[Senate Report 108-384]
[From the U.S. Government Publishing Office]



                                                       Calendar No. 759
108th Congress                                                   Report
                                 SENATE
 2d Session                                                     108-384

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



 
 CARL D. PERKINS CAREER AND TECHNICAL EDUCATION IMPROVEMENT ACT OF 2004

                                _______
                                

                October 4, 2004.--Ordered to be printed

                                _______
                                

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

                              R E P O R T

                         [To accompany S. 2686]

    The Committee on Health, Education, Labor, and Pensions, to 
which was referred the bill (S. 2686) to reauthorize the Carl 
D. Perkins Vocational and Technical Education Act of 1998, and 
for other purposes, having considered the same, reports 
favorably thereon with an amendment in the nature of a 
substitute and recommends that the bill (as amended) do pass.

                                CONTENTS

                                                                   Page
  I. Introduction.....................................................1
 II. Purpose and Summary..............................................1
III. Background and Need for Legislation..............................3
 IV. Legislative History and Committee Action.........................5
  V. Explanation of Bill and Committee Views..........................5
 VI. Cost Estimate...................................................19
VII. Regulatory Impact Statement.....................................21
VIII.Application of Law to the Legislative Branch....................21

 IX. Section-by-Section Analysis.....................................21
  X. Changes in Existing Law.........................................31

                            I. Introduction

    S. 2686 is the product of an extensive bipartisan effort, 
as well as significant input from the career and technical 
education community and the Department of Education.

                        II. Purpose and Summary

    The purpose of S. 2686, The Carl D. Perkins Career and 
Technical Education Improvement Act of 2004, is to reauthorize 
and improve the federally supported career and technical 
education programs last reauthorized by the Carl D. Perkins 
Vocational and Technical Education Amendments Act of 1998.
    The goals of the legislation include: building on the 
efforts of States and localities to develop challenging 
academic and technical standards; assisting students in meeting 
such standards, especially in preparation for high-skill, high-
wage, or high-demand occupations in emerging or established 
professions; promoting the development of services and 
activities that integrate challenging academic and career and 
technical instruction, and that link secondary and 
postsecondary education for participating career and technical 
education students; increasing State and local flexibility in 
providing services and activities designed to develop, 
implement, and improve career and technical education; 
conducting and disseminating information on best practices; 
promoting leadership, comprehensive initial training and 
professional development for career and technical education 
teachers, faculty, principals, administrators and counselors; 
providing technical assistance that will improve career and 
technical education programs, services, and activities; 
supporting partnerships among secondary schools, postsecondary 
institutions, area career technical centers, business and 
industry, professional associations, and intermediaries; and 
developing a highly skilled workforce needed to keep America 
competitive in the global economy in conjunction with other 
Federal education and training programs, including workforce 
investment programs, that provide lifelong learning for the 
workforce of today and tomorrow.
    The legislation was drafted with the intent of ensuring 
that career and technical education programs could be 
effectively linked with other Federal education and training 
programs, such as the Workforce Investment Act, the Higher 
Education Act, the Elementary and Secondary Education Act of 
1965, and the Adult Literacy and Basic Education Act, in order 
to prepare students for self-sufficiency.

State Flexibility in Funding

    This legislation amends the current system that requires 
States to spend 5 percent of funds on State administration and 
10 percent on State leadership activities. Instead, States are 
permitted to use discretion within the 15 percent of grants 
retained at the State level to accomplish the set of required 
and optional State leadership activities, and to appropriately 
administer the program.

State Plans

    States are required to submit the State plan once during 
the 6-year reauthorization period. Every 2 years, the State 
must update its accountability components to ensure continued 
improvement in career and technical education programs.

Local Plans

    Local recipients are required to submit a plan to the State 
once during the 6-year reauthorization period. They are also 
required to update their performance targets every 2 years 
during the reauthorization period.

Tech-Prep Education Programs

    The legislation provides for greater collaboration between 
State and local Tech-Prep programs and those career and 
technical education programs carried out with funds from basic 
State grants made to eligible agencies. The legislation amends 
current law so that Tech-Prep programs are included as part of 
Title I, although they continue to have a dedicated 
authorization.

Formula for Basic State Grants

    The formula for allocating basic State grants funds was 
changed to permit certain States that had not received an 
increase in Perkins funding since fiscal year 1998 to begin to 
receive increases as appropriations for the Perkins program 
increase. The formula is applied only to new funds appropriated 
for the Perkins program, beginning with fiscal year 2005.

Performance Measures

    The legislation amends the current performance measures and 
separates them into core indicators for secondary and 
postsecondary institutions. The indicators are aligned with 
other federally required performance indicators included in 
other acts, such as the Workforce Investment Act, the 
Elementary and Secondary Education Act of 1965, and the Adult 
and Basic Education Act, to the extent practicable.

Research and Dissemination

    The legislation consolidates the activities conducted by 
the national research and dissemination centers into one 
national center that would conduct both sets of activities.

Maintenance of Effort

    The legislation allows States to compare 3-year averages of 
career and technical education expenditures against a previous 
3-year period in order to determine whether or not the State is 
meeting its maintenance of effort requirement under the law.

                III. Background and Need for Legislation

    The enactment of the Smith-Hughes Act (P.L. 64-347) in 1917 
marked the beginning of the Federal investment in vocational 
education. The law established a Federal Board for Vocational 
Education and provided funding to assist States in preparing 
and compensating teachers of agricultural, trade, industrial, 
and home economics subjects. Over the course of 4 decades, 
Federal support for vocational education was expanded several 
times, most notably by the George-Barden Act (P.L. 80-402) in 
1946, and the National Defense Education Act (P.L. 85-864) in 
1958, which included funding to prepare individuals for 
vocational and technical occupations related to national 
defense.
    Congress further increased support for vocational education 
in the Vocational Education Act, signed into law in 1963. The 
Act authorized funding for vocational work-study programs and 
research, training and demonstration programs. A National 
Advisory Council on Vocational Education was established by the 
Vocational Education Amendments of 1968 (P.L. 90-576), which 
also provided funding for collecting and disseminating 
information about programs administered by the Commissioner of 
Education.
    The Vocational Education Act was renamed the Carl D. 
Perkins Vocational Education Act (P.L. 98-524) in 1984. The law 
maintained Federal support for vocational education, and 
emphasized the acquisition of job skills in vocational and 
technical education. The Act also included provisions and set-
asides designed to make vocational education programs 
accessible to special populations, such as individuals with 
disabilities, disadvantaged individuals, single parents and 
homemakers, and incarcerated individuals.
    The 1984 Act was reauthorized by the Carl D. Perkins 
Vocational and Applied Technology Education Act Amendments of 
1990 (P.L. 101-392). The law established the Tech-Prep program 
to encourage greater coordination of secondary and 
postsecondary vocational education programs and activities 
through a coherent sequence of courses. While the law removed 
most set-asides for special populations, it also created gender 
equity programs to prepare students for training and employment 
nontraditional to each gender. The law also reserved a higher 
maximum percentage of funds for State programs, but lessened 
States' discretion over the funds. In addition, the law 
required States to develop and adopt performance standards and 
measures to assess students' learning and program efficacy.
    Such accountability provisions were strengthened by P.L. 
105-332, the Carl D. Perkins Vocational and Applied Technology 
Amendments of 1998. The 1998 law established core indicators of 
performance for States, with levels of performance negotiated 
between each State and the Secretary of Education, and 
authorized sanctions against States that did not meet such 
levels. The Act also placed greater emphasis on the importance 
of academics for vocational education students. The Act 
eliminated set-asides for gender-equity programs in favor of 
increased flexibility in State and local uses of funds. The Act 
also directed a higher proportion of funds to local, rather 
than State, programs.
    During this reauthorization of the law, the committee 
believes it is critical to ensure that vocational and technical 
education programs prepare all students with both the academic 
and technical skills they need to be successful in 
postsecondary education and the workforce, particularly in 
high-wage, high-skill occupations. The committee believes that 
integrating academic and technical skills in instruction is a 
primary way to accomplish this. The committee also believes 
that the connection between secondary and postsecondary 
programs must be strengthened to ensure that students have a 
seamless pathway from one level of education and training to 
the next, and that attainment of technical skill proficiency, 
credentials, certificates or degrees ought to be part of any 
such extended program of study. The committee further believes 
that the recruitment, initial preparation, and subsequent 
professional development of career and technical education 
personnel must be improved. The committee considers it critical 
that vocational and technical education programs be relevant to 
the current needs of businesses and communities, and that 
programs be regularly updated to reflect major trends therein. 
The committee wishes to recognize modernization already 
occurring within the field by renaming vocational and technical 
education as career and technical education.

              IV. Legislative History and Committee Action

    The Health, Education, Labor, and Pensions Committee held a 
hearing on the reauthorization of the Carl D. Perkins 
Vocational and Technical Education Act on June 24, 2004. The 
Committee heard testimonies from five witnesses: Dr. Michael 
Rush, administrator, Idaho Division of Professional-Technical 
Education; Dr. Frank Blankenship, assistant superintendent and 
vocational director, Columbiana County Career and Technical 
Center; Dr. Jo Anne McFarland, president, Central Wyoming 
College; Harry Lightsey, president of Bell South, South 
Carolina; Angela Olszewski, journeywoman and instructor, 
Nontraditional Employment for Women, New York, NY.
    Senator Enzi introduced the bill on July 19, 2004 with 
Senators Gregg, Kennedy, Dodd, Alexander, Jeffords, Sessions, 
Bingaman, Murray, Reed, and Clinton as cosponsors. Additional 
cosponsors were added after introduction: Senators Conrad, 
DeWine, Reid, Harkin, and Roberts.

               V. Explanation of Bill and Committee Views

    The Carl D. Perkins Vocational and Technical Education Act 
has an extensive history of providing Federal support for 
career and technical education programs. This support has been 
integral in providing students from all backgrounds the 
essential academic and technical skill training to succeed in 
the workplace.
    The Carl D. Perkins Career and Technical Education 
Improvement Act of 2004 builds on the previous improvements to 
career and technical education programs byemphasizing the 
connection between academic instruction and technical skills 
preparation. The bill also encourages stronger collaboration with 
Federal programs such as the Workforce Investment Act to more 
effectively meet the needs of career and technical education students. 
This collaboration between Federal and State programs will have a 
greater impact on improving each individual program's effectiveness.
    In this reauthorization, the committee believes it is 
important to update the terminology associated with career and 
technical education in Federal law; therefore, S. 2686 would 
replace the term ``vocational and technical education'' with 
``career and technical education'' where it appears in current 
law. Professionals in the field of career and technical 
education made this change several years ago; it is appropriate 
the Federal law keep pace with developments in the field.
    The committee's proposed change to the definition of career 
and technical education is intended to clarify that a 2-year 
postsecondary program of career and technical education should 
not be an ending point in a career and technical student's 
education. The current law definition contained limiting 
language that created a perception that career and technical 
education ends with the completion of a 2-year postsecondary 
degree or certificate. The committee sees the importance of all 
students having the ability to pursue higher levels of 
education and considered the change to the definition important 
in sending this message. However, it is not the intent of the 
committee to deny or dilute critical funds to 2-year programs 
at community or technical colleges.

Purpose

    Career and technical education is a critical component of a 
number of Federal education and training initiatives that are 
designed to help support the development of a 21st Century 
workforce. Career and technical education is unique in that it 
fuses challenging academic curricula with relevant skill 
training in order to prepare secondary and postsecondary 
students for the workplace. The central goal of federally 
supported career and technical education programs is to provide 
students with strong academic and technical preparation, so 
that students can successfully enter the workforce or pursue 
additional education.
    One purpose of the Act is to build on the efforts of States 
and localities to develop challenging academic and technical 
standards. Strong standards are essential if career and 
technical education students are to be successful later in 
life, no matter which path they choose to pursue: employment, 
further training, or additional education.
    The second purpose of the Act is to establish a set of 
services and activities that integrate academic and career and 
technical instruction; and that link secondary and 
postsecondary education for participating career and technical 
education students. The integration of these services will 
become even more important as future job creation in the United 
States demands higher skills from secondary and postsecondary 
school graduates.
    The third purpose of the bill is to support flexibility in 
implementing career and technical education. Flexibility has 
been an important factor in the long-term success of federally 
supported career and technical education programs.
    The fourth purpose of the legislation is to support the 
dissemination of national research, and provide professional 
development and technical assistance that will improve career 
and technical education programs. The national effort to 
improve career and technical education programs will rely on 
the availability of rigorous and scientifically-based research. 
The Federal Government has an interest in helping to ensure 
that this research is available and effectively distributed to 
practitioners of career and technical education.
    The committee considered it important to elaborate on the 
purposes of the Federal legislation authorizing career and 
technical education programs. The first additional purpose, and 
the fifth overall, is to promote leadership, initial 
preparation and professional development of career and 
technical education teachers, faculty, principals, 
administrators, and counselors, and to develop research and 
best practices that will help improve career and technical 
education.
    The sixth purpose, and the second added by the committee in 
this reauthorization, is to support partnerships among 
secondary schools, postsecondary institutions, area career 
technical centers, business and industry, professional 
associations and intermediaries. One of the primary benefits of 
career and technical education has been its ability to provide 
students with relevant work skills. Strengthening career and 
technical education will require that courses be more directly 
linked to the needs of employers, guaranteeing that career and 
technical education students receive relevant skill training, 
in addition to challenging academic content.
    The final purpose of this legislation is to help develop 
the highly skilled workforce needed to keep America competitive 
in the global economy. This is to be done in conjunction with 
other Federal education and training programs, including 
workforce investment programs that support lifelong learning 
for the workforce of today and tomorrow. The committee 
recognizes that the Perkins program is an important part of 
preparing America's future workforce and will be most effective 
when Federal resources are used collaboratively with State 
efforts and other Federal programs.

Career Pathways

    The committee believes that career and technical education 
programs must be organized in a way that enables students to 
achieve measurable outcomes. The committee believes States and 
local recipients should work cooperatively to identify 
sequences of academic and career and technical education 
courses that lead to such outcomes and offer such options. The 
bill therefore requires that each secondary or postsecondary 
recipient provide the appropriate courses for at least one 
career pathway. A career pathway is a coordinated and non-
duplicative sequence of secondary andpostsecondary education 
courses and associated credits that may culminate in technical skill 
proficiency, a credential, certificate, or a degree, and includes 
challenging academic and career and technical education content. Career 
pathways may include the opportunity for secondary students to 
participate in dual or concurrent enrollment programs or other ways to 
acquire postsecondary credits.
    The committee considered it important to emphasize and 
strengthen career pathways that appear in current law in order 
to improve the integration of challenging academic instruction 
with career and technical education. The integration of these 
skills is critical to students' long-term success in the 
workforce, and will help students prepare for additional 
postsecondary education and training, which is becoming 
increasingly necessary in the American economy. As the 21st 
Century workforce demands higher-skilled workers, career and 
technical education will provide essential support for 
preparing students to meet such demand.

Work-Based Learning

    In referring to a sequence of courses throughout the bill, 
including in the definitions of career and technical education, 
career and technical education student, and career pathway, the 
committee intends to include ``work-based learning 
experiences,'' such as long-term internships or 
apprenticeships.

Accountability

    The 1998 reauthorization of the Carl D. Perkins Career and 
Technical Education Act created an accountability system where 
States would be held responsible for the performance of their 
career and technical education students. The system was 
established so that secondary and postsecondary institutions 
were reporting on the same indicators.
    The committee believes that separate indicators should be 
established to improve reporting and strengthen the 
accountability system. S. 2686 specifies different indicators 
appropriate for secondary and postsecondary institutions. While 
some of the indicators overlap, it is important to create a 
distinction that would allow secondary schools to assess 
technical and academic achievement, while simultaneously 
allowing postsecondary institutions to use other indicators, as 
well as employment outcomes.
    The committee also believes it is important that many of 
the indicators in current law be further separated in order to 
ensure a more complete evaluation of student outcomes. 
Secondary performance indicators include separate measures of 
student achievement on technical assessments and attainment of 
technical skill proficiencies that are aligned with nationally 
recognized industry standards, if available and appropriate; 
academic achievement standards; rates of attainment of a 
secondary school diploma, a recognized equivalent of a 
secondary school diploma, technical skill proficiency, a 
credential, a certificate, and a degree; placement in 
postsecondary education, military service, apprenticeship 
programs or employment; and student participation in, and 
completion of, career and technical education programs that 
lead to employment in nontraditional fields. Postsecondary 
indicators are also separated and include student achievement 
on technical assessments and attainment of technical skill 
proficiencies that are aligned with nationally recognized 
industry standards, if available and appropriate; student 
attainment of technical skill proficiency, a credential, a 
certificate, or a degree, or retention in postsecondary 
education, including transfer to a baccalaureate degree 
program; placement in military service, apprenticeship 
programs, or employment; student participation in, and 
completion of, career and technical education programs that 
lead to employment in nontraditional fields; and increase in 
earnings, where available. The committee retains language 
enabling both secondary and postsecondary recipients to 
establish additional indicators.
    The committee also believes that it is important to reduce 
the administrative burden on States and program grantees by 
requiring that States identify the core and additional 
indicators of performance so that substantially similar 
information gathered for other State and Federal programs is 
also used to satisfy the data reporting requirements. The 
committee recognizes that participating institutions are often 
required to report similar, but not identical, information for 
different Federal and State programs, placing a heavy burden on 
them in terms of costs and human resources. With this 
provision, S. 2686 requires States to identify opportunities 
for schools and institutions to use the same data reported for 
other Federal and State programs, where it is appropriate, to 
satisfy the reporting requirements of this Act.
    The new secondary indicators require the measurement of 
academic achievement by the assessments adopted by the State 
under the Elementary and Secondary Education Act of 1965. 
Whenever possible, these assessments should be given at a point 
in students' academic careers and in a manner that reflects the 
relevance and value added of career and technical education 
programs. Academic achievement tests given before a student 
enters a career and technical education program should not be 
used as a measure of academic performance for career and 
technical education students and Perkins-funded programs.
    S. 2686 requires eligible recipients to establish, in 
cooperation with the State's eligible agency, locally agreed 
upon levels of performance. The committee believes that this 
will improve State accountability systems by ensuring that 
programs at all levels are working to improve student outcomes.
    Under S. 2686, for the first time, States have the ability 
to withhold some or all funds from local recipients that fail 
to meet more than one of their negotiated performance 
indicators for more than two years, just as the Secretary may 
currently sanction States that fail to meet their performance 
indicators. The committee believes this offers States important 
leverage in driving improvement at the local level. However, 
such action may be taken only after a State has conducted an 
assessment of each eligible recipient's educational needs in 
consultation with appropriate individuals and organizations, 
created an improvement plan with and for each eligible 
recipient, and provided technical assistance to each eligible 
recipient. In addition, an eligible recipient is permitted, in 
collaboration with the appropriate eligible agency, to request 
additionaltechnical assistance from the Secretary.
    The committee encourages local secondary education 
recipients to report the results of professional certification 
exams as part of the report cards required by the Elementary 
and Secondary Education Act of 1965.
    The committee believes that the State adjusted levels of 
performance for core indicators of performance shall be 
expressed in a percentage or numerical form, so as to be 
objective, quantifiable, and measurable, and that the 
Secretary's role in the agreements with States is limited to 
reaching agreement on the percentage or number of students who 
attain the State adjusted levels of performance.

Career Guidance and Academic Counseling

    Career guidance and academic counseling can help inform 
students and their parents about available education and 
training options, and is critical to the success of programs 
supported under this bill. Career guidance and academic 
counseling should be provided to students as one part of a 
comprehensive guidance program, and should be available to 
individuals participating in or considering participating in 
career and technical education.
    While the committee recognizes the unique circumstances of 
school systems in parts of the country where qualified school 
counselors might not be readily available, the committee feels 
that, when they are available and the best resource available, 
qualified school counselors should be the professionals 
developing and administering graduation and career plans for 
career and technical education students.

Reservations and State Allotment

    The 1998 reauthorization significantly altered the way 
funds are distributed from the Federal level to the States. 
Under current law, the basic State grant formula distributes 
funds in varying proportions to each State's share of 
individuals in three population groups. The committee retains 
this formula for current levels of funding, as well as current 
reservations of funds for outlying areas, Native American 
career and technical education programs, and incentive grants. 
The committee notes that certain requirements and special rules 
under current law have created a situation in which a number of 
small States' allotments can never exceed their fiscal year 
1998 levels regardless of any future increases in 
appropriations. In order to address this imbalance so that 
those States can receive a share of future funding increases, 
the committee establishes a new Federal to State formula to be 
applied only to appropriations in excess of the fiscal year 
2004 level. By limiting the formula to new money, the 
committee's intent is to enable those States to receive extra 
funding when such funding becomes available, without decreasing 
any other State's current allotment.
    The committee is aware that the Department of Education is 
not in possession of the full data set necessary for the 
calculation of the number of individuals in each State who are 
between the ages of 15 and 19. Because the committee is 
uncertain of the effect modifying the formula to codify the 
current data set would have on State allocations, the committee 
has retained current law regarding that portion of the formula. 
If, however, such data becomes available, the committee 
requests that the Department of Education notify the committee 
before applying such new data to its formula calculations.

Within State Allocation

    States are currently permitted to spend no more than the 
greater of 5 percent or $250,000 of their allotments on 
administration of State plans, and no more than 10 percent on 
State leadership activities. In light of the new 
responsibilities placed on States in this legislation, the 
committee believes that additional flexibility in utilizing 
funds at the State level will be beneficial. The committee 
provides such flexibility by enabling States to spend a 
combined total of 15 percent on administration and leadership 
activities. States must continue to match any such funds spent 
on administration as required under current law.
    Throughout the bill, the committee has significantly 
improved language that supports the development of programs to 
recruit and retain students in career and technical education 
programs that lead to high-skill, high-wage and nontraditional 
careers. The ability to access high-quality career and 
technical education programs that lead to economic self-
sufficiency is imperative for secondary and postsecondary 
students alike. The committee therefore permits States 
additional flexibility in meeting these obligations by 
eliminating both the $150,000 cap on services that prepare 
individuals for nontraditional training, and the 1 percent cap 
on services for individuals in State institutions.
    Under current law, States must provide at least 85 percent 
of their State allotments to local eligible recipients, a 
requirement this legislation retains. Of that 85 percent, 
States have the authority to award 10 percent to local eligible 
recipients in rural areas, areas with high percentages or 
numbers of vocational and technical students, and communities 
negatively impacted by allocation changes in the 1998 
reauthorization. This provision, however, was of limited or no 
value for smaller, non-rural States. To address this situation, 
the committee has provided States additional flexibility to 
reserve the 10 percent, with the approval of participating 
eligible recipients, for innovative Statewide initiatives that 
benefit such recipients, including developing and implementing 
technical assessments; improving the professional development 
of career and technical education teachers, faculty, 
principals, and administrators; and establishing, enhancing, 
and supporting systems for accountability data collection or 
reporting purposes; or for the development and implementation 
of career pathways or career clusters.

National Activities

    Complete and accurate data are essential to the evaluation 
and analysis of career and technical education programs. As 
such, S. 2686 requires that the Secretary's annual report 
include a State-by-State analysis of performance data that is 
disaggregated byspecial populations for postsecondary 
institutions, and disaggregated for secondary institutions by special 
populations and by the categories described in the school report cards 
under the Elementary and Secondary Education Act of 1965. The committee 
believes that such requirements will not be onerous, since much of the 
information is already reported by States to the Department. Consistent 
with other Federal statutes, the requirement to disaggregate is waived 
when the number of individuals in a category is insufficient to yield 
statistically reliable information or the results would reveal 
personally identifiable information about an individual.
    S. 2686 slightly modifies the composition of the 
independent advisory panel to better focus on such committee 
priorities as the integration of academic and career and 
technical content, and collaboration with a wide range of types 
and sizes of businesses. Required members include educators, 
principals and administrators (including State directors of 
career and technical education) with experience in the 
integration of academic and career and technical education, 
experts in evaluation, representatives of small business, and 
other individuals and intermediaries with relevant expertise.
    To reduce duplication and increase efficiency, the 
committee reduced the number of national research centers on 
career and technical education to one. The committee believes 
the career and technical education field will be best served by 
a single center that can both conduct and disseminate high-
quality research. The committee further believes that 
institutions offering a comprehensive graduate program in 
career and technical education are best poised to house such a 
center, and should be designated as the primary recipient of 
such a grant. It is the committee's intent that the national 
center conducts research using the most rigorous methods 
available, including scientifically based research where 
appropriate. These methods should be designed to address the 
research problems and questions. Research methods may include, 
but are not limited to, case studies, observations, interviews, 
historical reviews, and secondary analysis.
    The committee believes it is critical that the center focus 
on career and technical education's connection to the workforce 
and to teacher education, professional development, recruitment 
and retention. The center is given the additional task of 
carrying out research to develop, improve and identify the most 
successful methods for addressing the needs of employers in 
high-skill, high-wage business and industry. The center is also 
required to conduct scientifically based research, where 
appropriate, that can be used to improve the preparation and 
professional development of teachers, principals, and 
administrators, as well as student learning. Such research 
would include effective in-service and pre-service teacher and 
faculty education that assists career and technical education 
programs in integrating with academic content standards and 
student academic achievement standards under the Elementary and 
Secondary Education Act of 1965, as well as promoting technical 
education aligned with industry-based standards and 
certifications to meet regional industry needs. Such research 
would also address recruitment and retention of career and 
technical education teachers, faculty, counselors, principals 
and administrators.
    The committee also requires that an institution of higher 
education seeking a grant under this section identify in its 
application an independent governing board that meets the 
specifications outlined in this legislation. The purpose of 
such an independent governing board would be to ensure that the 
research and dissemination activities carried out by the 
national research center are based on the expertise of the 
board members and coordinated with the research activities 
carried out by the Secretary.

National Assessment of Career and Technical Education

    The committee makes several modifications to the 
independent evaluation and assessment of career and technical 
education programs, including an assessment of current 
implementation. Such an assessment can offer valuable insight 
into how the law is serving the needs of career and technical 
education students, and offer guidance in shaping revisions to 
the law during the next reauthorization. Recognizing the need 
for comprehensive information, the committee also broadens the 
scope of such assessment by permitting the inclusion of 
additional topics not required under the law. In addition, the 
committee expands upon the list of required contents, adding 
provisions regarding special populations, attainment of a high 
school diploma by career and technical education students, 
employer satisfaction with career and technical education 
students' preparation for employment, and the effect of local 
adjusted levels of performance established under the 
legislation on the delivery of career and technical education 
services.
    The committee believes that the National Assessment of 
Vocational Education should include, in its evaluation of 
career and technical education, an analysis comparing data on 
career and technical education students with students who have 
neither participated in career and technical education nor 
followed a consistent pathway to college attendance upon 
graduation from high school.

Tribally Controlled Postsecondary Career and Technical Institutions

    The committee has not made any changes to the way that 
funding is distributed under this section. Since their 
inception over three decades ago, however, tribally controlled 
postsecondary educational institutions have evolved in 
directions that best benefit the unique tribal populations they 
serve. In order to respond to the unique educational needs of 
the institutions, interested Senators intend to ask the 
Government Accountability Office (GAO) to evaluate various 
proposed distribution methods to better understand their impact 
on eligible institutions. If the GAO makes recommendations for 
changes, the committee would be willing to consider those 
changes as part of upcoming education reauthorizations.
    The committee notes that it is retaining the requirement in 
current law for the Department of Education to prepare a budget 
needs estimate for each institution eligible for a grant under 
this section on an annual basis. The committee encourages the 
Secretary to provide this information to Congress as part of 
its yearly budget submission.
    The committee is aware of the persistent dissatisfaction 
among recipients of grants under this section regarding the 
amounts awarded to each eligible institution. To assure each 
such institution an adequate opportunity to address their 
grievances, the committee establishes an appeals process 
consisting of a hearing on the record before an administrative 
law judge. It is the committee's intent that each such 
institution regard the appeals process as a last resort in 
resolving disputes.
    The committee is also concerned with the frequent late 
payments to the tribally controlled postsecondary vocational 
education grantees. We understand that only a small portion of 
the FY04 funds have been awarded to the grantees as of 
September 24, 2004. This makes budgeting by the institutions 
very difficult. We ask the Department to endeavor to let the 
grantees know their full award amounts by no later than July 1, 
to distribute the funds in a timely manner, and to inform the 
committee of the reasons if this is not possible.

Occupational and Employment Information

    The committee believes that providing students with 
adequate information regarding both employment opportunities 
and the skills necessary to obtain employment, particularly in 
high-skill, high-wage, or high-demand occupations, is an 
essential component of federally supported career and technical 
education programs. In amending this section, the committee 
heard from practitioners in the States and made some important 
improvements based on that input.
    One of the improvements made was to allow occupational and 
employment information programs to submit their application for 
Federal funding together with the State plan submitted for the 
basic State grants program. A common complaint from the 
occupational and employment information providers was that they 
had to apply annually for grant funding. The change made by the 
committee will permit these providers to plan more effectively 
for the future.
    The committee recognizes that special populations are 
underrepresented in career and technical education courses of 
study that would prepare them for high-wage, high-skill and 
nontraditional careers. The committee intends that the 
information, materials, training and other resources outlined 
in this section be used proactively to recruit special 
populations who are underrepresented in nontraditional fields 
to high-wage and high-skill occupations. This requirement will 
help ameliorate the current discrepancies in course enrollment 
and subsequent future earnings.

