomes of 
        the evaluation undertaken pursuant to section 3123 to 
        promote the purposes of this part; and
          [(8) the Secretary's long-range measurable goals and 
        objectives relating to the purposes of this part.

[SEC. 3122. [20 U.S.C. 6832] FEDERAL LEADERSHIP.

  [(a) Program Authorized.--In order to provide Federal 
leadership in promoting the use of technology in education, the 
Secretary, in consultation with the National Science 
Foundation, the Department of Commerce, the United States 
National Commission on Libraries and Information Sciences, and 
other appropriate Federal agencies, may carry out activities 
designed to achieve the purposes of this part directly or by 
awarding grants or contracts competitively and pursuant to a 
peer review process to, or entering into contracts with, State 
educational agencies, local educational agencies, institutions 
of higher education, or other public and private nonprofit or 
for-profit agencies and organizations.
  [(b) Assistance.--
          [(1) In general.--The Secretary shall provide 
        assistance to the States to enable such States to plan 
        effectively for the use of technology in all schools 
        throughout the State in accordance with the purpose and 
        requirements of section 317 of the Goals 2000: Educate 
        America Act.
          [(2) Other federal agencies.--For the purpose of 
        carrying out coordinated or joint activities consistent 
        with the purposes of this part, the Secretary may 
        accept funds from, and transfer funds to, other Federal 
        agencies.
  [(c) Uses of Funds.--The Secretary shall use funds made 
available to carry out this section for activities designed to 
carry out the purpose of this part, such as--
          [(1) providing assistance to technical assistance 
        providers to enable such providers to improve 
        substantially the services such providers offer to 
        educators regarding the uses of technology for 
        education, including professional development;
          [(2) providing development grants to technical 
        assistance providers, to enable such providers to 
        improve substantially the services such providers offer 
        to educators on the educational uses of technology, 
        including professional development;
          [(3) consulting with representatives of industry, 
        elementary and secondary education, higher education, 
        adult and family education, and appropriate experts in 
        technology and educational applications of technology 
        in carrying out activities under this subpart;
          [(4) research on, and the development of, guidelines 
        to facilitate maximum interoperability, efficiency and 
        easy exchange of data for effective use of technology 
        in education;
          [(5) research on, and the development of, 
        applications for education of the most advanced and 
        newly emerging technologies which research shall be 
        coordinated, when appropriate, with the Office of 
        Educational Research and Improvement, and other Federal 
        agencies;
          [(6) the development, demonstration, and evaluation 
        of the educational aspects of high performance 
        computing and communications technologies and of the 
        national information infrastructure, in providing 
        professional development for teachers, school 
        librarians, and other educators; enriching academic 
        curricula for elementary and secondary schools; 
        facilitating communications among schools, local 
        educational agencies, libraries, parents, and local 
        communities and in other such areas as the Secretary 
        deems appropriate;
          [(7) the development, demonstration, and evaluation 
        of applications of existing technology in preschool 
        education, elementary and secondary education, training 
        and lifelong learning, and professional development of 
        educational personnel;
          [(8) the development and evaluation of software and 
        other products, including multimedia television 
        programming, that incorporate advances in technology 
        and help achieve the National Education Goals, State 
        content standards and State student performance 
        standards;
          [(9) the development, demonstration, and evaluation 
        of model strategies for preparing teachers and other 
        personnel to use technology effectively to improve 
        teaching and learning;
          [(10) the development of model programs that 
        demonstrate the educational effectiveness of technology 
        in urban and rural areas and economically distressed 
        communities;
          [(11) research on, and the evaluation of, the 
        effectiveness and benefits of technology in education;
          [(12) a biennial assessment of, and report to the 
        public regarding, the uses of technology in elementary 
        and secondary education throughout the United States 
        upon which private businesses and Federal, State, 
        tribal, and local governments may rely for 
        decisionmaking about the need for, and provision of, 
        appropriate technologies in schools, which assessment 
        and report shall use, to the extent possible, existing 
        information and resources;
          [(13) conferences on, and dissemination of 
        information regarding, the uses of technology in 
        education;
          [(14) the development of model strategies to promote 
        gender equity concerning access to, and the use of, 
        technology in the classroom;
          [(15) encouraging collaboration between the 
        Department and other Federal agencies in the 
        development, implementation, evaluation and funding of 
        applications of technology for education, as 
        appropriate; and
          [(16) such other activities as the Secretary 
        determines will meet the purposes of this subpart.
  [(d) Non-Federal Share.--
          [(1) In general.--Subject to paragraphs (2) and (3), 
        the Secretary may require any recipient of a grant or 
        contract under this section to share in the cost of the 
        activities assisted under such grant or contract, which 
        non-Federal share shall be announced through a notice 
        in the Federal Register and may be in the form of cash 
        or in-kind contributions, fairly valued.
          [(2) Increase.--The Secretary may increase the non-
        Federal share that is required of a recipient of a 
        grant or contract under this section after the first 
        year such recipient receives funds under such grant or 
        contract.
          [(3) Maximum.--The non-Federal share required under 
        this section shall not exceed 50 percent of the cost of 
        the activities assisted pursuant to a grant or contract 
        under this section.

[SEC. 3123. [20 U.S.C. 6833] STUDY, EVALUATION AND REPORT OF FUNDING 
                    ALTERNATIVES.

  [The Secretary, through the Office of Educational Technology, 
shall conduct a study to evaluate, and report to the Congress 
on, the feasibility of several alternative models for providing 
sustained and adequate funding for schools throughout the 
United States so that such schools are able to acquire and 
maintain technology-enhanced curriculum, instruction, and 
administrative support resources and services. Such report 
shall be submitted to the Congress not later than one year 
after the date of enactment of the Improving America's Schools 
Act of 1994.

  [Subpart 2--State and Local Programs for School Technology Resources

[SEC. 3131. [20 U.S.C. 6841] ALLOTMENT AND REALLOTMENT.

  [(a) Allotment.--
          [(1) In general.--Except as provided in paragraph 
        (2), each State educational agency shall be eligible to 
        receive a grant under this subpart for a fiscal year in 
        an amount which bears the same relationship to the 
        amount made available under section 3114(a)(1)(C) for 
        such year as the amount such State received under part 
        A of title I for such year bears to the amount received 
        for such year under such part by all States.
          [(2) Minimum.--No State educational agency shall be 
        eligible to receive a grant under paragraph (1) in any 
        fiscal year in an amount which is less than one-half of 
        one percent of the amount made available under section 
        3115(a)(1)(C) for such year.
  [(b) Reallotment of Unused Funds.--
          [(1) In general.--The amount of any State educational 
        agency's allotment under subsection (a) for any fiscal 
        year which the Secretary determines will not be 
        required for such fiscal year to carry out this subpart 
        shall be available for reallotment from time to time, 
        on such dates during such year asthe Secretary may 
determine, to other State educational agencies in proportion to the 
original allotments to such State educational agencies under subsection 
(a) for such year, but with such proportionate amount for any of such 
other State educational agencies being reduced to the extent such 
amount exceeds the sum the Secretary estimates such State needs and 
will be able to use for such year.
          [(2) Other reallotments.--The total of reductions 
        under paragraph (1) shall be similarly reallotted among 
        the State educational agencies whose proportionate 
        amounts were not so reduced. Any amounts reallotted to 
        a State educational agency under this subsection during 
        a year shall be deemed a subpart of such agencies 
        allotment under subsection (a) for such year.

[SEC. 3132. [20 U.S.C. 6842] SCHOOL TECHNOLOGY RESOURCE GRANTS.

  [(a) Grants to States.--
          [(1) In general.--From amounts made available under 
        section 3131, the Secretary, through the Office of 
        Educational Technology, shall award grants to State 
        educational agencies having applications approved under 
        section 3133.
          [(2) Use of grants.--(A) Each State educational 
        agency receiving a grant under paragraph (1) shall use 
        such grant funds to award grants, on a competitive 
        basis, to local educational agencies to enable such 
        local educational agencies to carry out the activities 
        described in section 3134.
          [(B) In awarding grants under subparagraph (A), each 
        State educational agency shall ensure that each such 
        grant is of sufficient duration, and of sufficient 
        size, scope, and quality, to carry out the purposes of 
        this part effectively.
  [(b) Technical Assistance.--Each State educational agency 
receiving a grant under paragraph (1) shall--
          [(1) identify the local educational agencies served 
        by the State educational agency that--
                  [(A) have the highest number or percentage of 
                children in poverty; and
                  [(B) demonstrate to such State educational 
                agency the greatest need for technical 
                assistance in developing the application under 
                section 3133; and
          [(2) offer such technical assistance to such local 
        educational agencies.

[SEC. 3133. [20 U.S.C. 6843] STATE APPLICATION.

  [To receive funds under this subpart, each State educational 
agency shall submit a statewide educational technology plan 
which may include plans submitted under the Goals 2000: Educate 
America Act or other statewide technology plans which meet the 
requirements of this section. Such application shall be 
submitted to the Secretary at such time, in such manner, and 
accompanied by such information as the Secretary may reasonably 
require. Each such application shall contain a systemic 
statewide plan that--
          [(1) outlines long-term strategies for financing 
        technology education in the State and describes how 
        business, industry, and other public and private 
        agencies, including libraries, library literacy 
        programs, and institutions of higher education, can 
        participate in the implementation, ongoing planning, 
        and support of the plan; and
          [(2) meets such other criteria as the Secretary may 
        establish in order to enable such agency to provide 
        assistance to local educational agencies that have the 
        highest numbers or percentages of children in poverty 
        and demonstrate the greatest need for technology, in 
        order to enable such local educational agencies, for 
        the benefit of school sites served by such local 
        educational agencies, to carry out activities such as--
                  [(A) purchasing quality technology resources;
                  [(B) installing various linkages necessary to 
                acquire connectivity;
                  [(C) integrating technology into the 
                curriculum in order to improve student learning 
                and achievement;
                  [(D) providing teachers and library media 
                personnel with training or access to training;
                  [(E) providing administrative and technical 
                support and services that improve student 
                learning through enriched technology-enhanced 
                resources, including library media resources;
                  [(F) promoting in individual schools the 
                sharing, distribution, and application of 
                educational technologies with demonstrated 
                effectiveness;
                  [(G) assisting schools in promoting parent 
                involvement;
                  [(H) assisting the community in providing 
                literacy-related services;
                  [(I) establishing partnerships with private 
                or public educational providers or other 
                entities to serve the needs of children in 
                poverty; and
                  [(J) providing assurances that financial 
                assistance provided under this part shall 
                supplement, not supplant, State and local 
                funds.

[SEC. 3134. [20 U.S.C. 6844] LOCAL USES OF FUNDS.

  [Each local educational agency, to the extent possible, shall 
use the funds made available under section 3132(a)(2) for--
          [(1) developing, adapting, or expanding existing and 
        new applications of technology to support the school 
        reform effort;
          [(2) funding projects of sufficient size and scope to 
        improve student learning and, as appropriate, support 
        professional development, and provide administrative 
        support;
          [(3) acquiring connectivity linkages, resources, and 
        services, including the acquisition of hardware and 
        software, for use by teachers, students and school 
        library media personnel in the classroom or in school 
        library media centers, in order to improve student 
        learning by supporting the instructional program 
        offered by such agency to ensure that students in 
        schools will have meaningful access on a regular basis 
        to such linkages, resources and services;
          [(4) providing ongoing professional development in 
        the integration of quality educational technologies 
        into school curriculum and long-term planning for 
        implementing educational technologies;
          [(5) acquiring connectivity with wide area networks 
        for purposes of accessing information and educational 
        programming sources, particularly with institutions of 
        higher education and public libraries; and
          [(6) providing educational services for adults and 
        families.

[SEC. 3135. [20 U.S.C. 6845] LOCAL APPLICATIONS.

  [Each local educational agency desiring assistance from a 
State educational agency under section 3132(a)(2) shall submit 
an application, consistent with the objectives of the systemic 
statewide plan, to the State educational agency at such time, 
in such manner and accompanied by such information as the State 
educational agency may reasonably require. Such application, at 
a minimum, shall--
          [(1) include a strategic, long-range (three- to five-
        year), plan that includes--
                  [(A) a description of the type of 
                technologies to be acquired, including specific 
                provisions for interoperability among 
                components of such technologies and, to the 
                extent practicable, with existing technologies;
                  [(B) an explanation of how the acquired 
                technologies will be integrated into the 
                curriculum to help the local educational agency 
                enhance teaching, training, and student 
                achievement;
                  [(C) an explanation of how programs will be 
                developed in collaboration with existing adult 
                literacy services providers to maximize the use 
                of such technologies;
                  [(D)(i) a description of how the local 
                educational agency will ensure ongoing, 
                sustained professional development for 
                teachers, administrators, and school library 
                media personnel served by the local educational 
                agency to further the use of technology in the 
                classroom or library media center; and
                  [(ii) a list of the source or sources of 
                ongoing training and technical assistance 
                available to schools, teachers and 
                administrators served by the local educational 
                agency, such as State technology offices, 
                intermediate educational support units, 
                regional educational laboratories or 
                institutions of higher education;
                  [(E) a description of the supporting 
                resources, such as services, software and print 
                resources, which will be acquired to ensure 
                successful and effective use of technologies 
                acquired under this section;
                  [(F) the projected timetable for implementing 
                such plan in schools;
                  [(G) the projected cost of technologies to be 
                acquired and related expenses needed to 
                implement such plan; and
                  [(H) a description of how the local 
                educational agency will coordinate the 
                technology provided pursuant to this subpart 
                with other grant funds available for technology 
                from State and local sources;
          [(2) describe how the local educational agency will 
        involve parents, public libraries, business leaders and 
        community leaders in the development of such plan;
          [(3) describe how the acquired instructionally based 
        technologies will help the local educational agency--
                  [(A) promote equity in education in order to 
                support State content standards and State 
                student performance standards that may be 
                developed; and
                  [(B) provide access for teachers, parents and 
                students to the best teaching practices and 
                curriculum resources through technology; and
          [(4) describe a process for the ongoing evaluation of 
        how technologies acquired under this section--
                  [(A) will be integrated into the school 
                curriculum; and
                  [(B) will affect student achievement and 
                progress toward meeting the National Education 
                Goals and any challenging State content 
                standards and State student performance 
                standards that may be developed.
  [(d) Formation of Consortia.--A local educational agency for 
any fiscal year may apply for financial assistance as part of a 
consortium with other local educational agencies, institutions 
of higher education, intermediate educational units, libraries, 
or other educational entities appropriate to provide local 
programs. The State educational agency may assist in the 
formation of consortia among local educational agencies, 
providers of educational services for adults and families, 
institutions of higher education, intermediate educational 
units, libraries, or other appropriate educational entities to 
provide services for the teachers and students in a local 
educational agency at the request of such local educational 
agency.
  [(e) Coordination of Application Requirements.--If a local 
educational agency submitting an application for assistance 
under this section has developed a comprehensive education 
improvement plan, in conjunction with requirements under this 
Act or the Goals 2000: Educate America Act, the State 
educational agency may approve such plan, or a component of 
such plan, notwithstanding the requirements of subsection (e) 
if the State educational agency determines that such approval 
would further the purposes of this subpart.

[SEC. 3136. [20 U.S.C. 6846] NATIONAL CHALLENGE GRANTS FOR TECHNOLOGY 
                    IN EDUCATION.

  [(a) Grants Authorized.--
          [(1) In general.--From amounts made available under 
        section 3115(b)(1) for any fiscal year the Secretary is 
        authorized to award grants, on a competitive basis, to 
        consortia having applications approved under subsection 
        (d), which consortia shall include at least one local 
        educational agency with a high percentage or number of 
        children living below the poverty line and may include 
        other local educational agencies, State educational 
        agencies, institutions of higher education, businesses, 
        academic content experts, software designers, museums, 
        libraries, or other appropriate entities.
          [(2) Duration.--Grants under this section shall be 
        awarded for a period of 5 years.
  [(b) Use of Grants.--Grants awarded under subsection (a) 
shall be used for activities similar to the activities 
described in section 3134.
  [(c) Priority.--In awarding grants under this section, the 
Secretary shall give priority to consortia which demonstrate in 
the application submitted under subsection (d) that--
          [(1) the project for which assistance is sought is 
        designed to serve areas with a high number or 
        percentage of disadvantaged students or the greatest 
        need for educational technology;
          [(2) the project will directly benefit students by, 
        for example, integrating the acquired technologies into 
        curriculum to help the local educational agency enhance 
        teaching, training, and student achievement;
          [(3) the project will ensure ongoing, sustained 
        professional development for teachers, administrators, 
        and school library media personnel served by the local 
        educational agency to further the use of technology in 
        the classroom or library media center;
          [(4) the project will ensure successful, effective, 
        and sustainable use of technologies acquired under this 
        subsection; and
          [(5) members of the consortia or other appropriate 
        entities will contribute substantial financial and 
        other resources to achieve the goals of the project.
  [(d) Application.--Each local educational agency desiring a 
grant under this section shall submit an application to the 
Secretary at such time, in such manner, and accompanied by such 
information as the Secretary may reasonably require.

[SEC. 3137. [20 U.S.C. 6847] FEDERAL ADMINISTRATION.

  [(a) Evaluation Procedures.--The Secretary shall develop 
procedures for State and local evaluations of the programs 
under this subpart.
  [(b) Evaluation Summary.--The Secretary shall submit to the 
Congress four years after the enactment of the Improving 
America's Schools Act of 1994 a summary of the State 
evaluations of programs under this subpart in accordance with 
the provisions of section 14701.

  [Subpart 3--Regional Technical Support and Professional Development

[SEC. 3141. [20 U.S.C. 6861] REGIONAL TECHNICAL SUPPORT AND 
                    PROFESSIONAL DEVELOPMENT.

  [(a) Grants Authorized.--
          [(1) Authority.--The Secretary, through the Office of 
        Educational Technology, shall make grants in accordance 
        with the provisions of this section, to regional 
        entities such as the Eisenhower Mathematics and Science 
        Regional Consortia under part C of title XIII, the 
        regional education laboratories, the comprehensive 
        regional assistance centers, or such other regional 
        entities as may be designated or established by the 
        Secretary. In awarding grants under this section, the 
        Secretary shall give priority to such consortia and 
        shall ensure that each geographic region of the United 
        States shall be served by such a consortium.
          [(2) Requirements.--Each consortium receiving a grant 
        under this section shall--
                  [(A) be composed of State educational 
                agencies, institutions of higher education, 
                nonprofit organizations, or a combination 
                thereof;
                  [(B) in cooperation with State and local 
                educational agencies, develop a regional 
                program that addresses professional 
                development, technical assistance, and 
                information resource dissemination, with 
                special emphasis on meeting the documented 
                needs of educators and learners in the region; 
                and
                  [(C) foster regional cooperation and resource 
                and coursework sharing.
  [(b) Functions.--
          [(1) Technical assistance.--Each consortium receiving 
        a grant under this section shall, to the extent 
        practicable--
                  [(A) collaborate with State educational 
                agencies and local educational agencies 
                requesting collaboration, particularly in the 
                development of strategies for assisting those 
                schools with the highest numbers or percentages 
                of disadvantaged students with little or no 
                access to technology in the classroom;
                  [(B) provide information, in coordination 
                with information available from the Secretary, 
                to State educational agencies, local 
                educational agencies, schools and adult 
                education programs, on the types and features 
                of various educational technology equipment and 
                software available, evaluate and make 
                recommendations on equipment and software that 
                support the National Education Goals and are 
                suited for a school's particular needs, and 
                compile and share information regarding 
                creative and effective applications of 
                technology in the classroom and school library 
                media centers in order to support the purposes 
                of this part;
                  [(C) collaborate with such State educational 
                agencies, local educational agencies, or 
                schools requesting to participate in the 
                tailoring of software programs and other 
                supporting materials to meet challenging State 
                content standards or challenging State student 
                performance standards that may be developed; 
                and
                  [(D) provide technical assistance to 
                facilitate use of the electronic dissemination 
                networks by State and local educational 
                agencies and schools throughout the region.
          [(2) Professional development.--Each consortium 
        receiving a grant under this section shall, to the 
        extent practicable--
                  [(A) develop and implement, in collaboration 
                with State educational agencies and 
                institutions of higher education, technology-
                specific, ongoing professional development, 
                such as--
                          [(i) intensive school year and summer 
                        workshops that use teachers, school 
                        librarians, and school library 
                        personnel to train other teachers, 
                        school librarians, and other school 
                        library media personnel; and
                          [(ii) distance professional 
                        development, including--
                                  [(I) interactive training 
                                tele-courses using researchers, 
                                educators, and 
                                telecommunications personnel 
                                who have experience in 
                                developing, implementing, or 
                                operating educational and 
                                instructional technology as a 
                                learning tool;
                                  [(II) onsite courses teaching 
                                teachers to use educational and 
                                instructional technology and to 
                                develop their own instructional 
                                materials for effectively 
                                incorporating technology and 
                                programming in their own 
                                classrooms;
                                  [(III) methods for successful 
                                integration of instructional 
                                technology into the curriculum 
                                in order to improve student 
                                learning and achievement;
                                  [(IV) video conferences and 
                                seminars which offer 
                                professional development 
                                through peer interaction with 
                                experts as well as other 
                                teachers using technologies in 
                                their classrooms; and
                                  [(V) mobile education 
                                technology and training 
                                resources;
                  [(B) develop training resources that--
                          [(i) are relevant to the needs of the 
                        region and schools within the region;
                          [(ii) are relevant to the needs of 
                        adult literacy staff and volunteers, 
                        including onsite courses on how to--
                                  [(I) use instructional 
                                technology; and
                                  [(II) develop instructional 
                                materials for adult learning; 
                                and
                          [(iii) are aligned with the needs of 
                        teachers and administrators in the 
                        region;
                  [(C) establish a repository of professional 
                development and technical assistance resources;
                  [(D) identify and link technical assistance 
                providers to State and local educational 
                agencies, as needed;
                  [(E) ensure that training, professional 
                development, and technical assistance meet the 
                needs of educators, parents, and students 
                served by the region;
                  [(F) assist colleges and universities within 
                the region to develop and implement preservice 
                training programs for students enrolled in 
                teacher education programs; and
                  [(G) assist local educational agencies and 
                schools in working with community members and 
                parents to develop support from communities and 
                parents for educational technology programs and 
                projects.
          [(3) Information and resource dissemination.--Each 
        consortium receiving a grant under this section shall, 
        to the extent practicable--
                  [(A) assist State and local educational 
                agencies in the identification and procurement 
                of financial, technological and human resources 
                needed to implement technology plans;
                  [(B) provide outreach and, at the request of 
                a State or local educational agency, work with 
                such agency to assist in the development and 
                validation of instructionally based technology 
                education resources; and
                  [(C) coordinate activities and establish 
                partnerships with organizations and 
                institutions of higher education that represent 
                the interests of the region as such interests 
                pertain to the application of technology in 
                teaching, learning, instructional management, 
                dissemination, collection and distribution of 
                educational statistics, and the transfer of 
                student information.
          [(4) Coordination.--Each consortium receiving a grant 
        under this section shall work collaboratively, and 
        coordinate the services the consortium provides, with 
        appropriate regional and other entities assisted in 
        whole or in part by the Department.

                     Subpart 4--Product Development

SEC. 3151. [20 U.S.C. 6871] EDUCATIONAL TECHNOLOGY PRODUCT DEVELOPMENT.

    [(a) Purpose.--It is the purpose of this subpart to--
          [(1) support development of curriculum-based learning 
        resources using state-of-the-art technologies and 
        techniques designed to improve student learning; and
          [(2) support development of long-term comprehensive 
        instructional programming and associated support 
        resources that ensure maximum access by all educational 
        institutions.
    [(b) Federal Assistance Authorized.--
          [(1) In general.--The Secretary shall provide 
        assistance, on a competitive basis, to eligible 
        consortia to enable such entities to develop, produce, 
        and distribute state-of-the-art technology-enhanced 
        instructional resources and programming for use in the 
        classroom or to support professional development for 
        teachers.
          [(2) Grants and loans authorized.--In carrying out 
        the purposes of this section, the Secretary is 
        authorized to pay the Federal share of the cost of the 
        development, production, and distribution of state-of-
        the-art technology enhanced instructional resources and 
        programming--
                  [(A) by awarding grants to, or entering into 
                contracts or cooperative agreements with, 
                eligible consortia; or
                  [(B) by awarding loans to eligible consortia 
                which--
                          [(i) shall be secured in such manner 
                        and be repaid within such period, not 
                        exceeding 20 years, as may be 
                        determined by the Secretary;
                          [(ii) shall bear interest at a rate 
                        determined by the Secretary which shall 
                        be not more than the total of one-
                        quarter of 1 percent per annum added to 
                        the rate of interest paid by the 
                        Secretary on funds obtained from the 
                        Secretary of the Treasury; and
                          [(iii) may be forgiven by the 
                        Secretary, in an amount not to exceed 
                        25 percent of the total loan, under 
                        such terms and conditions as the 
                        Secretary may consider appropriate.
          [(3) Matching requirement.--The Secretary may require 
        any recipient of a grant or contract under this subpart 
        to share in the cost of the activities assisted under 
        such grant or contract, which non-Federal share shall 
        be announced through a notice in the Federal Register 
        and may be in the form of cash or in-kind 
        contributions, fairly valued.
          [(4) Eligible consortium.--For the purpose of this 
        subsection, the term ``eligible consortium'' means a 
        consortium--
                  [(A) that shall include--
                          [(i) a State or local educational 
                        agency; and
                          [(ii) a business, industry, or 
                        telecommunications entity; and
                  [(B) that may include--
                          [(i) a public or private nonprofit 
                        organization; or
                          [(ii) a postsecondary institution.
          [(5) Priorities.--In awarding assistance under this 
        section, the Secretary shall give priority to 
        applications describing programs or systems that--
                  [(A) promote the acquisition of higher-order 
                thinking skills and promise to raise the 
                achievement levels of all students, 
                particularly disadvantaged students who are not 
                realizing their potential;
                  [(B) are aligned with challenging State 
                content standards and State and local 
                curriculum frameworks;
                  [(C) may be adapted and applied nationally at 
                a reasonable cost over a broad technology 
                platform;
                  [(D) convert technology resources developed 
                with support from the Department of Defense and 
                other Federal agencies for effective use in the 
                classroom;
                  [(E) show promise of reducing the costs of 
                providing high-quality instruction;
                  [(F) show promise of expanding access to 
                high-quality instruction in content areas which 
                would otherwise not be available to students in 
                rural and urban communities or who are served 
                by other educational agencies with limited 
                financial resources;
                  [(G) are developed in consultation with 
                classroom teachers;
                  [(H) are developed through consultation and 
                collaboration with appropriate education 
                entities in designing the product to ensure 
                relevance to the voluntary national content 
                standards, the voluntary national student 
                performance standards and State curriculum 
                frameworks; and
                  [(I) are developed so that the product can be 
                adapted for use by adults in need of literacy 
                services, including English as a second 
                language and preparation for a secondary school 
                diploma or its recognized equivalent.
          [(6) Requirements for federal assistance.--Each 
        eligible consortium desiring Federal assistance under 
        this section shall submit an application to the 
        Secretary at such time and in such manner as the 
        Secretary may prescribe. Each application shall 
        include--
                  [(A) a description of how the product will 
                improve the achievement levels of students;
                  [(B) a description of how the activities 
                assisted under this section will promote 
                professional development of teachers and 
                administrators in the uses and applications of 
                the product, including the development of 
                training materials;
                  [(C) a description of design, development, 
                field testing, evaluation, and distribution of 
                products, where appropriate;
                  [(D) an assurance that the product shall 
                effectively serve a significant number or 
                percentage of economically disadvantaged 
                students;
                  [(E) plans for dissemination of products to a 
                wide audience of learners;
                  [(F) a description of how the product can be 
                adapted for use by students with disabilities 
                including provisions for closed captioning or 
                descriptive video, where appropriate;
                  [(G) a description of how ownership and 
                rights to the use and marketing of any product 
                developed by the consortium, including 
                intellectual property rights, will be allocated 
                among consortium participants; and
                  [(H) a description of the contributions, 
                including services and funds, to be made by 
                each member of the consortium, and how any 
                revenues derived from the sale of any product 
                developed by the consortium shall be 
                distributed.
  [(c) Consumer Report.--The Secretary shall provide for the 
independent evaluation of products developed under this section 
and shall disseminate information about products developed 
pursuant to provisions of this section to State and local 
educational agencies, and other organizations or individuals 
that the Secretary determines to be appropriate, through print 
and electronic media that are accessible to the education 
community at large.
  [(d) Proceeds.--The Secretary shall not prohibit an eligible 
consortium or any of the members of such consortium from 
receiving financial benefits from the distribution of any 
products resulting from the assistance received under this 
section. Notwithstanding any other provision of law, any 
profits or royalties received by a State educational agency, 
local educational agency, or other nonprofit member of an 
eligible consortium receiving assistance under this section 
shall be used to support further development of curriculum-
based learning resources, services, and programming or to 
provide access to such products for a wider audience.

                     [PART B--STAR SCHOOLS PROGRAM

[SEC. 3201. [20 U.S.C. 6891] SHORT TITLE.

  [This part may be cited as the ``Star Schools Act''.

[SEC. 3202. [20 U.S.C. 6892] FINDINGS.

  [The Congress finds that--
          [(1) the Star Schools program has helped to encourage 
        the use of distance learning strategies to serve multi-
        State regions primarily by means of satellite and 
        broadcast television;
          [(2) in general, distance learning programs have been 
        used effectively to provide students in small, rural, 
        and isolated schools with courses and instruction, such 
        as science and foreign language instruction, that the 
        local educational agency is not otherwise able to 
        provide; and
          [(3) distance learning programs may also be used to--
                  [(A) provide students of all ages in all 
                types of schools and educational settings with 
                greater access to high-quality instruction in 
                the full range of core academic subjects that 
                will enable such students to meet challenging, 
                internationally competitive, educational 
                standards;
                  [(B) expand professional development 
                opportunities for teachers;
                  [(C) contribute to achievement of the 
                National Education Goals; and
                  [(D) expand learning opportunities for 
                everyone.

[SEC. 3203. [20 U.S.C. 6893] PURPOSE.

  [It is the purpose of this part to encourage improved 
instruction in mathematics, science, and foreign languages as 
well as other subjects, such as literacy skills and vocational 
education, and to serve underserved populations, including the 
disadvantaged, illiterate, limited-English proficient, and 
individuals with disabilities, through a star schools program 
under which grants are made to eligible telecommunication 
partnerships to enable such partnerships to--
          [(1) develop, construct, acquire, maintain and 
        operate telecommunications audio and visual facilities 
        and equipment;
          [(2) develop and acquire educational and 
        instructional programming; and
          [(3) obtain technical assistance for the use of such 
        facilities and instructional programming.

[SEC. 3204. [20 U.S.C. 6894] GRANTS AUTHORIZED.

  [(a) Authority.--The Secretary, through the Office of 
Educational Technology, is authorized to make grants, in 
accordance with the provisions of this part, to eligible 
entities to pay the Federal share of the cost of--
          [(1) the development, construction, acquisition, 
        maintenance and operation of telecommunications 
        facilities and equipment;
          [(2) the development and acquisition of live, 
        interactive instructional programming;
          [(3) the development and acquisition of preservice 
        and inservice teacher training programs based on 
        established research regarding teacher-to-teacher 
        mentoring, effective skill transfer, and ongoing, in-
        class instruction;
          [(4) the establishment of teleconferencing facilities 
        and resources for making interactive training available 
        to teachers;
          [(5) obtaining technical assistance; and
          [(6) the coordination of the design and connectivity 
        of telecommunications networks to reach the greatest 
        number of schools.
  [(b) Duration.--
          [(1) In general.--The Secretary shall award grants 
        pursuant to subsection (a) for a period of 5 years.
          [(2) Renewal.--Grants awarded pursuant to subsection 
        (a) may be renewed for one additional three-year 
        period.
  [(c) Authorization of Appropriations.--
          [(1) In general.--There are authorized to be 
        appropriated $35,000,000 for fiscal year 1995, and such 
        sums as may be necessary for each of the four 
        succeeding fiscal years, to carry out this part.
          [(2) Availability.--Funds appropriated pursuant to 
        the authority of subsection (a) shall remain available 
        until expended.
  [(d) Limitations.--
          [(1) In general.--A grant under this section shall 
        not exceed--
                  [(A) five years in duration; and
                  [(B) $10,000,000 in any one fiscal year.
          [(2) Instructional programming.--Not less than 25 
        percent of the funds available to the Secretary in any 
        fiscal year under this part shall be used for the cost 
        of instructional programming.
          [(3) Special rule.--Not less than 50 percent of the 
        funds available in any fiscal year under this part 
        shall be used for the cost of facilities, equipment, 
        teacher training or retraining, technical assistance, 
        or programming, for local educational agencies which 
        are eligible to receive assistance under part A of 
        title I.
  [(e) Federal Share.--
          [(1) In general.--The Federal share of the cost of 
        projects funded under this section shall not exceed--
                  [(A) 75 percent for the first and second 
                years for which an eligible telecommunications 
                partnership receives a grant under this part;
                  [(B) 60 percent for the third and fourth such 
                years; and
                  [(C) 50 percent for the fifth such year.
          [(2) Reduction or waiver.--The Secretary may reduce 
        or waive the requirement of the non-Federal share under 
        paragraph (1) upon a showing of financial hardship.
  [(f) Authority To Accept Funds From Other Agencies.--The 
Secretary is authorized to accept funds from other Federal 
departments or agencies to carry out the purposes of this 
section, including funds for the purchase of equipment.
  [(g) Coordination.--The Department, the National Science 
Foundation, the Department of Agriculture, the Department of 
Commerce, and any other Federal department or agency operating 
a telecommunications network for educational purposes, shall 
coordinate the activities assisted under this part with the 
activities of such department or agency relating to a 
telecommunications network for educational purposes.
  [(h) Closed Captioning and Descriptive Video.--Each entity 
receiving funds under this part is encouraged to provide--
          [(1) closed captioning of the verbal content of such 
        program, where appropriate, to be broadcast by way of 
        line 21 of the vertical blanking interval, or by way of 
        comparable successor technologies; and
          [(2) descriptive video of the visual content of such 
        program, as appropriate.

[SEC. 3205. [20 U.S.C. 6895] ELIGIBLE ENTITIES.

  [(a) Eligible Entities.--
          [(1) Required participation.--The Secretary may make 
        a grant under section 3204 to any eligible entity, if 
        at least one local educational agency is participating 
        in the proposed project.
          [(2) Eligible entity.--For the purpose of this part, 
        the term ``eligible entity'' may include--
                  [(A) a public agency or corporation 
                established for the purpose of developing and 
                operating telecommunications networks to 
                enhance educational opportunities provided by 
                educational institutions, teacher training 
                centers, and other entities, except that any 
                such agency or corporation shall represent the 
                interests of elementary and secondary schools 
                that are eligible to participate in the program 
                under part A of title I; or
                  [(B) a partnership that will provide 
                telecommunications services and which includes 
                3 or more of the following entities, at least 1 
                of which shall be an agency described in clause 
                (i) or (ii):
                          [(i) a local educational agency that 
                        serves a significant number of 
                        elementary and secondary schools that 
                        are eligible for assistance under part 
                        A of title I, or elementary and 
                        secondary schools operated or funded 
                        for Indian children by the Department 
                        of the Interior eligible under section 
                        1121(b)(2);
                          [(ii) a State educational agency;
                          [(iii) adult and family education 
                        programs;
                          [(iv) an institution of higher 
                        education or a State higher education 
                        agency;
                          [(v) a teacher training center or 
                        academy that--
                                  [(I) provides teacher pre-
                                service and in-service 
                                training; and
                                  [(II) receives Federal 
                                financial assistance or has 
                                been approved by a State 
                                agency;
                          [(vi) (I) a public or private entity 
                        with experience and expertise in the 
                        planning and operation of a 
                        telecommunications network, including 
                        entities involved in telecommunications 
                        through satellite, cable, telephone, or 
                        computer; or
                          [(II) a public broadcasting entity 
                        with such experience; or
                          [(vii) a public or private elementary 
                        or secondary school.
  [(b) Special Rule.--An eligible entity receiving assistance 
under this part shall be organized on a statewide or multistate 
basis.

[SEC. 3206. [20 U.S.C. 6896] APPLICATIONS.

  [(a) Applications Required.--Each eligible entity which 
desires to receive a grant under section 3204 shall submit an 
application to the Secretary, at such time, in such manner, and 
containing or accompanied by such information as the Secretary 
may reasonably require.
  [(b) Star School Award Applications.--Each application 
submitted pursuant to subsection (a) shall--
          [(1) describe how the proposed project will assist in 
        achieving the National Education Goals, how such 
        project will assist all students to have an opportunity 
        to learn to challenging State standards, how such 
        project will assist State and local educational reform 
        efforts, and how such project will contribute to 
        creating a high quality system of lifelong learning;
          [(2) describe the telecommunications facilities and 
        equipment and technical assistance for which assistance 
        is sought, which may include--
                  [(A) the design, development, construction, 
                acquisition, maintenance and operation of State 
                or multistate educational telecommunications 
                networks and technology resource centers;
                  [(B) microwave, fiber optics, cable, and 
                satellite transmission equipment or any 
                combination thereof;
                  [(C) reception facilities;
                  [(D) satellite time;
                  [(E) production facilities;
                  [(F) other telecommunications equipment 
                capable of serving a wide geographic area;
                  [(G) the provision of training services to 
                instructors who will be using the facilities 
                and equipment for which assistance is sought, 
                including training in using such facilities and 
                equipment and training in integrating programs 
                into the classroom curriculum; and
                  [(H) the development of educational and 
                related programming for use on a 
                telecommunications network;
          [(3) in the case of an application for assistance for 
        instructional programming, describe the types of 
        programming which will be developed to enhance 
        instruction and training and provide assurances that 
        such programming will be designed in consultation with 
        professionals (including classroom teachers) who are 
        experts in the applicable subject matter and grade 
        level;
          [(4) describe how the eligible entity has engaged in 
        sufficient survey and analysis of the area to be served 
        to ensure that the services offered by the eligible 
        entity will increase the availability of courses of 
        instruction in English, mathematics, science, foreign 
        languages, arts, history, geography, or other 
        disciplines;
          [(5) describe the professional development policies 
        for teachers and other school personnel to be 
        implemented to ensure the effective use of the 
        telecommunications facilities and equipment for which 
        assistance is sought;
          [(6) describe the manner in which historically 
        underserved students (such as students from low-income 
        families, limited English proficient students, students 
        with disabilities, or students who have low literacy 
        skills) and their families, will participate in the 
        benefits of the telecommunications facilities, 
        equipment, technical assistance, and programming 
        assisted under this part;
          [(7) describe how existing telecommunications 
        equipment, facilities, and services, where available, 
        will be used;
          [(8) provide assurances that the financial interest 
        of the United States in the telecommunications 
        facilities and equipment will be protected for the 
        useful life of such facilities and equipment;
          [(9) provide assurances that a significant portion of 
        any facilities and equipment, technical assistance, and 
        programming for which assistance is sought for 
        elementary and secondary schools will be made available 
        to schools or local educational agencies that have a 
        high number or percentage of children eligible to be 
        counted under part A of title I;
          [(10) provide assurances that the applicant will use 
        the funds provided under this part to supplement and 
        not supplant funds otherwise available for the purposes 
        of this part;
          [(11) if any member of the consortia receives 
        assistance under subpart 3 of part A, describe how 
        funds received under this part will be coordinated with 
        funds received for educational technology in the 
        classroom under such section;
          [(12) describe the activities or services for which 
        assistance is sought, such as--
                  [(A) providing facilities, equipment, 
                training services, and technical assistance;
                  [(B) making programs accessible to students 
                with disabilities through mechanisms such as 
                closed captioning and descriptive video 
                services;
                  [(C) linking networks around issues of 
                national importance (such as elections) or to 
                provide information about employment 
                opportunities, job training, or student and 
                other social service programs;
                  [(D) sharing curriculum resources between 
                networks and development of program guides 
                which demonstrate cooperative, cross-network 
                listing of programs for specific curriculum 
                areas;
                  [(E) providing teacher and student support 
                services including classroom and training 
                support materials which permit student and 
                teacher involvement in the live interactive 
                distance learning telecasts;
                  [(F) incorporating community resources such 
                as libraries and museums into instructional 
                programs;
                  [(G) providing professional development for 
                teachers, including, as appropriate, training 
                to early childhood development and Head Start 
                teachers and staff and vocational education 
                teachers and staff, and adult and family 
                educators;
                  [(H) providing programs for adults to 
                maximize the use of telecommunications 
                facilities and equipment;
                  [(I) providing teacher training on proposed 
                or established voluntary national content 
                standards in mathematics and science and other 
                disciplines as such standards are developed; 
                and
                  [(J) providing parent education programs 
                during and after the regular school day which 
                reinforce a student's course of study and 
                actively involve parents in the learning 
                process;
          [(13) describe how the proposed project as a whole 
        will be financed and how arrangements for future 
        financing will be developed before the project expires;
          [(14) provide an assurance that a significant portion 
        of any facilities, equipment, technical assistance, and 
        programming for which assistance is sought for 
        elementary and secondary schools will be made available 
        to schools in local educational agencies that have a 
        high percentage of children counted for the purpose of 
        part A of title I;
          [(15) provide an assurance that the applicant will 
        provide such information and cooperate in any 
        evaluation that the Secretary may conduct under this 
        part; and
          [(16) include such additional assurances as the 
        Secretary may reasonably require.
  [(c) Priorities.--The Secretary, in approving applications 
for grants authorized under section 3204, shall give priority 
to applications describing projects that--
          [(1) propose high-quality plans to assist in 
        achieving one or more of the National Education Goals, 
        will provide instruction consistent with State content 
        standards, or will otherwise provide significant and 
        specific assistance to States and local educational 
        agencies undertaking systemic education reform;
          [(2) will provide services to programs serving 
        adults, especially parents, with low levels of 
        literacy;
          [(3) will serve schools with significant numbers of 
        children counted for the purposes of part A of title I;
          [(4) ensure that the eligible entity will--
                  [(A) serve the broadest range of 
                institutions, programs providing instruction 
                outside of the school setting, programs serving 
                adults, especially parents, with low levels of 
                literacy, institutions of higher education, 
                teacher training centers, research institutes, 
                and private industry;
                  [(B) have substantial academic and teaching 
                capabilities, including the capability of 
                training, retraining, and inservice upgrading 
                of teaching skills and the capability to 
                provide professional development;
                  [(C) provide a comprehensive range of courses 
                for educators to teach instructional strategies 
                for students with different skill levels;
                  [(D) provide training to participating 
                educators in ways to integrate 
                telecommunications courses into existing school 
                curriculum;
                  [(E) provide instruction for students, 
                teachers, and parents;
                  [(F) serve a multistate area; and
                  [(G) give priority to the provision of 
                equipment and linkages to isolated areas; and
          [(5) involve a telecommunications entity (such as a 
        satellite, cable, telephone, computer, or public or 
        private television stations) participating in the 
        eligible entity and donating equipment or in-kind 
        services for telecommunications linkages.
  [(d) Geographic Distribution.--In approving applications for 
grants authorized under section 3204, the Secretary shall, to 
the extent feasible, ensure an equitable geographic 
distribution of services provided under this part.

[SEC. 3207. [20 U.S.C. 6897] LEADERSHIP AND EVALUATION ACTIVITIES.

  [(a) Reservation.--From the amount appropriated pursuant to 
the authority of section 3204(c)(1) in each fiscal year, the 
Secretary may reserve not more than 5 percent of such amount 
for national leadership, evaluation, and peer review 
activities.
  [(b) Method of Funding.--The Secretary may fund the 
activities described in subsection (a) directly or through 
grants, contracts, and cooperative agreements.
  [(c) Uses of Funds.--
          [(1) Leadership.--Funds reserved for leadership 
        activities under subsection (a) may be used for--
                  [(A) disseminating information, including 
                lists and descriptions of services available 
                from grant recipients under this part; and
                  [(B) other activities designed to enhance the 
                quality of distance learning activities 
                nationwide.
          [(2) Evaluation.--Funds reserved for evaluation 
        activities under subsection (a) may be used to conduct 
        independent evaluations of the activities assisted 
        under this part and of distance learning in general, 
        including--
                  [(A) analyses of distance learning efforts, 
                including such efforts that are assisted under 
                this part and such efforts that are not 
                assisted under this part; and
                  [(B) comparisons of the effects, including 
                student outcomes, of different technologies in 
                distance learning efforts.
          [(3) Peer review.--Funds reserved for peer review 
        activities under subsection (a) may be used for peer 
        review of--
                  [(A) applications for grants under this part; 
                and
                  [(B) activities assisted under this part.

[SEC. 3208. [20 U.S.C. 6898] DEFINITIONS.

  [As used in this part--
          [(1) the term ``educational institution'' means an 
        institution of higher education, a local educational 
        agency, or a State educational agency;
          [(2) the term ``instructional programming'' means 
        courses of instruction and training courses for 
        elementary and secondary students, teachers, and 
        others, and materials for use in such instruction and 
        training that have been prepared in audio and visual 
        form on tape, disc, film, or live, and presented by 
        means of telecommunications devices; and
          [(3) the term ``public broadcasting entity'' has the 
        same meaning given such term in section 397 of the 
        Communications Act of 1934.

[SEC. 3209. [20 U.S.C. 6899] ADMINISTRATIVE PROVISIONS.

  [(a) Continuing Eligibility.--
          [(1) In general.--In order to be eligible to receive 
        a grant under section 3204 for a second 3-year grant 
        period an eligible entity shall demonstrate in the 
        application submitted pursuant to section 3206 that 
        such partnership shall--
                  [(A) continue to provide services in the 
                subject areas and geographic areas assisted 
                with funds received under this part for the 
                previous 5-year grant period; and
                  [(B) use all grant funds received under this 
                part for the second 3-year grant period to 
                provide expanded services by--
                          [(i) increasing the number of 
                        students, schools or school districts 
                        served by the courses of instruction 
                        assisted under this part in the 
                        previous fiscal year;
                          [(ii) providing new courses of 
                        instruction; and
                          [(iii) serving new populations of 
                        underserved individuals, such as 
                        children or adults who are 
                        disadvantaged, have limited-English 
                        proficiency, are individuals with 
                        disabilities, are illiterate, or lack 
                        secondary school diplomas or their 
                        recognized equivalent.
          [(2) Special rule.--Grant funds received pursuant to 
        paragraph (1) shall be used to supplement and not 
        supplant services provided by the grant recipient under 
        this part in the previous fiscal year.
  [(b) Federal Activities.--The Secretary may assist grant 
recipients under section 3204 in acquiring satellite time, 
where appropriate, as economically as possible.

[SEC. 3210. [20 U.S.C. 6900] OTHER ASSISTANCE.

  [(a) Special Statewide Network.--
          [(1) In general.--The Secretary, through the Office 
        of Educational Technology, may provide assistance to a 
        statewide telecommunications network under this 
        subsection if such network--
                  [(A) provides 2-way full motion interactive 
                video and audio communications;
                  [(B) links together public colleges and 
                universities and secondary schools throughout 
                the State; and
                  [(C) meets any other requirements determined 
                appropriate by the Secretary.
          [(2) State contribution.--A statewide 
        telecommunications network assisted under paragraph (1) 
        shall contribute, either directly or through private 
        contributions, non-Federal funds equal to not less than 
        50 percent of the cost of such network.
  [(b) Special Local Network.--
          [(1) In general.--The Secretary may provide 
        assistance, on a competitive basis, to a local 
        educational agency or consortium thereof to enable such 
        agency or consortium to establish a high technology 
        demonstration program.
          [(2) Program requirements.--A high technology 
        demonstration program assisted under paragraph (1) 
        shall--
                  [(A) include 2-way full motion interactive 
                video, audio and text communications;
                  [(B) link together elementary and secondary 
                schools, colleges, and universities;
                  [(C) provide parent participation and family 
                programs;
                  [(D) include a staff development program; and
                  [(E) have a significant contribution and 
                participation from business and industry.
          [(3) Special rule.--Each high technology 
        demonstration program assisted under paragraph (1) 
        shall be of sufficient size and scope to have an effect 
        on meeting the National Education Goals.
          [(4) Matching requirement.--A local educational 
        agency or consortium receiving a grant under paragraph 
        (1) shall provide, either directly or through private 
        contributions, non-Federal matching funds equal to not 
        less than 50 percent of the amount of the grant.
  [(c) Telecommunications Programs for Continuing Education.--
          [(1) Authority.--The Secretary is authorized to award 
        grants, on a competitive basis, to eligible entities to 
        enable such partnerships to develop and operate one or 
        more programs which provide on-line access to 
        educational resources in support of continuing 
        education and curriculum requirements relevant to 
        achieving a secondary school diploma or its recognized 
        equivalent. The program authorized by this section 
        shall be designed to advance adult literacy, secondary 
        school completion and the acquisition of specified 
        competency by the end of the 12th grade, as envisioned 
        by the Goals 2000: Educate America Act.
          [(2) Application.--Each eligible entity desiring a 
        grant under this section shall submit an application to 
        the Secretary. Each such application shall--
                  [(A) demonstrate that the applicant will use 
                publicly funded or free public 
                telecommunications infrastructure to deliver 
                video, voice and data in an integrated service 
                to support and assist in the acquisition of a 
                secondary school diploma or its recognized 
                equivalent;
                  [(B) assure that the content of the materials 
                to be delivered is consistent with the 
                accreditation requirements of the State for 
                which such materials are used;
                  [(C) incorporate, to the extent feasible, 
                materials developed in the Federal departments 
                and agencies and under appropriate federally 
                funded projects and programs;
                  [(D) assure that the applicant has the 
                technological and substantive experience to 
                carry out the program; and
                  [(E) contain such additional assurances as 
                the Secretary may reasonably require.

                   [PART C--READY-TO-LEARN TELEVISION

[SEC. 3301. [20 U.S.C. 6921] READY-TO-LEARN.

  [(a) In General.--The Secretary is authorized to award grants 
to or enter into contracts or cooperative agreements with 
eligible entities described in section 3302(b) to develop, 
produce, and distribute educational and instructional video 
programming for preschool and elementary school children and 
their parents in order to facilitate the achievement of the 
National Education Goals.
  [(b) Availability.--In making such grants, contracts, or 
cooperative agreements, the Secretary shall ensure that 
recipients make programming widely available with support 
materials as appropriate to young children, their parents, 
child care workers, and Head Start providers to increase the 
effective use of such programming.

[SEC. 3302. [20 U.S.C. 6922] EDUCATIONAL PROGRAMMING.

  [(a) Awards.--The Secretary shall award grants, contracts, or 
cooperative agreements to eligible entities to--
          [(1) facilitate the development directly or through 
        contracts with producers of children and family 
        educational television programming, educational 
        programming for preschool and elementary school 
        children, and accompanying support materials and 
        services that promote the effective use of such 
        programming; and
          [(2) enable such entities to contract with entities 
        (such as public telecommunications entities and those 
        funded under the Star Schools Act) so that programs 
        developed under this section are disseminated and 
        distributed to the widest possible audience appropriate 
        to be served by the programming by the most appropriate 
        distribution technologies.
  [(b) Eligible Entities.--To be eligible to receive a grant, 
contract, or cooperative agreement under subsection (a), an 
entity shall be--
          [(1) a nonprofit entity (including a public 
        telecommunications entity) able to demonstrate a 
        capacity for the development and distribution of 
        educational and instructional television programming of 
        high quality for preschool and elementary school 
        children; and
          [(2) able to demonstrate a capacity to contract with 
        the producers of children's television programming for 
        the purpose of developing educational television 
        programming of high quality for preschool and 
        elementary school children.
  [(c) Cultural Experiences.--Programming developed under this 
section shall reflect the recognition of diverse cultural 
experiences and the needs and experiences of both boys and 
girls in engaging and preparing young children for schooling.

[SEC. 3303. [20 U.S.C. 6923] DUTIES OF SECRETARY.

  [The Secretary is authorized--
          [(1) to establish and administer a Special Projects 
        of National Significance program to award grants, 
        contracts, or cooperative agreements to public and 
        nonprofit private entities, or local public television 
        stations or such public television stations that are 
        part of a consortium with one or more State educational 
        agencies, local educational agencies, local schools, 
        institutions of higher education, or community-based 
        organizations of demonstrated effectiveness, for the 
        purpose of--
                  [(A) addressing the learning needs of young 
                children in limited English proficient 
                households, and developing appropriate 
                educational and instructional television 
                programming to foster the school readiness of 
                such children;
                  [(B) developing programming and support 
                materials to increase family literacy skills 
                among parents to assist parents in teaching 
                their children and utilizing educational 
                television programming to promote school 
                readiness; and
                  [(C) identifying, supporting, and enhancing 
                the effective use and outreach of innovative 
                programs that promote school readiness;
          [(2) to establish within the Department a 
        clearinghouse to compile and provide information, 
        referrals and model program materials and programming 
        obtained or developed under this part to parents, child 
        care providers, and other appropriate individuals or 
        entities to assist such individuals and entities in 
        accessing programs and projects under this part; and
          [(3) to develop and disseminate training materials, 
        including--
                  [(A) interactive programs and programs 
                adaptable to distance learning technologies 
                that are designed to enhance knowledge of 
                children's social and cognitive skill 
                development and positive adult-child 
                interactions; and
                  [(B) support materials to promote the 
                effective use of materials developed under 
                paragraph (2);
        among parents, Head Start providers, in-home and center 
        based day care providers, early childhood development 
        personnel, and elementary school teachers, public 
        libraries, and after school program personnel caring 
        for preschool and elementary school children;
          [(4) coordinate activities with the Secretary of 
        Health and Human Services in order to--
                  [(A) maximize the utilization of quality 
                educational programming by preschool and 
                elementary school children, and make such 
                programming widely available to federally 
                funded programs serving such populations; and
                  [(B) provide information to recipients of 
                funds under Federal programs that have major 
                training components for early childhood 
                development, including Head Start, Even Start, 
                and State training activities funded under the 
                Child Care Development Block Grant Act of 1990 
                regarding the availability and utilization of 
                materials developed under paragraph (3) to 
                enhance parent and child care provider skills 
                in early childhood development and education.

[SEC. 3304. [20 U.S.C. 6924] APPLICATIONS.

  [Each eligible entity desiring a grant, contract, or 
cooperative agreement under section 3301 or 3303 shall submit 
an application to the Secretary at such time, in such manner, 
and accompanied by such information as the Secretary may 
reasonably require.

[SEC. 3305. [20 U.S.C. 6925] REPORTS AND EVALUATION.

  [(a) Annual Report to Secretary.--An entity receiving funds 
under section 3301 shall prepare and submit to the Secretary an 
annual report which contains such information as the Secretary 
may require. At a minimum, the report shall describe the 
program activities undertaken with funds received under this 
section, including--
          [(1) the programming that has been developed directly 
        or indirectly by the entity, and the target population 
        of the programs developed;
          [(2) the support materials that have been developed 
        to accompany the programming, and the method by which 
        such materials are distributed to consumers and users 
        of the programming;
          [(3) the means by which programming developed under 
        this section has been distributed, including the 
        distance learning technologies that have been utilized 
        to make programming available and the geographic 
        distribution achieved through such technologies; and
          [(4) the initiatives undertaken by the entity to 
        develop public-private partnerships to secure non-
        Federal support for the development and distribution 
        and broadcast of educational and instructional 
        programming.
  [(b) Report to Congress.--The Secretary shall prepare and 
submit to the relevant committees of Congress a biannual report 
which includes--
          [(1) a summary of the information made available 
        under section 3302(a); and
          [(2) a description of the training materials made 
        available under section 3303(3), the manner in which 
        outreach has been conducted to inform parents and child 
        care providers of the availability of such materials, 
        and the manner in which such materials have been 
        distributed in accordance with such section.

[SEC. 3306. [20 U.S.C. 6926] ADMINISTRATIVE COSTS.

  [With respect to the implementation of section 3302, entities 
receiving a grant, contract, or cooperative agreement from the 
Secretary may use not more than 5 percent of the amounts 
received under such section for the normal and customary 
expenses of administering the grant, contract, or cooperative 
agreement.

[SEC. 3307. [20 U.S.C. 6927] DEFINITION.

  [For the purposes of this part, the term ``distance 
learning'' means the transmission of educational or 
instructional programming to geographically dispersed 
individuals and groups via telecommunications.

[SEC. 3308. [20 U.S.C. 6928] AUTHORIZATION OF APPROPRIATIONS.

  [(a) In General.--There are authorized to be appropriated to 
carry out this part, $30,000,000 for fiscal year 1995, and such 
sums as may be necessary for each of the four succeeding fiscal 
years. Not less than 60 percent of the amounts appropriated 
under this subsection for each fiscal year shall be used to 
carry out section 3302.
  [(b) Special Projects.--Of the amount appropriated under 
subsection (b) for each fiscal year, at least 10 percent of 
such amount shall be used for each such fiscal year for 
activities under section 3303(1)(C).

   [PART D--TELECOMMUNICATIONS DEMONSTRATION PROJECT FOR MATHEMATICS

[SEC. 3401. [20 U.S.C. 6951] PROJECT AUTHORIZED.

  [The Secretary is authorized to make grants to a nonprofit 
telecommunications entity, or partnership of such entities, for 
the purpose of carrying out a national telecommunications-based 
demonstration project to improve the teaching of mathematics. 
The demonstration project authorized by this part shall be 
designed to assist elementary and secondary school teachers in 
preparing all students for achieving State content standards.

[SEC. 3402. [20 U.S.C. 6952] APPLICATION REQUIRED.

  [(a) In General.--Each nonprofit telecommunications entity, 
or partnership of such entities, desiring a grant under this 
part shall submit an application to the Secretary. Each such 
application shall--
          [(1) demonstrate that the applicant will use the 
        existing publicly funded telecommunications 
        infrastructure to deliver video, voice and data in an 
        integrated service to train teachers in the use of new 
        standards-based curricula materials and learning 
        technologies;
          [(2) assure that the project for which assistance is 
        sought will be conducted in cooperation with 
        appropriate State educational agencies, local 
        educational agencies, State or local nonprofit public 
        telecommunications entities, and a national mathematics 
        education professional association that has developed 
        content standards;
          [(3) assure that a significant portion of the 
        benefits available for elementary and secondary schools 
        from the project for which assistance is sought will be 
        available to schools of local educational agencies 
        which have a high percentage of children counted for 
        the purpose of part A of title I; and
          [(4) contain such additional assurances as the 
        Secretary may reasonably require.
  [(b) Approval of Applications; Number of Demonstration 
Sites.--In approving applications under this section, the 
Secretary shall assure that the demonstration project 
authorized by this part is conducted at elementary and 
secondary school sites in at least 15 States.

[SEC. 3403. [20 U.S.C. 6953] AUTHORIZATION OF APPROPRIATIONS.

  [There are authorized to be appropriated to carry out this 
part, $5,000,000 for the fiscal year 1995, and such sums as may 
be necessary for each of the four succeeding fiscal years.

     [PART E--ELEMENTARY MATHEMATICS AND SCIENCE EQUIPMENT PROGRAM

[SEC. 3501. [20 U.S.C. 6971] SHORT TITLE.

  [This part may be cited as the ``Elementary Mathematics and 
Science Equipment Act''.

[SEC. 3502. [20 U.S.C. 6972] STATEMENT OF PURPOSE.

  [It is the purpose of this part to raise the quality of 
instruction in mathematics and science in the Nation's 
elementary schools by providing equipment and materials 
necessary for hands-on instruction through assistance to State 
and local educational agencies.

[SEC. 3503. [20 U.S.C. 6973] PROGRAM AUTHORIZED.

  [The Secretary is authorized to make allotments to State 
educational agencies under section 3504 to enable such agencies 
to award grants to local educational agencies for the purpose 
of providing equipment and materials to elementary schools to 
improve mathematics and science education in such schools.

[SEC. 3504. [20 U.S.C. 6974] ALLOTMENTS OF FUNDS.

  [(a) In General.--From the amount appropriated under section 
3509 for any fiscal year, the Secretary shall reserve--
          [(1) not more than one-half of 1 percent for 
        allotment among Guam, American Samoa, the Virgin 
        Islands, and the Northern Mariana Islands according to 
        their respective needs for assistance under this part; 
        and
          [(2) one-half of 1 percent for programs for Indian 
        students served by schools funded by the Secretary of 
        the Interior which are consistent with the purposes of 
        this part.
  [(b) Allotment.--
          [(1) In general.--The remainder of the amount so 
        appropriated (after meeting requirements in subsection 
        (a)) shall be allotted among State educational agencies 
        so that--
                  [(A) one-half of such remainder shall be 
                distributed by allotting to each State 
                educational agency an amount which bears the 
                same ratio to such one-half of such remainder 
                as the number of children aged 5 to 17, 
                inclusive, in the State bears to the number of 
                such children in all States; and
                  [(B) one-half of such remainder shall be 
                distributed according to each State's share of 
                allocations under part A of title I.
          [(2) Minimum.--Except as provided in paragraph (3), 
        no State educational agency shall receive an allotment 
        under this subsection for any fiscal year in an amount 
        that is--
                  [(A) less than one-half of 1 percent of the 
                amount made available under this subsection for 
                such fiscal year; or
                  [(B) less than the amount allotted to such 
                State for fiscal year 1988 under title II of 
                the Education for Economic Security Act.
          [(3) Ratable reductions.--(A) If the sums made 
        available under this part for any fiscal year are 
        insufficient to pay the full amounts that all State 
        educational agencies are eligible to receive under 
        paragraph (2)(B) for such year, the Secretary shall 
        ratably reduce the allotment to such agencies for such 
        year.
          [(B) If additional funds become available for making 
        payments under paragraph (2)(B) for such fiscal year, 
        allotments that were reduced under subparagraph (A) 
        shall be increased on the same basis as such allotments 
        were reduced.
  [(c) Reallotment of Unused Funds.--The amount of any State 
educational agency's allotment under subsection (b) for any 
fiscal year to carry out this part which the Secretary 
determines will not be required for that fiscal year to carry 
out this part shall be available for reallotment from time to 
time, on such dates during that year as the Secretary may 
determine, to other State educational agencies in proportion to 
the original allotments to those State educational agencies 
under subsection (b) for that year but with such proportionate 
amount for any of those other State educational agencies being 
reduced to the extent it exceeds the sum the Secretary 
estimates that the State educational agency needs and will be 
able to use for that year, and the total of those reductions 
shall be similarly reallotted among the State educational 
agencies whose proportionate amounts were not so reduced. Any 
amounts reallotted to a State educational agency under this 
subsection during a year shall be deemed a part of the State 
educational agency's allotment under subsection (b) for that 
year.
  [(d) Definition.--For the purposes of this part the term 
``State'' means each of the 50 States, the District of 
Columbia, and the Commonwealth of Puerto Rico.
  [(e) Data.--The number of children aged 5 to 17, inclusive, 
in the State and in all States shall be determined by the 
Secretary on the basis of the most recent satisfactory data 
available to the Secretary.

SEC. 3505. [20 U.S.C. 6975] STATE APPLICATION.

  [(a) Application.--Each State educational agency desiring to 
receive an allotment under this part shall file an application 
with the Secretary which covers a period of 5 fiscal years. 
Such application shall be filed at such time, in such manner, 
and containing or accompanied by such information as the 
Secretary may reasonably require.
  [(b) Contents of Application.--Each application described in 
subsection (a) shall--
          [(1) provide assurances that--
                  [(A) the State educational agency shall use 
                the allotment provided under this part to award 
                grants to local educational agencies within the 
                State to enable such local educational agencies 
                to provide assistance to schools served by such 
                agency to carry out the purpose of this part;
                  [(B) the State educational agency will 
                provide such fiscal control and funds 
                accounting as the Secretary may require;
                  [(C) every public elementary school in the 
                State is eligible to receive assistance under 
                this part once over the 5-year duration of the 
                program assisted under this part;
                  [(D) funds provided under this part will 
                supplement, not supplant, State and local funds 
                made available for activities authorized under 
                this part;
                  [(E) during the 5-year period described in 
                the application, the State educational agency 
                will evaluate its standards and programs for 
                teacher preparation and inservice professional 
                development for elementary mathematics and 
                science;
                  [(F) the State educational agency will take 
                into account the needs for greater access to 
                and participation in mathematics and science by 
                students and teachers from historically 
                underrepresented groups, including females, 
                minorities, individuals with limited English 
                proficiency, the economically disadvantaged, 
                and individuals with disabilities; and
                  [(G) that the needs of teachers and students 
                in areas with high concentrations of low-income 
                students and sparsely populated areas will be 
                given priority in awarding assistance under 
                this part;
          [(2) provide, if appropriate, a description of how 
        funds paid under this part will be coordinated with 
        State and local funds and other Federal resources, 
        particularly with respect to programs for the 
        professional development and inservice training of 
        elementary school teachers in science and mathematics; 
        and
          [(3) describe procedures--
                  [(A) for submitting applications for programs 
                described in section 3506 for distribution of 
                assistance under this part within the State; 
                and
                  [(B) for approval of applications by the 
                State educational agency, including appropriate 
                procedures to assure that such agency will not 
                disapprove an application without notice and 
                opportunity for a hearing.
  [(c) State Administration.--Not more than 5 percent of the 
funds allotted to each State educational agency under this part 
shall be used for the administrative costs of such agency 
associated with carrying out the program assisted under this 
part.

[SEC. 3506. [20 U.S.C. 6976] LOCAL APPLICATION.

  [(a) Application.--A local educational agency that desires to 
receive a grant under this part shall submit an application to 
the State educational agency. Each such application shall 
contain assurances that each school served by the local 
educational agency shall be eligible for assistance under this 
part only once.
  [(b) Contents of Application.--Each application described in 
subsection (a) shall--
          [(1) describe how the local educational agency plans 
        to set priorities on the use and distribution among 
        schools of grant funds received under this part to meet 
        the purpose of this part;
          [(2) include assurances that the local educational 
        agency has made every effort to match on a dollar-for-
        dollar basis from private or public sources the funds 
        received under this part, except that no such 
        application shall be penalized or denied assistance 
        under this part based on failure to provide such 
        matching funds;
          [(3) describe, if applicable, how funds under this 
        part will be coordinated with State, local, and other 
        Federal resources, especially with respect to programs 
        for the professional development and inservice training 
        of elementary school teachers in science and 
        mathematics; and
          [(4) describe the process which will be used to 
        determine different levels of assistance to be awarded 
        to schools with different needs.
  [(c) Priority.--In awarding grants under this part, the State 
educational agency shall give priority to applications that--
          [(1) assign highest priority to providing assistance 
        to schools which--
                  [(A) are most seriously underequipped; or
                  [(B) serve large numbers or percentages of 
                economically disadvantaged students;
          [(2) are attentive to the needs of underrepresented 
        groups in science and mathematics;
          [(3) demonstrate how science and mathematics 
        equipment will be part of a comprehensive plan of 
        curriculum planning or implementation and teacher 
        training supporting hands-on laboratory activities; and
          [(4) assign priority to providing equipment and 
        materials for students in grades 1 through 6.

[SEC. 3507. [20 U.S.C. 6977] PROGRAM REQUIREMENTS.

  [(a) Coordination.--Each State educational agency receiving 
an allotment under this part shall--
          [(1) disseminate information to school districts and 
        schools, including private nonprofit elementary 
        schools, regarding the program assisted under this 
        part;
          [(2) evaluate applications of local educational 
        agencies;
          [(3) award grants to local educational agencies based 
        on the priorities described in section 3506(c); and
          [(4) evaluate local educational agencies' end-of-year 
        summaries and submit such evaluation to the Secretary.
  [(b) Limitations on Use of Funds.--
          [(1) In general.--Except as provided in paragraph 
        (2), grant funds and matching funds under this part 
        only shall be used to purchase science equipment, 
        science materials, or mathematical manipulative 
        materials and shall not be used for computers, computer 
        peripherals, software, textbooks, or staff development 
        costs.
          [(2) Capital improvements.--Grant funds under this 
        part may not be used for capital improvements. Not more 
        than 50 percent of any matching funds provided by the 
        local educational agency may be used for capital 
        improvements of classroom science facilities to support 
        the hands-on instruction that this part is intended to 
        support, such as the installation of electrical 
        outlets, plumbing, lab tables or counters, or 
        ventilation mechanisms.

[SEC. 3508. [20 U.S.C. 6978] FEDERAL ADMINISTRATION.

  [(a) Technical Assistance and Evaluation Procedures.--The 
Secretary shall provide technical assistance and, in 
consultation with State and local representatives of the 
program assisted under this part, shall develop procedures for 
State and local evaluations of the programs assisted under this 
part.
  [(b) Report.--The Secretary shall report to the Congress each 
year on the program assisted under this part in accordance with 
section 10701.

[SEC. 3509. [20 U.S.C. 6979] AUTHORIZATION OF APPROPRIATIONS.

  [There are authorized to be appropriated $30,000,000 for 
fiscal year 1995, and such sums as may be necessary for each of 
the four succeeding fiscal years, to carry out this part.]

                   TITLE III--ENRICHMENT INITIATIVES

            PART A--21ST CENTURY COMMUNITY LEARNING CENTERS

SEC. 3101. SHORT TITLE.

  This part may be cited as the ``21st Century Community 
Learning Centers Act''.

SEC. 3102. PURPOSE.

  It is the purpose of this part--
          (1) to provide local public schools with the 
        opportunity to serve as centers for the delivery of 
        education and human resources for all members of 
        communities;
          (2) to enable public schools, primarily in rural and 
        inner city communities, to collaborate with other 
        public and nonprofit agencies and organizations, local 
        businesses, educational entities (such as vocational 
        and adult education programs, school-to-work programs, 
        community colleges, and universities), recreational, 
        cultural, and other community and human service 
        entities, to meet the needs of, and expand the 
        opportunities available to, the residents of the 
        communities served by such schools;
          (3) to use school facilities, equipment, and 
        resources so that communities can promote a more 
        efficient use of public education facilities, 
        especially in rural and inner city areas where limited 
        financial resources have enhanced the necessity for 
        local public schools to become social service centers;
          (4) to enable schools to become centers of lifelong 
        learning; and
          (5) to enable schools to provide educational 
        opportunities for individuals of all ages.

SEC. 3103. PROGRAM AUTHORIZATION.

  (a) Grants by the Secretary.--The Secretary is authorized, in 
accordance with the provisions of this part, to award grants to 
rural and inner-city public elementary or secondary schools, or 
consortia of such schools, to enable such schools or consortia 
to plan, implement, or to expand projects that benefit the 
educational, health, social service, cultural, and recreational 
needs of a rural or inner-city community.
  (b) Equitable Distribution.--In awarding grants under this 
part, the Secretary shall assure an equitable distribution of 
assistance among the States, among urban and rural areas of the 
United States, and among urban and rural areas of a State.
  (c) Grant Period.--The Secretary shall award grants under 
this part for a period not to exceed 3 years.
  (d) Amount.--The Secretary shall not award a grant under this 
part in any fiscal year in an amount less than $35,000.

SEC. 3104. APPLICATION REQUIRED.

  (a) Application.--To be eligible to receive a grant under 
this part, an elementary or secondary school or consortium 
shall submit an application to the Secretary at such time, in 
such manner, and accompanied by such information as the 
Secretary may reasonably prescribe. Each such application shall 
include--
          (1) a comprehensive local plan that enables the 
        school or consortium to serve as a center for the 
        delivery of education and human resources for members 
        of a community;
          (2) an evaluation of the needs, available resources, 
        and goals and objectives for the proposed project in 
        order to determine which activities will be undertaken 
        to address such needs; and
          (3) a description of the proposed project, 
        including--
                  (A) a description of the mechanism that will 
                be used to disseminate information in a manner 
                that is understandable and accessible to the 
                community;
                  (B) identification of Federal, State, and 
                local programs to be merged or coordinated so 
                that public resources may be maximized;
                  (C) a description of the collaborative 
                efforts to be undertaken by community-based 
                organizations, related public agencies, 
                businesses, or other appropriate organizations;
                  (D) a description of how the school or 
                consortium will serve as a delivery center for 
                existing and new services, especially for 
                interactive telecommunication used for 
                education and professional training; and
                  (E) an assurance that the school or 
                consortium will establish a facility 
                utilization policy that specifically states--
                          (i) the rules and regulations 
                        applicable to building and equipment 
                        use; and
                          (ii) supervision guidelines.
  (b) Priority.--The Secretary shall give priority to 
applications describing projects that offer a broad selection 
of services which address the needs of the community.

SEC. 3105. USES OF FUNDS.

  Grants awarded under this part may be used to plan, 
implement, or expand community learning centers which include 
not less than four of the following activities:
          (1) Literacy education programs.
          (2) Senior citizen programs.
          (3) Children's day care services.
          (4) Integrated education, health, social service, 
        recreational, or cultural programs.
          (5) Summer and weekend school programs in conjunction 
        with recreation programs.
          (6) Nutrition and health programs.
          (7) Expanded library service hours to serve community 
        needs.
          (8) Telecommunications and technology education 
        programs for individuals of all ages.
          (9) Parenting skills education programs.
          (10) Support and training for child day care 
        providers.
          (11) Employment counseling, training, and placement.
          (12) Services for individuals who leave school before 
        graduating from secondary school, regardless of the age 
        of such individual.
          (13) Services for individuals with disabilities.

SEC. 3106. DEFINITION.

  For the purpose of this part, the term ``community learning 
center'' means an entity within a public elementary or 
secondary school building that--
          (1) provides educational, recreational, health, and 
        social service programs for residents of all ages 
        within a local community; and
          (2) is operated by a local educational agency in 
        conjunction with local governmental agencies, 
        businesses, vocational education programs, institutions 
        of higher education, community colleges, and cultural, 
        recreational, and other community and human service 
        entities.

SEC. 3107. AUTHORIZATION OF APPROPRIATIONS.

  There are authorized to be appropriated $500,000,000 for 
fiscal year 2001, and such sums as may be necessary for each of 
the four succeeding fiscal years, to carry out this part.

   PART B--INITIATIVES FOR NEGLECTED, DELINQUENT, OR AT RISK STUDENTS

Subpart 1--Prevention and Intervention Programs for Children and Youth 
       Who Are Neglected, Delinquent, or at Risk of Dropping Out

SEC. 3321. PURPOSE; PROGRAM AUTHORIZED.

  (a) Purpose.--It is the purpose of this subpart--
          (1) to improve educational services for children in 
        local and State institutions for neglected or 
        delinquent children and youth so that such children and 
        youth have the opportunity to meet the same challenging 
        State content standards and challenging State student 
        performance standards that all children in the State 
        are expected to meet;
          (2) to provide such children and youth with the 
        services needed to make a successful transition from 
        institutionalization to further schooling or 
        employment; and
          (3) to prevent at-risk youth from dropping out of 
        school and to provide dropouts and youth returning from 
        institutions with a support system to ensure their 
        continued education.
  (b) Program Authorized.--In order to carry out the purpose of 
this subpart the Secretary shall make grants to State 
educational agencies to enable such agencies to award subgrants 
to State agencies and local educational agencies to establish 
or improve programs of education for neglected or delinquent 
children and youth at risk of dropping out of school before 
graduation.

SEC. 3322. PAYMENTS FOR PROGRAMS UNDER THIS SUBPART.

  (a) Agency Subgrants.--Based on the allocation amount 
computed under section 3332, the Secretary shall allocate to 
each State educational agency amounts necessary to make 
subgrants to State agencies under chapter 1.
  (b) Local Subgrants.--Each State shall retain, for purposes 
of carrying out chapter 2, funds generated throughout the State 
under part A of title I based on youth residing in local 
correctional facilities, or attending community day programs 
for delinquent children and youth.

                    Chapter 1--State Agency Programs

SEC. 3331. ELIGIBILITY.

  A State agency is eligible for assistance under this chapter 
if such State agency is responsible for providing free public 
education for children--
          (1) in institutions for neglected or delinquent 
        children and youth;
          (2) attending community day programs for neglected or 
        delinquent children and youth; or
          (3) in adult correctional institutions.

SEC. 3332. ALLOCATION OF FUNDS.

  (a) Subgrants to State Agencies.--
          (1) In general.--Each State agency described in 
        section 3331 (other than an agency in the Commonwealth 
        of Puerto Rico) is eligible to receive a subgrant under 
        this subpart, for each fiscal year, an amount equal to 
        the product of--
                  (A) the number of neglected or delinquent 
                children and youth described in section 3331 
                who--
                          (i) are enrolled for at least 15 
                        hours per week in education programs in 
                        adult correctional institutions; and
                          (ii) are enrolled for at least 20 
                        hours per week--
                                  (I) in education programs in 
                                institutions for neglected or 
                                delinquent children and youth; 
                                or
                                  (II) in community day 
                                programs for neglected or 
                                delinquent children and youth; 
                                and
                  (B) 40 percent of the average per-pupil 
                expenditure in the State, except that the 
                amount determined under this subparagraph shall 
                not be less than 32 percent, nor more than 48 
                percent, of the average per-pupil expenditure 
                in the United States.
          (2) Special rule.--The number of neglected or 
        delinquent children and youth determined under 
        paragraph (1) shall--
                  (A) be determined by the State agency by a 
                deadline set by the Secretary, except that no 
                State agency shall be required to determine the 
                number of such children and youth on a specific 
                date set by the Secretary; and
                  (B) be adjusted, as the Secretary determines 
                is appropriate, to reflect the relative length 
                of such agency's annual programs.
  (b) Subgrants to State Agencies in Puerto Rico.--For each 
fiscal year, the amount of the subgrant for which a State 
agency in the Commonwealth of Puerto Rico is eligible under 
this subpart shall be equal to--
          (1) the number of children and youth counted under 
        subsection (a)(1)(A) for the Commonwealth of Puerto 
        Rico; multiplied by
          (2) the product of--
                  (A) the percentage that the average per-pupil 
                expenditure in the Commonwealth of Puerto Rico 
                is of the lowest average per-pupil expenditure 
                of any of the 50 States; and
                  (B) 32 percent of the average per-pupil 
                expenditure in the United States.
  (c) Ratable Reductions in Case of Insufficient 
Appropriations.--If the amount appropriated for any fiscal year 
for subgrants under subsections (a) and (b) is insufficient to 
pay the full amount for which all State agencies are eligible 
under such subsections, the Secretary shall ratably reduce each 
such amount.

SEC. 3333. STATE REALLOCATION OF FUNDS.

  If a State educational agency determines that a State agency 
does not need the full amount of the subgrant for which such 
State agency is eligible under this subpart for any fiscal 
year, the State educational agency may reallocate the amount 
that will not be needed to other eligible State agencies that 
need additional funds to carry out the purpose of this subpart, 
in such amounts as the State educational agency shall 
determine.

SEC. 3334. STATE PLAN AND STATE AGENCY APPLICATIONS.

  (a) State Plan.--
          (1) In general.--Each State educational agency that 
        desires to receive a grant under this subpart shall 
        submit, for approval by the Secretary, a plan for 
        meeting the needs of neglected and delinquent children 
        and youth and, where applicable, children and youth at 
        risk of dropping out of school, that is integrated with 
        other programs under this Act, or other Acts, as 
        appropriate, consistent with section 6506.
          (2) Contents.--Each such State plan shall--
                  (A) describe the program goals, objectives, 
                and performance measures established by the 
                State that will be used to assess the 
                effectiveness of the program in improving 
                academic and vocational skills of children in 
                the program;
                  (B) provide that, to the extent feasible, 
                such children will have the same opportunities 
                to learn as such children would have if such 
                children were in the schools of local 
                educational agencies in the State; and
                  (C) contain assurances that the State 
                educational agency will--
                          (i) ensure that programs assisted 
                        under this subpart will be carried out 
                        in accordance with the State plan 
                        described in this subsection;
                          (ii) carry out the evaluation 
                        requirements of section 3351;
                          (iii) ensure that the State agencies 
                        receiving subgrants under this chapter 
                        comply with all applicable statutory 
                        and regulatory requirements; and
                          (iv) provide such other information 
                        as the Secretary may reasonably 
                        require.
          (3) Duration of the plan.--Each State plan shall--
                  (A) remain in effect for the duration of the 
                State's participation under this subpart; and
                  (B) be periodically reviewed and revised by 
                the State, as necessary, to reflect changes in 
                the State's strategies and programs under this 
                subpart.
  (b) Secretarial Approval; Peer Review.--
          (1) In general.--The Secretary shall approve each 
        State plan that meets the requirements of this subpart.
          (2) Peer review.--The Secretary may review any State 
        plan with the assistance and advice of individuals with 
        relevant expertise.
  (c) State Agency Applications.--Any State agency that desires 
to receive funds to carry out a program under this chapter 
shall submit an application to the State educational agency 
that--
          (1) describes the procedures to be used, consistent 
        with the State plan under section 1111, to assess the 
        educational needs of the children to be served;
          (2) provides assurances that in making services 
        available to youth in adult correctional institutions, 
        priority will be given to such youth who are likely to 
        complete incarceration within a 2-year period;
          (3) describes the program, including a budget for the 
        first year of the program, with annual updates to be 
        provided to the State educational agency;
          (4) describes how the program will meet the goals and 
        objectives of the State plan;
          (5) describes how the State agency will consult with 
        experts and provide the necessary training for 
        appropriate staff, to ensure that the planning and 
        operation of institution-wide projects under section 
        3336 are of high quality;
          (6) describes how the agency will carry out the 
        evaluation requirements of section 10201 and how the 
        results of the most recent evaluation are used to plan 
        and improve the program;
          (7) includes data showing that the agency has 
        maintained the fiscal effort required of a local 
        educational agency, in accordance with section 10101;
          (8) describes how the programs will be coordinated 
        with other appropriate State and Federal programs, such 
        as programs under title I of the Workforce Investment 
        Act of 1998, vocational education programs, State and 
        local dropout prevention programs, and special 
        education programs;
          (9) describes how appropriate professional 
        development will be provided to teachers and other 
        staff;
          (10) designates an individual in each affected 
        institution to be responsible for issues relating to 
        the transition of children and youth from the 
        institution to locally operated programs;
          (11) describes how the agency will, endeavor to 
        coordinate with businesses for training and mentoring 
        for participating children and youth;
          (12) provides assurances that the agency will assist 
        in locating alternative programs through which students 
        can continue their education if students are not 
        returning to school after leaving the correctional 
        facility;
          (13) provides assurances that the agency will work 
        with parents to secure parents' assistance in improving 
        the educational achievement of their children and 
        preventing their children's further involvement in 
        delinquent activities;
          (14) provides assurances that the agency works with 
        special education youth in order to meet an existing 
        individualized education program and an assurance that 
        the agency will notify the youth's local school if the 
        youth--
                  (A) is identified as in need of special 
                education services while the youth is in the 
                facility; and
                  (B) intends to return to the local school;
          (15) provides assurances that the agency will work 
        with youth who dropped out of school before entering 
        the facility to encourage the youth to reenter school 
        once the term of the youth has been completed or 
        provide the youth with the skills necessary to gain 
        employment, continue the education of the youth, or 
        achieve a secondary school diploma or its recognized 
        equivalent if the youth does not intend to return to 
        school;
          (16) provides assurances that teachers and other 
        qualified staff are also trained to work with children 
        with disabilities and other students with special needs 
        taking into consideration the unique needs of such 
        students;
          (17) describes any additional services provided to 
        children and youth, such as career counseling, and 
        assistance in securing student loans and grants; and
          (18) provides assurances that the program under this 
        chapter will be coordinated with any programs operated 
        under the Juvenile Justice and Delinquency Prevention 
        Act of 1974 or other comparable programs, if 
        applicable.

SEC. 3335. USE OF FUNDS.

  (a) Uses.--
          (1) In general.--A State agency shall use funds 
        received under this chapter only for programs and 
        projects that--
                  (A) are consistent with the State plan under 
                section 3334(a); and
                  (B) concentrate on providing participants 
                with the knowledge and skills needed to make a 
                successful transition to secondary school 
                completion, further education, or employment.
          (2) Programs and projects.--Such programs and 
        projects--
                  (A) may include the acquisition of equipment;
                  (B) shall be designed to support educational 
                services that--
                          (i) except for institution-wide 
                        projects under section 3336, are 
                        provided to children and youth 
                        identified by the State agency as 
                        failing, or most at risk of failing, to 
                        meet the State's challenging State 
                        content standards and challenging State 
                        student performance standards;
                          (ii) supplement and improve the 
                        quality of the educational services 
                        provided to such children and youth by 
                        the State agency; and
                          (iii) afford such children and youth 
                        an opportunity to learn to such 
                        challenging State standards;
                  (C) shall be carried out in a manner 
                consistent with section 1120A and part F of 
                title I; and
                  (D) may include the costs of meeting the 
                evaluation requirements of section 10201.
  (b) Supplement, Not Supplant.--A program under this chapter 
that supplements the number of hours of instruction students 
receive from State and local sources shall be considered to 
comply with the supplement, not supplant requirement of section 
1120A without regard to the subject areas in which instruction 
is given during those hours.

SEC. 3336. INSTITUTION-WIDE PROJECTS.

  A State agency that provides free public education for 
children and youth in an institution for neglected or 
delinquent children and youth (other than an adult correctional 
institution) or attending a community-day program for such 
children may use funds received under this subpart to serve all 
children in, and upgrade the entire educational effort of, that 
institution or program if the State agency has developed, and 
the State educational agency has approved, a comprehensive plan 
for that institution or program that--
          (1) provides for a comprehensive assessment of the 
        educational needs of all youth in the institution or 
        program serving juveniles;
          (2) provides for a comprehensive assessment of the 
        educational needs of youth aged 20 and younger in adult 
        facilities who are expected to complete incarceration 
        within a two-year period;
          (3) describes the steps the State agency has taken, 
        or will take, to provide all youth under age 21 with 
        the opportunity to meet challenging State content 
        standards and challenging State student performance 
        standards in order to improve the likelihood that the 
        youths will complete secondary school, attain a 
        secondary diploma or its recognized equivalent, or find 
        employment after leaving the institution;
          (4) describes the instructional program, pupil 
        services, and procedures that will be used to meet the 
        needs described in paragraph (1), including, to the 
        extent feasible, the provision of mentors for students;
          (5) specifically describes how such funds will be 
        used;
          (6) describes the measures and procedures that will 
        be used to assess student progress;
          (7) describes how the agency has planned, and will 
        implement and evaluate, the institution-wide or 
        program-wide project in consultation with personnel 
        providing direct instructional services and support 
        services in institutions or community-day programs for 
        neglected or delinquent children and personnel from the 
        State educational agency; and
          (8) includes an assurance that the State agency has 
        provided for appropriate training for teachers and 
        other instructional and administrative personnel to 
        enable such teachers and personnel to carry out the 
        project effectively.

SEC. 3337. THREE-YEAR PROGRAMS OR PROJECTS.

  If a State agency operates a program or project under this 
chapter in which individual children are likely to participate 
for more than one year, the State educational agency may 
approve the State agency's application for a subgrant under 
this subpart for a period of not more than three years.

SEC. 3338. TRANSITION SERVICES.

  (a) Transition Services.--Each State agency shall reserve not 
more than 10 percent of the amount such agency receives under 
this chapter for any fiscal year to support projects that 
facilitate the transition of children and youth from State-
operated institutions to local educational agencies.
  (b) Conduct of Projects.--A project supported under this 
section may be conducted directly by the State agency, or 
through a contract or other arrangement with one or more local 
educational agencies, other public agencies, or private 
nonprofit organizations.
  (c) Limitation.--Any funds reserved under subsection (a) 
shall be used only to provide transitional educational 
services, which may include pupil services and mentoring, to 
neglected and delinquent children and youth in schools other 
than State-operated institutions.
  (d) Construction.--Nothing in this section shall be construed 
to prohibit a school that receives funds under subsection (a) 
from serving neglected and delinquent children and youth 
simultaneously with students with similar educational needs, in 
the same educational settings where appropriate.

                    CHAPTER 2--LOCAL AGENCY PROGRAMS

SEC. 3341. PURPOSE.

  The purpose of this chapter is to support the operation of 
local educational agency programs that involve collaboration 
with locally operated correctional facilities to--
          (1) carry out high quality education programs to 
        prepare youth for secondary school completion, 
        training, and employment, or further education;
          (2) provide activities to facilitate the transition 
        of such youth from the correctional program to further 
        education or employment; and
          (3) operate dropout prevention programs in local 
        schools for youth at risk of dropping out of school and 
        youth returning from correctional facilities.

SEC. 3342. PROGRAMS OPERATED BY LOCAL EDUCATIONAL AGENCIES.

  (a) Local Subgrants.--With funds made available under section 
3322(b), the State educational agency shall award subgrants to 
local educational agencies with high numbers or percentages of 
youth residing in locally operated (including county operated) 
correctional facilities for youth (including facilities 
involved in community day programs).
  (b) Special Rule.--A local educational agency which includes 
a correctional facility that operates a school is not required 
to operate a dropout prevention program if more than 30 percent 
of the youth attending such facility will reside outside the 
boundaries of the local educational agency upon leaving such 
facility.
  (c) Notification.--A State educational agency shall notify 
local educational agencies within the State of the eligibility 
of such agencies to receive a subgrant under this chapter.

SEC. 3343. LOCAL EDUCATIONAL AGENCY APPLICATIONS.

  Eligible local educational agencies desiring assistance under 
this chapter shall submit an application to the State 
educational agency, containing such information as the State 
educational agency may require. Each such application shall 
include--
          (1) a description of the program to be assisted;
          (2) a description of formal agreements between--
                  (A) the local educational agency; and
                  (B) correctional facilities and alternative 
                school programs serving youth involved with the 
                juvenile justice system to operate programs for 
                delinquent youth;
          (3) as appropriate, a description of how 
        participating schools will coordinate with facilities 
        working with delinquent youth to ensure that such youth 
        are participating in an education program comparable to 
        one operating in the local school such youth would 
        attend;
          (4) as appropriate, a description of the dropout 
        prevention program operated by participating schools 
        and the types of services such schools will provide to 
        at-risk youth in participating schools and youth 
        returning from correctional facilities;
          (5) as appropriate, a description of the youth 
        expected to be served by the dropout prevention program 
        and how the school will coordinate existing educational 
        programs to meet unique education needs;
          (6) as appropriate, a description of how schools will 
        coordinate with existing social and health services to 
        meet the needs of students at risk of dropping out of 
        school and other participating students, including 
        prenatal health care and nutrition services related to 
        the health of the parent and child, parenting and child 
        development classes, child care, targeted re-entry and 
        outreach programs, referrals to community resources, 
        and scheduling flexibility;
          (7) as appropriate, a description of any partnerships 
        with local businesses to develop training and mentoring 
        services for participating students;
          (8) as appropriate, a description of how the program 
        will involve parents in efforts to improve the 
        educational achievement of their children, assist in 
        dropout prevention activities, and prevent the 
        involvement of their children in delinquent activities;
          (9) a description of how the program under this 
        chapter will be coordinated with other Federal, State, 
        and local programs, such as programs under title I of 
        the Workforce Investment Act of 1998 and vocational 
        education programs serving at-risk youth;
          (10) a description of how the program will be 
        coordinated with programs operated under the Juvenile 
        Justice and Delinquency Prevention Act of 1974 and 
        other comparable programs, if applicable;
          (11) as appropriate, a description of how schools 
        will work with probation officers to assist in meeting 
        the needs of youth returning from correctional 
        facilities;
          (12) a description of efforts participating schools 
        will make to ensure correctional facilities working 
        with youth are aware of a child's existing 
        individualized education program; and
          (13) as appropriate, a description of the steps 
        participating schools will take to find alternative 
        placements for youth interested in continuing their 
        education but unable to participate in a regular public 
        school program.

SEC. 3344. USES OF FUNDS.

  Funds provided to local educational agencies under this 
chapter may be used, where appropriate, for--
          (1) dropout prevention programs which serve youth at 
        educational risk, including pregnant and parenting 
        teens, youth who have come in contact with the juvenile 
        justice system, youth at least one year behind their 
        expected grade level, migrant youth, immigrant youth, 
        students with limited-English proficiency and gang 
        members;
          (2) the coordination of health and social services 
        for such individuals if there is a likelihood that the 
        provision of such services, including day care and drug 
        and alcohol counseling, will improve the likelihood 
        such individuals will complete their education; and
          (3) programs to meet the unique education needs of 
        youth at risk of dropping out of school, which may 
        include vocational education, special education, career 
        counseling, and assistance in securing student loans or 
        grants.

SEC. 3345. PROGRAM REQUIREMENTS FOR CORRECTIONAL FACILITIES RECEIVING 
                    FUNDS UNDER THIS SECTION.

  Each correctional facility having an agreement with a local 
educational agency under section 3343(2) to provide services to 
youth under this chapter shall--
          (1) where feasible, ensure educational programs in 
        juvenile facilities are coordinated with the student's 
        home school, particularly with respect to special 
        education students with an individualized education 
        program;
          (2) notify the local school of a youth if the youth 
        is identified as in need of special education services 
        while in the facility;
          (3) where feasible, provide transition assistance to 
        help the youth stay in school, including coordination 
        of services for the family, counseling, assistance in 
        accessing drug and alcohol abuse prevention programs, 
        tutoring, and family counseling;
          (4) provide support programs which encourage youth 
        who have dropped out of school to reenter school once 
        their term has been completed or provide such youth 
        with the skills necessary for such youth to gain 
        employment or seek a secondary school diploma or its 
        recognized equivalent;
          (5) work to ensure such facilities are staffed with 
        teachers and other qualified staff who are trained to 
        work with children with disabilities and other students 
        with special needs taking into consideration the unique 
        needs of such children and students;
          (6) ensure educational programs in correctional 
        facilities are related to assisting students to meet 
        high educational standards;
          (7) use, to the extent possible, technology to assist 
        in coordinating educational programs between the 
        juvenile facility and the community school;
          (8) where feasible, involve parents in efforts to 
        improve the educational achievement of their children 
        and prevent the further involvement of such children in 
        delinquent activities;
          (9) coordinate funds received under this program with 
        other local, State, and Federal funds available to 
        provide services to participating youth, such as funds 
        made available under title I of the Workforce 
        Investment Act of 1998, and vocational education funds;
          (10) coordinate programs operated under this chapter 
        with activities funded under the Juvenile Justice and 
        Delinquency Prevention Act of 1974 and other comparable 
        programs, if applicable; and
          (11) if appropriate, work with local businesses to 
        develop training and mentoring programs for 
        participating youth.

SEC. 3346. ACCOUNTABILITY.

  The State educational agency may--
          (1) reduce or terminate funding for projects under 
        this chapter if a local educational agency does not 
        show progress in reducing dropout rates for male 
        students and for female students over a 3-year period; 
        and
          (2) require juvenile facilities to demonstrate, after 
        receiving assistance under this chapter for 3 years, 
        that there has been an increase in the number of youth 
        returning to school, obtaining a secondary school 
        diploma or its recognized equivalent, or obtaining 
        employment after such youth are released.

                     CHAPTER 3--GENERAL PROVISIONS

SEC. 3351. PROGRAM EVALUATIONS.

  (a) Scope of Evaluation.--Each State agency or local 
educational agency that conducts a program under chapter 1 or 2 
shall evaluate the program, disaggregating data on 
participation by sex, and if feasible, by race, ethnicity, and 
age, not less than once every three years to determine the 
program's impact on the ability of participants to--
          (1) maintain and improve educational achievement;
          (2) accrue school credits that meet State 
        requirements for grade promotion and secondary school 
        graduation;
          (3) make the transition to a regular program or other 
        education program operated by a local educational 
        agency; and
          (4) complete secondary school (or secondary school 
        equivalency requirements) and obtain employment after 
        leaving the institution.
  (b) Evaluation Measures.--In conducting each evaluation under 
subsection (a), a State agency or local educational agency 
shall use multiple and appropriate measures of student 
progress.
  (c) Evaluation Results.--Each State agency and local 
educational agency shall--
          (1) submit evaluation results to the State 
        educational agency; and
          (2) use the results of evaluations under this section 
        to plan and improve subsequent programs for 
        participating children and youth.

SEC. 3352. DEFINITIONS.

  In this subpart:
          (1) Adult correctional institution.--The term ``adult 
        correctional institution'' means a facility in which 
        persons are confined as a result of a conviction for a 
        criminal offense, including persons under 21 years of 
        age.
          (2) At-risk youth.--The term ``at-risk youth'' means 
        school aged youth who are at risk of academic failure, 
        have drug or alcohol problems, are pregnant or are 
        parents, have come into contact with the juvenile 
        justice system in the past, are at least one year 
        behind the expected grade level for the age of the 
        youth, have limited-English proficiency, are gang 
        members, have dropped out of school in the past, or 
        have high absenteeism rates at school.
          (3) Community day program.--The term ``community day 
        program'' means a regular program of instruction 
        provided by a State agency at a community day school 
        operated specifically for neglected or delinquent 
        children and youth.
          (4) Institution for neglected or delinquent children 
        and youth.--The term ``institution for neglected or 
        delinquent children and youth'' means--
                  (A) a public or private residential facility, 
                other than a foster home, that is operated for 
                the care of children who have been committed to 
                the institution or voluntarily placed in the 
                institution under applicable State law, due to 
                abandonment, neglect, or death of their parents 
                or guardians; or
                  (B) a public or private residential facility 
                for the care of children who have been 
                adjudicated to be delinquent or in need of 
                supervision.

SEC. 3353. AUTHORIZATION OF APPROPRIATIONS.

  There are authorized to be appropriated $42,000,000 for 
fiscal year 2001, and such sums as maybe necessary for each of 
the four succeeding fiscal years, to carry out this part.

                  PART C--GIFTED AND TALENTED CHILDREN

SEC. 3401. SHORT TITLE.

  This part may be cited as the ``Jacob K. Javits Gifted and 
Talented Students Education Act''.

SEC. 3402. STATEMENT OF PURPOSE.

  (a) Purpose.--The purpose of this part is--
          (1) to provide grants to State educational agencies 
        and local public schools for the support of programs, 
        classes, and other services designed to meet the needs 
        of the Nation's gifted and talented students in 
        elementary schools and secondary schools;
          (2) to encourage the development of rich and 
        challenging curricula for all students through the 
        appropriate application and adaptation of materials and 
        instructional methods developed under this part; and
          (3) to supplement and make more effective the 
        expenditure of State and local funds for the education 
        of gifted and talented students.

SEC. 3403. CONSTRUCTION.

  Nothing in this part shall be construed to prohibit a 
recipient of funds under this part from serving gifted and 
talented students simultaneously with students with similar 
educational needs, in the same educational setting where 
appropriate.

SEC. 3404. AUTHORIZATION OF APPROPRIATIONS; TRIGGER.

  (a) Authorization of Appropriations.--There are authorized to 
be appropriated to carry out this part $155,000,000 for fiscal 
year 2001 and such sums as may be necessary for each of the 4 
succeeding fiscal years.
  (b) Trigger.--Notwithstanding any other provision of this 
part, if the amount appropriated under subsection (a) for a 
fiscal year is less than $50,000,000, then the Secretary shall 
use such amount to carry out part B of title X (as such part 
was in effect on the day before the date of enactment of the 
Educational Opportunities Act).

SEC. 3405. ALLOTMENT TO STATES.

  (a) Reservation.--From the funds appropriated under section 
3404(a) for any fiscal year, the Secretary shall reserve not 
more than 1 percent for payments to the outlying areas to be 
allotted to the outlying areas in accordance with their 
respective needs for assistance under this part.
  (b) Allotment.--From the funds appropriated under section 
3404(a) that are not reserved under subsection (a), the 
Secretary shall allot to each State an amount that bears the 
same relation to the funds as the school-age population of the 
State bears to the school-age population of all States, except 
that no State shall receive an allotment that is less than 0.50 
percent of the funds.
  (c) Grandfather Clause.--If the amount appropriated under 
section 3404(a) for a fiscal year is $50,000,000 or more, then 
the Secretary shall use such amount to continue to make grant 
or contract payments to each entity that was awarded a 
multiyear grant or contract under part B of title X (as such 
part was in effect on the day before the date of enactment of 
the Educational Opportunities Act) for the duration of the 
grant or contract award.

SEC. 3406. STATE APPLICATIONS.

  (a) Application Requirements.--Any State that desires to 
receive assistance under this part shall submit to the 
Secretary an application that--
          (1) designates the State educational agency as the 
        agency responsible for the administration and 
        supervision of programs assisted under this part;
          (2) contains an assurance of the State educational 
        agency's ability to provide matching funds for the 
        activities to be assisted under this part in an amount 
        equal to not less than 20 percent of the grant funds to 
        be received, provided in cash or in-kind;
          (3) provides for a biennial submission of data 
        regarding the use of funds under this part, the types 
        of services furnished under this part, and how the 
        services impacted the individuals assisted under this 
        part;
          (4) provides that the State educational agency will 
        keep such records and provide such information to the 
        Secretary as may be required for fiscal audit and 
        program evaluation (consistent with all State 
        educational agency fiscal audit and program evaluation 
        responsibilities under this Act);
          (5) contains an assurance that there is compliance 
        with the requirements of this part; and
          (6) provides for timely public notice and public 
        dissemination of the data submitted pursuant to 
        paragraph (3).
  (b) Duration and Amendments.--An application filed by the 
State under subsection (a) shall be for a period not to exceed 
3 years.

SEC. 3407. STATE USES OF FUNDS.

  (a) In General.--A State educational agency shall not use 
more than 10 percent of the funds made available under this 
part for--
          (1) establishment and implementation of a peer review 
        process for grant applications under this part;
          (2) supervision of the awarding of funds to local 
        educational agencies or consortia thereof to support 
        gifted and talented students from all economic, ethnic, 
        and racial backgrounds, including such students of 
        limited English proficiency and such students with 
        disabilities;
          (3) planning, supervision, and processing of funds 
        made available under this section;
          (4) monitoring, evaluation, and dissemination of 
        programs and activities assisted under this part, 
        including the submission of an annual report to the 
        Secretary that describes the number of students served 
        and the education activities assisted under the grant;
          (5) providing technical assistance under this part; 
        and
          (6) supplementing, but not supplanting, the amount of 
        State and local funds expended for the education of, 
        and related services provided for, the education of 
        gifted and talented students.
  (b) Parental Support.--A State educational agency shall not 
use more than 2 percent of the fundsmade available under this 
part for providing information, education, and support to parents of 
gifted and talented children to enhance the parents' ability to 
participate in decisions regarding their children's educational 
programs.

SEC. 3408. DISTRIBUTION TO LOCAL EDUCATIONAL AGENCIES.

  (a) Grant Competition.--A State educational agency shall use 
not less than 88 percent of the funds made available under this 
part to award grants, on a competitive basis, to local 
educational agencies or consortia thereof to support programs, 
classes, and other services designed to meet the needs of 
gifted and talented students.
  (b) Size of Grant.--A State educational agency shall award a 
grant under this part for any fiscal year in an amount 
sufficient to meet the needs of the students to be served under 
the grant.

SEC. 3409. LOCAL APPLICATION REQUIREMENTS.

  (a) Application.--To be eligible to receive a grant under 
this part the local educational agency or consortium shall 
submit an application to the State educational agency.
  (b) Contents.--Each such application shall include--
          (1) an assurance that the funds received under this 
        part will be used to identify and support gifted and 
        talented students, including gifted and talented 
        students from all economic, ethnic, and racial 
        backgrounds, including such students of limited English 
        proficiency, and such students with disabilities;
          (2) a description of how the local educational agency 
        or consortium will meet the educational needs of gifted 
        and talented students, including the training of 
        personnel in the education of gifted and talented 
        students.

SEC. 3410. LOCAL USES OF FUNDS.

  Grants awarded under this part shall be used by local 
educational agencies or consortia to carry out 1 or more of the 
following activities to benefit gifted and talented students:
          (1) Professional development programs.--Developing 
        and implementing programs to address State and local 
        needs for inservice training activities for general 
        educators, specialists in gifted and talented 
        education, administrators, school counselors, or other 
        school personnel.
          (2) Identification of students.--Delivery of services 
        to gifted and talented students who may not be 
        identified and served through traditional assessment 
        methods, including economically disadvantaged 
        individuals, individuals of limited English 
        proficiency, and individuals with disabilities.
          (3) Model projects.--Supporting and implementing 
        innovative strategies such as cooperative learning, 
        service learning, peer tutoring, independent study, and 
        adapted curriculum used by schools or consortia.
          (4) Emerging technologies.--Assisting schools or 
        consortia of schools, that do not have the resources to 
        otherwise provide gifted and talented courses, to 
        provide the courses through new and emerging 
        technologies, including distance learning curriculum 
        packages, except that funds under this part shall not 
        be used for the purchase or upgrading of technological 
        hardware.

SEC. 3411. PARTICIPATION OF PRIVATE SCHOOL CHILDREN AND TEACHERS.

  In awarding grants under this part the Secretary shall 
ensure, where appropriate, that provision is made for the 
equitable participation of students and teachers in private, 
nonprofit elementary schools and secondary schools, including 
the participation of teachers and other personnel in 
professional development programs serving such children.

SEC. 3412. ESTABLISHMENT OF NATIONAL CENTER.

  (a) Purpose.--The purposes of a National Center for Research 
and Development in the Education of Gifted and Talented 
Children and Youth are--
          (1) to develop, disseminate, and evaluate model 
        projects and activities for serving gifted and talented 
        students;
          (2) to conduct research regarding innovative methods 
        for identifying and educating gifted and talented 
        students; and
          (3) to provide technical assistance programs that 
        will further the education of gifted and talented 
        students, including how gifted and talented programs, 
        where appropriate, may be adapted for use by all 
        students.
  (b) Center Established.--The Secretary shall establish a 
National Center for Research and Development in the Education 
of Gifted and Talented Children and Youth through grants to or 
contracts with 1 or more institutions of higher education, 
State educational agencies, or a consortia of such institutions 
and agencies.
  (c) Director.--The National Center shall have a Director. The 
Secretary may authorize the Director to carry out such 
functions of the National Center as may be agreed upon through 
arrangements with other institutions of higher education, and 
State educational agencies or local educational agencies.
  (d) Grandfather Clause.--If the amount appropriated under 
section 3404(a) for a fiscal year is $50,000,000 or more, then 
the Secretary shall use such amount to continue to make grant 
or contract payments to each entity that was awarded a 
multiyear grant or contract under section 10204(c) (as such 
section was in effect on the day before the date of enactment 
of the Educational Opportunities Act) for the duration of the 
grant or contract award.
  (e) Funding.--The Secretary may use not more than 30 percent 
of the funds made available under section 3404(a) for any 
fiscal year to carry out this section.

                       PART D--ARTS IN EDUCATION

                       Subpart 1--Arts Education

SEC. 3511. SUPPORT FOR ARTS EDUCATION.

  (a) Purposes.--The purposes of this subpart are to--
          (1) support systemic education reform by 
        strengthening arts education as an integral part of the 
        elementary school and secondary school curriculum;
          (2) help ensure that all students have the 
        opportunity to learn to challenging State 
contentstandards and challenging State student performance standards in 
the arts;
          (3) support the national effort to enable all 
        students to demonstrate competence in the arts in 
        accordance with the America's Education Goals;
          (4) support model partnership programs between 
        schools and nonprofit cultural organizations designed 
        to contribute to overall achievement for students and 
        complement curriculum-based arts instruction in the 
        classroom; and
          (5) support projects and programs in the performing 
        arts through arrangements with the John F. Kennedy 
        Center for the Performing Arts, and support model 
        projects and programs that assure the participation in 
        the arts and education programs for individuals with 
        disabilities through VSA Arts.
  (b) Eligible Recipients.--In order to carry out the purposes 
of this subpart, the Secretary is authorized to award grants 
to, or enter into contracts or cooperative agreements with--
          (1) State educational agencies;
          (2) local educational agencies;
          (3) institutions of higher education;
          (4) museums and other cultural institutions; and
          (5) other public and private agencies, institutions, 
        and organizations.
  (c) Authorized Activities.--Funds under this subpart may be 
used for--
          (1) the development and dissemination of model arts 
        education programs or model arts education assessments 
        based on high standards;
          (2) the development and implementation of curriculum 
        frameworks for arts education;
          (3) the development of model preservice and inservice 
        professional development programs for arts educators 
        and other instructional staff;
          (4) supporting collaborative activities with other 
        Federal agencies or institutions involved in arts 
        education, such as the National Endowment for the Arts, 
        the Institute of Museum and Library Services, the John 
        F. Kennedy Center for the Performing Arts, VSA Arts, 
        and the National Gallery of Art;
          (5) supporting model projects and programs in the 
        performing arts for children and youth through 
        arrangements made with the John F. Kennedy Center for 
        the Performing Arts;
          (6) supporting model projects and programs by VSA 
        Arts that assure the participation in mainstream 
        settings in arts and education programs of individuals 
        with disabilities; and
          (7) supporting collaborative projects between 
        schools, and nonprofit cultural organizations with 
        expertise in music, dance, literature, theater and the 
        visual arts, for model school arts programs.
  (d) Coordination.--
          (1) In general.--A recipient of funds under this 
        subpart, to the extent possible, shall coordinate 
        projects assisted under this subpart with appropriate 
        activities of public and private cultural agencies, 
        institutions, and organizations, including museums, 
        arts education associations, libraries, and theaters.
          (2) Special rule.--In carrying out this subpart, the 
        Secretary shall coordinate with the National Endowment 
        for the Arts, the Institute of Museum and Library 
        Services, the John F. Kennedy Center for the Performing 
        Arts, VSA Arts, and the National Gallery of Art.
  (e) Authorization.--
          (1) In general.--For the purpose of carrying out this 
        subpart, there are authorized to be appropriated 
        $25,000,000 for fiscal year 2001 and such sums as may 
        be necessary for each of the 4 succeeding fiscal years.
          (2) Special rule.--If the amount appropriated under 
        paragraph (1) for any fiscal year is $10,000,000 or 
        less, then such amount shall only be available to carry 
        out the activities described in paragraphs (5) and (6) 
        of subsection (c).

           Subpart 2--Cultural Partnerships for At-Risk Youth

SEC. 3521. PURPOSE.

  The purpose of this subpart is to award grants to eligible 
entities to improve the educational performance and potential 
of at-risk youth by providing comprehensive and coordinated 
educational and cultural services.

SEC. 3522. PROGRAM AUTHORIZED.

  (a) In General.--The Secretary is authorized to award grants 
to eligible entities to pay the Federal share of the costs of 
the activities described in section 3523.
  (b) Special Requirements.--
          (1) In general.--The Secretary shall award grants 
        under this subpart only to eligible entities carrying 
        out programs designed to--
                  (A) promote and enhance educational and 
                cultural activities;
                  (B) provide multiyear services to at-risk 
                youth and to integrate community cultural 
                resources into in-school and after-school 
                educational programs;
                  (C) provide integration of community cultural 
                resources into the regular curriculum and 
                school day;
                  (D) focus school and cultural resources in 
                the community on coordinated cultural services 
                to address the needs of at-risk youth;
                  (E) provide effective cultural programs to 
                facilitate the transition from preschool 
                programs to elementary school programs, 
                including programs under the Head Start Act and 
                part C of the Individuals with Disabilities 
                Education Act;
                  (F) facilitate school-to-work transition from 
                secondary schools and alternative schools to 
                job training, higher education and employment 
                through educational programs and activities 
                that utilize school resources;
                  (G) increase parental and community 
                involvement in the educational, social, and 
                cultural development of at-risk youth; or
                  (H)(i) develop programs and strategies that 
                provide high-quality coordinated educational 
                and cultural services; and
                  (ii) provide a model to replicate such 
                services in other schools and communities.
          (2) Partnership.--An interagency partnership 
        comprised of the Secretary, the Chairman of the 
        National Endowment for the Humanities, the Chairman of 
        the National Endowment for the Arts, and the Director 
        of the Institute of Museum and Library Services, or 
        their designees, shall establish criteria and 
        procedures for awarding grants, including the 
        establishment of panels to review the applications, and 
        shall administer the grants program authorized by this 
        section. The Secretary shall publish such criteria and 
        procedures in the Federal Register.
          (3) Coordination.--Grants may only be awarded under 
        this subpart to eligible entities that agree to 
        coordinate activities carried out under other Federal, 
        State, and local grants, received by the members of the 
        partnership for purposes and target populations 
        described in this subpart, into an integrated service 
        delivery system located at a school, cultural, or other 
        community-based site accessible to and utilized by at-
        risk youth.
          (4) Eligible entities.--For purposes of this subpart, 
        the term `eligible entity' means a partnership between 
        or among--
                  (A)(i) one or more local educational 
                agencies; or
                  (ii) one or more individual schools that are 
                eligible to participate in a schoolwide program 
                under section 1114; and
                  (B) at least 1 institution of higher 
                education, museum, local arts agency, or 
                nonprofit cultural organization or institution 
                with expertise in music, dance, theater, 
                creative writing, or visual arts, that is 
                accessible to individuals within the school 
                district of such local educational agency or 
                school, and that has a history of providing 
                quality services to the community, which may 
                include--
                          (i) nonprofit institutions of higher 
                        education, museums, libraries, 
                        performing, presenting and exhibiting 
                        arts organizations, literary arts 
                        organizations, State and local arts 
                        organizations, cultural institutions, 
                        and zoological and botanical 
                        organizations; or
                          (ii) private for-profit entities with 
                        a history of training youth in the 
                        arts.
          (5) Geographic distribution.--In awarding grants 
        under this subpart the Secretary, to the extent 
        feasible, shall ensure an equitable geographic 
        distribution of the grants.
          (6) Duration.--Grants made under this subpart may be 
        renewable for a maximum of 5 years if the Secretary 
        determines that the eligible recipient has made 
        satisfactory progress toward the achievement of the 
        program objectives described in the application.
          (7) Models.--The Secretary, in consultation with the 
        Chairman of the National Endowment for the Humanities, 
        the Chairman of the National Endowment for the Arts, 
        and the Director of the Institute of Museum and Library 
        Services, or their designees, shall submit successful 
        models developed under this subpart to the National 
        Diffusion Network for review.
  (c) Target Population.--To be eligible for a grant under this 
subpart an eligible entity shall support activities under this 
part that serve--
          (1) students enrolled in schools participating in a 
        schoolwide program under section 1114 and the families 
        of such students to the extent practicable;
          (2) out-of-school at-risk youth; or
          (3) a combination of in-school and out-of-school at-
        risk youth.

SEC. 3523. AUTHORIZED ACTIVITIES.

  (a) In General.--Grants awarded under this subpart may be 
used--
          (1) to develop, acquire, implement, and expand 
        school-based coordinated educational and cultural 
        programs to strengthen the educational performance and 
        potential of in-school or out-of-school at-risk youth 
        through grants, cooperative agreements or contracts, or 
        through the provision of services;
          (2) to provide at-risk youth with integrated cultural 
        activities designed to improve academic achievement and 
        the transition of such students to all levels of 
        education from prekindergarten to secondary school and 
        beyond;
          (3) to work with school personnel on staff 
        development activities that--
                  (A) encourage the integration of arts into 
                the curriculum; and
                  (B) to the greatest extent practicable, are 
                tied to challenging State content standards and 
                challenging State student performance 
                standards;
          (4) for cultural programs that encourage the active 
        participation of parents in the education of their 
        children; and
          (5) for assistance that allows local artists to work 
        with at-risk youth in schools.
  (b) Applications.--
          (1) In general.--Each eligible entity desiring a 
        grant under this subpart shall submit an application to 
        the Secretary at such time, in such manner, and 
        accompanied by such information as the Secretary may 
        reasonably require.
          (2) Contents.--Each application submitted pursuant to 
        paragraph (1) shall--
                  (A) describe the cultural entity or entities 
                that will participate in the partnership;
                  (B) describe the target population to be 
                served;
                  (C) describe the services to be provided;
                  (D) describe a plan for evaluating the 
                success of the program;
                  (E) in the case of each local educational 
                agency or school participating in the 
                partnership, describe how the activities 
                assisted under this subpart will be perpetuated 
                beyond the duration of the grant;
                  (F) describe the manner in which the eligible 
                entity will improve the educational achievement 
                or potential of at-risk youththrough more 
effective coordination of cultural services in the community;
                  (G) describe the overall and operational 
                goals of the program;
                  (H) describe the nature and location of all 
                planned sites where services will be delivered 
                and a description of services which will be 
                provided at each site; and
                  (I) describe training that will be provided 
                to individuals who are not trained to work with 
                youth, and how teachers will be involved.

SEC. 3524. PAYMENTS; AMOUNTS OF AWARD; COST SHARE; LIMITATIONS.

  (a) Payments.--
          (1) In general.--The Secretary shall pay to each 
        eligible recipient having an application approved under 
        section 3523(b) the Federal share of the cost of the 
        activities described in the application.
          (2) Special rule.--
                  (A) In general.--Grants awarded under this 
                subpart shall be of sufficient size, scope, and 
                quality to be effective.
                  (B) Nonduplication.--The Secretary shall 
                award grants under this subpart so as to ensure 
                nonduplication of services provided by grant 
                recipients and services provided by--
                          (i) the National Endowment for the 
                        Humanities;
                          (ii) the National Endowment for the 
                        Arts; and
                          (iii) the Institute of Museum and 
                        Library Services.
  (b) Cost Share.--
          (1) Federal share.--The Federal share of the cost of 
        activities assisted under a grant under this subpart 
        shall be 80 percent of the cost of carrying out the 
        activities.
          (2) Non-federal share.--The non-Federal share of the 
        cost of activities assisted under a grant under this 
        subpart shall be 20 percent of the cost of carrying out 
        the activities, and may be provided in cash or in kind, 
        fairly evaluated, including the provision of equipment, 
        services, or facilities.
  (c) Limitations.--
          (1) Supplement and not supplant.--Grant funds awarded 
        under this part shall be used to supplement not 
        supplant the amount of funds made available from non-
        Federal sources, for the activities assisted under this 
        subpart, in amounts that exceed the amounts expended 
        for such activities in the year preceding the year for 
        which the grant is awarded.
          (2) Evaluation; replication; administrative costs.--
                  (A) Secretary.--The Secretary may reserve not 
                more than 5 percent of the grant funds received 
                under this subpart in each fiscal year for the 
                costs of evaluation and replication of programs 
                funded under this subpart.
                  (B) Eligible recipients.--Each eligible 
                recipient may reserve not more than 5 percent 
                of any grant funds received under this subpart 
                in each fiscal year for the costs of 
                administration, including review and evaluation 
                of each program assisted under this subpart.

SEC. 3525. AUTHORIZATION OF APPROPRIATIONS.

  There are authorized to be appropriated to carry out this 
subpart, $45,000,000 for fiscal year 2001, and such sums as may 
be necessary for each of the 4 succeeding fiscal years.

                  PART E--ADVANCED PLACEMENT PROGRAMS

SEC. 3601. SHORT TITLE.

  This part may be cited as the ``Access to High Standards 
Act''.

SEC. 3602. FINDINGS AND PURPOSES.

  (a) Findings.--Congress finds that--
          (1) far too many students are not being provided 
        sufficient academic preparation in secondary school, 
        which results in limited employment opportunities, 
        college dropout rates of over 25 percent for the first 
        year of college, and remediation for almost one-third 
        of incoming college freshmen;
          (2) there is a growing consensus that raising 
        academic standards, establishing high academic 
        expectations, and showing concrete results are at the 
        core of improving public education;
          (3) modeling academic standards on the well-known 
        program of advanced placement courses is an approach 
        that many education leaders and almost half of all 
        States have endorsed;
          (4) advanced placement programs already are providing 
        30 different college-level courses, serving almost 60 
        percent of all secondary schools, reaching over 
        1,000,000 students (of whom 80 percent attend public 
        schools, 55 percent are females, and 30 percent are 
        minorities), and providing test scores that are 
        accepted for college credit at over 3,000 colleges and 
        universities, every university in Germany, France, and 
        Austria, and most institutions in Canada and the United 
        Kingdom;
          (5) 24 States are now funding programs to increase 
        participation in advanced placement programs, including 
        19 States that provide funds for advanced placement 
        teacher professional development, 3 States that require 
        that all public secondary schools offer advanced 
        placement courses, 10 States that pay the fees for 
        advanced placement tests for some or all students, and 
        4 States that require that their public universities 
        grant uniform academic credit for scores of 3 or better 
        on advanced placement tests; and
          (6) the State programs described in paragraph (5) 
        have shown the responsiveness of schools and students 
        to such programs, raised the academic standards for 
        both students participating in such programs and other 
        children taught by teachers who are involved in 
        advanced placement courses, and shown tremendous 
        success in increasing enrollment, achievement, and 
        minority participation in advanced placement programs.
  (b) Purposes.--The purposes of this part are--
          (1) to encourage more of the 600,000 students who 
        take advanced placement courses but do not take 
        advanced placement exams each year to demonstrate their 
        achievements through taking the exams;
          (2) to build on the many benefits of advanced 
        placement programs for students, which benefits may 
        include the acquisition of skills that are important to 
        many employers, Scholastic Aptitude Tests (SAT) scores 
        that are 100 points above the national averages, and 
        the achievement of better grades in secondary school 
        and in college than the grades of students who have not 
        participated in the programs;
          (3) to support State and local efforts to raise 
        academic standards through advanced placement programs, 
        and thus further increase the number of students who 
        participate and succeed in advanced placement programs;
          (4) to increase the availability and broaden the 
        range of schools that have advanced placement programs, 
        which programs are still often distributed unevenly 
        among regions, States, and even secondary schools 
        within the same school district, while also increasing 
        and diversifying student participation in the programs;
          (5) to build on the State programs described in 
        subsection (a)(5) and demonstrate that larger and more 
        diverse groups of students can participate and succeed 
        in advanced placement programs;
          (6) to provide greater access to advanced placement 
        courses for low-income and other disadvantaged 
        students;
          (7) to provide access to advanced placement courses 
        for secondary school juniors at schools that do not 
        offer advanced placement programs, increase the rate of 
        secondary school juniors and seniors who participate in 
        advanced placement courses to 25 percent of the 
        secondary school student population, and increase the 
        numbers of students who receive advanced placement test 
        scores for which college academic credit is awarded; 
        and
          (8) to increase the participation of low-income 
        individuals in taking advanced placement tests through 
        the payment or partial payment of the costs of the 
        advanced placement test fees.

SEC. 3603. FUNDING DISTRIBUTION RULE.

  From amounts appropriated under section 3608 for a fiscal 
year, the Secretary shall give first priority to funding 
activities under section 3606, and shall distribute any 
remaining funds not so applied according to the following 
ratio:
          (1) Seventy percent of the remaining funds shall be 
        available to carry out section 3604.
          (2) Thirty percent of the remaining funds shall be 
        available to carry out section 3605.

SEC. 3604. ADVANCED PLACEMENT PROGRAM GRANTS.

  (a) Grants Authorized.--
          (1) In general.--From amounts appropriated under 
        section 3608 and made available under section 3603(1) 
        for a fiscal year, the Secretary shall award grants, on 
        a competitive basis, to eligible entities to enable the 
        eligible entities to carry out the authorized 
        activities described in subsection (c).
          (2) Duration and payments.--
                  (A) Duration.--The Secretary shall award a 
                grant under this section for a period of 3 
                years.
                  (B) Payments.--The Secretary shall make grant 
                payments under this section on an annual basis.
          (3) Definition of eligible entity.--In this section, 
        the term ``eligible entity'' means a State educational 
        agency, or a local educational agency, in the State.
  (b) Priority.--In awarding grants under this section the 
Secretary shall give priority to eligible entities submitting 
applications under subsection (d) that demonstrate--
          (1) a pervasive need for access to advanced placement 
        incentive programs;
          (2) the involvement of business and community 
        organizations in the activities to be assisted;
          (3) the availability of matching funds from State or 
        local sources to pay for the cost of activities to be 
        assisted;
          (4) a focus on developing or expanding advanced 
        placement programs and participation in the core 
        academic areas of English, mathematics, and science; 
        and
          (5)(A) in the case of an eligible entity that is a 
        State educational agency, the State educational agency 
        carries out programs in the State that target--
                  (i) local educational agencies serving 
                schools with a high concentration of low-income 
                students; or
                  (ii) schools with a high concentration of 
                low-income students; or
          (B) in the case of an eligible entity that is a local 
        educational agency, the local educational agency serves 
        schools with a high concentration of low-income 
        students.
  (c) Authorized Activities.--An eligible entity may use grant 
funds under this section to expand access for low-income 
individuals to advanced placement incentive programs that 
involve--
          (1) teacher training;
          (2) preadvanced placement course development;
          (3) curriculum coordination and articulation between 
        grade levels that prepare students for advanced 
        placement courses;
          (4) curriculum development;
          (5) books and supplies; and
          (6) any other activity directly related to expanding 
        access to and participation in advanced placement 
        incentive programs particularly for low-income 
        individuals.
  (d) Application.--Each eligible entity desiring a grant under 
this section shall submit an application to the Secretary at 
such time, in such manner, and accompanied by such information 
as the Secretary may require.
  (e) Data Collection and Reporting.--
          (1) Data collection.--Each eligible entity receiving 
        a grant under this section shall annually report to the 
        Secretary--
                  (A) the number of students taking advanced 
                placement courses who are served by the 
                eligible entity;
                  (B) the number of advanced placement tests 
                taken by students served by the eligible 
                entity;
                  (C) the scores on the advanced placement 
                tests; and
                  (D) demographic information regarding 
                individuals taking the advanced placement 
                courses and tests disaggregated by race, 
                ethnicity, sex, English proficiency status, and 
                socioeconomic status.
          (2) Report.--The Secretary shall annually compile the 
        information received from each eligible entity under 
        paragraph (1) and report to Congress regarding the 
        information.

SEC. 3605. ON-LINE ADVANCED PLACEMENT COURSES.

  (a) Grants Authorized.--From amounts appropriated under 
section 3608 and made available under section 3603(2) for a 
fiscal year, the Secretary shall award grants to State 
educational agencies to enable such agencies to award grants to 
local educational agencies to provide students with on-line 
advanced placement courses.
  (b) State Educational Agency Applications.--
          (1) Application required.--Each State educational 
        agency desiring a grant under this section shall submit 
        an application to the Secretary at such time, in such 
        manner, and accompanied by such information as the 
        Secretary may require.
          (2) Award basis.--The Secretary shall award grants 
        under this section on a competitive basis.
  (c) Grants to Local Educational Agencies.--Each State 
educational agency receiving a grant award under subsection (b) 
shall award grants to local educational agencies within the 
State to carry out activities described in subsection (e). In 
awarding grants under this subsection, the State educational 
agency shall give priority to local educational agencies that--
          (1) serve high concentrations of low-income students;
          (2) serve rural areas; and
          (3) the State educational agency determines would not 
        have access to on-line advanced placement courses 
        without assistance provided under this section.
  (d) Contracts.--A local educational agency that receives a 
grant under this section may enter into a contract with a 
nonprofit or for-profit organization to provide the on-line 
advanced placement courses, including contracting for necessary 
support services.
  (e) Uses.--Grant funds provided under this section may be 
used to purchase the on-line curriculum, to train teachers with 
respect to the use of on-line curriculum, or to purchase course 
materials.