State Plan

    S. 2686 requires States to submit to the Secretary a State 
plan for a 6-year period, rather than a 5-year period as 
required under current law. In recognition of the challenges of 
adapting to the provisions of a new law, each eligible agency 
is permitted to submit a transition plan during the first full 
year of implementation of the legislation after the date of its 
enactment.
    The committee believes that a carefully crafted, 
comprehensive, strategic State plan is critical to the success 
of career and technical education programs within each State. 
For this reason, the range of individuals with whom the 
eligible agency must consult in developing the State plan is 
expanded to include academic and career and technical education 
teachers, faculty, principals, administrators, career guidance 
and academic counselors, the State Tech-Prep coordinator and 
representatives of Tech-Prep consortia (if applicable), 
representatives of charter school authorizers and organizers 
(if applicable), and representatives of business (including 
small business). In requiring the involvement of Tech-Prep 
personnel, the committee intends that States actively seek 
mechanisms to integrate and coordinate programs and activities 
under both the basic State grant and Tech-Prep grant programs.
    S. 2686 retains many elements of the State plan contents 
required under current law including, among other items, 
descriptions of the secondary and postsecondary career and 
technical programs to be carried out, initiatives to improve 
and expand access to quality technology in those programs, and 
the rationale for allocation of funds among secondary and 
postsecondary career and technical education.
    S. 2686 revises and expands the contents of the State plan 
in a number of key areas to reflect new responsibilities given 
the States in this legislation. States must describe how they 
will assist eligible recipients in meeting the legislation's 
new requirement that each eligible recipient develop and 
implement at least one career pathway. It is the committee's 
intent, however, that the State should encourage and assist 
eligible recipients in developing and implementing multiple 
career pathways to offer students the greatest possible array 
of options. The State plan requires the eligible agency to 
describe how it will support eligible recipients in developing 
articulation agreements and how they will use labor market 
information. The plan further requires the eligible agency to 
describe how it will make available information about the 
career pathways offered by various eligible recipients within 
the State, and how it will consult with business and industry 
and use industry-recognized standards and assessments, if 
appropriate. In carrying out these obligations, the committee 
believes it is important that the State respect the tradition 
of local control of education.
    States will also be required to address their strategy for 
promoting successful outcomes for career and technical 
education students. Specifically, they must explain how they 
will encourage secondary career and technical education 
students to enroll in challenging courses in core academic 
subjects, and describe the criteria they will use to assess how 
local plans will promote higher levels of academic achievement 
and technical skill attainment. The State plan must describe 
how secondary programs will prepare career and technical 
education students, including special populations, to not only 
graduate from high school with a diploma, but also be prepared 
for opportunities in postsecondary education or entry into 
high-skill, high-wage or high-demand occupations, including 
nontraditional fields. The State must also outline how it will 
use funds to improve or develop new career and technical 
education courses that are aligned with business needs and 
industry standards. At the secondary level, courses should be 
alignedwith challenging academic content standards and student 
academic achievement standards adopted by the State under the 
Elementary and Secondary Education Act of 1965.
    States must also describe program strategies for special 
populations, including a description of how the State will 
ensure that individuals will not be discriminated against on 
the basis of their status as members of a special population, 
and will be provided with equal access to activities assisted 
under the legislation. Such program strategies must include a 
description of programs designed to enable the special 
populations to meet or exceed State adjusted levels of 
performance, and prepare special populations for further 
learning and for high-skill, high-wage, or high demand 
occupations. The plan must also address how the eligible agency 
will measure and report disaggregated data relating to student 
participation in and completion of career and technical 
education within specific career clusters. The committee 
believes such disaggregation by career clusters will yield 
important information regarding gender and special populations 
that may be used to evaluate and improve career and technical 
education programs.
    The committee is aware that States have requested the 
option of filing a single, unified plan instead of submitting a 
separate plan for each of the following sections: 111, 118, and 
141. The committee agrees that States should be given the 
option, but not be required, to submit such a unified plan in 
order to reduce time spent on administration. The committee 
hopes that offering a consolidated plan option will encourage 
States to further integrate and coordinate activities carried 
out under such sections.

State Leadership Activities

    S. 2686 significantly strengthens the professional 
development activities required by the 1998 reauthorization of 
the Carl D. Perkins Vocational and Technical Education Act and 
requires States to provide technical assistance to local 
recipients that are not meeting their negotiated performance 
levels.
    In addition, the committee added several permissible 
activities. S. 2686 permits States to use leadership funds for 
developing technical skill assessments, supporting articulation 
agreements, and coordinating with State workforce investment 
activities. States are also permitted to spend funds for the 
development and enhancement of data systems and the improvement 
of career guidance and academic counseling.
    The committee believes the significant improvements made to 
federally supported career and technical education programs 
will provide important opportunities for States to support the 
efforts of local grant recipients. By expanding the list of 
allowable State leadership activities, eligible agencies will 
be better able to support local grantees.
    In Section 124, the committee expects schools and local 
educational agencies to provide career guidance and academic 
counselors with the professional development support necessary 
to remain current on industry trends and needs.

Career and Technical Education Personnel

    Much of the responsibility for ensuring that career and 
technical education programs are current, well integrated with 
relevant academic standards and assessments, and aligned with 
business and industry practice and expectations, will lie with 
career and technical education teachers, faculty, principals, 
administrators, and career guidance and academic counselors. 
However, there is currently a nationwide shortage of career and 
technical education personnel, and a decreasing number of 
programs at the postsecondary level to develop such personnel.
    The committee, therefore, has a particular interest in 
improving the recruitment, initial preparation, and subsequent 
professional development of career and technical education 
personnel. As such, the committee strengthens these activities, 
as it did in the Elementary and Secondary Education Act of 1965 
and the Individuals with Disabilities Education Act 
reauthorization pending in Congress. Specifically, the bill, 
through the State plan, State leadership activities, local 
plan, and local uses of funds, requires comprehensive and high 
quality initial preparation and professional development for 
career and technical education personnel, including through 
mentoring programs and training designed to improve teaching 
skills, increase academic and career and technical education 
knowledge, promote the integration of academic and career and 
technical education curriculum, improve instruction for special 
populations, effectively involve parents, and enhance the 
leadership capacity of principals and administrators. 
Additionally, the bill's focus in this important area is not 
just on career and technical education teachers, but on all 
personnel, including faculty, principals, administrators, and 
career guidance and academic counselors, involved with career 
and technical education students.

Small Learning Communities

    The committee believes that career and technical education 
programs, which are generally organized around unifying and 
integrated career themes, such as career clusters, create ideal 
opportunities for small learning communities. Such communities 
may consist of small new schools, schools within schools, 
career academies, or other small learning environments. Small 
learning communities are associated with many positive 
outcomes. For example, average achievement is higher in small 
high schools, and effects are greatest for low-income and 
minority students. Other positive outcomes include higher 
school attendance rates, higher pass rates for core classes, 
higher graduation rates and lower drop-out rates, and higher 
rates of college attendance. Students in small schools also 
feel less alienated and tend to be more actively engaged in 
school activities. In addition, small schools are safer schools 
where students are less likely to experience physical danger, 
loss of property, and vandalism. Accordingly, the committee 
amended Section 135(c) to allow local recipients to use funds 
to develop and support small, personalized career-themed 
learning communities.

Data Systems

    High-quality data systems are the bedrock on which 
effective career and technical education programs are built. 
Such systems are essential for collecting and analyzing data 
about educational and employment outcomes, as well as for 
career and technical education program evaluation and 
improvement. The data reported, however, must be complete, 
accurate, valid and reliable. Yet present data and data systems 
are too often incapable of meeting the requirements of career 
and technical education programs, of States, and of this Act. 
Accordingly, the committee includes several new provisions for 
data collection, utilization, and analysis, including 
provisions which allow the State allocation to be used to 
support and develop State data systems, and State leadership 
funds to be used to develop and enhance data systems to collect 
and analyze data on postsecondary and employment outcomes.

Valid and Reliable Technical Assessments

    This bill is designed to improve student educational and 
employment outcomes, including their technical and workplace 
knowledge and skills. For example, this bill will require 
States to identify core indicators of performance that include 
measure of student achievement on technical assessments and 
attainment of career and technical skill proficiencies. Thus, 
it is essential to develop valid and reliable assessments of 
technical and career competencies that are aligned with 
nationally recognized industry standards and integrate industry 
recognized certification assessments, if available and 
appropriate. To address this need for high-quality technical 
assessments, S. 2686 permits State leadership funds to be used 
to develop valid and reliable assessments of technical skills 
that are integrated with industry recognized certification 
assessments, where available.

Local Plan for Career and Technical Education Programs

    The committee believes a comprehensive local plan is the 
foundation for an effective system of career and technical 
education programs at the local level. S. 2686 largely 
maintains the required contents of the local plan, while 
revising and adding several topics to reflect committee 
priorities. The legislation requires eligible recipients to 
describe how career and technical education activities will be 
carried out with respect to meeting State levels of performance 
and the local levels of performance newly established under 
section 104. The committee believes it is critical that the 
merit of such activities be judged by how the eligible 
recipient meets State and local levels of performance, and 
makes adjustments in planning and practice accordingly. The 
committee also believes it is imperative for career and 
technical education programs to span both secondary and 
postsecondary levels and to prepare students to attain 
technical skill proficiency, a credential, a certificate or a 
degree whenever possible. As such, the local plan requires 
eligible recipients to describe how they will offer the 
appropriate courses of at least one career pathway.
    The committee believes a wide range of individuals and 
entities must be involved in the development, implementation 
and evaluation of career and technical education programs. The 
legislation broadens the scope of such required consultation by 
stipulating that representatives of Tech-Prep consortia be 
included if an eligible recipient is part of a Tech-Prep 
consortia. Such consultation would provide for better 
integration of traditional career and technical education 
activities and Tech-Prep activities.
    In addition, local plans must describe how comprehensive 
professional development will be provided consistent with 
section 111; how career guidance and counseling will be 
provided to all career and technical education students; and 
those efforts that will improve the recruitment and retention 
of career and technical education teachers, faculty, 
counselors, principals, and administrators.
    The committee provides that local secondary education 
recipients may meet the requirement established in Section 
134(b)(10) of current law through adult education programs and 
area vocational technical schools that have demonstrated the 
ability to meet the education and training needs of special 
populations who are underrepresented in high-wage, high-skill 
or nontraditional fields.

Local Uses of Funds

    The committee allows local recipients to utilize local 
funds for activities to prepare special populations for high-
skill, high-wage, or nontraditional occupations that will lead 
to self-sufficiency. These activities may include outreach, 
recruitment, career and academic counseling, life skills 
development, vocational assessment and testing, supportive 
services, financial literacy training, job readiness training, 
tuition assistance, and preparatory services.
    It is the intent of the committee that the career and 
technical education programs funded under the Act provide 
meaningful opportunities for students and workers to prepare 
for high-skill, high-wage occupations that may lead to economic 
self-sufficiency. In implementing this provision, it is the 
recommendation of the committee that students and workers be 
provided with information about other State and Federal 
programs that may offer additional assistance.
    S. 2686 requires that any local funds spent on equipment be 
for ``instructional'' equipment. This would include any 
equipment critical for successful instruction and the 
preparation of students for entry into the workforce. The new 
language would provide safeguards to prevent schools from using 
Perkins funds for items unrelated to career and technical 
education, but should not prevent programs from purchasing 
needed technical equipment.

Tech-Prep Education

    Tech-Prep education has had its own authorization since the 
1990 reauthorization of Federal vocational and technical 
education programs. S. 2686 maintains a separate authorization, 
but the committee felt strongly that the activities authorized 
by the Tech-Prep education program could be more consistently 
incorporated with those activities supported by the basic State 
grants. To that end, the committee believes shifting the Tech-
Prep program into the basic State grants as a new Part D while 
maintaining independent funding would help improve 
collaboration between Tech-Prep grantees and basic State grant 
recipients.
    In addition, the committee has encouraged greater 
collaboration between 2- and 4-year institutions of higher 
education and secondary schools in order to extend the benefits 
of career and technical education to all career and technical 
education students, not just students attending Tech-Prep 
programs.

Fiscal Requirements

    The committee heard from a number of States that the 
maintenance of effort requirements were creating a reporting 
challenge. In order to address these concerns, the committee 
allows States to use a rolling average of expenditures from 
consecutive three-year periods to make that determination, 
rather than use alternative solutions that had been suggested.

                           VI. Cost Estimate

                                     U.S. Congress,
                               Congressional Budget Office,
                                Washington, DC, September 28, 2004.
Hon. Judd Gregg,
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. 2686, the Carl D. 
Perkins Career and Technical Education Improvement Act of 2004.
    If you wish further details on this estimate, we will be 
pleased to provide them. The CBO staff contact is Justin 
Humphrey.
            Sincerely,
                                      Elizabeth M. Robinson
                               (For Douglas Holtz-Eakin, Director).
    Enclosure.

S. 2686--Carl D. Perkins Career and Technical Education Improvement Act 
        of 2004

    Summary: S. 2686 would amend the Carl D. Perkins Vocational 
and Technical Education Act of 1998 and reauthorize secondary 
and postsecondary vocational education programs through fiscal 
year 2011. These programs currently are authorized through 2004 
by the General Education Provisions Act (GEPA). The bill would 
authorize appropriations of an estimated $1.4 billion for these 
purposes for fiscal year 2005 and an estimated $10.1 billion 
for fiscal years 2005 through 2011, assuming adjustments for 
inflation. Assuming the appropriation of the necessary funds, 
the resulting outlays would total $41 million for 2005 and $8.2 
billion for the seven-year period. Enacting the bill would not 
affect direct spending or revenues.
    S. 2686 contains no private-sector or intergovernmental 
mandates as defined in the Unfunded Mandates Reform Act (UMRA); 
any costs to state, local, or tribal governments would result 
from complying with conditions of federal assistance.
    Estimated cost to the Federal Government: The estimated 
federal budgetary impact of S. 2686 is shown in the following 
table. The costs of this legislation fall within budget 
function 500 (education, training, employment, and social 
services).

----------------------------------------------------------------------------------------------------------------
                                                             By fiscal year, in millions of dollars--
                                                 ---------------------------------------------------------------
                                                   2004    2005    2006    2007    2008    2009    2010    2011
----------------------------------------------------------------------------------------------------------------
                                        SPENDING SUBJECT TO APPROPRIATION

Spending Under Current Law for Vocational
 Education:
    Budget Authority \1\........................   1,335       0       0       0       0       0       0       0
    Estimated Outlays...........................   1,326   1,294     334      67       0       0       0       0
Proposed Changes:
    State Grants:
        Estimated Authorization Level...........       0   1,215   1,239   1,266   1,292   1,321   1,349   1,379
        Estimated Outlays.......................       0      36     912   1,173   1,259   1,385   1,313   1,342
    National Activities:
        Estimated Authorization Level...........       0      12      12      13      13      13      13      14
        Estimated Outlays.......................       0       1       9      12      13      13      13      13
    Tribally Controlled Postsecondary Vocational
     Institutions:
        Estimated Authorization Level...........       0      10      10      10      11      11      11      11
        Estimated Outlays.......................       0       *       8      10      10      11      11      11
    Occupational and Employment Information:
        Estimated Authorization Level...........       0       9       9      10      10      10      10      10
        Estimated Outlays.......................       0       *       7       9       9      10      10      10
    Tech Prep Education:
        Estimated Authorization Level...........       0     109     111     113     116     118     121     123
        Estimated Outlays.......................       0       3      82     105     113     115     118     120
    Total Changes:
        Estimated Authorization Level...........       0   1,355   1,382   1,412   1,441   1,473   1,505   1,538
        Estimated Outlays.......................       0      41   1,017   1,309   1,404   1,433   1,464   1,496
Spending under S. 2686 for Vocational Education:
        Estimated Authorization Level \1\.......   1,335   1,355   1,382   1,412   1,441   1,473   1,505   1,538
        Estimated Outlays.......................   1,326   1,334   1,351   1,375   1,404   1,433   1,464   1,496
----------------------------------------------------------------------------------------------------------------
\1\ The 2004 amount is the total appropriated that year for vocational and technical education.

Notes.--Components may not sum to totals because of rounding. * = less than $500,000.

    Basis of estimate: For this estimate, CBO assumes that S. 
2686 will be enacted this fall and that the necessary amounts 
will be appropriated for each year. Estimated outlays are based 
on the historical spending of programs authorized by the Carl 
D. Perkins Vocational Education Act.
    The bill would authorize such sums as may be necessary for 
fiscal years 2005 through 2010 for programs that provide grants 
and administrative support for programs that provide grants and 
administrative support for career-related education and 
training. Grants to tribally controlled postsecondary 
vocational and technical institutions would be authorized at 
$10 million for fiscal year 2005 and such sums as may be 
necessary through 2010. Under the General Education Provisions 
Act, these authorizations automatically would be extended for 
an additional year, through 2011.
    Based on amounts previously appropriated for these programs 
(or, amounts explicitly stated in the bill, as applicable), CBO 
estimates this bill would authorize $1.4 billion for fiscal 
year 2005, and $10.1 billion over the 7-year period. Details of 
these authorizations are shown on the preceding table. Fiscal 
year 2004 appropriations for these programs are listed below.
    State Grants--$1,195 million. These formula grants are used 
for vocational programs in high schools, technical schools, and 
community colleges.
    National Activities--$12 million. These funds support the 
collection of data on vocational education performance and 
research on the effectiveness of vocational and technical 
education.
    Tribally Controlled Institutions--$7 million. These grants 
provide funding for career-oriented education and training at 
tribally-controlled institutions.
    Occupational and Employment Information--$9 million. These 
funds are used to improve vocational education counseling 
services and career guidance.
    Tech Prep Education--$107 million. This program provides 
grants to states to support coordinated programs between 
secondary and post-secondary vocational education.
    Intergovernmental and private-sector impact: S. 2686 
contains no private-sector or intergovernmental mandates as 
defined in UMRA; any costs to state, local, or tribal 
governments would result from complying with conditions of 
federal assistance.
    Previous CBO estimate: On August 12, 2004, CBO transmitted 
a cost estimate for H.R. 4496, the Vocational and Technical 
Education for the Future Act, as ordered reported by the House 
Committee on Education and the Workforce on July 21, 2004. The 
authorization level for that bill was similar to S. 2686, 
totaling $10 billion from 2005 through 2011.
    Estimate prepared by: Federal Costs: Christina Hawley 
Sadoti and Justin Humphrey; Impact on State, Local, and Tribal 
Governments: Sarah Puro; and Impact on the Private Sector: 
Ralph Smith.
    Estimate approved by: Peter H. Fontaine, Deputy Assistant 
Director for Budget Analysis.

                    VII. Regulatory Impact Statement

    The committee has determined that there will be de minimis 
changes in the regulatory burden imposed by this bill.

           VIII. Application of Law to the Legislative Branch

    Section 102(b)(3) of Public Law 104-1, the Congressional 
Accountability Act (CAA) requires a description of the 
application of this bill to the legislative branch. S. 2686 
reauthorizes secondary and postsecondary vocational education 
programs for the States and does not amend any act that applies 
to the legislative branch.

                    IX. Section-by-Section Analysis


Section 1--Short Title, Table of Contents

    Designates the bill as the ``Carl D. Perkins Career and 
Technical Education Improvement Act of 2004.'' Amends the table 
of contents for the bill.

Section 2--References

    Specifies that changes in this legislation apply to the 
Carl D. Perkins Vocational and Technical Education Act of 1998.

Section 3--Purpose

    Amends section 2 of current law and adds three purposes: 
promoting leadership and professional development at the State 
and local levels, and developing research and best practices 
for improving the quality of career and technical education 
teachers, faculty, principals, administrators, and counselors; 
supporting partnerships among secondary schools, postsecondary 
institutions, area career technical centers, business and 
industry, professional associations and intermediaries; and 
developing a highly skilled workforce needed to keep America 
competitive in the global economy in conjunction with other 
Federal education and training programs, including workforce 
investment programs, that provide lifelong learning for the 
workforce of today and tomorrow.

Section 4--Definitions

    Amends the definition of vocational and technical education 
to read ``career and technical education'' throughout the bill. 
Shifts the set of definitions from Title II into section 4 of 
the Act.
    Defines ``career pathway'' as a coordinated and 
nonduplicative sequence of courses that identifies both 
secondary and postsecondary elements; includes challenging 
academic and career and technical education content; may 
include the opportunity for students to participate in dual or 
concurrent enrollment programs or other ways to acquire 
postsecondary credits; and may culminate in technical skill 
proficiency, a credential, a certificate, or a degree.
    Defines the term ``core academic subjects'' as it is 
defined in section 9101 of the Elementary and Secondary 
Education Act of 1965.
    Amends the definition of an ``eligible institution'' by 
specifying that eligible institutions must be ``a public or 
nonprofit private institution of higher education that offers 
career and technical education courses that lead to technical 
skill proficiency, an industry-recognized credential, a 
certificate, or a degree.''
    Defines the term ``graduation and career plan'' as a 
written plan for a secondary career and technical education 
student that: is developed with career guidance and academic 
counseling staff, and in consultation with parents, not later 
than in the first year of secondary school or upon enrollment 
in career and technical education; is reviewed annually and 
modified as needed; includes relevant information on secondary 
school requirements for graduating with a diploma, 
postsecondary education admission requirements, and high-skill, 
high-wage, or high-demand occupations and nontraditionalfields 
in emerging and established professions and labor market indicators; 
and States the student's secondary school graduation goals, 
postsecondary education and training, or employment goals, and 
identifies one or more career pathways that correspond to the goals.
    Defines the term ``self-sufficiency'' as a standard that is 
adopted, calculated, or commissioned by a local area or State, 
and which adjusts for local factors in specifying the income 
needs of families, by family size, the number and ages of 
children in the family, and sub-State geographical 
considerations.

Section 5--Transition Provisions

    Provides for the successful transition between the current 
Act and the Carl D. Perkins Career and Technical Education 
Improvement Act of 2004. Ensures that each eligible agency will 
have a full fiscal year for transition to plan for and 
implement the requirements of this Act.

Section 6--Limitation

    Strikes a reference in current law to the School-to-Work 
Opportunities Act of 1994.

Section 7--Authorization of Appropriations

    Authorizes funding for career and technical education 
through 2010.

    TITLE I--CAREER AND TECHNICAL EDUCATION ASSISTANCE TO THE STATES


Section 101--Career and Technical Education Assistance to the States

    Renames the Title I basic State grant program ``Career and 
Technical Education Assistance to the States.''

Section 102--Reservations and State Allotment

    Section 102 modifies the formula in section 111 of current 
law for Federal to State allocations. The modification applies 
only to funding appropriated in excess of fiscal year 2004 
funding. Any such excess amounts are to be distributed 
according to the formula under paragraph (2) of current law, 
but with the following restrictions: no State may receive less 
than \1/2\ of 1 percent of the total excess amount, and no 
State, because of the application of such modified formula in 
combination with the regular formula, may receive in total for 
a fiscal year more than the amount determined by a mathematical 
calculation.

Section 103--State Allocations

    Section 103 amends section 112 of current law.
    Section 103 modifies section 112 of current law for state 
allocations. The modification gives states greater flexibility 
with previous set-asides for serving individuals in State 
institutions, and preparing individuals for nontraditional 
employment. It also allows States to use the 10 percent reserve 
money from the amount being sent to local areas to award grants 
to eligible recipients in rural areas, areas with high 
percentages or numbers of career and technical education 
students as in current law; and offers a new option, with the 
approval of participating eligible recipients, to offer 
innovative statewide initiatives that demonstrate benefits for 
eligible recipients.
    This section further modifies current law by allowing 
states to use funds to develop and support state data systems.

Section 104--Accountability

    Amends section 113 of current law. This section establishes 
separate indicators for secondary and postsecondary grant 
recipients. The amended secondary performance indicators are: 
student achievement on technical assessments and attainment of 
career and technical skill proficiencies that are aligned with 
nationally recognized industry standards, if available and 
appropriate; student attainment of challenging academic content 
standards and student academic achievement standards as adopted 
by the State under the Elementary and Secondary Education Act 
of 1965 and measured by the academic assessments described in 
section 1111(b)(3) of such Act, consistent with State 
requirements; student rates of attainment of a secondary school 
diploma, the recognized equivalent of a secondary school 
diploma, technical skill proficiency, a credential, a 
certificate, and a degree; placement in postsecondary 
education, military service, apprenticeship programs, or 
employment; student participation in, and completion of, career 
and technical education programs that lead to employment in 
nontraditional fields.
    The postsecondary indicators are: student achievement on 
technical assessments and attainment of career and technical 
skill proficiencies that are aligned with nationally recognized 
industry standards, if appropriate; student attainment of 
technical skill proficiency, a credential, a certificate, or a 
degree, or retention in postsecondary education, including 
transfer to a baccalaureate degree program; placement in 
military service, apprenticeship programs, or employment; 
student participation in, and completion of, career and 
technical education programs that lead to employment in 
nontraditional fields; increase in earnings, where available.
    This section also requires States to align performance 
indicators with other applicable State and Federal programs in 
order to meet the requirements of this section, disaggregate 
data when reporting, reevaluate levels of performance every two 
years, and require local recipients to meet performance 
indicators established in conjunction with the State.

Section 105--National Activities

    Section 105 amends section 114 of current law to require 
that the Secretary's annual report to Congress on the 
Secretary's aggregate analysis of performance information 
collected each year pursuant to the law include an analysis of 
performance data that is disaggregated by special populations 
for postsecondary institutions, and disaggregated for secondary 
institutions by special populations and by the categories 
described in section 1111(h)(1)(C)(i) of the Elementary and 
Secondary Education Act of 1965. The requirement to 
disaggregate is waived when the number of individuals in a 
category is insufficient to yield statistically reliable 
information or the results would reveal personally identifiable 
information about an individual.
    Section 105 modifies the composition of the independent 
advisory panel to include educators, principals and 
administrators (including State directors of career and 
technical education) with experience in the integration of 
academic and career and technical education, experts in 
evaluation, representatives of small business, and other 
individuals and intermediaries with relevant expertise.
    Section 105 requires that the independent evaluation and 
assessment of career and technical education programs that the 
Secretary must provide for shall include, to the extent 
practicable, the implementation of the Carl D. Perkins Career 
and Technical Education Improvement Act of 2004. The section 
broadens the scope of such assessment by stating that it is not 
limited to the list of contents required by the law. The 
section modifies the list of required contents and adds 
provisions regarding special populations, attainment of a high 
school diploma by career and technical education students, 
employer satisfaction with career and technical education 
students' preparation for employment, and the effect of new 
local adjusted levels of performance on the delivery of career 
and technical education services.
    Section 105 authorizes the Secretary to award competitive 
grants, contracts or cooperative agreements to an institution 
of higher education offering a comprehensive graduate program 
in career and technical education, which shall collaborate with 
organizations or agencies to establish one national research 
center, rather than multiple centers as permitted under current 
law. The center is given the additional task of carrying out 
research to develop, improve and identify the most successful 
methods for addressing the needs of employers in high-skill, 
high-wage business and industry. The center's tasks are further 
modified to require the conduct of research, which should be 
scientifically based where appropriate, that can be used to 
improve the preparation and professional development of 
teachers, principals, and administrators, as well as student 
learning.
    Section 105 requires that an institution of higher 
education that desires a grant under this section shall 
identify in its application an independent governing board that 
meets the qualifications newly established in this section. The 
purpose of such independent governing board would be to ensure 
that the research and dissemination activities carried out by 
the national research center are coordinated with the research 
activities carried out by the Secretary.

Section 106--Assistance for the Outlying Areas

    Amends section 115 of current law by replacing 
``vocational'' with ``career'' where it appears and eliminating 
the Republic of the Marshall Islands and the Federated States 
of Micronesia from the Perkins grant program, consistent with 
the agreements in the new Compact of Free Association.

Section 107--Native American Program

    Amends section 116 of current law. Adds an additional use 
of funds programs that are targeted to recruit, train and 
retrain Native American women who are traditionally 
underrepresented to compete for high-skill, high-wage 
occupations, including women pursuing technology careers 
(particularly in health care and science) or women who reside 
in rural or geographically isolated areas.

Section 108--Tribally Controlled Postsecondary Career and Technical 
        Institutions

    Section 108 amends section 117 of current law and requires 
that the Secretary's preparation of an actual budget needs 
estimate for each institution eligible under this section occur 
on an annual basis. The Secretary is required to conduct a 
detailed study of the training, housing and immediate 
facilities needs of each such institution by July 1, 2006. The 
Secretary is also required to conduct a long-term study of the 
facilities of each such institution beginning on the date of 
enactment of this legislation.
    Section 108 establishes an appeals process for tribally 
controlled postsecondary career and technical institutions 
consisting of a hearing on the record before an administrative 
law judge with respect to a determination of ineligibility for 
a grant or a determination regarding the calculation of the 
amount of a grant awarded under this section. Appeals must be 
filed within 30 days of receipt of a determination. The 
Secretary is directed to withhold the amount in dispute from 
the award of grant funds under this section until the 
administrative law judge has issued a written decision on the 
appeal.