SEC. 3606. ADVANCED PLACEMENT INCENTIVE PROGRAM.

  (a) Grants Authorized.--From amounts appropriated under 
section 3608 and made available under section 3603 for a fiscal 
year, the Secretary shall award grants to State educational 
agencies having applications approved under subsection (c) to 
enable the State educational agencies to reimburse low-income 
individuals to cover part or all of the costs of advanced 
placement test fees, if the low-income individuals--
          (1) are enrolled in an advanced placement class; and
          (2) plan to take an advanced placement test.
  (b) Award Basis.--In determining the amount of the grant 
awarded to each State educational agency under this section for 
a fiscal year, the Secretary shall consider the number of 
children eligible to be counted under section 1124(c) in the 
State in relation to the number of such children so counted in 
all the States.
  (c) Information Dissemination.--A State educational agency 
shall disseminate information regarding the availability of 
advanced placement test fee payments under this section to 
eligible individuals through secondary school teachers and 
guidance counselors.
  (d) Applications.--Each State educational agency desiring a 
grant under this section shall submit an application to the 
Secretary at such time, in such manner, and accompanied by such 
information as the Secretary may require. At a minimum, each 
State educational agency application shall--
          (1) describe the advanced placement test fees the 
        State educational agency will pay on behalf of low-
        income individuals in the State from grant funds made 
        available under this section;
          (2) provide an assurance that any grant funds 
        received under this section, other than funds used in 
        accordance with subsection (e), shall be used only to 
        pay for advanced placement test fees; and
          (3) contain such information as the Secretary may 
        require to demonstrate that the State will ensure that 
        a student is eligible for payments under this section, 
        including documentation required underchapter 1 of 
subpart 2 of part A of title IV of the Higher Education Act of 1965 (20 
U.S.C. 1070a-11 et seq.).
  (e) Additional Uses of Funds.--If each eligible low-income 
individual in a State pays not more than a nominal fee to take 
an advanced placement test in a core subject, then a State 
educational agency may use grant funds made available under 
this section that remain after advanced placement test fees 
have been paid on behalf of all eligible low-income individuals 
in the State, for activities directly related to increasing--
          (1) the enrollment of low-income individuals in 
        advanced placement courses;
          (2) the participation of low-income individuals in 
        advanced placement courses; and
          (3) the availability of advanced placement courses in 
        schools serving high-poverty areas.
  (f) Supplement, Not Supplant.--Grant funds provided under 
this section shall supplement, and not supplant, other non-
federal funds that are available to assist low-income 
individuals in paying for the cost of advanced placement test 
fees.
  (g) Regulations.--The Secretary shall prescribe such 
regulations as are necessary to carry out this section.
  (h) Report.--Each State educational agency annually shall 
report to the Secretary information regarding--
          (1) the number of low-income individuals in the State 
        who received assistance under this section; and
          (2) any activities carried out pursuant to subsection 
        (e).
  (i) Definitions.--In this section:
          (1) Advanced placement test.--The term ``advanced 
        placement test'' includes only an advanced placement 
        test approved by the Secretary for the purposes of this 
        section.
          (2) Low-income individual.--The term ``low-income 
        individual'' has the meaning given the term in section 
        402A(g)(2) of the Higher Education Act of 1965 (20 
        U.S.C. 1070a-11(g)(2)).

SEC. 3607. DEFINITIONS.

  In this part:
          (1) Advanced placement incentive program.--The term 
        ``advanced placement incentive program'' means a 
        program that provides advanced placement activities and 
        services to low-income individuals.
          (2) Advanced placement test.--The term ``advanced 
        placement test'' means an advanced placement test 
        administered by the College Board or approved by the 
        Secretary.
          (3) High concentration of low-income students.--The 
        term ``high concentration of low-income students'', 
        used with respect to a State educational agency, local 
        educational agency or school, means an agency or 
        school, as the case may be, that serves a student 
        population 40 percent or more of whom are from families 
        with incomes below the poverty level, as determined in 
        the same manner as the determination is made under 
        section 1124(c)(2).
          (4) Low-income individual.--The term ``low-income 
        individual'' means, other than for purposes of section 
        3606, a low-income individual (as defined in section 
        402A(g)(2) of the Higher Education Act of 1965 (20 
        U.S.C. 1070a-11(g)(2)) who is academically prepared to 
        take successfully an advanced placement test as 
        determined by a school teacher or advanced placement 
        coordinator taking into consideration factors such as 
        enrollment and performance in an advanced placement 
        course or superior academic ability.
          (5) Institution of higher education.--The term 
        ``institution of higher education'' has the meaning 
        given the term in section 101(a) of the Higher 
        Education Act of 1965 (20 U.S.C. 1001(a)).
          (6) State.--The term ``State'' means each of the 
        several States of the United States, the District of 
        Columbia, the Commonwealth of Puerto Rico, Guam, 
        American Samoa, the United States Virgin Islands, the 
        Republic of the Marshall Islands, the Federated States 
        of Micronesia, and the Republic of Palau.

SEC. 3608. AUTHORIZATION OF APPROPRIATIONS.

  For the purpose of carrying out this part, there are 
authorized to be appropriated $50,000,000 for fiscal year 2001, 
and such sums as may be necessary for each of the 4 succeeding 
fiscal years.

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

[SEC. 4001. [20 U.S.C. 7101] SHORT TITLE.

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

[SEC. 4002. [20 U.S.C. 7102] 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. [20 U.S.C. 7103] 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. [20 U.S.C. 7104] 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. [20 U.S.C. 7111] 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 ofsuch 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. [20 U.S.C. 7112] 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. [20 U.S.C. 7113] 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. [20 U.S.C. 7114] 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. [20 U.S.C. 7115] 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. [20 U.S.C. 7116] 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. [20 U.S.C. 7118] 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. [20 U.S.C. 7118] 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. [20 U.S.C. 7131] 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.
  [Section 4122 was repealed by section 981 of Public Law 105-
244 (105 Stat. 1837).]

[SEC. 4123. [20 U.S.C. 7133] 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. [20 U.S.C. 7141] 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. [20 U.S.C. 7142] 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. [20 U.S.C. 7143] 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.

[SEC. 4134. [20 U.S.C. 7144] QUALITY RATING.

  [(a) In General.--The chief executive officer of each State, 
or in the case of a State in which the constitution or law of 
such State designates another individual, entity, or agency in 
the State to be responsible for education activities, such 
individual, entity, or agency, is authorized and encouraged--
          [(1) to establish a standard of quality for drug, 
        alcohol, and tobacco prevention programs implemented in 
        public elementary schools and secondary schools in the 
        State in accordance with subsection (b); and
          [(2) to identify and designate, upon application by a 
        public elementary school or secondary school, any such 
        school that achieves such standard as a quality program 
        school.
  [(b) Criteria.--The standard referred to in subsection (a) 
shall address, at a minimum--
          [(1) a comparison of the rate of illegal use of 
        drugs, alcohol, and tobacco by students enrolled in the 
        school for a period of time to be determined by the 
        chief executive officer of the State;
          [(2) the rate of suspensions or expulsions of 
        students enrolled in the school for drug, alcohol, or 
        tobacco-related offenses;
          [(3) the effectiveness of the drug, alcohol, or 
        tobacco prevention program as proven by research;
          [(4) the involvement of parents and community members 
        in the design of the drug, alcohol, and tobacco 
        prevention program; and
          [(5) the extent of review of existing community drug, 
        alcohol, and tobacco prevention programs before 
        implementation of the public school program.
  [(c) Request for Quality Program School Designation.--A 
school that wishes to receive a quality program school 
designation shall submit a request and documentation of 
compliance with this section to the chief executive officer of 
the State or the individual, entity, or agency described in 
subsection (a), as the case may be.
  [(d) Public Notification.--Not less than once a year, the 
chief executive officer of each State or the individual, 
entity, or agency described in subsection (a), as the case may 
be, shall make available to the public a list of the names of 
each public school in the State that has received a quality 
program school designation in accordance with this section.]

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

                          PART A--STATE GRANTS

SEC. 4001. SHORT TITLE.

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

SEC. 4002. FINDINGS.

  Congress makes the following findings:
          (1) Every student should attend a school in a drug- 
        and violence-free learning environment.
          (2) The widespread illegal use of alcohol and 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) Drug and violence prevention programs are 
        essential components of a comprehensive strategy to 
        promote school safety, youth development, positive 
        school outcomes, and to reduce the demand for and 
        illegal use of alcohol, tobacco and drugs throughout 
        the Nation. Schools, local organizations, parents, 
        students, and communities throughout the Nation have a 
        special responsibility to work together to combat the 
        continuing epidemic of violence and illegal drug use 
        and should measure the success of their programs 
        against clearly defined goals and objectives.
          (4) Drug and violence prevention programs are most 
        effective when implemented within a research-based, 
        drug and violence prevention framework of proven 
        effectiveness.
          (5) Research clearly shows that community contexts 
        contribute to substance abuse and violence.
          (6) Substance abuse and violence are intricately 
        related and must be dealt with in a holistic manner.
          (7) Research has documented that parental behavior 
        and environment directly influence a child's 
        inclination to use alcohol, tobacco or drugs.

SEC. 4003. PURPOSE.

  The purpose of this part is to support programs that prevent 
violence in and around schools and prevent the illegal use of 
alcohol, tobacco, and drugs, involve parents, and are 
coordinated with related Federal, State, school, 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 for the development 
        and implementation of policies that set clear and 
        appropriate standards regarding the illegal use of 
        alcohol, tobacco and drugs, and for violent behavior 
        (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 including 
        community mobilization, early intervention, 
        rehabilitation referral, and education;
          (3) States for development, training, technical 
        assistance, and coordination activities; and
          (4) public and private nonprofit organizations to 
        provide technical assistance, conduct training, 
        demonstrations, and evaluation, and to provide 
        supplementary services and community mobilization 
        activities for the prevention of drug use and violence 
        among students and youth.

SEC. 4004. FUNDING.

  There are authorized to be appropriated--
          (1) $700,000,000 for fiscal year 2001, and such sums 
        as may be necessary for each of the 4 succeeding fiscal 
        years, for State grants under subpart 1;
          (2) $150,000,000 for fiscal year 2001, and such sums 
        as may be necessary for each of the 4 succeeding fiscal 
        years, for national programs under subpart 2; and
          (3) $75,000,000 for fiscal year 2001, and such sums 
        as may be necessary for each of the 4 succeeding fiscal 
        years, for the National Coordinator Initiative under 
        section 4122.

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

SEC. 4111. RESERVATIONS AND ALLOTMENTS.

  (a) Reservations.--From the amount made available under 
section 4004(1) 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 $2,000,000 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 section 1124A for the preceding 
                year 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 2 years of such allotment. Such 
        reallotments shall be made on the same basis as 
        allotments are made under paragraph (1).
          (4) Definitions.--In this subsection:
                  (A) State.--The term ``State'' means each of 
                the 50 States, the District of Columbia, and 
                the Commonwealth of Puerto Rico.
                  (B) Local educational agency.--The term 
                ``local educational agency'' includes 
                educational service agencies and consortia of 
                such agencies.
  (c) Limitation.--Amounts appropriated under section 4004(2) 
for a fiscal year may not be increased above the amounts 
appropriated under such section for the previous fiscal year 
unless the amounts appropriated under section 4004(1) for the 
fiscal year involved are at least 10 percent greater that the 
amounts appropriated under such section 4004(1) for the 
previous fiscal year.

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) contains a comprehensive plan for the use of 
        funds by the State educational agency and the chief 
        executive officer to provide safe, orderly, and drug-
        free schools and communities;
          (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 incidence 
        and prevalence, age of onset, perception of health 
        risk, and perception of social disapproval of drug use 
        and violence by youth in schools and communities and 
        the prevalence of risk or protective factors, buffers 
        or assets or other research-based variables in the 
        school and community;
          (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 together, with each such officer or State 
        representative, 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);
          (5) contains assurances that the State education 
        agency and the Governor will develop their respective 
        applications in consultation with an advisory council 
        that includes, to the extent practicable, 
        representatives from school districts, businesses, 
        parents, youth, teachers, administrators, pupil 
        services personnel, private schools, appropriate State 
        agencies, community-based organization, the medical 
        profession, law enforcement, the faith-based community 
        and other groups with interest and expertise in 
        alcohol, tobacco, drug, and violence prevention;
          (6) contains assurances that the State education 
        agency and the Governor involve the representatives 
        described in paragraph (5), on an ongoing basis, to 
        review program evaluations and other relevant material 
        and make recommendations to the State education agency 
        and the Governor on how to improve their respective 
        alcohol, tobacco, drug, and violence prevention 
        programs;
          (7) contains a list of the State's results-based 
        performance measures for drug and violence prevention, 
        that shall--
                  (A) be focused on student behavior and 
                attitudes and be derived from the needs 
                assessment;
                  (B) include targets and due dates for the 
                attainment of such performance measures; and
                  (C) include a description of the procedures 
                that the State will use to inform local 
                educational agencies of such performance 
                measures for assessing and publicly reporting 
                progress toward meeting such measures or 
                revising them as needed; and
          (8) 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 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;
          (2) a description of how the State educational agency 
        will use funds under section 4113(b), including how the 
        agency will receive input from parents regarding the 
        use of such funds;
          (3) a description of how the State educational agency 
        will coordinate such agency's activities underthis 
subpart with the chief executive officer's drug and violence prevention 
programs under this subpart and with the prevention efforts of other 
State agencies; and
          (4) a description of the procedures the State 
        educational agency will use to review applications from 
        and allocate funding to local educational agencies 
        under section 4115 and how such review will receive 
        input from parents.
  (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, with respect to each activity to be carried out by 
the State--
          (1) 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;
          (2) 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;
          (3) 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;
          (4) a description of the special outreach activities 
        that will be carried out to maximize the participation 
        of community-based nonprofit organizations of 
        demonstrated effectiveness which provide services in 
        low-income communities;
          (5) a description of how funds will be used to 
        support community-wide comprehensive drug and violence 
        prevention planning and community mobilization 
        activities; and
          (6) a specific description of how input from parents 
        will be sought regarding the use of funds under section 
        4114(a).
  (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 
2000 a 1-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 2000 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.--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.
  (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) voluntary 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 
                drug and violence prevention 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 research-based programs 
                for youth violence and drug abuse prevention;
                  (D) demonstration projects in drug and 
                violence prevention, including service-learning 
                projects;
                  (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.--
          (1) In general.--A State educational agency may use 
        not more than 5 percent of the amount reserved under 
        subsection (a) for the administrative costs of carrying 
        out its responsibilities under this part.
          (2) Uniform management information and reporting 
        system.--In carrying out its responsibilities under 
        this part, a State shall implement a uniform management 
        information and reporting system that includes 
        information on the types of curricula, programs and 
        services provided by the State, Governor, local 
        education agencies, and other recipients of funds under 
        this title.
  (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 State educational agency shall 
        distribute amounts under paragraph (1) in accordance 
        with any one of the following subparagraphs:
                  (A) Enrollment and combination approach.--Of 
                the amount distributed under paragraph (1), a 
                State educational agency shall distribute--
                          (i) at least 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) not to exceed 30 percent of any 
                        amounts remaining after amounts are 
                        distributed under clause (i)--
                                  (I) to each local educational 
                                agency in an amount determined 
                                appropriate by the State 
                                education agency; or
                                  (II) to local educational 
                                agencies that the State 
                                education agency determines 
                                have the greatest need for 
                                additional funds to carry out 
                                drug and violence prevention 
                                programs authorized by this 
                                subpart.
                  (B) Competitive and need approach.--Of the 
                amount distributed under paragraph (1), a State 
                educational agency shall distribute--
                          (i) not to exceed 70 percent of such 
                        amount to local educational agencies 
                        that the State agency determines, 
                        through a competitive process, have the 
                        greatest need for funds to carry out 
                        drug and violence prevention programs 
                        based on criteria established by the 
                        State agency and authorized under this 
                        subpart; and
                          (ii) at least 30 percent of any 
                        amounts remaining after amounts are 
                        distributed under clause (i) to local 
                        education agencies that the State 
                        agency determines have a need for 
                        additional funds to carry out the 
                        program authorized under this subpart.
          (3) Consideration of objective data.--For purposes of 
        paragraph (2), in determining which local educational 
        agencies have the greatest need for funds, the State 
        educational agency shall consider objective data which 
        may include--
                  (A) high or increasing rates of alcohol or 
                drug use among youth;
                  (B) high or increasing rates of victimization 
                of youth by violence and crime;
                  (C) high or increasing rates of arrests and 
                convictions of youth for violent or drug- or 
                alcohol-related crime;
                  (D) the extent of illegal gang activity;
                  (E) high or increasing incidence of violence 
                associated with prejudice and intolerance;
                  (F) high or increasing rates of referrals of 
                youths to drug and alcohol abuse treatment and 
                rehabilitation programs;
                  (G) high or increasing rates of referrals of 
                youths to juvenile court;
                  (H) high or increasing rates of expulsions 
                and suspensions of students from schools;
                  (I) high or increasing rates of reported 
                cases of child abuse and domestic violence; and
                  (J) high or increasing rates of drug related 
                emergencies or deaths.
  (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 its other local educational agencies.
  (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(b)(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) Administrative costs.--A chief executive officer 
        may use not more than 5 percent of the 20 percent 
        described in paragraph (1) for the administrative costs 
        incurred in carrying out the duties of such officer 
        under this section. The chief executive officer of a 
        State may use amounts under this paragraph to award 
        grants to State, county, or local law enforcement 
        agencies, including district attorneys, in consultation 
        with local education agencies or community-based 
        agencies, for the purposes of carrying out drug abuse 
        and violence prevention activities.
  (b) State plan.--Amounts shall be used under this section in 
accordance with a State plan submitted by the chief executive 
office of the State. Such State plan 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 schools in the State 
        (including private school students who participate in 
        the States's drug and violence prevention programs) 
        that is based on ongoing local assessment or evaluation 
        activities;
          (2) an analysis, based on data reasonably available 
        at the time, of the prevalence of risk or protective 
        factors, buffers or assets or other research-based 
        variables in schools and communities in the State;
          (3) a description of the research-based strategies 
        and programs, which shall be used to prevent or reduce 
        drug use, violence, or disruptive behavior, which shall 
        include--
                  (A) a specification of the objectively 
                measurable goals, objectives, and activities 
                for the program;
                  (B) a specification for how risk factors, if 
                any, which have been identified will be 
                targeted through research-based programs; and
                  (C) a specification for how protective 
                factors, buffers, or assets, if any, will be 
                targeted through research-based programs;
          (4) a specification for the method or methods by 
        which measurements of program goals will be achieved; 
        and
          (5) a specification for how the evaluation of the 
        effectiveness of the prevention program will be 
        assessed and how the results will be used to refine, 
        improve, and strengthen the program.
  (c) Programs Authorized.--
          (1) In general.--A chief executive officer shall use 
        funds made available under subsection (a)(1) directly 
        for grants to or contracts with parent groups, schools, 
        community action and job training agencies, community-
        based organizations, community anti-drug coalitions, 
        law enforcement education partnerships, 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 (d) 
        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.
  (d) Authorized Activities.--Grants and contracts under 
subsection (c) shall be used to carry out the comprehensive 
State plan as required under section 4112(a)(1) through 
programs and activities such as--
          (1) disseminating information about drug and violence 
        prevention;
          (2) the voluntary training of parents, law 
        enforcement officials, judicial officials, social 
        service providers, health service providers and 
        community leaders about drug and violence prevention, 
        health education (as it relates to drug and violence 
        prevention), 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, service-
        learning, 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 school and 
        community-wide violence and safety and drug abuse 
        assessments and surveys;
          (11) service-learning projects that encourage drug- 
        and violence-free lifestyles;
          (12) evaluating programs and activities assisted 
        under this section;
          (13) developing and implementing community 
        mobilization activities to undertake environmental 
        change strategies related to substance abuse and 
        violence; and
          (14) partnerships between local law enforcement 
        agencies, including district attorneys, and local 
        education agencies or community-based agencies.

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) Consultation.--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) Duties of advisory council.--In addition 
                to assisting the local educational agency to 
                develop an application under this section, the 
                advisory council established or designatedunder 
subparagraph (A) shall, on an ongoing basis--
                          (i) disseminate information about 
                        research-based drug and violence 
                        prevention programs, projects, and 
                        activities conducted within the 
                        boundaries of the local educational 
                        agency;
                          (ii) advise the local educational 
                        agency regarding how best to coordinate 
                        such agency's activities under this 
                        subpart with other related programs, 
                        projects, and activities;
                          (iii) ensure that a mechanism is in 
                        place to enable local educational 
                        agencies to have access to up-to-date 
                        information concerning the agencies 
                        that administer related programs, 
                        projects, and activities and any 
                        changes in the law that alter the 
                        duties of the local educational 
                        agencies with respect to activities 
                        conducted under this subpart; and
                          (iv) review program evaluations and 
                        other relevant material and make 
                        recommendations on an active and 
                        ongoing basis 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) an analysis, based on data reasonably available 
        at the time, of the prevalence of risk or protective 
        factors, buffers or assets or other research-based 
        variables in the school and community;
          (3) a description of the research-based strategies 
        and programs, which shall be used to prevent or reduce 
        drug use, violence, or disruptive behavior, which shall 
        include--
                  (A) a specification of the objectively 
                measurable goals, objectives, and activities 
                for the program, which shall include--
                          (i) reductions in the use of alcohol, 
                        tobacco, and illicit drugs and violence 
                        by youth;
                          (ii) specific reductions in the 
                        prevalence of identified risk factors;
                          (iii) specific increases in the 
                        prevalence of protective factors, 
                        buffers, or assets if any have been 
                        identified; or
                          (iv) other research-based goals, 
                        objectives, and activities that are 
                        identified as part of the application 
                        that are not otherwise covered under 
                        clauses (i) through (iii);
                  (B) a specification for how risk factors, if 
                any, which have been identified will be 
                targeted through research-based programs; and
                  (C) a specification for how protective 
                factors, buffers, or assets, if any, will be 
                targeted through research-based programs;
          (4) a specification for the method or methods by 
        which measurements of program goals will be achieved;
          (5) a specification for how the evaluation of the 
        effectiveness of the prevention program will be 
        assessed and how the results will be used to refine, 
        improve, and strengthen the program;
          (6) an assurance that the applicant has, or the 
        schools to be served have, a plan for keeping schools 
        safe and drug-free that includes--
                  (A) appropriate and effective discipline 
                policies that prohibit disorderly conduct, the 
                possession of firearms and other weapons, and 
                the illegal use, possession, distribution, and 
                sale of tobacco, alcohol, and other drugs by 
                students;
                  (B) security procedures at school and while 
                students are on the way to and from school;
                  (C) prevention activities that are designed 
                to create and maintain safe, disciplined, and 
                drug-free environments; and
                  (D) a crisis management plan for responding 
                to violent or traumatic incidents on school 
                grounds; and
          (7) 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 general.--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)(6) and the extent to which the 
                proposed plan provides a thorough assessment of 
                the substance abuse and violence problem, uses 
                objective data and the knowledge of a wide 
                range of community members, develops measurable 
                goals and objectives, and implements research-
                based programs that have been shown to be 
                effective and meet identified needs.
                  (B) Disapproval.--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 
bestpromote 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 school 
        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 school employees;
                  (B) prevent violence and promote school 
                safety; and
                  (C) create a disciplined environment 
                conducive to learning;
          (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;
          (3) implement activities which shall only include--
                  (A) a thorough assessment of the substance 
                abuse violence problem, using objective data 
                and the knowledge of a wide range of community 
                members;
                  (B) the development of measurable goals and 
                objectives;
                  (C) the implementation of research-based 
                programs that have been shown to be effective 
                and meet identified goals; and
                  (D) an evaluation of program activities; and
          (4) implement prevention programming activities 
        within the context of a research-based prevention 
        framework.
  (b) Use of Funds.--A comprehensive, age-appropriate, 
developmentally- and research-based drug and violence 
prevention program carried out under this subpart may include--
          (1) drug or violence 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 or violence, promote a sense of individual 
        responsibility, and provide information about effective 
        techniques for resisting peer pressure to use illegal 
        drugs;
          (2) programs of drug or violence prevention, health 
        education (as it relates to drug and violence 
        prevention), 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 or violence prevention;
                  (B) the professional development or voluntary 
                training 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; and
                          (ii) 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, or otherwise 
        decrease the prevalence of risk factors or increase the 
        prevalence of protective factors, buffers, or assets in 
        the community;
          (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 or voluntary 
                training 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 
                and drug use;
          (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) the acquisition or hiring of school security 
        equipment, technologies, personnel, or services such 
        as--
                  (A) metal detectors;
                  (B) electronic locks;
                  (C) surveillance cameras; and
                  (D) other drug and violence prevention-
                related equipment and technologies;
          (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) other research-based prevention programming that 
        is--
                  (A) effective in reducing the prevalence of 
                alcohol, tobacco or drug use, and violence in 
                youth;
                  (B) effective in reducing the prevalence of 
                risk factors predictive of increased alcohol, 
                tobacco or drug use, and violence; or
                  (C) effective in increasing the prevalence of 
                protective factors, buffers, and assets 
                predictive of decreased alcohol, tobacco or 
                drug use and violence among youth;
          (10) the collection of objective data used to assess 
        program needs, program implementation, or program 
        success in achieving program goals and objectives;
          (11) community involvement activities including 
        community mobilization;
          (12) voluntary parental involvement and training;
          (13) the evaluation of any of the activities 
        authorized under this subsection;
          (14) the provision of mental health counseling (by 
        qualified counselors) to students for drug or violence 
        related problems;
          (15) consistent with the fourth amendment to the 
        Constitution of the United States, the testing of a 
        student for illegal drug use or inspecting a student's 
        locker for guns, explosives, other weapons, or illegal 
        drugs, including at the request of or with the consent 
        of a parent or legal guardian of the student, if the 
        local educational agency elects to so test or inspect; 
        and
          (16) the conduct of a nationwide background check of 
        each local educational agency employee (regardless of 
        when hired) and prospective employees for the purpose 
        of determining whether the employee or prospective 
        employee has been convicted of a crime that bears upon 
        the employee's or prospective employee's fitness--
                  (A) to have responsibility for the safety or 
                well-being of children;
                  (B) to serve in the particular capacity in 
                which the employee or prospective employee is 
                or will be employed; or
                  (C) to otherwise be employed at all by the 
                local educational agency.
  (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) Rule of Construction.--Nothing in this section shall be 
construed to prohibit the use of funds under this part by any 
local educational agency or school for the establishment or 
implementation of a school uniform policy so long as such 
policy is part of the overall comprehensive drug and violence 
prevention plan of the State involved and is supported by the 
State's needs assessment and other research-based information.

SEC. 4117. EVALUATION AND REPORTING.

  (a) Impact Evaluation.--
          (1) Biennial evaluation.--The Secretary, in 
        consultation with the National Advisory Committee, 
        shall conduct an independent biennial evaluation of the 
        impact of programs assisted under this subpart and of 
        other recent and new initiatives to combat violence in 
        schools. The evaluation shall report on--
                  (A) whether funded community and local 
                education agency programs--
                          (i) provided a thorough assessment of 
                        the substance abuse and violence 
                        problem;
                          (ii) used objective data and the 
                        knowledge of a wide range of community 
                        members;
                          (iii) developed measurable goals and 
                        objectives; and
                          (iv) implemented research-based 
                        programs that have been shown to be 
                        effective and meet identified needs;
                          (v) conducted periodic program 
                        evaluations to assess progress made 
                        towards achieving program goals and 
                        objectives and whether they used 
                        evaluations to improve program goals, 
                        objectives and activities;
                  (B) whether funded community and local 
                education agency programs have been designed 
                and implemented in a manner that specifically 
                targets, if relevant to the program--
                          (i) research-based variables that are 
                        predictive of drug use or violence;
                          (ii) risk factors that are predictive 
                        of an increased likelihood that young 
                        people will use drugs, alcohol or 
                        tobacco or engage in violence or drop 
                        out of school; or
                          (iii) protective factors, buffers, or 
                        assets that are known to protect 
                        children and youth from exposure to 
                        risk, either by reducing the exposure 
                        to risk factors or by changing the way 
                        the young person responds to risk, and 
                        to increase the likelihood of positive 
                        youth development;
                  (C) whether funded community and local 
                education agency programs have appreciably 
                reduced the level of drug, alcohol and tobacco 
                use and school violence and the presence of 
                firearms at schools; and
                  (D) whether funded community and local 
                educational agency programs have conducted 
                effective parent involvement and voluntary 
                training programs.
          (2) Data collection.--The National Center for 
        Education Statistics shall collect data to determine 
        the incidence and prevalence of social disapproval of 
        drug use and violence in elementary and secondary 
        schools in the States.
          (3) Biennial Report.--Not later than January 1, 2002, 
        and every 2 years thereafter, the Secretary shall 
        submit to the President and Congress a report on the 
        findings of the evaluation conducted under paragraph 
        (1) together with the data collected under paragraph 
        (2) and data available from other sources on the 
        incidence and prevalence, age of onset, perception of 
        health risk, and perception of social disapproval of 
        drug use in elementary and secondary schools in the 
        States. The Secretary shall include data submitted by 
        the States pursuant to subsection (b)(2)(B).
  (b) State Report.--
          (1) In general.--By December 1, 2001, and every 2 
        years 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;
                  (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; and
                  (C) on the State's efforts to inform parents 
                of, and include parents in, violence and drug 
                prevention efforts.
          (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 
                incidence and prevalence, age of onset, 
                perception of health risk, and perception of 
                social disapproval of drug use and violence by 
                youth in schools and communities; and
                  (C) made readily available to the public.
  (c) Local Educational Agency Report.--
          (1) In general.--Each local educational agency 
        receiving funds under this subpart shall submit to the 
        State educational agency such information that the 
        State requires to complete the State report required by 
        subsection (b), including a description of how parents 
        were informed of, and participated in, violence and 
        drug prevention efforts.
          (2) Availability.--Information under paragraph (1) 
        shall be made readily available to the public.
          (3) Provision of documentation.--Not later than 
        January 1 of each year that a State is required to 
        report under subsection (b), the Secretary shall 
        provide to the State education agency all of the 
        necessary documentation required for compliance with 
        this section.

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, 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 throughthe post-secondary 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 the voluntary training of 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 
        10201 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 or to support crisis situations and 
        appropriate response efforts;
          (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 and service-learning 
        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. NATIONAL COORDINATOR PROGRAM.

  (a) In General.--From amounts available to carry out this 
section under section 4004(3), the Secretary shall provide for 
the establishment of a National Coordinator Program under which 
the Secretary shall award grants to local education agencies 
for the hiring of drug prevention and school safety program 
coordinators.
  (b) Use of Funds.--Amounts received under a grant under 
subsection (a) shall be used by local education agencies to 
recruit, hire, and train individuals to serve as drug 
prevention and school safety program coordinators in schools 
with significant drug and school safety problems. Such 
coordinators shall be responsible for developing, conducting, 
and analyzing assessments of drug and crime problems at their 
schools, and administering the safe and drug free grant program 
at such schools.

SEC. 4123. SAFE AND DRUG FREE SCHOOLS AND COMMUNITIES ADVISORY 
                    COMMITTEE.

  (a) Establishment.--
          (1) In general.--There is hereby established an 
        advisory committee to be known as the ``Safe and Drug 
        Free Schools and Communities Advisory Committee'' 
        (referred to in this section as the ``Advisory 
        Committee'') to--
                  (A) consult with the Secretary under 
                subsection (b);
                  (B) coordinate Federal school- and community-
                based substance abuse and violence prevention 
                programs and reduce duplicative research or 
                services;
                  (C) develop core data sets and evaluation 
                protocols for safe and drug free school- and 
                community-based programs;
                  (D) provide technical assistance and training 
                for safe and drug free school- and community-
                based programs;
                  (E) provide for the diffusion of research-
                based safe and drug free school- and community-
                based programs; and
                  (F) review other regulations and standards 
                developed under this title.
          (2) Composition.--The Advisory Committee shall be 
        composed of representatives from--
                  (A) the Department of Education,
                  (B) the Centers for Disease Control and 
                Prevention;
                  (C) the National Institute on Drug Abuse;
                  (D) the National Institute on Alcoholism and 
                Alcohol Abuse;
                  (E) the Center for Substance Abuse 
                Prevention;
                  (F) the Center for Mental Health Services;
                  (G) the Office of Juvenile Justice and 
                Delinquency Prevention;
                  (H) the Office of National Drug Control 
                Policy; and
                  (I) State and local governments, including 
                education agencies.
          (3) Consultation.--In carrying out its duties under 
        this section, the Advisory Committee shall annually 
        consult with interested State and local coordinators of 
        school- and community-based substance abuse and 
        violence prevention programs and other interested 
        groups.
  (b) Programs.--
          (1) In general.--From amounts made available under 
        section 4004(2) to carry out this subpart, the 
        Secretary, in consultation with the Advisory Committee, 
        shall carry out research-based programs to strengthen 
        the accountability and effectiveness of the State, 
        Governor's, and national programs under this title.
          (2) Grants, contracts or cooperative agreements.--The 
        Secretary shall carry out paragraph (1) directly or 
        through grants, contracts, or cooperative agreements 
        with public and nonprofit private organizations and 
        individuals or through agreements with other Federal 
        agencies.
          (3) Coordination.--The Secretary shall coordinate 
        programs under this section with other appropriate 
        Federal activities.
          (4) Activities.--Activities that may be carried out 
        under programs funded under this section may include--
                  (A) the provision of technical assistance and 
                training, in collaboration with other Federal 
                agencies utilizing their expertise and national 
                and regional training systems, for Governors, 
                State education agencies and local education 
                agencies to support high quality, effective 
                programs that--
                          (i) provide a thorough assessment of 
                        the substance abuse and violence 
                        problem;
                          (ii) utilize objective data and the 
                        knowledge of a wide range of community 
                        members;
                          (iii) develop measurable goals and 
                        objectives; and
                          (iv) implement research-based 
                        activities that have been shown to be 
                        effective and that meet identified 
                        needs;
                  (B) the provision of technical assistance and 
                training to foster program accountability;
                  (C) the diffusion and dissemination of best 
                practices and programs;
                  (D) the development of core data sets and 
                evaluation tools;
                  (E) program evaluations;
                  (F) 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; 
                and
                  (G) other activities that meet unmet needs 
                related to the purposes of this title and that 
                are undertaken in consultation with the 
                Advisory Committee.

SEC. 4124. HATE CRIME PREVENTION.

  (a) Grant Authorization.--From funds made available to carry 
out this subpart under section 4004(2) 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.

  In 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) Objectively measurable goals.--The term 
        ``objectively measurable goals'' means prevention 
        programming goals defined through use of quantitative 
        epidemiological data measuring the prevalence of 
        alcohol, tobacco, and other drug use, violence, and the 
        prevalence of risk and protective factors predictive of 
        these behaviors, collected through a variety of methods 
        and sources known to provide high quality data.
          (6) Protective factor, buffer, or asset.--The terms 
        ``protective factor'', ``buffer'', and ``asset'' mean 
        any one of a number of the community, school, family, 
        or peer-individual domains that are known, through 
        prospective, longitudinal research efforts, or which 
        are grounded in a well-established theoretical model of 
        prevention, and have been shown to prevent alcohol, 
        tobacco, or illicit drug use, as well as violent 
        behavior, by youth in the community, and which promote 
        positive youth development.
          (7) Risk factor.--The term ``risk factor'' means any 
        one of a number of characteristics of the community, 
        school, family, or peer-individual domains that are 
        known, through prospective, longitudinal research 
        efforts, to be predictive of alcohol, tobacco, and 
        illicit drug use, as well as violent behavior, by youth 
        in the school and community.
          (8) 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.
          (9) School personnel.--The term ``school personnel'' 
        includes teachers, administrators, 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) ``Illegal 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 illegal 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.

SEC. 4134. QUALITY RATING.

  (a) In General.--The chief executive officer of each State, 
or in the case of a State in which the constitution or law of 
such State designates another individual, entity, or agency in 
the State to be responsible for education activities, such 
individual, entity, or agency, is authorized and encouraged--
          (1) to establish a standard of quality for drug, 
        alcohol, and tobacco prevention programs implemented in 
        public elementary schools and secondary schools in the 
        State in accordance with subsection (b); and
          (2) to identify and designate, upon application by a 
        public elementary school or secondary school, any such 
        school that achieves such standard as a quality program 
        school.
  (b) Criteria.--The standard referred to in subsection (a) 
shall address, at a minimum--
          (1) a comparison of the rate of illegal use of drugs, 
        alcohol, and tobacco by students enrolled in the school 
        for a period of time to be determined by the chief 
        executive officer of the State;
          (2) the rate of suspensions or expulsions of students 
        enrolled in the school for drug, alcohol, or tobacco-
        related offenses;
          (3) the effectiveness of the drug, alcohol, or 
        tobacco prevention program as proven by research;
          (4) the involvement of parents and community members 
        in the design of the drug, alcohol, and tobacco 
        prevention program; and
          (5) the extent of review of existing community drug, 
        alcohol, and tobacco prevention programs before 
        implementation of the public school program.
  (c) Request for Quality Program School Designation.--A school 
that wishes to receive a quality program school designation 
shall submit a request and documentation of compliance with 
this section to the chief executive officer of the State or the 
individual, entity, or agency described in subsection (a), as 
the case may be.
  (d) Public Notification.--Not less than once a year, the 
chief executive officer of each State or the individual, 
entity, or agency described in subsection (a), as the case may 
be, shall make available to the public a list of the names of 
each public school in the State that has received a quality 
program school designation in accordance with this section.

                         PART B--GUN POSSESSION

SEC. 4201. GUN-FREE REQUIREMENTS.

  (a) Short Title.--This part may be cited as the ``Gun-Free 
Schools Act of 1994''.
  (b) Requirements.--
          (1) In general.--Each State receiving Federal funds 
        under this Act shall have in effect a State law 
        requiring local educational agencies to expel from 
        school for a period of not less than one year a student 
        who is determined to have brought a weapon to a school 
        under the jurisdiction of local educational agencies in 
        that State, except that such State law shall allow the 
        chief administering officer of a local educational 
        agency to modify such expulsion requirement for a 
        student on a case-by-case basis.
          (2) Construction.--Nothing in this part shall be 
        construed to prevent a State from allowing a local 
        educational agency that has expelled a student from 
        such a student's regular school setting from providing 
        educational services to such student in an alternative 
        setting.
          (3) Definition.--For the purpose of this section, the 
        term ``weapon'' means a firearm as such term is defined 
        in section 921(a) of title 18, United States Code.
  (c) Special Rule.--The provisions of this section shall be 
construed in a manner consistent with the Individuals with 
Disabilities Education Act.
  (d) Report to State.--Each local educational agency 
requesting assistance from the State educational agency that is 
to be provided from funds made available to the State under 
this Act shall provide to the State, in the application 
requesting such assistance--
          (1) an assurance that such local educational agency 
        is in compliance with the State law required by 
        subsection (b); and
          (2) a description of the circumstances surrounding 
        any expulsions imposed under the State law required by 
        subsection (b), including--
                  (A) the name of the school concerned;
                  (B) the number of students expelled from such 
                school; and
                  (C) the type of weapons concerned.
  (e) Reporting.--Each State shall report the information 
described in subsection (d) to the Secretary on an annual 
basis.

SEC. 4202. POLICY REGARDING CRIMINAL JUSTICE SYSTEM REFERRAL.

  (a) In General.--No funds shall be made available under this 
Act to any local educational agency unless such agency has a 
policy requiring referral to the criminal justice or juvenile 
delinquency system of any student who brings a firearm or 
weapon to a school served by such agency.
  (b) Definitions.--For the purpose of this section, the terms 
``firearm'' and ``school'' have the meanings given the terms in 
section 921(a) of title 18, United States Code.

             PART C--SCHOOL SAFETY AND VIOLENCE PREVENTION

SEC. 4301. SCHOOL SAFETY AND VIOLENCE PREVENTION.

  Notwithstanding any other provision of this title and title 
VI, funds made available under such titles may be used for--
          (1) training, including in-service training, for 
        school personnel (including custodians and bus 
        drivers), with respect to--
                  (A) identification of potential threats, such 
                as illegal weapons and explosive devices;
                  (B) crisis preparedness and intervention 
                procedures; and
                  (C) emergency response;
          (2) training for parents, teachers, school personnel 
        and other interested members of the community regarding 
        the identification and responses to early warning signs 
        of troubled and violent youth;
          (3) innovative research-based delinquency and 
        violence prevention programs, including--
                  (A) school anti-violence programs; and
                  (B) mentoring programs;
          (4) comprehensive school security assessments;
          (5) purchase of school security equipment and 
        technologies, such as--
                  (A) metal detectors;
                  (B) electronic locks; and
                  (C) surveillance cameras;
          (6) collaborative efforts with community-based 
        organizations, including faith-based organizations, 
        statewide consortia, and law enforcement agencies, that 
        have demonstrated expertise in providing effective, 
        research-based violence prevention and intervention 
        programs to school aged children;
          (7) providing assistance to States, local educational 
        agencies, or schools to establish school uniform 
        policies;
          (8) school resource officers, including community 
        policing officers; and
          (9) other innovative, local responses that are 
        consistent with reducing incidents of school violence 
        and improving the educational atmosphere of the 
        classroom.

SEC. 4302. SCHOOL UNIFORMS.

  (a) Construction.--Nothing in this Act shall be construed to 
prohibit any State, local educational agency, or school from 
establishing a school uniform policy.
  (b) Funding.--Notwithstanding any other provision of law, 
funds provided under this titles and title VI may be used for 
establishing a school uniform policy.

SEC. 4303. TRANSFER OF SCHOOL DISCIPLINARY RECORDS.

  (a) Nonapplication of Provisions.--The provisions of this 
section shall not apply to any suspension or expulsion 
disciplinary records transferred from a private, parochial, or 
other nonpublic school, person, institution, or other entity, 
that provides education below the college level.
  (b) Disciplinary Records.--Not later than 2 years after the 
date of enactment of this part, each State receiving Federal 
funds under this Act shall provide an assurance to the 
Secretary that the State has a procedure in place to facilitate 
the transfer of suspension and expulsion disciplinary records 
by local educational agencies to any private or public 
elementary school or secondary school for any student who is 
enrolled or seeks, intends, or is instructed to enroll, full-
time or part-time, in the school.

SEC. 4304. DISCLAIMER ON MATERIALS PRODUCED, PROCURED OR DISTRIBUTED 
                    FROM FUNDING AUTHORIZED BY THIS ACT.

  (a) Requirements.--All materials produced, procured, or 
distributed, in whole or in part, as a result of Federal 
funding authorized under this Act for expenditure by Federal, 
State or local governmental recipients or other non-
governmental entities shall have printed thereon--
          (1) the following statement: ``This material has been 
        printed, procured or distributed, in whole or in part, 
        at the expense of the Federal Government. Any person 
        who objects to the accuracy of the material, to the 
        completeness of the material, or to the representations 
        made within the material, including objections related 
        to this material's characterization of religious 
        beliefs, are encouraged to direct their comments to the 
        office of the United States Secretary of Education''; 
        and
          (2) the complete address of an office designated by 
        the Secretary to receive comments from members of the 
        public.
  (b) Designation of Office.--The office designated by the 
Secretary under subsection (a)(2) to receive comments shall, 
every 6 months, prepare an accurate summary of all comments 
received by the office. Such summary shall include details 
about the number of comments received and the specific nature 
of the concerns raised within the comments, and shall be 
submitted to the Committee on Health, Education, Labor, and 
Pensions of the Senate and the Committee on Education and the 
Workforce of the House of Representatives, the Majority and 
Minority Leaders of the Senate, and the Speaker of the House of 
Representatives and the Minority Leader of the House of 
Representatives. Such comments shall be retained by the office 
and shall be made available to any member of the general public 
upon request.

                  PART D--ENVIRONMENTAL TOBACCO SMOKE

SEC. 4401. SHORT TITLE.

  This part may be cited as the ``Pro-Children Act of 2000''.

SEC. 4402. DEFINITIONS.

  As used in this part:
          (1) Children.--The term ``children'' means 
        individuals who have not attained the age of 18.
          (2) Children's services.--The term ``children's 
        services'' means the provision on a routine or regular 
        basis of health, day care, education, or library 
        services--
                  (A) that are funded, after the date of the 
                enactment of the Educational Opportunities Act, 
                directly by the Federal Government or through 
                State or local governments, by Federal grant, 
                loan, loan guarantee, or contract programs--
                          (i) administered by either the 
                        Secretary of Health and Human Services 
                        or the Secretary of Education (other 
                        than services provided and funded 
                        solely under titles XVIII and XIX of 
                        the Social Security Act); or
                          (ii) administered by the Secretary of 
                        Agriculture in the case of a clinic (as 
                        defined in part 246.2 of title 7, Code 
                        of Federal Regulations (or any 
                        corresponding similar regulation or 
                        ruling)) under section 17(b)(6) of the 
                        Child Nutrition Act of 1966; or
                  (B) that are provided in indoor facilities 
                that are constructed, operated, or maintained 
                with such Federal funds, as determined by the 
                appropriate head of a Federal agency in any 
                enforcement action carried out under this part,
        except that nothing in clause (ii) of subparagraph (A) 
        is intended to include facilities (other than clinics) 
        where coupons are redeemed under the Child Nutrition 
        Act of 1966.
          (3) Indoor facility.--The term ``indoor facility'' 
        means a building that is enclosed.
          (4) Person.--The term ``person'' means any State or 
        local subdivision of a State, agency of such State or 
        subdivision, corporation, or partnership that owns or 
        operates or otherwise controls and provides children's 
        services or any individual who owns or operates or 
        otherwise controls and provides such services.
          (5) Secretary.--The term ``Secretary'' means the 
        Secretary of Health and Human Services.

SEC. 4403. NONSMOKING POLICY FOR CHILDREN'S SERVICES.

  (a) Prohibition.--After the date of the enactment of the 
Educational Opportunities Act, no person shall permit smoking 
within any indoor facility owned or leased or contracted for, 
and utilized, by such person for provision of routine or 
regular kindergarten, elementary, or secondary education or 
library services to children.
  (b) Additional Prohibition.--
          (1) In general.--After the date of the enactment of 
        the Educational Opportunities Act, no person shall 
        permit smoking within any indoor facility (or portion 
        of such a facility) owned or leased or contracted for, 
        and utilized by, such person for the provision of 
        regular or routine health care or day care or early 
        childhood development (Head Start) services.
          (2) Exception.--Paragraph (1) shall not apply to--
                  (A) any portion of such facility that is used 
                for inpatient hospital treatment of individuals 
                dependent on, or addicted to, drugs or alcohol; 
                and
                  (B) any private residence.
  (c) Federal Agencies.--
          (1) Kindergarten, elementary, or secondary education 
        or library services.--After the date of the enactment 
        of the Educational Opportunities Act, no Federal agency 
        shall permit smoking within any indoor facility in the 
        United States operated by such agency, directly or by 
        contract, to provide routine or regular kindergarten, 
        elementary, or secondary education or library services 
        to children.
          (2) Health or day care or early childhood development 
        services.--
                  (A) In general.--After the date of the 
                enactment of the Educational Opportunities Act, 
                no Federal agency shall permit smoking within 
                any indoor facility (or portion of such 
                facility) operated by such agency, directly or 
                by contract, to provide routine or regular 
                health or day care or early childhood 
                development (Head Start) services to children.
                  (B) Exception.--Subparagraph (A) shall not 
                apply to--
                          (i) any portion of such facility that 
                        is used for inpatient hospital 
                        treatment of individuals dependent on, 
                        or addicted to, drugs or alcohol; and
                          (ii) any private residence.
          (3) Application of provisions.--The provisions of 
        paragraph (2) shall also apply to the provision of such 
        routine or regular kindergarten, elementary or 
        secondary education or library services in the 
        facilities described in paragraph (2) not subject to 
        paragraph (1).
  (d) Notice.--The prohibitions in subsections (a) through (c) 
shall be published in a notice in the Federal Register by the 
Secretary (in consultation with the heads of other affected 
agencies) and by such agency heads in funding arrangements 
involving the provision of children's services administered by 
such heads. Such prohibitions shall be effective 90 days after 
such notice is published, or 270 days after the date of the 
enactment of the Educational Opportunities Act, whichever 
occurs first.
  (e) Civil Penalties.--
          (1) In general.--Any failure to comply with a 
        prohibition in this section shall be considered to be a 
        violation of this section and any person subject to 
        such prohibition who commits such violation may be 
        liable to the United States for a civil penalty in an 
        amount not to exceed $1,000 for each violation, or may 
        be subject to an administrative compliance order, or 
        both, as determined by the Secretary. Each day a 
        violation continues shall constitute a separate 
        violation. In the case of any civil penalty assessed 
        under this section, the total amount shall not exceed 
        the amount of Federal funds received by such person for 
        the fiscal year in which the continuing violation 
        occurred. For the purpose of the prohibition in 
        subsection (c), the term ``person'', as used in this 
        paragraph, shall mean the head of the applicable 
        Federal agency or the contractor of such agency 
        providing the services to children.
          (2) Administrative proceeding.--A civil penalty may 
        be assessed in a written notice, or an administrative 
        compliance order may be issued under paragraph (1), by 
        the Secretary only after an opportunity for a hearing 
        in accordance with section 554 of title 5, United 
        States Code. Before makingsuch assessment or issuing 
such order, or both, the Secretary shall give written notice of the 
assessment or order to such person by certified mail with return 
receipt and provide information in the notice of an opportunity to 
request in writing, not later than 30 days after the date of receipt of 
such notice, such hearing. The notice shall reasonably describe the 
violation and be accompanied with the procedures for such hearing and a 
simple form that may be used to request such hearing if such person 
desires to use such form. If a hearing is requested, the Secretary 
shall establish by such certified notice the time and place for such 
hearing, which shall be located, to the greatest extent possible, at a 
location convenient to such person. The Secretary (or the Secretary's 
designee) and such person may consult to arrange a suitable date and 
location where appropriate.
          (3) Circumstances affecting penalty or order.--In 
        determining the amount of the civil penalty or the 
        nature of the administrative compliance order, the 
        Secretary shall take into account, as appropriate--
                  (A) the nature, circumstances, extent, and 
                gravity of the violation;
                  (B) with respect to the violator, any good 
                faith efforts to comply, the importance of 
                achieving early and permanent compliance, the 
                ability to pay or comply, the effect of the 
                penalty or order on the ability to continue 
                operation, any prior history of the same kind 
                of violation, the degree of culpability, and 
                any demonstration of willingness to comply with 
                the prohibitions of this section in a timely 
                manner; and
                  (C) such other matters as justice may 
                require.
          (4) Modification.--The Secretary may, as appropriate, 
        compromise, modify, or remit, with or without 
        conditions, any civil penalty or administrative 
        compliance order. In the case of a civil penalty, the 
        amount, as finally determined by the Secretary or 
        agreed upon in compromise, may be deducted from any 
        sums that the United States or the agencies or 
        instrumentalities of the United States owe to the 
        person against whom the penalty is assessed.
          (5) Petition for review.--Any person aggrieved by a 
        penalty assessed or an order issued, or both, by the 
        Secretary under this section may file a petition for 
        judicial review of the order with the United States 
        Court of Appeals for the District of Columbia Circuit 
        or for any other circuit in which the person resides or 
        transacts business. Such person shall provide a copy of 
        the petition to the Secretary or the Secretary's 
        designee. The petition shall be filed within 30 days 
        after the Secretary's assessment or order, or both, are 
        final and have been provided to such person by 
        certified mail. The Secretary shall promptly provide to 
        the court a certified copy of the transcript of any 
        hearing held under this section and a copy of the 
        notice or order.
          (6) Failure to comply.--If a person fails to pay an 
        assessment of a civil penalty or comply with an order, 
        after the assessment or order, or both, are final under 
        this section, or after a court has entered a final 
        judgment under paragraph (5) in favor of the Secretary, 
        the Attorney General, at the request of the Secretary, 
        shall recover the amount of the civil penalty (plus 
        interest at prevailing rates from the day the 
        assessment or order, or both, are final) or enforce the 
        order in an action brought in the appropriate district 
        court of the United States. In such action, the 
        validity and appropriateness of the penalty or order or 
        the amount of the penalty shall not be subject to 
        review.

SEC. 4404. PREEMPTION.

  Nothing in this part is intended to preempt any provision of 
law of a State or political subdivision of a State that is more 
restrictive than a provision of this part.

           *       *       *       *       *       *       *


                       [TITLE V--PROMOTING EQUITY

                   [PART A--MAGNET SCHOOLS ASSISTANCE

[SEC. 5101. [20 U.S.C. 7201] FINDINGS.

  [The Congress finds that--
          [(1) magnet schools are a significant part of our 
        Nation's effort to achieve voluntary desegregation in 
        our Nation's schools;
          [(2) the use of magnet schools has increased 
        dramatically since the date of enactment of the Magnet 
        Schools Assistance program, with approximately 
        1,400,000 students nationwide now attending such 
        schools, of which more than 60 percent of the students 
        are nonwhite;
          [(3) magnet schools offer a wide range of distinctive 
        programs that have served as models for school 
        improvement efforts;
          [(4) in administering the Magnet Schools Assistance 
        program, the Federal Government has learned that--
                  [(A) where magnet programs are implemented 
                for only a portion of a school's student body, 
                special efforts must be made to discourage the 
                isolation of--
                          [(i) magnet school students from 
                        other students in the school; and
                          [(ii) students by racial 
                        characteristics;
                  [(B) local educational agencies can maximize 
                their effectiveness in achieving the purposes 
                of the Magnet Schools Assistance program if 
                such agencies have more flexibility in the 
                administration of such program in order to 
                serve students attending a school who are not 
                enrolled in the magnet school program;
                  [(C) local educational agencies must be 
                creative in designing magnet schools for 
                students at all academic levels, so that school 
                districts do not skim off only the highest 
                achieving students to attend the magnet 
                schools;
                  [(D) consistent with desegregation 
                guidelines, local educational agencies must 
                seek to enable participation in magnet school 
                programs by students who reside in the 
                neighborhoods where the programs operate; and
                  [(E) in order to ensure that magnet schools 
                are sustained after Federal funding ends, the 
                Federal Government must assist school districts 
                to improve their capacity to continue to 
                operate magnet schools at a high level of 
                performance; and
          [(5) it is in the best interest of the Federal 
        Government to--
                  [(A) continue the Federal Government's 
                support of school districts implementing court-
                ordered desegregation plans and school 
                districts seeking to foster meaningful 
                interaction among students of different racial 
                and ethnic backgrounds, beginning at the 
                earliest stage of such students' education;
                  [(B) ensure that all students have equitable 
                access to quality education that will prepare 
                such students to function well in a culturally 
                diverse, technologically oriented, and highly 
                competitive, global community; and
                  [(C) maximize the ability of local 
                educational agencies to plan, develop, 
                implement and continue effective and innovative 
                magnet schools that contribute to State and 
                local systemic reform.

[SEC. 5102. [20 U.S.C. 7202] STATEMENT OF PURPOSE.

  [The purpose of this part is to assist in the desegregation 
of schools served by local educational agencies by providing 
financial assistance to eligible local educational agencies 
for--
          [(1) the elimination, reduction, or prevention of 
        minority group isolation in elementary and secondary 
        schools with substantial proportions of minority 
        students;
          [(2) the development and implementation of magnet 
        school projects that will assist local educational 
        agencies in achieving systemic reforms and providing 
        all students the opportunity to meet challenging State 
        content standards and challenging State student 
        performance standards;
          [(3) the development and design of innovative 
        educational methods and practices; and
          [(4) courses of instruction within magnet schools 
        that will substantially strengthen the knowledge of 
        academic subjects and the grasp of tangible and 
        marketable vocational skills of students attending such 
        schools.

[SEC. 5103. [20 U.S.C. 7203] PROGRAM AUTHORIZED.

  [The Secretary, in accordance with this part, is authorized 
to make grants to eligible local educational agencies, and 
consortia of such agencies where appropriate, to carry out the 
purpose of this part for magnet schools that are--
          [(1) part of an approved desegregation plan; and
          [(2) designed to bring students from different 
        social, economic, ethnic, and racial backgrounds 
        together.

[SEC. 5104. [20 U.S.C. 7204] DEFINITION.

  [For the purpose of this part, the term ``magnet school'' 
means a public elementary or secondary school or public 
elementary or secondary education center that offers a special 
curriculum capable of attracting substantial numbers of 
students of different racial backgrounds.

[SEC. 5105. [20 U.S.C. 7205] ELIGIBILITY.

  [A local educational agency, or consortium of such agencies 
where appropriate, is eligible to receive assistance under this 
part to carry out the purposes of this part if such agency or 
consortium--
          [(1) is implementing a plan undertaken pursuant to a 
        final order issued by a court of the United States, or 
        a court of any State, or any other State agency or 
        official of competent jurisdiction, that requires the 
        desegregation of minority-group-segregated children or 
        faculty in the elementary and secondary schools of such 
        agency; or
          [(2) without having been required to do so, has 
        adopted and is implementing, or will, if assistance is 
        made available to such local educational agency or 
        consortium of such agencies under this part, adopt and 
        implement a plan that has been approved by the 
        Secretary as adequate under title VI of the Civil 
        Rights Act of 1964 for the desegregation of minority-
        group-segregated children or faculty in such schools.

[SEC. 5106. [20 U.S.C. 7206] APPLICATIONS AND REQUIREMENTS.

  [(a) Applications.--An eligible local educational agency or 
consortium of such agencies desiring to receive assistance 
under this part shall submit an application to the Secretary at 
such time, in such manner, and containing such information and 
assurances as the Secretary may reasonably require.
  [(b) Information and Assurances.--Each such application shall 
include--
          [(1) a description of--
                  [(A) how assistance made available under this 
                part will be used to promote desegregation, 
                including how the proposed magnet school 
                project will increase interaction among 
                students of different social, economic, ethnic, 
                and racial backgrounds;
                  [(B) the manner and extent to which the 
                magnet school project will increase student 
                achievement in the instructional area or areas 
                offered by the school;
                  [(C) how an applicant will continue the 
                magnet school project after assistance under 
                this part is no longer available, including, if 
                applicable, an explanation of why magnet 
                schools established or supported by the 
                applicant with funds under this part cannot be 
                continued without the use of funds under this 
                part;
                  [(D) how funds under this part will be used 
                to implement services and activities that are 
                consistent with other programs under this Act, 
                the Goals 2000: Educate America Act, and other 
                Acts, as appropriate, in accordance with the 
                provisions of section 14306; and
                  [(E) the criteria to be used in selecting 
                students to attend the proposed magnet school 
                projects; and
          [(2) assurances that the applicant will--
                  [(A) use funds under this part for the 
                purposes specified in section 5102;
                  [(B) employ State certified or licensed 
                teachers in the courses of instruction assisted 
                under this part to teach or supervise others 
                who are teaching the subject matter of the 
                courses of instruction;
                  [(C) not engage in discrimination based on 
                race, religion, color, national origin, sex, or 
                disability in--
                          [(i) the hiring, promotion, or 
                        assignment of employees of the agency 
                        or other personnel for whom the agency 
                        has any administrative responsibility;
                          [(ii) the assignment of students to 
                        schools, or to courses of instruction 
                        within the school, of such agency, 
                        except to carry out the approved plan; 
                        and
                          [(iii) designing or operating 
                        extracurricular activities for 
                        students;
                  [(D) carry out a high-quality education 
                program that will encourage greater parental 
                decisionmaking and involvement; and
                  [(E) give students residing in the local 
                attendance area of the proposed magnet school 
                projects equitable consideration for placement 
                in those projects.
  [(c) Special Rule.--No application may be approved under this 
section unless the Assistant Secretary of Education for Civil 
Rights determines that the assurances described in subsection 
(b)(2)(C) will be met.

[SEC. 5107. [20 U.S.C. 7207] PRIORITY.

  [In approving applications under this part, the Secretary 
shall give priority to applicants that--
          [(1) demonstrate the greatest need for assistance, 
        based on the expense or difficulty of effectively 
        carrying out an approved desegregation plan and the 
        projects for which assistance is sought;
          [(2) propose to carry out new magnet school projects, 
        or significantly revise existing magnet school 
        projects;
          [(3) propose to select students to attend magnet 
        school projects by methods such as lottery, rather than 
        through academic examination;
          [(4) propose to implement innovative educational 
        approaches that are consistent with the State's and 
        local educational agency's approved systemic reform 
        plans, if any, under title III of the Goals 2000: 
        Educate America Act; and
          [(5) propose to draw on comprehensive community 
        involvement plans.

[SEC. 5108. [20 U.S.C. 7208] USE OF FUNDS.

  [(a) In General.--Grant funds made available under this part 
may be used by an eligible local educational agency or 
consortium of such agencies--
          [(1) for planning and promotional activities directly 
        related to the development, expansion, continuation, or 
        enhancement of academic programs and services offered 
        at magnet schools;
          [(2) for the acquisition of books, materials, and 
        equipment, including computers and the maintenance and 
        operation thereof, necessary for the conduct of 
        programs in magnet schools;
          [(3) for the payment, or subsidization of the 
        compensation, of elementary and secondary school 
        teachers who are certified or licensed by the State, 
        and instructional staff where applicable, who are 
        necessary for the conduct of programs in magnet 
        schools; and
          [(4) with respect to a magnet school program offered 
        to less than the entire student population of a school, 
        for instructional activities that--
                  [(A) are designed to make available the 
                special curriculum that is offered by the 
                magnet school project to students who are 
                enrolled in the school but who are not enrolled 
                in the magnet school program; and
                  [(B) further the purposes of this part.
  [(b) Special Rule.--Grant funds under this part may be used 
in accordance with paragraphs (2) and (3) of subsection (a) 
only if the activities described in such paragraphs are 
directly related to improving the students' reading skills or 
knowledge of mathematics, science, history, geography, English, 
foreign languages, art, or music, or to improving vocational 
skills.

[SEC. 5109. [20 U.S.C. 7209] PROHIBITIONS.

  [(a) Transportation.--Grants under this part may not be used 
for transportation or any activity that does not augment 
academic improvement.
  [(b) Planning.--A local educational agency shall not expend 
funds under this part after the third year that such agency 
receives funds under this part for such project.

[SEC. 5110. [20 U.S.C. 7210] LIMITATIONS.

  [(a) Duration of Awards.--A grant under this part shall be 
awarded for a period that shall not exceed three fiscal years.
  [(b) Limitation on Planning Funds.--A local educational 
agency may expend for planning not more than 50 percent of the 
funds received under this part for the first year of the 
project, 15 percent of such funds for the second such year, and 
10 percent of such funds for the third such year.
  [(c) Amount.--No local educational agency or consortium 
awarded a grant under this part shall receive more than 
$4,000,000 under this part in any one fiscal year.
  [(d) Timing.--To the extent practicable, the Secretary shall 
award grants for any fiscal year under this part not later than 
June 1 of the applicable fiscal year.

[SEC. 5111. [20 U.S.C. 7211] INNOVATIVE PROGRAMS.

  [(a) In General.--From amounts reserved under subsection (d) 
for each fiscal year, the Secretary shall award grants to local 
educational agencies or consortia of such agencies described in 
section 5105 to enable such agencies or consortia to conduct 
innovative programs that--
          [(1) carry out the purpose of this part; and
          [(2) involve strategies other than magnet schools, 
        such as neighborhood or community model schools--
                  [(A) organized around a special emphasis, 
                theme or concept; and
                  [(B) involving extensive parent and community 
                involvement.
  [(b) Applicability.--Sections 5103, 5106, 5107, and 5108, 
shall not apply to grants awarded under subsection (a).
  [(c) Applications.--Each local educational agency or 
consortia of such agencies desiring a grant under this section 
shall submit an application to the Secretary at such time, in 
such manner, and containing such information and assurances as 
the Secretary may reasonably require.
  [(d) Innovative Programs.--The Secretary shall reserve not 
more than 5 percent of the funds appropriated under section 
5113(a) for each fiscal year to award grants under this 
section.

[SEC. 5112. [20 U.S.C. 7212] EVALUATIONS.

  [(a) Reservation.--The Secretary may reserve not more than 
two percent of the funds appropriated under section 5113(a) for 
any fiscal year to carry out evaluations of projects assisted 
under this part.
  [(b) Contents.--Each evaluation described in subsection (a), 
at a minimum, shall address--
          [(1) how and the extent to which magnet school 
        programs lead to educational quality and improvement;
          [(2) the extent to which magnet school programs 
        enhance student access to quality education;
          [(3) the extent to which magnet school programs lead 
        to the elimination, reduction, or prevention of 
        minority group isolation in elementary and secondary 
        schools with substantial proportions of minority 
        students; and
          [(4) the extent to which magnet school programs 
        differ from other school programs in terms of the 
        organizational characteristics and resource allocations 
        of such magnet school programs.

[SEC. 5113. [20 U.S.C. 7213] AUTHORIZATION OF APPROPRIATIONS; 
                    RESERVATION.

  [(a) Authorization.--For the purpose of carrying out this 
part, there are authorized to be appropriated $120,000,000 for 
fiscal year 1995 and such sums as may be necessary for each of 
the 4 succeeding fiscal years.
  [(b) Availability of Funds for Grants to Agencies Not 
Previously Assisted.--In any fiscal year for which the amount 
appropriated pursuant to subsection (a) exceeds $75,000,000, 
the Secretary shall give priority to using such amounts in 
excess of $75,000,000 to award grants to local educational 
agencies or consortia of such agencies that did not receive a 
grant under this part in the preceding fiscal year.]

              TITLE V--EDUCATIONAL OPPORTUNITY INITIATIVES

                      PART A--TECHNOLOGY EDUCATION

SEC. 5111. STATEMENT OF PURPOSE.

  To help all students develop technical and higher-order 
thinking skills and to achieve challenging State academic 
content and performance standards, as well as America's 
Education Goals, it is the purpose of this part to--
          (1) help provide all classrooms with access to 
        educational technology through support for the 
        acquisition of advanced multimedia computers, Internet 
        connections, and other technologies;
          (2) help ensure access to, and the effective use of, 
        educational technology in all classrooms through the 
        provision of sustained and intensive, high quality 
        professional development that improves the ability of 
        teachers and principals to integrate educational 
        technology effectively into the classroom by actively 
        engaging students, teachers, paraprofessionals, media 
        specialists, principals and superintendents in the use 
        of technology;
          (3) help improve the capability of teachers and other 
        appropriate school personnel to design and construct 
        new learning experiences using technology, and actively 
        engage students in the design and construction;
          (4) support efforts by State Educational Agencies and 
        local educational agencies to create learning 
        environments designed to prepare students to achieve 
        challenging State academic content and performance 
        standard through the use of research based teaching 
        practices and advanced technologies;
          (5) support the provision of technical assistance to 
        State educational agencies, local educational agencies, 
        and communities to help such agencies and communities 
        use technology-based resources and information systems 
        to support school reform and meet the needs of 
        students, teachers and other school personnel;
          (6) support partnerships among business and industry 
        and the education community to realize more rapidly the 
        potential of digital communication to expand the scope 
        of, and opportunities for learning;
          (7) support evaluation and research on the effective 
        use of technology in preparing all students to achieve 
        challenging State academic content and performance 
        standards, and the impact of technology on teaching and 
        learning;
          (8) encourage collaborative relationships among the 
        State agency for higher education, the State library 
        administrative agency, the State telecommunications 
        agency, and the State educational agency, in the area 
        of technology support to strengthen the system of 
        education to ensure that technology is accessible to, 
        and usable by, all students;
          (9) assist every student in crossing the digital 
        divide by ensuring that every child is computer 
        literate by the time the child finishes 8th grade, 
        regardless of the child's race, ethnicity, gender, 
        income, geography, or disability; and
          (10) support the development and use of education 
        technology to enhance and facilitate meaningful 
        parental involvement to improve student learning.

SEC. 5112. DEFINITIONS.

  In this title:
          (1) Adult education.--The term ``adult education'' 
        has the same meaning given such term by section 203 of 
        the Adult Education and Family Literacy Act.
          (2) All students.--The term ``all students'' means 
        students from a broad range of backgrounds and 
        circumstances, including disadvantaged students, 
        students with diverse racial, ethnic, and cultural 
        backgrounds, students with disabilities, students with 
        limited English proficiency, students who have dropped 
        out of school, and academically talented students.
          (3) Information infrastructure.--The term 
        ``information infrastructure'' means a network of 
        communication systems designed to exchange information 
        among all citizens and residents of the United States.
          (4) Instructional programming.--The term 
        ``instructional programming'' means the full range of 
        audio and video data, text, graphics, or additional 
        state-of-the-art communications, including multimedia 
        based resources distributed through interactive, 
        command and control, or passive methods for the purpose 
        of education and instruction.
          (5) Interoperable and interoperability.--The terms 
        ``interoperable'' and ``interoperability'' mean the 
        ability to exchange easily data with, and connect to, 
        other hardware and software in order to provide the 
        greatest accessibility for all students and other 
        users.
          (6) Office.--The term ``Office'' means the Office of 
        Educational Technology.
          (7) Public telecommunications entity.--The term 
        ``public telecommunications entity'' has the same 
        meaning given to such term by section 397(12) of the 
        Communications Act of 1934.
          (8) Regional educational laboratory.--The term 
        ``regional educational laboratory'' means a regional 
        educational laboratory supported under section 941(h) 
        of the Educational, Research, Development, 
        Dissemination, and Improvement Act of 1994.
          (9) State educational agency.--The term ``State 
        educational agency'' includes the Bureau of Indian 
        Affairs for purposes of serving schools funded by the 
        Bureau of Indian Affairs in accordance with this part.
          (10) State library administrative agency.--The term 
        ``State library administrative agency'' has the same 
        meaning given to such term in section 3 of the Library 
        Services and Technology Act.
          (11) Technology.--The term ``technology'' means 
        state-of-the-art technology products and services, such 
        as closed circuit television systems, educational 
        television and radio programs and services, cable 
        television, satellite, copper and fiber optic 
        transmission, computer hardware and software, video and 
        audio laser and CD-ROM discs, video and audio tapes, 
        web-based learning resources including online classes, 
        interactive tutorials, and interactive tools and 
        virtual environments for problem solving, hand-held 
        devices, wireless technologies, voice recognition 
        systems, and high quality digital video, distance 
        learning networks, visualization, modeling and 
        simulation software and learning focused digital 
        libraries and information retrieval systems.

SEC. 5113. AUTHORIZATION OF APPROPRIATIONS.

  (a) Authorization of Appropriations.--There are authorized to 
be appropriated $815,000,000 for fiscal year 2001 and such sums 
as may be necessary for each of the 4 succeeding fiscal years 
to carry out subparts 1, 2, and 3, of which--
          (1) with respect to subparts 1 and 3--
                  (A) $5,000,000 shall be available to carry 
                out subpart 1 (National Programs for Technology 
                in Education) for fiscal year 2001;
                  (B) $10,000,000 shall be available to carry 
                out subpart 3 (Regional Technical Support and 
                Professional Development) for fiscal year 2001; 
                and
                  (C) for each of fiscal years 2002 through 
                2005, not to exceed 2.5 percent of the total 
                amount appropriated under this subsection for 
                each such fiscal year shall be available to 
                carry out such subparts; and
          (2) of any funds remaining for a fiscal year after 
        amounts are made available under paragraph (1)--
                  (A) except as provided in subsection (b), 70 
                percent of such funds shall be available for 
                carrying out section 5132; and
                  (B) 30 percent of such funds shall be 
                available for carrying out national activities 
                including section 5136.
  (b) Special Rule.--The amount made available under subsection 
(a)(2)(A) for a fiscal year shall in no case be less than the 
amount made available to carry out section 5132 in fiscal year 
2000.

SEC. 5114. LIMITATION ON COSTS.

  Not more than 5 percent of the funds under this part that are 
made available to a recipient of funds under this part for any 
fiscal year may be used by such recipient for administrative 
costs or technical assistance.

        Subpart 1--National Programs for Technology in Education

SEC. 5121. NATIONAL LONG-RANGE TECHNOLOGY PLAN.

  (a) In General.--The Secretary shall update, publish, and 
broadly disseminate not later than 12 months after the date of 
the enactment of this title, and update when the Secretary 
determines appropriate, the national long-range plan that 
supports the overall national technology policy and carries out 
the purposes of this part.
  (b) Plan Requirements.--The Secretary shall--
          (1) update the national long-range plan in 
        consultation with other Federal departments or 
        agencies, State and local education practitioners and 
        policymakers including teachers, principals and 
        superintendents, experts in technology and the 
        applications of technology to education, 
        representatives of distance learning consortia, 
        representatives of telecommunications partnerships 
        receiving assistance under the Star Schools Act, and 
        providers of technology services and products;
          (2) transmit such plan to the President and to the 
        appropriate committees of the Congress; and
          (3) publish such plan in a form that is readily 
        accessible to the public.
  (c) Contents of the Plan.--The updated national long-range 
plan shall describe the Secretary's activities to promote the 
purposes of this title, including--
          (1) how the Secretary will encourage the effective 
        use of technology to provide all students the 
        opportunity to achieve challenging State content 
        standards and State student performance standards, 
        especially through programs administered by the 
        Department;
          (2) joint activities in support of the overall 
        national technology policy with other Federal 
        departments or agencies, such as the Office of Science 
        and Technology Policy, the National Endowment for the 
        Humanities, the National Endowment for the Arts, the 
        National Institute for Literacy, the National 
        Aeronautics and Space Administration, the National 
        Science Foundation, the Bureau of Indian Affairs, and 
        the Departments of Commerce, Energy, Health and Human 
        Services, and Labor--
                  (A) to promote the use of technology in 
                education, training, and lifelong learning, 
                including plans for the educational uses of a 
                national information infrastructure; and
                  (B) to ensure that the policies and programs 
                of such departments or agencies facilitate the 
                use of technology for educational purposes, to 
                the extent feasible;
          (3) how the Secretary will work with educators, State 
        and local educational agencies, and appropriate 
        representatives of the private sector to facilitate the 
        effective use of technology in education;
          (4) how the Secretary will promote--
                  (A) higher achievement of all students 
                through the integration of technology into the 
                curriculum;
                  (B) increased access to the benefits of 
                technology for teaching and learning for 
                schools with a high number or percentage of 
                children from low-income families;
                  (C) the use of technology to assist in the 
                implementation of State systemic reform 
                strategies;
                  (D) the application of technological advances 
                to use in education;
                  (E) increased access to high quality adult 
                and family education services through the use 
                of technology for instruction and professional 
                development;
                  (F) increased opportunities for the 
                professional development of teachers and other 
                school leaders in the use of new technologies;
                  (G) increasing the use of educational 
                technology to provide professional development 
                opportunities for teachers and school leaders; 
                and
                  (H) increased parental involvement in schools 
                through the use of technology;
          (5) how the Secretary will determine, in consultation 
        with appropriate individuals, organizations, 
        industries, and agencies, the feasibility and 
        desirability of establishing guidelines to facilitate 
        an easy exchange of data and effective use of 
        technology in education;
          (6) how the Secretary will promote the exchange of 
        information among States, local educational agencies, 
        schools, consortia, and other entities concerning the 
        effective use of technology in education;
          (7) how the Secretary will promote the full 
        integration of technology into learning, including the 
        creation of new instructional opportunities through 
        access to challenging courses and information that 
        would otherwise not have been available, and 
        independent learning opportunities for students through 
        technology;
          (8) how the Secretary will encourage the creation of 
        opportunities for teachers to develop through the use 
        of technology, their own networks and resources for 
        sustained and intensive, high quality professional 
        development;
          (9) how the Secretary will utilize the outcomes of 
        the evaluation undertaken pursuant to section 5123 to 
        promote the purposes of this part; and
          (10) the Secretary's long-range measurable goals and 
        objectives relating to the purposes of this part.

SEC. 5122. FEDERAL LEADERSHIP.

  (a) Program Authorized.--In order to provide Federal 
leadership in promoting the use of technology in education, the 
Secretary, in consultation with the National Science 
Foundation, the Department of Commerce, the White House Office 
of Science and Technology, and other appropriate Federal 
agencies, may carry out activities designed to achieve the 
purposes of this part directly or by awarding grants or 
contracts competitively and pursuant to a peer review process 
to, or entering into contracts with, State educational 
agencies, local educational agencies, institutions of higher 
education, or other public and private nonprofit or for-profit 
agencies and organizations.
  (b) Assistance.--
          (1) In general.--The Secretary shall provide 
        assistance to the States to enable such States to plan 
        effectively for the use of technology in all schools 
        throughout the State.
          (2) Other federal agencies.--For the purpose of 
        carrying out coordinated or joint activities consistent 
        with the purposes of this part, the Secretary may 
        accept funds from, and transfer funds to, other Federal 
        agencies.
  (c) Uses of Funds.--The Secretary shall use funds made 
available to carry out this section for activities designed to 
carry out the purpose of this part, to include 1 or more of the 
following activities--
          (1) providing assistance to technical assistance 
        providers to enable such providers to improve 
        substantially the services such providers offer to 
        educators, including principals and superintendents, 
        regarding the uses of technology for education, 
        including professional development;
          (2) providing development grants to technical 
        assistance providers, to enable such providers to 
        improve substantially the services such providers offer 
        to educators, including principals and superintendents, 
        on the educational uses of technology, including 
        professional development;
          (3) consulting with representatives of industry, 
        elementary and secondary education, higher education, 
        adult and family education, and appropriate experts in 
        technology and educational applications of technology 
        in carrying out activities under this subpart;
          (4) research on, and the development of, applications 
        for education of the most advanced and newly emerging 
        technologies, including high quality video, voice 
        recognition devices, modeling and simulation software 
        (particularly web-based software and intelligent 
        tutoring), hand held devices, and wireless 
        technologies, which research shall be coordinated, when 
        appropriate, with the Office of Educational Research 
        and Improvement, and other Federal agencies;
          (5) the development, demonstration, and evaluation of 
        the educational aspects of high performance computing 
        and communications technologies and of the national 
        information infrastructure, in providing professional 
        development for teachers, school librarians, school 
        media specialists, other educators, and other 
        appropriate school personnel; enriching academic 
        curricula for elementary and secondary schools; 
        facilitating communications among schools, local 
        educational agencies, libraries, parents, and local 
        communities and in other such areas as the Secretary 
        deems appropriate;
          (6) the development, demonstration, and evaluation of 
        applications of technology and innovative tools in 
        preschool education, elementary and secondary 
        education, training and lifelong learning, and 
        professional development of educational personnel;
          (7) increasing and improving opportunities for 
        professional development for teachers, principals, 
        superintendents and pupil service personnel through 
        technology;
          (8) the evaluation of software and other products, 
        including multimedia television programming, that 
        incorporate advances in technology and helpachieve 
America's Education Goals, State content standards and State student 
performance standards;
          (9) the development, demonstration, and evaluation of 
        model strategies for preparing teachers and other 
        personnel to use technology effectively to improve 
        teaching and learning;
          (10) the development of model programs that 
        demonstrate the educational effectiveness of technology 
        in urban and rural areas and economically distressed 
        communities;
          (11) research on, and the evaluation of, the 
        effectiveness and benefits of technology in education 
        by making available such research and the results of 
        such evaluation in a national repository as providing 
        for its use for sustained and intensive high quality 
        professional development;
          (12) a biennial assessment of, and report to the 
        public regarding, the availability of uses of 
        technology in elementary and secondary education 
        throughout the United States upon which private 
        businesses and Federal, State, tribal, and local 
        governments may rely for decisionmaking about the need 
        for, and provision of, appropriate technologies in 
        schools, which assessment and report shall use, to the 
        extent possible, existing information and resources;
          (13) conferences on, and dissemination of information 
        regarding, the uses of technology in education;
          (14) the development of model strategies to promote 
        gender equity concerning access to, and the use of, 
        technology in the classroom;
          (15) encouraging collaboration between the Department 
        and other Federal agencies in the development, 
        implementation, evaluation and funding of applications 
        of technology for education, as appropriate;
          (16) the development of model programs, mentoring, or 
        other programs that may include partnerships with a 
        business, an industry, or an institution of higher 
        education, that encourages students, including young 
        women, to pursue demanding careers and higher education 
        degrees in mathematics, science, engineering and 
        technology;
          (17) the conduct of long-term controlled studies on 
        the effectiveness of the use of educational technology 
        and the conduct of evaluations and applied reach 
        studies that examine how students learn using 
        technology and the characteristics of classrooms and 
        other educational settings that use education 
        technology effectively;
          (18) the development, demonstration, and evaluation 
        of model technology programs designed to improve 
        parental involvement; and
          (19) such other activities as the Secretary 
        determines will meet the purposes of this subpart.
  (d) Non-Federal Share.--
          (1) In general.--Subject to paragraphs (2) and (3), 
        the Secretary may require any recipient of a grant or 
        contract under this section to share in the cost of the 
        activities assisted under such grant or contract, which 
        non-Federal share shall be announced through a notice 
        in the Federal Register and may be in the form of cash 
        or in-kind contributions, fairly valued.
          (2) Increase.--The Secretary may increase the non-
        Federal share that is required of a recipient of a 
        grant or contract under this section after the first 
        year such recipient receives funds under such grant or 
        contract.
          (3) Maximum.--The non-Federal share required under 
        this section shall not exceed 50 percent of the cost of 
        the activities assisted pursuant to a grant or contract 
        under this section.

  Subpart 2--State and Local Programs for School Technology Resources

SEC. 5131. ALLOTMENT AND REALLOTMENT.

  (a) Allotment.--
          (1) In general.--Except as provided in paragraph (2), 
        each State educational agency shall be eligible to 
        receive a grant under this subpart for a fiscal year in 
        an amount which bears the same relationship to the 
        amount made available under section 5113(a)(3)(A) for 
        such year as the amount such State received under part 
        A of title I for such year bears to the amount received 
        for such year under such part by all States.
          (2) Minimum.--No State educational agency shall be 
        eligible to receive a grant under paragraph (1) in any 
        fiscal year in an amount which is less than one-half of 
        1 percent of the amount made available under section 
        5113(a)(3)(A) for such year.
          (3) Outlying areas.--The Secretary shall reserve an 
        amount equal to one-half of 1 percent of the amount 
        made available to carry out section 5132 for each 
        fiscal year to provide grants to outlying areas in 
        amounts that are based on the relative needs of such 
        areas as determined by the Secretary in accordance with 
        the purposes of section 5132.
  (b) Reallotment of Unused Funds.--
          (1) In general.--The amount of any State educational 
        agency's allotment under subsection (a) for any fiscal 
        year which the State educational agency determines will 
        not be required for such fiscal year to carry out this 
        subpart shall be available for reallotment from time to 
        time, on such dates during such year as the Secretary 
        may determine, to other State educational agencies in 
        proportion to the original allotments to such State 
        educational agencies under subsection (a) for such 
        year.
          (2) Other reallotments.--The total of reductions 
        under paragraph (1) shall be similarly reallotted among 
        the State educational agencies whose proportionate 
        amounts were not so reduced. Any amounts reallotted to 
        a State educational agency under this subsection during 
        a year shall be deemed a subpart of such agencies 
        allotment under subsection (a) for such year.

SEC. 5132. TECHNOLOGY LITERACY FUND.

  (a) Grants to States.--
          (1) In general.--From amounts made available under 
        section 5131, the Secretary, through the Office of 
        Educational Technology, shall award grants to State 
        educational agencies having applications approved under 
        section 5133.
          (2) Use of grants.--
                  (A) In general.--Each State educational 
                agency receiving a grant under paragraph (1) 
                shall use such grant funds to award grants, on 
                a competitive basis, to local educational 
                agencies to enable such local educational 
                agencies to carry out the activities described 
                in section 5134.
                  (B) Size, scope and duration.--In awarding 
                grants under subparagraph (A), each State 
                educational agency shall ensure that each such 
                grant is of sufficient duration, and of 
                sufficient size, scope, and quality, to carry 
                out the purposes of this part effectively.
  (b) Technical Assistance.--Each State educational agency 
receiving a grant under paragraph (1) shall--
          (1) identify the local educational agencies served by 
        the State educational agency that--
                  (A) have the highest number or percentage of 
                children in poverty; and
                  (B) demonstrate to such State educational 
                agency the greatest need for technical 
                assistance in developing the application under 
                section 5133; and
          (2) offer such technical assistance to such local 
        educational agencies.

SEC. 5133. STATE APPLICATION.

  To receive funds under this subpart, each State educational 
agency shall submit a statewide educational technology plan 
which may include plans submitted under statewide technology 
plans which meet the requirements of this section. Such 
application shall be submitted to the Secretary at such time, 
in such manner, and accompanied by such information as the 
Secretary may reasonably require. Each such application shall 
contain a systemic statewide plan that--
          (1) outlines long-term strategies for financing 
        technology education in the State and describes how 
        business, industry, and other public and private 
        agencies, including libraries, library literacy 
        programs, and institutions of higher education, can 
        participate in the implementation, ongoing planning, 
        and support of the plan;
          (2) meets such other criteria as the Secretary may 
        establish in order to enable such agency to provide 
        assistance to local educational agencies that have the 
        highest numbers or percentages of children in poverty 
        and demonstrate the greatest need for technology, in 
        order to enable such local educational agencies, for 
        the benefit of school sites served by such local 
        educational agencies, to carry out activities such as--
                  (A) purchasing quality technology resources;
                  (B) installing various linkages necessary to 
                acquire connectivity;
                  (C) integrating technology into the 
                curriculum in order to improve student learning 
                and achievement;
                  (D) providing teachers, library media 
                personnel, principals and superintendents with 
                training or access to training;
                  (E) providing administrative and technical 
                support and services that improve student 
                learning through enriched technology-enhanced 
                resources, including library media resources;
                  (F) promoting in individual schools the 
                sharing, distribution, and application of 
                educational technologies with demonstrated 
                effectiveness;
                  (G) assisting schools in promoting parent 
                involvement;
                  (H) assisting the community in providing 
                literacy-related services;
                  (I) establishing partnerships with private or 
                public educational providers or other entities 
                to serve the needs of children in poverty; and
                  (J) providing assurances that financial 
                assistance provided under this part shall 
                supplement, not supplant, State and local 
                funds;
          (3) the State educational agency's specific goals for 
        using advanced technologies to improve student 
        achievement and student performance to challenging 
        State academic content and performance standards by--
                  (A) using web-based resources and 
                telecommunications networks to provide 
                challenging content and improve classroom 
                instruction;
                  (B) using research-based teaching practices 
                and models of effective uses of advanced 
                technology to promote basic skills in core 
                academic areas and higher-order thinking skills 
                in all students; and
                  (C) promoting sustained and intensive high-
                quality professional development that increases 
                teacher capacity to enable students to learn 
                challenging State content and performance 
                standards and develop higher-order thinking 
                skills through the integration of technology 
                into instruction; and
          (4) the State educational agency's strategy for 
        disseminating information.

SEC. 5134. LOCAL USES OF FUNDS.

  Each local educational agency, to the extent possible, shall 
use the funds made available under section 5132(a)(2) for--
          (1) adapting or expanding existing and new 
        applications of technology to enable teachers to help 
        students to achieve to challenging State academic 
        content and student performance standards through the 
        use of research-based teaching practices and advanced 
        technologies;
          (2) funding projects of sufficient size and scope to 
        improve student learning and, as appropriate, support 
        professional development, and provide administrative 
        support;
          (3) acquiring connectivity linkages, resources, and 
        services, including the acquisition of hardware and 
        software, for use by teachers, students and school 
        library media personnel in the classroom or in school 
        library media centers, in order to improve student 
        learning by supporting the instructional program 
        offered by such agency to ensure that studentsin 
schools will have meaningful access on a regular basis to such 
linkages, resources and services;
          (4) providing sustained and intensive, high-quality 
        professional development in the integration of advanced 
        technologies into curriculum and in using those 
        technologies to create new learning environments, 
        including training in the use of technology to access 
        data and resources to develop curricula and 
        instructional materials that are aligned to the 
        challenging State academic content standards in core 
        academic subjects;
          (5) acquiring connectivity with wide area networks 
        for purposes of accessing information and educational 
        programming sources, particularly with institutions of 
        higher education and public libraries;
          (6) providing educational services for adults and 
        families;
          (7) carrying out programs that prepare prospective 
        teachers to use advanced technology to foster learning 
        environments conducive to preparing all students to 
        achieve challenging State and local content and student 
        performance standards through the use of a variety of 
        models including school-based professional development;
          (8) supporting in-school and school-community 
        collaboration to make more effective and efficient use 
        of existing investments in technology;
          (9) utilizing technology to develop or expand efforts 
        to connect schools and teachers with parents to promote 
        meaningful parental involvement and foster increased 
        communication about curriculum, assignments and 
        assessments;
          (10) providing support to help parents understand the 
        technology being applied in their children's education 
        so that parents will be able to reinforce their 
        children's learning;
          (11) using web-based learning resources, including 
        those that provide access to challenging courses; and
          (12) providing education technology for advanced 
        placement instruction.

SEC. 5135. LOCAL APPLICATIONS.

  Each local educational agency desiring assistance from a 
State educational agency under section 5132(a)(2) shall submit 
an application, consistent with the objectives of the systemic 
statewide plan, to the State educational agency at such time, 
in such manner and accompanied by such information as the State 
educational agency may reasonably require. Such application, at 
a minimum, shall--
          (1) include a strategic, long-range (3- to 5-year), 
        plan that includes--
                  (A) a description of the type of technologies 
                to be acquired, including specific provisions 
                for interoperability among components of such 
                technologies and, to the extent practicable, 
                with existing technologies;
                  (B) an explanation of how the acquired 
                technologies will be integrated into the 
                curriculum to help the local educational agency 
                enhance teaching, training, and student 
                achievement;
                  (C) an explanation of how programs will be 
                developed in collaboration with existing adult 
                literacy services providers to maximize the use 
                of such technologies;
                  (D)(i) a description of how the local 
                educational agency will ensure ongoing, 
                sustained professional development for 
                teachers, principals, superintendents, 
                appropriate school personnel, and school 
                library media personnel served by the local 
                educational agency to further the use of 
                technology in the classroom or library media 
                center;
                  (ii) a list of the source or sources of 
                ongoing training and technical assistance 
                available to schools, teachers, principals, 
                superintendents, other appropriate school 
                personnel and library media personnel served by 
                the local educational agency, such as State 
                technology offices, intermediate educational 
                support units, regional educational 
                laboratories or institutions of higher 
                education; and
                  (iii) a description of how parents will be 
                informed of the use of technologies so that the 
                parents will be able to reinforce at home the 
                instruction their children receive at school;
                  (E) a description of the supporting 
                resources, such as services, software and print 
                resources, which will be acquired to ensure 
                successful and effective use of technologies 
                acquired under this section;
                  (F) the projected timetable for implementing 
                such plan in schools;
                  (G) the projected cost of technologies to be 
                acquired and related expenses needed to 
                implement such plan; and
                  (H) a description of how the local 
                educational agency will coordinate the 
                technology provided pursuant to this subpart 
                with other grant funds available for technology 
                from other Federal, State and local sources;
          (2) describe how the local educational agency will 
        involve parents, public libraries, business leaders and 
        community leaders in the development of such plan;
          (3) describe how the acquired instructionally based 
        technologies will help the local educational agency--
                  (A) promote equity in education in order to 
                support State content standards and State 
                student performance standards that may be 
                developed;
                  (B) provide access for teachers, other 
                appropriate school personnel, parents and 
                students to the best teaching practices and 
                curriculum resources through technology; and
                  (C) improve parental involvement in schools;
          (4) describe a process for the ongoing evaluation of 
        how technologies acquired under this section--
                  (A) will be integrated into the school 
                curriculum; and
                  (B) will affect student achievement and 
                progress toward meeting America's Education 
                Goals and any challenging State content 
                standards and State student performance 
                standards that may be developed;
          (5) describe how the consortia will develop or 
        redesign teacher preparation programs to enable 
        prospective teachers to use technology effectively in 
        their classroom, if applicable to the consortia; and
          (6) describe how the local educational agency will 
        effectively use technology to promote parental 
        involvement and increase communication with parents.
  (d) Formation of Consortia.--A local educational agency for 
any fiscal year may apply for financial assistance as part of a 
consortium with other local educational agencies, institutions 
of higher education, intermediate educational units, libraries, 
or other educational entities appropriate to provide local 
programs. The State educational agency may assist in the 
formation of consortia among local educational agencies, 
providers of educational services for adults and families, 
institutions of higher education, intermediate educational 
units, libraries, or other appropriate educational entities to 
provide services for the teachers and students in a local 
educational agency at the request of such local educational 
agency.
  (e) Coordination of Application Requirements.--If a local 
educational agency submitting an application for assistance 
under this section has developed a comprehensive education 
improvement plan, in conjunction with requirements under this 
Act, the State educational agency may approve such plan, or a 
component of such plan, notwithstanding the requirements of 
subsection (d) if the State educational agency determines that 
such approval would further the purposes of this subpart.

SEC. 5136. NATIONAL TECHNOLOGY INNOVATION GRANTS.

  (a) Grants Authorized.--
          (1) In general.--From amounts made available under 
        section 5113(a)(3)(B) for any fiscal year the Secretary 
        is authorized to award grants, on a competitive basis, 
        to consortia having applications approved under 
        subsection (d), which consortia shall include at least 
        1 local educational agency with a high percentage or 
        number of children living below the poverty line and 
        may include other local educational agencies, State 
        educational agencies, institutions of higher education, 
        businesses, academic content experts, software 
        designers, museums, libraries, or other appropriate 
        entities.
          (2) Duration.--Grants under this section shall be 
        awarded for a period of 5 years.
          (3) Continuation grants.--The Secretary may award 
        continuation grants under this section, where 
        applicable, to entities receiving grants under the 
        Preparing Tomorrows Teachers to Use Technology Program.
  (b) Use of Grants.--Grants awarded under subsection (a) shall 
be used for activities described in section 5134.
  (c) Priority.--In awarding grants under this section, the 
Secretary shall give priority to consortia which demonstrate in 
the application submitted under subsection (d) that--
          (1) the project for which assistance is sought is 
        designed to serve areas with a high number or 
        percentage of disadvantaged students or the greatest 
        need for educational technology;
          (2) the project will directly benefit students by, 
        for example, integrating the acquired technologies into 
        curriculum to help the local educational agency enhance 
        teaching, training, and student achievement;
          (3) the project will ensure ongoing, sustained 
        professional development for teachers, principals, 
        superintendents, other appropriate school personnel, 
        and school library media personnel served by the local 
        educational agency to further the use of technology in 
        the classroom or library media center including the 
        preservice education of prospective teachers in the use 
        of educational technology if 1 of the members of the 
        consortia is an institution of higher education that 
        prepares teachers for their initial entry into 
        teaching;
          (4) the project will ensure successful, effective, 
        and sustainable use of technologies acquired under this 
        subsection;
          (5) members of the consortia or other appropriate 
        entities will contribute substantial financial and 
        other resources to achieve the goals of the project;
          (6) the project will enhance parental involvement by 
        providing parents the information needed to more fully 
        participate in their child's learning; and
          (7) the project will use education technology for 
        advanced placement instruction.
  (d) Application.--
          (1) In general.--Each consortium desiring a grant 
        under this section shall submit an application to the 
        Secretary at such time, in such manner, and accompanied 
        by such information as the Secretary may reasonably 
        require.
          (2) Fiscal agents.--Any member of a consortium may 
        serve as the fiscal agent of the consortium for 
        purposes of this subpart, so long as the lead local 
        educational agency agrees to permit such member to 
        serve as the fiscal agent.

SEC. 5137. FEDERAL ADMINISTRATION.

  (a) Evaluation Procedures.--The Secretary shall develop 
procedures for State and local evaluations of the programs 
under this subpart.
  (b) Specific Evaluations.--The Secretary shall submit to the 
Congress by not later than 3 years after the date of enactment 
of this title an evaluation of State and local outcomes of the 
technology literacy challenge funds program and of the 
technology innovations challenge grant program.
  (c) Evaluation Summary.--The Secretary shall submit to the 
Congress by not later than 2 years after the date of enactment 
of this title a summary of the State evaluations of programs 
under this subpart in accordance with the provisions of section 
10201.

   Subpart 3--Regional Technical Support and Professional Development

SEC. 5141. REGIONAL TECHNICAL SUPPORT AND PROFESSIONAL DEVELOPMENT.

  (a) Grants Authorized.--
          (1) Authority.--The Secretary, through the Office of 
        Educational Technology, shall make grants in accordance 
        with the provisions of this section, to regional 
        entities such as the Eisenhower Mathematics and Science 
        Regional Consortia, the regional education 
        laboratories, the comprehensive regional assistance 
        centers, or such other regional entities as may be 
        designated or established by the Secretary. In awarding 
        grants under this section, the Secretary shall ensure 
        that each geographic region of the United States shall 
        be served by such a consortium.
          (2) Requirements.--Each consortium receiving a grant 
        under this section shall--
                  (A) be composed of State educational 
                agencies, institutions of higher education, 
                nonprofit organizations, or a combination 
                thereof;
                  (B) in cooperation with State and local 
                educational agencies, develop a regional 
                program that addresses professional 
                development, technical assistance, and 
                information resource dissemination, with 
                special emphasis on meeting the documented 
                needs of educators and learners in the region; 
                and
                  (C) foster regional cooperation and resource 
                and coursework sharing.
  (b) Functions.--
          (1) Technical assistance.--Each consortium receiving 
        a grant under this section shall, to the extent 
        practicable--
                  (A) collaborate with State educational 
                agencies and local educational agencies 
                requesting collaboration, particularly in the 
                development of strategies for assisting those 
                schools with the highest numbers or percentages 
                of disadvantaged students with little or no 
                access to technology in the classroom;
                  (B) provide information, in coordination with 
                information available from the Secretary, to 
                State educational agencies, local educational 
                agencies, schools and adult education programs, 
                on the types and features of various 
                educational technology equipment and software 
                available, evaluate and make recommendations on 
                equipment and software that support America's 
                Education Goals and are suited for a school's 
                particular needs, and compile and share 
                information regarding creative and effective 
                applications of technology in the classroom and 
                school library media centers in order to 
                support the purposes of this part;
                  (C) collaborate with such State educational 
                agencies, local educational agencies, or 
                schools requesting to participate in the 
                tailoring of software programs and other 
                supporting materials to meet challenging State 
                content standards or challenging State student 
                performance standards that may be developed; 
                and
                  (D) provide technical assistance to 
                facilitate use of the electronic dissemination 
                networks by State and local educational 
                agencies and schools throughout the region.
          (2) Professional development.--Each consortium 
        receiving a grant under this section shall, to the 
        extent practicable--
                  (A) develop and implement, in collaboration 
                with State educational agencies and 
                institutions of higher education, technology-
                specific, ongoing professional development, 
                such as--
                          (i) intensive school year and summer 
                        workshops that use teachers, school 
                        librarians, and school library 
                        personnel to train other teachers, 
                        school librarians, and other school 
                        library media personnel; and
                          (ii) distance professional 
                        development, including--
                                  (I) interactive training 
                                telecourses using researchers, 
                                educators, and 
                                telecommunications personnel 
                                who have experience in 
                                developing, implementing, or 
                                operating educational and 
                                instructional technology as a 
                                learning tool;
                                  (II) onsite courses teaching 
                                teachers to use educational and 
                                instructional technology and to 
                                develop their own instructional 
                                materials for effectively 
                                incorporating technology and 
                                programming in their own 
                                classrooms;
                                  (III) methods for successful 
                                integration of instructional 
                                technology into the curriculum 
                                in order to improve student 
                                learning and achievement;
                                  (IV) video conferences and 
                                seminars which offer 
                                professional development 
                                through peer interaction with 
                                experts as well as other 
                                teachers using technologies in 
                                their classrooms; and
                                  (V) mobile education 
                                technology and training 
                                resources;
                  (B) develop training resources that--
                          (i) are relevant to the needs of the 
                        region and schools within the region;
                          (ii) are relevant to the needs of 
                        adult literacy staff and volunteers, 
                        including onsite courses on how to--
                                  (I) use instructional 
                                technology; and
                                  (II) develop instructional 
                                materials for adult learning; 
                                and
                          (iii) are aligned with the needs of 
                        teachers and administrators in the 
                        region;
                  (C) establish a repository of professional 
                development and technical assistance resources;
                  (D) identify and link technical assistance 
                providers to State and local educational 
                agencies, as needed;
                  (E) ensure that training, professional 
                development, and technical assistance meet the 
                needs of educators, parents, and students 
                served by the region;
                  (F) assist colleges and universities within 
                the region to develop and implement preservice 
                training programs for students enrolled in 
                teacher education programs; and
                  (G) assist local educational agencies and 
                schools in working with community members and 
                parents to develop support from communities and 
                parents for educational technology programs and 
                projects.
          (3) Information and resource dissemination.--Each 
        consortium receiving a grant under this section shall, 
        to the extent practicable--
                  (A) assist State and local educational 
                agencies in the identification and procurement 
                of financial, technological and human resources 
                needed to implement technology plans;
                  (B) provide outreach and, at the request of a 
                State or local educational agency, work with 
                such agency to assist in the development and 
                validation of instructionally based technology 
                education resources; and
                  (C) coordinate activities and establish 
                partnerships with organizations and 
                institutions of higher education that represent 
                the interests of the region as such interests 
                pertain to the application of technology in 
                teaching, learning, instructional management, 
                dissemination, collection and distribution of 
                educational statistics, and the transfer of 
                student information.
          (4) Coordination.--Each consortium receiving a grant 
        under this section shall work collaboratively, and 
        coordinate the services the consortium provides, with 
        appropriate regional and other entities assisted in 
        whole or in part by the Department.
  (c) Reports on Current Grantees.--Not later than 3 months 
after the date of enactment of this title, entities receiving 
grants under section 3141 of this Act (as such section existed 
1 day prior to the date of enactment of this title) shall 
prepare and submit to the Secretary a report concerning 
activities undertaken with amounts received under such grants.

           *       *       *       *       *       *       *


                      PART B--STAR SCHOOLS PROGRAM

SEC. 5201. SHORT TITLE.

  This part may be cited as the ``Star Schools Act''.

SEC. 5202. PURPOSE.

  It is the purpose of this part to encourage improved 
instruction in mathematics, science, and foreign languages and 
challenging and advanced courses as well as other subjects, 
such as literacy skills and vocational education, and to serve 
underserved populations, including the disadvantaged, 
illiterate, limited-English proficient, and individuals with 
disabilities, through a star schools program under which grants 
are made to eligible telecommunication partnerships to enable 
such partnerships to--
          (1) develop, construct, acquire, maintain and operate 
        telecommunications facilities and equipment;
          (2) develop and acquire educational and instructional 
        programming; and
          (3) obtain technical assistance for the use of such 
        facilities and instructional programming.

SEC. 5203. GRANTS AUTHORIZED.

  (a) Authority.--The Secretary, through the Office of 
Educational Technology, is authorized to make grants, in 
accordance with the provisions of this part, to eligible 
entities to pay the Federal share of the cost of--
          (1) the development, construction, acquisition, 
        maintenance and operation of telecommunications 
        facilities and equipment;
          (2) the development and acquisition of interactive 
        instructional programming;
          (3) the development and acquisition of preservice and 
        inservice teacher training programs based on 
        established research regarding teacher-to-teacher 
        mentoring, effective skill transfer, and ongoing, in-
        class instruction;
          (4) the establishment of web-based resources or 
        teleconferencing facilities and resources for making 
        interactive training available to teachers;
          (5) obtaining technical assistance; and
          (6) the coordination of the design and connectivity 
        of broadband and other telecommunications networks to 
        reach the greatest number of schools.
  (b) Duration.--
          (1) In general.--The Secretary shall award grants 
        pursuant to subsection (a) for a period of 5 years.
          (2) Renewal.--Grants awarded pursuant to subsection 
        (a) may be renewed for 1 additional 3-year period.
  (c) Authorization of Appropriations.--
          (1) In general.--There are authorized to be 
        appropriated $50,000,000 for fiscal year 2001, and such 
        sums as may be necessary for each of the four 
        succeeding fiscal years, to carry out this part.
          (2) Availability.--Funds appropriated pursuant to the 
        authority of subsection (a) shall remain available 
        until expended.
  (d) Limitations.--
          (1) In general.--A grant under this section shall not 
        exceed--
                  (A) five years in duration; and
                  (B) $10,000,000 in any 1 fiscal year.
          (2) Instructional programming.--Not less than 25 
        percent of the funds available to the Secretary in any 
        fiscal year under this part shall be used for the cost 
        of instructional programming.
          (3) Special rule.--Not less than 50 percent of the 
        funds available in any fiscal year under this part 
        shall be used for the cost of facilities, equipment, 
        teacher training or retraining, technical assistance, 
        or programming, for local educational agencies which 
        are eligible to receive assistance under part A of 
        title I.
  (e) Federal Share.--
          (1) In general.--The Federal share of the cost of 
        projects funded under this section shall not exceed--
                  (A) 75 percent for the first and second years 
                for which an eligible telecommunications 
                partnership receives a grant under this part;
                  (B) 60 percent for the third and fourth such 
                years; and
                  (C) 50 percent for the fifth such year.
          (2) Reduction or waiver.--The Secretary may reduce or 
        waive the requirement of the non-Federal share under 
        paragraph (1) upon a showing of financial hardship.
  (f) Authority To Accept Funds From Other Agencies.--The 
Secretary is authorized to accept funds from other Federal 
departments or agencies to carry out the purposes of this 
section, including funds for the purchase of equipment.
  (g) Coordination.--The Department, the National Science 
Foundation, the Department of Agriculture, the Department of 
Commerce, and any other Federal department or agency operating 
a telecommunications network for educational purposes, shall 
coordinate the activities assisted under this part with the 
activities of such department or agency relating to a 
telecommunications network for educational purposes.
  (h) Closed Captioning and Descriptive Video.--Each entity 
receiving funds under this part is encouraged to provide--
          (1) closed captioning of the verbal content of such 
        program, where appropriate, to be broadcast by way of 
        line 21 of the vertical blanking interval, or by way of 
        comparable successor technologies; and
          (2) descriptive video of the visual content of such 
        program, as appropriate.
  (i) Advanced Placement Instruction.--Each eligible entity 
receiving funds under this part is encouraged to deliver 
advanced placement instruction to underserved communities.

SEC. 5204. ELIGIBLE ENTITIES.

  (a) Eligible Entities.--
          (1) Required participation.--The Secretary may make a 
        grant under section 5203 to any eligible entity, if at 
        least 1 local educational agency is participating in 
        the proposed project.
          (2) Eligible entity.--For the purpose of this part, 
        the term ``eligible entity'' may include--
                  (A) a public agency or corporation 
                established for the purpose of developing and 
                operating telecommunications networks to 
                enhance educational opportunities provided by 
                educational institutions, teacher training 
                centers, and other entities, except that any 
                such agency or corporation shall represent the 
                interests of elementary and secondary schools 
                that are eligible to participate in the program 
                under part A of title I; or
                  (B) a partnership that will provide 
                telecommunications services and which includes 
                3 or more of the following entities, at least 1 
                of which shall be an agency described in clause 
                (i) or (ii):
                          (i) a local educational agency that 
                        serves a significant number of 
                        elementary and secondary schools that 
                        are eligible for assistance under part 
                        A of title I, or elementary and 
                        secondary schools operated or funded 
                        for Indian children by the Department 
                        of the Interior eligible under section 
                        1121(b)(2);
                          (ii) a State educational agency;
                          (iii) adult and family education 
                        programs;
                          (iv) an institution of higher 
                        education or a State higher education 
                        agency;
                          (v) a teacher training center or 
                        academy that--
                                  (I) provides teacher pre-
                                service and in-service 
                                training; and
                                  (II) receives Federal 
                                financial assistance or has 
                                been approved by a State 
                                agency;
                          (vi)(I) a public or private entity 
                        with experience and expertise in the 
                        planning and operation of a 
                        telecommunications network, including 
                        entities involved in telecommunications 
                        through the Internet, satellite, cable, 
                        telephone, or computer; or
                          (II) a public broadcasting entity 
                        with such experience; or
                          (vii) a public or private elementary 
                        or secondary school.
  (b) Special Rule.--An eligible entity receiving assistance 
under this part shall be organized on a statewide or multistate 
basis.

SEC. 5205. APPLICATIONS.

  (a) Applications Required.--Each eligible entity which 
desires to receive a grant under section 5203 shall submit an 
application to the Secretary, at such time, in such manner, and 
containing or accompanied by such information as the Secretary 
may reasonably require.
  (b) Star School Award Applications.--Each application 
submitted pursuant to subsection (a) shall--
          (1) describe how the proposed project will assist in 
        achieving America's Education Goals, how such project 
        will assist all students to have an opportunity to 
        learn to challenging State and local standards, how 
        such project will assist State and local educational 
        reform efforts, and how such project will contribute to 
        creating a high quality system of lifelong learning;
          (2) describe the telecommunications facilities and 
        equipment and technical assistance for which assistance 
        is sought, which may include--
                  (A) the design, development, construction, 
                acquisition, maintenance and operation of State 
                or multistate educational telecommunications 
                networks and technology resource centers;
                  (B) microwave, fiber optics, cable, and 
                satellite transmission equipment or any 
                combination thereof;
                  (C) reception facilities and equipment;
                  (D) satellite time and other transmissions;
                  (E) production facilities and equipment;
                  (F) other Internet education portals and 
                telecommunications equipment capable of serving 
                a wide geographic area;
                  (G) the provision of training services to 
                instructors who will be using the facilities 
                and equipment for which assistance is sought, 
                including training in using such facilities and 
                equipment and training in integrating programs 
                into the classroom curriculum; and
                  (H) the development of educational and 
                related programming for use on a 
                telecommunications network;
          (3) in the case of an application for assistance for 
        instructional programming, describe the types of 
        programming which will be developed to enhance 
        instruction and training and provide assurances that 
        such programming will be designed in consultation with 
        professionals (including classroom teachers) who are 
        experts in the applicable subject matter and grade 
        level;
          (4) describe how the eligible entity has engaged in 
        sufficient survey and analysis of the area to be served 
        to ensure that the services offered by the eligible 
        entity will increase the availability of courses of 
        instruction in English, mathematics, science, foreign 
        languages, arts, history, geography, or other 
        disciplines;
          (5) describe the professional development policies 
        for teachers and other school personnel to be 
        implemented to ensure the effective use of the 
        telecommunications facilities and equipment for which 
        assistance is sought;
          (6) describe the manner in which historically 
        underserved students (such as students from low-income 
        families, limited English proficient students, students 
        with disabilities, or students who have low literacy 
        skills) and their families, will participate in the 
        benefits of the telecommunications facilities, 
        equipment, technical assistance, and programming 
        assisted under this part;
          (7) describe how existing telecommunications 
        equipment, facilities, and services, where available, 
        will be used;
          (8) provide assurances that the financial interest of 
        the United States in the telecommunications facilities 
        and equipment will be protected for the useful life of 
        such facilities and equipment;
          (9) provide assurances that a significant portion of 
        any facilities and equipment, technical assistance, and 
        programming for which assistance is sought for 
        elementary and secondary schools will be made available 
        to schools or local educational agencies that have a 
        high number or percentage of children eligible to be 
        counted under part A of title I;
          (10) provide assurances that the applicant will use 
        the funds provided under this part to supplement and 
        not supplant funds otherwise available for the purposes 
        of this part;
          (11) if any member of the consortia receives 
        assistance under subpart 3 of part A, describe how 
        funds received under this part will be coordinated with 
        funds received for educational technology in the 
        classroom under such section;
          (12) describe the activities or services for which 
        assistance is sought, such as--
                  (A) providing facilities, equipment, training 
                services, and technical assistance;
                  (B) making programs accessible to students 
                with disabilities through mechanisms such as 
                closed captioning and descriptive video 
                services;
                  (C) linking networks around issues of 
                national importance (such as elections) or to 
                provide information about employment 
                opportunities, job training, or student and 
                other social service programs;
                  (D) sharing curriculum resources between 
                networks and development of program guides 
                which demonstrate cooperative, cross-network 
                listing of programs for specific curriculum 
                areas;
                  (E) providing teacher and student support 
                services including classroom and training 
                support materials which permit student and 
                teacher involvement in the live interactive 
                distance learning telecasts;
                  (F) incorporating community resources such as 
                libraries and museums into instructional 
                programs;
                  (G) providing professional development for 
                teachers, including, as appropriate, training 
                to early childhood development and Head Start 
                teachers and staff and vocational education 
                teachers and staff, and adult and family 
                educators;
                  (H) providing programs for adults to maximize 
                the use of telecommunications facilities and 
                equipment;
                  (I) providing teacher training on proposed or 
                established voluntary national content 
                standards in mathematics and science and other 
                disciplines as such standards are developed; 
                and
                  (J) providing parent education programs 
                during and after the regular school day which 
                reinforce a student's course of study and 
                actively involve parents in the learning 
                process;
          (13) describe how the proposed project as a whole 
        will be financed and how arrangements for future 
        financing will be developed before the project expires;
          (14) provide an assurance that a significant portion 
        of any facilities, equipment, technical assistance, and 
        programming for which assistance is sought for 
        elementary and secondary schools will be made available 
        to schools in local educational agencies that have a 
        high percentage of children counted for the purpose of 
        part A of title I;
          (15) provide an assurance that the applicant will 
        provide such information and cooperate in anyevaluation 
that the Secretary may conduct under this part; and
          (16) include such additional assurances as the 
        Secretary may reasonably require.
  (c) Priorities.--The Secretary, in approving applications for 
grants authorized under section 5203, shall give priority to 
applications describing projects that--
          (1) propose high-quality plans to assist in achieving 
        1 or more of America's Education Goals, will provide 
        instruction consistent with State content standards, or 
        will otherwise provide significant and specific 
        assistance to States and local educational agencies 
        undertaking systemic education reform;
          (2) will provide services to programs serving adults, 
        especially parents, with low levels of literacy;
          (3) will serve schools with significant numbers of 
        children counted for the purposes of part A of title I;
          (4) ensure that the eligible entity will--
                  (A) serve the broadest range of institutions, 
                programs providing instruction outside of the 
                school setting, programs serving adults, 
                especially parents, with low levels of 
                literacy, institutions of higher education, 
                teacher training centers, research institutes, 
                and private industry;
                  (B) have substantial academic and teaching 
                capabilities, including the capability of 
                training, retraining, and inservice upgrading 
                of teaching skills and the capability to 
                provide professional development;
                  (C) provide a comprehensive range of courses 
                for educators to teach instructional strategies 
                for students with different skill levels;
                  (D) provide training to participating 
                educators in ways to integrate 
                telecommunications courses into existing school 
                curriculum;
                  (E) provide instruction for students, 
                teachers, and parents;
                  (F) serve a multistate area; and
                  (G) give priority to the provision of 
                equipment and linkages to isolated areas; and
          (5) involve a telecommunications entity (such as a 
        satellite, cable, telephone, computer, or public or 
        private television stations) participating in the 
        eligible entity and donating equipment or in-kind 
        services for telecommunications linkages.
  (d) Geographic Distribution.--In approving applications for 
grants authorized under section 5203, the Secretary shall, to 
the extent feasible, ensure an equitable geographic 
distribution of services provided under this part.

SEC. 5206. DEFINITIONS.

  In this part:
          (1) Educational institution.--The term ``educational 
        institution'' means an institution of higher education, 
        a local educational agency, or a State educational 
        agency.
          (2) Instructional programming.--The term 
        ``instructional programming'' means courses of 
        instruction and training courses for elementary and 
        secondary students, teachers, and others, and materials 
        for use in such instruction and training that have been 
        prepared in audio and visual form on either analog or 
        digital format and are presented by means of 
        telecommunications devices.
          (3) Term public broadcasting entity.--The term 
        ``public broadcasting entity'' has the same meaning 
        given such term in section 397 of the Communications 
        Act of 1934.

SEC. 5207. ADMINISTRATIVE PROVISIONS.

  (a) Continuing Eligibility.--
          (1) In general.--In order to be eligible to receive a 
        grant under section 5203 for a second 3-year grant 
        period an eligible entity shall demonstrate in the 
        application submitted pursuant to section 5205 that 
        such partnership shall--
                  (A) continue to provide services in the 
                subject areas and geographic areas assisted 
                with funds received under this part for the 
                previous 5-year grant period; and
                  (B) use all grant funds received under this 
                part for the second 3-year grant period to 
                provide expanded services by--
                          (i) increasing the number of 
                        students, schools or school districts 
                        served by the courses of instruction 
                        assisted under this part in the 
                        previous fiscal year;
                          (ii) providing new courses of 
                        instruction; and
                          (iii) serving new populations of 
                        underserved individuals, such as 
                        children or adults who are 
                        disadvantaged, have limited-English 
                        proficiency, are individuals with 
                        disabilities, are illiterate, or lack 
                        secondary school diplomas or their 
                        recognized equivalent.
          (2) Special rule.--Grant funds received pursuant to 
        paragraph (1) shall be used to supplementand not 
supplant services provided by the grant recipient under this part in 
the previous fiscal year.
  (b) Federal Activities.--The Secretary may assist grant 
recipients under section 5203 in acquiring satellite time and 
other transmissions technologies, where appropriate, as 
economically as possible.

SEC. 5208. OTHER ASSISTANCE.

  (a) Special Statewide Network.--
          (1) In general.--The Secretary, through the Office of 
        Educational Technology, may provide assistance to a 
        statewide fiber optics telecommunications network under 
        this subsection if such network--
                  (A) provides 2-way full motion interactive 
                video and voice communications via Internet, 
                cable and other technologies;
                  (B) links together public colleges and 
                universities and schools throughout the State; 
                and
                  (C) includes such additional assurances as 
                the Secretary may reasonably require.
          (2) State contribution.--A statewide 
        telecommunications network assisted under paragraph (1) 
        shall contribute, either directly or through private 
        contributions, non-Federal funds equal to not less than 
        50 percent of the cost of such network.
  (b) Special Local Network.--
          (1) In general.--The Secretary may provide 
        assistance, on a competitive basis, to a local 
        educational agency or consortium thereof to enable such 
        agency or consortium to establish a high technology 
        demonstration program.
          (2) Program requirements.--A high technology 
        demonstration program assisted under paragraph (1) 
        shall--
                  (A) include 2-way full motion interactive 
                video, data and voice communications;
                  (B) link together elementary and secondary 
                schools, colleges, and universities;
                  (C) provide parent participation and family 
                programs;
                  (D) include a staff development program; and
                  (E) have a significant contribution and 
                participation from business and industry.
          (3) Special rule.--Each high technology demonstration 
        program assisted under paragraph (1) shall be of 
        sufficient size and scope to have an effect on meeting 
        America's Education Goals.
          (4) Matching requirement.--A local educational agency 
        or consortium receiving a grant under paragraph (1) 
        shall provide, either directly or through private 
        contributions, non-Federal matching funds equal to not 
        less than 50 percent of the amount of the grant.
  (c) Telecommunications Programs for Continuing Education.--
          (1) Authority.--The Secretary is authorized to award 
        grants, on a competitive basis, to eligible entities to 
        enable such partnerships to develop and operate 1 or 
        more programs which provide on-line access to 
        educational resources in support of continuing 
        education and curriculum requirements relevant to 
        achieving a secondary school diploma or its recognized 
        equivalent. The program authorized by this section 
        shall be designed to advance adult literacy, secondary 
        school completion and the acquisition of specified 
        competency by the end of the 12th grade.
          (2) Application.--Each eligible entity desiring a 
        grant under this section shall submit an application to 
        the Secretary. Each such application shall--
                  (A) demonstrate that the applicant will use 
                publicly funded or free public 
                telecommunications infrastructure to deliver 
                video, voice and data in an integrated service 
                to support and assist in the acquisition of a 
                secondary school diploma or its recognized 
                equivalent;
                  (B) assure that the content of the materials 
                to be delivered is consistent with the 
                accreditation requirements of the State for 
                which such materials are used;
                  (C) incorporate, to the extent feasible, 
                materials developed in the Federal departments 
                and agencies and under appropriate federally 
                funded projects and programs;
                  (D) assure that the applicant has the 
                technological and substantive experience to 
                carry out the program; and
                  (E) contain such additional assurances as the 
                Secretary may reasonably require.

         [PART C--ASSISTANCE TO ADDRESS SCHOOL DROPOUT PROBLEMS

[SEC. 5301. [20 U.S.C. 7261] SHORT TITLE.

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

[SEC. 5302. [20 U.S.C. 7262] 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. [20 U.S.C. 7263] 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. [20 U.S.C. 7264] 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. [20 U.S.C. 7265] 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. [20 U.S.C. 7266] 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. [20 U.S.C. 7267] 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. [20 U.S.C. 7268] 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.]

                   PART C--MAGNET SCHOOLS ASSISTANCE

SEC. 5301. FINDINGS AND STATEMENT OF PURPOSE.

  (a) Findings.--Congress makes the following findings:
          (1) Magnet schools are a significant part of our 
        Nation's effort to achieve voluntary desegregation of 
        our Nation's schools.
          (2) It is in the national interest to continue the 
        Federal Government's support of school districts that 
        are implementing court-ordered desegregation plans and 
        school districts that are voluntarily seeking to foster 
        meaningful interaction among students of different 
        racial and ethnic backgrounds.
          (3) Desegregation can help ensure that all students 
        have equitable access to high-quality education that 
        will prepare them to function well in a technologically 
        oriented and highly competitive society comprised of 
        people from many different racial and ethnic 
        backgrounds.
          (4) It is in the national interest to desegregate and 
        diversify those schools in our Nation that are 
        racially, economically, linguistically, or ethnically 
        segregated. Such segregation exists between minority 
        and non-minority students as well as among students of 
        different minority groups.
  (b) Statement of Purpose.--The purpose of this part is to 
assist in the desegregation of schools served by local 
educational agencies by providing financial assistance to 
eligible local educational agencies for--
          (1) the elimination, reduction, or prevention of 
        minority group isolation in elementary schools and 
        secondary schools with substantial proportions of 
        minority students which shall assist in the efforts of 
        the United States to achieve voluntary desegregation in 
        public schools;
          (2) the development and implementation of magnet 
        school projects that will assist local educational 
        agencies in achieving systemic reforms and providing 
        all students the opportunity to meet challenging State 
        and local content standards and challenging State and 
        local student performance standards;
          (3) the development and design of innovative 
        educational methods and practices;
          (4) courses of instruction within magnet schools that 
        will substantially strengthen the knowledge of academic 
        subjects and the grasp of tangible and marketable 
        vocational, technological and career skills of students 
        attending such schools;
          (5) improving the capacity of local educational 
        agencies, including through professional development, 
        to continue operating magnet schools at a high 
        performance level after Federal funding is terminated; 
        and
          (6) ensuring that all students enrolled in the magnet 
        school program have equitable access to high quality 
        education that will enable the students to succeed 
        academically and continue with post secondary education 
        or productive employment.

SEC. 5302. PROGRAM AUTHORIZED.

  The Secretary, in accordance with this part, is authorized to 
make grants to eligible local educational agencies, and 
consortia of such agencies where appropriate, to carry out the 
purpose of this part for magnet schools that are--
          (1) part of an approved desegregation plan; and
          (2) designed to bring students from different social, 
        economic, ethnic, and racial backgrounds together.

SEC. 5303. DEFINITION.

  For the purpose of this part, the term ``magnet school'' 
means a public elementary school or secondary school or a 
public elementary or secondary education center that offers a 
special curriculum capable of attracting substantial numbers of 
students of different racial backgrounds.

SEC. 5304. ELIGIBILITY.

  A local educational agency, or consortium of such agencies 
where appropriate, is eligible to receive assistance under this 
part to carry out the purposes of this part if such agency or 
consortium--
          (1) is implementing a plan undertaken pursuant to a 
        final order issued by a court of the United States, or 
        a court of any State, or any other State agency or 
        official of competent jurisdiction, that requires the 
        desegregation of minority-group-segregated children or 
        faculty in the elementary schools and secondary schools 
        of such agency; or
          (2) without having been required to do so, has 
        adopted and is implementing, or will, if assistance is 
        made available to such local educational agency or 
        consortium of such agencies under this part, adopt and 
        implement a plan that has been approved by the 
        Secretary as adequate under title VI of the Civil 
        Rights Act of 1964 for the desegregation of minority-
        group-segregated children or faculty in such schools.

SEC. 5305. APPLICATIONS AND REQUIREMENTS.

  (a) Applications.--An eligible local educational agency or 
consortium of such agencies desiring to receive assistance 
under this part shall submit an application to the Secretary at 
such time, in such manner, and containing such information and 
assurances as the Secretary may reasonably require.
  (b) Information and Assurances.--Each such application shall 
include--
          (1) a description of--
                  (A) how assistance made available under this 
                part will be used to promote desegregation, 
                including how the proposed magnet school 
                project will increase interaction among 
                students of different social, economic, ethnic, 
                and racial backgrounds;
                  (B) the manner and extent to which the magnet 
                school project will increase student 
                achievement in the instructional area or areas 
                offered by the school;
                  (C) how an applicant will continue the magnet 
                school project after assistance under this part 
                is no longer available, including, if 
                applicable, an explanation of why magnet 
                schools established or supported by the 
                applicant with funds under this part cannot be 
                continued without the use of funds under this 
                part;
                  (D) how funds under this part will be used to 
                implement services and activities that are 
                consistent with other programs under this Act, 
                and other Acts, as appropriate, in accordance 
                with the provisions of section 6506; and
                  (E) the criteria to be used in selecting 
                students to attend the proposed magnet school 
                projects; and
          (2) assurances that the applicant will--
                  (A) use funds under this part for the 
                purposes specified in section 5301(b);
                  (B) employ State certified or licensed 
                teachers in the courses of instruction assisted 
                under this part to teach or supervise others 
                who are teaching the subject matter of the 
                courses of instruction;
                  (C) not engage in discrimination based on 
                race, religion, color, national origin, sex, or 
                disability in--
                          (i) the hiring, promotion, or 
                        assignment of employees of the agency 
                        or other personnel for whom the agency 
                        has any administrative responsibility;
                          (ii) the assignment of students to 
                        schools, or to courses of instruction 
                        within the school, of such agency, 
                        except to carry out the approved plan; 
                        and
                          (iii) designing or operating 
                        extracurricular activities for 
                        students;
                  (D) carry out a high-quality education 
                program that will encourage greater parental 
                decisionmaking and involvement; and
                  (E) give students residing in the local 
                attendance area of the proposed magnet school 
                project equitable consideration for placement 
                in the project, consistent with desegregation 
                guidelines and the capacity of the project to 
                accommodate these students.
  (c) Special Rule.--No application may be approved under this 
section unless the Assistant Secretary of Education for Civil 
Rights determines that the assurances described in subsection 
(b)(2)(C) will be met.