Section 109--Occupational and Employment Information

    This section amends section 118 of current law by allowing 
States to apply for their Occupational and Employment 
Information grant funds with their Perkins application. It 
further requires States to describe how they will use funds to 
provide information on labor market trends, and the academic 
content standards and student achievement standards adopted by 
the State. The modifications clarify that the State may provide 
this information to students and parents and should include 
information on secondary and postsecondary education and 
training in high-skill, high-wage and high demand occupations, 
including nontraditional occupations in emerging or established 
fields.
    This section further requires that the State plan include 
information on how the grantee will equip teachers, faculty, 
administrators, and counselors with the knowledge, skills and 
occupational information to assist parents and students, 
including special populations underrepresented in certain 
careers, to make informed career choices.

Section 110--State Administration

    Amends section 121 of current law. Amends State 
administration requirements so that teacher preparation 
programs and business involvement are included in the State's 
administration responsibilities.

Section 111--State Plan

    Section 111 requires eligible agencies to submit to the 
Secretary a State plan for a 6-year period, together with such 
annual revisions as may be necessary. Each eligible agency is 
permitted to submit a transition plan during the first full 
year of implementation of the legislation after the date of its 
enactment. The range of individuals with which the eligible 
agency must consult in developing the State plan is expanded to 
include academic and career and technical education teachers, 
faculty, principals, administrators, career guidance and 
academic counselors, the State Tech-Prep coordinator and 
representatives of Tech-Prep consortia (if applicable), 
representatives of charter school authorizers and organizers 
(if applicable), and representatives of business (including 
small business).
    Section 111 revises and expands the contents of the State 
plan to include, among other things, a description of: how the 
eligible agency will support eligible recipients in developing 
or implementing career pathways, developing articulation 
agreements, and using labor market information; how the 
eligible agency will make available information about career 
pathways offered by eligible recipients; how the eligible 
agency will consult with business and industry and use 
industry-recognized standards and assessments, if appropriate; 
criteria to assess the extent to which a local plan will 
promote higher levels of academic achievement and technical 
skill attainment, and identify and address workforce needs; how 
secondary programs will prepare career and technical education 
students, including special populations, to graduate from high 
school with a diploma and be prepared for opportunities in 
postsecondary education or entry into high-skill, high-wage or 
high demand occupations; how funds will be used to improve and 
develop new career and technical education courses that are 
aligned with business needs and industry standards, and at the 
secondary level, aligned with challenging academic content 
standards and student academic achievement standards adopted by 
the State under the Elementary and Secondary Education Act of 
1965; how career and technical education teachers, faculty, 
principals, administrators, and career guidance and academic 
counselors will be provided with comprehensive initial 
preparation and professional development, including through 
programs and activities that promote the integration of 
academic and career and technical education curriculum 
development and increase the academic and career and technical 
education knowledge of such teachers and faculty; efforts to 
improve recruitment and retention of career and technical 
education teachers, faculty, principals, administrators, and 
career guidance and academic counselors, and the transition to 
teaching from business; efforts to improve the capacity of 
programs and faculty at postsecondary institutions to 
effectively prepare career and technical education personnel; 
how the eligible agency will encourage secondary school 
students to enroll in challenging courses in core academic 
subjects; how the eligible agency will collaborate in 
developing the State plan with various entities within the 
State, including those responsible for elementary and secondary 
education, and for postsecondary education; how the eligible 
agency will measure and report disaggregated data relating to 
student participation in and completion of career and technical 
education within specific career clusters; and how funds will 
be used to promote preparation for high-skill, high-wage or 
high-demand occupations and nontraditional fields in emerging 
or established professions.
    Section 111 permits an eligible agency to submit a single 
State plan in fulfillment of its plan or application submission 
requirements of this section, section 118(b) and section 
141(c). In such consolidated plan, an eligible agency may allow 
eligible recipients to submit a single local plan to fulfill 
obligations under section 134 and subsections (a) and (b) of 
section 143.

Section 112--Improvement Plans

    This section modifies section 123 of current law by 
providing separate actions for state and local improvement 
plans.
    If the State fails to meet State adjusted levels of 
performance, the Secretary shall provide technical assistance 
in order to assist them in meeting their adjusted levels of 
performance. If the State fails to meet their adjusted levels 
of performance, has not implemented an improvement plan, has 
shown no improvement 1 year after implementation of an 
improvement plan, or has failed to meet State adjusted levels 
of performance for 2 or more consecutive years, the Secretary 
may withhold all or a portion of the State's allotment. The 
Secretary must use the funds withheld from any sanction to 
provide services within the State through alternative 
arrangements. The Secretary may waive the sanction due to 
exceptional circumstances.
    For local recipients who are not making substantial 
progress in achieving the local adjusted levels of performance, 
the State must conduct an assessment of local performance, 
enter into an improvement plan with the eligible recipient for 
one program year that shall include information on how the 
local performance deficiencies will be corrected and what 
programmatic changes and professional development will take 
place, and conduct regular evaluations of progress being made 
toward reaching the local adjusted levels of performance. All 
of the activities conducted by the State will be done with the 
appropriate individual and organizations, including teachers, 
principals, faculty, administrators and parents. The State 
shall also provide the necessary technical assistance.
    If the local recipient fails to implement an improvement 
plan, fails to show improvement after 1 year, or has failed to 
meet local adjusted levels of performance for 2 or more 
consecutive years, the State may withhold funding after notice 
and opportunity for a hearing. The State may waive the sanction 
for exceptional circumstances and must use funds withheld to 
provide services and activities to students within the same 
area.

Section 113--State Leadership Activities

    Amends section 124 of current law. Amends the required 
State activities to include efforts to train career and 
technical education professionals to use technology, encourage 
schools to collaborate with technology industries for 
internship or mentoring opportunities, enhance professional 
development and make connections between career and technical 
education programs and business needs.
    Amends the allowable State activities to include improving 
career guidance and academic counseling, establish articulation 
agreements, support for public charter school programs, support 
for partnerships with businesses or business intermediaries, 
developing technical skills assessments, enhancing State data 
systems, and commissioning or adopting a self-sufficiency 
standard.

Section 114--Distribution of Funds to Secondary School Programs

    Section 114 amends section 131 of current law by striking 
the outdated subsection (a) regarding distribution for fiscal 
year 1999. Subsection (b) is renamed ``Distribution Rules'' to 
reflect the deletion of the fiscal year 1999 provisions. The 
provisions of subsection (b) become the standard rules 
regarding distribution.

Section 115--Distribution of Postsecondary Career and Technical 
        Education Programs

    Amends section 132 of current law by changing the title of 
the section and by replacing ``vocational'' with ``career'' 
where it appears.

Section 116--Special Rules for Career and Technical Education

    Amends section 133 of current law by changing the title of 
the section and by replacing ``vocational'' with ``career'' 
where it appears.

Section 117--Local Plan for Career and Technical Education Programs

    Section 117 amends section 134 of current law. It revises 
and expands the contents of the local plan to include, among 
other things, a description of: how career and technical 
education activities will be carried out with respect to 
meeting State and local adjusted levels of performance; how the 
eligible recipient will offer the appropriate courses of at 
least one career pathway; how comprehensive professional 
development will be provided consistent with section 111; how 
various individuals and entities (including representatives of 
Tech-Prep consortia if applicable) are involved in the 
development, implementation and evaluation of career and 
technical education programs assisted under this title, and how 
such individuals and entities are effectively informed about 
the requirements of this title, including career pathways; how 
career guidance and counseling will be provided to all career 
and technical education students; and efforts to improve the 
recruitment and retention of career and technical education 
teachers, faculty, counselors, principals, and administrators.

Section 118--Local Uses of Funds

    Section 118 amends section 135 of current law by replacing 
``vocational'' with ``career'' where it appears.
    It requires each grantee to strengthen the academic and 
career and technical skills of students in career and technical 
education program by improving integration through a coherent 
sequence of courses, such as career pathways. It requires that 
each grantee link secondary and postsecondary career and 
technical education by offering not less than 1 career pathway, 
developing and supporting articulation agreements between 
secondary and post-secondary institutions, or supporting tech 
prep program. It requires each grantee to develop, improve or 
expand the use of technology, including distance learning, in 
career and technical education through training teachers, 
faculty, principals and administrators to use technology and 
partner with technology industries to offer voluntary 
internships and mentoring programs. It further requires that 
each grantee provide quality professional development programs; 
evaluations, including assessments on how the needs of special 
populations are being met; a description of how career and 
technical education are being modernized; a description of the 
services and activities provided to special populations in 
order to prepare them for high-skill, high-wage, and high 
demand occupations; and their efforts to provide programs that 
are of sufficient size, scope and quality.
    The modifications also allow each grantee to involve 
parents, businesses and labor organizations in the design and 
implementation of career and technical programs; to fund 
partnerships with business and business intermediaries; to 
provide career guidance and academic counseling; to provide 
programs for special populations; to support career and 
technical student organizations; to establish mentoring and 
support services; to use funds to lease, purchase, upgrade or 
adapt instructional equipment; to use funds for teacher 
preparation programs that address the integration of academic 
and technical education and assist individuals interested in 
entering career and technical education, including individuals 
with experience in business and industry; to develop new career 
and technical courses and career pathways; to develop and 
support small, personalized, career-themed learning 
communities; to develop career and technical education programs 
for adults and school dropouts to complete their secondary 
school education or upgrade their technical skills; to provide 
assistance to individuals who have participated in services and 
activities under this legislation to find an appropriate job 
through collaboration with the workforce system in the State; 
to support activities, such asmentoring and outreach, in 
nontraditional fields; and support other career and technical education 
activities that are consistent with this Act.

Section 119--Tech-Prep Education

    Section 119 amends Title II of current law. It moves the 
Tech-Prep program from Title II into Title I and redesignates 
it as Part D of Title I. Amends the professional development 
requirements under the Tech-Prep program to match the 
requirements set forth elsewhere in the bill and includes 
graduation and career plans in allowable uses of funds.
    Authorizes funding for Tech-Prep programs through FY10.

                      TITLE II--GENERAL PROVISIONS


Section 201--Redesignation of Title

    Amends Title III, section 301 of current law. Makes 
conforming amendments consistent with the movement of the Tech-
Prep education program to Title I, renames Title III to read 
``Title II--General Provisions.''

Section 202--Fiscal Requirements

    Amends section 311 of current law (redesignated as section 
211 by the bill). Updates language by replacing ``vocational'' 
with ``career'' where it appears. Changes the maintenance of 
effort requirement for States from meeting or exceeding the 
previous year's per student or aggregate State expenditure to 
the aggregate or per student expenditure over the 3 fiscal 
years preceding the fiscal year for which the determination is 
made. The Secretary is instructed to exclude capital 
expenditures, special one-time projects, and the cost of pilot 
programs from the calculation. In the event of the Federal 
appropriation decreasing, the aggregate expenditures by the 
State shall be decreased by the same percentage as the 
percentage decrease in the amount available. The term ``fiscal 
effort'' is replaced with the term ``average fiscal effort''.

Section 203--Voluntary Selection and Participation

    Amends section 314 (redesignated as section 214 by the 
bill) by replacing ``vocational'' with ``career'' where it 
appears.

Section 205--Authorization of Secretary; Participation of Private 
        School Personnel

    Amends sections 217 and 218 of current law (as redesignated 
by the bill). Updates language by replacing ``vocational'' with 
``career'' where it appears. Adds principals to those receiving 
career and technical education training.

Section 206--Student Assistance and Other Federal Programs

    Amends section 225(c) of current law (as redesignated by 
the bill) by replacing ``vocational'' with ``career'' where it 
appears.

Section 207--Table of Contents

    Amends section 1(b) of current law by amending the table of 
contents to reflect the changes made by S. 2686.

                       X. Changes in Existing Law

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

CARL D. PERKINS VOCATIONAL AND TECHNICAL EDUCATION ACT OF 1998

           *       *       *       *       *       *       *



SECTION 1. SHORT TITLE; TABLE OF CONTENTS.

    (a) Short Title.--This Act may be cited as the ``Carl D. 
Perkins Vocational and Technical Education Act of 1998''.
    [(b) Table of Contents.--The table of contents for this Act 
is as follows:

[Sec. 1. Short title; table of contents.
[Sec. 2. Purpose.
[Sec. 3. Definitions.
[Sec. 4. Transition provisions.
[Sec. 5. Privacy.
[Sec. 6. Limitation.
[Sec. 7. Special rule.
[Sec. 8. Authorization of appropriations.

  [TITLE I--VOCATIONAL AND TECHNICAL EDUCATION ASSISTANCE TO THE STATES

                    [Part A--Allotment and Allocation

[Sec. 111. Reservations and State allotment.
[Sec. 112. Within State allocation.
[Sec. 113. Accountability.
[Sec. 114. National activities.
[Sec. 115. Assistance for the outlying areas.
[Sec. 116. Native American program.
[Sec. 117. Tribally controlled postsecondary vocational and technical 
          institutions.
[Sec. 118. Occupational and employment information.

                        [Part B--State Provisions

[Sec. 121. State administration.
[Sec. 122. State plan.
[Sec. 123. Improvement plans.
[Sec. 124. State leadership activities.

                        [Part C--Local Provisions

[Sec. 131. Distribution of funds to secondary school programs.
[Sec. 132. Distribution of funds for postsecondary vocational and 
          technical education programs.
[Sec. 133. Special rules for vocational and technical education.
[Sec. 134. Local plan for vocational and technical education programs.
[Sec. 135. Local uses of funds.

                     [TITLE II--TECH-PREP EDUCATION

[Sec. 201. Short title.
[Sec. 202. Definitions.
[Sec. 203. State allotment and application.
[Sec. 204. Tech-prep education.
[Sec. 205. Consortium applications.
[Sec. 206. Report.
[Sec. 207. Demonstration program.
[Sec. 208. Authorization of appropriations.

                     [TITLE III--GENERAL PROVISIONS

               [Part A--Federal Administrative Provisions

[Sec. 311. Fiscal requirements.
[Sec. 312. Authority to make payments.
[Sec. 313. Construction.
[Sec. 314. Voluntary selection and participation.
[Sec. 315. Limitation for certain students.
[Sec. 316. Federal laws guaranteeing civil rights.
[Sec. 317. Authorization of Secretary.
[Sec. 318. Participation of private school personnel.

                [Part B--State Administrative Provisions

[Sec. 321. Joint funding.
[Sec. 322. Prohibition on use of funds to induce out-of-State relocation 
          of businesses.
[Sec. 323. State administrative costs.
[Sec. 324. Limitation on Federal regulations.
[Sec. 325. Student assistance and other Federal program.]

    (b) Table of Contents.--The table of contents for this Act 
is as follows:

Sec. 1. Short title; table of contents.
Sec. 2. Purpose.
Sec. 3. Definitions.
Sec. 4. Transition provisions.
Sec. 5. Privacy.
Sec. 6. Limitation.
Sec. 7. Special rule.
Sec. 8. Authorization of appropriations.

    TITLE I--CAREER AND TECHNICAL EDUCATION ASSISTANCE TO THE STATES

                    Part A--Allotment and Allocation

Sec. 111. Reservations and State allotment.
Sec. 112. Within State allocation.
Sec. 113. Accountability.
Sec. 114. National activities.
Sec. 115. Assistance for the outlying areas.
Sec. 116. Native American program.
Sec. 117. Tribally controlled postsecondary career and technical 
          institutions.
Sec. 118. Occupational and employment information.

                        Part B--State Provisions

Sec. 121. State administration.
Sec. 122. State plan.
Sec. 123. Improvement plans.
Sec. 124. State leadership activities.

                        Part C--Local Provisions

Sec. 131. Distribution of funds to secondary school programs.
Sec. 132. Distribution of funds for postsecondary career and technical 
          education programs.
Sec. 133. Special rules for career and technical education.
Sec. 134. Local plan for career and technical education programs.
Sec. 135. Local uses of funds.

                       Part D--Tech-Prep Education

Sec. 141. State allotment and application.
Sec. 142. Tech-prep education.
Sec. 143. Consortium applications.
Sec. 144. Authorization of appropriations.

                      TITLE II--GENERAL PROVISIONS

                Part A--Federal Administrative Provisions

Sec. 211. Fiscal requirements.
Sec. 212. Authority to make payments.
Sec. 213. Construction.
Sec. 214. Voluntary selection and participation.
Sec. 215. Limitation for certain students.
Sec. 216. Federal laws guaranteeing civil rights.
Sec. 217. Participation of private school personnel.

                 Part B--State Administrative Provisions

Sec. 221. Joint funding.
Sec. 222. Prohibition on use of funds to induce out-of-State relocation 
          of businesses.
Sec. 223. State administrative costs.
Sec. 224. Limitation on Federal regulations.
Sec. 225. Student assistance and other Federal programs.
     * * * * * * *

SEC. 2. PURPOSE.

    The purpose of this Act is to develop more fully the 
academic, [vocational] career, and technical skills of 
secondary students and postsecondary students who elect to 
enroll in [vocational] career and technical education programs, 
by--
          (1) building on the efforts of States and localities 
        to develop challenging academic [standards] and 
        technical standards, and to assist students in meeting 
        such standards, especially in preparation for high 
        skill, high wage, or high demand occupations in 
        emerging or established professions;
          (2) promoting the development of services and 
        activities that integrate challenging academic, 
        [vocational] career and technical instruction, and that 
        link secondary and postsecondary education for 
        participating [vocational] career and technical 
        education students;
          (3) increasing State and local flexibility in 
        providing services and activities designed to develop, 
        implement, and improve [vocational] career and 
        technical education, including tech-prep education; 
        [and]
          (4) conducting and disseminating national research, 
        disseminating information on best practices, and 
        providing professional development and technical 
        assistance, that will improve [vocational] career and 
        technical education programs, services, and 
        activities[.];
          (5) promoting leadership and professional development 
        at the State and local levels, and developing research 
        and best practices for improving the quality of career 
        and technical education teachers, faculty, principals, 
        administrators, and counselors;
          (6) supporting partnerships among secondary schools, 
        postsecondary institutions, area career technical 
        centers, business and industry, professional 
        associations, and intermediaries; and
          (7) developing a highly skilled workforce needed to 
        keep America competitive in the global economy in 
        conjunction with other Federal education and training 
        programs, including workforce investment programs, that 
        provide lifelong learning for the workforce of today 
        and tomorrow.

           *       *       *       *       *       *       *


SEC. 3. DEFINITIONS.

    In this Act:
          (1) Administration.--* * *

           *       *       *       *       *       *       *

          (2) All aspects of an industry.--The term ``all 
        aspects of an industry'' means strong experience in, 
        and comprehensive understanding of, the industry that 
        the individual is preparing to enter, including 
        employment statistics and information relating to 
        national, regional, and local labor market areas, as 
        provided pursuant to section 118, and career ladder 
        information, where appropriate.
          (3) Area [vocational] career and technical education 
        school.--The term ``area [vocational] career and 
        technical education school'' means--
                  (A) a specialized public secondary school 
                used exclusively or principally for the 
                provision of [vocational] career and technical 
                education to individuals who are available for 
                study in preparation for entering the labor 
                market;
                  (B) the department of a public secondary 
                school exclusively or principally used for 
                providing [vocational] career and technical 
                education in not fewer than 5 different 
                occupational fields to individuals who are 
                available for study in preparation for entering 
                the labor market;
                  (C) a public or nonprofit technical 
                institution or [vocational] career and 
                technical education school used exclusively or 
                principally for the provision of [vocational] 
                career and technical education to individuals 
                who have completed or left secondary school and 
                who are available for study in preparation for 
                entering the labor market, if the institution 
                or school admits as regular students both 
                individuals who have completed secondary school 
                and individuals who have left secondary school; 
                or
                  (D) the department or division of an 
                institution of higher education, that operates 
                under the policies of the eligible agency and 
                that provides [vocational] career and technical 
                education in not fewer than five different 
                occupational fields leading to immediate 
                employment but not necessarily leading to a 
                baccalaureate degree, if the department or 
                division admits as regular students both 
                individuals who have completed secondary school 
                and individuals who have left secondary school.
          [(4) Career guidance and academic counseling.--The 
        term ``career guidance and academic counseling'' means 
        providing access to information regarding career 
        awareness and planning with respect to an individual's 
        occupational and academic future that shall involve 
        guidance and counseling with respect to career options, 
        financial aid, and postsecondary options.]
          (4) Articulation agreement.--The term ``articulation 
        agreement'' means a written commitment,approved 
annually by the relevant administrators of the secondary and 
postsecondary institutions, to a program that is designed to provide 
students with a nonduplicative sequence of progressive achievement 
leading to technical skill proficiency, a credential, a certificate, or 
a degree, and linked through credit transfer agreements.
          (5) Career and technical education.--The term 
        ``career and technical education'' means organized 
        educational activities that--
                  (A) offer a sequence of courses (which may 
                include technical learning experiences) that--
                          (i) provides individuals with the 
                        challenging academic and technical 
                        knowledge and skills the individuals 
                        need to prepare for further education 
                        and for careers in emerging and 
                        established professions; and
                          (ii) may lead to technical skill 
                        proficiency, a credential, a 
                        certificate, or a degree; and
                  (B) include competency-based applied learning 
                that contributes to the academic knowledge, 
                higher-order reasoning and problem-solving 
                skills, work attitudes, general employability 
                skills, technical skills, and occupation-
                specific skills, of an individual.
          (6) Career and technical education student.--The term 
        career and technical education student means a student 
        who enrolls in a clearly defined sequence of career and 
        technical education courses (which may include 
        technical learning experiences) leading to attainment 
        of technical skill proficiency, a credential, a 
        certificate, or a degree.
          (7) Career and technical student organization.--
                  (A) In general.--The term ``career and 
                technical student organization'' means an 
                organization for individuals enrolled in a 
                career and technical education program that 
                engages in career and technical education 
                activities as an integral part of the 
                instructional program.
                  (B) State and national units.--An 
                organization described in subparagraph (A) may 
                have State and national units that aggregate 
                the work and purposes of instruction in career 
                and technical education at the local level.
          (8) Career guidance and academic counseling.--The 
        term ``career guidance and academic counseling'' means 
        providing access to information regarding career 
        awareness and planning with respect to an individual's 
        occupational and academic future that shall involve 
        guidance and counseling with respect to career options, 
        financial aid, and postsecondary options.
          (9) Career pathway.--The term ``career pathway'' 
        means a coordinated and nonduplicative sequence of 
        courses (which may include technical learning 
        experiences) and associated credits that--
                  (A) shall identify both secondary and post-
                secondary education elements;
                  (B) shall include challenging academic and 
                career and technical education content;
                  (C) may include the opportunity for secondary 
                students to participate in dual or concurrent 
                enrollment programs or other ways to acquire 
                postsecondary credits; and
                  (D) may culminate in technical skill 
                proficiency, a credential, a certificate, or a 
                degree.
          [(5)] (10) Charter school.--The term ``charter 
        school'' has the meaning given the term in section 
        [5206] 5210 of the Elementary and Secondary Education 
        Act of 1965.
          (11) Community college.--The term ``community 
        college''--
                  (A) means an institution of higher education, 
                as defined in section 101 of the Higher 
                Education Act of 1965, that provides not less 
                than a 2-year program that is acceptable for 
                full credit toward a baccalaureate degree; and
                  (B) includes tribally controlled colleges or 
                universities.
          [(6)] (11) [(11)] (12) Cooperative education.--The 
        term ``cooperative education means a [method of 
        instruction] method of education for individuals who, 
        through written cooperative arrangements between a 
        school and employers, receive instruction, including 
        required academic courses and related [vocational] 
        career and technical education instruction, by 
        alternation of study in school with a job in any 
        occupational field, which alternation shall be planned 
        and supervised by the school and employer so that each 
        contributes to the education and employability of the 
        individual, and may include an arrangement in which 
        work periods and school attendance may be on alternate 
        half days, full days, weeks, or other periods of time 
        in fulfilling the cooperative program.
          (13) Core academic subjects.--The term ``core 
        academic subjects'' has the meaning given the term in 
        section 9101 of the Elementary and Secondary Education 
        Act of 1965, except that under this Act such subjects 
        included in such term shall be only those subjects in a 
        secondary school context.
          [(7)] (12) [(12)] (13) [(13)] (14) Displaced 
        homemaker.--The term ``displaced homemaker'' means an 
        individual who--
                  (A)(i) * * *

           *       *       *       *       *       *       *

          [(8)] (13) [(13)] (14) [(14)] (15) Educational 
        service agency.--* * *

           *       *       *       *       *       *       *

          [(9)] (14) [(14)] (15) [(15)] (16) Eligible agency.--
        The term ``eligible agency'' means a State board 
        designated or created consistent with State law as the 
        sole State agency responsible for the administration of 
        [vocational] career and technical education or for 
        supervision of the administration of [vocational] 
        career and technical education in the State.
          [(10)] (15) [(15)] (16) [(16)] (17) Eligible 
        institution.--The term ``eligible institution'' means--
                  (A) [an institution of higher education] a 
                public or nonprofit private institution of 
                higher education that offers career and 
                technical education courses that lead to 
                technical skill proficiency, an industry-
                recognized credential, a certificate, or a 
                degree;
                  (B) * * *
                  (C) an area [vocational] career and technical 
                education school providing education at the 
                postsecondary level;

           *       *       *       *       *       *       *

          [(11)] (16) [(16)] (17) [(17)] (18) Eligible 
        recipient.--The term ``eligible recipient'' means--
                  (A) a local educational [agency, an area 
                vocational] agency (including a public charter 
                school that operates as a local educational 
                agency), an area career and technical education 
                school, an educational service agency, or a 
                consortium, eligible to receive assistance 
                under section 131; or
                (B) * * *

           *       *       *       *       *       *       *

          [(12)] (17) [(17)] (18) [(18)] (19) Governor.--The 
        term ``Governor'' means the chief executive officer of 
        a State or an outlying area.
          (20) Graduation and career plan.--The term 
        ``graduation and career plan'' means a written plan for 
        a secondary career and technical education student, 
        that--
                  (A) is developed with career guidance and 
                academic counseling or other professional 
                staff, and in consultation with parents, not 
                later than in the first year of secondary 
                school or upon enrollment in career and 
                technical education;
                  (B) is reviewed annually and modified as 
                needed;
                  (C) includes relevant information on--
                          (i) secondary school requirements for 
                        graduating with a diploma;
                          (ii) postsecondary education 
                        admission requirements; and
                          (iii) high skill, high wage, or high 
                        demand occupations and nontraditional 
                        fields in emerging and established 
                        professions and labor market 
                        indicators; and
                  (D) states the student's secondary school 
                graduation goals, postsecondary education and 
                training, or employment goals, and identifies 1 
                or more career pathways that correspond to the 
                goals.
          [(13)] (18) [(18)] (19) [(19)] (20) [(20)] (21) 
        Individual with limited english proficiency.--* * *

           *       *       *       *       *       *       *

                  (A) * * *
                  (B) * * *
          [(14)] (19) [(19)] (20) [(20)] (21) [(21)] (22) 
        Individual with a disability.--
                  (A) In general.--* * *

           *       *       *       *       *       *       *

                  (B) Individuals with disabilities.--* * *

           *       *       *       *       *       *       *

          [(15)] (20) [(20)] (21) [(21)] (22) [(22)] (23) 
        Institution of higher education.--* * *

           *       *       *       *       *       *       *

          [(16)] (21) [(21)] (22) [(22)] (23) [(23)] (24) Local 
        educational agency.--* * *

           *       *       *       *       *       *       *

          [(17)] (22) [(22)] (23) [(23)] (24) [(24)] (25) 
        Nontraditional [training and employment] fields._The 
        term ``nontraditional [training and employment] 
        fields'' means occupations or fields of work, including 
        careers in computer science, technology, and other 
        emerging high skill occupations, for which individuals 
        from one gender comprise less than 25 percent of the 
        individuals employed in each such occupation or field 
        of work.
          [(18)] (23) [(23)] (24) [(24)] (25) [(25)] (26) 
        Outlying area.--The term ``outlying area'' means 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.] and the 
        Commonwealth of the Northern Mariana Islands.
          [(19)] (24) [(24)] (25) [(25)] (26) [(26)] (27) 
        Postsecondary educational institution.--The term 
        ``postsecondary educational institution'' means--
                  (A) * * *
                  (B) * * *
                  (C) * * *

           *       *       *       *       *       *       *

          [(20)] (25) [(25)] (26) [(26)] (27) [(27)] (28) 
        School dropout.--* * *

           *       *       *       *       *       *       *

          [(21)] (26) [(26)] (27) [(27)] (28) [(28)] (29) 
        Secondary School.--* * *

           *       *       *       *       *       *       *

          [(22)] (27) [(27)] (28) [(28)] (29) [(29)] (30) 
        Secretary.--* * *

           *       *       *       *       *       *       *

          (31) Self-sufficiency.--The term ``self-sufficiency'' 
        means a standard that is adopted, calculated, or 
        commissioned by a local area or State, and which 
        adjusts for local factors in specifying the income 
        needs of families, by family size, the number and ages 
        of children in the family, and sub-State geographical 
        considerations.

           *       *       *       *       *       *       *

          [(23)] (28) [(28)] (29) [(29)] (30) [(30)] (31) 
        [(31)] (32) Special populations.--The term ``special 
        populations'' means--
                  (A) * * *
                  (B) * * *

           *       *       *       *       *       *       *

                  (C) individuals preparing for nontraditional 
                [training and employment] fields;
                  (D) * * *
                  (E) * * *

           *       *       *       *       *       *       *

                  (F) [individuals with other barriers to 
                educational achievement, including] individuals 
                with limited English proficiency.
          [(24)] (29) [(29)] (30) [(30)] (31) [(31)] (32) 
        [(32)] (33) State.--* * *

           *       *       *       *       *       *       *

          [(25)] (30) [(30)] (31) [(31)] (32) [(32)] (33) 
        [(33)] (34) Support services.--The term ``support 
        services'' means services related to curriculum 
        modification, equipment modification, classroom 
        modification, supportive personnel[, and instructional 
        aids and devices] instructional aids, and work 
        supports.
          [(26) Tech-prep program.--The term ``tech-prep 
        program'' means a program of study that--
                  [(A) combines at least 2 years of secondary 
                education (as determined under State law) and 2 
                years of postsecondary education in a 
                nonduplicative sequential course of study;
                  [(B) strengthens the applied academic 
                component of vocational and technical education 
                through the integration of academic, and 
                vocational and technical, instruction;
                  [(C) provides technical preparation in an 
                area such as engineering technology, applied 
                science, a mechanical, industrial, or practical 
                art or trade, agriculture, a health occupation, 
                business, or applied economics;
                  [(D) builds student competence in 
                mathematics, science, and communications 
                (including through applied academics) in a 
                coherent sequence of courses; and
                  [(E) leads to an associate degree or a 
                certificate in a specific career field, and to 
                high skill, high wage employment, or further 
                education.]
          (35) Tech-prep program.--The term ``tech-prep 
        program'' means a program of study that--
                  (A) combines at a minimum 2 years of 
                secondary education (as determined under State 
                law) with a minimum of 2 years of postsecondary 
                education in a nonduplicative, sequential 
                course of study;
                  (B) integrates academic and career and 
                technical education instruction, and utilizes 
                work-based and worksite learning where 
                appropriate and available;
                  (C) provides technical preparation in a 
                career field, including high skill, high wage, 
                or high demand occupations;
                  (D) builds student competence in technical 
                skills and in core academic subjects, as 
                appropriate, through applied, contextual, and 
                integrated instruction, in a coherent sequence 
                of courses (which may include technical 
                learning experiences);
                  (E) leads to technical skill proficiency, a 
                credential, a certificate, or a degree, in a 
                specific career field;
                  (F) leads to placement in appropriate 
                employment or to further education; and
                  (G) utilizes career pathways, to the extent 
                practicable.
          [(27)] (32) [(32)] (33) [(33)] (34) [(34)] (35) 
        [(35)] (36) Tribally controlled college or 
        university.--* * *

           *       *       *       *       *       *       *

          [(28)] (33) [(33)] (34) [(34)] (35) [(35)] (36) 
        [(36)] (37) Tribally controlled postsecondary 
        [vocational] career and technical institution.--The 
        term ``tribally controlled postsecondary [vocational] 
        career and technical institution'' means an institution 
        of higher education (as defined in section 101 of the 
        Higher Education Act of 1965, except that [paragraph 
        (2)] subsection (a)(2) of such section shall not be 
        applicable and the reference to Secretary in [paragraph 
        (5)(A)] subsection (a)(5) of such section shall be 
        deemed to refer to the Secretary of the Interior) 
        that--
                  (A) * * *

           *       *       *       *       *       *       *

                  (F) holds accreditation with or is a 
                candidate for accreditation by a nationally 
                recognized accrediting authority for 
                postsecondary [vocational] career and technical 
                education; and

           *       *       *       *       *       *       *

          [(29) Vocational and technical education.--The term 
        ``vocational and technical education'' means organized 
        educational activities that--
                  [(A) offer a sequence of courses that 
                provides individuals with the academic and 
                technical knowledge and skills the individuals 
                need to prepare for further education and for 
                careers (other than careers requiring a 
                baccalaureate, master's, or doctoral degree) in 
                current or emerging employment sectors; and
                  [(B) include competency-based applied 
                learning that contributes to the academic 
                knowledge, higher-order reasoning and problem-
                solving skills, work attitudes, general 
                employability skills, technical skills, and 
                occupation-specific skills, of an individual.]
          [(30) Vocational and technical student 
        organization.--
                  [(A) In general.--The term ``vocational and 
                technical student organization'' means an 
                organization for individuals enrolled in a 
                vocational and technical education program that 
                engages in vocational and technical activities 
                as an integral part of the instructional 
                program.
                  [(B) State and national units.--An 
                organization described in subparagraph (A) may 
                have State and national units that aggregate 
                the work and purposes of instruction in 
                vocational and technical education at the local 
                level.]

           *       *       *       *       *       *       *


SEC. 4. TRANSITION PROVISIONS.

    The Secretary shall take such steps as the Secretary 
determines to be appropriate to provide for the orderly 
transition to the authority of this Act from any authority 
under provisions of [the Carl D. Perkins Vocational and Applied 
Technology Education Act, as such Act was in effect on the day 
before the date of enactment of the Carl D. Perkins Vocational 
and Applied Technology Education Amendments of 1998.] this Act, 
as this Act was in effect on the day before the date of 
enactment of the Carl D. Perkins Career and Technical Education 
Improvement Act of 2004. Each eligible agency shall be assured 
a full fiscal year for transition to plan for and implement the 
requirements of this Act.

           *       *       *       *       *       *       *


SEC. 6. LIMITATION.

    All of the funds made available under this Act shall be 
used in accordance with the requirements of this Act. [None of 
the funds made available under this Act may be used to provide 
funding under the School-to-Work Opportunities Act of 1994 (20 
U.S.C. 6101 et seq.) or to carry out, through programs funded 
under this Act, activities that were funded under the School-
To-Work Opportunities Act of 1994, unless the programs funded 
under this Act serve only those participants eligible to 
participate in the programs under this Act.]

           *       *       *       *       *       *       *


SEC. 8. AUTHORIZATION OF APPROPRIATIONS.

    There is authorized to be appropriated to carry out this 
Act (other than sections 114, 117, and 118, and [title II] part 
D of title I such sums as may be necessary for each of the 
fiscal years [1999 through 2003] 2005 through 2010.

 [TITLE I--VOCATIONAL AND TECHNICAL EDUCATION ASSISTANCE TO THE STATES]

TITLE I--CAREER AND TECHNICAL EDUCATION ASSISTANCE TO THE STATES

           *       *       *       *       *       *       *


                    PART A--ALLOTMENT AND ALLOCATION


SEC. 111. RESERVATIONS AND STATE ALLOTMENT.

    (a) Reservations and State Allotment.--
          (1) Reservations.--From the sum appropriated under 
        section 8 for each fiscal year, the Secretary shall 
        reserve--
                  (A) * * *
                  (B) * * *

           *       *       *       *       *       *       *

                  (C) in the case of each of the fiscal years 
                [2001 through 2003,] 2005 through 2010, not 
                more than 0.54 percent to carry out section 503 
                of Public Law 105-220.

           *       *       *       *       *       *       *

          (2) State allotment formula.--Subject to paragraphs 
        (3) and (4), from the remainder of the sums 
        appropriated under section 8 and not reserved under 
        [paragraph (1)] paragraph (1), that are not allotted 
        under paragraph (5), for a fiscal year, the Secretary 
        shall allot to a State for the fiscal year--
                  (A) * * *

           *       *       *       *       *       *       *

          (3) Minimum allotment.--
                  (A) In general.--* * *

           *       *       *       *       *       *       *

                  (B) Requirement.--No State, by reason of the 
                application of subparagraph (A), shall receive 
                for a fiscal year more than 150 percent of the 
                amount the State received under this subsection 
                for the preceding fiscal year [(or in the case 
                of fiscal year 1999 only, under section 101 of 
                the Carl D. Perkins Vocational and Applied 
                Technology Education Act, as such section was 
                in effect on the day before the date of 
                enactment of the Carl D. Perkins Vocational and 
                Applied Technology Education Amendments of 
                1998].
                  (C) Special rule.--
                          (i) In general.--* * *
                                  (I) 150 percent of the amount 
                                that the State received in the 
                                preceding fiscal year [(or in 
                                the case of fiscal year 1999 
                                only, under section 101 of the 
                                Carl D. Perkins Vocational and 
                                Applied Technology Education 
                                Act, as such section was in 
                                effect on the day before the 
                                date of enactment of the Carl 
                                D. Perkins Vocational and 
                                Applied Technology Education 
                                Amendments of 1998]; and

           *       *       *       *       *       *       *

                          (ii) Amount.--The amount calculated 
                        under this clause shall be determined 
                        by multiplying--
                                  (I) * * *

           *       *       *       *       *       *       *

                                  (II) 150 percent of the 
                                national average per pupil 
                                payment made with funds 
                                available under this section 
                                for that year [(or in the case 
                                of fiscal year 1999, only, 
                                under section 101 of the Carl 
                                D. Perkins Vocational and 
                                Applied Technology Education 
                                Act, as such section was in 
                                effect on the day before the 
                                date of enactment of the Carl 
                                D. Perkins Vocational and 
                                Applied Technology Education 
                                Amendments of 1998].
          (4) Hold harmless.--
                  (A) In general.--* * *

           *       *       *       *       *       *       *

          (5) Formula for amounts in excess of the fiscal year 
        2004 funding level.--
                  (A) In general.--For any fiscal year for 
                which the remainder of the sums appropriated 
                under section 8 and not reserved under 
                paragraph (1) exceeds the remainder of the sums 
                appropriated under section 8 and not reserved 
                under paragraph (1) for fiscal year 2004, such 
                excess amount shall be allotted to the States 
                according to the formula under subparagraphs 
                (A) through (D) of paragraph (2).
                  (B) Minimum allotment.--
                          (i) In general.--Notwithstanding any 
                        other provision of law and subject to 
                        clause (ii), no State shall receive for 
                        a fiscal year under this paragraph less 
                        than \1/2\ of 1 percent of the excess 
                        amount described in subparagraph (A).
                          (ii) Requirement.--No State, by 
                        reason of the application of clause 
                        (i), shall be allotted under this 
                        paragraph for a fiscal year more than 
                        the amount determined by multiplying--
                                  (I) the number of individuals 
                                in the State counted under 
                                paragraph (2); by
                                  (II) 185 percent of the 
                                national average per pupil 
                                payment made with the excess 
                                amount described in 
                                subparagraph (A) for that year.

           *       *       *       *       *       *       *


SEC. 112. WITHIN STATE ALLOCATION.

    (a) In General.--* * *

           *       *       *       *       *       *       *

          (1) not less than 85 percent for distribution under 
        section 131 or 132, of which not more than 10 percent 
        of the 85 percent may be used in accordance with 
        subsection (c); and
          (2) not more than 15 percent for--
                  (A) State leadership activities described in 
                section 124, of which--
                          (i) an amount determined by the 
                        eligible agency shall be made available 
                        to serve individuals in State 
                        institutions, such as State 
                        correctional institutions and 
                        institutions that serve individuals 
                        with disabilities; and
                          (ii) not less than $60,000 shall be 
                        available for services that prepare 
                        individuals for nontraditional fields; 
                        and
                  (B) administration of the State plan, which 
                may be used for the costs of--
                          (i) developing the State plan;
                          (ii) reviewing the local plans;
                          (iii) monitoring and evaluating 
                        program effectiveness;
                          (iv) assuring compliance with all 
                        applicable Federal laws;
                          (v) providing technical assistance; 
                        and
                          (vi) supporting and developing State 
                        data systems relevant to the provisions 
                        of this Act.
          [(2) not more than 10 percent to carry out State 
        leadership activities described in section 124, of 
        which--
                  [(A) an amount equal to not more than 1 
                percent of the amount allotted to the State 
                under section 111 for the fiscal year shall be 
                available to serve individuals in State 
                institutions, such as State correctional 
                institutions and institutions that serve 
                individuals with disabilities; and
                  [(B) not less than $60,000 and not more than 
                $150,000 shall be available for services that 
                prepare individuals for nontraditional training 
                and employment; and
          [(3) an amount equal to not more than 5 percent, or 
        $250,000, whichever is greater, for administration of 
        the State plan, which may be used for the costs of--
                          [(A) developing the State plan;
                          [(B) reviewing the local plans;
                          [(C) monitoring and evaluating 
                        program effectiveness;
                          [(D) assuring compliance with all 
                        applicable Federal laws; and
                          [(E) providing technical assistance.]

           *       *       *       *       *       *       *

    (b) Matching Requirement.--Each eligible agency receiving 
funds made available under [subsection (a)(3)] subsection 
(a)(2)(B) shall match, from non-Federal sources and on a 
dollar-for-dollar basis, the funds received under [subsection 
(a)(3)] subsection (a)(2)(B).
    [(c) Reserve.--
          [(1) In general.--From amounts made available under 
        subsection (a)(1) to carry out this subsection, an 
        eligible agency may award grants to eligible recipients 
        for vocational and technical education activities 
        described in section 135 in--
                  [(A) rural areas;
                  [(B) areas with high percentages of 
                vocational and technical education students;
                  [(C) areas with high numbers of vocational 
                and technical students; and
                  [(D) communities negatively impacted by 
                changes resulting from the amendments made by 
                the Carl D. Perkins Vocational and Applied 
                Technology Education Amendments of 1998 to the 
                within State allocation under section 231 of 
                the Carl D. Perkins Vocational and Applied 
                Technology Education Act (as such section 231 
                was in effect on the day before the date of 
                enactment of the Carl D. Perkins Vocational and 
                Applied Technology Education Amendments of 
                1998).
          [(2) Special rule.--Each eligible agency awarding a 
        grant under this subsection shall use the grant funds 
        to serve at least 2 of the categories described in 
        subparagraphs (A) through (D) of paragraph (1).]
    (c) Reserve.--From amounts made available under subsection 
(a)(1) to carry out this subsection, an eligible agency may--
          (1) award grants to eligible recipients, or consortia 
        of eligible recipients, for career and technical 
        education activities described in section 135--
                  (A) rural areas; or
                  (B) areas with high percentages or high 
                numbers of career and technical education 
                students;
          (2) reserve funds, with the approval of participating 
        eligible recipients, for--
                  (A) innovative statewide initiatives that 
                demonstrate benefits for eligible recipients, 
                which may include--
                          (i) developing and implementing 
                        technical assessments;
                          (ii) improving the professional 
                        development of career and technical 
                        education teachers, faculty, 
                        principals, and administrators; and
                          (iii) establishing, enhancing, and 
                        supporting systems for accountability 
                        data collection or reporting purposes; 
                        or
                  (B) the development and implementation of 
                career pathways or career clusters; and
          (3) carry out activities described in paragraphs (1) 
        and (2).

           *       *       *       *       *       *       *


SEC. 113. ACCOUNTABILITY.

    (a) Purpose.--The purpose of this section is to establish 
[a State performance accountability system] and support State 
and local performance accountability systems comprised of the 
activities described in this section, to assess the 
effectiveness of the State and its eligible recipients in 
achieving statewide progress in [vocational] career and 
technical education, and to optimize the return of investment 
of Federal funds in [vocational] career and technical education 
activities.
    (b) State Performance Measures.--
          (1) In general.--* * *

           *       *       *       *       *       *       *

                  (A) the core indicators of performance 
                described in [paragraph (2)(A)] subparagraphs 
                (A) and (B) of paragraph (2);
                  (B) any additional indicators of performance 
                (if any) identified by the eligible agency 
                under paragraph [(2)(B)] (2)(C); and

           *       *       *       *       *       *       *

          (2) Indicators of Performance.--
                  [(A) Core indicators of performance.--Each 
                eligible agency shall identify in the State 
                plan core indicators of performance that 
                include, at a minimum, measures of each of the 
                following:
                          [(i) Student attainment of 
                        challenging State established academic, 
                        and vocational and technical, skill 
                        proficiencies.
                          [(ii) Student attainment of a 
                        secondary school diploma or its 
                        recognized equivalent, a proficiency 
                        credential in conjunction with a 
                        secondary school diploma, or a 
                        postsecondary degree or credential.
                          [(iii) Placement in, retention in, 
                        and completion of, postsecondary 
                        education or advanced training, 
                        placement in military service, or 
                        placement or retention in employment.
                          [(iv) Student participation in and 
                        completion of vocational and technical 
                        education programs that lead to 
                        nontraditional training and 
                        employment.]
                  (A) Core indicators of performance for 
                secondary career and technical education 
                students.--Each eligible agency shall identify 
                in the State plan core indicators of 
                performance for secondary career and technical 
                education students that include, at a minimum, 
                measures of each of the following:
                          (i) Student achievement on technical 
                        assessments and attainment of career 
                        and technical skill proficiencies that 
                        are aligned with nationally recognized 
                        industry standards, if available and 
                        appropriate.
                          (ii) Student attainment of 
                        challenging academic content standards 
                        and student academic achievement 
                        standards, as adopted by the State 
                        under section 1111(b)(1) of the 
                        Elementary and Secondary Education Act 
                        of 1965 and measured by the academic 
                        assessments described in section 
                        1111(b)(3) of such Act, consistent with 
                        State requirements.
                          (iii) Student rates of attainment 
                        of--
                                  (I) a secondary school 
                                diploma;
                                  (II) the recognized 
                                equivalent of a secondary 
                                school diploma;
                                  (III) technical skill 
                                proficiency;
                                  (IV) a credential;
                                  (V) a certificate; and
                                  (VI) a degree.
                          (iv) Placement in postsecondary 
                        education, military service, 
                        apprenticeship programs or employment.
                          (v) Student participation in, and 
                        completion of, career and technical 
                        education programs that lead to 
                        employment in nontraditional fields.

           *       *       *       *       *       *       *

                  (B) Core indicators of performance for 
                postsecondary career and technical students.--
                Each eligible agency shall identify in the 
                State plan core indicators of performance for 
                postsecondary career and technical education 
                students that include, at a minimum, measures 
                of each of the following:
                          (i) Student achievement on technical 
                        assessments and attainment of career 
                        and technical skill proficiencies that 
                        are aligned with nationally recognized 
                        industry standards, if available and 
                        appropriate.
                          (ii) Student attainment of technical 
                        skill proficiency, a credential, a 
                        certificate, or a degree, or retention 
                        in postsecondary education, including 
                        transfer to a baccalaureate degree 
                        program.
                          (iii) Placement in military service, 
                        apprenticeship programs, or employment.
                          (iv) Student participation in, and 
                        completion of, career and technical 
                        education programs that lead to 
                        employment in nontraditional fields.
                          (v) Increase in earnings, where 
                        available.

           *       *       *       *       *       *       *

                  [B] (C) Additional indicators of 
                performance.--An eligible agency, with input 
                from eligible recipients, may identify in the 
                State plan additional indicators of performance 
                for [vocational] career and technical education 
                activities authorized under [the title] this 
                title, such as attainment of self-sufficiency.
                  [C] (D) Existing indicators.--If a State 
                previously has developed State career and 
                technical education performance measures that 
                meet the requirements of this section, the 
                State may use such performance measures to 
                measure the progress of [vocational] career and 
                technical education students.
                  [D] (E) State role.--Indicators of 
                performance described in [this paragraph] 
                subparagraphs (A) and (B) shall be established 
                solely by each eligible agency with input from 
                eligible [recipients] recipients, and shall 
                meet the requirements of this section.
                  (F) Alignment of performance indicators.--In 
                the course of identifying core indicators of 
                performance and additional indicators of 
                performance, States shall, to the greatest 
                extent possible, define the indicators so that 
                substantially similar information gathered for 
                other State and Federal programs, or any other 
                purpose, is used to meet the requirements of 
                this section.

           *       *       *       *       *       *       *

          (3) [Levels] State levels of performance.--
                  (A) State adjusted levels of performance for 
                core indicators of performance.--
                          (i) In general.--Each eligible 
                        agency, after taking into account the 
                        local adjusted levels of performance 
                        and with input from eligible 
                        recipients, shall establish in the 
                        State plan submitted under section 122, 
                        levels of performance for each of the 
                        core indicators of performance 
                        described in [paragraph (2)(A)] 
                        subparagraphs (A) and (B) of paragraph 
                        (2) for [vocational] career and 
                        technical education activities 
                        authorized under this title. The levels 
                        of performance established under this 
                        subparagraph shall, at a minimum--
                                  (I) * * *

           *       *       *       *       *       *       *

                                  [(II) require the State to 
                                continually make progress 
                                toward improving the 
                                performance of ocational and 
                                technical education students.]
                                  (II) require the eligible 
                                recipients to make continuous 
                                and significant improvement in 
                                career and technical 
                                achievement of career and 
                                technical education students, 
                                including special populations.

           *       *       *       *       *       *       *

                          (v) Agreement on state adjusted 
                        levels of performance for [3rd, 4th, 
                        and 5th] subsequent years.--Prior to 
                        the [third program year] third and 
                        fifth program years covered by the 
                        State plan, the Secretary and each 
                        eligible agency shall reach agreement 
                        on the State adjusted levels of 
                        performance for each of the core 
                        indicators of performance for the 
                        [third, fourth, and fifth] 
                        corresponding subsequent program years 
                        covered by the State plan, taking into 
                        account the factors described in clause 
                        (vi). The State adjusted levels of 
                        performance agreed to under this clause 
                        shall be considered to be the State 
                        adjusted levels of performance for the 
                        State for such years and shall be 
                        incorporated into the State plan.
                          (vi) Factors.--The agreement 
                        described in clause (iii) or (v) shall 
                        take into account--
                                  (I) * * *

           *       *       *       *       *       *       *

                                  (II) the extent to which such 
                                levels of performance promote 
                                continuous and significant 
                                improvement on the indicators 
                                of performance by such State.
                          (vii) Revisions.--If unanticipated 
                        circumstances arise in a State 
                        resulting in a significant change in 
                        the factors described in clause 
                        (vi)(II), the eligible agency may 
                        request that the State adjusted levels 
                        of performance agreed to under clause 
                        (iii) [or (vi)] or (v) be revised. The 
                        Secretary shall issue objective 
                        criteria and methods for making such 
                        revisions.
                  (B) Levels of performance for additional 
                indicators.--Each eligible agency shall 
                identify in the State plan, State levels of 
                performance for each of the additional 
                indicators of performance described in 
                paragraph [(2)(B)] (2)(C). Such levels shall be 
                considered to be the State levels of 
                performance for purposes of this title.

           *       *       *       *       *       *       *

          (4) Local levels of performance.--
                  (A) Local adjusted levels of performance for 
                core indicators of performance.--
                          (i) In general.--Each eligible 
                        recipient shall accept the State 
                        adjusted levels of performance 
                        established under paragraph (3) as 
                        local adjusted levels of performance, 
                        or negotiate with the State to reach 
                        agreement no new local adjusted levels 
                        of performance, for each of the core 
                        indicators of performance described in 
                        subparagraphs (A) and (B) of paragraph 
                        (2) for career and technical education 
                        activities authorized under this title. 
                        The levels of performance established 
                        under this subparagraph shall, at a 
                        minimum--
                                   (I) be expressed in a 
                                percentage or numerical form, 
                                so as to be objective, 
                                quantifiable, and measurable; 
                                and
                                   (II) require the eligible 
                                recipient to make continuous 
                                and significant improvement in 
                                career and technical 
                                achievement of career and 
                                technical education students.
                          (ii) Identification in the local 
                        plan.--Each eligible recipient shall 
                        identify, in the local plan submitted 
                        under section 134, levels of 
                        performance, as described in clause 
                        (i), for each of the core indicators of 
                        performance for the first 2 program 
                        years covered by the local plan.
                          (iii) Agreement on local adjusted 
                        levels of performance for first 2 
                        years.--The eligible agency and each 
                        eligible recipient shall reach 
                        agreement, as described in clause (i), 
                        on the eligible recipient's levels of 
                        performance for each of the core 
                        indicators of performance for the first 
                        2 program years covered by the local 
                        plan, taking into account the levels 
                        identified in the local plan under 
                        clause (ii) and the factors described 
                        in clause (v). The levels of 
                        performance agreed to under this clause 
                        shall be considered to be the local 
                        adjusted levels of performance for the 
                        eligible recipient for such years and 
                        shall be incorporated into the local 
                        plan prior to the approval of such 
                        plan.
                          (iv) Agreement on local adjusted 
                        levels of performance for subsequent 
                        years.--Prior to the third and fifth 
                        program years covered by the local 
                        plan, the eligible agency and each 
                        eligible recipient shall reach 
                        agreement on the local adjusted levels 
                        of performance for each of the core 
                        indicators of performance for the 
                        corresponding subsequent program years 
                        covered by the local plan, taking into 
                        account the factors described in clause 
                        (v). The local adjusted levels of 
                        performance agreed to under this clause 
                        shall be considered to be the local 
                        adjusted levels of performance for the 
                        eligible recipient for such years and 
                        shall be incorporated into the local 
                        plan.
                          (v) Factors.--The agreement described 
                        in clause (iii) or (iv) shall take into 
                        account--
                                  (I) how the levels of 
                                performance involved compare 
                                with the local adjusted levels 
                                of performance established for 
                                other eligible recipients, 
                                taking into account factors 
                                including the characteristics 
                                of participants when the 
                                participants entered the 
                                program and the services or 
                                instruction to be provided; and
                                  (II) the extent to which the 
                                local adjusted levels of 
                                performance involved promote 
                                continuous and significant 
                                improvement on the core 
                                indicators of performance by 
                                the eligible recipient.
                          (vi) Revisions.--If unanticipated 
                        circumstances arise with respect to an 
                        eligible recipient resulting in a 
                        significant change in the factor 
                        described in clause (v)(II), the 
                        eligible recipient may request that the 
                        local adjusted levels of performance 
                        agreed to under clause (iii) or (iv) be 
                        revised. The eligible agency shall 
                        issue objective criteria and methods 
                        for making such revisions.
                  (B) Levels of performance for additional 
                indicators.--Each eligible recipient may 
                identify, in the local plan, local levels of 
                performance for any additional indicators of 
                performance described in paragraph (2)(C). Such 
                levels shall be considered to be the local 
                levels of performance for purposes of this 
                title.
                  (C) Report.--Each eligible recipient that 
                receives an allocation under section 131 shall 
                publicly report, on an annual basis, its 
                progress in achieving the local adjusted levels 
                of performance on the core indicators of 
                performance.

           *       *       *       *       *       *       *

    (c) Report.--
          (1) In general.--* * *

           *       *       *       *       *       *       *

                  (A) * * *
                  [(B) information on the levels of performance 
                achieved by the State with respect to the 
                additional indicators of performance, including 
                the levels of performance for special 
                populations.]
                  (B) information on the levels of performance 
                achieved by the State with respect to the 
                additional indicators of performance, including 
                the levels of performance disaggregated for 
                post-secondary institutions, by special 
                populations, and for secondary institutions, by 
                special populations and by the categories 
                described in section 1111(h)(1)(C)(i) of the 
                Elementary and Secondary Education Act of 1965, 
                except that such disaggregation shall not be 
                required in a case in which the number of 
                individuals in a category is insufficient to 
                yield statistically reliable information or the 
                results would reveal personally identifiable 
                information about an individual.

           *       *       *       *       *       *       *

          (2) Special populations.--The report submitted by the 
        eligible agency in accordance with paragraph (1) shall 
        include a quantifiable description of the progress 
        special populations participating in [vocational] 
        career and technical education programs have made in 
        meeting the State adjusted levels of performance 
        established by the eligible agency.

           *       *       *       *       *       *       *


SEC. 114. NATIONAL ACTIVITIES.

    (a) Program Performance Information.--
          (1) In general.--The Secretary shall collect 
        performance information about, and report on, the 
        condition of [vocational] career and technical 
        education and on the effectiveness of State and local 
        programs, services, and activities carried out under 
        this title in order to provide the Secretary and 
        Congress, as well as Federal, State, local, and tribal 
        agencies, with information relevant to improvement in 
        the quality and effectiveness of [vocational] career 
        and technical education. The Secretary annually shall 
        report to Congress on the Secretary's aggregate 
        analysis of performance information collected each year 
        pursuant to this title[, including an analysis of 
        performance data regarding special populations], 
        including an analysis of performance data that is 
        disaggregated for postsecondary institutions, by 
        special populations, and for secondary institutions, by 
        special populations and by the categories described in 
        section 1111(h)(1)(C)(i) of the Elementary and 
        Secondary Education Act of 1965, except that such 
        disaggregation shall not be required in a case in which 
        the number of individuals in a category is insufficient 
        to yield statistically reliable information or the 
        results would reveal personally identifiable 
        information about an individual.
          (2) * * *

           *       *       *       *       *       *       *

          (3) Assessments.--As a regular part of its 
        assessments, the National Center for Education 
        Statistics shall collect and report information on 
        [vocational] career and technical education for a 
        nationally representative sample of students. Such 
        assessment may include international comparisons.