SEC. 5306. PRIORITY.

  In approving applications under this part, the Secretary 
shall give priority to applicants that--
          (1) demonstrate the greatest need for assistance, 
        based on the expense or difficulty of effectively 
        carrying out an approved desegregation plan and the 
        projects for which assistance is sought;
          (2) propose to carry out new magnet school projects, 
        or significantly revise existing magnet school 
        projects;
          (3) propose to select students to attend magnet 
        school projects by methods such as lottery, rather than 
        through academic examination;
          (4) propose to implement innovative educational 
        approaches that are consistent with the State and local 
        content and student performance standards; and
          (5) propose activities, which may include 
        professional development, that will build local 
        capacity to operate the magnet school program once 
        Federal assistance has terminated.

SEC. 5307. USE OF FUNDS.

  (a) In General.--Grant funds made available under this part 
may be used by an eligible local educational agency or 
consortium of such agencies--
          (1) for planning and promotional activities directly 
        related to the development, expansion, continuation, or 
        enhancement of academic programs and services offered 
        at magnet schools;
          (2) for the acquisition of books, materials, and 
        equipment, including computers and the maintenance and 
        operation thereof, necessary for the conduct of 
        programs in magnet schools;
          (3) for the payment, or subsidization of the 
        compensation, of elementary school and secondary school 
        teachers who are certified or licensed by the State, 
        and instructional staff where applicable, who are 
        necessary for the conduct of programs in magnet 
        schools;
          (4) with respect to a magnet school program offered 
        to less than the entire student population of a school, 
        for instructional activities that--
                  (A) are designed to make available the 
                special curriculum that is offered by the 
                magnet school project to students who are 
                enrolled in the school but who are not enrolled 
                in the magnet school program; and
                  (B) further the purposes of this part;
          (5) to include professional development, which 
        professional development shall build the agency's or 
        consortium's capacity to operate the magnet school once 
        Federal assistance has terminated;
          (6) to enable the local educational agency or 
        consortium to have more flexibility in the 
        administration of a magnet school program in order to 
        serve students attending a school who are not enrolled 
        in a magnet school program; and
          (7) to enable the local educational agency or 
        consortium to have flexibility in designing magnet 
        schools for students at all grades.
  (b) Special Rule.--Grant funds under this part may be used in 
accordance with paragraphs (2) and (3) of subsection (a) only 
if the activities described in such paragraphs are directly 
related to improving the students' reading skills or knowledge 
of mathematics, science, history, geography, English, foreign 
languages, art, or music, or to improving vocational, 
technological and career skills.

SEC. 5308. PROHIBITION.

  Grants under this part may not be used for transportation or 
any activity that does not augment academic improvement.

SEC. 5309. LIMITATIONS.

  (a) Duration of Awards.--A grant under this part shall be 
awarded for a period that shall not exceed three fiscal years.
  (b) Limitation on Planning Funds.--A local educational agency 
may expend for planning (professional development shall not be 
considered as planning for purposes of this subsection) not 
more than 50 percent of the funds received under this part for 
the first year of the project, 25 percent of such funds for the 
second such year, and 15 percent of such funds for the third 
such year.
  (c) Amount.--No local educational agency or consortium 
awarded a grant under this part shall receive more than 
$4,000,000 under this part in any one fiscal year.
  (d) Timing.--To the extent practicable, the Secretary shall 
award grants for any fiscal year under this part not later than 
June 1 of the applicable fiscal year.

SEC. 5310. INNOVATIVE PROGRAMS.

  (a) In General.--From amounts reserved under subsection (d) 
for each fiscal year, the Secretary shall award grants to local 
educational agencies or consortia of such agencies described in 
section 5304 to enable such agencies or consortia to conduct 
innovative programs that--
          (1) involve innovative strategies other than magnet 
        schools, such as neighborhood or community model 
        schools, to support desegregation of schools and to 
        reduce achievement gaps;
          (2) assist in achieving systemic reforms and 
        providing all students the opportunity to meet 
        challenging State and local content standards and 
        challenging State and local student performance 
        standards; and
          (3) include innovative educational methods and 
        practices that--
                  (A) are organized around a special emphasis, 
                theme, or concept; and
                  (B) involve extensive parent and community 
                involvement.
  (b) Applicability.--Sections 5301(b), 5302, 5305, 5306, and 
5307, shall not apply to grants awarded under subsection (a).
  (c) Applications.--Each local educational agency or consortia 
of such agencies desiring a grant under this section shall 
submit an application to the Secretary at such time, in such 
manner, and containing such information and assurances as the 
Secretary may reasonably require.
  (d) Innovative Programs.--The Secretary shall reserve not 
more than 5 percent of the funds appropriated under section 
5312(a) for each fiscal year to award grants under this 
section.

SEC. 5311. EVALUATIONS.

  (a) Reservation.--The Secretary may reserve not more than two 
percent of the funds appropriated under section 5312(a) for any 
fiscal year to carry out evaluations of projects assisted under 
this part and to provide technical assistance for grant 
recipients under this part.
  (b) Contents.--Each evaluation described in subsection (a), 
at a minimum, shall address--
          (1) how and the extent to which magnet school 
        programs lead to educational quality and improvement;
          (2) the extent to which magnet school programs 
        enhance student access to quality education;
          (3) the extent to which magnet school programs lead 
        to the elimination, reduction, or prevention of 
        minority group isolation in elementary schools and 
        secondary schools with substantial proportions of 
        minority students;
          (4) the extent to which magnet school programs differ 
        from other school programs in terms of the 
        organizational characteristics and resource allocations 
        of such magnet school programs; and
          (5) the extent to which magnet school programs 
        continue once grant assistance under this part is 
        terminated.
  (c) Dissemination.--The Secretary shall collect and 
disseminate to the general public information on successful 
magnet school programs.

SEC. 5312. AUTHORIZATION OF APPROPRIATIONS; RESERVATION.

  (a) Authorization.--For the purpose of carrying out this 
part, there are authorized to be appropriated $125,000,000 for 
fiscal year 2001 and such sums as may be necessary for each of 
the 4 succeeding fiscal years.
  (b) Availability of Funds for Grants to Agencies Not 
Previously Assisted.--In any fiscal year for which the amount 
appropriated pursuant to subsection (a) exceeds $75,000,000, 
the Secretary shall give priority to using such amounts in 
excess of $75,000,000 to award grants to local educational 
agencies or consortia of such agencies that did not receive a 
grant under this part in the preceding fiscal year.

                   PART [C]D--PUBLIC CHARTER SCHOOLS


SEC. [10301.] 5401. [20 U.S.C. 8061] FINDINGS AND PURPOSE.

    [(a) Findings.--The Congress finds that--
          [(1) enhancement of parent and student choices among 
        public schools can assist in promoting comprehensive 
        educational reform and give more students the 
        opportunity to learn to challenging State content 
        standards and challenging State student performance 
        standards, if sufficiently diverse and high-quality 
        choices, and genuine opportunities to take advantage of 
        such choices, are available to all students;
          [(2) useful examples of such choices can come from 
        States and communities that experiment with methods of 
        offering teachers and other educators, parents, and 
        other members of the public the opportunity to design 
        and implement new public schools and to transform 
        existing public schools;
          [(3) charter schools are a mechanism for testing a 
        variety of educational approaches and should, 
        therefore, be exempted from restrictive rules and 
        regulations if the leadership of such schools commits 
        to attaining specific and ambitious educational results 
        for educationally disadvantaged students consistent 
        with challenging State content standards and 
        challenging State student performance standards for all 
        students;
          [(4) charter schools, as such schools have been 
        implemented in a few States, can embody the necessary 
        mixture of enhanced choice, exemption from restrictive 
        regulations, and a focus on learning gains;
          [(5) charter schools, including charter schools that 
        are schools-within-schools, can help reduce school 
        size, which reduction can have a significant effect on 
        student achievement;
          [(6) the Federal Government should test, evaluate, 
        and disseminate information on a variety of charter 
        school models in order to help demonstrate the benefits 
        of this promising educational reform; and
          [(7) there is a strong documented need for cash-flow 
        assistance to charter schools that are starting up, 
        because State and local operating revenue streams are 
        not immediately available.
    [(b) Purpose.--]It is the purpose of this part to increase 
national understanding of the charter schools model by--
          (1) providing financial assistance for the planning, 
        program design and initial implementation of charter 
        schools;
          (2) evaluating the effects of such schools, including 
        the effects on students, student achievement, staff, 
        and parents; and
          (3) expanding the number of high-quality charter 
        schools available to students across the Nation.

SEC. [10302.] 5402. [20 U.S.C. 8062] PROGRAM AUTHORIZED.

    (a) In General.--The Secretary may award grants to State 
educational agencies having applications approved pursuant to 
section [10303] 5413 to enable such agencies to conduct a 
charter school grant program in accordance with this part.
    (b) Special Rule.--If a State educational agency elects not 
to participate in the program authorized by this part or does 
not have an application approved under section [10303], 5413 
the Secretary may award a grant to an eligible applicant that 
serves such State and has an application approved pursuant to 
section [10303] 5413(c).
    (c) Program Periods.--
          (1) Grants to states.--Grants awarded to State 
        educational agencies under this part shall be awarded 
        for a period of not more than 3 years.
          (2) Grants to eligible applicants.--Grants awarded by 
        the Secretary to eligible applicants or subgrants 
        awarded by State educational agencies to eligible 
        applicants under this part shall be awarded for a 
        period of not more than 3 years, of which the eligible 
        applicant may use--
                  (A) not more than 18 months for planning and 
                program design;
                  (B) not more than 2 years for the initial 
                implementation of a charter school; and
                  (C) not more than 2 years to carry out 
                dissemination activities described in section 
                [10304] 5404(f)(6)(B).
    (d) Limitation.--A charter school may not receive--
          (1) more than one grant for activities described in 
        subparagraphs (A) and (B) of subsection (c)(2); or
          (2) more than one grant for activities under 
        subparagraph (C) of subsection (c)(2).
    (e) Priority Treatment.--
          (1) In general.--
                  (A) Fiscal years 1999, 2000, and 2001.--In 
                awarding grants under this part for any of the 
                fiscal years 1999, 2000, and 2001 from funds 
                appropriated under section [10311] 5411 that 
                are in excess of $51,000,000 for the fiscal 
                year, the Secretary shall give priority to 
                States to the extent that the States meet the 
                criteria described in paragraph (2) and one or 
                more of the criteria described in subparagraph 
                (A), (B), or (C) of paragraph (3).
                  (B) Succeeding fiscal years.--In awarding 
                grants under this part for fiscal year 2002 or 
                any succeeding fiscalyear from any funds 
appropriated under section 10311, the Secretary shall give priority to 
States to the extent that the States meet the criteria described in 
paragraph (2) and one or more of the criteria described in subparagraph 
(A), (B), or (C) of paragraph (3).
          (2) Review and evaluation priority criteria.--The 
        criteria referred to in paragraph (1) is that the State 
        provides for periodic review and evaluation by the 
        authorized public chartering agency of each charter 
        school, at least once every 5 years unless required 
        more frequently by State law, to determine whether the 
        charter school is meeting the terms of the school's 
        charter, and is meeting or exceeding the academic 
        performance requirements and goals for charter schools 
        as set forth under State law or the school's charter.
          (3) Priority criteria.--The criteria referred to in 
        paragraph (1) are the following:
                  (A) The State has demonstrated progress, in 
                increasing the number of high quality charter 
                schools that are held accountable in the terms 
                of the schools' charters for meeting clear and 
                measurable objectives for the educational 
                progress of the students attending the schools, 
                in the period prior to the period for which a 
                State educational agency or eligible applicant 
                applies for a grant under this part.
                  (B) The State--
                          (i) provides for one authorized 
                        public chartering agency that is not a 
                        local educational agency, such as a 
                        State chartering board, for each 
                        individual or entity seeking to operate 
                        a charter school pursuant to such State 
                        law; or
                          (ii) in the case of a State in which 
                        local educational agencies are the only 
                        authorized public chartering agencies, 
                        allows for an appeals process for the 
                        denial of an application for a charter 
                        school.
                  (C) The State ensures that each charter 
                school has a high degree of autonomy over the 
                charter school's budgets and expenditures.
    (f) Amount Criteria.--In determining the amount of a grant 
to be awarded under this part to a State educational agency, 
the Secretary shall take into consideration the number of 
charter schools that are operating, or are approved to open, in 
the State.

SEC. [10303.] 5403. [20 U.S.C. 8063] APPLICATIONS.

    (a) Applications From State Agencies.-- Each State 
educational agency desiring a grant from the Secretary under 
this part 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.
    (b) Contents of a State Educational Agency Application.--
Each application submitted pursuant to subsection (a) shall--
          (1) describe the objectives of the State educational 
        agency's charter school grant program and a description 
        of how such objectives will be fulfilled, including 
        steps taken by the State educational agency to inform 
        teachers, parents, and communities of the State 
        educational agency's charter school grant program; and
          (2) describe how the State educational agency--
                  (A) will inform each charter school in the 
                State regarding--
                          (i) Federal funds that the charter 
                        school is eligible to receive; and
                          (ii) Federal programs in which the 
                        charter school may participate;
                  (B) will ensure that each charter school in 
                the State receives the charter school's 
                commensurate share of Federal education funds 
                that are allocated by formula each year, 
                including during the first year of operation of 
                the charter school; and
                  (C) will disseminate best or promising 
                practices of charter schools to each local 
                educational agency in the State; and
          (3) contain assurances that the State educational 
        agency will require each eligible applicant desiring to 
        receive a subgrant to submit an application to the 
        State educational agency containing--
                  (A) a description of the educational program 
                to be implemented by the proposed charter 
                school including--
                          (i) how the program will enable all 
                        students to meet challenging State 
                        student performance standards;
                          (ii) the grade levels or ages of 
                        children to be served; and
                          (iii) the curriculum and 
                        instructional practices to be used;
                  (B) a description of how the charter school 
                will be managed;
                  (C) a description of--
                          (i) the objectives of the charter 
                        school; and
                          (ii) the methods by which the charter 
                        school will determine its progress 
                        toward achieving those objectives;
                  (D) a description of the administrative 
                relationship between the charter school and the 
                authorized public chartering agency;
                  (E) a description of now parents and other 
                members of the community will be involved in 
                the planning, program design and implementing 
                of the charter school;
                  (F) a description of how the authorized 
                public chartering agency will provide for 
                continued operation of the school once the 
                Federal grant has expired, if such agency 
                determines that the school has met the 
                objectives described in subparagraph (C)(i);
                  (G) a request and justification for waivers 
                of any Federal statutory or regulatory 
                provisions that the applicant believes are 
                necessary for the successful operation of the 
                charter school, and a description of any State 
                or localrules, generally applicable to public 
schools, that will be waived for, or otherwise not apply to, the 
school;
                  (H) a description of how the subgrant funds 
                or grant funds, as appropriate, will be used, 
                including a description of how such funds will 
                be used in conjunction with other Federal 
                programs administered by the Secretary;
                  (I) a description of how students in the 
                community will be--
                          (i) informed about the charter 
                        school; and
                          (ii) given an equal opportunity to 
                        attend the charter school;
                  (J) an assurance that the eligible applicant 
                will annually provide the Secretary and the 
                State educational agency such information as 
                may be required to determine if the charter 
                school is making satisfactory progress toward 
                achieving the objectives described in 
                subparagraph (C)(i);
                  (K) an assurance that the applicant will 
                cooperate with the Secretary and the State 
                educational agency in evaluating the program 
                assisted under this part;
                  (L) a description of how a charter school 
                that is considered a local educational agency 
                under State law, or a local educational agency 
                in which a charter school is located, will 
                comply with sections 613(a)(5) and 613(e)(1)(B) 
                of the Individuals with Disabilities Education 
                Act;
                  (M) If the eligible applicant desires to use 
                subgrant funds for dissemination activities 
                under section [10302]5402(c)(2)(C), a 
                description of those activities and how those 
                activities will involve charter schools and 
                other public schools, local educational 
                agencies, developers, and potential developers; 
                and
                  (N) such other information and assurances as 
                the Secretary and the State educational agency 
                may require.
    (c) Contents of Eligible Applicant Application.--Each 
eligible applicant desiring a grant pursuant to section 
[10302]5402(b) shall submit an application to the State 
educational agency or Secretary, respectively, at such time, in 
such manner, and accompanied by such information as the State 
educational agency or Secretary, respectively, may reasonably 
require.
    (d) Contents of Application.--Each application submitted 
pursuant to subsection (c) shall contain--
          (1) the information and assurances described in 
        subparagraphs (A) through (N) of subsection (b)(3), 
        except that for purposes of this subsection 
        subparagraphs (J), (K), and (N) of such subsection 
        shall be applied by striking ``and the State 
        educational agency'' each place such term appears; and
          (2) assurances that the State educational agency--
                  (A) will grant, or will obtain, waivers of 
                State statutory or regulatory requirements; and
                  (B) will assist each subgrantee in the State 
                in receiving a waiver under section 
                [10304]5404(e).

SEC. [10304.] 5404. [20 U.S.C. 8064] ADMINISTRATION.

    (a) Selection Criteria for State Educational Agencies.--The 
Secretary shall award grants to State educational agencies 
under this part on the basis of the quality of the applications 
submitted under section [10303]5403(b), after taking into 
consideration such factors as--
          (1) the contribution that the charter schools grant 
        program will make to assisting educationally 
        disadvantaged and other students to achieving State 
        content standards and State student performance 
        standards and, in general, a State's education 
        improvement plan;
          (2) the degree of flexibility afforded by the State 
        educational agency to charter schools under the State's 
        charter schools law;
          (3) the ambitiousness of the objectives for the State 
        charter school grant program;
          (4) the quality of the strategy for assessing 
        achievement of those objectives;
          (5) the likelihood that the charter school grant 
        program will meet those objectives and improve 
        educational results for students;
          (6) the number of high quality charter schools 
        created under this part in the State; and
          (7) in the case of State educational agencies that 
        propose to use grant funds to support dissemination 
        activities under section [10302]5402(c)(2)(C), the 
        quality of those activities and the likelihood that 
        those activities will improve student achievement.
    (b) Selection Criteria for Eligible Applicants.--The 
Secretary shall award grants to eligible applicants under this 
part on the basis of the quality of the applications submitted 
under section [10303]5403(c), after taking into consideration 
such factors as--
          (1) the quality of the proposed curriculum and 
        instructional practices;
          (2) the degree of flexibility afforded by the State 
        educational agency and if applicable, the local 
        educational agency to the charter school;
          (3) the extent of community support for the 
        application;
          (4) the ambitiousness of the objectives for the 
        charter school;
          (5) the quality of the strategy for assessing 
        achievement of those objectives;
          (6) the likelihood that the charter school will meet 
        those objectives and improve educational results for 
        students; and
          (7) in the case of an eligible applicant that 
        proposes to use grant funds to support dissemination 
        activities under section [10302]5402(c)(2)(C), the 
        quality of those activities and the likelihood that 
        those activities will improve student achievement.
    (c) Peer Review.--The Secretary, and each State educational 
agency receiving a grant under this part, shall use a peer 
review process to review applications for assistance under this 
part.
    (d) Diversity of Projects.--The Secretary and each State 
educational agency receiving a grant under this part, shall 
awardsubgrants under this part in a manner that, to the extent 
possible, ensures that such grants and subgrants--
          (1) are distributed throughout different areas of the 
        Nation and each State, including urban and rural areas; 
        and
          (2) will assist charter schools representing a 
        variety of education approaches, such as approaches 
        designed to reduce school size.
    (e) Waivers.--The Secretary may waive any statutory or 
regulatory requirement over which the Secretary exercises 
administrative authority except any such requirement relating 
to the elements of a charter school described in section 
[10310]5410(1), if--
          (1) the waiver is requested in an approved 
        application under this part; and
          (2) the Secretary determines that granting such a 
        waiver will promote the purpose of this part.
    (f) Use of Funds.--
          (1) State educational agencies.--Each State 
        educational agency receiving a grant under this part 
        shall use such grant funds to award subgrants to one or 
        more eligible applicants in the State to enable such 
        applicant to plan and implement a charter school in 
        accordance with this part, except that the State 
        educational agency may reserve not more than 10 percent 
        of the grant funds to support dissemination activities 
        described in paragraph (6).
          (2) Eligible applicants.--Each eligible applicant 
        receiving funds from the Secretary or a State 
        educational agency shall use such funds to plan and 
        implement a charter school, or to disseminate 
        information about the charter school and successful 
        practices in the charter school, in accordance with 
        this part.
          (3) Allowable activities.--An eligible applicant 
        receiving a grant or subgrant under this part may use 
        the grant or subgrant funds only for--
                  (A) post-award planning and design of the 
                educational program, which may include--
                          (i) refinement of the desired 
                        educational results and of the methods 
                        for measuring progress toward achieving 
                        those results; and
                          (ii) professional development of 
                        teachers and other staff who will work 
                        in the charter school; and
                  (B) initial implementation of the charter 
                school, which may include--
                          (i) informing the community about the 
                        school;
                          (ii) acquiring necessary equipment 
                        and educational materials and supplies;
                          (iii) acquiring or developing 
                        curriculum materials; and
                          (iv) other initial operational costs 
                        that cannot be met from State or local 
                        sources.
          (4) Administrative expenses.--Each State educational 
        agency receiving a grant pursuant to this part may 
        reserve not more than 5 percent of such grant funds for 
        administrative expenses associated with the charter 
        school grant program assisted under this part.
          (5) Revolving loan funds.--Each State educational 
        agency receiving a grant pursuant to this part may 
        reserve not more than 10 percent of the grant amount 
        for the establishment of a revolving loan fund. Such 
        fund may be used to make loans to eligible applicants 
        that have received a subgrant under this part, under 
        such terms as may be determined by the State 
        educational agency, for the initial operation of 
        charter school grant program of such recipient until 
        such time as the recipient begins receiving ongoing 
        operational support from State or local financing 
        sources.
          (6) Dissemination.--
                  (A) In general.--A charter school may supply 
                for funds under this part, whether or not the 
                charter school has applied for or received 
                funds under this part for planning, program 
                design, or implementation, to carry out the 
                activities described in subparagraph (B) if the 
                charter school has been in operation for at 
                least 3 consecutive years and has demonstrated 
                overall success, including--
                          (i) substantial progress in improving 
                        student achievement;
                          (ii) high levels of parent 
                        satisfaction; and
                          (iii) the management and leadership 
                        necessary to overcome initial start-up 
                        problems and establish a thriving, 
                        financially viable charter school.
                  (B) Activities.--A charter school described 
                in subparagraph (A) may use funds reserved 
                under paragraph (1) to assist other schools in 
                adapting the charter school's program (or 
                certain aspects of the charter school's 
                program), or to disseminate information about 
                the charter school, through such activities 
                as--
                          (i) assisting other individuals with 
                        the planning and start-up of one or 
                        more new public schools, including 
                        charter schools, that are independent 
                        of the assisting charter school and the 
                        assisting charter school's developers, 
                        and that agree to be held to at least 
                        as high a level of accountability as 
                        the assisting charter school;
                          (ii) developing partnerships with 
                        other public schools, including charter 
                        schools, designed to improve student 
                        performance in each of the schools 
                        participating in the partnership;
                          (iii) developing curriculum 
                        materials, assessments, and other 
                        materials that promote increased 
                        student achievement and are based on 
                        successful practices within the 
                        assisting charter school; and
                          (iv) conducting evaluations and 
                        developing materials that document the 
                        successful practices of the assisting 
                        charter school and that are designed to 
                        improve student performance in other 
                        schools.
    (g) Tribally controlled schools.--Each State that receives 
a grant under this part and designates a tribally controlled 
school as a charter school shall not consider payments to a 
school under the Tribally Controlled Schools Act of 1988 (25 
U.S.C. 2507) in determining--
          (1) the eligibility of the school to receive any 
        other Federal, State, or local aid; or
          (2) the amount of such aid.

SEC. [10305.] 5405. [20 U.S.C. 8065] NATIONAL ACTIVITIES.

    (a) In General.--The Secretary shall reserve for each 
fiscal year the greater of 5 percent or $5,000,000 of the 
amount appropriate to carry out this part, except that in no 
fiscal year shall the total amount so reserved exceed 
$8,000,000, to carry out the following activities:
          (1) To provide charter schools, either directly or 
        through State educational agencies, with--
                  (A) information regarding--
                          (i) Federal funds that charter 
                        schools are eligible to receive; and
                          (ii) other Federal programs in which 
                        charter schools may participate; and
                  (B) assistance in applying for Federal 
                education funds that are allocated by formula, 
                including assistance with filing deadlines and 
                submission of applications.
          (2) To provide for the completion of the 4-year 
        national study (which began in 1995) of charter 
        schools.
          (3) To provide for other evaluations or studies that 
        include the evaluation of the impact of charter schools 
        on student achievement, including information 
        regarding--
                  (A) students attending charter schools 
                reported on the basis of race, age, disability, 
                gender, limited English proficiency, and 
                previous enrollment in public school; and
                  (B) the professional qualifications of 
                teachers within a charter school and the 
                turnover of the teaching force.
          (4) To provide--
                  (A) information to applicants for assistance 
                under this part;
                  (B) assistance to applicants for assistance 
                under this part with the preparation of 
                applications under section [10303] 5403;
                  (C) assistance in the planning and startup of 
                charter schools;
                  (D) training and technical assistance to 
                existing charter schools; and
                  (E) for the dissemination to other public 
                schools of best or promising practices in 
                charter schools.
          (5) To provide (including through the use of one or 
        more contracts that use a competitive bidding process) 
        for the collection of information regarding the 
        financial resources available to charter schools, 
        including access to private capital, and to widely 
        disseminate to charter schools any such relevant 
        information and model descriptions of successful 
        programs.
    (b) Construction.--Nothing in this section shall be 
construed to require charter schools to collect any data 
described in subsection (a).

SEC. [10306.] 5406. [20 U.S.C. 8065A] FEDERAL FORMULA ALLOCATION DURING 
                    FIRST YEAR AND FOR SUCCESSIVE ENROLLMENT 
                    EXPANSIONS.

    (a) In General.--For purposes of the allocation to schools 
by the States or their agencies of funds under part A of title 
I, and any other Federal funds which the Secretary allocates to 
States on a formula basis, the Secretary and each State 
educational agency shall take such measures not later than 6 
months after the date of the enactment of the Charter School 
Expansion Act of 1998 as are necessary to ensure that every 
charter school receives the Federal funding for which the 
charter school is eligible not later than 5 months after the 
charter school first opens, notwithstanding the fact that the 
identity and characteristics of the students enrolling in that 
charter school are not fully and completely determined until 
that charter school actually opens. The measures similarly 
shall ensure that every charter school expanding its enrollment 
in any subsequent year of operation receives the Federal 
funding for which the charter school is eligible not later than 
5 months after such expansion.
    (b) Adjustment and Late Openings.--
          (1) In general.--The measures described in subsection 
        (a) shall include provision for appropriate 
        adjustments, through recovery of funds or reduction of 
        payments for the succeeding year, in cases where 
        payments made to a charter school on the basis of 
        estimated or projected enrollment date exceed the 
        amounts that the school is eligible to receive on the 
        basis of actual or final enrollment data.
          (2) Rule.--For charter school that first open after 
        November 1 of any academic year, the State, in 
        accordance with guidance provided by the Secretary and 
        applicable Federal statutes and regulations, shall 
        ensure that such charter schools that are eligible for 
        the funds described in subsection (a) for such academic 
        year have a full and fair opportunity to receive those 
        funds during the charter schools' first year of 
        operation.

SEC. [10307.] 5407. [20 U.S.C. 8065B] SOLICITATION OF INPUT FROM 
                    CHARTER SCHOOL OPERATORS.

    To the extent practicable, the Secretary shall ensure that 
administrators, teachers, and other individuals directly 
involved in the operation of charter schools are consulted in 
the development of any rules or regulations required to 
implement this part as well as in the development of any rules 
or regulations relevant to charter schools that are required to 
implement part A of title I, the Individuals with Disabilities 
Education Act (20 U.S.C. 1400 et seq.), or any other program 
administered by the Secretary that provides education funds to 
charter schools or regulates the activities of charter schools.

SEC. [10308.] 5408. [20 U.S.C. 8065C] RECORDS TRANSFER.

    State educational agencies and local educational agencies, 
to the extent practicable, shall ensure that a student's 
records and, if applicable, a student's individualized 
education program as defined in section 602(11) of the 
Individuals with Disabilities Education Act (20 U.S.C. 
1401(11)), are transferred to a charter school upon the 
transfer of the student to the charter school, and to 
anotherpublic school upon the transfer of the student from a charter 
school to another public school, in accordance with applicable State 
law.

SEC. [10309.] 5409. [20 U.S.C. 8065D] PAPERWORK REDUCTION.

    To the extent practicable, the Secretary and each 
authorized public chartering agency shall ensure that 
implementation of this part results in a minimum of paperwork 
for any eligible applicant or charter school.

SEC. [10310.] 5410. [20 U.S.C. 8066] DEFINITIONS.

    As used in this part:
          (1) The term ``charter school'' means a public school 
        that--
                  (A) in accordance with a specific State 
                statute authorizing the granting of charters to 
                schools\1\, is exempted from significant State 
                or local rules that inhibit the flexible 
                operation and management of public schools, but 
                not from any rules relating to the other 
                requirements of this paragraph;
                  (B) is created by a developer as a public 
                school, or is adapted by a developer from an 
                existing public school, and is operated under 
                public supervision and direction;
                  operates in pursuit of a specific set of 
                educational objectives determined by the 
                school's developer and agreed to by the 
                authorized public chartering agency;
                  (D) provides a program of elementary or 
                secondary education, or both;
                  (E) is nonsectarian in its programs, 
                admissions policies, employment practices, and 
                all other operations, and is not affiliated 
                with a sectarian school or religious 
                institution;
                  (F) does not charge tuition;
                  (G) complies with the Age Discrimination Act 
                of 1975, title VI of the Civil Rights Act of 
                1964, title IX of the Education Amendments of 
                1972, section 504 of the Rehabilitation Act of 
                1973, and part B of the Individuals with 
                Disabilities Education Act;
                  (H) is a school to which parents choose to 
                send their children, and that admits students 
                on the basis of a lottery, if more students 
                apply for admission than can be accommodated;
                  (I) agrees to comply with the same Federal 
                and State audit requirements as do other 
                elementary and secondary schools in the State, 
                unless such requirements are specifically 
                waived for the purpose of this program;
                  (J) meets all applicable Federal, State, and 
                local health and safety requirements;
                  (K) operates in accordance with State law; 
                and
                  (L) has a written performance contract with 
                the authorized public chartering agency in the 
                State that includes a description of how 
                student performance will be measured in charter 
                schools pursuant to State assessments that are 
                required of other schools and pursuant to any 
                other assessments mutually agreeable to the 
                authorized public chartering agency and the 
                charter school.
          (2) The term ``developer'' means an individual or 
        group of individuals (including a public or private 
        nonprofit organization), which may include teachers, 
        administrators and other school staff, parents, or 
        other members of the local community in which a charter 
        school project will be carried out.
          (3) The term ``eligible applicant'' means an 
        authorized public chartering agency participating in a 
        partnership with a developer to establish a charter 
        school in accordance with this part.
          (4) The term ``authorized public chartering agency'' 
        means a State educational agency, local educational 
        agency, or other public entity that has the authority 
        pursuant to State law and approved by the Secretary to 
        authorize or approve a charter school.

SEC. [10311.] 5411. [20 U.S.C. 8067] AUTHORIZATION OF APPROPRIATIONS.

    For the purpose of carrying out this part, there are 
authorized to be appropriated [$100,000,000 for fiscal year 
1999] $175,000,000 for fiscal year 2001 and such sums as may be 
necessary for each of the four succeeding fiscal years.

                 PART [B] E--WOMEN'S EDUCATIONAL EQUITY


[SEC. 5201. [20 U.S.C. 7231] SHORT TITLE; FINDINGS.

    [(a) Short Title.--This part may be cited as the ``Women's 
Educational Equity Act of 1994''.
    [(b) Findings.--The Congress finds that--
          [(1) since the enactment of title IX of the Education 
        Amendments of 1972, women and girls have made strides 
        in educational achievement and in their ability to 
        avail themselves of educational opportunities;
          [(2) because of funding provided under the Women's 
        Educational Equity Act, more curricula, training, and 
        other educational materials concerning educational 
        equity for women and girls are available for national 
        dissemination;
          [(3) teaching and learning practices in the United 
        States are frequently inequitable as such practices 
        relate to women and girls, for example--
                  [(A) sexual harassment, particularly that 
                experienced by girls, undermines the ability of 
                schools to provide a safe and equitable 
                learning or workplace environment;
                  [(B) classroom textbooks and other 
                educational materials do not sufficiently 
                reflect the experiences, achievements, or 
                concerns of women and, in most cases, are not 
                written by women or persons of color;
                  [(C) girls do not take as many mathematics 
                and science courses as boys, girls lose 
                confidence in their mathematics and science 
                ability as girls move through adolescence, and 
                there are few women role models in the 
                sciences; and
                  [(D) pregnant and parenting teenagers are at 
                high risk for dropping out of school and 
                existing dropout prevention programs do not 
                adequately address the needs of such teenagers;
          [(4) efforts to improve the quality of public 
        education also must include efforts to ensure equal 
        access to quality education programs for all women and 
        girls;
          [(5) Federal support should address not only research 
        and development of innovative model curricula and 
        teaching and learning strategies to promote gender 
        equity, but should also assist schools and local 
        communities implement gender equitable practices;
          [(6) Federal assistance for gender equity must be 
        tied to systemic reform, involve collaborative efforts 
        to implement effective gender practices at the local 
        level, and encourage parental participation; and
          [(7) excellence in education, high educational 
        achievements and standards, and the full participation 
        of women and girls in American society, cannot be 
        achieved without educational equity for women and 
        girls.]

SEC. [5201.] 5501. SHORT TITLE.

    This part may be cited as the ``Women's Educational Equity 
Act of 1999''.

SEC. [5202.] 5502. [20 U.S.C. 7232] STATEMENT OF PURPOSES.

    It is the purpose of this part--
          (1) to promote gender equity in education in the 
        United States;
          (2) to provide financial assistance to enable 
        educational agencies and institutions to meet the 
        requirements of title IX of the Educational Amendments 
        of 1972; and
          (3) to promote equity in education for women and 
        girls who suffer from multiple forms of discrimination 
        based on [sex] sex and race, ethnic origin, limited-
        English proficiency, [disability,] socioeconomic 
        status, or age.

SEC. [5203.] 5503. [20 U.S.C. 7233] PROGRAMS AUTHORIZED.

    (a) In General.--* * *

           *       *       *       *       *       *       *

    (b) Grants Authorized.--
          (1) In general.--The Secretary is authorized to make 
        grants to, and enter into contracts and cooperative 
        agreements with, public agencies, private nonprofit 
        agencies, organizations, institutions, student groups, 
        community groups, and individuals, for a period not to 
        exceed four [years, to] years--
                  (A) [provide grants] to develop model equity 
                programs; and
                  (B) [provide funds] for the implementation of 
                equity programs in schools throughout the 
                Nation.
          (2) Support and technical assistance.--To achieve the 
        purposes of this part, the Secretary is authorized to 
        provide support and technical assistance--
                  (A) to implement effective gender-equity 
                policies and programs at all educational 
                levels, including--
                          (i) * * *

           *       *       *       *       *       *       *

                          (v) enhancing educational and career 
                        opportunities for those women and girls 
                        who suffer multiple forms of 
                        discrimination, based on sex [and on 
                        race] and race, ethnic origin, limited 
                        English proficiency, disability, 
                        socioeconomic status, or age;

           *       *       *       *       *       *       *

                          (xii) planning, development and 
                        initial implementation of--
                                  (I) comprehensive 
                                [institution] institutional or 
                                districtwide evaluation to 
                                assess the presence or absence 
                                of gender equity in educational 
                                settings;
                                  (II) comprehensive plans for 
                                implementation [of equity] of 
                                gender equity programs in State 
                                and local educational agencies 
                                and institutions of higher 
                                [education;] education, 
                                including community colleges; 
                                and
                                  (III) innovative approaches 
                                to school-community 
                                partnerships for educational 
                                equity[.] for women and girls; 
                                and
                  (B) * * *

           *       *       *       *       *       *       *

                          (i) * * *

           *       *       *       *       *       *       *

                          (viii) the development and 
                        improvement of programs and activities 
                        to increase opportunity for women, 
                        including continuing educational 
                        activities, vocational education, and 
                        programs for low-income women, 
                        including underemployment [and 
                        unemployed] women, unemployed women, 
                        and women receiving assistance under 
                        the State program funded under part A 
                        of title IV of the Social Security Act; 
                        and

           *       *       *       *       *       *       *


SEC. [5204.] 5504. [20 U.S.C. 7234] APPLICATIONS.

    [An application under this part shall--] Each entity 
desiring assistance under this part shall submit to the 
Secretary an application at such time, in such manner, and 
accompanied by such information as the Secretary may require. 
Each application shall--
          (1) * * *

           *       *       *       *       *       *       *

          (2) where appropriate, demonstrate how funds received 
        under this part will be used to promote the attainment 
        of one or more of [the National Education Goals]; 
        America's Education Goals;

           *       *       *       *       *       *       *

          [(4) where appropriate, describe how funds under this 
        part will be used in a manner that is consistent with 
        programs under the School-to-Work Opportunities Act of 
        1994;]
          [(5)] (4) for applications for assistance under 
        section [5203(b)(1)] 5503(b)(1), demonstrate how the 
        applicant will foster partnerships and, where 
        applicable, share resources with State educational 
        agencies, local education agencies, institutions of 
        higher education, community-based organizations 
        (including organizations serving women), parent, 
        teacher, and student groups, businesses or other 
        recipients of Federal educational funding which may 
        include State literacy resource centers;
          [(6)] (5) for applications for assistance under 
        section [5203(b)(1)] 5503(b)(1), demonstrate how 
        parental involvement in the project will be encouraged; 
        and
          [(7)] (6) for applications for assistance under 
        section [5203(b)(1)] 5503(b)(1), describe plans for 
        continuation of the activities assisted under this part 
        with local support following completion of the grant 
        period and termination of Federal support under this 
        part.

SEC. [5205.]5505 [20 U.S.C. 7235] CRITERIA AND PRIORITIES.

    (a) [Criteria and Priorities.--
          [(1) In general.--The] Criteria and Priorities.--The 
        Secretary shall establish separate criteria and 
        priorities for awards under paragraphs (1) and (2) of 
        section [5203(b)] 5503(b) to ensure that funds under 
        this part are used for programs that most effectively 
        will achieve the purposes of this part.
    [(2)] (b) Criteria.--The criteria described in subsection 
(a) may include the extent to which the activities assisted 
under this part--
                  [(A)] (1) address the needs of women and 
                girls of color and women and girls with 
                disabilities;
                  [(B)] (2) meet locally defined and documented 
                educational equity needs and priorities, 
                including compliance with title IX of the 
                Education Amendments of 1972;
                  [(C)] (3) are a significant component of a 
                comprehensive plan for educational equity and 
                compliance with title IX of the Education 
                Amendments of 1972 in the particular school 
                district, institution of higher education, 
                vocational-technical institution, or other 
                educational agency of institution; and
                  [(D)] (4) implement an institutional change 
                strategy with long-term impact that will 
                continue as a central activity of the applicant 
                after the grant under this part has terminated.
    [(b)] (c) Priorities.--In approving applications under this 
part, the Secretary may give [special consideration] priority 
to applications--
          (1) submitted by applicants that have not received 
        assistance under this part or under part C of title IX 
        of this Act (as such part was in effect on October 1, 
        1998);
          (2) for projects that will contribute significantly 
        to directly improving teaching and learning practices 
        in the local community; and
          (3) for projects that will--
                  (A) provide for a comprehensive approach to 
                enhancing gender equity in educational 
                institutions and agencies;
                  (B) draw on a variety of resources, including 
                the resources of local educational agencies, 
                community-based organizations, institutions of 
                higher education, and private organizations;
                  (C) implement a strategy with long-term 
                impact that will continue as a central activity 
                of the applicant after the grant under this 
                part has terminated;
                  (D) address issues of national significance 
                that can be duplicated; and
                  [(E) address the educational needs of women 
                and girls who suffer multiple or compound 
                discrimination based on sex and on race, ethnic 
                origin, disability, or age.]
                  (E) address the educational needs of women 
                and girls who suffer multiple forms of 
                discrimination on the basis of sex and on race, 
                ethnic origin, limited English proficiency, 
                disability, socioeconomic status, or age.
    [(c)] (d) Special Rule.--To the extent feasible, the 
Secretary shall ensure that grants awarded under this part for 
each fiscal year address--
          (1) all levels of education, including preschool, 
        elementary and secondary education, higher education, 
        vocational education, and adult education;
          (2) all regions of the United States; and
          (3) urban, rural, and suburban educational 
        institutions.
    [(d)] (e) Coordination.--Research activities supported 
under this part--
          (1) shall be carried out in consultation with the 
        Office of Educational Research and Improvement to 
        ensure that such activities are coordinated with and 
        enhance the research and development activities 
        supported [by the Office] by such office; and
          (2) may include collaborative research activities 
        which are jointly funded and carried out with the 
        Office of Educational Research and Improvement.
    [(e)] (f) Limitation.--Nothing in this part shall be 
construed as prohibiting men and boys from participating in any 
programs or activities assisted with funds under this part.

SEC. [5206] 5506. [20 U.S.C. 7236] REPORT.

    The Secretary, not later than January 1, [1999] 2004, shall 
submit to the President and the Congress a report on the status 
of educational equity for girls and women in the Nation.

SEC. [5207.] 5507. [20 U.S.C. 7237] ADMINISTRATION.

    [(A) Evaluation and Dissemination.--The Secretary shall 
evaluate in accordance with section 14701, and disseminate, 
materials and programs developed under this part and shall 
report to the Congress regarding such evaluation materials and 
programs not later than January 1, 1998.]
    (a) Evaluation and Dissemination.--The Secretary shall--
          (1) evaluate in accordance with section 10201, 
        materials and programs developed under this part;
          (2) disseminate materials and programs developed 
        under this part; and
          (3) report to the Congress regarding such evaluation 
        materials and programs not later than January 1, 2004.

SEC. [5208.] 5508. [20 U.S.C. 7238] AUTHORIZATION OF APPROPRIATIONS.

    For the purpose of carrying out his part, there are 
authorized to be appropriated $5,000,000 for fiscal year [1995] 
2001 and such sums as may be necessary for each of the four 
succeeding fiscal years[, of which not less than two-thirds of 
the amount appropriated under this section for each fiscal year 
shall be available to carry out the activities described in 
section 5203(b)(1)].

                        PART F--CIVIC EDUCATION

SEC. 5601. SHORT TITLE.

  This part may be cited as the ``Education for Democracy 
Act''.

SEC. 5602. THE STUDY OF THE DECLARATION OF INDEPENDENCE, UNITED STATES 
                    CONSTITUTION, AND THE FEDERALIST PAPERS.

  It is the sense of Congress that--
          (1) State and local governments and local educational 
        agencies are encouraged to dedicate at least 1 day of 
        learning to the study and understanding of the 
        significance of the Declaration of Independence, the 
        United States Constitution, and the Federalist Papers; 
        and
          (2) State and local governments and local educational 
        agencies are encouraged to include a requirement that, 
        before receiving a certificate or diploma of graduation 
        from secondary school, students be tested on their 
        competency in understanding the Declaration of 
        Independence, the United States Constitution, and the 
        Federalist Papers.

SEC. 5603. PURPOSE.

  It is the purpose of this part--
          (1) to improve the quality of civics and government 
        education, and to enhance the attainment of the third 
        and sixth America's Education Goals, by educating 
        students about the history and principles of the 
        Constitution of the United States, including the Bill 
        of Rights;
          (2) to foster civic competence and responsibility; 
        and
          (3) to improve the quality of civic education and 
        economic education through cooperative civic education 
        and economic education exchange programs with other 
        democratic nations.

SEC. 5604. GENERAL AUTHORITY.

  The Secretary is authorized to award grants to or enter into 
contracts with the Center for Civic Education, the National 
Council on Economic Education, or other nonprofit educational 
organizations to carry out this part.

SEC. 5605. WE THE PEOPLE PROGRAM.

  (a) The Citizen and the Constitution.--
          (1) Education activities.--The Secretary shall award 
        a grant or enter into a contract for the Citizen and 
        the Constitution program that--
                  (A) shall continue and expand the educational 
                activities of the ``We the People . . . The 
                Citizen and the Constitution'' program 
                administered by the Center for Civic Education; 
                and
                  (B) shall enhance student attainment of 
                challenging content standards in civics and 
                government.
          (2) Program content.--The education program 
        authorized by this section shall provide--
                  (A) a course of instruction on the basic 
                principles of our Nation's constitutional 
                democracy and the history of the Constitution 
                of the United States and the Bill of Rights;
                  (B) at the request of a participating school, 
                school and community simulated congressional 
                hearings following the course of study;
                  (C) an annual national competition of 
                simulated congressional hearings for secondary 
                school students who wish to participate in such 
                a program;
                  (D) advanced training of teachers about the 
                Constitution of the United States and the 
                political system the United States created;
                  (E) materials and methods of instruction, 
                including teacher training, that utilize the 
                latest advancements in educational technology; 
                and
                  (F) civic education materials and services 
                such as service learning to address specific 
                problems such as the prevention of school 
                violence and the abuse of drugs and alcohol.
          (3) Availability of program.--The education program 
        authorized under this subsection shall be made 
        available to public and private elementary schools and 
        secondary schools, including Bureau funded schools, in 
        the 435 congressional districts, the District of 
        Columbia, the Commonwealth of Puerto Rico, the United 
        States Virgin Islands, Guam, American Samoa, and the 
        Commonwealth of the Northern Mariana Islands.
  (b) Project Citizen.--
          (1) Educational activities.--The Secretary shall 
        award a grant or enter into a contract for the Project 
        Citizen program that--
                  (A) shall continue and expand the educational 
                activities of the ``We the People . . . Project 
                Citizen'' program administered by the Center 
                for Civic Education; and
                  (B) shall enhance student attainment of 
                challenging content standards in civics and 
                government.
          (2) Program content.--The education program 
        authorized by this subsection shall provide--
                  (A) a course of instruction at the middle 
                school level on the roles of State and local 
                governments in the Federal system established 
                by the Constitution of the United States;
                  (B) optional school and community simulated 
                State legislative hearings;
                  (C) an annual national showcase or 
                competition;
                  (D) advanced training of teachers on the 
                roles of State and local governments in the 
                Federal system established by the Constitution;
                  (E) materials and methods of instruction, 
                including teacher training, that utilize the 
                latest advancements in educational technology; 
                and
                  (F) civic education materials and services to 
                address specific problems such as the 
                prevention of school violence and the abuse of 
                drugs and alcohol.
          (3) Availability of program.--The education program 
        authorized under this subsection shall be made 
        available to public and private middle schools, 
        including Bureau funded schools, in the 50 States, the 
        District of Columbia, the Commonwealth of Puerto Rico, 
        the United States Virgin Islands,Guam, American Samoa, 
and the Commonwealth of the Northern Mariana Islands.
  (c) Definition of Bureau Funded School.--In this section the 
term ``Bureau funded school'' has the meaning given the term in 
section 1146 of the Education Amendments of 1978.

SEC. 5606. CIVIC EDUCATION AND ECONOMIC EDUCATION EXCHANGE PROGRAMS.

  (a) Cooperative Education Exchange Programs.--The Secretary, 
in consultation with the Secretary of State, shall carry out 
Cooperative Education Exchange programs in accordance with this 
section.
  (b) Purpose.--The purpose of the programs provided under this 
section shall be to--
          (1) make available to educators from eligible 
        countries exemplary curriculum and teacher training 
        programs in civics and government education, and 
        economics education, developed in the United States;
          (2) assist eligible countries in the adaptation, 
        implementation, and institutionalization of such 
        programs;
          (3) create and implement civics and government 
        education, and economic education, programs for United 
        States students that draw upon the experiences of the 
        participating eligible countries;
          (4) provide a means for the exchange of ideas and 
        experiences in civics and government education and 
        economic education, among political, educational, 
        governmental, and private sector leaders of 
        participating eligible countries; and
          (5) provide support for--
                  (A) research and evaluation to determine the 
                effects of educational programs on students' 
                development of the knowledge, skills, and 
                traits of character essential for the 
                preservation and improvement of constitutional 
                democracy; and
                  (B) effective participation in and the 
                preservation and improvement of an efficient 
                market economy.
  (c) Avoidance of Duplication.--The Secretary shall consult 
with the Secretary of State to ensure that activities under 
this section are not duplicative of other efforts in the 
eligible countries and that partner institutions in the 
eligible countries are creditable.
  (d) Activities.--The Cooperative Education Exchange programs 
shall--
          (1) provide eligible countries with--
                  (A) seminars on the basic principles of 
                United States constitutional democracy and 
                economics, including seminars on the major 
                governmental and economic institutions and 
                systems in the United States, and visits to 
                such institutions;
                  (B) visits to school systems, institutions of 
                higher education, and nonprofit organizations 
                conducting exemplary programs in civics and 
                government education, and economic education, 
                in the United States;
                  (C) translations and adaptations regarding 
                United States civic and government education, 
                and economic education, curricular programs for 
                students and teachers, and in the case of 
                training programs for teachers translations and 
                adaptations into forms useful in schools in 
                eligible countries, and joint research projects 
                in such areas;
                  (D) research and evaluation assistance to 
                determine--
                          (i) the effects of the Cooperative 
                        Education Exchange programs on 
                        students' development of the 
knowledge,skills, and traits of character essential for the 
preservation and improvement of constitutional democracy; and
                          (ii) effective participation in and 
                        the preservation and improvement of an 
                        efficient market economy; and
          (2) provide United States participants with--
                  (A) seminars on the histories, economies, and 
                systems of government of eligible countries;
                  (B) visits to school systems, institutions of 
                higher education, and organizations conducting 
                exemplary programs in civics and government 
                education, and economic education, located in 
                eligible countries;
                  (C) assistance from educators and scholars in 
                eligible countries in the development of 
                curricular materials on the history, 
                government, and economy of such countries that 
                are useful in United States classrooms;
                  (D) opportunities to provide onsite 
                demonstrations of United States curricula and 
                pedagogy for educational leaders in eligible 
                countries; and
                  (E) research and evaluation assistance to 
                determine--
                          (i) the effects of the Cooperative 
                        Education Exchange programs on 
                        students' development of the knowledge, 
                        skills, and traits of character 
                        essential for the preservation and 
                        improvement of constitutional 
                        democracy; and
                          (ii) effective participation in and 
                        improvement of an efficient market 
                        economy; and
          (3) assist participants from eligible countries and 
        the United States to participate in international 
        conferences on civics and government education, and 
        economic education, for educational leaders, teacher 
        trainers, scholars in related disciplines, and 
        educational policymakers.
  (e) Participants.--The primary participants in the 
Cooperative Education Exchange programs assisted under this 
section shall be educational leaders in the areas of civics and 
government education, and economic education, including 
curriculum and teacher training specialists, scholars in 
relevant disciplines, and educational policymakers, and 
government and private sector leaders from the United States 
and eligible countries.
  (f) Definition.--For the purpose of this section, the term 
``eligible country'' means a country with a democratic form of 
government that--
          (1) is a Central European country, an Eastern 
        European country, Lithuania, Latvia, Estonia, Georgia, 
        or one of the independent states of the former Soviet 
        Union as defined in section 3 of the FREEDOM Support 
        Act (22 U.S.C. 5801); and
          (2) may include the Republic of Ireland, the province 
        of Northern Ireland in the United Kingdom, and any 
        developing country as defined in section 209(d) of the 
        Education for the Deaf Act.

SEC. 5607. AUTHORIZATION OF APPROPRIATIONS.

  (a) Section 5605.--There are authorized to be appropriated to 
carry out section 5605, $10,000,000 for fiscal year 2001 and 
such sums as may be necessary for each of the 4 succeeding 
fiscal years.
  (b) Section 5606.--There are authorized to be appropriated to 
carry out section 5606, $10,000,000 for fiscal year 2001 and 
such sums as may be necessary for each of the 4 succeeding 
fiscal years.

             PART G--FUND FOR THE IMPROVEMENT OF EDUCATION

SEC. 5701. FUND FOR THE IMPROVEMENT OF EDUCATION.

  (a) Fund Authorized.--From funds appropriated under 
subsection (d), the Secretary is authorized to support 
nationally significant programs and projects to improve the 
quality of elementary and secondary education. The Secretary is 
authorized to carry out such programs and projects directly or 
through grants to, or contracts with, State and local 
educational agencies, institutions of higher education, and 
other public and private agencies, organizations, and 
institutions.
  (b) Uses of Funds.--Funds under this section may be used 
for--
          (1) programs under section 5702;
          (2) programs under section 5703;
          (3) programs under section 5704;
          (4) programs under section 5705;
          (5) programs under section 5706;
          (6) the identification and recognition of exemplary 
        schools and programs, such as Blue Ribbon Schools; and
          (7) the development and evaluation of model 
        strategies for professional development for teachers 
        and administrators.
  (c) Awards.--
          (1) In general.--The Secretary may make awards under 
        this section on the basis of competitions announced by 
        the Secretary.
          (2) Special rule.--The Secretary shall ensure that 
        programs, projects, and activities supported under this 
        section are designed so that the effectiveness of such 
        programs, projects, and activities is readily 
        ascertainable.
          (3) Peer review.--The Secretary shall use a peer 
        review process in reviewing applications for assistance 
        under this section and may use funds appropriated under 
        subsection (d) for the cost of such peer review.
  (d) Authorization.--For the purpose of carrying out this 
section, there are authorized to be appropriated $100,000,000 
for fiscal year 2001 and such sums as may be necessary for each 
of the 4 succeeding fiscal years.

SEC. 5702. PARTNERSHIPS IN CHARACTER EDUCATION PROGRAM.

  (a) Program Authorized.--
          (1) In general.--The Secretary is authorized to award 
        grants to eligible entities for the design and 
        implementation of character education programs that 
        incorporate the elements of character described in 
        subsection (d), as well as other character elements 
        identified by the eligible entities.
          (2) Eligible entity.--The term ``eligible entity'' 
        means--
                  (A) a State educational agency in partnership 
                with 1 or more local educational agencies;
                  (B) a State educational agency in partnership 
                with--
                          (i) 1 or more local educational 
                        agencies; and
                          (ii) 1 or more nonprofit 
                        organizations or entities, including 
                        institutions of higher education;
                  (C) a local educational agency or consortium 
                of local educational agencies; or
                  (D) a local educational agency in partnership 
                with another nonprofit organization or entity, 
                including institutions of higher education.
          (3) Duration.--Each grant under this section shall be 
        awarded for a period not to exceed 3 years, of which 
        the eligible entity shall not use more than 1 year for 
        planning and program design.
  (b) Applications.--
          (1) Requirement.--Each eligible entity desiring a 
        grant under this section shall submit an application to 
        the Secretary at such time and in such manner as the 
        Secretary may require.
          (2) Contents of application.--Each application 
        submitted under this section shall include--
                  (A) a description of any partnerships or 
                collaborative efforts among the organizations 
                and entities of the eligible entity;
                  (B) a description of the goals and objectives 
                of the program proposed by the eligible entity;
                  (C) a description of activities that will be 
                pursued and how those activities will 
                contribute to meeting the goals and objectives 
                described in subparagraph (B), including--
                          (i) how parents, students, and other 
                        members of the community, including 
                        members of private and nonprofit 
                        organizations, will be involved in the 
                        design and implementation of the 
                        program and how the eligible entity 
                        will work with the larger community to 
                        increase the reach and promise of the 
                        program;
                          (ii) curriculum and instructional 
                        practices that will be used or 
                        developed;
                          (iii) methods of teacher training and 
                        parent education that will be used or 
                        developed; and
                          (iv) how the program will be linked 
                        to other efforts in the schools to 
                        improve student performance;
                  (D) in the case of an eligible entity that is 
                a State educational agency--
                          (i) a description of how the State 
                        educational agency will provide 
                        technical and professional assistance 
                        to its local educational agency 
                        partners in the development and 
                        implementation of character education 
                        programs; and
                          (ii) a description of how the State 
                        educational agency will assist other 
                        interested local educational agencies 
                        that are not members of the original 
                        partnership in designing and 
                        establishing character education 
                        programs;
                  (E) a description of how the eligible entity 
                will evaluate the success of its program--
                          (i) based on the goals and objectives 
                        described in subparagraph (B); and
                          (ii) in cooperation with the national 
                        evaluation conducted pursuant to 
                        subsection (c)(2)(B)(iii);
                  (F) an assurance that the eligible entity 
                annually will provide to the Secretary such 
                information as may be required to determine the 
                effectiveness of the program; and
                  (G) any other information that the Secretary 
                may require.
  (c) Evaluation and Program Development.--
          (1) Evaluation and reporting.--
                  (A) State and local reporting and 
                evaluation.--Each eligible entity receiving a 
                grant under this section shall submit to the 
                Secretary a comprehensive evaluation of the 
                program assisted under this section, including 
                the impact on students, teachers, 
                administrators, parents, and others--
                          (i) by the second year of the 
                        program; and
                          (ii) not later than 1 year after 
                        completion of the grant period.
                  (B) Contracts for evaluation.--Each eligible 
                entity receiving a grant under this section may 
                contract with outside sources, including 
                institutions of higher education, and private 
                and nonprofit organizations, for purposes of 
                evaluating its program and measuring the 
                success of the program toward fostering in 
                students the elements of character described in 
                subsection (d).
          (2)  National research, dissemination, and 
        evaluation.--
                  (A) In general.--The Secretary is authorized 
                to make grants to, or enter into contracts or 
                cooperative agreements with, State or local 
                educational agencies, institutions of higher 
                education, tribal organizations, or other 
                public or private agencies or organizations to 
                carry out research, development, dissemination, 
                technical assistance, and evaluation activities 
                that support or inform State and local 
                character education programs. The Secretary 
                shall reserve not more than 5 percent of the 
                funds made available under this section to 
                carry out this paragraph.
                  (B) Uses.--Funds made available under 
                subparagraph (A) may be used--
                          (i) to conduct research and 
                        development activities that focus on 
                        matters such as--
                                  (I) the effectiveness of 
                                instructional models for all 
                                students;
                                  (II) materials and curricula 
                                that can be used by programs in 
                                character education;
                                  (III) models of professional 
                                development in character 
                                education; and
                                  (IV) the development of 
                                measures of effectiveness for 
                                character education programs 
                                which may include the factors 
                                described in paragraph (3);
                          (ii) to provide technical assistance 
                        to State and local programs, 
                        particularly on matters of program 
                        evaluation;
                          (iii) to conduct a national 
                        evaluation of State and local programs 
                        receiving funding under this section; 
                        and
                          (iv) to compile and disseminate, 
                        through various approaches (such as a 
                        national clearinghouse)--
                                  (I) information on model 
                                character education programs;
                                  (II) character education 
                                materials and curricula;
                                  (III) research findings in 
                                the area of character education 
                                and character development; and
                                  (IV) any other information 
                                that will be useful to 
                                character education program 
                                participants, educators, 
                                parents, administrators, and 
                                others nationwide.
                  (C) Priority.--In carrying out national 
                activities under this paragraph related to 
                development, dissemination, and technical 
                assistance, the Secretary shall seek to enter 
                into partnerships with national, nonprofit 
                character education organizations with 
                expertise and successful experience in 
                implementing local character education programs 
                that have had an effective impact on schools, 
                students, including students with disabilities, 
                and teachers.
          (3) Factors.--Factors which may be considered in 
        evaluating the success of programs funded under this 
        section may include--
                  (A) discipline issues;
                  (B) student performance;
                  (C) participation in extracurricular 
                activities;
                  (D) parental and community involvement;
                  (E) faculty and administration involvement;
                  (F) student and staff morale; and
                  (G) overall improvements in school climate 
                for all students.
  (d) Elements of Character.--
          (1) In general.--Each eligible entity desiring 
        funding under this section shall develop character 
        education programs that incorporate the following 
        elements of character:
                  (A) Caring.
                  (B) Civic virtue and citizenship.
                  (C) Justice and fairness.
                  (D) Respect.
                  (E) Responsibility.
                  (F) Trustworthiness.
                  (G) Any other elements deemed appropriate by 
                the members of the eligible entity.
          (2) Additional elements of character.--An eligible 
        entity participating under this section may, after 
        consultation with schools and communities served by the 
        eligible entity, define additional elements of 
        character that the eligible entity determines to be 
        important to the schools and communities served by the 
        eligible entity.
  (e) Use of Funds by State Educational Agency Recipients.--Of 
the total funds received in any fiscal year under this section 
by an eligible entity that is a State educational agency--
          (1) not more than 10 percent of such funds may be 
        used for administrative purposes; and
          (2) the remainder of such funds may be used for--
                  (A) collaborative initiatives with and 
                between local educational agencies and schools;
                  (B) the preparation or purchase of materials, 
                and teacher training;
                  (C) grants to local educational agencies or 
                schools; and
                  (D) technical assistance and evaluation.
  (f) Selection of Grantees.--
          (1) Criteria.--The Secretary shall select, through 
        peer review, eligible entities to receive grants under 
        this section on the basis of the quality of the 
        applications submitted under subsection (b), taking 
        into consideration such factors as--
                  (A) the quality of the activities proposed to 
                be conducted;
                  (B) the extent to which the program fosters 
                in students the elements of character described 
                in subsection (d) and the potential for 
                improved student performance;
                  (C) the extent and ongoing nature of 
                parental, student, and community involvement;
                  (D) the quality of the plan for measuring and 
                assessing success; and
                  (E) the likelihood that the goals of the 
                program will be realistically achieved.
          (2) Diversity of projects.--The Secretary shall 
        approve applications under this section in a manner 
        that ensures, to the extent practicable, that programs 
        assisted under this section--
                  (A) serve different areas of the Nation, 
                including urban, suburban, and rural areas; and
                  (B) serve schools that serve minorities, 
                Native Americans, students of limited-English 
                proficiency, disadvantaged students, and 
                students with disabilities.
  (g) Participation by Private School Children and Teachers.--
Grantees under this section shall provide, to the extent 
feasible and appropriate, for the participation of students and 
teachers in private elementary and secondary schools in 
programs and activities under this section.

SEC. 5703. PROMOTING SCHOLAR-ATHLETE COMPETITIONS.

  (a) In General.--The Secretary is authorized to award a grant 
to a nonprofit organization to reimbursesuch organization for 
the costs of conducting scholar-athlete games.
  (b) Priority.--In awarding the grant under subsection (a), 
the Secretary shall give priority to a nonprofit organization 
that--
          (1) is described in section 501(c)(3) of, and exempt 
        from taxation under section 501(a) of, the Internal 
        Revenue Code of 1986, and is affiliated with a 
        university capable of hosting a large educational, 
        cultural, and athletic event that will serve as a 
        national model;
          (2) has the capability and experience in 
        administering federally funded scholar-athlete games;
          (3) has the ability to provide matching funds, on a 
        dollar-for-dollar basis, from foundations and the 
        private sector for the purpose of conducting a scholar-
        athlete program;
          (4) has the organizational structure and capability 
        to administer a model scholar-athlete program; and
          (5) has the organizational structure and expertise to 
        replicate the scholar-athlete program in various venues 
        throughout the United States internationally.

SEC. 5704. ELEMENTARY SCHOOL COUNSELING DEMONSTRATION.

  (a) Counseling Demonstration.--
          (1) In general.--The Secretary may award grants under 
        this section to establish or expand elementary school 
        counseling programs.
          (2) Priority.--In awarding grants under this section, 
        the Secretary shall give special consideration to 
        applications describing programs that--
                  (A) demonstrate the greatest need for new or 
                additional counseling services among the 
                children in the elementary schools served by 
                the applicant;
                  (B) propose the most promising and innovative 
                approaches for initiating or expanding 
                elementary school counseling; and
                  (C) show the greatest potential for 
                replication and dissemination.
          (3) Equitable distribution.--In awarding grants under 
        this section, the Secretary shall ensure an equitable 
        geographic distribution among the regions of the United 
        States and among urban, suburban, and rural areas.
          (4) Duration.--A grant under this section shall be 
        awarded for a period not to exceed 3 years.
          (5) Maximum grant.--A grant under this section shall 
        not exceed $400,000 for any fiscal year.
  (b) Applications.--
          (1) In general.--Each local educational agency 
        desiring a grant under this section shall submit an 
        application to the Secretary at such time, in such 
        manner, and accompanied by such information as the 
        Secretary may reasonably require.
          (2) Contents.--Each application for a grant under 
        this section shall--
                  (A) describe the elementary school population 
                to be targeted by the program, the particular 
                personal, social, emotional, educational, and 
                career development needs of such population, 
                and the current school counseling resources 
                available for meeting such needs;
                  (B) describe the activities, services, and 
                training to be provided by the program and the 
                specific approaches to be used to meet the 
                needs described in subparagraph (A);
                  (C) describe the methods to be used to 
                evaluate the outcomes and effectiveness of the 
                program;
                  (D) describe the collaborative efforts to be 
                undertaken with institutions of higher 
                education, businesses, labor organizations, 
                community groups, social service agencies, and 
                other public or private entities to enhance the 
                program and promote school-linked services 
                integration;
                  (E) describe collaborative efforts with 
                institutions of higher education which 
                specifically seek to enhance or improve 
                graduate programs specializing in the 
                preparation of elementary school counselors, 
                school psychologists, and school social 
                workers;
                  (F) document that the applicant has the 
                personnel qualified to develop, implement, and 
                administer the program;
                  (G) describe how any diverse cultural 
                populations, if applicable, would be served 
                through the program;
                  (H) assure that the funds made available 
                under this section for any fiscal year will be 
                used to supplement and, to the extent 
                practicable, increase the level of funds that 
                would otherwise be available from non-Federal 
                sources for the program described in the 
                application, and in no case supplant such funds 
                from non-Federal sources; and
                  (I) assure that the applicant will appoint an 
                advisory board composed of parents, school 
                counselors, school psychologists, school social 
                workers, other pupil services personnel, 
                teachers, school administrators, and community 
                leaders to advise the local educational agency 
                on the design and implementation of the 
                program.
  (c) Use of Funds.--
          (1) In general.--Grant funds under this section shall 
        be used to initiate or expand elementary school 
        counseling programs that comply with the requirements 
        in paragraph (2).
          (2) Program requirements.--Each program assisted 
        under this section shall--
                  (A) be comprehensive in addressing the 
                personal, social, emotional, and educational 
                needs of all students;
                  (B) use a developmental, preventive approach 
                to counseling;
                  (C) increase the range, availability, 
                quantity, and quality of counseling services in 
                the elementary schools of the local educational 
                agency;
                  (D) expand counseling services only through 
                qualified school counselors, school 
                psychologists, and school social workers;
                  (E) use innovative approaches to increase 
                children's understanding of peer and family 
                relationships, work and self, decisionmaking, 
                academic and career planning, or to improve 
                social functioning;
                  (F) provide counseling services that are 
                well-balanced among classroom group and small 
                group counseling, individual counseling, and 
                consultation with parents, teachers, 
                administrators, and other pupil services 
                personnel;
                  (G) include inservice training for school 
                counselors, school social workers, school 
                psychologists, other pupil services personnel, 
                teachers, and instructional staff;
                  (H) involve parents of participating students 
                in the design, implementation, and evaluation 
                of a counseling program;
                  (I) involve collaborative efforts with 
                institutions of higher education, businesses, 
                labor organizations, community groups, social 
                service agencies, or other public or private 
                entities to enhance the program and promote 
                school-linked services integration; and
                  (J) evaluate annually the effectiveness and 
                outcomes of the counseling services and 
                activities assisted under this section.
          (3) Report.--The Secretary shall issue a report 
        evaluating the programs assisted pursuant to each grant 
        under this subsection at the end of each grant period 
        in accordance with section 10201.
          (4) Dissemination.--The Secretary shall make the 
        programs assisted under this section available for 
        dissemination, either through the National Diffusion 
        Network or other appropriate means.
          (5) Limit on administration.--Not more than five 
        percent of the amounts made available under this 
        section in any fiscal year shall be used for 
        administrative costs to carry out this section.
  (d) Definitions.--For purposes of this section:
          (1) School counselor.--The term ``school counselor'' 
        means an individual who has documented competence in 
        counseling children and adolescents in a school setting 
        and who--
                  (A) possesses State licensure or 
                certification granted by an independent 
                professional regulatory authority;
                  (B) in the absence of such State licensure or 
                certification, possesses national certification 
                in school counseling or a specialty of 
                counseling granted by an independent 
                professional organization; or
                  (C) holds a minimum of a master's degree in 
                school counseling from a program accredited by 
                the Council for Accreditation of Counseling and 
                Related Educational Programs or the equivalent.
          (2) School psychologist.--The term ``school 
        psychologist'' means an individual who--
                  (A) possesses a minimum of 60 graduate 
                semester hours in school psychology from an 
                institution of higher education and has 
                completed 1,200 clock hours in a supervised 
                school psychology internship, of which 600 
                hours shall be in the school setting;
                  (B) possesses State licensure or 
                certification in school psychology in the State 
                in which the individual works; or
                  (C) in the absence of such State licensure or 
                certification, possesses national certification 
                by the National School Psychology Certification 
                Board.
          (3) School social worker.--The term ``school social 
        worker'' means an individual who--
                  (A)(i) holds a master's degree in social work 
                from a program accredited by the Council on 
                Social Work Education; and
                  (ii) is licensed or certified by the State in 
                which services are provided; or
                  (B) in the absence of such State licensure or 
                certification, possesses national certification 
                as a school social work specialist granted by 
                an independent professional organization.
          (4) Supervisor.--The term ``supervisor'' means an 
        individual who has the equivalent number of years of 
        professional experience in such individual's respective 
        discipline as is required of teaching experience for 
        the supervisor or administrative credential in the 
        State of such individual.

SEC. 5705. SMALLER LEARNING COMMUNITIES.

  (a) Program Authorized.--
          (1) In general.--The Secretary may award grants to 
        eligible entities to support the development of smaller 
        learning communities.
          (2) Eligible entities.--In this section, the term 
        ``eligible entity'' means--
                  (A) a local educational agency;
                  (B) an elementary or secondary school;
                  (C) a Bureau funded school; or
                  (D) any of the entities described in 
                subparagraph (A), (B), or (C) in partnership 
                with other public agencies or private nonprofit 
                organizations.
  (b) Applications.--An eligible entity desiring a grant under 
this section shall submit an application to the Secretary at 
such time, in such manner, and accompanied by such information 
as the Secretary may require. Each such application shall 
describe--
          (1) strategies and methods the applicant will use to 
        create the smaller learning community;
          (2) curriculum and instructional practices, including 
        any particular themes or emphases, to be used in the 
        learning environment;
          (3) the extent of involvement of teachers and other 
        school personnel in investigating, designing, 
        implementing and sustaining the smaller learning 
        community;
          (4) the process to be used for involving students, 
        parents and other stakeholders in the development and 
        implementation of the smaller learning community;
          (5) any cooperation or collaboration among community 
        agencies, organizations, businesses, and others to 
        develop or implement a plan to create the smaller 
        learning community;
          (6) the training and professional development 
        activities that will be offered to teachers and others 
        involved in the activities assisted under this section;
          (7) the goals and objectives of the activities 
        assisted under this section, including a description of 
        how such activities will better enable all students to 
        reach challenging State content standards and State 
        student performance standards;
          (8) the methods by which the applicant will assess 
        progress in meeting such goals and objectives;
          (9) if the smaller learning community exists as a 
        school-within-a-school, the relationship, including 
        governance and administration, of the smaller learning 
        community to the rest of the school;
          (10) a description of the administrative and 
        managerial relationship between the applicant and the 
        smaller learning community, including how such 
        applicant will demonstrate a commitment to the 
        continuity of the smaller learning community, including 
        the continuity of student and teacher assignment to a 
        particular learning community;
          (11) how the applicant will coordinate or use funds 
        provided under this section with other funds provided 
        under this Act or other Federal laws;
          (12) grade levels or ages of students who will 
        participate in the smaller learning community; and
          (13) the method of placing students in the smaller 
        learning community, such that students are not placed 
        according to ability, performance or any other measure, 
        so that students are placed at random or by their own 
        choice, not pursuant to testing or other judgments.
  (c) Authorized Activities.--Funds under this section may be 
used--
          (1) to study the feasibility of creating the smaller 
        learning community as well as effective and innovative 
        organizational and instructional strategies that will 
        be used in the smaller learning community;
          (2) to research, develop and implement strategies for 
        creating the smaller learning community, as well as 
        effective and innovative changes in curriculum and 
        instruction, geared to high State content standards and 
        State student performance standards;
          (3) to provide professional development for school 
        staff in innovative teaching methods that challenge and 
        engage students and will be used in the smaller 
        learning community; and
          (4) to develop and implement strategies to include 
        parents, business representatives, local institutions 
        of higher education, community-based organizations, and 
        other community members in the smaller learning 
        communities, as facilitators of activities that enable 
        teachers to participate in professional development 
        activities, as well as to provide links between 
        students and their community.
  (d) Evaluation and Report.--A recipient of a grant under this 
section shall provide the Secretary with an annual report that 
contains a description of--
          (1) the specific uses of grants funds received under 
        this section; and
          (2) evidence of the impact of the grant on student 
        performance and school safety.

SEC. 5706. NATIONAL STUDENT AND PARENT MOCK ELECTION.

  (a) In General.--The Secretary is authorized to award grants 
to national nonprofit, nonpartisan organizations that work to 
promote voter participation in American elections to enable 
such organizations to carry out voter education activities for 
students and their parents. Such activities shall--
          (1) be limited to simulated national elections that 
        permit participation by students and parents from all 
        50 States in the United States and territories, 
        including Department of Defense Dependent schools and 
        other international locales where United States 
        citizens are based; and
          (2) consist of--
                  (A) school forums and local cable call-in 
                shows on the national issues to be voted upon 
                in an ``issue forum'';
                  (B) speeches and debates before students and 
                parents by local candidates or stand-ins for 
                such candidates;
                  (C) quiz team competitions, mock press 
                conferences and speechwriting competitions;
                  (D) weekly meetings to follow the course of 
                the campaign; or
                  (E) school and neighborhood campaigns to 
                increase voter turnout, including newsletters, 
                posters, telephone chains, and transportation.
  (b) Requirements.--Each organization receiving a grant under 
this section shall--
          (1) present awards to outstanding student and parent 
        mock election projects; and
          (2) record all votes at least 5 days prior to the 
        date of the general election.

              PART H--ALLEN J. ELLENDER FELLOWSHIP PROGRAM

SEC. 5801. PURPOSE.

  It is the purpose of this part to provide fellowships to 
students of limited economic means, recent immigrants, students 
of migrant parents, the teachers who work with such students, 
and older Americans, so that such students, teachers, and older 
Americans may participate in the programs supported by the 
Close Up Foundation in the name of Allen J. Ellender, a Senator 
from Louisiana and the President pro tempore of the Senate, 
whose distinguished career in public service was characterized 
by extraordinary energy and real concern for young people.

      Subpart 1--Program for Middle and Secondary School Students

SEC. 5811. ESTABLISHMENT.

  (a) General Authority.--The Secretary is authorized to make 
grants in accordance with the provisions of this subpart to the 
Close Up Foundation of Washington, District of Columbia, a 
nonpartisan, nonprofit foundation, for the purpose of assisting 
the Close Up Foundation in carrying out its programs of 
increasing understanding of the Federal Government among middle 
and secondary school students.
  (b) Use of Funds.--Grants under this subpart shall be used 
only to provide financial assistance to economically 
disadvantaged students who participate in the programs 
described in subsection (a). Financial assistance received 
pursuant to this subpart by such students shall be known as 
Allen J. Ellender fellowships.

SEC. 5812. APPLICATIONS.

  (a) Application Required.--No grant under this subpart may be 
made except upon an application at such time, in such manner, 
and accompanied by such information as the Secretary may 
reasonably require.
  (b) Contents of Application.--Each such application shall 
contain provisions to assure--
          (1) that fellowship grants are made to economically 
        disadvantaged middle and secondary school students;
          (2) that every effort will be made to ensure the 
        participation of students from rural and small town 
        areas, as well as from urban areas, and that in 
        awarding fellowships to economically disadvantaged 
        students, special consideration will be given to the 
        participation of students with special educational 
        needs, including students with disabilities, ethnic 
        minority students, and gifted and talented students; 
        and
          (3) the proper disbursement of the funds received 
        under this subpart.

      Subpart 2--Program for Middle and Secondary School Teachers

SEC. 5821. ESTABLISHMENT.

  (a) General Authority.--The Secretary is authorized to make 
grants in accordance with the provisions of this subpart to the 
Close Up Foundation of Washington, District of Columbia, a 
nonpartisan, nonprofit foundation, for the purpose of assisting 
the Close Up Foundation in carrying out its programs of 
teaching skills enhancement for middle and secondary school 
teachers.
  (b) Use of Funds.--Grants under this subpart shall be used 
only for financial assistance to teachers who participate in 
the programs described in subsection (a). Financial assistance 
received pursuant to this subpart by such individuals shall be 
known as Allen J. Ellender fellowships.

SEC. 5822. APPLICATIONS.

  (a) Application Required.--No grant under this subpart may be 
made except upon an application at such time, in such manner, 
and accompanied by such information as the Secretary may 
reasonably require.
  (b) Contents of Application.--Each such application shall 
contain provisions to assure--
          (1) that fellowship grants are made only to teachers 
        who have worked with at least one student from such 
        teacher's school who participates in the programs 
        described in section 5811(a);
          (2) that not more than one teacher in each school 
        participating in the programs described in section 
        5811(a) may receive a fellowship in any fiscal year; 
        and
          (3) the proper disbursement of the funds received 
        under this subpart.

Subpart 3--Programs for Recent Immigrants, Students of Migrant Parents 
                          and Older Americans

SEC. 5831. ESTABLISHMENT.

  (a) General Authority.--
          (1) In general.--The Secretary is authorized to make 
        grants in accordance with the provisions of this 
        subpart to the Close Up Foundation of Washington, 
        District of Columbia, a nonpartisan, nonprofit 
        foundation, for the purpose of assisting the Close Up 
        Foundation in carrying out its programs of increasing 
        understanding of the Federal Government among 
        economically disadvantaged older Americans, recent 
        immigrants and students of migrant parents.
          (2) Definition.--For the purpose of this subpart, the 
        term ``older American'' means an individual who has 
        attained 55 years of age.
  (b) Use of Funds.--Grants under this subpart shall be used 
for financial assistance to economically disadvantaged older 
Americans, recent immigrants and students of migrant parents 
who participate in the programs described in subsection (a). 
Financial assistance received pursuant to this subpart by such 
individuals shall be known as Allen J. Ellender fellowships.

SEC. 5832. APPLICATIONS.

  (a) Application Required.--No grant under this subpart may be 
made except upon application at such time, in such manner, and 
accompanied by such information as the Secretary may reasonably 
require.
  (b) Contents of Application.--Except such application shall 
contain provisions to assure--
          (1) that fellowship grants are made to economically 
        disadvantaged older Americans, recent immigrants and 
        students of migrant parents;
          (2) that every effort will be made to ensure the 
        participation of older Americans, recent immigrants and 
        students of migrant parents from ruraland small town 
areas, as well as from urban areas, and that in awarding fellowships, 
special consideration will be given to the participation of older 
Americans, recent immigrants and students of migrant parents with 
special needs, including individuals with disabilities, ethnic 
minorities, and gifted and talented students;
          (3) that activities permitted by subsection (a) are 
        fully described; and
          (4) the proper disbursement of the funds received 
        under this subpart.

                     Subpart 4--General Provisions

SEC. 5841. ADMINISTRATIVE PROVISIONS.

  (a) General Rule.--Payments under this part may be made in 
installments, in advance, or by way of reimbursement, with 
necessary adjustments on account of underpayment or 
overpayment.
  (b) Audit Rule.--The Comptroller General of the United States 
or any of the Comptroller General's duly authorized 
representatives shall have access for the purpose of audit and 
examination to any books, documents, papers, and records that 
are pertinent to any grant under this part.

SEC. 5842. AUTHORIZATION OF APPROPRIATIONS.

  (a) In General.--There are authorized to be appropriated to 
carry out subparts 1, 2, and 3, $1,500,000 for fiscal year 2001 
and such sums as may be necessary of each of the 4 succeeding 
fiscal years.
  (b) Special Rule.--Of the funds appropriated pursuant to 
subsection (a), not more than 30 percent may be used for 
teachers associated with students participating in the programs 
described in section 5811(a).

                   PART I--READY-TO-LEARN TELEVISION

SEC. 5901. READY-TO-LEARN.

  (a) In General.--The Secretary is authorized to award grants 
to, or enter into contracts or cooperative agreements with, 
eligible entities described in section 5902(b) to develop, 
produce, and distribute educational and instructional video 
programming for preschool and elementary school children and 
their parents in order to facilitate the achievement of 
America's Education Goals.
  (b) Availability.--In making such grants, contracts, or 
cooperative agreements under subsection (a), the Secretary 
shall ensure that eligible entities make programming widely 
available, with support materials as appropriate, to young 
children, their parents, childcare workers, and Head Start 
providers to increase the effective use of such programming.

SEC. 5901. EDUCATIONAL PROGRAMMING.

  (a) Awards.--The Secretary shall award grants, contracts, or 
cooperative agreements under section 5901 to eligible entities 
to--
          (1) facilitate the development directly, or through 
        contracts with producers of children and family 
        educational television programming, of--
                  (A) educational programming for preschool and 
                elementary school children; and
                  (B) accompanying support materials and 
                services that promote the effective use of such 
                programming;
          (2) facilitate the development of programming and 
        digital content especially designed for nationwide 
        distribution over public television stations' digital 
        broadcasting channels and the Internet, containing 
        Ready to Learn-based children's programming and 
        resources for parents and caregivers; and
          (3) enable eligible entities to contract with 
        entities (such as public telecommunications entities 
        and those funded under the Star Schools Act) so that 
        programs developed under this section are disseminated 
        and distributed--
                  (A) to the widest possible audience 
                appropriate to be served by the programming; 
                and
                  (B) by the most appropriate distribution 
                technologies.
  (b) Eligible Entities.--To be eligible to receive a grant, 
contract, or cooperative agreement under subsection (a), an 
entity shall be--
          (1) a public telecommunications entity that is able 
        to demonstrate a capacity for the development and 
        national distribution of educational and instructional 
        television programming of high quality for preschool 
        and elementary school children; and
          (2) able to demonstrate a capacity to contract with 
        the producers of children's television programming for 
        the purpose of developing educational television 
        programming of high quality for preschool and 
        elementary school children.
  (c) Cultural Experiences.--Programming developed under this 
section shall reflect the recognition of diverse cultural 
experiences and the needs and experiences of both boys and 
girls in engaging and preparing young children for schooling.

SEC. 5903. DUTIES OF SECRETARY.

  In carrying out this part, the Secretary may--
          (1) award grants, contracts, or cooperative 
        agreements to eligible entities described in section 
        5902(b), local public television stations, or such 
        public television stations that are part of a 
        consortium with 1 or more State educational agencies, 
        local educational agencies, local schools, institutions 
        of higher education, or community-based organizations 
        of demonstrated effectiveness, for the purpose of--
                  (A) addressing the learning needs of young 
                children in limited English proficient 
                households, and developing appropriate 
                educational and instructional television 
                programming to foster the school readiness of 
                such children;
                  (B) developing programming and support 
                materials to increase family literacy skills 
                among parents to assist parents in teaching 
                their children and utilizing educational 
                television programming to promote school 
                readiness; and
                  (C) identifying, supporting, and enhancing 
                the effective use and outreach of innovative 
                programs that promote school readiness; and
                  (D) developing and disseminating training 
                materials, including--
                          (i) interactive programs and programs 
                        adaptable to distance learning 
                        technologies that are designed to 
                        enhanceknowledge of children's social 
and cognitive skill development and positive adult-child interactions; 
and
                          (ii) support materials to promote the 
                        effective use of materials developed 
                        under subparagraph (B) among parents, 
                        Head Start providers, in-home and 
                        center-based daycare providers, early 
                        childhood development personnel, 
                        elementary school teachers, public 
                        libraries, and after-school program 
                        personnel caring for preschool and 
                        elementary school children;
          (2) establish within the Department a clearinghouse 
        to compile and provide information, referrals, and 
        model program materials and programming obtained or 
        developed under this part to parents, child care 
        providers, and other appropriate individuals or 
        entities to assist such individuals and entities in 
        accessing programs and projects under this part; and
          (3) coordinate activities assisted under this part 
        with the Secretary of Health and Human Services in 
        order to--
                  (A) maximize the utilization of quality 
                educational programming by preschool and 
                elementary school children, and make such 
                programming widely available to federally 
                funded programs serving such populations; and
                  (B) provide information to recipients of 
                funds under Federal programs that have major 
                training components for early childhood 
                development, including programs under the Head 
                Start Act and Even Start, and State training 
                activities funded under the Child Care and 
                Development Block Grant Act of 1990, regarding 
                the availability and utilization of materials 
                developed under paragraph (1)(D) to enhance 
                parent and child care provider skills in early 
                childhood development and education.

SEC. 5904. APPLICATIONS.

  Each entity desiring a grant, contract, or cooperative 
agreement under section 5901 or 5903 shall submit an 
application to the Secretary at such time, in such manner, and 
accompanied by such information as the Secretary may reasonably 
require.

SEC. 5905. REPORTS AND EVALUATION.

  (a) Annual Report to the Secretary.--An eligible entity 
receiving funds under a grant, contract or cooperative 
agreement under section 5901 shall prepare and submit to the 
Secretary an annual report that contains such information as 
the Secretary may require. At a minimum, the report shall 
describe the program activities undertaken with funds received 
under such grant, contract or cooperative agreement, 
including--
          (1) the programming that has been developed directly 
        or indirectly by the eligible entity, and the target 
        population of the programs developed;
          (2) the support materials that have been developed to 
        accompany the programming, and the method by which such 
        materials are distributed to consumers and users of the 
        programming;
          (3) the means by which programming developed under 
        this section has been distributed, including the 
        distance learning technologies that have been utilized 
        to make programming available and the geographic 
        distribution achieved through such technologies; and
          (4) the initiatives undertaken by the eligible entity 
        to develop public-private partnerships to secure non-
        Federal support for the development, distribution and 
        broadcast of educational and instructional programming.
  (b) Report to Congress.--The Secretary shall prepare and 
submit to the relevant committees of Congress a biannual report 
that shall include--
          (1) a summary of activities assisted under section 
        5902(a); and
          (2) a description of the training materials made 
        available under section 5903(1)(D), the manner in which 
        outreach has been conducted to inform parents and 
        childcare providers of the availability of such 
        materials, and the manner in which such materials have 
        been distributed in accordance with such section.

SEC. 5906. ADMINISTRATIVE COSTS.

  With respect to the implementation of section 5902, eligible 
entities receiving a grant, contract, or cooperative agreement 
from the Secretary may use not more than 5 percent of the 
amounts received under such grant, contract, or cooperative 
agreement for the normal and customary expenses of 
administering the grant, contract, or cooperative agreement.

SEC. 5907. DEFINITION.

  For the purposes of this part, the term ``distance learning'' 
means the transmission of educational or instructional 
programming to geographically dispersed individuals and groups 
via telecommunications.

SEC. 5908. AUTHORIZATION OF APPROPRIATIONS.

  (a) In General.--There are authorized to be appropriated to 
carry out this part, $50,000,000 for fiscalyear 2001, and such 
sums as may be necessary for each of the 4 succeeding fiscal years.
  (b) Funding Rule.--Not less than 60 percent of the amounts 
appropriated under subsection (a) for each fiscal year shall be 
used to carry out section 5902.

             PART J--INEXPENSIVE BOOK DISTRIBUTION PROGRAM

SEC. 5951. INEXPENSIVE BOOK DISTRIBUTION PROGRAM FOR READING 
                    MOTIVATION.

  (a) Authorization.--The Secretary is authorized to enter into 
a contract with Reading Is Fundamental (RIF) (hereafter in this 
section referred to as ``the contractor'') to support and 
promote programs, which include the distribution of inexpensive 
books to students, that motivate children to read.
  (b) Requirements of Contract.--Any contract entered into 
under subsection (a) shall--
          (1) provide that the contractor will enter into 
        subcontracts with local private nonprofit groups or 
        organizations, or with public agencies, under which 
        each subcontractor will agree to establish, operate, 
        and provide the non-Federal share of the cost of 
        reading motivation programs that include the 
        distribution of books, by gift, to the extent feasible, 
        or loan, to children from birth through secondary 
        school age, including those in family literacy 
        programs;
          (2) provide that funds made available to 
        subcontractors will be used only to pay the Federal 
        share of the cost of such programs;
          (3) provide that in selecting subcontractors for 
        initial funding, the contractor will give priority to 
        programs that will serve a substantial number or 
        percentage of children with special needs, such as--
                  (A) low-income children, particularly in 
                high-poverty areas;
                  (B) children at risk of school failure;
                  (C) children with disabilities;
                  (D) foster children;
                  (E) homeless children;
                  (F) migrant children;
                  (G) children without access to libraries;
                  (H) institutionalized or incarcerated 
                children; and
                  (I) children whose parents are 
                institutionalized or incarcerated;
          (4) provide that the contractor will provide such 
        technical assistance to subcontractors as may be 
        necessary to carry out the purpose of this section;
          (5) provide that the contractor will annually report 
        to the Secretary the number of, and describe, programs 
        funded under paragraph (3); and
          (6) include such other terms and conditions as the 
        Secretary determines to be appropriate to ensure the 
        effectiveness of such programs.
  (c) Restriction on Payments.--The Secretary shall make no 
payment of the Federal share of the cost of acquiring and 
distributing books under any contract under this section unless 
the Secretary determines that the contractor or subcontractor, 
as the case may be, has made arrangements with book publishers 
or distributors to obtain books at discounts at least as 
favorable as discounts that are customarily given by such 
publisher or distributor for book purchases made under similar 
circumstances in the absence of Federal assistance.
  (d) Definition of ``Federal Share''.--For the purpose of this 
section, the term ``Federal share'' means, with respect to the 
cost to a subcontractor of purchasing books to be paid under 
this section, 75 percent of such costs to the subcontractor, 
except that the Federal share for programs serving children of 
migrant or seasonal farmworkers shall be 100 percent of such 
costs to the subcontractor.
  (e) Authorization of Appropriations.--For the purpose of 
carrying out this section, there are authorized to be 
appropriated $25,000,000 for fiscal year 2001 and such sums as 
may be necessary for each of the four succeeding fiscal years.

           [TITLE VI--INNOVATIVE EDUCATION PROGRAM STRATEGIES

[SEC. 6001. [20 U.S.C. 7301] FINDINGS AND STATEMENT OF PURPOSE.

  [(a) Findings.--The Congress finds that chapter 2 of title I 
of this Act (as such chapter was in effect on the day preceding 
the date of enactment of the Improving America's Schools Act of 
1994) has been successful in achieving the goals of increasing 
local flexibility, reducing administrative burden, providing 
services for private school students, encouraging innovation, 
and contributing to the improvement of elementary and secondary 
educational programs.
  [(b) Statement of Purpose.--It is the purpose of programs 
under this title--
          [(1) to support local education reform efforts which 
        are consistent with and support statewide reform 
        efforts under Goals 2000: Educate America Act;
          [(2) to support State and local efforts to accomplish 
        the National Education Goals;
          [(3) to provide funding to enable State and local 
        educational agencies to implement promising educational 
        reform programs;
          [(4) to provide a continuing source of innovation, 
        and educational improvement, including support for 
        library services and instructional and media materials; 
        and
          [(5) to meet the special educational needs of at risk 
        and high cost students.
  [(c) State and Local Responsibility.--The basic 
responsibility for the administration of funds made available 
under this title is within the State educational agencies, but 
it is the intent of Congress that the responsibility be carried 
out with a minimum of paperwork and that the responsibility for 
the design and implementation of programs assisted under this 
title will be mainly that of local educational agencies, school 
superintendents and principals, and classroom teachers and 
supporting personnel, because such agencies and individuals 
have the most direct contact with students and are most likely 
to be able to design programs to meet the educational needs of 
students in their own school districts.

[SEC. 6002. [20 U.S.C. 7302] AUTHORIZATION OF APPROPRIATIONS; DURATION 
                    OF ASSISTANCE.

  [(a) Authorization.--To carry out the purposes of this title, 
there are authorized to be appropriated $370,000,000 for fiscal 
year 1995 and such sums as may be necessary for each of the 
four succeeding fiscal years.
  [(b) Duration of Assistance.--During the period beginning 
October 1, 1994, and ending September 30, 1999, the Secretary 
shall, in accordance with the provisions of this title, make 
payments to State educational agencies for the purpose of this 
title.

[SEC. 6003. [20 U.S.C. 7303] DEFINITION.

  [For the purposes of this title the term ``effective schools 
programs'' means school-based programs that may encompass 
preschool through secondary school levels and that have the 
objectives of (1) promoting school-level planning, 
instructional improvement, and staff development, (2) 
increasing the academic achievement levels of all children and 
particularly educationally disadvantaged children, and (3) 
achieving as ongoing conditions in the school the following 
factors identified through effective schools research as 
distinguishing effective from ineffective schools:
          [(A) Strong and effective administrative and 
        instructional leadership that creates consensus on 
        instructional goals and organizational capacity for 
        instructional problem solving.
          [(B) Emphasis on the acquisition of basic and higher 
        order skills.
          [(C) A safe and orderly school environment that 
        allows teachers and pupils to focus their energies on 
        academic achievement.
          [(D) A climate of expectation that virtually all 
        children can learn under appropriate conditions.
          [(E) Continuous assessment of students and programs 
        to evaluate the effects of instruction.

                   [PART A--STATE AND LOCAL PROGRAMS

[SEC. 6101. [20 U.S.C. 7311] ALLOTMENT TO STATES.

  [(a) Reservations.--From the sums appropriated to carry out 
this title in any fiscal year, the Secretary shall reserve not 
to exceed one percent for payments to outlying areas to be 
allotted in accordance with their respective needs.
  [(b) Allotment.--From the remainder of such sums, the 
Secretary shall allot to each State an amount which bears the 
same ratio to the amount of such remainder as the school-age 
population of the State bears to the school-age population of 
all States, except that no State shall receive less than an 
amount equal to one-half of one percent of such remainder.
  [(c) Definitions.--For purposes of this part:
          [(1) The term ``school-age population'' means the 
        population aged 5 through 17.
          [(2) The term ``States'' includes the 50 States, the 
        District of Columbia, and the Commonwealth of Puerto 
        Rico.

[SEC. 6102. [20 U.S.C. 7312] ALLOCATION TO LOCAL EDUCATIONAL AGENCIES.

  [(a) Distribution Rule.--From the sums made available each 
year to carry out this title, the State educational agency 
shall distribute not less than 85 percent to local educational 
agencies within such State according to the relative 
enrollments in public and private, nonprofit schools within the 
school districts of such agencies, adjusted, in accordance with 
criteria approved by the Secretary, to provide higher per pupil 
allocations to local educational agencies which have the 
greatest numbers or percentages of children whose education 
imposes a higher than average cost per child, such as--
          [(1) children living in areas with high 
        concentrations of low-income families;
          [(2) children from low-income families; and
          [(3) children living in sparsely populated areas.
  [(b) Calculation of Enrollments.--
          [(1) In general.--The calculation of relative 
        enrollments under subsection (a) shall be on the basis 
        of the total of--
                  [(A) the number of children enrolled in 
                public schools; and
                  [(B) the number of children enrolled in 
                private nonprofit schools that desire that 
                their children participate in programs or 
                projects assisted under this title, for the 
                fiscal year preceding the fiscal year for which 
                the determination is made.
          [(2) Construction.--Nothing in this subsection shall 
        diminish the responsibility of local educational 
        agencies to contact, on an annual basis, appropriate 
        officials from private nonprofit schools within the 
        areas served by such agencies in order to determine 
        whether such schools desire that their children 
        participate in programs assisted under this part.
          [(3) Adjustments.--(A) Relative enrollments under 
        subsection (a) shall be adjusted, in accordance with 
        criteria approved by the Secretary under subparagraph 
        (B), to providehigher per pupil allocations only to 
local educational agencies which serve the greatest numbers or 
percentages of--
                  [(i) children living in areas with high 
                concentrations of low-income families;
                  [(ii) children from low-income families; or
                  [(iii) children living in sparsely populated 
                areas.
          [(B) The Secretary shall review criteria submitted by 
        a State educational agency for adjusting allocations 
        under paragraph (1) and shall approve such criteria 
        only if the Secretary determines that such criteria are 
        reasonably calculated to produce an adjusted allocation 
        that reflects the relative needs within the State's 
        local educational agencies based on the factors set 
        forth in subparagraph (A).
  [(c) Payment of Allocations.--
          [(1) Distribution.--From the funds paid to a State 
        educational agency pursuant to section 6002 for a 
        fiscal year, a State educational agency shall 
        distribute to each eligible local educational agency 
        which has submitted an application as required in 
        section 6202 the amount of such local educational 
        agency allocation as determined under subsection (a).
          [(2) Additional funds.--(A) Additional funds 
        resulting from higher per pupil allocations provided to 
        a local educational agency on the basis of adjusted 
        enrollments of children described in subsection (a), 
        may, at the discretion of the local educational agency, 
        be allocated for expenditures to provide services for 
        children enrolled in public and private nonprofit 
        schools in direct proportion to the number of children 
        described in subsection (a) and enrolled in such 
        schools within the local educational agency.
          [(B) In any fiscal year, any local educational agency 
        that elects to allocate such additional funds in the 
        manner described in subparagraph (A) shall allocate all 
        additional funds to schools within the local 
        educational agency in such manner.
          [(C) The provisions of subparagraphs (A) and (B) may 
        not be construed to require any school to limit the use 
        of such additional funds to the provision of services 
        to specific students or categories of students.

                        [PART B--STATE PROGRAMS

[SEC. 6201. [20 U.S.C. 7331] STATE USES OF FUNDS.

  [(a) Authorized Activities.--A State educational agency may 
use funds made available for State use under this title only 
for--
          [(1) State administration of programs under this 
        title including--
                  [(A) supervision of the allocation of funds 
                to local educational agencies;
                  [(B) planning, supervision, and processing of 
                State funds; and
                  [(C) monitoring and evaluation of programs 
                and activities under this title;
          [(2) support for planning, designing, and initial 
        implementation of charter schools as described in part 
        C of title X; and
          [(3) technical assistance and direct grants to local 
        educational agencies and statewide education reform 
        activities including effective schools programs which 
        assist local educational agencies to provide targeted 
        assistance.
  [(b) Limitations and Requirements.--Not more than 25 percent 
of funds available for State programs under this title in any 
fiscal year may be used for State administration under 
subsection (a)(1).

[SEC. 6202. [20 U.S.C. 7332] STATE APPLICATIONS.

  [(a) Application Requirements.--Any State which desires to 
receive assistance under this part shall submit to the 
Secretary an application which--
          [(1) designates the State educational agency as the 
        State agency responsible for administration and 
        supervision of programs assisted under this title;
          [(2)(A) provides for a biennial submission of data on 
        the use of funds, the types of services furnished, and 
        the students served under this title; and
          [(B) in fiscal year 1998 provides for an evaluation 
        of the effectiveness of programs assisted under this 
        title;
          [(3) sets forth the allocation of such funds required 
        to implement section 6402;
          [(4) provides that the State educational agency will 
        keep such records and provide such information to the 
        Secretary as may be required for fiscal audit and 
        program evaluation (consistent with the 
        responsibilities of the Secretary under this section);
          [(5) provides assurance that, apart from technical 
        and advisory assistance and monitoring compliance with 
        this title, the State educational agency has not 
        exercised and will not exercise any influence in the 
        decisionmaking processes of local educational agencies 
        as to the expenditure made pursuant to an application 
        under section 6303;
          [(6) contains assurances that there is compliance 
        with the specific requirements of this title; and
          [(7) provides for timely public notice and public 
        dissemination of the information provided pursuant to 
        paragraph (2).
  [(b) Period of Application.--An application filed by the 
State under subsection (a) shall be for a period not to exceed 
three years, and may be amended annually as may be necessary to 
reflect changes without filing a new application.
  [(c) Audit Rule.--Local educational agencies receiving less 
than an average of $5,000 each under this title shall not be 
audited more frequently than once every five years.

              [PART C--LOCAL INNOVATIVE EDUCATION PROGRAMS

[SEC. 6301. [20 U.S.C. 7351] TARGETED USE OF FUNDS.

  [(a) General Rule.--Funds made available to local educational 
agencies under section 6102 shall be used for innovative 
assistance described in subsection (b).
  [(b) Innovative Assistance.--The innovative assistance 
programs referred to in subsection (a) include--
          [(1) technology related to the implementation of 
        school-based reform programs, including professional 
        development to assist teachers and other school 
        officials regarding how to use effectively such 
        equipment and software;
          [(2) programs for the acquisition and use of 
        instructional and educational materials, including 
        library services and materials (including media 
        materials), assessments, reference materials, computer 
        software and hardware for instructional use, and other 
        curricular materials which are tied to high academic 
        standards and which will be used to improve student 
        achievement and which are part of an overall education 
        reform program;
          [(3) promising education reform projects, including 
        effective schools and magnet schools;
          [(4) programs to improve the higher order thinking 
        skills of disadvantaged elementary and secondary school 
        students and to prevent students from dropping out of 
        school;
          [(5) programs to combat illiteracy in the student and 
        adult population, including parent illiteracy;
          [(6) programs to provide for the educational needs of 
        gifted and talented children;
          [(7) school reform activities that are consistent 
        with the Goals 2000: Educate America Act;
          [(8) planning, designing, and initial implementation 
        of charter schools as described in part C of title X; 
        and
          [(9) school improvement programs or activities under 
        sections 1116 and 1117.

[SEC. 6302. [20 U.S.C. 7352] ADMINISTRATIVE AUTHORITY.

  [In order to conduct the activities authorized by this title, 
each State or local educational agency may use funds reserved 
for this title to make grants to and to enter into contracts 
with local educational agencies, institutions of higher 
education, libraries, museums, and other public and private 
nonprofit agencies, organizations, and institutions.

[SEC. 6303. [20 U.S.C. 7353] LOCAL APPLICATIONS.

  [(a) Contents of Application.--A local educational agency or 
consortium of such agencies may receive an allocation of funds 
under this title for any year for which an application is 
submitted to the State educational agency and such application 
is certified to meet the requirements of this section. The 
State educational agency shall certify any such application if 
such application--
          [(1)(A) sets forth the planned allocation of funds 
        among innovative assistance programs described in 
        section 6301 and describes the programs, projects, and 
        activities designed to carry out such innovative 
        assistance which the local educational agency intends 
        to support, together with the reasons for the selection 
        of such programs, projects, and activities; and
          [(B) sets forth the allocation of such funds required 
        to implement section 6402;
          [(2) describes how assistance under this title will 
        contribute to meeting the National Education Goals and 
        improving student achievement or improving the quality 
        of education for students;
          [(3) provide assurances of compliance with the 
        provisions of this title, including the participation 
        of children enrolled in private, nonprofit schools in 
        accordance with section 6402;
          [(4) agrees to keep such records, and provide such 
        information to the State educational agency as 
        reasonably may be required for fiscal audit and program 
        evaluation, consistent with the responsibilities of the 
        State agency under this title; and
          [(5) provides in the allocation of funds for the 
        assistance authorized by this title, and in the design, 
        planning and implementation of such programs, for 
        systematic consultation with parents of children 
        attending elementary and secondary schools in the area 
        served by the local educational agency, with teachers 
        and administrative personnel in such schools, and with 
        other groups involved in the implementation of this 
        title (such as librarians, school counselors, and other 
        pupil services personnel) as may be considered 
        appropriate by the local educational agency.
  [(b) Period of Application.--An application filed by a local 
educational agency under subsection (a) shall be for a period 
not to exceed three fiscal years, may provide for the 
allocation of funds to programs for a period of three years, 
and may be amended annually as may be necessary to reflect 
changes without filing a new application.
  [(c) Local Educational Agency Discretion.--Subject to the 
limitations and requirements of this title, a local educational 
agency shall have complete discretion in determining how funds 
under this part shall be divided among the areas of targeted 
assistance. In exercising such discretion, a local educational 
agency shall ensure that expenditures under this part carry out 
the purposes of this title and are used to meet the educational 
needs within the schools of such local educational agency.

               [PART D--GENERAL ADMINISTRATIVE PROVISIONS

[SEC. 6401. [20 U.S.C. 7371] MAINTENANCE OF EFFORT; FEDERAL FUNDS 
                    SUPPLEMENTARY.

  [(a) Maintenance of Effort.--
          [(1) In general.--Except as provided in paragraph 
        (2), a State is entitled to receive its full allocation 
        of funds under this part for any fiscal year if the 
        Secretary finds that either the combined fiscal effort 
        per student or the aggregate expenditures within the 
        State with respect to the provision of free public 
        education for the fiscal year preceding the fiscal year 
        for which the determination is made was not less than 
        90 percent of such combined fiscal effort or aggregate 
        expenditures for the second fiscal year preceding the 
        fiscal year for which the determination is made.
          [(2) Reduction of funds.--The Secretary shall reduce 
        the amount of the allocation of funds under this part 
        in any fiscalyear in the exact proportion to which the 
State fails to meet the requirements of paragraph (1) by falling below 
90 percent of both the fiscal effort per student and aggregate 
expenditures (using the measure most favorable to the State), and no 
such lesser amount shall be used for computing the effort required 
under paragraph (1) for subsequent years.
          [(3) Waivers.--The Secretary may waive, for one 
        fiscal year only, the requirements of this section if 
        the Secretary determines that such a waiver would be 
        equitable due to exceptional or uncontrollable 
        circumstances such as a natural disaster or a 
        precipitous and unforeseen decline in the financial 
        resources of the State.
  [(b) Federal Funds Supplementary.--A State or local 
educational agency may use and allocate funds received under 
this part only so as to supplement and, to the extent 
practical, increase the level of funds that would, in the 
absence of Federal funds made available under this part, be 
made available from non-Federal sources, and in no case may 
such funds be used so as to supplant funds from non-Federal 
sources.

[SEC. 6402. [20 U.S.C. 7372] PARTICIPATION OF CHILDREN ENROLLED IN 
                    PRIVATE SCHOOLS.

  [(a) Participation on Equitable Basis.--
          [(1) In general.--To the extent consistent with the 
        number of children in the school district of a local 
        educational agency which is eligible to receive funds 
        under this title or which serves the area in which a 
        program or project assisted under this title is located 
        who are enrolled in private nonprofit elementary and 
        secondary schools, or with respect to instructional or 
        personnel training programs funded by the State 
        educational agency from funds made available for State 
        use, such agency, after consultation with appropriate 
        private school officials, shall provide for the benefit 
        of such children in such schools secular, neutral, and 
        nonideological services, materials, and equipment, 
        including the participation of the teachers of such 
        children (and other educational personnel serving such 
        children) in training programs, and the repair, minor 
        remodeling, or construction of public facilities as may 
        be necessary for their provision (consistent with 
        subsection (c) of this section), or, if such services, 
        materials, and equipment are not feasible or necessary 
        in one or more such private schools as determined by 
        the local educational agency after consultation with 
        the appropriate private school officials, shall provide 
        such other arrangements as will assure equitable 
        participation of such children in the purposes and 
        benefits of this title.
          [(2) Other provisions for services.--If no program or 
        project is carried out under paragraph (1) in the 
        school district of a local educational agency, the 
        State educational agency shall make arrangements, such 
        as through contracts with nonprofit agencies or 
        organizations, under which children in private schools 
        in such district are provided with services and 
        materials to the extent that would have occurred if the 
        local educational agency had received funds under this 
        title.
          [(3) Application of requirements.--The requirements 
        of this section relating to the participation of 
        children, teachers, and other personnel serving such 
        children shall apply to programs and projects carried 
        out under this title by a State or local educational 
        agency, whether directly or through grants to or 
        contracts with other public or private agencies, 
        institutions, or organizations.
  [(b) Equal Expenditures.--Expenditures for programs pursuant 
to subsection (a) shall be equal (consistent with the number of 
children to be served) to expenditures for programs under this 
title for children enrolled in the public schools of the local 
educational agency, taking into account the needs of the 
individual children and other factors which relate to such 
expenditures, and when funds available to a local educational 
agency under this title are used to concentrate programs or 
projects on a particular group, attendance area, or grade or 
age level, children enrolled in private schools who are 
included within the group, attendance area, or grade or age 
level selected for such concentration shall, after consultation 
with the appropriate private school officials, be assured 
equitable participation in the purposes and benefits of such 
programs or projects.
  [(c) Funds.--
          [(1) Administration of funds and property.--The 
        control of funds provided under this title, and title 
        to materials, equipment, and property repaired, 
        remodeled, or constructed with such funds, shall be in 
        a public agency for the uses and purposes provided in 
        this title, and a public agency shall administer such 
        funds and property.
          [(2) Provision of services.--The provision of 
        services pursuant to this title shall be provided by 
        employees of a public agency or through contract by 
        such public agency with a person, an association, 
        agency, or corporation who or which, in the provision 
        of such services, is independent of such private school 
        and of any religious organizations, and such employment 
        or contract shall be under the control and supervision 
        of such public agency, and the funds provided under 
        this title shall not be commingled with State or local 
        funds.
  [(d) State Prohibition Waiver.--If by reason of any provision 
of law a State or local educational agency is prohibited from 
providing for the participation in programs of children 
enrolled in private elementary and secondary schools, as 
required by this section, the Secretary shall waive such 
requirements and shall arrange for the provision of services to 
such children through arrangements which shall be subject to 
the requirements of this section.
  [(e) Waiver and Provision of Services.--
          [(1) Failure to comply.--If the Secretary determines 
        that a State or a local educational agency has 
        substantially failed or is unwilling to provide for the 
        participation on an equitable basis of children 
        enrolled in private elementary and secondary schools as 
        required by this section, the Secretary may waive such 
        requirements and shall arrange for the provision of 
        services to such children through arrangements which 
        shall be subject to the requirements of this section.
          [(2) Withholding of allocation.--Pending final 
        resolution of any investigation or complaint that could 
        result in a determination under this subsection or 
        subsection (d), theSecretary may withhold from the 
allocation of the affected State or local educational agency the amount 
estimated by the Secretary to be necessary to pay the cost of those 
services.
  [(f) Determination.--Any determination by the Secretary under 
this section shall continue in effect until the Secretary 
determines that there will no longer be any failure or 
inability on the part of the State or local educational agency 
to meet the requirements of subsections (a) and (b).
  [(g) Payment From State Allotment.--When the Secretary 
arranges for services pursuant to this section, the Secretary 
shall, after consultation with the appropriate public and 
private school officials, pay the cost of such services, 
including the administrative costs of arranging for those 
services, from the appropriate allotment of the State under 
this title.
  [(h) Review.--
          [(1) Written objections.--The Secretary shall not 
        take any final action under this section until the 
        State educational agency and the local educational 
        agency affected by such action have had an opportunity, 
        for not less than 45 days after receiving written 
        notice thereof, to submit written objections and to 
        appear before the Secretary or the Secretary's designee 
        to show cause why that action should not be taken.
          [(2) Court action.--If a State or local educational 
        agency is dissatisfied with the Secretary's final 
        action after a proceeding under paragraph (1), such 
        agency may, not later than 60 days after notice of such 
        action, file with the United States court of appeals 
        for the circuit in which such State is located a 
        petition for review of that action. A copy of the 
        petition shall be transmitted by the clerk of the court 
        to the Secretary. The Secretary thereupon shall file in 
        the court the record of the proceedings on which the 
        Secretary based this action, as provided in section 
        2112 of title 28, United States Code.
          [(3) Remand to secretary.--The findings of fact by 
        the Secretary, if supported by substantial evidence, 
        shall be conclusive; but the court, for good cause 
        shown, may remand the case to the Secretary to take 
        further evidence and the Secretary may make new or 
        modified findings of fact and may modify the 
        Secretary's previous action, and shall file in the 
        court the record of the further proceedings. Such new 
        or modified findings of fact shall likewise be 
        conclusive if supported by substantial evidence.
          [(4) Court review.--Upon the filing of such petition, 
        the court shall have jurisdiction to affirm the action 
        of the Secretary or to set such action aside, in whole 
        or in part. The judgment of the court shall be subject 
        to review by the Supreme Court of the United States 
        upon certiorari or certification as provided in section 
        1254 of title 28, United States Code.
  [(i) Prior Determination.--Any bypass determination by the 
Secretary under chapter 2 of title I of this Act (as such 
chapter was in effect on the day preceding the date of 
enactment of the Improving America's Schools Act of 1994) 
shall, to the extent consistent with the purposes of this 
title, apply to programs under this title.

[SEC. 6403. [20 U.S.C. 7373] FEDERAL ADMINISTRATION.

  [(a) Technical Assistance.--The Secretary, upon request, 
shall provide technical assistance to State and local 
educational agencies under this title.
  [(b) Rulemaking.--The Secretary shall issue regulations under 
this title only to the extent that such regulations are 
necessary to ensure that there is compliance with the specific 
requirements and assurances required by this title.
  [(c) Availability of Appropriations.--Notwithstanding any 
other provision of law, unless expressly in limitation of this 
subsection, funds appropriated in any fiscal year to carry out 
activities under this title shall become available for 
obligation on July 1 of such fiscal year and shall remain 
available for obligation until the end of the subsequent fiscal 
year.]

                     TITLE VI--INNOVATIVE EDUCATION

            PART A--INNOVATIVE EDUCATION PROGRAM STRATEGIES

SEC. 6101. PURPOSE; STATE AND LOCAL RESPONSIBILITY.

  (a) Purpose.--The purpose of this part is--
          (1) to support local education reform efforts that 
        are consistent with and support statewide education 
        reform efforts;
          (2) to support State and local efforts to accomplish 
        America's Education Goals;
          (3) to provide funding to enable State and local 
        educational agencies to implement promising educational 
        reform strategies;
          (4) to provide a continuing source of innovation and 
        educational improvement, including support for library 
        services and instructional and media materials; and
          (5) to develop and implement education programs to 
        improve school, student, and teacher performance, 
        including professional development activities and class 
        size reduction programs.
  (b) State and Local Responsibility.--The basic responsibility 
for the administration of funds made available under this part 
is within the State educational agencies, but it is the intent 
of Congress that the responsibility be carried out with a 
minimum of paperwork and that the responsibility for the design 
and implementation of programs assisted under this part will be 
mainly that of local educational agencies, school 
superintendents and principals, and classroom teachers and 
supporting personnel, because such agencies and individuals 
have the most direct contact with students and are most likely 
to be able to design programs to meet the educational needs of 
students in their own school districts.

SEC. 6102. AUTHORIZATION OF APPROPRIATIONS; DURATION OF ASSISTANCE.

  (a) Authorization.--To carry out the purposes of this part, 
there are authorized to be appropriated $850,000,000 for fiscal 
year 2001 and such sums as may be necessary for each of the 
four succeeding fiscal years.
  (b) Duration of Assistance.--During the period beginning 
October 1, 2001, and ending September 30, 2006, the Secretary 
shall, in accordance with the provisions of this part, make 
payments to State educational agencies for the purpose of this 
part.

SEC. 6103. DEFINITION OF EFFECTIVE SCHOOLS PROGRAM.

  In this part the term ``effective schools program'' means a 
school-based program that--
          (1) may encompass preschool through secondary school 
        levels; and
          (2) has the objectives of--
                  (A) promoting school-level planning, 
                instructional improvement, and staff 
                development for all personnel;
                  (B) increasing the academic performance 
                levels of all children and particularly 
                educationally disadvantaged children; and
                  (C) achieving as an ongoing condition in the 
                school the following factors identified through 
                effective schools research:
                          (i) Strong and effective 
                        administrative and instructional 
                        leadership.
                          (ii) A safe and orderly school 
                        environment that enables teachers and 
                        students to focus on academic 
                        performance.
                          (iii) Continuous assessment of 
                        students and initiatives to evaluate 
                        instructional techniques.

                  Subpart 1--State and Local Programs

SEC. 6111. ALLOTMENT TO STATES.

  (a) Reservations.--From the sums appropriated to carry out 
this part in any fiscal year, the Secretary shall reserve not 
more than one percent for payments to outlying areas to be 
allotted in accordance with their respective needs.
  (b) Allotment.--From the remainder of such sums, the 
Secretary shall allot to each State an amount which bears the 
same ratio to the amount of such remainder as the school-age 
population of the State bears to the school-age population of 
all States, except that no State shall receive less than an 
amount equal to one-half of one percent of such remainder.
  (c) Definitions.--In this subpart:
          (1) School-age population.--The term ``school-age 
        population'' means the population aged 5 through 17.
          (2) State.--The term ``State'' includes the 50 States 
        of the United States, the District of Columbia, and the 
        Commonwealth of Puerto Rico.

SEC. 6112. ALLOCATION TO LOCAL EDUCATIONAL AGENCIES.

  (a) Formula.--From the sums made available each year to carry 
out this part, the State educational agency shall distribute 
not less than 85 percent to local educational agencies within 
such State according to the relative enrollments in public and 
private elementary schools and secondary schools within the 
school districts of such agencies, adjusted, in accordance with 
criteria approved by the Secretary, to provide higher per pupil 
allocations to local educational agencies serving the greatest 
numbers or percentages of children whose education imposes a 
higher than average cost per child, such as--
          (1) children living in areas with high concentrations 
        of low-income families;
          (2) children from low-income families; and
          (3) children living in sparsely populated areas.
  (b) Calculation of Enrollments.--
          (1) In general.--The calculation of relative 
        enrollments under subsection (a) shall be on the basis 
        of the total of--
                  (A) the number of children enrolled in public 
                schools; and
                  (B) the number of children enrolled in 
                private nonprofit schools that desire that 
                their children participate in programs or 
                projects assisted under this part, for the 
                fiscal year preceding the fiscal year for which 
                the determination is made.
          (2) Construction.--Nothing in this subsection shall 
        diminish the responsibility of local educational 
        agencies to contact, on an annual basis, appropriate 
        officials from private nonprofit schools within the 
        areas served by such agencies in order to determine 
        whether such schools desire that their children 
        participate in programs assisted under this part.
          (3) Adjustments.--
                  (A) In general.--Relative enrollments under 
                subsection (a) shall be adjusted, in accordance 
                with criteria approved by the Secretary under 
                subparagraph (B), to provide higher per pupil 
                allocations only to local educational agencies 
                which serve the greatest numbers or percentages 
                of--
                          (i) children living in areas with 
                        high concentrations of low-income 
                        families;
                          (ii) children from low-income 
                        families; or
                          (iii) children living in sparsely 
                        populated areas.
                  (B) Criteria.--The Secretary shall review 
                criteria submitted by a State educational 
                agency for adjusting allocations under 
                subparagraph (A) and shall approve such 
                criteria only if the Secretary determines that 
                such criteria are reasonably calculated to 
                produce an adjusted allocation that reflects 
                the relative needs within the State's local 
                educational agencies based on the factors set 
                forth in subparagraph (A).
  (c) Payment of Allocations.--
          (1) Distribution.--From the funds paid to a State 
        educational agency pursuant to section 6111 for a 
        fiscal year, a State educational agency shall 
        distribute to each eligible local educational agency 
        which has submitted an application as required in 
        section 6133 the amount of such local educational 
        agency's allocation as determined under subsection (a).
          (2) Additional funds.--
                  (A) In general.--Additional funds resulting 
                from higher per pupil allocations provided to a 
                local educational agency on the basis of 
                adjusted enrollments of children described in 
                subsection (a), may, at the discretion of the 
                local educational agency, be allocated for 
                expenditures to provide services for children 
                enrolled in public and private nonprofit 
                schools in direct proportion to the number of 
                children described in subsection (a) and 
                enrolled in such schools within the local 
                educational agency.
                  (B) Requirement.--In any fiscal year, any 
                local educational agency that elects to 
                allocate such additional funds in the manner 
                described in subparagraph (A) shall allocate 
                all additional funds to schools within the 
                local educational agency in such manner.
                  (C) Construction.--The provisions of 
                subparagraphs (A) and (B) may not be construed 
                to require any school to limit the use of such 
                additional funds to the provision of services 
                to specific students or categories of students.

                       Subpart 2--State Programs

SEC. 6121. STATE USES OF FUNDS.

  (a) Authorized Activities.--A State educational agency may 
use funds made available for State use under this part only 
for--
          (1) State administration of programs under this part 
        including--
                  (A) supervision of the allocation of funds to 
                local educational agencies;
                  (B) planning, supervision, and processing of 
                State funds; and
                  (C) monitoring and evaluation of programs and 
                activities under this part;
          (2) support for planning, designing, and initial 
        implementation of charter schools as described in part 
        D of title V;
          (3) support for designing and implementation of high-
        quality yearly student assessments;
          (4) support for implementation of State and local 
        standards; and
          (5) technical assistance and direct grants to local 
        educational agencies and statewide education reform 
        activities including effective schools programs which 
        assist local educational agencies to provide targeted 
        assistance.
  (b) Limitations and Requirements.--Not more than 15 percent 
of funds available for State programs under this part in any 
fiscal year may be used for State administration under 
subsection (a)(1).

SEC. 6122. STATE APPLICATIONS.

  (a) Application Requirements.--Any State which desires to 
receive assistance under this part shall submit to the 
Secretary an application which--
          (1) designates the State educational agency as the 
        State agency responsible for administration and 
        supervision of programs assisted under this part;
          (2) provides for a biennial submission of data on the 
        use of funds, the types of services furnished, and the 
        students served under this part;
          (3) sets forth the allocation of such funds required 
        to implement section 6142;
          (4) provides that the State educational agency will 
        keep such records and provide such information to the 
        Secretary as may be required for fiscal audit and 
        program evaluation (consistent with the 
        responsibilities of the Secretary under this section);
          (5) provides assurances that, apart from technical 
        and advisory assistance and monitoring compliance with 
        this part, the State educational agency has not 
        exercised and will not exercise any influence in the 
        decisionmaking processes of local educational agencies 
        as to the expenditure made pursuant to an application 
        under section 6133;
          (6) contains assurances that there is compliance with 
        the specific requirements of this part; and
          (7) provides for timely public notice and public 
        dissemination of the information provided pursuant to 
        paragraph (2).
  (b) Period of Application.--An application filed by the State 
under subsection (a) shall be for a period not to exceed three 
years, and may be amended annually as may be necessary to 
reflect changes without filing a new application.
  (c) Audit Rule.--A local educational agency that receives 
less than an average of $10,000 under this part for 3 fiscal 
years shall not be audited more frequently than once every 5 
years.

             Subpart 3--Local Innovative Education Programs

SEC. 6131. TARGETED USE OF FUNDS.

  (a) General Rule.--Funds made available to local educational 
agencies under section 6112 shall be used for innovative 
assistance described in subsection (b).
  (b) Innovative Assistance.--
          (1) In general.--The innovative assistance programs 
        referred to in subsection (a) include--
                  (A) programs for the acquisition and use of 
                instructional and educational materials, 
                including library services and materials 
                (including media materials), assessments, and 
                other curricular materials that--
                  (B) programs to improve teaching and 
                learning, including professional development 
                activities, that are consistent with 
                comprehensive State and local systemic 
                education reform efforts;
                  (C) activities that encourage and expand 
                improvements throughout the local educational 
                agency that are designed to advance student 
                performance;
                  (D) initiatives to generate, maintain, and 
                strengthen parental and community involvement, 
                including initiatives creating activities for 
                school-age children and activities to meet the 
                educational needs of children aged birth 
                through 5;
                  (E) programs to recruit, hire, and train 
                certified teachers (including teachers 
                certified through State and local alternative 
                routes) in order to reduce class size;
                  (F) programs to improve the academic 
                performance of educationally disadvantaged 
                elementary school and secondary school 
                students, including activities to prevent 
                students from dropping out of school;
                  (G) programs and activities that expand 
                learning opportunities through best practice 
                models designed to improve classroom learning 
                and teaching;
                  (H) programs to combat both student and 
                parental illiteracy;
                  (I) technology activities related to the 
                implementation of school-based reform efforts, 
                including professional development to assist 
                teachers and other school personnel (including 
                school library media personnel) regarding how 
                to effectively use technology in the classrooms 
                and the school library media centers involved;
                  (J) school improvement programs or activities 
                under section 1116 or 1117;
                  (K) programs to provide for the educational 
                needs of gifted and talented children;
                  (L) programs to provide same gender schools 
                and classrooms, if equal educational 
                opportunities are made available to students of 
                both sexes, consistent with the Constitution of 
                the United States of America;
                  (M) service learning activities; and
                  (N) school safety programs.
          (2) Requirements.--The innovative assistance programs 
        referred to in subsection (a) shall be--
                  (A) tied to promoting high academic 
                standards;
                  (B) used to improve student performance; and
                  (C) part of an overall education reform 
                strategy.

SEC. 6132. ADMINISTRATIVE AUTHORITY.

  In order to conduct the activities authorized by this part, 
each State or local educational agency may use funds made 
available under this part to make grants to and to enter into 
contracts with local educational agencies, institutions of 
higher education, libraries, museums, and other public and 
private nonprofit agencies, organizations, and institutions.

SEC. 6133. LOCAL APPLICATIONS.

  (a) Contents of Application.--A local educational agency or 
consortium of such agencies may receive an allocation of funds 
under this part for any year for which an application is 
submitted to the State educational agency and such application 
is certified to meet the requirements of this section. The 
State educational agency shall certify any such application if 
such application--
          (1)(A) sets forth the planned allocation of funds 
        among innovative assistance programs described in 
        section 6131 and describes the programs, projects, and 
        activities designed to carry out such innovative 
        assistance which the local educational agency intends 
        to support, together with the reasons for the selection 
        of such programs, projects, and activities; and
          (B) sets forth the allocation of such funds required 
        to implement section 6142;
          (2) describes how assistance under this part will 
        contribute to meeting America's Education Goals and 
        improving student achievement or improving the quality 
        of education for students;
          (3) provides assurances of compliance with the 
        provisions of this part, including the participation of 
        children enrolled in private, nonprofit schools in 
        accordance with section 6142;
          (4) agrees to keep such records, and provide such 
        information to the State educational agency as 
        reasonably may be required for fiscal audit and program 
        evaluation, consistent with the responsibilities of the 
        State educational agency under this part; and
          (5) provides in the allocation of funds for the 
        assistance authorized by this part, and in the design, 
        planning, and implementation of such programs, for 
        systematic consultation with parents of children 
        attending elementary schools and secondary schools in 
        the area served by the local educational agency, with 
        teachers and administrative personnel in such schools, 
        and with other groups involved in the implementation of 
        this part (such as librarians, school counselors, and 
        other pupil services personnel) as may be considered 
        appropriate by the local educational agency.
  (b) Period of Application.--An application filed by a local 
educational agency under subsection (a) shall be for a period 
not to exceed three fiscal years, may provide for the 
allocation of funds to programs for a period of three years, 
and may be amended annually as may be necessary to reflect 
changes without filing a new application.
  (c) Local Educational Agency Discretion.--Subject to the 
limitations and requirements of this part, a local educational 
agency shall have complete discretion in determining how funds 
under this subpart shall be divided among the areas of targeted 
assistance. In exercising such discretion, a local educational 
agency shall ensurethat expenditures under this subpart carry 
out the purposes of this part and are used to meet the educational 
needs within the schools of such local educational agency.

              Subpart 4--General Administrative Provisions

SEC. 6141. MAINTENANCE OF EFFORT; FEDERAL FUNDS SUPPLEMENTARY.

  (a) Maintenance of Effort.--
          (1) In general.--Except as provided in paragraph (2), 
        a State is entitled to receive its full allocation of 
        funds under this part for any fiscal year if the 
        Secretary finds that either the combined fiscal effort 
        per student or the aggregate expenditures within the 
        State with respect to the provision of free public 
        education for the fiscal year preceding the fiscal year 
        for which the determination is made was not less than 
        90 percent of such combined fiscal effort or aggregate 
        expenditures for the second fiscal year preceding the 
        fiscal year for which the determination is made.
          (2) Reduction of funds.--The Secretary shall reduce 
        the amount of the allocation of funds under this part 
        in any fiscal year in the exact proportion to which the 
        State fails to meet the requirements of paragraph (1) 
        by falling below 90 percent of both the fiscal effort 
        per student and aggregate expenditures (using the 
        measure most favorable to the State), and no such 
        lesser amount shall be used for computing the effort 
        required under paragraph (1) for subsequent years.
          (3) Waivers.--The Secretary may waive, for one fiscal 
        year only, the requirements of this section if the 
        Secretary determines that such a waiver would be 
        equitable due to exceptional or uncontrollable 
        circumstances such as a natural disaster or a 
        precipitous and unforeseen decline in the financial 
        resources of the State.
  (b) Federal Funds Supplementary.--A State or local 
educational agency may use and allocate funds received under 
this part only so as to supplement and, to the extent 
practical, increase the level of funds that would, in the 
absence of Federal funds made available under this part, be 
made available from non-Federal sources, and in no case may 
such funds be used so as to supplant funds from non-Federal 
sources.

SEC. 6142. PARTICIPATION OF CHILDREN ENROLLED IN PRIVATE SCHOOLS.

  (a) Participation on Equitable Basis.--
          (1) In general.--To the extent consistent with the 
        number of children in the school district of a local 
        educational agency which is eligible to receive funds 
        under this part or which serves the area in which a 
        program or project assisted under this part is located 
        who are enrolled in private nonprofit elementary and 
        secondary schools, or with respect to instructional or 
        personnel training programs funded by the State 
        educational agency from funds made available for State 
        use, such agency, after consultation with appropriate 
        private school officials, shall provide for the benefit 
        of such children in such schools secular, neutral, and 
        nonideological services, materials, and equipment, 
        including the participation of the teachers of such 
        children (and other educational personnel serving such 
        children) in training programs, and the repair, minor 
        remodeling, or construction of public facilities as may 
        be necessary for their provision (consistent with 
        subsection (c) of this section), or, if such services, 
        materials, and equipment are not feasible or necessary 
        in one or more such private schools as determined by 
        the local educational agency after consultation with 
        the appropriate private school officials, shall provide 
        such other arrangements as will assure equitable 
        participation of such children in the purposes and 
        benefits of this part.
          (2) Other provisions for services.--If no program or 
        project is carried out under paragraph (1) in the 
        school district of a local educational agency, the 
        State educational agency shall make arrangements, such 
        as through contracts with nonprofit agencies or 
        organizations, under which children in private schools 
        in such district are provided with services and 
        materials to the extent that would have occurred if the 
        local educational agency had received funds under this 
        part.
          (3) Application of requirements.--The requirements of 
        this section relating to the participation of children, 
        teachers, and other personnel serving such children 
        shall apply to programs and projects carried out under 
        this part by a State or local educational agency, 
        whether directly or through grants to or contracts with 
        other public or private agencies, institutions, or 
        organizations.
  (b) Equal Expenditures.--Expenditures for programs pursuant 
to subsection (a) shall be equal (consistent with the number of 
children to be served) to expenditures for programs under this 
part for children enrolled in the public schools of the local 
educational agency, taking into account the needs of the 
individual children and other factors which relate to such 
expenditures, and when funds available to a local educational 
agency under this part are used to concentrate programs or 
projects on a particular group, attendance area, or grade or 
age level, children enrolled in private schools who are 
included within the group, attendance area, or grade or age 
level selected for such concentration shall, after consultation 
with the appropriate private school officials, be assured 
equitable participation in the purposes and benefits of such 
programs or projects.
  (c) Funds.--
          (1) Administration of funds and property.--The 
        control of funds provided under this part, and title to 
        materials, equipment, and property repaired, remodeled, 
        or constructed with such funds, shall be in a public 
        agency for the uses and purposes provided in this part, 
        and a public agency shall administer such funds and 
        property.
          (2) Provision of services.--The provision of services 
        pursuant to this part shall be provided by employees of 
        a public agency or through contract by such public 
        agency with a person, an association, agency, or 
        corporation who or which, in the provision of such 
        services, is independent of such private school and of 
        any religious organizations, and such employment or 
        contract shall be under the controland supervision of 
such public agency, and the funds provided under this part shall not be 
commingled with State or local funds.
  (d) State Prohibition Waiver.--If by reason of any provision 
of law a State or local educational agency is prohibited from 
providing for the participation in programs of children 
enrolled in private elementary schools and secondary schools, 
as required by this section, the Secretary shall waive such 
requirements and shall arrange for the provision of services to 
such children through arrangements which shall be subject to 
the requirements of this section.
  (e) Waiver and Provision of Services.--
          (1) Failure to comply.--If the Secretary determines 
        that a State or a local educational agency has 
        substantially failed or is unwilling to provide for the 
        participation on an equitable basis of children 
        enrolled in private elementary schools and secondary 
        schools as required by this section, the Secretary may 
        waive such requirements and shall arrange for the 
        provision of services to such children through 
        arrangements which shall be subject to the requirements 
        of this section.
          (2) Withholding of allocation.--Pending final 
        resolution of any investigation or complaint that could 
        result in a determination under this subsection or 
        subsection (d), the Secretary may withhold from the 
        allocation of the affected State or local educational 
        agency the amount estimated by the Secretary to be 
        necessary to pay the cost of those services.
  (f) Determination.--Any determination by the Secretary under 
this section shall continue in effect until the Secretary 
determines that there will no longer be any failure or 
inability on the part of the State or local educational agency 
to meet the requirements of subsections (a) and (b).
  (g) Payment From State Allotment.--When the Secretary 
arranges for services pursuant to this section, the Secretary 
shall, after consultation with the appropriate public and 
private school officials, pay the cost of such services, 
including the administrative costs of arranging for those 
services, from the appropriate allotment of the State under 
this part.
  (h) Review.--
          (1) Written objections.--The Secretary shall not take 
        any final action under this section until the State 
        educational agency and the local educational agency 
        affected by such action have had an opportunity, for 
        not less than 45 days after receiving written notice 
        thereof, to submit written objections and to appear 
        before the Secretary or the Secretary's designee to 
        show cause why that action should not be taken.
          (2) Court action.--If a State or local educational 
        agency is dissatisfied with the Secretary's final 
        action after a proceeding under paragraph (1), such 
        agency may, not later than 60 days after notice of such 
        action, file with the United States court of appeals 
        for the circuit in which such State is located a 
        petition for review of that action. A copy of the 
        petition shall be transmitted by the clerk of the court 
        to the Secretary. The Secretary thereupon shall file in 
        the court the record of the proceedings on which the 
        Secretary based this action, as provided in section 
        2112 of title 28, United States Code.
          (3) Remand to secretary.--The findings of fact by the 
        Secretary, if supported by substantial evidence, shall 
        be conclusive; but the court, for good cause shown, may 
        remand the case to the Secretary to take further 
        evidence and the Secretary may make new or modified 
        findings of fact and may modify the Secretary's 
        previous action, and shall file in the court the record 
        of the further proceedings. Such new or modified 
        findings of fact shall likewise be conclusive if 
        supported by substantial evidence.
          (4) Court review.--Upon the filing of such petition, 
        the court shall have jurisdiction to affirm the action 
        of the Secretary or to set such action aside, in whole 
        or in part. The judgment of the court shall be subject 
        to review by the Supreme Court of the United States 
        upon certiorari or certification as provided in section 
        1254 of title 28, United States Code.
  (i) Prior Determination.--Any bypass determination by the 
Secretary under chapter 2 of part I of this Act (as such 
chapter was in effect on the day preceding the date of 
enactment of the Improving America's Schools Act of 1994) 
shall, to the extent consistent with the purposes of this part, 
apply to programs under this part.

SEC. 6143. FEDERAL ADMINISTRATION.

  (a) Technical Assistance.--The Secretary, upon request, shall 
provide technical assistance to State and local educational 
agencies under this part.
  (b) Rulemaking.--The Secretary shall issue regulations under 
this part to the extent that such regulations are necessary to 
ensure that there is compliance with the specific requirements 
and assurances required by this part.
  (c) Availability of Appropriations.--Notwithstanding any 
other provision of law, unless expressly in limitation of this 
subsection, funds appropriated in any fiscal year to carry out 
activities under this part shall become available for 
obligation on July 1 of such fiscal year and shall remain 
available for obligation until the end of the subsequent fiscal 
year.

                   PART B--RURAL EDUCATION INITIATIVE

SEC. 6201. SHORT TITLE.

  This part may be cited as the ``Rural Education Achievement 
Program''.

SEC. 6202. FINDINGS.

  Congress makes the following findings:
  (1) Under Federal law there is no consistent definition of 
rural schools.
  (2) Rural school districts do not benefit as much as the 
school districts could from Federal education funding because 
the unique needs of rural school districts do not necessarily 
fit the categorical Federal formula programs.
  (3) Rural schools often cannot compete for Federal funding 
distributed by competitive grants because the schools lack the 
personnel needed toprepare grant applications and the resources 
to hire specialists in the writing of Federal grant proposals.
  (4) Small school districts with fewer than 600 students often 
cannot use Federal grant funds distributed by formula because 
the formula allocation does not provide enough revenue to carry 
out the program the grant is intended to fund.

SEC. 6203. AUTHORIZATION OF APPROPRIATIONS.

  There are authorized to be appropriated to carry out this 
part--
          (1) $125,000,000 for fiscal year 2001, of which 
        $62,500,000 shall be made available to carry out 
        subpart 1; and
          (2) such sums as may be necessary for each of the 5 
        succeeding fiscal years.

           Subpart 1--Small, Rural School Achievement Program

SEC. 6211. FORMULA GRANT PROGRAM AUTHORIZED.

  (a) Alternative Uses.--
          (1) In general.--Notwithstanding any other provision 
        of law, an eligible local educational agency may use 
        the applicable funding, that the agency is eligible to 
        receive from the State educational agency for a fiscal 
        year, to carry out innovative assistance activities 
        described in section 6131(b).
          (2) Notification.--An eligible local educational 
        agency shall notify the State educational agency of the 
        local educational agency's intention to use the 
        applicable funding in accordance with paragraph (1) not 
        later than a date that is established by the State 
        educational agency for the notification.
  (b) Eligibility.--A local educational agency shall be 
eligible to use the applicable funding in accordance with 
subsection (a) if--
          (1) the total number of students in average daily 
        attendance at all of the schools served by the local 
        educational agency is less than 600; and
          (2) all of the schools served by the local 
        educational agency are designated with a School Locale 
        Code of 7, as determined by the Secretary of Education.
  (c) Applicable Funding.--In this section, the term 
``applicable funding'' means funds provided under each of 
titles II, IV, and VI.
  (d) Disbursal.--Each State educational agency that receives 
applicable funding for a fiscal year shall disburse the 
applicable funding to local educational agencies for 
alternative uses under this section for the fiscal year at the 
same time that the State educational agency disburses the 
applicable funding to local educational agencies that do not 
intend to use the applicable funding for such alternative uses 
for the fiscal year.
  (e) Supplement Not Supplant.--Funds made available under this 
section shall be used to supplement and not supplant any other 
Federal, State, or local education funds.
  (f) Special Rule.--References in Federal law to funds for the 
provisions of law set forth in subsection (c) may be considered 
to be references to funds for this section.
  (g) Construction.--Nothing in this subpart shall be construed 
to prohibit a local educational agency that enters into 
cooperative arrangements with other local educational agencies 
for the provision of special, compensatory, or other education 
services pursuant to State law or a written agreement from 
entering into similar arrangements for the use or the 
coordination of the use of the funds made available under this 
section.

SEC. 6212. COMPETITIVE GRANT PROGRAM AUTHORIZED.

  (a) In General.--The Secretary is authorized to award grants 
to eligible local educational agencies to enable the local 
educational agencies to carry out innovative assistance 
activities described in section 6131(b).
  (b) Eligibility.--A local educational agency shall be 
eligible to receive a grant under this section if--
          (1) the total number of students in average daily 
        attendance at all of the schools served by the local 
        educational agency is less than 600; and
          (2) all of the schools served by the local 
        educational agency are designated with a School Locale 
        Code of 7, as determined by the Secretary of Education.
  (c) Amount.--
          (1) In general.--The Secretary shall award a grant to 
        a local educational agency under this section for a 
        fiscal year in an amount equal to the amount determined 
        under paragraph (2) for the fiscal year minus the total 
        amount received under the provisions of law described 
        under section 6211(c) for the fiscal year.
          (2) Determination.--The amount referred to in 
        paragraph (1) is equal to $100 multiplied by the total 
        number of students in excess of 50 students that are in 
        average daily attendance at the schools served by the 
        local educational agency, plus $20,000, except that the 
        amount may not exceed $60,000.
          (3) Census determination.--
                  (A) In general.--Each local educational 
                agency desiring a grant under this section 
                shall conduct a census not later than December 
                1 of each year to determine the number of 
                kindergarten through grade 12 students in 
                average daily attendance at the schools served 
                by the local educational agency.
                  (B) Submission.--Each local educational 
                agency shall submit the number described in 
                subparagraph (A) to the Secretary not later 
                than March 1 of each year.
          (4) Penalty.--If the Secretary determines that a 
        local educational agency has knowingly submitted false 
        information under paragraph (3) for the purpose of 
        gaining additional funds under this section, then the 
        local educational agency shall be fined an amount equal 
        to twice the difference between the amount the local 
        educational agency received under this section, and the 
        correct amount the local educational agency would have 
        received under this section if the agency had submitted 
        accurate information under paragraph (3).
  (d) Disbursal.--The Secretary shall disburse the funds 
awarded to a local educational agency under this section for a 
fiscal year not later than July 1 of that year.
  (e) Supplement Not Supplant.--Funds made available under this 
section shall be used to supplementand not supplant any other 
Federal, State, or local education funds.
  (f) Construction.--Nothing in this subpart shall be construed 
to prohibit a local educational agency that enters into 
cooperative arrangements with other local educational agencies 
for the provision of special, compensatory, or other education 
services pursuant to State law or a written agreement from 
entering into similar arrangements for the use or the 
coordination of the use of the funds made available under this 
section.

SEC. 6213. ACCOUNTABILITY.

  (a) Academic Achievement.--
          (1) In general.--Each local educational agency that 
        uses or receives funds under section 6211 or 6212 for a 
        fiscal year shall--
                  (A) administer an assessment that is used 
                statewide and is consistent with the assessment 
                described in section 1111(b), to assess the 
                academic achievement of students in the schools 
                served by the local educational agency; or
                  (B) in the case of a local educational agency 
                for which there is no statewide assessment 
                described in subparagraph (A), administer a 
                test, that is selected by the local educational 
                agency, to assess the academic achievement of 
                students in the schools served by the local 
                educational agency.
          (2) Special rule.--Each local educational agency that 
        uses or receives funds under section 6211 or 6212 shall 
        use the same assessment or test described in paragraph 
        (1) for each year of participation in the program 
        carried out under such section.
  (b) State Educational Agency Determination Regarding 
Continuing Participation.--Each State educational agency that 
receives funding under the provisions of law described in 
section 6211(c) shall--
          (1) after the fifth year that a local educational 
        agency in the State participates in a program 
        authorized under section 6211 or 6212 and on the basis 
        of the results of the assessments or tests described in 
        subsection (a), determine whether the students served 
        by the local educational agency participating in the 
        program performed better on the assessments or tests 
        after the fifth year of the participation than the 
        students performed on the assessments or tests after 
        the first year of the participation;
          (2) permit only the local educational agencies that 
        participated in the program and served students that 
        performed better on the assessments or tests, as 
        described in paragraph (1), to continue to participate 
        in the program for an additional period of 5 years; and
          (3) prohibit the local educational agencies that 
        participated in the program and served students that 
        did not perform better on the assessments or tests, as 
        described in paragraph (1), from participating in the 
        program, for a period of 5 years from the date of the 
        determination.

SEC. 6214. RATABLE REDUCTIONS IN CASE OF INSUFFICIENT APPROPRIATIONS.

  (a) In General.--If the amount appropriated for any fiscal 
year and made available for grants under this subpart is 
insufficient to pay the full amount for which all agencies are 
eligible under this subpart, the Secretary shall ratably reduce 
each such amount.
  (b) Additional Amounts.--If additional funds become available 
for making payments under paragraph (1) for such fiscal year, 
payments that were reduced under subsection (a) shall be 
increased on the same basis as such payments were reduced.

             Subpart 2--Low-Income and Rural School Program

SEC. 6221. DEFINITIONS.

  In this subpart:
          (1) Poverty line.--The term ``poverty line'' means 
        the 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.
          (2) Specially qualified agency.--The term ``specially 
        qualified agency'' means an eligible local educational 
        agency, located in a State that does not participate in 
        a program carried out under this subpart for a fiscal 
        year, which may apply directly to the Secretary for a 
        grant for such year in accordance with section 6222(b).

SEC. 6222. PROGRAM AUTHORIZED.

  (a) Grants to States.--
          (1) In general.--From the sum appropriated under 
        section 6203 for a fiscal year and made available to 
        carry out this subpart, the Secretary shall award 
        grants, from allotments made under paragraph (2), to 
        State educational agencies that have applications 
        approved under section 6224 to enable the State 
        educational agencies to award grants to eligible local 
        educational agencies for innovative assistance 
        activities described in section 6131(b).
          (2) Allotment.--From the sum appropriated under 
        section 6203 for a fiscal year and made available to 
        carry out this subpart, the Secretary shall allot to 
        each State educational agency an amount that bears the 
        same ratio to the sum as the number of students in 
        average daily attendance at the schools served by 
        eligible local educational agencies in the State for 
        that fiscal year bears to the number of all such 
        students at the schools served by eligible local 
        educational agencies in all States for that fiscal 
        year.
  (b) Direct Grants to Specially Qualified Agencies.--
          (1) Nonparticipating state.--If a State educational 
        agency elects not to participate in the program carried 
        out under this subpart or does not have an application 
        approved under section 6224, a specially qualified 
        agency in such State desiring a grant under this 
        subpart shall apply directly to the Secretary under 
        section 6224 to receive a grant under this subpart.
          (2) Direct awards to specially qualified agencies.--
        The Secretary may award, on a competitive basis, the 
        amount the State educationalagency is eligible to 
receive under subsection (a)(2) directly to specially qualified 
agencies in the State.
  (c) Administrative Costs.--A State educational agency that 
receives a grant under this subpart may not use more than 5 
percent of the amount of the grant for State administrative 
costs.

SEC. 6223. STATE DISTRIBUTION OF FUNDS.

  (a) In General.--A State educational agency that receives a 
grant under this subpart may use the funds made available 
through the grant to award grants to eligible local educational 
agencies to enable the local educational agencies to carry out 
innovative assistance activities described in section 6131(b).
  (b) Local Awards.--
          (1) Eligibility.--A local educational agency shall be 
        eligible to receive a grant under this subpart if--
                  (A) 20 percent or more of the children age 5 
                through 17 that are served by the local 
                educational agency are from families with 
                incomes below the poverty line; and
                  (B) all of the schools served by the agency 
                are located in a community with a Rural-Urban 
                Continuum Code of 6, 7, 8, or 9, as determined 
                by the Secretary of Agriculture.
  (c) Award Basis.--The State educational agency shall award 
the grants to eligible local educational agencies--
          (1) on a competitive basis; or
          (2) according to a formula based on the number of 
        students in average daily attendance at schools served 
        by the eligible local educational agencies.

SEC. 6224. APPLICATIONS.

  (a) In General.--Each State educational agency and specially 
qualified agency desiring to receive a grant under this subpart 
shall submit an application to the Secretary at such time, in 
such manner, and accompanied by such information as the 
Secretary may require.
  (b) Contents.--At a minimum, such application shall include 
information on specific measurable goals and objectives to be 
achieved through the activities carried out through the grant, 
which may include specific educational goals and objectives 
relating to--
          (1) increased student academic achievement;
          (2) decreased student dropout rates; or
          (3) such other factors as the State educational 
        agency or specially qualified agency may choose to 
        measure.

SEC. 6225. ACCOUNTABILITY.

  (a) State Reports.--Each State educational agency that 
receives a grant under this subpart shall prepare and submit to 
the Secretary an annual report. The report shall describe--
          (1) the method the State educational agency used to 
        award grants to eligible local educational agencies 
        under this subpart;
          (2) how the local educational agencies used the funds 
        provided under this subpart; and
          (3) the degree to which the State made progress 
        toward meeting the goals and objectives described in 
        the application submitted under section 6224.
  (b) Specially Qualified Agency Report.--Each specially 
qualified agency that receives a grant under this subpart shall 
prepare and submit to the Secretary an annual report. The 
report shall describe--
          (1) how such agency used the funds provided under 
        this subpart; and
          (2) the degree to which the agency made progress 
        toward meeting the goals and objectives described in 
        the application submitted under section 6224.
  (c) Academic Achievement.--
          (1) In general.--Each local educational agency that 
        receives a grant under this subpart for a fiscal year 
        shall--
                  (A) administer an assessment that is used 
                statewide and is consistent with the assessment 
                described in section 1111(b), to assess the 
                academic achievement of students in the schools 
                served by the local educational agency; or
                  (B) in the case of a local educational agency 
                for which there is no statewide assessment 
                described in subparagraph (A), administer a 
                test, that is selected by the local educational 
                agency, to assess the academic achievement of 
                students in the schools served by the local 
                educational agency.
          (2) Special rule.--Each local educational agency that 
        receives a grant under this subpart shall use the same 
        assessment or test described in paragraph (1) for each 
        year of participation in the program carried out under 
        this subpart.
  (d) State Educational Agency Determination Regarding 
Continuing Participation.--Each State educational agency that 
receives a grant under this subpart shall--
          (1) after the fifth year that a local educational 
        agency in the State participates in the program 
        authorized under this subpart and on the basis of the 
        results of the assessments or tests described in 
        subsection (c), determine whether the students served 
        by the local educational agency participating in the 
        program performed better on the assessments or tests 
        after the fifth year of the participation than the 
        students performed on the assessments or tests after 
        the first year of the participation;
          (2) permit only the local educational agencies that 
        participated in the program and served students that 
        performed better on the assessments or tests, as 
        described in paragraph (1), to continue to participate 
        in the program for an additional period of 5 years; and
          (3) prohibit the local educational agencies that 
        participated in the program and served students that 
        did not perform better on the assessments or tests, as 
        described in paragraph (1), from participating in the 
        program for a period of 5 years from the date of the 
        determination.

SEC. 6226. SUPPLEMENT NOT SUPPLANT.

  Funds made available under this subpart shall be used to 
supplement and not supplant any other Federal, State, or local 
education funds.

SEC. 6227. SPECIAL RULE.

  No local educational agency may concurrently participate in 
activities carried out under subpart 1 and activities carried 
out under this subpart.

               PART C--EDUCATION FLEXIBILITY PARTNERSHIPS

SEC. 6301. SHORT TITLE.

  This part may be cited as the ``Education Flexibility 
Partnership Act of 2000''.

SEC. 6302. DEFINITIONS.

  In this part:
          (1) Eligible school attendance area; school 
        attendance area.--The terms ``eligible school 
        attendance area'' and ``school attendance area'' have 
        the meanings given the terms in section 1113(a)(2).
          (2) State.--The term ``State'' means each of the 
        several States of the United States, the District of 
        Columbia, the Commonwealth of Puerto Rico, and each 
        outlying area.

SEC. 6303. EDUCATION FLEXIBILITY PARTNERSHIP.

  (a) Educational Flexibility Program.--
          (1) Program authorized.--
                  (A) In general.--The Secretary may carry out 
                an educational flexibility program under which 
                the Secretary authorizes a State educational 
                agency that serves an eligible State to waive 
                statutory or regulatory requirements applicable 
                to one or more programs described in subsection 
                (b), other than requirements described in 
                subsection (c), for any local educational 
                agency or school within the State.
                  (B) Designation.--Each eligible State 
                participating in the program described in 
                subparagraph (A) shall be known as an ``Ed-Flex 
                Partnership State''.
          (2) Eligible state.--For the purpose of this section 
        the term ``eligible State'' means a State that--
                  (A) has--
                          (i) developed and implemented the 
                        challenging State content standards, 
                        challenging State student performance 
                        standards, and aligned assessments 
                        described in section 1111(b), and for 
                        which local educational agencies in the 
                        State are producing the individual 
                        school performance profiles required by 
                        section 1116(a)(3); or
                          (ii)(I) developed and implemented the 
                        content standards described in clause 
                        (i);
                          (II) developed and implemented 
                        interim assessments; and
                          (III) made substantial progress (as 
                        determined by the Secretary) toward 
                        developing and implementing the 
                        performance standards and final aligned 
                        assessments described in clause (i), 
                        and toward having local educational 
                        agencies in the State produce the 
                        profiles described in clause (i);
                  (B) holds local educational agencies and 
                schools accountable for meeting the educational 
                goals described in the local applications 
                submitted under paragraph (4), and for engaging 
                in technical assistance and corrective actions 
                consistent with section 1116, for the local 
                educational agencies and schools that do not 
                make adequate yearly progress as described in 
                section 1111(b)(2); and
                  (C) waives State statutory or regulatory 
                requirements relating to education while 
                holding local educational agencies or schools 
                within the State that are affected by such 
                waivers accountable for the performance of the 
                students who are affected by such waivers.
          (3) State application.--
                  (A) In general.--Each State educational 
                agency desiring to participate in the 
                educational flexibility program 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. Each such application 
                shall demonstrate that the eligible State has 
                adopted an educational flexibility plan for the 
                State that includes--
                          (i) a description of the process the 
                        State educational agency will use to 
                        evaluate applications from local 
                        educational agencies or schools 
                        requesting waivers of--
                                  (I) Federal statutory or 
                                regulatory requirements as 
                                described in paragraph (1)(A); 
                                and
                                  (II) State statutory or 
                                regulatory requirements 
                                relating to education;
                          (ii) a detailed description of the 
                        State statutory and regulatory 
                        requirements relating to education that 
                        the State educational agency will 
                        waive;
                          (iii) a description of clear 
                        educational objectives the State 
                        intends to meet under the educational 
                        flexibility plan;
                          (iv) a description of how the 
                        educational flexibility plan is 
                        consistent with and will assist in 
                        implementing the State comprehensive 
                        reform plan or, if a State does not 
                        have a comprehensive reform plan, a 
                        description of how the educational 
                        flexibility plan is coordinated with 
                        activities described in section 
                        1111(b);
                          (v) a description of how the State 
                        educational agency will evaluate, 
                        consistent with the requirements of 
                        title I, the performance of students in 
                        the schools and local educational 
                        agencies affected by the waivers; and
                          (vi) a description of how the State 
                        educational agency will meet the 
                        requirements of paragraph (8).
                  (B) Approval and considerations.--The 
                Secretary may approve an application described 
                in subparagraph (A) only if the Secretary 
                determines that such application demonstrates 
                substantial promise of assisting the State 
                educational agency and affected local 
                educational agencies and schools within the 
                State in carrying out comprehensive educational 
                reform, after considering--
                          (i) the eligibility of the State as 
                        described in paragraph (2);
                          (ii) the comprehensiveness and 
                        quality of the educational flexibility 
                        plan described in subparagraph (A);
                          (iii) the ability of the educational 
                        flexibility plan to ensure 
                        accountability for the activities and 
                        goals described in such plan;
                          (iv) the degree to which the State's 
                        objectives described in subparagraph 
                        (A)(iii)--
                                  (I) are clear and have the 
                                ability to be assessed; and
                                  (II) take into account the 
                                performance of local 
                                educational agencies or 
                                schools, and students, 
                                particularly those affected by 
                                waivers;
                          (v) the significance of the State 
                        statutory or regulatory requirements 
                        relating to education that will be 
                        waived; and
                          (vi) the quality of the State 
                        educational agency's process for 
                        approving applications for waivers of 
                        Federal statutory or regulatory 
                        requirements as described in paragraph 
                        (1)(A) and for monitoring and 
                        evaluating the results of such waivers.
          (4) Local application.--
                  (A) In general.--Each local educational 
                agency or school requesting a waiver of a 
                Federal statutory or regulatory requirement as 
                described in paragraph (1)(A) and any relevant 
                State statutory or regulatory requirement from 
                a State educational agency shall submit an 
                application to the State educational agency at 
                such time, in such manner, and containing such 
                information as the State educational agency may 
                reasonably require. Each such application 
                shall--
                          (i) indicate each Federal program 
                        affected and each statutory or 
                        regulatory requirement that will be 
                        waived;
                          (ii) describe the purposes and 
                        overall expected results of waiving 
                        each such requirement;
                          (iii) describe, for each school year, 
                        specific, measurable, educational goals 
                        for each local educational agency or 
                        school affected by the proposed waiver, 
                        and for the students served by the 
                        local educational agency or school who 
                        are affected by the waiver;
                          (iv) explain why the waiver will 
                        assist the local educational agency or 
                        school in reaching such goals; and
                          (v) in the case of an application 
                        from a local educational agency, 
                        describe how the local educational 
                        agency will meet the requirements of 
                        paragraph (8).
                  (B) Evaluation of applications.--A State 
                educational agency shall evaluate an 
                application submitted under subparagraph (A) in 
                accordance with the State's educational 
                flexibility plan described in paragraph (3)(A).
                  (C) Approval.--A State educational agency 
                shall not approve an application for a waiver 
                under this paragraph unless--
                          (i) the local educational agency or 
                        school requesting such waiver has 
                        developed a local reform plan that is 
                        applicable to such agency or school, 
                        respectively;
                          (ii) the waiver of Federal statutory 
                        or regulatory requirements as described 
                        in paragraph (1)(A) will assist the 
                        local educational agency or school in 
                        reaching its educational goals, 
                        particularly goals with respect to 
                        school and student performance; and
                          (iii) the State educational agency is 
                        satisfied that the underlying purposes 
                        of the statutory requirements of each 
                        program for which a waiver is granted 
                        will continue to be met.
                  (D) Termination.--The State educational 
                agency shall annually review the performance of 
                any local educational agency or school granted 
                a waiver of Federal statutory or regulatory 
                requirements as described in paragraph (1)(A) 
                in accordance with the evaluation requirement 
                described in paragraph (3)(A)(v), and shall 
                terminate any waiver granted to the local 
                educational agency or school if the State 
                educational agency determines, after notice and 
                an opportunity for a hearing, that the local 
                educational agency or school's performance with 
                respect to meeting the accountability 
                requirement described in paragraph (2)(C) and 
                the goals described in paragraph (4)(A)(iii)--
                          (i) has been inadequate to justify 
                        continuation of such waiver; or
                          (ii) has decreased for two 
                        consecutive years, unless the State 
                        educational agency determines that the 
                        decrease in performance was justified 
                        due to exceptional or uncontrollable 
                        circumstances.
          (5) Oversight and reporting.--
                  (A) Oversight.--Each State educational agency 
                participating in the educational flexibility 
                program under this section shall annually 
                monitor the activities of local educational 
                agencies and schools receiving waivers under 
                this section.
                  (B) State reports.--
                          (i) Annual reports.--The State 
                        educational agency shall submit to the 
                        Secretary an annual report on the 
                        results of such oversight and the 
                        impact of the waivers on school and 
                        student performance.
                          (ii) Performance data.--Not later 
                        than 2 years after the date a State is 
                        designated an Ed-Flex Partnership 
                        State, each such State shall include, 
                        as part of the State's annual report 
                        submitted under clause (i), data 
                        demonstrating the degree to which 
                        progress has been made toward meeting 
                        the State's educational objectives. The 
                        data, when applicable, shall include--
                                  (I) information on the total 
                                number of waivers granted for 
                                Federal and State statutory and 
                                regulatory requirements under 
                                this section, including the 
                                number of waivers granted for 
                                each type of waiver;
                                  (II) information describing 
                                the effect of the waivers on 
                                the implementation of State and 
                                local educational reforms 
                                pertaining to school and 
                                student performance;
                                  (III) information describing 
                                the relationship of the waivers 
                                to the performance of schools 
                                and students affected by the 
                                waivers; and
                                  (IV) an assurance from State 
                                program managers that the data 
                                reported under this section are 
                                reliable, complete, and 
                                accurate, as defined by the 
                                State, or a description of a 
                                plan for improving the 
                                reliability, completeness, and 
                                accuracy of such data as 
                                defined by the State.
                  (C) Secretary's reports.--The Secretary, not 
                later than 2 years after the date of enactment 
                of the Education Flexibility Partnership Act of 
                1999 and annually thereafter, shall--
                          (i) make each State report submitted 
                        under subparagraph (B) available to 
                        Congress and the public; and
                          (ii) submit to Congress a report that 
                        summarizes the State reports and 
                        describes the effects that the 
                        educational flexibility program under 
                        this section had on the implementation 
                        of State and local educational reforms 
                        and on the performance of students 
                        affected by the waivers.
          (6) Duration of federal waivers.--
                  (A) In general.--The Secretary shall not 
                approve the application of a State educational 
                agency under paragraph (3) for a period 
                exceeding 5 years, except that the Secretary 
                may extend such period if the Secretary 
                determines that such agency's authority to 
                grant waivers--
                          (i) has been effective in enabling 
                        such State or affected local 
                        educational agencies or schools to 
                        carry out their State or local reform 
                        plans and to continue to meet the 
                        accountability requirement described in 
                        paragraph (2)(C); and
                          (ii) has improved student 
                        performance.
                  (B) Performance review.--Three years after 
                the date a State is designated an Ed-Flex 
                Partnership State, the Secretary shall review 
                the performance of the State educational agency 
                in granting waivers of Federal statutory or 
                regulatory requirements as described in 
                paragraph (1)(A) and shall terminate such 
                agency's authority to grant such waivers if the 
                Secretary determines, after notice and an 
                opportunity for a hearing, that such agency's 
                performance (including performance with respect 
                to meeting the objectives described in 
                paragraph (3)(A)(iii)) has been inadequate to 
                justify continuation of such authority.
                  (C) Renewal.--In deciding whether to extend a 
                request for a State educational agency's 
                authority to issue waivers under this section, 
                the Secretary shall review the progress of the 
                State educational agency to determine if the 
                State educational agency--
                          (i) has made progress toward 
                        achieving the objectives described in 
                        the application submitted pursuant to 
                        paragraph (3)(A)(iii); and
                          (ii) demonstrates in the request that 
                        local educational agencies or schools 
                        affected by the waiver authority or 
                        waivers have made progress toward 
                        achieving the desired results described 
                        in the application submitted pursuant 
                        to paragraph (4)(A)(iii).
          (7) Authority to issue waivers.--Notwithstanding any 
        other provision of law, the Secretary is authorized to 
        carry out the educational flexibility program under 
        this section for each of the fiscal years 1999 through 
        2004.
          (8) Public notice and comment.--Each State 
        educational agency seeking waiver authority under this 
        section and each local educational agency seeking a 
        waiver under this section--
                  (A) shall provide the public with adequate 
                and efficient notice of the proposed waiver 
                authority or waiver, consisting of a 
                description of the agency's application for the 
                proposed waiver authority or waiver in a widely 
                read or distributed medium, including a 
                description of any improved student performance 
                that is expected to result from the waiver 
                authority or waiver;
                  (B) shall provide the opportunity for 
                parents, educators, and all other interested 
                members of the community to comment regarding 
                the proposed waiver authority or waiver;
                  (C) shall provide the opportunity described 
                in subparagraph (B) in accordance with any 
                applicable State law specifying how the 
                comments may be received, and how the comments 
                may be reviewed by any member of the public; 
                and
                  (D) shall submit the comments received with 
                the agency's application to the Secretary or 
                the State educational agency, as appropriate.
  (b) Included Programs.--The statutory or regulatory 
requirements referred to in subsection (a)(1)(A) are any such 
requirements for programs carried out under the following 
provisions:
          (1) Title I (other than subsections (a) and (c) of 
        section 1116).
          (2) Subparts 1, 2, and 3 of part A of title II.
          (3) Subpart 2 of part A of title V (other than 
        section 5136).
          (4) Part A of title IV.
          (5) Part A of title VI.
          (6) Part C of title VII.
          (7) The Carl D. Perkins Vocational and Technical 
        Education Act of 1998.
  (c) Waivers Not Authorized.--The Secretary and the State 
educational agency may not waive under subsection (a)(1)(A) any 
statutory or regulatory requirement--
          (1) relating to--
                  (A) maintenance of effort;
                  (B) comparability of services;
                  (C) equitable participation of students and 
                professional staff in private schools;
                  (D) parental participation and involvement;
                  (E) distribution of funds to States or to 
                local educational agencies;
                  (F) serving eligible school attendance areas 
                in rank order under section 1113(a)(3);
                  (G) the selection of a school attendance area 
                or school under subsections (a) and (b) of 
                section 1113, except that a State educational 
                agency may grant a waiver to allow a school 
                attendance area or school to participate in 
                activities under part A of title I if the 
                percentage of children from low-income families 
                in the school attendance area of such school or 
                who attend such school is not less than 10 
                percentage points below the lowest percentage 
                of such children for any school attendance area 
                or school of the local educational agency that 
                meets the requirements of such subsections (a) 
                and (b);
                  (H) use of Federal funds to supplement, not 
                supplant, non-Federal funds; and
                  (I) applicable civil rights requirements; and
          (2) unless the underlying purposes of the statutory 
        requirements of the program for which a waiver is 
        granted continue to be met to the satisfaction of the 
        Secretary.
  (d) Treatment of Existing Ed-Flex Partnership States.--
          (1) In general.--Except as provided in paragraphs (3) 
        and (4), this section shall not apply to a State 
        educational agency that has been granted waiver 
        authority under the provisions of law described in 
        paragraph (2) (as such provisions were in effect on the 
        day before the date of enactment of the Educational 
        Opportunities Act) for the duration of the waiver 
        authority.
          (2) Applicable provisions.--The provisions of law 
        referred to in paragraph (1) are as follows:
                  (A) Section 311(e) of the Goals 2000: Educate 
                America Act (as such section was in effect on 
                the day before the date of enactment of the 
                Educational Opportunities Act).
                  (B) The proviso referring to such section 
                311(e) under the heading ``education reform'' 
                in the Department of Education Appropriations 
                Act, 1996 (Public Law 104-134; 110 Stat. 1321-
                229).
          (3) Special rule.--If a State educational agency 
        granted waiver authority pursuant to the provisions of 
        law described in subparagraph (A) or (B) of paragraph 
        (2) applies to the Secretary for waiver authority under 
        this section--
                  (A) the Secretary shall review the progress 
                of the State educational agency in achieving 
                the objectives set forth in the application 
                submitted pursuant to section 311(e) of the 
                Goals 2000: Educate America Act (as such 
                section was in effect on the day before the 
                date of enactment of the Educational 
                Opportunities Act); and
                  (B) the Secretary shall administer the waiver 
                authority granted under this section in 
                accordance with the requirements of this 
                section.
          (4) Technology.--In the case of a State educational 
        agency granted waiver authority under the provisions of 
        law described in subparagraph (A) or (B) of paragraph 
        (2), the Secretary shall permit a State educational 
        agency to expand, on or after the date of the enactment 
        of the Educational Opportunities Act, the waiver 
        authority to include programs under subpart 2 of part A 
        of title V (other than section 5136).
  (e) Publication.--A notice of the Secretary's decision to 
authorize State educational agencies to issue waivers under 
this section, including a description of the rationale the 
Secretary used to approve applications under subsection 
(a)(3)(B), shall be published in the Federal Register and the 
Secretary shall provide for the dissemination of such notice to 
State educational agencies, interested parties (including 
educators, parents, students, and advocacy and civil rights 
organizations), and the public.

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

SEC. 6401. CONSOLIDATION OF STATE ADMINISTRATIVE FUNDS FOR ELEMENTARY 
                    AND SECONDARY EDUCATION PROGRAMS.

  (a) Consolidation of Administrative Funds.--
          (1) In general.--A State educational agency may 
        consolidate the amounts specifically made available to 
        such agency for State administration under one or more 
        of the programs specified under paragraph (2) if such 
        State educational agency can demonstrate that the 
        majority of such agency's resources come from non-
        Federal sources.
          (2) Applicability.--This section applies to programs 
        under title I, those covered programs described in 
        subparagraphs (C), (D), (E), and (F) of section 3(10).
  (b) Use of Funds.--
          (1) In general.--A State educational agency shall use 
        the amount available under this section for the 
        administration of the programs included in the 
        consolidation under subsection (a).
          (2) Additional uses.--A State educational agency may 
        also use funds available under this section for 
        administrative activities designed to enhance the 
        effective and coordinated use of funds under the 
        programs included in the consolidation under subsection 
        (a), such as--
                  (A) the coordination of such programs with 
                other Federal and non-Federal programs;
                  (B) the establishment and operation of peer-
                review mechanisms under this Act;
                  (C) the coordinated administration of such 
                programs;
                  (D) the dissemination of information 
                regarding model programs and practices; and
                  (E) technical assistance under programs 
                specified in subsection (a)(2).
  (c) Records.--A State educational agency that consolidates 
administrative funds under this section shall not be required 
to keep separate records, by individual program, to account for 
costs relating to the administration of programs included in 
the consolidation under subsection (a).
  (d) Review.--To determine the effectiveness of State 
administration under this section, the Secretary may 
periodically review the performance of State educational 
agencies in using consolidated administrative funds under this 
section and take such steps as the Secretary finds appropriate 
to ensure the effectiveness of such administration.
  (e) Unused Administrative Funds.--If a State educational 
agency does not use all of the funds available to such agency 
under this section for administration, such agency may use such 
funds during the applicable period of availability as funds 
available under one or more programs included in the 
consolidation under subsection (a).
  (f) Consolidation of Funds for Standards and Assessment 
Development.--In order to develop challenging State standards 
and assessments, a State educational agency may consolidate the 
amounts made available to such agency for such purposes under 
title I of this Act.

SEC. 6402. SINGLE LOCAL EDUCATIONAL AGENCY STATES.

  A State educational agency that also serves as a local 
educational agency, in such agency's applications or plans 
under this Act, shall describe how such agency will eliminate 
duplication in the conduct of administrative functions.

SEC. 6403. CONSOLIDATION OF FUNDS FOR LOCAL ADMINISTRATION.

  (a) General Authority.--In accordance with regulations of the 
Secretary, a local educational agency, with the approval of its 
State educational agency, may consolidate and use for the 
administration of one or more covered programs for any fiscal 
year not more than the percentage, established in each covered 
program, of the total amount available to the local educational 
agency under such covered programs.
  (b) State Procedures.--Not later than one year after the date 
of enactment of the Educational Opportunities Act, a State 
educational agency shall, in collaboration with local 
educational agencies in the State, establish procedures for 
responding to requests from local educational agencies to 
consolidate administrative funds under subsection (a) and for 
establishing limitations on the amount of funds under covered 
programs that may be used for administration on a consolidated 
basis.
  (c) Conditions.--A local educational agency that consolidates 
administrative funds under this section for any fiscal year 
shall not use any other funds under the programs included in 
the consolidation for administration for that fiscal year.
  (d) Uses of Administrative Funds.--A local educational agency 
that consolidates administrative funds under this section may 
use such consolidated funds for the administration of covered 
programs and for the uses described in section 6401(b)(2).
  (e) Records.--A local educational agency that consolidates 
administrative funds under this section shall not be required 
to keep separate records, by individual covered program, to 
account for costs relating to the administration of covered 
programs included in the consolidation.

SEC. 6404. ADMINISTRATIVE FUNDS EVALUATION.

  (a) Federal Funds Evaluation.--
          (1) In general.--The Secretary shall conduct an 
        evaluation of the use of funds under this Act for the 
        administration, by State and local educational 
        agencies, of all covered programs, including the 
        percentage of grant funds used for such purpose in all 
        covered programs. The evaluation shall examine--
                  (A) the methods employed by schools, local 
                educational agencies, and State educational 
                agencies to reduce administrative expenses and 
                maximize the use of funds for activities 
                directly affecting student learning; and
                  (B) the steps which may be taken to assist 
                schools, local educational agencies, and State 
                educational agencies to account for and reduce 
                administrative expenses.
          (2) State data.--Beginning in fiscal year 2001 and 
        each succeeding fiscal year thereafter, each State 
        educational agency which receives funds under title I 
        shall submit to the Secretary a report on the use of 
        title I funds for the State administration of 
        activities assisted under title I. Such report shall 
        include the proportion of State administrative funds 
        provided under section 1603 that are expended for--
                  (A) basic program operation and compliance 
                monitoring;
                  (B) statewide program services such as 
                development of standards and assessments, 
                curriculum development, and program evaluation; 
                and
                  (C) technical assistance and other direct 
                support to local educational agencies and 
                schools.
          (3) Federal funds evaluation report.--The Secretary 
        shall complete the evaluation conducted under this 
        section not later than July 1, 2004, and shall submit 
        to the President and the appropriate committees of 
        Congress a report regarding such evaluation within 30 
        days of the completion of such evaluation.

SEC. 6405. CONSOLIDATED SET-ASIDE FOR DEPARTMENT OF THE INTERIOR FUNDS.

  (a) General Authority.--
          (1) Transfer.--The Secretary shall transfer to the 
        Department of the Interior, as a consolidated amount 
        for covered programs, the Indian education programs 
        under part A of title IX, and the education for 
        homeless children and youth program under subtitle B of 
        title VII of the Stewart B. McKinney Homeless 
        Assistance Act, the amounts allotted to the Department 
        of the Interior under those programs.
          (2) Agreement.--
                  (A) In general.--The Secretary and the 
                Secretary of the Interior shall enter into an 
agreement, consistent with the requirements of the programs specified 
in paragraph (1), for the distribution and use of those program funds 
under terms that the Secretary determines best meet the purposes of 
those programs.
                  (B) Requirements.--The agreement shall--
                          (i) set forth the plans of the 
                        Secretary of the Interior for the use 
                        of the amount transferred, the steps to 
                        be taken to achieve America's Education 
                        Goals, and performance measures to 
                        assess program effectiveness, including 
                        measurable goals and objectives; and
                          (ii) be developed in consultation 
                        with Indian tribes.
  (b) Administration.--The Department of the Interior may use 
not more than 1.5 percent of the funds consolidated under this 
section for such department's costs related to the 
administration of the funds transferred under this section.

SEC. 6406. AVAILABILITY OF UNNEEDED PROGRAM FUNDS.

  (a) Unneeded Program Funds.--With the approval of its State 
educational agency, a local educational agency that determines 
for any fiscal year that funds under a covered program (other 
than part A of title I) are not needed for the purpose of that 
covered program, may use such funds, not to exceed five percent 
of the total amount of such local educational agency's funds 
under that covered program, for the purpose of another covered 
program.
  (b) Coordination of Services.--A local educational agency, 
individual school, or consortium of schools may use a total of 
not more than five percent of the funds such agency, school, or 
consortium, respectively, receives under this part for the 
establishment and implementation of a coordinated services 
project.

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

SEC. 6501. PURPOSE.

  It is the purpose of this part to improve teaching and 
learning by encouraging greater cross-program coordination, 
planning, and service delivery under this Act and enhanced 
integration of programs under this Act with educational 
activities carried out with State and local funds.

SEC. 6502. OPTIONAL CONSOLIDATED STATE PLANS OR APPLICATIONS.

  (a) General Authority.--
          (1) Simplification.--In order to simplify application 
        requirements and reduce the burden for State 
        educational agencies under this Act, the Secretary, in 
        accordance with subsection (b), shall establish 
        procedures and criteria under which a State educational 
        agency may submit a consolidated State plan or a 
        consolidated State application meeting the requirements 
        of this section for--
                  (A) each of the covered programs in which the 
                State participates; and
                  (B) the additional programs described in 
                paragraph (2).
          (2) Additional programs.--A State educational agency 
        may also include in its consolidated State plan or 
        consolidated State application--
                  (A) the Even Start program under part B of 
                title I;
                  (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) programs under Public Law 103-239; and
                  (D) such other programs as the Secretary may 
                designate.
          (3) Consolidated applications and plans.--A State 
        educational agency that submits a consolidated State 
        plan or a consolidated State application under this 
        section shall not be required to submit separate State 
        plans or applications under any of the programs to 
        which the consolidated State plan or consolidated State 
        application under this section applies.
  (b) Collaboration.--
          (1) In general.--In establishing criteria and 
        procedures under this section, the Secretary shall 
        collaborate with State educational agencies and, as 
        appropriate, with other State agencies, local 
        educational agencies, public and private nonprofit 
        agencies, organizations, and institutions, private 
        schools, and representatives of parents, students, and 
        teachers.
          (2) Contents.--Through the collaborative process 
        described in subsection (b)(1), the Secretary shall 
        establish, for each program under this Act to which 
        this section applies, the descriptions, information, 
        assurances, and other material required to be included 
        in a consolidated State plan or consolidated State 
        application.
          (3) Necessary materials.--The Secretary shall require 
        only descriptions, information, assurances, and other 
        materials that are absolutely necessary for the 
        consideration of the consolidated State plan or 
        consolidated State application.

SEC. 6503. GENERAL APPLICABILITY OF STATE EDUCATIONAL AGENCY 
                    ASSURANCES.

  (a) Assurances.--A State educational agency that submits a 
consolidated State plan or consolidated State application under 
this Act, whether separately or under section 6502, shall have 
on file with the Secretary a single set of assurances, 
applicable to each program for which such plan or application 
is submitted, that provides that--
          (1) each such program will be administered in 
        accordance with all applicable statutes, regulations, 
        program plans, and applications;
          (2)(A) the control of funds provided under each such 
        program and title to property acquired with program 
        funds will be in a public agency, in a nonprofit 
        private agency, institution, or organization, or in an 
        Indian tribe if the law authorizing the program 
        provides for assistance to such entities; and
          (B) the public agency, nonprofit private agency, 
        institution, or organization, or Indian tribe will 
administer such funds and property to the extent required by the 
authorizing law;
          (3) the State will adopt and use proper methods of 
        administering each such program, including--
                  (A) the enforcement of any obligations 
                imposed by law on agencies, institutions, 
                organizations, and other recipients responsible 
                for carrying out each program;
                  (B) the correction of deficiencies in program 
                operations that are identified through audits, 
                monitoring, or evaluation; and
                  (C) the adoption of written procedures for 
                the receipt and resolution of complaints 
                alleging violations of law in the 
                administration of such programs;
          (4) the State will cooperate in carrying out any 
        evaluation of each such program conducted by or for the 
        Secretary or other Federal officials;
          (5) the State will use such fiscal control and fund 
        accounting procedures as will ensure proper 
        disbursement of, and accounting for, Federal funds paid 
        to the State under each such program;
          (6) the State will--
                  (A) make reports to the Secretary as may be 
                necessary to enable the Secretary to perform 
                the Secretary's duties under each such program; 
                and
                  (B) maintain such records, provide such 
                information to the Secretary, and afford access 
                to the records as the Secretary may find 
                necessary to carry out the Secretary's duties; 
                and
          (7) before the plan or application was submitted to 
        the Secretary, the State has afforded a reasonable 
        opportunity for public comment on the plan or 
        application and has considered such comment.
  (b) GEPA Provision.--Section 441 of the General Education 
Provisions Act shall not apply to this part.

SEC. 6504. ADDITIONAL COORDINATION.

  (a) Additional Coordination.--In order to explore ways for 
State educational agencies to reduce administrative burdens and 
promote the coordination of the education services of this Act 
with other health and social service programs administered by 
such agencies, the Secretary is directed to seek agreements 
with other Federal agencies (including the Departments of 
Health and Human Services, Justice, Labor and Agriculture) for 
the purpose of establishing procedures and criteria under which 
a State educational agency would submit a consolidated State 
plan or consolidated State application that meets the 
requirements of the covered programs.
  (b) Report.--The Secretary shall report to the relevant 
committees of Congress not later than 6 months after the date 
of enactment of the Educational Opportunities Act.

SEC. 6505. CONSOLIDATED LOCAL PLANS OR APPLICATIONS.

  (a) General Authority.--A local educational agency receiving 
funds under more than one covered program may submit plans or 
applications to the State educational agency under such 
programs on a consolidated basis.
  (b) Required Consolidated Plans or Applications.--A State 
educational agency that has submitted and had approved a 
consolidated State plan or application under section 6502 may 
require local educational agencies in the State receiving funds 
under more than one program included in the consolidated State 
plan or consolidated State application to submit consolidated 
local plans or applications under such programs.
  (c) Collaboration.--A State educational agency shall 
collaborate with local educational agencies in the State in 
establishing procedures for the submission of the consolidated 
State plans or consolidated State applications under this 
section.
  (d) Necessary Materials.--The State educational agency shall 
require only descriptions, information, assurances, and other 
material that are absolutely necessary for the consideration of 
the local educational agency plan or application.

SEC. 6506. OTHER GENERAL ASSURANCES.

  (a) Assurances.--Any applicant other than a State educational 
agency that submits a plan or application under this Act, 
whether separately or pursuant to section 6504, shall have on 
file with the State educational agency a single set of 
assurances, applicable to each program for which a plan or 
application is submitted, that provides that--
          (1) each such program will be administered in 
        accordance with all applicable statutes, regulations, 
        program plans, and applications;
          (2)(A) the control of funds provided under each such 
        program and title to property acquired with program 
        funds will be in a public agency or in a nonprofit 
        private agency, institution, organization, or Indian 
        tribe, if the law authorizing the program provides for 
        assistance to such entities; and
          (B) the public agency, nonprofit private agency, 
        institution, or organization, or Indian tribe will 
        administer such funds and property to the extent 
        required by the authorizing statutes;
          (3) the applicant will adopt and use proper methods 
        of administering each such program, including--
                  (A) the enforcement of any obligations 
                imposed by law on agencies, institutions, 
                organizations, and other recipients responsible 
                for carrying out each program; and
                  (B) the correction of deficiencies in program 
                operations that are identified through audits, 
                monitoring, or evaluation;
          (4) the applicant will cooperate in carrying out any 
        evaluation of each such program conducted by or for the 
        State educational agency, the Secretary or other 
        Federal officials;
          (5) the applicant will use such fiscal control and 
        fund accounting procedures as will ensure proper 
        disbursement of, and accounting for, Federal funds paid 
        to such applicant under each such program;
          (6) the applicant will--
                  (A) make reports to the State educational 
                agency and the Secretary as may be necessary to 
                enable such agency and the Secretary to perform 
                their duties under each such program; and
                  (B) maintain such records, provide such 
                information, and afford access to the records 
                as the State educational agency or the 
                Secretary may find necessary to carry out the 
                State educational agency's or the Secretary's 
                duties; and
          (7) before the application was submitted, the 
        applicant afforded a reasonable opportunity for public 
        comment on the application and has considered such 
        comment.
  (b) GEPA Provision.--Section 442 of the General Education 
Provisions Act shall not apply to this part.

SEC. 6507. RELATIONSHIP OF STATE AND LOCAL PLANS TO OTHER PLANS.

  (a) State Plans.--Each State plan submitted under the 
following programs shall be integrated with each other and the 
State's improvement plan, if any, either approved or being 
developed, under Public Law 103-239, and the Carl D. Perkins 
Vocational and Technical Education Act of 1998:
          (1) Part A of title I (helping disadvantaged children 
        meet high standards).
          (2) Part C of title I (education of migratory 
        children).
          (3) Title II (professional development).
          (4) Title IV (safe and drug-free schools).
          (5) Part A of title VI (innovative education program 
        strategies).
          (6) Subpart 4 of part A of title IX (Indian 
        education).
  (b) Local Plans.--
          (1) In general.--Each local educational agency plan 
        submitted under the following programs shall be 
        integrated with each other:
                  (A) Part A of title I (helping disadvantaged 
                children meet high standards).
                  (B) Title II (professional development).
                  (C) Title IV (safe and drug-free schools).
                  (D) Part A of title VI (innovative education 
                program strategies).
                  (E) Subpart 1 of part A of title VII 
                (bilingual education).
                  (F) Part C of title VII (emergency immigrant 
                education).
                  (G) Subpart 4 of part A of title IX (Indian 
                education).
          (2) Plan of operation.--Each plan of operation 
        included in an application submitted by an eligible 
        entity under part B of title I (Even Start) shall be 
        consistent with, and promote the goals of the State 
        plan under section 1111 and the local educational 
        agency plan under section 1112.

                            PART F--WAIVERS

SEC. 6601. WAIVERS OF STATUTORY AND REGULATORY REQUIREMENTS.

  (a) In General.--Except as provided in subsection (c), the 
Secretary may waive any statutory or regulatory requirement of 
this Act for a State educational agency, local educational 
agency, Indian tribe, or school through a local educational 
agency, that--
          (1) receives funds under a program authorized by this 
        Act; and
          (2) requests a waiver under subsection (b).
  (b) Request for Waiver.--
          (1) In general.--A State educational agency, local 
        educational agency, or Indian tribe which desires a 
        waiver shall submit a waiver request to the Secretary 
        that--
                  (A) identifies the Federal programs affected 
                by such requested waiver;
                  (B) describes which Federal requirements are 
                to be waived and how the waiving of such 
                requirements will--
                          (i) increase the quality of 
                        instruction for students; or
                          (ii) improve the academic performance 
                        of students;
                  (C) if applicable, describes which similar 
                State and local requirements will be waived and 
                how the waiving of such requirements will 
                assist the local educational agencies, Indian 
                tribes or schools, as appropriate, to achieve 
                the objectives described in clauses (i) and 
                (ii) of subparagraph (B);
                  (D) describes specific, measurable 
                educational improvement goals and expected 
                outcomes for all affected students;
                  (E) describes the methods to be used to 
                measure progress in meeting such goals and 
                outcomes; and
                  (F) describes how schools will continue to 
                provide assistance to the same populations 
                served by programs for which waivers are 
                requested.
          (2) Additional information.--Such requests--
                  (A) may provide for waivers of requirements 
                applicable to State educational agencies, local 
                educational agencies, Indian tribes, and 
                schools; and
                  (B) shall be developed and submitted--
                          (i)(I) by local educational agencies 
                        (on behalf of such agencies and 
                        schools) to State educational agencies; 
                        and
                          (II) by State educational agencies 
                        (on behalf of, and based upon the 
                        requests of, local educational 
                        agencies) to the Secretary; or
                          (ii) by Indian tribes (on behalf of 
                        schools operated by such tribes) to the 
                        Secretary.
          (3) General requirements.--
                  (A) State educational agencies.--In the case 
                of a waiver request submitted by a State 
                educational agency acting in its own behalf, 
                the State educational agency shall--
                          (i) provide all interested local 
                        educational agencies in the State with 
                        notice and a reasonable opportunity to 
                        comment on the request;
                          (ii) submit the comments to the 
                        Secretary; and
                          (iii) provide notice and information 
                        to the public regarding the waiver 
                        request in the manner that the applying 
                        agency customarily provides similar 
                        notices and information to the public.
                  (B) Local educational agencies.--In the case 
                of a waiver request submitted by a local 
                educational agency that receives funds under 
                this Act--
                          (i) such request shall be reviewed by 
                        the State educational agency and be 
                        accompanied by the comments, if any, of 
                        such State educational agency; and
                          (ii) notice and information regarding 
                        the waiver request shall be provided to 
                        the public by the agency requesting the 
                        waiver in the manner that such agency 
                        customarily provides similar notices 
                        and information to the public.
  (c) Restrictions.--The Secretary shall not waive under this 
section any statutory or regulatory requirements relating to--
          (1) the allocation or distribution of funds to 
        States, local educational agencies, or other recipients 
        of funds under this Act;
          (2) maintenance of effort;
          (3) comparability of services;
          (4) use of Federal funds to supplement, not supplant, 
        non-Federal funds;
          (5) equitable participation of private school 
        students and teachers;
          (6) parental participation and involvement;
          (7) applicable civil rights requirements;
          (8) the requirement for a charter school under part D 
        of title V;
          (9) the prohibitions regarding--
                  (A) State aid in section 10102; or
                  (B) use of funds for religious worship or 
                instruction in section 10107; or
          (10) the selection of a school attendance area or 
        school under subsections (a) and (b) of section 1113, 
        except that the Secretary may grant a waiver to allow a 
        school attendance area or school to participate in 
        activities under part A of title I if the percentage of 
        children from low-income families in the school 
        attendance area of such school or who attend such 
        school is not less than 10 percentage points below the 
        lowest percentage of such children for any school 
        attendance area or school of the local educational 
        agency that meets the requirements of such subsections 
        (a) and (b).
  (d) Duration and Extension of Waiver.--
          (1) In general.--Except as provided in paragraph (2), 
        the duration of a waiver approved by the Secretary 
        under this section may be for a period not to exceed 
        three years.
          (2) Extension.--The Secretary may extend the period 
        described in paragraph (1) if the Secretary determines 
        that--
                  (A) the waiver has been effective in enabling 
                the State or affected recipients to carry out 
                the activities for which the waiver was 
                requested and the waiver has contributed to 
                improved student performance; and
                  (B) such extension is in the public interest.
  (e) Reports.--
          (1) Local waiver.--A local educational agency that 
        receives a waiver under this section shall at the end 
        of the second year for which a waiver is received under 
        this section, and each subsequent year, submit a report 
        to the State educational agency that--
                  (A) describes the uses of such waiver by such 
                agency or by schools;
                  (B) describes how schools continued to 
                provide assistance to the same populations 
                served by the programs for which waivers are 
                requested; and
                  (C) evaluates the progress of such agency and 
                of schools in improving the quality of 
                instruction or the academic performance of 
                students.
          (2) State waiver.--A State educational agency that 
        receives reports required under paragraph (1) shall 
        annually submit a report to the Secretary that is based 
        on such reports and contains such information as the 
        Secretary may require.
          (3) Indian tribe waiver.--An Indian tribe that 
        receives a waiver under this section shall annually 
        submit a report to the Secretary that--
                  (A) describes the uses of such waiver by 
                schools operated by such tribe; and
                  (B) evaluates the progress of such schools in 
                improving the quality of instruction or the 
                academic performance of students.
          (4) Report to congress.--Beginning in fiscal year 
        2001 and each subsequent year, the Secretary shall 
        submit to the Committee on Education and the Workforce 
        of the House of Representatives and the Committee on 
        Health, Education, Labor, and Pensions of the Senate a 
        report--
                  (A) summarizing the uses of waivers by State 
                educational agencies, local educational 
                agencies, Indian tribes, and schools; and
                  (B) describing whether such waivers--
                          (i) increased the quality of 
                        instruction to students; or
                          (ii) improved the academic 
                        performance of students.
  (f) Termination of Waivers.--The Secretary shall terminate a 
waiver under this section if the Secretary determines that the 
performance of the State or other recipient affected by the 
waiver has been inadequate to justify a continuation of the 
waiver or if the waiver is no longer necessary to achieve its 
original purposes.
  (g) Publication.--A notice of the Secretary's decision to 
grant each waiver under subsection (a) shall be published in 
the Federal Register and the Secretary shall provide for the 
dissemination of such notice to State educational agencies, 
interested parties, including educators, parents, students, 
advocacy and civil rights organizations, and the public.

               PART G--EDUCATION PERFORMANCE PARTNERSHIPS

SEC. 6701. SHORT TITLE.

  This part may be cited as the ``Education Performance 
Partnerships Act''.

SEC. 6702. PURPOSE.

  The purpose of this part is to create options for States and 
communities--
          (1) to improve the academic achievement of all 
        students, and to focus the resources of the Federal 
        Government on such achievement;
          (2) to give States and communities maximum 
        flexibility in determining how to boost academic 
        achievement and implement education reforms;
          (3) to hold States and communities accountable for 
        boosting the academic achievement of all students, 
        especially disadvantaged children;
          (4) to narrow achievement gaps between the lowest and 
        highest performing groups of students so that no child 
        is left behind;
          (5) to give States and local school districts maximum 
        flexibility to determine how to educate students in 
        return for standards of accountability that exceed the 
        requirements of existing Federal law.

SEC. 6703. PERFORMANCE PARTNERSHIP AGREEMENTS.

  (a) Agreement Authorized.--A State may, at the option of the 
State, execute a performance partnership agreement with the 
Secretary under which the provisions of law described in 
section 6704(a) shall not apply to such State except as 
otherwise provided in this part.
  (b) Determination of State Participation.--The Governor of a 
State, in consultation with the individual or body responsible 
for the education programs of the State under State law, shall 
determine whether the State shall participate in a performance 
partnership agreement.
  (c) Approval of Performance Partnership Agreement.--
          (1) In general.--A performance partnership agreement 
        submitted to the Secretary under this section shall be 
        approved by the Secretary unless the Secretary provides 
        a written notification, within 60 days after receiving 
        the performance partnership agreement, that identifies 
        areas of the agreement that do not comply with the 
        provisions of this part but that are subject to 
        negotiation under paragraph (2).
          (2) Negotiations.--
                  (A) In general.--Not later than 4 months 
                after the date on which a notification is 
                provided to a State under paragraph (1), the 
                Secretary shall complete negotiations with the 
                State concerning the areas of noncompliance 
                identified in the notification.
                  (B) Peer review.--If the Secretary and the 
                State do not complete negotiations within the 
                4-month period described in subparagraph (A), 
                the proposed performance partnership agreement 
                involved shall be subject to peer review, 
                except that such 4-month period may be extended 
                for an additional 30 days if the Secretary and 
                the State agree to such a continuance.
          (3) Resubmission.--A State may resubmit a performance 
        partnership agreement at any time after such agreement 
        is rejected by the Secretary. If the Secretary rejects 
        a performance partnership agreement, a State shall have 
        the opportunity to request peer review of the 
        rejection.
          (4) Peer review.--
                  (A) Establishment of committee.--The 
                Secretary shall establish a peer review 
                committee to conduct a review of a performance 
                partnership agreement as provided for under 
                paragraph (2)(B) or (3).
                  (B) Reviewers.--The committee shall be 
                composed of 7 members, of which--
                          (i) 2 members shall be appointed by 
                        the State submitting the agreement;
                          (ii) 2 members shall be appointed by 
                        the Secretary; and
                          (iii) 3 members shall be appointed by 
                        the National Academy of Sciences.
                  (C) Responsibilities.--The committee shall 
                review the agreement and, at the discretion of 
                the committee, conduct a site visit.
                  (D) Recommendations.--The committee shall 
                make advisory recommendations to the Secretary 
                and the State regarding the agreement, not 
                later than 60 days after receiving the 
                agreement.
                  (E) Decision.--
                          (i) In general.--Except as provided 
                        in clause (ii), not later than 30 days 
                        after receiving the recommendations, 
                        the Secretary shall decide whether to 
                        approve the agreement.
                          (ii) Continued negotiations.--
                        Negotiations on the agreement may 
                        continue for as long as the Secretary 
                        and the State agree.
  (d) Terms of Performance Partnership.--Each performance 
partnership agreement executed pursuant to this part shall meet 
the following requirements:
          (1) Term.--The agreement shall contain a statement 
        that the term of the performance partnership agreement 
        may be not more than 5 years.
          (2) Application of program requirements.--The 
        agreement shall state that no program requirements of 
        any program included in the performance partnership 
        agreement shall apply to activities carried out with 
        the program funds, except as otherwise provided in this 
        part.
          (3) List.--The agreement shall include a list, 
        provided by the State, of the programs that the State 
        wishes to include in the performance partnership 
        agreement.
          (4) Use of funds to improve student achievement.--The 
        agreement shall contain a 5-year plan describing how 
        the State intends to combine and use the funds from 
        programs included in the performance partnership 
        agreement to advance the education priorities of the 
        State, improve student achievement, and narrow 
        achievement gaps between groups of students.
          (5) Opportunity for public review and comment.--The 
        agreement shall include information that demonstrates 
        that the State has, as provided for under the laws of 
        the State, provided parents, teachers, and local 
        educational agencies with notice and an opportunity to 
        comment on a proposed performance partnership agreement 
        prior to the submission of such agreement to the 
        Secretary.
          (6) Accountability system requirements.--If the State 
        includes any program under part A of title I in the 
        performance partnership agreement the State shall 
        include a certification that--
                  (A)(i) the State has developed and 
                implemented the challenging State content 
                standards, challenging State student 
                performance standards, and aligned assessments 
                described in section 1111(b); or
                  (ii) the State has developed and implemented 
                a system to measure the degree of change from 1 
                school year to the next in student performance 
                on such aligned assessments;
                  (B) the State has established a system under 
                which assessment information obtained through 
                an assessment or measurement described in 
                subparagraph (A) is disaggregated by race, 
                ethnicity, English proficiency status, and 
                socioeconomic status for the State, each local 
                educational agency, and each school, except 
                that such disaggregation shall not be required 
                in cases in which--
                          (i) the number of students in any 
                        group that would result would be 
                        insufficient to yield statistically 
                        reliable information; or
                          (ii) the disaggregated information 
                        would reveal the identity of an 
                        individual student;
                  (C) the State has established specific, 
                measurable, student performance objectives for 
                determining adequate yearly progress (referred 
                to in this part as ``performance objectives''), 
                including--
                          (i) a definition of performance 
                        considered to be adequate and 
                        inadequate bythe State on the 
assessment or measurement instruments described in subparagraph (A) 
(and (B)), for all students; and
                          (ii) the objective of improving the 
                        performance of all student groups and 
                        narrowing gaps in achievement between 
                        the lowest and highest performing 
                        students; and
                  (D) the State has developed and implemented a 
                statewide system for holding local educational 
                agencies and schools in the State accountable 
                for student performance on the performance 
                objectives that includes--
                          (i) a procedure for identifying local 
                        educational agencies and schools in 
                        need of improvement;
                          (ii) a procedure for assisting and 
                        building capacity in local educational 
                        agencies and schools identified as 
                        needing improvement, to improve 
                        teaching and learning; and
                          (iii) a procedure for implementing 
                        corrective actions if the provision of 
                        assistance and capacity building 
                        described in clause (ii) is not 
                        effective.
          (7) Performance goals.--
                  (A) Student achievement data.--Each State 
                shall establish, and include in the agreement, 
                student performance goals for the 5-year term 
                of the agreement that, at a minimum--
                          (i) establish a single high standard 
                        of performance for all students;
                          (ii) take into account the progress 
                        of students from every local 
                        educational agency and school in the 
                        State participating in a program 
                        subject to the performance partnership 
                        agreement;
                          (iii) measure changes in the 
                        percentages of students at selected 
                        grade levels meeting specified 
                        proficiency levels of achievement 
                        (established by the State) in each year 
                        of the performance partnership 
                        agreement, compared to such percentages 
                        in the baseline year (as described in 
                        subparagraph (C));
                          (iv) set annual goals for improving 
                        the performance of each group specified 
                        in paragraph (6)(B) and for narrowing 
                        gaps in performance between the highest 
                        and lowest performing students in 
                        accordance with section 6710(b); and
                          (v) require all students served by a 
                        local educational agency or school in 
                        the State participating in a program 
                        subject to the performance partnership 
                        agreement to make substantial gains in 
                        achievement.
                  (B) Additional performance indicators.--A 
                State may identify in the performance 
                partnership agreement any additional 
                performance indicator such as graduation, 
                dropout, or attendance rates.
                  (C) Baseline performance data.--To determine 
                the percentages of students at selected grade 
                levels meeting specified proficiency levels of 
                achievement for the baseline year, the State 
                shall use the most recent achievement data 
                available on the date on which the State and 
                the Secretary execute the performance 
                partnership agreement.
                  (D) Consistency of performance measures.--A 
                State shall maintain, at a minimum, the same 
                challenging State student performance 
                standards, and consistent aligned assessments 
                or measures, as specified in the performance 
                partnership agreement involved, throughout the 
                term of the agreement.
          (8) Annual report.--The agreement shall include an 
        assurance that not later than 2 years after the date of 
        the execution of the performance partnership agreement, 
        and annually thereafter, the State shall disseminate 
        widely to the general public, submit to the Secretary, 
        distribute to print and broadcast media, and post on 
        the Internet, a report that includes--
                  (A) student performance data obtained through 
                an assessment or measurement conducted under 
                paragraph (6)(A), disaggregated as provided in 
                paragraph (6)(B); and
                  (B) a detailed description of how the State 
                has used Federal funds to improve student 
                performance and reduce achievement gaps to meet 
                the terms of the performance partnership 
                agreement.
          (9) Compliance.--The agreement shall include an 
        assurance that the State educational agency was in 
        compliance with the requirements of this Act as such 
        Act was in effect on the date of enactment of this 
        part.
          (10) Alignment with reform plan.--The agreement shall 
        contain an assurance that the plan described in 
        paragraph (4) is aligned with the State's reform plan 
        for elementary and secondary education.
          (11) Fiscal responsibilities.--The agreement shall 
        include an assurance that the State will use fiscal 
        control and fund accounting procedures that will ensure 
        proper disbursements of, and accounting for, Federal 
        funds provided to the State under this part.
          (12) Implementation schedule.--The agreement shall 
        include a schedule for implementation of the plan 
        described in paragraph (4) that aligns the plan with 
        the school calendar for elementary schools and 
        secondary schools in the State.
          (13) Timeline for reporting student performance 
        data.--The agreement shall contain a timeline for 
        reporting student performance data obtained through an 
        assessment or measurement conducted under paragraph 
        (6)(A), based on the State's assessment schedule.
  (e) Amendment to Performance Partnership Agreement.--
          (1) In general.--The State may modify the terms of 
        the performance partnership agreement--
                  (A) by submitting to the Secretary, and 
                obtaining the approval of the Secretary on, an 
                amendment described in paragraph (2); or
                  (B) by providing notice to the Secretary of 
                the State's intent to make an amendment 
                described in paragraph (3).
          (2) Amendments requiring approval of secretary.--
                  (A) Withdrawal of programs.--A State may 
                submit to the Secretary an amendment that 
                withdraws a program described in section 
                6704(a) from the performance partnership 
                agreement. If the Secretary approves the 
                amendment, the requirements of applicable law 
                shall apply for the program withdrawn.
                  (B) Inclusion of programs.--A State may 
                submit to the Secretary an amendment that 
                includes an additional program described in 
                section 6704(a) in the performance partnership 
                agreement.
                  (C) Inclusion of performance objectives.--A 
                State may submit to the Secretary an amendment 
                that includes in the agreementan additional 
performance objective for which local educational agencies and schools 
in the State will be held accountable.
          (3) Amendments not requiring approval of secretary.--
        A State, in the discretion of the State, may amend the 
        performance partnership agreement to modify any term of 
        the agreement other than a term described in paragraph 
        (2) or subsection (d)(7)(D).

SEC. 6704. TREATMENT OF ELIGIBLE PROGRAMS UNDER AGREEMENTS.

  (a) Eligible Programs.--The programs that may be included in 
a performance partnership agreement under this part are the 
programs authorized under the following provisions of law:
          (1) Part A of title I.
          (2) Part B of title I.
          (3) Part C of title I.
          (4) Section 1502.
          (5) Subparts 1, 2, and 3 of part A of title II.
          (6) Part B of title III.
          (7) Section 5132.
          (8) Title VI.
          (9) Part C of title VII.
          (10) Any other provision of this Act that is not in 
        effect on the date of enactment of the Educational 
        Opportunities Act under which the Secretary provides 
        grants to States on the basis of a formula.
          (11) Section 310 of the Department of Education 
        Appropriations Act, 2000.
          (12) Title III of the Goals 2000: Educate America 
        Act.
          (13) Subtitle B of title VII of the Stewart B. 
        McKinney Homeless Assistance Act.
  (b) Excluded Provisions.--Each State entering into a 
performance partnership agreement under this part shall comply 
with any statutory or regulatory requirement applicable to a 
program described in subsection (a) relating to--
          (1) maintenance of effort;
          (2) comparability of services;
          (3) equitable participation of students and 
        professional staff of private schools;
          (4) parental participation and involvement;
          (5) in the case of a program carried out under part A 
        of title I, the serving of eligible school attendance 
        areas in rank order under section 1113(a)(3);
          (6) in the case of a program carried out under part A 
        of title I, the selection of a school attendance area 
        or school under subsections (a) and (b) of section 
        1113, except that a State may grant a waiver to allow a 
        school attendance area or school to participate in 
        activities under part A of title I of such Act if the 
        percentage of children from low-income families (within 
        the meaning of section 6303(c)(1)(G)) in the school 
        attendance area of such school or who attend such 
        school is not less than 10 percentage points below the 
        lowest percentage of such children for any school 
        attendance area or school served by the local 
        educational agency that meets the requirements of such 
        subsections (a) and (b);
          (7) use of Federal funds to supplement, not supplant, 
        non-Federal funds; and
          (8) applicable civil rights requirements.
  (c) Combination of Funds Under Agreement.--A State that 
includes programs described in subsection (a) in a partnership 
performance agreement may combine funds from any or all of the 
programs without regard to the program requirements of the 
programs, except--
          (1) as otherwise provided in this part; and
          (2) that formulas for the program for the allotment 
        of Federal funds to States shall remain in effect 
        except as otherwise provided in Federal law.
  (d) Uses of Funds Under Agreement.--Funds made available to a 
State under this part shall be used for educational purposes, 
including--
          (1) carrying out activities focused on improved 
        student learning;
          (2) providing new books;
          (3) providing additional technology;
          (4) promoting high standards and conducting 
        assessments;
          (5) conducting teacher hiring and making improvements 
        in the quality of teaching;
          (6) reducing class sizes;
          (7) operating alternative schools;
          (8) constructing schools;
          (9) supporting special education;
          (10) operating charter schools;
          (11) promoting character education;
          (12) conducting dropout prevention activities; and
          (13) providing tutoring and remedial help for 
        struggling students.

SEC. 6705. LOCAL PARTICIPATION IN AGREEMENTS.

  (a) Nonparticipating State.--
          (1) In general.--If a State chooses not to submit a 
        performance partnership agreement under this part, any 
        local educational agency in such State is eligible, at 
        the option of the agency, to submit to the Secretary a 
        performance partnership agreement in accordance with 
        this section.
          (2) Agreement.--The terms of a performance 
        partnership agreement between an eligible local 
        educational agency described in this subsection and the 
        Secretary shall specify the programs to be included in 
        the performance partnership agreement, as agreed upon 
        by the State and the agency, from the list specified in 
        section 6704(a).
  (b) State Approval.--In submitting a performance partnership 
agreement to the Secretary, the eligible local educational 
agency shall provide written documentation from the State in 
which such agency is located that the State has no objection to 
the local educational agency's proposal for a performance 
partnership agreement.
  (c) Application.--
          (1) In general.--Except as provided in this section, 
        and to the extent practicable, the requirements of this 
        part shall apply to an eligible local educational 
        agency that submits a performance partnership agreement 
        in the same manner and to the same extent as the 
        requirements apply to a State that submits such an 
        agreement.
          (2) Exceptions.--Sections 6706 (other than section 
        6706(b)) and 6707 (other than section 6707(d)) shall 
        not apply to the eligible local educational agency.

SEC. 6706. WITHIN STATE DISTRIBUTION OF FUNDS.

  (a) In General.--A State that enters into a performance 
partnership agreement with respect to programs shall distribute 
the funds from the programs to local educational agencies 
within the State on the basis of the constitutional and 
statutory requirements of the State.
  (b) Targeting for Programs Under Part A of Title I.--If a 
State includes programs carried out under part A of title I in 
the performance partnership agreement, sections 1113, 1124, 
1124A, 1125, 1125A, 1126, and 1127 shall apply under the 
agreement, except as provided for under part C.

SEC. 6707. STATE ADMINISTRATIVE EXPENDITURES.

  (a) Part A Program in Agreement.--A State that includes 
programs carried out under title I in the State's performance 
partnership agreement may use not more than 1 percent of the 
total amount of funds allotted to such State under such 
programs (as part of the performance partnership agreement) for 
administrative purposes.
  (b) Other Programs in Agreement.--
          (1) In general.--With respect to programs included in 
        the performance partnership agreement of the State 
        other than programs carried out under title I, the 
        State may use for administrative purposes, from the 
        total amount of funds allotted to such State under such 
        non-title I programs (as part of the performance 
        partnership agreement)--
                  (A) for the first school year for which the 
                agreement is in effect, not more than the total 
                amount provided for administration under the 
                programs for the preceding school year;
                  (B) for the second such school year, not more 
                than 5 percent, plus 75 percent of the covered 
                reduction, of the total amount of funds 
                allotted;
                  (C) for the third such school year, not more 
                than 5 percent, plus 50 percent of the covered 
                reduction, of the total amount of funds 
                allotted;
                  (D) for the fourth such school year, not more 
                than 5 percent, plus 25 percent of the covered 
                reduction, of the total amount of funds 
                allotted; and
                  (E) for the fifth such school year, not more 
                than 5 percent of the total amount of funds 
                allotted.
          (2) Exception.--Notwithstanding paragraph (1), a 
        State may use not more than 7 percent of the total 
        amount of funds allotted to such State under such non-
        title I programs (as part of the performance 
        partnership agreement) for administrative and 
        nonadministrative expenses associated with statewide or 
        districtwide initiatives directly affecting classroom 
        learning.
          (3) Definition.--In this subsection, the term 
        ``covered reduction'' means the amount obtained by 
        subtracting--
                  (A) 5 percent of the total amount of funds 
                allotted to the State under the programs 
                included in the agreement; from
                  (B) the total amount described in paragraph 
                (1)(A).
  (c) Renewal of Agreement.--Upon the renewal of the 
performance partnership agreement of a State for a subsequent 
term, the State may use not more than 5 percent of the total 
amount of funds allotted to such State under the programs 
included in the performance partnership agreement for 
administrative purposes.
  (d) Local Educational Agency.--A local educational agency 
submitting a performance partnership agreement under this part 
may use not more than 5 percent of the total amount of funds 
allotted to such agency under the programs included in the 
performance partnership agreement for administrative purposes.

SEC. 6708. PERFORMANCE REVIEW.

  (a) Recommendations for Improvement.--
          (1) Review.--At the end of the third year for which a 
        performance partnership agreement is in effect for a 
        State, the Secretary shall prepare a written 
        performance review of the activities carried out under 
        the agreement.
          (2) Recommendations.--
                  (A) In general.--If the Secretary determines, 
                in the performance review that--
                          (i) the State has failed to carry out 
                        the requirements of the agreement;
                          (ii) the State has failed to 
                        implement the State accountability 
                        system described in section 
                        6703(d)(6)(D); or
                          (iii) the State has failed to make 
                        adequate progress in improving student 
                        performance, as measured through 
                        performance objectives,
                the Secretary shall include in the review 
                written recommendations to the State for 
                improvement.
                  (B) Significant decline in achievement.--If 
                the Secretary determines, in the performance 
                review, that student achievement with respect 
                to the performance objectives of the State has 
                significantly declined, the Secretary shall, 
                after notice and an opportunity for a hearing, 
                terminate the agreement. Such agreement shall 
                not be terminated if the State demonstrates to 
                the Secretary that the decline in student 
                achievement was justified based on exceptional 
                circumstances or circumstances beyond the 
                control of the State.
  (b) Withholding of Funds or Termination of Agreement.--
          (1) Review.--If the Secretary makes a determination 
        described in subsection (a)(2) in the performance 
        review for a State, not later than 1 year after the 
        date of the determination the Secretary shall prepare a 
        second written performance review for the State of the 
        activities described in subsection (a)(1).
          (2) Action.--If the Secretary makes a determination 
        described in subsection (a)(2) in the second 
        performance review for a State, the Secretary may take 
        1 or more of the following actions:
                  (A) Withhold a percentage of State 
                administrative funds for programs included in 
                the performance partnership agreement.
                  (B) Terminate the performance partnership 
                agreement.

SEC. 6709. RENEWAL OF PERFORMANCE PARTNERSHIP AGREEMENT.

  (a) Notification.--A State that wishes to renew a performance 
partnership agreement shall notify the Secretary not later than 
6 months before the end of the 5-year term of the agreement.
  (b) Renewal Requirements.--The Secretary shall renew the 
agreement for an additional 5-year term, if--
          (1) at the end of the 5-year term described in 
        subsection (a), or as soon after the term as is 
        practicable, the State submits the data required under 
        the agreement; and
          (2) the Secretary determines, on the basis of the 
        data, that the State that has made substantial progress 
        toward meeting the performance goals described in 
        section 6703(d)(7) during the 5-year term.

SEC. 6710. CLOSING THE ACHIEVEMENT GAP BONUS AWARDS.

  (a) In General.--The Secretary shall provide bonus awards to 
eligible States (without regard to whether the States 
participate in a performance partnership agreement) to reward 
such States for making significant progress in eliminating 
achievement gaps by raising the achievement levels of the 
lowest performing student groups.
  (b) Eligibility.--
          (1) In general.--To be eligible to receive a bonus 
        award under subsection (a), a State shall--
                  (A) use National Assessment of Educational 
                Progress tests for the 4th and 8th grade levels 
                or another non-State auditing device to measure 
                (with a statistically significant sample of 
                students) student academic progress for 
                purposes of determining the progress made by 
                the State in narrowing the achievement gap 
                between the highest and lowest performing 
                students in the State; and
                  (B) exceed the national average for reducing 
                the achievement gap between the lowest 
                performing students and the highest performing 
                students in at least 3 of the 4 measured 
                categories (math and English at both the 4th 
                and 8th grade levels).
          (2) Determination of reduction.--If, at the end of 
        the fifth academic year that begins after performance 
        partnerships are entered into under this part, the 
        Secretary determines that the achievement gap between 
        the lowest performing students and the highest 
        performing students in a State has decreased (as 
        determined under subsection (c)(2)) by a percentage 
        that exceeds the national average for such reduction 
        (as determined under subsection (c)(1)), the Secretary 
        shall award the State the amount described in 
        subsection (e).
  (c) Determining the Reduction in Achievement Gap.--
          (1) National average.--
                  (A) In general.--For purposes of determining 
                the national average reduction in the 
                achievement gap between the lowest performing 
                students and the highest performing students, 
                the Secretary shall compare the baseline and 
                final levels of achievement (as determined 
                under subparagraphs (B) and (C)) of--
                          (i) all those students eligible for 
                        free and reduced-price lunches under 
                        the Richard B. Russell National School 
                        Lunch Act in the States described in 
                        such subparagraphs; and
                          (ii) all other students not described 
                        in subparagraph (A) in the States 
                        described in such subparagraphs;
                in each of the 4 measured categories described 
                in subsection (b)(1)(B).
                  (B) Baseline level.--For purposes of 
                subparagraph (A), the baseline level of 
                achievement shall be based on the results of 
                the National Assessment of Educational Progress 
                tests of 4th and 8th grade students in both 
                math and reading during the 2001-2002 academic 
                year for all States administering such tests, 
                or the results on another non-State auditing 
                device during the academic year.
                  (C) Final level.--For purposes of 
                subparagraph (A), the final level of 
                achievement shall be based on the results of 
                the National Assessment of Educational Progress 
                tests of 4th and 8th grade students in both 
                math and reading for all States administering 
                such tests during the fifth academic year in 
                which performance partnerships are entered into 
                under this part, or the results of another non-
                State auditing device during the calendar year.
          (2) State reductions.--
                  (A) In general.--For purposes of determining 
                the State reduction in the achievement gap 
                between the lowest performing students and the 
                highest performing students, the Secretary 
                shall compare the baseline and final levels of 
                achievement (as determined under subparagraphs 
                (B) and (C)) of--
                          (i) those students in the State who 
                        are eligible for free and reduced-price 
                        lunches under the Richard B. Russell 
                        National School Lunch Act; and
                          (ii) other students in the State not 
                        described in subparagraph (A);
                in each of the 4 measured categories described 
                in subsection (b)(1)(B).
                  (B) Baseline level.--For purposes of 
                subparagraph (A), the baseline level of 
                achievement shall be based on the results of 
                the National Assessment of Educational Progress 
                tests of 4th and 8th grade students in both 
                math and reading during the 2001-2002 academic 
                year for the State, or the results on another 
                non-State auditing device during the academic 
                year.
                  (C) Final level.--For purposes of 
                subparagraph (A), the final level of 
                achievement shall be based on the results of 
                the National Assessment of Educational Progress 
                tests of 4th and 8th grade students in both 
                math and reading for the State during the fifth 
                academic year in which performance partnerships 
                are entered into under this part, or the 
                results on another non-State auditing device 
                during the academic year.
          (3) Limitation.--A reduction in the achievement gap 
        between the lowest performing students and the highest 
        performing students that results from a reduction in 
        the achievement levels of the highest performing 
        students shall not be considered a reduction for 
        purposes of this subsection.
  (d) Review.--The Secretary shall review the improvement that 
the State has made in closing the achievement gap, as measured 
on State assessments.
  (e) Amount of Award.--
          (1) In general.--The amount described in this 
        subsection with respect to a State described 
insubsection (b)(2) shall be an amount that bears the same relationship 
to the amount appropriated under subsection (f) as the number of 
eligible individuals in the State bears to the total number of eligible 
individuals in all such States.
          (2) Eligible individuals.--In paragraph (1), the term 
        ``eligible individuals'' means individuals who are at 
        least 5 years of age, but less than 17 years of age, 
        and whose family income is below the poverty line 
        applicable to a family of the size.
          (3) Poverty line.--In paragraph (2), the term 
        ``poverty line'' has the meaning given such term in 
        section 673(2) of the Community Services Block Grant 
        Act, including any revision required by such section.
  (f) Authorization of Appropriations.--There shall be 
appropriated $2,500,000,000 for the fifth full fiscal year for 
which performance partnership agreements are entered into under 
this part to carry out this section.

SEC. 6711. PERFORMANCE REPORT.

  Not later than 60 days after the Secretary receives an annual 
State report described in section 6703(d)(8), the Secretary 
shall make the report available to the Committee on Education 
and the Workforce of the House of Representatives and the 
Committee on Health, Education, Labor, and Pensions of the 
Senate.

           PART H--ACADEMIC ACHIEVEMENT FOR ALL DEMONSTRATION

SEC. 6801. SHORT TITLE.

  This part may be cited as the ``Academic Achievement for All 
Demonstration Act (Straight A's Act)''.

SEC. 6802. PURPOSE.

  The purpose of this part is to create options for States and 
communities--
          (1) to improve the academic achievement of all 
        students, and to focus the resources of the Federal 
        Government upon such achievement;
          (2) to improve teacher quality and subject matter 
        mastery, especially in mathematics, reading, and 
        science;
          (3) to empower parents and schools to effectively 
        address the needs of their children and students;
          (4) to give States and communities maximum freedom in 
        determining how to boost academic achievement and 
        implement education reforms;
          (5) to eliminate Federal barriers to implementing 
        effective State and local education programs;
          (6) to hold States and communities accountable for 
        boosting the academic achievement of all students, 
        especially disadvantaged children; and
          (7) to narrow achievement gaps between the lowest and 
        highest performing groups of students so that no child 
        is left behind.

SEC. 6803. PERFORMANCE AGREEMENT.

  (a) Program Authorized.--Not more than 15 States may, at 
their option, execute a performance agreement with the 
Secretary under which the provisions of law described in 
section 6804(a) shall not apply to such State except as 
otherwise provided in this part. The Secretary shall execute 
performance partnership agreements with the first 15 States 
that submit approvable performance agreements under this 
section.
  (b) Local Input.--States shall provide parents, teachers, and 
local schools and school districts notice and opportunity to 
comment on any proposed performance agreement prior to 
submission to the Secretary as provided under general State law 
notice and comment provisions.
  (c) Approval of Performance Agreement.--A performance 
agreement submitted to the Secretary under this section shall 
be considered as approved by the Secretary within 60 days after 
receipt of the performance agreement unless the Secretary 
provides a written determination to the State that the 
performance agreement fails to satisfy the requirements of this 
part before the expiration of the 60-day period.
  (d) Terms of Performance Agreement.--Each performance 
agreement executed pursuant to this part shall include the 
following provisions:
          (1) Term.--A statement that the term of the 
        performance agreement shall be 5 years.
          (2) Application of program requirements.--A statement 
        that no program requirements of any program included by 
        the State in the performance agreement shall apply, 
        except as otherwise provided in this part.
          (3) List.--A list provided by the State of the 
        programs that the State wishes to include in the 
        performance agreement.
          (4) Use of funds to improve student achievement.--A 
        5-year plan describing how the State intends to combine 
        and use the funds from programs included in the 
        performance agreement to advance the education 
        priorities of the State, improve student achievement, 
        and narrow achievement gaps between students.
          (5) Accountability requirements.--If a State includes 
        any part of title I in its performance agreement, the 
        State shall include a certification that the State has 
        done the following:
                  (A)(i) developed and implemented the 
                challenging State content standards, 
                challenging State student performance 
                standards, and aligned assessments described in 
                section 1111(b); or
                  (ii) developed and implemented a system to 
                measure the degree of change from one school 
                year to the next in student performance;
                  (B) developed and is implementing a statewide 
                accountability system that has been or is 
                reasonably expected to be effective in 
                substantially increasing the numbers and 
                percentages of all students who meet the 
                State's proficient and advanced levels of 
                performance;
                  (C) established a system under which 
                assessment information may be disaggregated 
                within each State, local educational agency, 
                and school by each major racial and ethnic 
                group, gender, English proficiency status, 
                migrant status, and by economically 
                disadvantaged students as compared to students 
                who are not economically disadvantaged (except 
                that such disaggregation shall not be required 
                in cases in which the number of students in any 
                such group is insufficient to yield 
                statistically reliable information or will 
                reveal the identity of an individual student);
                  (D) established specific, measurable, 
                numerical performance objectives for student 
                achievement, including a definition of 
                performance considered to be proficient by the 
                State on the academic assessment instruments 
                described under subparagraph (A);
                  (E) developed and implemented a statewide 
                system for holding its local educational 
                agencies and schools accountable for student 
                performance that includes--
                          (i) a procedure for identifying local 
                        educational agencies and schools in 
                        need of improvement, using the 
                        assessments described under 
                        subparagraph (A);
                          (ii) assisting and building capacity 
                        in local educational agencies and 
                        schools identified as in need of 
                        improvement to improve teaching and 
                        learning; and
                          (iii) implementing corrective actions 
                        after not more than 3 years if the 
                        assistance and capacity building under 
                        clause (ii) is not effective.
          (6) Performance goals.--
                  (A) Student academic achievement.--Each State 
                that includes part A of title I in its 
                performance agreement shall establish annual 
                student performance goals for the 5-year term 
                of the performance agreement that, at a 
                minimum--
                          (i) establish a single high standard 
                        of performance for all students;
                          (ii) take into account the progress 
                        of students from every local 
                        educational agency and school in the 
                        State;
                          (iii) are based primarily on the 
                        State's challenging content and student 
                        performance standards and assessments 
                        described under paragraph (5);
                          (iv) include specific annual 
                        improvement goals in each subject and 
                        grade included in the State assessment 
                        system, which shall include, at a 
                        minimum, reading or language arts and 
                        mathematics;
                          (v) compares the proportions of 
                        students at levels of performance (as 
                        defined by the State) with the 
                        proportions of students at the levels 
                        in the same grade in the previous 
                        school year;
                          (vi) includes annual numerical goals 
                        for improving the performance of each 
                        group specified in paragraph (5)(C) and 
                        narrowing gaps in performance between 
                        the highest and lowest performing 
                        students in accordance with section 
                        6810(b); and
                          (vii) requires all students in the 
                        State to make substantial gains in 
                        achievement.
                  (B) Additional indicators of performance.--A 
                State may identify in the performance agreement 
                any additional indicators of performance such 
                as graduation, dropout, or attendance rates.
                  (C) Consistency of performance measures.--A 
                State shall maintain, at a minimum, the same 
                level of challenging State student performance 
                standards and assessments throughout the term 
                of the performance agreement.
          (7) Fiscal responsibilities.--An assurance that the 
        State will use fiscal control and fund accounting 
        procedures that will ensure proper disbursement of, and 
        accounting for, Federal funds paid to the State under 
        this part.
          (8) Civil rights.--An assurance that the State will 
        meet the requirements of applicable Federal civil 
        rights laws.
          (9) Private school participation.--
                  (A) Equitable participation.--An assurance 
                that the State will provide for the equitable 
                participation of students and professional 
                staff in private schools.
                  (B) Application of bypass.--An assurance that 
                sections 10104, 10105, and 10106 shall apply to 
                all services and assistance provided under this 
                part in the same manner as such sections apply 
                to services and assistance provided in 
                accordance with section 10103 of such Act.
          (10) State financial participation.--An assurance 
        that the State will not reduce the level of spending of 
        State funds for elementary and secondary education 
        during the term of the performance agreement.
          (11) Annual reports.--An assurance that not later 
        than 1 year after the execution of the performance 
        agreement, and annually thereafter, each State shall 
        disseminate widely to parents and the general public, 
        submit to the Secretary, distribute to print and 
        broadcast media, and post on the Internet, a report 
        that includes--
                  (A) student academic performance data, 
                disaggregated as provided in paragraph (5)(C); 
                and
                  (B) a detailed description of how the State 
                has used Federal funds to improve student 
                academic performance and reduce achievement 
                gaps to meet the terms of the performance 
                agreement.
  (e) Special Rules.--If a State does not include part A of 
title I in its performance agreement, the State shall--
          (1) certify that the State developed a system to 
        measure the academic performance of all students; and
          (2) establish challenging academic performance goals 
        for such other programs in accordance with paragraph 
        (6)(A) of subsection (d), except that clause (vi) of 
        such paragraph shall not apply to such performance 
        agreement.
  (f) Amendment to Performance Agreement.--A State may submit 
an amendment to the performance agreement to the Secretary 
under the following circumstances:
          (1) Reduce scope of performance agreement.--Not later 
        than 1 year after the execution of the performance 
        agreement, a State may amend the performance agreement 
        through a request to withdraw a program from such 
        agreement. If the Secretary approves the amendment, the 
        requirements of existing law shall apply for any 
        program withdrawn from the performance agreement.
          (2) Expand scope of performance agreement.--Not later 
        than 1 year after the execution of the performance 
        agreement, a State may amend its performance agreement 
        to include additional programs and performance 
        indicators for which the State will be held 
        accountable.
          (3) Approval of amendment.--An amendment submitted to 
        the Secretary under this subsection shall be considered 
        as approved by the Secretary within 60 days after 
        receipt of the amendment unless the Secretary provides 
        a written determination to the State that the 
        performance agreement if amended by the amendment will 
        fail to satisfy the requirements of this part, before 
        the expiration of the 60-day period.
  (g) Dual Participation Prohibited.--A State or local 
educational agency shall not enter into an agreement under both 
this part and part G. A local educational agency shall not 
enter into an agreement under this part or part G if the State 
in which the local educational agency is located has entered 
into an agreement under part G or this part, respectively.

SEC. 6804. ELIGIBLE PROGRAMS.

  (a) Eligible Programs.--The provisions of law referred to in 
section 6803(a) except as otherwise provided in subsection (b), 
are as follows:
          (1) Part A of title I.
          (2) Part B of title I.
          (3) Part C of title I.
          (4) Subparts 1, 2, and 3 of part A of title II.
          (5) Part B of title III.
          (6) Section 5132.
          (7) Title VI.
          (8) Part C of title VII.
          (9) Section 307 of the Department of Education 
        Appropriation Act of 1999.
          (10) Comprehensive school reform programs as 
        authorized under section 1502 and described on pages 
        96-99 of the Joint Explanatory Statement of the 
        Committee of Conference included in House Report 105-
        390 (Conference Report on the Departments of Labor, 
        Health and Human Services, and Education, and Related 
        Agencies Appropriations Act, 1998).
          (11) Sections 115 and 116, and parts B and C of title 
        I of the Carl D. Perkins Vocational Technical Education 
        Act.
          (12) Subtitle B of title VII of the Stewart B. 
        McKinney Homeless Assistance Act.
  (b) Allocations to States.--A State may choose to consolidate 
funds from any or all of the programs described in subsection 
(a) without regard to the program requirements of the 
provisions referred to in such subsection, except that the 
proportion of funds made available for national programs and 
allocations to each State for State and local use, under such 
provisions, shall remain in effect unless otherwise provided.
  (c) Uses of Funds.--Funds made available under this part to a 
State shall be used for any elementary and secondary 
educational purposes permitted by State law of the 
participating State.

SEC. 6805. WITHIN-STATE DISTRIBUTION OF FUNDS.

  (a) In General.--The distribution of funds from programs 
included in a performance agreement from a State to a local 
educational agency within the State shall be determined by the 
Governor of the State and the State legislature. In a State in 
which the constitution or State law designates another 
individual, entity, or agency to be responsible for education, 
the allocation of funds from programs included in the 
performance agreement from a State to a local educational 
agency within the State shall be determined by that individual, 
entity, or agency, in consultation with the Governor and State 
Legislature. Nothing in this section shall be construed to 
supersede or modify any provision of a State constitution or 
State law.
  (b) Local Input.--States shall provide parents, teachers, and 
local schools and school districts notice and opportunity to 
comment on the proposed allocation of funds as provided under 
general State law notice and comment provisions.
  (c) Local Hold Harmless of Part A Title 1 Funds.--
          (1) In general.--In the case of a State that includes 
        part A of title I in the performance agreement, the 
        agreement shall provide an assurance that each local 
        educational agency shall receive under the performance 
        agreement an amount equal to or greater than the amount 
        such agency received under part A of title I in the 
        fiscal year preceding the fiscal year in which the 
        performance agreement is executed.
          (2) Proportionate reduction.--If the amount made 
        available to the State from the Secretary for a fiscal 
        year is insufficient to pay to each local educational 
        agency the amount made available under part A of title 
        I to such agency for the preceding fiscal year, the 
        State shall reduce the amount each local educational 
        agency receives by a uniform percentage.

SEC. 6806. LOCAL PARTICIPATION.

  (a) Nonparticipating State.--
          (1) In general.--If a State chooses not to submit a 
        performance agreement under this part, any local 
        educational agency in such State is eligible, at the 
        local educational agency's option, to submit to the 
        Secretary a performance agreement in accordance with 
        this section.
          (2) Agreement.--The terms of a performance agreement 
        between an eligible local educational agency and the 
        Secretary shall specify the programs to be included in 
        the performance agreement, as agreed upon by the State 
        and the agency, from the list under section 6804(a).
  (b) State Approval.--When submitting a performance agreement 
to the Secretary, an eligible local educational agency 
described in subsection (a) shall provide written documentation 
from the State in which such agency is located that the State 
has no objection to the agency's proposal for a performance 
agreement.
  (c) Application.--
          (1) In general.--Except as provided in this section, 
        and to the extent applicable, the requirements of this 
        part shall apply to an eligible local educational 
        agency that submits a performance agreement in the same 
        manner as the requirements apply to a State.
          (2) Exceptions.--The following provisions shall not 
        apply to an eligible local educational agency:
                  (A) Within state distribution formula not 
                applicable.--The distribution of funds under 
                section 6805 shall not apply.
                  (B) State set aside shall not apply.--The 
                State set aside for administrative funds under 
                section 6807 shall not apply.

SEC. 6807. LIMITATIONS ON STATE AND LOCAL EDUCATIONAL AGENCY 
                    ADMINISTRATIVE EXPENDITURES.

  (a) In General.--Except as otherwise provided under 
subsection (b), a State that includes part A of title I in the 
performance agreement may use not more than 1 percent of such 
total amount of funds allocated to such State under the 
programs included in the performance agreement for 
administrative purposes.
  (b) Exception.--A State that does not include part A of title 
I in the performance agreement may use not more than 3 percent 
of the total amount of funds allocated to such State under the 
programs included in the performance agreement for 
administrative purposes.
  (c) Local Educational Agency.--A local educational agency 
participating in this part under a performance agreement under 
section 6806 may not use for administrative purposes more than 
4 percent of the total amount of funds allocated to such agency 
under the programs included in the performance agreement.

SEC. 6808. PERFORMANCE REVIEW AND PENALTIES.

  (a) Mid-Term Performance Review.--If, during the 5-year term 
of the performance agreement, student achievement significantly 
declines for three consecutive years in the academic 
performance categories established in the performance 
agreement, the Secretary may, afternotice and opportunity for a 
hearing, terminate the agreement.
  (b) Failure To Meet Terms.--If at the end of the 5-year term 
of the performance agreement a State has not substantially met 
the performance goals submitted in the performance agreement, 
the Secretary shall, after notice and an opportunity for a 
hearing, terminate the performance agreement and the State 
shall be required to comply with the program requirements, in 
effect at the time of termination, for each program included in 
the performance agreement.
  (c) Penalty for Failure To Improve Student Performance.--If a 
State has made no progress toward achieving its performance 
goals by the end of the term of the agreement, the Secretary 
may reduce funds for State administrative costs for each 
program included in the performance agreement by not more than 
50 percent for each year of the 2-year period following the end 
of the term of the performance agreement.

SEC. 6809. RENEWAL OF PERFORMANCE AGREEMENT.

  (a) Notification.--A State that wishes to renew its 
performance agreement shall notify the Secretary of its renewal 
request not less than 6 months prior to the end of the term of 
the performance agreement.
  (b) Renewal Requirements.--A State that has met or has 
substantially met its performance goals submitted in the 
performance agreement at the end of the 5-year term may reapply 
to the Secretary to renew its performance agreement for an 
additional 5-year period. Upon the completion of the 5-year 
term of the performance agreement or as soon thereafter as the 
State submits data required under the agreement, the Secretary 
shall renew, for an additional 5-year term, the performance 
agreement of any State that has met or has substantially met 
its performance goals.

SEC. 6810. ACHIEVEMENT GAP REDUCTION REWARDS.

  (a) Closing the Gap Reward Fund.--
          (1) In general.--To reward States that make 
        significant progress in eliminating achievement gaps by 
        raising the achievement levels of the lowest performing 
        students, the Secretary shall set aside sufficient 
        funds from the Fund for the Improvement of Education 
        under part G of title V to grant a reward to States 
        that meet the conditions set forth in subsection (b) by 
        the end of their 5-year performance agreement.
          (2) Reward amount.--The amount of the reward referred 
        to in paragraph (1) shall be not less than 5 percent of 
        funds allocated to the State during the first year of 
        the performance agreement for programs included in the 
        agreement.
  (b) Conditions of Performance Reward.--Subject to paragraph 
(3), a State is eligible to receive a reward under this section 
as follows:
          (1) A State is eligible for such an award if the 
        State reduces by not less than 25 percent, over the 5-
        year term of the performance agreement, the difference 
        between the percentage of highest and lowest performing 
        groups of students described in section 6803(d)(5)(C) 
        that meet the State's proficient level of performance.
          (2) A State is eligible for such an award if a State 
        increases the proportion of two or more groups of 
        students under section 6803(d)(5)(C) that meet State 
        proficiency standards by 25 percent.
          (3) A State shall receive such an award if the 
        following requirements are met:
                  (A) Content areas.--The reduction in the 
                achievement gap or improvement in achievement 
                shall include not less than two content areas, 
                one of which shall be mathematics or reading.
                  (B) Grades tested.--The reduction in the 
                achievement gap or improvement in achievement 
                shall occur in at least two grade levels.
  (c) Rule of Construction.--Student achievement gaps shall not 
be considered to have been reduced in circumstances where the 
average academic performance of the highest performing quintile 
of students has decreased.

SEC. 6811. STRAIGHT A'S PERFORMANCE REPORT.

  The Secretary shall make the annual State reports described 
in section 6803(d)(11) available to the Committee on Education 
and the Workforce of the House of Representatives and the 
Committee on Health, Education, Labor and Pensions of the 
Senate not later than 60 days after the Secretary receives the 
report.

SEC. 6812. APPLICABILITY OF TITLE X.

  To the extent that provisions of title X are inconsistent 
with this part, this part shall be construed as superseding 
such provisions.

SEC. 6813. APPLICABILITY OF GENERAL EDUCATION PROVISIONS ACT.

  To the extent that the provisions of the General Education 
Provisions Act are inconsistent with this part, this part shall 
be construed as superseding such provisions, except where 
relating to civil rights, withholding of funds and enforcement 
authority, and family educational and privacy rights.

SEC. 6814. APPLICABILITY TO HOME SCHOOLS.

  Nothing in this part shall be construed to affect home 
schools whether or not a home school is treated as a private 
school or home school under State law.

SEC. 6815. GENERAL PROVISIONS REGARDING NONRECIPIENT, NONPUBLIC 
                    SCHOOLS.

  Nothing in this part shall be construed to permit, allow, 
encourage, or authorize any Federal control over any aspect of 
any private, religious, or home school, whether or not a home 
school is treated as a private school or home school under 
State law.

SEC. 6816. DEFINITIONS.

  For the purpose of this part:
          (1) All students.--The term ``all students'' means 
        all students attending public schools or charter 
        schools that are participating in the State's 
        accountability and assessment system.
          (2) State.--The term ``State'' means each of the 50 
        States, the District of Columbia, the Commonwealth of 
        Puerto Rico, Guam, the United States Virgin Islands, 
        the Commonwealth of the Northern Mariana Islands, and 
        American Samoa.

SEC. 6817. EFFECTIVE DATE.

  This part shall take effect with respect to funds 
appropriated for the fiscal year beginning October 1, 2000.

  TITLE VII--BILINGUAL EDUCATION, LANGUAGE ENHANCEMENT, AND LANGUAGE 
                          ACQUISITION PROGRAMS

                      PART A--BILINGUAL EDUCATION


SEC. 7101. [20 U.S.C. 7401] SHORT TITLE.

    This part may be cited as the ``Bilingual Education Act''.

[SEC. 7102. [20 U.S.C. 7402] FINDINGS, POLICY, AND PURPOSE.]

SEC. 7102. PURPOSE.

    [(a) Findings.--The Congress finds that--
          [(1) language-minority Americans speak virtually all 
        world languages plus many that are indigenous to the 
        United States;
          [(2) there are large and growing numbers of children 
        and youth of limited-English proficiency, many of whom 
        have a cultural heritage that differs from that of 
        their English-proficient peers;
          [(3) the presence of language-minority Americans is 
        related in part to Federal immigration policies;
          [(4) many language-minority Americans are limited in 
        their English proficiency, and many have limited 
        education and income;
          [(5) limited English proficient children and youth 
        face a number of challenges in receiving an education 
        that will enable such children and youth to participate 
        fully in American society, including--
                  [(A) segregated education programs;
                  [(B) disproportionate and improper placement 
                in special education and other special programs 
                due to the use of inappropriate evaluation 
                procedures;
                  [(C) the limited-English proficiency of their 
                own parents, which hinders the parents' ability 
                to fully participate in the education of their 
                children; and
                  [(D) a shortage of teachers and other staff 
                who are professionally trained and qualified to 
                serve such children and youth;
          [(6) Native Americans and Native American languages 
        (as such terms are defined in section 103 of the Native 
        American Languages Act), including native residents of 
        the outlying areas, have a unique status under Federal 
        law that requires special policies within the broad 
        purposes of this Act to serve the education needs of 
        language minority students in the United States;
          [(7) institutions of higher education can assist in 
        preparing teachers, administrators and other school 
        personnel to understand and build upon the educational 
        strengths and needs of language-minority and culturally 
        diverse student enrollments;
          [(8) it is the purpose of this title to help ensure 
        that limited English proficient students master English 
        and develop high levels of academic attainment in 
        content areas;
          [(9) quality bilingual education programs enable 
        children and youth to learn English and meet high 
        academic standards including proficiency in more than 
        one language;
          [(10) as the world becomes increasingly 
        interdependent and as international communication 
        becomes a daily occurrence in government, business, 
        commerce, and family life, multilingual skills 
        constitute an important national resource which 
        deserves protection and development;
          [(11) educational technology has the potential for 
        improving the education of language-minority and 
        limited English proficient students and their families, 
        and the Federal Government should foster this 
        development;
          [(12) parent and community participation in bilingual 
        education programs contributes to program 
        effectiveness;
          [(13) research, evaluation, and data-collection 
        capabilities in the field of bilingual education need 
        to be strengthened so that educators and other staff 
        can better identify and promote those programs, program 
        implementation strategies, and instructional practices 
        that result in effective education of limited English 
        proficient children;
          [(14) the use of a child or youth's native language 
        and culture in classroom instruction can--
                  [(A) promote self-esteem and contribute to 
                academic achievement and learning English by 
                limited English proficient children and youth;
                  [(B) benefit English-proficient children and 
                youth who also participate in such programs; 
                and
                  [(C) develop our Nation's national language 
                resources, thus promoting our Nation's 
                competitiveness in the global economy;
          [(15) the Federal Government, as exemplified by title 
        VI of the Civil Rights Act of 1964 and section 204(f) 
        of the Equal Education Opportunities Act of 1974, has a 
        special and continuing obligation to ensure that States 
        and local school districts take appropriate action to 
        provide equal educational opportunities to children and 
        youth of limited English proficiency; and
          [(16) the Federal Government also, as exemplified by 
        the Federal Government's efforts under this title, has 
        a special and continuing obligation to assist States 
        and local school districts in developing the capacity 
        to provide programs of instruction that offer limited 
        English proficient children and youth an equal 
        educational opportunity.
    [(b) Policy.--The Congress declares it to be the policy of 
the United States, in order to ensure equal educational 
opportunity for all children and youth and to promote 
educational excellence, to assist State and local educational 
agencies, institutions of higher education and community-based 
organizations to build their capacity to establish, implement, 
and sustain programs of instruction for children and youth of 
limited English proficiency.]
    [(c) Purpose.--The] The purpose of this part is [to educate 
limited English proficient children and youth to] help ensure 
that limited English proficient students master English and 
meet the same rigorous standards for academic performance 
expected of all children and youth, including meeting 
challenging State content standards and challenging State 
student performance standards in academic areas by--
          [(1) developing systemic improvement and reform of 
        educational programs serving limited English proficient 
        students through the development and implementation of 
        exemplary bilingual education programs and special 
        alternative instruction programs;]
          ``(1) promoting systemic improvement and reform of, 
        and developing accountability systems for, educational 
        programs serving limited English proficient students;]
          (2) fully developing bilingual skills and 
        multicultural understanding;]

           *       *       *       *       *       *       *


SEC. 7103. [20 U.S.C. 7403] AUTHORIZATION OF APPROPRIATIONS.

    (a) In General.--For the purpose of carrying out this part, 
there are authorized to be appropriated [$215,000,000 for the 
fiscal year 1995] $300,000,000 for fiscal year 2001 and such 
sums as may be necessary for each of the four succeeding fiscal 
years.

           *       *       *       *       *       *       *


    Subpart 1--Bilingual Education Capacity and Demonstration Grants


SEC. 7111. [20 U.S.C. 7421] FINANCIAL ASSISTANCE FOR BILINGUAL 
                    EDUCATION.

    The purpose of this subpart is to assist local education 
agencies, institutions of higher education, and community-based 
organizations, through the grants authorized under sections 
[7112, 7113, 7114, and 7115] 7113 and 7114 to--

           *       *       *       *       *       *       *


[SEC. 7112. [20 U.S.C. 7422] PROGRAM DEVELOPMENT AND IMPLEMENTATION 
                    GRANTS.

    [(a) Purpose.--The purpose of this section is to develop 
and implement new comprehensive, coherent, and successful 
bilingual education or special alternative instructional 
programs for limited English proficient students, including 
programs of early childhood education, kindergarten through 
twelfth grade education, gifted and talented education, and 
vocational and applied technology education.
    [(b) Program Authorized.--
          [(1) Authority.--(A) The Secretary is authorized to 
        award grants to eligible entities having applications 
        approved under section 7116 to enable such entities to 
        carry out activities described in paragraph (2).
          [(B) Each grant under this section shall be awarded 
        for a period of three years.
          [(2) Authorized activities.--(A) Grants awarded under 
        this section shall be used to improve the education of 
        limited English proficient students and their families 
        by--
                  [(i) developing and implementing 
                comprehensive preschool, elementary, or 
                secondary bilingual education or special 
                alternative instructional programs that are 
                coordinated with other relevant programs and 
                services to meet the full range of educational 
                needs of limited English proficient students; 
                and
                  [(ii) providing inservice training to 
                classroom teachers, administrators, and other 
                school or community-based organizational 
                personnel to improve the instruction and 
                assessment of language-minority and limited 
                English proficient students.
          [(B) Grants under this section may be used to improve 
        the education of limited English proficient students 
        and their families by--
                  [(i) implementing family education programs 
                and parent outreach and training activities 
                designed to assist parents to become active 
                participants in the education of their 
                children;
                  [(ii) improving the instructional program for 
                limited English proficient students by 
                identifying, acquiring, and upgrading 
                curriculum, instructional materials, 
                educational software and assessment procedures 
                and, if appropriate, applying educational 
                technology;
                  [(iii) compensating personnel, including 
                teacher aides who have been specifically 
                trained, or are being trained, to provide 
                services to children and youth of limited 
                English proficiency;
                  [(iv) providing tutorials and academic or 
                career counseling for children and youth of 
                limited-English proficiency; and
                  [(v) providing such other activities, related 
                to the purposes of this part, as the Secretary 
                may approve.
    [(c) Eligible Entity.--For the purpose of this section the 
term ``eligible entity'' means--
          [(1) one or more local educational agencies;
          [(2) one or more local educational agencies in 
        collaboration with an institution of higher education, 
        community-based organization or local or State 
        educational agency; or
          [(3) a community-based organization or an institution 
        of higher education which has an application approved 
        by the local educational agency to develop and 
        implement early childhood education or family education 
        programs or to conduct an instructional program which 
        supplements the educational services provided by a 
        local educational agency.
    [(d) Due Consideraton.--In awarding grants under this 
section, the Secretary shall give due consideration to the need 
for early childhood education, elementary education, and 
secondary education programs.]

SEC. 7113. [20 U.S.C. 7423] PROGRAM ENHANCEMENT PROJECTS.

    [(a) Purpose.--The purpose of this section is to carry out 
highly focused, innovative, locally designed projects to expand 
or enhance existing bilingual education or special alternative 
instructional programs for limited English proficient 
students.]
    (a) Purpose.--The purpose of this section is to--
          (1) provide grants to eligible entities to provide 
        innovative, locally designed, high quality instruction 
        to children and youth of limited English proficiency;
          (2) help children and youth develop proficiency in 
        the English language by expanding or strengthening 
        instructional programs; and
          (3) help children and youth attain the standards 
        established under section 1111(b).
    (b) Program Authorized.--
          (1) Authority.--(A) The Secretary is authorized to 
        award grants to eligible entities having applications 
        approved under section 7116 to enable such entities to 
        carry out activities described in paragraph (2).
          (B) Each grant under this section shall be awarded 
        for a period of [two] 3 years.
          [(2) Authorized activities.--(A) Grants under this 
        section shall be used for providing inservice training 
        to classroom teachers, administrators, and other school 
        or community-based organization personnel to improve 
        the instruction and assessment of language-minority and 
        limited English proficient students.
          [(B) Grants under this section may be used for--
                  [(i) implementing family education programs 
                and parent outreach and training activities 
                designed to assist parents to become active 
                participants in the education of their 
                children;
                  [(ii) improving the instructional program for 
                limited English proficient students by 
                identifying, acquiring, and upgrading 
                curriculum, instructional materials, 
                educational software and assessment procedures 
                and, if appropriate, applying educational 
                technology;
                  [(iii) compensating personnel, including 
                teacher aides who have been specifically 
                trained, or are being trained, to provide 
                services to children and youth of limited-
                English proficiency;
                  [(iv) providing tutorials and academic or 
                career counseling for children and youth of 
                limited-English proficiency;
                  [(v) providing intensified instruction; and
                  [(vi) providing such other activities, 
                related to the purposes of this part, as the 
                Secretary may approve.]
          (2) Authorized activities.--(A) Grants awarded under 
        this section shall be used for--
                  (i) developing, implementing, expanding, or 
                enhancing comprehensive preschool, elementary, 
                or secondary education programs for limited 
                English proficient children and youth, that 
                are--
                          (I) aligned with State and local 
                        content and student performance 
                        standards, and local school reform 
                        efforts; and
                          (II) coordinated with related 
                        services for children and youth;
                  (ii) providing high quality professional 
                development to classroom teachers, 
                administrators, and other school or community-
                based organization personnel to improve the 
                instruction and assessment of limited English 
                proficient students; and
                  (iii) annually assessing the English 
                proficiency of all limited English proficient 
                students served by activities carried out under 
                this section.
        (B) Grants awarded under this section may be used for--
                  (i) implementing programs to upgrade the 
                reading and other academic skills of limited 
                English proficient students;
                  (ii) developing accountability systems to 
                monitor the academic progress of limited 
                English proficient and formerly limited English 
                proficient students;
                  (iii) implementing family education programs 
                and parent outreach and training activities 
                designed to assist parents to become active 
                participants in the education of their 
                children;
                  (iv) improving the instructional programs for 
                limited English proficient students by 
                identifying, acquiring, and applying effective 
                curricula, instructional materials (including 
                materials provided through technology), and 
                assessments that are all aligned with State and 
                local standards;
                  (v) providing intensified instruction, 
                including tutorials and academic or career 
                counseling, for children and youth who are 
                limited English proficient;
                  (vi) adapting best practice models for 
                meeting the needs of limited English proficient 
                students;
                  (vii) assisting limited English proficient 
                students with disabilities;
                  (viii) implementing applied learning 
                activities such as service learning to enhance 
                and support comprehensive elementary and 
                secondary bilingual education programs; and
                  (ix) carrying out such other activities, 
                consistent with the purpose of this part, as 
                the Secretary may approve.

           *       *       *       *       *       *       *

    (d) Priority.--In awarding grants under this section, the 
Secretary may give priority to an entity that--
          (1) serves a school district--
                  (A) that has a total district enrollment that 
                is less than 10,000 students; or
                  (B) with a large percentage or number of 
                limited English proficient students; and
          (2) has limited or no experience in serving limited 
        English proficient students.

[SEC. 7114. [20 U.S.C. 7424] COMPREHENSIVE SCHOOL GRANTS.

    [(a) Purpose.--The purpose of this section is to provide 
financial assistance to eligible entities to implement 
schoolwide bilingual education programs or special alternative 
instruction programs for reforming, restructuring, and 
upgrading all relevant programs and operations, within an 
individual school, that serve all (or virtually all) children 
and youth of limited-English proficiency in schools with 
significant concentrations of such children and youth.
    [(b) Program Authorized.--
          [(1) Authority.--(A) The Secretary is authorized to 
        award grants to eligible entities having applications 
        approved under section 7116 to enable such entities to 
        carry out activities described in paragraph (3).
          [(B) Each grant under this section shall be awarded 
        for five years.
          [(2) Termination.--The Secretary shall terminate 
        grants to eligible entities under this section if the 
        Secretary determines that--
                  [(A) the program evaluation required by 
                section 7123 indicates that students in the 
                schoolwide program are not being taught to and 
                are not making adequate progress toward 
                achieving challenging State content standards 
                and challenging State student performance 
                standards; or
                  [(B) in the case of a program to promote dual 
                language facility, such program is not 
                promoting such facility.
          [(3) Authorized activities.--Grants under this 
        section may be used to improve the education of limited 
        English proficient students and their families by--
                  [(A) implementing family education programs 
                and parent outreach and training activities 
                designed to assist parents to become active 
                participants in the education of their 
                children;
                  [(B) improving the instructional program for 
                limited English proficient students by 
                identifying, acquiring and upgrading 
                curriculum, instructional materials, 
                educational software and assessment procedures 
                and, if appropriate, applying educational 
                technology;
                  [(C) compensating personnel, including 
                teacher aides who have been specifically 
                trained, or are being trained, to provide 
                services to children and youth of limited 
                English proficiency;
                  [(D) providing tutorials and academic or 
                career counseling for children and youth of 
                limited-English proficiency;
                  [(E) providing intensified instruction; and
                  [(F) providing such other activities, related 
                to the purposes of this part, as the Secretary 
                may approve.
          [(4) Special rule.--A grant recipient, before carry 
        out a program assisted under this section, shall plan, 
        train personnel, develop curriculum, and acquire or 
        develop materials.
    [(c) Eligible Entities.--For the purpose of this section 
the term ``eligible entity'' means--
        [(1) one or more local education agencies; or
        [(2) one or more local education agencies in 
        collaboration with an institution of higher education, 
        community-based organizations or a local or State 
        education agency.]

SEC. 7114. COMPREHENSIVE SCHOOL AND SYSTEMWIDE IMPROVEMENT GRANTS.