           *       *       *       *       *       *       *

    (c) Research, Development, Dissemination, Evaluation and 
Assessment.--
          (1) Single plan.--
                  (A) In general.--The Secretary may, directly 
                or through grants, contracts, or cooperative 
                agreements, carry out research, development, 
                dissemination, evaluation and assessment, 
                capacity building, and technical assistance 
                with regard to the [vocational] career and 
                technical education programs under this Act. 
                The Secretary shall develop a single plan for 
                such activities.
                  (B) Plan.--Such plan shall--
                          (i) identify the [vocational] career 
                        and technical education activities 
                        described in subparagraph (A) the 
                        Secretary will carry out under this 
                        section;
                          (ii) describe how the Secretary will 
                        evaluate such [vocational] career and 
                        technical education activities in 
                        accordance with paragraph (3); and
                          (iii) include such other information 
                        as the Secretary determines to be 
                        appropriate.
          [(2) Independent advisory panel.--The Secretary shall 
        appoint an independent advisory panel, consisting of 
        vocational and technical education administrators, 
        educators, researchers, and representatives of labor 
        organizations, businesses, parents, guidance and 
        counseling professionals, and other relevant groups, to 
        advise the Secretary on the implementation of the 
        assessment described in paragraph (3), including the 
        issues to be addressed, the methodology of the studies 
        involved, and the findings and recommendations 
        resulting from the assessment. The panel shall submit 
        to the Committee on Education and the Workforce of the 
        House of Representatives, the Committee on Labor and 
        Human Resources of the Senate, and the Secretary an 
        independent analysis of the findings and 
        recommendations resulting from the assessment described 
        in paragraph (3). The Federal Advisory Committee Act (5 
        U.S.C. App.) shall not apply to the panel established 
        under this subsection.]
          (2) Independent advisory panel.--
                  (A) In general.--The Secretary shall appoint 
                an independent advisory panel to advise the 
                Secretary on the implementation of the 
                assessment described in paragraph (3), 
                including the issues to be addressed and the 
                methodology ofthe studies involved to ensure 
that the assessment adheres to the highest standards of quality.
                  (B) Members.--The advisory panel shall 
                consist of--
                          (i) educators, principals, and 
                        administrators (including State 
                        directors of career and technical 
                        education), with expertise in the 
                        integration of academic and career and 
                        technical education;
                          (ii) experts in evaluation, research, 
                        and assessment;
                          (iii) representatives of labor 
                        organizations and businesses, including 
                        small businesses;
                          (iv) parents;
                          (v) career guidance and academic 
                        counseling professionals; and
                          (vi) other individuals and 
                        intermediaries with relevant expertise.
                  (C) Independent analysis.--The advisory panel 
                shall transmit to the Secretary and to the 
                relevant committees of Congress an independent 
                analysis of the findings and recommendations 
                resulting from the assessment described in 
                paragraph (3).
                  (D) FACA.--The Federal Advisory Committee Act 
                (5 U.S.C. App.) shall not apply to the panel 
                established under this paragraph.
          (3) Evaluation and assessment.--
                  [(A) In general.--From amounts made available 
                under paragraph (8), the Secretary shall 
                provide for the conduct of an independent 
                evaluation and assessment of vocational and 
                technical education programs under this Act 
                through studies and analyses conducted 
                independently through grants, contracts, and 
                cooperative agreements that are awarded on a 
                competitive basis.]
                  (A) In general.--From amounts made available 
                under subsection (d), the Secretary shall 
                provide for the conduct of an independent 
                evaluation and assessment of career and 
                technical education programs under this Act, 
                including the implementation of the Carl D. 
                Perkins Career and Technical Education 
                Improvement Act of 2004, to the extent 
                practicable, through studies and analyses 
                conducted independently through grants, 
                contracts, and cooperative agreements that are 
                awarded on a competitive basis.
                  (B) Contents.--The assessment required under 
                paragraph (1) shall include descriptions and 
                evaluations of--
                          (i) the extent to which State, local, 
                        and tribal entities have developed, 
                        implemented, or improved State and 
                        local [vocational] career and technical 
                        education programs and the effect of 
                        programs assisted under this Act on 
                        that development, implementation, or 
                        improvement, including the capacity of 
                        State, tribal, and local [vocational] 
                        career and technical education systems 
                        to achieve the purpose of this Act;
                          (ii) the extent to which expenditures 
                        at the Federal, State, tribal, and 
                        local levels address program 
                        improvement in [vocational] career and 
                        technical education, including the 
                        impact of Federal allocation 
                        requirements (such as within-State 
                        allocation formulas) on the delivery of 
                        services;
                          [(iii) the preparation and 
                        qualifications of teachers of 
                        vocational and technical, and academic, 
                        curricula in vocational and technical 
                        education programs, as well as 
                        shortages of such teachers;]
                          (iii) the preparation and 
                        qualifications of teachers and faculty 
                        of career and technical education, as 
                        well as shortages of such teachers and 
                        faculty;
                          (iv) participation of students in 
                        [vocational] career and technical 
                        education programs;
                          [(v) academic and employment outcomes 
                        of vocational and technical education, 
                        including analyses of--
                                  [(I) the number of vocational 
                                and technical education 
                                students and tech-prep students 
                                who meet State adjusted levels 
                                of performance;
                                  [(II) the extent and success 
                                of integration of academic, and 
                                vocational and technical, 
                                education for students 
                                participating in vocational and 
                                technical education programs; 
                                and
                                  [(III) the extent to which 
                                vocational and technical 
                                education programs prepare 
                                students for subsequent 
                                employment in high-wage, high-
                                skill careers or participation 
                                in postsecondary education;]
                          (v) academic and career and technical 
                        education achievement and employment 
                        outcomes of career and technical 
                        education students, including analyses 
                        of--
                                  (I) the number of career and 
                                technical education students 
                                and tech-prep students who meet 
                                the State adjusted levels of 
                                performance established under 
                                section 113;
                                  (II) the extent and success 
                                of integration of challenging 
                                academic and career and 
                                technical education for 
                                students participating in 
                                career and technical education 
                                programs;
                                  (III) the extent to which 
                                career and technical education 
                                programs prepare students, 
                                including special populations, 
                                for subsequent employment in 
                                high skill, high wage 
                                occupations, or participation 
                                in postsecondary education; and
                                  (IV) the number of career and 
                                technical education students 
                                receiving a high school 
                                diploma;
                          (vi) employer involvement in, and 
                        satisfaction with, [vocational] career 
                        and technical education programs, and 
                        career and technical education 
                        students' preparation for employment;
                          (vii) the use and impact of 
                        educational technology and distance 
                        learning with respect to [vocational] 
                        career and technical education and 
                        tech-prep programs; and
                          (viii) the effect of State and local 
                        adjusted levels of performance and 
                        State and local levels of performance 
                        on the delivery of [vocational] career 
                        and technical education services.

           *       *       *       *       *       *       *

                  (C) Reports.--
                          (i) In general.--The Secretary shall 
                        submit to the [Committee on Education 
                        and the Workforce of the House of 
                        Representatives and the Committee on 
                        Labor and Human Resources of the 
                        Senate] relevant committees of 
                        Congress--
                                  (I) an interim report 
                                regarding the assessment on or 
                                before January 1, [2002] 2008; 
                                and
                                  (II) a final report, 
                                summarizing all studies and 
                                analyses that relate to the 
                                assessment and that are 
                                completed after the assessment, 
                                on or before July 1, [2002] 
                                2008.
                          (ii) Prohibition.--Notwithstanding 
                        any other provision of law, the reports 
                        required by this subsection shall not 
                        be subject to any review outside the 
                        Department of Education before their 
                        transmittal to the [Committee on 
                        Education and the Workforce of the 
                        House of Representatives, the Committee 
                        on Labor and Human Resources of the 
                        Senate] relevant committees of 
                        Congress, and the Secretary, but the 
                        President, the Secretary, and the 
                        independent advisory panel established 
                        under paragraph (2) may make such 
                        additional recommendations to Congress 
                        with respect to the assessment as the 
                        President, the Secretary, or the panel 
                        determine to be appropriate.
          (4) Collection of state information and report.--
                  (A) In general.--* * *

           *       *       *       *       *       *       *

                  (B) Report.--The Secretary shall gather any 
                information collected pursuant to subparagraph 
                (A) and submit a report to the [Committee on 
                Education and the Workforce of the House of 
                Representatives and the Committee on Labor and 
                Human Resources of the Senate] relevant 
                committees of Congress.
          (5) Research.--
                  (A) In general.--The Secretary, after 
                consulting with the States, shall award grants, 
                contracts, or cooperative agreements on a 
                competitive basis to an institution of [higher 
                education, a public or private nonprofit 
                organization or agency, or a consortium of such 
                institutions, organizations, or agencies to 
                establish a national research center or 
                centers] higher education offering 
                comprehensive graduate programs in career and 
                technical education that shall be the primary 
                recipient and shall collaborate with a public 
                or private nonprofit organization or agency, or 
                a consortium of such institutions, 
                organizations, or agencies, to establish a 
                national research center--
                          (i) to carry out research and 
                        evaluation for the purpose of 
                        developing, improving, and identifying 
                        the most successful methods for 
                        successfully addressing the education, 
                        employment, and training needs of 
                        participants, including special 
                        populations, in [vocational] career and 
                        technical education programs, including 
                        research and evaluation in such 
                        activities as--
                                  (I) the integration of 
                                [vocational] career and 
                                technical instruction, and 
                                academic, secondary and 
                                postsecondary instruction;
                                  (II) education technology and 
                                distance learning approaches 
                                and strategies that are 
                                effective with respect to 
                                [vocational] career and 
                                technical education;
                                  (III) State adjusted levels 
                                of performance and State levels 
                                of performance that serve to 
                                improve [vocational] career and 
                                technical education programs 
                                and student achievement; and
                                  (IV) academic knowledge and 
                                [vocational] career and 
                                technical skills required for 
                                employment or participation in 
                                postsecondary education;
                          (ii) to carryout research for the 
                        purpose of developing, improving, and 
                        identifying the most successful methods 
                        for successfully addressing the needs 
                        of employers in high skill, high wage 
                        business and industry, including 
                        evaluation and scientifically based 
                        research of--
                                  (I) collaboration between 
                                career and technical education 
                                programs and business and 
                                industry;
                                  (II) academic and technical 
                                skills required to respond to 
                                the challenge of a global 
                                economy and rapid technological 
                                changes; and
                                  (III) technical knowledge and 
                                skills required to respond to 
                                needs of a regional or sectoral 
                                workforce, including small 
                                business;
                          [ii] (iii) to carry out research to 
                        increase the effectiveness and improve 
                        the implementation of [vocational] 
                        career and technical education programs 
                        that are integrated with challenging 
                        academic instruction, including 
                        conducting research and development, 
                        and studies, providing longitudinal 
                        information or formative evaluation 
                        with respect to [vocational] career and 
                        technical education programs and 
                        student achievement;
                          [(iii) to carry out research that can 
                        be used to improve teacher training and 
                        learning in the vocational and 
                        technical education classroom, 
                        including--
                                  [(I) effective inservice and 
                                preservice teacher education 
                                that assists vocational and 
                                technical education systems; 
                                and
                                  [(II) dissemination and 
                                training activities related to 
                                the applied research and 
                                demonstration activities 
                                described in this subsection, 
                                which may also include serving 
                                as a repository for information 
                                on vocational and technical 
                                skills, State academic 
                                standards, and related 
                                materials; and]
                          (iv) to carry out scientifically 
                        based research, where appropriate, that 
                        can be used to improve preparation and 
                        professional development of teachers, 
                        faculty, principals, and administrators 
                        and student learning in the career and 
                        technical education classroom, 
                        including--
                                  (I) effective in-service and 
                                preservice teacher and faculty 
                                education that assists career 
                                and technical education 
                                programs in--
                                          (aa) integrating 
                                        those programs with 
                                        academic content 
                                        standards and student 
                                        academic achievement 
                                        standards, as adopted 
                                        by States under section 
                                        1111(b)(1) of the 
                                        Elementary and 
                                        Secondary Education Act 
                                        of 1965; and
                                          (bb) promoting 
                                        technical education 
                                        aligned with industry-
                                        based standards and 
                                        certifications to meet 
                                        regional industry 
                                        needs;
                                  (II) dissemination and 
                                training activities related to 
                                the applied research and 
                                demonstration activities 
                                described in this subsection, 
                                which may also include serving 
                                as a repository for information 
                                on career and technical 
                                education skills, State 
                                academic standards, and related 
                                materials; and
                                  (III) the recruitment and 
                                retention of career and 
                                technical education teachers, 
                                faculty, counselors, 
                                principals, and administrators, 
                                including individuals in groups 
                                underrepresented in the 
                                teaching profession; and
                          [(iv)] (v) to carry out such other 
                        research as the Secretary determines 
                        appropriate to assist State and local 
                        recipients of funds under this Act.
                  (B) Report.--The center [or centers] 
                conducting the activities described in 
                subparagraph (A) shall annually prepare a 
                report of key research findings of such center 
                [or centers] and shall submit copies of the 
                report to the Secretary, the [Committee on 
                Education and the Workforce of the House of 
                Representatives, the Committee on Labor and 
                Human Resources of the Senate] relevant 
                committees of Congress, the Library of 
                Congress, and each eligible agency.
                  (C) Dissemination.--The center [or centers] 
                shall conduct dissemination and training 
                activities based upon the research described in 
                subparagraph (A).
                   (D) Independent governing board.--
                          (i) In general.--An institution of 
                        higher education that desires a grant, 
                        contract, or cooperative agreement 
                        under this paragraph shall identify, in 
                        its application, an independent 
                        governing board for the center 
                        established pursuant to this paragraph.
                          (ii) Members.--The independent 
                        governing board shall consist of the 
                        following:
                                  (I) Two representatives of 
                                secondary career and technical 
                                education.
                                  (II) Two representatives of 
                                postsecondary career and 
                                technical education.
                                  (III) Two representatives of 
                                eligible agencies.
                                  (IV) Two representatives of 
                                business and industry.
                                  (V) Two representatives of 
                                career and technical teacher 
                                preparation institutions.
                                  (VI) Two nationally 
                                recognized researchers in the 
                                field of career and technical 
                                education.
                          (iii) Coordination.--The independent 
                        governing board shall ensure that the 
                        research and dissemination activities 
                        carried out by the center are 
                        coordinated with the research 
                        activities carried out by the 
                        Secretary.

           *       *       *       *       *       *       *

          (6) Demonstrations and dissemination.--
                  (A) Demonstration program.--The Secretary is 
                authorized to carry out demonstration 
                [vocational] career and technical education 
                programs, to replicate model [vocational] 
                career and technical education programs, to 
                disseminate best practices information, and to 
                provide technical assistance upon request of a 
                State, for the purposes of developing, 
                improving, and identifying the most successful 
                methods and techniques for providing 
                [vocational] career and technical education 
                programs assisted under this Act.
                  (B) Demonstration partnership.--
                          (i) In general.--* * *

           *       *       *       *       *       *       *

                          (ii) Program.--Such program may be 
                        carried out directly or through grants, 
                        contracts, cooperative agreements, or 
                        through the national center [or 
                        centers] established under paragraph 
                        (5).

           *       *       *       *       *       *       *

          [(8) Authorization of appropriations.--There are 
        authorized to be appropriated to carry out this section 
        such sums as may be necessary for fiscal year 1999 and 
        each of the 4 succeeding fiscal years.]

           *       *       *       *       *       *       *

    (d) Authorization of Appropriations.--There are authorized 
to be appropriated to carry out this section such sums as may 
be necessary for each of fiscal years 2005 through 2010.

           *       *       *       *       *       *       *


SEC. 115. ASSISTANCE FOR THE OUTLYING AREAS.

    (a) Outlying Areas.--* * *

           *       *       *       *       *       *       *

    (b) Remainder.--Subject to the provisions of subsection 
(a), the Secretary shall make a grant of the remainder of funds 
reserved pursuant to section 111(a)(1)(A) to the Pacific 
Regional Educational Laboratory in Honolulu, Hawaii, to make 
grants for [vocational] career and technical education and 
training in 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, for the purpose of providing direct [vocational] 
career and technical educational services, including--
          (1) teacher and counselor [training and retraining;] 
        preparation;
           (2) professional development for teachers, faculty, 
        principals, and administrators;
          [(2)] (3) curriculum development; and
          [(3)] (4) the improvement of [vocational] career and 
        technical educational and training programs in 
        secondary schools and institutions of higher education, 
        or improving cooperative education programs involving 
        both secondary schools and institutions of higher 
        education.

           *       *       *       *       *       *       *

    (d)  Restriction.--Notwithstanding any other provision of 
law, [the Republic of the Marshall Islands, the Federated 
States of Micronesia, and] the Republic of Palau shall not 
receive any funds under this title for any fiscal year that 
begins after September 30, [2001] 2007.

           *       *       *       *       *       *       *


SEC. 116. NATIVE AMERICAN PROGRAM.

    (a) Definitions.--In this section:
          (1) Alaska native.--* * *

           *       *       *       *       *       *       *

          (5) Native hawaiian organization.--The term ``Native 
        Hawaiian organization'' has the meaning given the term 
        in section 7207 of the Native Hawaiian Education Act.
    (b) Program Authorized.--
          (1) Authority.--From funds reserved under section 
        111(a)(1)(B)(i), the Secretary shall make grants to and 
        enter into contracts with Indian tribes, tribal 
        organizations, and Alaska Native entities to carry out 
        the authorized programs described in subsection [(d)] 
        (c), except that such grants or contracts shall not be 
        awarded to secondary school programs in Bureau funded 
        schools.
          (2) Indian tribes and tribal organizations.--The 
        grants or contracts described in this section [(other 
        than in subsection (i))] that are awarded to any Indian 
        tribe or tribal organization shall be subject to the 
        terms and conditions of section 102 of the Indian Self-
        Determination Act (25 U.S.C. 450f) and shall be 
        conducted in accordance with the provisions of sections 
        4, 5, and 6 of the Act of April 16, 1934, which are 
        relevant to the programs administered under this 
        subsection.

           *       *       *       *       *       *       *

          (3) Special authority relating to secondary schools 
        operated or supported by the bureau of indian 
        affairs.--An Indian tribe, a tribal organization, or an 
        Alaska Native entity, that receives funds through a 
        grant made or contract entered into under paragraph (1) 
        may use the funds to provide assistance to a secondary 
        school operated or supported by the Bureau of Indian 
        Affairs to enable such school to carry out [vocational] 
        career and technical education programs.
          (4) Matching.--If sufficient funding is available, 
        the Bureau of Indian Affairs shall expend an amount 
        equal to the amount made available under this 
        subsection, relating to programs for Indians, to pay a 
        part of the costs of programs funded under this 
        subsection. During each fiscal year the Bureau of 
        Indian Affairs shall expend not less than the amount 
        expended during the prior fiscal year on [vocational] 
        career and technical education programs, services, and 
        technical activities and administered either directly 
        by, or under contract with, the Bureau of Indian 
        Affairs, except that in no year shall funding for such 
        programs, services, and activities be provided from 
        accounts and programs that support other Indian 
        education programs. The Secretary and the Assistant 
        Secretary for the Interior for Indians Affairs shall 
        prepare jointly a plan for the expenditure of funds 
        made available and for the evaluation of programs 
        assisted under this subsection. Upon the completion of 
        a joint plan for the expenditure of the funds and the 
        evaluation of the programs, the Secretary shall assume 
        responsibility for the administration of the program, 
        with the assistance and consultation of the Bureau of 
        Indian Affairs.

           *       *       *       *       *       *       *

    (c) Authorized Activities.--
          (1) Authorized programs.--Funds made available under 
        this section shall be used to carry out [vocational] 
        career and technical education programs consistent with 
        the purpose of this Act.
          (2) Stipends.--
                  (A) In general.--Funds received pursuant to 
                grants or contracts awarded under subsection 
                (b) may be used to provide stipends to students 
                who are enrolled in [vocational] career and 
                technical education programs and who have acute 
                economic needs which cannot be met through 
                work-study programs.

           *       *       *       *       *       *       *

    (d) Grant or Contract Application.--In order to receive a 
grant or contract under this [section an] section, an 
organization, tribe, or entity described in subsection (b) 
shall submit an application to the Secretary that shall include 
an assurance that such organization, tribe, or entity shall 
comply with the requirements of this section.
    (e) Restrictions and Special Considerations.--The Secretary 
may not place upon grants awarded or contracts entered into 
under subsection (b) any restrictions relating to programs 
other than restrictions that apply to grants made to or 
contracts entered into with States pursuant to allotments under 
section 111(a). The Secretary, in awarding grants and entering 
into contracts under this [paragraph] section, shall ensure 
that the grants and contracts will improve [vocational] career 
and technical education programs, and shall give special 
consideration to--
          (1) programs that involve, coordinate with, or 
        encourage tribal economic development plans; [and]
          (2) * * *

           *       *       *       *       *       *       *

                  (A) are accredited or are candidates for 
                accreditation by a nationally recognized 
                accreditation organization as an institution of 
                postsecondary [vocational] career and technical 
                education; or
                  (B) operate [vocational] career and technical 
                education programs that are accredited or are 
                candidates for accreditation by a nationally 
                recognized accreditation organization and issue 
                certificates for completion of [vocational] 
                career and technical education programs[.]; and
          (3) programs that are targeted to recruit, train, and 
        retain Native American women who are traditionally 
        underrepresented to compete for high skill, high wage 
        occupations, including women pursuing technology 
        careers (particularly in health care and science areas) 
        or women who reside in rural or geographically isolated 
        areas.

           *       *       *       *       *       *       *

    (h) Native Hawaiian Programs.--From the funds reserved 
pursuant to section 111(a)(1)(B)(ii), the Secretary shall award 
grants to or enter into 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 section for the 
benefit of Native Hawaiians.

           *       *       *       *       *       *       *


[SEC. 117. TRIBALLY CONTROLLED POSTSECONDARY VOCATIONAL AND TECHNICAL 
                    INSTITUTIONS.]

SEC. 117. TRIBALLY CONTROLLED POSTSECONDARY CAREER AND TECHNICAL 
                    INSTITUTIONS.

    (a) Grants Authorized.--The Secretary shall, subject to the 
availability of appropriations, make grants pursuant to this 
section to tribally controlled postsecondary [vocational] 
career and technical institutions that are not receiving 
Federal support under the Tribally Controlled College or 
University Assistance Act of 1978 (25 U.S.C. 1801 et seq.) or 
the Navajo Community College Act (25 U.S.C. 640a et seq.) to 
provide basic support for the education and training of Indian 
students.
    (b) Use of Grants.--Amounts made available pursuant to this 
section shall be used for institutional support of [vocational] 
career and technical education programs.
    (c) Amount of Grants.--
          (1) In general.--* * *

           *       *       *       *       *       *       *

          (2) Per capital determination.--For the purposes of 
        paragraph (1), the per capital payment for any fiscal 
        year shall be determined by dividing the amount 
        available for grants to tribally controlled 
        postsecondary [vocational] career and technical 
        institutions under this section for such program year 
        by the sum of the Indian student counts of such 
        institutions for such program year. The Secretary 
        shall, on the basis of the most accurate data available 
        from the institutions, compute the Indian student count 
        for any fiscal year for which such count was not used 
        for the purpose of making allocations under this 
        section.
    (d) Applications.--Any tribally controlled postsecondary 
[vocational] career and technical institution that is not 
receiving Federal support under the Tribally Controlled College 
or University Assistance Act of 1978 (25 U.S.C. 1801 et seq.) 
or the Navajo Community College Act (25 U.S.C. 640a et seq.) 
that desires to receive a grant under this section shall submit 
an application to the Secretary in such manner and form as the 
Secretary may require.
    (e) Expenses.--
          (1) In general.--The Secretary shall, subject to the 
        availability of appropriations, provide for each 
        program year to each tribally controlled postsecondary 
        [vocational] career and technical institution having an 
        application approved by the Secretary, an amount 
        necessary to pay expenses associated with--
                  (A) * * *
                  (B) * * *
                  (C) * * *
                  (D) institutional support of [vocational] 
                career and technical education.

           *       *       *       *       *       *       *

    (f) Other Programs.--
          (1) In general.--Except as specifically provided in 
        this Act, eligibility for assistance under this section 
        shall not preclude any tribally controlled 
        postsecondary [vocational] career and technical 
        institution from receiving Federal financial assistance 
        under any program authorized under the Higher Education 
        Act of 1965, or any other applicable program for the 
        benefit of institutions of higher education or 
        [vocational] career and technical education.
          (2) Prohibition on alteration of grant amount.--The 
        amount of any grant for which tribally controlled 
        postsecondary [vocational] career and technical 
        institutions are eligible under this section shall not 
        be altered because of funds allocated to any such 
        institution from funds appropriated under the Act of 
        November 2, 1921 (commonly known as the ``Snyder Act'') 
        (42 Stat. 208, chapter 115; 25 U.S.C. 13).
          (3) Prohibition on contract denial.--No tribally 
        controlled postsecondary [vocational] career and 
        technical institution for which an Indian tribe has 
        designated a portion of the funds appropriated for the 
        tribe from funds appropriated under the Act of November 
        2, 1921, may be denied a contract for such portion 
        under the Indian Self-Determination and Education 
        Assistance Act (except as provided in that Act), or 
        denied appropriate contract support to administer such 
        portion of the appropriated funds.

           *       *       *       *       *       *       *

    (g) Needs Estimate and Report on Facilities and Facilities 
Improvement.--
          (1) Needs estimate.--[The Secretary] On an annual 
        basis, the Secretary shall, based on the most accurate 
        data available from the institutions and Indian tribes 
        whose Indian students are served under this section, 
        and in consideration of employment needs, economic 
        development needs, population training needs, and 
        facilities needs, prepare an actual budget needs 
        estimate for each institution eligible under this 
        section for each subsequent program year, and submit 
        such budget needs estimate to Congress in such a timely 
        manner as will enable the appropriate committees of 
        Congress to consider such needs data for purposes of 
        the uninterrupted flow of adequate appropriations to 
        such institutions. Such data shall take into account 
        the purposes and requirements of part A of title IV of 
        the Social Security Act.
          (2) Study of training and housing needs.--
                  (A) In general.--* * *

           *       *       *       *       *       *       *

                  (B) Report.--The Secretary shall report to 
                Congress not later than July 1, [2000] 2006, on 
                the results of the study required by 
                subparagraph (A).

           *       *       *       *       *       *       *

          (3) Long-term study of facilities.--
                  (A) In general.--* * *

           *       *       *       *       *       *       *

                  (C) Submission.--The Secretary shall submit 
                to Congress a detailed report on the results of 
                such study not later than the end of the 18-
                month period [beginning on the date of 
                enactment of this Act] beginning on the date of 
                enactment of the Carl D. Perkins Career and 
                Technical Education Improvement Act of 2004.

           *       *       *       *       *       *       *

    (h) Appeals.--
          (1) In general.--Subject to paragraph (2), the 
        Secretary shall provide a tribally controlled 
        postsecondary career and technical institution with a 
        hearing on the record before an administrative law 
        judge with respect to the following determinations:
                  (A) A determination that such institution is 
                not eligible for a grant under this section.
                  (B) A determination regarding the calculation 
                of the amount of a grant awarded under this 
                section.
          (2) Procedure for appeal.--To appeal a determination 
        described in paragraph (1), a tribally controlled 
        postsecondary career and technical institution shall--
                  (A) in the case of an appeal based on a 
                determination that such institution is not 
                eligible for a grant under this section, file a 
                notice of appeal with the Secretary not later 
                than 30 days after receipt of such 
                determination; and
                  (B) in the case of an appeal based on a 
                determination regarding the calculation of the 
                amount of a grant awarded under this section--
                          (i) file a notice of appeal with the 
                        Secretary not later than 30 days after 
                        receipt of the Secretary's notification 
                        of the grant amount; and
                          (ii) identify the amount of funding 
                        that gives rise to such appeal.
          (3) Withholding of amount.--If a tribally controlled 
        postsecondary career and technical institution appeals 
        a determination described in paragraph (1), the 
        Secretary shall withhold the amount is dispute from the 
        award of grant funds under this section until such time 
        as the administrative law judge has issued a written 
        decision on the appeal.
    (i) Restricted Indirect Cost Rate.--Notwithstanding any 
other provision of law, the Secretary shall not require the use 
of a restricted indirect cost rate for grants issued pursuant 
to this section.

           *       *       *       *       *       *       *

    [(h)] (j) Definitions.--In this section:
          (1) Indian.--The terms ``Indian'' and ``Indian 
        tribe'' have the meanings given the terms in section 2 
        of the Tribally Controlled College or University 
        Assistance Act of 1978.
          (2) Indian student count.--The term ``Indian student 
        count'' means a number equal to the total number of 
        Indian students enrolled in each tribally controlled 
        postsecondary [vocational] career and technical 
        institution, determined as follows:
                  (A) Registrations.--* * *

           *       *       *       *       *       *       *

                  (D) Determination of hours.--Indian students 
                earning credits in any continuing education 
                program of a tribally controlled postsecondary 
                [vocational] career and technical institution 
                shall be included in determining the sum of all 
                credit or clock hours.