          (a) Purposes.--The purposes of this section are--
          (1) to provide financial assistance to schools and 
        local educational agencies for implementing bilingual 
        education programs, in coordination with programs 
        carried out under title I, for children and youth of 
        limited English proficiency;
          (2) to assist limited English proficient students to 
        meet the standards established under section 1111(b); 
        and
          (3) to improve, reform, and upgrade relevant 
        instructional programs and operations, in schools and 
        local educational agencies, that serve significant 
        percentages of students with limited English 
        proficiency or significant numbers of such students.
    (b) Authorized Activities.--
          (1) Authority.--The Secretary may award grants to 
        eligible entities having applications approved under 
        section 7116 to enable such entities to carry out 
        activities described in paragraphs (2) and (3).
          (2) Mandatory activities.--Grants awarded under this 
        section shall be used for--
                  (A) improving instructional programs for 
                limited English proficient students by 
                acquiring and upgrading curriculum and related 
                instructional materials;
                  (B) aligning the activities carried out under 
                this section with State and local school reform 
                efforts;
                  (C) providing training, aligned with State 
                and local standards, to school personnel and 
                participating community-based organization 
                personnel to improve the instruction and 
                assessment of limited English proficient 
                students;
                  (D) developing and implementing plans, 
                coordinated with plans for programs carried out 
                under title II of the Higher Education Act of 
                1965 (where applicable), and title II of this 
                Act (where applicable), to recruit teachers 
                trained to serve limited English proficient 
                students;
                  (E) implementing culturally and 
                linguistically appropriate family education 
                programs, or parent outreach and training 
                activities, that are designed to assist parents 
                to become active participants in the education 
                of their children;
                  (F) coordinating the activities carried out 
                under this section with other programs, such as 
                programs carried out under title I;
                  (G) providing services to meet the full range 
                of the education needs of limited English 
                proficient students;
                  (H) annually assessing the English 
                proficiency of all limited English proficient 
                students served by the activities carried out 
                under this section; and
                  (I) developing or improving accountability 
                systems to monitor the academic progress of 
                limited English proficient students.
          (3) Permissible activities.--Grants awarded under 
        this section may be used for--
                  (A) implementing programs to upgrade reading 
                and other academic skills of limited English 
                proficient students;
                  (B) developing and using educational 
                technology to improve learning, assessments, 
                and accountability to meet the needs of limited 
                English proficient students;
                  (C) implementing research-based programs to 
                meet the needs of limited English proficient 
                students;
                  (D) providing tutorials and academic or 
                career counseling for limited English 
                proficient children and youth;
                  (E) developing and implementing State and 
                local content and student performance standards 
                for learning English as a second language, as 
                well as for learning other languages;
                  (F) developing and implementing programs for 
                limited English proficient students to meet the 
                needs of changing populations of such students;
                  (G) implementing policies to ensure that 
                limited English proficient students have access 
                to other education programs (other than 
                programs designed to address limited English 
                proficiency), such as gifted and talented, 
                vocational education, and special education 
                programs;
                  (H) implementing programs to meet the needs 
                of limited English proficient students with 
                disabilities;
                  (I) developing and implementing programs to 
                help all students become proficient in more 
                than 1 language; and
                  (J) providing such other activities related 
                to the purpose of this part as the Secretary 
                may approve.
          (4) Special rule.--A recipient of a grant under this 
        section, before carrying out activities under this 
        section, shall plan, train personnel, develop 
        curricula, and acquire or develop materials, but shall 
        not use funds made available under this section for 
        planning purposes for more than 90 days. The recipient 
        shall commence carrying out activities under this 
        section not later than 90 days after the date of 
        receipt of the grant.
    (c) Availability of Appropriations.--
          (1) Reservation of funds for continued payments.--
                  (A) Covered grant.--In this paragraph, the 
                term `covered grant' means a grant--
                          (i) that was awarded under this 
                        section, or section 7115, prior to the 
                        date of enactment of the Educational 
                        Opportunities Act; and
                          (ii) for which the grant period has 
                        not ended.
                  (B) Reservation.--For any fiscal year that is 
                part of the grant period of a covered grant, 
                the Secretary shall reserve funds for the 
                payments described in subparagraph (C) from the 
                amount appropriated for the fiscal year under 
                section 7103 and made available for carrying 
                out this section.
                  (C) Payments.--The Secretary shall continue 
                to make grant payments to each entity that 
                received a covered grant, for the duration of 
                the grant period of the grant, to carry out 
                activities in accordance with the appropriate 
                section described in subparagraph (A)(i).
          (2) Availability.--Of the amount appropriated for a 
        fiscal year under section 7103 that is made available 
        for carrying out this section, and that remains after 
        the Secretary reserves funds for payments under 
        paragraph (1)--
                  (A) not less than \1/3\ of the remainder 
                shall be used to award grants for activities 
                carried out within an entire school district; 
                and
                  (B) not less than \2/3\ of the remainder 
                shall be used to award grants for activities 
                carried out within individual schools.
    (d) Eligible Entities.--In this section, the term 
``eligible entity'' means--
          (1) 1 or more local educational agencies; or
          (2) 1 or more local educational agencies, in 
        collaboration with an institution of higher education, 
        community-based organization, local educational agency, 
        or State educational agency.

[SEC. 7115. [20 U.S.C. 7425] SYSTEMWIDE IMPROVEMENT GRANTS.

    [(a) Purpose.--The purpose of this section is to implement 
districtwide bilingual education programs or special 
alternative instruction programs to improve, reform, and 
upgrade relevant programs and operations, within an entire 
local educational agency, that serve a significant number of 
children and youth of limited English proficiency in local 
educational agencies with significant concentrations of such 
children and youth.
    [(b) Program Authorized.--
          [(1) Authority.--(A) The Secretary is authorized to 
        award grants to eligible entities having applications 
        approved under section 7116 to enable such entities to 
        carry out activities described in paragraphs (3) and 
        (4).
          [(B) Each grant under this section shall be awarded 
        for 5 years.
          [(2) Termination.--The Secretary shall terminate 
        grants to eligible entities under this section if the 
        Secretary determines that--
                  [(A) the program evaluation required by 
                section 7123 indicates that students in the 
                program are not being taught to and are not 
                making adequate progress toward achieving 
                challenging State content standards and 
                challenging State student performance 
                standards; or
                  [(B) in the case of a program to promote dual 
                language facility, such program is not 
                promoting such facility.
          [(3) Preparation.--Grants under this section may be 
        used during the first 12 months exclusively for 
        activities preparatory to the delivery of services.
          [(4) Uses.--Grants under this section may be used to 
        improve the education of limited English proficient 
        students and their families by reviewing, 
        restructuring, and upgrading--
                  [(A) educational goals, curriculum guidelines 
                and content, standards and assessments;
                  [(B) personnel policies and practices 
                including recruitment, certification, staff 
                development, and assignment;
                  [(C) student grade-promotion and graduation 
                requirements;
                  [(D) student assignment policies and 
                practices;
                  [(E) family education programs and parent 
                outreach and training activities designed to 
                assist parents to become active participants in 
                the education of their children;
                  [(F) the instructional program for limited 
                English proficient students by identifying, 
                acquiring and upgrading curriculum, 
                instructional materials, educational software 
                and assessment procedures and, if appropriate, 
                applying educational technology;
                  [(G) tutorials and academic or career 
                counseling for children and youth of limited-
                English proficiency; and
                  [(H) such other activities, related to the 
                purposes of this part, as the Secretary may 
                approve.
    [(c) Eligible Entities.--For the purpose of this section 
the term ``eligible entity'' means--
          [(1) one or more local educational agencies; or
          [(2) one or more local educational agencies in 
        collaboration with an institution of higher education 
        community-based organizations or a local or State 
        educational agency.]

SEC. 7116. [20 U.S.C. 7426] APPLICATIONS.

    (a) In General.--
          (1) Secretary.--* * *

           *       *       *       *       *       *       *

    (b) State Review and Comments.--
          (1) Deadline.--The State educational agency, not 
        later than 45 days after receipt of an application 
        under this section shall review the application and 
        transmit [such] the written comments of the agency on 
        the application to the Secretary.

           *       *       *       *       *       *       *

                  (B) For purposes of this subpart, such 
                comments shall address [how the eligible 
                entity]--
                          [(i) will further the academic 
                        achievement of limited English 
                        proficient students served pursuant to 
                        a grant received under this subpart; 
                        and]
                          (i) how the activities to be carried 
                        out under the grant will further the 
                        academic achievement and English 
                        proficiency of limited English 
                        proficient students served under the 
                        grant; and
                          [(ii) how the grant application is 
                        consistent with the State plan 
                        submitted under section 1111.]
                          (ii) how the grant application is 
                        consistent with the State plan required 
                        under section 1111.

           *       *       *       *       *       *       *

    [(f) Required Documentation.--Such application shall 
include documentation that the applicant has the qualified 
personnel required to develop, administer, and implement the 
proposed program.]
    (f) Required Documentation.--Such application shall include 
documentation that--
          (1) the applicant has the qualified personnel 
        required to develop, administer, and implement the 
        program proposed in the application; and
          (2) the leadership personnel of each school 
        participating in the program have been involved in the 
        development and planning of the program in the school.
    (g) Contents.--
          (1) In general.--An application for a grant under 
        this subpart shall contain the following:
                  (A) A description of the need for the 
                proposed program, [including data] including--
                          (i) data on the number of limited 
                        English proficient students in the 
                        school or school district to be served;
                          (ii) the characteristics of such 
                        students, including--
                                  (I) the native languages of 
                                the students;
                                  (II) the proficiency of the 
                                students in English and their 
                                native language;
                                  (III) achievement data 
                                (current as of the date of 
                                submission of the application) 
                                for the limited English 
                                proficient students in--
                                          (aa) reading or 
                                        language arts (in 
                                        English and in the 
                                        native language, if 
                                        applicable); and
                                          (bb) mathematics;
                                  (IV) a comparison of that 
                                data for the students with the 
                                data for the English proficient 
                                peers of the students; and
                                  (V) the previous schooling 
                                experiences of the students;
                          (iii) the professional development 
                        needs of the instructional personnel 
                        who will provide services for the 
                        limited English proficient students 
                        under the proposed program; and
                          (iv) how the services provided 
                        through the grant would supplement the 
                        basic services provided to limited 
                        English proficient students on the 
                        number of children and youth of 
                        limited-English proficiency in the 
                        school or school district to be served 
                        and the characteristics of such 
                        children and youth, such as language 
                        spoken, dropout rates, proficiency in 
                        English and the native language, 
                        academic standing in relation to the 
                        English-proficient peers of such 
                        children and youth, and, where 
                        applicable, the recency of immigration.
                  (B) A description of the program to be 
                implemented and how such programs' design--
                          (i) * * *

           *       *       *       *       *       *       *

                          (ii) will ensure that the services 
                        provided through the program will 
                        supplement the basic services the 
                        applicant provides to limited English 
                        proficient students;
                          [(ii)] (iii) is coordinated with 
                        other programs under this Act[, the 
                        Goals 2000: Educate America Act] and 
                        other Acts, as appropriate, in 
                        accordance with section [14306] 6506;
                          [(iii)] (iv) involve the parents of 
                        the children and youth of limited-
                        English proficiency to be served;
                          [(iv)] (v) ensures accountability in 
                        achieving high academic standards; and
                          [(v)] (vi) promotes coordination of 
                        services for the children and youth of 
                        limited-English proficiency to be 
                        served and their families.

           *       *       *       *       *       *       *

                  (E) An assurance that the applicant will 
                employ teachers in the proposed [program that, 
                individually or in combination, are proficient 
                in English, including written, as well as oral, 
                communication skills.] program who, 
                individually or in combination, are proficient 
                in--
                          (i) English, including written, as 
                        well as oral, communication skills; and
                          (ii) the native language of the 
                        majority of the students that the 
                        teachers teach, if instruction in the 
                        program is in the native language as 
                        well as English.
                  (F) A budget for grant funds.
          (2) Additional information.--Each application for a 
        grant under section 7114 [or 7115] shall--
                  (A) describe--

           *       *       *       *       *       *       *

    (i) Priorities and Special Rules.--
    [(1) Priority.--The Secretary shall give priority to 
applications which provide for the development of bilingual 
proficiency both in English and another language for all 
participating students.]
          (1) Priority.--In approving applications for grants 
        for programs under this subpart, the Secretary shall 
        give priority to an applicant who--
                  (A) experiences a dramatic increase in the 
                number or percentage of limited English 
                proficient students enrolled in the applicant's 
                programs and has limited or no experience in 
                serving limited English proficient students;
                  (B) is a local educational agency that serves 
                a school district that has a total district 
                enrollment that is less than 10,000 students;
                  (C) demonstrates that the applicant has a 
                proven record of success in helping limited 
                English proficient children and youth learn 
                English and meet high academic standards;
                  (D) proposes programs that provide for the 
                development of bilingual proficiency both in 
                English and another language for all 
                participating students; or
                  (E) serves a school district with a large 
                percentage or number of limited English 
                proficient students.
          [(2) Special alternative instructional program.--
        Grants for special alternative instructional programs 
        under this subpart shall not exceed 25 percent of the 
        funds provided for any type of grant under any section, 
        or of the total funds provided under this subpart for 
        any fiscal year.
          [(3) Special rule.--Notwithstanding paragraph (2), 
        the Secretary may award grants under this subpart for 
        special alternative instructional programs if an 
        applicant has demonstrated that the applicant cannot 
        develop and implement a bilingual education program for 
        the following reasons:
                  [(A) Where the diversity of the limited 
                English proficient students' native languages 
                and the small number of students speaking each 
                respective language makes bilingual education 
                impractical.
                  [(B) Where, despite documented efforts, the 
                applicant has not been able to hire qualified 
                instructional personnel who are able to 
                communicate in the students' native language.]
          [(4)] (2) Consideration.--In approving applications 
        under this subpart, the Secretary shall give 
        consideration to the degree to which the program for 
        which assistance is sought involves the collaborative 
        efforts of institutions of higher education, community-
        based organizations, the appropriate local and State 
        educational agency, or businesses.
          [(5)] (3) Due consideration.--The Secretary shall 
        give due consideration to applications providing 
        training for personnel participating in or preparing to 
        participate in the program which will assist such 
        personnel in meeting state and local certification 
        requirements and that, to the extent possible, describe 
        how college or university credit will be awarded for 
        such training.

[SEC. 7117. [20 U.S.C. 7427] INTENSIFIED INSTRUCTION.

    [In carrying out this subpart, each grant recipient may 
intensify instruction for limited English proficient students 
by--
          [(1) expanding the educational calendar of the school 
        in which such student is enrolled to include programs 
        before and after school and during the summer months;
          [(2) expanding the use of professional and volunteer 
        aids;
          [(3) applying technology to the course of 
        instruction; and
          [(4) providing intensified instruction through 
        supplementary instruction or activities, including 
        educationally enriching extracurricular activities, 
        during times when school is not routinely in session.]

           *       *       *       *       *       *       *


[SEC. 7119. [20 U.S.C. 7429] SUBGRANTS.

    [A local educational agency that receives a grant under 
this subpart may, with the approval of the Secretary, make a 
subgrant to, or enter into a contract with, an institution of 
higher education, a nonprofit organization, or a consortium of 
such entities to carry out an approved program, including a 
program to serve out-of-school youth.

[SEC. 7120. [20 U.S.C. 7430] PRIORITY ON FUNDING.

    [The Secretary shall give priority to applications under 
this subpart that describe a program that--
          [(1) enrolls a large percentage or large number of 
        limited English proficient students;
          [(2) takes into account significant increases in 
        limited English proficient children and youth, 
        including such children and youth in areas with low 
        concentrations of such children and youth; and
          [(3) ensures that activities assisted under this 
        subpart address the needs of school systems of all 
        sizes and geographic areas, including rural and urban 
        schools.

[SEC. 7121. [20 U.S.C. 7431] COORDINATION WITH OTHER PROGRAMS.

    [In order to secure the most flexible and efficient use of 
Federal funds, any State receiving funds under this subpart 
shall coordinate its program with other programs under this 
Act, the Goals 2000: Educate America Act, and other Acts, as 
appropriate, in accordance with section 14306.

           *       *       *       *       *       *       *


[SEC. 7123. [20 U.S.C. 7433] EVALUATIONS.

    [(a) Evaluation.--Each recipient of funds under this 
subpart shall provide the Secretary with an evaluation, in the 
form prescribed by the Secretary, of such recipient's program 
every two years.
    [(b) Use of Evaluation.--Such evaluation shall be used by a 
grant recipient--
          [(1) for program improvement;
          [(2) to further define the program's goals and 
        objectives; and
          [(3) to determine program effectiveness.
    [(c) Evaluation Components.--Evaluations shall include--
          [(1) how students are achieving the State student 
        performance standards, if any, including data comparing 
        children and youth of limited-English proficiency with 
        nonlimited English proficient children and youth with 
        regard to school retention, academic achievement, and 
        gains in English (and, where applicable, native 
        language) proficiency;
          [(2) program implementation indicators that provide 
        information for informing and improving program 
        management and effectiveness, including data on 
        appropriateness of curriculum in relationship to grade 
        and course requirements, appropriateness of program 
        management, appropriateness of the program's staff 
        professional development, and appropriateness of the 
        language of instruction;
          [(3) program context indicators that describe the 
        relationship of the activities founded under the grant 
        to the overall school program and other Federal, State, 
        or local programs serving children and youth of limited 
        English proficiency; and
          [(4) such other information as the Secretary may 
        require.]

SEC. 7123. EVALUATIONS.

    (a) Evaluation.--Each recipient of funds under this subpart 
for a program shall annually conduct an evaluation of the 
program and submit to the Secretary a report concerning the 
evaluation, in the form prescribed by the Secretary.
    (b) Use of Evaluation.--Such evaluation shall be used by 
the grant recipient--
          (1) for program improvement;
          (2) to further define the program's goals and 
        objectives; and
          (3) to determine program effectiveness.
    (c) Evaluation Report Components.--In preparing the 
evaluation reports, the recipient shall--
          (1) use the data provided in the application 
        submitted by the recipient under section 7116 as 
        baseline data against which to report academic 
        achievement and gains in English proficiency for 
        students in the program;
          (2) disaggregate the results of the evaluation by 
        gender, language groups, and whether the students have 
        disabilities;
          (3) include data on the progress of the recipient in 
        achieving the objectives of the program, including data 
        demonstrating the extent to which students served by 
        the program are meeting the State's student performance 
        standards, and including data comparing limited English 
        proficient students with English proficient students 
        with regard to school retention and academic 
        achievement in--
                  (A) reading and language arts;
                  (B) English proficiency;
                  (C) mathematics, and
                  (D) the native language of the students if 
                the program develops native language 
                proficiency;
          (4) include information on the extent that 
        professional development activities carried out through 
        the program have resulted in improved classroom 
        practices and improved student performance;
          (5) include a description of how the activities 
        carried out through the program are coordinated and 
        integrated with the other Federal, State, or local 
        programs serving limited English proficient children 
        and youth; and
          (6) include such other information as the Secretary 
        may require.

           *       *       *       *       *       *       *


SEC. 7132. [20 U.S.C. 7452] RESEARCH.

    (a) Administration.--* * *

           *       *       *       *       *       *       *

    (c) Field-Initiated Research.--
          (1) In general.--The Secretary shall reserve not less 
        than 5 percent of the funds made available to carry out 
        this section for field-initiated research conducted by 
        current or recent recipients of grants [under subpart 1 
        or 2] under subpart 1 or 3 or this subpart who have 
        received such grants within the previous five years. 
        Such research may provide for longitudinal studies of 
        students or teachers in bilingual education, monitoring 
        the education of such students from entry in bilingual 
        education through secondary school completion.

           *       *       *       *       *       *       *


[SEC. 7133. [20 U.S.C. 7453] ACADEMIC EXCELLENCE AWARDS.

    [(a) Awards.--The Secretary may make grants to, and enter 
into contracts and cooperative agreements with State and local 
educational agencies, nonprofit organizations, and institutions 
of higher education to promote the adoption and implementation 
of bilingual education, special alternative instruction 
programs, and professional development programs that 
demonstrate promise of assisting children and youth of limited 
English proficiency to meet challenging State standards.
    [(b) Applications.--
          [(1) In general.--Each entity desiring an award under 
        this section shall submit an application to the 
        Secretary in such form, at such time, and containing 
        such information and assurances as the Secretary may 
        reasonably require.
          [(2) Peer review.--The Secretary shall use a peer 
        review process, using effectiveness criteria that the 
        Secretary shall establish, to review applications under 
        this section.
    [(c) Use of Funds.--Funds under this section shall be used 
to enhance the capacity of States and local education agencies 
to provide high quality academic programs for children and 
youth of limited English proficiency, which may include--
          [(1) completing the development of such programs;
          [(2) professional development of staff participating 
        in bilingual education programs;
          [(3) sharing strategies and materials; and
          [(4) supporting professional networks.
    [(d) Coordination.--Recipients of funds under this section 
shall coordinate the activities assisted under this section 
with activities carried out by comprehensive regional 
assistance centers assisted under part A of title XIII.]

SEC. 7133. ACADEMIC EXCELLENCE AWARDS.

    (a) Authority.--The Secretary may make grants to State 
educational agencies to assist the agencies in recognizing 
local educational agencies and other public and nonprofit 
entities whose programs have--
          (1) demonstrated significant progress in assisting 
        limited English proficient students to learn English 
        according to age appropriate and developmentally 
        appropriate standards; and
          (2) demonstrated significant progress in assisting 
        limited English proficient children and youth to meet, 
        according to age appropriate and developmentally 
        appropriate standards, the same challenging State 
        content standards as all children and youth are 
        expected to meet.
    (b) Applications.--A State educational agency desiring a 
grant under this section shall include an application for such 
grant in the application submitted by the agency under section 
7134(e).

SEC. 7134. [U.S.C. 7454] STATE GRANT PROGRAM.

    (a) State Grant program.--* * *

           *       *       *       *       *       *       *

    (b) Payments.--The amount paid to a State educational 
agency under subsection (a) shall not exceed 5 percent of the 
total amount awarded to local educational agencies within the 
State under subpart 1 for the previous fiscal year, except that 
in no case shall the amount paid by the Secretary to any State 
educational agency under this subsection for any fiscal year be 
less than [$100,000] $200,000.
    (c) Use of Funds.--
          (1) In general.--A State educational agency shall use 
        funds awarded under this section [for programs 
        authorized by this section] to--
                  [(A) assist local educational agencies in the 
                State with program design, capacity building, 
                assessment of student performance, and program 
                evaluation; and]
                  (A) assist local educational agencies in the 
                State with activities that--
                          (i) consist of program design, 
                        capacity building, assessment of 
                        student performance, program 
                        evaluation, and development of data 
                        collection and accountability systems 
                        for limited English proficient 
                        students; and
                          (ii) are aligned with State reform 
                        efforts; and
                  (B) collect data on the State's limited 
                English proficient [populations and the 
                educational programs and services available to 
                such populations] populations and document the 
                services available to all such populations.
          [(2) Exception.--States which do not, as of the date 
        of enactment of the Improving America's Schools Act of 
        1994, have in place a system for collecting the data 
        described in subparagraph (B) of paragraph (1) for all 
        students in such State, are not required to meet the 
        requirement of such subparagraph. In the event such 
        State develops a system for collecting data on the 
        educational programs and services available to all 
        students in the State, then such State shall comply 
        with the requirement of paragraph (1)(B).]
          [(3)] (2) Training.--The State educational agency may 
        also use funds provided under this section for the 
        training of State educational agency personnel in 
        educational issues affecting limited English proficient 
        children and youth.
          [(4)] (3) Special rule.--Recipients of funds under 
        this section shall not restrict the provision of 
        services under this section to federally funded 
        programs.

           *       *       *       *       *       *       *


SEC. 7135. [20 U.S.C. 7455] NATIONAL CLEARINGHOUSE FOR BILINGUAL 
                    EDUCATION.

    (a) Establishment.--* * *

           *       *       *       *       *       *       *

    (b) Functions.--The National Clearinghouse for Bilingual 
Education shall--
          (1) * * *

           *       *       *       *       *       *       *

          (3) develop a data base management and monitoring 
        system for improving the operation and effectiveness of 
        federally funded bilingual education programs; [and]
          (4) develop, maintain, and disseminate, through 
        comprehensive regional assistance centers [described in 
        part A of title XIII] if appropriate, a listing by 
        geographical area of education professionals, parents, 
        teachers, administrators, community members and others 
        who are native speakers of languages other than English 
        for use as a resource by local educational agencies and 
        schools in the development and implementation of 
        bilingual education programs[.] ; and
          (5) publish, on an annual basis, a list of grant 
        recipients under this title.

SEC. 7136. [20 U.S.C. 7456] INSTRUCTIONAL MATERIALS DEVELOPMENT.

    The Secretary may provide grants for the development, 
publication, and dissemination of high-quality instructional 
materials in Native American and Native Hawaiian languages and 
the language of Native Pacific Islanders and natives of the 
outlying areas for which instructional materials are not 
readily available[.], and in other low-incidence languages in 
the United States for which instructional materials are not 
readily available. The Secretary shall give priority to the 
development of instructional materials in languages indigenous 
to the United States or the outlying areas. The Secretary shall 
also accord priority to applications for assistance under this 
section which provide for developing and evaluating materials 
in collaboration with activities assisted under subparts 1 and 
2 and which are consistent with voluntary national content 
standards and challenging State content standards.

           *       *       *       *       *       *       *


SEC. 7142. [20 U.S.C. 7472] TRAINING FOR ALL TEACHERS PROGRAM.

    (a) Purpose.--* * *

           *       *       *       *       *       *       *

    [(b) Authorization.--
          [(1) Authority.--The Secretary is authorized to award 
        grants to institutions of higher education, local 
        educational agencies, and State educational agencies or 
        to nonprofit organizations which have entered into 
        consorta arrangements with one of such institutions or 
        agencies.
          [(2) Duration.--Each grant under this section shall 
        be awarded for a period of not more than five years.
    [(c) Permissible Activities.--Activities conducted under 
this section may include the development of training programs 
in collaboration with other programs such as programs 
authorized under titles I and II of this Act, and under the 
Head Start Act.]
    (b) Authorization.--
          (1) Authority.--The Secretary may award grants under 
        this section to--
                  (A) local educational agencies; or
                  (B) 1 or more local educational agencies in a 
                consortium with 1 or more State educational 
                agencies, institutions of higher education, or 
                nonprofit organizations.
          (2) Duration.--Each grant awarded under this section 
        shall be awarded for a period of not more than 5 years.
    (c) Authorized Activities.--
          (1) Professional development activities.--Grants 
        awarded under this section shall be used to conduct 
        high-quality, long-term professional development 
        activities relating to meeting the needs of limited 
        English proficient students, which may include--
                  (A) developing and implementing induction 
                programs for new teachers, including programs 
                that provide mentoring and coaching by trained 
                teachers, and team teaching with experienced 
                teachers;
                  (B) implementing school-based collaborative 
                efforts among teachers to improve instruction 
                in core academic areas, including reading, for 
                students with limited English proficiency;
                  (C) coordinating activities with other 
                programs, such as programs carried out under 
                titles I and II and the Head Start Act;
                  (D) implementing programs that support 
                effective teacher use of education technologies 
                to improve instruction and assessment;
                  (E) establishing and maintaining local 
                professional networks;
                  (F) developing curricular materials and 
                assessments for teachers that are aligned with 
                State and local standards and the needs of the 
                limited English proficient students to be 
                served; and
                  (G) carrying out such other activities as are 
                consistent with the purpose of this section.
          (2) Permissible activities.--Activities conducted 
        under this section may include the development of 
        training programs in collaboration with other programs, 
        such as programs authorized under titles I and II, and 
        under the Head Start Act.

           *       *       *       *       *       *       *


SEC. 7145. [20 U.S.C. 7475] GRADUATE FELLOWSHIPS IN BILINGUAL EDUCATION 
                    PROGRAM.

    (a) Authorization.--
          (1) In general.--The Secretary may award fellowships 
        for masters, doctoral, and post-doctoral study related 
        to instruction of children and youth of limited-English 
        proficiency in such areas as teacher training, program 
        administration, research and evaluation, and curriculum 
        development, and for the support of dissertation 
        research related to such study.
          [(2) Number.--For fiscal year 1994 not less than 500 
        fellowships leading to a master's or doctorate degree 
        shall be awarded under this section.]
          [(3)](2) Information.--The Secretary shall include 
        information on the operation and the number of 
        fellowships awarded under the fellowship program in the 
        evaluation required under section 7149.

           *       *       *       *       *       *       *


[SEC. 7147. [20 U.S.C. 7477] PROGRAM REQUIREMENTS.

    [Activities conducted under this subpart shall assist 
educational personnel in meeting State and local certification 
requirements for bilingual education and, wherever possible, 
shall lead toward the awarding of college or university 
credit.]

           *       *       *       *       *       *       *


[SEC. 7149. [20 U.S.C. 7479] PROGRAM EVALUATIONS.

    [Each recipient of funds under this subpart shall provide 
the Secretary with an evaluation of the program assisted under 
this subpart every two years. Such evaluation shall include 
data on--
          [(1) post-program placement of persons trained in a 
        program assisted under this subpart;
          [(2) how the training relates to the employment of 
        persons served by the program;
          [(3) program completion; and
          [(4) such other information as the Secretary may 
        require.]

SEC. 7149. PROGRAM EVALUATIONS.

    Each recipient of funds under this subpart for a program 
shall annually conduct an evaluation of the program and submit 
to the Secretary a report containing the evaluation. Such 
report shall include information on--
          (1) the number of participants served through the 
        program, the number of participants who completed 
        program requirements, and the number of participants 
        who took positions in an instructional setting with 
        limited English proficient students;
          (2) the effectiveness of the program in imparting the 
        professional skills necessary for participants to 
        achieve the objectives of the program; and
          (3) the teaching effectiveness of graduates of the 
        program or other participants who have completed the 
        program.

           *       *       *       *       *       *       *


                         Subpart 4--Transition


SEC. 7161. [20 U.S.C. 7491] SPECIAL RULE.

    Notwithstanding any other provision of law, no recipient of 
a grant under title VII of this Act (as such title was in 
effect on the day preceding the Educational Opportunities Act 
date of enactment of the [Improving America's Schools Act of 
1994]) shall be eligible for fourth and fifth-year renewals 
authorized by section 7021(d)(1)(C) of such title (as such 
section was in effect on the day preceding the date of 
enactment of such Act).

           *       *       *       *       *       *       *


[SEC. 7202. [20 U.S.C. 7512] FINDINGS.

    [The Congress finds as follows:
          [(1) Foreign language proficiency is crucial to our 
        Nation's economic competitiveness and national 
        security. Significant improvement in the quantity and 
        quality of foreign language instruction offered in our 
        Nation's elementary and secondary schools is necessary.
          [(2) All Americans need a global perspective. To 
        understand the world around us, we must acquaint 
        ourselves with the languages, cultures, and history of 
        other nations.
          [(3) Proficiency in two or more languages should be 
        promoted for all American students. Multilingualism 
        enhances cognitive and social growth, competitiveness 
        in the global marketplace, national security, and 
        understanding of diverse people and cultures.
          [(4) The United States lags behind other developed 
        countries in offering foreign language study to 
        elementary and secondary school students.
          [(5) Four out of five new jobs in the United States 
        are created from foreign trade.
          [(6) The optimum time to begin learning a second 
        language is in elementary school, when children have 
        the ability to learn and excel in several foreign 
        language acquisition skills, including pronunciation, 
        and when children are most open to appreciating and 
        valuing a culture other than their own.
          [(7) Foreign language study can increase childrens' 
        capacity for critical and creative thinking skills and 
        children who study a second language show greater 
        cognitive development in areas such as mental 
        flexibility, creativity, tolerance, and higher order 
        thinking skills.
          [(8) Children who have studied a foreign language in 
        an elementary school achieve expected gains and score 
        higher on standardized tests of reading, language arts, 
        and mathematics than children who have not studied a 
        foreign language.]

           *       *       *       *       *       *       *


SEC. 7204. [20 U.S.C. 7514] APPLICATIONS.

    (a) General.--* * *

           *       *       *       *       *       *       *

    (b) Special Consideration.--The Secretary shall give 
special consideration to applications describing programs 
that--
          (1) include intensive summer foreign language 
        programs for professional development;
          (2) link non-native English speakers in the community 
        with the schools in order to promote two-way language 
        learning; [or]
          (3) promote the sequential study of a foreign 
        language for students, beginning in elementary 
        schools[.];
          (4) make effective use of technology, such as 
        computer-assisted instruction, language laboratories, 
        or distance learning, to promote foreign language 
        study;
          (5) promote innovative activities such as foreign 
        language immersion, partial foreign language immersion, 
        or content-based instruction; and
          (6) are carried out through a consortium comprised of 
        the agency receiving the grant and an elementary school 
        or secondary school.

           *       *       *       *       *       *       *


             PART C--EMERGENCY IMMIGRANT EDUCATION PROGRAM


[SEC. 7301. [20 U.S.C. 7541] FINDINGS AND PURPOSE.] SEC. 7301. PURPOSE.

    [(a) Findings.--The Congress finds that--
          [(1) the education of our Nation's children and youth 
        is one of the most sacred government responsibilities;
          [(2) local educational agencies have struggled to 
        fund adequately education services;
          [(3) in the case of Plyler v. Doe, the Supreme Court 
        held that States have a responsibility under the Equal 
        Protection Clause of the Constitution to educate all 
        children, regardless of immigration status; and
          [(4) immigration policy is solely a responsibility of 
        the Federal Government.]
    [(b) Purpose.--]The purpose of this part is to assist 
eligible local educational agencies that experience 
unexpectedly large increases in their student population due to 
immigration to--

           *       *       *       *       *       *       *


SEC. 7302. [20 U.S.C. 7542] STATE ADMINISTRATIVE COSTS.

    For any fiscal year, a State educational agency may reserve 
not more than 1.5 percent (2 percent if the State educational 
agency distributes funds received under this part to local 
educational agencies on a competitive basis) of the amount 
allocated to such agency under section 7304 to pay the costs of 
performing such agency's administrative functions under this 
part.

           *       *       *       *       *       *       *


SEC. 7304. [20 U.S.C. 7544] STATE ALLOCATIONS.

    (a) Payments.--The Secretary shall, in accordance with the 
provisions of this section, make payments to State educational 
agencies for each of the fiscal years 1995 through 1999 for the 
purpose set forth in section [7301(b)] 7301.

           *       *       *       *       *       *       *


SEC. 7308. [20 U.S.C. 7548] REPORTS.

    (a) Biennial Report.--* * *

           *       *       *       *       *       *       *

    (b) Report to Congress.--The Secretary shall submit, once 
every two years, a report to the appropriate committees of the 
Congress concerning programs assisted under this part in 
accordance with section [14701] 10201.

SEC. 7309. [20 U.S.C. 7549] AUTHORIZATION OF APPROPRIATIONS.

    For the purpose of carrying out this part, there are 
authorized to be appropriated [$100,000,000 for fiscal year 
1995] $200,000,000 for fiscal year 2001 and such sums as may be 
necessary for each of the four succeeding fiscal years.

           *       *       *       *       *       *       *


SEC. 7405. [20 U.S.C. 7575] COORDINATIONS AND REPORTING REQUIREMENTS.

    (a) Coordination With Related Programs.--* * *

           *       *       *       *       *       *       *

    (d) Report.--The Director shall prepare and, not later than 
February 1 of every other year, shall submit to the Secretary 
and to the [Committee on Labor and Human Resources of the 
Senate and to the Committee on Education and Labor] Committee 
on Health, Education, Labor, and Pensions of the Senate and to 
the Committee on Education and the Workforce of the House of 
Representatives a report on--

           *       *       *       *       *       *       *


                         TITLE VIII--IMPACT AID


SEC. 8000. SHORT TITLE.

    This title may be cited as the ``Impact Aid Act''.

SEC. 8001. [20 U.S.C. 7701] PURPOSE.

    In order to fulfill the Federal responsibility to assist 
with the provision of education services to federally connected 
children, because certain activities of the federal Government 
place a financial burden on the local educational agencies 
serving areas where such activities are carried out, and to 
help such children meet challenging State standards, it is the 
purpose of this title to provide financial assistance to local 
education agencies that--
          (1) * * *

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          (4) educate heavy concentrations of children whose 
        parents are civilian employees of the Federal 
        Government and do not reside on Federal property; or
          [(5) experience sudden and substantial increases or 
        decreases in enrollments because of military 
        realignments; or]
          [(6)] (5) need special assistance with capital 
        expenditures for construction activities because of the 
        enrollments of substantial numbers of children who 
        reside on Federal lands.

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SEC. 8002. [20 U.S.C. 7702] PAYMENTS RELATING TO FEDERAL ACQUISITION OF 
                    REAL PROPERTY.

    (A) In General.--Where the Secretary, after consultation 
with any local educational agency and with the appropriate 
State educational agency, determines for a fiscal year ending 
prior to October 1, [1999] 2005--

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    (b) Amount.--
          (1) In general.--* * *

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                  (B) If funds appropriated under section 
                8014(a) are insufficient to pay the amount 
                determined under subparagraph (A), the 
                Secretary shall [ratably reduce the payment to 
                each eligible local educational agency] 
                calculate the payment for each eligible local 
                educational agency in accordance with 
                subsection (h).
                  (C) Notwithstanding any other provision of 
                this subsection, a local educational agency may 
                not be paid an amount under this section that, 
                when added to the amount such agency receives 
                under section 8003(b), exceeds the maximum 
                amount that such agency is eligible to receive 
                for such fiscal year under section 
                8003(b)(1)(C) or this section, whichever is 
                greater.

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    [(h) Hold-Harmless Amounts.--
          [(1) In general.--Except as provided in paragraph 
        (2)(A), the total amount that the Secretary shall pay 
        under subsection (b) to a local educational agency that 
        is otherwise eligible for a payment under this 
        section--
                  [(A) for fiscal year 1995 shall not be less 
                than 85 percent of the amount such agency 
                received for fiscal year 1994 under section 2 
                of the Act of September 30, 1950 (Public Law 
                874, 81st Congress) as such section was in 
                effect on September 30, 1994;
                  [(B) for fiscal year 1996 shall not be less 
                than 85 percent of the amount such agency 
                received for fiscal year 1995 under subsection 
                (b); and
                  [(C) for fiscal year 1997 and each succeeding 
                fiscal year through fiscal year 2000 shall not 
                be less than 85 percent of the amount such 
                agency received for fiscal year 1996 under 
                subsection (b).
          [(2) Ratable reductions.--(A)(i) If necessary in 
        order to make payments to local educational agencies in 
        accordance with paragraph (1) for any fiscal year the 
        Secretary first shall ratably reduce payments under 
        subsection (b) for such year to local educational 
        agencies that do not receive a payment under this 
        subsection for such year.
          [(ii) If additional funds become available for making 
        payments under subsection (b) for such year, then 
        payments that were reduced under clause (i) shall be 
        increased on the same basis as such payments were 
        reduced.
          [(B)(i) If the sums made available under this title 
        for any fiscal year are insufficient to pay the full 
        amounts that all local educational agencies in all 
        States are eligible to receive under paragraph (1) 
        after the application of subparagraph (A) for such 
        year, then the Secretary shall ratably reduce payments 
        under paragraph (1) to all such agencies for such year.
          [(ii) If additional funds become available for making 
        payments under paragraph (1) for such fiscal year, then 
        payments that were reduced under clause (i) shall be 
        increased on the same basis as such payments were 
        reduced.]
    (h) Distribution of Funds When There Are Insufficient 
Appropriations.--If the amount appropriated under section 
8014(a) is insufficient to pay the full amount determined under 
subsection (b) for all local educational agencies for a fiscal 
year, then the Secretary shall calculate the payments the local 
educational agencies receive under this section for the fiscal 
year as follows:
          (1) Foundation payments for pre-1995 recipients.--
        First, the Secretary shall make a foundation payment to 
        each local educational agency that is eligible to 
        receive a payment under this section for the fiscal 
        year and was eligible to receive a payment under 
        section 2 of Public Law 81-874 for any of the fiscal 
        years 1989 through 1994. The Secretary shall make the 
        payment by multiplying 37 percent by the payment the 
        local educational agency was entitled to receive under 
        such section 2 for fiscal year 1994 (or if the local 
        educational agency did not receive a payment for fiscal 
        year 1994, the payment that local educational agency 
        was entitled to receive under such section 2 for the 
        most recent fiscal year preceding 1994). If the funds 
        appropriated under section 8014(a) for the fiscal year 
        are insufficient to fully fund the foundation payments 
        under this paragraph for the fiscal year, then the 
        Secretary shall ratably reduce the foundation payments 
        to each local educational agency under this paragraph.
          (2) Payments for 1995 recipients.--From any funds 
        remaining after making payments under paragraph (1) for 
        the fiscal year for which the calculation is made that 
        are the result of the calculation described in 
        subparagraph (A), the Secretary shall make a payment to 
        each local educational agency that received a payment 
        under this section for fiscal year 1995 in accordance 
        with the following rules:
                  (A) Calculate the difference between the 
                amount appropriated to carry out this section 
                for fiscal year 1995 and the total amount of 
                foundation payments made under paragraph (1) 
                for the fiscal year for which the calculation 
                is made.
                  (B) Determine the percentage share for each 
                local educational agency that received a 
                payment under this section for fiscal year 1995 
                by dividing the assessed value of the Federal 
                property of the local educational agency for 
                fiscal year 1995, determined in accordance with 
                subsection (b)(3), by the total national 
                assessed value of the Federal property of all 
                such local educational agencies for fiscal year 
                1995, as so determined.
                  (C) Multiply the percentage share described 
                in subparagraph (B) for the local educational 
                agency by the amount determined under 
                subparagraph (A).
          (3) Subsection (i) Recipients.--From any funds 
        remaining after making payments under paragraphs (1) 
        and (3) for the fiscal year for which the calculation 
        is made, the Secretary shall make payments in 
        accordance with subsection (i).
          (4) Remaining funds.--From any funds remaining after 
        making payments under paragraphs (1), (2), and (3) for 
        fiscal year for which the calculation is made--
                  (A) the Secretary shall make a payment to 
                each local educational agency that received 
afoundation payment under paragraph (1) for the fiscal year for which 
the calculation is made in an amount that bears the same relation to 25 
percent of the remainder as the amount the local educational agency 
received under paragraph (1) for the fiscal year for which the 
calculation is made bears to the amount all local educational agencies 
received under paragraph (1) for the fiscal year for which the 
calculation is made; and
                  (B) the Secretary shall make a payment to 
                each local educational agency that is eligible 
                to receive a payment under this section for the 
                fiscal year for which the calculation is made 
                in an amount that bears the same relation to 75 
                percent of the remainder as a percentage share 
                determined for the local educational agency (in 
                the same manner as percentage shares are 
                determined for local educational agencies under 
                paragraph (2)(B)) bears to the percentage share 
                determined (in the same manner) for all local 
                educational agencies eligible to receive a 
                payment under this section for the fiscal year 
                for which the calculation is made, except that 
                for the purpose of calculating a local 
                educational agency's assessed value of the 
                Federal property, data from the most current 
                fiscal year shall be used.
    (i) [Priority] Special Payments.--
          [(1) In general.--Notwithstanding subsection 
        (b)(1)(B), and for any fiscal year beginning with 
        fiscal year 1997 for which the amount appropriated to 
        carry out this section exceeds the amount so 
        appropriated for fiscal year 1996--
                  [(A) the Secretary shall first use the excess 
                amount (not to exceed the amount equal to the 
                difference of (i) the amount appropriated to 
                carry out this section for fiscal year 1997, 
                and (ii) the amount appropriated to carry out 
                this section for fiscal year 1996) to increase 
                the payment that would otherwise be made under 
                this section to not more than 50 percent of the 
                maximum amount determined under subsection (b) 
                for any local educational agency described in 
                paragraph (2); and
                  [(B) the Secretary shall use the remainder of 
                the excess amount to increase the payments to 
                each eligible local educational agency under 
                this section.]
          (1) In general.--For any fiscal year beginning with 
        fiscal year 2000 for which the amount appropriated to 
        carry out this section exceeds the amount so 
        appropriated for fiscal year 1996 and for which 
        subsection (b)(1)(B) applies, the Secretary shall use 
        the remainder described in subsection (h)(3) for the 
        fiscal year for which the calculation is made (not to 
        exceed the amount equal to the difference between (A) 
        the amount appropriated to carry out this section for 
        fiscal year 1997 and (B) the amount appropriated to 
        carry out this section for fiscal year 1996) to 
        increase the payment that would otherwise be made under 
        this section to not more than 50 percent of the maximum 
        amount determined under subsection (b) for any local 
        educational agency described in paragraph (2).

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    (j) Additional Assistance for Certain Local Educational 
Agencies Impacted by Federal Property Acquisition.--
          (1) Reservation.--From amounts appropriated under 
        section [8014(g)] 8014(f) for a fiscal year, the 
        Secretary shall provide additional assistance to meet 
        special circumstances relating to the provision of 
        education in local educational agencies eligible to 
        receive assistance under this section.
          (2) Eligibility.--[(A) \1\ A local] A local 
        educational agency is eligible to receive additional 
        assistance under this subsection only if such agency--
                  [(i)] (A) received a payment under both this 
                section and section 8003(b) for fiscal year 
                1996 and is eligible to receive payments under 
                those sections for the year of application;
                  [(ii)] (B) provided a free public education 
                to children described under sections 
                8003(a)(1)(A), (B), or (D);
                  [(iii)] (C) had a military installation 
                located within the geographic boundaries of the 
                local educational agency that was closed as a 
                result of base closure or realignment;
                  [(iv)] (D) remains responsible for the free 
                public education of children residing in 
                housing located on Federal property within the 
                boundaries of the closed military installation 
                but whose parents are on active duty in the 
                uniformed services and assigned to a military 
                activity located within the boundaries of an 
                adjoining local educational agency; and
                  [(v)] (E) demonstrates to the satisfaction of 
                the Secretary that such agency's per-pupil 
                revenue derived from local sources for current 
                expenditures is not less than that revenue for 
                the preceding fiscal year.
          (3) Maximum amount.--[(A) The maximum] The maximum 
        amount that a local educational agency is eligible to 
        receive under this subsection for any fiscal year, when 
        combined with its payment under subsection (b), shall 
        not be more than 50 percent of the maximum amount 
        determined under subsection (b)[;].
          [(B) If funds appropriated under section 8014(g) are 
        insufficient to pay the amount determined under 
        subparagraph (A), the Secretary shall ratably reduce 
        the payment to each local education agency eligible 
        under this subsection;
          [(C) If funds appropriated under section 8014(g) are 
        in excess of the amount determined under subparagraph 
        (A) the Secretary shall ratably distribute any excess 
        funds to all local educational agencies eligible for 
        payment under subsection (b) of this section.]

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    (l) Data; Preliminary and Final Payments.--The Secretary 
shall--
          (1) require any local educational agency that applied 
        for a payment under subsection (b) for a fiscal year to 
        submit expeditiously such data as may be necessary in 
        order to compute the payment;
          (2) as soon as possible after the beginning of any 
        fiscal year, but not later than 60 days after the date 
        of enactment of an Act making appropriations to carry 
        out this title for the fiscal year, provide a 
        preliminary payment under subsection (b) for any local 
        educational agency that applied for a payment under 
        subsection (b) for the fiscal year, that has submitted 
        the data described in paragraph (1), and that was 
        eligible for such a payment for the preceding fiscal 
        year, in the amount of 60 percent of the payment for 
        the previous year; and
          (3) make every effort to provide a final payment 
        under subsection (b) for any eligible local educational 
        agency not later than 12 months after the application 
        deadline established under section 8005(c).
    (m) Eligibility.--
          (1) Old federal property.--Except as provided in 
        paragraph (2), a local educational agency that is 
        eligible to receive a payment under this section for 
        Federal property acquired by the Federal Government 
        before the date of enactment of the Educational 
        Opportunities Act shall be eligible to receive the 
        payment only if the local educational agency submits an 
        application for a payment under this section not later 
        than 5 years after the date of enactment.
          (2) Combined federal property.--A local educational 
        agency that is eligible to receive a payment under this 
        section for Federal property acquired by the Federal 
        Government before the date of enactment of the 
        Educational Opportunities Act shall be eligible to 
        receive the payment if--
                  (A) the Federal property, when combined with 
                other Federal property in the school district 
                served by the local educational agency acquired 
                by the Federal Government after the date of 
                enactment, meets the requirements of subsection 
                (a); and
                  (B) the local educational agency submits an 
                application for a payment under this section 
                not later than 5 years after the date of 
                acquisition of the Federal property acquired 
                after the date of enactment.
          (3) New federal property.--A local educational agency 
        that is eligible to receive a payment under this 
        section for Federal property acquired by the Federal 
        Government after the date of enactment of the 
        Educational Opportunities Act shall be eligible to 
        receive the payment only if the local educational 
        agency submits an application for a payment under this 
        section not later than 5 years after the date of 
        acquisition.

SEC. 8003. [20 U.S.C. 7703] PAYMENTS FOR ELIGIBLE FEDERALLY CONNECTED 
                    CHILDREN.

    (A) Computation of Payment.--
          (1) In general.--For the purpose of computing the 
        amount that a local educational agency is eligible to 
        receive under [subsection (b), (d), or (f)] subsection 
        (b) or (d) for any fiscal year, the Secretary shall 
        determine the number of children who were in average 
        daily attendance in the schools of such agency, and for 
        whom such agency provided free public education, during 
        the preceding school year and who, while in attendance 
        at such schools--
                  (D) Multiply the number of children described 
                in [subparagraphs (D) and (E) of paragraph (1) 
                by a factor of 10] subparagraph (D) of 
                paragraph (1) by a factor of .25.
                  (E) multiply the number of children described 
                in subparagraph (E) of paragraph (1) by a 
                factor of .10.
                  [(E)] (F) Multiply the number of children 
                described in subparagraphs (F) and (G) of 
                paragraph (1) by a factor of .05.

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          (4) Military installation housing [undergoing 
        renovation.] undergoing renovation or rebuilding.--[For 
        purposes]
                  (A) In general.--For purposes of computing 
                the amount of a payment for a local educational 
                agency for children described in paragraph 
                (1)(D)(i), the Secretary shall consider such 
                children to be children described in paragraph 
                (1)(B) if the Secretary determines, on the 
                basis of a certification provided to the 
                Secretary by a designated representative of the 
                Secretary of Defense, that such children would 
                have resided in housing on Federal property in 
                accordance with paragraph (1)(B) except that 
                such housing was under going renovation or 
                rebuilding on the date for which the Secretary 
                determines the number of children under 
                paragraph (1).
                  (B) Limitations.--(i)(I) Except as provided 
                in subclause (II), children described in 
                paragraph (1)(D)(i) may be deemed to be 
                children described in paragraph (1)(B) with 
                respect to housing on Federal property 
                undergoing renovation or rebuilding in 
                accordance with subparagraph (A) for a period 
                not to exceed 2 fiscal years.
                  (II) If the Secretary determines, on the 
                basis of a certification provided to the 
                Secretary by a designated representative of the 
                Secretary of Defense, that the expected 
                completion date of the renovation or rebuilding 
                of the housing has been delayed by not less 
                than 1 year, then--
                          (aa) in the case of a determination 
                        made by the Secretary in the 1st fiscal 
                        year described in subclause (I), the 
                        time period described such subclause 
                        shall be extended by the Secretary for 
                        an additional 2 years; and
                          (bb) in the case of a determination 
                        made by the Secretary in the 2nd fiscal 
                        year described in subclause (I), the 
                        time period described such subclause 
                        shall be extended by the Secretary for 
                        an additional 1 year.
                  (ii) The number of children described in 
                paragraph (1)(D)(i) who are deemed to be 
                children described in paragraph (1)(B) with 
                respect to housing on Federal property 
                undergoing renovation or rebuilding in 
                accordance with subparagraph (A) for any fiscal 
                year may not exceed the maximum number of 
                children who are expected to occupy that 
                housing upon completion of the renovation or 
                rebuilding.
          (5) Military ``build to lease'' program housing.--
                  (A) In general.--For purposes of computing 
                the amount of payment for a local educational 
                agency for children identified underparagraph 
(1), the Secretary shall consider children residing in housing 
initially acquired or constructed under the former section 2828(g) of 
title 10, United States Code (commonly known as the `Build to Lease' 
program), as added by section 801 of the Military Construction 
Authorization Act, 1984, to be children described under paragraph 
(1)(B) if the property described is within the fenced security 
perimeter of the military facility upon which such housing is situated.
                  (B) Additional requirements.--If the property 
                described in subparagraph (A) is not owned by 
                the Federal Government, is subject to taxation 
                by a State or political subdivision of a State, 
                and thereby generates revenues for a local 
                educational agency that is applying to receive 
                a payment under this section, then the 
                Secretary--
                          (i) shall require the local 
                        educational agency to provide 
                        certification from an appropriate 
                        official of the Department of Defense 
                        that the property is being used to 
                        provide military housing; and
                          (ii) shall reduce the amount of the 
                        payment under this section by an amount 
                        equal to the amount of revenue from 
                        such taxation received in the second 
                        preceding fiscal year by such local 
                        educational agency, unless the amount 
                        of such revenue was taken into account 
                        by the State for such second preceding 
                        fiscal year and already resulted in a 
                        reduction in the amount of State aid 
                        paid to such local educational agency.
    (b) Basic Support Payments and Payments With Respect to 
Fiscal Years in Which Insufficient Funds Are Appropriated.--
          (1) Basic support payments.--
                  (A) In general.--* * *

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                  (C) Maximum amount.--The maximum amount that 
                a local educational agency is eligible to 
                receive under [this subsection] this paragraph 
                for any fiscal year is the sum of the total 
                weighted student units, as computed under 
                subsection (a)(2), multiplied by the greater 
                of--

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                  (D) Data.--If satisfactory data from the 
                third preceding fiscal year are not available 
                for any of the expenditures described in clause 
                (i) or (ii) of subparagraph (C), the Secretary 
                shall use data from the most recent fiscal year 
                for which data that are satisfactory to the 
                Secretary are available.

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          (2) Use of funds.--A local educational agency that 
        receives funds under paragraph (1) shall use such funds 
        to provide [a free appropriate public education] 
        services to children described in paragraph (1) in 
        accordance with the Individuals with Disabilities 
        Education Act (20 U.S.C. 1400 et seq.).
          (2) Basic Support Payments for Heavily Impacted Local 
        Educational Agencies.--
                  (A) In general.--(i) From the amount 
                appropriated under section 8014(b) for a fiscal 
                year, the Secretary is authorized to make basic 
                support payments to eligible heavily impacted 
                local educational agencies with children 
                described in subsection (a).
                  (ii) A local educational agency that receives 
                a basic support payment under this paragraph 
                for a fiscal year shall not be eligible to 
                receive a basic support payment under paragraph 
                (1) for that fiscal year.
                  (B) Eligibility for continuing heavily 
                impacted local educational agencies.--
                          (i) In general.--A heavily impacted 
                        local educational agency is eligible to 
                        receive a basic support payment under 
                        subparagraph (A) with respect to a 
                        number of children determined under 
                        subsection (a)(1) if the agency--
                                  (I) received an additional 
                                assistance payment under 
                                subsection (f) (as such 
                                subsection was in effect on the 
                                day before the date of the 
                                enactment of the Educational 
                                Opportunities Act) for fiscal 
                                year 2000; and
                                  (II)(aa) is a local 
                                educational agency whose 
                                boundaries are the same as a 
                                Federal military installation;
                                  (bb) has an enrollment of 
                                children described in 
                                subsection (a)(1) that 
                                constitutes a percentage of the 
                                total student enrollment of the 
                                agency which is not less than 
                                35 percent, has a per-pupil 
                                expenditure that is less than 
                                the average per-pupil 
                                expenditure of the State in 
                                which the agency is located or 
                                the average per-pupil 
                                expenditure of all States 
                                (whichever average per-pupil 
                                expenditure is greater), except 
                                that a local educational agency 
                                with a total student enrollment 
                                of less than 350 students shall 
                                be deemed to have satisfied 
                                such per-pupil expenditure 
                                requirement, and has a tax rate 
                                for general fund purposes which 
                                is not less than 95 percent of 
                                the average tax rate for 
                                general fund purposes of local 
                                educational agencies in the 
                                State;
                                  (cc) has an enrollment of 
                                children described in 
                                subsection (a)(1) that 
                                constitutes a percentage of the 
                                total student enrollment of the 
                                agency which is not less than 
                                30 percent, and has a tax rate 
                                for general fund purposes which 
                                is not less than 125 percent of 
                                the average tax rate for 
                                general fund purposes for local 
                                educational agencies in the 
                                State;)
                                  (dd) has a total student 
                                enrollment of not less than 
                                25,000 students, of which not 
                                less than 50 percent are 
                                children described in 
                                subsection (a)(1) and not less 
                                than 6,000 of such children are 
                                children described in 
                                subparagraphs (A) and (B) of 
                                subsection (a)(1); or
                                  (ee) meets the requirements 
                                of subsection (f)(2) applying 
                                the date requirements of 
                                subsection (f)(4) (as such 
                                subsections were in effect on 
                                the day before the date of the 
                                enactment of the Educational 
                                Opportunities Act).
                          (ii) Loss of eligibility.--A heavily 
                        impacted local educational agency that 
                        met the requirements of clause (i) for 
                        a fiscal year shall be ineligible to 
                        receive a basic support payment under 
                        subparagraph (A) if the agency fails to 
                        meet the requirements of clause (i) for 
                        subsequentfiscal year, except that such 
agency shall continue to receive a basic support payment under this 
paragraph for the fiscal year for which the ineligibility determination 
is made.
                          (iii) Resumption of eligibility.--A 
                        heavily impacted local educational 
                        agency described in clause (i) that 
                        becomes ineligible under such clause 
                        for 1 or more fiscal years may resume 
                        eligibility for a basic support payment 
                        under this paragraph for a subsequent 
                        fiscal year only if the agency meets 
                        the requirements of clause (i) for that 
                        subsequent fiscal year, except that 
                        such agency shall not receive a basic 
                        support payment under this paragraph 
                        until the fiscal year succeeding the 
                        fiscal year for which the eligibility 
                        determination is made.
                  (C) Eligibility for new heavily impacted 
                local educational agencies.--
                          (i) In general.--A heavily impacted 
                        local educational agency that did not 
                        receive an additional assistance 
                        payment under subsection (f) (as such 
                        subsection was in effect on the day 
                        before the date of the enactment of the 
                        Educational Opportunities Act) for 
                        fiscal year 2000 is eligible to receive 
                        a basic support payment under 
                        subparagraph (A) for fiscal year 2002 
                        and any subsequent fiscal year with 
                        respect to a number of children 
                        determined under subsection (a)(1) only 
                        if the agency is a local educational 
                        agency whose boundaries are the same as 
                        a Federal military installation, or the 
                        agency--
                                  (I) has an enrollment of 
                                children described in 
                                subsection (a)(1) that 
                                constitutes a percentage of the 
                                total student enrollment of the 
                                agency that--
                                          (aa) is not less than 
                                        50 percent if such 
                                        agency receives a 
                                        payment on behalf of 
                                        children described in 
                                        subparagraphs (F) and 
                                        (G) of such subsection; 
                                        or
                                          (bb) is not less than 
                                        40 percent if such 
                                        agency does not receive 
                                        a payment on behalf of 
                                        such children;
                                  (II)(aa) for a local 
                                educational agency that has a 
                                total student enrollment of 350 
                                or more students, has a per-
                                pupil expenditure that is less 
                                than the average per-pupil 
                                expenditure of the State in 
                                which the agency is located; or
                                  (bb) for a local educational 
                                agency that has a total student 
                                enrollment of less than 350 
                                students, has a per-pupil 
                                expenditure that is less than 
                                the average per-pupil 
                                expenditure of a comparable 
                                local educational agency in the 
                                State in which the agency is 
                                located, as defined in 
                                regulations promulgated by the 
                                Secretary; and
                                  (III) has a tax rate for 
                                general fund purposes that is 
                                not less than 95 percent of the 
                                average tax rate for general 
                                fund purposes of local 
                                educational agencies in the 
                                State.
                          (ii) Resumption of eligibility.--A 
                        heavily impacted local educational 
                        agency described in clause (i) that 
                        becomes ineligible under such clause 
                        for 1 or more fiscal years may resume 
                        eligibility for a basic support payment 
                        under this paragraph for a subsequent 
                        fiscal year only if the agency is a 
                        local educational agency whose 
                        boundaries are the same as a Federal 
                        military installation, or meets the 
                        requirements of clause (i), for that 
                        subsequent fiscal year, except that 
                        such agency shall continue to receive a 
                        basic support payment under this 
                        paragraph for the fiscal year for which 
                        the ineligibility determination is 
                        made.
                          (iii) Application.--With respect to 
                        the first fiscal year for which a 
                        heavily impacted local educational 
                        agency described in clause (i) applies 
                        for a basic support payment under 
                        subparagraph (A), or with respect to 
                        the first fiscal year for which a 
                        heavily impacted local educational 
                        agency applies for a basic support 
                        payment under subparagraph (A) after 
                        becoming ineligible under clause (i) 
                        for 1 or more preceding fiscal years, 
                        the agency shall apply for such payment 
                        at least 1 year prior to the start of 
                        that first fiscal year.
                  (D) Maximum amount for regular heavily 
                impacted local educational agencies.--(i) 
                Except as provided in subparagraph (E), the 
                maximum amount that a heavily impacted local 
                educational agency is eligible to receive under 
                this paragraph for any fiscal year is the sum 
                of the total weighted student units, as 
                computed under subsection (a)(2) and subject to 
                clause (ii), multiplied by the greater of--
                          (I) four-fifths of the average per-
                        pupil expenditure of the State in which 
                        the local educational agency is located 
                        for the third fiscal year preceding the 
                        fiscal year for which the determination 
                        is made; or
                          (II) four-fifths of the average per-
                        pupil expenditure of all of the States 
                        for the third fiscal year preceding the 
                        fiscal year for which the determination 
                        is made.
                  (ii)(I) For a local educational agency with 
                respect to which 35 percent or more of the 
                total student enrollment of the schools of the 
                agency are children described in subparagraph 
                (D) or (E) (or a combination thereof) of 
                subsection (a)(1), the Secretary shall 
                calculate the weighted student units of such 
                children for purposes of subsection (a)(2) by 
                multiplying the number of such children by a 
                factor of 0.55.
                  (II) For a local educational agency that has 
                an enrollment of 100 or fewer children 
                described in subsection (a)(1), the Secretary 
                shall calculate the total number of weighted 
                student units for purposes of subsection (a)(2) 
                by multiplying the number of such children by a 
                factor of 1.75.
                  (III) For a local educational agency that has 
                an enrollment of more than 100 but not more 
                than 750 children described in subsection 
                (a)(1), the Secretary shall calculate the total 
                number of weighted student units for purposes 
                of subsection (a)(2) by multiplying the number 
                of such children by a factor of 1.25.
                  (iii) Notwithstanding subsection (a)(3), the 
                Secretary shall compute the payment for a 
                heavily impacted local educational agency under 
                this subparagraph for all children described in 
                subsection (a)(1) that are served by the 
                agency.
                  (E) Maximum amount for large heavily impacted 
                local educational agencies.--(i)(I) Subject to 
                clause (ii), the maximum amount that a heavily 
                impacted local educational agency described in 
                subclause (II) is eligible to receive under 
                this paragraph for any fiscal year shall be 
                determined in accordance with the formula 
                described in paragraph (1)(C).
                  (II) A heavily impacted local educational 
                agency described in this subclause is a local 
                educational agency that has a total student 
                enrollment of not less than 25,000 students, of 
                which not less than 50 percent are children 
                described in subsection (a)(1) and not less 
                than 6,000 of such children are children 
                described in subparagraphs (A) and (B) of 
                subsection (a)(1).
                  (ii) For purposes of calculating the maximum 
                amount described in clause (i), the factor used 
                in determining the weighted student units under 
                subsection (a)(2) with respect to children 
                described in subparagraphs (A) and (B) of 
                subsection (a)(1) shall be 1.35.
                  (F) Data.--For purposes of providing 
                assistance under this paragraph the Secretary 
                shall use student, revenue, expenditure, and 
                tax data from the third fiscal year preceding 
                the fiscal year for which the local educational 
                agency is applying for assistance under this 
                paragraph.
          [(2) (3) Payments with respect to fiscal years in 
        which insufficient funds are appropriated.--
                  (A) In general.--For any fiscal year in which 
                the sums appropriated under section 8014(b) are 
                insufficient to pay to each local educational 
                agency the full amount computed under 
                [paragraph (1)] paragraphs (1) and (2), the 
                Secretary shall make payments in accordance 
                with this paragraph.
                  (B) Learning opportunity threshold payments 
                in lieu of payments under paragraph (1).--(i) 
                For fiscal years described in subparagraph (A), 
                the Secretary shall compute a learning 
                opportunity threshold payment (hereafter in 
                this title referred to as the ``threshold 
                payment'') by multiplying in lieu of basic 
                support payments under paragraph (1) the amount 
                obtained under paragraph (1)(C) by the total 
                percentage obtained by adding--
                          (I) the percentage of federally 
                        connected children for each local 
                        educational agency determined by 
                        calculating the fraction, the numerator 
                        of which is the total number of 
                        children described under subsection 
                        (a)(1) and the denominator of which is 
                        the total number of children in average 
                        daily attendance at the schools served 
                        by such agency; and
                          (II) the percentage that funds under 
                        paragraph (1)(C) represent of the total 
                        budget of the local educational agency, 
                        determined by calculating the fraction, 
                        the numerator of which is the total 
                        amount of funds calculated for each 
                        local educational agency under this 
                        paragraph [(not including amounts 
                        received under subsection (f))], and 
                        the denominator of which is the total 
                        current expenditures for such agency in 
                        the second preceding fiscal year for 
                        which the determination is made.
                  (ii) Such total percentage used to calculate 
                threshold payments under paragraph (1) shall 
                not exceed 100.
                  (iii) For the purpose of determining and 
                percentages described in subclauses (I) and 
                (II) of clause (i) that are applicable to the 
                local educational agency providing free public 
                education to students in grades 9 through 12 
                residing on Hanscom Air Force Base, 
                Massachusetts, the Secretary shall consider 
                only that portion of such agency's total 
                enrollment of students in grades 9 through 12 
                when calculating the percentage under such 
                subclause (I) and only that portion of the 
                total current expenditures attributed to the 
                operation of grades 9 through 12 in such agency 
                when calculating the percentage under subclause 
                (II).
                  (C) Learning opportunity threshold payments 
                in lieu of payments under paragraph (2).--For 
                fiscal years described in subparagraph (A), the 
                learning opportunity threshold payment in lieu 
                of basic support payments under paragraph (2) 
                shall be equal to the amount obtained under 
                subparagraph (D) or (E) of paragraph (2), as 
                the case may be.
                  [(C)] (D) Ratable distribution.--For fiscal 
                years described in subparagraph (A), the 
                Secretary shall make payments as a ratable 
                distribution based upon the [computation made 
                under subparagraph (B)] computations made under 
                subparagraphs (B) and (C).
          [(3)] (4) States with only one local educational 
        agency.--
                  (A) In general.--In any of the 50 States of 
                the United States in which there is only one 
                local educational agency, the Secretary shall, 
                for purposes of [paragraphs (1)(B), (1)(C), and 
                (2) of this subsection] subparagraphs (B) and 
                (C) of paragraph (1) or subparagraphs (B) 
                through (D) of paragraph (2), as the case may 
                be, paragraph (3) of this subsection, and 
                subsection (e), consider each administrative 
                school district in the State to be a separate 
                local educational agency.
                  (B) Computation of maximum amount of basic 
                support payment and threshold payment.--In 
                computing the maximum payment amount under 
                paragraph (1)(C), or subparagraph (D) or (E) of 
                paragraph (2), as the case may be, and the 
                learning opportunity threshold payment under 
                [paragraph (2)(B)] subparagraph (B) or (C) of 
                paragraph (3), as the case may be, for an 
                administrative school district described in 
                subparagraph (A)--
                          (i) the Secretary shall first 
                        determine the maximum payment amount 
                        and the total current expenditures for 
                        the State as a whole; and
                          (ii) the Secretary shall then--
                                  (I) proportionately allocate 
                                such maximum payments amount 
                                among the administrative school 
                                districts on the basis of the 
                                respective weighted student 
                                units of such districts; and
                                  (II) proportionately allocate 
                                such total current expenditures 
                                among the administrative school 
                                districts on the basis of the 
                                respective number of students 
                                in average daily attendance at 
                                such districts.
    (c) Prior Year Data.--
          (1) In general.--Except as provided in [paragraph (2) 
        and subsection (f)] subsections (b)(1)(D), (b)(2), and 
        paragraph (2), all calculations under this section 
        shall be based on data for each local educational 
        agency from not later than the fiscal year preceding 
        the fiscal year for which the agency is making 
        application for payment.

           *       *       *       *       *       *       *

    (e) Hold-Harmless Amounts.--
          [(1) In general.--(A) Except as provided in paragraph 
        (4)(A), the total amount that the Secretary shall pay a 
        local educational agency under subsection (b) shall not 
        be less than 85 percent of the amount such agency 
        received for the preceding fiscal year--
                  [(i) in the case of fiscal year 1995 only, 
                under subsections (a) and (b) of section 3 of 
                the Act of September 30, 1950 (Public Law 874, 
                81st Congress) (as such section was in effect 
                on the day preceding the date of enactment of 
                the Improving America's Schools Act of 1994); 
                or
                  [(ii) in the case of fiscal years 1996, 1997, 
                1998, or 1999, under such subsection (b).
          [(B) For fiscal year 1995 only, the Secretary shall 
        pay, to each local educational agency that is not 
        eligible for a payment under subsection (b) but that 
        received a payment under section 3 of the Act of 
        September 30, 1950 (Public Law 874, 81st Congress) (as 
        such Act was in effect on the day preceding the date of 
        enactment of the Improving America's Schools Act of 
        1994) for fiscal year 1994, an amount which is not less 
        than 85 percent of the payment such agency received 
        under such section 3 for fiscal year 1994.
          [(2) Two-year applicability.--Paragraph (1)(A) shall 
        apply to any one local educational agency for a maximum 
        of two consecutive fiscal years.
          [(3) Phase-out payment.--A local educational agency 
        which received a payment under section 3(e) of the Act 
        of September 30, 1950 (Public Law 874, 81st Congress) 
        (as such section was in effect on the day preceding the 
        date of enactment of the Improving America's Schools 
        Act of 1994) for fiscal year 1994 is eligible to 
        receive a payment, under subsection (b) for fiscal year 
        1995, in an amount which is not less than 85 percent of 
        the amount received by such agency in fiscal year 1994 
        under such section 3(e).
          [(4) Ratable reductions.--(A)(i) If necessary in 
        order to make payments to local educational agencies in 
        accordance with paragraphs (1) and (2), the Secretary 
        first shall ratably reduce payments under subsection 
        (b) to local educational agencies that do not receive a 
        payment under this subsection.
          [(ii) If additional funds become available for making 
        payments under subsection (b) for such fiscal year, 
        payments that were reduced under clause (i) shall be 
        increased on the same basis as such payments were 
        reduced.
          [(B)(i) If the sums made available under this title 
        for any fiscal year are insufficient to pay the full 
        amounts that all local educational agencies in all 
        States are eligible to receive under paragraphs (1) and 
        (2) after the application of subparagraph (A) for such 
        year, the Secretary shall ratably reduce payments to 
        all such agencies for such year.
          [(ii) If additional funds become available for making 
        payments under paragraphs (1) and (2) for such fiscal 
        year, payments that were reduced under clause (i) shall 
        be increased on the same basis as such payments were 
        reduced.]
    (e) Hold Harmless.--
          (1) In general.--Except as provided in paragraph (2), 
        the total amount the Secretary shall pay a local 
        educational agency under this section for fiscal year 
        2001 and each succeeding fiscal year shall not be less 
        than--
                  (A) the result obtained by dividing the 
                amount received by the local educational agency 
                under this subsection for fiscal year 2000 by 
                the total weighted student units calculated for 
                the local educational agency under subsection 
                (a)(2) for fiscal year 2000; multiplied by
                  (B) the total weighted student units 
                calculated for the local educational agency 
                under subsection (a)(2) (as such subsection was 
                in effect on the day preceding the date of 
                enactment of the Educational Opportunities Act) 
                for the fiscal year for which the determination 
                is made.
          (2) Ratable reductions.--
                  (A) In general.--If the sums made available 
                under this title for any fiscal year are 
                insufficient to pay the full amounts that all 
                local educational agencies in all States are 
                eligible to receive under paragraph (1) for 
                such year, then the Secretary shall ratably 
                reduce the payments to all such agencies for 
                such year.
                  (B) Additional funds.--If additional funds 
                become available for making payments under 
                paragraph (1) for such fiscal year, payments 
                that were reduced under subparagraph (A) shall 
                be increased on the same basis as such payments 
                were reduced.
    [(f) Additional Assistance for Heavily Impacted Local 
Educational Agencies.--
          [(1) Reservation.--From amounts appropriated under 
        section 8014(b) for a fiscal year, the Secretary shall 
        provide additional assistance to meet special 
        circumstances relating to the provision of education in 
        local educational agencies eligible to receive 
        assistance under this section.
          [(2) Eligibility.--A local educational agency is 
        eligible to receive additional assistance under this 
        subsection if such agency is eligible for a 
        supplementary payment in accordance with subparagraph 
        (B) or such agency
                  [(i)(I) has an enrollment of federally 
                connected children described in subsection 
                (a)(1) which constitutes a percentage of the 
                total student enrollment of such agency which 
                is not less than 50 percent if such agency 
                receives a payment on behalf of children 
                described in subparagraphs (F) and (G) of such 
                subsection, or not less than 40 percent if such 
                agency does not receive a payment on behalf of 
                such children; and
                  [(II) has a tax rate for general fund 
                purposes which is at least 95 percent of the 
                average tax rate for general fund purposes of 
                comparable local educational agencies in the 
                State;
                  [(ii)(I) has an enrollment of federally 
                connected children described in subsection 
                (a)(1) which constitutes at least 35 percent of 
                the total student enrollment of such agency; 
                and
                  [(II) has a tax rate for general fund 
                purposes which is at least 125 percent of the 
                average tax rate for general fund purposes of 
                comparable local educational agencies in the 
                State; or
                  [(iii) is a local educational agency whose 
                boundaries are the same as a Federal military 
                installation.
          [(B) If the current expenditures in those local 
        educational agencies which the Secretary has determined 
        to be generally comparable to the local educational 
        agency for which a computation id made under subsection 
        (b)(1)(C) are not reasonably comparable because of 
        unusual geographical factors which affect the current 
        expenditures necessary to maintain, in such agency, a 
        level of educational equivalent to that maintained in 
        such other agencies, then the Secretary shall increase 
        the local contribution rate for such agency by such an 
        amount which the Secretary determines will compensate 
        such agency for the increase in current expenditures 
        necessitated by such unusual geographical factors. The 
        amount of any such supplementary payment may not exceed 
        the per-pupil share (computed with regard to all 
        children in average daily attendance), as determined by 
        the Secretary, of the increased current expenditures 
        necessitated by such unusual geographic factors.
          [(C) Any local educational agency determined eligible 
        under clause (iii) of subparagraph (A) shall be deemed 
        to have met the tax effort requirements for eligibility 
        under clause (i)(II) or (ii)(II) of such subparagraph.
          [(D) A local educational agency shall only be 
        eligible to receive additional assistance under this 
        subsection if the Secretary determines that--
                  [(i) such agency is exercising due diligence 
                in availing itself of State and other financial 
                assistance; and
                  [(ii) the eligibility of such agency under 
                State law for State aid with respect to the 
                free public education of children described in 
                subsection (a)(1) and the amount of such aid 
                are determined on a basis no less favorable to 
                such agency than the basis used in determining 
                the eligibility of local educational agencies 
                for State aid, and the amount of such aid, with 
                respect to the free public education of other 
                children in the State.
          [(3) Maximum Payments.--
                  [(A) In General.--Subject to subparagraph 
                (B), the Secretary shall determine the maximum 
                amount that a local educational agency may 
                receive under this subsection (other than any 
                amount received under paragraph (2)(B)) in 
                accordance with the following computations: The 
                Secretary, in conjunction with the local 
                educational agency, shall first determine each 
                of the following:
                          [(I) The average per-pupil 
                        expenditure of the State in which the 
                        local educational agency is located.
                          [(II) the average per-pupil 
                        expenditure of generally comparable 
                        local educational agencies located in 
                        the State of local educational agency, 
                        as defined in regulations issued by the 
                        Secretary.
                          [(III) The average per-pupil 
                        expenditure of three generally 
                        comparable local educational agencies 
                        located in the State of the local 
                        educational agency, as defined in 
                        regulations issued by the Secretary.
                  The local educational agency shall select one 
                of the amounts determined under subclause (I), 
                (II), or (III) for purposes of the remaining 
                computations under this subparagraph.
                          [(ii) The Secretary shall next 
                        multiply the amount determined under 
                        clause (i) by the total number of 
                        students in average daily attendance at 
                        the schools of the local educational 
                        agency.
                          [(iii) The Secretary shall next 
                        subtract from the amount determined 
                        under clause (ii) all funds available 
                        to the local educational agency for 
                        currentexpenditures, but, except as 
provided in subparagraph (C), shall not so subtract funds provided--
                                  [(I) under this Act; or
                                  [(II) by any department or 
                                agency of the Federal 
                                Government (other than the 
                                Department) that are used for 
                                capital expenses.
                          [(iv) If the tax rate used by the 
                        local educational agency is greater 
                        than 95 percent, but less than 100 
                        percent, of the tax rate of comparable 
                        local educational agencies, the 
                        Secretary shall next multiply the 
                        amount determined under clause (iii) by 
                        the percentage that the tax rate of the 
                        local educational agency is of--
                                  [(I) the average tax rate of 
                                its generally comparable local 
                                educational agencies; or
                                  [(II) the average tax rate of 
                                all the local educational 
                                agencies in the State in which 
                                the local educational agency is 
                                located.
                          [(v) The Secretary shall next 
                        subtract the total amount of payments 
                        received by a local educational agency 
                        under subsections (b) and (d) for a 
                        fiscal year from the amount determined 
                        under clause (iii) or clause (iv), as 
                        the case may be.
                  [(B) Special rule.--With respect to payments 
                under this subsection for a fiscal year for a 
                local educational agency described in clause 
                (ii) or (iii) of paragraph (2)(A), the maximum 
                amount of payments under this subsection shall 
                be equal to--
                          [(i) the product of--
                                  [(I) the average per-pupil 
                                expenditure in all States 
                                multiplied by 0.7, except that 
                                such amount may not exceed 125 
                                percent of the average per-
                                pupil expenditure in all local 
                                educational agencies in the 
                                State; multiplied by
                                  [(II) the number of students 
                                described in subparagraph (A) 
                                or (B) of subsection (a)(1) for 
                                such agency; minus
                          [(ii) the amount of payment such 
                        agency receives under subsections (b) 
                        and (d) of such year.
                  [(C) Determination of available funds.--When 
                determining the amount of funds available to 
                the local educational agency for current 
                expenditures for purposes of subparagraph 
                (A)(iii) for a fiscal year, the Secretary shall 
                include, with respect to the local educational 
                agency's opening cash balance for such fiscal 
                year, the portion of such balance that is the 
                greater of--
                          [(i) the amount that exceeds the 
                        maximum amount of funds for current 
                        expenditures that the local educational 
                        agency was allowed by State law to 
                        carry over from the prior fiscal year, 
                        if State restrictions on such amounts 
                        were applied uniformly to all local 
                        educational agencies in the State; or
                          [(ii) the amount that exceeds 30 
                        percent of the local educational 
                        agency's operating costs for the prior 
                        fiscal year.
          [(4) Data.--For purposes of providing assistance 
        under this subsection the Secretary shall use student, 
        revenue, expenditure, and tax data from the second 
        fiscal year preceding the fiscal year for which the 
        local educational agency is applying for assistance 
        under this subsection.
          [(5) Reduction in payments.--If funds appropriated to 
        carry out this subsection are insufficient to pay in 
        full the amounts determined under paragraph (3), the 
        Secretary shall ratably reduce the payment to each 
        eligible local educational agency.
    [(g) Additional Payments for Local Educational Agencies 
With High Concentrations of Children With Severe 
Disabilities.--
          [(1) In general.--If any local educational agency 
        receives Federal funds from sources other than this 
        title to carry out the purposes of this title for any 
        fiscal year due to the enrollment of children described 
        under subsection (a), then the Secretary shall consider 
        such funds as a payment to such agency under this part 
        for such fiscal year.
          [(2) Special rule.--Notwithstanding any other 
        provision of law, if funds appropriated pursuant to 
        section 8014(b) for payment under subsection (b) to 
        such agency for a fiscal year which, when added to the 
        funds described in paragraph (1) received by such 
        agency for such fiscal year, exceed the maximum amount 
        described under subsection (b)(1)(C), then the 
        Secretary shall make available from the funds 
        appropriated under section 8014(b) for such fiscal year 
        such excess amounts to any local educational agency 
        swerving two or more children described under 
        subparagraph (B) or (D) of subsection (a)(1) who have a 
        severe disability and a parent serving in the uniformed 
        services (as defined by section 101 of title 37, United 
        States Code) who is assigned to a particular permanent 
        duty station for compassionate reasons (compassionate 
        post assignment) for the total costs associated with 
        such children who are provided an educational program 
        provided outside the schools of such agency.
          [(3) Remaining funds.--If funds remain after payments 
        are made under paragraph (2) for any fiscal year, then 
        such remaining funds shall be made available for 
        expenditures under subsection (d) in such fiscal year 
        on a pro rata basis consistent with the requirements of 
        such subsection.
          [(4) Ratable reductions.--If amounts available to 
        carry out paragraph (2) for any fiscal year are 
        insufficient to pay in full the total payment that all 
        eligible local educational agencies are eligible to 
        receive under such paragraph for such year, then the 
        Secretary shall ratably reduce such payments to such 
        agencies for such year.]
    [(h)] (f) Other Funds.--Notwithstanding any other provision 
of law, a local educational agency receiving funds under this 
section may also receive funds under section 6 of the Act of 
September 30, 1950 (Public Law 874, 81st Congress) (as such 
section was in effect on the day preceding the date of 
enactment of the Improving America's Schools Act of 1994) 
section 386 of the National Defense Authorization Act for 
Fiscal Year 1993 or such section's successor authority.
    [(i)] (g) Maintenance of Effort.--A local educational 
agency may receive funds under sections 8002 and 8003(b) for 
any fiscal year only if the State educational agency finds that 
either the combined fiscal effort per student or the aggregate 
expenditures of that agency and the State with respect to the 
provision of free public education by that agency for the 
preceding fiscal year was not less than 90 percent of such 
combined fiscal effort or aggregate expenditures for the second 
preceding fiscal year.

           *       *       *       *       *       *       *


[SEC. 8006. [20 U.S.C. 7706] PAYMENTS FOR SUDDEN AND SUBSTANTIAL 
                    INCREASES IN ATTENDANCE OF MILITARY DEPENDENTS.

    [(a) Eligibility.--A local educational agency is eligible 
for a payment under this section if--
          [(1) the number of children in average daily 
        attendance during the school year for which the 
        determination is made is at least 10 percent or 100 
        more than the number of children in average daily 
        attendance in the school year preceding the school year 
        for which the determination is made; and
          [(2) the number of children in average daily 
        attendance with a parent on active duty (as defined in 
        section 101(18) of title 37, United States Code) in the 
        Armed Forces who are in attendance at such agency 
        because of the assignment of their parent to a new duty 
        station between May 15 and September 30, inclusive, of 
        the fiscal year for which the determination is made, as 
        certified by an appropriate local official of the 
        Department of Defense, is at least 10 percent or 100 
        more than the number of children in average daily 
        attendance in the preceding school year.
    [(b) Application.--A local educational agency that wishes 
to receive a payment under this section shall file an 
application with the Secretary by October 15 of the school year 
for which payment is requested, in such manner and containing 
such information as the Secretary may prescribe, including 
information demonstrating that such agency is eligible for such 
a payment.
    [(c) Children To Be Counted.--For each eligible local 
educational agency that applies for a payment under this 
section, the Secretary shall determine the lesser of--
          [(1) the increase in the number of children in 
        average daily attendance from the school year preceding 
        the fiscal year for which the determination is made; 
        and
          [(2) the number of children described in subsection 
        (a)(2).
    [(d) Payments.--
          [(1) In general.--Except as provided in paragraph 
        (2), from the amount appropriated for a fiscal year 
        under section 8014(d), the Secretary shall pay each 
        local educational agency with an approved application 
        an amount equal to one-half of the national average 
        per-pupil expenditure multiplied by the number of such 
        children determined under subsection (c) for that local 
        educational agency.
          [(2) Ratable reduction.--(A) If the amount 
        appropriated to carry out this section for any fiscal 
        year is insufficient to pay the full payment that all 
        eligible local educational agencies are eligible to 
        receive under this section for such year, then the 
        Secretary shall ratably reduce the payments to such 
        agencies for such year.
          [(B) If additional funds become available for making 
        payments under paragraph (1) for such fiscal year, 
        payments that were reduced under subparagraph (A) shall 
        be increased on the same basis as such payments were 
        reduced.
    [(e) Notification Process.--
          [(1) Establishment.--The Secretary shall establish, 
        with the Secretary of Defense, a notification process 
        relating to the closure of Department of Defense 
        facilities, or the adjustment of personnel levels 
        assigned to such facilities, which may substantially 
        affect the student enrollment levels of local 
        educational agencies which receive or may receive 
        payments under this title.
          [(2) Information.--Such process shall provide timely 
        information regarding such closures and such 
        adjustments--
                  [(A) by the Secretary of Defense to the 
                Secretary; and
                  [(B) by the Secretary to the affected local 
                educational agencies.]

[SEC. 8007. [20 U.S.C. 7707] CONSTRUCTION.

    [(a) Payments Authorized.--From the amount appropriated for 
each fiscal year under section 8014(e), the Secretary shall 
make payments to each local educational agency--
          [(1) that receives a basic payment under section 
        8003(b); and
          [(2)(A) in which the number of children determined 
        under section 8003(a)(1)(C) constituted at least 50 
        percent of the number of children who were in average 
        daily attendance in the schools of such agency during 
        the preceding school year;
          [(B) in which the number of children determined under 
        subparagraphs (B) and (D)(i) of section 8003(a)(1) 
        constituted at least 50 percent of the number of 
        children who were in average daily attendance in the 
        schools of such agency during the school year preceding 
        the school year for which the determination is made;
          [(C) that receives assistance under section 8003(f); 
        or
          [(D) that receives assistance under section 8006.
    [(b) Amount of Payments.--The amount of a payment to each 
such agency for a fiscal year shall be equal to--
          [(1) the amount appropriated under section 8014(e) 
        for such year; divided by
          [(2) the number of children determined under section 
        8003(a)(2) for all local educational agencies described 
        in subsection (a), but not including any children 
        attending a school assisted or provided by the 
        Secretary under section 8008 or section 10 of the Act 
        of September 23, 1950 (Public Law 815, 81st Congress) 
        (as such Act was in effect on the day preceding the 
        date of enactment of the Improving America's Schools 
        Act of 1994); multiplied by
          [(3) the number of such children determined for such 
        agency.
    [(c) Use of Funds.--Any local educational agency that 
receives funds under this section shall use such funds for 
construction, as defined in section 8013(3).]

SEC. 8007. SCHOOL CONSTRUCTION.

    (a) Payments Authorized for School Construction.--From 20 
percent of the amount appropriated for each fiscal year under 
section 8014(d), the Secretary shall make payments to each 
local educational agency--
          (1) that receives a basic payment under section 
        8003(b); and
          (2)(A) in which the number of children determined 
        under section 8003(a)(1)(C) constituted at least 50 
        percent of the number of children who were in average 
        daily attendance in the schools of such agency during 
        the preceding school year;
          (B) in which the number of children determined under 
        subparagraphs (B) and (D)(i) of section 8003(a)(1) 
        constituted at least 50 percent of the number of 
        children who were in average daily attendance in the 
        schools of such agency during the school years 
        preceding the school year for which the determination 
        is made; or
          (C) that receives assistance under section 8003(b)(2) 
        for the fiscal year preceding the school year for which 
        the determination is made.
    (b) Amount of Payments.--The amount of a payment to each 
such agency for a fiscal year shall be equal to--
          (1) the amount made available under subsection (a) 
        for the fiscal year; divided by
          (2) the remainder of--
                  (A) the number of children determined under 
                section 8003(a)(2) for all local educational 
                agencies described in subsection (a) for the 
                fiscal year; minus
                  (B) the number of children attending a school 
                facility described in section 8008(a) for which 
                the Secretary provided assistance under section 
                8008(a) for the previous fiscal year; 
                multiplied by
          (3) the sum of the number of children described in 
        paragraph (2) determined for such agency for the fiscal 
        year.
    (c) Use of Funds.--Any local educational agency that 
receives funds under this section shall use such funds for 
construction, as defined in section 8013(3).

SEC. 8007A. SCHOOL FACILITY MODERNIZATION.

    (a) Program Authorized.--
          (1) In general.--From 80 percent of the amount 
        appropriated for each fiscal year under section 
        8014(d), the Secretary shall award grants to eligible 
        local educational agencies to enable the local 
        educational agencies to carry out modernization of 
        school facilities.
          (2) Allocation among eligible local educational 
        agencies.--The Secretary shall allocate--
                  (A) 45 percent of the amount made available 
                under paragraph (1) for each fiscal year for 
                grants to local educational agencies described 
                in clause (i) or (ii) of subsection (b)(2)(A);
                  (B) 45 percent of such amount for grants to 
                local educational agencies described in 
                subsection (b)(2)(B); and
                  (C) 10 percent of such amount for grants to 
                local educational agencies described in 
                subsection (b)(2)(C).
          (3) Special rule.--A local educational agency 
        described in subsection (b)(2)(B) may use grant funds 
        made available under this section for a school facility 
        located on or near Federal property only if the school 
        facility is located at a school where not less than 50 
        percent of the children in average daily attendance in 
        the school for the preceding school year are children 
        for which a determination is made under section 
        8003(a)(1).
    (b) Eligibility Requirements.--A local educational agency 
is eligible to receive funds under this section only if--
          (1) such agency (or in the case of a local 
        educational agency that does not have the authority to 
        tax or issue bonds, such agency's fiscal agent) has no 
        capacity to issue bonds or is at such agency's limit in 
        bonded indebtedness for the purposes of generating 
        funds for capital expenditures, except that a local 
        educational agency that is eligible to receive funds 
        under section 8003(b)(2) shall be deemed to have met 
        the requirements of this paragraph; and
          (2)(A)(i) such agency received assistance under 
        section 8002(a) and has an assessed value of taxable 
        property per student in the school district that is 
        less than the average of the assessed value of taxable 
        property per student in the State in which the local 
        educational agency is located; or
          (ii) had an enrollment of children determined under 
        section 8003(a)(1)(C) which constituted at least 25 
        percent of the number of children who were in average 
        daily attendance in the schools of such agency during 
        the school year preceding the school year for which the 
        determination is made;
          (B) such agency received assistance under section 
        8003(b) and had an enrollment of children determined 
        under subparagraphs (A), (B), and (D) of section 
        8003(a)(1) which constituted at least 25 percent of the 
        number of children who were in average daily attendance 
        in the schools of such agency during the school year 
        preceding the school year for which the determination 
        is made; or
          (C) such agency had an enrollment of children 
        determined under section 8003(a)(1)(C) which 
        constituted at least 50 percent of the number of 
        children who were in average daily attendance in the 
        schools of such agency during the school year preceding 
        the school year for which the determination is made, 
        and has a school facility emergency, as determined by 
        the Secretary, that poses a health or safety hazard to 
        the students and school personnel assigned to the 
        school facility.
    (c) Award Criteria.--In awarding grants under this section 
the Secretary shall consider 1 or more of the following 
factors:
          (1)The extent to which the local educational agency 
        lacks the fiscal capacity to undertake the 
        modernization project without Federal assistance.
          (2) The extent to which property in the local 
        educational agency is nontaxable due to the presence of 
        the Federal Government.
          (3) The extent to which the local educational agency 
        serves high numbers or percentages of children 
        described in subparagraphs (A(), (B), (C), and (D) of 
        section 8003(a)(1).
          (4) The need for modernization to meet--
                  (A) the threat that the condition of the 
                school facility poses to the safety and well-
                being of students;
                  (B) overcrowding conditions as evidenced by 
                the use of trailers and portable buildings and 
                the potential for future overcrowding because 
                of increased enrollment; and
                  (C) facility needs resulting from actions of 
                the Federal Government.
          (5) The age of the school facility to be modernized.
    (d) Other Award Provisions.--
          (1) Amount consideration.--In determining the amount 
        of a grant awarded under this section, the Secretary 
        shall consider the cost of the modernization and the 
        ability of the local educational agency to produce 
        sufficient funds to carry out the activities for which 
        assistance is sought.
          (2) Federal share.--The Federal funds provided to a 
        local educational agency under this section shall not 
        exceed 50 percent of the total cost of the project to 
        be assisted under this section. A local educational 
        agency may use in-kind contributions to meet the 
        matching requirement of the preceding sentence.
          (3) Maximum grant.--A local educational agency may 
        not receive a grant under this section in an amount 
        that exceeds $3,000 during any 5-year period.
    (e) Applications.--A local educational agency desiring to 
receive a grant under this section shall submit an application 
to the Secretary at such time, in such manner, and accompanied 
by such information as the Secretary may require. Each 
application shall contain--
          (1) documentation of the agency's lack of bonding 
        capacity;
          (2) a listing of the school facilities to be 
        modernized, including the number and percentage of 
        children determined under section 8003(a)(1) in average 
        daily attendance in each school facility;
          (3) a description of the ownership of the property on 
        which the current school facility is located or on 
        which the planned school facility will be located;
          (4) a description of any school facility deficiency 
        that poses a health or safety hazard to the occupants 
        of the school facility and a description of how that 
        deficiency will be repaired;
          (5) a description of the modernization to be 
        supported with funds provided under this section;
          (6) a cost estimate of the proposed modernization; 
        and
          (7) such other information and assurances as the 
        Secretary may reasonably require.
    (f) Emergency Grants.--
          (1) Applications.--Each local educational agency 
        described in subsection (b)(2)(C) that desires a grant 
        under this section shall include in the application 
        submitted under subsection (e) a signed statement from 
        an appropriate State official certifying that a health 
        or safety deficiency exists.
          (2) Inapplicability of certain provisions.--
        Paragraphs (2) and (3) of subsection (d) shall not 
        apply to grants under this section awarded to local 
        educational agencies described in subsection (b)(2)(C).
          (3) Special rules.--The Secretary shall make every 
        effort to meet fully the school facility needs of local 
        educational agencies described in subsection (b)(2)(C).
          (4) Priority.--If the Secretary receives more than 1 
        application from local educational agencies described 
        in subsection (b)(2)(C) for grants under this section 
        for any fiscal year, the Secretary shall give priority 
        to local educational agencies based on when an 
        application was received and the severity of the 
        emergency as determined by the Secretary.
          (5) Consideration for following year.--A local 
        educational agency described in subsection (b)(2)(C) 
        that applies for a grant under this section for any 
        fiscal year and does not receive the grant shall have 
        the application for the grant considered for the 
        following fiscal year, subject to the priority 
        described in paragraph (4).
    (g) General Limitations.--
          (1) Real property.--No part of any grant funds 
        awarded under this section shall be used for the 
        acquisition of any interest in real property.
          (2) Maintenance.--Nothing in this section shall be 
        construed to authorize the payment of maintenance costs 
        in connection with any school facilities modernized in 
        whole or in part with Federal funds provided under this 
        section.
          (3) Environmental safeguards.--All projects carried 
        out with Federal funds provided under this section 
        shall comply with all relevant Federal, State, and 
        local environmental laws and regulations.
          (4) Athletic and similar school facilities.--No 
        Federal funds received under this section shall be used 
        for outdoor stadiums or other school facilities that 
        are primarily used for athletic contests or 
        exhibitions, or other events, for which admission is 
        charged to the general public.
    (h) Supplement Not Supplant.--An eligible local educational 
agency shall use funds received under this section only to 
supplement the amount of funds that would, in the absence of 
such Federal funds, be made available from non-Federal sources 
for the modernization of school facilities used for educational 
purposes, and not to supplant such funds.

           *       *       *       *       *       *       *


SEC. 8008. [20 U.S.C. 7708] FACILITIES.

    (a) Current Facilities.--From the amount appropriated for 
any fiscal year under section [8014(f)] 8014(e), the Secretary 
may continue to provide assistance for school facilities that 
were supported by the Secretary under section 10 of the Act of 
September 23, 1950 (Public Law 815, 81st Congress) (as such Act 
was in effect on the day preceding the date of the enactment of 
the Improving America's Schools Act of 1994).

SEC. 8009. [20 U.S.C. 7709] STATE CONSIDERATION OF PAYMENTS IN 
                    PROVIDING STATE AID.

    (a) General Prohibition.--Except as provided in subsection 
(b), a State may not--
          (1) consider payments under this title [or under the 
        Act of September 30, 1950 (Public Law 874, 81st 
        Congress) (as such Act was in effect on the day 
        preceding the date of enactment of the Improving 
        America's Schools Act of 1994)] in determining for any 
        fiscal year--

           *       *       *       *       *       *       *

    (b) State Equalization Plans.--
          [(1) In general.--A State may reduce State aid to a 
        local educational agency that receives a payment under 
        section 8002 or 8003(b) (except the amount calculated 
        in excess of 1.0 under subparagraph (B) of section 
        8003(a)(2)) or under the Act of September 30, 1950 
        (Public Law 874, 81st Congress) as such Act was in 
        effect on the day preceding the date of enactment of 
        the Improving America's Schools Act of 1994 (other than 
        an increase in payments described in paragraphs (2)(B), 
        (2)(C), (2)(D), or (3)(B)(ii) of section 3(d) of such 
        Act of September 30, 1950) for any fiscal year if the 
        Secretary determines, and certifies under subsection 
        (c)(3)(A), that such State has in effect a program of 
        State aid that equalizes expenditures for free public 
        education among local educational agencies in such 
        State.]
          (1) In general.--A State may reduce State aid to a 
        local educational agency that receives a payment under 
        section 8002 or 8003(b) (except the amount calculated 
        in excess of 1.0 under section 8003(a)(2)(B)) for any 
        fiscal year if the Secretary determines, and certifies 
        under subsection (c)(3)(A), that the State has in 
        effect a program of State aid that equalizes 
        expenditures for free public education among local 
        educational agencies in the State.

           *       *       *       *       *       *       *

    (d) Treatment of State Aid.--
          (1) In general.--If a State has in effect a program 
        of State aid for free public education for any fiscal 
        year, which is designed to equalize expenditures for 
        free public education among the local educational 
        agencies of that State, payments under this title [or 
        under the Act of September 30, 1950 (Public Law 874, 
        81st Congress) (as such Act was in effect on the day 
        preceding the date of enactment of the Improving 
        America's Schools Act of 1994)] for any fiscal year may 
        be taken into consideration by such State in 
        determining the relative--

           *       *       *       *       *       *       *

                  (B) financial need of such agencies for the 
                provision of free public education for children 
                served by such agency, except that a State may 
                consider as local resources funds received 
                under the title [or under the Act of September 
                30, 1950 (Public Law 874, 81st Congress) (as 
                such Act was in effect on the day preceding the 
                date of enactment of the Improving America's 
                Schools Act of 1994)] only in proportion to the 
                share that local tax revenues covered under a 
                State equalization program are of total local 
                tax revenues.
          (2) Prohibition.--A State may not take into 
        consideration payments under this title [or under the 
        Act of September 30, 1950 (Public Law 874, 81st 
        Congress) (as such Act was in effect on the day 
        preceding the date of enactment of the Improving 
        America's Schools Act of 1994)] before such State's 
        program of State aid has been certified by the 
        Secretary under subsection (c)(3).

           *       *       *       *       *       *       *


SEC. 8010. [20 U.S.C. 7710] FEDERAL ADMINISTRATION.

    (a) Payments in Whole Dollar Amounts.--* * *

           *       *       *       *       *       *       *

    (c) Special Rules.--
          [(1) Certain children eligible under subsection (a) 
        or (b) of section 3 of public law 81-874.--
        Notwithstanding any other provision of law, for any 
        fiscal year before fiscal year 1995, the Secretary 
        shall treat as eligible under subsection (a) or (b) of 
        section 3 of the Act of September 30, 1950 (Public Law 
        874, 81st Congress) (as such subsection was in effect 
        on the day preceding the date of enactment of the 
        Improving America's Schools Act of 1994), and shall 
        forgive the obligation of a local educational agency to 
        repay any amounts that such agency received under such 
        section for such fiscal year based on, any child who 
        would be eligible under such subsections except that 
        such child does not meet the requirements of subsection 
        (a)(1)(B) or (b)(2)(B), respectively, of such section 
        3, if such child meets the requirements of paragraph 
        (3) of this subsection.]
          [2] (1) Certain children eligible under subparagraphs 
        (a) and (g)(ii) of section 8003(a)(1).--(A) The 
        Secretary shall treat as eligible under subparagraph 
        (A) of section 8003(a)(1) any child who would be 
        eligible under such subparagraph except that the 
        Federal property on which the child resides or on which 
        the child's parent is employed is not in the same State 
        in which the child attends school, if such child meets 
        the requirements of [paragraph (3)] paragraph (2) of 
        this subsection.
          (B) The Secretary shall treat as eligible under 
        subparagraph (G) of section 8003(a)(1) any child who 
        would be eligible under such subparagraph except that 
        such child does not meet the requirements of clause 
        (ii) of such subparagraph, if such child meets the 
        requirements of [paragraph (3)] paragraph (2) of this 
        subsection.
          [(3)] (2) Requirements.--A child meets the 
        requirements of this paragraph if--
                  (A) such child resides--

           *       *       *       *       *       *       *

                  (D) the State in which such child attends 
                school provides funds for the education of such 
                child on the same basis as all other public 
                school children in the State, unless otherwise 
                permitted under [section 5(d)(2) of the Act of 
                September 30, 1950 (Public Law 874, 81st 
                Congress) (as such section was in effect on the 
                day preceding the date of enactment of the 
                Improving America's Schools Act of 1994) or] 
                section 8009(b) of this title; and
                  (E) such agency received a payment for fiscal 
                year [1994] 1999 under section 8003(b) [(or 
                such section's predecessor authority)] on 
                behalf of children described in [paragraph (2)] 
                paragraph (1).

SEC. 8011. [20 U.S.C. 7711] ADMINISTRATIVE HEARINGS AND JUDICIAL 
                    REVIEW.

    (a) Administrative Hearings.--A local educational agency 
and a State that is adversely affected by any action of the 
Secretary under this title or under [the Act of September 30, 
1950 (Public Law 874, 81st Congress) (as such Act was in effect 
on the day preceding the date of enactment of the Improving 
America's Schools Act of 1994)] this title's predecessor 
authorities shall be entitled to a hearing on such action in 
the same manner as if such agency were a person under chapter 5 
of title 5, United States Code, if a request for such hearing 
is submitted to the Secretary by the affected local educational 
agency or State educational agency not later than 60 days after 
receiving notice that such action has occurred.

           *       *       *       *       *       *       *


SEC. 8012. [20 U.S.C. 7712] FORGIVENESS OF OVERPAYMENTS.

    Notwithstanding any other provision of law, the Secretary 
may forgive the obligation of a local educational agency to 
repay, in whole or in part, the amount of any overpayment 
received under this title, or [under the Act of September 30, 
1950 (Public Law 874, 81st Congress) or the Act of September 
23, 1950 (Public Law 815, 81st Congress) (as such Acts were in 
effect on the day preceding the date of enactment of the 
Improving America's Schools Act of 1994)] under this title's 
predecessor authorities, if the Secretary determines that the 
overpayment was made as a result of an error made by--

           *       *       *       *       *       *       *


SEC. 8012A. APPLICABILITY TO THIS TITLE.

    Part B of title IV, parts D, E, and F of title VI, and part 
A of title X, shall not apply to this title.

SEC. 8013. [20 U.S.C. 7713] DEFINITIONS.

    For purposes of this title:
          (1) Armed forces.--* * *

           *       *       *       *       *       *       *

          (4) Current expenditures.--The term ``current 
        expenditures'' means expenditures for free public 
        education, including expenditures for administration, 
        instruction, attendance and health services, pupil 
        transportation services, operation and maintenance of 
        plant, fixed charges, and net expenditures to cover 
        deficits for food services and student body activities, 
        but does not include expenditures for community 
        services, capital outlay, and debt service, or any 
        expenditures made from funds awarded under part A of 
        title I and [title VI] part A of title VI. The 
        determination of whether an expenditure for the 
        replacement of equipment is considered a current 
        expenditure or a capital outlay shall be determined in 
        accordance with generally accepted accounting 
        principles as determined by the State.

           *       *       *       *       *       *       *

                          (iii)(I) part of a [low-rent] low-
                        income housing project assisted under 
                        the United States Housing Act of 1937; 
                        [or]

           *       *       *       *       *       *       *

                                  (III) used for affordable 
                                housing assisted under the 
                                Native American Housing 
                                Assistance and Self-
                                Determination Act of 1996; or

           *       *       *       *       *       *       *

                  (F) Property located in the state of oklahoma 
                owned by indian housing authority for low-
                income housing.--The term ``Federal property'' 
                includes any real property located in the State 
                of Oklahoma that--
                          (i) is owned by an Indian housing 
                        authority and used for low-income 
                        housing (including housing assisted 
                        under [the mutual help ownership 
                        opportunity program under section 202 
                        of the United States Housing Act of 
                        1937] or authorized by the Native 
                        American Housing Assistance and Self-
                        Determination Act of 1996); and

           *       *       *       *       *       *       *

          (8) * * *

           *       *       *       *       *       *       *

                  (A) * * *

           *       *       *       *       *       *       *

                  (B) Hawaii and district of columbia.--
                Notwithstanding subparagraph (A), the local 
                contribution percentage for Hawaii and for the 
                District of Columbia shall be the average local 
                contribution percentage for [all States] the 50 
                States and the District of Columbia.
          (9) * * *

           *       *       *       *       *       *       *

                          (i) was constituted or reconstituted 
                        primarily for the purpose of receiving 
                        assistance under this title or [the Act 
                        of September 30, 1950 (Public Law 874, 
                        81st Congress) (as such Act was in 
                        effect on the day preceding the date of 
                        enactment of the Improving America's 
                        Schools Act of 1994)] (or under this 
                        title's predecessor authorities) or 
                        increasing the amount of such 
                        assistance; or

           *       *       *       *       *       *       *

          (11) Modernization.--The term ``modernization'' means 
        repair, renovation, alteration, or construction, 
        including--
                  (A) the concurrent installation of equipment; 
                and
                  (B) the complete or partial replacement of an 
                existing school facility, but only if such 
                replacement is less expensive and more cost-
                effective than repair, renovation, or 
                alteration of the school facility.
          [(11)] (12) Revenue derived from local sources.--The 
        term ``revenue derived from local sources'' means--
                  (A) revenue produced within the boundaries of 
                a local educational agency and available to 
                such agency for such agency's use; or
                  (B) funds collected by another governmental 
                unit, but distributed back to a local 
                educational agency in the same proportion as 
                such funds were collected as a local revenue 
                source.
          [(12)] (13) School facilities.--The term ``school 
        facilities'' includes--
                  [(A) classrooms and related facilities; and] 
                (A) a classroom, laboratory, library, media 
                center, or related facility, the primary 
                purpose of which is the instruction of public 
                elementary school or secondary school students; 
                and
                  (B) equipment, machinery, and utilities 
                necessary or appropriate for school purposes.

SEC. 8014. [20 U.S.C. 7714] AUTHORIZATION OF APPROPRIATIONS.

    (a) Payments for Federal Acquisition of Real Property.--For 
the purpose of making payments under section 8002, there are 
authorized to be appropriated [$16,750,000 for fiscal year 
1995] $35,000,000 for fiscal year 2001 and such sums as may be 
necessary for each of the four succeeding fiscal years.
    [(b) Basic Payments; Payments for Heavily Impacted local 
Educational Agencies.--For the purpose of making payments under 
subsections (b) and (f) of section 8003, there are authorized 
to be appropriated $775,000,000 for fiscal year 1995 and such 
sums as may be necessary for each of the four succeeding fiscal 
years, of which 6 percent shall be available, until expended, 
for each such fiscal year to carry out section 8003(f).]
    (b) Basic Payments; Payments for Heavily Impacted Local 
Educational Agencies.--For the purpose of making payments under 
subsection (b) of section 8003, there are authorized to be 
appropriated $875,000,000 for fiscal year 2001 and such sums as 
may be necessary for each of the 4 succeeding fiscal years.
    (c) Payments for Children With Disabilities.--For the 
purpose of making payments under section 8003(d), there are 
authorized to be appropriated [$45,000,000 for fiscal year 
1995] $60,000,000 for fiscal year 2001 and such sums as may be 
necessary for each of the four succeeding fiscal years.
    [(d) Payments for Increases in Military Children.--For the 
purpose of making payments under section 8006, there are 
authorized to be appropriated $2,000,000 for fiscal year 1995 
and such sums as may be necessary for each of the four 
succeeding fiscal years.]
    [(e)] (d) Construction and Facility Modernization.--For the 
purpose of carrying out [section 8007] sections 8007 and 8007A, 
there are authorized to be appropriated [$25,000,000 for fiscal 
year 1995] $62,500,000 for fiscal year 2001 and such sums as 
may be necessary for each of the four succeeding fiscal years.
    [(f)] (e) Facilities Maintenance.--For the purpose of 
carrying out section 8008, there are authorized to be 
appropriated [$2,000,000 for fiscal year 1995] $7,000,000 for 
fiscal year 2001 and such sums as may be necessary for each of 
the four succeeding fiscal years.
    [(g)] (f) Additional Assistance for Certain Federal 
Property Local Educational Agencies.--For the purpose of 
carrying out section 8002(j) there are authorized to be 
appropriated [such sums as are necessary beginning in fiscal 
year 1998 and for each succeeding fiscal year] $500,000 for 
fiscal year 2001 and such sums as may be necessary for each of 
the 4 succeeding fiscal years.

    [TITLE IX--INDIAN, NATIVE HAWAIIAN, AND ALASKA NATIVE EDUCATION

                       [PART A--INDIAN EDUCATION

[SEC. 9101. [20 U.S.C. 7801] FINDINGS.

  [The Congress finds that--
          [(1) the Federal Government has a special 
        responsibility to ensure that educational programs for 
        all American Indian and Alaska Native children and 
        adults--
                  [(A) are based on high-quality, 
                internationally competitive content standards 
                and student performance standards and build on 
                Indian culture and the Indian community;
                  [(B) assist local educational agencies, 
                Indian tribes, and other entities and 
                individuals in providing Indian students the 
                opportunity to achieve such standards; and
                  [(C) meet the special educational and 
                culturally related academic needs of American 
                Indian and Alaska Native students;
          [(2) since the date of enactment of the initial 
        Indian Education Act in 1972, the level of involvement 
        of Indian parents in the planning, development, and 
        implementation of educational programs that affect such 
        parents and their children has increased significantly, 
        and schools should continue to foster such involvement;
          [(3) although the number of Indian teachers, 
        administrators, and university professors has increased 
        since 1972, teacher training programs are not 
        recruiting, training, or retraining a sufficient number 
        of Indian individuals as educators to meet the needs of 
        a growing Indian student population in elementary, 
        secondary, vocational, adult, and higher education;
          [(4) the dropout rate for Indian students is 
        unacceptably high, for example, 9 percent of Indian 
        students who were eighth graders in 1988 had already 
        dropped out of school by 1990;
          [(5) during the period from 1980 to 1990, the 
        percentage of Indian individuals living at or below the 
        poverty level increased from 24 percent to 31 percent, 
        and the readiness of Indian children to learn is 
        hampered by the high incidence of poverty, 
        unemployment, and health problems among Indian children 
        and their families; and
          [(6) research related specifically to the education 
        of Indian children and adults is very limited, and much 
        of the research is of poor quality or is focused on 
        limited local or regional issues.

[SEC. 9102. [20 U.S.C. 7802] PURPOSE.

  [(a) Purpose.--It is the purpose of this part to support the 
efforts of local educational agencies, Indian tribes and 
organizations, postsecondary institutions, and other entities 
to meet the special educational and culturally related academic 
needs of American Indians and Alaska Natives, so that such 
students can achieve to the same challenging State performance 
standards expected of all students.
  [(b) Programs.--This part carries out the purpose described 
in subsection (a) by authorizing programs of direct assistance 
for--
          [(1) meeting the special educational and culturally 
        related academic needs of American Indians and Alaska 
        Natives;
          [(2) the education of Indian children and adults;
          [(3) the training of Indian persons as educators and 
        counselors, and in other professions serving Indian 
        people; and
          [(4) research, evaluation, data collection, and 
        technical assistance.

        [Subpart 1--Formula Grants to Local Educational Agencies

[SEC. 9111. [20 U.S.C. 7811] PURPOSE.

  [It is the purpose of this subpart to support local 
educational agencies in their efforts to reform elementary and 
secondary school programs that serve Indian students in order 
to ensure that such programs--
          [(1) are based on challenging State content standards 
        and State student performance standards that are used 
        for all students; and
          [(2) are designed to assist Indian students meet 
        those standards and assist the Nation in reaching the 
        National Education Goals.

[SEC. 9112. [20 U.S.C. 7812] GRANTS TO LOCAL EDUCATIONAL AGENCIES.

  [(a) In General.--
          [(1) Enrollment requirements.--A local educational 
        agency shall be eligible for a grant under this subpart 
        for any fiscal year if the number of Indian children 
        eligible under section 9116 and who were enrolled in 
        the schools of the agency, and to whom the agency 
        provided free public education, during the preceding 
        fiscal year--
                  [(A) was at least 10; or
                  [(B) constituted not less than 25 percent of 
                the total number of individuals enrolled in the 
                schools of such agency.
          [(2) Exclusion.--The requirement of paragraph (1) 
        shall not apply in Alaska, California, or Oklahoma, or 
        with respect to any local educational agency located 
        on, or in proximity to, a reservation.
  [(b) Indian Tribes.--
          [(1) In general.--If a local educational agency that 
        is eligible for a grant under this subpart does not 
        establish a parent committee under section 9114(c)(4) 
        for such grant, an Indian tribe that represents no less 
        than one-half of the eligible Indian children who are 
        served by such local educational agency may apply for 
        such grant.
          [(2) Special rule.--The Secretary shall treat each 
        Indian tribe applying for a grant pursuant to paragraph 
        (1) as if such Indian tribe were a local educational 
        agency for purposes of this subpart.

[SEC. 9113. [20 U.S.C. 7813] AMOUNT OF GRANTS.

  [(a) Amount of Grant Awards.--
          [(1) In general.--Except as provided in subsection 
        (b) and paragraph (2), the Secretary shall allocate to 
        each local educational agency which has an approved 
        application under this subpart an amount equal to the 
        product of--
                  [(A) the number of Indian children who are 
                eligible under section 9116 and served by such 
                agency; and
                  [(B) the greater of--
                          [(i) the average per-pupil 
                        expenditure of the State in which such 
                        agency is located; or
                          [(ii) 80 percent of the average per-
                        pupil expenditure in the United States.
          [(2) Reduction.--The Secretary shall reduce the 
        amount of each allocation determined under paragraph 
        (1) in accordance with subsection (e).
  [(b) Minimum Grant.--
          [(1) In general.--Notwithstanding subsection (e) of 
        this section, a local educational agency or an Indian 
        tribe (as authorized under section 9112(b)) that is 
        eligible for a grant under section 9112, and a school 
        that is operated or supported by the Bureau of Indian 
        Affairs that is eligible for a grant under subsection 
        (d), that submits an application that is approved by 
        the Secretary, shall, subject to appropriations, 
        receive a grant under this subpart in an amount that is 
        not less than $3,000.
          [(2) Consortia.--Local educational agencies may form 
        a consortium for the purpose of obtaining grants under 
        this Act.
          [(3) Increase.--The Secretary may increase the 
        minimum grant under paragraph (1) to not more than 
        $4,000 for all grantees if the Secretary determines 
        such increase is necessary to ensure quality programs.
  [(c) Definition.--For the purpose of this section, the term 
``average per-pupil expenditure of a State'' means an amount 
equal to--
          [(1) the sum of the aggregate current expenditures of 
        all the local educational agencies in the State, plus 
        any direct current expenditures by the State for the 
        operation of such agencies, without regard to the 
        sources of funds from which such local or State 
        expenditures were made, during the second fiscal year 
        preceding the fiscal year for which the computation is 
        made; divided by
          [(2) the aggregate number of children who were 
        included in average daily attendance for whom such 
        agencies provided free public education during such 
        preceding fiscal year.
  [(d) Schools Operated or Supported by the Bureau of Indian 
Affairs.--In addition to the grants awarded under subsection 
(a), and subject to paragraph (2), the Secretary shall allocate 
to the Secretary of the Interior an amount equal to the product 
of--
          [(1) the total number of Indian children enrolled in 
        schools that are operated by--
                  [(A) the Bureau of Indian Affairs; or
                  [(B) an Indian tribe, or an organization 
                controlled or sanctioned by an Indian tribal 
                government, for the children of such tribe 
                under a contract with, or grant from, the 
                Department of the Interior under the Indian 
                Self-Determination Act or the Tribally 
                Controlled Schools Act of 1988 (part B of title 
                V of the Augustus F. Hawkins-Robert T. Stafford 
                Elementary and Secondary School Improvement 
                Amendments of 1988); and
          [(2) the greater of--
                  [(A) the average per-pupil expenditure of the 
                State in which the school is located; or
                  [(B) 80 percent of the average per-pupil 
                expenditure in the United States.
  [(e) Ratable Reductions.--If the sums appropriated for any 
fiscal year under section 9162(a) are insufficient to pay in 
full the amounts determined for local educational agencies 
under subsection (a)(1) and for the Secretary of the Interior 
under subsection (d), each of those amounts shall be ratably 
reduced.

[SEC. 9114. [20 U.S.C. 7814] APPLICATIONS.

  [(a) Application Required.--Each local educational agency 
that desires to receive a grant under this subpart shall submit 
an application to the Secretary at such time, in such manner, 
and containing such information as the Secretary may reasonably 
require.
  [(b) Comprehensive Program Required.--Each application 
submitted under subsection (a) shall include a comprehensive 
program for meeting the needs of Indian children served by the 
local educational agency, including the language and cultural 
needs of the children, that--
          [(1) provides programs and activities to meet the 
        culturally related academic needs of American Indian 
        and Alaska Native students;
          [(2)(A) is consistent with, and promotes the goals 
        in, the State and local improvement plans, either 
        approved or being developed, under title III of the 
        Goals 2000: Educate America Act or, if such plans are 
        not approved or being developed, with the State and 
        local plans under sections 1111 and 1112 of this Act; 
        and
          [(B) includes academic content and student 
        performance goals for such children, and benchmarks for 
        attaining such goals, that are based on the challenging 
        State standards adopted under title I for all children;
          [(3) explains how Federal, State, and local programs, 
        especially under title I, will meet the needs of such 
        students;
          [(4) demonstrates how funds made available under this 
        subpart will be used for activities described in 
        section 9115;
          [(5) describes the professional development 
        opportunities that will be provided, as needed, to 
        ensure that--
                  [(A) teachers and other school professionals 
                who are new to the Indian community are 
                prepared to work with Indian children; and
                  [(B) all teachers who will be involved in 
                programs assisted under this subpart have been 
                properly trained to carry out such programs; 
                and
          [(6) describes how the local educational agency--
                  [(A) will periodically assess the progress of 
                all Indian children enrolled in the schools of 
                the local educational agency, including Indian 
                children who do not participate in programs 
                assisted under this subpart, in meeting the 
                goals described in paragraph (2);
                  [(B) will provide the results of each 
                assessment referred to in subparagraph (A) to--
                          [(i) the committee of parents 
                        described in subsection (c)(4); and
                          [(ii) the community served by the 
                        local educational agency; and
                  [(C) is responding to findings of any 
                previous assessments that are similar to the 
                assessments described in subparagraph (A).
  [(c) Assurances.--Each application submitted under subsection 
(a) shall include assurances that--
          [(1) the local educational agency will use funds 
        received under this subpart only to supplement the 
        level of funds that, in the absence of the Federal 
        funds made available under this subpart, such agency 
        would make available for the education of Indian 
        children, and not to supplant such funds;
          [(2) the local educational agency will submit such 
        reports to the Secretary, in such form and containing 
        such information, as the Secretary may require to--
                  [(A) carry out the functions of the Secretary 
                under this subpart; and
                  [(B) determine the extent to which funds 
                provided to the local educational agency under 
                this subpart are effective in improving the 
                educational achievement of Indian students 
                served by such agency;
          [(3) the program for which assistance is sought--
                  [(A) is based on a local assessment and 
                prioritization of the special educational and 
                culturally related academic needs of the 
                American Indian and Alaska Native students for 
                whom the local educational agency is providing 
                an education;
                  [(B) will use the best available talents and 
                resources, including individuals from the 
                Indian community; and
                  [(C) was developed by such agency in open 
                consultation with parents of Indian children 
                and teachers, and, if appropriate, Indian 
                students from secondary schools, including 
                public hearings held by such agency to provide 
                the individuals described in this subparagraph 
                a full opportunity to understand the program 
                and to offer recommendations regarding the 
                program; and
          [(4) the local educational agency developed the 
        program with the participation and written approval of 
        a committee--
                  [(A) that is composed of, and selected by--
                          [(i) parents of Indian children in 
                        the local educational agency's schools 
                        and teachers; and
                          [(ii) if appropriate, Indian students 
                        attending secondary schools;
                  [(B) the membership of which is at least more 
                than one-half parents of Indian children;
                  [(C) that sets forth such policies and 
                procedures, including policies and procedures 
                relating to the hiring of personnel, as will 
                ensure that the program for which assistance is 
                sought will be operated and evaluated in 
                consultation with, and with the involvement of, 
                parents of the children, and representatives of 
                the area, to be served;
                  [(D) with respect to an application 
                describing a schoolwide program in accordance 
                with section 9115(c), has--
                          [(i) reviewed in a timely fashion the 
                        program; and
                          [(ii) determined that the program 
                        will not diminish the availability of 
                        culturally related activities for 
                        American Indians and Alaskan Native 
                        students; and
                  [(E) has adopted reasonable bylaws for the 
                conduct of the activities of the committee and 
                abides by such bylaws.

[SEC. 9115. [20 U.S.C. 7815] AUTHORIZED SERVICES AND ACTIVITIES.

  [(a) General Requirements.--Each local educational agency 
that receives a grant under this subpart shall use the grant 
funds, in a manner consistent with the purpose specified in 
section 9111, for services and activities that--
          [(1) are designed to carry out the comprehensive plan 
        of the local educational agency for Indian students, 
        and described in the application of the local 
        educational agency submitted to the Secretary under 
        section 9114(b);
          [(2) are designed with special regard for the 
        language and cultural needs of the Indian students; and
          [(3) supplement and enrich the regular school program 
        of such agency.
  [(b) Particular Activities.--The services and activities 
referred to in subsection (a) may include--
          [(1) culturally related activities that support the 
        program described in the application submitted by the 
        local educational agency;
          [(2) early childhood and family programs that 
        emphasize school readiness;
          [(3) enrichment programs that focus on problem-
        solving and cognitive skills development and directly 
        support the attainment of challenging State content 
        standards and State student performance standards;
          [(4) integrated educational services in combination 
        with other programs that meet the needs of Indian 
        children and their families;
          [(5) school-to-work transition activities to enable 
        Indian students to participate in programs such as the 
        programs supported by the School-to-Work Opportunities 
        Act of 1994 and the Carl D. Perkins Vocational and 
        Technical Education Act of 1998, including programs for 
        tech-prep, mentoring, and apprenticeship;
          [(6) activities to educate individuals concerning 
        substance abuse and to prevent substance abuse; and
          [(7) the acquisition of equipment, but only if the 
        acquisition of the equipment is essential to meet the 
        purpose described in section 9111.
  [(c) Schoolwide Programs.--Notwithstanding any other 
provision of law, a local educational agency may use funds made 
available to such agency under this subpart to support a 
schoolwide program under section 1114 if--
          [(1) the committee composed of parents established 
        pursuant to section 9114(c)(4) approves the use of the 
        funds for the schoolwide program; and
          [(2) the schoolwide program is consistent with the 
        purpose described in section 9111.

[SEC. 9116. [20 U.S.C. 7816] STUDENT ELIGIBILITY FORMS.

  [(a) In General.--The Secretary shall require that, as part 
of an application for a grant under this subpart, each 
applicant shall maintain a file, with respect to each Indian 
child for whom the local educational agency provides a free 
public education, that contains a form that sets forth 
information establishing the status of the child as an Indian 
child eligible for assistance under this subpart and that 
otherwise meets the requirements of subsection (b).
  [(b) Forms.--
          [(1) In general.--The form described in subsection 
        (a) shall include--
                  [(A) either--
                          [(i)(I) the name of the tribe or band 
                        of Indians (as defined in section 
                        9161(4)) with respect to which the 
                        child claims membership;
                          [(II) the enrollment number 
                        establishing the membership of the 
                        child (if readily available); and
                          [(III) the name and address of the 
                        organization that maintains updated and 
                        accurate membership data for such tribe 
                        or band of Indians; or
                          [(ii) if the child is not a member of 
                        a tribe or band of Indians, the name, 
                        the enrollment number (if readily 
                        available), and the organization (and 
                        address thereof) responsible for 
                        maintaining updated and accurate 
                        membership rolls of any parent or 
                        grandparent of the child from whom the 
                        child claims eligibility;
                  [(B) a statement of whether the tribe or band 
                of Indians with respect to which the child, 
                parent or grandparent of the child claims 
                membership is federally recognized;
                  [(C) the name and address of the parent or 
                legal guardian of the child;
                  [(D) a signature of the parent or legal 
                guardian of the child that verifies the 
                accuracy of the information supplied; and
                  [(E) any other information that the Secretary 
                considers necessary to provide an accurate 
                program profile.
          [(2) Minimum information.--In order for a child to be 
        eligible to be counted for the purpose of computing the 
        amount of a grant award made under section 9113, an 
        eligibility form prepared pursuant to this section for 
        a child shall include--
                  [(A) the name of the child;
                  [(B) the name of the tribe or band of Indians 
                (as defined in section 9161(4)) with respect to 
                which the child claims eligibility; and
                  [(C) the dated signature of the parent or 
                guardian of the child.
          [(3) Failure.--The failure of an applicant to furnish 
        any information described in this subsection other than 
        the information described in paragraph (2) with respect 
        to any child shall have no bearing on the determination 
        of whether the child is an eligible Indian child for 
        the purposes of determining the amount of a grant award 
        made under section 9113.
  [(c) Statutory Construction.--Nothing in this section shall 
be construed to affect a definition contained in section 9161.
  [(d) Forms and Standards of Proof.--The forms and the 
standards of proof (including the standard of good faith 
compliance) that were in use during the 1985-1986 academic year 
to establish the eligibility of a child for entitlement under 
the Indian Elementary and Secondary School Assistance Act shall 
be the forms and standards of proof used--
          [(1) to establish such eligibility; and
          [(2) to meet the requirements of subsection (a).
  [(e) Documentation.--For purposes of determining whether a 
child is eligible to be counted for the purpose of computing 
the amount of a grant under section 9113, the membership of the 
child, or any parent or grandparent of the child, in a tribe or 
band of Indians may be established by proof other than an 
enrollment number, notwithstanding the availability of an 
enrollment number for a member of such tribe or band. Nothing 
in subsection (b) shall be construed to require the furnishing 
of an enrollment number.
  [(f) Monitoring and Evaluation Review.--
          [(1) In general.--(A) For each fiscal year, in order 
        to provide such information as is necessary to carry 
        out the responsibility of the Secretary to provide 
        technical assistance under this subpart, the Secretary 
        shall conduct a monitoring and evaluation review of a 
        sampling of the recipients of grants under this 
        subpart. The sampling conducted under this subparagraph 
        shall take into account size of the local educational 
        agency and the geographic location of such agency.
          [(B) A local educational agency may not be held 
        liable to the United States or be subject to any 
        penalty, by reason of the findings of an audit that 
        relates to the date of completion, or the date of 
        submission, of any forms used to establish, before 
        April 28, 1988, the eligibility of a child for 
        entitlement under the Indian Elementary and Secondary 
        School Assistance Act.
          [(2) False information.--Any local educational agency 
        that provides false information in an application for a 
        grant under this subpart shall--
                  [(A) be ineligible to apply for any other 
                grant under this subpart; and
                  [(B) be liable to the United States for any 
                funds that have not been expended.
          [(3) Excluded children.--A student who provides false 
        information for the form required under subsection (d) 
        shall not be counted for the purpose of computing the 
        amount of a grant under section 9113.
  [(g) Distribution.--For the purposes of the distribution of 
funds under this subpart to schools that receive funding from 
the Bureau of Indian Affairs pursuant to--
          [(1) section 1130 of the Education Amendments of 
        1978; and
          [(2) the Act of April 16, 1934 (48 Stat. 596, chapter 
        147),
the Secretary shall, in lieu of meeting the requirements of 
this section for counting Indian children, use a count of the 
number of students in such schools certified by the Bureau of 
Indian Affairs.

[SEC. 9117. [20 U.S.C. 7817] PAYMENTS.

  [(a) In General.--Subject to subsections (b) and (c), the 
Secretary shall pay to each local educational agency that 
submits an application that is approved by the Secretary under 
this subpart the amount determined under section 9113. The 
Secretary shall notify the local educational agency of the 
amount of the payment not later than June 1 of the year for 
which the Secretary makes the payment.
  [(b) Payments Taken Into Account by the State.--The Secretary 
may not make a grant under this subpart to a local educational 
agency for a fiscal year if, for such fiscal year, the State in 
which the local educational agency is located takes into 
consideration payments made under this subpart (or under 
subpart 1 of the Indian Education Act of 1988) in determining 
the eligibility of the local educational agency for State aid, 
or the amount of the State aid, with respect to the free public 
education of children during such fiscal year or the preceding 
fiscal year.
  [(c) Reduction of Payment for Failure To Maintain Fiscal 
Effort.--
          [(1) In general.--The Secretary may not pay a local 
        educational agency the full amount of a grant award 
        determined under section 9113 for any fiscal year 
        unless the State educational agency notifies the 
        Secretary, and the Secretary determines, that with 
        respect to the provision of free public education by 
        the local educational agency for the preceding fiscal 
        year, that the combined fiscal effort of the local 
        educational agency and the State, computed on either a 
        per student or aggregate expenditure basis was not less 
        than 90 percent of the amount of the combined fiscal 
        effort, computed on the same basis, for the second 
        preceding fiscal year.
          [(2) Failure.--If, for any fiscal year, the Secretary 
        determines that a local educational agency failed to 
        maintain the fiscal effort of such agency at the level 
        specified in paragraph (1), the Secretary shall--
                  [(A) reduce the amount of the grant that 
                would otherwise be made to such agency under 
                this subpart in the exact proportion of such 
                agency's failure to maintain its fiscal effort 
                at such level; and
                  [(B) not use the reduced amount of the 
                agency's expenditures for the preceding year to 
                determine compliance with paragraph (1) for any 
                succeeding fiscal year, but shall use the 
                amount of expenditures that would have been 
                required to comply with paragraph (1).
          [(3) Waiver.--(A) The Secretary may waive the 
        requirement of paragraph (1), for not more than one 
        year at a time, if the Secretary determines that the 
        failure to comply with such requirement is due to 
        exceptional or uncontrollable circumstances, such as a 
        natural disaster or a precipitous and unforeseen 
        decline in the agency's financial resources.
          [(B) The Secretary shall not use the reduced amount 
        of such agency's expenditures for the fiscal year 
        preceding the fiscal year for which a waiver is granted 
        to determine compliance with paragraph (1) for any 
        succeeding fiscal year, but shall use the amount of 
        expenditures that would have been required to comply 
        with paragraph (1) in the absence of the waiver.
  [(d) Reallocations.--The Secretary may reallocate, in a 
manner that the Secretary determines will best carry out the 
purpose of this subpart, any amounts that--
          [(1) based on estimates made by local educational 
        agencies or other information, the Secretary determines 
        will not be needed by such agencies to carry out 
        approved programs under this subpart; or
          [(2) otherwise become available for reallocation 
        under this subpart.

[SEC. 9118. [20 U.S.C. 7818] STATE EDUCATIONAL AGENCY REVIEW.

  [(a) Application.--Each entity desiring assistance under this 
subpart shall submit an application to the Secretary at such 
time, in such manner and accompanied by such information as the 
Secretary may reasonably require except that this subsection 
shall not apply to Bureau-funded schools.
  [(b) Special Rule.--Before submitting an application under 
subsection (a) to the Secretary, the entity shall submit its 
application to the State educational agency. The State 
educational agency may comment on such application, however if 
such agency comments on such application such agency shall 
comment on all applications submitted by entities within the 
State and shall provide such comments to the appropriate local 
educational agency, which local educational agency shall be 
given an opportunity to respond to such comments.

   [Subpart 2--Special Programs and Projects To Improve Educational 
                   Opportunities for Indian Children

[SEC. 9121. [20 U.S.C. 7831] IMPROVEMENT OF EDUCATIONAL OPPORTUNITIES 
                    FOR INDIAN CHILDREN.

  [(a) Purpose.--
          [(1) In general.--It is the purpose of this section 
        to support projects to develop, test, and demonstrate 
        the effectiveness of services and programs to improve 
        educational opportunities and achievement of Indian 
        children.
          [(2) Coordination.--The Secretary shall take such 
        actions as are necessary to achieve the coordination of 
        activities assisted under this subpart with--
                  [(A) other programs funded under this Act; 
                and
                  [(B) other Federal programs operated for the 
                benefit of American Indian and Alaska Native 
                children.
  [(b) Eligible Entities.--For the purpose of this section, the 
term ``eligible entity'' means a State educational agency, 
local educational agency, Indian tribe, Indian organization, 
federally supported elementary and secondary school for Indian 
students, Indian institution, including an Indian institution 
of higher education, or a consortium of such institutions.
  [(c) Grants Authorized.--
          [(1) In general.--The Secretary shall award grants to 
        eligible entities to enable such entities to carry out 
        activities that meet the purpose specified in 
        subsection (a)(1), including--
                  [(A) innovative programs related to the 
                educational needs of educationally deprived 
                children;
                  [(B) educational services that are not 
                available to such children in sufficient 
                quantity or quality, including remedial 
                instruction, to raise the achievement of Indian 
                children in one or more of the core academic 
                subjects of English, mathematics, science, 
                foreign languages, art, history, and geography;
                  [(C) bilingual and bicultural programs and 
                projects;
                  [(D) special health and nutrition services, 
                and other related activities, that address the 
                special health, social, and psychological 
                problems of Indian children;
                  [(E) special compensatory and other programs 
                and projects designed to assist and encourage 
                Indian children to enter, remain in, or reenter 
                school, and to increase the rate of secondary 
                school graduation;
                  [(F) comprehensive guidance, counseling, and 
                testing services;
                  [(G) early childhood and kindergarten 
                programs, including family-based preschool 
                programs that emphasize school readiness and 
                parental skills, and the provision of services 
                to Indian children with disabilities;
                  [(H) partnership projects between local 
                educational agencies and institutions of higher 
                education that allow secondary school students 
                to enroll in courses at the post-secondary 
                level to aid such students in the transition 
                from secondary school to postsecondary 
                education;
                  [(I) partnership projects between schools and 
                local businesses for school-to-work transition 
                programs designed to provide Indian youth with 
                the knowledge and skills the youth need to make 
                an effective transition from school to a first 
                job in a high-skill, high-wage career;
                  [(J) programs designed to encourage and 
                assist Indian students to work toward, and gain 
                entrance into, an institution of higher 
                education; or
                  [(K) other services that meet the purpose 
                described in subsection (a)(1).
          [(2) Preservice or inservice training.--Preservice or 
        inservice training of professional and paraprofessional 
        personnel may be a part of any program assisted under 
        this section.
  [(d) Grant Requirements and Applications.--
          [(1) Grant requirements.--(A) The Secretary may make 
        multiyear grants under this section for the planning, 
        development, pilot operation, or demonstration of any 
        activity described in subsection (c) for a period not 
        to exceed 5 years.
          [(B) In making multiyear grants under this section, 
        the Secretary shall give priority to applications that 
        present a plan for combining two or more of the 
        activities described in subsection (c) over a period of 
        more than 1 year.
          [(C) The Secretary shall make a grant payment to an 
        eligible entity after the initial year of the multiyear 
        grant only if the Secretary determines that the 
        eligible entity has made substantial progress in 
        carrying out the activities assisted under the grant in 
        accordance with the application submitted under 
        paragraph (2) and any subsequent modifications to such 
        application.
          [(D)(i) In addition to awarding the multiyear grants 
        described in subparagraph (A), the Secretary may award 
        grants to eligible entities for the dissemination of 
        exemplary materials or programs assisted under this 
        section.
          [(ii) The Secretary may award a dissemination grant 
        under this subparagraph if, prior to awarding the 
        grant, the Secretary determines that the material or 
        program to be disseminated has been adequately reviewed 
        and has a demonstrated--
                  [(I) educational merit; and
                  [(II) the ability to be replicated.
          [(2) Application.--(A) Any eligible entity that 
        desires to receive a grant under this subsection shall 
        submit an application to the Secretary at such time and 
        in such manner as the Secretary may require.
          [(B) Each application submitted to the Secretary 
        under subparagraph (A) shall contain--
                  [(i) a description of how parents of Indian 
                children and representatives of Indian tribes 
                have been, and will be, involved in developing 
                and implementing the activities for which 
                assistance is sought;
                  [(ii) assurances that the applicant will 
                participate, at the request of the Secretary, 
                in any national evaluation of activities 
                assisted under this section; and
                  [(iii) such other assurances and information 
                as the Secretary may reasonably require.

[SEC. 9122. [20 U.S.C. 7832] PROFESSIONAL DEVELOPMENT.

  [(a) Purposes.--The purposes of this section are--
          [(1) to increase the number of qualified Indian 
        individuals in professions that serve Indian people;
          [(2) to provide training to qualified Indian 
        individuals to enable such individuals to become 
        teachers, administrators, teacher aides, social 
        workers, and ancillary educational personnel; and
          [(3) to improve the skills of qualified Indian 
        individuals who serve in the capacities described in 
        paragraph (2).
  [(b) Eligible Entities.--For the purpose of this section, the 
term ``eligible entity'' means--
          [(1) an institution of higher education, including an 
        Indian institution of higher education;
          [(2) a State or local educational agency, in 
        consortium with an institution of higher education; and
          [(3) an Indian tribe or organization, in consortium 
        with an institution of higher education.
  [(c) Program Authorized.--The Secretary is authorized to 
award grants to eligible entities having applications approved 
under this section to enable such entities to carry out the 
activities described in subsection (d).
  [(d) Authorized Activities.--
          [(1) In general.--Grant funds under this section 
        shall be used to provide support and training for 
        Indian individuals in a manner consistent with the 
        purposes of this section. Such activities may include 
        but are not limited to, continuing programs, symposia, 
        workshops, conferences, and direct financial support.
          [(2) Special rules.--(A) For education personnel, the 
        training received pursuant to a grant under this 
        section may be inservice or preservice training.
          [(B) For individuals who are being trained to enter 
        any field other than education, the training received 
        pursuant to a grant under this section shall be in a 
        program that results in a graduate degree.
  [(e) Application.--
          [(1) In general.--Each eligible entity desiring a 
        grant under this section shall submit an application to 
        the Secretary at such time, in such manner and 
        accompanied by such information, as the Secretary may 
        reasonably require.
          [(2) Preference.--In awarding grants under this 
        section, the Secretary shall give preference to 
        applications describing programs that train Indian 
        individuals.
  [(f) Special Rule.--In making grants under this section, the 
Secretary--
          [(1) shall consider the prior performance of the 
        eligible entity; and
          [(2) may not limit eligibility to receive a grant 
        under this section on the basis of--
                  [(A) the number of previous grants the 
                Secretary has awarded such entity; or
                  [(B) the length of any period during which 
                such entity received such grants.
  [(g) Grant Period.--Each grant under this section shall be 
awarded for a program of not more than 5 years.
  [(h) Service Obligation.--
          [(1) In general.--The Secretary shall require, by 
        regulation, that an individual who receives training 
        pursuant to a grant made under this section--
                  [(A) perform work--
                          [(i) related to the training received 
                        under this section; and
                          [(ii) that benefits Indian people; or
                  [(B) repay all or a prorated part of the 
                assistance received.
          [(2) Reporting.--The Secretary shall establish, by 
        regulation, a reporting procedure under which a grant 
        recipient under this section shall, not later than 12 
        months after the date of completion of the training, 
        and periodically thereafter, provide information 
        concerning the compliance of such recipient with the 
        work requirement under paragraph (1).

[SEC. 9123. [20 U.S.C. 7833] FELLOWSHIPS FOR INDIAN STUDENTS.

  [(a) Fellowships.--
          [(1) Authority.--The Secretary is authorized to award 
        fellowships to Indian students to enable such students 
        to study in graduate and professional programs at 
        institutions of higher education.
          [(2) Requirements.--The fellowships described in 
        paragraph (1) shall be awarded to Indian students to 
        enable such students to pursue a course of study--
                  [(A) of not more than 4 academic years; and
                  [(B) that leads--
                          [(i) toward a postbaccalaureate 
                        degree in medicine, clinical 
                        psychology, psychology, law, education, 
                        and related fields; or
                          [(ii) to an undergraduate or graduate 
                        degree in engineering, business 
                        administration, natural resources, and 
                        related fields.
  [(b) Stipends.--The Secretary shall pay to Indian students 
awarded fellowships under subsection (a) such stipends 
(including allowances for subsistence of such students and 
dependents of such students) as the Secretary determines to be 
consistent with prevailing practices under comparable federally 
supported programs.
  [(c) Payments to Institutions in Lieu of Tuition.--The 
Secretary shall pay to the institution of higher education at 
which a fellowship recipient is pursuing a course of study, in 
lieu of tuition charged such recipient, such amounts as the 
Secretary may determine to be necessary to cover the cost of 
education provided such recipient.
  [(d) Special Rules.--
          [(1) In general.--If a fellowship awarded under 
        subsection (a) is vacated prior to the end of the 
        period for which the fellowship is awarded, the 
        Secretary may award an additional fellowship for the 
        unexpired portion of the period of the fellowship.
          [(2) Written notice.--Not later than 45 days before 
        the commencement of an academic term, the Secretary 
        shall provide to each individual who is awarded a 
        fellowship under subsection (a) for such academic term 
        written notice of--
                  [(A) the amount of the fellowship; and
                  [(B) any stipends or other payments that will 
                be made under this section to, or for the 
                benefit of, the individual for the academic 
                term.
          [(3) Priority.--Not more than 10 percent of the 
        fellowships awarded under subsection (a) shall be 
        awarded, on a priority basis, to persons receiving 
        training in guidance counseling with a speciality in 
        the area of alcohol and substance abuse counseling and 
        education.
  [(e) Service Obligation.--
          [(1) In general.--The Secretary shall require, by 
        regulation, that an individual who receives financial 
        assistance under this section--
                  [(A) perform work--
                          [(i) related to the training for 
                        which the individual receives 
                        assistance under this section; and
                          [(ii) that benefits Indian people; or
                  [(B) repay all or a prorated portion of such 
                assistance.
          [(2) Reporting procedure.--The Secretary shall 
        establish, by regulation, a reporting procedure under 
        which the recipient of training assistance under this 
        section, not later than 12 months after the date of 
        completion of the training and periodically thereafter, 
        shall provide information concerning the compliance of 
        such recipient with the work requirement under 
        paragraph (1).
  [(f) Administration of Fellowships.--The Secretary may 
administer the fellowships authorized under this section 
through a grant to, or contract or cooperative agreement with, 
an Indian organization with demonstrated qualifications to 
administer all facets of the program assisted under this 
section.

[SEC. 9124. [20 U.S.C. 7834] GIFTED AND TALENTED.

  [(a) Program Authorized.--The Secretary is authorized to--
          [(1) establish two centers for gifted and talented 
        Indian students at tribally controlled community 
        colleges in accordance with this section; and
          [(2) support demonstration projects described in 
        subsection (c).
  [(b) Eligible Entities.--The Secretary shall make grants to, 
or enter into contracts, for the activities described in 
subsection (a), with--
          [(1) two tribally controlled community colleges 
        that--
                  [(A) are eligible for funding under the 
                Tribally Controlled Community College 
                Assistance Act of 1978; and
                  [(B) are fully accredited; or
          [(2) if the Secretary does not receive applications 
        that the Secretary determines to be approvable from two 
        colleges thatmeet the requirements of paragraph (1), 
the American Indian Higher Education Consortium.
  [(c) Use of Funds.--
          [(1) In general.--The grants made, or contracts 
        entered into, by the Secretary under subsection (a) 
        shall be used for--
                  [(A) the establishment of centers described 
                in subsection (a); and
                  [(B) carrying out demonstration projects 
                designed to--
                          [(i) address the special needs of 
                        Indian students in elementary and 
                        secondary schools who are gifted and 
                        talented; and
                          [(ii) provide such support services 
                        to the families of the students 
                        described in clause (i) as are needed 
                        to enable such students to benefit from 
                        the projects.
          [(2) Subcontracts.--Each recipient of a grant or 
        contract under subsection (a) may enter into a contract 
        with any other entity, including the Children's 
        Television Workshop, to carry out the demonstration 
        project under this subsection.
          [(3) Demonstration projects.--Demonstration projects 
        assisted under subsection (a) may include--
                  [(A) the identification of the special needs 
                of gifted and talented Indian students, 
                particularly at the elementary school level, 
                giving attention to--
                          [(i) the emotional and psychosocial 
                        needs of such students; and
                          [(ii) providing such support services 
                        to the families of such students as are 
                        needed to enable such students to 
                        benefit from the project;
                  [(B) the conduct of educational, 
                psychosocial, and developmental activities that 
                the Secretary determines holds a reasonable 
                promise of resulting in substantial progress 
                toward meeting the educational needs of such 
                gifted and talented children, including but not 
                limited to--
                          [(i) demonstrating and exploring the 
                        use of Indian languages and exposure to 
                        Indian cultural traditions; and
                          [(ii) mentoring and apprenticeship 
                        programs;
                  [(C) the provision of technical assistance 
                and the coordination of activities at schools 
                that receive grants under subsection (d) with 
                respect to the activities assisted under such 
                grants, the evaluation of programs assisted 
                under such grants, or the dissemination of such 
                evaluations;
                  [(D) the use of public television in meeting 
                the special educational needs of such gifted 
                and talented children;
                  [(E) leadership programs designed to 
                replicate programs for such children throughout 
                the United States, including disseminating 
                information derived from the demonstration 
                projects conducted under subsection (a); and
                  [(F) appropriate research, evaluation, and 
                related activities pertaining to the needs of 
                such children and to the provision of such 
                support services to the families of such 
                children that are needed to enable such 
                children to benefit from the project.
          [(4) Application.--Each entity desiring a grant under 
        subsection (a) shall submit an application to the 
        Secretary at such time and in such manner as the 
        Secretary may prescribe.
  [(d) Additional Grants.--
          [(1) In general.--The Secretary, in consultation with 
        the Secretary of the Interior, shall award 5 grants to 
        schools funded by the Bureau of Indian Affairs 
        (hereafter in this section referred to as ``Bureau 
        schools'') for program research and development and the 
        development and dissemination of curriculum and teacher 
        training material, regarding--
                  [(A) gifted and talented students;
                  [(B) college preparatory studies (including 
                programs for Indian students with an interest 
                in pursuing teaching careers);
                  [(C) students with special culturally related 
                academic needs, including students with social, 
                lingual, and cultural needs; or
                  [(D) mathematics and science education.
          [(2) Applications.--Each Bureau school desiring a 
        grant to conduct one or more of the activities 
        described in paragraph (1) shall submit an application 
        to the Secretary in such form and at such time as the 
        Secretary may prescribe.
          [(3) Special rule.--Each application described in 
        paragraph (2) shall be developed, and each grant under 
        this subsection shall be administered, jointly by the 
        supervisor of the Bureau school and the local 
        educational agency serving such school.
          [(4) Requirements.--In awarding grants under 
        paragraph (1), the Secretary shall achieve a mixture of 
        the programs described in paragraph (1) that ensures 
        that Indian students at all grade levels and in all 
        geographic areas of the United States are able to 
        participate in a program assisted under this 
        subsection.
          [(5) Grant period.--Subject to the availability of 
        appropriations, grants under paragraph (1) shall be 
        awarded for a 3-year period and may be renewed by the 
        Secretary for additional 3-year periods if the 
        Secretary determines that the performance of the grant 
        recipient has been satisfactory.
          [(6) Dissemination.--(A) The dissemination of any 
        materials developed from activities assisted under 
        paragraph (1) shall be carried out in cooperation with 
        entities that receive funds pursuant to subsection (b).
          [(B) The Secretary shall report to the Secretary of 
        the Interior and to the Congress any results from 
        activities described in paragraph (3)(B).
          [(7) Evaluation costs.--(A) The costs of evaluating 
        any activities assisted under paragraph (1) shall be 
        divided between the Bureau schools conducting such 
        activities and the recipients of grants or contracts 
        under subsection (b) who conduct demonstration projects 
        under such subsection.
          [(B) If no funds are provided under subsection (b) 
        for--
                  [(i) the evaluation of activities assisted 
                under paragraph (1);
                  [(ii) technical assistance and coordination 
                with respect to such activities; or
                  [(iii) the dissemination of the evaluations 
                referred to in clause (i),
        then the Secretary shall make such grants, or enter 
        into such contracts, as are necessary to provide for 
        the evaluations, technical assistance, and coordination 
        of such activities, and the dissemination of the 
        evaluations.
  [(e) Information Network.--The Secretary shall encourage each 
recipient of a grant or contract under this section to work 
cooperatively as part of a national network to ensure that the 
information developed by the grant or contract recipient is 
readily available to the entire educational community.

[SEC. 9125. [20 U.S.C. 7835] GRANTS TO TRIBES FOR EDUCATION 
                    ADMINISTRATIVE PLANNING AND DEVELOPMENT.

  [(a) In General.--The Secretary may make grants to Indian 
tribes, and tribal organizations approved by Indian tribes, to 
plan and develop a centralized tribal administrative entity 
to--
          [(1) coordinate all education programs operated by 
        the tribe or within the territorial jurisdiction of the 
        tribe;
          [(2) develop education codes for schools within the 
        territorial jurisdiction of the tribe;
          [(3) provide support services and technical 
        assistance to schools serving children of the tribe; 
        and
          [(4) perform child-find screening services for the 
        preschool-aged children of the tribe to--
                  [(A) ensure placement in appropriate 
                educational facilities; and
                  [(B) coordinate the provision of any needed 
                special services for conditions such as 
                disabilities and English language skill 
                deficiencies.
  [(b) Period of Grant.--Each grant under this section may be 
awarded for a period of not more than 3 years, except that such 
grant may be renewed upon the termination of the initial period 
of the grant if the grant recipient demonstrates to the 
satisfaction of the Secretary that renewing the grant for an 
additional 3-year period is necessary to carry out the 
objectives of the grant described in subsection (c)(2)(A).
  [(c) Application for Grant.--
          [(1) In general.--Each Indian tribe and tribal 
        organization desiring a grant under this section shall 
        submit an application to the Secretary at such time, in 
        such manner, containing such information, and 
        consistent with such criteria, as the Secretary may 
        prescribe in regulations.
          [(2) Contents.--Each application described in 
        paragraph (1) shall contain--
                  [(A) a statement describing the activities to 
                be conducted, and the objectives to be 
                achieved, under the grant; and
                  [(B) a description of the method to be used 
                for evaluating the effectiveness of the 
                activities for which assistance is sought and 
                determining whether such objectives are 
                achieved.
          [(3) Approval.--The Secretary may approve an 
        application submitted by a tribe or tribal organization 
        pursuant to this section only if the Secretary is 
        satisfied that such application, including any 
        documentation submitted with the application--
                  [(A) demonstrates that the applicant has 
                consulted with other education entities, if 
                any, within the territorial jurisdiction of the 
                applicant who will be affected by the 
                activities to be conducted under the grant;
                  [(B) provides for consultation with such 
                other education entities in the operation and 
                evaluation of the activities conducted under 
                the grant; and
                  [(C) demonstrates that there will be adequate 
                resources provided under this section or from 
                other sources to complete the activities for 
                which assistance is sought, except that the 
                availability of such other resources shall not 
                be a basis for disapproval of such application.
  [(d) Restriction.--A tribe may not receive funds under this 
section if such tribe receives funds under section 1144 of the 
Indian Education Amendments of 1978.
  [(e) Authorization of Appropriations.--There are authorized 
to be appropriated to the Department of Education $3,000,000 
for each of the fiscal years 1995 through 1999 to carry out 
this section.

  [Subpart 3--Special Programs Relating to Adult Education for Indians

[SEC. 9131. [20 U.S.C. 7851] IMPROVEMENT OF EDUCATIONAL OPPORTUNITIES 
                    FOR ADULT INDIANS.

  [(a) In General.--The Secretary shall award grants to State 
and local educational agencies, and to Indian tribes, 
institutions, and organizations--
          [(1) to support planning, pilot, and demonstration 
        projects that are designed to test and demonstrate the 
        effectiveness of programs for improving employment and 
        educational opportunities for adult Indians;
          [(2) to assist in the establishment and operation of 
        programs that are designed to stimulate--
                  [(A) basic literacy opportunities for all 
                nonliterate Indian adults; and
                  [(B) the provision of opportunities to all 
                Indian adults to qualify for a secondary school 
                diploma, or its recognized equivalent, in the 
                shortest period of time feasible;
          [(3) to support a major research and development 
        program to develop more innovative and effective 
        techniques for achieving literacy and secondary school 
        equivalency for Indians;
          [(4) to provide for basic surveys and evaluations to 
        define accurately the extent of the problems of 
        illiteracy and lack of secondary school completion 
        among Indians; and
          [(5) to encourage the dissemination of information 
        and materials relating to, and the evaluation of, the 
        effectiveness of education programs that may offer 
        educational opportunities to Indian adults.
  [(b) Educational Services.--The Secretary may make grants to 
Indian tribes, institutions, and organizations to develop 
andestablish educational services and programs specifically designed to 
improve educational opportunities for Indian adults.
  [(c) Information and Evaluation.--The Secretary may make 
grants to, and enter into contracts with, public agencies and 
institutions and Indian tribes, institutions, and 
organizations, for--
          [(1) the dissemination of information concerning 
        educational programs, services, and resources available 
        to Indian adults, including evaluations of the 
        programs, services, and resources; and
          [(2) the evaluation of federally assisted programs in 
        which Indian adults may participate to determine the 
        effectiveness of the programs in achieving the purposes 
        of the programs with respect to Indian adults.
  [(d) Applications.--
          [(1) In general.--Each entity desiring a grant under 
        this section shall submit to the Secretary an 
        application at such time, in such manner, containing 
        such information, and consistent with such criteria, as 
        the Secretary may prescribe in regulations.
          [(2) Contents.--Each application described in 
        paragraph (1) shall contain--
                  [(A) a statement describing the activities to 
                be conducted, and the objectives to be 
                achieved, under the grant; and
                  [(B) a description of the method to be used 
                for evaluating the effectiveness of the 
                activities for which assistance is sought and 
                determining whether the objectives of the grant 
                are achieved.
          [(3) Approval.--The Secretary shall not approve an 
        application described in paragraph (1) unless the 
        Secretary determines that such application, including 
        any documentation submitted with the application, 
        indicates--
                  [(A) there has been adequate participation, 
                by the individuals to be served and appropriate 
                tribal communities, in the planning and 
                development of the activities to be assisted; 
                and
                  [(B) the individuals and tribal communities 
                referred to in subparagraph (A) will 
                participate in the operation and evaluation of 
                the activities to be assisted.
          [(4) Priority.--In approving applications under 
        paragraph (1), the Secretary shall give priority to 
        applications from Indian educational agencies, 
        organizations, and institutions.

                [Subpart 4--National Research Activities

[SEC. 9141. [20 U.S.C. 7861] NATIONAL ACTIVITIES.

  [(a) Authorized Activities.--The Secretary may use funds made 
available under section 9162(b) for each fiscal year to--
          [(1) conduct research related to effective approaches 
        for the education of Indian children and adults;
          [(2) evaluate federally assisted education programs 
        from which Indian children and adults may benefit;
          [(3) collect and analyze data on the educational 
        status and needs of Indians; and
          [(4) carry out other activities that are consistent 
        with the purpose of this part.
  [(b) Eligibility.--The Secretary may carry out any of the 
activities described in subsection (a) directly or through 
grants to, or contracts or cooperative agreements with Indian 
tribes, Indian organizations, State educational agencies, local 
educational agencies, institutions of higher education, 
including Indian institutions of higher education, and other 
public and private agencies and institutions.
  [(c) Coordination.--Research activities supported under this 
section--
          [(1) shall be carried out in consultation with the 
        Office of Educational Research and Improvement to 
        assure that such activities are coordinated with and 
        enhance the research and development activities 
        supported by the Office; and
          [(2) may include collaborative research activities 
        which are jointly funded and carried out by the Office 
        of Indian Education and the Office of Educational 
        Research and Improvement.

                   [Subpart 5--Federal Administration

[SEC. 9151. [20 U.S.C. 7871] NATIONAL ADVISORY COUNCIL ON INDIAN 
                    EDUCATION.

  [(a) Membership.--There is established a National Advisory 
Council on Indian Education (hereafter in this section referred 
to as the ``Council''), which shall--
          [(1) consist of 15 Indian members, who shall be 
        appointed by the President from lists of nominees 
        furnished, from time to time, by Indian tribes and 
        organizations; and
          [(2) represent different geographic areas of the 
        United States.
  [(b) Duties.--The Council shall--
          [(1) advise the Secretary concerning the funding and 
        administration (including the development of 
        regulations and administrative policies and practices) 
        of any program, including any program established under 
        this part--
                  [(A) with respect to which the Secretary has 
                jurisdiction; and
                  [(B)(i) that includes Indian children or 
                adults as participants; or
                  [(ii) that may benefit Indian children or 
                adults;
          [(2) make recommendations to the Secretary for 
        filling the position of Director of Indian Education 
        whenever a vacancy occurs; and
          [(3) submit to the Congress, not later than June 30 
        of each year, a report on the activities of the 
        Council, including--
                  [(A) any recommendations that the Council 
                considers appropriate for the improvement of 
                Federal education programs that include Indian 
                children or adults as participants, or that may 
                benefit Indian children or adults; and
                  [(B) recommendations concerning the funding 
                of any program described in subparagraph (A).

[SEC. 9152. [20 U.S.C. 7872] PEER REVIEW.

  [The Secretary may use a peer review process to review 
applications submitted to the Secretary under subpart 2, 3, or 
4.

[SEC. 9153. [20 U.S.C. 7873] PREFERENCE FOR INDIAN APPLICANTS.

  [In making grants under subpart 2, 3, or 4, the Secretary 
shall give a preference to Indian tribes, organizations, and 
institutions of higher education under any program with respect 
to which Indian tribes, organizations, and institutions are 
eligible to apply for grants.

[SEC. 9154. [20 U.S.C. 7874] MINIMUM GRANT CRITERIA.

  [The Secretary may not approve an application for a grant 
under subpart 2 or 3 unless the application is for a grant that 
is--
          [(1) of sufficient size, scope, and quality to 
        achieve the purpose or objectives of such grant; and
          [(2) based on relevant research findings.

       [Subpart 6--Definitions; Authorizations of Appropriations

[SEC. 9161. [20 U.S.C. 7881] DEFINITIONS.

  [As used in this part:
          [(1) Adult.--The term ``adult'' means an individual 
        who--
                  [(A) has attained the age of 16 years; or
                  [(B) has attained an age that is greater than 
                the age of compulsory school attendance under 
                an applicable State law.
          [(2) Adult education.--The term ``adult education'' 
        has the meaning given such term in section 203 of the 
        Adult Education and Family Literacy Act.
          [(3) Free public education.--The term ``free public 
        education'' means education that is--
                  [(A) provided at public expense, under public 
                supervision and direction, and without tuition 
                charge; and
                  [(B) provided as elementary or secondary 
                education in the applicable State or to 
                preschool children.
          [(4) Indian.--The term ``Indian'' means an individual 
        who is--
                  [(A) a member of an Indian tribe or band, as 
                membership is defined by the tribe or band, 
                including--
                          [(i) any tribe or band terminated 
                        since 1940; and
                          [(ii) any tribe or band recognized by 
                        the State in which the tribe or band 
                        resides;
                  [(B) a descendant, in the first or second 
                degree, of an individual described in 
                subparagraph (A);
                  [(C) considered by the Secretary of the 
                Interior to be an Indian for any purpose;
                  [(D) an Eskimo, Aleut, or other Alaska 
                Native; or
                  [(E) a member of an organized Indian group 
                that received a grant under the Indian 
                Education Act of 1988 as it was in effect the 
                day preceding the date of enactment of the Act 
                entitled the ``Improving America's Schools Act 
                of 1994''.

[SEC. 9162. [20 U.S.C. 7882] AUTHORIZATIONS OF APPROPRIATIONS.

  [(a) Subpart 1.--For the purpose of carrying out subpart 1 of 
this part, there are authorized to be appropriated to the 
Department of Education $61,300,000 for fiscal year 1995 and 
such sums as may be necessary for each of the four succeeding 
fiscal years.
  [(b) Subparts 2 Through 4.--For the purpose of carrying out 
subparts 2, 3, and 4 of this part, there are authorized to be 
appropriated to the Department of Education $26,000,000 for 
fiscal year 1995 and such sums as may be necessary for each of 
the four succeeding fiscal years.
  [(c) Subpart 5.--For the purpose of carrying out subpart 5 of 
this part, there are authorized to be appropriated to the 
Department of Education $3,775,000 for fiscal year 1995 and 
such sums as may be necessary for each of the four succeeding 
fiscal years.

                       [PART B--NATIVE HAWAIIANS

[SEC. 9201. [20 U.S.C. 7901] SHORT TITLE.

  [This part may be cited as the ``Native Hawaiian Education 
Act''.

[SEC. 9202. [20 U.S.C. 7902] FINDINGS.

  [The Congress finds and declares as follows:
          [(1) Native Hawaiians are a distinct and unique 
        indigenous people with a historical continuity to the 
        original inhabitants of the Hawaiian archipelago, whose 
        society was organized as a nation and internationally 
        recognized as such by the United States, Britain, 
        France, and Japan, as evidenced by treaties governing 
        friendship, commerce, and navigation.
          [(2) At the time of the arrival of the first non-
        indigenous people in Hawai`i in 1778, the Native 
        Hawaiian people lived in a highly organized, self-
        sufficient subsistence social system based on a 
        communal land tenure system with a sophisticated 
        language, culture, and religion.
          [(3) A unified monarchial government of the Hawaiian 
        Islands was established in 1810 under Kamehameha I, the 
        first King of Hawai`i.
          [(4) From 1826 until 1893, the United States 
        recognized the sovereignty and independence of the 
        Kingdom of Hawai`i, which was established in 1810 under 
        Kamehameha I, extended full and complete diplomatic 
        recognition to the Kingdom of Hawai`i, and entered into 
        treaties and conventions with the Kingdom of Hawai`i to 
        govern friendship, commerce and navigation in 1826, 
        1842, 1849, 1875, and 1887.
          [(5) In 1893, the sovereign, independent, 
        internationally recognized, and indigenous government 
        of Hawai`i, the Kingdom of Hawai`i, was overthrown by a 
        small group of non-Hawaiians, including United States 
        citizens, who were assisted in their efforts by the 
        United States Minister, a United States naval 
        representative, and armed naval forces of the United 
        States. Because of the participation of United States 
        agents and citizens in the overthrow of the Kingdom of 
        Hawai`i, the Congress, on behalf of the people of the 
        United States, apologized to Native Hawaiians for the 
        overthrow and the deprivationof the rights of Native 
Hawaiians to self-determination through Public Law 103-150 (107 Stat. 
1510).
          [(6) In 1898, the joint resolution entitled ``A Joint 
        Resolution to provide for annexing the Hawaiian Islands 
        to the United States'', approved July 7, 1898 (30 Stat. 
        750), ceded absolute title of all lands held by the 
        Republic of Hawai`i, including the government and crown 
        lands of the former Kingdom of Hawai`i, to the United 
        States, but mandated that revenue generated from these 
        lands be used ``solely for the benefit of the 
        inhabitants of the Hawaiian Islands for educational and 
        other public purposes''.
          [(7) By 1919, the Native Hawaiian population had 
        declined from an estimated 1,000,000 in 1778 to an 
        alarming 22,600, and in recognition of this severe 
        decline, the Congress in 1921 enacted the Hawaiian 
        Homes Commission Act, 1920, which designated 
        approximately 200,000 acres of ceded public lands for 
        homesteading by Native Hawaiians.
          [(8) Through the enactment of the Hawaiian Homes 
        Commission Act, 1920, the Congress affirmed the special 
        relationship between the United States and the Native 
        Hawaiians, as expressed by then Secretary of the 
        Interior Franklin K. Lane, who was quoted in the 
        committee report for the Hawaiian Homes Commission Act, 
        1920, as saying: ``One thing that impressed me . . . 
        was the fact that the natives of the island who are our 
        wards, I should say, and for whom in a sense we are 
        trustees, are falling off rapidly in numbers and many 
        of them are in poverty.''.
          [(9) In 1938, the United States Congress again 
        acknowledged the unique status of the Hawaiian people 
        by including in the Act of June 20, 1938 (52 Stat. 781 
        et seq.), a provision to lease lands within the 
        National Parks extension to Native Hawaiians and to 
        permit fishing in the area ``only by native Hawaiian 
        residents of said area or of adjacent villages and by 
        visitors under their guidance.''.
          [(10) Under the Act entitled ``An Act to provide for 
        the admission of the State of Hawai`i into the Union'' 
        approved March 18, 1959 (73 Stat. 4), the United States 
        transferred responsibility for the administration of 
        the Hawaiian Home Lands to the State of Hawai`i but 
        reaffirmed the trust relationship which existed between 
        the United States and the Hawaiian people by retaining 
        the exclusive power to enforce the trust, including the 
        power to approve land exchanges and legislative 
        amendments affecting the rights of beneficiaries under 
        such Act.
          [(11) In 1959, under the Act entitled ``An Act to 
        provide for the admission of the State of Hawai`i into 
        the Union'', approved March 18, 1959 (73 Stat. 4), the 
        United States ceded to the State of Hawai`i title to 
        the public lands formerly held by the United States, 
        but mandated that such lands be held by the State ``in 
        public trust' and reaffirmed the special relationship 
        which existed between the United States and the 
        Hawaiian people by retaining the legal responsibility 
        to enforce the public trust responsibility of the State 
        of Hawai`i for the betterment of the conditions of 
        Native Hawaiians, as defined in section 201(a) of the 
        Hawaiian Homes Commission Act, 1920.
          [(12) The United States assumed special 
        responsibilities for Native Hawaiian lands and 
        resources at the time of the annexation of the 
        Territory in 1898, upon adoption of the Hawaiian Homes 
        Commission Act, 1920, and upon admission of the State 
        of Hawai`i into the Union in 1959, and has retained 
        certain of those responsibilities.
          [(13) In recognition of the special relationship 
        which exists between the United States and the Native 
        Hawaiian people, the Congress has extended to Native 
        Hawaiians the same rights and privileges accorded to 
        American Indian, Alaska Native, Eskimo, and Aleut 
        communities under the Native American Programs Act of 
        1974, the American Indian Religious Freedom Act, the 
        National Museum of the American Indian Act, the Native 
        American Graves Protection and Repatriation Act, the 
        National Historic Preservation Act, and the Native 
        American Languages Act.
          [(14) In recognition of the special relationship 
        which exists between the United States and the Native 
        Hawaiian people, the Congress has enacted numerous 
        special provisions of law for the benefit of Native 
        Hawaiians in the areas of health, education, labor, and 
        housing.
          [(15) In 1981, the Senate instructed the Office of 
        Education to submit to the Congress a comprehensive 
        report on Native Hawaiian education. The report, 
        entitled the ``Native Hawaiian Educational Assessment 
        Project'', was released in 1983 and documented that 
        Native Hawaiians scored below parity with national 
        norms on standardized achievement tests, were 
        disproportionately represented in many negative social 
        and physical statistics, indicative of special 
        educational needs, and had educational needs which were 
        related to their unique cultural situation, such as 
        different learning styles and low self-image.
          [(16) In recognition of the educational needs of 
        Native Hawaiians, in 1988, the Congress enacted title 
        IV of the Augustus F. Hawkins-Robert T. Stafford 
        Elementary and Secondary School Improvement Amendments 
        of 1988 to authorize and develop supplemental 
        educational programs to benefit Native Hawaiians.
          [(17) In 1993, the Kamehameha Schools Bishop Estate 
        released a ten-year update of the Native Hawaiian 
        Educational Assessment Project, which found that 
        despite the successes of the programs established under 
        title IV of the Augustus F. Hawkins-Robert T. Stafford 
        Elementary and Secondary School Improvement Amendments 
        of 1988, many of the same educational needs still exist 
        for Native Hawaiians. For example--
                  [(A) educational risk factors continue to 
                start even before birth for many Native 
                Hawaiian children, including--
                          [(i) late or no prenatal care;
                          [(ii) half of Native Hawaiian women 
                        who give birth are unmarried; and
                          [(iii) high rates of births to 
                        teenage parents;
                  [(B) Native Hawaiian students continue to 
                begin their school experience lagging behind 
                other students in terms of readiness factors 
                such as vocabulary test scores;
                  [(C) Native Hawaiian students continue to 
                score below national norms on standardized 
                education achievement tests at all grade 
                levels;
                  [(D) both public and private schools continue 
                to show a pattern of lower percentages of 
                Native Hawaiian students in the uppermost 
                achievement levels and in gifted and talented 
                programs;
                  [(E) Native Hawaiian students continue to be 
                overrepresented among students qualifying for 
                special education programs provided to students 
                with learning disabilities, mild mental 
                retardation, emotional impairment, and other 
                such disabilities;
                  [(F) Native Hawaiians continue to be 
                underrepresented in institutions of higher 
                education and among adults who have completed 
                four or more years of college;
                  [(G) Native Hawaiians continue to be 
                disproportionately represented in many negative 
                social and physical statistics, indicative of 
                special educational needs, for example--
                          [(i) Native Hawaiian students are 
                        more likely to be retained in grade 
                        level and to be excessively absent in 
                        secondary school;
                          [(ii) Native Hawaiian students are 
                        the highest users of drugs and alcohol 
                        in the State of Hawai`i; and
                          [(iii) Native Hawaiian children 
                        continue to be disproportionately 
                        victimized by child abuse and neglect; 
                        and
                  [(H) Native Hawaiians now comprise over 23 
                percent of the students served by the State of 
                Hawai`i Department of Education and there are 
                and will continue to be geographically rural, 
                isolated areas with a high Native Hawaiian 
                population density.
          [(18) The findings described in paragraphs (1) 
        through (17) are contrary to the high rate of literacy 
        and integration of traditional culture and Western 
        education achieved by Native Hawaiians through a 
        Hawaiian language-based public school system 
        established in 1840 by Kamehameha III.
          [(19) After the overthrow of the Kingdom of Hawai`i 
        in 1893, Hawaiian medium schools were banned. After 
        annexation, throughout the territorial and statehood 
        period, and until 1986, use of Hawaiian as a medium of 
        education in public schools was declared unlawful, 
        thereby causing incalculable harm to a culture that 
        placed a very high value on the power of language, as 
        exemplified in the traditional saying: ``I ka ``olelo 
        no ke ola; I ka ``olelo no ka make. In the language 
        rests life; In the language rests death.''.
          [(20) Despite the consequences of over 100 years of 
        nonindigenous influence, the Native Hawaiian people are 
        determined to preserve, develop, and transmit to future 
        generations their ancestral territory, and their 
        cultural identity in accordance with their own 
        spiritual and traditional beliefs, customs, practices, 
        language, and social institutions.
          [(21) The State of Hawai`i, in the constitution and 
        statutes of the State of Hawai`i--
                  [(A) reaffirms and protects the unique right 
                of the Native Hawaiian people to practice and 
                perpetuate their culture and religious customs, 
                beliefs, practices, and language; and
                  [(B) recognizes the traditional language of 
                the Native Hawaiian people as an official 
                language of the State of Hawai`i, which may be 
                used as the language of instruction for all 
                subjects and grades in the public school 
                system.

[SEC. 9203. [20 U.S.C. 7903] PURPOSE.

  [It is the purpose of this part to--
          [(1) authorize and develop supplemental educational 
        programs to assist Native Hawaiians in reaching the 
        National Education Goals;
          [(2) provide direction and guidance to appropriate 
        Federal, State, and local agencies to focus resources, 
        including resources made available under this part, on 
        Native Hawaiian education, through the establishment of 
        a Native Hawaiian Education Council, and five island 
        councils;
          [(3) supplement and expand existing programs and 
        authorities in the area of education to further the 
        purposes of the title; and
          [(4) encourage the maximum participation of Native 
        Hawaiians in planning and management of Native Hawaiian 
        Education Programs.

[SEC. 9204. [20 U.S.C. 7904] NATIVE HAWAIIAN EDUCATION COUNCIL AND 
                    ISLAND COUNCILS.

  [(a) Establishment of Native Hawaiian Education Council.--In 
order to better effectuate the purposes of this part through 
the coordination of educational and related services and 
programs available to Native Hawaiians, including those 
programs receiving funding under this part, the Secretary is 
authorized to establish a Native Hawaiian Education Council 
(hereafter in this part referred to as the ``Education 
Council'').
  [(b) Composition of Education Council.--The Education Council 
shall consist of not more than 25 members, including a 
representative of--
          [(1) each recipient of funds from the Secretary under 
        this part;
          [(2) the State of Hawai`i Department of Education;
          [(3) the State of Hawai`i Office of Hawaiian Affairs;
          [(4) Native Hawaiian educational organizations, such 
        as Alu Like, Inc., Kamehameha Schools Bishop Estate, 
        Hawaiian Language Immersion Advisory Council, Aha 
        Punana Leo, and the Queen Lili``uokalani Trust and 
        Children's Center; and
          [(5) each Native Hawaiian education island council 
        established under subsection (f).
  [(c) Conditions and Terms.--At least three-fourths of the 
members of the Education Council shall be Native 
Hawaiians.Members of the Education Council shall be appointed for 
three-year terms.
  [(d) Administrative Grant for the Education Council.--The 
Secretary shall make a direct grant to the Education Council in 
order to enable the Education Council to--
          [(1) coordinate the educational and related services 
        and programs available to Native Hawaiians, including 
        the programs assisted under this part, and assess the 
        extent to which such services and programs meet the 
        needs of Native Hawaiians; and
          [(2) provide direction and guidance, through the 
        issuance of reports and recommendations, to appropriate 
        Federal, State, and local agencies in order to focus 
        and improve the use of resources, including resources 
        made available under this part, on Native Hawaiian 
        education.
  [(e) Additional Duties of the Education Council.--
          [(1) In general.--The Education Council shall provide 
        copies of any reports and recommendations issued by the 
        Education Council to the Secretary, the Committee on 
        Indian Affairs of the Senate, and the Committee on 
        Education and Labor of the House of Representatives, 
        including any information that the Education Council 
        provides to the Secretary pursuant to subsection (i).
          [(2) Annual report.--The Education Council shall 
        present to the Secretary an annual report on the 
        Education Council's activities.
          [(3) Island council support and assistance.--The 
        Education Council shall provide such administrative 
        support and financial assistance to the island councils 
        established pursuant to subsection (f) as the Secretary 
        deems appropriate.
  [(f) Establishment of Island Councils.--
          [(1) In general.--In order to better effectuate the 
        purposes of this part and to ensure the adequate 
        representation of island and community interests within 
        the Education Council, the Office of Hawaiian Affairs 
        of the State of Hawai`i is authorized to facilitate the 
        establishment of Native Hawaiian education island 
        councils (hereafter in this part referred to as 
        ``island councils'') for the following islands:
                  [(A) Hawai`i.
                  [(B) Maui and Lana`i.
                  [(C) Moloka`i.
                  [(D) Kaua`i and Ni`ihau.
                  [(E) O`ahu.
          [(2) Composition of island councils.--Each island 
        council shall consist of parents, students, and other 
        community members who have an interest in the education 
        of Native Hawaiians, and shall be representative of the 
        educational needs of all age groups, from preschool 
        through adulthood. At least three-fourths of the 
        members of each island council shall be Native 
        Hawaiians
  [(g) Administrative Provisions Relating to Education Council 
and Island Councils.--The Education Council and each island 
council shall meet at the call of the chairperson of the 
respective council, or upon the request of the majority of the 
members of the respective council, but in any event not less 
than four times during each calendar year. The provisions of 
the Federal Advisory Committee Act shall not apply to the 
Education Council and each island council.
  [(h) Compensation.--Members of the Education Council and each 
island council shall not receive any compensation for services 
on the Education Council and each island council, respectively.
  [(i) Report.--Not later than four years after the date of the 
enactment of the Improving America's Schools Act of 1994, the 
Secretary shall prepare and submit to the Committee on Indian 
Affairs of the Senate, and the Committee on Education and Labor 
of the House of Representatives, a report which summarizes the 
annual reports of the Education Council, describes the 
allocation and utilization of funds under this part, and 
contains recommendations for changes in Federal, State, and 
local policy to advance the purposes of this part.
  [(j) Authorization of Appropriations.--There are authorized 
to be appropriated $500,000 for fiscal year 1995, and such sums 
as may be necessary for each of the 4 succeeding fiscal years, 
to carry out this section. Funds appropriated under the 
authority of this subsection shall remain available until 
expended.

[SEC. 9205. [20 U.S.C. 7905] NATIVE HAWAIIAN FAMILY-BASED EDUCATION 
                    CENTERS.

  [(a) General Authority.--The Secretary is authorized to make 
direct grants, to Native Hawaiian educational organizations or 
educational entities with experience in developing or operating 
Native Hawaiian programs or programs of instruction conducted 
in the Native Hawaiian language, to expand the operation of 
Family-Based Education Centers throughout the Hawaiian Islands. 
The programs of such centers may be conducted in the Hawaiian 
language, the English language, or a combination thereof, and 
shall include--
          [(1) parent-infant programs for prenatal through 
        three-year-olds;
          [(2) preschool programs for four- and five-year-olds;
          [(3) continued research and development; and
          [(4) a long-term followup and assessment program, 
        which may include educational support services for 
        Native Hawaiian language immersion programs or 
        transition to English speaking programs.
  [(b) Administrative Costs.--Not more than 7 percent of the 
funds appropriated to carry out the provisions of this section 
for any fiscal year may be used for administrative purposes.
  [(c) Authorization of Appropriations.--In addition to any 
other amount authorized to be appropriated for the centers 
described in subsection (a), there are authorized to be 
appropriated $6,000,000 for fiscal year 1995, and such sums as 
may be necessary for each of the four succeeding fiscal years, 
to carry out this section. Funds appropriated under the 
authority of this subsection shall remain available until 
expended.

[SEC. 9206. [20 U.S.C. 7906] NATIVE HAWAIIAN HIGHER EDUCATION PROGRAM.

  [(a) General Authority.--
          [(1) In general.--The Secretary is authorized to make 
        direct grants, to Native Hawaiian educational 
        organizations or educational entities with experience 
        in developing or operating Native Hawaiian programs or 
        programs of instruction conducted in the Native 
        Hawaiian language, to enable such organizations or 
        entities to provide a program of baccalaureate and 
        post-baccalaureate fellowship assistance to Native 
        Hawaiian students.
          [(2) Activities.--Such program may include--
                  [(A) full or partial fellowship support for 
                Native Hawaiian students enrolled at two- or 
                four-year degree granting institutions of 
                higher education with awards to be based on 
                academic potential and financial need; and
                  [(B) full or partial fellowship support for 
                Native Hawaiian students enrolled at post-
                baccalaureate degree granting institutions of 
                higher education with priority given to 
                providing fellowship support for professions in 
                which Native Hawaiians are underrepresented and 
                with fellowship awards to be based on academic 
                potential and financial need;
                  [(C) counseling and support services for 
                students receiving fellowship assistance under 
                paragraph (1);
                  [(D) college preparation and guidance 
                counseling at the secondary school level for 
                students who may be eligible for fellowship 
                support pursuant to subsection (a)(2)(A);
                  [(E) appropriate research and evaluation of 
                the activities authorized by this section; and
                  [(F) implementation of faculty development 
                programs for the improvement and matriculation 
                of Native Hawaiian students.
  [(b) Special Conditions Required.--For the purpose of 
fellowships awarded under subsection (a), fellowship conditions 
shall be established whereby fellowship recipients obtain an 
enforceable contract obligation to provide their professional 
services, either during the fellowship period or upon 
completion of a baccalaureate or post-baccalaureate degree 
program, to the Native Hawaiian community.
  [(c) Special Rule.--No policy shall be made in implementing 
this section to prevent a Native Hawaiian student enrolled at 
an accredited two- or four-year degree granting institution of 
higher education outside of the State of Hawai`i from receiving 
a fellowship pursuant to subsections (a) and (b) of this 
section.
  [(d) Administrative Costs.--Not more than 7 percent of the 
funds appropriated to carry out the provisions of this section 
for any fiscal year may be used for administrative purposes.
  [(e) Authorization of Appropriations.--There are authorized 
to be appropriated $2,000,000 for fiscal year 1995, and such 
sums as may be necessary for each of the four succeeding fiscal 
years, to carry out this section. Funds appropriated under the 
authority of this subsection shall remain available until 
expended.

[SEC. 9207. [20 U.S.C. 7907] NATIVE HAWAIIAN GIFTED AND TALENTED 
                    PROGRAM.

  [(a) General Authority.--The Secretary is authorized to make 
a grant, to a Native Hawaiian educational organization or an 
educational entity with experience in developing or operating 
Native Hawaiian programs or programs of instruction conducted 
in the Native Hawaiian language, for a gifted and talented 
program designed to--
          [(1) address the special needs of Native Hawaiian 
        elementary and secondary school students who are gifted 
        and talented students; and
          [(2) provide those support services to the families 
        of such students that are needed to enable such 
        students to benefit from the program.
  [(b) Uses of Funds.--The program funded under this section 
may include--
          [(1) the identification of the special needs of 
        Native Hawaiian gifted and talented students, 
        particularly with respect to--
                  [(A) the emotional and psychosocial needs of 
                such students; and
                  [(B) the provision of those support services 
                to the families of such students that are 
                needed to enable such students to benefit from 
                the program;
          [(2) the conduct of educational, psychosocial, and 
        developmental activities which hold reasonable promise 
        of resulting in substantial progress toward meeting the 
        educational needs of such students, including 
        demonstrating and exploring the use of the Native 
        Hawaiian language and exposure to Native Hawaiian 
        cultural traditions;
          [(3) leadership programs designed to--
                  [(A) replicate programs throughout the State 
                of Hawai`i for gifted and talented students who 
                are not served under this section; and
                  [(B) coordinate with other Native American 
                gifted and talented leadership programs, 
                including the dissemination of information 
                derived from the program conducted under this 
                section; and
          [(4) appropriate research, evaluation, and related 
        activities pertaining to--
                  [(A) the needs of such students; and
                  [(B) the provision of those support services 
                to the families of such students that are 
                needed to enable such students to benefit from 
                the program.
  [(c) Information Provision.--The Secretary is authorized to 
facilitate the establishment of a national network of Native 
Hawaiian and American Indian Gifted and Talented Centers, and 
ensure that the information developed by these centers shall be 
readily available to the educational community at large.
  [(d) Administrative Costs.--Not more than 7 percent of the 
funds appropriated to carry out the provisions of this section 
for any fiscal year may be used for administrative purposes.
  [(e) Authorization of Appropriations.--In addition to any 
other amount authorized to be appropriated for the program 
described in this section, there are authorized to be 
appropriated $1,500,000 for fiscal year 1995, and such sums as 
may be necessary for each of the 4 succeeding fiscal years, to 
carry out this section. Funds appropriated under the authority 
of this subsection shall remain available until expended.

[SEC. 9208. [20 U.S.C. 7908] NATIVE HAWAIIAN SPECIAL EDUCATION PROGRAM.

  [(a) General Authority.--The Secretary is authorized to make 
grants to, or enter into contracts with, Native Hawaiian 
educational organizations or educational entities with 
experience in developing or operating Native Hawaiian programs 
or programs of instruction conducted in the Native Hawaiian 
language, to operate a program to address the special education 
needs of Native Hawaiian students. Such program may include--
          [(1) the identification of Native Hawaiian students 
        with disabilities or who are otherwise in need of 
        special educational services;
          [(2) the identification of the special education 
        needs of such students, particularly with respect to--
                  [(A) the emotional and psychosocial needs of 
                such students; and
                  [(B) the provision of those support services 
                to the families of such students that are 
                needed to enable such students to benefit from 
                the program;
          [(3) the conduct of educational activities consistent 
        with part B of the Education of Individuals with 
        Disabilities Education Act which hold reasonable 
        promise of resulting in substantial progress toward 
        meeting the educational needs of such students;
          [(4) the conduct of educational, psychosocial, and 
        developmental activities which hold reasonable promise 
        of resulting in substantial progress toward meeting the 
        educational needs of such students, including 
        demonstrating and exploring the use of the Native 
        Hawaiian language and exposure to Native Hawaiian 
        cultural traditions; and
          [(5) appropriate research, evaluation, and related 
        activities pertaining to--
                  [(A) the needs of such students;
                  [(B) the provision of those support services 
                to the families of such students that are 
                needed to enable such student to benefit from 
                the program; and
                  [(C) the outcomes and benefits of activities 
                assisted under this section upon such students.
  [(b) Administrative Costs.--Not more than 7 percent of the 
funds appropriated to carry out the provisions of this section 
for any fiscal year may be used for administrative purposes.
  [(c) Authorization of Appropriations.--In addition to any 
other amount authorized to be appropriated for the program 
described in this section, there are authorized to be 
appropriated $2,000,000 for fiscal year 1995, and such sums as 
may be necessary for each of the four succeeding fiscal years, 
to carry out this section. Funds appropriated under the 
authority of this subsection shall remain available until 
expended.

[SEC. 9209. [20 U.S.C. 7909] NATIVE HAWAIIAN CURRICULUM DEVELOPMENT, 
                    TEACHER TRAINING AND RECRUITMENT PROGRAM.

  [(a) General Authority.--The Secretary is authorized to make 
direct grants, to Native Hawaiian educational organizations or 
educational entities with experience in developing or operating 
Native Hawaiian programs or programs of instruction conducted 
in the Native Hawaiian language, for the following purposes:
          [(1) Curricula.--The development of curricula to 
        address the needs of Native Hawaiian students, 
        particularly elementary and secondary school students, 
        which may include programs of instruction conducted in 
        the Native Hawaiian language, and mathematics and 
        science curricula incorporating the relevant 
        application of Native Hawaiian culture and traditions.
          [(2) Preteacher training.--The development and 
        implementation of preteacher training programs in order 
        to ensure that student teachers within the State of 
        Hawai`i, particularly student teachers who are likely 
        to be employed in schools with a high concentration of 
        Native Hawaiian students, are prepared to better 
        address the unique needs of Native Hawaiian students, 
        within the context of Native Hawaiian culture, language 
        and traditions.
          [(3) Inservice teacher training.--The development and 
        implementation of inservice teacher training programs, 
        in order to ensure that teachers, particularly teachers 
        employed in schools with a high concentration of Native 
        Hawaiian students, are prepared to better address the 
        unique needs of Native Hawaiian students, within the 
        context of Native Hawaiian culture, language and 
        traditions.
          [(4) Teacher recruitment.--The development and 
        implementation of teacher recruitment programs to meet 
        the objectives of--
                  [(A) enhancing teacher recruitment within 
                communities with a high concentration of Native 
                Hawaiian students; and
                  [(B) increasing the numbers of teachers who 
                are of Native Hawaiian ancestry.
  [(b) Priority.--In awarding grants under this section, the 
Secretary shall give priority to awarding grants for activities 
described in subsection (a) that--
          [(1) focus on the needs of at-risk youth; or
          [(2) employ a program of instruction conducted in the 
        Native Hawaiian language, except that entities 
        receiving grants awarded pursuant to subsection (a)(2) 
        shall coordinate in the development of new curricula.
  [(c) Administrative Costs.--Not more than 7 percent of the 
funds appropriated to carry out the provisions of this section 
for any fiscal year may be used for administrative purposes.
  [(d) Authorization of Appropriations.--There are authorized 
to be appropriated $2,000,000 for fiscal year 1995, and such 
sums as may be necessary for each of the four succeeding fiscal 
years, to carry out this section. Funds appropriated under the 
authority of this subsection shall remain available until 
expended.

[SEC. 9210. [20 U.S.C. 7910] NATIVE HAWAIIAN COMMUNITY-BASED EDUCATION 
                    LEARNING CENTERS.

  [(a) General Authority.--The Secretary is authorized to make 
direct grants, to collaborative efforts between community-based 
Native Hawaiian organizations and community colleges, to 
develop,establish, and operate a minimum of three community-
based education learning centers.
  [(b) Purpose.--The learning centers described in subsection 
(a) shall meet the needs of families and communities through 
interdepartmental and interagency coordination of new and 
existing public and private programs and services, which may 
include--
          [(1) preschool programs;
          [(2) after-school programs; and
          [(3) vocational and adult education programs.
  [(c) Administrative Costs.--Not more than 7 percent of the 
funds appropriated to carry out the provisions of this section 
for any fiscal year may be used for administrative purposes.
  [(d) Authorization of Appropriations.--There are authorized 
to be appropriated $1,000,000 for fiscal year 1995, and such 
sums as may be necessary for each of the four succeeding fiscal 
years, to carry out this section. Funds appropriated under the 
authority of this subsection shall remain available until 
expended.

[SEC. 9211. [20 U.S.C. 7911] ADMINISTRATIVE PROVISIONS.

  [(a) Application Required.--No grant may be made under this 
part, nor any contract be entered into under this part, unless 
an application is submitted to the Secretary in such form, in 
such manner, and containing such information as the Secretary 
may determine necessary to carry out the provisions of this 
title.
  [(b) Special Rule.--Each application submitted under this 
title shall be accompanied by the comments of each local 
educational agency serving students who will participate in the 
project for which assistance is sought.

[SEC. 9212. [20 U.S.C. 7912] DEFINITIONS.

  [For the purposes of this part--
          [(1) The term ``Native Hawaiian'' means any 
        individual who is--
                  [(A) a citizen of the United States; and
                  [(B) a descendant of the aboriginal people, 
                who prior to 1778, occupied and exercised 
                sovereignty in the area that now comprises the 
                State of Hawai`i, as evidenced by--
                          [(i) genealogical records;
                          [(ii) Kupuna (elders) or Kama`aina 
                        (long-term community residents) 
                        verification; or
                          [(iii) certified birth records.
          [(2) The term ``Native Hawaiian educational 
        organization'' means a private nonprofit organization 
        that--
                  [(A) serves the interests of Native 
                Hawaiians;
                  [(B) has Native Hawaiians in substantive and 
                policymaking positions within the organization;
                  [(C) has a demonstrated expertise in the 
                education of Native Hawaiian youth; and
                  [(D) has demonstrated expertise in research 
                and program development.
          [(3) The term ``Native Hawaiian Organization'' means 
        a private nonprofit organization that--
                  [(A) serves the interests of Native 
                Hawaiians;
                  [(B) has Native Hawaiians in substantive and 
                policymaking positions within the 
                organizations; and
                  [(C) is recognized by the Governor of Hawai`i 
                for the purpose of planning, conducting, or 
                administering programs (or portions of 
                programs) for the benefit of Native Hawaiians.
          [(4) The term ``Native Hawaiian language'' means the 
        single Native American language indigenous to the 
        original inhabitants of the State of Hawai`i.
          [(5) The term ``Office of Hawaiian Affairs'' means 
        the Office of Hawaiian Affairs established by the 
        Constitution of the State of Hawai`i.
          [(6) The term ``Native Hawaiian community-based 
        organization'' means any organization which is composed 
        primarily of Native Hawaiians from a specific community 
        and which assists in the social, cultural and 
        educational development of Native Hawaiians in that 
        community.

                    PART C--ALASKA NATIVE EDUCATION

[SEC. 9301. [20 U.S.C. 7931] SHORT TITLE.

  [This part may be cited as the ``Alaska Native Educational 
Equity, Support and Assistance Act''.

[SEC. 9302. [20 U.S.C. 7932] FINDINGS.

  [The Congress finds and declares:
          [(1) The attainment of educational success is 
        critical to the betterment of the conditions, long-term 
        well-being and preservation of the culture of Alaska 
        Natives.
          [(2) It is the policy of the Federal Government to 
        encourage the maximum participation by Alaska Natives 
        in the planning and the management of Alaska Native 
        education programs.
          [(3) Alaska Native children enter and exit school 
        with serious educational handicaps.
          [(4) The educational achievement of Alaska Native 
        children is far below national norms. In addition to 
        low Native performance on standardized tests, Native 
        student dropout rates are high, and Natives are 
        significantly underrepresented among holders of 
        baccalaureate degrees in the State of Alaska. As a 
        result, Native students are being denied their 
        opportunity to become full participants in society by 
        grade school and high school educations that are 
        condemning an entire generation to an underclass status 
        and a life of limited choices.
          [(5) The programs authorized herein, combined with 
        expanded Head Start, infant learning and early 
        childhood education programs, and parent education 
        programs are essential if educational handicaps are to 
        be overcome.
          [(6) The sheer magnitude of the geographic barriers 
        to be overcome in delivering educational services in 
        rural and village Alaska should be addressed through 
        the development and implementation of innovative, model 
        programs in a variety of areas.
          [(7) Congress finds that Native children should be 
        afforded the opportunity to begin their formal 
        education on a par with their non-Native peers. The 
        Federal Government should lend support to efforts 
        developed by and undertaken within theAlaska Native 
community to improve educational opportunity for all students.

[SEC. 9303. [20 U.S.C. 7933] PURPOSE.

  [It is the purpose of this part to--
          [(1) recognize the unique educational needs of Alaska 
        Natives;
          [(2) authorize the development of supplemental 
        educational programs to benefit Alaska Natives;
          [(3) supplement existing programs and authorities in 
        the area of education to further the purposes of this 
        part; and
          [(4) provide direction and guidance to appropriate 
        Federal, State and local agencies to focus resources, 
        including resources made available under this part, on 
        meeting the educational needs of Alaska Natives.

[SEC. 9304. [20 U.S.C. 7934] ALASKA NATIVE EDUCATIONAL PLANNING, 
                    CURRICULUM DEVELOPMENT, TEACHER TRAINING AND 
                    RECRUITMENT PROGRAM.

  [(a) General Authority.--The Secretary shall make direct 
grants to Alaska Native organizations or educational entities 
with experience in developing or operating Alaska Native 
programs or programs of instruction conducted in Alaska Native 
languages, or to partnerships involving Alaska Native 
organizations, for the following purposes:
          [(1) Educational planning.--The consolidation of 
        existing educational plans, recommendations and 
        research into implementation methods and strategies to 
        improve schooling for Alaska Natives.
          [(2) Implementation of educational plans.--The 
        adoption and implementation of specific educational 
        plans developed under subsection (1) above.
          [(3) Curricula.--The development of curricula to 
        address the needs of Alaska Native students, 
        particularly elementary and secondary school students, 
        which may include innovative programs and pilot and 
        demonstration programs to develop and introduce 
        curriculum materials that reflect cultural diversities 
        or the contributions of Alaska Native people, programs 
        of instruction conducted in Native languages, and the 
        development of networks to introduce successful 
        techniques, programs and curriculum materials to rural 
        and urban schools, including:
                  [(A) multimedia social studies curricula 
                which fully and accurately portray the role of 
                Native Americans historically and 
                contemporarily; and
                  [(B) curricula and teaching materials for 
                instructions in Native languages.
          [(4) Preteacher training.--The development and 
        implementation of preteacher training programs in order 
        to ensure that student teachers within the State of 
        Alaska, particularly student teachers who are likely to 
        be employed in schools with a high concentration of 
        Alaska Native students, are prepared to better address 
        the cultural diversity and unique needs of Alaska 
        Native students;
          [(5) Teacher recruitment.--The development and 
        implementation of teacher recruitment programs to meet 
        the objectives of--
                  [(A) increasing the numbers of teachers who 
                are Alaska Natives;
                  [(B) enhancing teacher recruitment within 
                communities with a high concentration of Alaska 
                Native students; and
                  [(C) improving the teacher selection 
                processes in order to recruit teachers who are 
                more positively responsive to rural conditions 
                and who are suited for effective cross-cultural 
                instruction.
          [(6) Inservice teacher training.--The development and 
        implementation of inservice teacher training programs 
        in order to ensure that teachers are prepared to better 
        address the unique needs of Alaska Native students.
  [(b) Administrative Costs.--Not more than 10 percent of the 
funds appropriated to carry out the provisions of this section 
for any fiscal year may be used for administrative purposes.
  [(c) Authorization of Appropriations.--There are authorized 
to be appropriated $5,000,000 for fiscal year 1995, and such 
sums as may be necessary for each of the four succeeding fiscal 
years, to carry out this section. Funds appropriated under the 
authority of this subsection shall remain available until 
expended.

[SEC. 9305. [20 U.S.C. 7935] ALASKA NATIVE HOME BASED EDUCATION FOR 
                    PRESCHOOL CHILDREN.

  [(a) General Authority.--The Secretary shall make direct 
grants to Alaska Native organizations or educational entities 
with experience in developing or operating Alaska Native 
programs, or to partnerships involving Alaska Native 
organizations, to implement home instruction programs for 
Alaska Native preschool youngsters. The objective of such 
programs shall be to develop parents as educators for their 
children and to assure the active involvement of parents in the 
education of their children from the earliest ages.
  [(b) Program Elements.--Home based education programs for 
Alaska Native children shall include--
          [(1) parent-infant programs for prenatal through 
        three-year olds;
          [(2) preschool programs for four- and five-year olds;
          [(3) training, education and support programs to 
        teach parents skills in observation, reading readiness, 
        story telling and critical thinking;
          [(4) continued research and development; and
          [(5) a long-term followup and assessment program.
  [(c) Eligibility of HIPPY Programs.--Programs based on the 
HIPPY (Home Instruction Program for Preschool Youngsters) model 
shall be eligible for funding under this section.
  [(d) Administrative Costs.--Not more than 10 percent of the 
funds appropriated to carry out the provisions of this section 
for any fiscal year may be used for administrative purposes.
  [(e) Authorization of Appropriations.--There is authorized to 
be appropriated $2,000,000 for fiscal year 1995, and such sums 
as may be necessary for each of the four succeeding fiscal 
years,to carry out this section. Funds appropriated under the 
authority of this subsection shall remain available until expended.

[SEC. 9306. [20 U.S.C. 7936] ALASKA NATIVE STUDENT ENRICHMENT PROGRAMS.

  [(a) General Authority.--The Secretary shall make a grant or 
grants to Alaska Native educational organizations or 
educational entities with experience in developing or operating 
Alaska Native programs, or to partnerships including Alaska 
Native organizations, for enrichment programs for Alaska Native 
students in the areas of science and mathematics education. The 
programs shall be designed to--
          [(1) prepare qualified students from rural areas who 
        are preparing to enter village high schools to excel in 
        science and mathematics; and
          [(2) provide those support services to the families 
        of such students that are needed to enable such 
        students to benefit from the program.
  [(b) Uses of Funds.--The program funded under this section 
may include--
          [(1) the identification of the students eligible to 
        participate in the program;
          [(2) the conduct of educational, psychosocial, and 
        developmental activities which hold reasonable promise 
        of resulting in substantial enrichment of the 
        educational performance of the participating students;
          [(3) leadership programs designed to provide for the 
        replication of the program in other subject matter 
        areas and the dissemination of information derived from 
        the program; and
          [(4) appropriate research, evaluation and related 
        activities pertaining to the benefits of such 
        enrichment programs.
  [(c) Administrative Costs.--Not more than 10 percent of the 
funds appropriated to carry out the provisions of this section 
for any fiscal year may be used for administrative purposes.
  [(d) Authorization of Appropriations.--There are authorized 
to be appropriated $1,000,000 for fiscal year 1995, and such 
sums as may be necessary for each of the four succeeding fiscal 
years, to carry out this section. Funds appropriated under the 
authority of this subsection shall remain available until 
expended.

[SEC. 9307. [20 U.S.C. 7937] ADMINISTRATIVE PROVISIONS.

  [(a) Application Required.--No grant may be made under this 
part, nor any contract be entered into under this part, unless 
an application is submitted to the Secretary in such form, in 
such manner, and containing such information as the Secretary 
may determine necessary to carry out the provisions of this 
part.
  [(b) Applications by Local School Districts or State 
Educational Entities.--Local school districts or State 
educational entities shall apply for funding under this part in 
partnership with Alaska Native organizations.
  [(c) Consultation Required.--Each applicant for funding shall 
provide for ongoing advice from and consultation with 
representatives of the Alaska Native community.
  [(d) Local Educational Agency Coordination.--Each local 
educational agency serving students who will participate in the 
program for which assistance is sought shall be informed 
regarding each application submitted under this part, except 
that approval by or concurrence from such local educational 
agency shall not be required.
  [(e) Implementation of Authorities.--The Secretary shall 
expeditiously obligate funds appropriated as provided in this 
part.

[SEC. 9308. [20 U.S.C. 7938] DEFINITIONS.

  [For purposes of this part--
          [(1) the term ``Alaska Native'' has the same meaning 
        as the term ``Native'' has in section 3(b) of the 
        Alaska Native Claims Settlement Act; and
          [(2) the term ``Alaska Native organization'' means a 
        federally recognized tribe, consortium of tribes, 
        regional nonprofit Native association, and other Alaska 
        Native organizations that--
                  [(A) has or commits to acquire expertise in 
                the education of Alaska Natives; and
                  [(B) has Alaska Natives in substantive and 
                policy-making positions within the 
                organization.]

           *       *       *       *       *       *       *


     TITLE IX--INDIAN, NATIVE HAWAIIAN, AND ALASKA NATIVE EDUCATION

                        PART A--INDIAN EDUCATION

SEC. 9101. FINDINGS.

  Congress finds that--
          (1) the Federal Government has a special 
        responsibility to ensure that educational programs for 
        all American Indian and Alaska Native children and 
        adults--
                  (A) are based on high-quality, 
                internationally competitive content standards 
                and student performance standards, and build on 
                Indian culture and the Indian community;
                  (B) assist local educational agencies, Indian 
                tribes, and other entities and individuals in 
                providing Indian students the opportunity to 
                achieve the standards described in subparagraph 
                (A); and
                  (C) meet the unique educational and 
                culturally related academic needs of American 
                Indian and Alaska Native students;
          (2) since the date of enactment of the Indian 
        Education Act in 1972, the level of involvement of 
        Indian parents in the planning, development, and 
        implementation of educational programs that affect such 
        parents and their children has increased significantly, 
        and schools should continue to foster such involvement;
          (3) although the number of Indian teachers, 
        administrators, and university professors has increased 
        since 1972, teacher training programs are not 
        recruiting, training, or retraining a sufficient number 
        of Indian individuals as educators to meet the needs of 
        a growing Indian student population in elementary, 
        secondary, vocational, adult, and higher education;
          (4) the dropout rate for Indian students is 
        unacceptably high: 9 percent of Indian students who 
        were eighth graders in 1988 had already dropped out of 
        school by 1990;
          (5) during the period from 1980 to 1990, the 
        percentage of Indian individuals living at or below the 
        poverty level increased from 24 percent to 31 percent, 
        and the readiness of Indian children to learn is 
        hampered by the high incidence of poverty, 
        unemployment, and health problems among Indian children 
        and their families; and
          (6) research related specifically to the education of 
        Indian children and adults is very limited, and much of 
        the research is of poor quality or is focused on 
        limited local or regional issues.

SEC. 9102. PURPOSE.

  (a) Purpose.--The purpose of this part is to support the 
efforts of local educational agencies, Indian tribes and 
organizations, postsecondary institutions, and other entities 
to meet the unique educational and culturally related academic 
needs of American Indian and Alaska Native students, so that 
such students can meet the same challenging State performance 
standards as are expected for all students.
  (b) Programs.--This part carries out the purpose described in 
subsection (a) by authorizing programs of direct assistance 
for--
          (1) meeting the unique educational and culturally 
        related academic needs of American Indians and Alaska 
        Natives;
          (2) the education of Indian children and adults;
          (3) the training of Indian persons as educators and 
        counselors, and in other professions serving Indian 
        people; and
          (4) research, evaluation, data collection, and 
        technical assistance.

        Subpart 1--Formula Grants to Local Educational Agencies

SEC. 9111. PURPOSE.

  The purpose of this subpart is to support local educational 
agencies in their efforts to reform elementary school and 
secondary school programs that serve Indian students in order 
to ensure that such programs--
          (1) are based on challenging State content standards 
        and State student performance standards that are used 
        for all students; and
          (2) are designed to assist Indian students to meet 
        those standards and assist the Nation in reaching the 
        National Education Goals.

SEC. 9112. GRANTS TO LOCAL EDUCATIONAL AGENCIES.

  (a) In General.--The Secretary may make grants to local 
educational agencies and Indian tribes in accordance with this 
section.
  (b) Local Educational Agencies.--
          (1) Enrollment requirements.--A local educational 
        agency shall be eligible for a grant under this subpart 
        for any fiscal year if the number of Indian children 
        who are eligible under section 9117, and who were 
        enrolled in the schools of the agency, and to whom the 
        agency provided free public education, during the 
        preceding fiscal year--
                  (A) was at least 10; or
                  (B) constituted not less than 25 percent of 
                the total number of individuals enrolled in the 
                schools of such agency.
          (2) Exclusion.--The requirement of paragraph (1) 
        shall not apply in Alaska, California, or Oklahoma, or 
        with respect to any local educational agency located 
        on, or in proximity to, a reservation.
  (c) Indian Tribes.--
          (1) In general.--If a local educational agency that 
        is otherwise eligible for a grant under this subpart 
        does not establish a parent committee under section 
        9114(c)(4), an Indian tribe that represents not less 
        than \1/2\ of the eligible Indian children who are 
        served by such local educational agency may apply for 
        such grant by submitting an application in accordance 
        with section 9114.
          (2) Special rule.--The Secretary shall treat each 
        Indian tribe applying for a grant pursuant to paragraph 
        (1) as if such Indian tribe were a local educational 
        agency for purposes of this subpart, except that any 
        such tribe shall not be subject to section 9114(c)(4) 
        (relating to a parent committee), section 9118(c) 
        (relating to maintenance of effort), or section 9119 
        (relating to State review of applications).

SEC. 9113. AMOUNT OF GRANTS.

  (a) Amount of Grant Awards.--
          (1) In general.--Except as provided in subsections 
        (c) and (d), for purposes of making grants under this 
        subpart the Secretary shall allocate to each local 
        educational agency that has an approved application 
        under this subpart an amount equal to the product of--
                  (A) the number of Indian children who are 
                eligible under section 9117 and served by such 
                agency; and
                  (B) the greater of--
                          (i) the average per-pupil expenditure 
                        of the State in which such agency is 
                        located; or
                          (ii) 80 percent of the average per-
                        pupil expenditure of all the States.
          (2) Reduction.--The Secretary shall reduce the amount 
        of each allocation determined under paragraph (1) or 
        subsection (b) in accordance with subsection (c).
  (b) Schools Operated or Supported by the Bureau of Indian 
Affairs.--
          (1) In general.--In addition to the grants awarded 
        under subsection (a), and subject to paragraph (2), for 
        purposes of making grants under this subpart the 
        Secretary shall allocate to the Secretary of the 
        Interior an amount equal to the product of--
                  (A) the total number of Indian children 
                enrolled in schools that are operated by--
                          (i) the Bureau of Indian Affairs; or
                          (ii) an Indian tribe, or an 
                        organization controlled or sanctioned 
                        by an Indian tribal government, for the 
                        children of such tribe under a contract 
                        with, or grant from, the Department of 
                        the Interior under the Indian Self-
                        Determination Act or the Tribally 
                        Controlled Schools Act of 1988; and
                  (B) the greater of--
                          (i) the average per-pupil expenditure 
                        of the State in which the school is 
                        located; or
                          (ii) 80 percent of the average per-
                        pupil expenditure of all the States.
          (2) Special rule.--Any school described in paragraph 
        (1) may apply for an allocation under this subpart by 
        submitting an application in accordance with section 
        9114. The Secretary shall treat the school as if the 
        school were a local educational agency for purposes of 
        this subpart, except that any such school shall not be 
        subject to section 9114(c)(4), 9118(c), or 9119.
  (c) Ratable Reductions.--If the sums appropriated for any 
fiscal year under section 9162(a) are insufficient to pay in 
full the amounts determined for local educational agencies 
under subsection (a) and for the Secretary of the Interior 
under subsection (b), each of those amounts shall be ratably 
reduced.
  (d) Minimum Grant.--
          (1) In general.--Notwithstanding subsection (c), a 
        local educational agency (including an Indian tribe as 
        authorized under section 9112(b)) that is eligible for 
        a grant under section 9112, and a school that is 
        operated or supported by the Bureau of Indian Affairs 
        that is eligible for a grant under subsection (b), that 
        submits an application that is approved by the 
        Secretary, shall, subject to appropriations, receive a 
        grant under this subpart in an amount that is not less 
        than $3,000.
          (2) Consortia.--Local educational agencies may form a 
        consortium for the purpose of obtaining grants under 
        this subpart.
          (3) Increase.--The Secretary may increase the minimum 
        grant under paragraph (1) to not more than $4,000 for 
        all grant recipients if the Secretary determines such 
        increase is necessary to ensure quality programs.
  (e) Definition.--In this section, the term ``average per-
pupil expenditure'', for a State, means an amount equal to--
          (1) the sum of the aggregate current expenditures of 
        all the local educational agencies in the State, plus 
        any direct current expenditures by the State for the 
        operation of such agencies, without regard to the 
        sources of funds from which such local or State 
        expenditures were made, during the second fiscal year 
        preceding the fiscal year for which the computation is 
        made; divided by
          (2) the aggregate number of children who were 
        included in average daily attendance and for whom such 
        agencies provided free public education during such 
        preceding fiscal year.

SEC. 9114. APPLICATIONS.

  (a) Application Required.--Each local educational agency that 
desires to receive a grant under this subpart shall submit an 
application to the Secretary at such time, in such manner, and 
containing such information as the Secretary may reasonably 
require.
  (b) Comprehensive Program Required.--Each application 
submitted under subsection (a) shall include a description of a 
comprehensive program for meeting the needs of Indian children 
served by the local educational agency, including the language 
and cultural needs of the children, that--
          (1) describes how the comprehensive program will 
        offer programs and activities to meet the culturally 
        related academic needs of American Indian and Alaska 
        Native students;
          (2)(A) is consistent with the State and local plans 
        submitted under other provisions of this Act; and
          (B) includes academic content and student performance 
        goals for such children, and benchmarks for attaining 
        such goals, that are based on the challenging State 
        standards adopted under title I for all children;
          (3) explains how Federal, State, and local programs, 
        especially programs carried out under title I, will 
        meet the needs of such students;
          (4) demonstrates how funds made available under this 
        subpart will be used for activities described in 
        section 9115;
          (5) describes the professional development 
        opportunities that will be provided, as needed, to 
        ensure that--
                  (A) teachers and other school professionals 
                who are new to the Indian community are 
                prepared to work with Indian children; and
                  (B) all teachers who will be involved in 
                programs assisted under this subpart have been 
                properly trained to carry out such programs; 
                and
          (6) describes how the local educational agency--
                  (A) will periodically assess the progress of 
                all Indian children enrolled in the schools of 
                the local educational agency, including Indian 
                children who do not participate in programs 
                assisted under this subpart, in meeting the 
                goals described in paragraph (2);
                  (B) will provide the results of each 
                assessment referred to in subparagraph (A) to--
                          (i) the committee of parents 
                        described in subsection (c)(4); and
                          (ii) the community served by the 
                        local educational agency; and
                  (C) is responding to findings of any previous 
                assessments that are similar to the assessments 
                described in subparagraph (A).
  (c) Assurances.--Each application submitted under subsection 
(a) shall include assurances that--
          (1) the local educational agency will use funds 
        received under this subpart only to supplement the 
        funds that, in the absence of the Federal funds made 
        available under this subpart, such agency would make 
        available for the education of Indian children, and not 
        to supplant such funds;
          (2) the local educational agency will prepare and 
        submit to the Secretary such reports, in such form and 
        containing such information, as the Secretary may 
        require to--
                  (A) carry out the functions of the Secretary 
                under this subpart; and
                  (B) determine the extent to which activities 
                carried out with funds provided to the local 
                educational agency under this subpart are 
                effective in improving the educational 
                achievement of Indian students served by such 
                agency;
          (3) the program for which assistance is sought--
                  (A) is based on a comprehensive local 
                assessment and prioritization of the unique 
                educational and culturally related academic 
                needs of the American Indian and Alaska Native 
                students for whom the local educational agency 
                is providing an education;
                  (B) will use the best available talents and 
                resources, including individuals from the 
                Indian community; and
                  (C) was developed by such agency in open 
                consultation with parents of Indian children 
                and teachers, and, if appropriate, Indian 
                students from secondary schools, including 
                through public hearings held by such agency to 
                provide to the individuals described in this 
                subparagraph a full opportunity to understand 
                the program and to offer recommendations 
                regarding the program; and
          (4) the local educational agency developed the 
        program with the participation and written approval of 
        a committee--
                  (A) that is composed of, and selected by--
                          (i) parents of Indian children in the 
                        local educational agency's schools and 
                        teachers in the schools; and
                          (ii) if appropriate, Indian students 
                        attending secondary schools of the 
                        agency;
                  (B) a majority of whose members are parents 
                of Indian children;
                  (C) that has set forth such policies and 
                procedures, including policies and procedures 
                relating to the hiring of personnel, as will 
                ensure that the program for which assistance is 
                sought will be operated and evaluated in 
                consultation with, and with the involvement of, 
                parents of the children, and representatives of 
                the area, to be served;
                  (D) with respect to an application describing 
                a schoolwide program carried out in accordance 
                with section 9115(c), that has--
                          (i) reviewed in a timely fashion the 
                        program; and
                          (ii) determined that the program will 
                        enhance the availability of culturally 
                        related activities for American Indian 
                        and Alaska Native students; and
                  (E) that has adopted reasonable bylaws for 
                the conduct of the activities of the committee 
                and abides by such bylaws.

SEC. 9115. AUTHORIZED SERVICES AND ACTIVITIES.

  (a) General Requirements.--Each local educational agency that 
receives a grant under this subpart shall use the grant funds, 
in a manner consistent with the purpose specified in section 
9111, for services and activities that--
          (1) are designed to carry out the comprehensive 
        program of the local educational agency for Indian 
        students, and described in the application of the local 
        educational agency submitted to the Secretary under 
        section 9114;
          (2) are designed with special regard for the language 
        and cultural needs of the Indian students; and
          (3) supplement and enrich the regular school program 
        of such agency.
  (b) Particular Services and Activities.--The services and 
activities referred to in subsection (a) may include--
          (1) culturally related activities that support the 
        program described in the application submitted by the 
        local educational agency;
          (2) early childhood and family programs that 
        emphasize school readiness;
          (3) enrichment programs that focus on problem-solving 
        and cognitive skills development and directly support 
        the attainment of challenging Statecontent standards 
and State student performance standards;
          (4) integrated educational services in combination 
        with other programs that meet the needs of Indian 
        children and their families;
          (5) career preparation activities to enable Indian 
        students to participate in programs such as the 
        programs supported by Public Law 103-239 and Public Law 
        88-210, including programs for tech-prep, mentoring, 
        and apprenticeship activities;
          (6) activities to educate individuals concerning 
        substance abuse and to prevent substance abuse;
          (7) the acquisition of equipment, but only if the 
        acquisition of the equipment is essential to meet the 
        purpose described in section 9111;
          (8) activities that promote the incorporation of 
        culturally responsive teaching and learning strategies 
        into the educational program of the local educational 
        agency;
          (9) activities that incorporate American Indian and 
        Alaska Native specific curriculum content, consistent 
        with State standards, into the curriculum used by the 
        local educational agency;
          (10) activities to promote coordination and 
        collaboration between tribal, Federal, and State public 
        schools in areas that will improve American Indian and 
        Alaska Native student achievement; and
          (11) family literacy services.
  (c) Schoolwide Programs.--Notwithstanding any other provision 
of law, a local educational agency may use funds made available 
to such agency under this subpart to support a schoolwide 
program under section 1114 if--
          (1) the committee composed of parents established 
        pursuant to section 9114(c)(4) approves the use of the 
        funds for the schoolwide program; and
          (2) the schoolwide program is consistent with the 
        purpose described in section 9111.
  (d) Administrative Costs.--Not more than 5 percent of the 
funds made available to a local educational agency through a 
grant made under this subpart for a fiscal year may be used to 
pay for administrative costs.

SEC. 9116. INTEGRATION OF SERVICES AUTHORIZED.

  (a) Plan.--An entity receiving funds under this subpart may 
submit a plan to the Secretary for a demonstration project for 
the integration of education and related services provided to 
Indian students.
  (b) Consolidation of Programs.--Upon the receipt of an 
acceptable plan under subsection (a), the Secretary, in 
cooperation with each Federal agency providing grants for the 
provision of education and related services to the applicant, 
shall authorize the applicant to consolidate, in accordance 
with such plan, the federally funded education and related 
services programs of the applicant and the agencies, or 
portions of the programs, serving Indian students in a manner 
that integrates the program services involved into a single, 
coordinated, comprehensive program and reduces administrative 
costs by consolidating administrative functions.
  (c) Programs Affected.--The funds that may be consolidated in 
a demonstration project under any such plan referred to in 
subsection (b) shall include funds for any Federal program 
exclusively serving Indian children, or the funds reserved 
exclusively to serve Indian children under any program, for 
which the applicant is eligible for receipt of funds under a 
statutory or administrative formula for the purposes of 
providing education and related services for Indian students.
  (d) Plan Requirements.--For a plan to be acceptable pursuant 
to subsection (b), the plan shall--
          (1) identify the programs or funding sources to be 
        consolidated;
          (2) be consistent with the objectives of this section 
        authorizing the program services to be integrated in a 
        demonstration project;
          (3) describe a comprehensive strategy that identifies 
        the full range of potential educational opportunities 
        and related services to be provided to assist Indian 
        students to achieve the objectives set forth in this 
        subpart;
          (4) describe the way in which the services are to be 
        integrated and delivered and the results expected from 
        the plan;
          (5) identify the projected expenditures under the 
        plan in a single budget;
          (6) identify the State, tribal, or local agencies to 
        be involved in the delivery of the services integrated 
        under the plan;
          (7) identify any statutory provisions, regulations, 
        policies, or procedures that the applicant believes 
        need to be waived in order to implement the plan;
          (8) set forth measures of student achievement and 
        performance goals designed to be met within a specified 
        period of time for activities provided under the plan; 
        and
          (9) be approved by a parent committee formed in 
        accordance with section 9114(c)(4), if such a committee 
        exists, in consultation with the Committee on Resources 
        of the House of Representatives and the Committee on 
        Indian Affairs of the Senate.
  (e) Plan Review.--Upon receipt of the plan from an eligible 
entity, the Secretary shall consult with the head of each 
Federal agency providing funds to be used to implement the 
plan, and with the entity submitting the plan. The parties so 
consulting shall identify any waivers of statutory requirements 
or of Federal regulations, policies, or procedures necessary to 
enable the applicant to implement the plan. Notwithstanding any 
other provision of law, the Secretary of the affected agency 
shall have the authority to waive, for the applicant, any 
regulation, policy, or procedure promulgated by that agency 
that has been so identified by the applicant or agency, unless 
the head of the affected agency determines that such a waiver 
is inconsistent with the objectives of this subpart or the 
provisions of the statute from which the program involved 
derives authority that are specifically applicable to Indian 
students.
  (f) Plan Approval.--Within 90 days after the receipt of an 
applicant's plan by the Secretary under subsection (a), the 
Secretary shall inform the applicant, in writing, of the 
Secretary's approval or disapproval of the plan. If the plan is 
disapproved, the applicant shall be informed, in writing, of 
the reasons for the disapproval andshall be given an 
opportunity to amend the plan or to petition the Secretary to 
reconsider such disapproval.
  (g) Responsibilities of Department of Education.--Not later 
than 180 days after the date of enactment of the Educational 
Opportunities Act, the Secretary of Education, the Secretary of 
the Interior, and the head of any other Federal agency 
identified by the Secretary of Education, shall enter into an 
interagency memorandum of agreement providing for the 
implementation of the demonstration projects authorized under 
this section. The lead agency for a demonstration project 
authorized under this section shall be--
          (1) the Department of the Interior, in the case of an 
        applicant that is a contract or grant school, as 
        defined in section 1146 of the Education Amendments of 
        1978; or
          (2) the Department of Education, in the case of any 
        other applicant.
  (h) Responsibilities of Lead Agency.--The responsibilities of 
the lead agency for a demonstration project shall include--
          (1) the use of a single report format related to the 
        plan for the individual project, which shall be used by 
        an eligible entity to report on the activities 
        undertaken under the project;
          (2) the use of a single report format related to the 
        projected expenditures for the individual project, 
        which shall be used by an eligible entity to report on 
        all project expenditures;
          (3) the development of a single system of Federal 
        oversight for the project, which shall be implemented 
        by the lead agency; and
          (4) the provision of technical assistance to an 
        eligible entity appropriate to the project, except that 
        an eligible entity shall have the authority to accept 
        or reject the plan for providing such technical 
        assistance and the technical assistance provider.
  (i) Report Requirements.--
          (1) In general.--The Secretary shall develop, 
        consistent with the requirements of this section, a 
        single report format for the reports described in 
        subsection (h).
          (2) Report information.--Such report format shall 
        require that the reports shall--
                  (A) contain such information as will allow a 
                determination that the eligible entity has 
                complied with the requirements incorporated in 
                the entity's approved plan, including the 
                demonstration of student achievement; and
                  (B) provide assurances to the Secretary of 
                Education and the Secretary of the Interior 
                that the eligible entity has complied with all 
                directly applicable statutory requirements and 
                with those directly applicable regulatory 
                requirements that have not been waived.
          (3) Record information.--The Secretary shall require 
        that records maintained at the local level on the 
        programs consolidated for the project shall contain the 
        information and provide the assurances described in 
        paragraph (2).
  (j) No Reduction in Amounts.--In no case shall the amount of 
Federal funds available to an eligible entity involved in any 
demonstration project be reduced as a result of the enactment 
of this section.
  (k) Interagency Fund Transfers Authorized.--The Secretary is 
authorized to take such action as may be necessary to provide 
for an interagency transfer of funds otherwise available to an 
eligible entity in order to further the objectives of this 
section.
  (l) Administration of Funds.--
          (1) In general.--An eligible entity shall administer 
        the program funds for the consolidated programs in such 
        a manner as to allow for a determination that funds 
        from a specific program are spent on allowable 
        activities authorized under such program, except that 
        the eligible entity shall determine the proportion of 
        the funds that shall be allocated to such program.
          (2) Separate records not required.--Nothing in this 
        section shall be construed as requiring the eligible 
        entity to maintain separate records tracing any 
        services or activities conducted under the approved 
        plan to the individual programs under which funds were 
        authorized for the services or activities, nor shall 
        the eligible entity be required to allocate 
        expenditures among such individual programs.
  (m) Overage.--The eligible entity may commingle all 
administrative funds from the consolidated programs and shall 
be entitled to the full amount of such funds (under each 
program's or agency's regulations). The overage (defined as the 
difference between the amount of the commingled funds and the 
actual administrative cost of the programs) shall be considered 
to be properly spent for Federal audit purposes, if the overage 
is used for the purposes provided for under this section.
  (n) Fiscal Accountability.--Nothing in this part shall be 
construed so as to interfere with the ability of the Secretary 
or the lead agency to fulfill responsibilities for safeguarding 
Federal funds pursuant to chapter 75 of title 31, United States 
Code.
  (o) Report on Statutory Obstacles to Program Integration.--
          (1) Preliminary report.--Not later than 2 years after 
        the date of enactment of the Educational Opportunities 
        Act, the Secretary of Education shall submit a 
        preliminary report to the Committee on Education and 
        the Workforce and the Committee on Resources of the 
        House of Representatives and the Committee on Health, 
        Education, Labor, and Pensions and the Committee on 
        Indian Affairs of the Senate on the status of the 
        implementation of the demonstration projects authorized 
        under this section.
          (2) Final report.--Not later than 5 years after the 
        date of enactment of the Educational Opportunities Act, 
        the Secretary of Education shall submit a report to the 
        Committee on Education and the Workforce and the 
        Committee on Resources of the House of Representatives 
        and the Committee on Health, Education, Labor, and 
        Pensions and the Committee on Indian Affairs of the 
        Senate on the results of the implementation of the 
        demonstration projects authorized under this section. 
        Such reportshall identify statutory barriers to the 
ability of participants to integrate more effectively their education 
and related services to Indian students in a manner consistent with the 
objectives of this section.
  (p) Definition.--In this section, the term ``Secretary'' 
means--
          (1) the Secretary of the Interior, in the case of an 
        applicant that is a contract or grant school, as 
        defined in section 1146 of the Education Amendments of 
        1978; or
          (2) the Secretary of Education, in the case of any 
        other applicant.

SEC. 9117. STUDENT ELIGIBILITY FORMS.

  (a) In General.--The Secretary shall require that, as part of 
an application for a grant under this subpart, each applicant 
shall maintain a file, with respect to each Indian child for 
whom the local educational agency provides a free public 
education, that contains a form that sets forth information 
establishing the status of the child as an Indian child 
eligible for assistance under this subpart, and that otherwise 
meets the requirements of subsection (b).
  (b) Forms.--
          (1) In general.--The form described in subsection (a) 
        shall include--
                  (A) either--
                          (i)(I) the name of the tribe or band 
                        of Indians (as defined in section 
                        9161(3)) with respect to which the 
                        child claims membership;
                          (II) the enrollment number 
                        establishing the membership of the 
                        child (if readily available); and
                          (III) the name and address of the 
                        organization that maintains updated and 
                        accurate membership data for such tribe 
                        or band of Indians; or
                          (ii) if the child is not a member of 
                        tribe or band of Indians (as so 
                        defined), the name, the enrollment 
                        number (if readily available), and the 
                        name and address of the organization 
                        responsible for maintaining updated and 
                        accurate membership rolls, of any 
                        parent or grandparent of the child from 
                        whom the child claims eligibility under 
                        this subpart;
                  (B) a statement of whether the tribe or band 
                of Indians (as so defined) with respect to 
                which the child, or parent or grandparent of 
                the child, claims membership is federally 
                recognized;
                  (C) the name and address of the parent or 
                legal guardian of the child;
                  (D) a signature of the parent or legal 
                guardian of the child that verifies the 
                accuracy of the information supplied; and
                  (E) any other information that the Secretary 
                considers necessary to provide an accurate 
                program profile.
          (2) Minimum information.--In order for a child to be 
        eligible to be counted for the purpose of computing the 
        amount of a grant award made under section 9113, an 
        eligibility form prepared pursuant to this section for 
        a child shall include--
                  (A) the name of the child;
                  (B) the name of the tribe or band of Indians 
                (as so defined) with respect to which the child 
                claims membership; and
                  (C) the dated signature of the parent or 
                guardian of the child.
          (3) Failure.--The failure of an applicant to furnish 
        any information described in this subsection other than 
        the information described in paragraph (2) with respect 
        to any child shall have no bearing on the determination 
        of whether the child is an eligible Indian child for 
        the purposes of computing the amount of a grant award 
        made under section 9113.
  (c) Statutory Construction.--Nothing in this section shall be 
construed to affect a definition contained in section 9161.
  (d) Forms and Standards of Proof.--The forms and the 
standards of proof (including the standard of good faith 
compliance) that were in use during the 1985-86 academic year 
to establish the eligibility of a child for entitlement under 
the Indian Elementary and Secondary School Assistance Act shall 
be the forms and standards of proof used--
          (1) to establish eligibility under this subpart; and
          (2) to meet the requirements of subsection (a).
  (e) Documentation.--For purposes of determining whether a 
child is eligible to be counted for the purpose of computing 
the amount of a grant award under section 9113, the membership 
of the child, or any parent or grandparent of the child, in a 
tribe or band of Indians (as so defined) may be established by 
proof other than an enrollment number, notwithstanding the 
availability of an enrollment number for a member of such tribe 
or band. Nothing in subsection (b) shall be construed to 
require the furnishing of an enrollment number.
  (f) Monitoring and Evaluation Review.--
          (1) In general.--
                  (A) Review.--For each fiscal year, in order 
                to provide such information as is necessary to 
                carry out the responsibility of the Secretary 
                to provide technical assistance under this 
                subpart, the Secretary shall conduct a 
                monitoring and evaluation review of a sampling 
                of the local educational agencies that are 
                recipients of grants under this subpart. The 
                sampling conducted under this paragraph shall 
                take into account the size of such a local 
                educational agency and the geographic location 
                of such agency.
                  (B) Exception.--A local educational agency 
                may not be held liable to the United States or 
                be subject to any penalty by reason of the 
                findings of an audit that relates to the date 
                of completion, or the date of submission, of 
                any forms used to establish, before April 28, 
                1988, the eligibility of a child for 
                entitlement under the Indian Elementary and 
                Secondary School Assistance Act.
          (2) False information.--Any local educational agency 
        that provides false information in an application for a 
        grant under this subpart shall--
                  (A) be ineligible to apply for any other 
                grant under this subpart; and
                  (B) be liable to the United States for any 
                funds from the grant that have not been 
                expended.
          (3) Excluded children.--A student who provides false 
        information for the form required under subsection (a) 
        shall not be counted for the purpose of computing the 
        amount of a grant award under section 9113.
  (g) Tribal Grant and Contract Schools.--Notwithstanding any 
other provision of this section, the Secretary, in computing 
the amount of a grant award under section 9113 to a tribal 
school that receives a grant or contract from the Bureau of 
Indian Affairs, shall use only 1 of the following, as selected 
by the school:
          (1) A count, certified by the Bureau, of the number 
        of students in the school.
          (2) A count of the number of students for whom the 
        school has eligibility forms that comply with this 
        section.
  (h) Timing of Child Counts.--For purposes of determining the 
number of children to be counted in computing the amount of a 
local educational agency's grant award under section 9113 
(other than in the case described in subsection (g)(1)), the 
local educational agency shall--
          (1) establish a date on, or a period not longer than 
        31 consecutive days during which, the agency counts 
        those children, if that date or period occurs before 
        the deadline established by the Secretary for 
        submitting an application under section 9114; and
          (2) determine that each such child was enrolled, and 
        receiving a free public education, in a school of the 
        agency on that date or during that period, as the case 
        may be.

SEC. 9118. PAYMENTS.

  (a) In General.--Subject to subsections (b) and (c), the 
Secretary shall pay to each local educational agency that 
submits an application that is approved by the Secretary under 
this subpart the amount computed under section 9113. The 
Secretary shall notify the local educational agency of the 
amount of the payment not later than June 1 of the year for 
which the Secretary makes the payment.
  (b) Payments Taken Into Account by the State.--The Secretary 
may not make a grant under this subpart to a local educational 
agency for a fiscal year if, for such fiscal year, the State in 
which the local educational agency is located takes into 
consideration payments made under this subpart in determining 
the eligibility of the local educational agency for State aid, 
or the amount of the State aid, with respect to the free public 
education of children during such fiscal year or the preceding 
fiscal year.
  (c) Reduction of Payment for Failure To Maintain Fiscal 
Effort.--
          (1) In general.--The Secretary may not pay a local 
        educational agency in a State the full amount of a 
        grant award computed under section 9113 for any fiscal 
        year unless the State educational agency notifies the 
        Secretary, and the Secretary determines, that with 
        respect to the provision of free public education by 
        the local educational agency for the preceding fiscal 
        year, that the combined fiscal effort of the local 
        educational agency and the State, computed on either a 
        per student or aggregate expenditure basis was not less 
        than 90 percent of the amount of the combined fiscal 
        effort, computed on the same basis, for the second 
        preceding fiscal year.
          (2) Failure.--If, for any fiscal year, the Secretary 
        determines that a local educational agency and State 
        failed to maintain the combined fiscal effort at the 
        level specified in paragraph (1), the Secretary shall--
                  (A) reduce the amount of the grant that would 
                otherwise be made to such agency under this 
                subpart in the exact proportion of the failure 
                to maintain the fiscal effort at such level; 
                and
                  (B) not use the reduced amount of the 
                combined fiscal effort for the year to 
                determine compliance with paragraph (1) for any 
                succeeding fiscal year, but shall use the 
                amount of expenditures that would have been 
                required to comply with paragraph (1) during 
                the fiscal year for which the determination is 
                made.
          (3) Waiver.--
                  (A) In general.--The Secretary may waive the 
                requirement of paragraph (1) for a local 
                educational agency, for not more than 1 year at 
                a time, if the Secretary determines that the 
                failure to comply with such requirement is due 
                to exceptional or uncontrollable circumstances, 
                such as a natural disaster or a precipitous and 
                unforeseen decline in the agency's financial 
                resources.
                  (B) Future determinations.--The Secretary 
                shall not use the reduced amount of the 
                combined fiscal effort for the year for which 
                the waiver is granted to determine compliance 
                with paragraph (1) for any succeeding fiscal 
                year, but shall use the amount of expenditures 
                that would have been required to comply with 
                paragraph (1) in the absence of the waiver 
                during the fiscal year for which the waiver is 
                granted.
  (d) Reallocations.--The Secretary may reallocate, in a manner 
that the Secretary determines will best carry out the purpose 
of this subpart, any amounts that--
          (1) based on estimates made by local educational 
        agencies or other information, the Secretary determines 
        will not be needed by such agencies to carry out 
        approved programs under this subpart; or
          (2) otherwise become available for reallocation under 
        this subpart.

SEC. 9119. STATE EDUCATIONAL AGENCY REVIEW.

  Before submitting an application to the Secretary under 
section 9114, a local educational agency shall submit the 
application to the State educational agency, which may comment 
on the application. If the State educational agency comments on 
the application, the agency shall comment on each such 
application submitted by a local educational agency in the 
State and shall provide the comment to the appropriate local 
educational agency, with an opportunity to respond.

    Subpart 2--Special Programs and Projects To Improve Educational 
                   Opportunities for Indian Children

SEC. 9121. IMPROVEMENT OF EDUCATIONAL OPPORTUNITIES FOR INDIAN 
                    CHILDREN.

  (a) Purpose.--
          (1) In general.--The purpose of this section is to 
        support projects to develop, test, and demonstrate the 
        effectiveness of services and programs to improve 
        educational opportunities and achievement of Indian 
        children.
          (2) Coordination.--The Secretary shall take such 
        actions as are necessary to achieve the coordination of 
        activities assisted under this subpart with--
                  (A) other programs funded under this Act; and
                  (B) other Federal programs operated for the 
                benefit of American Indian and Alaska Native 
                children.
  (b) Eligible Entities.--In this section, the term ``eligible 
entity'' means a State educational agency, local educational 
agency, Indian tribe, Indian organization, federally supported 
elementary school or secondary school for Indian students, 
Indian institution (including an Indian institution of higher 
education) or a consortium of such entities.
  (c) Grants Authorized.--
          (1) In general.--The Secretary shall award grants to 
        eligible entities to enable such entities to carry out 
        activities that meet the purpose specified in 
        subsection (a)(1), including--
                  (A) innovative programs related to the 
                educational needs of educationally 
                disadvantaged children;
                  (B) educational services that are not 
                available to such children in sufficient 
                quantity or quality, including remedial 
                instruction, to raise the achievement of Indian 
                children in 1 or more of the core academic 
                subjects of English, mathematics, science, 
                foreign languages, art, history, and geography;
                  (C) bilingual and bicultural programs and 
                projects;
                  (D) special health and nutrition services, 
                and other related activities, that address the 
                special health, social, and psychological 
                problems of Indian children;
                  (E) special compensatory and other programs 
                and projects designed to assist and encourage 
                Indian children to enter, remain in, or reenter 
                school, and to increase the rate of secondary 
                school graduation for Indian children;
                  (F) comprehensive guidance, counseling, and 
                testing services;
                  (G) early childhood and kindergarten 
                programs, including family-based preschool 
                programs that emphasize school readiness and 
                parental skills, and the provision of services 
                to Indian children with disabilities;
                  (H) partnership projects between local 
                educational agencies and institutions of higher 
                education that allow secondary school students 
                to enroll in courses at the postsecondary level 
                to aid such students in the transition from 
                secondary school to postsecondary education;
                  (I) partnership projects between schools and 
                local businesses for school-to-work transition 
                programs designed to provide Indian youth with 
                the knowledge and skills the youth need to make 
                an effective transition from school to a first 
                job in a high-skill, high-wage career;
                  (J) programs designed to encourage and assist 
                Indian students to work toward, and gain 
                entrance into, an institution of higher 
                education;
                  (K) family literacy services; or
                  (L) other services that meet the purpose 
                described in subsection (a)(1).
          (2) Pre-service or in-service training.--Pre-service 
        or in-service training of professional and 
        paraprofessional personnel may be a part of any program 
        assisted under this section.
  (d) Grant Requirements and Applications.--
          (1) Grant requirements.--
                  (A) In general.--The Secretary may make 
                multiyear grants under subsection (c) for the 
                planning, development, pilot operation, or 
                demonstration of any activity described in 
                subsection (c). The Secretary shall make the 
                grants for periods of not more than 5 years.
                  (B) Priority.--In making multiyear grants 
                described in this paragraph, the Secretary 
                shall give priority to entities submitting 
                applications that present a plan for combining 
                2 or more of the activities described in 
                subsection (c) over a period of more than 1 
                year.
                  (C) Progress.--The Secretary shall make a 
                payment for a grant described in this paragraph 
                to an eligible entity after the initial year of 
                the multiyear grant period only if the 
                Secretary determines that the eligible entity 
                has made substantial progress in carrying out 
                the activities assisted under the grant in 
                accordance with the application submitted under 
                paragraph (3) and any subsequent modifications 
                to such application.
          (2) Dissemination grants.--
                  (A) In general.--In addition to awarding the 
                multiyear grants described in paragraph (1), 
                the Secretary may award grants under subsection 
                (c) to eligible entities for the dissemination 
                of exemplary materials or programs assisted 
                under this section.
                  (B) Determination.--The Secretary may award a 
                dissemination grant described in this paragraph 
                if, prior to awarding the grant, the Secretary 
                determines that the material or program to be 
                disseminated--
                          (i) has been adequately reviewed;
                          (ii) has demonstrated educational 
                        merit; and
                          (iii) can be replicated.
          (3) Application.--
                  (A) In general.--Any eligible entity that 
                desires to receive a grant under this section 
                shall submit an application to the Secretary at 
                such time and in such manner as the Secretary 
                may require.
                  (B) Contents.--Each application submitted to 
                the Secretary under subparagraph (A), other 
                than an application for a dissemination grant 
                under paragraph (2), shall contain--
                          (i) a description of how parents of 
                        Indian children and representatives of 
                        Indian tribes have been, and will be, 
                        involved in developing and implementing 
                        the activities for which assistance is 
                        sought;
                          (ii) assurances that the applicant 
                        will participate, at the request of the 
                        Secretary, in any national evaluation 
                        of activities assisted under this 
                        section;
                          (iii) information demonstrating that 
                        the proposed program for the activities 
                        is a research-based program, which may 
                        include a program that has been 
                        modified to be culturally appropriate 
                        for students who will be served;
                          (iv) a description of how the 
                        applicant will incorporate the proposed 
                        activities into the ongoing school 
                        program involved once the grant period 
                        is over; and
                          (v) such other assurances and 
                        information as the Secretary may 
                        reasonably require.
  (e) Administrative Costs.--Not more than 5 percent of the 
funds provided to a grant recipient under this subpart for any 
fiscal year may be used to pay for administrative costs.

SEC. 9122. PROFESSIONAL DEVELOPMENT.

  (a) Purposes.--The purposes of this section are--
          (1) to increase the number of qualified Indian 
        individuals in teaching or other education professions 
        that serve Indian people;
          (2) to provide training to qualified Indian 
        individuals to enable such individuals to become 
        teachers, administrators, teacher aides, social 
        workers, and ancillary educational personnel; and
          (3) to improve the skills of qualified Indian 
        individuals who serve in the capacities described in 
        paragraph (2).
  (b) Eligible Entities.--In this section, the term ``eligible 
entity'' means a consortium of--
          (1) a State or local educational agency; and
          (2) an institution of higher education (including an 
        Indian institution of higher education) or an Indian 
        tribe or organization.
  (c) Program Authorized.--The Secretary is authorized to award 
grants to eligible entities with applications approved under 
subsection (e) to enable such entities to carry out the 
activities described in subsection (d).
  (d) Authorized Activities.--
          (1) In general.--Grant funds made available under 
        subsection (c) shall be used for activities to provide 
        support and training for Indian individuals in a manner 
        consistent with the purposes of this section. Such 
        activities may include continuing programs, symposia, 
        workshops, conferences, and direct financial support.
          (2) Special rules.--
                  (A) Type of training.--For education 
                personnel, the training received pursuant to a 
                grant awarded under subsection (c) may be in-
                service or pre-service training.
                  (B) Program.--For individuals who are being 
                trained to enter any field other than 
                education, the training received pursuant to a 
                grant awarded under subsection (c) shall be in 
                a program that results in a graduate degree.
  (e) Application.--Each eligible entity desiring a grant under 
subsection (c) shall submit an application to the Secretary at 
such time, in such manner, and accompanied by such information, 
as the Secretary may reasonably require.
  (f) Special Rule.--In awarding grants under subsection (c), 
the Secretary--
          (1) shall consider the prior performance of an 
        eligible entity; and
          (2) may not limit eligibility to receive a grant 
        under subsection (c) on the basis of--
                  (A) the number of previous grants the 
                Secretary has awarded such entity; or
                  (B) the length of any period during which 
                such entity received such grants.
  (g) Grant Period.--Each grant awarded under subsection (c) 
shall be awarded for a program of activities of not more than 5 
years.
  (h) Service Obligation.--
          (1) In general.--The Secretary shall require, by 
        regulation, that an individual who receives pre-service 
        training pursuant to a grant awarded under subsection 
        (c)--
                  (A) perform work--
                          (i) related to the training received 
                        under this section; and
                          (ii) that benefits Indian people; or
                  (B) repay all or a prorated part of the 
                assistance received for the training.
          (2) Reporting.--The Secretary shall establish, by 
        regulation, a reporting procedure under which a 
        recipient of the pre-service training shall, not later 
        than 12 months after the date of completion of the 
        training, and periodically thereafter, provide 
        information concerning the compliance of such recipient 
        with the work requirement described in paragraph (1).
  (i) Inservice Training for Teachers of Indian Children.--
          (1) Grants authorized.--In addition to the grants 
        authorized by subsection (c), the Secretary may make 
        grants to eligible consortia for the provision of high 
        quality in-service training. The Secretary may make 
        such a grant to--
                  (A) a consortium of a tribal college and an 
                institution of higher education that awards a 
                degree in education; or
                  (B) a consortium of--
                          (i) a tribal college;
                          (ii) an institution of higher 
                        education that awards a degree in 
                        education; and
                          (iii) 1 or more elementary schools or 
                        secondary schools operated by the 
                        Bureau of Indian Affairs, local 
                        educational agencies serving Indian 
                        children, or tribal educational 
                        agencies.
          (2) Use of funds.--
                  (A) In-service training.--A consortium that 
                receives a grant under paragraph (1) shall use 
                the grant funds only to provide high quality 
                in-service training to teachers, including 
                teachers who are not Indians, in schools of 
                local educational agencies with substantial 
                numbers of Indian children enrolled in their 
                schools, in order to better meet the needs of 
                those children.
                  (B) Components.--The training described in 
                subparagraph (A) shall include such activities 
                as preparing teachers to use the best available 
                research-based practices and learning 
                strategies, and to make the most effective use 
                of curricula and materials, to respond to the 
                unique needs of Indian children in their 
                classrooms.
          (3) Preference for indian applicants.--In applying 
        section 9153 to this subsection, the Secretary shall 
        give a preference to any consortium that includes 1 or 
        more of the entities described in that section.

SEC. 9123. FELLOWSHIPS FOR INDIAN STUDENTS.

  (a) Fellowships.--
          (1) Authority.--The Secretary is authorized to award 
        fellowships to Indian students to enable such students 
        to study in graduate and professional programs at 
        institutions of higher education.
          (2) Requirements.--The fellowships described in 
        paragraph (1) shall be awarded to Indian students to 
        enable such students to pursue a course of study--
                  (A) of not more than 4 academic years; and
                  (B) that leads--
                          (i) toward a postbaccalaureate degree 
                        in medicine, clinical psychology, 
                        psychology, law, education, or a 
                        related field; or
                          (ii) to an undergraduate or graduate 
                        degree in engineering, business 
                        administration, natural resources, or a 
                        related field.
  (b) Stipends.--The Secretary shall pay to Indian students 
awarded fellowships under subsection (a) such stipends 
(including allowances for subsistence of such students and 
dependents of such students) as the Secretary determines to be 
consistent with prevailing practices under comparable federally 
supported programs.
  (c) Payments to Institutions in Lieu of Tuition.--The 
Secretary shall pay to the institution of higher education at 
which such a fellowship recipient is pursuing a course of 
study, in lieu of tuition charged to such recipient, such 
amounts as the Secretary may determine to be necessary to cover 
the cost of education provided to such recipient.
  (d) Special Rules.--
          (1) In general.--If a fellowship awarded under 
        subsection (a) is vacated prior to the end of the 
        period for which the fellowship is awarded, the 
        Secretary may award an additional fellowship for the 
        unexpired portion of the period of the first 
        fellowship.
          (2) Written notice.--Not later than 45 days before 
        the commencement of an academic term, the Secretary 
        shall provide to each individual who is awarded a 
        fellowship under subsection (a) for such academic term 
        written notice of--
                  (A) the amount of the funding for the 
                fellowship; and
                  (B) any stipends or other payments that will 
                be made under this section to, or for the 
                benefit of, the individual for the academic 
                term.
          (3) Priority.--Not more than 10 percent of the 
        fellowships awarded under subsection (a) shall be 
        awarded, on a priority basis, to persons receiving 
        training in guidance counseling with a specialty in the 
        area of alcohol and substance abuse counseling and 
        education.
  (e) Service Obligation.--
          (1) In general.--The Secretary shall require, by 
        regulation, that an individual who receives financial 
        assistance under this section--
                  (A) perform work--
                          (i) related to the training for which 
                        the individual receives the assistance 
                        under this section; and
                          (ii) that benefits Indian people; or
                  (B) repay all or a prorated portion of such 
                assistance.
          (2) Reporting.--The Secretary shall establish, by 
        regulation, a reporting procedure under which a 
        recipient of assistance under this section shall, not 
        later than 12 months after the date of completion of 
        the training, and periodically thereafter, provide 
        information concerning the compliance of such recipient 
        with the work requirement described in paragraph (1).
  (f) Administration of Fellowships.--The Secretary may 
administer the fellowships authorized under this section 
through a grant to, or contract or cooperative agreement with, 
an Indian organization with demonstrated qualifications to 
administer all facets of the program assisted under this 
section.

SEC. 9124. GIFTED AND TALENTED INDIAN STUDENTS.

  (a) Program Authorized.--The Secretary is authorized to--
          (1) establish 2 centers for gifted and talented 
        Indian students at tribally controlled community 
        colleges in accordance with this section; and
          (2) support demonstration projects described in 
        subsection (c).
  (b) Eligible Entities.--The Secretary shall make grants, or 
enter into contracts, for the activities described in 
subsection (a), to or with--
          (1) 2 tribally controlled community colleges that--
                  (A) are eligible for funding under the 
                Tribally Controlled College or University 
                Assistance Act of 1978; and
                  (B) are fully accredited; or
          (2) if the Secretary does not receive applications 
        that the Secretary determines to be approvable from 2 
        colleges that meet the requirements of paragraph (1), 
        the American Indian Higher Education Consortium.
  (c) Use of Funds.--
          (1) In general.--Funds made available through the 
        grants made, or contracts entered into, by the 
        Secretary under subsection (b) shall be used for--
                  (A) the establishment of centers described in 
                subsection (a); and
                  (B) carrying out demonstration projects 
                designed to--
                          (i) address the special needs of 
                        Indian students in elementary schools 
                        and secondary schools who are gifted 
                        and talented; and
                          (ii) provide such support services to 
                        the families of the students described 
                        in clause (i) as are needed to enable 
                        such students to benefit from the 
                        projects.
          (2) Subcontracts.--Each recipient of a grant or 
        contract under subsection (b) to carry out a 
        demonstration project under subsection (a) may enter 
        into a contract with any other entity, including the 
        Children's Television Workshop, to carry out the 
        demonstration project.
          (3) Demonstration projects.--Demonstration projects 
        assisted under subsection (b) may include--
                  (A) the identification of the special needs 
                of gifted and talented Indian students, 
                particularly at the elementary school level, 
                giving attention to--
                          (i) identifying the emotional and 
                        psychosocial needs of such students; 
                        and
                          (ii) providing such support services 
                        to the families of such students as are 
                        needed to enable such students to 
                        benefit from the project;
                  (B) the conduct of educational, psychosocial, 
                and developmental activities that the Secretary 
                determines hold a reasonable promise of 
                resulting in substantial progress toward 
                meeting the educational needs of such gifted 
                and talented children, including--
                          (i) demonstrating and exploring the 
                        use of Indian languages and exposure to 
                        Indian cultural traditions; and
                          (ii) carrying out mentoring and 
                        apprenticeship programs;
                  (C) the provision of technical assistance and 
                the coordination of activities at schools that 
                receive grants under subsection (d) with 
                respect to the activities assisted under such 
                grants, the evaluation of programs assisted 
                under such grants, or the dissemination of such 
                evaluations;
                  (D) the use of public television in meeting 
                the special educational needs of such gifted 
                and talented children;
                  (E) leadership programs designed to replicate 
                programs for such children throughout the 
                United States, including disseminating 
                information derived from the demonstration 
                projects conducted under subsection (a); and
                  (F) appropriate research, evaluation, and 
                related activities pertaining to the needs of 
                such children and to the provision of such 
                support services to the families of such 
                children as are needed to enable such children 
                to benefit from the project.
          (4) Application.--Each entity desiring a grant or 
        contract under subsection (b) shall submit an 
        application to the Secretary at such time and in such 
        manner as the Secretary may prescribe.
  (d) Additional Grants.--
          (1) In general.--The Secretary, in consultation with 
        the Secretary of the Interior, shall award 5 grants to 
        schools funded by the Bureau of Indian Affairs 
        (referred to individually in this section as a ``Bureau 
        school'') for program research and development and the 
        development and dissemination of curriculum and teacher 
        training material, regarding--
                  (A) gifted and talented students;
                  (B) college preparatory studies (including 
                programs for Indian students with an interest 
                in pursuing teaching careers);
                  (C) students with special culturally related 
                academic needs, including students with social, 
                lingual, and cultural needs; or
                  (D) mathematics and science education.
          (2) Applications.--Each Bureau school desiring a 
        grant to conduct 1 or more of the activities described 
        in paragraph (1) shall submit an application to the 
        Secretary at such time and in such manner as the 
        Secretary may prescribe.
          (3) Special rule.--Each application described in 
        paragraph (2) shall be developed, and each grant under 
        this subsection shall be administered, jointly by the 
        supervisor of the Bureau school and the local 
        educational agency serving such school.
          (4) Requirements.--In awarding grants under paragraph 
        (1), the Secretary shall achieve a mixture of the 
        programs described in paragraph (1) that ensures that 
        Indian students at all grade levels and in all 
        geographic areas of the United States are able to 
        participate in a program assisted under this 
        subsection.
          (5) Grant period.--Subject to the availability of 
        appropriations, a grant awarded under paragraph (1) 
        shall be awarded for a 3-year period and may be renewed 
        by the Secretary for additional 3-year periods if the 
        Secretary determines that the performance of the grant 
        recipient has been satisfactory.
          (6) Dissemination.--
                  (A) Cooperative efforts.--The dissemination 
                of any materials developed from activities 
                assisted under paragraph (1) shall be carried 
                out in cooperation with entities that receive 
                funds pursuant to subsection (b).
                  (B) Report.--The Secretary shall prepare and 
                submit to the Secretary of the Interior and to 
                Congress a report concerning any results from 
                activities described in this subsection.
          (7) Evaluation costs.--
                  (A) Division.--The costs of evaluating any 
                activities assisted under paragraph (1) shall 
                be divided between the Bureau schools 
                conducting such activities and the recipients 
                of grants or contracts under subsection (b) 
whoconduct demonstration projects under subsection (a).
                  (B) Grants and contracts.--If no funds are 
                provided under subsection (b) for--
                          (i) the evaluation of activities 
                        assisted under paragraph (1);
                          (ii) technical assistance and 
                        coordination with respect to such 
                        activities; or
                          (iii) the dissemination of the 
                        evaluations referred to in clause (i),
                the Secretary shall make such grants, or enter 
                into such contracts, as are necessary to 
                provide for the evaluations, technical 
                assistance, and coordination of such 
                activities, and the dissemination of the 
                evaluations.
  (e) Information Network.--The Secretary shall encourage each 
recipient of a grant or contract under this section to work 
cooperatively as part of a national network to ensure that the 
information developed by the grant or contract recipient is 
readily available to the entire educational community.