           *       *       *       *       *       *       *

    [(i)] (k)[(k) Authorization of Appropriations.--There are 
authorized to be appropriated to carry out this section 
$4,000,000 for fiscal year 1999 and such sums as may be 
necessary for each of the 4 succeeding fiscal years.]
    (k) Authorization of Appropriations.--There are authorized 
to be appropriated to carry out this section $10,000,000 for 
fiscal year 2005 and such sums as may be necessary for each of 
the 5 succeeding fiscal years.

           *       *       *       *       *       *       *


SEC. 118. OCCUPATIONAL AND EMPLOYMENT INFORMATION.

    (a) National Activities.--From funds appropriated under 
subsection [(f)] (g), the Secretary, in consultation with 
appropriate Federal agencies, is authorized--
          (1) to provide assistance to an entity to enable the 
        entity--
                  (A) to provide technical assistance to State 
                entities designated under subsection [(b)] (c) 
                to enable the State entities to carry out the 
                activities described in subsection [(b)] (c);
                  (B) to disseminate information that promotes 
                the replication of high quality practices 
                described in subsection [(b)] (c);
                  (C) to develop and disseminate products and 
                services related to the activities described in 
                subsection [(b)] (c); and
          (2) to award grants to States that designate State 
        entities in accordance with subsection [(b)] (c) to 
        enable the State entities to carry out the State level 
        activities described in subsection [(b)] (c).
    (b) State Application.--
          (1) In general.--Each State desiring assistance under 
        this section shall submit an application to the 
        Secretary at the same time the State submits its State 
        plan under section 122, in such manner, and accompanied 
        by such additional information, as the Secretary may 
        reasonably require.
          (2) Contents.--Each application submitted under 
        paragraph (1) shall include--
                  (A) a description of how the State entity 
                designated in subsection (c) will provide 
                information based on labor market trends to 
                inform program development; and
                  (B) information about the academic content 
                standards and student academic achievement 
                standards adopted by the State under section 
                1111(b)(1) of the Elementary and Secondary 
                Education Act of 1965.

           *       *       *       *       *       *       *

    [(b)] (c) State Level Activities.--In order for a State to 
receive a grant under this section, the eligible agency and the 
Governor of the State shall jointly designate an entity in the 
State--
          (1) to provide support for a career guidance and 
        academic counseling program designed to promote 
        improved career and education decisionmaking by 
        [individuals (especially in areas of career information 
        delivery and use);] students and parents, including 
        postsecondary education and training, including 
        preparation for high skill, high wage, or high demand 
        occupations and nontraditional fields in emerging or 
        established professions;
          (2) to make available to students, parents, teachers, 
        administrators, and counselors, and to improve 
        accessibility with respect to, information and planning 
        resources that relate academic and career and technical 
        educational preparation to career goals and 
        expectations;
          [(3) to equip teachers, administrators, and 
        counselors with the knowledge and skills needed to 
        assist students and parents with career exploration, 
        educational opportunities, and education financing.]
          (3) to equip teachers, faculty, administrators, and 
        counselors with the knowledge, skills, and occupational 
        information needed to assist parents and all students, 
        especially special populations underrepresented in 
        certain careers, with career exploration, educational 
        opportunities, education financing, and exposure to 
        high skill, high wage, or high demand occupations and 
        nontraditional fields;
          (4) to assist appropriate State entities in tailoring 
        career-related educational resources and training for 
        use by [such entities;] such entities, with an emphasis 
        on high skill, high wage, or high demand occupations in 
        emerging or established professions;
          (5) to improve coordination and communication among 
        administrators and planners of programs authorized by 
        this Act and by section 15 of the Wagner-Peyser Act at 
        the Federal, State, and local levels to ensure 
        nonduplication of efforts and the appropriate use of 
        shared information and data; [and]
          (6) to provide ongoing means for customers, such as 
        students and parents, to provide comments and feedback 
        on products and services and to update resources, as 
        appropriate, to better meet customer requirements[.]; 
        and
          (7) to provide information, if available, for each 
        occupation, on--
                  (A) the average earnings of an individual in 
                the occupation at entry level and after 5 years 
                of employment;
                  (B) the expected lifetime earnings; and
                  (C) and the expected future demand for the 
                occupation, based on employment projections.

           *       *       *       *       *       *       *

    [(c)] (d) Nonduplication.--
          (1) Wagner-peyser act.--The State entity designated 
        under subsection [(b)] (c) may use funds provided under 
        subsection [(b)] (c) to supplement activities under 
        section 15 of the Wagner-Peyser Act to the extent such 
        activities do not duplicate activities assisted under 
        such section.

           *       *       *       *       *       *       *

        [(d)] (e) Funding Rule.--Of the amounts appropriated to 
        carry out this section, the Federal entity designated 
        under subsection (a) shall use--
          (1) not less than 85 percent to carry out subsection 
        [(b)] (c); and
          (2) not more than 15 percent to carry out subsection 
        (a).
    [(e)] (f) Report.--The Secretary, in consultation with 
appropriate Federal agencies, shall prepare and submit to the 
appropriate committees of Congress, an annual report that 
includes--
          (1) [an identification] a description of activities 
        assisted under this section during the prior program 
        year;

           *       *       *       *       *       *       *

    [(f)] (g) Authorization of Appropriations.--There are 
authorized to be appropriated to carry out this section such 
sums as may be necessary for each of the fiscal years [1999 
through 2003] 2005 through 2010.

           *       *       *       *       *       *       *


                        PART B--STATE PROVISIONS


SEC. 121. STATEMENT ADMINISTRATION.

    [(a) Eligible Agency Responsibilities.--
    [(1) In general.--The responsibilities] (a) Eligible Agency 
Responsibilities.--The responsibilities of an eligible agency 
under this title shall include--
         [(A)] (1) coordination of the development, submission, 
        and implementation of the State plan, and the valuation 
        of the program, services, and activities assisted under 
        this title, including preparation for nontraditional 
        [training and employment] fields;
         [(B)] (2) consultation with the Governor and 
        appropriate agencies; groups, and individuals including 
        parents, students, teachers, teacher and faculty 
        preparation programs, representatives of all types and 
        sizes of businesses, labor organizations, eligible 
        recipients, State and local officials and local program 
        administrators, involved in the planning, 
        administration, evaluation, and coordination of 
        programs funded under this title;
         [(C)] (3) convening and meeting as an eligible agency 
        (consistent with State law and procedure for the 
        conduct of such meetings) at such time as the eligible 
        agency determines necessary to carry out the eligible 
        agency's responsibilities under this title, but not 
        less than four times annually; and
         [(D)] (4) the adoption of such procedures as the 
        eligible agency considers necessary to--
                 [(i)] (A) implement State level coordination 
                with the activities undertaken by the State 
                boards under section 111 of Public Law 105-220; 
                and
                 [(ii)] (B) make available to the service 
                delivery system under Section 121 of Public Law 
                105-220 within the State a listing of all 
                school dropout, postsecondary, and adult 
                programs assisted under this title.
    [(2)] (b) Exception.--Except with respect to the 
responsibilities set forth in [paragraph (1)] subsection (a), 
the eligible agency may delegate any of the other 
responsibilities of the eligible agency that involve the 
administration, operation, supervision of activities assisted 
under this title, in whole or in part, to one or more 
appropriate State agencies.

SEC. 122. STATE PLAN.

    (a) State Plan--
         (1) In general.--Each eligible agency desiring 
        assistance under this title for any fiscal year shall 
        prepare and submit to the Secretary a State plan for a 
        [5] 6-year period, together with such annual revisions 
        as the eligible agency determines to be necessary. Each 
        eligible agency may submit a transition plan during the 
        first full year of implementation of this Act after the 
        date of enactment of the Carl D. Perkins Career and 
        Technical Education Improvement Act of 2004. The 
        transition plan shall fulfill the eligible agency's 
        State plan submission obligation under this section.
         (2) Revisions.--Each eligible agency--
                 (A) * * *

           *       *       *       *       *       *       *

                 (B) shall, after the second year of the [5 
                year State plan] 6-year period, conduct a 
                review of activities assisted under this title 
                and submit any revisions of the State plan that 
                the eligible agency determines necessary to the 
                Secretary.

           *       *       *       *       *       *       *

    (b) Plan Development.--
          [(1) In general.--The eligible agency shall develop 
        the State plan in consultation with teachers, eligible 
        recipients, parents, students, interested community 
        members, representatives of special populations, 
        representatives of business and industry, and 
        representatives of labor organizations in the State, 
        and shall consult the Governor of the State with 
        respect to such development.]
          (1) In general.--The eligible agency shall develop 
        the State plan in consultation with academic and career 
        and technical education teachers, faculty, principals, 
        and administrators, career guidance and academic 
        counselors, eligible recipients, parents, students, the 
        State tech-prep coordinator and representatives of 
        tech-prep consortia (if applicable), interested 
        community members (including parent and community 
        organizations), representatives of special populations, 
        representatives of business (including small business) 
        and industry, representatives of labor organizations in 
        the State, and representatives of charter school 
        authorizers and organizers (if applicable), and shall 
        consult the Governor of the State with respect to such 
        development.

           *       *       *       *       *       *       *

    [(c) Plan Contents.--The State plan shall include 
information that--
          [(1) describes the vocational and technical education 
        activities to be assisted that are designed to meet or 
        exceed the State adjusted levels of performance, 
        including a description of--
                  [(A) the secondary and postsecondary 
                vocational and technical education programs to 
                be carried out, including programs that will be 
                carried out by the eligible agency to develop, 
                improve, and expand access to quality, state-
                of-the-art technology in vocational and 
                technical education programs;
                  [(B) the criteria that will be used by the 
                eligible agency in approving applications by 
                eligible recipients for funds under this title;
                  [(C) how such programs will prepare 
                vocational and technical education students for 
                opportunities in postsecondary education or 
                entry into high skill, high wage jobs in 
                current and emerging occupations; and
                  [(D) how funds will be used to improve or 
                develop new vocational and technical education 
                courses;
          [(2) describes how comprehensive professional 
        development (including initial teacher preparation) for 
        vocational and technical, academic, guidance, and 
        administrative personnel will be provided;
          [(3) describes how the eligible agency will actively 
        involve parents, teachers, local businesses (including 
        small- and medium-sized businesses), and labor 
        organizations in the planning, development, 
        implementation, and evaluation of such vocational and 
        technical education programs;
          [(4) describes how funds received by the eligible 
        agency through the allotment made under section 111 
        will be allocated--
                  [(A) among secondary school vocational and 
                technical education, or postsecondary and adult 
                vocational and technical education, or both, 
                including the rationale for such allocation; 
                and
                  [(B) among any consortia that will be formed 
                among secondary schools and eligible 
                institutions, and how funds will be allocated 
                among the members of the consortia, including 
                the rationale for such allocation;
          [(5) describes how the eligible agency will--
                  [(A) improve the academic and technical 
                skills of students participating in vocational 
                and technical education programs, including 
                strengthening the academic, andvocational and 
technical, components of vocational and technical education programs 
through the integration of academics with vocational and technical 
education to ensure learning in the core academic, and vocational and 
technical, subjects, and provide students with strong experience in, 
and understanding of, all aspects of an industry; and
                 [(B) ensure that students who participate in 
                such vocational and technical education 
                programs are taught to the same challenging 
                academic proficiencies as are taught to all 
                other students;
         [(6) describes how the eligible agency will annually 
        evaluate the effectiveness of such vocational and 
        technical education programs, and describe, to the 
        extent particable, how the eligible agency is 
        coordinating such programs to ensure nonduplication 
        with other existing Federal programs;
         [(7) describes the eligible agency's program 
        strategies for special populations;
         [(8) describes how individuals who are members of the 
        special populations--
                 [(A) will be provided with equal access to 
                activities assisted under this title;
                 [(B) will not be discriminated against on the 
                basis of their status as members of the special 
                populations; and
                 [(C) will be provided with programs designed 
                to enable the special populations to meet or 
                exceed State adjusted levels of performance, 
                and prepare special populations for futhre 
                learning and for high skill, high wage careers;
         [(9) describe what steps the eligible agency shall 
        take to involve representatives of eligible recipients 
        in the development of the State adjusted levels of 
        performance;
         [(10) provides assurances that the eligible agency 
        will comply with the requirements of this title and the 
        provisions of the State plan, including the provision 
        of a financial audit of funds received under this title 
        which may be included as part of an audit of other 
        Federal or State programs;
         [(11) provides assurances that none of the funds 
        expended under this title will be used to acquire 
        equipment (including computer software) in any instance 
        in which such acquisition results in a direct financial 
        benefit to any organization representing the interests 
        of the purchasing entity, the employees of the 
        purchasing entity, or any affiliate of such an 
        organization;
         [(12) describes how the eligible agency will report 
        data relating to students participating in vocational 
        and technical education in order to adequately measure 
        the progress of the students, including special 
        populations;
         [(13) describes how the eligible agency will 
        adequately address the needs of students in alternative 
        education programs, if appropriate;
         [(14) describes how the eligible agency will provide 
        local educational agencies, area vocational and 
        technical education schools, and eligible institutions 
        in the State with technical assistance;
         [(15) describes how vocational and technical education 
        relates to State and regional occupational 
        opportunities;
         [(16) describes the methods proposed for the joint 
        planning and coordination of programs carried out under 
        this title with other Federal education programs;
         [(17) describes how funds will be used to promote 
        preparation for nontraditional training and employment;
         [(18) describes how funds will be used to serve 
        individuals in State correctional institutions;
         [(19) describes how funds will be used effectively to 
        link secondary and postsecondary education;
         [(20) describes how the eligible agency will ensure 
        that the data reported to the eligible agency from 
        local educational agencies and eligible institutions 
        under this title and the data the eligible agency 
        reports to the Secretary are complete, accurate, and 
        reliable; and
         [(21) contains the description and information 
        specified in sections 112(b)(8) and 121(c) of Public 
        Law 105-220 concerning the provision of services only 
        for postsecondary students and school dropouts.]
    (c) Plan Contents.--The State plan shall include 
information that--
          (1) describes the career and technical education 
        activities to be assisted that are designed to meet or 
        exceed the State adjusted levels of performance, 
        including a description of--
                  (A) how the eligible agency will support 
                eligible recipients in developing or 
                implementing career pathways for career and 
                technical education content areas that are 
                designed to meet relevant workforce needs, 
                including how the eligible agency will--
                          (i) support eligible recipients in 
                        developing articulation agreements 
                        between secondary and postsecondary 
                        institutions;
                          (ii) support eligible recipients in 
                        using labor market information to 
                        identify career pathways that prepare 
                        individuals for high skill, high wage, 
                        or high demand occupations;
                          (iii) make available information 
                        about career pathways offered by 
                        eligible recipients; and
                          (iv) consult with business and 
                        industry and use industry-recognized 
                        standards and assessments, if 
                        appropriate;
                  (B) the secondary and postsecondary career 
                and technical education programs to be carried 
                out, including programs that will be carried 
                out by the eligible agency to develop, improve, 
                and expand access to quality technology in 
                career and technical education programs;
                  (C) the criteria that will be used by the 
                eligible agency to approve eligible recipients 
                for funds under this title, including criteria 
                to assess the extent to which the local plan 
                will--
                          (i) promote higher levels of academic 
                        achievement;
                          (ii) promote higher levels of 
                        technical skill attainment; and
                          (iii) identify and address workforce 
                        needs;
                  (D) how programs at the secondary level will 
                prepare career and technical education 
                students, including special populations to 
                graduate from high school with a diploma;
                  (E) how such programs will prepare career and 
                technical education students, including special 
                populations, both academically and technically, 
                for opportunities in postsecondary education or 
                entry into high skill, high wage, or high 
                demand occupations in emerging or established 
                occupations, and how participating students 
                will be made aware of such opportunities; and
                  (F) how funds will be used to improve or 
                develop new career and technical education 
                courses in high skill, high wage, or high 
                demand occupations that are aligned with 
                business needs and industry standards, as 
                appropriate--
                          (i) at the secondary level that are 
                        aligned with challenging academic 
                        content standards and student academic 
                        achievement standards adopted by the 
                        State under section 1111(b)(1) of the 
                        Elementary and Secondary Education Act 
                        of 1965; and
                          (ii) at the postsecondary level that 
                        are relevant and challenging;
          (2) describes how career and technical education 
        teachers, faculty, principals, administrators, and 
        career guidance and academic counselors will be 
        provided comprehensive initial preparation and 
        professional development, including through programs 
        and activities that--
                  (A) promote the integration of challenging 
                academic and career and technical education 
                curriculum development, including opportunities 
                for teachers to jointly develop and implement 
                curriculum and pedagogical strategies with 
                appropriate academic teachers;
                  (B) increase the academic and career and 
                technical education knowledge of career and 
                technical education teachers and faculty;
                  (C) are high-quality, sustained, intensive, 
                focused on instruction, directly related to 
                industry standards, and includes structured 
                induction and mentoring components for new 
                personnel, with an emphasis on identifying and 
                addressing the needs of local businesses, 
                including small businesses;
                  (D) ensure an increasing number of career and 
                technical education teachers and faculty meet 
                teacher certification and licensing 
                requirements reflecting the needs of their 
                subject area or areas;
                  (E) equip them with the knowledge and skills 
                needed to work with and improve instruction for 
                special populations;
                  (F) assist in accessing and utilizing data, 
                including labor market indicators, student 
                achievement, and assessments;
                  (G) enhance the leadership capacity of 
                principals and administrators;
                  (H) are integrated with professional 
                development activities that the State carries 
                out under title II of the Elementary and 
                Secondary Education Act of 1965 and title II of 
                the Higher Education Act of 1965; and
                  (I) include strategies to expose all career 
                and technical education students to 
                comprehensive information regarding career 
                options that lead to high skill, high wage, or 
                high demand occupations and nontraditional 
                fields;
          (3) describes efforts to improve--
                  (A) the recruitment and retention of career 
                and technical education teachers, faculty, 
                counselors, principals, and administrators, 
                including individuals in groups 
                underrepresented in the teaching profession; 
                and
                  (B) the transition to teaching from business 
                and industry, including small business;
          (4) describes efforts to improve the capacity of 
        programs and faculty at postsecondary institutions to 
        effectively prepare career and technical education 
        personnel, including, as appropriate, through 
        electronically delivered distance education, and 
        articulation agreements between 2-year technical 
        programs and postsecondary education programs;
          (5) describes how the eligible agency will actively 
        involve parents, academic and career and technical 
        education teachers, faculty, principals, and 
        administrators, career guidance and academic 
        counselors, local businesses (including small- and 
        medium-sized businesses and business intermediaries), 
        and labor organizations in the planning, development, 
        implementation, and evaluation of such career and 
        technical education programs;
          (6) describes how funds received by the eligible 
        agency through the allotment made under section 111 
        will be allocated--
                  (A) among secondary school career and 
                technical education, or postsecondary and adult 
                career and technical education, or both, 
                including the rationale for such allocation; 
                and
                  (B) among any consortia that will be formed 
                among secondary schools and eligible 
                institutions, and how funds will be allocated 
                among the members of the consortia, including 
                the rationale for such allocation;
          (7) describes how the eligible agency will--
                  (A) use funds to improve or develop new 
                career and technical education courses in high 
                skill, high wage, or high demand occupations--
                          (i) at the secondary level that are 
                        aligned with challenging academic 
                        content standards and student academic 
                        achievement standards adopted by the 
                        State under section 1111(b)(1) of the 
                        Elementary and Secondary Education Act 
                        of 1965; and
                          (ii) at the postsecondary level that 
                        are challenging and aligned with 
                        business needs and industry standards, 
                        as appropriate;
                  (B) improve the academic and technical skills 
                of students participating in career and 
                technical education programs, including 
                strengthening the academic, and career and 
                technical, components of career and technical 
                education programs through the integration of 
                academics with career and technical education 
                to ensure learning in the core academic 
                subjects and career and technical education 
                subjects, and provide students with strong 
                experience in, and understanding of, all 
                aspects of an industry;
                  (C) ensure that students who participate in 
                such career and technical education programs 
                are taught to the same challenging academic 
                proficiencies as are taught to all other 
                students; and
                  (D) encourage secondary school students who 
                participate in such career and technical 
                education programs to enroll in challenging 
                courses in core academic subjects;
          (8) describes how the eligible agency will annually 
        evaluate the effectiveness of such career and technical 
        education programs, and describes, to the extent 
        practicable, how the eligible agency is coordinating 
        such programs to promote relevant lifelong learning and 
        ensure nonduplication with other existing Federal 
        programs;
          (9) describes the eligible agency's program 
        strategies for special populations, including a 
        description of how individuals who are members of the 
        special populations--
                  (A) will be provided with equal access to 
                activities assisted under this title;
                  (B) will not be discriminated against on the 
                basis of their status as members of the special 
                populations; and
                  (C) will be provided with programs designed 
                to enable the special populations to meet or 
                exceed State adjusted levels of performance, 
                and prepare special populations for further 
                learning and for high skill, high wage, or high 
                demand occupations;
          (10) how the eligible agency will collaborate in 
        developing the State plan with--
                  (A) the entity within the State with 
                responsibility for elementary and secondary 
                education;
                  (B) the entity within the State with 
                responsibility for public institutions engaged 
                in postsecondary education;
                  (C) State institutions such as State 
                correctional institutions and institutions that 
                serve individuals with disabilities; and
                  (D) all other relevant State agencies with 
                responsibility for career and technical 
                education and training and workforce 
                development;
          (11) describes the steps the eligible agency will 
        take to involve representatives of eligible recipients 
        in the development of the State adjusted levels of 
        performance;
          (12) provides assurances that the eligible agency 
        will comply with the requirements of this title and the 
        provisions of the State plan, including the provision 
        of a financial audit of funds received under this title 
        which may be included as part of an audit of other 
        Federal or State programs;
          (13) provides assurances that none of the funds 
        expended under this title will be used to acquire 
        equipment (including computer software) in any instance 
        in which such acquisition results in a direct financial 
        benefit to any organization representing the interests 
        of the purchasing entity, the employees of the 
        purchasing entity, or any affiliate of such an 
        organization;
          (14) describes how the eligible agency will measure 
        and report data relating to students participating in 
        and completing career and technical education within 
        specific career clusters in order to adequately measure 
        the progress of the students, including special 
        populations, at--
                  (A) the secondary level, disaggregated by the 
                categories described in section 
                1111(h)(1)(C)(i) of the Elementary and 
                Secondary Education Act of 1965, except that 
                such disaggregation shall not be required in a 
                case in which the number of individuals in a 
                category is insufficient to yield statistically 
                reliable information or the results would 
                reveal personally identifiable information 
                about an individual; and
                  (B) the postsecondary level, disaggregated by 
                special populations, except that such 
                disaggregation shall not be required in a case 
                in which the number of individuals in a 
                category is insufficient to yield statistically 
                reliable information or the results would 
                reveal personally identifiable information 
                about an individual;
          (15) describes how the eligible agency will 
        adequately address the needs of students in alternative 
        education programs, if appropriate;
          (16) describes how the eligible agency will provide 
        local educational agencies, area career and technical 
        education schools, and eligible institutions in the 
        State with technical assistance;
          (17) describes how career and technical education 
        relates to State and regional occupational 
        opportunities;
          (18) describes the methods proposed for the joint 
        planning and coordination of programs carried out under 
        this title with other Federal education programs;
          (19) describes how funds will be used to promote 
        preparation for high skill, high wage, or high demand 
        occupations and nontraditional fields in emerging and 
        established professions;
          (20) describes how funds will be used to serve 
        individuals in State correctional institutions;
          (21) describes how the eligible agency will ensure 
        that the data reported to the eligible agency from 
        local educational agencies and eligible institutions 
        under this title and the data the eligible agency 
        reports to the Secretary are complete, accurate, and 
        reliable; and
          (22) contains the description and information 
        specified in sections 112(b)(8) and 121(c) of the 
        Workforce Investment Act of 1998 (29 U.S.C. 2822(b)(8) 
        and 2841(c)) concerning the provision of services only 
        for postsecondary students and school dropouts.
    [(d) Plan Option.--The eligible agency may fulfill the 
requirements of subsection (a) by submitting a plan under 
section 501 of Public Law 105-220.]
    (d) Plan Options.--
          (1) Single plan.--The eligible agency may fulfill the 
        plan or application submission requirements of this 
        section, section 118(b), and section 141(c) by 
        submitting a single State plan. In such plan, the 
        eligible agency may allow eligible recipients to 
        fulfill the plan or application submission requirements 
        of section 134 and subsections (a) and (b) of section 
        143 by submitting a single local plan.
          (2) Plan submitted as part of 501 plan.--The eligible 
        agency may submit the plan required under this section 
        as part of the plan submitted under section 501 of the 
        Workforce Investment Act of 1998 (20 U.S.C. 9271), 
        provided that the plan submitted pursuant to the 
        requirement of this section meets the requirements of 
        this Act.

           *       *       *       *       *       *       *

    (e) Plan Approval.--
          (1) In general.--* * *

           *       *       *       *       *       *       *

          (3) Consultation.--The eligible agency shall develop 
        the portion of each State plan relating to the amount 
        and uses of any funds proposed to be reserved for adult 
        [vocational] career and technical education, 
        postsecondary [vocational] career and technical 
        education, tech-prep education, and secondary 
        [vocational] career and technical education after 
        consultation with the State agency responsible for 
        supervision of community colleges, technical 
        institutes, or other 2-year postsecondary institutions 
        primarily engaged in providing postsecondary 
        [vocational] career and technical education, and the 
        State agency responsible for secondary education. If a 
        State agency finds that a portion of the final State 
        plan is objectionable, the State agency shall file such 
        objections with the eligible agency. The eligible 
        agency shall respond to any objections of the State 
        agency in the State plan submitted to the Secretary.

           *       *       *       *       *       *       *

    [(f) Transition.--This section shall be subject to section 
4 for fiscal year 1999 only, with respect to activities under 
this section.]

           *       *       *       *       *       *       *


[SEC. 123. IMPROVEMENT PLANS.

    [(a) State Program Improvement Plan.--If a State fails to 
meet the State adjusted levels of performance described in the 
report submitted under section 113(c), the eligible agency 
shall develop and implement a program improvement plan in 
consultation with appropriate agencies, individuals, and 
organizations for the first program year succeeding the program 
year in which the eligible agency failed to meet the State 
adjusted levels of performance, in order to avoid a sanction 
under subsection (d).
    [(b) Local Evaluation.--Each eligible agency shall evaluate 
annually, using the State adjusted levels of performance, the 
vocational and technical education activities of each eligible 
recipient receiving funds under this title.
    [(c) Local Improvement Plan.--
          [(1) In general.--If, after reviewing the evaluation, 
        the eligible agency determines that an eligible 
        recipient is not making substantial progress in 
        achieving the State adjusted levels of performance, the 
        eligible agency shall--
                  [(A) conduct an assessment of the educational 
                needs that the eligible recipient shall address 
                to overcome local performance deficiencies;
                  [(B) enter into an improvement plan based on 
                the results of the assessment, which plan shall 
                include instructional and other programmatic 
                innovations of demonstrated effectiveness, and 
                where necessary, strategies for appropriate 
                staffing and staff development; and
                  [(C) conduct regular evaluations of the 
                progress being made toward reaching the State 
                adjusted levels of performance.
          [(2) Consultation.--The eligible agency shall conduct 
        the activities described in paragraph (1) in 
        consultation with teachers, parents, other school 
        staff, appropriate agencies, and other appropriate 
        individuals and organizations.
    [(d) Sanctions.--
          [(1) Technical assistance.--If the Secretary 
        determines that an eligible agency is not properly 
        implementing the eligible agency's responsibilities 
        under section 122, or is not making substantial 
        progress in meeting the purpose of this Act, based on 
        the State adjusted levels of performance, the Secretary 
        shall work with the eligible agency to implement 
        improvement activities consistent with the requirements 
        of this Act.
          [(2) Failure.--If an eligible agency fails to meet 
        the State adjusted levels of performance, has not 
        implemented an improvement plan as described in 
        paragraph (1), has shown no improvement within 1 year 
        after implementing an improvement plan as described in 
        paragraph (1), or has failed to meet the State adjusted 
        levels of performance for 2 or more consecutive years, 
        the Secretary may, after notice and opportunity for a 
        hearing, withhold from the eligible agency all, or a 
        portion of, the eligible agency's allotment under this 
        title. The Secretary may waive the sanction under this 
        paragraph due to exceptional or uncontrollable 
        circumstances such as a natural disaster or a 
        precipitous and unforeseen decline in the financial 
        resources of the State.
          [(3) Funds resulting from reduced allotments.--
                  [(A) In general.--The Secretary shall use 
                funds withheld under paragraph (2), for a State 
                served by an eligible agency, to provide 
                (through alternative arrangements) services and 
                activities within the State to meet the purpose 
                of this Act.
                  [(B) Redistribution.--If the Secretary cannot 
                satisfactorily use funds withheld under 
                paragraph (2), then the amount of funds 
                retained by the Secretary as a result of a 
                reduction in an allotment made under paragraph 
                (2) shall be redistributed to other eligible 
                agencies in accordance with section 111.]

SEC. 123. IMPROVEMENT PLANS.