SEC. 9125. GRANTS TO TRIBES FOR EDUCATION ADMINISTRATIVE PLANNING AND 
                    DEVELOPMENT.

  (a) In General.--The Secretary may make grants to Indian 
tribes, and tribal organizations approved by Indian tribes, to 
plan and develop a centralized tribal administrative entity 
to--
          (1) coordinate all education programs operated by the 
        tribe or within the territorial jurisdiction of the 
        tribe;
          (2) develop education codes for schools within the 
        territorial jurisdiction of the tribe;
          (3) provide support services and technical assistance 
        to schools serving children of the tribe; and
          (4) perform child-find screening services for the 
        preschool-aged children of the tribe to--
                  (A) ensure placement in appropriate 
                educational facilities; and
                  (B) coordinate the provision of any needed 
                special services for conditions such as 
                disabilities and English language skill 
                deficiencies.
  (b) Period of Grant.--Each grant awarded under this section 
may be awarded for a period of not more than 3 years. Such 
grant may be renewed upon the termination of the initial period 
of the grant if the grant recipient demonstrates to the 
satisfaction of the Secretary that renewing the grant for an 
additional 3-year period is necessary to carry out the 
objectives of the grant described in subsection (c)(2)(A).
  (c) Application for Grant.--
          (1) In general.--Each Indian tribe and tribal 
        organization desiring a grant under this section shall 
        submit an application to the Secretary at such time, in 
        such manner, containing such information, and 
        consistent with such criteria, as the Secretary may 
        prescribe in regulations.
          (2) Contents.--Each application described in 
        paragraph (1) shall contain--
                  (A) a statement describing the activities to 
                be conducted, and the objectives to be 
                achieved, under the grant; and
                  (B) a description of the method to be used 
                for evaluating the effectiveness of the 
                activities for which assistance is sought and 
                for determining whether such objectives are 
                achieved.
          (3) Approval.--The Secretary may approve an 
        application submitted by a tribe or tribal organization 
        pursuant to this section only if the Secretary is 
        satisfied that such application, including any 
        documentation submitted with the application--
                  (A) demonstrates that the applicant has 
                consulted with other education entities, if 
                any, within the territorial jurisdiction of the 
                applicant who will be affected by the 
                activities to be conducted under the grant;
                  (B) provides for consultation with such other 
                education entities in the operation and 
                evaluation of the activities conducted under 
                the grant; and
                  (C) demonstrates that there will be adequate 
                resources provided under this section or from 
                other sources to complete the activities for 
                which assistance is sought, except that the 
                availability of such other resources shall not 
                be a basis for disapproval of such application.
  (d) Restriction.--A tribe may not receive funds under this 
section if such tribe receives funds under section 1144 of the 
Education Amendments of 1978.
  (e) Authorization of Appropriations.--There are authorized to 
be appropriated to the Secretary of Education to carry out this 
section $3,000,000 for each of fiscal years 2001 through 2005.

  Subpart 3--Special Programs Relating to Adult Education for Indians

SEC. 9131. IMPROVEMENT OF EDUCATIONAL OPPORTUNITIES FOR ADULT INDIANS.

  (a) In General.--The Secretary shall make grants to State and 
local educational agencies and to Indian tribes, institutions, 
and organizations--
          (1) to support planning, pilot, and demonstration 
        projects that are designed to test and demonstrate the 
        effectiveness of programs for improving employment and 
        educational opportunities for adult Indians;
          (2) to assist in the establishment and operation of 
        programs that are designed to stimulate--
                  (A) the provision of basic literacy 
                opportunities for all nonliterate Indian 
                adults; and
                  (B) the provision of opportunities to all 
                Indian adults to qualify for a secondary school 
                diploma, or its recognized equivalent, in the 
                shortest period of time feasible;
          (3) to support a major research and development 
        program to develop more innovative and effective 
        techniques for achieving literacy and secondary school 
        equivalency for Indians;
          (4) to provide for basic surveys and evaluations to 
        define accurately the extent of the problems of 
        illiteracy and lack of secondary school completion 
        among Indians; and
          (5) to encourage the dissemination of information and 
        materials relating to, and the evaluation of, the 
        effectiveness of education programs that may offer 
        educational opportunities to Indian adults.
  (b) Educational Services.--The Secretary may make grants to 
Indian tribes, institutions, and organizations to develop and 
establish educational services and programs specifically 
designed to improve educational opportunities for Indian 
adults.
  (c) Information and Evaluation.--The Secretary may make 
grants to, and enter into contracts with, public agencies and 
institutions and Indian tribes, institutions, and 
organizations, for--
          (1) the dissemination of information concerning 
        educational programs, services, and resources available 
        to Indian adults, including evaluations of the 
        programs, services, and resources; and
          (2) the evaluation of federally assisted programs in 
        which Indian adults may participate to determine the 
        effectiveness of the programs in achieving the purposes 
        of the programs with respect to Indian adults.
  (d) Applications.--
          (1) In general.--Each entity desiring a grant or 
        contract under this section shall submit to the 
        Secretary an application at such time, in such manner, 
        containing such information, and consistent with such 
        criteria, as the Secretary may prescribe in 
        regulations.
          (2) Contents.--Each application described in 
        paragraph (1) shall contain--
                  (A) a statement describing the activities to 
                be conducted and the objectives to be achieved 
                under the grant or contract; and
                  (B) a description of the method to be used 
                for evaluating the effectiveness of the 
                activities for which assistance is sought and 
                determining whether the objectives of the grant 
                or contract are achieved.
          (3) Approval.--The Secretary shall not approve an 
        application described in paragraph (1) unless the 
        Secretary determines that such application, including 
        any documentation submitted with the application, 
        indicates that--
                  (A) there has been adequate participation, by 
                the individuals to be served and the 
                appropriate tribal communities, in the planning 
                and development of the activities to be 
                assisted; and
                  (B) the individuals and tribal communities 
                referred to in subparagraph (A) will 
                participate in the operation and evaluation of 
                the activities to be assisted.
          (4) Priority.--In approving applications under 
        paragraph (1), the Secretary shall give priority to 
        applications from Indian educational agencies, 
        organizations, and institutions.
  (e) Administrative Costs.--Not more than 5 percent of the 
funds made available to an entity through a grant or contract 
made or entered into under this subpart for a fiscal year may 
be used to pay for administrative costs.

                Subpart 4--National Research Activities

SEC. 9141. NATIONAL ACTIVITIES.

  (a) Authorized Activities.--The Secretary may use funds made 
available under section 9162(b) for each fiscal year to--
          (1) conduct research related to effective approaches 
        for the education of Indian children and adults;
          (2) evaluate federally assisted education programs 
        from which Indian children and adults may benefit;
          (3) collect and analyze data on the educational 
        status and needs of Indians; and
          (4) carry out other activities that are consistent 
        with the purpose of this part.
  (b) Eligibility.--The Secretary may carry out any of the 
activities described in subsection (a) directly or through 
grants to, or contracts or cooperative agreements with, Indian 
tribes, Indian organizations, State educational agencies, local 
educational agencies, institutions of higher education, 
including Indian institutions of higher education, and other 
public and private agencies and institutions.
  (c) Coordination.--Research activities supported under this 
section--
          (1) shall be carried out in consultation with the 
        Office of Educational Research and Improvement to 
        assure that such activities are coordinated with and 
        enhance the research and development activities 
        supported by the Office; and
          (2) may include collaborative research activities 
        that are jointly funded and carried out by theOffice of 
Indian Education and the Office of Educational Research and 
Improvement.
  (d) Administrative Costs.--Not more than 5 percent of the 
funds made available to an entity through a grant, contract, or 
agreement made or entered into under this subpart for a fiscal 
year may be used to pay for administrative costs.

                   Subpart 5--Federal Administration

SEC. 9151. NATIONAL ADVISORY COUNCIL ON INDIAN EDUCATION.

  (a) Membership.--There is established a National Advisory 
Council on Indian Education (referred to in this section as the 
``Council''), which shall--
          (1) consist of 15 Indian members, who shall be 
        appointed by the President from lists of nominees 
        furnished, from time to time, by Indian tribes and 
        Indian organizations; and
          (2) represent different geographic areas of the 
        United States.
  (b) Duties.--The Council shall--
          (1) advise the Secretary concerning the funding and 
        administration (including the development of 
        regulations and administrative policies and practices) 
        of any program, including any program established under 
        this part--
                  (A) with respect to which the Secretary has 
                jurisdiction; and
                  (B)(i) that includes Indian children or 
                adults as participants; or
                  (ii) that may benefit Indian children or 
                adults;
          (2) make recommendations to the Secretary for filling 
        the position of Director of Indian Education whenever a 
        vacancy occurs; and
          (3) prepare and submit to Congress, not later than 
        June 30 of each year, a report on the activities of the 
        Council, including--
                  (A) any recommendations that the Council 
                considers to be appropriate for the improvement 
                of Federal education programs that include 
                Indian children or adults as participants, or 
                that may benefit Indian children or adults; and
                  (B) recommendations concerning the funding of 
                any program described in subparagraph (A).

SEC. 9152. PEER REVIEW.

  The Secretary may use a peer review process to review 
applications submitted to the Secretary under subpart 2, 3, or 
4.

SEC. 9153. PREFERENCE FOR INDIAN APPLICANTS.

  In making grants and entering into contracts or cooperative 
agreements under subpart 2, 3, or 4, the Secretary shall give a 
preference to Indian tribes, organizations, and institutions of 
higher education under any program with respect to which Indian 
tribes, organizations, and institutions are eligible to apply 
for grants, contracts, or cooperative agreements.

SEC. 9154. MINIMUM GRANT CRITERIA.

  The Secretary may not approve an application for a grant, 
contract, or cooperative agreement under subpart 2 or 3 unless 
the application is for a grant, contract, or cooperative 
agreement that is--
          (1) of sufficient size, scope, and quality to achieve 
        the purpose or objectives of such grant, contract, or 
        cooperative agreement; and
          (2) based on relevant research findings.

        Subpart 6--Definitions; Authorizations of Appropriations

SEC. 9161. DEFINITIONS.

  In this part:
          (1) Adult.--The term ``adult'' means an individual 
        who--
                  (A) has attained age 16; or
                  (B) has attained an age that is greater than 
                the age of compulsory school attendance under 
                an applicable State law.
          (2) Free public education.--The term ``free public 
        education'' means education that is--
                  (A) provided at public expense, under public 
                supervision and direction, and without tuition 
                charge; and
                  (B) provided as elementary or secondary 
                education in the applicable State or to 
                preschool children.
          (3) Indian.--The term ``Indian'' means an individual 
        who is--
                  (A) a member of an Indian tribe or band, as 
                membership is defined by the tribe or band, 
                including--
                          (i) any tribe or band terminated 
                        since 1940; and
                          (ii) any tribe or band recognized by 
                        the State in which the tribe or band 
                        resides;
                  (B) a descendant, in the first or second 
                degree, of an individual described in 
                subparagraph (A);
                  (C) an individual who is considered by the 
                Secretary of the Interior to be an Indian for 
                any purpose;
                  (D) an Eskimo, Aleut, or other Alaska Native 
                (as defined in section 9306); or
                  (E) a member of an organized Indian group 
                that received a grant under the Indian 
                Education Act of 1988 as in effect the day 
                preceding the date of enactment of the 
                ``Improving America's Schools Act of 1994'' 
                (108 Stat. 3518).

SEC. 9162. AUTHORIZATIONS OF APPROPRIATIONS.

  (a) Subpart 1.--There are authorized to be appropriated to 
the Secretary of Education to carry out subpart 1 $62,000,000 
for fiscal year 2001 and such sums as may be necessary for each 
of the 4 succeeding fiscal years.
  (b) Subparts 2 Through 4.--There are authorized to be 
appropriated to the Secretary of Education to carry out 
subparts 2, 3, and 4 $4,000,000 for fiscal year 2001 and such 
sums as may be necessary for each of the 4 succeeding fiscal 
years.

                   PART B--NATIVE HAWAIIAN EDUCATION

SEC. 9201. SHORT TITLE.

  This part may be cited as the ``Native Hawaiian Education 
Act''.

SEC. 9202. FINDINGS.

  Congress finds the following:
          (1) Native Hawaiians are a distinct and unique 
        indigenous people with a historical continuity to the 
        original inhabitants of the Hawaiian archipelago, whose 
        society was organized as a nation and internationally 
        recognized as a nation by the United States, Britain, 
        France, and Japan, as evidenced by treaties governing 
        friendship, commerce, and navigation.
          (2) At the time of the arrival of the first non-
        indigenous people in Hawai`i in 1778, the Native 
        Hawaiian people lived in a highly organized, self-
        sufficient subsistence social system based on a 
        communal land tenure system with a sophisticated 
        language, culture, and religion.
          (3) A unified monarchal government of the Hawaiian 
        Islands was established in 1810 under Kamehameha I, the 
        first King of Hawai`i.
          (4) From 1826 until 1893, the United States 
        recognized the sovereignty and independence of the 
        Kingdom of Hawai`i, which was established in 1810 under 
        Kamehameha I, extended full and complete diplomatic 
        recognition to the Kingdom of Hawai`i, and entered into 
        treaties and conventions with the Kingdom of Hawai`i to 
        govern friendship, commerce and navigation in 1826, 
        1842, 1849, 1875, and 1887.
          (5) In 1893, the sovereign, independent, 
        internationally recognized, and indigenous government 
        of Hawai`i, the Kingdom of Hawai`i, was overthrown by a 
        small group of non-Hawaiians, including United States 
        citizens, who were assisted in their efforts by the 
        United States Minister, a United States naval 
        representative, and armed naval forces of the United 
        States. Because of the participation of United States 
        agents and citizens in the overthrow of the Kingdom of 
        Hawai`i, in 1993 the United States apologized to Native 
        Hawaiians for the overthrow and the deprivation of the 
        rights of Native Hawaiians to self-determination 
        through Public Law 103-150 (107 Stat. 1510).
          (6) In 1898, the joint resolution entitled ``Joint 
        Resolution to provide for annexing the Hawaiian Islands 
        to the United States'', approved July 7, 1898 (30 Stat. 
        750), ceded absolute title of all lands held by the 
        Republic of Hawai`i, including the government and crown 
        lands of the former Kingdom of Hawai`i, to the United 
        States, but mandated that revenue generated from the 
        lands be used ``solely for the benefit of the 
        inhabitants of the Hawaiian Islands for educational and 
        other public purposes''.
          (7) By 1919, the Native Hawaiian population had 
        declined from an estimated 1,000,000 in 1778 to an 
        alarming 22,600, and in recognition of this severe 
        decline, Congress enacted the Hawaiian Homes Commission 
        Act, 1920 (42 Stat. 108), which designated 
        approximately 200,000 acres of ceded public lands for 
        homesteading by Native Hawaiians.
          (8) Through the enactment of the Hawaiian Homes 
        Commission Act, 1920, Congress affirmed the special 
        relationship between the United States and the Native 
        Hawaiians, which was described by then Secretary of the 
        Interior Franklin K. Lane, who said: ``One thing that 
        impressed me . . . was the fact that the natives of the 
        island who are our wards, I should say, and for whom in 
        a sense we are trustees, are falling off rapidly in 
        numbers and many of them are in poverty.''
          (9) In 1938, Congress again acknowledged the unique 
        status of the Hawaiian people by including in the Act 
        of June 20, 1938 (52 Stat. 781, chapter 530; 16 U.S.C. 
        391b, 391b-1, 392b, 392c, 396, 396a), a provision to 
        lease lands within the National Parks extension to 
        Native Hawaiians and to permit fishing in the area 
        ``only by native Hawaiian residents of said area or of 
        adjacent villages and by visitors under their 
        guidance.''
          (10) Under the Act entitled ``An Act to provide for 
        the admission of the State of Hawai`i into the Union'', 
        approved March 18, 1959 (73 Stat. 4), the United States 
        transferred responsibility for the administration of 
        the Hawaiian Home Lands to the State of Hawai`i but 
        reaffirmed the trust relationship between the United 
        States and the Hawaiian people by retaining the 
        exclusive power to enforce the trust, including the 
        power to approve land exchanges and amendments to such 
        Act affecting the rights of beneficiaries under such 
        Act.
          (11) In 1959, under the Act entitled ``An Act to 
        provide for the admission of the State of Hawai`i into 
        the Union'', the United States also ceded to the State 
        of Hawai`i title to the public lands formerly held by 
        the United States, but mandated that such lands be held 
        by the State ``in public trust'' and reaffirmed the 
        special relationship that existed between the United 
        States and the Hawaiian people by retaining the legal 
        responsibility to enforce the public trust 
        responsibility of the State of Hawai`i for the 
        betterment of the conditions of Native Hawaiians, as 
        defined in section 201(a) of the Hawaiian Homes 
        Commission Act, 1920.
          (12) The United States has recognized and reaffirmed 
        that--
                  (A) Native Hawaiians have a cultural, 
                historic, and land-based link to the indigenous 
                people who exercised sovereignty over the 
                Hawaiian Islands, and that group has never 
                relinquished its claims to sovereignty or its 
                sovereign lands;
                  (B) Congress does not extend services to 
                Native Hawaiians because of their race, but 
                because of their unique status as the 
                indigenous people of a once sovereign nation as 
                to whom the United States has established a 
                trust relationship;
                  (C) Congress has also delegated broad 
                authority to administer a portion of the 
                Federal trust responsibility to the State of 
                Hawai`i;
                  (D) the political status of Native Hawaiians 
                is comparable to that of American Indians and 
                Alaska Natives; and
                  (E) the aboriginal, indigenous people of the 
                United States have--
                          (i) a continuing right to autonomy in 
                        their internal affairs; and
                          (ii) an ongoing right of self-
                        determination and self-governance that 
                        has never been extinguished.
          (13) The political relationship between the United 
        States and the Native Hawaiian people has been 
        recognized and reaffirmed by the United States, as 
        evidenced by the inclusion of Native Hawaiians in--
                  (A) the Native American Programs Act of 1974 
                (42 U.S.C. 2991 et seq.);
                  (B) the American Indian Religious Freedom Act 
                (42 U.S.C. 1996);
                  (C) the National Museum of the American 
                Indian Act (20 U.S.C. 80q et seq.);
                  (D) the Native American Graves Protection and 
                Repatriation Act (25 U.S.C. 3001 et seq.);
                  (E) the National Historic Preservation Act 
                (16 U.S.C. 470 et seq.);
                  (F) the Native American Languages Act (25 
                U.S.C. 2901 et seq.);
                  (G) the American Indian, Alaska Native, and 
                Native Hawaiian Culture and Art Development Act 
                (20 U.S.C. 4401 et seq.);
                  (H) the Job Training Partnership Act (29 
                U.S.C. 1501 et seq.) and the Workforce 
                Investment Act of 1998 (29 U.S.C. 2801 et 
                seq.); and
                  (I) the Older Americans Act of 1965 (42 
                U.S.C. 3001 et seq.).
          (14) In 1981, Congress instructed the Office of 
        Education to submit to Congress a comprehensive report 
        on Native Hawaiian education. The report, entitled the 
        ``Native Hawaiian Educational Assessment Project'', was 
        released in 1983 and documented that Native Hawaiians 
        scored below parity with regard to national norms on 
        standardized achievement tests, were disproportionately 
        represented in many negative social and physical 
        statistics indicative of special educational needs, and 
        had educational needs that were related to their unique 
        cultural situation, such as different learning styles 
        and low self-image.
          (15) In recognition of the educational needs of 
        Native Hawaiians, in 1988, Congress enacted title IV of 
        the Augustus F. Hawkins-Robert T. Stafford Elementary 
        and Secondary School Improvement Amendments of 1988 
        (102 Stat. 130) to authorize and develop supplemental 
        educational programs to address the unique conditions 
        of Native Hawaiians.
          (16) In 1993, the Kamehameha Schools Bishop Estate 
        released a 10-year update of findings of the Native 
        Hawaiian Educational Assessment Project, which found 
        that despite the successes of the programs established 
        under title IV of the Augustus F. Hawkins-Robert T. 
        Stafford Elementary and Secondary School Improvement 
        Amendments of 1988, many of the same educational needs 
        still existed for Native Hawaiians. Subsequent reports 
        by the Kamehameha Schools Bishop Estate and other 
        organizations have generally confirmed those findings. 
        For example--
                  (A) educational risk factors continue to 
                start even before birth for many Native 
                Hawaiian children, including--
                          (i) late or no prenatal care;
                          (ii) high rates of births by Native 
                        Hawaiian women who are unmarried; and
                          (iii) high rates of births to teenage 
                        parents;
                  (B) Native Hawaiian students continue to 
                begin their school experience lagging behind 
                other students in terms of readiness factors 
                such as vocabulary test scores;
                  (C) Native Hawaiian students continue to 
                score below national norms on standardized 
                education achievement tests at all grade 
                levels;
                  (D) both public and private schools continue 
                to show a pattern of lower percentages of 
                Native Hawaiian students in the uppermost 
                achievement levels and in gifted and talented 
                programs;
                  (E) Native Hawaiian students continue to be 
                overrepresented among students qualifying for 
                special education programs provided to students 
                with learning disabilities, mild mental 
                retardation, emotional impairment, and other 
                such disabilities;
                  (F) Native Hawaiians continue to be 
                underrepresented in institutions of higher 
                education and among adults who have completed 4 
                or more years of college;
                  (G) Native Hawaiians continue to be 
                disproportionately represented in many negative 
                social and physical statistics indicative of 
                special educational needs, as demonstrated by 
                the fact that--
                          (i) Native Hawaiian students are more 
                        likely to be retained in grade level 
                        and to be excessively absent in 
                        secondary school;
                          (ii) Native Hawaiian students have 
                        the highest rates of drug and alcohol 
                        use in the State of Hawai`i; and
                          (iii) Native Hawaiian children 
                        continue to be disproportionately 
                        victimized by child abuse and neglect; 
                        and
                  (H) Native Hawaiians now comprise over 23 
                percent of the students served by the State of 
                Hawai`i Department of Education, and there are 
                and will continue to be geographically rural, 
                isolated areas with a high Native Hawaiian 
                population density.
          (17) In the 1998 National Assessment of Educational 
        Progress, Hawaiian fourth-graders ranked 39th among 
        groups of students from 39 States in reading. Given 
        that Hawaiian students rank among the lowest groups of 
        students nationally in reading, and that Native 
        Hawaiian students rank the lowest among Hawaiian 
        students in reading, it is imperative that greater 
        focus be placed on beginning reading and early 
        education and literacy in Hawai`i.
          (18) The findings described in paragraphs (16) and 
        (17) are inconsistent with the high rates of literacy 
        and integration of traditional culture and Western 
        education historically achieved by Native Hawaiians 
        through a Hawaiian language-based public school system 
        established in 1840 by Kamehameha III.
          (19) Following the overthrow of the Kingdom of 
        Hawai`i in 1893, Hawaiian medium schools were banned. 
        After annexation, throughout the territorial and 
        statehood period of Hawai`i, and until 1986, use of the 
        Hawaiian language as an instructional medium in 
        education in public schools was declared unlawful. The 
        declaration caused incalculable harm to a culture that 
        placed a very high value on the power of language, as 
        exemplified in the traditional saying: ``I ka `olelo no 
        ke ola; I ka `olelo no ka make. In the language rests 
        life; In the language rests death.''
          (20) Despite the consequences of over 100 years of 
        nonindigenous influence, the Native Hawaiian people are 
        determined to preserve, develop, and transmit to future 
        generations their ancestral territory and their 
        cultural identity in accordance with their own 
        spiritual and traditional beliefs, customs, practices, 
        language, and social institutions.
          (21) The State of Hawai`i, in the constitution and 
        statutes of the State of Hawai`i--
                  (A) reaffirms and protects the unique right 
                of the Native Hawaiian people to practice and 
                perpetuate their culture and religious customs, 
                beliefs, practices, and language;
                  (B) recognizes the traditional language of 
                the Native Hawaiian people as an official 
                language of the State of Hawai`i, which may be 
                used as the language of instruction for all 
                subjects and grades in the public school 
                system; and
                  (C) promotes the study of the Hawaiian 
                culture, language, and history by providing a 
                Hawaiian education program and using community 
                expertise as a suitable and essential means to 
                further the program.

SEC. 9203. PURPOSES.

  The purposes of this part are to--
          (1) authorize and develop innovative educational 
        programs to assist Native Hawaiians in reaching the 
        National Education Goals;
          (2) provide direction and guidance to appropriate 
        Federal, State, and local agencies to focus resources, 
        including resources made available under this part, on 
        Native Hawaiian education, and to provide periodic 
        assessment and data collection;
          (3) supplement and expand programs and authorities in 
        the area of education to further the purposes of this 
        title; and
          (4) encourage the maximum participation of Native 
        Hawaiians in planning and management of Native Hawaiian 
        education programs.

SEC. 9204. NATIVE HAWAIIAN EDUCATION COUNCIL AND ISLAND COUNCILS.

  (a) Establishment of Native Hawaiian Education Council.--In 
order to better effectuate the purposes of this part through 
the coordination of educational and related services and 
programs available to Native Hawaiians, including those 
programs receiving funding under this part, the Secretary is 
authorized to establish a Native Hawaiian Education Council 
(referred to in this part as the ``Education Council'').
  (b) Composition of Education Council.--The Education Council 
shall consist of not more than 21 members, unless otherwise 
determined by a majority of the council.
  (c) Conditions and Terms.--
          (1) Conditions.--At least 10 members of the Education 
        Council shall be Native Hawaiian education service 
        providers and 10 members of the Education Council shall 
        be Native Hawaiians or Native Hawaiian education 
        consumers. In addition, a representative of the State 
        of Hawai`i Office of Hawaiian Affairs shall serve as a 
        member of the Education Council.
          (2) Appointments.--The members of the Education 
        Council shall be appointed by the Secretary based on 
        recommendations received from the Native Hawaiian 
        community.
          (3) Terms.--Members of the Education Council shall 
        serve for staggered terms of 3 years, except as 
        provided in paragraph (4).
          (4) Council determinations.--Additional conditions 
        and terms relating to membership on the Education 
        Council, including term lengths and term renewals, 
        shall be determined by a majority of the Education 
        Council.
  (d) Native Hawaiian Education Council Grant.--The Secretary 
shall make a direct grant to the Education Council in order to 
enable the Education Council to--
          (1) coordinate the educational and related services 
        and programs available to Native Hawaiians, including 
        the programs assisted under this part;
          (2) assess the extent to which such services and 
        programs meet the needs of Native Hawaiians, and 
        collect data on the status of Native Hawaiian 
        education;
          (3) provide direction and guidance, through the 
        issuance of reports and recommendations, to appropriate 
        Federal, State, and local agencies in order to focus 
        and improve the use of resources, including resources 
        made available under this part, relating to Native 
        Hawaiian education, and serve, where appropriate, in an 
        advisory capacity; and
          (4) make direct grants, if such grants enable the 
        Education Council to carry out the duties of the 
        Education Council, as described in paragraphs (1) 
        through (3).
  (e) Additional Duties of the Education Council.--
          (1) In general.--The Education Council shall provide 
        copies of any reports and recommendations issued by the 
        Education Council, including any information that the 
        Education Council provides to the Secretary pursuant to 
        subsection (i), to the Secretary, the Committee on 
        Education and the Workforce of the House of 
        Representatives, and the Committee on Indian Affairs of 
        the Senate.
          (2) Annual report.--The Education Council shall 
        prepare and submit to the Secretary an annual report on 
        the Education Council's activities.
          (3) Island council support and assistance.--The 
        Education Council shall provide such administrative 
        support and financial assistance to the island councils 
        established pursuant to subsection (f) as the Secretary 
        determines to be appropriate, in a manner that supports 
        the distinct needs of each island council.
  (f) Establishment of Island Councils.--
          (1) In general.--In order to better effectuate the 
        purposes of this part and to ensure the adequate 
        representation of island and community interests within 
        the Education Council, the Secretary is authorized to 
        facilitate the establishment of Native Hawaiian 
        education island councils (referred to individually in 
        this part as an ``island council'') for the following 
        islands:
                  (A) Hawai`i.
                  (B) Maui.
                  (C) Moloka`i.
                  (D) Lana`i.
                  (E) O`ahu.
                  (F) Kaua`i.
                  (G) Ni`ihau.
          (2) Composition of island councils.--Each island 
        council shall consist of parents, students, and other 
        community members who have an interest in the education 
        of Native Hawaiians, and shall be representative of 
        individuals concerned with the educational needs of all 
        age groups, from children in preschool through adults. 
        At least \3/4\ of the members of each island council 
        shall be Native Hawaiians.
  (g) Administrative Provisions Relating to Education Council 
and Island Councils.--The Education Council and each island 
council shall meet at the call of the chairperson of the 
appropriate council, or upon the request of the majority of the 
members of the appropriate council, but in any event not less 
often than 4 times during each calendar year. The provisions of 
the Federal Advisory Committee Act shall not apply to the 
Education Council and each island council.
  (h) Compensation.--Members of the Education Council and each 
island council shall not receive any compensation for service 
on the Education Council and each island council, respectively.
  (i) Report.--Not later than 4 years after the date of 
enactment of the Educational Opportunities Act, the Secretary 
shall prepare and submit to the Committee on Education and the 
Workforce of the House of Representatives and the Committee on 
Indian Affairs of the Senate a report that summarizes the 
annual reports of the Education Council, describes the 
allocation and use of funds under this part, and contains 
recommendations for changes in Federal, State, and local policy 
to advance the purposes of this part.
  (j) Authorization of Appropriations.--There are authorized to 
be appropriated to carry out this section $300,000 for fiscal 
year 2001 and such sums as may be necessary for each of the 4 
succeeding fiscal years. Funds appropriated under this 
subsection shall remain available until expended.

SEC. 9205. PROGRAM AUTHORIZED.

  (a) General Authority.--
          (1) Grants and contracts.--The Secretary is 
        authorized to make direct grants to, or enter into 
        contracts with--
                  (A) Native Hawaiian educational 
                organizations;
                  (B) Native Hawaiian community-based 
                organizations;
                  (C) public and private nonprofit 
                organizations, agencies, and institutions with 
                experience in developing or operating Native 
                Hawaiian programs or programs of instruction in 
                the Native Hawaiian language; and
                  (D) consortia of the organizations, agencies, 
                and institutions described in subparagraphs (A) 
                through (C),
        to carry out programs that meet the purposes of this 
        part.
          (2) Priorities.--In awarding grants or contracts to 
        carry out activities described in paragraph (3), the 
        Secretary shall give priority to entities proposing 
        projects that are designed to address--
                  (A) beginning reading and literacy among 
                students in kindergarten through third grade;
                  (B) the needs of at-risk children and youth;
                  (C) needs in fields or disciplines in which 
                Native Hawaiians are underemployed; and
                  (D) the use of the Hawaiian language in 
                instruction.
          (3) Authorized activities.--Activities provided 
        through programs carried out under this part may 
        include--
                  (A) the development and maintenance of a 
                statewide Native Hawaiian early education and 
                care system to provide a continuum of services 
                for Native Hawaiian children from the prenatal 
                period of the children through age 5;
                  (B) the operation of family-based education 
                centers that provide such services as--
                          (i) programs for Native Hawaiian 
                        parents and their infants from the 
                        prenatal period of the infants through 
                        age 3;
                          (ii) preschool programs for Native 
                        Hawaiians; and
                          (iii) research on, and development 
                        and assessment of, family-based, early 
                        childhood, and preschool programs for 
                        Native Hawaiians;
                  (C) activities that enhance beginning reading 
                and literacy in either the Hawaiian or the 
                English language among Native Hawaiian students 
                in kindergarten through third grade and 
                assistance in addressing the distinct features 
                of combined English and Hawaiian literacy for 
                Hawaiian speakers in fifth and sixth grade; 
                  (D) activities to meet the special needs of 
                Native Hawaiian students with disabilities, 
                including--
                          (i) the identification of such 
                        students and their needs;
                          (ii) the provision of support 
                        services to the families of those 
                        students; and
                          (iii) other activities consistent 
                        with the requirements of the 
                        Individuals with Disabilities Education 
                        Act;
                  (E) activities that address the special needs 
                of Native Hawaiian students who are gifted and 
                talented, including--
                          (i) educational, psychological, and 
                        developmental activities designed to 
                        assist in the educational progress of 
                        those students; and
                          (ii) activities that involve the 
                        parents of those students in a manner 
                        designed to assist in the students' 
                        educational progress;
                  (F) the development of academic and 
                vocational curricula to address the needs of 
                Native Hawaiian children and adults, including 
                curriculum materials in the Hawaiian 
languageand mathematics and science curricula that incorporate Native 
Hawaiian tradition and culture;
                  (G) professional development activities for 
                educators, including--
                          (i) the development of programs to 
                        prepare prospective teachers to address 
                        the unique needs of Native Hawaiian 
                        students within the context of Native 
                        Hawaiian culture, language, and 
                        traditions;
                          (ii) in-service programs to improve 
                        the ability of teachers who teach in 
                        schools with concentrations of Native 
                        Hawaiian students to meet those 
                        students' unique needs; and
                          (iii) the recruitment and preparation 
                        of Native Hawaiians, and other 
                        individuals who live in communities 
                        with a high concentration of Native 
                        Hawaiians, to become teachers;
                  (H) the operation of community-based learning 
                centers that address the needs of Native 
                Hawaiian families and communities through the 
                coordination of public and private programs and 
                services, including--
                          (i) preschool programs;
                          (ii) after-school programs; and
                          (iii) vocational and adult education 
                        programs;
                  (I) activities to enable Native Hawaiians to 
                enter and complete programs of postsecondary 
                education, including--
                          (i) provision of full or partial 
                        scholarships for undergraduate or 
                        graduate study that are awarded to 
                        students based on their academic 
                        promise and financial need, with a 
                        priority, at the graduate level, given 
                        to students entering professions in 
                        which Native Hawaiians are 
                        underrepresented;
                          (ii) family literacy services;
                          (iii) counseling and support services 
                        for students receiving scholarship 
                        assistance;
                          (iv) counseling and guidance for 
                        Native Hawaiian secondary students who 
                        have the potential to receive 
                        scholarships; and
                          (v) faculty development activities 
                        designed to promote the matriculation 
                        of Native Hawaiian students;
                  (J) research and data collection activities 
                to determine the educational status and needs 
                of Native Hawaiian children and adults;
                  (K) other research and evaluation activities 
                related to programs carried out under this 
                part; and
                  (L) other activities, consistent with the 
                purposes of this part, to meet the educational 
                needs of Native Hawaiian children and adults.
          (4) Special rule and conditions.--
                  (A) Institutions outside hawaii.--The 
                Secretary shall not establish a policy under 
                this section that prevents a Native Hawaiian 
                student enrolled at a 2- or 4-year degree 
                granting institution of higher education 
                outside of the State of Hawai`i from receiving 
                a fellowship pursuant to paragraph (3)(I).
                  (B) Fellowship conditions.--The Secretary 
                shall establish conditions for receipt of a 
                fellowship awarded under paragraph (3)(I). The 
                conditions shall require that an individual 
                seeking such a fellowship enter into a contract 
                to provide professional services, either during 
                the fellowship period or upon completion of a 
                program of postsecondary education, to the 
                Native Hawaiian community.
  (b) Administrative Costs.--Not more than 5 percent of funds 
provided to a grant recipient under this section for any fiscal 
year may be used for administrative purposes.
  (c) Authorization of Appropriations.--There are authorized to 
be appropriated to carry out this section $23,000,000 for 
fiscal year 2001 and such sums as may be necessary for each of 
the 4 succeeding fiscal years. Funds appropriated under this 
subsection shall remain available until expended.

SEC. 9206. ADMINISTRATIVE PROVISIONS.

  (a) Application Required.--No grant may be made under this 
part, and no contract may be entered into under this part, 
unless the entity seeking the grant or contract submits an 
application to the Secretary at such time, in such manner, and 
containing such information as the Secretary may determine to 
be necessary to carry out the provisions of this part.
  (b) Special Rule.--Each applicant for a grant or contract 
under this part shall submit the application for comment to the 
local educational agency serving students who will participate 
in the program to be carried out under the grant or contract, 
and include those comments, if any, with the application to the 
Secretary.

SEC. 9207. DEFINITIONS.

  In this part:
          (1) Native hawaiian.--The term ``Native Hawaiian'' 
        means any individual who is--
                  (A) a citizen of the United States; and
                  (B) a descendant of the aboriginal people 
                who, prior to 1778, occupied and exercised 
                sovereignty in the area that now comprises the 
                State of Hawai`i, as evidenced by--
                          (i) genealogical records;
                          (ii) Kupuna (elders) or Kama`aina 
                        (long-term community residents) 
                        verification; or
                          (iii) certified birth records.
          (2) Native hawaiian community-based organization.--
        The term ``Native Hawaiian community-based 
        organization'' means any organization that is composed 
        primarily of Native Hawaiians from a specific community 
        and that assists in the social, cultural, and 
        educational development of Native Hawaiians in that 
        community.
          (3) Native hawaiian educational organization.--The 
        term ``Native Hawaiian educationalorganization'' means 
a private nonprofit organization that--
                  (A) serves the interests of Native Hawaiians;
                  (B) has Native Hawaiians in substantive and 
                policymaking positions within the organization;
                  (C) incorporates Native Hawaiian perspective, 
                values, language, culture, and traditions into 
                the core function of the organization;
                  (D) has demonstrated expertise in the 
                education of Native Hawaiian youth; and
                  (E) has demonstrated expertise in research 
                and program development.
          (4) Native hawaiian language.--The term ``Native 
        Hawaiian language'' means the single Native American 
        language indigenous to the original inhabitants of the 
        State of Hawai`i.
          (5) Native hawaiian organization.--The term ``Native 
        Hawaiian organization'' means a private nonprofit 
        organization that--
                  (A) serves the interests of Native Hawaiians;
                  (B) has Native Hawaiians in substantive and 
                policymaking positions within the 
                organizations; and
                  (C) is recognized by the Governor of Hawai`i 
                for the purpose of planning, conducting, or 
                administering programs (or portions of 
                programs) for the benefit of Native Hawaiians.
          (6) Office of hawaiian affairs.--The term ``Office of 
        Hawaiian Affairs'' means the office of Hawaiian Affairs 
        established by the Constitution of the State of 
        Hawai`i.

                    PART C--ALASKA NATIVE EDUCATION

SEC. 9301. SHORT TITLE.

  This part may be cited as the ``Alaska Native Educational 
Equity, Support, and Assistance Act''.

SEC. 9302. FINDINGS.

  Congress finds the following:
          (1) The attainment of educational success is critical 
        to the betterment of the conditions, long-term well-
        being, and preservation of the culture of Alaska 
        Natives.
          (2) It is the policy of the Federal Government to 
        encourage the maximum participation by Alaska Natives 
        in the planning and the management of Alaska Native 
        education programs.
          (3) Alaska Native children enter and exit school with 
        serious educational handicaps.
          (4) The educational achievement of Alaska Native 
        children is far below national norms. Native 
        performance on standardized tests is low, Native 
        student dropout rates are high, and Natives are 
        significantly underrepresented among holders of 
        baccalaureate degrees in the State of Alaska. As a 
        result, Native students are being denied their 
        opportunity to become full participants in society by 
        grade school and high school educations that are 
        condemning an entire generation to an underclass status 
        and a life of limited choices.
          (5) The programs authorized in this title, combined 
        with expanded Head Start, infant learning and early 
        childhood education programs, and parent education 
        programs are essential if educational handicaps are to 
        be overcome.
          (6) The sheer magnitude of the geographic barriers to 
        be overcome in delivering educational services in rural 
        Alaska and Alaska villages should be addressed through 
        the development and implementation of innovative, model 
        programs in a variety of areas.
          (7) Congress finds that Native children should be 
        afforded the opportunity to begin their formal 
        education on a par with their non-Native peers. The 
        Federal Government should lend support to efforts 
        developed by and undertaken within the Alaska Native 
        community to improve educational opportunity for all 
        students.

SEC. 9303. PURPOSES.

  The purposes of this part are to--
          (1) recognize the unique educational needs of Alaska 
        Natives;
          (2) authorize the development of supplemental 
        educational programs to benefit Alaska Natives;
          (3) supplement programs and authorities in the area 
        of education to further the objectives of this part; 
        and
          (4) provide direction and guidance to appropriate 
        Federal, State, and local agencies to focus resources, 
        including resources made available under this part, on 
        meeting the educational needs of Alaska Natives.

SEC. 9304. PROGRAM AUTHORIZED.

  (a) General Authority.--
          (1) Grants and contracts.--The Secretary is 
        authorized to make grants to, or enter into contracts 
        with, Alaska Native organizations, educational entities 
        with experience in developing or operating Alaska 
        Native programs or programs of instruction conducted in 
        Alaska Native languages, and consortia of such 
        organizations and entities to carry out programs that 
        meet the purposes of this part.
          (2) Permissible activities.--Activities provided 
        through programs carried out under this part may 
        include--
                  (A) the development and implementation of 
                plans, methods, and strategies to improve the 
                education of Alaska Natives;
                  (B) the development of curricula and 
                educational programs that address the 
                educational needs of Alaska Native students, 
                including--
                          (i) curriculum materials that reflect 
                        the cultural diversity or the 
                        contributions of Alaska Natives;
                          (ii) instructional programs that make 
                        use of Native Alaskan languages; and
                          (iii) networks that introduce 
                        successful programs, materials, and 
                        techniques to urban and rural schools;
                  (C) professional development activities for 
                educators, including--
                          (i) programs to prepare teachers to 
                        address the cultural diversity and 
                        unique needs of Alaska Native students;
                          (ii) in-service programs to improve 
                        the ability of teachers to meet the 
                        unique needs of Alaska Native students; 
                        and
                          (iii) recruitment and preparation of 
                        teachers who are Alaska Native, reside 
                        in communities with high concentrations 
                        of Alaska Native students, or are 
                        likely to succeed as teachers in 
                        isolated, rural communities and engage 
                        in cross-cultural instruction in 
                        Alaska;
                  (D) the development and operation of home 
                instruction programs for Alaska Native 
                preschool children, the purpose of which is to 
                ensure the active involvement of parents in 
                their children's education from the earliest 
                ages;
                  (E) family literacy services;
                  (F) the development and operation of student 
                enrichment programs in science and mathematics 
                that--
                          (i) are designed to prepare Alaska 
                        Native students from rural areas, who 
                        are preparing to enter secondary 
                        school, to excel in science and math; 
                        and
                          (ii) provide appropriate support 
                        services to the families of such 
                        students that are needed to enable such 
                        students to benefit from the programs;
                  (G) research and data collection activities 
                to determine the educational status and needs 
                of Alaska Native children and adults;
                  (H) other research and evaluation activities 
                related to programs carried out under this 
                part; and
                  (I) other activities, consistent with the 
                purposes of this part, to meet the educational 
                needs of Alaska Native children and adults.
          (3) Home instruction programs.--Home instruction 
        programs for Alaska Native preschool children carried 
        out under paragraph (2)(D) may include--
                  (A) programs for parents and their infants, 
                from the prenatal period of the infant through 
                age 3;
                  (B) preschool programs; and
                  (C) training, education, and support for 
                parents in such areas as reading readiness, 
                observation, story telling, and critical 
                thinking.
  (b) Administrative Costs.--Not more than 5 percent of funds 
provided to a grant recipient under this section for any fiscal 
year may be used for administrative purposes.
  (c) Authorization of Appropriations.--There are authorized to 
be appropriated to carry out this section $17,000,000 for 
fiscal year 2001 and such sums as may be necessary for each of 
the 4 succeeding fiscal years.

SEC. 9305. ADMINISTRATIVE PROVISIONS.

  (a) Application Required.--No grant may be made under this 
part, and no contract may be entered into under this part, 
unless the entity seeking the grant or contract submits an 
application to the Secretary at such time, in such manner, and 
containing such information as the Secretary may determine to 
be necessary to carry out the provisions of this part.
  (b) Applications.--A State educational agency or local 
educational agency may apply for a grant or contract under this 
part only as part of a consortium involving an Alaska Native 
organization. The consortium may include other eligible 
applicants.
  (c) Consultation Required.--Each applicant for a grant or 
contract under this part shall provide for ongoing advice from 
and consultation with representatives of the Alaska Native 
community.
  (d) Local Educational Agency Coordination.--Each applicant 
for a grant or contract under this part shall inform each local 
educational agency serving students who will participate in the 
program to be carried out under the grant or contract about the 
application.

SEC. 9306. DEFINITIONS.

  In this part:
          (1) Alaska native.--The term ``Alaska Native'' has 
        the meaning given the term ``Native'' in section 3(b) 
        of the Alaska Native Claims Settlement Act.
          (2) Alaska native organization.--The term ``Alaska 
        Native organization'' means a federally recognized 
        tribe, consortium of tribes, regional nonprofit Native 
        association, or another organization that--
                  (A) has or commits to acquire expertise in 
                the education of Alaska Natives; and
                  (B) has Alaska Natives in substantive and 
                policymaking positions within the organization.

              [TITLE X--PROGRAMS OF NATIONAL SIGNIFICANCE]

                       TITLE X_GENERAL PROVISIONS

             [PART A--FUND FOR THE IMPROVEMENT OF EDUCATION


[SEC. 10101. [20 U.S.C. 8001] FUND FOR THE IMPROVEMENT OF EDUCATION.

    [(a) Fund Authorized.--From funds appropriated under 
subsection (d), the Secretary is authorized to support 
nationally significant programs and projects to improve the 
quality of education, assist all students to meet challenging 
State content standards and challenging State student 
performance standards, and contribute to achievement of the 
National Education Goals. The Secretary is authorized to carry 
out such programs and projects directly or through grants to, 
or contracts with, State and local educational agencies, 
institutions of higher education, and other public and private 
agencies, organizations, and institutions.
    [(b) Uses of Funds.--
          [(1) In general.--Funds under this section may be 
        used for--
                  [(A) activities that will promote systemic 
                education reform at the State and local levels, 
                such as--
                          [(i) research and development related 
                        to challenging State content and 
                        challenging State student performance 
                        standards;
                          [(ii) the development and evaluation 
                        of model strategies for--
                                  [(I) assessment of student 
                                learning;
                                  [(II) professional 
                                development for teachers and 
                                administrators;
                                  [(III) parent and community 
                                involvement; and
                                  [(IV) other aspects of 
                                systemic reform;
                          [(iii) developing and evaluating 
                        strategies for eliminating ability-
                        grouping practices, and developing 
                        policies and programs that place all 
                        students on a college-preparatory path 
                        of study, particularly in academic 
                        fields such as mathematics, science, 
                        English, and social studies, including 
                        comprehensive inservice programs for 
                        teachers and pupil services personnel 
                        and academic enrichment programs that 
                        supplement regular courses for 
                        students;
                          [(iv) developing and evaluating 
                        programs that directly involve parents 
                        and family members in the academic 
                        progress of their children;
                          [(v) developing and evaluating 
                        strategies for integrating instruction 
                        and assessment such that teachers and 
                        administrators can focus on what 
                        students should know and be able to do 
                        at particular grade levels, which 
                        instruction shall promote the synthesis 
                        of knowledge, encourage the development 
                        of problem-solving skills drawing on a 
                        vast range of disciplines, and promote 
                        the development of higher order 
                        thinking by all students; and
                          [(vi) developing and evaluating 
                        strategies for supporting professional 
                        development for teachers across all 
                        disciplines and for pupil services 
                        personnel, guidance counselors, and 
                        administrators, including inservice 
                        training that improves the skills of 
                        pupil services personnel, counselors 
                        and administrators for working with 
                        students from diverse populations;
                  [(B) demonstrations at the State and local 
                levels that are designed to yield nationally 
                significant results, including approaches to 
                public school choice and school-based 
                decisionmaking;
                  [(C) joint activities with other agencies to 
                assist the effort to achieve the National 
                Education Goals, including activities related 
                to improving the transition from pre-school to 
                school and from school to work, as well as 
                activities related to the integration of 
                education and health and social services;
                  [(D) activities to promote and evaluate 
                counseling and mentoring for students, 
                including intergenerational mentoring;
                  [(E) activities to promote and evaluate 
                coordinated pupil services programs;
                  [(F) activities to promote comprehensive 
                health education;
                  [(G) activities to promote environmental 
                education;
                  [(H) activities to promote consumer, 
                economic, and personal finance education, such 
                as saving, investing, and entrepreneurial 
                education;
                  [(I) activities to promote programs to assist 
                students to demonstrate competence in foreign 
                languages;
                  [(J) studies and evaluation of various 
                education reform strategies and innovations 
                being pursued by the Federal Government, 
                States, and local educational agencies;
                  [(K) activities to promote metric education;
                  [(L) the identification and recognition of 
                exemplary schools and programs, such as Blue 
                Ribbon Schools;
                  [(M) programs designed to promote gender 
                equity in education by evaluating and 
                eliminating gender bias in instruction and 
                educational materials, identifying, and 
                analyzing gender inequities in educational 
                practices, and implementing and evaluating 
                educational policies and practices designed to 
                achieve gender equity;
                  [(N) programs designed to reduce excessive 
                student mobility, retain students who move 
                within a school district at the same school, 
                educate parents about the effect of mobility on 
                a child's education and encourage parents to 
                participate in school activities;
                  [(O) experiential-based learning, such as 
                service-learning;
                  [(P) the development and expansion of public-
                private partnership programs which extend the 
                learning experience, via computers, beyond the 
                classroom environment into student homes 
                through such programs as the Buddy System 
                Computer Project;
                  [(Q) other programs and projects that meet 
                the purposes of this section;
                  [(R) activities to promote child abuse 
                education and prevention programs;
                  [(S) activities to raise standards and 
                expectations for academic achievement among all 
                students, especially disadvantaged students 
                traditionally underserved in schools;
                  [(T) activities to provide the academic 
                support, enrichment and motivation to enable 
                all students to reach such standards;
                  [(U) demonstrations relating to the planning 
                and evaluations of the effectiveness of 
                projects under which local educational agencies 
                or schools contract with private management 
                organizations to reform a school or schools;
                  [(V) demonstrations that are designed to test 
                whether prenatal and counseling provided to 
                pregnant students may have a positive effect on 
                pregnancy outcomes, with such education and 
                counseling emphasizing the importance of 
                prenatal care, the value of sound diet and 
                nutrition habits, and the harmful effects of 
                smoking, alcohol, and substance abuse on fetal 
                development;
                  [(W) programs under section 10102;
                  [(X) programs under section 10103;
                  [(Y) programs under section 10104; and
                  [(Z) programs under section 10105;
          [(2) Additional uses.--The Secretary may also use 
        funds under this section to complete the project 
        periods for direct grants or contracts awarded under 
        the provisions of this Act, the Fund for the 
        Improvement and Reform of Schools and Teaching Act, or 
        title III of the Education for Economic Security Act, 
        as such Acts were in effect on the day preceding the 
        date of the enactment of the Improving America's 
        Schools Act of 1994.
          [(3) Special rule.--The Secretary shall not make 
        available more than $1,000,000 to carry out paragraph 
        (1)(R), nor more than $1,000,000 to carry out paragraph 
        (1)(V) during the period beginning on October 1, 1994, 
        through September 30, 1999.
    [(c) Awards.--
          [(1) In general.--The Secretary may--
                  [(A) make awards under this section on the 
                basis of competitions announced by the 
                Secretary; and
                  [(B) support meritorious unsolicited 
                proposals.
          [(2) Special rule.--The Secretary shall ensure that 
        programs, projects, and activities supported under this 
        section are designed so that the effectiveness of such 
        programs, projects, and activities is readily 
        ascertainable.
          [(3) Peer review.--The Secretary shall use a peer 
        review process in reviewing applications for assistance 
        under this section and may use funds appropriated under 
        subsection (d) for the cost of such peer review.
    [(d) Authorization.--For the purpose of carrying out this 
section, 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. 10102. [20 U.S.C. 8002] ELEMENTARY SCHOOL COUNSELING 
                    DEMONSTRATION.

    [(a) Counseling Demonstration.--
          [(1) In general.--The Secretary may award grants 
        under this section to establish or expand elementary 
        school counseling programs.
          [(2) Priority.--In awarding grants under this 
        section, the Secretary shall give special consideration 
        to applications describing programs that--
                  [(A) demonstrate the greatest need for new or 
                additional counseling services among the 
                children in the elementary schools served by 
                the applicant;
                  [(B) propose the most promising and 
                innovative approaches for initiating or 
                expanding elementary school counseling; and
                  [(C) show the greatest potential for 
                replication and dissemination.
          [(3) Equitable distribution.--In awarding grants 
        under this section, the Secretary shall ensure an 
        equitable geographic distribution among the regions of 
        the United States and among urban, suburban, and rural 
        areas.
          [(4) Duration.--A grant under this section shall be 
        awarded for a period not to exceed three years.
          [(5) Maximum grant.--A grant under this section shall 
        not exceed $400,000 for any fiscal year.
    [(b) Applications.--
          [(1) In general.--Each local educational agency 
        desiring a grant under this section shall submit an 
        application to theSecretary at such time, in such 
manner, and accompanied by such information as the Secretary may 
reasonably require.
          [(2) Contents.--Each application for a grant under 
        this section shall--
                  [(A) describe the elementary school 
                population to be targeted by the program, the 
                particular personal, social, emotional, 
                educational, and career development needs of 
                such population, and the current school 
                counseling resources available for meeting such 
                needs;
                  [(B) describe the activities, services, and 
                training to be provided by the program and the 
                specific approaches to be used to meet the 
                needs described in subparagraph (A);
                  [(C) describe the methods to be used to 
                evaluate the outcomes and effectiveness of the 
                program;
                  [(D) describe the collaborative efforts to be 
                undertaken with institutions of higher 
                education, businesses, labor organizations, 
                community groups, social service agencies, and 
                other public or private entities to enhance the 
                program and promote school-linked services 
                integration;
                  [(E) describe collaborative efforts with 
                institutions of higher education which 
                specifically seek to enhance or improve 
                graduate programs specializing in the 
                preparation of elementary school counselors, 
                school psychologists, and school social 
                workers;
                  [(F) document that the applicant has the 
                personnel qualified to develop, implement, and 
                administer the program;
                  [(G) describe how any diverse cultural 
                populations, if applicable, would be served 
                through the program;
                  [(H) assure that the funds made available 
                under this part for any fiscal year will be 
                used to supplement and, to the extent 
                practicable, increase the level of funds that 
                would otherwise be available from non-Federal 
                sources for the program described in the 
                application, and in no case supplant such funds 
                from non-Federal sources; and
                  [(I) assure that the applicant will appoint 
                an advisory board composed of parents, school 
                counselors, school psychologists, school social 
                workers, other pupil services personnel, 
                teachers, school administrators, and community 
                leaders to advise the local educational agency 
                on the design and implementation of the 
                program.
  [(c) Use of Funds.--
          [(1) In general.--Grant funds under this section 
        shall be used to initiate or expand elementary school 
        counseling programs that comply with the requirements 
        in paragraph (2).
          [(2) Program requirements.--Each program assisted 
        under this section shall--
                  [(A) be comprehensive in addressing the 
                personal, social, emotional, and educational 
                needs of all students;
                  [(B) use a developmental, preventive approach 
                to counseling;
                  [(C) increase the range, availability, 
                quantity, and quality of counseling services in 
                the elementary schools of the local educational 
                agency;
                  [(D) expand counseling services only through 
                qualified school counselors, school 
                psychologists, and school social workers;
                  [(E) use innovative approaches to increase 
                children's understanding of peer and family 
                relationships, work and self, decisionmaking, 
                academic and career planning, or to improve 
                social functioning;
                  [(F) provide counseling services that are 
                well-balanced among classroom group and small 
                group counseling, individual counseling, and 
                consultation with parents, teachers, 
                administrators, and other pupil services 
                personnel;
                  [(G) include inservice training for school 
                counselors, school social workers, school 
                psychologists, other pupil services personnel, 
                teachers, and instructional staff;
                  [(H) involve parents of participating 
                students in the design, implementation, and 
                evaluation of a counseling program;
                  [(I) involve collaborative efforts with 
                institutions of higher education, businesses, 
                labor organizations, community groups, social 
                service agencies, or other public or private 
                entities to enhance the program and promote 
                school-linked services integration; and
                  [(J) evaluate annually the effectiveness and 
                outcomes of the counseling services and 
                activities assisted under this section.
          [(3) Report.--The Secretary shall issue a report 
        evaluating the programs assisted pursuant to each grant 
        under this subsection at the end of each grant period 
        in accordance with section 14701, but in no case later 
        than January 30, 1998.
          [(4) Dissemination.--The Secretary shall make the 
        programs assisted under this section available for 
        dissemination, either through the National Diffusion 
        Network or other appropriate means.
          [(5) Limit on administration.--Not more than five 
        percent of the amounts made available under this 
        section in any fiscal year shall be used for 
        administrative costs to carry out this section.
    [(d) Definitions.--For purposes of this section--
          [(1) the term ``school counselor'' means an 
        individual who has documented competence in counseling 
        children and adolescents in a school setting and who--
                  [(A) possesses State licensure or 
                certification granted by an independent 
                professional regulatory authority;
                  [(B) in the absence of such State licensure 
                or certification, possesses national 
                certification in school counseling or a 
                specialty of counseling granted by an 
                independent professional organization; or
                  [(C) holds a minimum of a master's degree in 
                school counseling from a program accredited by 
                the Council for Accreditation of Counseling and 
                Related Educational Programs or the equivalent;
          [(2) the term ``school psychologist'' means an 
        individual who--
                  [(A) possesses a minimum of 60 graduate 
                semester hours in school psychology from an 
                institution of higher education and has 
                completed 1,200 clock hours in a supervised 
                school psychology internship, of which 600 
                hours shall be in the school setting;
                  [(B) possesses State licensure or 
                certification in the State in which the 
                individual works; or
                  [(C) in the absence of such State licensure 
                or certification, possesses national 
                certification by the National School Psychology 
                Certification Board;
          [(3) the term ``school social worker'' means an 
        individual who holds a master's degree in social work 
        and is licensed or certified by the State in which 
        services are provided or holds a school social work 
        specialist credential; and
          [(4) the term ``supervisor'' means an individual who 
        has the equivalent number of years of professional 
        experience in such individual's respective discipline 
        as is required of teaching experience for the 
        supervisor or administrative credential in the State of 
        such individual.

[SEC. 10103. [20 U.S.C. 8003] PARTNERSHIPS IN CHARACTER EDUCATION PILOT 
                    PROJECT.

    [(a) Program Authorized.--
          [(1) In general.--The Secretary is authorized to make 
        up to a total of ten grants annually to partnerships of 
        State educational agencies and local educational 
        agencies for the design and implementation of character 
        education programs that incorporate the elements of 
        character listed in subsection (d), as well as other 
        character elements identified by applicants.
          [(2) Maximum amount of grant.--No State educational 
        agency shall receive more than a total of $1,000,000 in 
        grants under this part.
          [(3) Duration.--Each grant under this section shall 
        be awarded for a period not to exceed five years, of 
        which the State educational agency shall not use more 
        than one year for planning and program design.
    [(b) State Educational Agency Applications.--
          [(1) Requirement.--Each State educational agency 
        desiring a grant under this section shall submit an 
        application to the Secretary at such time and in such 
        manner as the Secretary may require.
          [(2) Partnerships.--Each State educational agency 
        desiring a grant under this section shall form a 
        partnership with at least one local educational agency 
        to be eligible for funding. The partnership shall 
        pursue State and local initiatives to meet the 
        objectives of this section.
          [(3) Application.--Each application under this 
        section shall include--
                  [(A) a list of the local educational agencies 
                entering into the partnership with the State 
                educational agency;
                  [(B) a description of the goals of the 
                partnership;
                  [(C) a description of activities that will be 
                pursued by the participating local educational 
                agencies, including--
                          [(i) how parents, students, and other 
                        members of the community, including 
                        members of private and nonprofit 
                        organizations, will be involved in the 
                        design and implementation of the 
                        program;
                          [(ii) curriculum and instructional 
                        practices;
                          [(iii) methods of teacher training 
                        and parent education that will be used 
                        or developed; and
                          [(iv) examples of activities that 
                        will be carried out under this part;
                  [(D) a description of how the State 
                educational agency will provide technical and 
                professional assistance to its local 
                educational agency partners in the development 
                and implementation of character education 
                programs;
                  [(E) a description of how the State 
                educational agency will evaluate the success of 
                local programs and how local educational 
                agencies will evaluate the progress of their 
                own programs;
                  [(F) a description of how the State 
                educational agency will assist other interested 
                local educational agencies that are not members 
                of the original partnership in designing and 
                establishing programs;
                  [(G) a description of how the State 
                educational agency will establish a 
                clearinghouse for information on model 
                programs, materials, and other information the 
                State and local educational agencies determine 
                to be appropriate;
                  [(H) an assurance that the State educational 
                agency will annually provide to the Secretary 
                such information as may be required to 
                determine the effectiveness of the program; and
                  [(I) any other information that the Secretary 
                may require.
          [(4) Non-partner local educational agencies.--Any 
        local educational agency that was not a partner with 
        the State when the application was submitted may become 
        a partner by submitting an application for partnership 
        to the State educational agency, containing such 
        information that the State educational agency may 
        require.
    [(c) Evaluation and Program Development.--
          [(1) Requirement.--Each State educational agency 
        receiving a grant under this section shall submit to 
        the Secretary a comprehensive evaluation of the program 
        assisted under this part, including the impact on 
        students, teachers, administrators, parents, and 
        others--
                  [(A) by the mid-term of the program; and
                  [(B) not later than one year after completion 
                of such program.
          [(2) Contracts for evaluation.--Each State 
        educational agency receiving a grant under this section 
        may contract with outside sources, including 
        institutions of higher education, and private and 
        nonprofit organizations, for purposes of evaluating 
        their program and measuring the success of the program 
        toward fostering in students the elements of character 
        listed in subsection (b).
          [(3) Factors.--Factors which may be considered in 
        evaluating the success of the program may include--
                  [(A) discipline problems;
                  [(B) students' grades;
                  [(C) participation in extracurricular 
                activities;
                  [(D) parental and community involvement;
                  [(E) faculty and administration involvement; 
                and
                  [(F) student and staff morale.
          [(4) Materials and program development.--Local 
        educational agencies, after consulting with the State 
        educational agency, may contract with outside sources, 
        including institutions of higher education, and private 
        and nonprofit organizations, for assistance in 
        developing curriculum, materials, teacher training, and 
        other activities related to character education.
    [(d) Elements of Character.--
          [(1) In general.--Applicants desiring funding under 
        this part shall develop character education programs 
        that incorporate the following elements of character:
                  [(A) Caring.
                  [(B) Civic virtue and citizenship.
                  [(C) Justice and fairness.
                  [(D) Respect.
                  [(E) Responsibility.
                  [(F) Trustworthiness.
                  [(G) Any other elements deemed appropriate by 
                the members of the partnership.
          [(2) Additional elements of character.--A local 
        educational agency participating under this section 
        may, after consultation with schools and communities of 
        such agency, define additional elements of character 
        that the agency determines to be important to the 
        schools and communities of such agency.
    [(e) Use of funds.--Of the total funds received by a State 
educational agency in any fiscal year under this section--
          [(1) not more than 30 percent of such funds may be 
        retained by the State educational agency, of which--
                  [(A) not more than 10 percent of such funds 
                may be used for administrative purposes; and
                  [(B) the remainder of such funds may be used 
                for--
                          [(i) collaborative initiatives with 
                        local educational agencies;
                          [(ii) the establishment of the 
                        clearinghouse, preparation of 
                        materials, teacher training; and
                          [(iii) other appropriate activities; 
                        and
          [(2) the remaining of such funds shall be used to 
        award subgrants to local educational agencies, of 
        which--
                  [(A) not more than 10 percent of such funds 
                may be retained for administrative purposes; 
                and
                  [(B) the remainder of such funds may be used 
                to--
                          [(i) award subgrants to schools 
                        within the local educational agency; 
                        and
                          [(ii) pursue collaborative efforts 
                        with the State educational agency.
    [(f) Selection of Grantees.--
          [(1) Criteria.--The Secretary shall select, through 
        peer review, partnerships to receive grants under this 
        section on the basis of the quality of the applications 
        submitted under subsection (b), taking into 
        consideration such factors as--
                  [(A) the quality of the activities proposed 
                by local educational agencies;
                  [(B) the extent to which the program fosters 
                in students the elements of character;
                  [(C) the extent of parental, student, and 
                community involvement;
                  [(D) the number of local educational agencies 
                involved in the effort;
                  [(E) the quality of the plan for measuring 
                and assessing success; and
                  [(F) the likelihood that the goals of the 
                program will be realistically achieved.
          [(2) Diversity of projects.-- The Secretary shall 
        approve applications under this section in a manner 
        that ensures, to the extent practicable, that programs 
        assisted under this section--
                  [(A) serve different areas of the Nation, 
                including urban, suburban, and rural areas; and
                  [(B) serve schools that serve minorities, 
                Native Americans, students of limited-English 
                proficiency, and disadvantaged students.

[SEC. 10104. [20 U.S.C. 8004] PROMOTING SCHOLAR-ATHLETE COMPETITIONS.

    [(a) In General.--The Secretary is authorized to award a 
grant to a nonprofit organization to reimburse such 
organizations for the costs of conducting scholar-athlete games 
to be held in 1999.
    [(b) Priority.--In awarding the grant under subsection (a), 
the Secretary shall give priority to a nonprofit organization 
that--
          [(1) is described in section 501(c)(3) of, and exempt 
        from taxation under section 501(a) of, the Internal 
        Revenue Code of 1986, and is affiliated with a 
        university capable of hosting a large educational, 
        cultural, and athletic event that will serve as a 
        national model;
          [(2) has the capability and experience in 
        administering federally funded scholar-athlete games;
          [(3) has the ability to provide matching funds, on a 
        dollar-for-dollar basis, from foundations and the 
        private sector for the purpose of conducting a scholar-
        athlete program;
          [(4) has the organizational structure and capability 
        to administer a model scholar-athlete program in the 
        summer of 1999;
          [(5) has the organizational structure and expertise 
        to replicate the scholar-athlete program in various 
        venues throughout the United States internationally; 
        and
          [(6) has plans for conducting scholar-athlete games 
        after 1999 without Federal assistance.

[SEC. 10105. [20 U.S.C. 8005] SMALLER LEARNING COMMUNITIES.

    [(a) In General.--Each local educational agency desiring a 
grant under this section shall submit an application to the 
Secretary at such time, in such manner, and accompanied by 
suchinformation as the Secretary may require. Each such application 
shall describe--
          [(1) strategies and methods the applicant will use to 
        create the smaller learning community or communities;
          [(2) curriculum and instructional practices, 
        including any particular themes or emphases, to be used 
        in the learning environment;
          [(3) the extent of involvement of teachers and other 
        school personnel in investigating, designing, 
        implementing and sustaining the smaller learning 
        community or communities;
          [(4) the process to be used for involving students, 
        parents and other stakeholders in the development and 
        implementation of the smaller learning community or 
        communities;
          [(5) any cooperation or collaboration among community 
        agencies, organizations, businesses, and others to 
        develop or implement a plan to create the smaller 
        learning community or communities;
          [(6) the training and professional development 
        activities that will be offered to teachers and others 
        involved in the activities assisted under this part;
          [(7) the goals and objectives of the activities 
        assisted under this part, including a description of 
        how such activities will better enable all students to 
        reach challenging State content standards and State 
        student performance standards;
          [(8) the methods by which the applicant will assess 
        progress in meeting such goals and objectives;
          [(9) if the smaller learning community or communities 
        exist as a school-within-a-school, the relationship, 
        including governance and administration, of the smaller 
        learning community to the rest of the school;
          [(10) a description of the administrative and 
        managerial relationship between the local educational 
        agency and the smaller learning community or 
        communities, including how such agency will demonstrate 
        a commitment to the continuity of the smaller learning 
        community or communities, including the continuity of 
        student and teacher assignment to a particular learning 
        community;
          [(11) how the applicant will coordinate or use funds 
        provided under this part with other funds provided 
        under this Act or other Federal laws;
          [(12) grade levels or ages of students who will 
        participate in the smaller learning community or 
        communities; and
          [(13) the method of placing students in the smaller 
        learning community or communities, such that students 
        are not placed according to ability, performance or any 
        other measure, so that students are placed at random or 
        by their own choice, not pursuant to testing or other 
        judgments.
    [(b) Authorized Activities.--Funds under this section may 
be used--
          [(1) to study the feasibility of creating the smaller 
        learning community or communities as well as effective 
        and innovative organizational and instructional 
        strategies that will be used in the smaller learning 
        community or communities;
          [(2) to research, develop and implement strategies 
        for creating the smaller learning community or 
        communities, as well as effective and innovative 
        changes in curriculum and instruction, geared to high 
        State content standards and State student performance 
        standards;
          [(3) to provide professional development for school 
        staff in innovative teaching methods that challenge and 
        engage students to be used in the smaller learning 
        community or communities; and
          [(4) to develop and implement strategies to include 
        parents, business representatives, local institutions 
        of higher education, community-based organizations, and 
        other community members in the smaller learning 
        communities, as facilitators of activities that enable 
        teachers to participate in professional development 
        activities, as well as to provide links between 
        students and their community.

[SEC. 10106. [20 U.S.C. 8006] NATIONAL STUDENT AND PARENT MOCK 
                    ELECTION.

    [(a) In General.--The Secretary is authorized to award 
grants to national nonprofit, nonpartisan organizations that 
work to promote voter participation in American elections to 
enable such organizations to carry out voter education 
activities for students and their parents. Such activities 
shall--
          [(1) be limited to simulated national elections that 
        permit participation by students and parents from all 
        50 States in the United States; and
          [(2) consist of--
                  [(A) school forums and local cable call-in 
                shows on the national issues to be voted upon 
                in an ``issue forum'';
                  [(B) speeches and debates before students and 
                parents by local candidates or stand-ins for 
                such candidates;
                  [(C) quiz team competitions, mock press 
                conferences and speechwriting competitions;
                  [(D) weekly meetings to follow the course of 
                the campaign; or
                  [(E) school and neighborhood campaigns to 
                increase voter turnout, including newsletters, 
                posters, telephone chains, and transportation.
    [(b) Requirement.--Each organization receiving a grant 
under this section shall present awards to outstanding student 
and parent mock election projects.

[SEC. 10107. [20 U.S.C. 8007] MODEL PROJECTS.

    [(a) Program Authorized.--The Secretary is authorized to 
award grants to cultural institutions to enable such 
institutions to develop and expand model projects of outreach 
activities for at-risk children in the communities served by 
such institutions, including activities which integrate such 
institution's cultural programming with other disciplines, 
including environmental, mathematics, and science programs.
    [(b) Priority.--In awarding grants under this section the 
Secretary shall give priority to activities that are part of an 
overall State, local, and private commitment, seek to improve 
learning for at-risk youth, and are substantially funded by 
State, local, or private funds.]

                  [PART E] PART A--UNIFORM PROVISIONS


SEC. [14501] 10101. [20 U.S.C. 8891] MAINTENANCE OF EFFORT.

    (a) In General.--A local educational agency may receive 
funds under a covered program for any fiscal year only if the 
State educational agency finds that either the combined fiscal 
effort per student or the aggregate expenditures of such agency 
and the State with respect to the provision of free public 
education by such agency for the preceding fiscal year was not 
less than 90 percent of such combined fiscal effort or 
aggregate expenditures for the second preceding fiscal year.
    (b) Reduction in Case of Failure to Meet.--
          (1) In general.--The State educational agency shall 
        reduce the amount of the allocation of funds under a 
        covered program in any fiscal year in the exact 
        proportion to which a local educational agency fails to 
        meet the requirement of subsection (a) by falling below 
        90 percent of both the combined fiscal effort per 
        student and aggregate expenditures (using the measure 
        most favorable to such local agency).
          (2) Special rule.--No such lesser amount shall be 
        used for computing the effort required under subsection 
        (a) for subsequent years.
    (c) Waiver.--The Secretary may waive the requirements of 
this section if the Secretary determines that such a waiver 
would be equitable due to--
          (1) exceptional or uncontrollable circumstances such 
        as a natural disaster; or
          (2) a precipitous decline in the financial resources 
        of the local educational agency.

SEC. [14502.] 10102. [20 U.S.C. 8892] PROHIBITION REGARDING STATE AID.

    A State shall not take into consideration payments under 
this Act (other than under title VIII) in determining the 
eligibility of any local educational agency in such State for 
State aid, or the amount of State aid, with respect to free 
public education of children.

SEC. [14503.] 10103. [20 U.S.C. 8893] PARTICIPATION BY PRIVATE SCHOOL 
                    CHILDREN AND TEACHERS.

    (a) Private School Participation.--
          (1) In general.--Except as otherwise provided in this 
        Act, to the extent consistent with the number of 
        eligible children in a State educational agency, local 
        educational agency, or educational service agency or 
        consortium of such agencies receiving financial 
        assistance under a program specified in subsection (b), 
        who are enrolled in private elementary and secondary 
        schools in such agency or consortium, such agency or 
        consortium shall, after timely and meaningful 
        consultation with appropriate private school officials, 
        provide such children and their teachers or other 
        educational personnel, on an equitable basis, special 
        educational services or other benefits under such 
        program.
          (2) Secular, neutral, and nonideological services or 
        benefits.--Educational services or other benefits, 
        including materials and equipment, provided under this 
        section, shall be secular, neutral, and nonideological.
          (3) Special rule.--Educational services and other 
        benefits provided under this section for such private 
        school children, teachers, and other educational 
        personnel shall be equitable in comparison to services 
        and other benefits for public school children, 
        teachers, and other educational personnel participating 
        in such program.
          (4) Expenditures.--Expenditures for educational 
        services and other benefits provided under this section 
        to eligible private school children, their teachers, 
        and other educational personnel serving such children 
        shall be equal, taking into account the number and 
        educational needs of the children to be served, to the 
        expenditures for participating public school children.
          (5) Provision of services.--Such agency or consortium 
        described in subsection (a)(1) may provide such 
        services directly or through contracts with public and 
        private agencies, organizations, and institutions.
    (b) Applicability--
          (1) In general.--This section applies to the program 
        under--
                  [(A) part C of title I (migrant education);
                  [(B) title II (other than section 2103 and 
                part D of such title);
                  [(C)title VII;
                  [(D) title III (other than part B of such 
                title) (Star Schools); and
                  [(E) part A of title IV (other than section 
                4114).]
                  (A) part C of title I;
                  (B) title II;
                  (C) part A of title IV;
                  (D) part A of title V; and
                  (E) title VII.
          (2) Definition.--For the purposes of this section, 
        the term ``eligible children'' means children eligible 
        for services under a program described in paragraph 
        (1).
    (c) Consultation.--
          (1) In general.--To ensure timely and meaningful 
        consultation, a State educational agency, local 
        educational agency, educational service agency or 
        consortium of such agencies shall consult with 
        appropriate private school officials during the design 
        and development of the programs under this Act, on 
        issues such as--
                  (A) how the children's needs will be 
                identified;
                  (B) what services will be offered;
                  (C) how and where the services will be 
                provided; and
                  (D) how the services will be assessed.
          (2) Timing.--Such consultation shall occur before the 
        agency or consortium makes any decision that affects 
        the opportunities of eligible private school children, 
        teachers, and other educational personnel to 
        participate in programs under this Act.
          (3) Discussion required.--Such consultation shall 
        include a discussion of service delivery mechanisms 
        that the agency or consortium could use to provide 
        equitable services to eligible private school children, 
        teachers, administrators, and other staff.
    (d) Public Control of Funds.--
          (1) In general.--The control of funds used to provide 
        services under this section, and title to materials, 
        equipment, and property purchased with such funds, 
        shall be in a public agency for the uses and purposes 
        provided in this Act, and a public agency shall 
        administer such funds and property.
          (2) Provision of services.--(A) The provision of 
        services under this section shall be provided--
                  (i) by employees of a public agency; or
                  (ii) through contract by such public agency 
                with an individual, association, agency, or 
                organization.
          (B) In the provision of such services, such employee, 
        person, association, agency, or organization shall be 
        independent of such private school and of any religious 
        organization, and such employment or contract shall be 
        under the control and supervision of such public 
        agency.
          (C) Funds used to provide services under this section 
        shall not be commingled with non-Federal funds.

SEC. [14504.] 10104. [20 U.S.C. 8894] STANDARDS FOR BY-PASS.

    If, by reason of any provision of law, a State educational 
agency, local educational agency, educational service agency or 
consortium of such agencies is prohibited from providing for 
the participation in programs of children enrolled in, or 
teachers or other educational personnel from, private 
elementary and secondary schools, on an equitable basis, of if 
the Secretary determines that such agency or consortium has 
substantially failed or is unwilling to provide for such 
participation, as required by section [14503], 10103, the 
Secretary shall--
          (1) waive the requirements of that section for such 
        agency or consortium; and
          (2) arrange for the provision of equitable services 
        to such children, teachers, or other educational 
        personnel through arrangements that shall be subject to 
        the requirement of this section and of sections [14503, 
        14505, and 14506] 10103, 10105, and 10106.

SEC. [14505.] 10105. [20 U.S.C. 8895] COMPLAINT PROCESS FOR 
                    PARTICIPATION OF PRIVATE SCHOOL CHILDREN.

    (a) Procedures for Complaints.--The Secretary shall develop 
and implement written procedures for receiving, investigating, 
and resolving complaints from parents, teachers, or other 
individuals and organizations concerning violations of section 
[14503] 10103 by a State educational agency, local educational 
agency, educational service agency, or consortium of such 
agencies. Such individual or organization shall submit such 
complaint to the State educational agency for a written 
resolution by the State educational agency within a reasonable 
period of time.
    (b) Appeals to the Secretary.--Such resolution may be 
appealed by an interested party to the Secretary not later than 
30 days after the State educational agency resolves the 
complaint or fails to resolve the complaint within a reasonable 
period of time. Such appeal shall be accompanied by a copy of 
the State educational agency's resolution, and a complete 
statement of the reasons supporting the appeal. The Secretary 
shall investigate and resolve each such appeal not later than 
120 days after receipt of the appeal.

SEC. [14506.] 10106. [20 U.S.C. 8896] BY-PASS DETERMINATION PROCESS.

    (a) Review.--
          (1) In general.--(A) The Secretary shall not take any 
        final action under section [14504] 10104 until the 
        State educational agency, local educational agency, 
        educational service agency, or consortium of such 
        agencies affected by such action has had an 
        opportunity, for not less than 45 days after receiving 
        written notice thereof, to submit written objections 
        and to appear before the Secretary to show cause why 
        that action should not be taken.
          (B) Pending final resolution of any investigation or 
        complaint that could result in a determination under 
        this section, the Secretary may withhold from the 
        allocation of the affected State or local educational 
        agency the amount estimated by the Secretary to be 
        necessary to pay the cost of those services.
          (2) Petition for review.--(A) If such failed agency 
        or consortium is dissatisfied with the Secretary's 
        final action after a proceeding under paragraph (1), 
        such agency or consortium may, within 60 days after 
        notice of such action, file with the United States 
        court of appeals for the circuit in which such State is 
        located a petition for review of that action.
          (B) A copy of the petition shall be forthwith 
        transmitted by the clerk of the court to the Secretary.
          (C) The Secretary upon receipt of the copy of the 
        petition shall file in the court the record of the 
        proceedings on which the Secretary based this action, 
        as provided in section 2112 of title 28, United States 
        Code.
          (3) Finding of fact.--(A) The findings of fact by the 
        Secretary, if supported by substantial evidence, shall 
        be conclusive, but the court, for good cause shown, may 
        remand the case to the Secretary to take further 
        evidence and the Secretary may then make new or 
        modified findings of fact and may modify the 
        Secretary's previous action, and shall file in the 
        court the record of the further proceedings.
          (B) Such new or modified findings of fact shall 
        likewise be conclusive if supported by substantial 
        evidence.
          (4) Jurisdiction.--(A) Upon the filing of such 
        petition, the court shall have jurisdiction to affirm 
        the action of the Secretary or to set such action 
        aside, in whole or in part.
          (B) The judgment of the court shall be subject to 
        review by the Supreme Court of the United States upon 
        certiorari or certification as provided in section 1254 
        of title 28, United States Code.
    (b) Determination.--Any determination by the Secretary 
under this section shall continue in effect until the Secretary 
determines, in consultation with such agency or consortium and 
representatives of the affected private school children, 
teachers, or other educational personnel that there will no 
longer be any failure or inability on the part of such agency 
or consortium to meet the applicable requirements of section 
[14503] 10103 or any other provision of this Act.
    (c) Payment From State Allotment.--When the Secretary 
arranges for services pursuant to this section, the Secretary 
shall, after consultation with the appropriate public and 
private school officials, pay the cost of such services, 
including the administrative costs of arranging for those 
services, from the appropriate allocation or allocations under 
this Act.
    (d) Prior Determination.--Any by-pass determination by the 
Secretary under this Act as in effect on the day preceding the 
date of enactment of the Improving America's Schools Act of 
1994 shall remain in effect to the extent the Secretary 
determines that such determination is consistent with the 
purpose of this section.

SEC. [14507.] 10107. [20 U.S.C. 8897] PROHIBITION AGAINST FUNDS FOR 
                    RELIGIOUS WORSHIP OR INSTRUCTION.

    Nothing contained in this Act shall be construed to 
authorize the making of any payment under this Act for 
religious worship or instruction.

SEC. [14508.] 10108. [20 U.S.C. 8898] APPLICABILITY TO HOME SCHOOLS.

    Nothing in this Act shall be construed to affect home 
schools.

SEC. [14509.] 10109. [20 U.S.C. 8899] GENERAL PROVISION REGARDING 
                    NONRECIPIENT NONPUBLIC SCHOOLS.

    Nothing in this Act shall be construed to permit, allow, 
encourage, or authorize any Federal control over any aspect of 
any private, religious, or home school, whether or not a home 
school is treated as a private school or home school under 
State law. This section shall not be construed to bar private, 
religious, or home schools from participation in programs or 
services under this Act.

SEC. [14510.] 10110. [20 U.S.C. 8900] SCHOOL PRAYER.

    Any State or local educational agency that is adjudged by a 
Federal court of competent jurisdiction to have willfully 
violated a Federal court order mandating that such local 
educational agency remedy a violation of the constitutional 
right of any student with respect to prayer in public schools, 
in addition to any other judicial remedies, shall be ineligible 
to receive Federal funds under this Act until such time as the 
local educational agency complies with such order. Funds that 
are withheld under this section shall not be reimbursed for the 
period during which the local educational agency was in willful 
noncompliance.

SEC. [14511.] 10116. [20 U.S.C. 8901] GENERAL PROHIBITIONS.

    (a) Prohibition.--None of the funds authorized under this 
Act shall be used--
          (1) to develop or distribute materials, or operate 
        programs or courses of instruction directed at youth 
        that are designed to promote or encourage, sexual 
        activity, whether homosexual or heterosexual;
          (2) to distribute or to aid in the distribution by 
        any organization of legally obscene materials to minors 
        on school grounds;
          (3) to provide sex education or HIV prevention 
        education in schools unless such instruction is age 
        appropriate and includes the health benefits of 
        abstinence; or
          (4) to operate a program of condom distribution in 
        schools.
    (b) Local Control.--Nothing in this section shall be 
construed to--
          (1) authorize an officer or employee of the Federal 
        Government to mandate, direct, review, or control a 
        State, local educational agency, or schools' 
        instructional content, curriculum, and related 
        activities;
          (2) limit the application of the General Education 
        Provisions Act;
          (3) require the distribution of scientifically or 
        medically false or inaccurate materials or to prohibit 
        the distribution of scientifically or medically true or 
        accurate materials; or
          (4) create any legally enforceable right.

SEC. [14512.] 10112. [20 U.S.C. 8902] PROHIBITION ON FEDERAL MANDATES, 
                    DIRECTION, AND CONTROL.

    Nothing in this Act shall be construed to authorize an 
officer or employee of the Federal Government to mandate, 
direct, or control a State, local educational agency, or 
school's curriculum, program of instruction, or allocation of 
State or local resources, or mandate a State or any subdivision 
thereof to spend any funds or incur any costs not paid for 
under this Act.

SEC. [14513.] 10113. [20 U.S.C. 8903] REPORT.

    The Secretary shall report to the Congress not later than 
180 days after the date of enactment of the Improving America's 
Schools Act of 1994 regarding how the Secretary shall ensure 
that audits conducted by Department employees of activities 
assisted under this Act comply with changes to this Act made by 
the Improving America's Schools Act of 1994, particularly with 
respect to permitting children with similar educational needs 
to be served in the same educational settings, where 
appropriate.

SEC. [14514.] 10114. [20 U.S.C. 8904] REQUIRED PARTICIPATION 
                    PROHIBITED.

    Notwithstanding any other provision of law, no State shall 
be required to participate in any program under the Goals 2000: 
Educate America Act, or to have content standards or student 
performance standards approved or certified under such Act, in 
order to receive assistance under this Act.

SEC. 10115. CONSTRUCTION.

    Nothing in this Act shall be construed to prohibit 
recruiters for the Armed Forces of the United States from 
receiving the same access to secondary school students, and to 
directory information concerning such students, as is provided 
to postsecondary educational institutions or to prospective 
employers of such students, because all students should have 
access to high quality continuing education or service 
opportunities.

SEC. 10116. APPLICABILITY TO BUREAU OF INDIAN AFFAIRS OPERATED SCHOOLS.

    For purposes of any competitive program under this Act--
          (1) a consortium of schools operated by the Bureau of 
        Indian Affairs;
          (2) a school operated under a contract or grant with 
        the Bureau of Indian Affairs in consortium with another 
        contract or grant school, or with a tribal or community 
        organization; or
          (3) a Bureau of Indian Affairs school in consortium 
        with an institution of higher education, with a 
        contract or grant school, or with a tribal or community 
        organization,
shall be given the same consideration as a local educational 
agency.

                 [PART B--GIFTED AND TALENTED CHILDREN


[SEC. 10201. [20 U.S.C. 8031] SHORT TITLE.

    [This part may be cited as the ``Jacob K. Javits Gifted and 
Talented Students Education Act of 1994''.

[SEC. 10202. [20 U.S.C. 8032] FINDINGS AND PURPOSES.

    [(a) Findings.--The Congress finds and declares that--
          [(1) all students can learn to high standards and 
        must develop their talents and realize their potential 
        if the United States is to prosper;
          [(2) gifted and talented students are a national 
        resource vital to the future of the Nation and its 
        security and well-being;
          [(3) too often schools fail to challenge students to 
        do their best work, and students who are not challenged 
        will not learn to challenging State content standards 
        and challenging State student performance standards, 
        fully develop their talents, and realize their 
        potential;
          [(4) unless the special abilities of gifted and 
        talented students are recognized and developed during 
        such students' elementary and secondary school years, 
        much of such students' special potential for 
        contributing to the national interest is likely to be 
        lost;
          [(5) gifted and talented students from economically 
        disadvantaged families and areas, and students of 
        limited-English proficiency are at greatest risk of 
        being unrecognized and of not being provided adequate 
        or appropriate educational services;
          [(6) State and local educational agencies and private 
        non-profit schools often lack the necessary specialized 
        resources to plan and implement effective programs for 
        the early identification of gifted and talented 
        students and for the provision of educational services 
        and programs appropriate to their special needs;
          [(7) the Federal Government can best carry out the 
        limited but essential role of stimulating research and 
        development and personnel training and providing a 
        national focal point of information and technical 
        assistance that is necessary to ensure that the 
        Nation's schools are able to meet the special 
        educational needs of gifted and talented students, and 
        thereby serve a profound national interest; and
          [(8) the experience and knowledge gained in 
        developing and implementing programs for gifted and 
        talented students can and should be used as a basis 
        to--
                  [(A) develop a rich and challenging 
                curriculum for all students; and
                  [(B) provide all students with important and 
                challenging subject matter to study and 
                encourage the habits of hard work.
    [(b) Statement of Purpose.--It is the purpose of this 
part--
          [(1) to provide financial assistance to State and 
        local educational agencies, institutions of higher 
        education, and other public and private agencies and 
        organizations, to initiate a coordinated program of 
        research, demonstration projects, personnel training, 
        and similar activities designed to build a nationwide 
        capability in elementary and secondary schools to meet 
        the special educational needs of gifted and talented 
        students;
          [(2) to encourage the development of rich and 
        challenging curricula for all students through the 
        appropriate application and adaptation of materials and 
        instructional methods developed under this part; and
          [(3) to supplement and make more effective the 
        expenditure of State and local funds, for the education 
        of gifted and talented students.

[SEC. 10203. [20 U.S.C. 8033] CONSTRUCTION.

    [Nothing in this part shall be construed to prohibit a 
recipient of funds under this part from serving gifted and 
talented students simultaneously with students with similar 
educational needs, in the same educational setting where 
appropriate.

[SEC. 10204. [20 U.S.C. 8034] AUTHORIZED PROGRAMS.

    [(a) Establishment of Program.--
          [(1) In general.--From the sums appropriated under 
        section 10207 in any fiscal year the Secretary (after 
        consultation with experts in the field of the education 
        of gifted and talented students) shall make grants to 
        or enter into contracts with State educational 
        agencies, local educational agencies, institutions of 
        higher education, or other public agencies and private 
        agencies and organizations (including Indian tribes and 
        Indian organizations (as such terms are defined by the 
        Indian Self-Determination and Education Assistance Act) 
        and Native Hawaiian organizations) to assist such 
        agencies, institutions, and organizations which submit 
        applications in carrying out programs or projects 
        authorized by this part that are designed to meet the 
        educational needs of gifted and talented students, 
        including the training of personnel in the education of 
        gifted and talents students and in the use, where 
        appropriate, of gifted and talented services, 
        materials, and methods for all students.
          [(2) Application.--Each entity desiring assistance 
        under this part shall submit an application to the 
        Secretary at such time, in such manner, and containing 
        such information as the Secretary may reasonably 
        require. Each such application shall describe how--
                  [(A) the proposed gifted and talented 
                services, materials, and methods can be 
                adapted, if appropriate, for use by all 
                students; and
                  [(B) the proposed programs can be evaluated.
    [(b) Uses of Funds.--Programs and projects assisted under 
this section may include--
          [(1) professional development (including fellowships) 
        for personnel (including leadership personnel) involved 
        in the education of gifted and talented students;
          [(2) establishment and operations of model projects, 
        and exemplary programs for serving gifted and talented 
        students, including innovative methods for identifying 
        and educating students who may not be served by 
        traditional gifted and talented programs, summer 
        programs, mentoring programs, service learning 
        programs, and cooperative programs involving business, 
        industry, and education;
          [(3) training of personnel and parents involved in 
        gifted and talented programs with respect to the impact 
        of gender role socialization on the educational needs 
        of gifted and talented children and in gender equitable 
        education methods, techniques and practices;
          [(4) implementing innovative strategies, such as 
        cooperative learning, peer tutoring and service 
        learning;
          [(5) strengthening the capability of State 
        educational agencies and institutions of higher 
        education to provide leadership and assistance to local 
        educational agencies and nonprofit private schools in 
        the planning, operation, and improvement of programs 
        for the identification and education of gifted and 
        talented students and the appropriate use of gifted and 
        talented programs and methods to serve all students;
          [(6) programs of technical assistance and information 
        dissemination, including how gifted and talented 
        programs and methods, where appropriate, may be adapted 
        for use by all students; and
          [(7) carrying out--
                  [(A) research on methods and techniques for 
                identifying and teaching gifted and talented 
                students, and for using gifted and talented 
                programs and methods to serve all students; and
                  [(B) program evaluations, surveys, and the 
                collection, analysis, and development of 
                information needed to accomplish the purposes 
                of this part.
    [(c) Establishment of National Center.--
          [(1) In general.--The Secretary (after consultation 
        with experts in the field of the education of gifted 
        and talented students) shall establish a National 
        Center for Research and Development in the Education of 
        Gifted and Talented Children and Youth through grants 
        to or contracts with one or more institutions of higher 
        education or State educational agency, or a combination 
        or consortium of such institutions and agencies, for 
        the purpose of carrying out activities described in 
        paragraph (7) of subsection (b).
          [(2) Director.--Such National Center shall have a 
        Director. The Secretary may authorize the Director to 
        carry out such functions of the National Center as may 
        be agreed upon through arrangements with other 
        institutions of higher education, State or local 
        educational agencies, or other public or private 
        agencies and organizations.
    [(d) Limitation.--Not more than 30 percent of the funds 
available in any fiscal year to carry out the programs and 
projects authorized by this section may be used to conduct 
activities pursuant to subsection (b)(7) or (c).
    [(e) Coordination.--Research activities supported under 
this section--
          [(1) shall be carried out in consultation with the 
        Office of Educational Research and Improvement to 
        ensure that such activities are coordinated with and 
        enhance the research and development activities 
        supported by such Office; and
          [(2) may include collaborative research activities 
        which are jointly funded and carried out with such 
        Office.

[SEC. 10205. [20 U.S.C. 8035] PROGRAM PRIORITIES.

    [(a) General Priority.--In the administration of this part 
the Secretary shall give highest priority--
          [(1) to the identification of and the provision of 
        services to gifted and talented students who may not be 
        identified and served through traditional assessment 
        methods (including economically disadvantaged 
        individuals, individuals of limited-English 
        proficiency, and individuals with disabilities); and
          [(2) to programs and projects designed to develop or 
        improve the capability of schools in an entire State or 
        region of the Nation through cooperative efforts and 
        participation of State and local educational agencies, 
        institutions of higher education, and other public and 
        private agencies and organizations (including business, 
        industry, and labor), to plan, conduct, and improve 
        programs for the identification of and service to 
        gifted and talented students, such as mentoring and 
        apprenticeship programs.
    [(b) Service Priority.--In approving applications for 
assistance under section 10204(a)(2), the Secretary shall 
assure that in each fiscal year at least one-half of the 
applications approved under such section address the priority 
described in subsection (a)(1).

[SEC. 10206. [20 U.S.C. 8036] GENERAL PROVISIONS.

    [(a) Participation of Private School Children and 
Teachers.--In making grants and entering into contracts under 
this part, the Secretary shall ensure, where appropriate, that 
provision is made for the equitable participation of students 
and teachers in private nonprofit elementary and secondary 
schools, including the participation of teachers and other 
personnel in professional development programs serving such 
children.
    [(b) Review, Dissemination, and Evaluation.--The Secretary 
shall--
          [(1) use a peer review process in reviewing 
        applications under this part;
          [(2) ensure that information on the activities and 
        results of programs and projects funded under this part 
        is disseminated to appropriate State and local agencies 
        and other appropriate organizations, including 
        nonprofit private organizations; and
          [(3) evaluate the effectiveness of programs under 
        this part in accordance with section 14701, both in 
        terms of the impact on students traditionally served in 
        separate gifted and talented programs and on other 
        students, and submit the results of such evaluation to 
        Congress not later than January 1, 1998.
    [(c) Program Operations.--The Secretary shall ensure that 
the programs under this part are administered within the 
Department by a person who has recognized professional 
qualifications and experience in the field of the education of 
gifted and talented students and who shall--
          [(1) administer the programs authorized by this part;
          [(2) coordinate all programs for gifted and talented 
        students administered by the Department.
          [(3) serve as a focal point of national leadership 
        and information on the educational needs of gifted and 
        talented students and the availability of educational 
        services and programs designed to meet such needs; and
          [(4) assist the Assistant Secretary of the Office of 
        Educational which reflect the needs of gifted and 
        talented students.

[SEC. 10207. [20 U.S.C. 8037] AUTHORIZATION OF APPROPRIATIONS.

    [There are authorized to be appropriated $10,000,000 for 
fiscal year 1995 and such sums as may be necessary for each of 
the four succeeding fiscal years to carry out the provisions of 
this part.

                    [PART C--PUBLIC CHARTER SCHOOLS


[SEC. 10301. [20 U.S.C. 8061] FINDINGS AND PURPOSE.

    [(a) Findings.--The Congress finds that--
          [(1) enhancement of parent and student choices among 
        public schools can assist in promoting comprehensive 
        educational reform and give more students the 
        opportunity to learn to challenging State content 
        standards and challenging State student performance 
        standards, if sufficiently diverse and high-quality 
        choices, and genuine opportunities to take advantage of 
        such choices, are available to all students;
          [(2) useful examples of such choices can come from 
        States and communities that experiment with methods of 
        offering teachers and other educators, parents, and 
        other members of the public the opportunity to design 
        and implement new public schools and to transform 
        existing public schools;
          [(3) charter schools are a mechanism for testing a 
        variety of educational approaches and should, 
        therefore, be exempted from restrictive rules and 
        regulations if the leadership of such schools commits 
        to attaining specific and ambitious educational results 
        for educationally disadvantaged students consistent 
        with challenging State content standards and 
        challenging State student performance standards for all 
        students;
          [(4) charter schools, as such schools have been 
        implemented in a few States, can embody the necessary 
        mixture of enhanced choice, exemption from restrictive 
        regulations, and a focus on learning gains;
          [(5) charter schools, including charter schools that 
        are schools-within-schools, can help reduce school 
        size, which reduction can have a significant effect on 
        student achievement;
          [(6) the Federal Government should test, evaluate, 
        and disseminate information on a variety of charter 
        school models in order to help demonstrate the benefits 
        of this promising educational reform; and
          [(7) there is a strong documented need for cash-flow 
        assistance to charter schools that are starting up, 
        because State and local operating revenue streams are 
        not immediately available.
    [(b) Purpose.--It is the purpose of this part to increase 
national understanding of the charter schools model by--
          [(1) providing financial assistance for the planning, 
        program design and initial implementation of charter 
        schools;
          [(2) evaluating the effects of such schools including 
        the effects on students, student achievement, staff, 
        and parents; and
          [(3) expanding the number of high-quality charter 
        schools available to students across the Nation.

[SEC. 10302. [20 U.S.C. 8062] PROGRAM AUTHORIZED.

    [(a) In General.--The Secretary may award grants to State 
educational agencies having applications approved pursuant to 
section 10303 to enable such agencies to conduct a charter 
school grant program in accordance with this part.
    [(b) Special Rule.--If a State educational agency elects 
not to participate in the program authorized by this part or 
does not have an application approved under section 10303, the 
Secretary may award a grant to an eligible applicant that 
serves such State and has an application approved pursuant to 
section 10303(c).
    [(c) Program Periods.--
          [(1) Grants to states.--Grants awarded to State 
        educational agencies under this part shall be awarded 
        for a period of not more than 3 years.
          [(2) Grants to eligible applicants.--Grants awarded 
        by the Secretary to eligible applicants or subgrants 
        awarded by State educational agencies to eligible 
        applicants under this part shall be awarded for a 
        period of not more than 3 years, of which the eligible 
        applicant may use--
                  [(A) not more than 18 months for planning and 
                program design;
                  [(B) not more than 2 years for the initial 
                implementation of a charter school; and
                  [(C) not more than 2 years to carry out 
                dissemination activities described in section 
                10304(f)(6)(B).
    [(d) Limitation.--A charter school may not receive--
          [(1) more than one grant for activities described in 
        subparagraphs (A) and (B) of subsection (c)(2); or
          [(2) more than one grant for activities under 
        subparagraph (C) of subsection (c)(2).
    [(e) Priority Treatment.--
          [(1) In general.--
                  [(A) Fiscal years 1999, 2000, and 2001.--In 
                awarding grants under this part for any of the 
                fiscal years 1999, 2000, and 2001 from funds 
                appropriated under section 10311 that are in 
                excess of $51,000,000 for the fiscal year, the 
                Secretary shall give priority to States to the 
                extent that the States meet the criteria 
                described in paragraph (A), (B), or (C) of 
                paragraph (3).
                  [(B) Succeeding fiscal years.--In awarding 
                grants under this part for fiscal year 2002 or 
                any succeeding fiscal year from any funds 
                appropriated under section 10311, the Secretary 
                shall give priority to States to the extent 
                that the States meet the criteria described in 
                paragraph (2) and one or more of the criteria 
                described in subparagraph (A), (B), or (C) of 
                paragraph (3).
          [(2) Review and evaluation priority criteria.--The 
        criteria referred to in paragraph (1) is that the State 
        provides for periodic review and evaluation by the 
        authorized public chartering agency of each charter 
        school, at least once every 5 years unless required 
        more frequently by State law, to determine whether the 
        charter school is meeting the terms of the schools' 
        charter, and is meeting or exceeding the academic 
        performance requirements and goals for charter schools 
        as set forth under State law or the schools' charter.
          [(3) Priority criteria.--The criteria referred to in 
        paragraph (1) are the following:
                  [(A) The State has demonstrated progress, in 
                increasing the number of high quality charter 
                schools that are held accountable in the terms 
                of the school's charters for meeting clear and 
                measurable objectives for the educational 
                progress of the students attending the schools, 
                in the period prior to the period for which a 
                State educational agency or eligible applicant 
                applies for a grant under this part.
                  [(B) The State--
                          [(i) provides for one authorized 
                        public chartering agency that is not a 
                        local educational agency, such as a 
                        State chartering board, for each 
                        individual or entity seeking to operate 
                        a charter school pursuant to such State 
                        law; or
                          [(ii) in the case of a State in which 
                        local educational agencies are the only 
                        authorized public chartering agencies, 
                        allow for an appeals process for the 
                        denial of an application for a charter 
                        school.
                  [(C) The State ensures that each charter 
                school has a high degree of autonomy over the 
                charter school's budgets and expenditures.
    [(f) Amount Criteria.--In determining the amount of a grant 
to be awarded under this part to a State educational agency, 
the Secretary shall take into consideration the number of 
charter schools that are operating, or are approved to open, in 
the State.

[SEC. 10303. [20 U.S.C. 8063] APPLICATIONS.

    [(a) Applications From State Agencies.--Each State 
educational agency desiring a grant from the Secretary under 
this part 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.
    [(b) Contents of a State Educational Agency Application.--
Each application submitted pursuant to subsection (a) shall--
          [(1) describe the objectives of the State educational 
        agency's charter school grant program and a description 
        of how such objectives will be fulfilled, including 
        steps taken by the Stateeducational agency to inform 
teachers, parents, and communities of the State educational agency's 
charter school grant program; and
          [(2) describe how the State educational agency--
                  [(A) will inform each charter school in the 
                State regarding--
                          [(i) Federal funds that the charter 
                        school is eligible to receive; and
                          [(ii) Federal programs in which the 
                        charter school may participate;
                  [(B) will ensure that each charter school in 
                the State receives the charter school's 
                commensurate share of Federal education funds 
                that are allocated by formula each year, 
                including during the first year of operation of 
                the charter school; and
                  [(C) will disseminate best or promising 
                practices of charter schools to each local 
                educational agency in the State; and
          [(3) contain assurances that the State educational 
        agency will require each eligible applicant desiring to 
        receive a subgrant to submit an application to the 
        State educational agency containing--
                  [(A) a description of the educational program 
                to be implemented by the proposed charter 
                school, including--
                          [(i) how the program will enable all 
                        students to meet challenging State 
                        student performance standards;
                          [(ii) the grade levels or ages of 
                        children to be served; and
                          [(iii) the curriculum and 
                        instructional practices to be used;
                  [(B) a description of how the charter school 
                will be managed;
                  [(C) a description of--
                          [(i) the objectives of the charter 
                        school; and
                          [(ii) the methods by which the 
                        charter school will determine its 
                        progress toward achieving those 
                        objectives;
                  [(D) a description of the administrative 
                relationship between the charter school and the 
                authorized public chartering agency;
                  [(E) a description of how parents and other 
                members of the community will be involved in 
                the planning, program design and implementation 
                of the charter school;
                  [(F) a description of how the authorized 
                public chartering agency will provide for 
                continued operation of the school once the 
                Federal grant has expired, if such agency 
                determines that the school has met the 
                objectives described in subparagraph (C)(i);
                  [(G) a request and justification for waivers 
                of any Federal statutory or regulatory 
                provisions that the applicant believes are 
                necessary for the successful operation of the 
                charter school, and a description of any State 
                or local rules, generally applicable to public 
                schools, that will be waived for, or otherwise 
                not apply to, the school;
                  [(H) a description of how the subgrant funds 
                or grant funds, as appropriate, will be used, 
                including a description of how such funds will 
                be used in conjunction with other Federal 
                programs administered by the Secretary;
                  [(I) a description of how students in the 
                community will be--
                          [(i) informed about the charter 
                        school; and
                          [(ii) given an equal opportunity to 
                        attend the charter school;
                  [(J) an assurance that the eligible applicant 
                will annually provide the Secretary and the 
                State educational agency such information as 
                may be required to determine if the charter 
                school is making satisfactory progress toward 
                achieving the objectives described in 
                subparagraph (C)(i);
                  [(K) an assurance that the applicant will 
                cooperate with the Secretary and the State 
                educational agency in evaluating the program 
                assisted under this part;
                  [(L) a description of how a charter school 
                that is considered a local educational agency 
                under State law, or a local educational agency 
                in which a charter school is located, will 
                comply with sections 613(a)(5) and 613(e)(1)(B) 
                of the Individuals with Disabilities Education 
                Act;
                  [(M) if the eligible applicant desires to use 
                subgrant funds for dissemination activities 
                under section 10302(c)(2)(C), a description of 
                those activities and how those activities will 
                involve charter schools and other public 
                schools, local educational agencies, 
                developers, and potential developers; and
                  [(N) such other information and assurances as 
                the Secretary and the State educational agency 
                may require.
    [(c) Contents of Eligible Applicant Application.--Each 
eligible applicant desiring a grant pursuant to section 
10302(b) shall submit an application to the State educational 
agency or Secretary, respectively, at such time, in such 
manner, and accompanied by such information as the State 
educational agency or Secretary, respectively, may reasonably 
require.
    [(d) Contents of Application.--Each application submitted 
pursuant to subsection (c) shall contain--
          [(1) the information and assurances described in 
        subparagraphs (A) through (N) of subsection (b)(3), 
        except that for purposes of this subsection 
        subparagraphs (J), (K), and (N) of such subsection 
        shall be applied by striking ``and the State 
        educational agency'' each place such term appears; and
          [(2) assurances that the State educaiton agency--
                  [(A) will grant, or will obtain waivers of 
                State statutory or regulatory requirements; and
                  [(B) will assist each subgrantee in the State 
                in receiving a waiver under section 10304(e).

[SEC. 10304. [20 U.S.C. 8064] ADMINISTRATION.

    [(a) Selection Criteria for State Educational Agencies.--
The Secretary shall award grants to State educational agencies 
under this part on the basis of the quality of the applications 
submitted under section 10303(b), after taking into 
consideration such factors as--
          [(1) the contribution that the charter schools grant 
        program will make to assisting educationally 
        disadvantaged and other students to achieving State 
        content standards and State student performance 
        standards and, in general, a State's education 
        improvement plan;
          [(2) the degree of flexibility afforded by the State 
        educational agency to charter schools under the State's 
        charter schools law;
          [(3) the ambitiousness of the objectives for the 
        State charter school grant program;
          [(4) the quality of the strategy for assessing 
        achievement of those objectives;
          [(5) the likelihood that the charter school grant 
        program will meet those objectives and improve 
        educational results for students;
          [(6) the number of high quality charter schools 
        created under this part in the State; and
          [(7) in the case of State educational agencies that 
        propose to use grant funds to support dissemination 
        activities under section 10302(c)(2)(C), the quality of 
        those activities and the likelihood that those 
        activities will improve student achievement.
    [(b) Selection Criteria for Eligible Applicants.--The 
Secretary shall award grants to eligible applicants under this 
part on the basis of the quality of the applications submitted 
under section 10303(c), after taking into consideration such 
factors as--
          [(1) the quality of the proposed curriculum and 
        instructional practices;
          [(2) the degree of flexibility afforded by the State 
        educational agency and, if applicable, the local 
        educational agency to the charter school;
          [(3) the extent of community support for the 
        application;
          [(4) the ambitiousness of the objectives for the 
        charter school;
          [(5) the quality of the strategy for assessing 
        achievement of those objectives;
          [(6) the likelihood that the charter school will meet 
        those objectives and improve educational results for 
        students; and
          [(7) in the case of an eligible applicant that 
        proposes to use grant funds to support dissemination 
        activities under section 10302(c)(2)(C), the quality of 
        those activities and the likelihood that those 
        activities will improve student achievement.
    [(c) Peer Review.--The Secretary, and each State 
educational agency receiving a grant under this part, shall use 
a peer review process to review applications for assistance 
under this part.
    [(d) Diversity of Projects.--The Secretary and each State 
educational agency receiving a grant under this part, shall 
award subgrants under this part in a manner that, to the extent 
possible, ensures that such grants and subgrants--
          [(1) are distributed throughout different areas of 
        the Nation and each State, including urban and rural 
        areas; and
          [(2) will assist charter schools representing a 
        variety of educational approaches, such as approaches 
        designed to reduce school size.
    [(e) Waivers.--The Secretary may waive any statutory or 
regulatory requirement over which the Secretary exercises 
administration authority except any such requirement relating 
to the elements of a charter school described in section 
10310(1), if--
          [(1) the waiver is requested in an approved 
        application under this part; and
          [(2) the Secretary determines that granting such a 
        waiver will promote the purpose of this part.
    [(f) Use of Funds.--
          [(1) State educational agencies.--Each State 
        educational agency receiving a grant under this part 
        shall use such grant funds to award subgrants to one or 
        more eligible applicants in the State to enable such 
        applicant to plan and implement a charter school in 
        accordance with this part, except that the State 
        educational agency may reserve not more than 10 percent 
        of the grant funds to support dissemination activities 
        described in paragraph (6).
          [(2) Eligible applicants.--Each eligible applicant 
        receiving funds from the Secretary or a State 
        educational agency shall use such funds to plan and 
        implement a charter school, or to disseminate 
        information about the charter school and successful 
        practices in the charter school, in accordance with 
        this part.
          [(3) Allowable activities.--An eligible applicant 
        receiving a grant or subgrant under this part may use 
        the grant or subgrant funds only for--
                  [(A) post-award planning and design of the 
                educational program, which may include--
                          [(i) refinement of the desired 
                        educational results and of the methods 
                        for measuring progress toward achieving 
                        those results; and
                          [(ii) professional development of 
                        teachers and other staff who will work 
                        in the charter school; and
                  [(B) initial implementation of the charter 
                school, which may include--
                          [(i) informing the community about 
                        the school;
                          [(ii) acquiring necessary equipment 
                        and educational materials and supplies;
                          [(iv) other initial operational costs 
                        that cannot be met from State or local 
                        sources.
          [(4) Administrative expenses.--Each State educational 
        agency receiving a grant pursuant to this part may 
        reserve not more than 5 percent of such grant funds for 
        administrative expenses associated with the charter 
        school grant program assisted under this part.
          [(5) Revolving loan funds.--Each State educational 
        agency receiving a grant pursuant to this part may 
        reserve not more than 10 percent of the grant amount 
        for the establishment of a revolving loan fund. Such 
        fund may be used to make loans to eligible applicants 
        that have received a subgrant under this part, under 
        such terms as may be determined by the State 
        educational agency, for the initial operation of the 
        charter school grant program of such recipient until 
        such time as the recipient begins receiving ongoing 
        operational support from State or local financing 
        sources.
          [(6) Dissemination.--
                  [(A) In general.--A charter school may apply 
                for funds under this part, whether or not the 
                charter school has applied for or received 
                funds under this part for planning, program 
                design, or implementation, to carry out the 
                activities described in subparagraph (B) if the 
                charter school has been in operation for at 
                least 3 consecutive years and has demonstrated 
                overall success, including--
                          [(i) substantial progress in 
                        improving student achievement;
                          [(ii) high levels of parent 
                        satisfaction; and
                          [(iii) the management and leadership 
                        necessary to overcome initial start-up 
                        problems and establish a thriving, 
                        financially viable charter school.
                  [(B) Activities.--A charter school described 
                in subparagraph (A) may use funds reserved 
                under paragraph (1) to assist other schools in 
                adapting the charter school's program (or 
                certain aspects of the charter school's 
                program), or to disseminate information about 
                the charter school, through such activities 
                as--
                          [(i) assisting other individuals with 
                        the planning and start-up of one or 
                        more new public schools, including 
                        charter schools, that are independent 
                        of the assisting charter school and the 
                        assisting charter school's developers, 
                        and that agree to be held to at least 
                        as high a level of accountability as 
                        the assisting charter school;
                          [(ii) developing partnerships with 
                        other public schools, including charter 
                        schools, designed to improve student 
                        performance in each of the schools 
                        participating in the partnership;
                          [(iii) developing curriculum 
                        materials, assessments, and other 
                        materials that promote increased 
                        student achievement and are based on 
                        successful practices within the 
                        assisting charter school; and
                          [(iv) conducting evaluations and 
                        developing materials that document the 
                        successful practices of the assisting 
                        charter school and that are designed to 
                        improve student performance in other 
                        schools.
    [(g) Tribally Controlled Schools.--Each State that receives 
a grant under this part and designates a tribally controlled 
school as a charter school shall not consider payments to a 
school under the Tribally Controlled Schools Act of 1988 (25 
U.S.C. 2507) in determining--
          [(1) the eligibility of the school to receive any 
        other Federal, State, or local aid; or
          [(2) the amount of such aid.

[SEC. 10305. [20 U.S.C. 8065] NATIONAL ACTIVITIES.

    [(a) In General.--The Secretary shall reserve for each 
fiscal year the greater of 5 percent or $5,000,000 of the 
amount appropriated to carry out this part, except that in no 
fiscal year shall the total amount so reserved exceed 
$8,000,000, to carry out the following activities:
          [(1) To provide charter schools, either directly or 
        through State educational agencies, with--
                  [(A) information regarding--
                          [(i) Federal funds that charter 
                        schools are eligible to receive; and
                          [(ii) other Federal programs in which 
                        charter schools may participate; and
                  [(B) assistance in applying for Federal 
                education funds that are allocated by formula, 
                including assistance with filing deadlines and 
                submission of applications.
          [(2) To provide for the completion of the 4-year 
        national study (which began in 1995) of charter 
        schools.
          [(3) To provide for other evaluations or studies that 
        include the evaluation of the impact of charter schools 
        on student achievement, including information 
        regarding--
                  [(A) students attending charter schools 
                reported on the basis of race, age, disability, 
                gender, limited English proficiency, and 
                previous enrollment in public school; and
                  [(B) the professional qualifications of 
                teachers within a charter school and the 
                turnover of the teaching force.
          [(4) To provide--
                  [(A) information to applicants for assistance 
                under this part;
                  [(B) assistance to applicants for assistance 
                under this part with the preparation of 
                applications under section 10303;
                  [(C) assistance in the planning and startup 
                of charter schools;
                  [(D) training and technical assistance to 
                existing charter schools; and
                  [(E) for the dissemination to other public 
                schools of best or promising practices in 
                charter schools.
          [(5) To provide (including through the use of one or 
        more contracts that use a competitive bidding process) 
        for the collection of information regarding the 
        financial resources available to charter schools, 
        including access to private capital, and to widely 
        disseminate to charter schools any such relevant 
        information and model descriptions of successful 
        programs.
    [(b) Construction.--Nothing in this section shall be 
construed to require charter schools to collect any data 
described in subsection (a).

[SEC. 10306. [20 U.S.C. 8065A] FEDERAL FORMULA ALLOCATION DURING FIRST 
                    YEAR AND FOR SUCCESSIVE ENROLLMENT EXPANSIONS.

    [(a) In General.--For purposes of the allocation to schools 
by the States or their agencies of funds under part A of title 
I, and any other Federal funds which the Secretary allocates to 
States on a formula basis, the Secretary and each State 
educational agency shall take such measures not later than 6 
months after the date of the enactment of the Charter School 
Expansion Act of 1998 as are necessary to ensure that every 
charter school receives the Federal funding for which the 
charter school is eligible not later than 5 months after the 
charter school first opens, notwithstanding the fact that the 
identity and characteristics of the students enrolling in that 
charter school are not fully and completely determined until 
that charter school actually opens. The measures similarly 
shall ensure that every charter school expanding its enrollment 
in any subsequent year of operation receives the Federal 
funding for which the charter school is eligible not later than 
5 months after such expansion.
    [(b) Adjustment and Late Openings.--
          [(1) In general.--The measures described in 
        subsection (a) shall include provision for appropriate 
        adjustments, through recovery of funds or reduction of 
        payments for the succeeding year, in cases where 
        payments made to a charter school on the basis of 
        estimated or projected enrollment data exceed the 
        amounts that the school is eligible to receive on the 
        basis of actual or final enrollment data.
          [(2) Rule.--For charter schools that first open after 
        November 1 of any academic year, the State, in 
        accordance with guidance provided by the Secretary and 
        applicable Federal statutes and regulations, shall 
        ensure that such charter schools that are eligible for 
        the funds described in subsection (a) for such academic 
        year have a full and fair opportunity to receive those 
        funds during the charter schools' first year of 
        operation.

[SEC. 10307. [20 U.S.C. 8065B] SOLICITATION OF INPUT FROM CHARTER 
                    SCHOOL OPERATORS.

    [To the extent practicable, the Secretary shall ensure that 
administrators, teachers, and other individuals directly 
involved in the operation of charter schools are consulted in 
the development of any rules or regulations required to 
implement this part, as well as in the development of any rules 
or regulations relevant to charter schools that are required to 
implement part A of title I, the Individuals with Disabilities 
Education Act (20 U.S.C. 1400 et seq.), or any other program 
administered by the Secretary that provides education funds to 
charter schools or regulates the activities of charter schools.

[SEC. 10308. [20 U.S.C. 8065C] RECORDS TRANSFER.

    [State educational agencies and local educational agencies, 
to the extent practicable, shall ensure that a student's 
records and, if applicable, a student's individualized 
education program as defined in section 602(11) of the 
Individuals with Disabilities Education Act (20 U.S.C. 
1401(11)), are transferred to a charter school upon the 
transfer of the student to the charter school, and to another 
public school upon the transfer of the student from a charter 
school to another public school, in accordance with applicable 
State law.

[SEC. 10309. [20 U.S.C. 8065D] PAPERWORK REDUCTION.

    [To the extent practicable, the Secretary and each 
authorized public chartering agency shall ensure that 
implementation of this part results in a minimum of paperwork 
for any eligible applicant or charter school.

[SEC. 10310. [20 U.S.C. 8066] DEFINITIONS.

    [As used in this part:
          [(1) The term ``charter school'' means a public 
        school that--
                  [(A) in accordance with a specific State 
                statute authorizing the granting of charters to 
                schools \1\, is exempted from significant State 
                or local rules that inhibit the flexible 
                operation and management of public schools, but 
                not from any rules relating to the other 
                requirements of this paragraph;
                  [(B) is created by a developer as a public 
                school, or is adapted by a developer from an 
                existing public school, and is operated under 
                public supervision and direction;
                  [(C) operates in pursuit of a specific set of 
                educational objectives determined by the 
                school's developer and agreed to by the 
                authorized public chartering agency;
                  [(D) provides a program of elementary or 
                secondary education, or both;
                  [(E) is nonsectarian in its programs, 
                admissions policies, employment practices, and 
                all other operations, and is not affiliated 
                with a sectarian school or religious 
                institution;
                  [(F) does not charge tuition;
                  [(G) complies with the Age Discrimination Act 
                of 1975, title VI of the Civil Rights Act of 
                1964, title IX of the Education Amendments of 
                1972, section 504 of the Rehabilitation Act of 
                1973, and part B of the Individuals with 
                Disabilities Education Act;
                  [(H) is a school to which parents choose to 
                send their children, and that admits students 
                on the basis of a lottery, if more students 
                apply for admission than can be accommodated;
                  [(I) agrees to comply with the same Federal 
                and State audit requirements as do other 
                elementary and secondary schools in the State, 
                unless such requirements are specifically 
                waived for the purpose of this program;
                  [(J) meets all applicable Federal, State, and 
                local health and safety requirements;
                  [(K) operates in accordance with State law; 
                and
                  [(L) has a written performance contract with 
                the authorized public chartering agency in the 
                State that includes a description of how 
                student performance will be measured in charter 
                schools pursuant to State assessments that are 
                required of other schools and pursuant toany 
other assessments mutually agreeable to the authorized public 
chartering agency and the charter school.
          [(2) The term ``developer'' means an individual or 
        group of individuals (including a public or private 
        nonprofit organization), which may include teachers, 
        administrators and other school staff, parents, or 
        other members of the local community in which a charter 
        school project will be carried out.
          [(3) The term ``eligible applicant'' means an 
        authorized public chartering agency participating in a 
        partnership with a developer to establish a charter 
        school in accordance with this part.
          [(4) The term ``authorized public chartering agency'' 
        means a State educational agency, local educational 
        agency, or other public entity that has the authority 
        pursuant to State law and approved by the Secretary to 
        authorize or approve a charter school.

[SEC. 10311. [20 U.S.C. 8067] AUTHORIZATION OF APPROPRIATIONS.

    [For the purpose of carrying out this part, there are 
authorized to be appropriated $100,000,000 for fiscal year 1999 
and such sums as may be necessary for each of the four 
succeeding fiscal years.

                       [PART D--ARTS IN EDUCATION


                       [Subpart 1--Arts Education


[SEC. 10401. [20 U.S.C. 8091] SUPPORT FOR ARTS EDUCATION.

    [(a) Findings.--The Congress finds that--
          [(1) the arts are forms of understanding and ways of 
        knowing that are fundamentally important to education;
          [(2) the arts are important to excellent education 
        and to effective school reform;
          [(3) the most significant contribution of the arts to 
        education reform is the transformation of teaching and 
        learning;
          [(4) such transformation is best realized in the 
        context of comprehensive, systemic education reform;
          [(5) demonstrated competency in the arts for American 
        students is among the National Education Goals;
          [(6) participation in performing arts activities has 
        proven to be an effective strategy for promoting the 
        inclusion of persons with disabilities in mainstream 
        settings;
          [(7) opportunities in the arts have enabled persons 
        of all ages with disabilities to participate more fully 
        in school and community activities;
          [(8) the arts can motivate at-risk students to stay 
        in school and become active participants in the 
        educational process; and
          [(9) arts education should be an integral part of the 
        elementary and secondary school curriculum.
    [(b) Purposes.--The purposes of this subject are to--
          [(1) support systemic education reform by 
        strengthening arts education as an integral part of the 
        elementary and secondary school curriculum;
          [(2) help ensure that all students have the 
        opportunity to learn to challenging State content 
        standards and challenging State student performance 
        standards in the arts; and
          [(3) support the national effort to enable all 
        students to demonstrate competence in the arts in 
        accordance with the National Education Goals.
    [(c) Eligible Recipients.--In order to carry out the 
purposes of this subpart, the Secretary is authorized to award 
grants to, or enter into contracts or cooperative agreements 
with--
          [(1) State educational agencies;
          [(2) local educational agencies;
          [(3) institutions of higher education;
          [(4) museums and other cultural institutions; and
          [(5) other public and private agencies, institutions, 
        and organizations.
    [(d) Authorized Activities.--Funds under this subpart may 
be used for--
          [(1) research on arts education;
          [(2) the development of, and dissemination of 
        information about, model arts education programs;
          [(3) the development of model arts education 
        assessments based on high standards;
          [(4) the development and implementation of curriculum 
        frameworks for arts education;
          [(5) the development of model preservice and 
        inservice professional development programs for arts 
        educators and other instructional staff;
          [(6) supporting collaborative activities with other 
        Federal agencies or institutions involved in arts 
        education, such as the National Endowment for the Arts, 
        the Institute of Museum and Library Services, the John 
        F. Kennedy Center for the Performing Arts, Very Special 
        Arts, and the National Gallery of Art;
          [(7) supporting model projects and programs in the 
        performing arts for children and youth through 
        arrangements made with the John F. Kennedy Center for 
        the Performing Arts;
          [(8) supporting model projects and programs by Very 
        Special Arts which assure the participation in 
        mainstream settings in arts and education programs of 
        individuals with disabilities;
          [(9) supporting model projects and programs to 
        integrate arts education into the regular elementary 
        and secondary school curriculum; and
          [(10) other activities that further the purposes of 
        this subpart.
    [(e) Coordination.--
          [(1) In general.--A recipient of funds under this 
        subpart shall, to the extent possible, coordinate 
        projects assisted under this subpart with appropriate 
        activities of public and private cultural agencies, 
        institutions, and organizations, including museums, 
        arts education associations, libraries, and theaters.
          [(2) Special rule.--In carrying out this subpart, the 
        Secretary shall coordinate with the National Endowment 
        for the Arts, the Institute of Museum and Library 
        Services, the JohnF. Kennedy Center for the Performing 
Arts, Very Special Arts, and the National Gallery of Art.
    [(f) Authorization.--
          [(1) In general.--For the purpose of carrying out 
        this subpart, there are authorized to be appropriated 
        $11,000,000 for fiscal year 1995 and such sums as may 
        be necessary for each of the four succeeding fiscal 
        years.
          [(2) Special rule.--If the amount appropriated under 
        paragraph (1) for any fiscal year is $9,000,000 or 
        less, then such amount shall only be available to carry 
        out the activities described in paragraphs (7) and (8) 
        of subsection (d).

    [Subpart 2--Cultural Partnerships for At-Risk Children and Youth

[SEC. 10411. [20 U.S.C. 8101] FINDINGS AND PURPOSE.