    (a) State Program Improvement Plan.--
          (1) Plan.--If a State fails to meet the State 
        adjusted levels of performance described in the report 
        submitted under section 113(c), the eligible agency 
        shall develop and implement a program improvement plan 
        in consultation with the appropriate agencies, 
        individuals, and organizations for the first program 
        year succeeding the program year in which the eligible 
        agency failed to meet the State adjusted levels of 
        performance, in order to avoid a sanction under 
        paragraph (3).
          (2) Technical assistance.--If the Secretary 
        determines that an eligible agency is not properly 
        implementing the eligible agency's responsibilities 
        under section 122, or is not making substantial 
        progress in meeting the purpose of this Act, based on 
        the State's adjusted levels of performance, the 
        Secretary shall work with the eligible agency to 
        implement improvement activities consistent with the 
        requirements of this Act.
          (3) Failure.--
                  (A) In general.--If an eligible agency fails 
                to meet the State adjusted levels of 
                performance, has not implemented an improvement 
                plan as described in paragraph (1), has shown 
                no improvement within 1 year after implementing 
                an improvement plan as described in paragraph 
                (1), or has failed to meet the State adjusted 
                levels of performance for 2 or more consecutive 
                years, the Secretary may, after notice and 
                opportunity for hearing, withhold from the 
                eligible agency all, or a portion of, the 
                eligible agency's allotment under this title.
                  (B) Waiver for exceptional circumstances.--
                The Secretary may waive the sanction in 
                subparagraph (A) due to exceptional or 
                uncontrollable circumstances such as a natural 
                disaster or a precipitous and unforeseen 
                decline in financial resources of the State.
          (4) Funds resulting from reduced allotments.--
                  (A) In general.--The Secretary shall use 
                funds withheld under paragraph (3) for a State 
                served by an eligible agency, to provide 
                (through alternative arrangements) services and 
                activities within the State to meet the 
                purposes of this Act.
                  (B) Redistribution.--If the Secretary cannot 
                satisfactorily use funds withheld under 
                paragraph (3), then the amount of funds 
                retained by the Secretary as a result of a 
                reduction in an allotment made under paragraph 
                (3) shall be redistributed to other eligible 
                agencies in accordance with section 111.
    (b) Local Program Improvement.--
          (1) Local evaluation.--Each eligible agency shall 
        evaluate annually, using the local adjusted levels of 
        performance described in section 113(b)(4), the career 
        and technical education activities of each eligible 
        recipient receiving funds under this title.
          (2) Plan.--
                  (A) In general.--If, after reviewing the 
                evaluation, the eligible agency determines that 
                an eligible recipient is not making substantial 
                progress in achieving the local adjusted levels 
                of performance, the eligible agency shall--
                          (i) conduct an assessment of the 
                        educational needs that the eligible 
                        recipient shall address to overcome 
                        local performance deficiencies, 
                        including the performance of special 
                        populations;
                          (ii) enter into an improvement plan 
                        with an eligible recipient based on the 
                        results of the assessment, for the 
                        first program year succeeding the 
                        program year in which the eligible 
                        recipient failed to meet the local 
                        adjusted levels of performance, which 
                        plan shall demonstrate how the local 
                        performance deficiencies will be 
                        corrected and include instructional and 
                        other programmatic innovations of 
                        demonstrated effectiveness, and where 
                        necessary, strategies for appropriate 
                        staffing and professional development; 
                        and
                          (iii) conduct regular evaluations of 
                        the progress being made toward reaching 
                        the local adjusted levels of 
                        performance, as described in section 
                        113(b)(4), and progress on implementing 
                        the improvement plan.
                  (B) Consultation.--The eligible agency shall 
                conduct the activities described in 
                subparagraph (A) in consultation with teachers, 
                principals, administrators, faculty, parents, 
                other school staff, appropriate agencies, and 
                other appropriate individuals and 
                organizations.
          (3) Technical assistance.--If the eligible agency 
        determines that an eligible recipient is not properly 
        implementing the eligible recipient's responsibilities 
        under section 134, or is not making substantial 
        progress in meeting the purpose of this Act, based on 
        the local adjusted levels of performance, the eligible 
        agency shall provide technical assistance to the 
        eligible recipient to assist the eligible recipient in 
        carrying out the improvement activities consistent with 
        the requirements of this Act. An eligible recipient, in 
        collaboration with the eligible agency, may request 
        that the Secretary provide additional technical 
        assistance.
          (4) Failure.--
                  (A) In general.--If an eligible recipient 
                fails to meet the local adjusted levels of 
                performance as described in section 113(b)(4) 
                and has not implemented an improvement plan as 
                described in paragraph (2), has shown no 
                improvement within 1 year after implementing an 
                improvement plan as described in paragraph (2), 
                or has failed to meet more than 1 of the local 
                adjusted levels of performance for 2 or more 
                consecutive years, the eligible agency may, 
                after notice and opportunity for a hearing, 
                withhold from the eligible recipient all, or a 
                portion of, the eligible recipient's allotment 
                under this title.
                  (B) Waiver for exceptional circumstances.--
                The eligible agency may waive the sanction 
                under this paragraph due to exceptional or 
                uncontrollable circumstances such as 
                organizational structure, or a natural disaster 
                or a precipitous and unforeseen decline in 
                financial resources of the eligible recipient.
          (5) Funds resulting from reduced allotments.--The 
        eligible agency shall use funds withheld under 
        paragraph (4) to provide (through alternative 
        arrangements) services and activities to students 
        within the area served by such recipient to meet the 
        purpose of this Act.

           *       *       *       *       *       *       *


SEC. 124. STATE LEADERSHIP ACTIVITIES.

    (a) General Authority.--From amounts reserved under section 
[112(a)(2)] 112(a)(2)(A), each eligible agency shall conduct 
State leadership activities.
    (b) Required Uses of Funds.--The State leadership 
activities described in subsection (a) shall include--
          (1) an assessment of the [vocational] career and 
        technical education programs carried out with funds 
        under this title that includes an assessment of how the 
        needs of special populations are being met and how such 
        programs are designed to enable special populations to 
        meet State adjusted levels of performance and prepare 
        the special populations for [further learning or for 
        high skill, high wage careers;] further education, 
        further training, or for high skill, high wage, or high 
        demand occupations;
          (2) developing, improving, or expanding the use of 
        technology in [vocational] career and technical 
        education that may include--
                  [(A) training of vocational and technical 
                education personnel to use state-of-the-art 
                technology, that may include distance learning;
                  [(B) providing vocational and technical 
                education students with the academic, and 
                vocational and technical skills that lead to 
                entry into the high technology and 
                telecommunications field; or
                  [(C) encouraging schools to work with high 
                technology industries to offer voluntary 
                internships and mentoring programs;]
                  (A) training of career and technical 
                education teachers, faculty, principals, career 
                guidance and academic counselors, and 
                administrators to use technology, including 
                distance learning;
                  (B) encouraging schools to collaborate with 
                technology industries to offer voluntary 
                internships and mentoring programs; or
                  (C) encouraging lifelong learning, including 
                through partnerships that may involve 
                institutions of higher education, organizations 
                providing career and technical education, 
                businesses, and communications entities;
          [(3) professional development programs, including 
        providing comprehensive professional development 
        (including initial teacher preparation) for vocational 
        and technical, academic, guidance, and administrative 
        personnel, that--
                  [(A) will provide inservice and preservice 
                training in state-of-the-art vocational and 
                technical education programs and techniques, 
                effective teaching skills based on research, 
                and effective practices to improve parental and 
                community involvement; and
                  [(B) will help teachers and personnel to 
                assist students in meeting the State adjusted 
                levels of performance established under section 
                113;
                  [(C) will support education programs for 
                teachers of vocational and technical education 
                in public schools and other public school 
                personnel who are involved in the direct 
                delivery of educational services to vocational 
                and technical education students to ensure that 
                such teachers stay current with the needs, 
                expectations, and methods of industry; and
                  [(D) is integrated with the professional 
                development activities that the State carries 
                out under title II of the Elementary and 
                Secondary Education Act of 1965 (20 U.S.C. 6001 
                et seq.) and title II of the Higher Education 
                Act of 1965;]
          (3) professional development programs, including 
        providing comprehensive professional development 
        (including initial teacher preparation) for career and 
        technical education teachers, faculty, principals, 
        administrators, and career guidance and academic 
        counselors at the secondary and postsecondary levels, 
        that support activities described in section 122 and--
                  (A) provide in-service and pre-service 
                training in career and technical education 
                programs and techniques, effective teaching 
                skills based on promising practices and, where 
                available and appropriate, scientifically based 
                research, and effective practices to improve 
                parental and community involvement;
                  (B) improve student achievement in order to 
                meet the State adjusted levels of performance 
                established under section 113;
                  (C) support education programs for teachers 
                and faculty of career and technical education 
                in public schools and other public school 
                personnel who are involved in the direct 
                delivery of educational services to career and 
                technical education students to ensure that 
                such personnel--
                          (i) stay current with the needs, 
                        expectations, and methods of industry;
                          (ii) can effectively develop 
                        challenging, integrated academic and 
                        career and technical education 
                        curriculum jointly with academic 
                        teachers, to the extent practicable; 
                        and
                          (iii) develop a higher level of 
                        academic and industry knowledge and 
                        skills in career and technical 
                        education; and
                  (D) are integrated with the teacher 
                certification or licensing and professional 
                development activities that the State carries 
                out under title II of the Elementary and 
                Secondary Education Act of 1965 and title II of 
                the Higher Education Act of 1965;
          (4) [support for] supporting [vocational] career and 
        technical education programs that improve the academic, 
        and [vocational] career and technical skills of 
        students participating in [vocational] career and 
        technical education programs by strengthening the 
        academic, and [vocational] career and technical 
        components of such [vocational] career and technical 
        education programs through the integration of academics 
        with [vocational] career and technical education to 
        ensure learning in the core academic, and [vocational] 
        career and technical subjects;
          (5) providing preparation for [nontraditional 
        training and employment] nontraditional fields in 
        emerging and established professions, and other 
        activities that expose students, including special 
        populations, to high skill, high wage occupations;
          (6) supporting partnerships among local educational 
        agencies, institutions of higher education, adult 
        education providers, and, as appropriate, other 
        entities, such as employers, labor organizations, 
        intermediaries, parents, and local partnerships, to 
        enable students to achieve State academic standards, 
        and [vocational] career and technical skills, or 
        complete career pathways, as described in section 
        122(c)(1)(A);
          (7) serving individuals in State institutions, such 
        as State correctional institutions and institutions 
        that serve individuals with disabilities; [and]
          (8) support for programs for special populations that 
        lead to high skill, high [wage careers.] wage 
        occupations; and
          (9) technical assistance for eligible recipients.
    [(c) Permissible Uses of Funds.--The leadership activities 
described in subsection (a) may include--
          [(1) technical assistance for eligible recipients;
          [(2) improvement of career guidance and academic 
        counseling programs that assist students in making 
        informed academic, and vocational and technical 
        education decisions;
          [(3) establishment of agreements between secondary 
        and postsecondary vocational and technical education 
        programs in order to provide postsecondary education 
        and training opportunities for students participating 
        in such vocational and technical education programs, 
        such as tech-prep programs;
          [(4) support for cooperative education;
          [(5) support for vocational and technical student 
        organizations, especially with respect to efforts to 
        increase the participation of students who are members 
        of special populations;
          [(6) support for public charter schools operating 
        secondary vocational and technical education programs;
          [(7) support for vocational and technical education 
        programs that offer experience in, and understanding 
        of, all aspects of an industry for which students are 
        preparing to enter;
          [(8) support for family and consumer sciences 
        programs;
          [(9) support for education and business partnerships;
          [(10) support to improve or develop new vocational 
        and technical education courses;
          [(11) providing vocational and technical education 
        programs for adults and school dropouts to complete 
        their secondary school education; and
          [(12) providing assistance to students, who have 
        participated in services and activities under this 
        title, in finding an appropriate job and continuing 
        their education.]
    (c) Permissible Uses of Funds.--The leadership activities 
described in subsection (a) may include--
          (1) improvement of career guidance and academic 
        counseling programs that assist students in making 
        informed academic, and career and technical education, 
        decisions, including encouraging secondary and 
        postsecondary students to graduate with a diploma or 
        degree, and expose students to high skill, high wage 
        occupations and nontraditional fields in emerging and 
        established professions;
          (2) establishment of agreements, including 
        articulation agreements, between secondary and 
        postsecondary career and technical education programs 
        in order to provide postsecondary education and 
        training opportunities for students participating in 
        such career and technical education programs, such as 
        tech-prep programs;
          (3) support for career and technical student 
        organizations, especially with respect to efforts to 
        increase the participation of students who are members 
        of special populations;
          (4) support for public charter schools operating 
        secondary career and technical education programs;
          (5) support for career and technical education 
        programs that offer experience in, and understanding 
        of, all aspects of an industry for which students are 
        preparing to enter;
          (6) support for family and consumer sciences 
        programs;
          (7) support for partnerships between education and 
        business or business intermediaries, including 
        cooperative education and adjunct faculty arrangements 
        at the secondary and postsecondary levels;
          (8) support to improve or develop new career and 
        technical education courses and initiatives, including 
        career clusters, career academies, and distance 
        learning, that prepare individuals academically and 
        technically for high skill, high wage, or high demand 
        occupations;
          (9) awarding incentive grants to eligible recipients 
        for exemplary performance in carrying out programs 
        under this Act, which awards shall be based on local 
        performance indicators, as described in section 113, in 
        accordance with previously, publicly disclosed 
        priorities;
          (10) providing career and technical education 
        programs for adults and school dropouts to complete 
        their secondary school education;
          (11) providing assistance to individuals, who have 
        participated in services and activities under this 
        title, in finding an appropriate job and continuing 
        their education or training through collaboration with 
        the workforce investment system established under the 
        Workforce Investment Act of 1998 (29 U.S.C 2801 et 
        seq.);
          (12) developing valid and reliable assessments of 
        technical skills that are integrated with industry 
        certification assessments where available;
          (13) developing and enhancing data systems to collect 
        and analyze data on secondary and postsecondary 
        academic and employment outcomes;
          (14) improving--
                  (A) the recruitment and retention of career 
                and technical education teachers, faculty, 
                principals, administrators, and career guidance 
                and academic counselors, including individuals 
                in groups underrepresented in the teaching 
                profession; and
                  (B) the transition to teaching from business 
                and industry, including small business; and
          (15) adopting, calculating, or commissioning a self-
        sufficiency standard.
    (d) Restriction on Uses of Funds.--An eligible agency that 
receives funds under section [112(a)(2)] 112(a)(2)(A) may not 
use any of such funds for administrative costs.

           *       *       *       *       *       *       *


                        PART C--LOCAL PROVISIONS


SEC. 131. DISTRIBUTION OF FUNDS TO SECONDARY SCHOOL PROGRAMS.

    [(a) Distribution for Fiscal Year 1999.--Except as provided 
in section 133 and as otherwise provided in this section, each 
eligible agency shall distribute the portion of the funds made 
available under section 112(a)(1) to carry out this section for 
fiscal year 1999 to local educational agencies within the State 
as follows:
          [(1) Seventy percent.--From 70 percent of such 
        portion, each local educational agency shall be 
        allocated an amount that bears the same relationship to 
        such 70 percent as the amount such local educational 
        agency was allocated under section 1124 of the 
        Elementary and Secondary Education Act of 1965 (20 
        U.S.C. 6333) for the preceding fiscal year bears to the 
        total amount received under such section by all local 
        educational agencies in the State for such preceding 
        fiscal year.
          [(2) Twenty percent.--From 20 percent of such 
        portion, each local educational agency shall be 
        allocated an amount that bears the same relationship to 
        such 20 percent as the number of students with 
        disabilities who have individualized education programs 
        under section 614(d) of the Individuals with 
        Disabilities Education Act (20 U.S.C. 1414(d)) served 
        by such local educational agency for the preceding 
        fiscal year bears to the total number of such students 
        served by all local educational agencies in the State 
        for such preceding fiscal year.
          [(3) Ten percent.--From 10 percent of such portion, 
        each local educational agency shall be allocated an 
        amount that bears the same relationship to such 10 
        percent as the number of students enrolled in schools 
        and adults enrolled in training programs under the 
        jurisdiction of such local educational agency for the 
        preceding fiscal year bears to the number of students 
        enrolled in schools and adults enrolled in training 
        programs under the jurisdiction of all local 
        educational agencies in the State for such preceding 
        fiscal year.]
    [(b)] (a) [Special Distribution Rules for Succeeding Fiscal 
Years] Distribution Rules.--Except as provided in section 133 
and as otherwise provided in this section, each eligible agency 
shall distribute the portion of funds made available under 
section 112(a)(1) to carry out this section [for fiscal year 
2000 and succeeding fiscal years] to local educational agencies 
within the State as follows:

           *       *       *       *       *       *       *

    [(c)] (b) Waiver for More Equitable Distribution.--The 
Secretary may waive the application of [subsection (b)] 
subsection (a) in the case of any eligible agency that submits 
to the Secretary an application for such a waiver that--
          (1) demonstrates that a proposed alternative formula 
        more effectively targets funds on the basis of poverty 
        (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))] 9902(2))) to local educational agencies 
        within the State than the formula described in 
        subsection (b); and

           *       *       *       *       *       *       *

    [(d)] (c) Minimum Allocation.--
          (1) In general.--* * *
          (2) * * *
                  (A)(i) * * *
                  (ii) is a public charter school operating 
                secondary [vocational] career and technical 
                education programs; and

           *       *       *       *       *       *       *

    [(e)] (d) Limited Jurisdiction Agencies.--
          (1) In general.--* * *

           *       *       *       *       *       *       *

    [(f)] (e) Allocations to Area [Vocational] Career Technical 
Education Schools and Educational Service Agencies.--
          (1) In general.--Each eligible agency shall 
        distribute the portion of funds made available under 
        section 112(a)(1) for any fiscal year by such eligible 
        agency for secondary school [vocational] career and 
        technical education activities under this section to 
        the appropriate area [vocational] career and technical 
        education school or educational service agency in any 
        case in which the area [vocational] career and 
        technical education school or educational service 
        agency, and the local educational agency concerned--
                  (A) * * *
                  (B) * * *
          (2) Allocation basis.--If an area [vocational] career 
        and technical education school or educational service 
        agency meets the requirements of paragraph (1), then 
        the amount that would otherwise be distributed to the 
        local educational agency shall be allocated to the area 
        [vocational] career and technical education school, the 
        educational service agency, and the local educational 
        agency based on each school, agency or entity's 
        relative share of students who are attending 
        [vocational] career and technical education programs 
        (based, if practicable, on the average enrollment for 
        the preceding 3 years;
          (3) Appeals procedures.--The eligible agency shall 
        establish an appeals procedure for resolution of any 
        dispute arising between a local educational agency and 
        an area [vocational] career and technical education 
        school or an educational service agency with respect to 
        the allocation procedures described in this section, 
        including the decision of a local educational agency to 
        leave a consortium or terminate a cooperative 
        arrangement.
    [(g)] (f) Consortium Requirements.--
          (1) Alliance.--* * *

           *       *       *       *       *       *       *

                  (A) form a consortium or enter into a 
                cooperative agreement with an area [vocational] 
                career and technical education school or 
                educational service agency offering programs 
                that meet the requirements of section 135;
                  (B) transfer such allocation to the area 
                [vocational] career and technical education 
                school or educational service agency; and

           *       *       *       *       *       *       *

    [(h)] (g) Data.--The Secretary shall collect information 
from eligible agencies regarding the specific dollar 
allocations made available by the eligible agency for 
[vocational] career and technical education programs under 
[subsections (a), (b), (c), and (d)] subsections (a), (b), and 
(c) and how these allocations are distributed to local 
educational agencies, area [vocational] career and technical 
education schools, and educational service agencies, within the 
State in accordance with this section.
    [(i)] (h) Special Rule.--Each eligible agency distributing 
funds under this section shall treat a secondary school funded 
by the Bureau of Indian Affairs within the State as if such 
school were a local educational agency within the State for the 
purpose of receiving a distribution under this section.

           *       *       *       *       *       *       *


[SEC. 132. DISTRIBUTION OF FUNDS FOR POSTSECONDARY VOCATIONAL AND 
                    TECHNICAL EDUCATION PROGRAMS.]

SEC. 132. DISTRIBUTION OF FUNDS FOR POSTSECONDARY CAREER AND TECHNICAL 
                    EDUCATION PROGRAMS.

           *       *       *       *       *       *       *


[SEC. 133. SPECIAL RULES FOR VOCATIONAL AND TECHNICAL EDUCATION.]

SEC. 133. SPECIAL RULES FOR CAREER AND TECHNICAL EDUCATION.

    (a) Special Rule for Minimal Allocation.--
          (1) General authority.--* * *

           *       *       *       *       *       *       *

    (c) Construction.--Nothing in section 131 or 132 shall be 
construed--
          (1) to prohibit a local educational agency or a 
        consortium thereof that receives assistance under 
        section 131, from working with an eligible institution 
        or consortium thereof that receives assistance under 
        section 132, to carry out secondary school [vocational] 
        career and technical education programs in accordance 
        with this title,
          (2) to prohibit an eligible institution or consortium 
        thereof that receives assistance under section 132, 
        from working with a local educational agency or 
        consortium thereof that receives assistance under 
        section 131, to carry out postsecondary and adult 
        [vocational] career and technical education programs in 
        accordance with this title; or
          (3) to require a charter school, that provides 
        [vocational] career and technical education programs 
        and is considered a local educational agency under 
        State law, to jointly establish the charter school's 
        eligibility for assistance under this title unless the 
        charter school is explicitly permitted to do so under 
        the State's charter school statute.
    (d) Consistent Application.--For purposes of this section, 
the eligible agency shall provide funds to charter schools 
offering [vocational] career and technical education programs 
in the same manner as the eligible agency provides those funds 
to other schools. Such [vocational] career and technical 
education programs within a charter school shall be of 
sufficient size, scope, and quality to be effective.

           *       *       *       *       *       *       *


[SEC. 134. LOCAL PLAN FOR VOCATIONAL AND TECHNICAL EDUCATION PROGRAMS.]

SEC. 134. LOCAL PLAN FOR CAREER AND TECHNICAL EDUCATION PROGRAMS.

    (a) Local Plan Required.--* * *

           *       *       *       *       *       *       *

    (b) Contents.--The eligible agency shall determine 
requirements for local plans, except that each local plan 
shall--
          [(1) describe how the vocational and technical 
        education programs required under section 135(b) will 
        be carried out with funds received under this title;
          [(2) describe how the vocational and technical 
        education activities will be carried out with respect 
        to meeting State adjusted levels of performance 
        estalbished under section1 113;
          [(3) describe how the eligible recipient will--
                  [(A) improve the academic and technical 
                skills of students participating in vocational 
                and technical education programs by 
                strengthening the academic and vocational and 
                technical components of such programs through 
                the integration of academics with vocational 
                and technical education programs through a 
                coherent sequence of courses to ensure learning 
                in the core academic, and vocational and 
                technical subjects;
                  [(B) provide students with strong experience 
                in and understanding of all aspects of an 
                industry; and
                  [(C) ensure that students who participate in 
                such vocational and technical education 
                programs are taught to the same challenging 
                academic proficiencies as are taught for all 
                other students.
          [(4) describe how parents, students, teachers, 
        representatives of business and industry, labor 
        organizations, representatives of special poulations, 
        and other interested individuals are involved in the 
        development, implementation, and evaluation of 
        vocational and technical education programs assisted 
        under this title, and how such individuals and entities 
        are effectively informed about, and assisted in 
        understanding, the requirements of this title;
          [(5) provide assurances that the eligible recipient 
        will provide a vocational and technical education 
        program that is of such size, scope, and quality to 
        bring about improvement in the quality of vocational 
        and technical education programs;
          [(6) describe the process that will be used to 
        independently evaluate and continuously improve the 
        performance of the eligible recipient;
          [(7) describe how the eligible recipient--
                  [(A) will review vocational and technical 
                education programs, and identify and adopt 
                strategies to overcome barriers that result in 
                lowering rates of access to or lowering success 
                in the programs, for special populations; and
                  [(B) will provide programs that are designed 
                to enable the special populations to meet the 
                State adjusted levels of performance;
          [(8) describe how individuals who are members of the 
        special populations will not be discriminated against 
        on the basis of their status as members of the special 
        populations;
          [(9) describe how funds will be used to promote 
        preparation for nontraditional training and employment; 
        and
          [(10) describe how comprehensive professional 
        development (including initial teacher preparation) for 
        vocational and technical, academic, guidance, and 
        administrative personnel will be provided.]
          (1) describe how the career and technical education 
        programs required under section 135(b) will be carried 
        out with funds received under this title;
          (2) describe how the career and technical education 
        activities will be carried out with respects to meeting 
        State and local adjusted levels of performance 
        established under section 113;
          (3) describe how the eligible recipient will--
                  (A) offer the appropriate courses of not less 
                than 1 of the career pathways described in 
                section 122(c)(1)(A);
                  (B) improve the academic and technical skills 
                of students participating in career and 
                technical education programs by strengthening 
                the academic and career and technical education 
                components of such programs through the 
                integration of challenging academics with 
                career and technical education programs through 
                a coherent sequence of courses to ensure 
                learning in the core academic subjects, and 
                career and technical education subjects;
                  (C) provide students with strong experience 
                in and understanding of all aspects of an 
                industry; and
                  (D) ensure that students who participate in 
                such career and technical education programs 
                are taught to the same challenging academic 
                proficiencies as are taught for all other 
                students;
          (4) describe how comprehensive professional 
        development will be provided that is consistent with 
        section 122;
          (5) describe how parents, students, academic and 
        career and technical education teachers, faculty, 
        principals, administrators, career guidance and 
        academic counselors, representatives of tech-prep 
        consortia (if applicable), representatives of business 
        (including small business) and industry, labor 
        organizations, representatives of special populations, 
        and other interested individuals are involved in the 
        development, implementation, and evaluation of career 
        and technical education programs assisted under this 
        title, and how such individuals and entities are 
        effectively informed about, and assisted in, 
        understanding, the requirements of this title, 
        including career pathways;
          (6) provide assurances that the eligible recipient 
        will provide a career and technical education program 
        that is of such size, scope, and quality to bring about 
        improvement in the quality of career and technical 
        education programs;
          (7) described the process that will be used to 
        evaluate and continuously improve the performance of 
        the eligible recipient;
          (8) describe how the eligible recipient--
                  (A) will review career and technical 
                education programs, and identify and adopt 
                strategies to overcome barriers that result in 
                lowering rates of access to or lowering success 
                in the programs, for special populations; and
                  (B) will provide programs that are designed 
                to enable the special populations to meet the 
                local adjusted levels of performance and 
                prepare for high skill, high wage, or high 
                demand occupations, including those that will 
                lead to self-sufficiency;
          (9) describe how individuals who are members of 
        special populations will not be discriminated against 
        on the basis of their status as members of the special 
        populations;
          (10) describe how funds will be used to promote 
        preparation for nontraditional fields;
          (11) describe how career guidance and academic 
        counseling will be provided to all career and technical 
        education students; and
          (12) describe efforts to improve the recruitment and 
        retention of career and technical education teachers, 
        faculty, counselors, principals, and administrators, 
        including individuals in groups underrepresented in the 
        teaching profession, and the transition to teaching 
        from business and industry.

SEC. 135. LOCAL USES OF FUNDS.

    (a) General Authority.--Each eligible recipient that 
receives funds under this part shall use such funds to improve 
[vocational] career and technical education programs.
    (b) Requirements for Uses of Funds.--Funds made available 
to eligible recipients under this part shall be used to support 
[vocational] career and technical education programs that--
          [(1) strengthen the academic, and vocational and 
        technical skills of students participating in 
        vocational and technical education programs by 
        strengthening the academic, and vocational and 
        technical components of such programs through the 
        integration of academics with vocational and technical 
        education programs through a coherent sequence of 
        courses to ensure learning in the core academic, and 
        vocational and technical subjects;
          [(2) provide students with strong experience in and 
        understanding of all aspects of an industry;
          [(3) develop, improve, or expand the use of 
        technology in vocational and technical education, which 
        may include--
                  [(A) training of vocational and technical 
                education personnel to use state-of-the-art 
                technology, which may include distance 
                learning;
                  [(B) providing vocational and technical 
                education students with the academic, and 
                vocational and technical skills that lead to 
                entry into the high technology and 
                telecommunications field; or
                  [(C) encouraging schools to work with high 
                technology industries to offer voluntary 
                internships and mentoring programs;
          [(4) provide professional development programs to 
        teachers, counselors, and administrators, including--
                  [(A) inservice and preservice training in 
                state-of-the-art vocational and technical 
                education programs and techniques, in effective 
                teaching skills based on research, and in 
                effective practices to improve parental and 
                community involvement;
                  [(B) support of education programs for 
                teachers of vocational and technical education 
                in public schools and other public school 
                personnel who are involved in the direct 
                delivery of educational services to vocational 
                and technical education students, to ensure 
                that such teachers and personnel stay current 
                with all aspects of an industry;
                  [(C) internship programs that provide 
                business experience to teachers; and
                  [(D) programs designed to train teachers 
                specifically in the use and application of 
                technology;
          [(5) develop and implement evaluations of the 
        vocational and technical education programs carried out 
        with funds under this title, including an assessment of 
        how the needs of special populations are being met;
          [(6) initiate, improve, expand, and modernize quality 
        vocational and technical education programs;
          [(7) provide services and activities that are of 
        sufficient size, scope, and quality to be effective; 
        and
          [(8) link secondary vocational and technical 
        education and postsecondary vocational and technical 
        education, including implementing tech-prep programs.]
          (1) strengthen the academic and career and technical 
        education skills of students participating in career 
        and technical education programs by strengthening the 
        academic and career and technical education components 
        of such programs through the integration of academics 
        with career and technical education programs through a 
        coherent sequence of courses, such as career pathways 
        described in section 122(c)(1)(A), to ensure learning 
        in the core academic subjects and career and technical 
        education subjects;
          (2) link secondary career and technical education, 
        including by--
                  (A) offering the relevant elements of not 
                less than 1 career pathway described in section 
                122(c)(1)(A);
                  (B) developing and supporting articulation 
                agreements between secondary and postsecondary 
                institutions; or
                  (C) supporting tech-prep programs and 
                consortia;
          (3) provide students with strong experience in and 
        understanding of all aspects of an industry;
          (4) develop, improve, or expand the use of technology 
        in career and technical education, which may include--
                  (A) training of career and technical 
                education teachers, faculty, principals, and 
                administrators to use technology, including 
                distance learning; or
                  (B) encouraging schools to collaborate with 
                technology industries to offer voluntary 
                internships and mentoring programs;
          (5) provide professional development programs that 
        are consistent with section 122 to secondary and 
        postsecondary teachers, faculty, principals, 
        administrators, and career guidance and academic 
        counselors who are involved in integrated career and 
        technical education programs, including--
                  (A) in-service and pre-service training--
                          (i) in career and technical education 
                        programs and techniques;
                          (ii) in effective integration of 
                        challenging academic and career and 
                        technical education jointly with 
                        academic teachers, to the extent 
                        practicable;
                          (iii) in effective teaching skills 
                        based on research that includes 
                        promising practices; and
                          (iv) in effective practices to 
                        improve parental and community 
                        involvement;
                  (B) support of education programs that 
                provide information on all aspects of an 
                industry;
                  (C) internship programs that provide relevant 
                business experience; and
                  (D) programs dedicated to the effective use 
                of instructional technology;
          (6) develop and implement evaluations of the career 
        and technical education programs carried out with funds 
        under this title, including an assessment of how the 
        needs of special populations are being met;
          (7) initiate, improve, expand, and modernize quality 
        career and technical education programs, including 
        relevant technology;
          (8) provide services and activities that are of 
        sufficient size, scope, and quality to be effective; 
        and
          (9) provide activities to prepare special 
        populations, including single parents and displaced 
        home-makers, for high skill, high wage, or high demand 
        occupations, including those that will lead to self-
        sufficiency.

           *       *       *       *       *       *       *

    (c) Permissive.--Funds made available to an eligible 
recipient under this title may be used--
          (1) to involve parents, businesses, and labor 
        organizations as appropriate, in the design, 
        implementation, and evaluation of [vocational] career 
        and technical education programs authorized under this 
        title, including establishing effective programs and 
        procedures to enable informed and effective 
        participation in such programs;
          [(2) to provide career guidance and academic 
        counseling for students participating in vocational and 
        technical education programs;
          [(3) to provide work-related experience, such as 
        internships, cooperative education, school-based 
        enterprises, entrepreneurship, and job shadowing that 
        are related to vocational and technical education 
        programs;
          [(4) to provide programs for special populations;
          [(5) for local education and business partnerships;
          [(6) to assist vocational and technical student 
        organizations;
          [(7) for mentoring and support services;
          [(8) for leasing, purchasing, upgrading or adapting 
        equipment, including instructional aides;
          [(9) for teacher preparation programs that assist 
        individuals who are interested in becoming vocational 
        and technical education instructors, including 
        individuals with experience in business and industry;
          [(10) for improving or developing new vocational and 
        technical education courses;
          [(11) to provide support for family and consumer 
        sciences programs;
          [(12) to provide vocational and technical education 
        programs for adults and school dropouts to complete 
        their secondary school education;
          [(13) to provide assistance to students who have 
        participated in services and activities under this 
        title in finding an appropriate job and continuing 
        their education;
          [(14) to support nontraditional training and 
        employment activities; and
          [(15) to support other vocational and technical 
        education activities that are consistent with the 
        purpose of this Act.]
          (2) to provide career guidance and academic 
        counseling that is based on current labor market 
        indicators, as provided pursuant to section 118, for 
        students participating in career and technical 
        education programs that--
                  (A) improves graduation rates and provides 
                information on postsecondary and career options 
                for secondary students, which activities may 
                include the use of graduation and career plans; 
                and
                  (B) provides assistance for postsecondary 
                students, including for adult students who are 
                changing careers for updating skills;
          (3) for partnerships between the eligible recipient 
        and businesses, including small businesses and business 
        intermediaries, including for--
                  (A) work-related experience for students, 
                such as internships, cooperative education, 
                school-based enterprises, entrepreneurship, and 
                job shadowing that are related to career and 
                technical education programs;
                  (B) adjunct faculty arrangements at the 
                secondary and postsecondary levels; and
                  (C) industry experience for teachers and 
                faculty;
          (4) to provide programs for special populations;
          (5) to assist career and technical student 
        organizations;
          (6) for mentoring and support services;
          (7) for leasing, purchasing, upgrading, or adapting 
        instructional equipment;
          (8) for teacher preparation programs that address the 
        integration of academic and career and technical 
        education and that assist individuals who are 
        interested in becoming career and technical education 
        teachers and faculty, including individuals with 
        experience in business and industry;
          (9) to develop and expand postsecondary program 
        offerings at times and in formats that are convenient 
        and accessible for working students, including through 
        the use of distance education;
          (10) for improving or developing new career and 
        technical education courses, including development of 
        new career pathways;
          (11) to develop and support small, personalized 
        career-themed learning communities;
          (12) to provide support for family and consumer 
        sciences programs;
          (13) to provide career and technical education 
        programs for adults and school dropouts to complete 
        their secondary school education or upgrade their 
        technical skills;
          (14) to provide assistance to individuals who have 
        participated in services and activities under this 
        title in finding an appropriate job and continuing 
        their education or training through collaboration with 
        the workforce investment system established under the 
        Workforce Investment Act of 1998 (29 U.S.C. 2801 et 
        seq.);
          (15) to support activities in nontraditional fields, 
        such as mentoring and outreach; and
          (16) to support other career and technical education 
        activities that are consistent with the purpose of this 
        Act.

                    [TITLE II--TECH-PREP EDUCATION]

                      PART D--TECH-PREP EDUCATION

[SEC. 201. SHORT TITLE.

    [This title may be cited as the ``Tech-Prep Education 
Act''.

[SEC 202. DEFINITIONS.

    [(a) In this title:
          [(1) Articulation agreement.--The term ``articulation 
        agreement'' means a written commitment to a program 
        designed to provide students with a nonduplicative 
        sequence of progressive achievement leading to degrees 
        or certificates in a tech-prep education program.
          [(2) Community college.--The term ``community 
        college''--
                  [(A) means an institution of higher 
                education, as defined in section 101 of the 
                Higher Education Act of 1965, that provides not 
                less than a 2-year program that is acceptable 
                for full credit toward a bachelor's degree; and
                  [(B) includes tribally controlled colleges or 
                universities.
          [(3) Tech-prep program.--The term ``tech-prep 
        program'' means a program of study that--
                  [(A) combines at a minimum 2 years of 
                secondary education (as determined under State 
                law) with a minimum of 2 years of postsecondary 
                education in a nonduplicative, sequential 
                course of study;
                  [(B) integrates academic, and vocational and 
                technical, instruction, and utilizes work-based 
                and worksite learning where appropriate and 
                available;
                  [(C) provides technical preparation in a 
                career field such as engineering technology, 
                applied science, a mechanical, industrial, or 
                practical art or trade, agriculture, health 
                occupations, business, or applied economics;
                  [(D) builds student competence in 
                mathematics, science, reading, writing, 
                communications, economics, and workplace skills 
                through applied, contextual academics, and 
                integrated instruction, in a coherent sequence 
                of courses.
                  [(E) leads to an associate or a baccalaureate 
                degree or a postsecondary certificate in a 
                specific career field; and
                  [(F) leads to placement in appropriate 
                employment or to further education.]

[SEC. 206. REPORT.

    [Each eligible agency that receives a grant under this 
title annually shall prepare and submit to the Secretary a 
report on the effectiveness of the tech-prep programs assisted 
under this title, including a description of how grants were 
awarded within the State.

[SEC. 207. DEMONSTRATION PROGRAM.

    [(a) Demonstration Program Authorized.--From funds 
appropriated under subsection (e) for a fiscal year, the 
Secretary shall award grants to consortia described in section 
204(a) to enable the consortia to carry out tech-prep education 
programs.
    [(b) Program Contents.--Each tech-prep program referred to 
in subsection (a)--
         [(1) shall--
                 [(A) involve the location of a secondary 
                school on the site of a community college;
                 [(B) involve a business as a member of the 
                consortium; and
                 [(C) require the voluntary participation of 
                secondary school students in the tech-prep 
                education program; and
         [(2) may provide summer internships at a business for 
        students or teachers.
    [(c) Application.--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 require.
    [(d) Applicability.--The provisions of sections 203, 204, 
205 and 206 shall not apply to this section, except that--
          [(1) the provisions of section 204(a) shall apply for 
        purposes of describing consortia eligible to receive 
        assistance under this section;
          [(2) each tech-prep education program assisted under 
        this section shall meet the requirements of paragraphs 
        (1), (2), (3)(A), (3)(B), (3)(C), (3)(D), (4), (5), 
        (6), and (7) of section 204(c), except that such 
        paragraph (3)(B) shall be applied by striking ``, and 
        if possible and practicable, 4-year institutions of 
        higher education through nonduplicative sequences of 
        courses in career fields''; and
          [(3) in awarding grants under this section, the 
        Secretary shall give special consideration to consortia 
        submitting applications under subsection (c) that meet 
        the requirements of paragraphs (1), (3), (4), and (5) 
        of section 205(d), except that such paragraph (1) shall 
        be applied by striking ``or the transfer of students to 
        baccalaureate degree programs''.
    [(e) Authorization of Appropriations.--There is authorized 
to be appropriated to carry out this section $25,000,000 for 
fiscal year 1999 and each of the 4 succeeding fiscal years.]

SEC. [203] 141. STATE ALLOTMENT AND APPLICATION.

    (a) In General.--For any fiscal year, the Secretary shall 
allot the amount made available under [section 206] section 144 
among the States in the same manner as funds are allotted to 
States under paragraph (2) of section 111(a)
    (b) Payments to Eligible Agencies.--The Secretary shall 
make a payment in the amount of a State's allotment under 
subsection (a) to the eligible agency that serves the State and 
has an application approved under subsection (c).
    [(c) State Application.--Each eligible agency desiring 
assistance under this title shall submit an application to the 
Secretary at such time, in such manner, and accompanied by such 
information as the Secretary may require.]
    (c) State Application.--Each eligible agency 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. Such application 
shall describe how activities under this part will be 
coordinated, to the extent practicable, with activities 
described in section 122.

SEC. [204] 142. TECH-PREP EDUCATION.

    (a) Grant Program Authorized.--
          (1) In general.--From amounts made available to each 
        eligible agency under [section 203] section 141, the 
        eligible agency, in accordance with the provisions of 
        this [title] part, shall award grants, on a competitive 
        basis or on the basis of a formula determined by the 
        eligible agency, for tech-prep education programs 
        described in subsection (c). The grants shall be 
        awarded to consortia between or among--
                  (A) a local educational agency, an 
                intermediate educational agency, educational 
                service agency, [vocational] career and 
                technical education school serving secondary 
                school students, or a secondary school funded 
                by the Bureau of Indian Affairs; and
                  (B)(i) a nonprofit institution of higher 
                education that offers--
                          (I) a 2-year associate degree 
                        program, or a 2-year certificate 
                        program, and is qualified as 
                        institutions of higher education 
                        pursuant to section 102 of the Higher 
                        Education Act of 1965, including an 
                        institution receiving assistance under 
                        the Tribally Controlled College or 
                        University Assistance Act of 1978 (25 
                        U.S.C. 1801 et seq.) and a tribally 
                        controlled postsecondary [vocational] 
                        career and technical institution; or
                          (II) a 2-year apprenticeship program 
                        that follows secondary instruction,
                if such nonprofit institution of higher 
                education is not prohibited from receiving 
                assistance under part B of title IV of the 
                Higher Education Act of 1965 (20 U.S.C. 1071 et 
                seq.) pursuant to the provisions of section 
                435(a)(3) of such Act (20 U.S.C. 1083(a); or
                  (ii) a proprietary institution of higher 
                education that offers a 2-year associate degree 
                program and is qualified as an institution of 
                higher education pursuant to section 102 of the 
                Higher Education Act of 1965, if such 
                proprietary institution of higher education is 
                not subject to a default management plan 
                required by the Secretary.
          (2) Special Rule.--In addition, a consortium 
        described in paragraph (1) may include 1 or more--
                  (A) institutions of higher education that 
                award a baccalaureate degree; [and]
                  (B) employer or labor organizations[.];
                  (C) employers, including small businesses, or 
                business intermediaries; and
                  (D) labor organizations.

           *       *       *       *       *       *       *

    (b) Duration.--Each grant recipient shall use amounts 
provided under the grant to develop and operate a 4- or 6-year 
tech-prep education program described in subsection (c).
    (c) Contents of Tech-Prep Program.--Each tech-prep program 
shall--
          (1) be carried out under an articulation agreement 
        between the participants in the consortium;
          [(2) consist of at least 2 years of secondary school 
        preceding graduation and 2 years or more of higher 
        education, or an apprenticeship program of at least 2 
        years following secondary instruction, with a common 
        core of required proficiency in mathematics, science, 
        reading, writing, communications, and technologies 
        designed to lead to an associate's degree or a 
        postsecondary certificate in a specific career field;]
          (2) consist of not less than 2 years of secondary 
        school with a common core of technical skills and core 
        academic subjects preceding graduation and 2 years or 
        more of higher education, or an apprenticeship program 
        of not less than 2 years following secondary 
        instruction, designed to lead to technical skill 
        proficiency, a credential, a certificate, or a degree, 
        in a specific career field;
          (3) include the development of tech-prep programs for 
        both secondary and postsecondary, including consortium, 
        participants in the consortium that--
                  (A) meets academic standards developed by the 
                State;
                  (B) links secondary schools and 2-year 
                postsecondary institutions, and if possible and 
                practicable, 4-year institutions of higher 
                education through nonduplicative sequences of 
                courses in career fields, including through the 
                use of articulation agreements, and including 
                the investigation of opportunities for tech-
                prep secondary students to enroll concurrently 
                in secondary and postsecondary coursework;

           *       *       *       *       *       *       *

          [(4) include in-service training for teachers that--
                  [(A) is designed to train vocational and 
                technical teachers to effectively implement 
                tech-prep programs;
                  [(B) provides for joint training for teachers 
                in the tech-prep consortium;
                  [(C) is designed to ensure that teachers and 
                administrators stay current with the needs, 
                expectations, and methods of business and all 
                aspects of an industry;
                  [(D) focuses on training postsecondary 
                education faculty in the use of contextual and 
                applied curricula and instruction; and
                  [(E) provides training in the use and 
                application of technology;]
          (4) include in-service professional development for 
        teachers, faculty, principals, and administrators 
        that--
                  (A) supports effective implementation of 
                tech-prep programs;
                  (B) supports joint training in the tech-prep 
                consortium;
                  (C) supports the needs, expectations, and 
                methods of business and all aspects of an 
                industry;
                  (D) supports the use of contextual and 
                applied curricula, instruction, and assessment;
                  (E) supports the use and application of 
                technology; and
                  (F) assists in accessing and utilizing data, 
                including labor market indicators, achievement, 
                and assessments;
          (5) include [training] professional development 
        programs for counselors designed to enable counselors 
        to more effectively--
                  (A) provide information to students regarding 
                tech-prep education programs, which may include 
                through the use of graduation and career plans;
                  (B) support student progress in completing 
                tech-prep programs;
                  (C) provide information on related employment 
                opportunities;
                  (D) ensure that such students are placed in 
                appropriate employment; [and]
                  (E) stay current with the needs, 
                expectations, and methods of business and all 
                aspects of an industry; and
                  (F) provide comprehensive career guidance and 
                academic counseling to participating students, 
                including special populations;
          (6) provide equal access, to the full range of 
        technical preparation programs (including pre-
        apprenticeship programs), to individuals who are 
        members of special populations, including the 
        development of tech-prep program services appropriate 
        to the needs of special populations; [and]
          (7) provide for preparatory services that assist 
        participants in tech-prep programs[.]; and
           (8) coordinate with activities conducted under title 
        I.
    (d) Additional Authorized Activities.--Each tech-prep 
program may--
          (1) provide for the acquisition of tech-prep program 
        equipment;
          (2) acquire technical assistance from State or local 
        entities that have designed, established, and operated 
        tech-prep programs that have effectively used 
        educational technology and distance learning in the 
        delivery of curricula and services and in the 
        articulation process; [and]
          (3) establish articulation agreements with 
        institutions of higher education, labor organizations, 
        or businesses located inside or outside the State and 
        served by the consortium, especially with regard to 
        using distance learning and educational technology to 
        provide for the delivery of services and programs[.];
          (4) improve career guidance and academic counseling 
        for participating students through the development and 
        implementation of graduation and career plans; and
          (5) develop curriculum that supports effective 
        transitions between secondary and postsecondary career 
        and technical education programs.

           *       *       *       *       *       *       *


SEC. [205] 143. CONSORTIUM APPLICATIONS.

    (a) In General.--Each consortium that desires to receive a 
grant under this [title] part shall submit an application to 
the eligible agency at such time and in such manner as the 
eligible agency shall prescribe.
    (b) Plan.--Each application submitted under this section 
shall contain a [5] 6-year plan for the development and 
implementation of tech-prep programs under this [title] part, 
which plan shall be reviewed after the second year of the plan.
    (c) Approval.--The eligible agency shall approve 
applications based on the potential of the activities described 
in the application to create an effective tech-prep program.
    (d) Special Consideration.--The eligible agency, as 
appropriate, shall give special consideration to applications 
that--
          (1) provide for effective employment placement 
        activities or the transfer of students to baccalaureate 
        or advanced degree programs;
          (2) are developed in consultation with business, 
        industry, institutions of higher education, and labor 
        organizations;
          (3) address effectively the issues of school dropout 
        prevention and reentry and the needs of special 
        populations;
          [(4) provide education and training in areas or 
        skills in which there are significant workforce 
        shortages, including the information technology 
        industry; and]
          (4) provide education and training in areas or 
        skills, including emerging technology, in which there 
        are significant workforce shortages based on the data 
        provided by the entity in the State under section 118;
          (5) demonstrate how tech-prep programs will help 
        students meet high academic and employability 
        competencies[.]; and
          (6) demonstrate success in, or provide assurances of, 
        coordination and integration with eligible recipients 
        described in part C.
    (e) Equitable Distribution of Assistance.--In awarding 
grants under this [title] part, the eligible agency shall 
ensure an equitable distribution of assistance between urban 
and rural consortium participants.

           *       *       *       *       *       *       *


SEC. [208] 144. AUTHORIZATION OF APPROPRIATIONS.

    There is authorized to be appropriated to carry out this 
[title (other than section 2071] part such sums as may be 
necessary for fiscal year [1999 and each of the 4] 2005 and 
each of the 5 succeeding fiscal years.

                    [TITLE III--GENERAL PROVISIONS]

                      TITLE II_GENERAL PROVISIONS

               PART A--FEDERAL ADMINISTRATIVE PROVISIONS

SEC. [311] 211. FISCAL REQUIREMENTS.

    (a) Supplement not Supplant.--Funds made available under 
this Act for [vocational] career and technical education 
activities shall supplement, and shall not supplant, non-
Federal funds expended to carry out [vocational] career and 
technical education activities and tech-prep activities.
    (b) Maintenance of Effort.--
          [(1) Determination.--
                  [(A) In general.--Except as provided in 
                subparagraphs (B) and (C), no payments shall be 
                made under this Act for any fiscal year to a 
                State for vocational and technical education 
                programs or tech-prep programs unless the 
                Secretary determines that the fiscal effort per 
                student or the aggregate expenditures of such 
                State for vocational and technical education 
                programs for the fiscal year preceding the 
                fiscal year for which the determination is 
                made, equaled or exceeded such effort or 
                expenditures for vocational and technical 
                education programs, for the second fiscal year 
                preceding the fiscal year for which the 
                determination is made.
                  [(B) Computation.--In computing the fiscal 
                effort or aggregate expenditures pursuant to 
                subparagraph (A), the Secretary shall exclude 
                capital expenditures, special one-time project 
                costs, and the cost of pilot programs.
                  [(C) Decrease in federal support.--If the 
                amount made available for vocational and 
                technical education programs under this Act for 
                a fiscal year is less than the amount made 
                available for vocational and technical 
                education programs under this Act for the 
                preceding fiscal year, then the fiscal effort 
                per student or the aggregate expenditures of a 
                State required by subparagraph (B) for such 
                preceding fiscal year shall be decreased by the 
                same percentage as the percentage decrease in 
                the amount so made available.]
          (1) Determination.--
                  (A) In general.--Except as provided in 
                subparagraphs (B) and (C), no payments shall be 
                made under this Act for any fiscal year to a 
                State for career and technical education 
                programs or tech-prep programs unless the 
                Secretary determines that the average fiscal 
                effort per student or the aggregate 
                expenditures of such State for career and 
                technical education programs for the 3 fiscal 
                years preceding the fiscal year for which the 
                determination is made, equaled or exceeded such 
                effort or expenditures for career and technical 
                education programs, for the 3 fiscal years 
                preceding the fiscal year preceding the fiscal 
                year for which the determination is made.
                  (B) Computation.--In computing the average 
                fiscal effort or aggregate expenditures 
                pursuant to subparagraph (A), the Secretary 
                shall exclude capital expenditures, special 
                one-time project costs, and the cost of pilot 
                programs.
                  (C) Decrease in federal support.--If the 
                amount made available for career and technical 
                education programs under this Act for a fiscal 
                year is less than the amount made available for 
                career and technical education programs under 
                this Act for the preceding fiscal year, then 
                the average fiscal effort per student or the 
                aggregate expenditures of a State required by 
                subparagraph (A) for the 3 preceding fiscal 
                years shall be decreased by the same percentage 
                as the percentage decrease in the amount so 
                made available.
          (2) Waiver.--The Secretary may waive the requirements 
        of this section, with respect to not more than 5 
        percent of expenditures by any eligible agency for 1 
        fiscal year only, on making a determination that such 
        waiver would be equitable due to exceptional or 
        uncontrollable circumstances affecting the ability of 
        the eligible agency to meet such requirements, such as 
        a natural disaster or an unforeseen and precipitous 
        decline in financial resources. No level of funding 
        permitted under such a waiver may be used as the basis 
        for computing the [fiscal effort] average fiscal effort 
        or aggregate expenditures required under this section 
        for years subsequent to the year covered by such 
        waiver. The [fiscal effort] average fiscal effort or 
        aggregate expenditures for the subsequent years shall 
        be computed on the basis of the level of funding that 
        would, but for such waiver, have been required.

           *       *       *       *       *       *       *


SEC. [312] 212. AUTHORITY TO MAKE PAYMENTS.

    Any authority to make payments or to enter into contracts 
under this Act shall be available only to such extent or in 
such amounts as are provided in advance in appropriation Acts.

  SEC. [313] 213. CONSTRUCTION.

    Nothing in this Act shall be construed to permit, allow, 
encourage, or authorize any Federal control over any aspect of 
a private, religious, or home school, regardless of whether a 
home school is treated as a private school or home school under 
State law. This section shall not be construed to bar students 
attending private, religious, or home schools from 
participation in programs or services under this Act.

SEC. [314] 214. VOLUNTARY SELECTION AND PARTICIPATION.

    No funds made available under this act shall be used--
          (1) to require any secondary school student to choose 
        or pursue a specific career path or major; and
          (2) to mandate that any individual participate in a 
        [vocational] career and technical education program, 
        including a [vocational] career and technical education 
        program that requires the attainment of a federally 
        funded skill level, standard, or certificate of 
        mastery.

SEC. [315] 215. LIMITATION FOR CERTAIN STUDENTS.

    No funds received under this Act may be used to provide 
[vocational] career and technical education programs to 
students prior to the seventh grade, except that equipment and 
facilities purchased with funds under this Act may be used by 
such students.

SEC. [316] 216. FEDERAL LAWS GUARANTEEING CIVIL RIGHTS.

    Nothing in this Act shall be construed to be inconsistent 
with applicable Federal law prohibiting discrimination on the 
basis of race, color, sex, national origin, age, or disability 
in the provision of Federal programs or services.

SEC. [317] 217. AUTHORIZATION OF SECRETARY.

    [For the purposes of increasing and expanding the use of 
technology in vocational and technical education instruction, 
including the training of vocational and technical education 
personnel as provided in this Act, the Secretary is authorized 
to receive and use funds collected by the Federal Government 
from fees for the use of property, rights-of-way, and easements 
under the control of Federal departments and agencies for the 
placement of telecommunications services that are dependent, in 
whole or in part, upon the utilization of general spectrum 
rights for the transmission or reception of such services.]

SEC. [318] 218 [218] 217. PARTICIPATION OF PRIVATE SCHOOL PERSONNEL.

    An eligible agency or eligible recipient that uses funds 
under this Act for inservice and preservice [vocational] career 
and technical education professional development programs for 
[vocational] career and technical education teachers, 
principals, administrators, and other personnel may, upon 
request, permit the participation in such programs of 
[vocational] career and technical education teachers, 
principals, administrators, and other personnel in nonprofit 
private schools offering [vocational] career and technical 
education programs located in the geographical area served by 
such agency or recipient.

           *       *       *       *       *       *       *


                PART B--STATE ADMINISTRATIVE PROVISIONS


SEC. [321] 221. JOINT FUNDING.

     (a) General Authority.--Funds made available to eligible 
agencies under this Act may be used to provide additional funds 
under an applicable program if--
          (1) such program otherwise meets the requirements of 
        this Act and the requirements of the applicable 
        program;
          (2) such program serves the same individuals that are 
        served under this Act;
          (3) such program provides services in a coordinated 
        manner with services provided under this Act; and
          (4) such funds are used to supplement, and not 
        supplant, funds provided from non-Federal sources.
    (b) Applicable Program.--For the purposes of this section, 
the term ``applicable program'' means any program under any of 
the following provisions of law:
          (1) Chapters 4 and 5 of subtitle B of title I of 
        Public Law 105-220.
          (2) The Wagner-Peyser act.
    (c) Use of Funds as Matching Funds.--For the purposes of 
this section, the term ``additional funds'' does not include 
funds used as matching funds.

SEC. [322] 222. PROHIBITION ON USE OF FUNDS TO INDUCE OUT-OF-STATE 
                    RELOCATION OF BUSINESSES.

    No funds provided under this Act shall be used for the 
purpose of directly providing incentives or inducements to an 
employer to relocate a business enterprise from one State to 
another State if such relocation will result in a reduction in 
the number of jobs available in the State where the business 
enterprise is located before such incentives or inducements are 
offered.

SEC [323] 223. STATE ADMINISTRATIVE COSTS.

    (a) General Rule.--Except as provided in subsection (b), 
for each fiscal year for which an eligible agency receives 
assistance under this Act, the eligible agency shall provide, 
from non-Federal sources for the costs the eligible agency 
incurs for the administration of programs under this Act an 
amount that is not less than the amount provided by the 
eligible agency from non-Federal sources for such costs for the 
preceding fiscal year.
    (b) Exception.--If the amount made available for 
administration of programs under this Act for a fiscal year is 
less than the amount made available for administration of 
programs under this Act for the preceding fiscal year, the 
amount the eligible agency is required to provide from non-
Federal sources for costs the eligible agency incurs for 
administration of programs under this Act shall be the same 
percentage as the amount made available for administration of 
programs under this Act.

SEC [324] 224. LIMITATION ON FEDERAL REGULATIONS.

    The Secretary may issue regulations under this Act only to 
the extent necessary to administer and ensure compliance with 
the specific requirements of this Act.

SEC. [325] 225. STUDENT ASSISTANCE AND OTHER FEDERAL PROGRAMS.

    (a) Attendance Costs Not Treated as Income or Resources.--* 
* *
    (b) * * *
    (c) Costs of [Vocational] Career and Technical Education 
Services.--Funds made available under this Act may be used to 
pay for the costs of [vocational] career and technical 
education services required in an individualized education plan 
developed pursuant to section 614(d) of the Individuals with 
Disabilities Education Act and services necessary to meet the 
requirements of section 504 of the Rehabilitation Act of 1973 
with respect to ensuring equal access to [vocational] career 
and technical education.

                                  
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