    [(a) Findings.--The Congress finds:
          [(1) With local school budget cuts there are 
        inadequate arts and cultural programs available for 
        children and youth in schools, especially at the 
        elementary school level.
          [(2) The arts promote progress in academic subjects 
        as shown by research conducted by the National 
        Endowment for the Arts.
          [(3) Children and youth who receive instruction in 
        the arts and humanities, or who are involved in 
        cultural activities, remain in school longer and are 
        more successful than children who do not receive such 
        instruction.
          [(4) Learning in the arts and humanities promotes 
        progress in other academic subjects, and generates 
        positive self-esteem and a greater sense of 
        accomplishment in young people.
          [(5) School-university and school-cultural 
        institution partnerships that upgrade teacher training 
        in the arts and humanities have significantly 
        contributed to improved instruction and achievement 
        levels of school-aged children.
          [(6) Museum outreach, cultural activities and 
        informal education for at-risk children and youth have 
        contributed significantly to the educational 
        achievement and enhanced interest in learning of at-
        risk children and youth.
          [(7) The Goals 2000: Educate America Act, other 
        legislation and local, State and national resources 
        support the integration of the arts and humanities into 
        the regular curriculum and school day for all children.
          [(8) While all children benefit from instruction in 
        the arts and the humanities, at-risk children and youth 
        have a special, additional need for arts and cultural 
        programs both in school and after school.
    [(b) Purpose.--The purpose of this subpart is to make 
demonstration grants to eligible entities to improve the 
educational performance and future potential of at-risk 
children and youth by providing comprehensive and coordinated 
educational and cultural services.

[SEC. 10412. [20 U.S.C. 8102] PROGRAM AUTHORIZED.

    [(a) In General.--The Secretary is authorized to award 
grants to eligible entities to pay the Federal share of the 
costs of the activities described in section 10413.
    [(b) Special Requirements.--
          [(1) In general.--The Secretary shall award grants 
        under this subpart only to programs designed to--
                  [(A) promote and enhance educational and 
                cultural activities;
                  [(B) provide multi-year services to at-risk 
                children and youth and to integrate community 
                cultural resources into in-school and after-
                school educational programs;
                  [(C) provide integration of community 
                cultural resources into the regular curriculum 
                and school day;
                  [(D) focus school and cultural resources in 
                the community on coordinated cultural services 
                to address the needs of at-risk children and 
                youth;
                  [(E) provide effective cultural programs to 
                facilitate the transition from preschool 
                programs to elementary school programs, 
                including programs under the Head Start Act and 
                part H of the Individuals with Disabilities 
                Education Act;
                  [(F) facilitate school-to-work transition 
                from secondary schools and alternative schools 
                to job training, higher education and 
                employment through educational programs and 
                activities that utilize school resources;
                  [(G) increase parental and community 
                involvement in the educational, social, and 
                cultural development of at-risk children and 
                youth; or
                  [(H)(i) develop programs and strategies that 
                provide high-quality coordinated educational 
                and cultural services; and
                  [(ii) provide a model to replicate such 
                services in other schools and communities.
          [(2) Partnership.--An interagency partnership 
        comprised of the Secretary of Education, the Chairman 
        of the National Endowment for the Humanities, the 
        Chairman of the National Endowment for the Arts, and 
        the Director of the Institute of Museum and Library 
        Services, or their designees, shall establish criteria 
        and procedures for awarding grants, including the 
        establishment of panels to review the applications, and 
        shall administer the grants program authorized by this 
        section. The Secretary shall publish such criteria and 
        procedures in the Federal Register.
          [(3) Coordination.--Grants may only be awarded under 
        this subpart to eligible entities that agree to 
        coordinate activities carried out under other Federal, 
        State, and local grants, received by the members of the 
        partnership for purposes and target populations 
        described in this subpart, into an integrated service 
        delivery system located at a school, cultural, or other 
        community-based site accessible to and utilized by at-
        risk youth.
          [(4) Eligible entities.--For purposes of this 
        subpart, the term ``eligible entity'' means a 
        partnership between--
                  [(A) a local educational agency or an 
                individual school that is eligible to 
                participate in a schoolwide program under 
                section 1114; and
                  [(B) at least one institution of higher 
                education, museum, local arts agency, or 
                cultural entity that is accessible to 
                individuals within the school district of such 
                local educational agency or school, and that 
                has a history of providing quality services to 
                the community, which may include--
                          [(i) nonprofit institutions of higher 
                        education, museums, libraries, 
                        performing, presenting and exhibiting 
                        arts organizations, literary arts 
                        organizations, State and local arts 
                        organizations, cultural institutions, 
                        and zoological and botanical 
                        organizations; or
                          [(ii) private for-profit entities 
                        with a history of training children and 
                        youth in the arts.
          [(5) Geographic distribution.--In awarding grants 
        under this subpart the Secretary, to the extent 
        feasible, shall ensure an equitable geographic 
        distribution of such grants.
          [(6) Duration.--Grants made under this subpart may be 
        renewable for a maximum of five years if the Secretary 
        determines that the eligible recipient has made 
        satisfactory progress toward the achievement of the 
        program objectives described in the application.
          [(7) Models.--The Secretary, in consultation with the 
        Chairman of the National Endowment for the Humanities, 
        the Chairman of the National Endowment for the Arts and 
        the director of the Institute of Museum and Library 
        Services, or their designees, shall submit successful 
        models under this title to the National Diffusion 
        Network for review.
    [(c) Target Population.--To be eligible for a grant under 
this subpart, an eligible entity shall serve--
          [(1) students enrolled in schools participating in a 
        schoolwide program under section 1114 and the families 
        of such students to the extent practicable;
          [(2) our-of-school children and youth at risk of 
        disadvantages resulting from teenage parenting 
        substance abuse, recent migration, disability, limited-
        English proficiency, illiteracy, being the child of a 
        teenage parent, living in a single parent household, or 
        dropping out of school; or
          [(3) any combination of in-school and out-of-school 
        at-risk children and youth.

[SEC. 10413. [U.S.C. 8103] AUTHORIZED ACTIVITIES.

    [(a) In General.--Grants awarded under this subpart may be 
used--
          [(1) to plan, develop, acquire, expand, and improve 
        school-based or community-based coordinated educational 
        and cultural programs to strengthen the educational 
        performance and future potential of in-school or out-
        of-school at-risk children and youth through grants, 
        cooperative agreements, contracts for services, or 
        administrative coordination;
          [(2) to provide at-risk students with integrated 
        cultural activities designed to develop a love of 
        learning that fosters the smooth transition of 
        preschool children to elementary school;
          [(3) to design collaborative cultural activities for 
        students in secondary or alternative schools that 
        ensure the smooth transition to job training, higher 
        education, or full employment;
          [(4) to provide child care for children of at-risk 
        students who would not otherwise be able to participate 
        in the program;
          [(5) to provide transportation necessary for 
        participation in the program;
          [(6) to work with existing school personnel to 
        develop curriculum materials and programs in the arts;
          [(7) to work with existing school personnel on staff 
        development activities that encourage the integration 
        of the arts into the curriculum;
          [(8) for stipends that allow local artists to work 
        with educational at-risk children and youth in schools;
          [(9) for training individuals who are not trained to 
        work with children and youth;
          [(10) for cultural programs that encourage the active 
        participation of parents in the education of their 
        children;
          [(11) for programs that use the arts and culture to 
        reform current school practices, including lengthening 
        the school day or academic year;
          [(12) for equipment or supplies that the Secretary 
        determines appropriate; and
          [(13) for evaluation, administration, and 
        supervision.
    [(b) Planning Grants.--
          [(1) Application.--An eligible entity may submit an 
        application to the Secretary for a planning grant for 
        an amount not to exceed $50,000. Such grants shall be 
        for periods of not more than one year.
          [(2) Limit on planning grants.--Not more than 10 
        percent of the amounts appropriated in each fiscal year 
        under this subpart shall be used for grants under this 
        subsection, and an eligible entity may receive not more 
        than one such planning grant.
    [(c) General Provisions.--
          [(1) In general.--Each eligible entity desiring a 
        grant under this subpart shall submit an application to 
        the Secretary at such time, in such manner, and 
        accompanied by such information as the Secretary may 
        reasonably require.
          [(2) Contents.--Each application submitted pursuant 
        to paragraph (1) shall--
                  [(A) describe the cultural entity or entities 
                that will participate in the partnership;
                  [(B) describe the target population to be 
                served;
                  [(C) describe the services to be provided;
                  [(D) describe a plan for evaluating the 
                success of the program;
                  [(E) in the case of each local educational 
                agency or school participating in the eligible 
                recipient partnership, describe how the 
                activities assisted under this subpart will be 
                perpetuated beyond the duration of the grant;
                  [(F) describe the manner in which the 
                eligible entity will improve the educational 
                achievement or future potential of at-risk 
                youth through more effective coordination of 
                cultural services in the community;
                  [(G) describe the overall and operational 
                goals of the program;
                  [(H) describe the nature and location of all 
                planned sites where services will be delivered 
                and a description of services which will be 
                provided at each site; and
                  [(I) describe training that will be provided 
                to individuals who are not trained to work with 
                children and youth, and how teachers will be 
                involved.

[SEC. 10414. [20 U.S.C. 8104] PAYMENTS; AMOUNTS OF AWARD; COST SHARE; 
                    LIMITATIONS.

    [(a) Payments.--
          [(1) In general.--The Secretary shall pay to each 
        eligible recipient having an application approved under 
        section 10413(c) the Federal share of the cost of the 
        activities described in the application.
          [(2) Special rule.--(A) Grants awarded under this 
        subpart shall be of sufficient size, scope, and quality 
        to be effective.
          [(B) The Secretary shall award grants under this 
        subpart so as to ensure nonduplication of services 
        provided by grant recipients and services provided by--
                  [(i) the National Endowment for the 
                Humanities;
                  [(ii) the National Endowment for the Arts; 
                and
                  [(iii) the Institute of Museum and Library 
                Services.
    [(b) Cost Share.--
          [(1) Federal share.--The Federal share of a grant 
        under this subpart shall be 80 percent of the cost of 
        carrying out the activities described in the 
        application.
          [(2) Non-federal share.--The non-Federal share of a 
        grant under this subpart shall be 20 percent of the 
        cost of carrying out the activities described in the 
        application and may be in cash or in kind, fairly 
        evaluated, including the provision of equipment, 
        services, or facilities.
    [(c) Limitations.--
          [(1) Noninstructional services.--Not more than 25 
        percent of the grant funds provided in any fiscal year 
        under this subpart may be used for noninstructional 
        activities such as the activities described in 
        paragraphs (4), (5), and (12) of section 10413(a).
          [(2) Supplement and not supplant.--Grant funds 
        awarded under this part shall be used to supplement not 
        supplant the amount of funds made available from non-
        Federal sources, for the activities assisted under this 
        subpart, in amounts that exceed the amounts expended 
        for such activities in the year preceding the year for 
        which the grant is awarded.
          [(3) Administrative costs.--(A) The Secretary may 
        reserve not more than five percent of the grant funds 
        received under this subpart in each fiscal year for the 
        costs of administration.
          [(B) Each eligible recipient may reserve not more 
        than 5 percent of any grant funds received under this 
        subpart in each fiscal year for the costs of 
        administration.

[SEC. 10415. [20 U.S.C. 8105] AUTHORIZATION OF APPROPRIATIONS.

    [There are authorized to be appropriated to carry out this 
subpart, $45,000,000 for fiscal year 1995, and such sums as may 
be necessary for each of the four succeeding fiscal years.

             [PART E--INEXPENSIVE BOOK DISTRIBUTION PROGRAM

[SEC. 10501. [20 U.S.C. 8131] INEXPENSIVE BOOK DISTRIBUTION PROGRAM FOR 
                    READING MOTIVATION.

    [(a) Authorization.--The Secretary is authorized to enter 
into a contract with Reading is Fundamental (RIF) (hereafter in 
this section referred to as ``the contractor'') to support and 
promote programs, which include the distribution of inexpensive 
books to students, that motivate children to read.
    [(b) Requirements of Contract.--Any contract entered into 
under subsection (a) shall--
          [(1) provide that the contractor will enter into 
        subcontracts with local private nonprofit groups or 
        organizations, or with public agencies, under which 
        each subcontractor will agree to establish, operate, 
        and provide the non-Federal share of the cost of 
        reading motivation programs that include the 
        distribution of books, by gift, to the extent feasible, 
        or loan, to children from birth through secondary 
        school age, including those in family literacy 
        programs;
          [(2) provide that funds made available to 
        subcontractors will be used only to pay the Federal 
        share of the cost of such programs;
          [(3) provide that in selecting subcontractors for 
        initial funding, the contractor will give priority to 
        programs that will serve a substantial number or 
        percentage of children with special needs, such as--
                  [(A) low-income children, particularly in 
                high-poverty areas;
                  [(B) children at risk of school failure;
                  [(C) children with disabilities;
                  [(D) foster children;
                  [(E) homeless children;
                  [(F) migrant children;
                  [(G) children without access to libraries;
                  [(H) institutionalized or incarcerated 
                children; and
                  [(I) children whose parents are 
                institutionalized or incarcerated;
          [(4) provide that the contractor will provide such 
        technical assistance to subcontractors as may be 
        necessary to carry out the purpose of this section;
          [(5) provide that the contractor will annually report 
        to the Secretary the number of, and describe, programs 
        funded under paragraph (3); and
          [(6) include such other terms and conditions as the 
        Secretary determines to be appropriate to ensure the 
        effectiveness of such programs.
    [(c) Restriction on Payments.--The Secretary shall make no 
payment of the Federal share of the cost of acquiring and 
distributing books under any contact under this section unless 
the Secretary determines that the contractor or subcontractor, 
as the case may be, has made arrangements with book publishers 
or distributors to obtain books at discounts at least as 
favorable as discounts that are customarily given by such 
publisher or distributor for book purchases made under similar 
circumstances in the absence of Federal assistance.
    [(d) Definition of ``Federal Share''.--For the purpose of 
this section, the term ``Federal share'' means, with respect to 
the cost to a subcontractor of purchasing books to be paid 
under this section, 75 percent of such costs to the 
subcontractor, except that the Federal share for programs 
serving children of migrant or seasonal farmworkers shall be 
100 percent of such costs to the subcontractor.
    [(e) Authorization of Appropriations.--For the purpose of 
carrying out this section, there are authorized to be 
appropriated $10,300,000 for fiscal year 1995 and such sums as 
may be necessary for each of the four succeeding fiscal years.]

                          PART B--EVALUATIONS

SEC. 10201. EVALUATIONS.

    (a) Evaluations.--
          (1) In general.--Except as provided in paragraph (2), 
        the Secretary is authorized to reserve not more than 
        0.50 percent of the amount appropriated to carry out 
        each program authorized under this Act--
                  (A) to carry out comprehensive evaluations of 
                categorical programs and demonstration 
                projects, and studies of program effectiveness, 
                under this Act, and the administrative impact 
                of such programs on schools and local 
                educational agencies in accordance with 
                subsection (b);
                  (B) to evaluate the aggregate short- and 
                long-term effects and cost efficiencies across 
                Federal programs under this Act; and
                  (C) to strengthen the usefulness of grant 
                recipient evaluations for continuous program 
                progress through improving the quality, 
                timeliness, efficiency, and utilization of 
                program information on program performance.
          (2) Special rule.--
                  (A) Applicability.--Paragraph (1) shall not 
                apply to any program under title I.
                  (B) Special rule.--If funds are made 
                available under any program assisted under this 
                Act (other than a program under title I) for 
                evaluation activities, then the Secretary shall 
                reserve no additional funds pursuant to the 
                authority in paragraph (1) to evaluate such 
                program, but shall coordinate the evaluation of 
                such program with the national evaluation 
                described in subsection (b).
    (b) National Evaluations.--
          (1) In general.--The Secretary shall use the funds 
        made available under subsection (a)--
                  (A) to carry out independent studies of 
                categorical and demonstration programs under 
                this Act and the administrative impact of such 
                programs on schools and local educational 
                agencies, that are coordinated with research 
                supported through the Office of Educational 
                Research and Improvement, using rigorous 
                methodological designs and techniques, 
                including longitudinal designs, control groups, 
                and random assignment, as appropriate, to 
                determine--
                          (i) the success of such programs in 
                        meeting the measurable goals and 
                        objectives, through appropriate 
                        targeting, quality services, and 
                        efficient administration, and in 
                        contributing to achieving America's 
                        Education Goals, with a priority on 
                        assessing program impact on student 
                        performance;
                          (ii) the short- and long-term effects 
                        of program participation on program 
                        participants, as appropriate;
                          (iii) the cost and efficiency of such 
                        programs;
                          (iv) to the extent feasible, the cost 
                        of serving all students eligible to be 
                        served under such programs;
                          (v) specific intervention strategies 
                        and implementation of such strategies 
                        that, based on theory, research and 
                        evaluation, offer the promise of 
                        improved achievement of program 
                        objectives;
                          (vi) promising means of identifying 
                        and disseminating effective management 
                        and educational practices;
                          (vii) the effect of such programs on 
                        school and local educational agencies' 
                        administrative responsibilities and 
                        structure, including the use of local 
                        and State resources, with particular 
                        attention to schools and agencies 
                        serving a high concentration of 
                        disadvantaged students;
                          (viii) the effect of Federal 
                        categorical programs at the elementary 
                        and secondary levels on the 
                        proliferation of State categorical 
                        education aid programs and regulations, 
                        including an evaluation of the State 
                        regulations that are developed in 
                        response to Federal education laws; and
                          (ix) the effect of such programs on 
                        school reform efforts;
                  (B) to carry out a study of the waivers 
                granted under section 6601, which study shall 
                include--
                          (i) data on the total number of 
                        waiver requests that were granted and 
                        the total number of such requests that 
                        were denied, disaggregated by the 
                        statutory or regulatory requirement for 
                        which the waivers were requested; and
                          (ii) an analysis of the effect of 
                        waivers on categorical program 
                        requirements and other flexibility 
                        provisions in this Act on improvement 
                        in educational achievement of 
                        participating students and on school 
                        and local educational agency 
                        administrative responsibilities, 
                        structure, and resources based on an 
                        appropriate sample of State educational 
                        agencies, local educational agencies, 
                        schools, and tribes receiving waivers;
                  (C) to carry out a study of the waivers under 
                section 1114 to support schoolwide programs 
                which shall include--
                          (i) the extent to which schoolwide 
                        programs are meeting the intent and 
                        purposes of any program for which 
                        provisions were waived; and
                          (ii) the extent to which the needs of 
                        all students are being served by such 
                        programs particularly students who 
                        would be eligible for assistance under 
                        any provisions waived; and
                  (D) to provide for a study, conducted by the 
                National Academy of Sciences, regarding the 
                relationship between time and learning, which 
                shall include--
                          (i) an analysis of the impact of 
                        increasing education time on student 
                        achievement;
                          (ii) an analysis of how schools, 
                        teachers, and students use time and the 
                        quality of instructional activities;
                          (iii) an analysis of how time outside 
                        of school may be used to enhance 
                        student learning; and
                          (iv) cost estimates for increasing 
                        time in school.
          (2) Independent panel.--The Secretary shall appoint 
        an independent panel to review the plan for the 
        evaluation described in paragraph (1), to advise the 
        Secretary on such evaluation's progress, and to 
        comment, if the panel so wishes, on the final report 
        described in paragraph (3).
          (3) Report.--The Secretary shall submit a final 
        report on the evaluation described in this subsection 
        by January 1, 2004, to the Committee on Education and 
        the Workforce of the House of Representatives and to 
        the Committee on Health, Education, Labor, and Pensions 
        of the Senate.
    (c) Recipient Evaluation and Quality Assurance 
Improvement.--The Secretary is authorized to provide guidance, 
technical assistance, and model programs to recipients of 
assistance under this Act to strengthen information for quality 
assurance and performance information feedback at State and 
local levels. Such guidance and assistance shall promote the 
development, measurement and reporting of valid, reliable, 
timely and consistent performance indicators within a program 
in order to promote continuous program improvement. Nothing in 
this subsection shall be construed to establish a national data 
system.

                   PART C--AMERICA'S EDUCATION GOALS

SEC. 10301. AMERICA'S EDUCATION GOALS.

    America's Education Goals are as follows:
          (1) School readiness.--
                  (A) Goal.--All children in America will start 
                school ready to learn.
                  (B) Objectives.--The objectives for this goal 
                are that--
                          (i) all children will have access to 
                        high-quality and developmentally 
                        appropriate preschool programs that 
                        help prepare children for school;
                          (ii) every parent in the United 
                        States will be a child's first teacher 
                        and devote time each day to helping 
                        such parent's pre-school child learn, 
                        and parents will have access to the 
                        training and support parents need; and
                          (iii) children will receive the 
                        nutrition, physical activity 
                        experiences, and health care needed to 
                        arrive at school with healthy minds and 
                        bodies, and to maintain the mental 
                        alertness necessary to be prepared to 
                        learn, and the number of low-
                        birthweight babies will be 
                        significantly reduced through enhanced 
                        prenatal health systems.
          (2) School completion.--
                  (A) Goal.--The high school graduation rate 
                will increase to at least 90 percent.
                  (B) Objectives.--The objectives for this goal 
                are that--
                          (i) the Nation must dramatically 
                        reduce its school dropout rate, and 75 
                        percent of the students who do drop out 
                        will successfully complete a high 
                        school degree or its equivalent; and
                          (ii) the gap in high school 
                        graduation rates between American 
                        students from minority backgrounds and 
                        their non-minority counterparts will be 
                        eliminated.
          (3) Student achievement and citizenship.--
                  (A) Goal.--All students will leave grades 4, 
                8, and 12 having demonstrated competency over 
                challenging subject matter including English, 
                mathematics, science, foreign languages, civics 
                and government, economics, arts, history, and 
                geography, and every school in America will 
                ensure that all students learn to use their 
                minds well, so they may be prepared for 
                responsible citizenship, further learning, and 
                productive employment in our Nation's modern 
                economy.
                  (B) Objectives.--The objectives for this goal 
                are that--
                          (i) the academic performance of all 
                        students at the elementary and 
                        secondary level will increase 
                        significantly in every quartile, and 
                        the distribution of minoritystudents in 
each quartile will more closely reflect the student population as a 
whole;
                          (ii) the percentage of all students 
                        who demonstrate the ability to reason, 
                        solve problems, apply knowledge, and 
                        write and communicate effectively will 
                        increase substantially;
                          (iii) all students will be involved 
                        in activities that promote and 
                        demonstrate good citizenship, good 
                        health, community service, and personal 
                        responsibility;
                          (iv) all students will have access to 
                        physical education and health education 
                        to ensure they are healthy and fit;
                          (v) the percentage of all students 
                        who are competent in more than one 
                        language will substantially increase; 
                        and
                          (vi) all students will be 
                        knowledgeable about the diverse 
                        cultural heritage of this Nation and 
                        about the world community.
          (4) Teacher education and professional development.--
                  (A) Goal.--The Nation's teaching force will 
                have access to programs for the continued 
                improvement of their professional skills and 
                the opportunity to acquire the knowledge and 
                skills needed to instruct and prepare all 
                American students.
                  (B) Objectives.--The objectives for this goal 
                are that--
                          (i) all teachers will have access to 
                        preservice teacher education and 
                        continuing professional development 
                        activities that will provide such 
                        teachers with the knowledge and skills 
                        needed to teach to an increasingly 
                        diverse student population with a 
                        variety of educational, social, and 
                        health needs;
                          (ii) all teachers will have 
                        continuing opportunities to acquire 
                        additional knowledge and skills needed 
                        to teach challenging subject matter and 
                        to use emerging new methods, forms of 
                        assessment, and technologies;
                          (iii) States and school districts 
                        will create integrated strategies to 
                        attract, recruit, prepare, retrain, and 
                        support the continued professional 
                        development of teachers, 
                        administrators, and other educators, so 
                        that there is a highly talented work 
                        force of professional educators to 
                        teach challenging subject matter; and
                          (iv) partnerships will be 
                        established, whenever possible, among 
                        local educational agencies, 
                        institutions of higher education, 
                        parents, and local labor, business, and 
                        professional associations to provide 
                        and support programs for the 
                        professional development of educators.
          (5) Mathematics and science.--
                  (A) Goal.--United States students will be 
                first in the world in mathematics and science 
                achievement.
                  (B) Objectives.--The objectives for this goal 
                are that--
                          (i) mathematics and science 
                        education, including the metric system 
                        of measurement, will be strengthened 
                        throughout the education system, 
                        especially in the early grades;
                          (ii) the number of teachers with a 
                        substantive background in mathematics 
                        and science, including the metric 
                        system of measurement, will increase by 
                        50 percent; and
                          (iii) the number of United States 
                        undergraduate and graduate students, 
                        especially women and minorities, who 
                        complete degrees in mathematics, 
                        science, and engineering will increase 
                        significantly.
          (6) Adult literacy and lifelong learning.--
                  (A) Goal.--Every adult American will be 
                literate and will possess the knowledge and 
                skills necessary to compete in a global economy 
                and exercise the rights and responsibilities of 
                citizenship.
                  (B) Objectives.--The objectives for this goal 
                are that--
                          (i) every major American business 
                        will be involved in strengthening the 
                        connection between education and work;
                          (ii) all workers will have the 
                        opportunity to acquire the knowledge 
                        and skills, from basic to highly 
                        technical, needed to adapt to emerging 
                        new technologies, work methods, and 
                        markets through public and private 
                        educational, vocational, technical, 
                        workplace, or other programs;
                          (iii) the number of quality programs, 
                        including those at libraries, that are 
                        designed to serve more effectively the 
                        needs of the growing number of part-
                        time and midcareer students will 
                        increase substantially;
                          (iv) the proportion of the qualified 
                        students, especially minorities, who 
                        enter college, who complete at least 
                        two years, and who complete their 
                        degree programs will increase 
                        substantially;
                          (v) the proportion of college 
                        graduates who demonstrate an advanced 
                        ability to think critically, 
                        communicate effectively, and solve 
                        problems will increase substantially; 
                        and
                          (vi) schools, in implementing 
                        comprehensive parent involvement 
                        programs, will offer more adult 
                        literacy, parent training and life-long 
                        learning opportunities to improve the 
                        ties between home and school, and 
                        enhance parents' work and home lives.
          (7) Safe, disciplined, and alcohol- and drug-free 
        schools.--
                  (A) Goal.--Every school in the United States 
                will be free of drugs, violence, and the 
                unauthorized presence of firearms and alcohol, 
                and will offer a disciplined environment 
                conducive to learning.
                  (B) Objectives.--The objectives for this goal 
                are that--
                          (i) every school will implement a 
                        firm and fair policy on use, 
                        possession, and distribution of drugs 
                        and alcohol;
                          (ii) parents, businesses, 
                        governmental and community 
                        organizations will work together to 
                        ensure the rights of students to study 
                        in a safe and secure environment that 
                        is free of drugs and crime, and that 
                        schools provide a healthy environment 
                        and are a safe haven for all children;
                          (iii) every local educational agency 
                        will develop and implement a policy to 
                        ensure that all schools are free of 
                        violence and the unauthorized presence 
                        of weapons;
                          (iv) every local educational agency 
                        will develop a sequential, 
                        comprehensive kindergarten through 
                        twelfth grade drug and alcohol 
                        prevention education program;
                          (v) drug and alcohol curriculum 
                        should be taught as an integral part of 
                        sequential, comprehensive health 
                        education;
                          (vi) community-based teams should be 
                        organized to provide students and 
                        teachers with needed support; and
                          (vii) every school should work to 
                        eliminate sexual harassment.
          (8) Parental participation.--
                  (A) Goal.--Every school will promote 
                partnerships that will increase parental 
                involvement and participation in promoting the 
                social, emotional, and academic growth of 
                children.
                  (B) Objectives.--The objectives for this Goal 
                are that--
                          (i) every State will develop policies 
                        to assist local schools and local 
                        educational agencies to establish 
                        programs for increasing partnerships 
                        that respond to the varying needs of 
                        parents and the home, including parents 
                        of children who are disadvantaged or 
                        bilingual, or parents of children with 
                        disabilities;
                          (ii) every school will actively 
                        engage parents and families in a 
                        partnership which supports the academic 
                        work of children at home and shared 
                        educational decisionmaking at school; 
                        and
                          (iii) parents and families will help 
                        to ensure that schools are adequately 
                        supported and will hold schools and 
                        teachers to high standards of 
                        accountability.

                PART D--AMERICA'S EDUCATION GOALS PANEL

SEC. 10401. AMERICA'S EDUCATION GOALS PANEL.

    (a) Purpose.--It is the purpose of this section to 
establish a bipartisan mechanism for--
          (1) building a national consensus for education 
        improvement; and
          (2) reporting on progress toward achieving the 
        National Education Goals.
    (b) America's Education Goals Panel.--
          (1) Establishment.--There is established in the 
        executive branch an America's Education Goals Panel 
        (hereafter in this section referred to as the ``Goals 
        Panel'') to advise the President, the Secretary, and 
        Congress.
          (2) Composition.--The Goals Panel shall be composed 
        of 18 members (hereafter in this section referred to as 
        ``members''), including--
                  (A) 2 members appointed by the President;
                  (B) 8 members who are Governors, 3 of whom 
                shall be from the same political party as the 
                President and 5 of whom shall be from the 
                opposite political party of the President, 
                appointed by the Chairperson and Vice 
                Chairperson of the National Governors' 
                Association, with the Chairperson and Vice 
                Chairperson each appointing representatives of 
                such Chairperson's or Vice Chairperson's 
                respective political party, in consultation 
                with each other;
                  (C) 4 Members of Congress, of whom--
                          (i) 1 member shall be appointed by 
                        the Majority Leader of the Senate from 
                        among the Members of the Senate;
                          (ii) 1 member shall be appointed by 
                        the Minority Leader of the Senate from 
                        among the Members of the Senate;
                          (iii) 1 member shall be appointed by 
                        the Majority Leader of the House of 
                        Representatives from among the Members 
                        of the House of Representatives; and
                          (iv) 1 member shall be appointed by 
                        the Minority Leader of the House of 
                        Representatives from among the Members 
                        of the House of Representatives; and
                  (D) 4 members of State legislatures appointed 
                by the President of the National Conference of 
                State Legislatures, of whom 2 shall be of the 
                same political party as the President of the 
                United States.
          (3) Special appointment rules.--
                  (A) In general.--The members appointed 
                pursuant to paragraph (2)(B) shall be appointed 
                as follows:
                          (i) Same party.--If the Chairperson 
                        of the National Governors' Association 
                        is from the same political party as the 
                        President, the Chairperson shall 
                        appoint 3 individuals and the Vice 
                        Chairperson of such association shall 
                        appoint 5 individuals.
                          (ii) Opposite party.--If the 
                        Chairperson of the National Governors' 
                        Association is from the opposite 
                        political party as the President, the 
                        Chairperson shall appoint 5 individuals 
                        and the Vice Chairperson of such 
                        association shall appoint 3 
                        individuals.
                  (B) Special rule.--If the National Governors' 
                Association has appointed a panel that meets 
                the requirements of paragraph (2) and 
                subparagraph (A), except for the requirements 
                of subparagraph (D) of paragraph (2), prior to 
                the date of enactment of the Elementary and 
                Secondary Education Amendments of 1999, then 
                the members serving on such panel shall be 
                deemed to be in compliance with the provisions 
                of such paragraph and subparagraph and shall 
                not be required to be reappointed pursuant to 
                such paragraph and subparagraph.
                  (C) Representation.--To the extent feasible, 
                the membership of the Goals Panel shall be 
                geographically representative and reflect the 
                racial, ethnic, and gender diversity of the 
                United States.
          (4) Terms.--The terms of service of members shall be 
        as follows:
                  (A) Presidenetial appointees.--Members 
                appointed under paragraph (2)(A) shall serve at 
                the pleasure of the President.
                  (B) Governors.--Members appointed under 
                paragraph (2)(B) shall serve for 2-year terms, 
                except that the initial appointments under such 
                paragraph shall be made to ensure staggered 
                terms with \1/2\ of such members' terms 
                concluding every 2 years.
                  (C) Congressional appointees and state 
                legislators.--Members appointed under 
                subparagraphs (C) and (D) of paragraph (2) 
                shall serve for 2-year terms.
          (5) Date of appointment.--The initial members shall 
        be appointed not later than 60 days after the date of 
        enactment of the Elementary and Secondary Education 
        Amendments of 1999.
          (6) Initiation.--The Goals Panel may begin to carry 
        out the Goals Panel's duties under this section when 10 
        members of the Goals Panel have been appointed.
          (7) Vacancies.--A vacancy on the Goals Panel shall 
        not affect the powers of the Goals Panel, but shall be 
        filled in the same manner as the original appointment.
          (8) Travel.--Each member may be allowed travel 
        expenses, including per diem in lieu of subsistence, as 
        authorized by section 5703 of title 5, United States 
        Code, for each day the member is engaged in the 
        performance of duties for the Goals Panel away from the 
        home or regular place of business of the member.
          (9) Chairperson.--
                  (A) In general.--The members shall select a 
                Chairperson from among the members.
                  (B) Term and political affiliation.--The 
                Chairperson of the Goals Panel shall serve a 1-
                year term and shall alternate between political 
                parties.
          (10) Conflict of interest.--A member of the Goals 
        Panel who is an elected official of a State which has 
        developed content or student performance standards may 
        not participate in Goals Panel consideration of such 
        standards.
          (11) Ex officio member.--If the President has not 
        appointed the Secretary as 1 of the 2 members the 
        President appoints pursuant to paragraph (2)(A), then 
        the Secretary shall serve as a nonvoting ex officio 
        member of the Goals Panel.
    (c) Duties.--
          (1) In general.--The Goals Panel shall--
                  (A) report to the President, the Secretary, 
                and Congress regarding the progress the Nation 
                and the States are making toward achieving 
                America's Education Goals, including issuing an 
                annual report;
                  (B) report on, and widely disseminate through 
                multiple strategies, promising or effective 
                actions being taken at the Federal, State, and 
                local levels, and in the public and private 
                sectors, to achieve America's Education Goals;
                  (C) report on, and widely disseminate on 
                promising or effective practices pertaining to, 
                the achievement of each of the 8 America's 
                Education Goals; and
                  (D) help build a bipartisan consensus for the 
                reforms necessary to achieve America's 
                Education Goals.
          (2) Report.--
                  (A) In general.--The Goals Panel shall 
                annually prepare and submit to the President, 
                the Secretary, the appropriate committees of 
                Congress, and the Governor of each State a 
                report that shall--
                          (i) assess the progress of the United 
                        States toward achieving America's 
                        Education Goals; and
                          (ii) identify actions that should be 
                        taken by Federal, State, and local 
                        governments--
                                  (I) to enhance progress 
                                toward achieving America's 
                                Education Goals; and
                                  (II) to provide all students 
                                with a fair opportunity-to-
                                learn.
                  (B) Form; data.--Reports shall be presented 
                in a form, and include data, that is 
                understandable to parents and the general 
                public.
    (d) Powers of the Goals Panel.--
          (1) Hearings.--
                  (A) In general.--The Goals Panel shall, for 
                the purpose of carrying out this section, 
                conduct such hearings, sit and act at such 
                times and places, take such testimony, and 
                receive such evidence, as the Goals Panel 
                considers appropriate.
                  (B) Representation.--In carrying out this 
                section, the Goals Panel shall conduct hearings 
                to receive reports, views, and analyses of a 
                broad spectrum of experts and the public on the 
                establishment of voluntary national content 
                standards, voluntary national student 
                performance standards, and State assessments.
          (2) Information.--The Goals Panel may secure directly 
        from any department or agency of the United States 
        information necessary to enable the Goals Panel to 
        carry out this section. Upon request of the Chairperson 
        of the Goals Panel, the head of a department or agency 
        shall furnish such information to the Goals Panel to 
        the extent permitted by law.
          (3) Postal services.--The Goals Panel may use the 
        United States mail in the same manner and under the 
        same conditions as other departments and agencies of 
        the United States.
          (4) Use of facilities.--The Goals Panel may, with or 
        without reimbursement, and with the consent of any 
        agency or instrumentality of the United States, or of 
        any State or political subdivision thereof, use the 
        research, equipment, services, and facilities of such 
        agency, instrumentality, State, or subdivision, 
        respectively.
          (5) Administrative arrangements and support.--
                  (A) In general.--The Secretary shall provide 
                to the Goals Panel, on a reimbursable basis, 
                such administrative support services as the 
                Goals Panel may request.
                  (B) Contracts and other arrangements.--The 
                Secretary, to the extent appropriate, and on a 
                reimbursable basis, shall enter into contracts 
                and make other arrangements that are requested 
                by the Goals Panel to help the Goals Panel 
                compile and analyze data or carry out other 
                functions necessary to the performance of such 
                responsibilities.
          (6) Gifts.--The Goals Panel may accept, administer, 
        and utilize gifts or donations of services, money, or 
        property, whether real or personal, tangible or 
        intangible.
    (e) Administrative Provisions.--
          (1) Meetings.--The Goals Panel shall meet on a 
        regular basis, as necessary, at the call of the 
        Chairperson of the Goals Panel or a majority of the 
        Goals Panel's members.
          (2) Quorum.--A majority of the members shall 
        constitute a quorum for the transaction of business.
          (3) Voting and final decision.--
                  (A) Voting.--No individual may vote, or 
                exercise any of the powers of a member, by 
                proxy.
                  (B) Final decisions.--
                          (i) Consensus.--In making final 
                        decisions of the Goals Panel with 
                        respect to the exercise of the Goals 
                        Panel's duties and powers the Goals 
                        Panel shall operate on the principle of 
                        consensus among the members of the 
                        Goals Panel.
                          (ii) Votes.--Except as otherwise 
                        provided in this section, if a vote of 
                        the membership of the Goals Panel is 
                        required to reach a final decision with 
                        respect to the exercise of the Goals 
                        Panel's duties and powers, then such 
                        final decision shall be made by a \3/4\ 
                        vote of the members of the Goals Panel 
                        who are present and voting.
          (4) Public access.--The Goals Panel shall ensure 
        public access to the Goals Panel's proceedings (other 
        than proceedings, or portions of proceedings, relating 
        to internal personnel and management matters) and make 
        available to the public, at reasonable cost, 
        transcripts of such proceedings.
    (f) Director and Staff; Experts and Consultants.--
          (1) Director.--The Chairperson of the Goals Panel, 
        without regard to the provisions of title 5, United 
        States Code, relating to the appointment and 
        compensation of officers or employees of the United 
        States, shall appoint a Director of the Goals Panel to 
        be paid at a rate not to exceed the rate of basic pay 
        payable for level V of the Executive Schedule.
          (2) Appointment and pay of employees.--
                  (A) Appointment.--
                          (i) In general.--The Director may 
                        appoint not more than 4 additional 
                        employees to serve as staff to the 
                        Goals Panel without regard to the 
                        provisions of title 5, United States 
                        Code, governing appointments in the 
                        competitive service.
                          (ii) Pay.--The employees appointed 
                        under subparagraph (A) may be paid 
                        without regard to the provisions of 
                        chapter 51 and subchapter III of 
                        chapter 53 of that title relating to 
                        classification and General Schedule pay 
                        rates, but shall not be paid a rate 
                        that exceeds the maximum rate of basic 
                        pay payable for GS-15 of the General 
                        Schedule.
                  (B) Additional employees.--The Director may 
                appoint additional employees to serve as staff 
                to the Goals Panel in accordance with title 5, 
                United States Code.
        (3) Experts and consultants.--The Goals Panel may 
        procure temporary and intermittent services of experts 
        and consultants under section 3109(b) of title 5, 
        United States Code.
          (4) Staff of federal agencies.--Upon the request of 
        the Goals Panel, the head of any department or agency 
        of the United States may detail any of the personnel of 
        such agency to the Goals Panel to assist the Goals 
        Panel in the Goals Panel's duties under this section.
    (g) Authorization of Appropriations.--There are authorized 
to be appropriated to carry out this part $2,500,000 for fiscal 
year 2001 and such sums as may be necessary for each of the 4 
succeeding fiscal years.

           PART E--COMPREHENSIVE REGIONAL ASSISTANCE CENTERS

SEC. 10501. PROGRAM AUTHORIZED.

    (a) Comprehensive Regional Assistance Centers.--
          (1) In general.--The Secretary is authorized to award 
        grants to, or enter into contracts or cooperative 
        agreements with, public or private nonprofit entities 
        or consortia of such entities in order to establish a 
        networked system of 15 comprehensive regional 
        assistance centers to provide comprehensive training 
        and technical assistance, related to administration and 
        implementation of programs under this Act, to States, 
        local educational agencies, schools, tribes, community-
        based organizations, and other recipients of funds 
        under this Act.
          (2) Consideration.--In establishing comprehensive 
        regional assistance centers and allocating resources 
        among the centers, the Secretary shall consider--
                  (A) the geographic distribution of students 
                assisted under title I;
                  (B) the geographic and linguistic 
                distribution of students of limited-English 
                proficiency;
                  (C) the geographic distribution of Indian 
                students;
                  (D) the special needs of students living in 
                urban and rural areas; and
                  (E) the special needs of States and outlying 
                areas in geographic isolation.
          (3) Special rule.--The Secretary shall establish 1 
        comprehensive regional assistance center under this 
        section in Hawaii.
    (b) Service to Indians and Alaska Natives.--The Secretary 
shall ensure that each comprehensive regional assistance center 
that serves a region with a significant population of Indian or 
Alaska Native students shall--
          (1) be awarded to a consortium which includes a 
        tribally controlled community college or other Indian 
        organization; and
          (2) assist in the development and implementation of 
        industructional strategies, methods and materials which 
        address the specific cultural and other needs of Indian 
        or Alaska Native students.
    (c) Accountability.--To ensure the quality and 
effectiveness of the networked system of comprehensive regional 
assistance centers supported under this part, the Secretary 
shall--
          (1) develop, in consultation with the Assistant 
        Secretary for Elementary and Secondary Education, the 
        Director of Bilingual Education and Minority Languages 
        Affairs, and the Assistant Secretary for Educational 
        Research and Improvement, a set of performance 
        indicators that assesses whether the work of the 
        centers assists in improving teaching and learning 
        under this Act for all children, particularly children 
        at risk of educational failure;
          (2) conduct surveys every two years of populations to 
        be served under this Act to determine if such 
        populations are satisfied with the access to and 
        quality of such services;
          (3) collect, as part of the Department's reviews of 
        programs under this Act, information about the 
        availability and quality of services provided by the 
        centers, and share that information with the centers; 
        and
          (4) take whatever steps are reasonable and necessary 
        to ensure that each center performs its 
        responsibilities in a satisfactory manner, which may 
        include--
                  (A) termination of an award under this part 
                (if the Secretary concludes that performance 
                has been unsatisfactory) and the selection of a 
                new center; and
                  (B) whatever interim arrangements the 
                Secretary determines are necessary to ensure 
                the satisfactory delivery of services under 
                this part to an affected region.
    (d) Duration.--Grants, contracts or cooperative agreements 
under this section shall be awarded for a period of 5 years.

SEC. 10502. REQUIREMENTS OF COMPREHENSIVE REGIONAL ASSISTANCE CENTERS.

    (a) In General.--Each comprehensive regional assistance 
center established under section 10501(a) shall--
          (1) maintain appropriate staff expertise and provide 
        support, training, and assistance to State educational 
        agencies, tribal divisions of education, local 
        educational agencies, schools, and other grant 
        recipients under this Act, in--
                  (A) improving the quality of instruction, 
                curricula, assessments, and other aspects of 
                school reform, supported with funds under title 
                I;
                  (B) implementing effective schoolwide 
                programs under section 1114;
                  (C) meeting the needs of children served 
                under this Act, including children in high-
                poverty areas, migratory children, immigrant 
                children, children with limited-English 
                proficiency, neglected or delinquent children, 
                homeless children and youth, Indian children, 
                children with disabilities, and, where 
                applicable, Alaska Native children and Native 
                Hawaiian children;
                  (D) implementing high-quality professional 
                development activities for teachers, and where 
                appropriate, administrators, pupil services 
                personnel and other staff;
                  (E) improving the quality of bilingual 
                education, including programs that 
emphasizeEnglish and native language proficiency and promote 
multicultural understanding;
                  (F) creating safe and drug-free environments, 
                especially in areas experiencing high levels of 
                drug use and violence in the community and 
                school;
                  (G) implementing educational applications of 
                technology;
                  (H) coordinating services and programs to 
                meet the needs of students so that students can 
                fully participate in the educational program of 
                the school;
                  (I) expanding the involvement and 
                participation of parents in the education of 
                their children;
                  (J) reforming schools, school systems, and 
                the governance and management of schools;
                  (K) evaluating programs; and
                  (L) meeting the special needs of students 
                living in urban and rural areas and the special 
                needs of local educational agencies serving 
                urban and rural areas;
          (2) ensure that technical assistance staff have 
        sufficient training, knowledge, and expertise in how to 
        integrate and coordinate programs under this Act with 
        each other, as well as with other Federal, State, and 
        local programs and reforms;
          (3) provide technical assistance using the highest 
        quality and most cost-effective strategies possible;
          (4) coordinate services, work cooperatively, and 
        regularly share information with, the regional 
        educational laboratories, research and development 
        centers, State literacy centers authorized under the 
        National Literacy Act of 1991, and other entities 
        engaged in research, development, dissemination, and 
        technical assistance activities which are supported by 
        the Department as part of a Federal technical 
        assistance system, to provide a broad range of support 
        services to schools in the region while minimizing the 
        duplication of such services;
          (5) work collaboratively with the Department's 
        regional offices;
          (6) consult with representatives of State educational 
        agencies, local educational agencies, and populations 
        served under this Act;
          (7) provide services to States, local educational 
        agencies, tribes, and schools in order to better 
        implement the purposes of this part; and
          (8) provide professional development services to 
        State educational agencies and local educational 
        agencies to increase the capacity of such entities to 
        provide high-quality technical assistance in support of 
        programs under this Act.
    (b) Priority.--Each comprehensive regional assistance 
center assisted under this part shall give priority to 
servicing--
          (1) schoolwide programs under section 1114; and
          (2) local educational agencies and Bureau-funded 
        schools with the highest percentages or numbers of 
        children in poverty.

SEC. 10503. MAINTENANCE OF SERVICE AND APPLICATION REQUIREMENTS.

    (a) Maintenance of Service.--The Secretary shall ensure 
that the comprehensive regional assistance centers funded under 
this part provide technical assistance services that address 
the needs of educationally disadvantaged students, including 
students in urban and rural areas, and bilingual, migrant, 
immigrant, and Indian students, that are at least comparable to 
the level of such technical assistance services provided under 
programs administered by the Secretary on the day preceding the 
date of enactment of the Improving America's Schools Act of 
1994.
    (b) Application Requirements.--Each entity or consortium 
desiring assistance under this part shall submit an application 
to the Secretary at such time, in such manner and accompanied 
by such information, as the Secretary may require. Each such 
application shall--
          (1) demonstrate how the comprehensive regional 
        assistance center will provide expertise and services 
        in the areas described in section 10502;
          (2) demonstrate how such centers will work to conduct 
        outreach to local educational agencies receiving 
        priority under section 10502;
          (3) demonstrate support from States, local 
        educational agencies and tribes in the area to be 
        served;
          (4) demonstrate how such centers will ensure a fair 
        distribution of services to urban and rural areas; and
          (5) provide such other information as the Secretary 
        may require.

SEC. 10504. TRANSITION.

    (a) Extension of Previous Centers.--The Secretary shall, 
notwithstanding any other provision of law, use funds 
appropriated under section 10505 to extend or continue 
contracts and grants for existing comprehensive regional 
assistance centers assisted under this Act (as such Act was in 
effect on the day preceding the date of enactment of the 
Educational Opportunities Act), and take other necessary steps 
to ensure a smooth transition of services provided under this 
part and that such services will not be interrupted, curtailed, 
or substantially diminished.
    (b) Staff Expertise.--Inplanning for the competition for 
the new comprehensive regional assistance centers under this 
part, the Secretary may draw on the expertise of staff from 
existing comprehensive regional assistance centers assisted 
under this Act prior to the date of enactment of the 
Educational Opportunities Act.

SEC. 10505. AUTHORIZATION OF APPROPRIATIONS.

    For the purpose of carrying out this part, there are 
authorized to be appropriated $70,000,000 for fiscal year 2001 
and such sums as may be necessary for each of the four 
succeeding fiscal years.
    [Parts F through K of title X, and titles XI, XII, XIII, 
and XIV (20 U.S.C. 8141 et seq., 8331 et seq., 8401 et seq., 
8501 et seq., 8601 et seq., 8801 et seq.) are repealed.]

           *       *       *       *       *       *       *


improving america's schools act of 1994

           *       *       *       *       *       *       *


                   TITLE V--MISCELLANEOUS PROVISIONS

     [PART A--ALBERT EINSTEIN DISTINGUISHED EDUCATOR FELLOWSHIP ACT

[SEC. 511. [142 U.S.C. 7282 NOTE] SHORT TITLE.

    [This part may be cited as the ``Albert Einstein 
Distinguished Educator Fellowship Act of 1994''.

[SEC. 512. [42 U.S.C. 7382] FINDINGS.

    [The Congress finds that--
          [(1) the Department of Energy has unique and 
        extensive * * * mathematics and science capabilities 
        that contribute to mathematics and science education 
        programs throughout the Nation;
          [(2) a need exists to increase understanding 
        communciation, and cooperation between the Congress, 
        the Department of Energy, other Federal agencies, and 
        the mathematics and science education community;
          [(3) elementary and secondary school mathematics and 
        science teachers can provide practical insight to the 
        legislative and executive branches in establishing and 
        operating education programs; and
          [(4) a pilot program that placed elementary and 
        secondary school mathematics and science teachers in 
        professional staff positions in the Senate and the 
        House of Representatives has proven successful and 
        demonstrated the value of expanding the program.

[SEC. 513. [42 U.S.C. 7382A] PURPOSE; DESIGNATION.

    [(a) Purpose.--The purpose of this part is to establish 
within the Department of Energy a national fellowship program 
for elementary and secondary school mathematics and science 
teachers.
    [(b) Designation.--A receipient of a fellowship under this 
part shall be known as an ``Albert Einstein Fellow''.

[SEC. 514. [42 U.S.C. 7382B] DEFINITIONS.

    [As used in this part--
          [(1) the term ``elementary school'' has the meaning 
        provided by section 14101 of the Elementary and 
        Secondary Education Act of 1965;
          [(2) the term ``local educational agency'' has the 
        meaning provided by section 14101 of the Elementary and 
        Secondary Education Act of 1965;
          [(3) the term ``secondary school'' has the meaning 
        provided by section 14101 of the Elementary and 
        Secondary Education Act of 1965; and
          [(4) the term ``Secretary'' means the Secretary of 
        Energy.

[SEC. 515. [42 U.S.C. 7382C] FELLOWSHIP PROGRAM.

    [(a) In General.--
          [(1) Establishment.--The Secretary shall establish 
        the Albert Einstein Distinguished Educator Fellowship 
        Program (hereafter in this part referred to as the 
        ``Program'') to provide 12 elementary or secondary 
        school mathematics or science teachers with fellowships 
        in each fiscal year in accordance with this part.
          [(2) Order of priority.--The Secretary may reduce the 
        number of fellowships awarded under this part for any 
        fiscal year in which the amount appropriated for the 
        Program is insufficient to support 12 fellowships. If 
        the number of fellowships awarded under this part is 
        reduced for any fiscal year, then the Secretary shall 
        award fellowship based on the following order of 
        priority:
                  [(A) Three fellowships in the Department of 
                Energy.
                  [(B) Two fellowships in the Senate.
                  [(C) Two fellowships in the House of 
                Representatives.
                  [(D) One fellowship in each of the following 
                entities:
                          [(i) The Department of Education.
                          [(ii) The National Institutes of 
                        Health.
                          [(iii) The National Science 
                        Foundation.
                          [(iv) The National Aeronautics and 
                        Space Administration.
                          [(v) The Office of Science and 
                        Technology Policy.
          [(3) Terms of fellowships.--Each fellowship awareded 
        under this part shall be awarded for a period of ten 
        months that, to the extent practicable coincide with 
        the academic year.
          [(4) Eligibility.--To be eligible for a fellowship 
        under this part, an elementary or secondary school 
        mathematics or science teacher must demonstrate--
                  [(A) that such teacher would bring unique and 
                valuable contributions to the Program;
                  [(B) that such teacher is recognized for 
                excellence in mathematics or science education; 
                and
                  [(C)(i) a sabbatical leave from teaching will 
                be granted in order to participate in the 
                Program; or
                          [(ii) the teacher will return to a 
                        teaching position comparable to the 
                        position held prior to participating in 
                        the Program.
    [(b) Administration.--The Secretary shall--
          [(1) provide for the development and administration 
        of an application and selection process for fellowships 
        under the Program, including a process whereby final 
        selections of fellowship recipients are made in 
        accordance with subsection (c);
          [(2) provide for the publication of information on 
        the Program in appropriate professional publications, 
        including an invitation for applications from teachers 
        listed in the directories of national and State 
        recognition programs;
          [(3) select from the pool of applicants 12 elementary 
        and secondary school mathematics teachers and 12 
        elementary and secondary school science teachers;
          [(4) develop a program of orientation for fellowship 
        recipients under this part; and
          [(5) not later than August 31 of each year in which 
        fellowships are awarded, prepare and submit an annual 
        report and evaluation of the Program to the appropriate 
        Committees of the Senate and the House of 
        Representatives.
    [(c) Selection.--
          [(1) In general.--The Secretary shall arrange for the 
        24 semifinalists to travel to Washington, D.C., to 
        participate in interviews in accordance with the 
        selection process described in paragraph (2).
          [(2) Final selection.--(A) Not later than May 1 of 
        each year preceding each year in which fellowships are 
        to be awarded, the Secretary shall select and announce 
        the names of the fellowship recipients.
          [(B) The Secretary shall provide for the development 
        and administration of a process to select fellowship 
        recipients from the pool of semifinalists as follows:
                  [(i) The Secretary shall select three 
                fellowship recipients who shall be assigned to 
                the Department of Energy.
                  [(ii) The Majority Leader of the Senate and 
                the Minority Leader of the Senate, or their 
                designees, shall each select a fellowship 
                recipient who shall be assigned to the Senate.
                  [(iii) The Speaker of the House of 
                Representatives and the Minority Leader of the 
                House of Representatives, or their designees, 
                shall each select a fellowship recipient who 
                shall be assigned to the House of 
                Representatives.
                  [(iv) Each of the following individuals, or 
                their designees, shall select one fellowship 
                recipient who shall be assigned within the 
                department, office, agency, or institute such 
                individual administers:
                          [(I) The Secretary of Education.
                          [(II) The Director of the National 
                        Institutes of Health.
                          [(III) The Director of the National 
                        Science Foundation.
                          [(IV) The Administrator of the 
                        National Aeronautics and Space 
                        Administration.
                          [(V) The Director of the Office of 
                        Science and Technology Policy.

[SEC. 516. [42 U.S.C. 7382D] FELLOWSHIP AWARDS.

    [(a) Fellowship Recipient Compensation.--Each recipient of 
a fellowship under this part shall be paid during the 
fellowship period at a rate of pay that shall not exceed the 
minimum annual rate payable for a position under GS-13 of the 
General Schedule.
    [(b) Local Educational Agency.--The Secretary shall seek to 
ensure that no local educational agency penalizes a teacher who 
elects to participate in the Program.

[SEC. 517. [42 U.S.C. 7382E] WASTE MANAGEMENT EDUCATION RESEARCH 
                    CONSORTIUM (WERC).

    [(a) In General.--The Secretary is authorized to establish 
a partnership of Department of Energy laboratories, academic 
institutions, and private sector industries to conduct 
environmentally-related education programs, including programs 
involving environmentally conscious manufacturing and waste 
management activities that have undergraduate and graduate 
educational training as a component.

[SEC. 518. [42 U.S.C. 7382F] AUTHORIZATION OF APPROPRIATIONS.

    [(a) There are authorized to be appropriated for the 
Program $700,000 for fiscal year 1995, and such sums as may be 
necessary for each of the four succeeding fiscal years.
    [(b) WERC Program.--There are authorized to be appropriated 
for the WERC program under section 517 such sums as may be 
necessary for fiscal year 1995 and each of the four succeeding 
fiscal years.]

     PART A--ALBERT EINSTEIN DISTINGUISHED EDUCATOR FELLOWSHIP ACT

SEC. 511. SHORT TITLE.

    This part may be cited as the ``Albert Einstein 
Distinguished Educator Fellowship Act of 1994''.

SEC. 512. PURPOSE; DESIGNATION.

    (a) Purpose.--The purpose of this part is to establish 
within the Department of Energy a national fellowship program 
for elementary and secondary school mathematics and science 
teachers.
    (b) Designation.--A recipient of a fellowship under this 
part shall be known as an ``Albert Einstein Fellow''.

SEC. 513. DEFINITIONS.

    As used in this part--
          (1) the term ``elementary school'' has the meaning 
        provided by section 3 of the Elementary and Secondary 
        Education Act of 1965;
          (2) the term ``local educational agency'' has the 
        meaning provided by section 3 of the Elementary and 
        Secondary Education Act of 1965;
          (3) the term ``secondary school'' has the meaning 
        provided by section 3 of the Elementary and Secondary 
        Education Act of 1965; and
          (4) the term ``Secretary'' means the Secretary of 
        Energy.

SEC. 514. FELLOWSHIP PROGRAM.

    (a) In General.--
          (1) Establishment.--The Secretary shall establish the 
        Albert Einstein Distinguished Educator Fellowship 
        Program (hereafter in this part referred to as the 
        ``Program'') to provide 12 elementary or secondary 
        school mathematics or science teachers with fellowships 
        in each fiscal year in accordance with this part.
          (2) Order of priority.--The Secretary may reduce the 
        number of fellowships awarded under this part for any 
        fiscal year in which the amount appropriated for the 
        Program is insufficient to support 12 fellowships. If 
        the number of fellowships awarded under this part is 
        reduced for any fiscal year, then the Secretary shall 
        award fellowships based on the following order of 
        priority:
                  (A) Two fellowships in the Department of 
                Energy.
                  (B) Two fellowships in the Senate.
                  (C) Two fellowships in the House of 
                Representatives.
                  (D) One fellowship in each of the following 
                entities:
                          (i) The Department of Education.
                          (ii) The National Institutes of 
                        Health.
                          (iii) The National Science 
                        Foundation.
                          (iv) The National Aeronautics and 
                        Space Administration.
                          (v) The Office of Science and 
                        Technology Policy.
          (3) Terms of fellowships.--Each fellowship awarded 
        under this part shall be awarded for a period of 10 
        months that, to the extent practicable, coincide with 
        the academic year.
          (4) Eligibility.--To be eligible for a fellowship 
        under this part, an elementary or secondary school 
        mathematics or science teacher shall demonstrate--
                  (A) that such teacher will bring unique and 
                valuable contributions to the program;
                  (B) that such teacher is recognized for 
                excellence in mathematics or science education; 
                and
                  (C)(i) a sabbatical leave from teaching will 
                be granted in order to participate in the 
                Program; or
                  (ii) the teacher will return to a teaching 
                position comparable to the position held prior 
                to participating in the Program.
    (b) Administration.--The Secretary shall--
          (1) provide for the development and administration of 
        an application and selection process for fellowships 
        under the Program, including a process whereby final 
        elections of fellowship recipients are made in 
        accordance with subsection (c);
          (2) provide for the publication of information on the 
        Program in appropriate professional publications, 
        including an invitation for applications from teachers 
        listed in the directories of national and State 
        recognition programs;
          (3) select from the pool of applicants 12 elementary 
        and secondary school mathematics teachers and 12 
        elementary and secondary school science teachers;
          (4) develop a program of orientation for fellowship 
        recipients under this part; and
          (5) not later than August 31 of each year in which 
        fellowships are awarded, prepare and submit an annual 
        report and evaluation of the Program to the appropriate 
        Committees of the Senate and the House of 
        Representatives.
    (c) Selection.--
          (1) In general.--The Secretary shall arrange for the 
        24 semifinalists to travel to Washington, D.C., to 
        participate in interviews in accordance with the 
        selection process described in paragraph (2).
          (2) Final selection.--(A) Not later than May 1 of 
        each year preceding each year in which fellowships are 
        to be awarded, the Secretary shall select and announce 
        the names of the fellowship recipients.
          (B) The Secretary shall provide for the development 
        and administration of a process to select fellowship 
        recipients from the pool of semifinalists as follows:
                          (i) The Secretary shall select three 
                        fellowship recipients who shall be 
                        assigned to the Department of Energy.
                          (ii) The Majority Leader of the 
                        Senate and the Minority Leader of the 
                        Senate, or their designees, shall each 
                        select a fellowship recipient who shall 
                        be assigned to the Senate.
                          (iii) The Speaker of the House of 
                        Representatives and the Minority Leader 
                        of the House of Representatives, or 
                        their designees, shall each select a 
                        fellowship recipient who shall be 
                        assigned to the House of 
                        Representatives.
                          (iv) Each of the following 
                        individuals, or their designees, shall 
                        select one fellowship recipient who 
                        shall be assigned within the 
                        department, office, agency, or 
                        institute such individual administers:
                                  (I) The Secretary of 
                                Education.
                                  (II) The Director of the 
                                National Institutes of health.
                                  (III) The Director of the 
                                National Science Foundation.
                                  (IV) The Administrator of the 
                                National Aeronautics and space 
                                Administration.
                                  (V) The Director of the 
                                Office of Science and 
                                Technology Policy.

SEC. 515. FELLOWSHIP AWARDS.

    (a) Fellowship Recipient Compensation.--Each recipient of a 
fellowship under this part shall be paid during the fellowship 
period at a rate of pay that shall not exceed the minimum 
annual rate payable for a position under GS-13 of the General 
Schedule.
    (b) Local Educational Agency.--The Secretary shall seek to 
ensure that no local educational agency penalizes a teacher who 
elects to participate in the Program.

SEC. 516. AUTHORIZATION OF APPROPRIATIONS.

    There are authorized to be appropriated for the Program 
$700,000 for fiscal year 2001, and such sums as may be 
necessary for each of the 4 succeeding fiscal years.

           *       *       *       *       *       *       *


School-to-Work Opportunities Act of 1994

           *       *       *       *       *       *       *



SECTION 1. SHORT TITLE; TABLE OF CONTENTS.

    (a) Short Title.--* * *

           *       *       *       *       *       *       *


SEC. 3. PURPOSES AND CONGRESSIONAL INTENT.

    (a) Purposes.--The purposes of this Act are--
          (1) * * *

           *       *       *       *       *       *       *

                          (A) * * *
                          [(B) are integrated with the systems 
                        developed under the Goals 2000: Educate 
                        America Act and] the National Skill 
                        Standards Act of 1994; and

           *       *       *       *       *       *       *

                  (14) to further [the National Education Goals 
                set forth in title I of the Goals 2000: Educate 
                America Act] America's Education Goals.

           *       *       *       *       *       *       *


SEC. 4. DEFINITIONS.

    As used in this Act:
          (1) All aspects of an industry.--* * *

           *       *       *       *       *       *       *

          (3) Approved state plan.--The term ``approved State 
        plan'' means a statewide School-to-Work Opportunities 
        system plan that is submitted by a State under section 
        213, and is determined by the Secretaries to include 
        the program components described in sections 102 
        through 104 and otherwise meet the requirements of this 
        Act[, and is consistent with the State improvement plan 
        for the State, if any, under the Goals 2000: Educate 
        America Act].

           *       *       *       *       *       *       *


     TITLE I--SCHOOL-TO-WORK OPPORTUNITIES BASIC PROGRAM COMPONENTS

SEC. 101. GENERAL PROGRAM REQUIREMENTS.

    A School-to-Work Opportunities program under this Act 
shall--
          [(1) * * *

           *       *       *       *       *       *       *


SEC. 102. SCHOOL-BASED LEARNING COMPONENT.

    The school-based learning component of a School-to-Work 
Opportunities program shall include--
          (1) * * *

           *       *       *       *       *       *       *

          (3) a program of study designed to meet the same 
        academic content standards the State has established 
        for all students, [including, where applicable, 
        standards established under the Goals 2000: Educate 
        America Act,] and to meet the requirements necessary to 
        prepare a student for postsecondary education and the 
        requirements necessary for a student to earn a skill 
        certificate;

           *       *       *       *       *       *       *


     TITLE II--SCHOOL-TO-WORK OPPORTUNITIES SYSTEM DEVELOPMENT AND 
                    IMPLEMENTATION GRANTS TO STATES

                 Subtitle A--State Developments Grants

SEC. 201. PURPOSE.

           *       *       *       *       *       *       *


SEC. 203. APPLICATION.

    (a) In General.--* * *

           *       *       *       *       *       *       *

    [(c) Coordination With Goals 2000: Educate America Act.--A 
State seeking assistance under both this subtitle and the Goals 
2000: Educate America Act may--
          [(1) submit a single application containing plans 
        that meet the requirements of such subtitle and such 
        Act and ensure that the plans are coordinated and not 
        duplicative; or
          [(2) if such State has already submitted its 
        application for funds under the Goals 2000: Educate 
        America Act, submit its application under this subtitle 
        as an amendment to the Goals 2000: Educate America Act 
        application if such amendment meets the requirements of 
        this subtitle and is coordinated with and not 
        duplicative of the Goals 2000: Educate America Act 
        application.]

[SEC. 204. APPROVAL OF APPLICATION.

    [The Secretaries may approve an application submitted by a 
State under section 203 only if the State demonstrates in such 
application that the activities proposed to be undertaken by 
the State to develop a statewide School-to-Work Opportunities 
system are consistent with the State improvement plan for the 
State, if any, under the Goals 2000: Educate America Act.]

           *       *       *       *       *       *       *


                Subtitle B--State Implementation Grants

SEC. 211. PURPOSE.

           *       *       *       *       *       *       *


SEC. 213 APPLICATION.

    (a) In General.--* * *

           *       *       *       *       *       *       *

    [(c) Coordination With Goals 2000: Educate America Act.--A 
State seeking assistance under both this subtitle and the Goals 
2000: Educate America Act may--
          [(1) submit a single application containing plans 
        that meet the requirements of such subtitle and such 
        Act and ensure that the plans are coordinated and not 
        duplicative; or
          [(2) If such State has already submitted its 
        application for funds under the Goals 2000: Educate 
        America Act, submit its application under this subtitle 
        as an amendment to the Goals 2000: Educate America Act 
        application if such amendment meets the requirements of 
        this subtitle and is coordinated with and not 
        duplicative of the Goals 2000: Educate America Act 
        application.]

           *       *       *       *       *       *       *

                  [(F) the Goals 2000: Educate America Act;]
                  [(G)](F) the National Skills Standard Act of 
                1994;
                  [(H)](G) the Individuals with Disabilities 
                Education Act (20 U.S.C. 1400 et seq.);
                  [(I)](H) the Job Training Partnership Act (29 
                U.S.C. 1501 et seq.);
                  [(J)](I) the Act of August 16, 1937 (commonly 
                known as the ``National Apprenticeship Act''; 
                50 Stat. 664, chapter 663; 29 U.S.C. 50 et 
                seq.);
                  [(K)](J) the Rehabilitation Act of 1973 (29 
                U.S.C. 701 et seq.); and
                  [(L)](K) the National and Community Service 
                Act of 1990 (42 U.S.C. 12501 et seq.);

           *       *       *       *       *       *       *

          [(8) describe how the State will adopt, develop, or 
        assist local partnerships to adopt or develop model 
        curricula and innovative instructional methodologies, 
        to be used in the secondary, and where possible, the 
        elementary grades, that integrate academic and 
        vocational learning and promote career awareness, and 
        that are consistent with [academic and skill standards 
        established pursuant to the Goals 2000: Educate America 
        Act and the National Skill Standards Act of 1994;] 
        standards established pursuant to the National Skill 
        Standards Act of 1994;

           *       *       *       *       *       *       *


SEC. 214. REVIEW OF APPLICATION.

    (a) Considerations.--In evaluating applications submitted 
under section 213, the Secretaries shall--
          (1) * * *

           *       *       *       *       *       *       *

    (b) Approval Criteria.--The Secretaries--
          (1) * * *

           *       *       *       *       *       *       *

                  (B) the extent to which such plan would limit 
                administrative costs and increase amounts spent 
                on delivery of services to students enrolled in 
                programs under this Act; and
                  (C) that the State, where appropriate, will 
                ensure the establishment of a partnership in at 
                least 1 urban and 1 rural area in the State[; 
                and].
                  [(D) that the State plan contained in such 
                application is consistent with the State 
                improvement plan for the State, if any, under 
                the Goals 2000: Educate America Act.]

           *       *       *       *       *       *       *


        TITLE V--WAIVER OF STATUTORY AND REGULATORY REQUIREMENTS

SEC. 501. STATE AND LOCAL PARTNERSHIP REQUESTS AND RESPONSIBILITIES FOR 
                    WAIVERS.

    (a) State Request for Waiver.--* * *

           *       *       *       *       *       *       *


SEC. 502. WAIVER AUTHORITY OF SECRETARY OF EDUCATION.

    (a) Waiver Authority.--
          (1) In general.--* * *

           *       *       *       *       *       *       *

          (4) part D of title IV of the Elementary and 
        Secondary Education Act of 1965 (20 U.S.C. 3121 et 
        seq.)[;]; and
          (5) title V of the Elementary and Secondary Education 
        Act of 1965 (20 U.S.C. 3171 et seq.); and]
          [(6)] (5) the Carl D. Perkins Vocational and Applied 
        Technology Education Act (20 U.S.C. 2301 et seq.).

           *       *       *       *       *       *       *


SEC. 504. COMBINATION OF FEDERAL FUNDS FOR HIGH POVERTY SCHOOLS.

    (a) In General.--
          (1) Purposes.--* * *

           *       *       *       *       *       *       *

                          (i) the provisions of law listed in 
                        paragraphs (2) through (6)] paragraphs 
                        (2) through (5) of section 502(b); and

           *       *       *       *       *       *       *


general education provisions act

           *       *       *       *       *       *       *


                        SINGLE STATE APPLICATION

    Sec. 441. [20 U.S.C. 1232d] (a) In the case of any State 
which applies, contracts, or submits a plan for the 
participation in any applicable program in which Federal funds 
are made available for assistance to local educational agencies 
through, or under the supervision of, the State educational 
agency of that State, such States [shall submit (subject to the 
provisions of part C of title V, of the Elementary and 
Secondary Education Act of 1965) to the Secretary] shall submit 
to the Secretary a general application containing the 
assurances set forth in subsection (b). Such application may be 
submitted jointly for all programs covered by the application, 
or it may be submitted separately for each such program or for 
groups of programs. Each application submitted under this 
section must be approved by each official, agency, board, or 
other entity within the State which, under State law, is 
primarily responsible for supervision of the activities 
conducted under each program covered by the application.

           *       *       *       *       *       *       *


Education Amendments of 1978

           *       *       *       *       *       *       *


    Sec. 1101. [20 U.S.C. 240, note] (a) * * *

           *       *       *       *       *       *       *


               PART B--BUREAU OF INDIAN AFFAIRS PROGRAMS


SEC. 1121. [25 U.S.C. 2001] STANDARDS FOR THE BASIC EDUCATION OF INDIAN 
                    CHILDREN IN BUREAU OF INDIAN AFFAIRS SCHOOLS.

    (a)(1) The purpose of the standards developed under this 
section shall be to afford Indian students being served by a 
Bureau funded school with the same opportunities as all other 
students to achieve [the National Education Goals embodied in 
the Goals 2000: Educate America Act] America's Education Goals. 
[Consistent with the provisions of this section and section 
1131, the Secretary shall take such actions as are necessary to 
coordinate standards developed and implemented under this 
section with those in the State improvement plans developed and 
implemented pursuant to the Goals 2000: Educate America Act for 
the States in which each Bureau funded school operates.] In 
developing and reviewing such standards and coordination, the 
Secretary shall utilize the findings and recommendations of the 
panel established in section 315(b)(4) of such Act.

           *       *       *       *       *       *       *

    (b) Within 18 months of the publication of the voluntary 
national content standards described in section 203(a)(2) of 
[the Goals 2000: Educate America Act] the Goals 2000: Educate 
America Act (as in effect on the date of enactment of the 
Educational Opportunities Act), the Secretary, in consultation 
with the Secretary of Education and Indian organizations and 
tribes, shall carry out or cause to be carried out by contract 
with an Indian organization such studies and surveys, making 
the fullest use possible of other existing studies, surveys, 
and plans, as are necessary to establish and revise standards 
for the basic education of Indian children attending Bureau 
funded schools. Such studies and surveys shall take into 
account factors such as academic needs, local cultural 
differences, type and level of language skills, geographic 
isolation, and appropriate teacher-student ratios for such 
children, and shall be directed toward the attainment of equal 
educational opportunity for such children.

NATIONAL ENVIRONMENTAL EDUCATION ACT

           *       *       *       *       *       *       *



SECTION 1. SHORT TITLE AND TABLE OF CONTENTS.

           *       *       *       *       *       *       *


SEC. 2. FINDINGS AND POLICY.

    (a) Findings.--The Congress finds that--
          (1) * * *

           *       *       *       *       *       *       *

          (5) ``local educational agency'' means any education 
        agency as defined in section [14101] 3 of the 
        Elementary and Secondary Education Act of 1965 [(20 
        U.S.C. 3381)] and shall include any tribal education 
        agency;

           *       *       *       *       *       *       *


REHABILITATION ACT OF 1973

           *       *       *       *       *       *       *



      national institute on disability and rehabilitation research

    Sec. 202. (a)(1) * * *

           *       *       *       *       *       *       *

        (A) public and private entities, including--
                  (i) elementary and secondary schools (as 
                defined in section [14101] 3 of the Elementary 
                and Secondary Education Act of 1965; and

           *       *       *       *       *       *       *


          nondiscrimination under federal grants and programs

    Sec. 504. (a) * * *

           *       *       *       *       *       *       *

          (B) a local educational agency (as defined in section 
        [14101] 3 of the Elementary and Secondary Education Act 
        of 1965), system of vocational education, or other 
        school system;

           *       *       *       *       *       *       *


OLDER AMERICANS ACT OF 1995

           *       *       *       *       *       *       *



             declaration of objectives for older americans

    Sec. 101. * * *

           *       *       *       *       *       *       *


SEC. 338A. APPLICATION AND SELECTION OF PROVIDERS.

    (a) Contents of Application.--* * *

           *       *       *       *       *       *       *

          (1) a plan describing the project proposed by the 
        applicant and comments on such plan from the 
        appropriate area agency on aging and the appropriate 
        local educational agency (as defined in section [1401] 
        3 of the Elementary and Secondary Education Act of 
        1965);

           *       *       *       *       *       *       *


SEC. SEC. 363. DEFINITION.

    As used in this part, the term ``disease prevention and 
health promotion services'' means--
          (1) health risk assessments;

           *       *       *       *       *       *       *

                  (B) a local educational agency, as defined in 
                section [14101] 3 of the Elementary and 
                Secondary Education Act of 1965; or

           *       *       *       *       *       *       *


               PART I--GENERAL HIGHER EDUCATION PROGRAMS


                      Higher Education Act of 1965


                      TITLE I--GENERAL PROVISIONS

PART A--DEFINITIONS

           *       *       *       *       *       *       *



SEC. 103. [20 U.S.C. 1003] ADDITIONAL DEFINITIONS.

    In this Act:
          (1) Combination of institutions of higher 
        education.--* * *

           *       *       *       *       *       *       *

          (4) Elementary school.--The term ``elementary 
        school'' has the same meaning given that term under 
        section [14101] 3 of the Elementary and Secondary 
        Education Act of 1965.
          (5) Gifted and talented.--The term ``gifted and 
        talented'' has the same meaning given that term under 
        section [14101] 3 of the Elementary and Secondary 
        Education Act of 1965.
          (6) Local educational agency.--The term ``local 
        educational agency'' has the same meaning given that 
        term under section [14101] 3 of the Elementary and 
        Secondary Education Act. of 1965.

           *       *       *       *       *       *       *

          (10) Secondary school.--The term ``secondary school'' 
        has the same meaning given that term under section 
        [14101] 3 of the Elementary and Secondary Education Act 
        of 1965.

           *       *       *       *       *       *       *

          (14) State educational agency.--The term ``State 
        educational agency'' has the same meaning given that 
        term under section [14101] 3 of the Elementary and 
        Secondary Education Act of 1965.

           *       *       *       *       *       *       *


GENERAL EDUCATION PROVISIONS ACT

           *       *       *       *       *       *       *



                       biennial evaluation report

    Sec. 425. * * *
          (1) * * *

           *       *       *       *       *       *       *

          (6) include the results of the program evaluations 
        conducted in accordance with section [14701] 1020 of 
        the Elementary and Secondary Education Act of 1965.

           *       *       *       *       *       *       *


          PART VI--EDUCATION OF INDIVIDUALS WITH DISABILITIES


              INDIVIDUALS WITH DISABILITIES EDUCATION ACT


PART A--GENERAL PROVISIONS

           *       *       *       *       *       *       *



SEC. 613. [20 U.S.C. 1412] LOCAL EDUCATIONAL AGENCY ELIGIBILITY.

    (a) In General.--* * *

           *       *       *       *       *       *       *

    (f) Coordinated Services System.--
          (1) In general.--* * *

           *       *       *       *       *       *       *

          [(3) Coordination with certain projects under 
        elementary and secondary education act of 1965.--If a 
        local educational agency is carrying out a coordinated 
        services project under title XI of the Elementary and 
        Secondary Education Act of 1965 and a coordinated 
        services project under this part in the same schools, 
        such agency shall use amounts under this subsection in 
        accordance with the requirements of that title.]

           *       *       *       *       *       *       *


Education for Economic Security Act

           *       *       *       *       *       *       *



                              definitions

    Sec. 3. [20 U.S.C. 3902] For the purpose of this Act--
          (1) * * *

           *       *       *       *       *       *       *

          (3) The term ``elementary school'' has the same 
        meaning given that term under section [198(a)(7)] 3 of 
        the Elementary and Secondary Education Act of 1965.

           *       *       *       *       *       *       *

          (7) The term ``local educational agency'' has the 
        same meaning given that term under section [198(a)(10)] 
        3 of the Elementary and Secondary Education Act of 
        1965.

           *       *       *       *       *       *       *

          (12) The term ``State educational agency'' has the 
        meaning given that term under section [198(a)(17)] 3 of 
        the Elementary and Secondary Education Act of 1965.

           *       *       *       *       *       *       *


TITLE V--ASBESTOS SCHOOL HAZARD ABATEMENT

           *       *       *       *       *       *       *


SEC. 511. [20 U.S.C. 4020] DEFINITIONS.

    For purposes of this title:
          (1) The term ``asbestos'' means--

           *       *       *       *       *       *       *

          (4) The term ``local educational agency'' means--
                  (A) any local educational agency as defined 
                in section [198(a)(10)] 3 of the Elementary and 
                Secondary Education Act of 1965; and

           *       *       *       *       *       *       *

          (5) The term ``nonprofit elementary or secondary 
        school'' means--
                  (A) any elementary or secondary school as 
                defined in section [198(a)(7)] 3 of the 
                Elementary and Secondary Education Act of 1965 
                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; and

           *       *       *       *       *       *       *


                 PART II--NATIONAL EDUCATION STATISTICS


TITLE IV--NATIONAL EDUCATION STATISTICS

           *       *       *       *       *       *       *


SEC. 402. [20 U.S.C. 9001] FINDINGS; PURPOSE; DEFINITIONS.

    (a) Findings.--The Congress finds that--

           *       *       *       *       *       *       *

    (c) Definitions.--For the purpose of this title and unless 
otherwise specified--
          (1) * * *
          (4) the term ``local educational agency'' has the 
        same meaning given such term in section [14101] 3 of 
        the Elementary and Secondary Education Act of 1965;
          (5) the term ``Secretary'' means the Secretary of 
        Education;
          (6) the term ``State educational agency'' has the 
        same meaning given such term in section [14101] 3 of 
        the Elementary and Secondary Education Act of 1965; and

           *       *       *       *       *       *       *


Higher Education Amendments of 1998

           *       *       *       *       *       *       *



 [Part B of title VIII of the Higher Education Amendments of 1998 (20 
U.S.C. 1070a-ll note) is repealed.]

           *       *       *       *       *       *       *


           *       *       *       *       *       *       *



SEC. 117-B--U.S. CODE--TITLE 2

           *       *       *       *       *       *       *


Sec. 117b-2. Transfer of excess or surplus educationally useful 
                    equipment to public schools

    (a) Authorization

           *       *       *       *       *       *       *

    (d) Definitions
          For the purposes of this section:
                  (1) The term ``public school'' means a public 
                elementary or secondary school as such terms 
                are defined in section [8801 of Title 20] 3 of 
                the Elementary and Secondary Education Act of 
                1965.

           *       *       *       *       *       *       *


Sec. 117E. DISPOSAL OF USED OR SURPLUS FURNITURE AND EQUIPMENT BY CHIEF 
                    ADMINISTRATIVE OFFICER OF HOUSE; PROCEDURE; DEPOSIT 
                    OF RECEIPTS

          (1) * * *

           *       *       *       *       *       *       *

          (3)(A) * * *
          (B) * * *
                  (i) * * *
                  (ii) the terms ``public elementary school'' 
                and ``public secondary school'' have the 
                meaning given such terms in section [8801] 3 of 
                title 20; and

           *       *       *       *       *       *       *


SEC. 3152(J)--U.S. CODE--TITLE 7

           *       *       *       *       *       *       *


Sec. 3152. Grants and fellowships for food and agricultural sciences 
                    education

    (a) Higher education teaching programs

           *       *       *       *       *       *       *

    (j) Secondary education and 2-year post secondary education 
teaching programs
          (1) Definitions

           *       *       *       *       *       *       *

                  (B) Secondary school
    The term ``secondary school'' has the meaning given the 
term in section [8801(25) of Title 20] 3 of the Elementary and 
Secondary Education Act of 1965.

           *       *       *       *       *       *       *


SEC. 1522 NOTE--U.S. CODE--TITLE 8

Sec. 1522. Authorization for programs for domestic resettlement of and 
                    assistance to refugees

    (a) Conditions and considerations

           *       *       *       *       *       *       *


HISTORICAL AND STATUTORY NOTES

           *       *       *       *       *       *       *


                     ``TITLE I--GENERAL PROVISIONS


                             ``Definitions

    ``Sec. 101. As used in this Act--
          ``(1) The terms `elementary school', `local education 
        agency', `secondary school', `State', and `State 
        educational agency' have the meanings given such terms 
        under section [14101] 3 of the Elementary and Secondary 
        Education Act of 1965 [section 8801 of Title 20, 
        Education].

           *       *       *       *       *       *       *


TITLE 10--ARMED FORCES

           *       *       *       *       *       *       *



SEC. 2194. EDUCATION PARTNERSHIPS

    (a) * * *
    (e) In this section, the term ``local educational agency'' 
has the meaning given such term in section [14101] 3 of the 
Elementary and Secondary Education Act of 1965 [(20 U.S.C. 
8801)]

           *       *       *       *       *       *       *


Sec. 2642--U.S. Code--Title 15

           *       *       *       *       *       *       *



SEC. 2642. DEFINITIONS.

    For purposes of this subchapter--
          (1) Accredited asbestos contractor.--

           *       *       *       *       *       *       *

          (7) Local educational agency.--The term ``local 
        educational agency'' means--
                  (A) any local educational agency as defined 
                in section [8801 of Title 20] 3 of the 
                Elementary and Secondary Education Act of 1965,

           *       *       *       *       *       *       *

          (9) Non-profit elementary or secondary school.--The 
        term ``non-profit elementary or secondary school'' 
        means any elementary or secondary school (as defined in 
        section [8801 of Title 20] 3 of the Elementary and 
        Secondary Education Act of 1965) 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.

           *       *       *       *       *       *       *

          (12) School.--The term ``school'' means any 
        elementary or secondary school as defined in section 
        [8801 of Title 20] 3 of the Elementary and Secondary 
        Education Act of 1965.

           *       *       *       *       *       *       *


SEC. 2662. DEFINITIONS.

    For purposes of this subchapter:
          (1) The term ``local educational agency'' means--
                  (A) any local educational agency as defined 
                in section [8801 of Title 20] 3 of the 
                Elementary and Secondary Education Act of 1965.

           *       *       *       *       *       *       *


Sec. 1687--U.S. Code--Title 20

           *       *       *       *       *       *       *



SEC. 1687. INTERPRETATION OF ``PROGRAM OR ACTIVITY''.

           *       *       *       *       *       *       *


          (2)(A) a college, university, or other postsecondary 
        institution, or a public system of higher education; or
          (B) a local educational agency (as defined in section 
        [8801] 3 of the Elementary and Secondary Education Act 
        of 1965 of this title), system of vocational education, 
        or other school system;

           *       *       *       *       *       *       *


SEC. 2302. DEFINITIONS.

    In this chapter [20 U.S.C.A. Sec. 2301 et seq.]:
          (1) Administration.--

           *       *       *       *       *       *       *

          (5) Charter school.--The term ``charter school'' has 
        the meaning given the term in section [10306] 5410 of 
        the Elementary and Secondary Education Act of 1965 [(20 
        U.S.C. 8066)].

           *       *       *       *       *       *       *

          (8) Educational service agency.--The term 
        ``educational service agency'' has the meaning given 
        the term in section [8801] 3 of the Elementary and 
        Secondary Education Act of 1965 of this title.

           *       *       *       *       *       *       *

          (16) Local educational agency.--The term ``local 
        educational agency'' has the meaning given the term in 
        section [14101] 3 of the Elementary and Secondary 
        Education Act of 1965 [(20 U.S.C. 8801)].

           *       *       *       *       *       *       *

          (21) Secondary school.--The term ``secondary school'' 
        has the meaning given the term in section [14101] 3 of 
        the Elementary and Secondary Education Act of 1965 [(20 
        U.S.C. 8801)].

           *       *       *       *       *       *       *


SEC. 4514. DEFINITIONS.

           *       *       *       *       *       *       *


          (4) the term ``secondary school'' has the same 
        meaning given that term by section [8801] 3 of the 
        Elementary and Secondary Education Act of 1965 of this 
        title.

           *       *       *       *       *       *       *


Sec. 2801--U.S. Code--Title 20

           *       *       *       *       *       *       *



SEC. 2801. DEFINITIONS.

    In this chapter [29 U.S.C.A. Sec. 2801 et seq.]:
          (1) Adult.--

           *       *       *       *       *       *       *

          (23) Local educational agency.--The term ``local 
        educational agency'' has the meaning given the term in 
        section [14101] 3 of the Elementary and Secondary 
        Education Act of 1965 [(20 U.S.C.A. Sec. 8801)].

           *       *       *       *       *       *       *

          (40) Secondary school.--The term ``secondary school'' 
        has the meaning given the term in section [14101] 3 of 
        the Elementary and Secondary Education Act of 1965 [(20 
        U.S.C.A. Sec. 8801)].

           *       *       *       *       *       *       *


SEC. 5891A. DEFINITIONS.

    In this Act:
          (1) Local educational agency; state educational 
        agency; outlying area.--The terms ``local educational 
        agency'', ``State educational agency'', and ``outlying 
        area'' have the meanings given the terms in section 
        [8801] 3 of the Elementary and Secondary Education Act 
        of 1965 of this title.

           *       *       *       *       *       *       *


UNITED STATES CODE--TITLE 20

           *       *       *       *       *       *       *



SEC. 5891B. EDUCATION FLEXIBILITY PARTNERSHIP.

    (a) Educational Flexibility Program.--

           *       *       *       *       *       *       *

    (b) Included Programs.--The statutory or regulatory 
requirements referred to in subsection (a)(1)(A) are any such 
requirements for programs carried out under the following 
provisions:
          (1) * * *

           *       *       *       *       *       *       *

          (2) [Part B of title II] Subparts 1, 2, and 3 of part 
        A of title II of the Elementary and Secondary Education 
        Act of 1965.

           *       *       *       *       *       *       *


SEC. 6212. WAIVER AUTHORITY OF SECRETARY OF EDUCATION.

    (a) Waiver Authority.--

           *       *       *       *       *       *       *

    (b) Included Programs.--The provisions subject to the 
waiver authority of this section are--
          (1) * * *

           *       *       *       *       *       *       *

          (2) [part A of title II] subpart 4 of part A of title 
        II of the Elementary and Secondary Education Act of 
        1965 [20 U.S.C.A. Sec. 6621 et seq.];

           *       *       *       *       *       *       *


Sec. 6212--U.S. Code--Title 20

           *       *       *       *       *       *       *



                    School-to-Work Opportunities Act


SEC. 6212. WAIVER AUTHORITY OF SECRETARY OF EDUCATION.

    (a) Waiver Authority.--

           *       *       *       *       *       *       *

    (b) Included Programs.--The provisions subject to the 
waiver authority of this section are--
          (1) * * *

           *       *       *       *       *       *       *

          (3) [part A of title V] part C of title V of the 
        Elementary and Secondary Education Act of 1965 [20 
        U.S.C.A. Sec. 7201 et seq.];

           *       *       *       *       *       *       *


SEC. 5891B. EDUCATION FLEXIBILITY PARTNERSHIP.

    (a) Educational Flexibility Program.--

           *       *       *       *       *       *       *

    (b) Included programs.--

           *       *       *       *       *       *       *

          (1) * * *

           *       *       *       *       *       *       *

          (3) [Subpart 2 of part A of title III of the 
        Elementary and Secondary Education Act of 1965 (other 
        than section 3136 of such Act] Subpart 2 of part A of 
        title V of the Elementary and Secondary Education Act 
        of 1965 (other than section 5136 of such Act).

           *       *       *       *       *       *       *

          (5) [Title VI] Part A of title VI of the Elementary 
        and Secondary Education Act of 1965.

           *       *       *       *       *       *       *

    (d) Treatment of Existing Ed-Flex Partnership States.--
          (1) In general.--

           *       *       *       *       *       *       *

          (4) Technology.--In the case of a State educational 
        agency granted waiver authority under the provisions of 
        law described in subparagraph (A) or (B) of paragraph 
        (2), the Secretary shall permit a State educational 
        agency to expand, on or after April 29, 1999, the 
        waiver authority to include programs under [subpart 2 
        of part A of title III of the Elementary and Secondary 
        Education Act of 1965 (other than section 3136 of such 
        Act)] subpart 2 of part A of title V of the Elementary 
        and Secondary Education Act of 1965 (other than section 
        5136 of such Act).

           *       *       *       *       *       *       *


Sec. 9202--U.S. Code--Title 20

           *       *       *       *       *       *       *



SEC. 9202. DEFINITIONS.

    In this subchapter [20 U.S.C.A. Sec. 9201 et seq.]:
          (1) Adult Education.--

           *       *       *       *       *       *       *

          (13) Local educational agency.--The term ``local 
        educational agency'' has the meaning given the term in 
        section [14101] 3 of the Elementary and Secondary 
        Education Act of 1965 [(20 U.S.C. 8801)].

           *       *       *       *       *       *       *


SEC. 1228. PROHIBITION AGAINST USE OF APPROPRIATED FUNDS FOR BUSING.

    No funds appropriated for the purpose of carrying out any 
applicable program may be used for the transportation of 
students or teachers (or for the purchase of equipment for such 
transportation) in order to overcome racial imbalance in any 
school or school system, or for the transportation of students 
or teachers (or for the purchase of equipment for such 
transportation) in order to carry out a plan of racial 
desegregation of any school or school system, except for funds 
appropriated pursuant to title VIII of the Elementary and 
Secondary Education Act of 1965 [20 U.S.C.A. Sec. 7701 et 
seq.], but not including any portion of such funds as are 
attributable to children counted under [subsections (d) and (g) 
of section 8003] section 8003(d) of such Act [20 U.S.C.A. 
Sec. 7703(d), (g)] or residing on property described in section 
8013(10) of such Act [20 U.S.C.A. Sec. 7713(10)].

           *       *       *       *       *       *       *


Sec. 1397E--U.S. Code--Title 26

           *       *       *       *       *       *       *



SEC. 1397E. CREDIT TO HOLDERS OF QUALIFIED ZONE ACADEMY BONDS.

    (a) Allowance of credit.-- * * *

           *       *       *       *       *       *       *

                  (B) Eligible local education agency.--The 
                term ``eligible local education agency'' means 
                any local educational agency as defined in 
                section [14101] 3 of the Elementary and 
                Secondary Education Act of 1965.

           *       *       *       *       *       *       *


The Goals 2000: Educate America Act

           *       *       *       *       *       *       *


    [The Goals 2000: Educate America Act (20 U.S.C. 5801 et 
seq.) is repealed.]

           *       *       *       *       *       *       *


                      TITLE 29--UNITED STATES CODE

LABOR

           *       *       *       *       *       *       *



SEC. 2618 SPECIAL RULES CONCERNING EMPLOYEES OF LOCAL EDUCATIONAL 
                    AGENCIES.

    (a) Application.--
          (1) In general.--* * *
                  (A) any ``local educational agency'' (as 
                defined in section [1471(12)] 3 of the 
                Elementary and Secondary Education Act of 1965 
                [20 U.S.C. 2891(12)] and an eligible employee 
                of the agency; and

           *       *       *       *       *       *       *


Sec. 6703--U.S. Code--Title 31

           *       *       *       *       *       *       *



SEC. 6703. STATE AND LOCAL GOVERNMENT FISCAL ASSISTANCE TRUST FUND.

    (a) The Department of the Treasury has a State and Local 
Government Fiscal Assistance Trust Fund. The Secretary of the 
Treasury personally is the trustee of the Trust Fund. Amounts 
in the Trust fund--
          [(1) except as provided in this chapter, may be used 
        only for payments to State governments and units of 
        general local government under this chapter; and]

           *       *       *       *       *       *       *


Sec. 300j-21--U.S. Code--Title 42

           *       *       *       *       *       *       *



SEC. 300J-21. DEFINITIONS.

    As used in this part--
          (1) Drinking water cooler.--

           *       *       *       *       *       *       *

          (3) Local educational agency.--The term ``local 
        educational agency'' means--
                  (A) any local educational agency as defined 
                in section [8801 of Title 20] 3 of the 
                Elementary and Secondary Education Act of 1965

           *       *       *       *       *       *       *

          (6) School.--The term ``school'' means any elementary 
        school or secondary school as defined in section [8801 
        of Title 20] 3 of the Elementary and Secondary 
        Education Act of 1965 and any kindergarten or day care 
        facility.

           *       *       *       *       *       *       *


SEC. Sec. 2000D-4A. ``PROGRAM OR ACTIVITY'' AND ``PROGRAM'' DEFINED.

           *       *       *       *       *       *       *


          (1)(A) * * *

           *       *       *       *       *       *       *

          (2)(A) * * *
          (B) a local educational agency (as defined in section 
        [8801] 3 of the Elementary and Secondary Education Act 
        of 1965 of Title 20), system of vocational education, 
        or other school system;

           *       *       *       *       *       *       *


SEC. 5119C. DEFINITIONS.

    For the purposes of this subchapter--
          (1) * * *

           *       *       *       *       *       *       *

          (9) the term ``provider'' means--
                  (A) a person who--
                          (i) is employed by or volunteers with 
                        a qualified entity (including an 
                        individual who is employed by a school 
                        in any capacity, including as a child 
                        care provider, a teacher, or another 
                        member of school personnel);

           *       *       *       *       *       *       *

                  (B) a person who
                          (i) seeks to be employed by or 
                        volunteer with a qualified entity 
                        (including an individual who seeks to 
                        be employed by a school in any 
                        capacity, including as a child care 
                        provider, a teacher, or another member 
                        of school personnel);

           *       *       *       *       *       *       *


SEC. 6107. DEFINITIONS.

    For purposes of this chapter--

           *       *       *       *       *       *       *

                          (ii) a local educational agency (as 
                        defined in section [8801] 3 of the 
                        Elementary and Secondary Education Act 
                        of 1965 of Title 20), system of 
                        vocational education, or other school 
                        system;

           *       *       *       *       *       *       *


SEC. 9877. DEFINITIONS.

    For purposes of this subchapter--
          (1) * * *

           *       *       *       *       *       *       *

          (6) the term ``local educational agency'' has the 
        same meaning given that term under section [8801] 3 of 
        the Elementary and Secondary Education Act of 1965 of 
        Title 20;

           *       *       *       *       *       *       *

          (11) the term ``State educational agency'' has the 
        same meaning given that term under section [8801] 3 of 
        the Elementary and Secondary Education Act of 1965 of 
        Title 20.

           *       *       *       *       *       *       *


Sec. 6921 note--U.S. Code--Title 42

           *       *       *       *       *       *       *



SEC. 6921. IDENTIFICATION AND LISTING OF HAZARDOUS WASTE.

    (a) Criteria for Identification or Listing.--

           *       *       *       *       *       *       *


historical and statutory notes

           *       *       *       *       *       *       *


                          ``(i) secondary schools as defined in 
                        section [198(a)(7)] 3 of the Elementary 
                        and Secondary Education Act of 1965 
                        [section 2854(a)(7) of Title 20, 
                        Education]; and

           *       *       *       *       *       *       *


SEC. 7382B. DEFINITIONS.

    As used in this subchapter--
          (1) the term ``elementary school'' has the meaning 
        provided by section [8801] 3 of the Elementary and 
        Secondary Education Act of 1965 of Title 20;
          (2) the term ``local educational agency'' has the 
        meaning provided by section [8801] 3 of the Elementary 
        and Secondary Education Act of 1965 of Title 20;
          (3) the term ``secondary school'' has the meaning 
        provided by section [8801] 3 of the Elementary and 
        Secondary Education Act of 1965 of Title 20; and

SEC. 7704. NATIONAL EARTHQUAKE HAZARDS REDUCTION PROGRAM.

           *       *       *       *       *       *       *


historical and statutory notes

           *       *       *       *       *       *       *


    ``(c) Earth Science Teaching Materials.--
          ``(1) Definitions.--In this subsection:
                  ``(A) Local Educational Agency.--The term 
                `local educational agency' has the meaning 
                given that term in section [14101] 3 of the 
                Elementary and Secondary Education Act of 1965 
                [(29 U.S.C. 8801)].

           *       *       *       *       *       *       *


Sec. 9923--U.S. Code--Title 42

           *       *       *       *       *       *       *



SEC. 9923. NATIONAL OR REGIONAL PROGRAMS DESIGNED TO PROVIDE 
                    INSTRUCTIONAL ACTIVITIES FOR LOW-INCOME YOUTH.

    (a) General Authority.--

           *       *       *       *       *       *       *

          (4) 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 section [14101] 3 of the 
        Elementary and Secondary Education Act of 1965 [(20 
        U.S.C. 8801))]; and

           *       *       *       *       *       *       *


              STEWART B. McKINNEY HOMELESS ASSISTANCE ACT


Sec. 11431--U.S. Code--Title 42

           *       *       *       *       *       *       *



SEC. 11431. STATEMENT OF POLICY.

    It is the policy of the Congress that--
          (1) * * *

           *       *       *       *       *       *       *

          (3) homelessness alone [should not be] is not 
        sufficient reason to separate students from the 
        mainstream school environment; and

           *       *       *       *       *       *       *


SEC. 11432. GRANTS FOR STATE AND LOCAL ACTIVITIES FOR THE EDUCATION OF 
                    HOMELESS CHILDREN AND YOUTH.

    (a) General Authority.--

           *       *       *       *       *       *       *

    (c) Allocation and reservations.--
          (1) In general.--Subject paragraph (2) and [section 
        11434(c)] section 11434(d) of this title, from the 
        amounts appropriated for each fiscal year under section 
        11435 of this title, the Secretary is authorized to 
        allot to each State an amount that bears the same ratio 
        to the amount appropriated for such year under section 
        11435 of this title as the amount allocated under 
        section 6332 of Title 20 to the State for that year 
        bears to the total amount allocated under section 6332 
        of Title 20 to all States for that year, except that no 
        State shall receive less than $100,000.

           *       *       *       *       *       *       *

          (2) Reservation.--
                  (A) The Secretary is authorized to reserve 
                0.1 percent of the amount appropriated for each 
                fiscal year under section 11435 of this title 
                to be allocated by the Secretary among the 
                Virgin Islands, Guam, American Samoa, and the 
                Commonwealth of the Northern Mariana Islands [, 
                and Palau (until the effective date of the 
                compact of Free Association with the Government 
                of Palau)], according to their respective need 
                for assistance under this part, as determined 
                by the Secretary.

           *       *       *       *       *       *       *

          (3) Definition.--As used in this subsection, the term 
        ``State'' shall not include the Virgin Islands, Guam, 
        American Samoa, or the Commonwealth of the Northern 
        Mariana Islands[, or Palau].
    (e) State and Local Grants.--
          (1) In general.--

           *       *       *       *       *       *       *

          (3) Prohibition on segregating homeless students.--In 
        providing a free public education to a homeless child 
        or youth, no State receiving funds under this subtitle 
        shall segregate such child or youth, either in a 
        separate school, or in a separate program within a 
        school, based on such child or youth's status as 
        homeless, except as provided in section 
        723(a)(2)(B)(ii).
    [(f) Functions of the Office of Coordinator.--The 
Coordinator of Education of Homeless Children and Youth 
established in each State shall--
          [(1) estimate the number of homeless children and 
        youth in the State and the number of such children and 
        youth served with assistance provided under the grants 
        or contracts under this part;
          [(2) gather, to the extent possible, reliable, valid, 
        and comprehensive information on the nature and extent 
        of the problems homeless children and youth have in 
        gaining access to public preschool programs and to 
        public elementary and secondary schools, the 
        difficulties in identifying the special needs of such 
        children and youth, any progress made by the State 
        educational agency and local educational agencies in 
        the State in addressing such problems and difficulties, 
        and the success of the program under this part in 
        allowing homeless children and youth to enroll in, 
        attend, and succeed in, school;
          [(3) develop and carry out the State plan described 
        in subsection (g) of this section;
          [(4) prepare and submit to the Secretary not later 
        than October 1, 1997, and on October 1 of every third 
        year thereafter, a report on the information gathered 
        pursuant to paragraphs (1) and (2) and such additional 
        information as the Secretary may require to carry out 
        the Secretary's responsibilities under this part;
          [(5) facilitate coordination between the State 
        educational agency, the State social services agency, 
        and other agencies providing services to homeless 
        children and youth, including homeless children and 
        youth who are preschool age, and families of such 
        children and youth; and
          [(6) develop relationships and coordinate with other 
        relevant education, child development, or preschool 
        programs and providers of services to homeless 
        children, homeless families, and runaway and homeless 
        youth (including domestic violence agencies, shelter 
        operators, transitional housing facilities, runaway and 
        homeless youth centers, and transitional living 
        programs for homeless youth), to improve the provision 
        of comprehensive services to homeless children and 
        youth and their families.]
    (f) Functions of the Office of Coordinator.--The 
Coordinator of Education of Homeless Children and Youth 
established in each State shall--
          (1) gather reliable, valid, and comprehensive 
        information on the nature and extent of the problems 
        homeless children and youth have in gaining access to 
        public preschool programs to public elementary schools 
        and secondary schools, the difficulties in identifying 
        the special needs of such children and youth, any 
        progress made by the State educational agency and local 
        educational agencies in the State in addressing such 
        problems and difficulties, and the success of the 
        program under this subtitle in allowing homeless 
        children and youth to enroll in, attend, and succeed 
        in, school;
          (2) develop and carry out the State plan described in 
        subsection (g);
          (3) collect and transmit to the Secretary, at such 
        time and in such manner as the Secretary may require, 
        such information as the Secretary deems necessary to 
        assess the educational needs of homeless children and 
        youth within the State;
          (4) facilitate coordination between the State 
        educational agency, the State social services agency, 
        and other agencies providing services to homeless 
        children and youth, including homeless children and 
        youth who are preschool age, and families of such 
        children and youth; and
          (5) in order to improve the provision of 
        comprehensive education and related services to 
        homeless children and youth and their families, 
        coordinate and collaborate with--
                  (A) educators, including child development 
                and preschool program personnel;
                  (B) providers of services to homeless and 
                runaway children and youth and homeless 
                families (including domestic violence agencies, 
                shelter operators, transitional housing 
                facilities, runaway and homeless youth centers, 
                and transitional living programs for homeless 
                youth);
                  (C) local educational agency liaisons for 
                homeless children and youth; and
                  (D) community organizations and groups 
                representing homeless children and youth and 
                their families.
    (g) State plan.--
          (1) In general.--

           *       *       *       *       *       *       *

          (2) Compliance.--Each plan adopted under this 
        subsection shall also show how the State will ensure 
        that local educational agencies in the State will 
        comply with the requirements of [paragraphs (3) through 
        (9)] paragraphs (3) through (8).

           *       *       *       *       *       *       *

                  (E) address problems set forth in [the 
                report] the information provided to the 
                Secretary under subsection [(f)(4)] (f)(3) of 
                this section.
                  [(H) contain an assurance that the State 
                educational agency and local educational 
                agencies in the State will adopt policies and 
                practices to ensure that homeless children and 
                youth are not isolated or stigmatized.]
                  (H) contain assurances that--
                          (i) the State educational agency and 
                        local educational agencies in the State 
                        will adopt policies and practices to 
                        ensure that homeless children and youth 
                        are not segregated on the basis of 
                        their status as homeless or 
                        stigmatized; and
                          (ii) local educational agencies 
                        serving school districts in which 
                        homeless children and youth reside or 
                        attend school will--
                                  (I) post public notice of the 
                                educational rights of such 
                                children and youth where such 
                                children and youth receive 
                                services under this Act (such 
                                as family shelters and soup 
                                kitchens); and
                                  (II) designate an appropriate 
                                staff person, who may also be a 
                                coordinator for other Federal 
                                programs, as a liaison for 
                                homeless children and youth.

           *       *       *       *       *       *       *

          [(3) Local educational agency requirements.--
                  [(A) The local educational agency of each 
                homeless child and youth to be assisted under 
                this part shall, according to the child's or 
                youth's best interest, either--
                          [(i) continue the child's or youth's 
                        education in the school of origin--
                                  [(I) for the remainder of the 
                                academic year; or
                                  [(II) in any case in which a 
                                family becomes homeless between 
                                academic years, for the 
                                following academic year; or
                          [(ii) enroll the child or youth in 
                        any school that nonhomeless students 
                        who live in the attendance area in 
                        which the child or youth is actually 
                        living are eligible to attend.
                  [(B) In determining the best interests of the 
                child or youth under subparagraph (A), the 
                local educational agency shall comply, to the 
                extent feasible, with the request made by a 
                parent or guardian regarding school selection.
                  [(C) For purposes of this paragraph, the term 
                ``school of origin'' means the school that the 
                child or youth attended when permanently 
                housed, or the school in which the child or 
                youth was last enrolled.
                  [(D) The choice regarding placement shall be 
                made regardless of whether the child or youth 
                lives with the homeless parents or has been 
                temporarily placed elsewhere by the parents.]
          (3) Local educational agency requirements.--
                  (A) In general.--Each local educational 
                agency serving a homeless child or youth 
                assisted under this subtitle shall, according 
                to the child's or youth's best interest--
                          (i) continue the child's or youth's 
                        education in the school of origin--
                                  (I) for the duration of their 
                                homelessness;
                                  (II) if the child becomes 
                                permanently housed, for the 
                                remainder of the academic year; 
                                or
                                  (III) in any case in which a 
                                family becomes homeless between 
                                academic years, for the 
                                following academic year; or
                          (ii) enroll the child or youth in any 
                        school that nonhomeless students who 
                        live in the attendance area in which 
                        the child or youth is actually living 
                        are eligible to attend.
                  (B) Best interest.--In determining the best 
                interest of the child or youth under 
                subparagraph (A), the local educational agency 
                shall--
                          (i) to the extent feasible, keep a 
                        homeless child or youth in the school 
                        of origin, except when doing so is 
                        contrary to the wishes of the child's 
                        or youth's parent or guardian; and
                          (ii) provide a written explanation to 
                        the homeless child's or youth's parent 
                        or guardian when the local educational 
                        agency sends such child or youth to a 
                        school other than the school of origin 
                        or a school requested by the parent or 
                        guardian.
                  (C) Enrollment.--
                          (i) In general.--The school selected 
                        in accordance with this paragraph shall 
                        immediately enroll the homeless child 
                        or youth even if the child or youth is 
                        unable to produce records normally 
                        required for enrollment, such as 
                        previous academic records, medical 
                        records, proof of residency, or other 
                        documentation.
                          (ii) Special rule.--The enrolling 
                        school immediately shall contact the 
                        school last attended by the child or 
                        youth to obtain relevant academic and 
                        other records. If the child or youth 
                        needs to obtain immunizations, the 
                        enrolling school shall promptly refer 
                        the child or youth to the appropriate 
                        authorities for such immunizations.
                  (d) Definition of school of origin.--For 
                purposes of this paragraph, the term ``school 
                of origin'' means the school that the child or 
                youth attended when permanently housed, or the 
                school in which the child or youth was last 
                enrolled.
                  (E) Placement choice.--The choice regarding 
                placement shall be made regardless of whether 
                the child or youth lives with the homeless 
                parent or has been temporarily placed elsewhere 
                by the parents.

           *       *       *       *       *       *       *

          [(6) Coordination.--Each local educational agency 
        serving homeless children and youth that receives 
        assistance under this part shall coordinate with local 
        social services agencies and other agencies or programs 
        providing services to such children or youth and their 
        families, including services and programs funded under 
        the Runaway and Homeless Youth Act [42 U.S.C.A. 
        Sec. 5701 et seq.].]
          (6) Coordination.--
                  (A) In general.--Each local educational 
                agency serving homeless children and youth that 
                receives assistance under this subtitle shall 
                coordinate the provision of services under this 
                subtitle with local services agencies and other 
                agencies or programs providing services to 
                homeless children and youth and their families, 
                including services and programs funded under 
                the Runaway and Homeless Youth Act (42 U.S.C. 
                5701 et seq.).
          (B) Housing assistance.--If applicable, each State 
        and local educational agency that receives assistance 
        under this subtitle shall coordinate with State and 
        local housing agencies responsible for developing the 
        comprehensive housing affordability strategy described 
        in section 105 of the Cranston-Gonzales National 
        Affordable Housing Act (42 U.S.C. 12705) to minimize 
        educational disruption for children and youth who 
        become homeless.
                  (6) Coordination purpose.--The coordination 
                required under subparagraphs (A) and (B) shall 
                be designed to--
                          (i) ensure that homeless children and 
                        youth have access to available 
                        education and related support services; 
                        and
                          (ii) raise the awareness of school 
                        personnel and service providers of the 
                        effects of short-term stays in shelters 
                        and other challenges associated with 
                        homeless children and youth.
          (7) Liaison.--
                  (A) Each local educational agency that 
                receives assistance under this part shall 
                designate a homelessness liasion to ensure 
                that--
                          (i) homeless children and youth 
                        enroll and succeed in the schools of 
                        that agency; and
                          (ii) homeless families, children, and 
                        youth receive educational services for 
                        which such families, children, and 
                        youth are eligible, including Head 
                        Start and Even Start programs and 
                        preschool programs administered by the 
                        local educational agency, and referrals 
                        to health care services, dental 
                        services, mental health services, and 
                        other appropriate services.
                  [(B) State coordinators and local educational 
                agencies shall inform school personnel, service 
                providers, and advocates working with homeless 
                families of the duties of the liaisons.]
          (7) Liaison.--
                  (A) In general.--Each local liaison for 
                homeless children and youth designated pursuant 
                to paragraph (1)(H)(ii)(II) shall ensure that--
                          (i) homeless children and youth 
                        enroll, and have a full and equal 
                        opportunity to succeed, in the schools 
                        of the local educational agency;
                          (ii) homeless families, children, and 
                        youth receive educational services for 
                        which such families, children, and 
                        youth are eligible, including Head 
                        Start and Even Start programs and 
                        preschool programs administered by the 
                        local educational agency, and referrals 
                        to health care services, dental 
                        services, mental health services, and 
                        other appropriate services;
                          (iii) the parents or guardians of 
                        homeless children and youth are 
                        informed of the education and related 
                        opportunities available to their 
                        children and are provided with 
                        meaningful opportunities to participate 
                        in the education of their children; and
                          (iv) public notice of the educational 
                        rights of homeless children and youth 
                        is posted where such children and youth 
                        receive services under this Act (such 
                        as family shelters and soup kitchens).
                  (B) Information.--State coordinators in State 
                receiving assistance under this subtitle and 
                local educational agencies receiving assistance 
                under this subtitle shall inform school 
                personnel, service providers, and advocates 
                working with homeless families of the duties of 
                the liaisons for homeless children and youth.
                  (C) Local and state coordination.--Liaisons 
                for homeless children and youth shall, as a 
                part of their duties, coordinate and 
                collaborate with State coordinators and 
                community and school personnel responsible for 
                the provision of education and related services 
                to homeless children and youth.
                  (D) Dispute resolution.--Unless another 
                individual is designated by State law, the 
                local liaison for homeless children and youth 
                shall provide resource information and assist 
                in resolving a dispute under this subtitle if 
                such a dispute arises.

           *       *       *       *       *       *       *

          [(9) Coordination.--Where applicable, each State and 
        local educational agency that receives assistance under 
        this part shall coordinate with State and local housing 
        agencies responsible for developing the comprehensive 
        housing affordability strategy described in section 
        12705 of this title to minimize educational disruption 
        for children who become homeless.]

           *       *       *       *       *       *       *


SEC. 11433. LOCAL EDUCATIONAL AGENCY GRANTS FOR THE EDUCATION OF 
                    HOMELESS CHILDREN AND YOUTH.

    (a) General authority.--
          (1) In general.--

           *       *       *       *       *       *       *

          [(2) Services.--Unless otherwise specified, services 
        under paragraph (1) may be provided through programs on 
        school grounds or at other facilities. Where such 
        services are provided through programs to homeless 
        students on school grounds, schools may provide 
        services to other children and youth who are determined 
        by the local educational agency to be at risk of 
        failing in, or dropping out of, schools, in the same 
        setting or classroom. To the maximum extent 
        practicable, such services shall be provided through 
        existing programs and mechanisms that integrate 
        homeless individuals with nonhomeless individuals.]
          (2) Services.--
                  (A) In general.--Services provided under 
                paragraph (1)--
                          (i) may be provided through programs 
                        on school grounds or at other 
                        facilities;
                          (ii) shall, to the maximum extent 
                        practicable, be provided through 
                        existing programs and mechanisms that 
                        integrate homeless individuals with 
                        nonhomeless individuals; and
                          (iii) shall be designed to expand or 
                        improve services provided as part of a 
                        school's regular academic program, but 
                        not replace that program.
                  (B) Services on school grounds.--If services 
                under paragraph (1) are provided on school 
                grounds, schools--
                          (i) may use funds under this subtitle 
                        to provide the same services to other 
                        children and youth who are determined 
                        by the local educational agency to be 
                        at risk of failing in, or dropping out 
                        of, schools, subject to clause (ii); 
                        and
                          (ii) shall not provide services in 
                        settings within a school that 
                        segregates homeless children and youth 
                        from other children and youth, except 
                        as is necessary for short periods of 
                        time--
                                  (I) for health and safety 
                                emergencies; or
                                  (II) to provide temporary, 
                                special, supplementary services 
                                to meet the unique needs of 
                                homeless children and youth.

           *       *       *       *       *       *       *

    (b) Application.--A local educational agency * * *

           *       *       *       *       *       *       *

          (1) an assessment of the educational and related 
        needs of homeless children and youth in the school 
        district (which may be undertaken as a part of needs 
        assessments for other disadvantaged groups);
          [(1)] (2) a description of the services and programs 
        for which assistance is sought and the problems to be 
        addressed through the provision of such services and 
        programs;
          [(2)] (3) an assurance that the local educational 
        agency's combined fiscal effort per student or the 
        aggregate expenditures of that agency and the State 
        with respect to the provision of free public education 
        by such agency for the fiscal year preceding the fiscal 
        year for which the determination is made was not less 
        than 90 percent of such combined fiscal effort or 
        aggregate expenditures for the second fiscal year 
        preceding the fiscal year for which the determination 
        is made;
          [(3)] (4) an assurance that the applicant complies 
        with, or will use requested funds to come into 
        compliance with [paragraphs (3) through (9) of section 
        1132(g)] paragraphs (3) through (8) of section 1132(g) 
        of this title; and
          [(4)] (5) description of policies and procedures that 
        the agency will implement to ensure that activities 
        carried out by the agency will not isolate or 
        stigmatize homeless children and youth.
    (c) Awards.--
          [(1) In general.--The State educational agency shall, 
        in accordance with section 11432(g) of this title and 
        from amounts made available to such agency under 
        section 11435 of this title, award grants under this 
        section to local educational agencies submitting an 
        application under subsection (b) of this section on the 
        basis of the need of such agencies.]
          (1) In general.--The State educational agency, in 
        accordance with the requirements of this subtitle and 
        from amounts made available to the State educational 
        agency under section 726, shall award grants, on a 
        competitive basis, to local educational agencies that 
        submit applications under subsection (b). Such grants 
        shall be awarded on the basis of the need of such 
        agencies for assistance under this subtitle and the 
        quality of the applications submitted.

           *       *       *       *       *       *       *

          (3) Quality.--In determining the quality of 
        applications under paragraph (1), the State educational 
        agency shall consider--
                  (A) the local educational agency's needs 
                assessment under subsection (b)(1) and the 
                likelihood that the program to be assisted will 
                meet the needs;
                  (B) the types, intensity, and coordination of 
                services to be assisted under the program;
                  (C) the involvement of parents or guardians;
                  (D) the extent to which homeless children and 
                youth will be integrated within the regular 
                education program;
                  (E) the quality of the local educational 
                agency's evaluation plan for the program;
                  (F) the extent to which services provided 
                under this subtitle will be coordinated with 
                other available services;
                  (G) the extent to which the local educational 
                agency provides case management or related 
                services to homeless children and youth who are 
                unaccompanied by a parent or guardian; and
                  (H) such other measures as the State 
                educational agency determines indicative of a 
                high-quality program.
          [(3)] (4) Duration of grants.--Grants awarded under 
        this section shall be for terms not to exceed three 
        years.

           *       *       *       *       *       *       *


SEC. 11434. SECRETARIAL RESPONSIBILITIES.

    (a) Review of Plans.--In reviewing the State plans 
submitted by [the State educational] State educational agencies 
under section 11432(g) of this title, the Secretary shall use a 
peer review process and shall evaluate whether State laws, 
policies, and practices described in such plans adequately 
address the problems of homeless children and youth relating to 
access to education and placement as described in such plans.

           *       *       *       *       *       *       *

    (c) Guidelines.--The Secretary shall develop, issue, and 
publish in the Federal Register, not later than 60 days after 
the date of enactment of the Educational Opportunities Act, 
school enrollment guidelines for States with respect to 
homeless children and youth. The guidelines shall describe--
          (1) successful ways in which a State may assist local 
        educational agencies to enroll immediately homeless 
        children and youth in school; and
          (2) how a State can review the State's requirements 
        regarding immunization and medical or school records 
        and make revisions to the requirements as are 
        appropriate and necessary in order to enroll homeless 
        children and youth in school more quickly.
    [(c)] (d) Evaluation and Dissemination.--The Secretary 
shall conduct evaluation and dissemination activities of 
programs designed to meet the educational needs of homeless 
elementary and secondary school students, and may use funds 
appropriated under section 11435 of this title to conduct such 
activities.
    [(d)] (e) Submission and Distribution.--The Secretary shall 
require applications for grants under this part to be submitted 
to the Secretary not later than the expiration of the 60-day 
period beginning on the date that funds are available for 
purposes of making such grants and shall make such grants not 
later than the expiration of the 120-day period beginning on 
such date.
    [(e)] (f) Determination by Secretary.--The Secretary, based 
on the information received from the States and information 
gathered by the Secretary under [subsection (d)] subsection (e) 
of this section, shall determine the extent to which State 
educational agencies are ensuring that each homeless child and 
homeless youth has access to a free appropriate public 
education as described in section 11431(1) of this title.
    [(f) Reports.--The Secretary shall prepare and submit a 
report to the Committee on Education and Labor of the House of 
Representatives and the Committee on Labor and Human Resources 
of the Senate on the programs and activities authorized by this 
part by December 31, 1997, and every third year thereafter.]
    (g) Information.--
          (1) In general.--From funds appropriated under 
        section 726, the Secretary, directly or through grants, 
        contracts, or cooperative agreements, shall 
        periodically collect and disseminate data and 
        information regarding--
                  (A) the number and location homeless children 
                and youth;
                  (B) the education and related services 
                homeless children and youth receive;
                  (C) the extent to which the needs of homeless 
                children and youth are met; and
                  (D) such other data and information as the 
                Secretary determines necessary and relevant to 
                carry out this subtitle.
          (2) Coordination.--The Secretary shall coordinate 
        such collection and dissemination with other agencies 
        and entities that receive assistance and administer 
        programs under this subtitle.
    (h) Report.--Not later than 4 years after the date of 
enactment of the Educational Opportunities Act, the Secretary 
shall prepare and submit to the President and the appropriate 
committees of the House of Representatives and the Senate a 
report on the status of the education of homeless children and 
youth, which shall include information regarding--
          (1) the education of homeless children and youth; and
          (2) the actions of the Department of Education and 
        the effectiveness of the programs supported under this 
        subtitle.

           *       *       *       *       *       *       *


SEC. 11434A. DEFINITIONS.

    For the purpose of this part, unless otherwise stated--
          (1) the terms ``local educational agency'' and 
        ``State educational agency'' have the meanings given 
        the terms in section 2 of the Elementary and Secondary 
        Education Act of 1965;
          [(1)] (2) the term ``Secretary'' means the Secretary 
        of Education; and
          [(2)] (3) the term ``State'' means each of the 50 
        States, the District of Columbia, and the Commonwealth 
        of Puerto Rico.

           *       *       *       *       *       *       *


[Sec. 11435. AUTHORIZATION OF APPROPRIATIONS.

    [For the purpose of carrying out this part, there are 
authorized to be appropriated $30,000,000 for fiscal year 1995 
and such sums as may be necessary for each of the fiscal years 
1996, 1997, 1998, and 1999.]

SEC. 11435. AUTHORIZATION OF APPROPRIATIONS.

    For the purpose of carrying out this subtitle, there are 
authorized to be appropriated $40,000,000 for fiscal year 2001 
and such sums as may be necessary for each of the 4 succeeding 
fiscal years.

           *       *       *       *       *       *       *


SEC. 12511. DEFINITIONS.

    For purposes of this subchapter:
          (1) Adult volunteer.--

           *       *       *       *       *       *       *

          (8) Elementary school.--The term ``elementary 
        school'' has the same meaning given such term in 
        section [8801] 3 of the Elementary and Secondary 
        Education Act of 1965 of title 20.

           *       *       *       *       *       *       *

          (14) Local educational agency.--The term ``local 
        educational agency'' has the same meaning given such 
        term in section [8801] 3 of the Elementary and 
        Secondary Education Act of 1965 of title 20.

           *       *       *       *       *       *       *

          (22) Secondary school.--The term ``secondary school'' 
        has the same meaning given such term in section [8801] 
        3 of the Elementary and Secondary Education Act of 1965 
        of title 20.

           *       *       *       *       *       *       *

          (28) State educational agency.--The term ``State 
        educational agency'' has the same meaning given such 
        term in section [8801] 3 of the Elementary and 
        Secondary Education Act of 1965 of title 20.

           *       *       *       *       *       *       *


Sec. 157 note--U.S. Code--Title 47

           *       *       *       *       *       *       *



SEC. 157. NEW TECHNOLOGIES AND SERVICES.

           *       *       *       *       *       *       *


historical and statutory notes

           *       *       *       *       *       *       *


          (2) Elementary and secondary schools.--The term 
        `elementary and secondary schools' means elementary and 
        secondary schools, as defined in [paragraphs (14) and 
        (25), respectively, of section 14101] section 3 of the 
        Elementary and Secondary Education Act of 1965 [(20 
        U.S.C. 8801)] [section 8801(14) and (25) of Title 20, 
        Education].

           *       *       *       *       *       *       *


Sec. 254h(5)(A)--U.S. Code--Title 47

           *       *       *       *       *       *       *



SEC. 254. UNIVERSAL SERVICE.

    (a) Procedures To Review Universal Service Requirements.--
          (1) Federal-State Joint Board on universal service

           *       *       *       *       *       *       *

          (5) Definitions.--For purposes of this subsection:
                  (A) Elementary and secondary schools.--The 
                term ``elementary and secondary schools'' means 
                elementary schools and secondary schools, as 
                defined in [paragraphs (14) and (25), 
                respectively, of section 8801 of Title 20] 
                section 3 of the Elementary and Secondary 
                Education Act of 1965.

           *       *       *       *       *       *       *


                      Title 49--United States Code

TRANSPORTATION

           *       *       *       *       *       *       *


SEC. 31136. UNITED STATES GOVERNMENT REGULATIONS.

           *       *       *       *       *       *       *


historical and statutory notes

           *       *       *       *       *       *       *


                 improved interstate school bus safety

    Section 4024 of Pub. L. 105-178 provided that: ``Not later 
than 6 months after the date of enactment of this Act [June 9, 
1998], the Secretary shall initiate a rulemaking proceeding to 
determine whether or not relevant commercial motor carrier 
safety regulations issued under section 31136 of title 49, 
United States Code [this section], should apply to all 
interstate school transportation operations by local 
educational agencies (as defined in section [14101] 3 of the 
Elementary and Secondary Education Act of 1965) [Pub. L. 89-10, 
Title XIV, Sec. 14101, as added Pub. L. 103-382, Title I, 
Sec. 101, Oct. 20, 1994, 108 Stat. 3887, codified as section 
8801 of Title 20, Education].''

           *       *       *       *       *       *       *


PUBLIC LAW 106-98--NOV. 12, 1999

           *       *       *       *       *       *       *



SEC. 3. PUBLIC SCHOOL PROGRAM.

    (a) Grants.--

           *       *       *       *       *       *       *

    (c) Definitions.--In this section:
          (1) Eligible institution.--* * *

           *       *       *       *       *       *       *

          (5) Secondary school.--The term ``secondary school'' 
        has the meaning given that term under section [14101] 3 
        of the Elementary and Secondary Education Act of 1965 
        [(20 U.S.C. 8801)].

           *       *       *       *       *       *       *


                                

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